Aga Khan University Hospital

Management Report

on

1
 Aga Khan University Hospital

MANAGEMENT REPORT
ON
AGA KHAN UNIVERSITY HOSPITAL (AKUH)

Submitted By:

Group members:

Muhammad Taimoor Khanzada (2914)

Amin Saleem (2899)
Shaheryar Zafar (2907)
Aziz Ahmed (2867)
Muhhamad Ali Vohra (2904)

Dated: 11th May, 2009

Subject: Principles of Management

Topic of Project: Management System of Aga Khan University Hospital

Submitted To: Prof. Sanatullah

2
 Aga Khan University Hospital

ACKNOWLEDGMENT

We owe our profound thanks and deepest gratitude to ALMIGHTY ALLAH, most
merciful, who blessed us with determination, strength, ability and divine help to complete
this management.

This report is on “Management System of Aga Khan University Hospital”. This report is
a part of our course titled as Principles of Management conducted in Iqra University –
Gulshan Campus.

Then we would like to acknowledge our course instructor Mr. Sanatullah to give us an
opportunity to work on this project, and allow us to make use of our analytical abilities. It
was his guidance and never ending patience that lead us to complete this report.

Then we would like to thank Mr. Faheem Ahmed for his altruistic guidance and patience.

Our special thanks to our beloved parents and friends without whose support we would
not be able to complete our assignment and their coordination has made us able to
achieve the task in time.

Table of contents

3
 Aga Khan University Hospital

S.No Contents Page No.

1 Executive Summary 05
2 Vision 06
3 Mission 06
4 Values 07
5 Importance of Human Assets 08
6 Aga Kahn university Commitment to HR 08
7 Human Resource Hierarchy 09
8 Human Resources Division 09
8.1 Vision 09
8.2 Mission 09
8.3 HR Management Philosophy 09
8.4 Principles 10
8.5 Standards 10
8.6 Values 11
8.7 Competency Of HR Professions 11
9 Organization 12
10 Unique Challenges 12
11 Recruitment Department 14
11.1 Mission 14
11.2 Recruitment 14
11.3 Recruitment Process 15
11.3.1 Requisition 15
11.3.2 Search Process 16
11.3.3 Internal Sources 16
11.3.4 External Sources 17
11.4 Maintenance of Application Data Bank 19
11.4.1 Write In 19
11.4.2 Walk In 19
11.5 Screening Process 20
11.5.1 Preliminary Interview 20
11.5.2 Aptitude Test 20
11.5.3 Interviews 20
12 Patient Billing Servicing Department 21
12.1 Cash Department 21
12.2 Welfare Department 21
12.3 Credit & Collection Department 22
12.4 Corporate 22
13 Management Hierarchy of P.B.S.D 23
14 Appendix 24

Executive Summary

Aga Khan University Medical College (AKU-MC) was established in 1983 and enrolls
students in a five-year program leading to the Bachelor of Medicine and Bachelor of
Surgery (MBBS) degree. It has to date conferred 1,370 degrees. The educational

4
 Aga Khan University Hospital

offerings in medicine range from a five-year bachelor's degree to a number of clinical

postgraduate residencies.

Aga Khan University Hospital, Karachi, (AKUH,K) started operations in 1985, as an

integrated, health care delivery component of Aga Khan University (AKU). It is a
philanthropic, not-for-profit, private teaching institution committed to providing the best
possible options for diagnosis of disease and team management of patient care. AKUH's
multidisciplinary approach to diagnosis and care ensures a continuum of safe and high-
quality care for patients – all services under one roof.

This University Hospital has 545 beds in operation and provides services to over 42,000
hospitalized patients and to over 500,000 outpatients annually with the help of
professional staff and facilities that are among the best in the region. Care is available to
all patients in need. Those who are unable to pay for treatment, receive assistance through
a variety of subsidies and the Hospital's Patient Welfare Program.

AKUH is the first hospital in Pakistan and among the first few teaching hospitals in the
world to be awarded the prestigious Joint Commission International Accreditation (JCIA)
for practicing the highest internationally recognized quality standards in health care.
Similarly, the Hospital also holds ISO 9001:2000 certification for practicing consistent
international standards of quality services.

VISION

Aga Khan University & hospital will be an autonomous, international institution

of distinction, primarily serving the developing world and Muslim societies in
innovative and enduring ways.

5
 Aga Khan University Hospital

MISSION

Aga Khan University & hospital; is committed to the development of human

capacities through the discovery and dissemination of knowledge, and
application through service.

It seeks to prepare individuals for constructive and ideal leadership roles, and
shaping public and private policies, through strength in research and excellence
in education, all dedicated to providing meaningful contributions to society.

