Medical Device Link.

MARKETS

Major expansions

Ireland has been extremely successful in developing an internationally renowned centre for medical technology. More than 140 companies develop and make medical devices. These companies employ 26 000 people and export medical products amounting to approximately €6 billion per annum, which represents 9% of Ireland’s total exports. A recent Government survey has shown that 80% of the companies in the sector are “innovation active.”¹ Local investment is considerable; the sector spent €0.82 billion on wages, €0.39 billion on purchasing Irish materials and €0.44 billion on Irish services in 2004.

A number of major investments in the past few months confirms international confidence in Ireland as a location for research and development (R&D) and the manufacture of medical devices. In September 2006, Abbott Vascular (www.abbottvasculardevices.com) opened a €90 million, high-value drug-eluting stent manufacturing operation and began work on a new €30‑million administration building in Co. Tipperary. In July 2006, Cordis Corporation (www.cordis.com) announced that it would establish a state-of-the-art development and manufacturing facility also in Tipperary that will employ 450 people by 2008.

Ireland’s success has been in part because of the Irish Government’s strategically important decisions such as introducing a favourable corporation tax rate, supporting education and skills development in companies and providing support for manufacture and R&D.

Ireland continues to win international investments because it is recognised as a business location where the workforce, in addition to being highly qualified, has a unique capacity to improve, innovate and initiate new ideas, processes and methods of operating. This innovation can make business more dynamic, more efficient and ultimately more profitable.

Medical technology products are becoming increasingly complex and incorporate new materials and technologies. The existence of substantial medical technology, pharmaceutical, biotechnology, and information and communications technology industries is one of the country’s important assets. The opportunities to exploit convergence potential are enormous.

Activity programmes

There are a number of initiatives that the Irish Medical Devices Association (IMDA) is leading that will enable future development and growth in the areas of innovation, support for manufacturing and skills.

The Medical Technology Council (MTC) was established to oversee implementation of Vision 2020, a collaborative agreement between industry and IMDA, academia, the clinical community and agencies.² It plays an important role in driving innovation. Current programmes being supported by the MTC include the establishment of networks to develop research technology platforms, and a policy document focussing on developing a clinical trials infrastructure, which was launched in October 2006. IMDA is also developing an R&D and Marketing Mentoring Programme with Enterprise Ireland (www.enterprise-ireland.com, a Government agency) and developing models that will provide companies with the skills to access R&D outside their organisations.

Support for manufacturing is critical. Ireland’s presence in the highly competitive global manufacturing markets has taken more than 70 years to build through a combination of foreign direct investment and indigenous development. Manufacturing is highly innovative, investment driven and cost competitive. IMDA welcomes the Irish Government’s recently announced, High Level Manufacturing Group to support manufacturing in the country. IMDA has called for the Government to go one step further and establish a Chief Manufacturing Advisor to Government.

In keeping with developing a significant knowledge economy, skills at all levels are vitally needed. IMDA focusses on developing the skills of those currently employed in the sector and ensuring that an adequate stream of skilled employees enter the industry in the future. The Association is targeting the next cadre of senior managers in the sector in a new, modular, training programme: “Medical Technologies Future Leaders Programme.” This programme is designed to develop personal strategy and leadership skills for middle managers in a peer-group environment. In October 2006, IMDA launched “Imagine,” a novel profile of the sector, its products and employees, the doctors who develop and use the products, and the patients that benefit.

Winning ways

Ireland is a relatively small nation with huge capabilities in its industry, academia and medical community, which give it a unique opportunity for collaboration. Companies are already making significant moves into the once undreamt of areas of R&D and marketing, which is fantastic news for the industry, its employees and the Irish economy as a whole.

Sharon Higgins is Director, Irish Medical Devices Association (IMDA), Confederation House, 86 Lower Baggot Street, Dublin 2, Ireland,
tel. +353 1 605 1529, e-mail: imda@ibec.ie

IMDA’s focus is on facilitating innovation, supporting manufacture and developing new skills to ensure that Ireland’s devices and diagnostics industry continues to compete effectively in a competitive global market.