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Strategy Management: Submitted By: Vaibhav Arora, Jasvin Singh, Hitesh Gupta, Soumendra Kumar Dash

The document discusses Porter's generic strategies and their application by various hospitals in India. It begins by introducing Porter's generic framework, which proposes three strategies for competitive advantage: cost leadership, differentiation, and focus. It then summarizes several Indian hospitals and how they employ Porter's strategies. Narayana Hrudayalaya focuses on affordable healthcare and health tourism using a cost leadership approach. Aravind Eye Care Hospital achieves low costs through standardized high-volume production and a reproducible business model. Apollo Hospitals uses both cost leadership through efficient operations and differentiation based on clinical and academic excellence. Medanta Hospital emphasizes patient-centric and cohort-driven care while maintaining world-class and affordable services.

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0% found this document useful (0 votes)
135 views

Strategy Management: Submitted By: Vaibhav Arora, Jasvin Singh, Hitesh Gupta, Soumendra Kumar Dash

The document discusses Porter's generic strategies and their application by various hospitals in India. It begins by introducing Porter's generic framework, which proposes three strategies for competitive advantage: cost leadership, differentiation, and focus. It then summarizes several Indian hospitals and how they employ Porter's strategies. Narayana Hrudayalaya focuses on affordable healthcare and health tourism using a cost leadership approach. Aravind Eye Care Hospital achieves low costs through standardized high-volume production and a reproducible business model. Apollo Hospitals uses both cost leadership through efficient operations and differentiation based on clinical and academic excellence. Medanta Hospital emphasizes patient-centric and cohort-driven care while maintaining world-class and affordable services.

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Vaibhav Arora
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© © All Rights Reserved
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STRATEGY MANAGEMENT Submitted By: Vaibhav

PORTERS GENERIC FRAMEWORK Arora, Jasvin Singh ,


Hitesh Gupta , Soumendra
Kumar Dash
PORTER’S GENERIC STRATEGIES

 Given by Michael Porter in 1980.

 How companies can have


competitive advantage with right
strategy.
NARAYANA HRUDAYALYA HOSPITALS
 Founded in 2000. Founder: Dr. Devi Prasad Shetty. (performed >15000 heart surgeries

 Originated in Bengaluru and expanded throughout India and Cayman .

 30 medical specialties in 23 medical centers in India. Known for affordable health care

 USP: Open Heart surgery and Health Tourism.


 ELIMINATES DISTRIBUTION COSTS

 ECONOMIES OF SCALE
 SINGLE STOREY HOSPITALS

 MAXIMUM OUTPUT
https://www.youtube.com/watch?v=qssQTPqz0_0
ARAVIND EYE
CARE HOSPITAL
PORTER’S GENERIC
FRAMEWORK
 Founded by Dr. Govindappa Venkataswamy
(popularly known as Dr.V) at Madurai, Tamil Nadu in
1976
 It has grown into a network of eye hospitals and has

INTRODUCTION had a major impact in eradicating cataract related


blindness in India
 As of 2012, Aravind has treated nearly 32 million
patients and performed 4 million surgeries.
 USP – TO ELIMINATE NEEDLESS BLINDNESS
ELEMENTS OF
BUSINESS
MODEL
Aravind Eye Hospital has managed to spread its golden-
arched empire across the planet based on

BUSINESS  Systematic high-volume production of services offered


at low cost
MODEL  Idea of reproducibility
 Staff are trained in a core set of skills which are
common to all its operations
COST LEADERSHIP STRATEGY

TO PRESERVE THE MARKET FOCUSES ON AFFORDABILITY AND FREQUENTLY OFFERS DISCOUNTS


LEADERSHIP POSITION THROUGH EASY ACCESSIBILITY OF ITS AND COUPONS
EFFICIENT VALUE CHAIN PRODUCE
MANAGEMENT
EFFICIENT VALUE  Productivity with quality

CHAIN  Cross-training the work-force

MANAGEMENT  In-house manufacturing
DIFFERENTIATION STRATEGY

The adoption of
differentiation as a
secondary generic
Addressing the
strategy allows
consumers’ growing
Embedding the Aravind Eye Hospital
health concerns by
innovation to expand the
increasing the product
customer base by
line
emphasizing over the
unique product
features.
FOCUS STRATEGY
• Aravind Eye Hospital adopts the focus strategy both in terms of low cost
and offering the best value. The low-cost focus strategy is adopted by
serving the needs of a niche market segment at the lowest possible price.
While, best value focus strategy is adopted by emphasizing over the taste,
size and design of the product that could best match the customers’
needs and requirements.
• By focusing on product attributes, Aravind Eye Hospital revises its
branding strategies and brings continuous changes in the product
designing and packaging to satisfy the customers’ psychological
expectations and maximize value for money.
APOLLO
HOSPITALS
PORTERS GENERIC FRAMEWORK
VITAL ELEMENTS
IN OUR VISION FOR THE
FUTURE.
• An unwavering dedication to clinical
excellence.
• A relentless pursuit of
expertise.
• The ever-tender Apollo
empathy.
• Strong focus on future-ready healthcare
through education & research.
Dr. Pratap C Reddy
Founder Chairman - Apollo Hospitals Group
 Driven by its line of being the “architect of healthcare” in India, the Apollo Hospitals
Group, comprising of one of the largest networks of 26 hospitals, 10 clinics and over
10,000 employees across the country, represents the changing face of healthcare in
India contemporary and corporatized.
 It has been the first private company to administer health insurance in the country and
Indraprastha Apollo Hospital in Delhi is the fourth largest corporate hospital in the
world.

