DaCi Health Files IPO Prospectus to Become a Digital HR Innovator in the Healthcare and Nursing Sector with Its One-Stop Medical Care Platform

“The potential demand for elderly care workers exceeds 10 million, yet the current workforce stands at only over 300,000. There is also a shortage of nursing staff in medical institutions.” On March 5, at a briefing held by the State Council Information Office, Huang Shouhong, Director of the State Council Research Office and head of the drafting team for the Government Work Report, stated that as of the end of 2022, the total number of registered nurses nationwide exceeded 5.2 million, with an annual increase of 300,000. However, the number of nurses per 1,000 population was only 3.7, compared to 8–15 in developed countries.

The sustained growth in demand is the direct cause of the nursing staff shortage. According to statistics from the National Health Commission, from January to September 2023, the total number of hospital discharges at medical and health institutions across China reached 220 million, representing an 18.9% increase compared to the same period in 2022. More urgently, there is the issue of elderly care driven by population aging. Currently, the number of disabled elderly aged 60 and above in China has exceeded 42 million. Based on the international standard of one caregiver for every three elderly individuals, there is a severe shortage of caregiving personnel.

“Insufficient staffing and inadequate competencies are the primary challenges in building a tiered workforce for elderly care.” Zhang Shuyang, a deputy to the National People’s Congress and President of Peking Union Medical College Hospital, stated that China currently lacks standardized norms for the required number and staffing ratios of professional nursing personnel in community-based elderly care services. As a result, the supply of professional nursing human resources remains unsecured, significantly compromising the quality of professional care received by older adults.

There is a significant shortage of elderly care professionals, making the search for caregivers akin to “opening a blind box.” Jiangsu Daci Health Industry Development Co., Ltd. (hereinafter referred to as “Daci Health”) has provided its own solution to transform this “blind box” into “open cards,” efficiently and rationally allocate nursing human resources, meet China’s diversified elderly care models and personalized service demands, and enhance the professional skills and occupational identity of practitioners.

Jiangsu Daci Health CEO Zhang Hao (left), with Director Guo Xiujun (center) and Director Fu Rong (right) of the High-Quality Development Committee. Photo courtesy of Daci Health.

Zhang Hao, CEO of Daci Health, previously worked at a super-large domestic human resources services group, where he accumulated nearly ten years of experience in HR services. He later entered the medical and nursing care sector and founded Daci Health.

Zhang Hao pointed out: “The management model in China’s medical and nursing care sector is relatively extensive. When confronted with complex scenarios—such as nurses providing services in hospitals versus at home, or delivering one-on-one versus one-to-many care—there is a lack of refined and efficient management tools to handle their workloads and oversight.”

To address these challenges, Daci Health has independently developed “Yihutong,” a medical nursing service workforce platform. This platform enables healthcare institutions to deliver “Internet + Nursing” services and manage in-house patient escort operations, while also extending care beyond hospital walls through home-based rehabilitation and companion services for medical visits and examinations. It comprehensively supports the integration of medical and elderly care systems within institutions.

Introduction to Yihutong. Image provided by Daci Health.

The system’s functionalities include an in-hospital companion management system, an extended out-of-hospital service system, a caregiver talent pool, and a public welfare nursing education platform. It adopts a multi-terminal integrated architecture that seamlessly combines the healthcare provider APP/mini-program, the user APP/mini-program, the hospital management backend, and the operational supervision platform. This enables comprehensive coverage and smooth integration from medical institutions to home settings, bridging the gap in health management after outpatient visits and discharge, while supporting one-click operations for all user roles.

Covers hundreds of medical and nursing services, involving care services from multiple hospitals, allowing you to choose nearby institutions.

Medical Staff Portal (Left) | Operations Management Portal (Center) | Caregiver Portal (Right)

According to Zhang Hao, the Yihutong talent pool has aggregated more than 10,000 professional medical and nursing staff, with a monthly addition of up to 1,300 personnel, successfully matching over 1,600 short-term care assignments. To enable more ordinary families to access high-quality care services, Daci Health has proactively reduced its gross profit margin to 10%, committing to universal service accessibility through a low-margin, sustainable business model.

How is such a complex caregiver dispatch operation managed and serviced? Zhang Hao explained that the company evolved from a seasoned human resources firm and continues to leverage HR-centric management practices. Caregiver management is conducted through strategic, personalized, dynamic, and comprehensively optimized approaches, incorporating both incentive and constraint mechanisms. Daci Health places particular emphasis on the quality of caregiving services; to this end, it has engaged relevant experts to provide professional training and deploys management personnel to conduct irregular inspections at hospital campuses.

