--- title: Why Medical OEMs Are Consolidating Within and Across Commodities description: Looks at the recent trend of big medical OEMs & their acquisitions of smaller startups with innovative technology and the consolidating of these technologies. image: https://www.sanbormedical.com/hubfs/blog2chart2final.png --- [![Sanbor Medical](https://www.sanbormedical.com/hubfs/__NBdev/images/logos/Sanbor%20Logo_756HR.png) ](https://www.sanbormedical.com/) - Manufacturing Services - [Medical Device Manufacturing](https://www.sanbormedical.com/services/medical-device-manufacturers) - [Cleanroom Manufacturing](https://www.sanbormedical.com/services/clean-room-manufacturers) - [Testing, Programming & Validation](https://www.sanbormedical.com/services/medical-device-testing-programming-validation) - [Packaging & Labeling](https://www.sanbormedical.com/services/medical-device-packaging-labeling) - Solutions - [Manufacturing Cost Reduction](https://www.sanbormedical.com/medical-manufacturing-cost-reduction) - [Global Project Management](https://www.sanbormedical.com/solutions/global-project-management) - [Multi Volume Production](https://www.sanbormedical.com/solutions/multi-volume-production) - [Product Line Transfers](https://www.sanbormedical.com/solutions/product-line-transfers) - [New Product Introduction](https://www.sanbormedical.com/solutions/medical-device-product-development) - [Global Supply Chain Management](https://www.sanbormedical.com/solutions/medical-supply-chain-management) - [Blog](https://www.sanbormedical.com/blog) - About Us - [Why Sanbor](https://www.sanbormedical.com/why-sanbor-medical) - [Our Story](https://www.sanbormedical.com/our-story) - [Our Facilities](https://www.sanbormedical.com/facilities) - [Certifications & Registrations](https://www.sanbormedical.com/certifications) [![Contact Us](https://no-cache.hubspot.com/cta/default/3483613/0d7c8d2b-b25e-4959-9f7c-8a722139b2e9.png)](https://cta-redirect.hubspot.com/cta/redirect/3483613/0d7c8d2b-b25e-4959-9f7c-8a722139b2e9) - Manufacturing Services - [Medical Device Manufacturing](https://www.sanbormedical.com/services/medical-device-manufacturers) - [Cleanroom Manufacturing](https://www.sanbormedical.com/services/clean-room-manufacturers) - [Testing, Programming & Validation](https://www.sanbormedical.com/services/medical-device-testing-programming-validation) - [Packaging & Labeling](https://www.sanbormedical.com/services/medical-device-packaging-labeling) - Solutions - [Manufacturing Cost Reduction](https://www.sanbormedical.com/medical-manufacturing-cost-reduction) - [Global Project Management](https://www.sanbormedical.com/solutions/global-project-management) - [Multi Volume Production](https://www.sanbormedical.com/solutions/multi-volume-production) - [Product Line Transfers](https://www.sanbormedical.com/solutions/product-line-transfers) - [New Product Introduction](https://www.sanbormedical.com/solutions/medical-device-product-development) - [Global Supply Chain Management](https://www.sanbormedical.com/solutions/medical-supply-chain-management) - [Blog](https://www.sanbormedical.com/blog) - About Us - [Why Sanbor](https://www.sanbormedical.com/why-sanbor-medical) - [Our Story](https://www.sanbormedical.com/our-story) - [Our Facilities](https://www.sanbormedical.com/facilities) - [Certifications & Registrations](https://www.sanbormedical.com/certifications) [![Contact Us](https://no-cache.hubspot.com/cta/default/3483613/0d7c8d2b-b25e-4959-9f7c-8a722139b2e9.png)](https://cta-redirect.hubspot.com/cta/redirect/3483613/0d7c8d2b-b25e-4959-9f7c-8a722139b2e9) We help medical device OEMs reduce manufacturing costs by 20-25%. [ Learn More ](https://www.sanbormedical.com/en/solutions/hybrid-manufacturing) January 23, 2018 # Why Medical OEMs Are Consolidating Within and Across Commodities [Joe Pignotti](https://www.sanbormedical.com/blog/author/joe-pignotti) [mailto:?subject=Check%20out%20https://www.sanbormedical.com/blog/medical-consolidating-across-commodities](mailto:?subject=Check%20out%20https://www.sanbormedical.com/blog/medical-consolidating-across-commodities) ![Medical