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C hallenges and pitfalls to maintain revenue generating services in He Eye Care System

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C hallenges and pitfalls to maintain revenue generating services in He Eye Care System. Prof. Wei He, MD, PhD, MBA Founder and Chairman of He Eye Care System WPR Co-Chair IAPB Vice President of Chinese Ophthalmologist Association - PowerPoint PPT Presentation
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1 C C hallenges and pitfalls to m hallenges and pitfalls to m aintain revenue generating s aintain revenue generating s ervices ervices in He Eye Care in He Eye Care System System Prof. Wei He, MD, PhD, MBA Founder and Chairman of He Eye Care System WPR Co-Chair IAPB Vice President of Chinese Ophthalmologist Association CPPCC Member (Chinese People’s Political Consultative Conference)
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Page 1: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

1

CChallenges and pitfalls to maintain hallenges and pitfalls to maintain revenue generating servicesrevenue generating services in He in He

Eye Care SystemEye Care System

Prof. Wei He, MD, PhD, MBAFounder and Chairman of He Eye Care System

WPR Co-Chair IAPBVice President of Chinese Ophthalmologist Association

CPPCC Member (Chinese People’s Political Consultative Conference)

Prof. Wei He, MD, PhD, MBAFounder and Chairman of He Eye Care System

WPR Co-Chair IAPBVice President of Chinese Ophthalmologist Association

CPPCC Member (Chinese People’s Political Consultative Conference)

Page 2: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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HECS

Page 3: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Chanllenge: Patient volume is increasing slower

• Chinese GDP growth declines – Local financial revenue drop – The capacity of Health Insurance decreased.

Page 4: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Chinese Medical Reform

• Hospitals in counties and towns are enhanced by the governments -- Most of patients will first visit county hospitals; -- Renewed equipments and facilities in county and town hospitals to cover

80% diseases

Page 5: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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• 75% of medical costs reimbursement in basic-level hospitals.

• 45% in He Eye Hospitals.

Challenge:: Chinese Health Insurance policy

Page 6: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Solution 1: HECS Model Advantage • HECS provides affordable, acceptable, continuous and high-

quality eye service reduce the burden of patients and governments patient volume keep growing revenue increase.

• Pricing advantage. For Example : cataract surgery (IOL) in 2011

Name of the Hospital Price (RMB)

Eye

HospitalsShenyang He Eye Hospital 5451.11

Shenyang Aier Ophthalmology 6452.53

Public

Hospitals

The Fourth Affliated Hospital of China Medical University

6665.57

Shenjing Affiated Hospital of China Medical University

7971.93

Shenyang No. Fouth People’s Hospital 9779.58

Page 7: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

7

HECS’s model is recognized and duplicated in China.

COECOE

Regional Eye Regional Eye HospitalsHospitals

City hospitalsCity hospitalsCataract &RE CentersCataract &RE Centers

CountCounty hospitalsy hospitalsTele-Tele-ophthalmic Clinicsophthalmic Clinics

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Eye C

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Page 8: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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1. Telemedicine: 44 in Liaoning, 70% of

the eye care market

Solution 2: Cooperate with county level hospitals

Benefits from: Share patients in cooperated hospitals, increase HEH

revenue; Reduce the time and cost of transforing patients and

seeing a doctor, satisfy the patients ; Refer the patients to He Eye Hospitals, increase HEH

revenue.

Page 9: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Page 10: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Benefits from:• shorten the time and reduce medical cost of out

reach activities by He eye hospital; • Increased the volume of referred patients to He Eye

Hospital;• 30,000 grass-roots doctors in Liaoning, 30,000

cataract surgery /year.

2. Training grassroots doctors ----instead of outreach teams from HECS

Page 11: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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• The HECS model solve eye problems in China and makes eye care affordable to all. HECS will not only gain economy benefits, but win a good reputation with enthusiastic at public welfare as well.– MOH set up the first National Training Base for the

Prevention and Treatment of Blindness in China in June 2012.

– The HECS model is duplicating in Taizhou City, Jiangsu Province.

Page 12: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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He’s University

Page 13: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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He’s UniversityHe’s University

Page 14: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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In 2012, Prof. Wei He reported to the State President, HU Jintao on He Eye Care System model

Page 15: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Vice President, Jinping XI met Prof. Wei He

Page 16: C hallenges and pitfalls to maintain revenue generating services  in  He Eye Care System

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Thank You


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