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The dream of making world-class medical facilities in India spurred him to setup the Apollo
Hospitals in Chennai in 1983 at a time when private healthcare institutions were virtually
unknown in our country. The new Hospital attracted the best medical talent, including
eminent non-resident Indian doctors from hospitals in the US and UK to return to India: this
was the first major reversal in the pattern of brain drain.
Starting from a 300-bedded Hospital in 1983, the Group has, over the past 28 years,
continuously excelled and maintained leadership in medical innovation, world-class clinical
services and cutting edge research. With a network of over 8,500 beds across 54 hospitals at
culturally diverse locations in India and overseas, over 4000 top class clinicians and an
employee strength of more than 65,000 professionals, the Apollo Hospitals Group is one of
the largest hospital groups in the world, being consistently ranked amongst the best hospitals
for advanced medical services. These hospitals have served over 19 million patients from 55
countries, with seven of them having the prestigious JCI accreditation.
Dr. Reddy has undertaken pioneering work in bringing about institutional changes in the
private healthcare infrastructure by, inter alia, establishing Apollo Institutes for post graduate
Medical and Nursing Education, Hospital Administration, Physiotherapy, Clinical Research
and a large number of Paramedical Programs. With the setting up of the Apollo Telemedicine
Networking Foundation, Health Super Hi-way, Apollo DKV Insurance Co. and the Apollo
Reach Hospitals, the Apollo Group (primarily identified as a healthcare provider) is today a
leading provider of healthcare solutions, inclusive of next generation healthcare IT solutions
and services. These have helped establish a modern healthcare network through both in house
and outreach services, reaching out to millions of people.
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Dr Reddy was awarded the Padma Bhushan in 1991 for his contribution to the emergence of
the private healthcare sector and his role in bringing about several regulatory changes relating
to licensing, import restrictions, organ transplantation, etc. He received a number of esteemed
awards and recognitions such as Mother St Teresas Citizen of the Year Award, recognition
in a Harvard School publication for pioneering efforts in healthcare, Life Time Achievement
Award by Hospimedica International, the Asia Pacific Bio Business Leadership Award by
the University of Southern California, Modern Medicare Excellence Award by the ICICI
Group for outstanding achievements in the healthcare industry and several others.
As Chairman of the CII National Healthcare Committee since 2006, Dr. Reddy constituted
sub-committees for drawing up standards for accreditation of Indian Hospitals for the first
time in the country; did some commendable work in the areas of medical value travel and
medical code of ethics. One of the areas of impact has been the area of budget
recommendations to the Government and health insurance.
In November 2009, The Government of India honoured the pioneering spirit of the Apollo
Hospitals Group with the release of a postage stamp.
Dr. Prathap C. Reddy was conferred with second highest civilian award, the Padma
Vibhushan in March 2010. This unequalled commendation from the Government of India is
an acknowledgement of his untiring pursuit for excellence in healthcare as Apollo strives
towards touching a billion lives.
Under Dr. Reddys leadership, the Apollo Group has undertaken philanthropic work through
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Save a Childs Heart Foundation (SACH), the CURE Foundation for cancer care, the Indian
Head Injury Foundation (IHIF), Distance Healthcare Advancement (DISHA), and many
others that have touched the lives of several hundred thousand children, differently-abled
people, cancer and brain trauma patients.
THE APOLLO GROUP
It is often said that nothing happens, unless there is a dream first. At the genesis of the Apollo
story there was a dream. A dream so powerful, that it helped transform the medical landscape
in India.
Today, with over 8500 beds across 54 hospitals, and a significant presence at every touch-
point of the medical value chain, Apollo Hospitals is one of Asias largest healthcare groups.
Commenced as a 150 bed hospital, today the group has grown exponentially both in India and
overseas. Its growth is often said to be synonymous with India emerging as a major hub in
global healthcare.
Apollo Hospitals is driven by a single thrust, to provide the best standards of patient care. It is
this passion that has lead to the development of unique centers of excellence across medical
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Apollo's vision for the next phase of development is to
'Touch a Billion Lives'.
"Our mission is to bring healthcare of International standards within
the reach of every individual. We are committed to the achievement and
maintenance of excellence in education, research and healthcare for the
benefit of humanity"
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disciplines, within the Apollo Hospitals network. Apollo Hospitals has JCI accreditations for
7 of its hospitals, the largest by any hospital group in the region.
True to its founding principles, the group has made quality healthcare accessible to the people
of India, and even overseas. It has become an institution of trust, and a beacon of hope to so
many searching for a cure for their ailments. The legacy of touching and enriching lives
stems from the pillars of the Apollo philosophy - experience, excellence, expertise and
research.
The Apollo Hospitals Group is the pioneer of integrated healthcare delivery in India. This
vision led the group to earmark time and resources to strengthen each vital cog in the process
of healthcare delivery. As a result of these efforts, the group today is in a unique position to
exponentially increase its healthcare cover. This will be critical in order to meet future
requirements.
Apollo Hospitals Group, today, is an integrated healthcare organization with owned and
managed hospitals, diagnostic clinics, dispensing pharmacies and consultancy services. In
addition, the groups service offerings include healthcare at the patients doorstep, clinical &
diagnostic services, medical business process outsourcing, third party administration services
and health insurance. To enhance performance and service to customers, the company also
makes available the services to support business, telemedicine services, education, training
programs & research services and a host of other non-profit projects.
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APOLLOS MILESTONES
MEDICAL :
Pioneered open heart surgeries and cardiac catheterization, in the early 80s.
Pioneers of the Preventive health check programmes in India and performed 3 million
checks to date.
Introduced cutting edge procedures like off-pump and beating-heart surgery, either by
thoracotomy (minimal invasive access) or classical sternotomy, trans-radial
angioplasty and stenting, mitral valve replacement.
By 1992, Apollo Hospitals introduced Artery Stenting for the first time in India.
Conducted over 90,000 cardiac surgeries - one of only 10 hospitals in the world to
achieve these volumes. Achieved a 99.6% success rate in cardiac bypass surgeries,
over 91% of which were beating heart surgeries.
Largest series of aortic valve replacement with stentless heart valve bioprosthesis
performed.
Performed over 7,50,000 major surgeries and over 10,00,000 minor surgical
procedures with exceptional clinical outcomes.
First private healthcare provider to perform a heart transplant in 1995.
In 1995, Apollo Hospitals performed its first Bone Marrow Transplantation, as well as
the first multi organ transplant in the country.
Apollo performed an unprecedented revolution in orthopedics by equalizing limbs and
deformity correction by the llizarov procedure.
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First successful:
Pediatric liver transplant in India
Adult liver transplant in India
Cadaver liver transplant in India
Transplant in acute liver failure in India
Liver-kidney transplant in India were all performed by Apollo Hospitals.
