Download - Aravind hospital
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SPECIAL REPORT: INDIA
THE ARAVIND EYE HOSPITAL
Photo Source: http://www.aravind.org/clinics/images/aehmdu.jpg
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Photo Source: http://www.youthkiawaaz.com/wp-content/uploads/2010/12/indian-poverty.jpg http://3.bp.blogspot.com/__JnNp-RKWjw/TRgku5w2K8I/AAAAAAAAAkk/z5MjuoYDXlQ/s1600/poor_indian2.jpghttp://1.bp.blogspot.com/_vgEEh8HDcx8/TKtFLvq1kCI/AAAAAAAAAb0/ZxgIuPFGwRI/s1600/poverty_india.jpghttp://2.bp.blogspot.com/_DAYI2LBqL8g/TRkuTDZkKwI/AAAAAAAAAD4/6Any2b6WaY4/s1600/indian_poor_kids_baby.jpg
POVERTY Social Issue in India
260.3 M below poverty line
75% poor
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Universal Health Care System
Operated by the government, alone cannot meet health needs
reasons: growing population, low per capita income, inadequate infrastructure, aging population, illiteracy
For the poor, at the taxpayer's expense Few medical practitioners, inefficient
hospitals, poor quality medical service
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Avoidable Blindness
Rapidly escalating Cause of concern in the healthcare scenario 45 M suffer worldwide 12 M are indians;
80% (9,600,000.00)-POOR Common cause is Cataract: 62.6%
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“ Intelligence and Capability are not enough. There must also be the joy of doing something beautiful. Being of service to God and Humanity means going well beyond sophistication of the best technology, the humble demonstration of courtesy and compassion to each patient.”
- Dr. Govindappa Venkataswamy
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Dr. Govindappa Venkataswamy
Affectionately known as Dr. V
Born Oct. 1918; died at age 87
MD at the Stanly Medical College
Joined Indian Army to practice Obsterics
Photo Source: http://4.bp.blogspot.com/_z4f5Utuf6qM/TRrKmse1mPI/AAAAAAAAAOs/8EK8QOMzFzQ/s320/Dr.v.jpg
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Dr. V
Crippling disease, degenerative RA, shattered his ambition
Chose new dream: passion to eradicate needless blindness
“If McDonald's can sell billions of burgers and Coca Cola billions of sodas, why can't I sell millions of sight – restoring operations”
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Dr. V
Age 58, formed the Govel Trust, non profit trust Started an 11-bed hospital, Aravind Eye Hospital
5 beds for pay, 6 beds for free Mortgaged his house and jewelries
Consults free for poor (2/3), 50 R's (1 US$) Subsidized rate: 750 R's (15 US$),
pay patient as 3500. R's- 6000. R's Profit from one pay-patient, covers 2 who cannot
pay
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Aravind Eye Hospital
11-bed (1976) 1500-bed (1992) 95,000 eye surgeries annually 2001: 1.5M blind operated,
restored sight Serves penniless farmers to the
president 75% surgeries free of
cost 65% free out patient
consultPhoto Source: http://tbmdb.blogspot.com/2009/04/aravind-uses-freemium-business-model.html
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Aravind Eye Hospital
6 more satellite hospitals: 1985 to 2011
Screened 3.65M patients, performed 335,000
Cataract surgeries (70% free to the poorest
Aravind is different!
Never throw away patients due to economic reasons
GOAL: help as many people, not make profit
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BUSINESS MODEL OF ARAVIND
Provides a level of sustainability Quality care at prices patients can afford Use of two tiered pricing structure: wealthy
people expected to contribute more, one paid surgery, do more free surgeries
Standardized protocols, cut down errors High volumes: create expertise for
ophthalmologists
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BUSINESS MODEL OF COMPASSION
GOAL was not money or commercial success
Never invested in high-profile ad campaigns
Rely on out reach programs Stubbornly self-reliant
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BUSINESS MODEL OF COMPASSION
A classic case of McDonald-isation of surgery:
Deliver standard quality at low cost Assembly line, brand recognition,
standardization, consistency, volume
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How to reach the poor?
EYE CAMPS- screen in rural areas Help from local community/ business
enterprise, social service organization Sponsored by charitable
trusts/individuals/government Ad through posters
VIDEO Conferencing, message online and webcam
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2003:ARAVIND EYE CARE SYSTEM Divisions:
AUROLAB Manufacture own lens (1980's IOL 80-100
US$) Local production cost (2.00-5.00 US$) Sutures, eye pharmaceuticals
LAICO International training center for
ophthalmologists
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ARAVIND Medical Research Foundation Center for opthalmic research
ARAVIND center for women Research center for women and children
ROTARY ARAVIND International EYEBANK
International eyebank (until 2003, 4383 eyes)
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Financial Success
Tight financial control On time accounting Appropriate pricing Transparency
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ANALYSIS: ARAVIND EYE HOSPITAL
Reveals the power of a Business Model Integrates entrepreneurship, innovation,
empathy, compassion Service with business principles Inner change with outer transformations
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Dr. Venkataswamy
True SOCIAL ENTREPRENEUR
- “people with entrep quality seek to change an entire field; not only want to express ideas, but be part of solving problems by executing their ideas”
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PHILIPPINE SETTING
85M filipinos (2002) ½ M are blind (4.2% of India's 12 M) Cataract case is 400,000
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National Survey on Blindness
1st - 1987 Prevalence Rate: 1.07% (642,000) 2nd - 1995 Prevalence Rate: 0.70% (478,968)
decreased by 37% 3rd - 2002 Prevalence Rate: 0.58%
decreased by 0.49%
DOH steadfastly achieving GOAL to eliminate preventable blindness by 2020
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DOH Programs
Sangkap Pinoy Program Increase cataract surgical rate Provide Refractive Services Control Vitamin A Deficiency
Vision 2020 Commits to decreases prevalence of blindness
Prevention of Blindness Program Cataract backlog eradication program
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Others to support:
Christian Blind Mission: 50M$ annually, Philippines is 5th
National Committee for Sight preservation: government and NGO monitors cataract surgical rate
MRTP: DOH and UP Manila, 28 graduates fielded to 28 provincial hospitals
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Foundation for the Blind: EPETHA
Medical missions 25-30 a day for cataract surgery (FREE)
Use of IOL from India?
Pricing Cataract surgery (charity) 6000.00 Pay Multifocal 120,000.00 (lens is 60-80K)
Monofocal 40,000.00 (lens is 15K)
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RECOMMENDATION
Eye care services coordination Referral network Empower local government-cataract
backlogs Eye care education in school curricula Intensive information campaign against
blindness National registry for the blind
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Not actually far because in 15 years the prevalence rate dropped almost 50%
* COLLABORATION among all programs
* Seek to INNOVATE not only through ideas, but
more important is the execution!
* Be CREATIVE putting words into ACTION!
How then is the GOAL achievable?
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IF ARAVIND is a McDonald-isation.....
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.....then the Philippine Eye care is Jollibee-sation.
- Peachy
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REFERENCES
www.araving.org
www.caseplace.org/d.asp?d=925
www.ukessays.com/essays/business/aravind-eye-hospita.php
www.planetedentrepreneurs.com/wp-content/uploads/
Tbmdb.blogspot.com/2009/04/aravind...business-model.html
www.aravind.org/downloads/infinitevisionTIMES.pdf
Eyedrd.org/2013/...aravind-eye-care-system-a-role-model
Philippine National Surveyon Blindness, Baccay, Esplana, Rullepa, Villamor Copyright 2004 UP Manila