How Healthcare OEMs Can Thrive in the Big Data “Gold Rush”
There is something of a “gold rush” being experienced in the healthcare industry, but it’s not for precious metals or anything tangible in a traditional sense. Instead, healthcare companies across the world are competing for consumer data.
In fact, according to a report by the International Data Corporation (IDC), healthcare data is projected to grow faster than data in manufacturing, financial services, or media with a compound annual growth rate (CAGR) of 36 percent through 2025.
This incredible increase in the size of healthcare data is being primarily driven by the use of Big Data analytics tools in sectors such as medical imaging and connected sensors and other wireless technologies, as well as the rise of patient-driven care reliant upon on AIs, virtual assistants, and chatbots to aid consumers who are increasingly desiring to put care in their own hands.
According to the report, “Providers are taking advantage of greater intelligence being built into diagnostic equipment and patient devices that can collect patient data, upload it to the cloud or a centralized datacenter for analysis or diagnosis, and then receive instructions or recommendations based on the patient’s specific needs.”
As the healthcare industry rapidly shifts to accommodate these new realities, however, it has placed a degree of strain on a digital infrastructure not yet fully equipped to support it. To process and analyze the mass volumes of information being collected, healthcare OEMs have to sprint to the electronic component market simultaneously to acquire the necessary technologies.
As a result, a massive growth of the electronic component and semiconductor market has been observed by healthcare industry analysts, and it shows no signs of slowing. According to Research Insights, the semiconductor market is expected to grow an average of over 10 percent annually through 2026. Additionally, the number of connected devices in the healthcare market is expected to increase from 10 billion units to 50 billion units in that same time frame.
Before those market expectations can be reached however, healthcare electronic component suppliers must expand production to match demand — a task to this point they have struggled with. By extension, healthcare OEMs are struggling to keep the integrity of their product lifecycles intact as component obsolescence and allocation issues become more prevalent. In order to navigate this marketplace with minimal disruption, healthcare OEMs are increasingly turning to BOM monitoring platforms to inform them of when action is necessary to maintain production levels. However, what BOM monitoring platforms have not done is predict potential supply chain disruptions before they occur. By the time the OEM is informed of the issuance of a PCN, the window of opportunity to find an alternative part may have already past.
Partsatat BOM Monitoring changes this by utilizing a series of complex algorithms with the ability to not just monitor for obsolescence and allocation, but to accurately predict impending obsolescence and allocation weeks or months before it actually occurs. This allows OEM customers the bandwidth to be proactive in their supply chain management, not reactive — even in a market as competitive as healthcare.
The “winners” of the 19th century gold rush often went to the prospectors with the best equipment. Today, almost 200 years later, even though the spoils may look very different, that simple fact hasn’t changed. In the healthcare industry, the OEM with the most advanced BOM monitoring platform is going to have a significant advantage.