Harshvendra Soin – Chief People Officer, Fortis Healthcare India

HUMAN RESOURCES: Changing Paradigms… Healthcare and Beyond

CHANGING BUSINESS CONTEXT

The World is Changing…

Product DesignGeneva, Switzerland

ManufacturingGuangzhou, China

DistributionLong Beach, CA

Customer SupportBangalore, India

Today’s Business Story: Seamless Processes, Instantaneous Flow of Information and 24x7 Connect

Key Differentiator: TALENT

Business Reality Today

In 2010, leading US automobile companies manufactured and sold more cars in China than in the United States.

Today, businesses in many industries are scrambling to enter and expand operations across the globe.

Emerging markets are the world’s growth engines.

What does this mean for HR and talent??

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IMPLICATIONS FOR HUMAN RESOURCES

The Paradigm Shift

From supporting to partnering business operations

From local talent wars to global competition for talent

From reactive replacement hiring to proactive succession planning and pipeline building

From decentralized processes to shared services and HR COEs

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INDIAN HEALTHCARE INDUSTRY

The Indian Healthcare Industry

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Exponential Growth:

The Indian Healthcare sector is expected double its size to US$ 100 billion by 2015 from the present US$ 50 billion, according to recent findings by ratings agency Fitch.

Industry growing at an impressive 15% and is expected to generate 9 million jobs by 2012-13

Opportunities Galore:

According to a report by PWC, an estimated 189 million people in the country will be more than 60 years of age by 2025, needing higher healthcare spends.

A combined study by an industry body and Ernst & Young suggests that India will need as many as 1.75 million additional beds by the end of 2025.

Medical tourism is expected to generate revenue around US$ 3 billion by 2013, growing at a CAGR of around 26 per cent during 2011–2013.

The Indian Healthcare Industry

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Talent – The Game Changer:

Biggest challenge today is finding and retaining ‘top talent’ (Nurses, Doctors, Para-medics) as new hospital chains enter India and we move to tier 2 and 3 towns.

There is a shortage of clinical talent with only 290 private and government medical colleges in India (data as on 30.09.08) with only 33482 seats annually.

India immediately needs 2 lakh doctors and 5 lakh nurses. An additional number of 6.5 lakh doctors are required to reach a ratio of 1.25 doctors per 1000 and an additional number of approximately 18.7 lakh nurses to reach a ratio of 2.6 nurses per 1000 population by 2020. (source: McKinsey report)

FORTIS HEALTHCARE INDIA

Keeping Pace With Change – The Fortis India Story

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Started first hospital at Mohali

2001

2010

2003

&

200

4 2007

2008

2005 20

09

Revenues grow 4x with strong

presence in NCR

Company achieves

profitability on consolidated basis

Acquired Escorts chain of hospitals

Acquired Malar Hospitals, Chennai

Took a significant step in establishing Fortis as a Global Healthcare Brand by its attempt to acquire Parkway Holdings Ltd – Asia’s finest healthcare provider, but exited considering high valuations of the asset

Enters DelhiCommences operations at Noida

Listed on BSE and NSE with a market cap of USD543mnStarts hospital at Jaipur

Rights Issue Acquired 10 hospitals from Wockhardt

2011

Have signed 5 O&M contracts till date and progressing towards ongoing projects in tier II cities

Commenced two Greenfield facilities at Shalimar Bagh, Delhi and Anandpur, Kolkata; Launched an Oncology block at Mulund, Mumbai

8 new facilities added – Bangalore, Chennai, Hyderabad, Indore, Jabalpur, Pune, Hyderabad & Agra – increasing total Fortis bed capacity to 10825.

Managing Talent

• Ensuring an uninterrupted supply of talent to sustain the tremendous growth

• Having a powerful employee value proposition to attract quality talent for multiple

associated brands and hospitals in Tier II & III cities

• Identifying valued talent and designing specialized strategies for the group

• Systematically growing talent from within and having a succession plan in place

• Having in place a robust performance management system based which is fair,

objective and transparent

• Designing career paths and provide opportunities for learning and growth

Human Resource Challenges

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Talent Management @Fortis

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Robust Performance Management

System

Potential Assessment

Talent Segmentation & Identification

Development & Succession

Planning

The FORTIS Talent Pool

Talent Acquisition

Internal Talent Management

Talent from External Sources

Fortis Talent Management Framework

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Performance Assessment

Potential Assessment

Talent Segmentation & Identification

Development & Succession

Planning

The FORTIS Talent Pool

Talent Acquisition

Innovative Strategies –

Facility Management Trainee Program – Hires talent from

different industries who undergo exhaustive training

for 16 weeks!

Post retirement hiring of talent

Robust Performance Management System –

PMS based on the four pillars of SMART goal setting,

periodic reviews, constant feedback, and merit based

increases.

Potential Assessment –

Job Analysis & Evaluation, Competency Framework,

Assessment Centers form the basis for potential

assessment at Fortis.

Talent Segmentation –

Segmenting talent into top talent, valued talent, talent

under watch and incompatible talent. Devising strategies customized to the

talent segment.

Development & Succession Planning – Leadership

development initiative (LDI), Physician Assistant Programs, Nursing

Leadership Development Programs (NLDPs).

Standardizing Processes

• Challenge of combining multiple reporting systems, processes and people policies

and ensuring adherence

• Establishing and strengthening foundational HR systems and processes

• Establishing a common platform for HR reporting to facilitate business decision

making

• Ensuring cultural sensitivities are kept in mind while proliferating processes policies

across the country

Human Resource Challenges

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• Establishing foundations for strong HR systems and processes:

• Having analysis and reporting on a single platform by integrating existing formats

and standardizing across the organization

Process Standardization Initiatives @Fortis

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Unit Classifications

& Grade Structuring

Competency Framework

Job Analysis & Evaluation

Creating an Enabling Culture

• Creating a Strong Value System that is the foundation of all processes

• Establishing open channels for access and input

• Ensuring retention of new recruits by fostering an enabling atmosphere

• Create customized career paths incorporating diverse experiences and

personalized strategies

• Ensuring not just diversity management, but establishing a culture of inclusion and

collaboration

• Ensuring high engagement among all employee groups

Human Resource Challenges

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• Global Values Launch

• Establishing strong channels of communication and grievance management

Creating the Fortis Culture

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I NT

EG

RI T

Y

I N N O V A T I O N

P A T I E N T C E N T R I C I T Y

O W N E R S H I P

T E A M W O R K

Rewarding &

recognizing values

Socializing and

fertilizing the values

Webinar across

hospitals in all countries

Strengthening the Brand Image

• Establishing and maintaining the brand image of multiple entities and associated

brands

• Challenge of seamless employee movement across entities

• Managing employee expectations during transitions

• Ensuring establishment of a strong employee value proposition to attract talent for

associated brands and hospitals in Tier II and III cities

Human Resource Challenges

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You are going to have an employer brand, whether you know it or not, and you have two choices: you can intentionally create, shape, develop and track this brand or you can let it happen by accident.

• We are currently in the process of developing a compelling employee value proposition

The Fortis Employer Brand

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THANK YOU!