Franchising will boost health sector
Jul 27, 2010
INCREASING access to affordable quality health services reduces the impact of diseases and poverty on Africa’s population. More healthcare facilities are being constructed and equipped through public-private partnerships (PPP).
By Abbey Mutumba
INCREASING access to affordable quality health services reduces the impact of diseases and poverty on Africa’s population.
More healthcare facilities are being constructed and equipped through public-private partnerships (PPP).
Studies show that there is $11b to $20b from IFC targeting private healthcare investors.
Integrating such interventions with health franchising will increase access to quality healthcare services, benefiting all stakeholders.
Health franchising refers to a PPP strategy used by governments and donors to provide essential health services at reduced costs especially in the rural areas in developing countries.
The governments and healthcare donors (franchisers) partner with the private health service pro-viders (franchisees) using this strategy.
More rural healthcare professionals, and potential franchisees are able
to start leading brands of healthcare clinics, pharmacies, and training centres to increase access to quality health services, in a safer, easier, faster, and sustainable way, benefiting the franchisers, franchisees, and the communities.
Health franchises are used to increase access to quality primary health services, pharmaceutical sales of essential drugs, HIV testing and counselling, and reproductive health services mainly to low income earners.
For example, in Kenya, CFWShops chain, which is the franchise of the HeathStore Foundation, has successfully achieved a high level of consistency and quality standards of patient care and service in the Kibera slum.
In 2007, the CFWShops grew to 65 franchisee-outlets, 48 of which were clinics and 17 drug shops within a short time. They expect to have 225 clinics in Kenya by the year 2012.
CFWShops uses a third-party payment system, funded by donors, so that more patients can access health services regardless of ability to pay.
The system reimburses the franchisees for the medical services provided to patients. Franchisees then pay, as in any business franchise system, a royalty based on their sales.
Health franchising serves the health needs of the poor, and ensures that the franchisees earn a good living, while keeping the costs of operating this healthcare system as low as possible.
The HeathStore Foundation is interested in replicating their proven CWFShops Franchise in Uganda and other regional member states under the common market.
LG is another health franchise which is improving livelihoods by providing women with a reliable source of income as private health promoters. LG operates a joint venture with BRAC in Uganda and has a waiting list of multi-national NGOs that are interested in duplicating the LG model in other countries.
Health franchises like CWFShops, LG, PSI, and Marie Stopes can be benchmarked by our health sector for increasing access to quality health/medical services. We have trainable medical graduates, village birth attendants, herbalists, and nutritionists who are ready to become health franchisees to serve their rural areas through PPPs.
Our potential franchisers like Mulago Hospital, Case Clinic, and IHK can take advantage of such potential franchisees to increase access to their quality medical services.
Uganda’s leading chains of herbalist clinics and reflexology providers like the Rashid Lukwagos and Health is Wealth can be developed into health franchisers to enable them open more outlets in other parts of the country and East Africa in a more competitive way.
Besides interventions like the health research collaborations with this private sector, the Government can also enable them access the IFC healthcare business financing.
Raising awareness health franchising among our health sector partners will increase access to quality health services in a way that creates more entrepreneurial health service opportunities.
The writer is the event organiser for the Second Franchising Awareness Workshop slated for August 5, 2010 at Hotel Triangle, Kampala
INCREASING access to affordable quality health services reduces the impact of diseases and poverty on Africa’s population.
More healthcare facilities are being constructed and equipped through public-private partnerships (PPP).
Studies show that there is $11b to $20b from IFC targeting private healthcare investors.
Integrating such interventions with health franchising will increase access to quality healthcare services, benefiting all stakeholders.
Health franchising refers to a PPP strategy used by governments and donors to provide essential health services at reduced costs especially in the rural areas in developing countries.
The governments and healthcare donors (franchisers) partner with the private health service pro-viders (franchisees) using this strategy.
More rural healthcare professionals, and potential franchisees are able
to start leading brands of healthcare clinics, pharmacies, and training centres to increase access to quality health services, in a safer, easier, faster, and sustainable way, benefiting the franchisers, franchisees, and the communities.
Health franchises are used to increase access to quality primary health services, pharmaceutical sales of essential drugs, HIV testing and counselling, and reproductive health services mainly to low income earners.
For example, in Kenya, CFWShops chain, which is the franchise of the HeathStore Foundation, has successfully achieved a high level of consistency and quality standards of patient care and service in the Kibera slum.
In 2007, the CFWShops grew to 65 franchisee-outlets, 48 of which were clinics and 17 drug shops within a short time. They expect to have 225 clinics in Kenya by the year 2012.
CFWShops uses a third-party payment system, funded by donors, so that more patients can access health services regardless of ability to pay.
The system reimburses the franchisees for the medical services provided to patients. Franchisees then pay, as in any business franchise system, a royalty based on their sales.
Health franchising serves the health needs of the poor, and ensures that the franchisees earn a good living, while keeping the costs of operating this healthcare system as low as possible.
The HeathStore Foundation is interested in replicating their proven CWFShops Franchise in Uganda and other regional member states under the common market.
LG is another health franchise which is improving livelihoods by providing women with a reliable source of income as private health promoters. LG operates a joint venture with BRAC in Uganda and has a waiting list of multi-national NGOs that are interested in duplicating the LG model in other countries.
Health franchises like CWFShops, LG, PSI, and Marie Stopes can be benchmarked by our health sector for increasing access to quality health/medical services. We have trainable medical graduates, village birth attendants, herbalists, and nutritionists who are ready to become health franchisees to serve their rural areas through PPPs.
Our potential franchisers like Mulago Hospital, Case Clinic, and IHK can take advantage of such potential franchisees to increase access to their quality medical services.
Uganda’s leading chains of herbalist clinics and reflexology providers like the Rashid Lukwagos and Health is Wealth can be developed into health franchisers to enable them open more outlets in other parts of the country and East Africa in a more competitive way.
Besides interventions like the health research collaborations with this private sector, the Government can also enable them access the IFC healthcare business financing.
Raising awareness health franchising among our health sector partners will increase access to quality health services in a way that creates more entrepreneurial health service opportunities.
The writer is the event organiser for the Second Franchising Awareness Workshop slated for August 5, 2010 at Hotel Triangle, Kampala