technology is advancing everyday. ](https://www.sanbormedical.com/hs-fs/hubfs/Stock%20images/Medicine%20doctor%20hand%20working%20with%20modern%20computer%20interface%20as%20medical%20concept.jpeg?width=320&name=Medicine%20doctor%20hand%20working%20with%20modern%20computer%20interface%20as%20medical%20concept.jpeg "Medical technology is advancing everyday. ")                This is a problem that we, at Sanbor Medical, are sure that medical device and equipment makers have faced at one point or another: **having to find, negotiate with, and coordinate multiple suppliers just to produce a single finished product**. We set out to solve this problem for makers in the industry by helping our customers consolidate their supply base by commodity.                 To achieve this, Sanbor Medical has made our production capabilities varied and consolidated so our customers [no longer have to look for multiple vendors](https://calhoun.nps.edu/bitstream/handle/10945/40275/Rendon_JCM05_pp7-20.pdf;sequence=4) to get one job done. We can handle **printed circuit board assemblies, cable assemblies, injection molded plastic parts, etc.** But most importantly, Sanbor Medical will gladly further consolidate all the different components into higher level assemblies. ![A flowchart showing what Sanbor Medical's commodity consolidation can do. ](https://www.sanbormedical.com/hs-fs/hubfs/blog2chart2final.png?width=782&name=blog2chart2final.png "A flowchart showing what Sanbor Medical's commodity consolidation can do. ")                 Our goal is for our clients to be able to come to us with their design, and through working with our professional team, to have a completely finished product ready for the market or a sub-assembly ready to integrate into a larger assembly, [without the customer having to seek out any additional suppliers during the process themselves.](https://www.realclearmarkets.com/articles/2015/06/29/whats_behind_the_surge_of_healthcare_consolidation.html)                 Currently, for many OEMs, the typical process involves dealing with **several commodities each with its own supplier**. To reduce costs, which is the ability Sanbor Medical is offering by having vertically integrated production, these OEMs are going to consolidate their suppliers down as much as they possibly can with their vendors.                 Sanbor Medical can come in during any of the steps while OEMs are trying to cut down vendor cost, but we aim to offer the best price reduction by being the single supplier for cables, PCBAs, and plastics and we are not stopping there. We have the capability of combining multiple commodities and take over assembling them or manufacturing the finished products.                 To recap, many OEMs have to endure the process of first finding necessary commodities from multiple suppliers, then trying to consolidate the process, and finally working with a production house to have their product finished. At Sanbor Medical, the difference we offer is [we take away all the work for OEMs to find and consolidate commodities or finding that right manufacturer](https://www.forbes.com/sites/roysmythe/2015/08/28/fighting-bad-guys-with-health-system-consolidation/#345d8d842d35). ![A chart comparison of using multiple vendors and only Sanbor Medical](https://www.sanbormedical.com/hs-fs/hubfs/c2b2.png?width=640&name=c2b2.png "A chart comparison of using multiple vendors and only Sanbor Medical")                 We do it all here at Sanbor Medical. We help our customer consolidate their supply base by commodity, have the capabilities of **assembling cable assemblies, PCBAs, injection molding plastic etc**. and most importantly, we can assemble your whole finished product or sub-assemblies.                 By choosing Sanbor Medical, it’s not just about cost cutting, we also save you the headache and time with our vertically integrated capabilities by consolidating the customer’s supply chain. Our stateside HQ is excited to see medical OEMs’ innovative designs and bring them into reality. Contact us anytime and we are ready to save you money while delivering high quality finished devices!  [![Request an outsourcing assessment](https://no-cache.hubspot.com/cta/default/3483613/73b661ea-19c1-47d7-87b3-6575216258db.png)](https://cta-redirect.hubspot.com/cta/redirect/3483613/73b661ea-19c1-47d7-87b3-6575216258db) Topic(s): [medical devices](https://www.sanbormedical.com/blog/tag/medical-devices) , [outsource](https://www.sanbormedical.com/blog/tag/outsource) , [contract manufacturer](https://www.sanbormedical.com/blog/tag/contract-manufacturer) , [electromechanical](https://www.sanbormedical.com/blog/tag/electromechanical) , [OEM](https://www.sanbormedical.com/blog/tag/oem) , [medical outsourcing](https://www.sanbormedical.com/blog/tag/medical-outsourcing) , [offshore manufacturer](https://www.sanbormedical.com/blog/tag/offshore-manufacturer) , [finished medical device](https://www.sanbormedical.com/blog/tag/finished-medical-device) , [Class I Medical Devices](https://www.sanbormedical.com/blog/tag/class-i-medical-devices) , [Class II Medical Devices](https://www.sanbormedical.com/blog/tag/class-ii-medical-devices) , [global logistics](https://www.sanbormedical.com/blog/tag/global-logistics) , [usa headquarters](https://www.sanbormedical.com/blog/tag/usa-headquarters) , [usa based](https://www.sanbormedical.com/blog/tag/usa-based) , [vertically integrated](https://www.sanbormedical.com/blog/tag/vertically-integrated) , [medical](https://www.sanbormedical.com/blog/tag/medical) , [healthcare](https://www.sanbormedical.com/blog/tag/healthcare) , [medical equipment](https://www.sanbormedical.com/blog/tag/medical-equipment) , [overseas outsourcing](https://www.sanbormedical.com/blog/tag/overseas-outsourcing) , [offshore outsourcing](https://www.sanbormedical.com/blog/tag/offshore-outsourcing) , [electronic manufacturing services](https://www.sanbormedical.com/blog/tag/electronic-manufacturing-services) , [ems](https://www.sanbormedical.com/blog/tag/ems) , [supply chain consolidation](https://www.sanbormedical.com/blog/tag/supply-chain-consolidation) , [transfer product](https://www.sanbormedical.com/blog/tag/transfer-product) , [medical device turnkey](https://www.sanbormedical.com/blog/tag/medical-device-turnkey) , [new product introduction](https://www.sanbormedical.com/blog/tag/new-product-introduction) , [new product development](https://www.sanbormedical.com/blog/tag/new-product-development) ## Subscribe to email updates ## Related Posts [medical devices](https://www.sanbormedical.com/blog/tag/medical-devices), [outsource](https://www.sanbormedical.com/blog/tag/outsource), [contract manufacturer](https://www.sanbormedical.com/blog/tag/contract-manufacturer), [electromechanical](https://www.sanbormedical.com/blog/tag/electromechanical), [OEM](https://www.sanbormedical.com/blog/tag/oem), [medical outsourcing](https://www.sanbormedical.com/blog/tag/medical-outsourcing), [offshore manufacturer](https://www.sanbormedical.com/blog/tag/offshore-manufacturer), [finished medical device](https://www.sanbormedical.com/blog/tag/finished-medical-device), [Class I Medical Devices](https://www.sanbormedical.com/blog/tag/class-i-medical-devices), [Class II Medical Devices](https://www.sanbormedical.com/blog/tag/class-ii-medical-devices), [global logistics](https://www.sanbormedical.com/blog/tag/global-logistics), [usa headquarters](https://www.sanbormedical.com/blog/tag/usa-headquarters), [usa based](https://www.sanbormedical.com/blog/tag/usa-based), [vertically integrated](https://www.sanbormedical.com/blog/tag/vertically-integrated), [medical](https://www.sanbormedical.com/blog/tag/medical), [healthcare](https://www.sanbormedical.com/blog/tag/healthcare), [medical equipment](https://www.sanbormedical.com/blog/tag/medical-equipment), [overseas outsourcing](https://www.sanbormedical.com/blog/tag/overseas-outsourcing), [offshore outsourcing](https://www.sanbormedical.com/blog/tag/offshore-outsourcing), [electronic manufacturing