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- UK firm fails to sell 'accreditation' to Indian hospitals

Update at 16:00 Hrs - 03rd April, 2003

UK firm fails to sell 'accreditation' to Indian hospitals
EHM News Bureau - Mumbai

British consultancy firm Nuffield Healthcare International is looking at managing hospitals and preparing them for international accreditation. The idea is also to strike an association with hospitals here so that the British National Health Service can send its patients to India.

Also, affiliation of an Indian Hospital with Nuffield, which is a big name in Europe, would attract patients for treatment in India, says Howard Lyons, director, Nuffield Healthcare International. Nuffield is just one of the many companies outside India to be looking at India as a potential opportunity.

But the Indian hospital heads are not impressed. Dr Sujit Chatterjee, CEO, Hiranandani Hospital, opines that getting consultancy on managing hospitals is not necessary since that expertise already exists here. "There are other things that they can offer, like training, processes, etc. Their processes are so seamless that the system becomes smooth. That is where we fail."

Agrees Dr Ashok Bhatkhande, director operations and business development, Bhatia Hospital, "We don't need them for anything. Yes, may be some of their medical management aspects, for example practice guidelines or evidence based medicine may be worthwhile. But we can self-discipline ourselves. Our, technology, doctors and nurses are on par with the rest of the world."

What seems to be a favourable option, as identified by Australia and British deputy High Commission is "consultancy and accreditation," apparently, keeping in mind the boom in private sector and growth in the number of hospitals. EPOS Health Consultants, Germany and American Institute of Medicine, USA are already offering hospital management consultancy in India
through their Indian arms.

Howard Lyons, managing director, Nuffield Healthcare International, which plans to do business in India says, "We would like to confer international accreditation, Health Quality Assurance (HQA) on the hospitals here." But does anyone in India know about HQA? Says Lyons, "JCAHO is recognised only in the US. Would patients from the US come to India for treatment? It makes
more sense to go in for HQA."

Dr Chatterjee, however, is not in favour of getting accreditation from foreign organisations. "We can develop it ourselves by different hospitals drawing up guidelines and accrediting each other. That is how the system will be apt for healthcare standards that prevail here," he says. Agrees Brig Joe Curian, CEO, Hinduja Hospital. "Accreditation should be adapted and customised for India. Only then can we think of it. It has to come from a non-profitmaking company."

Secondly, no investor has looked at setting up hospitals in spite of 100 percent liberalisation on FDI. In future too, this is highly unlikely, say experts. Lyons says that they would not be interested in setting up hospitals. David Hawkins, advisor to Trade Partners UK, also admits that the entrepreneurs are not looking at expanding business by way of setting up hospitals. Says Dr Chatterjee, "Let them come and invest here, not just offer consultancy for a few millions."

Dr Bhatkhade does not believe that any expertise in terms of training or management lacks in India. "Whatever happens, we would never bring a hospital to the closing stage as it happens so commonly in the US." Yet the aura that surrounds the "foreign tag" is inexplicable.

The new entrants in healthcare certainly are looking at associations with the companies abroad. That, feel the veterans in hospital administration is unnecessary. Says Dr Bhatkhande, "From the marketing angle, it is not worth the price you pay and if it is just a technical transfer, one doesn't need the brand."

And as Major Gen Vijay Krishna, CEO of Breach Candy Hospital, says, "There is no need to consult people from outside. We have enough expertise in India. Secondly, we should concentrate on developing healthcare for the poor. The rich can get service anywhere."