Osteomed Corp.

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Anonymous said:
Is it true...the SAM program is finally done?

I bet the reps in the old SAM territories are loving it...told you so.

From what I hear, most of the SAMs were worthless.

If that's the case; who in management takes the blame?
Click to expand...

SAM was DOA. Never generated more than a couple of thousand in sales for each SAM territory. Reps were let go or given open territories. Manager sent packing. OM could have 5 SAM's in each big city and it would do nothing. The problem is/was not the existing big city reps, it's OM thinking they can get around GPO's and compete with the big boys with no support and smaller product line. Walt will admit this one day but by then OM will be Extremity only.
 






im curious about their CMF division lately. im in med device sales and know who they are. they are probably 4 or 5 in the market (synthes, stryker, kls, biomet). my curiousity has peaked because they just hired a former KLS rep, sean thompson, as the midwest regional manager. sean was KLS's sales rep of the year in 2005 and has had obvious great success with them. he either left KLS for OM because a.) they threw a ton of money at him b.) he sees potential in growing this division. a couple of questions, please answer with unbiased opinion....

do they have ANY niche products?
can they get biz on price alone?
can a good rep turn a bad territory into a decent/great one?
any chance of one rep selling the whole bag? (ortho & cmf)
 






I looked up the latest Sales Rankings for OM CMF (Q3 2010) and you are right almost all the SAMs had terrible #'s.

The Austin SAM was #13 in total CMF sales, but he is gone too.

Is it weird that OM doesn't publish full year sales rankings. I guess that wouldn't be good for morale, because you would be able to see how little everyone is making.
 






Anonymous said:
do they have ANY niche products?
can they get biz on price alone?
can a good rep turn a bad territory into a decent/great one?
any chance of one rep selling the whole bag? (ortho & cmf)
Click to expand...

1. No, everything is a "me too" product that is usually last to the market
2. No, highest priced and worst at discounting
3. No, competition and lack of contracts has put OM way behind in the market
3. No, OM eliminated the "Full Line" rep. To many specialties to call on. Hell, the CMF reps can't even sell the spine stuff, and they sell to neuro surgeons.
 












I read the last few posts and found them very amusing...OsteoMed is failing and has failed with so many personnel changes its hard to say exactly who is good and bad at there jobs.

Jim has cleverly surrounded himself with hand picked morons who are so pleased to have an RM job that they will agree with EVERYTHING he says. That isn't a bad strategy...you've got to hand it to him.

I worked there for 18 months and was fired because I couldn't get my territory going...I was in the wrong job. I just joined a med start up out of Indiana so we will see if i do any better this time?

From my experience, kendra was fired because she confused Jim and probably gave him a head ache so I understand that one.

Melissa's sales were sh*t so that is a no brainer

Raj was just not competent so I can see that one too

Jamie was in the wrong job period...he didn't have any passion for the OR or the products

the list goes on and on with why people come and go but regardless of the individuals OM has lost market share every year for 6 years with good / bad and indifferent employees.

the only consistency is senior management....WALT, TOBY and PHIL.

I'll let you figure pout the rest
 


















Are there any current OM reps responding on here, or is everyone past employee's. I'm considering taking a position with the CMF division and would like to hear some feedback from current reps.

I have a friend who is a OMS who swears buy the product. That being said the territory I'm looking to take over has hardly done ANY business from what I can gather.

This seems like any other tough job. Its all relationships!!

INSIGHTS??
 






Good products in CMF. Unfortunately, not any better than the competition who has better name recognition and resources. You can make money here.

Toby Miles is a great guy and so is Walt.

Unwillingness to participate in GPO's is a real issue in some markets. In others, you can negotiate local pricing.

Some territories are geographically huge, due to small market share. You will typically be competing against multiple reps from larger companies in your territory.

Battery powered screwdriver is ancient and does not compete with Stryker QuikDrive or any of the other co's screwdrivers. Some Surgeons will shut you out on that alone. Good news is that OM is re-designing theirs and is working on a self-feeding driver...like a deck screw gun. Both of those are more than a year out.

Some OM Reps make a lot of commission selling drill systems into dental offices. Recently OM has taken some of this away by transferring this responsibility to Ted Hout at Corporate ofc. Therefore potentially, commission potential would be decreased. Good and Bad...there is no commission on repairs even though they eat up a ton of time if you do a lot of power. OM power does not compete well in the OR, where Stryker dominates in most territories.

OM does not have a patient matched implant for cranioplasty that can be delivered sterile to the account. The current OsteoMatch requires ETO sterilization, which most hospitals have discontinued using. They are working on sterile. Stryker sells the same PMI implant and they can deliver it sterile. OM looking for a new manufacturer. We shall see, but this is usually not a large percentage of your sales as these cases are usually few and far between. it's nice when they do hit at $12k for the implant.

