Aravind Eye Hospital - Methodology

Methodology

Initially, Dr V attempted to raise funds and planned to start Aravind as a free-for-all hospital catering to the poorest section of the society, who could not afford to pay for eye surgeries. After he was unsuccessful in his efforts, he decided to start with the Hybrid model.

In the beginning, eye camp sites were organised all over Tamil Nadu, where eye glasses were prescribed and fitted. However, no surgeries were performed at these sites, which was the common practice at that time; all patients were examined at the sites and referred to the main hospital in case surgery was required. These eye camps were free for all the poor patients. Through health education and various other initiatives, strong case was made for Intraocular Cataract Lenses (IOLs). Both camp and walk-in free patients were required to pay Rs.500 or $10 approx for IOL surgeries(Aurolabs brought down the cost of surgery significantly). For deserving cases, the charge could be waived by the doctor in charge at the Out Patients Department(OPD). Later, in 1995 when the Government launched a cataract blindness control program with World Bank funding and offered a subsidy for the Aravind camp patients, the camp patients were not charged this amount. During the initial period, the yield was less than 20 percent, that is less than one in five patients availed the option of free surgery due to the various barriers that poor people faced in making a choice about eye surgery such as food, lodging and transport. By reducing the time taken for each surgery and other initiatives Aravind has managed to increase the acceptance rate to over 80 percent today. In 2007-08, Aravind performed a total of 285,745 surgeries. Out of these 200,123 were for cataracts. At a total cost of $10.1m, this leads to $35 per surgery performed.

Aravind follows unique HR policies and a well-evolved inhouse training operations. Currently, it runs programs to develop ophthalmologists, paramedics, eye care managers and support service personnel. It was accredited to offer diplomas in ophthalmology in 1982, and subsequently recognized to offer MS in ophthalmology in 1986. Since 1988, it has also been offering fellowship programs in various disciplines of eye care. Aravind recruits without any media advertisements, something which is a common practice in India. Aravind advertises its personnel needs through announcements during camps and referrals through employees. On joining the work stream, each employee quickly realizes the importance of the founder’s values. This breeds a spirit of involvement and accountability. It goes a long way toward building up a fierce brand loyalty. Effective compensation systems and welfare measures back up the high moral ground and help retain employees. Overall, it is clear that the hospital’s self-sustaining and organic HR template draws and retains the best medical talent.