Surgical Instrument Tracking System Market Size

Global Surgical Instrument Tracking Systems Market Overview

The surgical instrument tracking systems market size was valued at USD 0.25 billion in 2022 and is projected to grow from USD 0.278 Billion in 2023 to USD 0.66 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 11.5% during the forecast period (2023 - 2032). Rising need to meet FDA unique device identification mandates, requirement for better inventory and asset management practices, and growing medical device and surgical instruments markets are the key market drivers enhancing the market growth.

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

In January 2024, Censis Technologies, a global leader in surgical asset management technology, announced the launch of its latest system called the “CensisAI2 Instrument Recovery” system. This is an AI-based interactive data platform that aids in several surgical instrument tracking operations, such as sterilizing the surgical instruments, reducing the instrumentation costs, improving surgical efficiency and automating interdepartmental collaboration activities.

June 2023: TEDCO (Maryland-based company) aimed to revolutionize the field of surgical systems. It declared USD 500,000 seed investment funds into Galen Robotics Inc. The purpose behind this was to come up with improvements and innovations in surgery assistive technologies, such as advanced surgical instrument tracking systems, making them more efficient for operational purposes during surgeries.

For example, BD introduced a new robotic track system for its BD Kiestra microbiology laboratory solution in January 2023. This automates specimen handling by reducing manual labor and result time. The track-based configuration eliminates manual sorting and walking, ensuring culture integrity and streamlined workflows.

SAVI (Semi-Automated Vision Inspection) was developed in January 2023 in partnership with Google Cloud and Johnson & Johnson MedTech to revolutionize the process of identifying and organizing surgical instruments, which can ultimately reduce the number of delayed surgeries, lessen the burden on surgery schedules as well as improve patient safety. SAVI makes use of Google Cloud machine learning tools to automate examination and monitoring of surgical instruments

HID Global acquired Vizinex RFID in September 2022. HID Global increased its presence and relevance across key vertical markets, including healthcare/medical, while also adding valuable technology to its industry-leading portfolio of RFID tags.

Surglogs launched Sterile Processing Records in April 2022, which tracks sterilization loads for any kind of healthcare facility.

Getinge AB, together with Intelligent InSites Inc., created the T-DOC 2000 Surgical Tool Traceability System in year 2021. From reprocessing through inventorying and logistics up to usage, the system spans the sterile supply workflow of instruments, consumables and implants.

Vizinex RFID announced the launch of Flexible 6012 and Flexible 6027 RFID tags in July 2020. These are versatile, resilient, IP67-rated RFID tags that are ideal for tracking a wide variety of assets within indoor environments. With this kind of RFID tags, factories, hospitals, data centers or offices can make asset tracking simple at low cost.

Surgical Instrument Tracking Systems Market Trends

• Need to meet FDA Unique Device Identification mandates to boost market growth

The FDA's Unique Device Identification (UDI) mandate requires medical device manufacturers to uniquely identify and track their products throughout their distribution and use. This mandate has created a need for surgical instrument tracking systems that can comply with the UDI requirements and help hospitals and other healthcare facilities manage their inventory of medical devices. Surgical instrument tracking systems are designed to track the usage and location of surgical instruments in real-time, providing visibility into the inventory of medical devices and facilitating better inventory management. These systems can also help to reduce the risk of medical errors by ensuring that the right instruments are used for the right procedures. With the FDA's UDI mandate driving the need for more robust tracking systems, the demand for surgical instrument tracking systems is expected to grow. The market CAGR is likely to be driven by healthcare providers seeking to comply with the UDI regulations, as well as by the potential benefits of improved inventory management and patient safety.

