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Harvard Case - Positive Outlier: Sri Lanka's Health Outcomes over Time

"Positive Outlier: Sri Lanka's Health Outcomes over Time" Harvard business case study is written by Julie Rosenberg, Tristan Dreisbach, Claire Donovan, Rebecca Weintraub. It deals with the challenges in the field of Strategy. The case study is 44 page(s) long and it was first published on : Oct 1, 2018

At Fern Fort University, we recommend that Sri Lanka's Ministry of Health (MOH) leverage its existing strengths and adopt a strategic approach to further improve health outcomes and maintain its position as a positive outlier. This strategy should focus on:

  • Sustaining and strengthening the existing primary healthcare system: This includes investing in infrastructure, training healthcare professionals, and promoting preventive healthcare practices.
  • Embracing technology and analytics: Utilizing digital platforms and data-driven insights to improve disease surveillance, resource allocation, and patient care.
  • Developing a robust public health infrastructure: Investing in research, disease control programs, and public health campaigns to address emerging health challenges.
  • Promoting a culture of health: Encouraging healthy lifestyles, promoting health education, and addressing social determinants of health.

2. Background

This case study examines Sri Lanka's remarkable progress in improving health outcomes over the past few decades, despite facing significant economic challenges. The country has achieved impressive results in reducing infant mortality, increasing life expectancy, and controlling infectious diseases. This success can be attributed to a combination of factors, including a strong primary healthcare system, a focus on preventive care, and government commitment to healthcare access for all citizens.

The main protagonists of the case study are the Sri Lankan Ministry of Health (MOH) and its various stakeholders, including healthcare professionals, policymakers, and the general public.

3. Analysis of the Case Study

SWOT Analysis:

Strengths:

  • Strong primary healthcare system: Sri Lanka has a well-established network of primary healthcare centers providing accessible and affordable care.
  • Focus on preventive healthcare: The country has implemented successful programs for immunization, maternal and child health, and disease prevention.
  • Government commitment: The government has consistently prioritized healthcare spending and policies.
  • Skilled healthcare workforce: Sri Lanka boasts a well-trained medical workforce, with a strong emphasis on public health.
  • Low healthcare costs: Compared to other countries, Sri Lanka's healthcare costs remain relatively low, ensuring affordability for its citizens.

Weaknesses:

  • Limited access to specialized care: While primary care is strong, access to specialized medical care and advanced treatments remains a challenge.
  • Inequities in access: Despite progress, disparities in healthcare access persist across different regions and socioeconomic groups.
  • Aging population: Sri Lanka faces a growing elderly population, leading to increased demand for geriatric care and chronic disease management.
  • Emerging health challenges: The country faces rising rates of non-communicable diseases, such as diabetes and cardiovascular disease.
  • Limited resources: Despite government commitment, resource constraints continue to limit healthcare infrastructure development and technology adoption.

Opportunities:

  • Leveraging technology: Embracing digital health solutions for disease surveillance, patient monitoring, and telehealth services.
  • Developing public-private partnerships: Collaborating with private sector organizations to improve infrastructure, access to specialized care, and innovative healthcare solutions.
  • Promoting health education: Investing in public health campaigns and educational programs to raise awareness about healthy lifestyles and disease prevention.
  • Focusing on research and innovation: Investing in research to address emerging health challenges and develop new treatments and technologies.
  • Strengthening international collaborations: Partnering with international organizations and institutions to share knowledge, expertise, and resources.

Threats:

  • Economic challenges: Sri Lanka's economic instability could impact healthcare funding and access to essential resources.
  • Emerging infectious diseases: The country faces the risk of emerging infectious diseases, requiring robust surveillance and response mechanisms.
  • Climate change: Climate change impacts on health, such as increased heat stress and vector-borne diseases, pose a significant threat.
  • Brain drain: The emigration of skilled healthcare professionals could further strain the healthcare system.
  • Political instability: Political instability could disrupt healthcare services and undermine government commitment to healthcare.

Porter's Five Forces Analysis:

  • Threat of new entrants: The healthcare sector in Sri Lanka is relatively well-established, with limited opportunities for new entrants.
  • Bargaining power of buyers: Sri Lankan citizens have limited bargaining power due to the government-funded healthcare system.
  • Bargaining power of suppliers: The bargaining power of suppliers, such as pharmaceutical companies and medical equipment manufacturers, is moderate.
  • Threat of substitute products or services: The threat of substitutes is relatively low, as access to alternative healthcare options is limited.
  • Rivalry among existing competitors: Competition among healthcare providers is moderate, with a focus on providing quality care within the government-funded system.

Value Chain Analysis:

Sri Lanka's healthcare value chain can be analyzed by considering the following key activities:

  • Research and Development: Investing in research to develop new treatments and technologies.
  • Procurement: Sourcing pharmaceuticals, medical equipment, and other healthcare supplies.
  • Healthcare Delivery: Providing primary, secondary, and tertiary care services.
  • Health Education and Promotion: Raising awareness about healthy lifestyles and disease prevention.
  • Disease Surveillance and Control: Monitoring disease outbreaks and implementing control measures.
  • Data Analysis and Management: Utilizing data to improve healthcare delivery and resource allocation.

Business Model Innovation:

Sri Lanka can explore business model innovation to improve healthcare access and efficiency. This could include:

  • Telehealth services: Expanding telehealth services to provide remote consultations and monitoring, particularly in rural areas.
  • Mobile health platforms: Developing mobile applications for health education, disease tracking, and appointment scheduling.
  • Public-private partnerships: Collaborating with private sector organizations to provide specialized care, invest in infrastructure, and develop innovative solutions.
  • Pay-for-performance models: Implementing payment systems that reward healthcare providers for achieving specific health outcomes.

