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Clinix Health Group

last updated Sep 27, 2011

Overview

Implementing organization: 
Clinix Health Group
Legal Status: 
Year Launched: 
1992
Stage: 
Existing/expansion stage
Income Level of Target Population: 
20-60% (lower to lower-middle)

Funding

Primary Source of Funding: 
Revenue (e.g., interest on loans)
Key program components: 

Clinix Health Group provides quality private hospital care in previously disadvantaged communities at four hospitals in Gauteng: Clinix Private Hospital Soweto, Clinix Private Hospital Vosloorus, Clinix Private Hospital Sebokeng and Clinix Selby Park Hospital. In addition, the group manages Lesedi Private Hospital in Soweto and Victoria Private Hospital in Mafikeng, as well as providing emergency services and occupational health services.

Prior to South Africa’s democracy, there were few places where black specialists could practice. By setting up hospitals based in the very communities they serve, the Clinix Health Group has been able to give doctors the ideal base from which to operate. In addition, 95% of nursing, cleaning and administration staff are members of these communities, with over 90% of the group’s employees being female.

Clinix group's business model consists of leasing practicing rooms to Physicians, retail and office space as well as offering specialized accommodation to patients and specialized theatre services.They operate as a virtual organisation: presenting each hospital as a homogeneous entity on the outside but on the inside, it is a network of different entities, independently owned by different stakeholders working together in different ways at different stages of patient care - the lab owned by Lancet, radiology department by independent radiologists, independent physicians, independent retail pharmacy etc. Approximately 80% of revenue is derived from hospital occupancy as well as use of specialized services - operating theatre and ICU.

While Clinix Group hospitals provide services that are approximately 10-15% less expensive than those of hospital groups serving the upper-middle and upper income groups, they are still too expensive for low income out of pocket payers. Still, Clinix plays an important part in the market for health care by providing quality service for salaried workers with benefits in low income areas.

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