Apollo Hospitals was the first Indian hospital group to introduce Stereotactic
Radiotherapy and Radiosurgery for cancer treatment.
Pioneered orthopedic procedures like hip and knee replacements, the Illizarov
procedure and the Birmingham hip re-surfacing technique.
Revolutionary Ceramic Coated Knee Replacement was performed for the 1st time in
South India at Apollo Speciality Hospital, Chennai.
Resorbable screws were used for the first time in India at Apollo Hospitals Chennai to
correct congenital spine problem of a six-year-old child from Tanzania.
An innovative Orthopedic procedure was performed for the first time in India at
Apollo Hospitals Chennai - leading to pain free postoperative recovery after shoulder
surgery. The Orthopaedic team at Apollo Hospital, Chennai successfully performed
an Arthroscopic Brachial Plexus Catheterization on a young lady patient.
The Paediatric Cardiac team at the new Apollo Childrens Hospital successfully
performed a complicated surgery to treat a complete AV canal defect in a 4month
old Nigerian baby in 2009.
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India's first keyhole multiple bypass surgery was conducted at the Indraprastha Apollo
Hospital, Delhi. It took less than four hours to perform the scarless surgery, without
cutting any bone of the patient. This technique uses a combination of small holes in
the chest and a small incision, made indirectly over the coronary artery to be
bypassed. It is often performed using robotics and video-imaging, which help the
surgeon operate in a small area.
An 8 year old Omani child with aortoarteritis and uncontrollable hypertension with
impending kidney failure and intestinal gangrene was successfully managed by a
simultaneous vascular reconstructive surgery on the narrowed arteries supplying both
the kidneys and the intestines at Apollo hospitals chennai .Such simultaneous bypass
and reconstruction in a young child was a first for India and only a few such
procedures had been done worldwide.
MEDICAL TECHNOLOGY:
First to install the most modern diagnostic and surgical infrastructure like the 320-
Slice CT Scan and many others.
First hospital group to bring the 320 Slice CT- Angio scan system and the 64 Slice
CT-Angio scan system to India.
First hospital group in South-East Asia to introduce the 16 Slice PET-CT Scan.
Equipped with the largest and most sophisticated sleep laboratory in the world.
Introduced the most advanced CyberKnife Robotic Radio Surgery System in Asia
Pacific, the worlds first and only robotic radiosurgery system designed to treat
tumors anywhere in the body with sub-millimeter accuracy.
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Novalis Tx Radiotherapy & Radiosurgery , one of the most precise, non-invasive
and fastest treatments available for cancerous and non-cancerous conditions of the
entire body was launched at Apollo Cancer Institute Hyderabad in 2009. Treatments
are delivered from outside the body to destroy tumors without an incision. This
protects the patients healthy tissue, so patients can avoid hospitalization, lengthy
recovery periods and many of the complications often associated with conventional
surgery.
Quality & Accreditations
1. Joint Commission International Accreditation
The Apollo hospitals group achieved the unique distinction of achieving accreditation for its
hospitals at Delhi, Chennai, Hyderabad, Ludhiana, Bangalore, Kolkata and Dhaka.
Indraprastha Apollo Hospitals, Delhi, became the first hospital in India, while Apollo
Hospitals, Chennai, became the first hospital in South India to achieve this unique and
coveted accreditation. Apollo Hospitals Bangalore, Indraprastha Apollo Hospitals Delhi and
Apollo Dhaka were re-accredited in August 2011.
JCI works directly with healthcare organisations to achieve their goals of providing quality
clinical care and services in safe, efficient and well-managed facilities.
JCI assesses through a rigorous on site survey process, a healthcare providers quality in the
following key areas -
Access to health care
Health Assessment and care processes
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Education and rights of individuals
Management of information and human resources
Safety of facility
Infection control
Collaborative integrated management
Facility management
Performance Measurement
Education & Rights of Patients
2. NABH accreditation
National Accreditation Board for Hospitals & Healthcare Providers (NABH) is a constituent
board of Quality Council of India, set up to establish and operate accreditation programmes
for healthcare organizations. The board is structured to cater to much desired needs of the
consumers and to set benchmarks for progress of health industry. Apollo Speciality Hospitals,
Madurai and Apollo Speciality Hospitals Chennai were accredited by the NABH.
3. NABL Accreditation
Apollo Hospitals, Chennai WAS assessed & accredited in accordance with the Standard ISO
15189 : 2003 "Medical Laboratories - particular requirements for Quality & Competence" for
its facilities in the field of Medical Testing.
4. ISO 9002
Apollo Hospitals, Chennai was the first hospital in India to be awarded an ISO 9002
certification.
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The ISO 9000 series is concerned with 'quality management'. It is a certification affirming the
organization's ability to enhance customer satisfaction by meeting customer and applicable
regulatory requirements and continually to improve its performance in this regard.
The ISO standards are a guarantee of quality across boundaries and geographies. They are an
assurance to the international patient of the safety and reliability of Apollo's services against
global benchmarks.
5. Superbrand
The Indian Consumer Superbrands Council includes some of the most eminent marketing,
media and advertising professionals. As the council members agree, "Obtaining Superbrands'
status puts the brand in the circle of an elite group that is seen to represent the best practices
in brand management. Ultimately it can be likened to a brand Oscar. Apollo Hospitals entered
the 'Superbrand' category in 2004.
Awards & Achievements
Excellence, literally meaning unparalleled superiority, is the quintessence of Apollo
Hospitals, India. This is reflected in many areas - be it infrastructure, technology or services
or in the calibre and brilliance of their medical fraternity. Presented below are some of the
achievements of Apollo Group of Hospitals:
1. In Jan 2010, Chairman Dr. Prathap C Reddy was conferred with the Padma
Vibhushan award by the Government of India, for excellence and exceptional service
in the Healthcare industry in the country. Dr. Prathap C Reddy, was also awarded the
Padma Bhushan in 1991.
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2. Dr. Prathap C Reddy awarded with the prestigious Alexandria - Frost & Sullivan
2010 - Lifetime Achievement Award in Healthcare Sector and Apollo Pharmacy
presented with the Healthcare Retail Company of the Year Award !
3. Billion Hearts Beating (BHB) Campaign is a proud winner in the Corporate Social
Responsibility practice category, at the 5th Indy's Awards 2011.
4. Apollo Hospitals Group won many laurels in the Best Hospitals in India - Survey
2010 by "The Week" Magazine !
o Apollo Hospitals, Chennai, has been ranked as the Overall Best Private Sector
Hospital in India.
o Indraprastha Apollo Hospitals, Delhi has been ranked the Second Best Private
Sector Hospital in India.
o Apollo Hospitals at Hyderabad, Chennai and Ahmedabad ranked as the Best
Multi-Speciality Hospitals at the respective cities.
o Apollo hospitals at Kolkata and Delhi ranked by Best private Sector Multi-
Speciality Hospitals at the respective cities.
