Smiths Medical

Srini Seshadri

President

Smiths Medical is a leading supplier of specialist medical devices and equipment for global markets.

In medication delivery, our devices help treat cancer patients and provide relief to those in pain. Our vital care products reduce hospital-acquired infections, manage patients’ airways before, during, and after surgery, maintain body temperature and assist reproduction through IVF therapy. Our safety products keep health workers safe by helping prevent needlestick injuries and reducing cross-infections.

Principal operating regions

Manufacturing is concentrated in Mexico, the US, the UK, Italy, Germany and China. We sell to over 100 markets worldwide, with the US being our largest single market with 50% of sales.

Customers

We estimate that around three-quarters of our end customers are hospitals, with the remainder comprising the alternate care market such as home care, clinics and other surgery centres. We have a direct sales presence in 20 countries, with distribution arrangements in many others.

Competitors

The competitive landscape for Smiths Medical is complex as we compete with different businesses across the wide range of product areas. Our competitors include Covidien, Teleflex, B Braun, Becton Dickinson, Hospira, CareFusion and Vital Signs, among many others. In many cases, we compete only with a small portion of their medical businesses so comparison between peers is not straightforward.

Suppliers

Our strategic focus is to reduce the current number of suppliers, while strengthening relationships that are key to the Division's success. The following five commodities account for around half of our direct spending: injection moulding, purchased finished goods, packaging materials, syringes/needles and electronics. Among indirect purchases, the top five account for around three quarters of our spending: freight, services, travel, temporary labour and capital equipment. We are also working with other divisions to reduce costs and leverage economies of scale.