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EF: Could you provide insights into the priorities and opportunities that Medtronic envisions for 2024?
HO: This year has been exceptional for our business in North Latin America, especially in Mexico and Central America. Celebrating Medtronic's 50th anniversary in our territory has been a significant milestone, marked by a surge in positive feedback from patients. We have experienced growing momentum in our business and are actively seeking opportunities in the region.
Despite challenges faced by both the private and public healthcare segments, we have navigated them well and strengthened our partnerships. This year, our goal remains unchanged—to extend access to cutting-edge technology and double the positive impact we make on patients' lives. The healthcare environment in Mexico is pivotal, and we are committed to playing a central role in it.
EF: How is Medtronic contributing to the innovation landscape in Mexico?
HO: I envision a future where Mexico leverages its strength as a major manufacturer of medical devices to enhance technology use for our patients. While we stand as the 5th or 6th main exporter globally, there is room for improvement, especially considering that on consumption level per person, Mexico remains in the 30s to 40s range. To achieve a strong penetration of technology and reach more patients, we need to align consumption with our manufacturing power. Over the past 20 years, nearshoring has evolved into a robust strategy, evident in our four manufacturing sites with over 13,000 employees. This industry, supporting over 140 to 150 affiliates in the sector, is now diversifying into local supply chains and processes, reducing reliance on imports.
The collaboration with local suppliers and adherence to regulatory standards further strengthens this ecosystem. As we progress, the expertise of our workforce in adopting new technologies and manufacturing processes becomes a key asset. I foresee the transfer of cutting-edge technology to Mexico, fostering a self-sufficient healthcare ecosystem that extends beyond consumption to local production. This comprehensive approach, where a full ecosystem is nurtured and supported, is crucial for our future success.
EF: How has Medtronic's growth in Mexico, paved the way for the advancement of various industries related to medical devices?
HO: Looking into the near future, I anticipate the evolution of a robust manufacturing ecosystem, akin to the strength witnessed in the automotive industry in Mexico. The medical device industry is now gaining recognition from economists who project it to be a significant driver of the country's economic growth. This acknowledgement is particularly exciting, considering the industry's role in positively impacting lives. The ongoing opportunities and transformation within the industry align with the broader changes in the healthcare and medical technology ecosystem. As our global CEO highlighted, being a major player needs active participation in the industry's transformations. We are on a great path and committed to keeping up and making things even better. To achieve this, it’s important to keep challenging ourselves, making sure we have the best setup and business plan that match the changing needs of the market during all the ongoing changes.
EF: How does Medtronic extend its commitment beyond providing devices to actively contribute to the population’s health in Mexico?
HO: Primarily, our responsibility lies in ensuring the availability of cutting-edge technology. With recent developments in artificial intelligence, machine learning, and robotics, adhering to local regulations is pivotal, and our partnership with COFEPRIS reflects our commitment to responsible practices. Beyond technology provision, a significant responsibility is training healthcare professionals to harness the full potential of our innovations. This training ensures that professionals can effectively apply our technology to benefit patients. For example, despite challenges in obtaining the latest pump technology in Mexico, our existing pump has proven lifesaving for diabetes patients. Engaging with patients and understanding how technology positively impacts their lives reinforces our commitment to bringing in new advancements.
We also play a crucial role in introducing remote technologies like the cardiac monitor and pill cam. To advance technologies we need collaboration with healthcare ecosystems, including public and private entities. Our responsibility extends beyond technology provision to actively assisting systems in adopting and adapting to these innovations. Whether it is facilitating robotic surgeries or adapting protocols for remote technologies, we are dedicated to training medical staff and collaborating with hospitals and authorities to smoothly integrate these advancements into the healthcare ecosystem.
EF: How does Medtronic perceive the delicate balance between price and access, as well as the interplay between regulation and innovation?
HO: Addressing the cost considerations of technology is important, but we must also acknowledge the impending structural changes. Shifting resources intelligently between steps is vital to gaining the most value from these transformations. The challenge lies not in the capabilities of AI but in making the adoption of processes and protocol changes possible. The entire landscape of screening processes conducted by doctors is going to change. Therefore, it is crucial to accelerate regulatory processes to keep pace with ongoing transformation.
The ultimate goal is to enhance patient benefits, and achieving this requires a collective commitment to swift adaptation and aligned efforts.
EF: What key agenda points would you recommend to the coming government to enhance and build an improved healthcare structure in Mexico?
HO: Our commitment is clear – AMID has its proposal to present, and we are ready to collaborate with whoever assumes the responsibility of being the president. It is crucial for us to be an integral part of the broader healthcare industry to effectively communicate the needs of our country to the candidates. We have to collaborate within the whole ecosystem, including regulatory authorities and other stakeholders. This collaboration spans the economic and healthcare spheres.
Even though the MedTechs sector has its own position to defend, we know we are going to gain more as a whole than an individual industry. Our primary focus in healthcare is ensuring access for patients while emphasizing the value of technology over mere cost considerations. We are driving changes in the healthcare ecosystem to shift the focus from processes to patient-centric value.
EF: If you were a spokesperson at the Davos World Economic Forum, what key message would you convey to the world about healthcare?
HO: I want to underscore the importance of clearly understanding the current needs of the system and see what each of us brings to the table.
Our main goal should be to put the patient's health first, rather than just focusing on treating diseases. We want to create a system that actively keeps patients healthy. This has always been a goal of mine, driven by my years of experience in the industry. That is why run for president of the association—to make sure our voices are heard as stakeholders in the healthcare system, with a special focus on the well-being of the patient.