5. Apollo Hospitals won the "India's Most Preferred Hospital" Viewer's Choice
Award at the India Healthcare Awards announced by CNBC TV18 and ICICI
Lombard Health Insurance.
6. Billion Hearts Beating Campaign wins the "Best Marketing Campaign of the Year"
Award at the World Brand Congress 2010.
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7. Ms. Preetha Reddy, Managing Director, was conferred the Doctorate of Science
(Honoris Causa) by the Tamil Nadu Dr MGR Medical University, for her outstanding
contribution to the field of healthcare in India in 2009.
8. The College of Emergency Medicine, London conferred the prestigious Honorary
Fellowship of the College on Dr K Hari Prasad, CEO, Apollo Health City,
Hyderabad in 2009.
9. In 2006, Dr. Prathap C Reddy was awarded the Modern Medicare Excellence Award
2006, by ICICI Group, for his outstanding achievements in the healthcare industry.
10. Dr. Prathap C Reddy received the Asia-Pacific Bio-Business Leadership Award in
2005.
11. Dr. Prathap C Reddy received the Ernst & Young Entrepreneur of the Year Award in
2002.
12. Dr. Prathap C Reddy received the prestigious Sir Nilrattan Sirca Memorial Oration
(JIMA) Award for single-handedly making super speciality care available to a vast
section of society.
13. In 1991, Dr M.K. Mani, Chief Nephrologist Apollo Hospitals Chennai was awarded
the Padma Bhushan
14. In 1998, Dr M.R. Girinath, Chief cardiovascular surgeon , Apollo Hospitals Chennai
was awarded the Padma Bhushan.
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The Apollo Growth Story
Since its inception, Apollo Hospitals has seen three decades. And each has brought with it, its
own share of cherished memories.
THE 1980s
1. Apollo Hospitals were inaugurated in 1983 by Shri Giani Zail Singh, the then
President of India. The first Apollo Hospital was in Chennai. It was in 1984 that the
hospital commenced its commercial operations.
2. Dr. Prathap C. Reddy, a believer that comprehensive health insurance is essential to
optimize the medical equation. Apollo Hospitals, under his guidance in 1986
introduced a medical insurance scheme in collaboration with United India Insurance
Company Limited.
3. The group showed great promise and blossomed quickly. Within three years of
operation, they announced their first dividend and by 1988 expanded to Hyderabad.
The 1990s
1. The 90s witnessed a rapid rise in its operations and infrastructure.
2. In 1993, Apollo Hospitals launched the 24 hour ambulance service.
3. In 1994, a state of art cancer hospital- the Apollo Speciality Hospital in Chennai was
inaugurated.
4. In 1996, the Apollo Indraprastha Hospital in New Delhi was inaugurated and the
Apollo Nursing College was established.
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5. The late 90s were marked by the inauguration of Apollo Hospitals in Madurai and
the Apollo Heart and Kidney Hospital in Vishakhapatnam.
6. The story of Apollo Hospitals became a case study at teh prestigious Harvard
University.
2000 to 2005
1. Apollo continued to grow as a healthcare powerhouse. Hospitals expanded to
Ahmedabad, Bangalore, Bilaspur, Mysore, Kolkatta and Kakinada.
2. Apollos presence was extended in Sri Lanka, Dubai, Saudi Arabia and Ghana.
3. Apollo Aragonda, inaugurated in 2000 was the first telemedicine facility in the
country. It was inaugurated by Bill Clinton.
4. Apollo also launched its nationwide single emergency number- 1066.
5. In 2002, Save A Childs Heart initiative was launched. This initiative aimed at
providing quality paediatric cardiac care to children from underprivileged sections of
society.
2006 to 2008
1. Apollo Hospitals Group partnered with Munich Health, a world leader in the field of
health insurance to launch Apollo Munich.
2. In 2008, Apollo Hospitals turned 25.
3. Apollo Reach Hospitals were launched with the aim to make world class healthcare
accessible to people in remote areas.
2009 to Date
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1. Apollo Speciality cancer Hospital launched the Cyberknife robotic radio surgery
system.
2.Apollo Hospitals, Bangalore were inaugurated by Her Excellency Shrimati Pratibha
Patil on 1st February 2009.
3. The Apollo Liver Clinic was launched at Apollo Hospitals, Chennai.
4. Novalis radio surgery system was launched at Apollo Health City, Hyderabad.
5. Apollo Bramwell Hospitals, a state-of-the-art multi speciality hospital in Moka-
Mauritius was inaugurated as a Joint Venture with British American Investment Co.
Limited.
6. The 50th hospital of the Apollo Hospital Group was launched at Secunderabad on 2 nd
April 2010. It is a 150 bed tertiary hospital.
7. Apollo Gleneagles Cancer Hospital, Eastern Indias first super speciality Cancer
Hospital was inaugurated on 23rd march 2010. It is the first comprehensive cancer care
hospital in Eastern India equipped with the latest radio therapy- Novalis Tx Unit.
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Apollo Hospitals Group The Group has an integrated business model (Across the
Healthcare Spectrum)
Company Services
Services offered by the company:
1. Cardiology & Cardiothoracic Surgery
2. Orthopedics & Joint Replacement Surgery
3. Spine Surgery
4. Oncology
5. Medical & Surgical Gastroenterology
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6. Neurology & Neurosurgery
7. Nephrology & Urology
The Apollo Expertise
One of the most respected hospitals in the world, Apollo hospitals specializes in cutting-edge
medical procedures. With the evident boom in Medical tourism, we have a lot of health
tourists choosing us as their ultimate Health Tourism destination for medical services .They
have pioneered many revolutionary procedures and technologies in India, and a whole lot of
health tourists come to opting either for medical care or elective procedures. Some of the
health procedures are-
Cardiac Surgeries
Total Knee /Hip Surgery Replacements
Birmingham Hip Resurfacing Procedure
Liver, Multi-Organ, and Cord Blood Transplants
Coronary Angioplasty
Stereotactic Radiotherapy and Radio surgery
Cosmetic Surgery
Bariatric Surgery - laparoscopic
Laparoscopic Hernia Repair
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Laparoscopic Adrenalectomy
Apollo Hospitals Group Companies, besides Hospital
SWOT Analysis Of Apollo
Strengths Weaknesses
Largest private sector healthcare
provider in India.
Consistent revenue growth across
business segments.
Falling margins due to the
pharmacy business.
Opportunities Threats
Indian healthcare market is expected
to quadruple to $150bn by 2017 from
Medical equipments accounts for
40-45% of the total expenditure in
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the current size of $35bn. Apollo well
positioned to capitalize on this growth
opportunity.