OM hangs their hat on the fact that each screw is microscopically inspected and de-burred by hand. I have seen it. It is impressive. It does work. But, if loaded properly, all other competitive screws stay on the driver just as well and obtain plenty of bone purchase.

OM 1.2mm screws have a tendency to break at the head of the screw if driven hard. Many senior reps will even suggest drilling the pilot hole with a 1.0mm bit, leaving only .2mm of bone purchase.

New CFx and Mfx trays are nice if you can get them. The instruments are all on top and the techs like that. Good selection of screw and plate options. Most of the same instruments as the competition.

Rapid prototyping is improving turnaround on customes and Surgeon developed IP, but still not competitive with larger competitors.

Angulated Locking technology is good, but you had better be in the Sx to make it go smooth. 2.0mm screw requires a 1.6mm screwdriver blade. They are working on it. Synthes allows you to drive just about everything with one screwdriver blade.

Field Management is an issue. The TX/OK/LA are has had three different Regional managers in the past 18 months. The RM's are promised large performance commissions based on unrealistic sales quotas.

OM misfired on the Strategic Accounts Management Program. Spent lots of $. Didn't gain much mkt share. Pissed off the older reps who lost accounts. Spent tons on Recruiters due to huge turnover.

If you are entering a territory that has no sales, you will find it difficult to penetrate most hospitals, because many Surgeons and hospital staff have ever heard of OsteoMed. Neurosurgeons will be difficult to convert, becasue all of the systems are similar and many of the large cases that involve other specialties, such as Plastics are dominated by other companies. Any new Surgeon that lands in your territory will have been trained on something other than OM, due to OM's under penetration of Level-1 and Resident Programs...most of which are headed by AO Faculty or consulting surgeons for a major company.

OM has a good portfolio of distraction osteogenesis products, but KLS dominates this arena. The training on DO is non-existant and the majority of the business is done in two markets, Cinncinatti and can't remember the other. Don't worry too much though, DO is only 5% of the total CMF mkt.

New AccuVue medical modeling is better than most competitors, but the new Materilise partnership with Synthes will rapidly leapfrog OM. You probably won't be getting any major reconstruction cases anyway, until you prove yourself on the small stuff.

Move into spine using distributors is misguided. Late to market with a spineous process clamp instead of buying an existing cervical plate and selling direct to the neurosurgeons who already like OM screws for crainis. Doesn't make much sense.

Keep your own phone. OM uses BlackBerry and you are not allowed to text msg. Make sure you give your customers your personal ph #, so when you leave OM they will still call you when you work for Stryker, Synthes, etc.

Quotas can be a bit heavy. The company has been flat in CMF for the last year, but at the ASM the projection for 2011 was +20%. Not sure how OM thinks this will he achieved with lower headcount. No new products. Management turnover. Unwillingness to hire top reps from direct competitors. Top Reps leaving and taking all the business with them (Calif).

Although OM didn't release final sales totals for 2010. At the end of Q3 the total CMF sales were were #1 Rep $576, #10 rep $345k, #20 rep $210k, #30 rep $114k, #40 Rep $48k. that's total sales, not what they took home.

OM has two pay structures. Presidents plan is 18% on all sales with no base. The other plan is a base between $40k and $60k with 10% commission. Both plans include $500 a month auto allowance, gas, and phone. Keep in mind that the percentage commission goes down if you discount product. If you are getting into a new territory with no sales...you many have to drop your pants to get in the door. #1 Rep had made $107,500 through Q3...projects to $213k annually. #10 made $66,600 through Q3...projects to $83,250. This is assuming both are on the President's Plan. keep in mind that once you go to President's there is no going back to base + commission. make sure your business is solid before ypou make the leap.

Ask for 60k base and max the draw; $20k over 6 months. If you are going into a territory without any existing business, you will need it.

Can be a good company to get your start in device sales or if you are between jobs. Not a lifelong career choice for most.
 












who are some of the top reps at om? How are they able to do well when it seems that most of the reps aren't making any money? for that matter, are these top reps even making any money?
 






Anonymous said:
I read the last few posts and found them very amusing...OsteoMed is failing and has failed with so many personnel changes its hard to say exactly who is good and bad at there jobs.

Jim has cleverly surrounded himself with hand picked morons who are so pleased to have an RM job that they will agree with EVERYTHING he says. That isn't a bad strategy...you've got to hand it to him.

I worked there for 18 months and was fired because I couldn't get my territory going...I was in the wrong job. I just joined a med start up out of Indiana so we will see if i do any better this time?

