SWOT+ANALYSIS

SWOT analysis is a strategic planning system that is used by organizations to evaluate the organization itself as well as the environment. SWOT analysis evaluate the internal environment ( Strength and Weaknesses) and external environment ( Threats and Weaknesses) of the business. Sunway Hospital need to do SWOT analysis in order to formulate strategic plans to accommodate changes in the organisation.

Being on of the subsidiary companies in SUNWAY GROUP, Malaysia’s most widely recognized and diversified conglomerates with a multitude of established business, Sunway Medical Centre have strength derived from its parental company’s perceptive and transparent policies and visionary leadership, as well as financial stability for future development. SUNWAY is well known recognized brand name in property, construction and leisure sectors, Sunway Medical Centre is directly benefited from this by delivering same level of quality services as its sister companies did, this become one of the strength in marketing their products and services.
 * Strengths**

The success of SUNWAY GROUP came from their visionary leadership management and perceptive corporate policies. Sunway Medical Centre is definitely inherited the good management approaches and corporate polices into their organization management, this will be their major strength in management.

Sunway Medical Centre is using Total Quality Management(TQM) approach in their operational activities, many accredited awards received acknowledge their continuous improvement in operational excellence and patient safety, example ISO 9001:2008, MS ISO 15189 and Malaysian Society of Quality in Health(MSQH) accredited private hospital certification in process and medical testing standard in patient safety. Asia Hospital Management award, and many others, this TQM approach is one of their strength in their total services and operational functions.

Beside marketing through conventional advertising media and internet, Sunway Medical Centre also have advantage of it wide marketing chains network from its sister companies in other sector, example in healthcare tourism segment, both Sunway Group’s leisure and entertainment sector may inter-related and complimenting each others.

In the research and development, Sunway Medical Centre is an institution affiliated to Tan Sri Jeffrey Cheah School of Medicine, Monash University Malaysia, only a few of Malaysia private hospital s have affiliate to medical institution, example University Malaysia Specialist Centre S/B and Kumpulan Perubatan Johor(KPJ). This is one of the strength not only in medical research and development, but also provide the medical human resources needs where most of private hospitals are facing the human resources shortages.

Being a single location hospital in Petaling Jaya, Sunway Medical Centre having a weakness in getting the potential patients nearby, as compare to others hospitals like Kumpulan Perubatan Johor and Pantai group which have many hospitals covering most stratrgic cities in Malaysia, this weakness become more critical in term of patients sources when other private specialist hospitals nearby try to capture same area patients sources, the competition will become fierce. In term off to medical services ranges that offers in private healthcare, compare to these industry key players like Pantai’s Group which offers wide range of medical services through its group’s hospital, Sunway Medical Centre have weakness in offering comprehensive range of medical services due to its single location medical centre.
 * Weakness **

In Malaysia, ratio of doctors and patients still very low compare to developed country, public and private hospitals are facing the doctor shortage, Sunway Medical Centre too facing shortage of medical personals and brain drain problem especially the highly experience medical specialists.

Current global economic downturn have made people in developed country like USA, Canada and UK to cross boarder to seek affordable and low cost healthcare in developing country like in Malaysia, Thailand and India, as a result, Medical Tourism is fast booming and get attention in Developing country. According to the report from association of Private Hospital Malaysia, the revenue from health tourism was increase and growing at 30% a year from year 2000 to 2007, and forecast to continue until year 2010, it is expected total of RM584 million in medical revenue will be generated.
 * Opportunities **

In the social perspective, Malaysia’s population is expected to grows from current about 26 million to 32 million by 2020, the healthcare sector is expected continue to grow. On top of this, a large portion of older age of 65 years and above population will increase the demand for healthcare services. The country’s healthcare expenditure is expected to grow from the current 3% of GDP to 6% of GDP by 2020. Together with rising household income and improved life quality, private hospitals like Sunway Medical Centre may benefit by capture this business segment opportunities.

Changing in lifestyle are boosting the spending on healthcare, this is due to unhealthy urbanized fast food which causes obesity problem, as well as increasing number of smokers, all these leading to lifestyle related diseases like respiratory diseases and cancer, high blood pressure and heart-related diseases, while treatment for all these will increase healthcare spending and demanding, Sunway Medical Centre may benefits from this trends, at the same time, private hospital may have more people looking for preventive healthcare services due to awareness in health prevention.

The advancement of technology had given various opportunities for the grown in healthcare industry. The high technology facilities enable more critical sickness and dieses can be cure, as well as more advance diagnosis and prevention measure which diversify healthcare industry into more important business segments. The fast advancement of information communication technology enable private hospitals advertised effectively, through the web portal, patients can accesses the essential. The intensive development of pharmaceutical and medical related activities are creating new products and services, Sunway Medical Centre may not directly involved but will benefits indirectly for their business sector.

The global economic downturn had resulting decline in purchasing power, this indirectly affecting patients seeking medical treatment when this groups of patients try to seeks medical assistance from public hospitals, the private healthcare sector like Sunway Medical Centre may see a lower than expected patients visits and admission, at the same time, increasing number of new setting up private hospitals will further threaten the patients sources foe Sunway Medical Centre, all of these factors will further lead to lower utilization of expensive medical equipment facilities, as well as high wages human resources for this sector, all of these will added up and increase the hospital’s operation cost causes the hospital can’t offers their services with a competitive price, this will be major threat to Sunway Medical Centre.
 * Threats **

Another threat for Sunway Medical Centre is the brain drain where lack of qualified doctors and specialists, this situation worsen when many new private hospital from oversea are setting up their branches in Malaysia, for example the Columbia Asia Medical group are setting up another 4 medical centres in the country, this will casing the shortage of human resources in medical sector especially the experienced doctors, this may become key threat for Sunway Medical Centre of any expansion plan, as well as existing human resources for its hospital.

<span style="font-family: 'Times New Roman','serif';">From political perspective, under the Private Hospital Act 1971, government is monitoring and regulates private hospitals operation, this act set certain requirement, for example, all recruitment of nurses must least 60% from local, and this may lead to difficulty for private hospital in human resources recruitment. Government intervention in healthcare industry is more on social goals. However, excessive regulation may become threats for continual growth in the healthcare industry which will become another threat for Sunway Medical Centre.