Home Navigating National Volume-Based Procurement: Global Orthopedic Leaders’ Evolution and Enduring Commitments

Navigating National Volume-Based Procurement: Global Orthopedic Leaders’ Evolution and Enduring Commitments

Aug 06, 2022 20:19 CST Updated Aug 08, 09:35
Medtronic

Chronic Disease Medical Device and Therapy Developer

Orthopedics is one of the most common departments in major hospitals and also an important细分领域 in medical devices. In recent years, the probability of orthopedic diseases such as fractures, scoliosis, and vertebral disorders has significantly increased. According to the "Comprehensive Report on China's Orthopedic Device Market," the total number of orthopedic surgeries in China reached 4.45 million in 2018, and it is estimated that this number will exceed 7.7 million by 2023.


Medtronic, as a global leading medical device giant,Meanwhile, it has been selected for the "Global Top Ten Orthopedic Enterprises" ranking for many consecutive years, and its position in the orthopedic field is also not to be underestimated.And China, as the world's second-largest market for orthopedic implants,It has also attracted Medtronic, a leader in the spinal market, to make significant strategic investments in China.

2022 marks the 25th anniversary of Medtronic (Spine and Biologics Division, hereinafter referred to as the Spine Division) entering China.,For the vast number of spinal healthcare professionals, the name "Sofamor" evokes memories from the early days of their careers to the refinement of spinal treatment philosophies.


01


Splendid Youth, Historical Heritage


In 1973,French Legendary Spinal Surgeon Yves CotrelFounded Sofamor S.A., process and produce specialized surgical tools for spinal surgeries.


In 1983,Dr. Cotrel met his lifelong best friend, Dr. Jean Dubousset, and the two hit it off immediately.Pioneered a disruptive three-dimensional scoliosis correction concept,And based on this concept, it was designedThe First Generation Spinal Deformity Correction System: CD Spinal Internal Fixation System.

In 1983, Dr. Yves Cotrel and Dr. Jean Dubousset jointly published the CD three-dimensional corrective technique concept.


In 1997,Sofamor Danek with CD Spinal Fixation System and Orion Anterior Cervical Plate SystemBe the first to enter the Chinese market.


In 1998, Medtronic announced a stock-swap acquisition of Sofamor Danek for $3.6 billion, thereby gaining a dominant position in the spinal products market.Through the acquisition of Sofamor Danek, Medtronic gained its spinal and neurosurgical equipment and products, establishing its advantage in the spinal product market.And it marked the beginning of Medtronic's 25-year journey of deep commitment to China.


02


Future Trends in the Chinese Spinal Market

China's aging population will bring a rapid growth in spinal surgeries. A report shows,By 2030, the total number of spinal surgeries in China will exceed 3 million.With the increase in average life expectancy and the passage of time since the initial surgery,Spine surgeons will increasingly need to employ innovative therapies to address the challenges posed by complex degenerative surgeries.


The national procurement of spinal products has, to a certain extent, significantly accelerated the progress of product innovation and introduction, allowing innovative companies to truly leverage their strengths. To secure a place in future competition, orthopedic companies must...It is necessary to continuously expand coverage to find new growth points, while establishing differentiated competitive advantages by focusing on their specialized niche markets.


And sticking to originality and leading innovation in the international and Chinese spinal markets has always been an advantage maintained by Medtronic (Spine Division).Therefore, we maintain a positive and optimistic attitude towards the future of China's spinal market.


Focus on the Translation of Basic Research in the Field of Enhancing Bone Healing Ability


Previous clinical research data have shown that bone healing-related risks account for more than 60% of clinical challenges, includingOsteoporosis and related issues such as screw loosening, unreliable fusion, and pseudoarthrosisIssues such as age, gender, diabetes, obesity, smoking history, secondary surgery, and osteoporosis lead to an increased risk of nonunion in bone surgeries, resulting in suboptimal expected surgical outcomes.


Thus,Innovative materials and bone repair materials that enhance bone healing capabilities have become a field with significant research potential and application prospects.


Currently,Medtronic is accelerating the registration and introduction of innovative implants based on two interface fusion material technologies: Pure Titanium Coating™ and nanoLOCK™, combined with 3D printing.Unlike traditional 3D printing and other trabecular bone structure-simulating interfaces, Pure Titanium Coating™ (PTC™) and nanoLOCK™ technologies have been proven to simulate sub-nanometer level bone lacunae.Thereby promoting the proliferation, differentiation, and deposition of calcium salts in osteoblasts after they collapse into irregular lacunae.

nanoLOCK™ Interface Fusion Technology Won the 2014 SRS and IMAST Best Orthopaedic Basic Research Award.