To advance this Mission, Aga Khan Hospital will:

 Offer programs of international quality;

 Respond to identified needs in the countries and regions which it serves;
 Prioritize teaching and research which will inform and support
intellectual innovation and change;
 Provide service to advance its educational and research mandate;
 Foster and develop leadership capacity through education and research
programs;
 Assess its impact and effectiveness;
 Promote access and equity by taking positive measures to make the
University inclusive of all socio-economic groups, addressing the
particular needs and circumstances of the disadvantaged; promoting the
welfare and advancement of women;
 Engage in knowledge networking and emerging technologies.
 Add value by promoting partnership and networking across the Aga
Khan Development Network (AKDN), and with other national and
international institutions.

VALUES

As an international institution, in achieving its Mission, Aga Khan University &

hospital operates on the core principles of quality, relevance, impact and access.

6
 Aga Khan University Hospital

Inspired by Islamic ethics, humanistic ideals and the philosophy of the Aga Khan
Development Network (AKDN), the University is committed to building an
environment that fosters intellectual freedom, distinction in scholarship, pluralism,
compassion, and humanity’s collective responsibility for a sustainable physical, social
and cultural environment.

7
 Aga Khan University Hospital

IMPORTANCE OF HUMAN ASSETS

The importance of Human Assets is emphasized in the quality policy of AKUH.

The second point in the quality policy is made in order to reflect the importance
of Human assets at AKUH.

In turn, the Aga Khan University tries its best to come up to the expectations of
its employees by anticipating and fulfilling their needs through the highly
specialized Human Resource Division.

THE AGA KHAN UNIVERSITY’S COMMITMENT TO

HUMAN RESOURCES

The Aga Khan University Hospital lays great emphasis on the importance of
“Human Assets” in their vast area of development network throughout the
world.

His Highness The Aga Khan, Chancellor of the University, has from the inception
of the University, stressed great emphasis on the importance of good Human
Resource Management practices, as incepted in one of his early convocation
addresses excerpt given below:

“………We must do all we can do to keep our good people and to sustain the highest
level of quality in what we do. Without good people, we cannot afford quality. Without
quality, good people would not choose to stay….”

8
 Aga Khan University Hospital

THE HUMAN RESOURCE HEIRARCHY

The Human Resource

Division

Records & Benefits Policies and Training and

Recruitment
Administration Compensation Org. Development

THE HUMAN RESOURCE DIVISION

Vision

Human resource Division aim to be leaders and partners in creating innovative

people strategies and in anticipating and responding to the needs of our growing
international university and The Aga Khan development Network.

Mission

The purpose of the HR Division’s existence is to:

• Attract, develop, motivate and retain high caliber faculty and staff.
• Act as strategic partners and players with the lie managers to positively
influence and support AKU’s strategic direction.
• Be employee champions by advocating quality of work life.
• Serve as a resource for The Aga Khan Development Network.

HR Management Philosophy

The AKUH’s HR Management Philosophy is based on the conviction that the

well being of the Institution and the well being of its people are one and the

9
 Aga Khan University Hospital

same. The Institution is dedicated to the belief that its most valued asset is its
PEOPLE.

The commitment is to employ on the basis of merit: to ensure that every

employee is treated with dignity and respect and in a fair, consistent and
equitable manner: to create a stimulating and supportive atmosphere in which
they may work: and to aid and encourage them in the realization of their full
potential.

Principles

Faculty, Managers and Supervisors at all levels must be committed to following

principles.

• Accept total responsibility for the success of Institution’s HR philosophy,

policies and program.
• Exercise leadership by demonstrating integrity, professional knowledge,
the courage of their convictions, and concern for the feelings of others.
• Establish a relationship with subordinates that encourage a free flow of
information in both directions, permit open discussions of differing views
and allow decision making at the most appropriate level.

Standards

In the same context of obligations and mutual trust and confidence, all faculty
and staff are expected to maintain certain standards and relation to their work
and in representing themselves as faculty and staff of AKUH.

More specifically, all employees should:

• Communicate constructive ideas and opinions to the next higher level of

supervisor, either voluntarily or when requested.
• Support their own position’s on any matters still under consideration.
• Accept and support decisions made contrary to their expressed position.
• Apply the highest standards of ethics, integrity and honesty,

10
 Aga Khan University Hospital

Values

The attitudes and actions will be driven by the following values:

• Empathy
Be sensitive to the concerns of all faculty and staff.

• Equality and fairness

Respect all individuals and treat them in a fair and consistent manner.

