Dresding Medical

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Group 10
Vibhor Ronge 2010055
Vikrant Thakur 2010056
Vineeth Philip 2010057
Vivek Pandey 2010058
Y Deepa Upadhyaya 2010059
 Introduction
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 Dresding Medical was founded 10 years ago.
 Designed, manufactured and supplied a range of medical
equipment to hospitals and clinics throughout the USA.
 They were into cardiovascular devices, neurological
stimulators and monitoring diagnostic devices.
 Core Competence:
 An ability to understand the need of clinicians and translate
those into products.
 Known for technical excellence and willingness to modify
equipment to individual customer needs.
 Issues

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 Products were relatively high priced creating cost pressures

 Around 70 per cent of all orders involved some form of

customization from standard ‘base models’ which challenges
responsiveness.

 On the market side company has to persuade health care and

insurance companies to encourage these new devices.

 Moving towards being a consumer company, making and

delivering a higher volume of more standardized products where
technology is changing fast is a hurdle.
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 On one hand it is important to maintain control over production to
ensure high quality and reliability; on the other hand, investing in the
process technology to make the products will be very expensive.

 A new base model currently takes over three years to develop and they
cannot afford to develop the new products in any more than 12 months

 Also for the first time, they need some kind of logistics capability.

 It is unlikely that customers would be willing to wait the three months

their current customers tolerate.

 Company is not sure of how demand might grow.

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 Conclusion
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 We feel that Dresding Medical should not subcontract
the manufacture and delivery of products for the
following reasons:
 Help maintain control over production to ensure high
quality and reliability.
 Bank on their core competencies of culture of technical
excellence and willingness to modify equipment to
individual customer needs.
 Even though the decision may prove to be expensive in
the short run, it will save money in the long run.