services](https://www.sanbormedical.com/blog/tag/electronic-manufacturing-services), [supply chain consolidation](https://www.sanbormedical.com/blog/tag/supply-chain-consolidation), [transfer product](https://www.sanbormedical.com/blog/tag/transfer-product), [medical device turnkey](https://www.sanbormedical.com/blog/tag/medical-device-turnkey), [new product introduction](https://www.sanbormedical.com/blog/tag/new-product-introduction), [new product development](https://www.sanbormedical.com/blog/tag/new-product-development), [FDA](https://www.sanbormedical.com/blog/tag/fda) 4 minute read | May 8, 2018 ## [How to Choose from Different Medical Device Contract Manufacturers?](https://www.sanbormedical.com/blog/how-to-choose-from-different-medical-contract-manufacturers) Sanbor Medical, as a highly experienced (28 years in operation, 17 years in medical) CM (contract manufacturer), receives a lot of inquiries; most inquiries are regarding the... [Read More](https://www.sanbormedical.com/blog/how-to-choose-from-different-medical-contract-manufacturers) [medical devices](https://www.sanbormedical.com/blog/tag/medical-devices), [outsource](https://www.sanbormedical.com/blog/tag/outsource), [contract manufacturer](https://www.sanbormedical.com/blog/tag/contract-manufacturer), [electromechanical](https://www.sanbormedical.com/blog/tag/electromechanical), [OEM](https://www.sanbormedical.com/blog/tag/oem), [medical outsourcing](https://www.sanbormedical.com/blog/tag/medical-outsourcing), [offshore manufacturer](https://www.sanbormedical.com/blog/tag/offshore-manufacturer), [finished medical device](https://www.sanbormedical.com/blog/tag/finished-medical-device), [Class I Medical Devices](https://www.sanbormedical.com/blog/tag/class-i-medical-devices), [Class II Medical Devices](https://www.sanbormedical.com/blog/tag/class-ii-medical-devices), [global logistics](https://www.sanbormedical.com/blog/tag/global-logistics), [usa headquarters](https://www.sanbormedical.com/blog/tag/usa-headquarters), [usa based](https://www.sanbormedical.com/blog/tag/usa-based), [vertically integrated](https://www.sanbormedical.com/blog/tag/vertically-integrated), [medical equipment](https://www.sanbormedical.com/blog/tag/medical-equipment), [overseas outsourcing](https://www.sanbormedical.com/blog/tag/overseas-outsourcing), [offshore outsourcing](https://www.sanbormedical.com/blog/tag/offshore-outsourcing), [electronic manufacturing services](https://www.sanbormedical.com/blog/tag/electronic-manufacturing-services), [ems](https://www.sanbormedical.com/blog/tag/ems), [supply chain consolidation](https://www.sanbormedical.com/blog/tag/supply-chain-consolidation), [transfer product](https://www.sanbormedical.com/blog/tag/transfer-product), [medical device turnkey](https://www.sanbormedical.com/blog/tag/medical-device-turnkey), [new product introduction](https://www.sanbormedical.com/blog/tag/new-product-introduction), [new product development](https://www.sanbormedical.com/blog/tag/new-product-development) 5 minute read | February 1, 2018 ## [Medical Production & Regulatory Compliance](https://www.sanbormedical.com/blog/medica-l-production-and-facility-code-compliance-are-you-meeting-them-all-production) Among the many strategic partners with which a medical device company can choose to work with to help them take their product(s) from design to reality, there is a myriad of... 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Sanbor Medical is THE Choice.](https://www.sanbormedical.com/blog/outsource-medical-device-usa-wholly-owned-china-factory) One of the major trends currently in the medical device industry is the increase in medical device outsourcing. Globally, the outsourcing market is forecasted to grow 11.5%... [Read More](https://www.sanbormedical.com/blog/outsource-medical-device-usa-wholly-owned-china-factory) ## Smarter Manufacturing Starts Here. Connect with our team to learn how a Sanbor partnership is the future of medical device contract manufacturing. 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