Practus’ CFO Solutions assisted the hospital in reducing the cost of working capital by ~1.5% and doctor attrition ratio from ~15% to 8%.

Client NameROIIndustryOwnershipManagementNo. of EmployeesSizeProject Duration
MomWorld5.9xHealthcarePrivate, PE-BackedProfessional~400$50 million10 Months

About The Company

MomWorld is a comprehensive women’s and child-care hospital network dedicated to providing women, newborns, and children with world-class healthcare services. MomWorld was funded in 2016 by a mid-cap PE fund, which immediately brought in Practus to provide visibility on the company’s ambitions and capital utilization. MomWorld has 350 beds scattered across four locations.​

Practus’ Role

  • Interim Chief Financial Officer.​
  • The “Conscience Keepers,” in charge of the cash control role.​
  • End-use of money directed toward projects with the highest ROCE.​
  • Standard Operating Procedures for the Procure to Pay cycle were implemented in four locations.​
  • The finance team’s performance measurement systems have been deployed.​
  • Within two months, delivered profit and loss and cashflow at the site and SBU levels.​
  • Practus’ three full-time employees (CFO, Controller, and Accountant) were successfully transferred to MomWorld’s team.​
  • In accordance with the business plan, capital budgeting was accomplished within three months.​

Impact Delivered

  • Working-capital costs are reduced by ~1.5 percent.​
  • A systematic and disciplined incentive scheme reduced doctor attrition from ~15% to 8%.​
  • The strategic decision to increase the emphasis on outcome-based marketing spend resulted in a 10% decrease in per patient acquisition cost.​
  • Fixed revenue leaks to increase collections by 11%.​