Lesotho Hospital And Filter Clinics: A Public-Private Partnership Case Study Solution
Q-2: Are the new referral hospital and the provision of clinical services a good-candidate for a PPP? Consider in your response what would have happened if the government uses the traditional procurement instead?
There was an ineffective referral system that facilitated the patients to use free self-refer system via health network under PPP. It has been predicted that only 70% of all cases treated at QMMH supersededprimary care, which reflected that the system was ineffective in treating the cases that were primarily. However, the cost of extra patients was increasing the budget of the facilities. More factors increased the budget of the health networks, such as:inflation, an increase of referrals and the lack of monitoring.Therefore, if the government followed the traditional procurement approach, there would have been an increase in costs and more time would have consumed because the traditional procurement approach required the division of design and construction activities.
Q-3: Has Lesotho done an effective job of designing, implementing, and monitoringperformance indicators?
In my opinion, Lesotho had done an effective job in designing, implementing and monitoring performance indicators,as they were necessary for the success of public-private partnerships (PPP). Therefore, there was a development of processes by Lesotho to amend the performance indicators,because the health care industry kept constantly changing in terms of technology, practices, and knowledge. The indicators were segregated between two categories, which were:facilities management and client satisfaction. However, the government realized the significance of performance indicators as it was related to the number of patients, so they decided to monitor and review the process for the first few years after inaugurating a new hospital.
Q-4: What are the critical risk exposures of the project? Have they been adequately-addressed?
There were several critical risks that were adequately addressed and resolved by the project, such as:the quality of health services had increased the demand, employment opportunities were provided with the help of PPP and there was a major focus on cost minimization so that the budget wouldn’t supersede the limit.The changes in processes and integrated health system guided other health care facilitiesin improve their quality of services. The IFC assisted in identifying the expenditure patterns, future evaluation and the monitoring level of service and condition, with the help of documented data.
Furthermore, building and improving the government capacity was emphasized on, to manage the program efficiently and effectively so that the objectives of the contract could be monitored and enforced.
Q-5: How did the PPP address the concerns about local employment?
There was an increasing level of unemployment in Lesotho, therefore when it was decided to initiate a public-private partnership (PPP) program with the association of government and private association of Net care;it was predicted that the unemployment would decrease.A massive number of employees were hired for the construction and operation of the referral hospitals. However, the hospital which was set to be replaced, was facilitating 800 employees, which had become a concerning matter for the general public.
Q-6: Is the PPP sustainable going forward? Identify the key factors that determine its
sustainability.
Although there were numerous challenges which PPP was facing, it had shown an effective approach towards addressing the issues, proving its sustainability in the market. These were the key factors that helped PPP to be sustainable in the market...................
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