Project Icarus
The beginning of Project Icarus started with a series of events in late 2021 and early 2022 that directly impacted the core business, medical diagnostic laboratory services, of the precursor to Open Lab Solutions, and opened up opportunities that Project Icarus seeks to address and capitalize upon. During the early months of the CoViD-19 pandemic, numerous companies across the healthcare industry had experienced supply chain shortfalls; however, nearing the 2-year anniversary, another wave of issues caused shortages that began to severely impact the medical diagnostic laboratory spaces at the end of 2021.
The first event in the series occurred on Tuesday, November 23rd, 2021, when a shipment of 96-deep well molecular extraction plates was delivered. Receiving such a delivery was not uncommon; however, this particular product was ordered from a vendor in June... of 2020. Putting aside the fact that this vendor did not call to confirm if the product was still needed and shipped it regardless, it had taken 18 months for this product to be stocked in sufficient quantities which allowed our order to finally be fulfilled. Eighteen months. Yes, the core business had experienced difficulties in sourcing supplies throughout the pandemic, but this was the first time something of this magnitude had happened.
While the 18-month-old order was well received, it did show that the healthcare supply chain was not healthy, and the second event only served to underscore the systemic problems it was facing. In early December, notices were received from 5 different vendors that vacutainers, the most important supply needed in blood testing, were all now on allocation. This classification signaled that larger contract orders were going to be filled and then anything remaining would be allocated for sale on a first-come, first-serve basis. As our core business was not a large customer with a contract order this meant that we were in the "first-come, first-serve" portion of the allocation, and we were not going to be receiving our supplies on time. The first effect was felt in late December when we were left with only 2 days of blood draw supplies, and that the following Monday would be our last day for blood draw operations. Thankfully, due to eBay, the necessary supplies were procured at an excessive price markup; however, the supplies were needed, and though they were expiring within 12 days upon receipt, it allowed our operations to continue. Unfortunately, this was not the only time that this issue was faced, and it was worsened when additional products were added to the "allocation list" beginning in January of 2022. To source enough supplies to maintain operations the staff was forced to utilize eBay on 8 occasions.
Through mid-2022, basic supplies like vacutainers, blood auger plates, reagents, pipette tips, and various other items were all ultimately listed on the "allocation lists," and without access to a dependable source for these products, the long-term operational viability of the core business was in jeopardy. Thankfully, by June of 2022, most of these issues were resolved; however, it was during this time that the vision of Project Icarus came together. Ultimately, the process started with a deep research project that looked into the issues still facing the healthcare supply chain. This included meetings with elected officials and their staffs, various government agents, and the direct suppliers that experienced the issue. This research resulted in uncovering a very straightforward issue plaguing the healthcare supply chain: an overdependence on foreign manufacturing.
Planning for Project Icarus began in April of 2022, and it focuses on three key elements:
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Creating a targeted planned product portfolio that addresses the critical needs of medical diagnostic laboratories.
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Identifying and selecting an initial site for the manufacturing facilities needed to begin production on the new product catalog.
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Partner with and/or acquire companies that complement the initial, and long-term growth strategy for the new product catalog.
An integral part of Project Icarus was the creation of a new division that would be responsible for cultivating, developing, and designing the new product catalog offerings. AMCAR Scientific is the new division that was started, and it is one of the four primary areas that Open Lab Solutions is focusing its future growth around.
Project Icarus began site surveys for the location of its first manufacturing facility in April of 2022. Four sites were added to the selection list in April of 2022, and another two locations were added in June of 2022. The locations being considered are:
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Allen, Texas (Added 04/2022)
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Kansas City, Kansas/Missouri (Added 06/2022)
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McKinney, Texas (Added 04/2022)
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North Las Vegas, Nevada (Added 04/2022)
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Phoenix, Arizona (Added 04/2022)
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Tulsa, Oklahoma (Added 06/2022)
By the end of January 2023, the site selection process had narrowed the list down to three locations: McKinney, Texas; Phoenix, Arizona; and Tulsa, Oklahoma.
In August of 2023, Project Icarus chose a site location in Tulsa, Oklahoma that would provide the required space with which to build the first of its manufacturing plants. This space also provided an on-site office environment that would allow adequate growth of both front- and back-office services. While a "Request for Proposal" was issued, and an initial "Term Sheet" was received, ownership of the facility changed their plans for the site, and it was unfortunately no longer available at this time.
Due to the loss of the chosen site, the Selection Committee returned to the list of other facilities in the original three locations and resumed the search for the best site for the first facility.
Through an extensive review process, it was determined that Tulsa, Oklahoma still afforded the best options for Project Icarus. As of March 2024, two properties in the area have been identified and are being evaluated for short- and long-term growth potential. Additional information will be added and updated as events continue to progress for Project Icarus.