The Chinese bone repair materials market currently consists mainly of artificial bone and allograft bone, lacking therapies with stronger bone healing promotion and osteoinductive capabilities.Medtronic's Infuse™ Bone Graft, the world's first pure rhBMP2 product, is about to be launched in China.It is reported that Infuse™ has been globally applied for over 20 years, curing more than 2 million patients with a high risk of bone healing.Hailed by clinicians as the last line of defense for bone healing risks.


The introduction model of this product,This indicates that Medtronic can begin introducing more innovative products restricted by registration regulations and requirements.Including the subsequent Grafton™ DBM demineralized bone matrix series, as well as the next-generation artificial bone and osteoinductive products currently under development.

Infuse™ Bone Repair Material and Grafton™ Demineralized Bone Matrix Series


Build the Future Spine Ecosystem Around Smart Devices


Relevant reports show that by 2030,The market share of smart devices in China's orthopedic market will surge from less than 5% to over 40%.This trend will greatly change the traditional concept of diagnosis and treatment in spinal surgery. The application of spinal navigation and robotics,Will increase the proportion of minimally invasive spinal internal fixation surgeries from the current less than 7% to over 20%.


The solid efficacy of rapid and optimal recovery brought by minimally invasive spinal surgery has been widely recognized, but its adoption rate in China is relatively low due to a steep learning curve and radiation risks. It is worth emphasizing that,With the assistance of intelligent devices such as navigation and surgical robots, minimally invasive spinal surgery no longer requires repeated fluoroscopy, protecting patients while ensuring zero radiation exposure for the entire surgical team.


Medtronic stated,As a staunch supporter and advocate of the minimally invasive concept in spinal surgery, the team will continue to intensify efforts and develop entirely new concepts for minimally invasive spinal surgery.In the two major platforms of Stealth Station S8 navigation and Mazor™ X spinal surgery robot, it integrates a dedicated internal fixation system solution based on the spinal surgery process.While fully committed to ensuring the safety, precision, and efficiency of future minimally invasive surgeries, we are further focusing on the automation and intelligence of spinal minimally invasive surgical procedures.

Surgical Synergy™ Integrated Spine Surgery Solution combines spinal fixation systems, dedicated navigation tools, spine navigation and robotic surgery platforms, visualized powered drills, ultrasonic bone scalpels, and neuromonitoring devices into the spinal surgical workflow.


In addressing complex spinal surgeries such as tumors and deformities,The empowerment of smart devices can ensure the safety of both clinicians and patients.


In deformity surgery, the visualized screw placement combined with Stealth navigation technology has significantly improved the efficiency and accuracy of the procedure.The International Society for the Study of Abnormalities (SRS) recommends the surgical procedure based on Stealth navigation visualization technology to all centers performing abnormality surgeries.Believes that this technology can effectively help spinal surgery address the challenges posed by emergency and highly complex surgeries.


It is reported that, with the breakthroughs in navigation and internal fixation technology,Even the osteotomy in spinal tumor surgery and the reconstruction process with expandable artificial vertebral bodies can be performed under full navigation visualization.Greatly enhance the safety and precision in spinal tumor surgeries.

Surgical Synergy™ Integrated Solution for Spinal Deformity and Tumor Surgery.


Currently, Medtronic has developed the Surgical Synergy™ Integrated Spine Surgery Solution.The spinal internal fixation system, dedicated navigation tools, spinal navigation and surgical robot platforms, visualized power drills, ultrasonic bone scalpels, and neuromonitoring devices have been integrated into the spinal surgery workflow.Build a standardized ecosystem for spinal surgery in the future.


Only with prokaryotic innovation capabilities can we break the deadlock. The launch of Medtronic's Mazor™ X has ushered in the intelligent era of spinal surgery.


As the Mazor™ X spinal surgery robot, which won the 2021 "Top Ten Medical Devices" in China,For the first time, preoperative planning based on artificial intelligence has been transformed into zero-error intraoperative execution.At the same time,The next-generation spinal fixation system, integrated with Mazor™ X and Stealth navigation technologies, is expected to be introduced in China within the next year.CanFurther enhance the clinical advantages and application potential of the two major platforms: robotics and navigation.

MAZOR™ X Spine Intelligence Robot


At the same time, the application prospects of artificial intelligence-assisted decision-making in spinal surgery planning will be further realized and developed.The first autonomous learning artificial intelligence system approved by the FDA for spinal surgery, UNiD™, has officially been announced to be integrated into the Mazor™ X platform.Provides automatic planning and decision support for surgical procedures based on patient-specific parameters and preoperative imaging for clinicians, while the Mazor™ X precisely executes the preoperative plan during surgery according to AI-assisted decision-making.