• Continuous learning and improvement

Contribute to the creation of learning concept and environment.

• Commitment to excellence
Strive to achieve excellence in all that we do as we work individually and
collectively to meet the needs of those we serve and our co-workers.

• Teamwork
Maintain harmonious and effective work relationship with colleagues.

Competencies for HR Professionals

• People skills
• Business acumen (ability to understand Organizations business
fundamentals)
• Acceptance of change
• Flexibility
• Problem solving skills
• Communication skills

11
 Aga Khan University Hospital

ORGANIZATION

At AKU personnel functions are organized in a division. Division in turn

comprised of different departments. Each department has been assigned an
important personnel function. Personnel division is headed by the director
personnel. Division is in turn divided into 5 departments each headed by a
Manager.

Organization personnel division reflects the importance attach to the personnel

functions as functions are not assigned to a merely a single department but an
elaborate set up has been created to cater to needs of organization and it
personnel.

Rather elaborate organization is not merely the reflection of sophistication but

also its size. It shows that AKU must be having considerably large size. As no
organization can sensibly afford to maintain a personnel division without being
able to justify the costs of doing so.

UNIQUE CHALLENGES

Since personnel function involves challenging role of dealing with human beings,
therefore it entails more complication than other function. People responsible for
personnel function have to maintain a very delicate balance. Since people are so
different in nature that despite development of very sophisticated theories
explaining human behavior, it some times baffles the human mined.

There are many reasons, which makes task of human resource management at
AKU profoundly different from many other organizations in Pakistani context.
As has been mentioned in the vision of AKU (See sec introduction of AKU) that
before the establishment of AKU there was no precedent of such university in
Pakistan. It was one of its kinds in our country.

Personnel division of AKU have to be very careful about it’s functions as at the
one hand it is part of an organization which claims to be a Islamic university and
on the other hand there is evident corporate tinge in the organization.

12
 Aga Khan University Hospital

It is operating in a context where universities do not maintain elaborate human

resource division. Therefore, in one sense it is very closer to Western universities.
Responsibility of catering to a university, especially an Islamic University places
a great moral obligation on personnel division. Therefore, it cannot operate on
the lines of profit driven corporate organizations. On the other hand, it cannot
shy away from the fact that it is competing not with other universities in Pakistan
but with multinational organization. If it hopes to get better individuals from
market and hope to retain them for the benefit of organization it must offer
comparable benefits. To me, it seems a quite a challenging task for Human
Resource Management at AKU.

13
 Aga Khan University Hospital

RECRUITMENT DEPARTMENT

MISSION

“The recruitment department aims to assist supervisors/ department

heads in recruiting and selecting suitably qualified high calibre
faculty and staff for vacant positions in a timely manner.”

The department achieves this by:

Helping the institution assess its immediate and long-term resource

requirement and ensuring that it has an appropriate number of qualified
employees to fulfil these requirements.

Providing opportunities to our existing employees to apply for vacant

positions in the institution so as to motivate them and help them learn new
skills for there further career development.

Selecting the best candidates for the job purely on merit with no
discrimination on any basis.

RECRUITMENT

“The process of attracting individuals on a timely basis, in sufficient numbers and with
appropriate qualifications and encouraging them to apply for job within an organization”

The secret behind any organization’s success in the long run is because of its
greatest asset – Its PEOPLE

Recruitment is one of the most critical processes of the human resource

management. In some cases, it becomes most critical because organizations want
best people for jobs they offer. The processes that follow the recruitment process
are to a great extent dependent of upon this process. For example if an
organization has to select a candidate for a job it will naturally do so from the
pool made available by recruitment process. If recruitment process is not done
properly then the available pool of applicants may lack caliber to fulfill the needs
of organization. Therefore, in good organization senior managers take personal
interest in the recruitment process.

14
 Aga Khan University Hospital

The Recruitment Department at Aga Khan University aims to provide the best
recruitment solutions to meet the diverse staffing needs of the institution. The
department is responsible to assist supervisor / department heads in recruiting
and selecting suitably qualified, high-caliber faculty and staff for vacant positions
in a timely manner.

Being equal opportunity employers, it is ensured that the best candidate is

selected purely on merit basis.

RECRUITMENT PROCESS

Requisitions

The process is triggered by requisitions from the department heads. Department

head issues requisition form. Requisitions specify the requirement of the
position. In addition, mentions the reason for vacancy. It could be the result of
transfer or termination. It should also answer the questions is to whether the
position sought should be permanent or temporary: should it be full time or part
time.