Medical tourism market expected to
reach $40bn by 2010. Apollo, which is
already into it, is well placed to grab
the maximum share.
hospitals. Any change in
technology will make existing
medical equipments obsolete.
Attrition rate in the healthcare
sector is expected to increase with
the surge in demand for medical
professionals
FINANCIALS OF APOLLO
Market Cap (Rs Cr.):6,795
EPS - TTM (Rs):14.74
P/E Ratio (x):35.04
Face Value (Rs):5.00
Latest Div. (%):75.00
Div. Yield (%):0.72
Book Value / sh. (Rs) :129.93
P/B Ratio (x):3.98
Balance Sheet of Apollo
Hospitals Enterprises
------------------- in Rs. Cr. -------------------
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Mar '11 Mar '10 Mar '09 Mar '08 Mar
'07
12 mths 12 mths 12 mths 12 mths 12
mths
Sources Of Funds
Total Share Capital 130.86 61.78 60.24 58.69 51.64
Equity Share Capital 62.36 61.78 60.24 58.69 51.64
Share Application Money 0.00 0.00 7.71 14.57 6.86
Preference Share Capital 68.51 0.00 0.00 0.00 0.00
Reserves 1,641.30 1,479.9
9
1,302.9
1
1,164.7
8
694.83
Revaluation Reserves 0.00 0.00 0.00 0.00 0.00
Networth 1,772.16 1,541.7
7
1,370.8
6
1,238.0
4
753.33
Secured Loans 549.61 471.43 436.55 292.20 129.75
Unsecured Loans 191.40 218.56 12.93 13.44 14.43
Total Debt 741.01 689.99 449.48 305.64 144.18
Total Liabilities 2,513.17 2,231.7
6
1,820.3
4
1,543.6
8
897.51
Mar '11 Mar '10 Mar '09 Mar '08 Mar
'07
12 mths 12 mths 12 mths 12 mths 12
mths
Application Of Funds
Gross Block 1,444.50 1,255.5
1
940.67 759.18 601.13
Less: Accum. 398.74 331.47 277.99 234.83 198.29
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Apollo had a number of competitors in the market for privately-provided tertiary care. For
instance, the health care division of the Manipal Group, one of Asias largest hospital
management groups, ran 11 private and 7 government-affiliated hospitals with more than
6,000 beds. Fortis Healthcare Ltd. managed super and multi-specialty hospitals in three
locations in India and planned to grow from 600 beds in 4 hospitals to 4,000 beds in 10
hospitals over the next few years. Ranbaxy Labs, Indias largest pharmaceutical company,
was a strategic investor in Fortis, holding a 17% stake in the company. Wockhardt Hospitals
Ltd., the hospitals division of the eponymous pharmaceutical company, operated specialty
hospitals in Mumbai, Bangalore and Kolkata. Wockhardt had formed an alliance with
Harvard Medical International to gain access to Harvards expertise in the field of surgical
services. Wockhardt planned to set up at least five new super-speciality hospitals in the next
three years. Many of Apollos competitors including Delhi-based Max Healthcare and Fortis
worked on building integrated delivery networks ranging from primary to tertiary care
services.
Analysts expected Indias private tertiary care sector to grow at 15% CAGR in the next few
years. The Infrastructure Development Finance Company (IDFC), a private-public venture
set up by the government of India, saw three main drivers of future growth:
The present shortage of premium medical facilities, the growing incidence of lifestyle
diseases, and growing income levels, have all led to a large unfulfilled demand for high
quality healthcare services, translating into a large potential opportunity. Today,
healthcare is being touted as the next big boom, and the sector is expected to grow rapidly
over the next decade, to reach a level of Rs. 200,000 to 300,000 crore by 2012, largely
spurred by an increased corporate presence in the sector.
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Although demand for tertiary care services was poised to grow, keeping hospitals profitable
was not easy, mainly because in-patient care required considerable up-front investments. In
the 1990s, many highly-leveraged hospitals found themselves unable to service their debt.
As a result, hospital financing had all but dried up by 2002. The key to successful hospital
management, analysts believed, was to keep up-front investments and operating costs in
check. Apollos sound financial performance, these observers noted, was in good part due to
the groups ability to tightly control operating costs.
Comparison with Competitors
Last Price Market Cap.
(Rs. cr.)
Sales
Turnover
Net Profit Total Assets
Apollo Hospital 516.45 6,784.98 2,331.96 181.72 2,513.18
Fortis Health 160.25 6,492.01 258.27 141.81 2,824.45
Opto Circuits 284.45 5,302.14 603.20 244.13 1,055.93
Indraprastha 35.60 326.36 458.04 30.73 164.99
Kovai Medical 118.20 129.34 174.96 12.10 243.01
Lotus Eye Care 9.95 20.69 19.14 0.44 54.19
Balance Sheet -------------------------- in Rs. Cr. -----------------------------
Apollo
Hospital
Fortis
Health
Opto
Circuits
Indraprastha Poly
Medicure
Mar '11 Mar '10 Mar '10 Mar '10 Mar '10
Sources Of Funds
Total Share Capital 130.86 321.65 182.90 91.67 10.91
Equity Share Capital 62.36 317.32 182.90 91.67 10.91
Share Application
Money
0.00 0.00 24.56 0.00 0.44
Preference Share 68.51 4.33 0.00 0.00 0.00
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Capital
Reserves 1,641.30 1,260.75 653.85 44.03 48.49
Revaluation Reserves 0.00 0.00 0.00 0.00 0.00
Networth 1,772.16 1,582.40 861.31 135.70 59.84
Secured Loans 549.61 49.66 192.50 29.29 32.87
Unsecured Loans 191.40 1,192.40 2.10 0.00 4.33
Total Debt 741.01 1,242.06 194.60 29.29 37.20
Total Liabilities 2,513.17 2,824.46 1,055.91 164.99 97.04
Apollo
Hospital
Fortis
Health
Opto
Circuits
Indraprastha Poly
Medicure
Mar '11 Mar '10 Mar '10 Mar '10 Mar '10
Application Of Funds
Gross Block 1,444.50 140.17 93.93 374.82 92.30
Less: Accum.