Management instructors conduct hospital rounds to assess patient care; image provided by Daci Health

Jingjiang People's Hospital Campus Companion Care Project Launch Meeting, image provided by Daci Health

“We assign staff based on hospital-side requirements. For instance, we recently undertook the nursing and caregiving services for a large Grade 3A tertiary hospital. To ensure smooth service delivery, we forecast demand in advance and make corresponding preparations, allowing us to flexibly adjust the number of on-duty personnel according to actual needs. If the forecast exceeds requirements, surplus manpower is allocated to other projects,” said Zhang Hao. The average age of Daci Health’s nursing team is around 50 years old. Each caregiver undergoes rigorous background checks to ensure that their ID cards, professional qualification certificates, and health certificates are all in order, with no history of infectious diseases or criminal records. They not only complete pre-job training but also regularly participate in on-the-job training and career advancement programs. The company’s nursing team demonstrates high stability, with an annual retention rate exceeding 77%.

How Does Daci Health Effectively Reach Users, Particularly Elderly Individuals Who Are Not Proficient with Smartphones? Zhang Hao revealed to VCBeat that the company places promotional materials, such as roll-up banners and posters, in prominent locations within partner medical institutions, including reception desks and patient wards, to ensure patients can easily access service information. For most elderly individuals capable of seeking medical care independently, these materials provide sufficient guidance; for those requiring accompaniment by their children or professional patient escorts, these resources offer additional convenience. Furthermore, Daci Health has specifically optimized the user interface of its Yihutong system for elderly users, featuring large fonts and a simplified layout. Elderly users need only link their mobile phone numbers, after which dedicated staff will contact them by phone to assist with placing orders.

To ensure the safety of home-visit caregivers and effectively prevent medical disputes, Daci Health has adopted a regulatory model similar to that of Didi Chuxing. All users are required to register and place orders using real-name verification with their national ID cards. The entire process—from service assessment and the caregiver’s travel trajectory to arrival at the user’s home and completion of the service—is audio-recorded. With user consent and without infringing on privacy, video recording may also be enabled.

Trajectory Tracking, Audio Recording, and One-Touch Emergency Alert to Ensure Nurse Home-Visit Safety, Image provided by Daci Health

Furthermore, the company has purchased relevant professional liability insurance from third-party insurers such as Ping An to mitigate potential risks.

The Yihutong System has obtained the Computer Software Copyright Registration Certificate and successfully achieved Level 3 Classified Protection Certification for Information System Security.

Furthermore, to further enhance the standard of nursing care, Cici Health has specially established a Talent Development Committee, inviting more than ten authoritative experts in the field of nursing to provide valuable guidance for the business development of Cici Health, while also helping to improve the professional competence of its talent.

Zhang Hao noted that the team’s cohesion stemmed primarily from serendipity and shared goodwill. Throughout the entrepreneurial journey, he consistently shared Daci’s founding philosophy with the broader community. While emphasizing diversity and complementarity in talent acquisition, the team gradually attracted experts from various fields, including healthcare, technology, human resources, and corporate management. United by a common belief, the team members are collectively striving to address the shortage of nursing professionals in China and deliver high-quality nursing services to the public.

While many companies regard age 35 as a career threshold, the management team at Daci Health features a more mature age profile. Zhang Hao stated that Daci Health’s team brings together numerous senior professionals, including medical experts, nursing directors, and professors. With years of in-depth experience in the medical caregiving sector, they are well-equipped to swiftly and adeptly address operational bottlenecks, ensuring efficient business operations.

Currently, Daci Health is headquartered in Nanjing, with operations established in Shanghai and Shenzhen.

In terms of commercialization, the company has established partnerships with over 100 entities, including Ping An Health, Meinian Onehealth Healthcare, National Big Health, Ankangtong, Shanghai International Medical Center, and Shanghai Artmon Hospital, as well as numerous Grade IIIA hospitals, private hospitals, elderly care groups, medical device companies, health examination institutions, chain health management providers, and nursing homes.

According to Zhang Hao, the company's order volume in 2023 surged fourfold compared to 2022, and even greater growth is expected in 2024.

Looking ahead, Daci Health will leverage AI and other technologies to further reduce costs and enhance efficiency. Meanwhile, Zhang Hao sincerely invites more medical institutions and professionals to seize these opportunities and join hands with Daci Health in charting a new blueprint for the healthcare and nursing industry.