Focus on the employee job satisfaction at Beximco Pharmaceuticals Ltd
1.1 Preface Beximco Pharmaceutical Ltd. or BPL is the leading pharmaceutical manufacturing in the country. It all began in 1980 when BPL, first product made under license of Bayer AG, Germany rolled out of a small manufacturing plant in Tongi, Dhaka. Product made under license of Upjohn Incorporated, USA followed. After its initial years of struggle it broke ground with the launching of its own product in 1983. The journey continued and barrier after barrier were crossed, challenges were faced and overcome to transform BPL into what it is at present. Today, BPL holds a 15% share in the domestic market after competing with such Multinational Giants as Glaxo, Welcome, Novartis, Hoecsht, Rhone Poulenc Rorer, Fisons etc. BPL manufactures and markets a high quality and cost-effective range of about 80 formulations covering all major therapeutic groups. The commissioning of BPL’s Basic Chemicals Unit in 1990, established a very significant milestone in the history of the country’s chemical industry. It not only met 90% of the country’s demand for two vital raw materials, ampicillin and amoxycillin but also started selling these to overseas markets, including South Korea and Malysia. BPL received the Export Gold Trophy in 1994-95 for its export of these two basic chemical making it the first pharmaceutical company in Bangladesh to win the Export Trophy Human Resources are part and parcel of an organization. An organization can not move these resources. A particular person never does a work well until he has keen interest and love for the work. Such interest and love can be generated by applying force on someone or may selfprompted. While the former may be true in some cases it is transitory and ineffective, the latter has more lasting and conducive impact. Thus the question arises about the satisfaction level of a person for a job.The tried to find out the answer of the question though this research. This report is focus on the employee job satisfaction at Beximco Pharmaceuticals Ltd. of distribution.
1.2 Origin of the Report Today, practical experience is as much essential as academic education that enables someone to be successful business executive especially in the glove, competitive business environment. In order to gather Knowledge and exposure regarding the organization culture,
behavior the business students have to be go internship after the successful completion of their business degree.
1.3 Objectives of the proposed study: Objectives are as follows: To know getting maximum results with minimum efforts. Increasing the efficiency of factors of production. Maximum Prosperity for employer and Employees Human betterment & social justice To find the weaknesses associated with the management of assets and liabilities of the company o To perfect management of distribution system in chemical industries. o To know the how to problem to solve arising the problem. o o o o o
1.4 Scope of the Study: The report intends to asses the position of overall pharmaceuticals market in Bangladesh, with special reference to Beximco Pharmaceuticals Ltd.The report is prepared with a view to provide a brief but complete idea about pharmaceutical industries position of several pharmaceuticals companies. For this purpose data was collected from primary and secondary sources. The readers will also understand the different management, marketing situations, export positions, economic situations, social contributions etc. about selected pharmaceutical companies. Some findings and recommendations have been mentioned in the report to get a clear picture about overall credit card market in Bangladesh.
1.5 Limitation of the Study: The limitation and constraints faced while conducting this study are below: • •
• • •
The industry data was not available. The internship has been made for two month long duration but it is very much difficult to set
true practical experience about the real business world with in this short span of time. Due to cost restriction, the study is concentrated in selected areas only distribution department of Beximco Pharmaceutical Ltd. Sampling error may occur due to the utilization of convenience sampling. The carried out such a study for the first time so inexperience is one of the main constrains of the study. In spite of all these limitations have to put the best effort as far as possible
1.6 Data collection and its sources: Secondary data was collected from following sources:
Monthly Reviews of DSE and Internet.
Published & Unpublished Documents.
Methodology Using Data: The report is based on information collected from both primary and secondary data sources. To make the report more meaningful and presentable, both the following sources of data and information have been used widely: a) The Primary Sources: • Face-to-face discussion with the relevant officials. • Practical/ hands-on experience of working in the human resource and administration department. • Study of relevant files provided by the officers concerned. b) The Secondary Sources: • By using Corporate profile of Partex group • The internet was also used as a theoretical source of information The analyzed selected sections and tried to identify problems associated with each section. The have also recommended some suggestions regarding these problems. At first have prepared this draft report and will submit it to tutor then based on the feedback will submit the final report.
