I have noticed a large uptick in the amount of surgeons getting paid by DJO to use thier hips and knees. At a recent meeting it was a common theme from people across the country. This isn't bitter reps looking for excuses for lost business. This is DJO converting business solely due to consulting deals. How is this sustainable and how is this not going to invite scrutiny by DOJ? I have had 3 surgeons in my area all tell me the same pitch they received from DJO to essentially start getting paid to use thier products.
It's the only way second tier companies can survive: Pay as many surgeons as possible, undercut everyone on price, and hope that volume can make up the difference.
Clearly DJO is an expert and a leader in innovation in the total joint space. This is how they have managed to convert so many surgeons. Couldn't be the money they are handing out....
The DOJ needs to look into the Arizona distributorship. Shannon pays docs to come and do talks or cadavers where only one doc shows up and the rest are reps and delivery personal just to get the docs business. He also pays for two of his surgeons/"friends" first class tickets and trips to Ibiza and Italy this year, and brags about it. Now he has picked up ONKOS and has docs paid who haven't even used it or done over 16 cases. Totally illegal and needs to looked into.
DOJ needs to look into DJO as a whole. They are leading off sales calls with telling surgeons they can sign them up as consultants. Surgeons getting royalties on empower knee when they didn't have any input or go to design meetings. I have seen first hand offers for consultanship to people who have never used the knee and aren't even real high volume guys. Offering fellows consultant deals before they even start practicing. These are facts about how they do business.
