As the MedTech industry embraces digital transformation, large-scale initiatives involving technologies and new processes are becoming increasingly important. However, successfully navigating these complex projects requires more than just advanced technology—it demands careful planning, strategic alignment, and a focus on both organizational and operational excellence. This blog explores how MedTech companies can ensure success in their major digital initiatives by addressing key challenges and leveraging the right expertise.
MedTech companies are leading the way in tech maturity
Despite the strict regulations in the medical device industry, many companies are leading the way in adopting advanced technologies like cloud computing, AI, and machine learning (ML), which are bringing real improvements to their products and services. The numbers back this up, as shown in recent industry research.
In 2023, over 80 percent of MedTech executives said they plan to focus on developing innovative products and significantly investing in digital technologies. According to a Deloitte survey, 51 percent of MedTech executives view digital innovation as a long-term priority, while 18 percent see it as an absolute necessity. This shows the industry's awareness that staying competitive means keeping up with digital transformation to meet the evolving needs of healthcare providers and patients.
Technologies like AI and ML are becoming central to MedTech innovation, but their success depends heavily on the quality of the data being used. It’s encouraging that more than 50 percent of life sciences executives recognize the ability to extract valuable insights from large datasets as critical for success in the digital economy. Leveraging big data is increasingly important for advancing research, development, and patient care, with cloud computing serving as the foundation for this data-driven approach.
However, there are still significant obstacles to overcome. MedTech companies face several major challenges that could hinder their digital transformation efforts.
- Reimbursement issues: Securing insurance and government reimbursement for new technologies is complex, requiring companies to navigate regulations, demonstrate value, and meet payer requirements. These hurdles can delay market entry and recovery of development costs, posing a major challenge to growth and innovation
- Direct-to-consumer models & servitization: Shifting toward direct-to-consumer models and developing service offerings such as maintenance and support requires overhauling existing processes, creating new revenue streams while adding complexity
- Strengthening supply chain resilience: The global economic climate and ongoing supply chain disruptions demand greater agility and stronger relationships with manufacturers and suppliers to ensure uninterrupted production and delivery
- Innovative R&D: To stay ahead of the competition, MedTech companies must continue to innovate in their research and development processes. This involves adopting agile methodologies and integrating digital health ecosystems, which often require substantial investment
- Regulatory compliance & sustainability: Balancing stringent regulatory requirements across regions while meeting sustainability goals has become a crucial aspect of MedTech operations, requiring careful planning to maintain compliance without sacrificing environmental initiatives
- Data privacy & security: As devices become increasingly connected, ensuring patient data protection is a critical concern, with growing threats from cyberattacks
- Integration between various systems: Validating and integrating cloud technologies into existing ecosystem is an ongoing challenge that requires thorough planning, careful consideration, and significant technical expertise
Are there companies that succeed in these areas? Certainly. Recent research shows that the most successful MedTech companies excel by focusing on two critical areas: prioritizing cost of goods sold (COGS) efficiency, strategic investment planning, and robust reimbursement strategies. In practice, this translates into a strong emphasis on operational efficiency and informed decision-making, achieved through best practice processes tightly integrated with advanced technologies. This strategic approach enables companies to navigate market pressures, maintain their competitive edge, and ensure long-term growth and sustainability. 
Common misconceptions about cloud migration in MedTech
To address these challenges effectively, MedTech companies must undergo a significant transformation, which often involves a major IT project, such as migration or implementation of cloud technologies.
This investment can streamline operations and improve efficiency. However, while cloud technologies offer clear benefits, many MedTech companies mistakenly treat such transformational projects as straightforward technical ones, but this mindset can lead to costly mistakes. Success isn’t guaranteed without careful planning, strategic alignment, and a thorough understanding of the potential pitfalls. Below are some common misconceptions that often derail transformation efforts:
- Users will automatically embrace the change: It's often assumed that users will immediately see the benefits of the change and adopt the new systems/ways of working. However, without clear communication and proper training, adoption can be slow or met with resistance.
- Advanced technology equals easy adaptation: While cloud platforms may simplify many processes, users still need time to adjust. Assuming they’ll quickly adapt without adequate support can lead to frustration and underutilization of the new solutions.