Chapter -2 2.1. Origin of Beximco Group Taking Bangladesh to the World... Today the BEXIMCO Group (“BEXIMCO” or the “Group”) is the largest private sector group in Bangladesh. BEXIMCO was founded in the 1970’s by two brothers – Ahmed Sohail
Fasiur Rahman and Ahmed Salman Fazlur Rahman. Since the early days, the Group has evolved from being primarily a commodities trading company to a leading, diversified group with a presence in industry sectors that account for nearly 75% of Bangladesh’s GDP. BEXIMCO’s corporate mission is “Taking Bangladesh to the world”. As BEXIMCO has grown over the years, the flagship platform now has operations and investments across a wide range of industries including textiles, trading, marine food, real estate development, hospitality, construction, information and communication technologies, media, ceramics, aviation, pharmaceuticals, financial services and energy. The Group sells its products and services in the domestic Bangladesh market as well as international markets. BEXIMCO is the largest employer in the private sector in Bangladesh and employs over 48,000 people worldwide. The BEXIMCO name has now become one of the most recognizable brand names in Bangladesh. It is synonymous with innovation, trust and quality. The Group consists of four publicly traded and seventeen privately held companies. The publicly traded companies – Bangladesh Export Import Company Limited, Beximco Pharmaceuticals Limited, Shinepukur Ceramics Limited and Beximco Synthetics Limited – have a combined market capitalization of approximately $625.41 million. The Group had total revenues of $834 million in the year ended December 31, 2010. BEXIMCO encompasses one of South Asia’s largest vertically integrated textile and garment companies. The Textile division is a fully integrated manufacturer of cotton and polyester blended garments for men, women and children, both for domestic and export markets. BEXIMCO is also the largest exporter of pharmaceuticals in Bangladesh with a presence in 45 countries. The Pharmaceuticals division manufactures and sells generic pharmaceutical formulation products, active pharmaceutical ingredients (API) and intravenous (IV) fluids. The Group is also the largest ceramics exporter and has an investment in GMG Airlines, the largest private commercial airline in Bangladesh and in Unique Hotels & Resorts, which owns the Westin Hotel in Bangladesh. State-of-the-art manufacturing plants located in the vicinity of Dhaka provide the Group with a highly cost effective manufacturing base. A majority of its plants are in the BEXIMCO Industrial Park, a vertically integrated self-contained facility. This facility provides ready access to captive power generation, water purification, liquid nitrogen, waste water treatment and other key infrastructure. The Group’s global clients include some of the world’s best known brands including BT, BASF, Chevron, Calvin Klein, H&M, JC Penney, Macys, Zara, UNICEF, Royal Doulton and Villeroy & Boch. BEXIMCO is well positioned to capitalize on strong growth across industries in both the domestic and global markets. Each Group company is managed by an independent, professional team with significant depth of experience. Management teams have established a clear strategic plan that will further strengthen the overall platform. BEXIMCO intends to leverage its market position and global scale, further diversify operations into highly profitable sectors, capitalize on the domestic growth opportunity and selectively pursue international opportunities going forward. In recognition of its corporate success and creation of shareholder value, the BEXIMCO Group has and continues to make significant contributions to Bangladesh’s society. Sponsored organizations include “Proyash”, a specialized institute that works for the holistic
development of children with special educational needs and “Gono Sahajjo Songstha”, an institution that provides education for the underprivileged. BEXIMCO was also an official sponsor of the Bangladesh National Cricket team for the ICC Cricket World Cup 2011 and also the official title sponsor of the FIFA friendly match between Argentina and Nigeria held in September, 2011.
