Competitors Analysis
Health care is multi billion-dollar industry and manufacturing of medical
equipment is one of the biggest branches. Nowadays, they’re a lot of
manufacturers in this industry that work in a daily basis to find better and more
profitable technology.
The top 5 medical equipment manufacturers in the world are:
- Cardinal Health
- Johnson & Johnson
- St. Jude Medical Inc.
- Boston Scientific Corporation
- Medtronic
They are a few companies in the market that are really into medical surgery
simulation but they are practically in new, at least in this aspect.
One of the most important companies in providing simulation and modeling
technologies is CAE. This company was founded in 1947 in Canada and
nowadays, it has become a $1.5 billion CAD with 7,500 employees and more than
100 sites and training locations among 20 countries. CAE’s 90% of annual
revenues are derived from exports all around the globe and actually their shares
are traded in Toronto and in New York exchanges. In the other hand, 10% of
their revenues are used for research and development.
CAE’s core businesses are:
- Training and Services (Civil & Military)
- Simulation products (Civil & Military)
The products and services that CAE manages are:
- Aviation Training & Services
- Simulation Products & Services
- Military
- Healthcare
- Public Safety & Services
Healthcare is a highly challenging and demanding environment where really
qualified professionals need to be trained to use this complex technology.
The key measure of success for this technology is based on the reduction of risk
to guarantee patients safety. Nowadays, CAE is its Healthcare department is
applying its simulation and modeling (world leader).
Today, CAE Healthcare is applying its simulation and modeling know-how to
improve the safety and efficiency in healthcare.
A company that is also dealing with this simulation
technology is MSR, the Israel Center for Medical
Simulation. Their main focus is the evolving field of
medical simulation and patient safety. An Israeli doctor
founded it in 2001 and its multi-modality approach
enables training to over 7,000 health care professionals
each year in around 60 vital courses.
MSR is willing to be unique in the approach toward
improving the safety of the patient. This is expect to
happen by leading the trainee through extreme and
challenging medical conditions, that will make the trainee to gain confidence and
make him feel more comfortable.
MSR also includes in its medical simulation techniques full body physiological
mannequins and live simulated patients placed by actors.
Simulab is another company that it’s in the market of surgical simulators. This
has been achieved by efforts focused mainly in anatomical realism and product
innovation. The TraumaMan System has almost replaced the use of dead bodies.
What makes Simulab important is that they
collaborate with leading educators around the
world and they bring their specialized knowledge of
materials and manufacturing processes to the
medical model and simulation. It is located in
Seattle, Washington near the prestigious
University of Washington School of Medicine.
Simulab has 6 U.S. patents already granted and
ten are still pending for anatomical technology,
video endoscopy technology and some other
methods. The company is also really committed
with sustainability and encourages re-use of material when possible.
This corporation is actually developing a technology called EGDE (Electronic
Data Generation for Evaluation) that they call the next generation of reality-
based laparoscopic training. EDGE has 5 sensors and will measure path, time and
force. Haptics is actually part of the result because is based on it.
EDGE is supposed to provide a product that it will be offered at a part of the cost
of virtual reality simulators.
There is a big difference between the competitors and the Hands ON: Surgery
Trainer. The competitors technology use the haptics force feedback technology
but not as precise as Hands ON and they have a different machine for every single
surgical procedure, in the other hand, ESA’s product will have the ability to
practice every procedure with a unique machine (software & hardware).
The student is going to be able to go through a multisensory experience that will
enrich his education in many ways. Also, medical schools can make research &
development with Hands ON and improve in every possible way.
PRODUCT
The surgical simulators were launched because they allow the students and the
actual surgeons to practice procedures and to acquire skills to perform minimal
invasive surgeries. These simulators include the haptic technology, a feature that
has revolutionized medical education. With this technology, the student can have
tactile, audio and visual realism that creates a multisensory experience
The best thing of this surgical simulator technology is that medical schools and
hospital could actually increase their clinical proficiency and decrease the
medical errors and with them the costs.
RISKS
About 80% of new businesses fail each year, this statistic according to the Small
Business Administration in the USA. As its to assume, many of this entrepreneurs
may have lost their life savings and may had lost many years working so hard. So
special attention should be put in start up companies or bran new products.
In this case, the Hands On Surgical Trainer uses a similar technology to some
products that are already in the market. These products already use the surgical
simulation with force feedback and are sell by international companies with a lot
of background. A key point of success here will be to really differentiate this
product from the others, so the customers can have a good chance to at least give
a glance to the product.
An important risk will be that surgeons or medical schools wouldn’t find a
specific feature or the differentiation won’t be enough for them to buy the new
product in the market.
Another risk is that the patent has already been register and granted, so changes
cannot be made in it. Also, a lot of money has been invested in research &
development of the product, so if it is not accepted in the market that will be a
huge loss.
Business Risk Impact Likelihood Risk Mgnt. Strategy and Monitoring Level of
preparation
A similar product University and High A complete competitors analysis to get to High
already exist Medical Schools know their strengths and weaknesses and
not eager to a good marketing strategy to convince
change because the market to use the product.
no differentiation
Patent already Changes in the Medium Make sure that everything included in High
granted patent cannot be the patent already is used in every
made possible way.
A lot of money No liquidity at all Medium A very well done budget with monthly Medium
invested and and loss of Money control and monitoring on it.
insufficient cash and time invested
flow
Slow software The company will High Put specific attention to the R&D Low
development not be able to department and weekly control.
produce it all on
time.
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