Ensuring Return on Capital in Healthcare in India - Can you afford to ignore Digital ?
Arun Kumbhat
Transformational Leader - Traditional & Knowledge Economy | Change-at-Scale Experience | Mentor | Market Shaping | Government Relations | Investment, Innovation | HealthTech, MedTech | Partnerships | Communities | Deals
India adopted Universal Healthcare as a development goal in September 2017 through the National Healthcare Policy document released. A lofty goal for a country where 80% or more of healthcare was paid by the patient out of pocket. Not to forget that we speak of a nation with 1.3 Billion people and 65% people between the age of 18 and 35 !
Epochal Indeed ! It went beyond, adopting a preventive stance and folding in traditional medicine systems to take a Wellness Approach instead of the 'sickness approach'.
The subtle but huge shift is that care delivery is no longer going to be an out-of-pocket expense for the Patient. A third party payer be they public bodies or private health insurance would mean a different payer behaviour and a change in compliances for the provider.
A lack of understanding and alignment with this shift can seriously impact payment cycles for Healthcare Providers and hence Return on Capital Employed.
The recent trend of Indian Healthcare Providers being acquired by larger entities both Domestic and International is a clear indication of challenges in Returns on Capital Employed.
The healthcare information systems in these various entities are siloed with multiple sources of technology and a fragmented Healthcare IT market. This will present an interoperability challenge.
Fortunately the National Digital Health Blueprint has been released and will quickly be a reality with the kind of momentum that the Government is investing in it.
Aligning with this blueprint will make things easier for the Healthcare Service Provider community and improve returns on capital. It would also mean that Technology providers who are cognizant of the implied changes and proactive to align with the new ecology with reap rich rewards.
for a detailed discussion please feel free to reach me at [email protected]
Business Strategy and Consulting, Solution Design, Digital Transformation, Transaction & Transformation, PMP?, 6 Sigma
5 年Very informative article sir, IT in health care has become essential for countries like India, where large population is taking burden of illness on their own pockets. Rising health care cost, inefficiency in govt delivery systems and lack of transparency in private health care system are among key challenges
A 7th generation jeweller from the Surana lineage, devoted to crafting timeless treasures and dedicated to philanthropy, enhancing lives globally.
5 年Businesses which are connected digitally are doing great. No business can grow by ignoring digital mode. Need your inputs and guidance on how to progress more by adopting digital technology in our works. Regards ??
On a Relentless Journey | Today, I'm a Nobody—Questioning the Obvious, Building & Investing in the Unseen to Be a Somebody.
5 年Arun well put
Pre-Seed/Seed VC @ Huddle Ventures
5 年Let’s hope the blueprint provides enough substance for the healthcare IT market to implement Universal Healthcare.