2.2. Mission and Vision of Beximco Group Mission: Organization mission refers managements customize answer to the question what is our business and what will it be? A mission statement broadly outlines the organization’s future direction and service as a guiding concept for what the organization is to do and to become. “Each of our activities must benefit and add value to the common wealth of our society. We firmly believe that in the final analysis we are accountable to each of the constituents with whom we interact namely our employees, our customers, our business associates, our fellow citizens and share holders.” Vision Statement: Vision is the long-term outlook i.e. management expectation of an Organization’s Position over the next 5 to 10 years. The vision of BEXIMCO reflects in the Chairman following statement (Groups Annual Report 2000). “If there is one characteristic that has typified the BEXIMCO approach it is Vision to be the best of our nature and human resources. A vision to establish our group and country as a respected and valued regional presence
2.3. Figure: Corporate structure of Beximco Group. BEXIMCO GROUP
Marine foods Division
Real Estate Division
2.4.List Of Major Companies including the Beximco Group: Division Textile Division
Chemical Division Real Estate & Construction Division Trading Division Jute Division Marine foods Division Information Technology Divisions
Company Padma Textile Mills Ltd. Beximco Synthetics Ltd. Beximco Apparels Ltd. Beximco Knitting Ltd. Beximco Textiles Ltd. Beximco Denims Ltd. Beximco Fashions Ltd. Beximco Fabrics Ltd. Beximco Pharmaceuticals Ltd. Pharmatek Chemicals Ltd. I & I Services Ltd. Beximco Engineering Ltd. Shinepukur Holdings Ltd. Bangladesh Export Import Ltd. Beximco Holdings Ltd. New Dacca Industries Ltd. Sonali Ansh Ltd. Esses Exporters Ltd. Beximco Foods Ltd. Beximco Fisheries Ltd. Beximco Softech Ltd. Beximco Systems Ltd. Beximco Computers Ltd. Bangladesh Online Ltd. Shinepukur Ceramics Gammatech Ltd.
Table: Major companies of Beximco Group The number of companies in each division is different. The companies of Beximco group in relation to division have been elaborated as follows:
Beximco Textile Division: From fiber to fabric, the BEXIMCO Textile is a truly integrated undertaking. The Textile Division has the capability to offer a complete product range for the export and domestic textile markets. The goal of the Textile Division is to become the preferred partner the for source of high quality fabrics and clothing from Bangladesh. With highly advanced technology and emphasis on developing local human resources, the Textile Division has the potential to make an important contribution to the nation's growing ready made garments export sector.
Beximco Jute Division: The golden fiber provided the genesis of today's BEXIMCO Group. As one of the staple exports of Bangladesh over the years, jute has been a mainstay of the country's economic landscape. The BEXIMCO jute Division is the world's largest jute yarn and twine manufacturer and exporter with 12% of the world jute and twine trade. Annual exports are currently over 20,000MT. BEXIMCO was the pioneer in manufacturing specialized jute yarn and twine for Ax Minister carpet and continues to explore new product and market opportunities worldwide. Until the jute business has got the setback in international market this division was one of the prime contributor to the group and the country as well.
Beximco Real Estate & Construction Division: The two critical needs of the country for the next decade and beyond are infrastructure and housing. The Real Estate and Construction Division aims to develop service and product offerings, which are second to none in its areas of core concentration. BEXIMCO Engineering Ltd.(BEL)has been providing high quality civil engineering and consulting services to both the government and private sector for over a decade and was the largest sub-contractor on the historic 4.8 km. Long Jamuna Bridge. The firm is also involved in a number of road development and infrastructure projects. Shinepukur Holding Ltd. Real Estate Division although real-estate developers have mushroomed in Dhaka and other urban areas over the years, Shinepukur Holdings Real Estate division was begun with mission to segment the real-estate market and develop demographically specific housing projects.
Marine Foods Division: Diversification into milk-fish production to supplement the traditional harvests of tiger prawn and sea bass has been a boon for Beximco Fisheries Ltd. With the pilot project in the coastal Cox's Bazar area in full swing, the year has been better than the past years for the Marine Food Division. This group added significantly to the group through success in fisheries business. The turnover of the group was also boomed by the contribution of the export of marine foods to international market.
