WEBVTT 1 00:00:04.587 --> 00:00:07.382 - Health care is often more insulated than other industries 2 00:00:07.382 --> 00:00:10.051 during a downturn, but it's not immune. 3 00:00:10.051 --> 00:00:11.678 Biopharma and medtech companies 4 00:00:11.678 --> 00:00:14.764 need to develop strategies to improve their resilience, 5 00:00:14.764 --> 00:00:16.641 including reducing costs. 6 00:00:16.641 --> 00:00:19.102 That means looking across all functions 7 00:00:19.102 --> 00:00:21.479 from marketing and sales to operations, 8 00:00:21.479 --> 00:00:24.315 to general admin, including HR and finance. 9 00:00:24.315 --> 00:00:26.109 With tightening financial conditions 10 00:00:26.109 --> 00:00:27.819 and a potential recession, 11 00:00:27.819 --> 00:00:30.488 companies need to consider the implications and risks 12 00:00:30.488 --> 00:00:31.698 for their supply chain. 13 00:00:31.698 --> 00:00:34.034 This is particularly true in medtech 14 00:00:34.034 --> 00:00:37.162 where companies often have small or mid-size suppliers 15 00:00:37.162 --> 00:00:38.955 which could be at particular risk 16 00:00:38.955 --> 00:00:41.332 of experiencing financial trouble in a downturn. 17 00:00:41.583 --> 00:00:43.918 If even one of those small suppliers 18 00:00:43.918 --> 00:00:45.754 suddenly goes out of business 19 00:00:45.754 --> 00:00:47.756 and the final product can't be completed 20 00:00:47.756 --> 00:00:49.924 due to missing materials from that supplier, 21 00:00:49.924 --> 00:00:51.551 production can be disrupted. 22 00:00:51.551 --> 00:00:54.804 Companies need to understand their overall supplier risk 23 00:00:54.804 --> 00:00:56.973 and have a mitigation strategy. 24 00:00:56.973 --> 00:00:58.975 Some businesses might want to help suppliers 25 00:00:58.975 --> 00:01:00.977 in managing their own cost increases, 26 00:01:00.977 --> 00:01:03.313 others may need to find backup sourcing. 27 00:01:03.313 --> 00:01:05.857 Either way, companies will need a plan.