Arab Academy for Science & Technology
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Added on 2020-12-07
Arab Academy for Science & Technology
Added on 2020-12-07
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Arab Academy for Science & Technology & Maritime TransportArab Academy Graduate School of BusinessMBA – Cairo CampusA Comprehensive Analysis on HealthSector in Egypt –Egyptian Ministryof Health and PopulationSubmitted by, 17224574International BusinessTable of ContentsPage 1
1Introduction32Business units43Existing Vision44Existing Mission & its Assessment45Proposed Vision 203056Industry /Task (External) Environment5(Five Forces Analysis)56.1.1Threat of new entrants:66.1.2Rivalry among existing firms:66.1.3Threat of Substitute Products or Services:76.1.4Bargaining Power of Buyers:76.1.5Bargaining Power of Suppliers:7PESTEL Analysis86.1.6Political86.1.7Economical86.1.8Social86.1.9Technology96.1.10environmental96.1.11Legal10Situation Analysis Tools106.1.12External Factor Evaluation (EFE) Matrix116.1.13Internal Factor Evaluation (IFE) Matrix126.1.14The Resource Based View166.1.15SWOT Matrix196.1.16TWOS & Proposed Strategies206.1.17Space Matrix236.1.18BCG Matrix256.1.19Quantitative Strategic Planning Matrix (QSPM)267Recommended Strategies/ tactics28Intensive Strategies (Market Development)287.1.1Recommended Key performance indicators for (Market Development).29Intensive Strategies (Market Penetration)297.1.2Recommended Key performance indicators.30Expansion using Joint venture strategy31Page 2
7.1.3Recommended Key performance indicators.31Outsourcing32Digitalization327.1.4Internally327.1.5Externally348Blue Ocean Strategy349Short Term Objectives/ Goals3510Long terms Objectives.3611Recommended Key performance indicators for MOHP.37Change Management3712Balance Score Card3913General recommendation4214References421IntroductionThis paper encloses the work on analyzing the case of Egyptian Ministry of Health and Population ,Building an Innovation Center & putting steps for the recommended strategic plan. Egyptian Ministry of Health and Population is one of the oldest pillars of the governmental sectors , which formed initially in 1936 with a lot of functions and activities.Page 3
Ministry of health are managing all the Public Health insurance , Ministry of Health Hospitals , Primary Health units and Vacsera Vaccination Centers which manage the human and animals Vaccine and Blood bankAlso Its manage some inchiatives to decrease number of infected people with virus C and early detection of cancer breast and curing poliomyelitis .Egyptian Ministry of Health and Population has its own budget which increased year by year till it reach about 254 Billion EPG (Budget 2020) which consider 5% of the Whole Egypt Budget and expecting to be increased rapidly due to the pandemic Covid 19.Knowing that Health is the main pillar for pushing the Egyptian Economy to be in a good shape , As it is directly affecting the key factory which the human body.And due to the Pandemic the world will be new visions for importance of health for all citizen and increase quality of systems and Improve the infrastructure of primary and secondary health care centers and its main connectivity with the Global digitalization’s and toget use of the Digitalization in data mining to have best control deceases and predict the different scenarios in virus spreads.2Business unitsMOHP is composed for Main Business units as follow:1.Primary units: which is located in each small Village2.Public Health insurance3.Ministry of Health Hospitals.4. Vacsera Vaccination Centers 3Existing Vision“Protecting the Health of the Egyptian citizen using medical treatment, preventive vaccine and increase the quality of Service Provided through ministry network.Also minimize the infection rate using predictive analysis. 4Existing Mission & its AssessmentPage 4
Global strategic plan for Medical Sector in alignment with Global Country Direction.Securing the upgrading of the Ministry entity to be UpToDate in technology and equipment’sInsuring of local inventory management for critical items and assets in case of any pandemic.International cooperation and Foreign affairs in alignment with Global Country Direction.Insuring the connection between scientific research in all health sectors with the local Country Vission 5Proposed Vision 2030All Egyptians enjoy a healthy, safe, and secure life through an integrated, accessible, high quality, and universal healthcare system capable of improving health conditions through early intervention, and preventive coverage. Ensuring protection for the vulnerable, and achieving satisfaction of citizens and health sector employees. This will lead to prosperity, welfare , happiness, as well as social and economic development, which will qualify Egypt to become a leader in the field of healthcare services and research in the Arab world and Africa .6Industry /Task (External) Environment(Five Forces Analysis)Porter'sFive Forcesis a framework for analyzing a Ministry competitive environment.Page 5
6.1.1Threat of new entrants:There are Low barriers to the new entrants (Competitors) such as: Private clinical services, Medical Complex centers and chartable Hospitals as the Rate of Growth of the business is high and demand increased due to increase of rate of awareness in society healthcare.6.1.2Rivalry among existing firms:The current rivalry with the MOPH is so Complex due to Presence of dual Economy in our Country, which means that we have upmarket people which seek for high quality and service which mainly go to the private medical sectors Page 6
and down-market people which seek for Cheaper service with moderate quality. Which mainly targeting the charity hospitals.6.1.3Threat of Substitute Products or Services:The threat of substitutes is low in the short term but has the potential to increase. Due to increase of all kind of accepted medical service that can alternative to same service quality.Like herbal remedy using the traditional cure methodology which have good Results in somecases with low cost alternative to the standard medical treatment.6.1.4Bargaining Power of Buyers:Bargaining power of buyers within the MOHP lies primarily on the Social level for the patients, as the up market segments required high level of service and quality without respect to the cost , that’s why meeting their expectation is mandatory to have sustainable business with such customer.Also they required a special type of preventative vaccines without respect to Price which mean that they have easy switching cost for alternatives in case of advanced treatment.On the other side the down-market level required cost optimized service that meet the min requirements6.1.5Bargaining Power of Suppliers:Bargaining power of Suppliers have low bargaining power in the MOHP. The Demand on themedical equipment’s and Medical Supplies are very high with limited number of suppliers,And lack of local procedures for equipment’s and suppliesAlso governmental laws, regulation and restriction for importing the foreign Supplies from Our side the Country.PESTEL AnalysisPage 7
Is a framework or tool used to analyze and monitor the macro-environmental (external environment) factors that have an impact on an organization.PESTEL stands for:6.1.6PoliticalPolitical factors play a significant role in determining the factors that can impact Healthcare as :Anti-trust laws related to HospitalsPolitical stability and importance of Hospitals sector in the country's economy.Trade regulations & tariffs related to HealthcareRisk of military invasionHigh level of corruption Index ( 105/180 transparency international organization)6.1.7EconomicalThe Macro environment factors such as – Economic Growth rate , Inflation rate (6%. “CBE June 2020”) and currency devaluation, interest rate, foreign exchange rate andunemployment rate (9.2% - Covid 19 effect. “CAPMAS May 2020”) affect the Healthcare sector , as it define the amount of money that shall be send from the citizen in the Health segments and prioritize Health in the second priority and which level of service and quality will be determined depend on his income.6.1.8SocialSociety’s culture and methods of doing things impact the culture of an organization inan environment. Shared beliefs, habits and thoughts of the population play a great role Healthcare sector.Page 8
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