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Multimedia Case Study

Case Title:

Public Private Partnership in Rajasthan's Health Sector: Outsourcing Diagnostic Services

Publication Year : 2005

Authors: D Mohanty, D Gayatri & K Darbha under the guidance of Dr. Nagendra V. Chowdary

Industry: Not Applicable

Region: India

Case Code:  MMA0001

Teaching Note: Not Available

Structured Assignment: Not Available


Healthcare sector in India has been witnessing a huge demand-supply gap in its service delivery, as public healthcare services are found to be inadequate in serving the huge population. To bridge this gap and improve the efficiency of services, healthcare reforms, especially in the form of private partnerships in public sector are being encouraged. Government of Rajasthan, India, has taken up an initiative in this direction. Sawai Man Singh (S.M.S) Hospital, a public sector hospital in Jaipur, the capital city of Rajasthan, has been able to successfully implement a Public Private Partnership initiative. As part of the initative, the hospital has invited private diagnostic centres to set up diagnostic equipments (C.T and M.R.I scan) in the hospital premises. As a result, the hospital is able to offer high quality services at affordable prices to the poor. While the cost of services has come down drastically, the waiting time for patients has also reduced. At the same time, private partners are being benefited from the volume of patients who visit government hospital and are able to achieve economies of scale.

Pedagogical Objectives:

  • To discuss the impact of public private partnership in the health sector.

Keywords : Multimedia Case Studies,Public private partnership, Health care sector in India, Outsourcing, Public sector expenditure on health care, Demand supply gap, Below poverty line (BPL), SMS Hospital, Licence-based model, Market competition, Diagnostic investigation services, India health report, National Health Policy, Medicare relief societies, Private health care sector


  • Introduction
  • Healthcare in India
  • The demand-supply gap
  • In Rajasthan

  • Public private partnership in S.M.S. Hospital, Jaipur
  • The PPP– a win-win situation
  • From conflict to collaboration – PPP’s sustainability

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