Spine surgery solution assisted decision-making based on the Mazor™ X spine robotic platform, combined with UNiD artificial intelligence.


In the future, facing the tremendous changes in the spinal field after the national procurement in China,Only by continuously empowering, leading originality, and staying at the forefront of technology can we continue to inject vitality into the Chinese market.


Medtronic's Spine Division has consistently focused on developing and introducing new products that serve patients.In the previous quarter, the company also received approval for the world's first posterior spinal ligament augmentation system, while gaining indications for adolescent idiopathic scoliosis and the prevention of proximal junctional kyphosis.


Medtronic stated,The aforementioned system is expected to further optimize the treatment methods for spinal deformity surgeries after being introduced in China in the future.Currently, Medtronic has begun toThe traditional internal fixation devices will be transformed into a digital internal fixation system compatible with smart devices., transmit parameters such as the progress of interbody fusion, changes in bone density, and overall mechanical changes in internal fixation, establishing a complete long-term effect guarantee mechanism for patients.


03


Embrace Change, Stay True to Our Original Aspiration


2022 is destined to be a year of transformation.In early July, the National Organization for Joint Procurement of High-Value Medical Consumables announced that orthopedic spinal medical consumables would be included in the national procurement.


On the one hand, the national procurement of spinal products has become the touchstone for whether the entire industry can still bring "meaningful innovation" and "valuable original products"; on the other hand, it is also the best test of whether companies are willing to work hard and deeply cultivate the Chinese market.


Regarding the news of China's national procurement for spinal products, Medtronic stated: "The company currently has high-quality production capacity distributed globally and maintains good cost control,Enable Medtronic to actively participate and win bids for all system categories related to spinal internal fixation in this national procurement in China."Medtronic has already prepared and completed the increased production and supply assurance for product lines related to national procurement categories."


As the first orthopedic company to establish a two-way logistics standard and system in China,Medtronic's distribution and technical support in China cover all provinces and cities across the country, ensuring the timely allocation and supply of implants and tools required for surgeries nationwide.Even on the Qinghai-Tibet Plateau, Medtronic has already established a corresponding distribution platform and related technical support services.In terms of quality systems,In addition to high-quality production processes,Medtronic ensures that every component can be traced in a timely manner.To ensure that every patient receives comprehensive protection and service. In line with the industry trend in China of further strengthening quality and supervision, Medtronic has already made thorough preparations to cooperate and align accordingly.


"China's Wisdom, China's Manufacturing" has become Medtronic's fundamental strategy for committing to and making long-term investments in the Chinese market.Currently, the Medtronic Changzhou Science and Technology Park has officially started construction. This project aims to root the advantageous innovative products and quality control systems in China while promoting local research and development.A full range of spinal products that meet the needs of Chinese clinical practices and patients, as well as the requirements of China's medical security and supply. Only in 2022, three Medtronic-branded spinal internal fixation systems produced in China were approved and launched.


In fact, Medtronic's confidence in the Chinese market is not only reflected in the introduction of innovative products and proactive response to national procurement. Currently,China has become the only country with two Medtronic innovation centers.Following the Medtronic Innovation Center (Shanghai), the second Medtronic Innovation Center was established in Chengdu in 2021.This innovation center is also currently the most advanced clinical training and experience center equipped with state-of-the-art facilities.The choice of Chengdu reflects Medtronic's determination to further extend its clinical education and training for healthcare professionals across a broader inland region of China.

The second Medtronic Innovation Center in China, located in Chengdu, is equipped with a full set of top-tier global operating room equipment, enabling both navigation and spinal robotics to be utilized in simulation and hands-on training courses.


——


China's "14th Five-Year Plan" sets new requirements for high-quality development in orthopedics, with innovations in intelligent healthcare drawing nationwide attention.Stepping into the orthopedic era of "minimally invasive, intelligent, and precise" procedures, the integration of smart orthopedic surgery is not only the future of orthopedics in China but also the future direction of global orthopedic development.


In response to the orthopedic market and policy background in China, a relevant responsible person from Medtronic's spine department stated: “We have maintained close and smooth communication with relevant departments of the national spinal procurement, actively responded to and pre-locked global production capacity to ensure stable supply for this national procurement.Medtronic will actively cooperate and participate in the communication and collaboration of this national spinal procurement initiative in China, and continue to shoulder the significant historical responsibility of driving innovation and transformation in China's spinal market."