The Velosity Engineering, Launch and Optimization Lab in Brooklyn Park, Minnesota [Photo courtesy of Velosity]
Medtech innovation is no longer driven by internal teams alone. The most successful companies increasingly understand that teaming up with others — particularly with contract manufacturers — results in greater innovation, enables the development of cutting‑edge technologies, expediates product launches, and scales operations to meet global demand.
Contract manufacturers are not just downstream suppliers, engaged late in the process and evaluated solely on cost. Instead, innovative OEMs understand that working together from the start gives them a powerful advantage. When guided by strong global strategies and a focus on speed‑to‑market, these collaborations become powerful engines for growth and differentiation.
There are five critical ways that early, deep collaboration with contract manufacturers can lead to greater success and innovation for OEMs.
1. DFM from day one
One of the most impactful ways contract manufacturers contribute to innovation is through early design for manufacturability (DFM) input. Manufacturing experts bring practical insight into material selection, resin choice, mold design, tooling strategies, and process engineering long before those decisions become too difficult or expensive to change.
Too often, OEM teams focus on proving technical feasibility without fully considering how a device will be produced at scale. That approach might work for early prototypes or limited runs, but it frequently leads to costly redesigns, tooling rework, and mid-program pivots later. Early collaboration allows manufacturability to be built into the design from the start, which reduces surprises and improves both performance and cost over the product lifecycle.
2. Accelerated time to market in a post-pandemic world
Post-COVID, it’s taking longer to get products to market. However, teaming up with a manufacturer can help ensure speed reminiscent of pre-pandemic times. That’s because since the pandemic, many OEMs have lost experienced talent or decentralized their teams, which can slow decision-making and new product launches.
Strategic contract manufacturing partners can help fill these gaps. These partners often have teams made up of experienced leaders from the OEM world, who are experts in areas like quality systems, regulatory pathways, and design controls. Bringing that expertise into programs early can help OEMs offset internal resource constraints, streamline activities and move faster with greater confidence.
3. Holistic and scalable product planning
The prototype is only the beginning of the innovation cycle. Contract manufacturers can help encourage OEMs to think more broadly beyond initial prototypes to long-term reduction, global launch considerations and lifecycle cost drivers.
Decisions made early like mold cavitation, materials, or regional manufacturing strategies can dramatically impact an OEM’s ability to scale profitably and support global launches. Thinking this way strategically at all levels can help ensure early decisions support future volumes and multi-site manufacturing.
4. Rapid iteration through flexible development pathways
Contract manufacturers can also improve efficiency by helping teams move faster from concept to launch by aligning design, manufacturing and program needs from the start. Rapid learning cycles and early feedback loops can also enable faster refinement before committing to large-scale investments.
Some partners enhance this through dedicated development environments such as the new Velosity Engineering, Launch and Optimization Lab, a hands‑on innovation center that mirrors production equipment and enables real‑time engineering collaboration and rapid iteration. The dedicated development equipment reduces functional sample lead times from four to six months down to two to three weeks, enabling faster iteration and early design validation. This approach accelerates manufacturability decisions, improves design refinements and shortens time-to-launch.
5. De-risking complex and novel technologies
Finally, manufacturers can improve overall innovation by navigating material and design change risks. This includes proactively managing material changes, tooling paths, supply chain resilience and change governance. Agreeing early on how to manage design evolution reduces scope creep and schedule risk.
One example is an injection molding partner we worked with who brought forward multiple tooling paths and approaches. This gave our development team an array of choices for prototype, bridge and commercial tools depending on timing of changes to concepts and designs. It also allowed for collaborative and flexible DFM activities earlier on, without being locked into using specific tools and parts throughout the development process.
Innovation takes off when OEMs move beyond transactional supplier relationships and treat contract manufacturers as their true strategic partners. The best partnerships are built on trust and include teams at every level working together, from executive leadership setting a portfolio vision to engineering and operations teams translating those ideas into a reality. When manufacturers are brought in early on, they not only share manufacturing expertise, but also fresh perspectives on design, the technology, and long-term feasibility, which leads to a better product from the start.
Additionally, OEMs that invest in these relationships experience stronger alignment across strategy, lifecycle management and long-term planning. This creates a foundation for continuous innovation, rather than a one-off success. When challenges inevitably come up, teams with strong relationships can resolve issues faster and more effectively. By bringing manufacturing partners into the fold early — and treating them as true extensions of the team — OEMs can unlock faster innovation and greater long-term success.
Velosity CEO Dave Hemink [Photo courtesy of Velosity]
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The opinions expressed in this blog post are the author’s only and do not necessarily reflect those of Medical Design & Outsourcing or its employees.
