Read the case study below and answer the questions that follow: THE DISCOVERY HEALTH MEDICAL SCHEME

The core purpose of the Discovery Health Medical Scheme (DHMS) is to achieve, in a sustainable manner, the best possible value for its members, which comprises the benefits, quality of care and service levels to members relative to their contributions to the scheme. DHMS is an open medical scheme, meaning that any member of the public can join, subject to its rules. DHMS covers more than 2.7 million members, making it the largest open medical scheme in South Africa with a market share of 53%. The integrated report for 2016 indicates six issues which the organisation believes represent some of the most material challenges for business today and which have driven their selection of the content of the 2016 integrated report. The issues were identified following extensive management discussions and workshops, as well as a review of the key risks identified by the organisation and issues highlighted in commentary from external stakeholders. These issues are the following: 1. Achieve new business growth by continuing to innovate products and services and increasing our ability to capture value across the chain in our chosen business segments. 2. Consolidate recent acquisitions, particularly the transition of the UK business to full ownership under the Vitality brand, and obtain our UK life insurance license in our UK primary market. 3. Continue to explore adjacent industries in the South African market that leverage our behavioural-based business model, and explore opportunities to export successful local adjacencies to international markets. 4. Continue to grow internationally, finding models that leverage our South African intellectual property for Discovery partner markets. 5. Ensure the best skills, depth of leadership and diversity in our business that will enable continued innovation to benefit our clients and help us to become the best insurance organisation in the world. 6. Navigate an increasingly complex regulatory environment. Adapted from: Smit, P. J., Botha, T. & Vrba, M. J. 2018. Management Principles. A contemporary edition for Africa. 6th edition. Cape Town: Juta.

TUTORIAL LETTER 1 (ASSIGNMENT 1) 2021 FIRST SEMESTER 1.1 To identify the six issues explained in the case study, Discovery Health Medical Scheme (DHMS) needed a lot of information. Explain the various sources of data and information (external and internal sources) and how it was used to arrive at the six issues. (13) 1.2 Explain the basic components of an information system that could assist DHMS in identifying the six issues referred to in Question 1.1. (7)