Bain uses cookies to improve functionality and performance of this site. More information can be found in our Privacy Policy. By continuing to browse this site, you consent to the use of cookies.

We have limited Russian content available. View Russian content.

Snap Chart

Medtech Cost Management Systems Fall Short

Executives are frustrated by poor spending visibility and accountability.

Snap Chart

Medtech Cost Management Systems Fall Short

Although 80% of medtech companies have undertaken major cost programs over the past five years, only 10% reported achieving all of their goals, according to a recent Bain survey. A key reason for the poor track record, medtech executives say, is the lack of spending visibility and accountability. Only 24% of executives feel that their organization performs “very well” on spending accountability, and fewer than 12% feel that way about how their organization allocates spending. To address that shortcoming, leading medtech companies are testing a more radical approach to cost management—zero-based budgeting (ZBB)—which improves visibility and holds individuals accountable for achieving savings.

Patrick O’Hagan and Jason Evers are partners with Bain & Company’s Healthcare practice. Patrick is based in the firm’s Boston office, and Jason is based in Chicago.

Read the Bain Brief

A Better Way to Manage Costs in Medtech

Zero-based budgeting vastly improves spending visibility and accountability.


Хотите продолжить обсуждение?

Мы помогаем мировым лидерам бизнеса решать самые сложные проблемы и находить наилучшие возможности. Работая вместе, мы добиваемся устойчивых положительных изменений и результатов.