Beximco Trading Division:
This division holds the initial business trend of Beximco, indeed. It looks for the opportunity of import-export commodities that have the in the market. This division is really dynamic and high profit contributing to the group with a brand portfolio that includes Wartsilla SA ( generation equipment), Arjo Wiggin’s ( security & treasury papers) of France, and Dupont Inc.( Chemicals), Sterling Diagnostic Imaging Inc.( film products) and Valvoline Inc.( petroleum products and industrial lubricants) of the USA. The Trading Division also represents overseas marine food buyers acting as a source of agent on their behalf and providing quality control.
Beximco IT Division: The companies included in this Division are Beximco Computers, Beximco Systems, and BOL online. Beximco Computers Ltd. is still the nation's largest volume re-seller of IBM PCs. With the launch of a new version of Bexi Bank, an integrated multi-user, multitasking banking application system Beximco Computer Ltd.'s software is in use at over 300 branches of 15 major banks nationwide. Beximco's first foray into education, Beximco Systems Ltd. is joint venture collaboration with the largest information technology institute of India, NIIT. Molded after NIIT's highly successful training centers across India, the NIIT Centers in Bangladesh have the highest growth rate of any NIIT facility for enrollment levels in its short courses and degree programs. Bangladesh Online Ltd.(BOL), Beximco's Internet Company launched its operation in August of 1998. The company has the fastest access among ISPs in Bangladesh. This division to serve groups interests in the most booming sectors of the world that is Information Technology. Since it started operation it proceeded very fast and became the market leader soon. It is pioneer company in Bangladesh to offer complete solution of automation. It also introduces the brand IT products to this country. Beximco Group established a very significant milestone in the history of the country's chemical industry. The plant not only met 90% of the country's demand for two vital raw materials, ampicillin and amoxycillin but also started selling these to overseas markets. BPL received the Export Gold Trophy in 1994-95 for its exports of these two basic chemicals making it the first pharmaceutical company in Bangladesh to win the Export Trophy. This division is involved with the following companies: • • •
Beximco Pharmaceuticals Ltd. I & I Services Ltd. Pharmatek Chemicals Ltd.
BEXIMCO CHEMICAL DIVISION
BEXIMCO PHARMACEUTICALS LIMITED
I&I SERVICES LIMITED
PHARMATEK CHEMICALS LIMITED
Beximco Pharmaceuticals Ltd. Beximco Pharmaceuticals Limited was incorporated in Bangladesh as a public company with limited liability, on 17th March 1976 and commercial operation on 1 st October 1980. The company went for public issue of shares in 1985, and its shares are listed in the stock exchanges in Bangladesh. And it is the leading pharmaceutical manufacture in Bangladesh. BPL started its operations in 1980 with product made under license of Bayer AG Germany; products made under license of Upjohn Inc. USA followed. Beximco Groups of as the name reveals not only produce drugs, they are also producing many other items like Textile, Holding, Marinated food etc. They are growing 15% (approx.) per year. Growth of any industry more than 10% is considered high growth industry all over the world. This rapid Growth rate is the second highest growth rate compared to the garment industries of our country. Principal Activities and Nature of operations; The company owns and operates a modern Pharmaceuticals drugs and medicines and sells them in the local and foreign markets. While Pharmaceutical companies in many developed countries have lost their luster; the business is still highly attractive in Bangladesh. Beximco pharmaceuticals is an industry leader in Bangladesh Pharmaceutical Industry. Many of its products are brand leaders in their respective fields. The current status of BPL is that it is one of the largest producers of quality medicines both at home and abroad. It is engaged in manufacturing, marketing and export of pharmaceuticals finished products and raw materials. BPL products are sold more than 16 countries across 3 continents (Asia, Europe, and Africa). The company continuously investing in the latest technology and manufacturing facility to meet the growing demand for its product and it is constantly expanding its already diversified product portfolio to better serve the community.
