Stryker Europe Indirect Channel Policy

Stryker Europe has established this Indirect Channel Policy to ensure that any event conducted by an Indirect Channel (a “Company Event”), any support given by an indirect channel for educational and promotional activities involving HealthCare Professionals, such as company events, Third Party Organised Educational Conferences (“TPEC”) and Third Party Organised Procedure Training (“TPPT”) (and together, “TPE”) in addition to any educational items and gifts provided by an indirect channel align with Stryker’s value of integrity and adhere to all applicable legal and ethical requirements. 

“Indirect Channel” means any independent third party that sells, resells, or assists in selling or reselling any products manufactured or distributed by Stryker before those products reach the end customer, and which receives a fee, commission, discount or other payment for such services from Stryker. The following are examples Indirect Channels : Independent Commission Agents, Distributors, Dealers and Resellers.

1.  Key Principles
1.1 All the promotional and educational activities supported by an Indirect Channel must be:

  • Compliant with Laws and Policies, including Stryker policies and procedures, hospital policies and codes of ethics in the country or jurisdiction in which an involved Healthcare Professional (“HCP”) or Government Official (“GO”) resides, e.g. the MedTech Europe, Code of Ethical Business Practice.  Where a difference in requirements exists, the more restrictive of the requirements shall apply.
  • Objectively necessary. The legitimate business purpose cannot reasonably be achieved without such support for TPEs.
  • In line with public expectations, considering the image and perception of Stryker, the Indirect Channel and the MedTech industry.
  • Consistent with a fair market value, considering the reasonable commercial or fair market value for the support.
  • Transparent. The Indirect Channel shall follow all applicable laws, regulations and professional codes as they relate to transparency.
  • Not be made for an improper purpose that is, used to influence, or attempt to influence, through undue or improper advantages, purchasing decisions, nor can such interaction be contingent upon or used as a reward or gesture of thanks for sales transactions, use or recommendation of Stryker’s products.
  • Documented.

 

Company Events

1. General Criteria for Company Events
1.1 Any Company Event considered for support by the Indirect Channel must meet the following requirements:

  • Focused on objective medical, scientific and educational content in a field of interest to Stryker, such focus to be reflected in the meeting program/agenda.
  • No recreation and entertainment. A Company Event must not include leisure, recreation, tourism, or entertainment activities. Such activities must not be paid for or arranged by the Indirect Channel.
  • Appropriate location and venue. The location and venue selected should not be a central feature or main attraction of the event and should be considered in the context of (potential adverse) public perception as well as the season of the event (the selected time of the year must not be associated with a touristic season for the selected geographic location). Generally, the event location (city and country) and venue of the event should be centrally located to the place of residence of the majority of the participants and should provide ease of travel access to the participants (i.e., major airport, direct flights to most major airports). The location should be commonly and primarily known as a recognised centre for business or science and education.
  • Examples of potentially inappropriate venues are: top tier hotels, recreational or sporting venues, stadiums, golf courses, tourist attractions, bars, night clubs, boats or ski, spa or resort venues.
  • Any service or product needed for the activity must be paid at a reasonable commercial or fair market value. Payments must be proportionate to the overall cost of the event.
  • All the travel and accommodation scheduled should be in accordance with what is set out in Indirect Channel HCP/GO Travel & Hospitality Policy exhibit.
  • Upon request, the Indirect Channel shall provide to Stryker all documentation related to its Company Events.

 

2. Payment

2.1 The Indirect Channel shall implement suitable financial controls to ensure that any payment or provision of in-kind support is properly documented. Such documentation would include: name, dates, location and venue of the event; agenda of the event showing, location, topics and speakers; budget estimation with the total amount of the support; name of the HCPs participating in the event and hospital; travel dates and accommodation details; evidence of compliance with transparency requirements /employer notification.

