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The Neighbourhood’s Clinic MEDIVIRON group of clinics is one of…
The Neighbourhood’s Clinic
MEDIVIRON group of clinics is one of the largest chain clinics in Malaysia with over 173 clinics strategically located in residential, commercial and industrial areas across Wilayah Persekutuan, Selangor, Negeri Sembilan, Melaka, Johor, Perak and Penang. The business was founded by Datuk Dr. Lim Heng Huat in 1984 and the first clinic was opened in 1985 in Sea Park, Petaling Jaya, Among the services provided by MEDIVIRON clinics are general medical treatment and consultation, health screening, medical check-up, circumcision, antenatal and postnatal care, immunization and vaccination for adults and children and occupational healthcare. In fact, MEDIVIRON is the first company in Malaysia which provides a comprehensive occupational health and safety consultancy.
The group’s experience in the area of occupational healthcare probably was the reason for the Malaysian government to give approval to MEDIVIRON to conduct occupational hygiene monitoring for airborne lead and to carry out medical surveillance under the Factories and Machinery Regulations (1984). The approval helps to expand MEDIVIRON’s market to corporate clients. The group currently has more than 8,000 corporate and industrial clients. The strong tie between MEDIVIRON and the corporate and industrial clients can be seen when the group’s founder, Datuk Dr. Lim represented the Malaysian Employer’s Federation at the International Labor Conventions on Asbestos and Man Made Mineral Fibers in Geneva. MEDIVIRON is also working closely with Social Security Organization (SOCSO) in organizing seminars to create health and safety awareness in the workplace.
In the 33 years of its establishment, MEDIVIRON has won several awards. Among them are Asia Pacific Entrepreneurship award in year 2015 and the Brand Laureate for Asia Pacific Brands Foundation a year before that. Despite the recognitions received, employing the right strategy is very critical for MEDIVIRON as the Malaysian healthcare industry is rapidly growing. In year 2016 the industry contributed more than RM1 billion to the country’s GDP, This year, the contribution is expected to increase to over RM5 billion. The growth of the sector can be explained by multiple factors including the changing demographic profile of the Malaysian society and the demand from healthcare travelers (i.e. citizens of foreign countries who travel to Malaysia purposely to seek medical treatment). Domestically the society has become more affluent and more health conscious. Both trends created more demand for healthcare service. Apart from that, the Malaysian society is ageing and naturally the aged requires more medical attention.
The Malaysian industry has historically been dominated by the public sector with the government investing millions to build, upgrade, equip and modernize public hospitals and government clinics. Over the last decade however, the private healthcare services has developed rapidly. To spur the sector’s further growth, the government has introduced many initiatives including allowing locum practices for Ministry of Health (MOH) doctors (i.e. doctors who are employed by the government can work on part time basis in private hospitals and clinics). Similarly specialists who are attached to private hospitals can be engaged for consultation in government hospitals and paid accordingly. In addition, the government also outsources certain services like hemodialysis, radiotherapy, MRI and CT scan to the private sector.
As more growth opportunities appear in the market, more vultures emerge to share the enlarged pie. According to the Deputy Health Minister, Datuk Seri Dr. Hilmi Yahaya, approximately 150 specialist doctors from government hospitals resign every year, mostly due to dissatisfaction with the bureaucracy in the public sector. These doctors typically will join the private sector after leaving their civil service. MEDIVIRON’s years of establishment and list of awards may not be sufficient to retain its patients. One of its doctors who is pursuing his Master of Business Administration (MBA) tried to prepare a CPM to determine how the group fares compared to its competitors. Table 1 below shows the doctor’s incomplete CPM.
Table 1: CPM of MEDIVIRON Group
MEDIVIRON Qualitas Group Poliklinik Doktor Azhar & Rakan-rakan
CSF W R WS R WS R WS
Number of fulltime doctors
3 2 2
Number of clinics
4 2 3
Number of qualified nurses
3 2 1
Location of clinics
2 2 2
Variety of services
4 3 3
Financial strength
3 4 2
Bond with insurance companies
4 4 2
Relationship with pharmaceutical companies
3 4 2
Waiting time (for patients to be treated)
1 3 2
Quality of medicine
3 2 2
Total
References:
Country Health Plan: 10th Malaysia Plan 2011-2015, retrieved from http://www.moh.gov.my/images/gallery/Report/Country_health.pdf on March 31, 2017
Malaysia’s healthcare industry eyes RM5b in revenue contribution to 2017 GDP, retrieved from http://www.themalaymailonline.com/money/article/malaysias-healthcare-industry-eyes-rm5b-in-revenue-contribution-to-2017-gdp http://www.themalaymailonline.com/money/article/malaysias-healthcare-industry-eyes-rm5b-in-revenue-contribution-to-2017-gdp#sthash.QwSxrg1k.dpuf on March 31, 2017
Healthcare, retrieved f..-@-Healthcare.aspx on March 31, 2017
150 specialist doctors quit every year, Health Ministry reveals, retrieved from http://www.themalaymailonline.com/malaysia/article/150-specialist-doctors-quit-every-year-health-ministry-reveals#sthash.iLwjDWm1.dpuf on March 31, 2017
Question
Construct an EFE matrix based on the mini case entitled The Neighbourhood’s Clinic above. The number of factors in the matrix should be at least TEN (10). Note that the mini case was written in 2017 hence some information may not be relevant for your EFE. Please use general knowledge on the healthcare industry as well to complete the EFE. (12 marks)
Each factor that is written in a self-explanatory manner and correctly classified as opportunity / threat:
Format (title of the matrix, labelling of columns, opportunity/threat, weight totaling to 1 and each weight is different from another, rating between 1 to 4 and weighted score is correctly calculated and summed up):