Depreciation
398.74 67.96 13.50 168.95 34.16
Net Block 1,045.76 72.21 80.43 205.87 58.14
Capital Work in
Progress
352.40 0.58 0.75 12.83 4.12
Investments 624.11 1,395.43 518.00 0.00 6.91
Inventories 150.52 3.12 115.35 9.60 21.20
Sundry Debtors 269.64 48.82 198.67 28.28 22.31
Cash and Bank
Balance
101.68 10.40 107.85 3.71 0.54
Total Current Assets 521.84 62.34 421.87 41.59 44.05
Loans and Advances 571.50 1,384.32 198.76 42.79 11.55
Fixed Deposits 39.69 0.00 2.99 0.67 0.54
Total CA, Loans &
Advances
1,133.03 1,446.66 623.62 85.05 56.14
Deffered Credit 0.00 0.00 0.00 0.00 0.00
Current Liabilities 372.91 85.23 24.88 101.93 23.91
Provisions 269.21 6.25 143.85 36.83 4.35Total CL &
Provisions
642.12 91.48 168.73 138.76 28.26
Net Current Assets 490.91 1,355.18 454.89 -53.71 27.88
Miscellaneous
Expenses
0.00 1.05 1.86 0.00 0.00
Total Assets 2,513.18 2,824.45 1,055.93 164.99 97.05
Contingent Liabilities 817.74 2,185.74 17.87 70.31 11.48
Book Value (Rs) 136.61 49.73 45.75 14.80 54.46
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Profit & Loss account ------------------- in Rs. Cr. -------------------
Apollo
Hospital
Fortis
Health
Opto
Circuits
Indraprastha Poly
Medicure
Mar '11 Mar '10 Mar '10 Mar '10 Mar '10
Income
Sales Turnover 2,331.96 209.82 471.50 426.09 137.66
Excise Duty 0.00 0.00 0.00 0.00 1.70
Net Sales 2,331.96 209.82 471.50 426.09 135.96
Other Income 17.61 41.15 -11.88 8.32 -3.66
Stock Adjustments 0.00 0.00 -0.51 0.00 0.40
Total Income 2,349.57 250.97 459.11 434.41 132.70
Expenditure
Raw Materials 0.00 0.00 238.54 0.00 51.25
Power & Fuel Cost 0.00 4.35 0.77 0.00 4.88
Employee Cost 357.20 47.23 6.92 82.44 21.53Other Manufacturing
Expenses
1,298.75 85.71 1.10 235.85 13.19
Selling and Admin Expenses 227.08 0.00 8.38 29.07 10.59
Miscellaneous Expenses 68.00 50.20 0.62 16.48 1.29
Preoperative Exp Capitalised 0.00 0.00 0.00 0.00 0.00
Total Expenses 1,951.03 187.49 256.33 363.84 102.73
Apollo
Hospital
Fortis
Health
Opto
Circuits
Indraprastha Poly
MedicureMar '11 Mar '10 Mar '10 Mar '10 Mar '10
Operating Profit 380.93 22.33 214.66 62.25 33.63
PBDIT 398.54 63.48 202.78 70.57 29.97
Interest 58.64 22.28 34.52 3.85 4.78
PBDT 339.90 41.20 168.26 66.72 25.19
Depreciation 70.26 10.79 3.10 19.29 7.07
Other Written Off 0.33 0.00 0.00 0.00 0.06
Profit Before Tax 269.31 30.41 165.16 47.43 18.06
Extra-ordinary items 1.36 -0.27 -1.64 0.30 0.33
PBT (Post Extra-ord Items) 270.67 30.14 163.52 47.73 18.39Tax 88.96 0.00 16.49 15.21 1.97
Reported Net Profit 181.72 30.15 147.04 31.06 16.43
Total Value Addition 1,951.03 187.49 17.79 363.83 51.48
Preference Dividend 0.00 0.00 0.00 0.00 0.00
Equity Dividend 46.77 0.00 81.73 14.67 2.75
Corporate Dividend Tax 7.59 0.00 13.89 2.49 0.47
Per share data (annualised)
Shares in issue (lakhs) 1,247.11 3,173.2
4
1,829.0
0
916.73 109.06
Earning Per Share (Rs) 14.57 0.95 8.04 3.39 15.06
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Equity Dividend (%) 75.00 0.00 40.00 16.00 25.00
Book Value (Rs) 136.61 49.73 45.75 14.80 54.46
Strategic Opportunities
In thinking about Dr. Reddys challenge to come up with a new strategic vision for the
Apollo group, three major decisions were likely to be on the familys mind: opportunities
arising from deeper vertical integration in the domestic market, the prospects of international
hospital management, and the possibilities related to global medical tourism.
Integrated Health Care Delivery Networks (IDN)
A first strategic possibility was to focus Apollo on the development of the domestic market
and build up a vertically integrated health care delivery network. First steps in this direction
the pharmacies and the primary care clinics had already been taken. In reviewing these
ventures, Apollos managers needed to decide if they fit well with Apollos core business.
Were there significant strategic risks in developing an IDN? Should the group add additional
services? For instance, some managers were excited about the prospects of developing
insurance products to further stimulate the demand for health care services.
International Hospital Management
A second possibility was to aggressively acquire international hospital management
contracts. An interesting question was if Apollo should consider foreign direct investments
a strategy the group had successfully pursued in Sri Lanka or if it should concentrate on
managing hospital assets without owning them. The geographic focus of Apollos activities
was another strategic variable under consideration. Traditionally, Apollo had managed
hospitals in South Asia and the Middle East. More recently, it had developed some business
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in Africa. At the time of the case, however, the Consulting Division studied a hospital
project in Romania, which had the potential to open up the Eastern European markets.
Romania had 400 public hospitals with 160,000 beds, but not a single private facility. Most
health care services were covered by the National Health Insurance Fund (CNAS), which was
financed by contributions from companies and employees. The CNAS reimbursed hospitals
based on the average diagnostic related group (DRG) of their patients. The DRG was a
clinical classification system used in most of Europe and in the United States. Assisted by
the IFC, the Romanian government sought to develop a public-private partnership (PPP) for
the Fundeni hospital in Bucharest. Fundeni was a major tertiary care hospital with 1,118
beds and a staff of 1,500, including 289 doctors. The government offered a long-term
concession to run Fundeni. While Romania would retain ownership of all assets, the private
operator was responsible for operations and capital expenditures. The concession contract
required the operator to take on all staff currently on Fundeni payroll. In the first year, no
significant layoffs would be possible. The IFC advertised the Fundeni concession as an
excellent investment opportunity because the hospital had a top reputation as the premier
tertiary hospital in Romania, was well-funded by CNAS and well positioned to serve the
untapped private health market in Romania.
Dr. Reddy was optimistic about Fundeni: I am now managing hospitals in Colombo, but I
feel I should also be prepared to go to Central Europe and possibly the UK. Romania is not
so far; going from India to America, it is about half distance. Sangita Reddy, Director of
Operations, felt similarly:
I am very positive about this opportunity, we need to go there with a positive spirit. When
we started the hospital in Hyderabad, everybody told us that it would be difficult because
Hyderabad is very different. They said the same thing about the hospital in Delhi and the
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hospital in Sri Lanka. It is interesting that there is no global health care player. Every
other business is more global, but health care is very localized. There is room for more
globalization in health care.