Manufacturers are mandated to monitor surgical instruments—from producing through the distribution chain. Device tracking is used to make sure that instrument manufacturers set up tracking systems that will allow them to quickly find devices in commercial distribution. The market for surgical tool tracking systems is anticipated to expand as a result of the US FDA's (Food and Drug Administration) proposed UDI (Unique Device Identification) requirements. Manufacturers, resource, specification developers, re-packagers, and relabelers of surgical instruments are required to apply direct marking at the individual instrument level to comply with the UDI standards. Surgical equipment classified as Class I devices had to fully adhere to these FDA regulations until September 24, 2020. The time was then changed to September 24, 2022, though. Also, labelers must report data to the FDA's GUDID regarding each device ( Unique Device Identification Database). For all devices, this database acts as a reference catalogue. This drives the surgical instrument monitoring systems market revenue.

Additionally, developing nations like China and India as well as the Middle East, Central America, and Southeast Asia are projected to offer significant growth prospects for companies that make surgical instrument tracking systems. Healthcare market businesses in these economies may have opportunities for expansion due to rising healthcare spending and infrastructure. In order to comply with the new Unique Device Identification (UDI) tracking regulations set forth by the U.S. FDA, surgical instrument monitoring systems enable automatic identification of medical equipment, including instruments. The need for compliance-enabling solutions, like surgical instrument tracking systems, is anticipated to increase as the number of devices subject to UDI continues to rise. The regulatory standards for traceability from manufacturer to patient have also been established by a number of other governmental agencies.

Surgical Instrument Tracking Systems Market Segment Insights

Surgical Instrument Tracking Systems Components Insights

The market segments of surgical instrument tracking systems, based on components, includes hardware, software, and services. The hardware segment held the majority share in 2022 contribution to significant share in respect to the surgical instrument tracking systems market revenue. Hardware technical advancements like RFID chips and barcode tags have a significant impact on the use of these systems for inventory management and surgical instrument management. For instance, the Wyss Institute at Harvard University has developed a technique to embed RFID chips onto metal surgical equipment using a vapor deposition procedure and biocompatible sealant.

Surgical Instrument Tracking Systems System Type Insights

The surgical instrument tracking systems market segmentation, based on system type, includes barcode tracking, and radio frequency identification. The barcode tracking segment dominated the market in 2022 and radio frequency identification is projected to be the faster-growing segment during the forecast period, 2022-2030. The most popular tracking technology is barcode, and the growth of this technology in the medical device sector is a major factor in the market's high revenue share for this technology. Due to its benefits, which include inexpensive costs, a durable design, and 360° readabilities, 2D barcodes—such as data matrices and QR codes—are increasingly being utilized.

Figure 1 Surgical Instrument Tracking Systems Market, by System Type, 2022 & 2030 (USD Billion)

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Surgical Instrument Tracking Systems End User Insights

The surgical instrument tracking systems market data has been bifurcated by End User into hospitals, others. The hospitals segment dominated the market in 2022 and is projected to be the faster-growing segment during the forecast period, 2022-2030. This is attributable to hospitals' increasing use of surgical device monitoring solutions for inventory control and tracking of medical equipment during work cycles like surgery and sterilisation. For instance, the usage of the IMPRESS instrument management system by St. Joseph's Hospital and Medical Clinic in Arizona has allowed it to yearly save more than USD 1.0 million on costs associated with instrument repair, refurbishment, and purchase.

Surgical Instrument Tracking Systems Regional Insights

By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. North America Surgical Instrument Tracking Systems market accounted for USD 0.11 billion in 2022 and is expected to exhibit a significant CAGR growth during the study period. One of the main causes of this region's dominance is the U.S. FDA's establishment of the UDI system for the efficient identification of medical devices and instruments. Additionally, it is projected that the region's market would increase due to the presence of a highly established healthcare infrastructure and the quick uptake of cutting-edge products and technology.

