Operating Strategy :: essays research papers

Operating StrategyApollo Hospitals, IndiaConsidering the elements of a strategic utility vision, the fol natural depressioning are thefactors applic adequate to(p) to the Apollo Hospitals of India. The service visionframework are accord to an exhibit from "Lessons in the Service Sector" byJames L. Heskett, Harvard Business Review, March/April 1987, p. 120.1. Target Market segments Population Statistics Population above 920 mill. people with unsubtle varietyof economic levels, social statuses, and cultures. Lowest per capita GNP $255,population growth 2% p.a. Growth real GNP 4.5%. Middle class 270 mill. Wealthy30 cardinal people. Target Market Segment Upper middle class, the wealthy, and companyemployees with health insurance (108 million in 1994 ). Half of the middle classable to pay for private health care. Current Market Status Most hospitals are state run at very low cost, lowtech, and low quality. Private checkup facilities are available - advancedlyspecialized, charging market rate (not latest technology but provides privacyand intimacy). Treatment of a complex ill in a private institution is moretime consuming and expensive. Economic liberalization domestic and multinational companies - morecompetition Demography urban, high income as dictated by upper middle class and eliteclass, neighboring countries. Psychography Targeting people who can afford plenary high qualityservice who are ready to pay more money for the comfort and treatment by morereputed doctors. Market Growth (income + segments growth) Sizable market of 30 million(wealthy ) and 135 million upper middle class person. Proposed Plan Comprehensive hospital emphasizing on tertiary care --advance therapy and surgery, complicated aesculapian problems. Primary care isstressed mainly through preventive measures. High quality medical care throughthe latest medical technology and the silk hat qualified staff.2. Service Concept The aim is to provide outstanding value to patient through superior medicalresults, quick treatment, and a low chalk up cost of care relative to competitors.This can be achieved through the Five stars management philosophy medicalpersonnel, medical technology, employees, value and hospitality. Customers perception high quality, comprehensive service at 10-15% belowthan the top hospitals in Bombay and Delhi in a shorter time period (on average7 days versus industrys average of 9-12 days). Superior medical treatment success rate at par with highest internationalstandard, competitive total cost of care.3. Operating Strategy Hospital operates under the Five Stars philosophy.1. health check personnel Highly skilled and experienced doctors mostly returningfrom western countries (well known both academically and clinically). Welltrained and motivated junior doctors, technicians, nurses, and separate supportingstaff.2. Medical technology Latest available technology, constant and quick update,