If there is one man deserving of wide-spread media attention, it is Dr. Devi Shetty. Dr. Shetty is most famous for leveraging economies of scale to provide high-quality low cost healthcare to patients from across the world. In 2009, institutions run by Dr. Shetty were carrying out 15% of all cardiac surgeries in India.He has been even been called the “Henry Ford of heart surgery” by the Wall Street Journal.
Essentially, what Dr. Shetty’s model goes to prove is that essentially, the private sector is capable of serving all strata of society efficiently. Hospitals such as Apollo, Max and Fortis may effectively serve the top strata of society, but government hospitals have also not emerged the as most efficient option for the lower-middle class.
In this context, Dr. Shetty’s hospitals (fast expanding network across India) have proven that there exists a potential for profit even when serving those with lesser purchasing power. It allows the possibility of the government eventually replacing the existing government run healthcare machinery with state sponsored insurance, redeemable at private institutions. After all, if the government seeks to provide healthcare to its poor sections, who said it is essential for the government to also build the hospitals? The government can act as a facilitator. By subsidising health insurance, the government allows the poor to be served by efficient private sector institutions such as those run by Dr. Shetty.
“Government run healthcare is inefficient across the world. From the United States to Sweden, government run healthcare has resulted in massive increases to the fiscal deficit. Instead, when the government facilitates the poor to access private institutions that are run for profit, what emerges are better healthcare outcomes for all”, says Sonakshi Singh, an Economics Honours graduate.
I salute Padma Bhushan Dr. Devi Shetty and I wish India sees more such men that are able to revolutionise private sector services for the masses
To know more about Dr Shettys contribution, please visit http://www.narayanahealth.org/