SBM Report

2054-II MAIN CAMPUS

Kehkashan Khalid Hadeeqa Ismail Salman Ghani Areeb Ekhlaque Hasan Abdul Ghaffar

Assignment 1: Ahmed Eye Hospital

Ahmed Eye Hospital:

Ahmed Eye hospital is a charitable institution, designed to provide immediate medical care with specialty in the eye department. The founder, Dr. Khalid Ahmed wanted to create a center for medical care that would be easily accessible to the community at large; this meant 24 hours of medical care coupled with prices that the average patient could handle. The only hindrance was that most medical centers charge a premium consulting fee without which it is difficult to maintain and operate the rest of the hospital, so how could this hospital be run while charging a price below average? Ultimately, the founder established a family trust with an initial amount of Rs 40 Lakhs. This family trust consists of 7 members who meet quarterly to discuss progress and future prospects. Architect Arif Shah was consulted as per the planning and design of the construction of the hospital. The hospital was inaugurated by the D.I.G Karachi and several other famous people found solely on the basis of the networking abilities of the founder. This gave the hospital immediate visibility. This was accompanied by the distribution of 50,000 flyers and brochures all over the city. A contact was also found who gave the hospital access to notice boards in buildings where they also advertised. At start up the hospital would charge Rs 10 for an eye check-up which is virtually free. The burden of maintenance was borne by the owner and the hospital was initially running at a loss. Now they charge Rs. 30 as a token amount, which is still essentially free of cost as it is affordable by almost everyone and the hospital runs at no-profit no-loss. The marketing of the hospital is actually through a sister concern which is a regular 24 hour hospital established by the owner (one that charges a normal fee). Since many patients are aware of that Hospital (Ahmed General HospitalKathiawar Medical center) and aware of the

reputation of the owner, a practicing eye surgeon, they are fully willing to recommend the services of Ahmed Eye Hospital to those who cannot afford the regular fees. This is because they are aware that a well-reputed eye surgeon will be giving free consultancy. The hospitals primary USP is that they offer personalized care at a low price. Any cost of the hospital is borne by the entrepreneurs own personal income and the administration of the hospital is also managed by him; delegated of course to certain Resident Medical Officers (R.M.Os) and one Administrator. The biggest problem faced by the hospital was that initially there were no patients and yet the hospital had to be maintained which was a huge expense. And even after patients began to arrive the difficulty was that they were charged such a small amount that it was highly inadequate for the maintenance of the machinery and personnel required to provide special care which was the Hospitals primary target. However, this problem was overcome through two avenues: Firstly, the entrepreneur had great belief in the ability of this business model to work and put in generous doses of his own earnings in establishing and running the hospital. Secondly, he interviewed and selected professionals who shared his ideals and were committed to the cause to work within it. This has resulted in a now well-established hospital which provides care that is premium at a price that is affordable for all those people who may never have had a chance to see the world.

Figure 1: Dr. Khalid Ahmed with Patients