Pharmatek Chemicals Ltd. Pharmatek Chemicals Ltd. is the leading bulk producer of Paracetamol on Bangladesh. It caters to almost 60% of the local market and supplies its products to both national and multinational companies operating in Bangladesh. The company is managed and operated by BPL under a long-term management contract.
I & I Services Ltd. I & I Services Ltd. is the distribution wing of the Chemical Division. It maintains a large distribution network and covers 20,000 customers nationwide every month. A highly sophisticated order processing system, logistic facilities in terms of vehicles, depots and a team of professional sales staff keep pace with the ever-increasing market demand for timely execution of orders and quality services.
2, 5.Background of Pharmaceuticals Industry: The pharmaceuticals sector is a high technology and knowledge-intensive industry in Bangladesh. The industry has two-tier structure. The largest firm accounts for the majority of the R&B investment in the industry and hold the majority of patents. There are a large number of smaller firms producing mostly for local markets. The pharmaceuticals industry is heavily regulated. Once a product is brought to market, pharmaceuticals companies spend heavily on marketing and promotion. The larger drug companies maintain a large sales force, which makes direct regular contacts with individual prescribing physicians and other pharmaceuticals decisions makers. The money spent on marketing is huge. Pharmaceuticals marketing efforts are not only directed at physicians and consumer; drug companies have also sought to directly influence pharmacist to induce customer to change their drug consumption habits. The nature of competition in this industry differs between the two sets of firms. The second tier of firms holds fewer patents and relies primarily on manufacturing off patent generic medicals medicines or patent medicines under lenience. Competition between these firms takes the conventional from of competition on price, cost efficiency and quality. It contrast, a few large research-based pharmaceutical companies invest heavily in R&D and hold the bulk of the patents, and can often enjoy substantial market power while these patents are in force. For these companies, competition is not primarily on the basis of price, but rather on the basis of marketing and innovation. Theses companies compete to develop entirely new drugs, which treat new medical conditions, improve upon existing drugs, or serve as substitute for existing patented drugs. Some large pharmaceutical companies in these tiers export and compete in international markets. The scenario of pharmaceutical industry can be depicted in two parts-before the Drug policy ordinance, 1982 and after the drug policy ordinance, 1982. Before the ordinance there were 177 pharmaceutical companies in the country but local production is used to be dominated by multinational drug companies that manufactured 75% of total production. 25 medium sized national companies manufactured about 15% of total production. 133 small local based companies produced the remaining10%. The multinational companies where fully armed with modern technology for producing sophisticated essential drugs, but they were only engaged, a large extent, in formulation of simple drugs including many useless products. At that time, the unregulated drug market of the country had very little of favorable conditions for pharmaceuticals to cover price their products. Near monopoly market conditions mean that local firms could not compete effectively with these multinational market tycoons. A grate change was noticeable in the pharmaceutical industry after the drug policy ordinance of 1982. The total national production of pharmaceuticals has risen by a substantial 63%; the
value of essential drugs made in national factories has gone up to 140% over the four years. At present there are 250 national based and 7 multinational based pharmaceutical companies in Bangladesh.