Medical Tourism
A third strategic opportunity opens to Apollo was to help develop India as a destination for
international medical tourism. Traditionally restricted to the elites of poor countries, global
medical tourism was a relatively recent phenomenon. Significant quality and cost differences
in hospital care, however, made international patient mobility ever more attractive. With
more than one million medical patients per year, many of them undergoing plastic surgery,
Thailand was the most successful destination. India, in contrast, was not yet on the map for
medical tourists. In fact, even Indias general tourism numbers were abysmal. Despite its
rich cultural heritage and the many interesting destinations it offered, India attracted less than
3 million foreign visitors a year. To compare, more than 90 million tourists visited China
each year.
Despite its weak competitive position today, many analysts seemed to be optimistic about the
prospects of medical tourism in India. For instance, a study by the Confederation of Indian
Industry (CII) and McKinsey estimated that medical tourism might bring India annual
revenues of $1.1 to $2.2 billion by 2012. Apollos President, K. Padmanabhan, expected the
group to capture up to 60% of this market.
Apollos managers identified four international customer segments likely to come to India for
medical treatment. First, they hoped that members of the 20-million strong Indian diaspora
might combine a home visit with medical treatment. A second target were countries with
rationed health care. To patients in the United Kingdom and Canada, Apollo hoped to
provide relief from the famously long National Health Service (NHS) waiting times he
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legions of uninsured in the United States were a third target segment. At any one time, about
43 million Americans under the age of 65 had no health insurance. Some of these uninsured
had turned to Indian hospitals in the past. For instance, a North Carolina carpenter replaced
his heart valve at Indias Escorts Heart Institute & Research Centre for a total expense of
$10,000, including round-trip airfare and a side trip to the Taj Mahal. In the United States, the
surgery would have cost $200,000, with a required initial deposit of $50,000. The fourth
segment were patients from regional markets in which top-quality hospitals and health
professionals were hard to find. For residents of neighbouring Pakistan, Nepal, Bangladesh,
Mauritius and the Maldives, or citizens of African and Middle Eastern countries India was a
quality health care location.
Although the target population for medical tourism was large, for the time being at least,
Apollos patients were mostly domestic. Out of the 5,200 hospital beds run by Apollo in
India, foreign patients usually occupied about 100 beds. Most of them came from the Middle
East, Africa and countries of South Asia. Consumer attitudes did not appear to be the
problem. In a recent survey in Europe, two thirds of respondents indicated they would be
interested in going abroad for treatment if it was possible to use their national funding. And at
least in the European Union, it appeared to get easier to travel abroad for treatment. In a
landmark decision, the European Court of Justice forced the German Labour Office to pay for
the spa treatment of one of its civil servants. The employee had decided to take his healing
soak in a spa in Italy. Some private insurers had also started steering clients to countries with
cheaper care. Dutch insurance giant OHRA BV, for example, sent many of its patients with
knee problems to a center in Alicante, Spain. We pay for airfare and all travel expenses. In
spite of that; its still cheaper than caring for them here, an OHRA spokesman said. US
health insurer Blue Cross Blue Shield insured patients for treatment at the Wockhardt
Hospital & Heart Institute in Bangalore, as did the British health insurer Bupa. In general,
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however, it was not easy to get coverage for treatment abroad. The NHS, for instance,
reimbursed patients only if they received care at a facility that was within three hours of flight
from Britain.
To market its services to international patients, Apollo partnered with SITA Incoming, a
division of Kuoni Travel (India). SITACARE, the SITA division dedicated to medical
tourism, operated more than 200 offices in India and seven offices in the European Union.
On its website (http://www.sitacare.com), patients were able to choose medical treatments
and select hospitals with a few clicks of the mouse. For example, Coronary Artery By-pass
Grafts (CABG), offered at $6,940, were available at seven different Apollo hospitals,
including the facility in Colombo. The website also offered basic medical information and
performance data for the Apollo hospitals. Prospective patients learned that the group had
performed 49,000 heart surgeries with a 98.5% success rate. 80% of the bypass operations
were done using the beating heart technique.
Apollo and SITACARE co-financed marketing campaigns directed at medical tourists.
They have a strong handle on the tourism market. We participate in marketing blitzes with
them. We also develop joint brochures and contact health care brokers, explained Ashok
Anathram, President of Business Development. In the United Kingdom, health care brokers
assisted patients, typically referred by their general practitioner, with packages that included
treatment, hotel and travel arrangements, functioning as de facto one-stop shops for medical
tourism. SITACARE received a commission of about 10% to 15% for each patient, about
2% to 5% of which it paid out to referring doctors.
Preetha Reddy, Apollos Managing Director, was optimistic about the prospects of
developing medical tourism: Our chairman kept saying that India could be a major health
care destination but no one believed him. Now people have woken up. India has the
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potential to be a significant player. Our practices are on par with the best international
hospitals and the general infrastructure is slowly getting better. Seizing this opportunity, the
family agreed, was not going to be easy. Suneeta Reddy noted: Different pieces of the
puzzle need to be in place to make medical tourism attractive. Right now, the broader
infrastructure environment is lacking, and Thailand is ahead of the game. Another important
issue is after-care. A part of our strategy could be to build a clinic in the UK. This clinic
could provide the postoperative care that patients need.
A critical question for the Apollo managers was how competitive the market for medical
tourism would be in the future. K. Padmanabhan was concerned about China:
One of the big questions is how much medical tourism will go to India and how much will
go to China. At this point, India has a much better private health care system than China.
But the Chinese will spend as much on health care as Indians, and this will act as a catalyst
for the development of private health care services. In terms of skills, we are way ahead
of China, but ultimately, the competitive advantage comes from the number of patients
doctors are seeing and from their skill sets.
International competition was not the only concern related to a strategy that emphasized
international patients. In an editorial on medical tourism, the Times of India remarked
critically:
While aspiring to become a world-class supplier of health care services, India cannot wish
away its ailing masses who lie unattended for want of decent health care. The current
health care situation in India is dismal. The number of hospital beds per 1,000 population,
for example, is around one, which is well below the WHO prescribed norms, or even the
low-income countries average of 1.5. The same shortage extends to the availability of
medical and paramedical staff Given all this, does it make sense to promote medical
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tourism? To be sure, the development of medical tourism will alter India's health care
landscape. While it will give a boost to the private health care industry by catering to
wealthy foreign and domestic consumers, it could adversely hit the low-income
population. Medical personnel and infrastructure would be geared to serve the elite.
Moreover, medical tourists will end up driving up health care costs.