With a view to identify likely replacement a section of requisition form, requires

relevant department to mention whether they require candidate as soon as
possible or at later date. Requirement at a later date especially in for positions,
which entail hard to find skill levels allows recruitment department to do human
resource planning for future.

Requisition form is then sent to the Director Personnel office where it is made
sure that the requisition position has the approval for the budgetary allocation.
Search process is started after director's approval.

Requisition forms also requires department to mention the possible sources of

recruitment. This facilitates the process of recruitment as relevant has knowledge
about the possible sources.

There are three key processes undertaken by recruitment department at AKU.

Three key processes are as follow.

• Search Process
• Screening Process

15
 Aga Khan University Hospital

• Selection Process

Except for the search process, none of the other two constitutes the recruitment
process according to textbook definition. These processes are explained below.

Search Process

There are two sources from which candidates are searched. These sources are
what we call the sources of supply of human resources.

Internal Sources

 Internal Announcements

One major source of recruitment is pool of current employees. The only

exception is entry-level employees, who of source will have to be hired
from outside the organization.

During discussion she mentioned that they post the job opening on the
notice boards of organization. In addition, Intra-net at AKU is very
increasingly and effectively used for such purposes. Any job opening in
the departments sent through to employees those who have access to
intranet accounts. Otherwise, openings posted on the notice boards attract
the attention of employees.

It is said that internal recruitment is very helpful in many respects. It

offers existing employees incentive to improve their skills. In some cases,
these recruits prove less costly for some internal recruits might not need to
go through the process of certain procedures such as orientation program.
They will not go through the initial period of familiarization with the
organization. They could immediately start producing better results.

Another benefit of internal recruitment is that organization already knows

the strengths and weaknesses of candidates therefore, if recommended for
recruitment he or she could be more beneficial for the organization.

As mentioned above internal recruitment could be less expensive as these

candidates do not necessarily need all the training, which a new recruit
might require.

16
 Aga Khan University Hospital

External Sources

No matter how important and efficient the process of internal recruitment is, no
organization can fulfill its entire requirement from internal sources. It will
ultimately have to rely on external sources.

Some of the positions in organization of necessity will have to be recruited from

outside. For example, entry-level positions cannot be filled by from internal
sources. In addition, for flow on new ideas and it is necessary that organization
should recruit from outside Organizations, which solely depend on internal
sources for recruitment purposes, to save monetary costs would do so at the risk
of becoming too inward looking.

External recruitment at AKUH

In order to attract the external candidates AKU recruitment department

undertakes following activities

 Educational Institutions

Advertisements placed on the notice boards of educational institutions

could be very good source of attracting recruits. At AKU, this practice is
only followed for managerial level positions. According to Manager
recruitment department, so far advertisements were sent to be place on
IBA notice boards. Some management trainees have joined AKU who have
done their MBAs from private universities like CBM.

 Announcements in Jamat Khana

Jamat Khana is a community center of Ismaili Muslims. Since AKU

belongs to Aga Khan Development Network (AKDN) it is considered
important to inform the community members of any opportunity or
vacant positions arises

Although, Recruitment manager of AKU (herself a non- Ismaili)

mentioned during interview that there is a strong emphasis on making
AKU an equal opportunity employer. She mentioned of clear instruction

17
 Aga Khan University Hospital

she received from the director of department and president of the

University for treating candidates on equal basis.

However being a part of Aga Khan Development Network (AKDN) Ismailis have
at least hear about vacant position in Jamat Khanas which other people might
miss even if published in the news papers. Especially for such jobs, which are not
advertised in the newspapers Ismialis might have more chances of getting the
information than other people. However, this might not be the only reason.

 Advertisements

Local Newspapers

Advertisements are placed in local newspapers once the vacancy emerges,

and notified to recruitment department through requisition. Since AKU is
considered to be a very reputable organization, and known for its good
working environment, these advertisements are received very well and
many of the candidates apply for the post.

Foreign Newspapers

Although advertisement are placed in the local newspapers, but in some

cases the target pool of prospective recruits is international. This is largely
determined by the nature of job. Since AKU is an international university
therefore to maintain the excellence of services, it extends its search
beyond national boundaries to recruits. This is mostly the case when
faculty members of high caliber are required.

As result, many of the factual members and other professionals are

expatriates. One could see many foreigners working in different positions
of high standing.

 Liaison with recruitment firms

AKU recruitment department some times contacts with local or

international recruitment firms for recruitment purposes. The Officer
mentioned that they do so for senior positions.