2.6. Top fifty pharmaceutical companies in Bangladesh: Top Pharmaceutical Company of Bangladesh: 2011 Rank 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40
Total Market SQUARE INCEPTA PHARMA BEXIMCO OPSONIN PHARMA ESKAYEF RENATA ACME A.C.I. ARISTOPHARMA DRUG INTERNATIONAL SANOFI AVENTIS GLAXOSMITHKLINE ORION PHARMA LTD. NOVO NORDISK HEALTHCARE PHARMA GENERAL SANDOZ POPULAR PHARMA NOVARTIS IBN SINA NUVISTA PHARMA UNIMED &UNIHEALTH SUN PHARMA GLOBE BIO PHARMA ROCHE RADIANT PHARMA PACIFIC JAYSON BEACON PHARMA SMC ORION INFUSION OPSO SALINE KEMIKO PHARMA LTD. NAVANA DELTA PHARMA SERVIER SOMATEC RANGS PHARMA LIBRA
Tk (Crore) 7,186 1,378 650 620 355 348 340 319 293 286 270 185 140 140 128 126 117 109 94 94 93 83 68 60 57 56 50 41 41 38 37 33 32 30 29 29 27 27 23 22 21
Share 100.00 19.18 9.05 8.62 4.94 4.84 4.73 4.44 4.08 3.99 3.75 2.57 1.95 1.94 1.79 1.75 1.63 1.51 1.31 1.30 1.29 1.16 0.94 0.84 0.80 0.78 0.70 0.57 0.57 0.52 0.52 0.46 0.45 0.42 0.41 0.40 0.38 0.37 0.33 0.31 0.30
Growth % 24.30 23.54 32.17 40.33 26.09 24.82 29.63 17.34 18.81 21.63 18.18 8.77 10.84 31.47 27.72 33.20 19.25 12.25 54.53 46.01 19.49 37.93 22.80 54.63 24.72 21.07 42.24 71.73 18.46 10.97 18.11 -1.25 12.26 1.85 4.68 -1.94 53.11 23.61 4.37 -3.85 -4.70
41 42 43 44 45 46 47 48 49 50
ALCO PHARMA APEX PHARMA PHARMADESH SILVA PHARMA MEDIMPEX EDRUC ZISKA WHITE HORSE PHARMA RAK PHARMA LTD. ASIATIC * Others *
21 20 19 14 12 11 10 10 8 8 162
0.29 0.28 0.26 0.19 0.17 0.15 0.15 0.14 0.12 0.12 2.24
5.44 38.84 80.09 -1.21 -50.53 -19.17 -0.71 81.65 441.79 65.29 0.00
2.7.A Brief History of Beximco Pharmaceuticals Ltd. Beximco Pharmaceuticals Limited was incorporated in Bangladesh as a public company with limited liability, on 17th March 1976 and commercial operation on 1 st October 1980. The company went for public issue of shares in 1985, and its shares are listed in the stock exchanges in Bangladesh. And it is the leading pharmaceutical manufacture in Bangladesh. BPL started its operations in 1980 with product made under license of Bayer AG Germany; products made under license of Upjohn Inc. USA followed. Beximco Groups of as the name reveals not only produce drugs, they are also producing many other items like Textile, Holding, Marinated food etc. They are growing ď §15% (approx.) per year. Growth of any industry more than 10% is considered high growth industry all over the world. This rapid Growth rate is the second highest growth rate compared to the garment industries of our country. Principal Activities and Nature of operations; The company owns and operates a modern Pharmaceuticals drugs and medicines and sells them in the local and foreign markets. While Pharmaceutical companies in many developed countries have lost their luster; the business is still highly attractive in Bangladesh. Beximco pharmaceutical is an industry leader in Bangladesh Pharmaceutical Industry. Many of its products are brand leaders in their respective fields. The current status of BPL is that it is one of the largest producers of quality medicines both at home and abroad. It is engaged in manufacturing, marketing and export of pharmaceuticals finished products and raw materials. BPL products are sold more than 16 countries across 3 continents (Asia, Europe, Africa). The company continuously investing in the latest technology and manufacturing facility to meet the growing demand for its product and it is constantly expanding its already diversified product portfolio to better serve the community.
Pharmatek Chemicals Ltd.
Pharmatek Chemicals Ltd. is the leading bulk producer of Paracetamol on Bangladesh. It caters to almost 60% of the local market and supplies its products to both national and multinational companies operating in Bangladesh. The company is managed and operated by BPL under a long-term management contract.