From my experience, kendra was fired because she confused Jim and probably gave him a head ache so I understand that one.

Melissa's sales were sh*t so that is a no brainer

Raj was just not competent so I can see that one too

Jamie was in the wrong job period...he didn't have any passion for the OR or the products

the list goes on and on with why people come and go but regardless of the individuals OM has lost market share every year for 6 years with good / bad and indifferent employees.

the only consistency is senior management....WALT, TOBY and PHIL.

I'll let you figure pout the rest
Click to expand...

I believe folks like you are the problem. Thanks for admitting that you were an utter failure in managing your territory in 18months. It is sad that you are judging others in the corporate. This sounds like a petty criminal testifying against honorable men and women in a court of law. Who the jury is going to believe ?
 






Anonymous said:
I read the last few posts and found them very amusing...OsteoMed is failing and has failed with so many personnel changes its hard to say exactly who is good and bad at there jobs.

Jim has cleverly surrounded himself with hand picked morons who are so pleased to have an RM job that they will agree with EVERYTHING he says. That isn't a bad strategy...you've got to hand it to him.

I worked there for 18 months and was fired because I couldn't get my territory going...I was in the wrong job. I just joined a med start up out of Indiana so we will see if i do any better this time?

From my experience, kendra was fired because she confused Jim and probably gave him a head ache so I understand that one.

Melissa's sales were sh*t so that is a no brainer

Raj was just not competent so I can see that one too

Jamie was in the wrong job period...he didn't have any passion for the OR or the products

the list goes on and on with why people come and go but regardless of the individuals OM has lost market share every year for 6 years with good / bad and indifferent employees.

the only consistency is senior management....WALT, TOBY and PHIL.

I'll let you figure pout the rest
Click to expand...

I believe the comments above are somewhat true and false. Lot of the corporate guys and including the sales have failed because of the senior management trio. My perception is that all the product managers were competent and hard working folks. Do you believe Cristi is a superstar ? She led the entire OM to believe that hand is the next big thing and guess what....it failed miserably. They siphoned off all the resources because Walt believed in them leaving no resources for the other groups like power& cmf . Power did not get a single dedicated engineer for the last 3 years and hand had 3 engineers at one time. Are you kidding me ?

Some come back to blame the PMs, TMs or RMs. Give the guys the authority and autonomy to deliver. Perception can lead to where OM is today because perception is not hard evidence and by the time perception falls flat ..harm has been done. OM needs an experienced and seasoned CEO who can pick the future trends from the BS. Most of the reps who did 250K plus...hats off to them. During my time Vanessa, Raj and Reese were rocking except Sarah and Kendra who were the show dolls. Even Tina was great with sales.
 












In 12 years with Osteomed what has Toby every brought to the table? Sales are flat or down for 3 years or more and Walt just replaces the VP, when does someone put his feet to the fire? And Phil? well his job is to try and keep as much $$ in addison.

Doc's look at OM and wonder whay they stoped bringing new products to market while everybody else has blown there doors off in the Foot & Ankle market. Name one unique thing in the OM SBO bag, Interphlex? Koby Gard?
 






From the OsteoMed Website

Surgeon Mtg/Training

SBO- Orlando World Center Marriott Resort

CMF- Addison Hilton Garden Inn

Hmmmm...where exactly is the focus and the money being made?

Oh, I forgot...spine is the obvious answer.
 






Top CMF Rep had $576k in sales thru 8 months in 2010.

If he/she is on "Presidents Plan" and is not discounting in any of his accounts:

$576k in total sales / 8 x 12 = $864k in total annualized sales X 18% commission = $155,520 + Car Allowance $6k

Total Compensation = $161,520


If you figure that many of the high volume reps in any med sales position really go out and round up outstanding PO's and push through deals at the end of the FY; maybe you can bump that to $186k.


Interestingly, if the same rep did not convert over to the "Presidents Plan" and stayed on the regular plan that most Reps start on:

$864k sales x 10% commission + $60k base salary = $6k car allowance = $152k

That's a lot of risk for an increase of only $9,520 in annual compensation. Especially since some top OM reps have 30% of their total sales tied up in one Surgeon.


Can anyone recall how many CMF reps were in the million dollar club at the annual sales meeting in Addison? At least the golf outing was better than the Chili Cook-off of 2009. Oh, don't be confused, it wasn't an actual round of gold, it was a trip to a driving range and a two drink limit.
 






Are you giving out too much info?

Ahhh, it's fun.

I took a look at the same numbers and the more interesting thing is that the #10 CMF rep, probably made just over $100k.

All the OsteoMed money is in SBO, but none of you CMF pukes are willing to work that hard.
 












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