health care and hospital service sector
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SERVICE SECTOR ANDSERVICE SECTOR AND
HEALTH CARE SECTORHEALTH CARE SECTOR
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BEFORE INDEPENDENCEBEFORE INDEPENDENCE
HEALTHCARE HAS BEEN BASED ON VOLUNTARY WORK
MEDICINAL PROPERTIES OF PLANT AND HERBS WAS PASSED FROM ONE
GENERATION TO ANOTHER
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AFTER INDEPENDENCEAFTER INDEPENDENCE
GOVERNMENT OF INDIA LAID DOWN A STRESS ON PRIMARY HEALTH CARE.
GOVERNMENT INITIATIVE WAS NOT ENOUGH TO MEET THE DEMAND.
ALTERNATE SOURCES OF FINANCE WERE CRITICAL FOR SUSTAINABILITY OF THEHEALTH SECTOR.
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ENTRY OF PRIVATE SECTORENTRY OF PRIVATE SECTOR
GOVERNMENT ON ITS OWN WOULD NOT BE ABLE TO PROVIDE MORE FACILITIES
FOR HEALTH CARE.
GOVERNMENT ALLOWED THE ENTRY OF PRIVATE SECTOR TO REDUCE THE GAP
BETWEEN THE SUPPLY AND DEMAND FOR HEALTH CARE.
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AND NOW
ONE OF THE LARGEST AND FAST GROWING SERVICE SECTOR.
REVENUES ACCOUNTS TO 5.2% GDP
EMPLOYS OVER 4 MILLON PEOPLE
BY 2012 REVENUE CAN REACH 6.5 TO 7.2% OF GDP
INDIA IS THE MOST PREFERED DISTINATION FOR HEALTH CARE AMONG THE
DEVELOPING COUNTRIES
Twenty eight for the destruction on the other side of that
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PRODUCTPRODUCT
Types of services
Line services
Supportive services
Auxiliary services
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ProductProduct
Line services:
1. Emergency services
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ProductProduct
Supportive services:1. Official laundry
2. Hospital medication
3. Blood bank
4. Pathology
5. Radiology
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ProductProduct
Auxiliary services:1. Temple & mediitation
2. 24 hr chemist
3. Security arrangement
4. SEWA
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PricePrice
Differential pricing strategy
Externally Internally
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PricePrice
Innovative pricing strategy:
Day care procedure
Delivering value
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PricePrice
Delivering value
Traditional approach
Modern approach
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PromotionPromotion
Personal promotion i.e. word of mouth
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PromotionPromotion
Impersonal
promotion:1. Press release
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PromotionPromotion
3. In-film placement
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PromotionPromotion
4. Check-ups through
campaign
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PeoplePeople
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The objective of providing quality service to patients can beThe objective of providing quality service to patients can be
achieved by:achieved by:
Motivating employees to be efficient, dedicated and loyal
to the organization.
Providing regular on-the-job training of employees to
ensure continuous improvement in health care
Utilizing services of professionally competent medical
consultants.
Use of the latest technology.
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ProcessProcess
Two different type of process for:
Outpatient.
Inpatient
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OutpatientOutpatient
Meeting doctor at
appointed time
Simple medication
Diagnosis
Treatment.
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Inpatient.Inpatient.
The intensive consumption
phase
Registration.
The arrival of patient.
Joining phase
Diagnosis.
Information about future
action
Treatment.
Detachment phaseDischarge of patient
&
payment
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Common WardCommon Ward
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Emergency RoomEmergency Room
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Health Care in India
India has 48 doctors per 100,000 persons
which is fewer than in developed nations
Wide urban-rural gap in the availability of
medical services: Inequity
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Health Care in India.
Poor facilities even in large Government
institutions compared to corporate hospitals
(Lack of funds, poor management, political
and bureaucratic interference, lack of
leadership in medical community)
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Health care in India
Prevention, and early diagnosis and
treatment, if feasible, are the most cost-
effective strategies for most diseases
Promoting healthy life style from early life is
a no cost intervention which needs to be
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Key players in Health care segment
Appolo Hospitals.
Group Healthcare.
Fortish Healthcare. Arvind Eye Hospital.
Max Hospitals.
Manipal Group ofHospitals.
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SWOT ANALYSISSWOT ANALYSIS
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STRENGTHSSTRENGTHS
Low cost of production
Specialization
Infrastructure and Efficient technologies
Large pool of skilled doctors
Low pricing in public hospitals
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WEAKNESSWEAKNESS
Highly fragmented leading to Price competition
The Indian pharmacy companies are marred by the price
regulation by NPPA
Competition for small healthcare centers
Cost of treatment is not affordable
Imitated Drugs
Rural Healthcare A cause of concern
Low share of India in World Pharmaceutical Production (1.2%
of world production but having 16.1% of world's population).
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OPPORTUNITIESOPPORTUNITIES
Largely untapped market.
Switching over from process patent to product
patent.
Growing incomes and Growing attention for
health. Global outsourcing hub for pharmaceutical
products.
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THREATSTHREATS
Containment of rising health-care cost
Threats from other low cost countries like China
and Israel exist.
The short-term threat for the pharmacy industry is
the uncertainty regarding the implementation of
VAT.
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THANK YOUTHANK YOU
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