INTRODUCTION  With 2600 beds, Apollo is one of Asia's largest healthcare players. The recent merger
between its 3 group companies, Indian Hospitals Corporation Ltd., Deccan hospitals
Corporation Limited and Om Sindoori Hospitals Limited, will help the group raise
money at a better rate and by consolidating inventory, it will save around 10% of the
material cost.
 Apollo claims to maintain the best of medical standards with a record of over 7.4
million treated patients, 3,15,000 preventive health checks done, 98.5 percent success
rate in 45,000 cardiac surgeries, etc.
 The work processes hospital are primarily divided into two areas the patient
(comprising of in-patient and out-patient) and the non-patient all the back-end
departments like housekeeping, engineering, finance, materials, purchase and HRD.
Cost Leadership Strategy
 Proper asset Utilisation and minimise the waste through standardised
 A Huge Pharmacy Network
SOP’s & Lean Management

 In House Production Of Medicines


Differentiation Strategy
 Clinical E x c e l l e n c e  The New Healthcare Paradigm Is D r i v e n B y
Te c h n o l o g y
• Driven by skilled doctors &
detailed protocols
• 7 JCI accredited hospitals
• Revolutionary scorecard -
ACE@25, which evaluates
25 quality indicators
benchmarked against the
world’s best published
outcomes

 Academic Excellence • First 320 Slice CT Scanner and Cyber-Knife in India


Courses with: • Novalis Tx
• University of Queensland • Over 100 telemedicine centers and mHealth
• University of Sydney • Advanced Robotics
•Royal College of General Practitioners (RCGP), UK
• AHERF
• IGNOU
https://www.youtube.com/watch?v=6wvxNS
vxjIQ&t=4s
Courses for paramedics, nurses, physiotherapists and hospital administrators.
FOCUS STRATEGY

Cost Efficiencies and Focus On Improving key Operating metrics


Optimised Asset utilisation and minimum waste of all resources through standardised SOP’s and Lean
management. Increasing Average revenue Per Day per bed. Higher patient turnover by reducing average
length of stay and optimised ward processes for faster turnaround time of all diagnostic process.

The low-cost focus strategy is adopted by serving the needs of a niche market segment at the lowest possible
price, which means the market segment they are targeting is the middle class – upper class and providing
them the best services at best possible prices..

By focusing on product attributes, Apollo Hospitals Differentiation through Hospitality revises its branding
strategies and brings continuous changes in the product designing and packaging to satisfy the customers’
psychological expectations and maximize value for money
MEDANTA HOSPITALS

PORTER GENERIC STRATEGY


Introduction
India’s largest and most reputed multi-super specialty healthcare institute located in Gurgaon, Haryana.

Founded by Dr. Naresh Trehan an eminent cardiac surgeon in year 2009 (43 acre with 1250 beds)

Mission: To offer world class, affordable and holistic healthcare services.

In best hospital Ranking by newsweek.com Medanta is holding 2nd Rank in renowned medical services after AIIMS and
followed by Chirstian medical college, apollo at 5 th, Fortis at 8th , Bombay hospital at 13th and Manipal at 18th.

Average 20k plus international patients per year form 15+ different countries

Specialty: Cardiac, cancer, Kidney transplant, Plastic surgery, Diabetes etc.


MEDANTA COMPREHENSIVE MEDICAL ECOSYSTEM

https://www.youtube.com/watch?v=kaFyLPBGvEs
Patient Centricity
Patients at Medanta are provided with multiple options for treatment by extremely dedicated healthcare professionals who are trained to always put their patient’s interests ahead of
the institution when it comes to deciding a suitable course of diagnosis.

Cohort-driven treatment
The institution has been envisioned with the aim of bringing to India the highest standards of medical care along with clinical research, education and training. Medanta has been
established as the premier tertiary and quaternary care hospital and is a major referral center in the subcontinent.

Technologies
Constantly Endeavour to provide patients with the latest and most advanced treatment options using the latest technology for greater accuracy and reduced recovery time. Whether it’s
the Da Vinci robotic system for minimally invasive procedures of the heart, a 256-slice CT (computed tomography) scanner for 3-D imaging or Brain Suite for neurosurgery, At
Medanta, technology and innovation will be the key drivers for providing the best outcomes for our patients.

Holistic Approach
Patients at Medanta are provided with multiple options for treatment, the most suitable of which is arrived at through cross-function, cross-specialization committees that work
together to decide the best course of action in any given case. 

Infrastructure
With 10 multi-specialty hospitals, five teaching hospitals and several fertility clinics spread across North India. Medanta’s integrated facilities are designed to be equal parts hospital,
research centers and medical and nursing schools that come together to make institutions that live up to the highest standards of healthcare delivery across the world.

Medical Practitioners
Medanta, at its core, is a conglomeration of multi-super specialty institutes which are led by renowned medical practitioners most of whom are not just highly decorated, but also
pioneers in their respective arenas.

Specializations
Medanta’s massive 2.1 million sq. ft. campus houses facilities for over 22+ super-specialties, all under one roof. As a matter of fact, each floor at Medanta is dedicated to a single
specialization to ensure that they function as independent hospitals within a hospital and yet have the comfort of collaborating on complex cases.
LOW COST STRATEGY-PRICING STRATEGY
 1/10th price for treartment as comapred to Western countries

 Competitive pricing in Indian market offers the services at 15-20% low to have the high customer base.

 High performance value chain supported by technological development.

Focus Differentiation
Focus Differentiation
 In a nutshell Medanta matches the highest standard of healthcare delivery across the world

 It follows multi pronged strategy in the creation of brand value

 World class infrastructure with deployed cutting-edge technology and highly integrated and comprehensive information
system.

 Marketing Strategies Towards Medical Tourism.

https://www.youtube.com/watch?v=rOek5F-uPKc
THANK YOU!

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