Apollos success can be attributed to its organization around Five Stars to give
patients advanced medical care possible at high quality
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Apollos branding and demand generation initiatives focused on individuals, referring
doctors and corporations
General public and individuals-
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Awareness of high quality medical care and stress illness prevention
Targeted mailings to promote Apollo clinics for various therapies such as diabetes,
asthma, back pain, cancer and cardiology discounts to users
Introductory attract first time
Developing an internal system to respond to all consumer queries promptly
Regular advertising in a variety of media to target urban consumers
Screening programs for illness such as cancer and tuberculosis in rural areas
Local Doctors
Individual visits by Apollo sales force, to local doctors to build relationships
Frequent mailing by Apollo to the doctors, to keep them informed about the hospital's
services and procedures
Track number of referrals made by individual doctors in a computerized database
Inform and update referring doctors about the progress made with the patients
Encourage Apollo doctors to participate in national Medical Association meetings to
increase the Hospitals familiarity to doctors across the nation
Corporations
Corporate and government employers Less price sensitive than those who paid out
of pocket
Target key decision makers such as top executives, human resource managers, trade
union leaders and company medical advisors
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Mailings and individual visits
Conduct programs at the companies to increase awareness and teach skills such as
first aid
APOLLO HOSPITALS MARKETING MIX
PRODUCT
A product is a set of attributes assembled in an identifiable form. The product is the central
component of any marketing mix. The product component of the marketing mix deals with a
variety of issues relating to development, presentation and management of the product which
is to be offered to the market place. It covers issues such as service package, core services
and peripherals, managing service offering and developing service offering.
Apollo Hospitals today offer the following services:
1. Emergency services Emergency services and care at Apollo hospitals is unique and
advanced. The hospitals have state-of-the-art ambulances. The CCU's on Wheels under
supervision by medical and para-medical staff. There is hi-tech telecommunication available
to a patient in an emergency at any given time.
2. Ambulance services Hi-tech ambulances linked by state-of-the-art telecommunications
are fully equipped with doctors that are available to render medical attention and assistance in
case of emergencies at the patient's doorstep.
3. Diagnostic services Apollo Hospitals are multi-speiality and multi-disciplinary, that can
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handle any kind of ailment, they offer a wide range of facilities for instance, Oncology,
Orthopedics, Neurology, Plastic surgery and so on.
4. Pharmacy services Apollo Hospitals also have a pharmacy which is open 24 hours. It
caters to the needs not only of the inpatients and outpatients, but also patients from other
hospitals who require emergency drugs.
5. Causality services Causality service includes a 24 hrs. causality department, which
attends to the accident or emergency cases.
Apart from the above mentioned services, Apollo Hospitals also offers "Health Diagnosis
Programme" which is a complete, comprehensive, periodic health check up offered for busy
executives, professionals, business persons and so on. The health diagnosis programme
comprises of the following:
1. Master health check up
2. Executive Health check up
3. Diabetics health check ups etc.,
Generally, the service offering in Apollo Hospitals comprises of the following levels:
1. Core level it comprises of the basic treatment facilities and services offered by the
hospital like diagnostic services, emergency services, casuality services etc.
2. Expected level it comprises of cleanliness and hygiene levels maintained in the hospital.
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3. Augmented level it comprises of dress code for staff, air conditioning of the hospital, use
of state of art technology, services of renowned consultants.
Apollo hospital provides quality healthcare services with more than 53 branches across the
country. Prominently Apollo is known best for heart problems and Knee and Hip replacement
surgeries besides other major ailments. The specialities include Heart, Orthopedics, Spine,
Cancer Care, Gastroenterology, Neurosciences, Nephrology & Urology Critical Care.
PRICE
It is one of the most prominent elements in the marketing mix. Price charged must be able to
target customers and it should co-ordinate with other elements of the marketing mix. Price
usually depends on treatment prescribed by the respective consultants and the facilities
offered to the patient.
As a service is intangible, it is very hard for deciding the price of the particular service
offered. Pricing strategy adopted does not depend on the price offered by competitors. The
pricing strategy is formulated after consulting the concerned heads of department. Prices of
various facilities revised every year depending on the change in technology. Before fixing
prices, government controls are also taken into consideration.
On admission, an initial deposit will be collected at the inpatient billing counter. The amount
extends on the category of room and the treatment or surgical procedure planned. Various
categories of rooms, ranging from the general ward which attends to the needs of the lower
classes to the deluxe suite which attends to the needs of the middle and upper classes are
available.
The hospital is priced premium and it can afford to do the same because of its positioning and
its assurance as well as the reliability on the brand of Apollo hospitals. Along with it, it also
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helps that there are so many locations and specialities in Apollo hospitals. Thus a patient is
reassured of his well being.
PROMOTION
Promotion function of any service organization involves the transmission of message to
present, past and potential customers. Customers need to be made aware of the existence of
the service offered. Promotion includes advertising, personal selling, sales promotion and
publicity.
Apollo does not normally undertake aggressive promotion, they rely a lot on a favourable
word of mouth. To crease the clientele, a hospital may continuously introduce different
health services like the acupressure clinic, master health programmes and diabetes health
checkups apart from annual health checkups offered to different companies.
Apollo conduct camps in rural areas to give medical check ups at a reasonable price so that
the rural people approach the hospital again in the future. They also sponsor frequent visits
to the spastic society, old age homes, etc. Hospitals generally advertise in health and fitness
magazines.
Apollo promotes itself through the Community Initiatives viz
SACH Save a Childs Heart
CURE Extends preventive as well as rehabilitative cancer treatment to the
economically backward.
SAHI Society to Aid the Hearing Impaired
DISHA Distance Health care Advancement Project
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PLACE
It refers to contact point between the customer and the service provider, who gets the benefit
of the service. This element in the marketing mix leads to the identification of a suitable
location.
The two major issues considered regarding the decision of a place are accessibility and
availability of the service to customers. Accessibility refers to the ease and convenience with
which a service can be purchased, used or received. Availability refers to the extent to which
a service is obtainable or capable of being purchased, used and received.
Factors influencing the placing decision are market size and structure by geographical
regions, number and types of competitors in the region, location of potentially attractive
consumer segments, local infrastructure, good road access facilities and public transportation
network. A hospital must be ideally located and must be easily accessible to all.
Apollo Hospitals has around 8500 beds across 53 hospitals in India and overseas. It is located
in 15 different places across India which include Ahmedabad, Aragonda, Bangalore,
Bhubaneshwar, Bilaspur, Chennai, Delhi, Hyderabad, Kakinata, Kolkata, Madurai, Mauritius,
Mysore Noida.
PEOPLE
The People component reflects the important role played by individuals in the provision of
services. People are also an important element in the marketing mix.
Service personnel play an important role in an organization which offers service. The
behaviour and attitude of the personnel offering service will influence the customer's overall
perception of the service. Customers are a source of influencing other customers by word of
mouth.
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It is necessary that the staff in hospital are trained to offer quality patient care with human
touch using state of the art technology.
The objective of offering quality service to the patients can be attained by:
oMotivating employees to be efficient, dedicated and loyal to the organization.
oOffering regular on-job training of employees to ensure continuous
improvement in health care.
oUtilizing services of professional competent medical consultants.
oUse of latest technology.