18
 Aga Khan University Hospital

Maintenance of application data bank

Maintenance of application data bank is one of the important processes

undertaken here. Recruitment department receives hundreds of applications
from different people who are interested to join AKU. Theses include both
sought and unsought applications. Application could be sent as response to
vacancies announced or those sent by candidates who send in the application for
possible future vacancies. This data bank helps to track the relevant applications
whenever vacancy arises. This is important because application is not sent only
when vacancies arise but some are sent in anticipation of some vacancy at future
point in time.

Two major sources of data bank of applications are write-in applications and
walk-ins.

Write in

Applications either sought or unsought could be send by applicants through

mail. These applications are sorted and then are entered in to appropriate section
of data bank of applications.

Walk in

Some interested candidates might just walk in the recruitment department and
hand their application to employees in recruitment department. Such candidates
may want accretion that their application is reached to proper place. They might
also like to get some information about further possible vacancies.

19
 Aga Khan University Hospital

Screening Process

 Preliminary Interview

Preliminary Interview is taken to eliminate the unqualified candidate for

further process.

 Aptitude Test

For different candidates aptitude test is prepared to check their abilities.

Aptitude tests test the candidates for their aptitude related to their work.
Normally aptitude test contains a test of English Language proficiency.
Naturally, different level of proficiency is required for different level of
jobs. Apart from these, their work related knowledge is tested. For
example for secretarial job computer skills and typing speed are tested to
find out whether candidate fulfils the requirements of the job.

Aptitude tests serves to exclude the obvious misfits hence screens out the
candidates for interview process.

 Interviews

Interview is the next step in the selection process. This is the most
important part of selection process in Pakistani context, because other
methods are considered too sophisticated and costly.

Those candidates who pass through the first phase of selection process, i.e.
aptitude test have to go through the process of interviews. Interviews in
some cases are conducted by recruitment department and personnel from
line departments. However in some cases line departments conduct a
separate interview.

Interviews conducted by the department mostly focus on the job related

skills and candidates competencies as it relates to job. While personnel
department would be more interested in general competencies required
for employment.

20
 Aga Khan University Hospital

P.B.S.D (Patient Billing Services Department)

P.B.S.D
(Patient Billing
Services
Department)

Credit &
Cash Welfare Corporate
Collection

P.B.S.D is a department which deals with four types of billing procedures of

patients. There are two types of patients, which are being facilitate in A.K.U.H by
P.B.S.D and those two types are in–patient and out-patient. In-patients are those
patients who are being treated by A.K.U.H in more than one day. On the contrary
out-patients are just consulting with their doctors or being treated in a day care
surgery process.

All of the four procedures of billing are being dealt by four different sub-
departments which are mentioned above in the chart.

CASH Department (P.B.S.D)

Cash department facilitates those patients who are being treated by A.K.U.H
with their respective procedures whether in or out-patients. These patients pay
their billing amount in a simple manner either by cash or credit cards.

Welfare Department (P.B.S.D)

This department usually has a large amount of funds which are being collected
in forms of donations and other different sources. These funds are used for those
patients who are unable to pay their treatment amount. Those patients generally
concerns with welfare department of A.K.U.H.

21
 Aga Khan University Hospital

Credit & Collection Department (P.B.S.D)

Those patients who are not being approved from welfare department due to their
status are facilitated by credit and collection department for payment procedure.
Than credit and collection department collect payment from those patients on
installment basis. They get surety from the patient about payments in form their
NIC card or gives time to patient on behalf of any A.K.U.H employee for
payment.

Corporate (P.B.S.D)

This department concern with those patients who utilize the services of A.K.U.H
on behalf of panel provided by the companies where they are employed. Third
party payment collection department collect payment from those companies for
the treatment of their employees. They also deal those patients who insured their
life from insurance companies.

22
 Aga Khan University Hospital

MANAGEMENT HEIRARCHY OF P.B.S.D

President A.K.U

Provost
A.K.U

Director
P.B.S.D

Manager - Cash Manager – Manager – Manager –

Dept Welfare Dept Credit & Corporate Dept
Collection Dept

Asst. Asst. Asst. Asst.

Asst. Asst. Asst. Asst.

Subordinates Subordinates Subordinates Subordinates

23
 Aga Khan University Hospital

Appendix

1. Do you have any separate recruitment department, which does recruiting?

2. What are the responsibilities of this department?

3. Are you the equal opportunity employer?

4. What factors do you consider in making the recruitment policy?

5. Do you have any preference while recruiting?

6. Do you believe in diverse workforce employment?

7. If yes, what problems do you face in managing diversity?

8. Which sources do you prefer for recruitment?

9. How is internal recruitment done in AKUH?

10. How is external recruitment done in AKUH?

11. How do you manage employment application information?

12. When the requisition is received how it is processed?

24