MedTech is one of the most competitive hiring landscapes in business today. As a fast-growing area, companies must work hard to secure the right people to drive their business, with an estimated 4.3 million healthcare and life sciences professionals needed by 2030.
However, demand is outstripping supply. A 2021 report by Deloitte found that 83% of companies were struggling to find the qualified executive talent they needed.
In this article, we share our top strategies for mitigating the talent shortage in MedTech so you can secure the people that will help you remain competitive.
Current challenges in acquiring high performing MedTech executives
The talent shortage isn’t new and is faced across many industries, but the limited talent pool in MedTech is further exacerbated by the reluctance of many people to move or relocate. As a global industry, with companies often operating across borders, the requirement for relocation is common. However, studies show that the number of people willing to relocate is declining, especially since the pandemic and the resulting remote and hybrid working trend, as well as increased housing costs causing concern for those who are already locked into mortgages.
MedTech is heavily regulated, and there are frequent changes to legislation that impact MedTech manufacturers. For example, the 2024 AI act is now in place, setting out the rules for the use of AI in MedTech for the first time. MedTech companies will need to adjust their practices to remain compliant. Finding leaders who can navigate regulatory frameworks adds another layer of complexity to the challenge of executive search.
More so than in other industries, leaders in MedTech must be able to see the big picture. It’s not enough that they are business minded. Finding visionary leaders who can drive technological innovation alongside commercial success can make or break a company, however these people are few and far between.
The best strategies for identifying top MedTech talent
As an executive search firm ourselves, of course we are going to recommend working with professionals! However, it isn’t enough to simply partner with anyone. Find an executive search firm that isn’t just industry specific, but also aligns with your own values. When you partner with the right people, they will understand your unique position, goals and strengths and apply that knowledge to the search. Not only that but growing a long-term relationship with a search partner creates even more understanding, and therefore opportunities to offer advice and guidance for a successful and future proofed talent strategy.
Don’t forget that while it’s a huge market, it’s a small world. MedTech is a global industry and talent acquisition should be treated with the same global perspective. Attending trade fairs and conferences can create connections with people that you otherwise would not have met.
Do your homework and stay on top of industry news by reading industry publications and keeping your eye on different sources. What companies are restructuring? What are the skills that are most in demand? What changes are coming up?
We also recommend that you work closely with universities and research institutions. This can help you build a pipeline of reliable talent to draw on when you need it.
The availability of big data can help identify trends in recruitment and analyze career patterns of the top talent. This can help you build a package that will be attractive in the current market.
The most effective channels for sourcing executive talent
We of course must mention social media, niche job boards, industry events and the importance of networking.
However, don’t forget to turn over rocks in other regulated industries. While MedTech is thriving, but suffering a skills shortage, other industries might be facing difficulties and therefore have talent looking for new opportunities. Encouraging lateral moves from executives who are experienced in navigating regulated industries and new technology, but maybe not working specifically in MedTech, can open up a whole new pool of talented individuals.
What role does compensation and benefits play in MedTech executive recruitment?
Compensation is a crucial part in attracting and securing the right talent. It’s not just about straight salary though. The top talent will look at the entire package, including flexible working options, healthcare, and the benefits included in any relocation package.
Don’t underestimate the value of executive development as part of your rewards strategy. Highly ambitious people are usually passionate about having more opportunities to learn.
In terms of the financial side, we often find that contract manufacturers are limited by lower budgets that fail to secure the right people. While CDMOs might feel they don’t have the margin to offer higher compensation, they must find a way to be able to offer the higher rates so that they can compete in the marketplace.
Diversity in MedTech executive talent acquisition
Women and minorities continue to be underrepresented in MedTech leadership roles. In the top one hundred MedTech companies, women hold only 23% of executive roles, and there’s a serious lack of representation of minorities in C-Suites, at only 3%.
I see this regularly. I recently recommended a woman I had interviewed as Director of Quality for a contract manufacturer, and it was so rare for a woman to apply for this role that even the client commented on it.
It is crucial that we push for more diversity in our industry to promote equality, and so that we can benefit from the perspectives and lived experiences that will better mirror that of the diversity found in end users.
Check the language you’re using in your job descriptions to ensure that it’s neutral and inclusive, and partner with organizations that promote leadership diversity in STEM fields. Working with a specialist executive search firm can also help connect MedTech companies with executives from underrepresented groups.
Building internal programs that support underrepresented talent in their rise to leadership roles will help you create a long-term strategy for a more diverse executive team.
Key negotiation strategies for securing executive talent
Once you have a candidate interested, you must find a way to ensure that they choose your opportunity rather than your competitors.
While it might be tempting to simply align your financial rewards to market expectations, look beyond a simple rewards package and offer benefits that are specifically tailored to them. Consider any unique personal or professional needs that you could provide support with.
Leave nothing up to chance and be really clear in your communication with a structured offer.
Beyond rewards and benefits, it is important to create a compelling vision of the future that the candidate can have with your organization. Show them the career path they could carve out, and the impact they could have, aligning the candidate’s values with the mission of the company.
MedTech is clearly suffering challenges in leadership recruitment, however there are plenty of talented individuals out there if you know where to look and how to attract them.
MedTech is clearly suffering challenges in leadership recruitment, however there are plenty of talented individuals out there if you know where to look and how to attract them.
Working with an executive search firm like W&W can give you access to a much wider global network of talent, transforming you into an attractive prospect for the greatest minds in our industry. If you’d like to find out more about working with us, give us a call or drop us an email today.
About the Author
Carsten Wortmann is Managing Partner of W&W Global Partners, an executive search boutique specializing in leadership roles within the global medical device contract manufacturing market. With over 25 years of professional experience in talent acquisition and strategic leadership consulting, Carsten is a recognized thought leader in the field. He is also a founding member of the Global Life Science Association (GLSA), where he plays an active role in shaping industry trends and fostering innovation in the life sciences sector.
