Zimmer Biomet’s revenue growth is expected to accelerate during 2019 as the company shifts back to offense after addressing supply issues that have plagued the orthopedic device maker since 2016.
The company was dealing with complex challenges that involved quality control and supply chain problems that began a year earlier, which created distrust among the sales organization for corporate, and a culture gap between the “Zimmer camp” and “Biomet camp.”
But Hanson quickly identified several short-term priorities that Zimmer Biomet (ZB) has been working toward for the past 15 months and it appears that 2019 will be Zimmer Biomet’s comeback year. Here are five reasons why.
1. Shifting from Supply Stability to Supply Efficiency
During Zimmer Biomet’s first-quarter earnings call, Hanson said the company is shifting its focus from supply stability to initiatives aimed at increasing the overall supply chain efficiency.
“We see continued progress in our ability to regain the full trust of our commercial organization as we move to offense and focus on winning new business,” he said, according to SeekingAlpha transcripts of the call.
Boosting confidence in the supply chain, the company is planning new product launches in the knee implant market later this year along with the launch of knee, spine, and brain applications for its Rosa robotic system.
“Relative to new products, 2019 will be an important year for Zimmer Biomet’s pipeline and commercial strategy,” Hanson said.
In March, the company showcased its latest products and offered a preview of its next-generation solutions at the annual meeting of the American Academy of Orthopaedic Surgeons (AAOS).
Image Credit: Zimmer Biomet