Sick Kids helps set up hospital in Qatar
February 8, 2010
Dana Flavelle
BUSINESS REPORTER
The Hospital for Sick Children says it has signed a "significant" five-year contract advising a new children's hospital in Qatar, the first of many international business opportunities to boost revenues at home.
"When dollars get tight, if you want to be innovative and continue to be one of the top hospitals in the world, you have to get creative," said Mary Jo Haddad, Sick Kids' chief executive officer.
Long pursued by American hospitals, the international health-care market is increasingly open to Canada because of the country's global image and health-care expertise, Haddad added.
"There's a different nuance since 9/11 around partnerships with American companies," Haddad said in a telephone interview.
"Other countries are looking to Canada to be more active in international health care. I could be doing this in 10 other countries given the number of requests I've had over the past few years. We're starting slowly and cautiously."
The contract involves advising Hamad Medical Corp. on how to staff and equip the new facility in Qatar's capital, Doha, which is scheduled to open in 2012. Sick Kids said it could not disclose the value of the contract, but Haddad described it as "significant."
The Toronto hospital's annual budget is about $900 million, with nearly two-thirds of that funded by government and the rest from philanthropic activities and commercial agreements.
Proceeds from the deal will help finance projects at home, Haddad added
"The revenue from this contract goes back into the operations of this (Sick Kids) hospital for new technology and capital equipment," she said before heading to Qatar for Sunday's official contract signing.
When it opens in 2012, the 217-bed Qatar facility will be the first of its kind in the region. Located in Hamad Medical City, a non-profit complex with five other specialized health-care facilities, the pediatric hospital will be state-of-the-art.
Sick Kids' job is to provide expertise and training in everything from how to staff and equip an operating room, adapt adult medications to children and provide a child-friendly atmosphere, Haddad said.
While her hospital has provided some services to other facilities, in places like India and Ireland, she said this is the first that involves helping set up an entire hospital.
Sick Kids is fulfilling the contract in Qatar using its own staff, replacing people in Toronto as they go there, Haddad explained. The number involved would be less than 100.
The project director in Qatar, for example, is the former director of the Toronto hospital's emergency department.
"This is a phenomenal opportunity to continue a career in children's health and continue to stay involved with Sick Kids Hospital."
Bidding against several other large U.S. children's hospitals, Haddad said her institution differentiated itself by offering to help build local expertise rather than simply provide the service.
U.S. hospitals have a more do-it-for-you approach, she said. "They'd bring in their own teams and when the teams left, so did the talent."
The process began seven years ago when officials with Hamad came to visit several children's hospitals in North America, including Sick Kids.
"This is a very important project and partnership for us, and will have a tremendous impact on health care in Qatar," Dr. Al Kuwari, managing director at Hamad Medical, said in a statement. "The new children's hospital will be the first full hospital in Qatar specializing in pediatric care, and we are proud to be working with a leading international centre of excellence in this endeavour."
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Toronto Star