Further, the major countries studied in the market report are The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2 SURGICAL INSTRUMENT TRACKING SYSTEMS MARKET SHARE BY REGION 2022 (%)

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe surgical instrument tracking systems market accounts for the second-largest market share due to the rising investment in healthcare sector, growing investment in surgical instrument products and rising technological advancement and development. Further, the Germany market of surgical instrument tracking systems held the largest market share, and the UK market of surgical instrument tracking systems was the fastest growing market in the European region

The Asia-Pacific Surgical Instrument Tracking Systems Market is expected to grow at the fastest CAGR from 2022 to 2030. This is due to untapped potential in this region. Additionally, it is anticipated that throughout the course of the forecast period, the number of surgical procedures will rise along with the fast-evolving healthcare infrastructure in Asian nations like China, Indonesia, and India. In the coming years, it is also projected that the development of technologically enhanced hardware and software solutions would increase the use of surgical instrument tracking devices. Moreover, China market of surgical instrument tracking systems held the largest market share, and the India market of surgical instrument tracking systems was the fastest growing market in the Asia-Pacific region

Surgical Instrument Tracking Systems Key Market Players & Competitive Insights

Major market players are spending a lot of money on R&D to increase their product lines, which will help the market of surgical instrument tracking systems grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the surgical instrument tracking systems industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

One of the primary business strategies adopted by manufacturers in the  surgical instrument tracking systems industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, surgical instrument tracking systems industry has provided solution with some of the most significant benefits. The surgical instrument tracking systems market major player such as Steris PLC (Ireland), Fortive Corporation (US), Getinge AB (Sweden) and others are working to expand the market demand by investing in research and development activities.

Steris PLC was established in 1985 and its headquarters is in Basingstoke, United Kingdom. An Irish-based manufacturer of medical equipment named Steris Corporation is focused on providing the US healthcare system with surgical and sterilizing products. The company provides its customers with a distinctive combination of innovative capital equipment products, such as sterilisers and washers, surgical tables, lights, and equipment management systems and connectivity solutions, such as operating room integration; consumable products, such as detergents and gastrointestinal endoscopy accessories, dental instruments, and other products; and services, such as equipment installation and maintenance, microbial reduced of medical devices, instrument and sanitization services, and instrument and sanitization services. The employee size of the company is 10,001+ employees ly. In Nov. 2020 STERIS plc. acquired Key Surgical. With this acquisition, STERIS's product portfolio and  reach are strengthened, complemented, and extended.

Also, Fortive Corporation was established in 2016 and its headquarters is in Everett, Washington, United States. The company is an American industrial technology conglomerate. In July 2016, the company was separated from Danaher. The founders of Danaher, Mitchell Rales and Steven M. Rales, continued to serve on the board of Fortive long after the company split. The company provides wide range of solution and services such as advanced healthcare solution, intelligent operating solution, precision technology and more. The employee size of the company is 10,001+ employees. In Nov. 2019, Fortive Corporation annouced the acquisioton of Censis Technologies to increase its SaaS-based surgical instrument tracking and processes solutions for sterile processing department (SPDs) of hospital services and ambulatory surgical centres.

Key Companies in the surgical instrument tracking systems market includes

• Getinge AB (Sweden)


• Becton Dickinson and Company (US)


• Fortive Corporation (US)


• Braun Melsungen AG (Germany)


• Steris PLC (Ireland)


• Stanley Black & Decker Inc. (US)


• Material Management Microsystems (US), among others

Surgical Instrument Tracking Systems Industry Developments

Aug. 2021 SATO collaborated with Xerafy to bring innovative metal skin radio frequency identification (RFID) tags to the automotive, and production markets, through its RFID-enabled printers.

July 2020 Flexibility in mounting, durability, and IP67 rating make the Flexible 6012 and Flexible 6027 RFID tags from Vizinex RFID (US) perfect for tracking many different types of assets in enclosed spaces.

Surgical Instrument Tracking Systems Market Segmentation

Surgical Instrument Tracking Systems Components Outlook

• Hardware


• Software


• Services

Surgical Instrument Tracking Systems System Type Outlook

• Barcode Tracking


• Radio Frequency Identification

Surgical Instrument Tracking Systems End User Outlook

• Hospitals


• Others

Surgical Instrument Tracking Systems Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America