A chain of community rehabilitation institutions in Europe

Case overview

Customer Challenges

• 1. Middlemen increase prices and procurement costs remain high.

  For a long time, relying on local dealers to transfer goods, multi-layer middlemen have obvious price premiums, there is little room for negotiation in bulk purchases, and the organization's annual assistive device procurement budget is under great pressure.

• 2. The supply cycle is unstable and often out of stock.

  The production capacity of domestic factories in Europe is tight, the peak season order schedule is long, the temporary replenishment response is slow, and the site inventory is often insufficient, which directly delays daily rehabilitation and consultation services.

• 3. Product categories are messy and operation and maintenance management is cumbersome.

  Multiple brands of equipment are purchased piecemeal, the spare parts specifications are not compatible with each other, the spare parts reserves at each site are complicated, subsequent maintenance and repair is difficult, and the logistics management efficiency is low.

• 4. Strict EU access compliance requirements

  The EU medical device regulations and standards are strict. All assistive devices must have formal CE certification, and raw material safety, load-bearing, and mechanical safety indicators must meet standards. Most small factories cannot meet the access conditions.

Our solutions

• 1. Direct supply from the source factory, tiered pricing to reduce costs
• Axillary crutches, walking aids, spinal orthopedic braces, and transfer care equipment are all produced independently. Large-volume annual orders are given tiered preferential ex-factory prices, eliminating the need for middlemen and controlling the total purchase price from the source.
• 2. Flexible production capacity + standing inventory, locking in stable delivery time
• An exclusive production line is designated for this customer, and long-term safety inventory of finished products is reserved for hot-selling auxiliary equipment. Production and customs clearance is completed within 30 days for regular orders. Urgent orders can be prioritized for production. It is equipped with a fixed shipping line to control the logistics timeliness throughout the entire process to ensure timely replenishment at the site.
• 3. Unify standardized product system and universal design of accessories
• The entire set of products has unified specifications and standards, and the accessories are interoperable and interchangeable. At the same time, the European version is optimized and enlarged according to the European human body shape, adapting to the use of local people, greatly simplifying site inventory and maintenance work.
• 4. Full set of compliance qualifications + overseas localized after-sales service
• All products in the series are equipped with complete CE medical certification and complete customs declaration and clearance materials; a European overseas warehouse is set up to store vulnerable parts in front, combined with remote technical guidance + overseas warehouses to quickly reissue parts to efficiently solve after-sales problems.

Results and customer feedback

• 1. Comprehensive optimization of procurement and supply chain
• The direct procurement model has reduced customers' overall procurement costs by 28%. Orders have been delivered on time throughout the year, without any shortages, and the stability of the supply chain has been completely improved.
• 2. The product has high adaptability and excellent rehabilitation experience.
• The European version's customized size and ergonomic design fit local users. The mechanical properties of orthotics and walking aids are stable and safe. Rehabilitation practitioners highly recognize the product performance. Patients' comfort and mobility recovery effects are significantly improved.
• 3. Internal operational efficiency has been greatly improved
• The unified product and common accessories system reduces the inventory management workload of each site by half, makes equipment repair and replacement more convenient, and effectively reduces the labor cost of logistics operation and maintenance.
• 4. Reach long-term and in-depth cooperation and realize channel expansion
• After the acceptance of the first batch of goods was successfully completed, the customer formally signed an annual long-term procurement framework agreement and designated us as a first-level core supplier. At the same time, we actively introduced many peer rehabilitation institutions in the region to help us successfully open the European local rehabilitation assistive device distribution market.