KLINIK DHARMA BHAKTI MEDIKA - Reviving a declining business

Background

Since 1985 Klinik Dharma Bhakti Medika has been operating in a suburban area of Jakarta. During financial crisis, number of patient decreased due to declining purchasing power and competition. Skha was invited to join as strategic investor to turn around the situation. When Skha started, the internal situation was not good. Medical supplies were expensive, morale among doctors were low, majority of patients were more than 55 years old, and condition of clinic building was bad.

Turning around the Business

We immediately commenced some key initiatives to improve business performance :

• Relocation. The building was relocated to get closer to the road. Signage was improved.
• Opening satellite clinic. The satellite clinic was set up to serve patients with more than 5 km range. Currently this satellite has 60% of the main clinic’s attendance.
• Improving procurement. This reduced medicine cost by 40%, and enable the clinic to cut price.
• Initiating community programs. The programs aimed to acquire more children below 5 years old in the patients portfolio (by visiting kindergartens and Posyandu, publishing medical bulletin, and conducting free medical events).

Results

The number of patients of two clinics has increased 350% for the last three years. Profitability has also increased by 200% over the same period. Portfolio of patients below ten years old is currently about 50%.

»Other performance: Tasya Baby and Kid's Store