2.2 No payment shall be made in cash. 

 

Third Party Organised Event Support

1. General Criteria for TPE Support
1.1 Any TPE considered for support by the Indirect Channel must meet the following requirements:

  • Conducted by a genuine Conference Organiser which can be a Healthcare Organisation (“HCO”) such as a professional association, or commercial conference organizer that is independent of Stryker. When a Conference Organiser outsources the collection of sponsorship funds to a third party, such as an event organiser, steps should be taken to ensure that there is sufficient transparency with the Conference Organiser on the nature and level of Stryker’s support (e.g. through contract or the existence of publically available documents/websites).
  • Focused on objective medical, scientific and educational content in a field of interest to Stryker, such focus to be reflected in the meeting program/agenda.
  • Independent from the Indirect Channel and/or Stryker. The Conference Organiser must be independently responsible for determining the program content, the selection of faculty members and educational methods and materials.
  • Limited recreation and entertainment. Any leisure, recreation, tourism, or entertainment activities in the agenda must be subordinate to the overall scientific content and separated from the educational programme. Costs should be paid separately by attendees.
  • Appropriate location and venue. The location and venue selected should not be a central feature or main attraction of the event and should be considered in the context of (potential adverse) public perception as well as the season of the event (the selected time of the year must not be associated with a touristic season for the selected geographic location). Generally, the event location (city and country) and venue of the event should be centrally located to the place of residence of the majority of the participants and should provide ease of travel access to the participants (i.e., major airport, direct flights to most major airports). The location should be commonly and primarily known as a recognised centre for business or science and education.
    o  Examples of potentially inappropriate venues are: top tier hotels, recreational or sporting venues, stadiums, golf courses, tourist attractions, bars, night clubs, boats or ski, spa or resort venues.
  • Sponsorships paid at a reasonable commercial or fair market value to the Conference Organiser. Payments must be proportionate to the overall cost of the event and should not be made directly to individuals.
  • Where applicable, has approval via the MedTech Conference Vetting System (CVS). The CVS applies to international TPEs that have participants from more than one country.
  • Upon request, the Indirect Channel shall provide to Stryker all documentation related to its TPEs.

 

2. Types of allowed support
2.1 The following common types of support to TPEs are permissible:

  • General Sponsorships and promotional activity. Payments or the provision of products in kind to the organizer of a TPE. In return the Indirect Channel may receive use of a booth space for Stryker product displays, advertisement space, symposia/workshop (see also ‘Satellite Symposia’ below), sponsorship recognition and branding opportunities. The overall image of promotional activities must be professional at all times.
  • Satellite Symposia. Indirect Channel may purchase satellite symposia packages at TPEs to provide presentations on subjects that are consistent with the overall content of the event. The selection of the faculty (person providing the presentation on behalf of Indirect Channel) is the responsibility of Indirect Channel and he/she might be directly supported to attend the TPE (registration fee, travel and/or accommodation, where appropriate).
  • Direct sponsorship of the attendance of HCPs to TPEs. All of the circumstances below must be observed:
    o  The event must be a TPPT (E.g. hands-on clinical training)
    o  The selection of the HCP is based upon explicit training and educational needs identified in good faith and the Indirect Channel must not be aware of any issues of integrity or independence related to the HCP. The selection must be made at arm’s length. As a general rule, the HCP must reside in the country in which the TPEC is held, unless (1) the majority of the participating HCPs do not reside in the country in which the TPEC is held, or (2) the educational requirements of the HCP can only be met at a TPEC outside the HCP’s country of residence;
    o  All requirements regarding HCP interaction transparency and/or HCP employer notification are followed; and
    o  Proposed support is restricted to (a) the conference registration fee excluding any entertainment, recreation, social or tourism components; and (b) reasonable travel, accommodation and hospitality costs in accordance with what is set out in the Indirect Channel HCP/GO Travel & Hospitality Policy exhibit.
  • Educational grants. means provision of funding, products or other in kind support to a Healthcare Organisation (e.g. scientific societies, hospitals, event organizers) by or on behalf of a the Indirect Channel on a restricted basis for use solely for the support and the advancement of genuine medical education of Healthcare Professionals, patients and/or the public on clinical, scientific and/or healthcare topics relevant to the therapeutic areas in which the Indirect Channel is interested and/or involved. All of the circumstances below must be observed:
    o  Educational grants must be provided directly to a qualifying Healthcare Organisation, never to an HCP personally.
    o  Educational grants shall not be provided in response to requests made by HCPs unless the HCP is an employee or officer of the qualifying organisation or entity and submits the request in writing on behalf of the qualifying organisation or entity.
    o  All educational grants must be appropriately documented by the Indirect Channel.
    o  Moreover, educational grants shall only be provided in response to a written request submitted by the requesting organisation or documented initiative containing sufficient information to permit an objective evaluation of the request.
    o  The Indirect Channel shall implement an independent decision-making/review process to identify, prevent and mitigate against potential bribery and corruption risks arising in connection with the provision of an educational grant to a specific prospective recipient.

