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Identifying the optimal site and production network strategy in Mexico.

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PARTNERS IN GROWTH

A Global Medical Device Company Expands Operations in Northern Mexico
PROJECT
Multi-site start-up and expansion of manufacturing sites in Mexico
WHAT WE DID
Startup and expansion support services, consulting and strategic advisory
CLIENT
Global medical device and supplies manufacturer with 70,000 employees worldwide
TIMELINE
Initial start-up project in 2020, then 3 expansion projects at other sites in Mexico (2022-24)

PROJECT OVERVIEW

A leading global company in the medical device and healthcare sector recently its global operations by opening a new manufacturing facility in Hermosillo, in Northwestern Mexico.

The decision to establish this facility in this region was driven by the area's industrial strengths and workforce. It was a

Experiencing continued growth in the market, the company embarked on expansion projects for their other manufacturing facilities in Mexico, including in the cities of Juarez and Tijuana, both on the US-Mexico border.

The company is headquartered in the US and has operations in virtually all part of the world.

PRODENSA Expertise

Project Management Team

Ana Silvia Aguirre
TOUCH
ANA SILVIA AGUIRRE Operations Manager- Located in Hermosillo, Sonora
- PRODENSA leader since 2012
- Led +25 start-up projects in MexicoRead full bio
ANA SILVIA AGUIRRE Operations Manager
Alberto Loyola
TOUCH
ALBERTO LOYOLA PROJECT MANAGER- Located in Tijuana, Baja California
- Engineer well-versed in quality standards for aerospace and medicalRead full bio
ALBERTO LOYOLA PROJECT MANAGER
Elma Ochoa (1)
TOUCH
ELMA OCHOA PROJECT MANAGER

- Located in Mexicali, Baja California

- Background in Human Resources

- Supported +25 expansion projects in the region

Read full bio
ELMA OCHOA PROJECT MANAGER

THE CHALLENGE

In January 2020, the company, one of the top 10 medical device manufacturers globally, decided to separate some of their production processes, and house them in a separate facility. The primary goal was to identify a city that could support their growth plans, provide access to a qualified workforce, and facilitate a production ecosystem their their existing operations in Northwestern Mexico. Additionally, the company sought a site that could contribute to the local economy and generate specialized job opportunities as the Employer of Choice in the area.

 

THE SOLUTION

Despite the complexities of the ongoing global pandemic, PRODENSA's site selection process continued. After a thorough evaluation of various cities, the company selected Hermosillo, in the state of Sonora, as the site for their new manufacturing facility. Tenant improvements were completed by the end of 2020, and from June to December of that year, PRODENSA recruited and hired 800 employees for the operation.

By the end of 2021, PRODENSA had set up all administrative areas of the operation, including finance, human resources, import/export, and environmental health and safety. The total headcount landed at 1,600 by December 2022. 

PRODENSA's start-up team trained and transitioned the client's staff, and even some PRODENSA strategic team still works there today. The operation will focus primarily on manufacturing intravenous catheters for various medical applications, with the potential to expand into other areas as the company continues to grow.

With great results in the Hermosillo, PRODENSA's start-up team transitioned to Tijuana to support a 180,000 ft2 expansion of their operation, hiring an additional 50 employees at the site in 2022. Two years later, the team returned to support another 120,000 ft2 of development at the facility. This time adding over 400 new jobs. 

For a sterilization operation expansion in the city of Juarez, in the state of Chihuahua, PRODENSA added local team to complete the goal. PRODENSA's team managed stakeholder communications, consulting and strategic EHS permitting for the expansion. 

PRODENSA's presence, not only in the zone but also the country, allowed the client to make an objective decision about the location of their new facility. Additionally, PRODENSA's leadership and expert methodology was applied to the client's multi-site strategy, adding value as their Partners for Growth in Mexico.

SUCCESS STORY

THE IMPACT

Job Creation

Since 2020, PRODENSA has supported the client's creation of +2,000 jobs in Northwestern Mexico. In each of the cities in which they operate, they are contributing to the local economy and creating opportunities for specialized positions in the medical manufacturing field.
Economic Growth
The new operation will have a ripple effect on the regional economy, supporting local suppliers and service providers, while positioning the region as a leader in the medical device industry.
Industrial Development
The company’s investment in Hermosillo further reinforces the region's industrial strengths, contributing to the growth of the medical manufacturing sector in Northern Mexico.

THE REWARD

PRODENSA is proud to have supported our client in the successful transition and growth of their footprint in Mexico. We congratulate them on the 2021 Corporate Award for Best Manufacturing Site for their Hermosillo facility. 

#PartnersInGrowth

 

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