Yesterday Boston Scientific announced a global restructuring program that is expected to reduce the company’s gross annual pre-tax operating expenses by about $115–$150 million by the end of 2020. With this also comes anticipated employee turnover and “targeted” headcount reduction, but the company also concurrently expects new job creation in certain growth areas.
“We are taking these steps to build on our momentum and meet the challenges of affordable health care around the globe,” said Mike Mahoney, chief executive officer and chairman of the board at Boston Scientific in a press release. “We will continue to invest in strategic growth opportunities that enhance our reach, capabilities and efficiency to sustain our global competitiveness.”
The program emphasizes the following: Developing global commercialization, technology and manufacturing capabilities in specific growth markets; implementing Boston Scientific’s plant network optimization strategy; and expanding operational efficiencies to support operating income margin goals.