3. Payment

The Indirect Channel shall ensure that payments to TPE organizers are only be made if the following documentation is obtained: (a) a  written request from the TPE organizer that includes an assessment of how the sponsorship value has been calculated, (b) a budget from the TPE organizer detailing conference costs, and (c) a written
agreement containing the FCPA and MedTech Code language found in Section 5 of the Distribution Agreement that is signed by the Indirect Channel and the TPE organizer.

3.2 The Indirect Channel shall implement suitable financial controls to ensure that any payment of TPE support or provision of in-kind support is properly documented. Such documentation would include:

3.2.1 TPE support: Name, dates, location and venue of the event; agenda of the event showing, location, topics and speakers; budget estimation with the total amount of the support; information regarding the organising entity such as a printout from the relevant government companies register and organisational information from the organiser website; and a published price list or letter from the TPE organizer requesting Stryker’s support and clarifying recipient of payment and type of support. Alternatively a draft contract of the support.

3.2.2 Direct sponsorship: Name, dates, location and venue of the event; agenda of the event showing, location, topics and speakers; budget estimation with the total amount of the support; information regarding the organising entity such as a printout from the relevant government companies register and organisational information from the organizer website; name of the HCP and hospital; travel dates and accommodation details; evidence of compliance with transparency requirements /employer notification.

3.3 No payment to an HCP or to a TPE organizer shall be made in cash.

3.4 All payments must be made to a registered bank account for payment in the country of residence of the recipient or any nominative payment method generally accepted. 

 

Educational Items and Gifts

1. General Criteria for Educational Items and Gifts

1.1 Any Educational Item and Gift considered by the Indirect Channel must meet the following requirements:

  • The Indirect Channel may occasionally provide inexpensive, branded or non-branded items as Gifts to HCPs if they are modest in value and relate to the HCPs practice OR benefit the patients OR serve as a genuine educational function. Also the Indirect Channel may occasionally provide educational items (e.g. Presentation equipment such as laser pointers or USB drives with product information), medical and scientific literature, sawbones, anatomic models and charts).
  • Gifts must never be in the form of cash or cash equivalents (e.g. Gift certificates /cards, coupons, store vouchers, book tokens) under any circumstance. Other examples of unacceptable items are: non-medical literature, lavish food and beverage, pralines, wine or similar, perfumes, body care products, gift or holiday baskets, toys, knifes, watches, sports articles, kitchenware, decorative articles, collectibles, flowers (except for the occasion of a funeral), clothing and apparel (not practice related), leather ware or entertainment tickets
  • Items that are primarily for use in the home or car are not appropriate, even if they can also be used in the HCP’s practice or used for the benefit of patients.
  • The Indirect Channel may not provide Gifts to HCPs to mark significant life events such as a marriage, birth or birthday, graduations, doctorates, professorships or
    professional anniversaries. However, in case of death of the HCP, it may be appropriate to provide a tasteful gift, such as flowers, as a mark of respect.
  • The Indirect Channel may not provide Gifts in response to requests made by HCPs.