Survival Tactics at Ethicon Endo-Surgery

Cindy MeisnerEthicon Endo-Surgery, Inc.

SLA Pharmaceutical & Health Technology Division

Spring MeetingApril 5, 2005

Challenges• Intense scrutiny• Slashed headcount• Decreased budget• Increased competition

Device/Ethicon Challenges• Non-traditional role• Elimination/outsourcing of specialist

roles– Materials specialists– Patent specialists– Standards specialists– Biocompatibility specialists– Information technology specialist

Solutions• Outsourced services• Elimination of low-value services• Virtual transition• Branding• Differentiation• Alignment with client processes

But…• Did not want to cut more services• Wanted to add more services• Only 2 people

Thoroughly examined all skill sets, roles, and responsibilities

Changes• Added new roles:

– Business Relationship Manager – Information technology specialist– Graphic artist

And…

Outsourced everything

Yes, everything

But we manage the outsourcing

and

Our sphere of influence is extended

Services • Virtual library• Custom research• Monitoring & alerting• Training, programming & consulting

Ethicon Roles

• Team Leader– Business relationship

management– Planning– Administration– Budget– Consulting & training

services

• Analyst (Project Manager)– Electronic resources

management– Vendor relations– Research services– Monitoring & alerting

services

#1Outsource to End-users

#2 Consultant Network:The Inner Circle• Four research consultants• Technical consultant• Graphic designer/library and user

services

#3 Expanded Consultant Network

• Patent research consultant• Four consulting firms

Inner Circle Investment• EES email address• Access to EES/J&J network• Laptop with remote access• Passwords for premium sources• Provide full-time work• 30 hours for professional development

Inner Circle Investment, cont.

• Office space for non-remote consultants

• PO and supplier management (secrecy agreements, etc.)

• Team meetings• Team building events

ROI• Loyal and committed partners • Knowledge of the business• Fast turnaround• Professional camaraderie

Customer Benefit• Saves time, money, effort• Provides turnkey service• Consistent results• High quality results

Challenges• Recruit and select right team• Develop effective and efficient

processes • Manage relationships• Communicate! Communicate!

Communicate!

Process for Engagement• Ethicon associate initiates project and partners

with client (gathers requirements, etc.)• Ethicon associate gives project requisition to

consultant• Consultant delivers results to client and/or Ethicon

associate• Consultant sends completed requisition to Ethicon

associate• Ethicon associate records project data and

monitors client satisfaction

Outlook• # of Ethicon employees will not

increase• # of consultants will likely increase• Company information function will

remain