The medtech industry must focus on meeting the cost-efficiency and health outcome needs of health systems through a value-based innovation strategy, according to a new report from industry association Eucomed.
The European medical technology industry association launched its five-year industry strategy report ‘Contract for a Healthy Future’ at the MedTech Forum in Brussels, outlining the industry’s role in guiding healthcare systems towards a sustainable future.
Eucomed called on the medtech industry to change its business model and mindset, but also called on healthcare payers and policy-makers to embrace the concept of value-based innovation.
A report from the Economist Intelligence Unit (EIU), sponsored by Eucomed, opened the MedTech Forum. ‘Future-proofing Western Europe’s healthcare’ examined how healthcare systems need to change in order to square the circle of growing demand and tighter budgets.
The EIU report argued that Europe’s healthcare systems need to become more efficient, effective, integrated and informed. The medtech industry can support these developments with evidence-based technologies – providing not just the technologies but the evidence base to support their implementation.
The Eucomed report emphasised that the medtech industry needs to change and will deliver and demonstrate solutions to meet the cost-efficiency and health outcome needs of payers and policymakers in order to ensure sustainable, accessible healthcare and healthy ageing for the population.
However, Eucomed emphasised, other healthcare stakeholders must also reconsider their role: for value-based innovation to have full impact, policy-makers must develop better cost models and abandon silo-based budgeting, while payers must prioritise value – in terms of productivity and efficiency – rather than price.
“We have to rethink our healthcare systems in Europe and steer them back onto a sustainable path,” said Eucomed Chairman Guy Lebeau (pictured below). “As an industry, innovation has always been at the heart of what we do. But the future will demand a different kind of innovative thinking from all stakeholders in our economies. We will take the first step and deliver value-based innovations that deliver a demonstrable positive return on investment in healthy life years for citizens.”
John Wilkinson, Chief Executive of Eucomed, added: “It is short-sighted to cut back on medical technologies when health budgets are squeezed, especially when you consider that 70% of health spending is consumed by personnel and hospital organisation. Compare that with medical technology which accounts for less than 5%.
“If the industry delivers its promise and enables healthcare systems to become more productive and efficient, governments should reward us and invest in the right technologies.”
More information on these ideas can be found on a dedicated website, Reforming Healthcare in Europe, launched by Eucomed.
Eucomed represents 22,500 designers, manufacturers and suppliers of medical technologies. SMEs make up more than 80% of this sector.