Motivation is not necessarily by giving high salaries. There are many other ways to motivate
the employees. Concessions should be given to the employee's near ones. There should be
regular liaison with them at all times. Knowing what the employees want is very important.
There should be active participation of the employees in the activities of the hospital.
In a hotel, where the clientele is happy, free from any kind of tension, the job of the staff
becomes much easier, whereas in a hospital, the staff has to cater to the needs of sick,
depressed and an agitated lot. Warm ambiences with efficient and cheerful staff help make
the experience of the public a memorable one. Therefore, it is very important that the staff of
the hospital is friendly and comforting, always wearing a smile.
Apollo Hospital currently engages more than 19,000 doctors, nurses, paramedics, clinical
staff and management professionals to manage over 8500 beds across 53 hospitals in India
and abroad. Along with this Apollo Hospitals has several courses along with research
facilities to facilitate innovation. The management of Apollo Hospitals is continuously
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involved in motivating the employees and ensuring that the best of services are offered to it
customers.
PROCESS
Process is a set of activities that take an input, convert it and add value to the input and finally
create an output. Process has only recently been given much attention in the service sector
although it has been the subject to study in manufacturing for many years. Processes are
designed by blue a print, which sets a standard for action to take place and to implement the
service.
In a hospital, the process is divided into three phases.
1. The Joining Phase
It includes the following:
The arrival of the patient.
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Registration where a patient has to make an initial deposit at the in-patient
billing counter after which a file is opened in the patient's name to know the
patient's medical history.
2. The Intensive consumption Phase
It includes the following:
Diagnosis where the consultant diagnoses the illness by making the patients undergo
various tests.
Treatment when the illness is treated with proper medication or surgery and so on.
Information about further actions the consultant will instruct the patient regarding
the diet to be followed, the medication to be taken, when to consult him again in the
future and so on.
3. The Detachment Phase
It includes the following:
Discharge of the patient a patient can be discharged from the hospital on the advice
of the consultant
Payment after the patient is discharged, the bill will be paid at the billing counter.
4. Feedback
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At this stage, the patient is requested to fill an evaluation form, which assists the hospital
authorities to know the level of satisfaction derived by the patient. Patients' suggestions are
always welcomed, valued and considered and many times are very useful for improving the
services of the hospital.
General Process Organization in a Hospital
Within the hospital, it each department is looked, it is noticed that each department serves the
needs of another department, for example, the purchase department serves the needs of the
stores, the billing department serves of the finance department and so on. So in a way, each
department is a customer to another department, while at the same time it might be a supplier
to another department. Each department is an "internal customer" or the other departments.
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Finance
Department
Nurses
Purchase
DepartmentDoctorsStores
Billing
Patients (External
Customer)
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Only when each unit of the hospital understands who their customers are and what their
needs are, will the hospital develop basis for giving the best service in the most efficient way
to the patient.
In a way, each department or unit should consider itself to be a service provider serving the
needs of the customer department. In a superficial level, it may seem as if each department is
working as an independent unit rather than a team. However, the world-over in many
organizations that have used this concept, it has found that this kind of a customer-supplier
relationship helps to offer an important system of checks and balances and gives the
organization a more focused customer orientation.
Apollo Hospital believes in making the stay of its patients a memorable one by providing
world class services. Right from requesting in formation pertaining to a particular query or
ailment to providing feedback has been simplified by just a press of a button. There are
convenient of ways of making payments on line and even referring customers. The largest
achievement of the Apollo Group has been to take quality health care to across the length and
breadth of India. This operation in itself involves very established procedures and
documentation. It has been a major player in scripting the medical landscape of the nation.
This is primarily because the group has continuously been at the helm of several game-
changing innovations in Indian health care. Apollo Hospitals is NABH, NABL accredited and
also has ISO 9002 award.
PHYSICAL EVIDENCE
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It is the environment in which the service is delivered with physical or tangible commodities
and where the firm and the customer interact. Physical evidence plays an important role in
hospital services.
It makes a huge impact on the customer. Physical evidence offers customers means of
evaluating the service. Corporate image plays in important role in terms of physical
evidence. This can be developed through corporate relation programmes.
Modern hospitals need to create a good ambience. Right from the reception one finds very
cordial and comforting staff. The ambience plays an important role because when a patient
walks into the hospital he immediately forms an opinion about the hospital.
The staff follows a dress code to show professionalism and to maintain discipline. The staff
is trained to be understanding, warm and comforting because the clientele that goes to the
hospital is usually disturbed or unhappy.
It is necessary for a hospital to be well organized and segregated into different departments.
All the doctors should be offered with a well-equipped cabin. The entire hospital should be
centrally air-conditioned with good lighting. Ventilation is taken care of by air-conditioning.
Special care should be taken to maintain hygienic, cleanliness and whole hospital must be
well lit. This is taken care of by the housekeeping department. A hospital has to keep in
mind both the aspects of physical evidence that is essential and peripheral evidence. Physical
evidence particularly plays an important role in the hospital where the patients are already
depressed or traumatized and a good atmosphere could make all the difference.
Apollo Hospital has been known for its quality health care services, at much affordable price.
It provides the services for all the ailments & diseases, assuring the healthy recovery with
quality care from the staff. Apollo Hospitals conducts a rigorous site survey process as well
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to take care of various parameters in all their hospitals. It has world class infrastructure and
makes the stay of its patients comfortable.
CONCLUSION
Marketing is a function by which a marketer plans, promotes, and delivers goods and services
to the customers. In the services marketing, the providers are supposed to influence and
satisfy the users. When people buy services offered by a service provider in a true sense,
they buy the time, knowledge, skill or resources. Marketing the service is meant marketing
something intangible. It is like marketing a promise. The applications of marketing
principles in the services sector are the main things in the services marketing. It is the
managerial process of managing the service.
By the start of the new millennium, Apollo Hospitals Group had become an integrated
healthcare organization with owned and managed hospitals, diagnostic clinics, dispensing
pharmacies and consultancy services. In addition, the group's service offerings include
healthcare at the patient's doorstep, clinical & diagnostic services, medical business process
outsourcing, third party administration services and heath insurance. To enhance performance
and service to customers, the company also makes available the services to support the
business of healthcare; telemedicine services, education and training programmes & research
services and a host of not for-profit projects.
Apollo Hospitals Group takes into account the various aspects of marketing mix of services.
It incorporates all the seven Ps namely- Product, Price, Place, Promotion, People, Process
and Physical Evidence. The whole working of the group is based on the basic elements of
marketing. Starting from super specialty services to premium prices to a coverage across the
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globe to best promotional measures to highly qualified doctors and nurses to a well planned
patient service process to finally the most comfortable and globally at par Infrastructure.