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EF: What is Clinix’s role in the South African market?
KM: Clinix has a vital role as our mission is to provide accessibility through affordable healthcare for communities to live long and healthy lives. We started by bringing doctors to the area, and we are now trying to take it a step further. From a business perspective, we are fortunate that we are not a listed company, and this enables us to conduct business in a more socially responsible way. The next step is an attempt to implement an integrated delivery system to the Greater Soweto area. In this, we aim to provide from primary to tertiary healthcare facilities.
EF: How would you describe Private-Public partnerships, and what is the impact it has on your business? What are the lessons learned?
KM: We have been very fortunate to have interacted with the Departments of Health in several provinces in South Africa. In Limpopo, we had a partnership with the DoH where a Dialysis Centre of Excellence was established. There was also a PPP in Phalaborwa, where we renovated a Public Hospital to provide services to both Public and Private patients. Our experience with both of these projects was that the Dialysis service was very successful; however, the hospital in Phalaborwa eventually needed to be closed down. The lesson learned was the importance of clarity in understanding responsibilities as the dialysis centre partnership had this and is a success, but the hospital partnership did not.
With the Gauteng Department of Health, we had a successful partnership for many years. This project was for step-down patients from all the large teaching hospitals in the Johannesburg area. Presently, we are working with the department to accommodate some of their psychiatric patients. Our experience with the Gauteng DoH has also been an ambivalent one as we had believed the step-down facility was working well, but the service stopped abruptly. Our experience is that when a project is working well, it should be supported further.
We believe that the future of healthcare lies in cooperation between the Public and Private sectors.
EF: Do you view the National Health Insurance (NHI) as a challenge or an opportunity?
KM: The implementation of the National Health Insurance (NHI) is an opportunity. As a policy, the NHI is beneficial to the country; however, the challenge is how it is going to be implemented and when. Presently the economy is not doing well, and the public healthcare system requires a great deal of investment in order to be upgraded. The private healthcare sector is also struggling with issues of affordability and sustainability. None of the two systems are perfect; therefore, the success of the NHI is going to be highly dependent on a good working relationship between the public and private sectors. If we increase the numbers of public patients sent to the private sector without proper controls being in place, the private sector facilities and systems will be overburdened and collapse.
It would be useful for the Government to allow the private sector to assist in teaching and training
EF: How would you rate the current level of the healthcare infrastructure in the country?
KM: Public healthcare structures have been failing due directly to the high number of patients they need to attend to, and of course, dwindling budgets. The private sector, however, has been able to invest in their infrastructure systems. In addition to this, they have a lower number of patients, which allows for their infrastructure to be in far better condition.
One of the major challenges in both the public and private sectors is the lack of skills. This means an increase in training would lead to more skilled medical personnel being available for this labor-intensive industry. In particular, highly specialised doctors and nurses.
EF: What does Access mean to you?
KM: In the South African context, access to healthcare would mean that any person would be able to visit a primary healthcare facility in just a short walk. The worst-case scenario would be only one taxi ride. Furthermore, access should not be dependent on how much the patient can afford; it should be dependent on how ill they are. The healthcare system must allow the patient to receive the correct level of care.
EF: How do you see technology impacting healthcare in South Africa?
KM: Technology has and will continue to influence healthcare in a very positive way. Doctors are now moving towards less invasive surgery, and many procedures are now conducted in day-hospital typesetting. Because of gadgets such as cell phones and watches, patients can monitor their health status remotely, and doctors are also able to access this information remotely. This sees us moving into a future where a large percentage of our medical needs can be catered for without even having to see a medical practitioner physically. This speaks to the advancement of technology. The concept of telemedicine has been around for years and is now making a massive impact in terms of delivery. Going into the future, we – as healthcare providers, also have to change the way we are doing things.
EF: How are you using technology, and what are the biggest challenges?
KM: We use technology for monitoring the hospital financials and management systems, for surgery, and the monitoring of patients. The biggest challenge is “people.” The younger generations adapt quickly; however, for older people, technology is more challenging to trust. There needs to be a balance between the older and younger generations, as older doctors and nurses have vast amounts of experience.
EF: What are the Key Performance Indicators (KPIs) that are used or could be used for managing the performance of hospitals or clinics?
KM: In providing healthcare and also looking towards the future, KPI’s have to address the key areas of healthcare delivery and managing the performance of hospitals. This is and will continue to be entirely patient-centric. Patient outcomes and their journey are going to be the most critical issue. How they were received, the bed they slept on, the food they were served, how doctors and nurses treated them, and whether they were cured or not. Therefore all the staff, from the security staff to the doctor, have to be all about the patient.
EF: Why investors should address the Healthcare industry?
KM: Healthcare is crucial for a society to develop; therefore, our pitch highlights the importance of providing private healthcare to those communities who historically had no access to it. We do this in a way that makes it more affordable, as well as accessible. Meaning, in the worst-case scenario, it only takes one taxi ride to reach us. Another point is that we not only employ local people, but we also expose communities to varied skills development opportunities. In simpler terms, they gain experience on how to work in the private healthcare sector, something which would not usually have been available to these communities.
It is our opinion that healthcare is one of the best investments one can make. When providing for a healthy community, some returns are guaranteed on many levels for a very long time to come.
EF: In three years, you will be celebrating 30 years with the Clinix Group. On that anniversary, when you raise your glass of champagne, what would you like to celebrate with your team?
KM: This company was built brick by brick together with Clinix staff. We have had ups-and-downs, we have made mistakes, we have learned lessons and have stuck together. We have managed to create and keep jobs for the past 30 years, and have made a significant impact on the communities where we operate. Looking forward, before I retire, we hope to build at least two or three more hospitals. Essentially, we have all traveled together as a family on what has been the same, very incredible journey.