- Any transformation that involves technologies is an IT project: MedTech companies sometimes treat these changes as purely technical initiatives, assuming they can be handled and led by the IT department. However, this overlooks the fact that transformation impacts all aspects of the business and many organizational processes.
These assumptions can undermine the benefits of your digital transformation. MedTech companies must approach it with a clear understanding of its broader organizational impact.
Involve your team from the start
To successfully overcome the challenges posed by these misconceptions, it’s critical to engage your end users from the outset of the transformation journey. For example, moving MedTech systems to the cloud will fundamentally impact their daily work. Ensuring smooth user adoption requires careful planning and a proactive approach to managing change.
MedTech companies must first thoroughly assess the specific needs of their organization. Involving future users early on helps minimize resistance and ensures that the new systems are embraced rather than viewed as a burden. This inclusive approach fosters a smoother transition, allowing users to recognize the benefits of new processes and technologies for their own roles, which ultimately leads to greater project success.
By identifying and communicating the advantages for all stakeholders—whether providers or internal teams—you can build a transformation plan that ensures long-term value and encourages full adoption.
Preparing for a seamless transition
For MedTech companies to realize the full potential of digital initiatives, a comprehensive change management strategy is essential. Steve Lyon, a specialist in cloud transformation at Columbus, advises against merely replicating existing process within the new platform. Instead, MedTech organizations should see cloud transformation as an opportunity to reimagine processes, create new value, and improve patient outcomes.
Ian Kingstone, UK Director of Strategy and Growth at Columbus, highlights that such projects shouldn’t focus solely on cost savings or speed. The real goal is to transform the organization and improve value delivery across departments. This means developing comprehensive change management strategies that address not only technology but also people and processes.
Kingstone stresses that success lies in aligning people, processes, technology, and data under a single, cohesive strategy. A well-executed transformation plan that centers on business value will motivate stakeholders to fully embrace the transformation, ensuring that the migration delivers long-term benefits. 
Creating value in cloud transformation: Watson-Marlow Fluid Technology Solutions
A good example of succeeding with a complex transformational project is our customer, Watson-Marlow Fluid Technology Solutions (Watson-Marlow), a global leader in peristaltic pump manufacturing and fluid path technologies. Watson-Marlow closely collaborates with the life sciences industry by providing precise and reliable fluid management solutions that meet the strict requirements of the pharmaceutical and biotech sectors.
They originally had a set plan for their digital transformation, but as we worked with them to explore their broader goals—like centralizing global operations, connecting more effectively with customers, and achieving internal objectives—we helped Watson-Marlow adjust their strategy.
One key realization was that focusing on customer engagement should take priority over upgrading their ERP system. This change in approach allowed Watson-Marlow to enjoy the benefits of moving to the cloud sooner than expected. It’s a perfect example of how aligning technology with business goals can drive success.
A major milestone in this journey was implementing a new customer relationship management (CRM) platform. Together, we ran 12 workshops involving 60 key stakeholders from around the world to uncover where value could be added and what organizational changes were needed to make it happen.
Our main objective was to secure user buy-in early in the process. As a result, user adoption of the new CRM system across their 650-person team became the most important KPI. We helped Watson-Marlow understand that without user adoption, none of the other benefits could be fully realized.
The result? Real value was delivered—operational efficiency improved, the organization became more customer-focused, data insights got better, and the team adopted a more streamlined approach.
Lessons learned
Successfully navigating a complex transformation, such as cloud migration, requires more than just implementing new technology. Proper preparation, clear strategy, and effective change management are all crucial to achieving long-term success. MedTech companies need partners who understand the importance of these factors and have in-depth knowledge of both industry processes and technology. This ensures realistic, efficient solutions that truly deliver value.
At Columbus, we bring these essential skills to the table, supported by our delivery methodology, OnTarget, which ensures business-critical solutions are executed on time and within budget. Additionally, our automated testing services play a vital role, particularly for MedTech companies, where quality assurance and compliance are paramount. Automated testing helps reduce risk, increase speed, and ensure accuracy. With our end-to-end test automation services, you benefit from faster, more efficient software deployments that support both operational excellence and patient care standards.
If you're embarking on your transformation journey, it's essential to work with experts who can guide you every step of the way. At Columbus, our deep expertise in both industry processes and technology ensures your project’s success.