4. Recommendations

1. Sustain and Strengthen the Existing Primary Healthcare System:

  • Invest in infrastructure: Upgrade existing primary healthcare centers with modern equipment and facilities.
  • Expand access to primary care: Increase the number of primary healthcare centers in underserved areas.
  • Train healthcare professionals: Invest in training programs for primary care physicians, nurses, and other healthcare professionals.
  • Promote preventive healthcare: Strengthen existing programs for immunization, maternal and child health, and disease prevention.

2. Embrace Technology and Analytics:

  • Develop a national electronic health record system: Implement a digital system to store and manage patient data, improving efficiency and coordination of care.
  • Utilize data-driven insights: Analyze healthcare data to identify trends, predict disease outbreaks, and optimize resource allocation.
  • Embrace telehealth services: Expand the use of telehealth platforms to provide remote consultations and monitoring, particularly in rural areas.
  • Invest in digital health infrastructure: Ensure reliable internet connectivity and digital literacy among healthcare professionals and the public.

3. Develop a Robust Public Health Infrastructure:

  • Invest in research: Support research into emerging health challenges, such as non-communicable diseases and climate change impacts on health.
  • Strengthen disease control programs: Develop and implement effective programs for controlling infectious diseases and preventing outbreaks.
  • Promote public health campaigns: Invest in public health campaigns to raise awareness about healthy lifestyles, disease prevention, and risk factors.
  • Develop a strong public health workforce: Train public health professionals and provide ongoing professional development opportunities.

4. Promote a Culture of Health:

  • Encourage healthy lifestyles: Promote physical activity, healthy eating habits, and tobacco cessation.
  • Invest in health education: Develop comprehensive health education programs for schools, communities, and the general public.
  • Address social determinants of health: Implement policies and programs to address poverty, inequality, and other social factors that impact health.

5. Basis of Recommendations

These recommendations are based on a thorough analysis of Sri Lanka's strengths, weaknesses, opportunities, and threats. They are consistent with the country's mission to provide equitable and accessible healthcare for all citizens. The recommendations also consider the needs of external customers (patients) and internal clients (healthcare professionals).

Quantitative Measures:

  • Increased life expectancy: The recommendations aim to increase life expectancy by promoting preventive healthcare and addressing emerging health challenges.
  • Reduced infant mortality: Investing in maternal and child health programs will contribute to a further reduction in infant mortality.
  • Improved health outcomes: The recommendations are expected to lead to improved health outcomes across various health indicators.

Assumptions:

  • Government commitment: The recommendations assume continued government commitment to healthcare funding and policy development.
  • Technological advancements: The recommendations anticipate continued advancements in technology and their application in healthcare.
  • Public engagement: The recommendations assume active public participation in health education and disease prevention programs.

6. Conclusion

Sri Lanka has achieved remarkable progress in improving health outcomes, establishing itself as a positive outlier. By leveraging its existing strengths and adopting a strategic approach, the country can continue to improve health outcomes and maintain its position as a model for healthcare delivery in low- and middle-income countries.

7. Discussion

Alternatives:

  • Privatization of healthcare: While privatization can improve efficiency and access to specialized care, it could also lead to increased healthcare costs and inequities in access.
  • Focus on tertiary care: Prioritizing tertiary care could improve access to specialized treatments, but it could neglect the importance of primary care and preventive healthcare.

Risks:

  • Economic instability: Economic challenges could limit healthcare funding and infrastructure development.
  • Political instability: Political instability could disrupt healthcare services and undermine government commitment to healthcare.
  • Emerging health challenges: The emergence of new diseases or the resurgence of old ones could strain the healthcare system.

Key Assumptions:

  • Government commitment: The success of these recommendations depends on sustained government commitment to healthcare funding and policy development.
  • Technological advancements: The recommendations rely on continued advancements in technology and their application in healthcare.
  • Public engagement: The success of health education and disease prevention programs requires active public participation.

8. Next Steps

Timeline:

  • Year 1: Develop a comprehensive national health strategy, including specific goals, targets, and implementation plans.
  • Year 2: Implement key initiatives, such as investing in infrastructure, training healthcare professionals, and expanding telehealth services.
  • Year 3: Monitor progress, evaluate outcomes, and make adjustments to the strategy as needed.

Key Milestones:

  • Develop a national electronic health record system: Implement a digital system to store and manage patient data.
  • Expand telehealth services: Increase the availability of telehealth services in underserved areas.
  • Invest in public health campaigns: Launch public health campaigns to promote healthy lifestyles and disease prevention.
  • Address social determinants of health: Implement policies and programs to address poverty, inequality, and other social factors that impact health.

By implementing these recommendations, Sri Lanka can continue to improve health outcomes, strengthen its healthcare system, and maintain its position as a positive outlier in global health.

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Case Description

This case describes the development and structure of Sri Lanka's health system, which has yielded health outcomes far superior to any of its South Asian neighbors. The case highlights factors supporting the health outcomes, including the availability of free health services to all citizens, government investment in the health workforce, and the care-seeking behavior of Sri Lankan citizens. After providing an overview of Sri Lanka's history, geography, demographics, and economy, the case traces the evolution of the public sector health system from the precolonial era through the period of heavy investment in health from the 1930s through 1950s and on into the 21st century. The case describes the management of the system and the relationship between the national health ministry and provincial and local governments. It examines how health professionals are trained and deployed throughout the system, the supply chain, and financing. The case then examines the growing private health sector, its relationship with the public sector, and the role of innovation. After a summary of the country's health outcomes, readers are pushed to think about what it will take to address the changing epidemiological burden to continue to boast exemplary health outcomes and provide quality health care to those who need it.

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