I & I Services Ltd
I & I Services Ltd. is the distribution wing of the Chemical Division. It maintains a large distribution network and covers 20,000 customers nationwide every month. A highly sophisticated order processing system, logistic facilities in terms of vehicles, depots and a team of professional sales staff keep pace with the ever-increasing market demand for timely execution of orders and quality services
2.10. Mission statement of BPL: BPL has a remarkable mission statement, which is being seriously pursued in its thoughts and actions. An increasing amount of contribution is ploughed back into social causes BPL’s commitment, duties and responsibilities to the human society and nation. When human society continuing to improve it should not be benefited to BPL itself, but it should positively contribute to the nation and society where we live. The BPL authority believes that they manufacture and sell medicine to provide health, happiness, and smile back in life of their fellow citizens. We intend to help realize the ultimate aspiration for lifetime of good health. It is BPL’s responsibility to ensuring a healthier tomorrow for the people, which they believe as their responsibility. Organization mission refers managements viewpoint towards is our business. A mission statement broadly outlines the organization’s future direction and serves as a guiding concept for what the organization is to do and to become.
“Each of our activities must benefit and add value to the common wealth of our society. We firmly believe that in the final analysis we are accountable to each of the constituents with whom we interact namely our employees, our customers, our business associates, our fellow citizens and shareholders.”
2.11. Vision Statement: Vision is the long-term outlook i.e. management expectation of an Organization’s Position over the next 5 to 10 years. The vision of BEXIMCO reflects in the Chairman following statement (Groups Annual Report 2000). “If there is one characteristic that has typified the BEXIMCO approach it is Vision to be the best of our nature and human resources. A vision to establish our group and country as a respected and valued regional presence.”
2,13. Company profile of Beximco Chemical Division
Year of Establishment Country of Incorporation Commercial Production Status Business Lines
:: :: :: :: ::
Main Country of operation Corporate Headquarter & Registered Address
Overseas Offices & Associates
Authorized Capital (Taka) Paid-up Capital (Taka) Number of Shareholders
:: :: :: ::
Stock Exchange Listings Number of Employees TIDM: (Tradable Instrument Display Mnemonic) Date shares were admitted to trading
:: :: ::
1976 Bangladesh 1980 Public Limited Company Manufacturing and marketing of pharmaceutical Finished Formulation Products, Large Volume Parenterals and Active Pharmaceutical Ingredients (APIs) Bangladesh 17 Dhanmondi R/A, Road No. 2, Dhaka- 1205, Bangladesh Phone : +880-2-8611891 (5 lines) Fax : +880-2-8613470 Email : email@example.com 19 Dhanmondi R/A, Road No. 7, Dhaka- 1205, Bangladesh Phone : +880-2-8619151 (5 lines), +880-2-8619091 (5 lines) Fax : +880-2-8613888 Email : firstname.lastname@example.org Website : www.beximcopharma.com Australia, Bhutan, Cambodia, Chile, Ghana, Hong Kong, Indonesia, Jordan, Kenya, Kuwait, Malaysia, Myanmar, Nepal, Pakistan, Philippines,Saudi Arabia, Singapore, Sri Lanka, Vietnam and Yemen 9,100 million 2517.6 million Around 93,000 Dhaka and Chittagong Stock Exchanges of Bangladesh and AIM of London Stock Exchange 2,507 BXP Dhaka Stock Exchange Chittagong Stock Exchange AIM ( Alternative Investment Market) US0885792061
2.14. Management Structure: BEXIMCO CHEMICAL DIVISION CHART: TOP LEVEL ORGANOGRAM
: 3 July, 1985 : 11June, 1995 : 21 October,2005
Here, MD = Managing Director CFO = Chief Financial Officer COO = Chief Operating Officer HRD = Human Resource Department FSD = Financial Systems Department DS = Director, Sales DC = Director, Commercial D MKT = Director, Marketing D MFT = Director, Manufacturing 2.15. Composition of the Board: The Board of Directors
A S F Rahman Chairman
Salman F Rahman Vice Chairman
Nazmul Hassan Managing Director
Iqbal Ahmed Mohammad Abul Qasem Osman Kaiser Chowdhury Abu Bakar Siddiqur Rahman Dr. Farida Huq Barrister Faheemul Haq Advocate Ahsanul Karim Dr. Abdul Alim Khan
Director Director Director Director Director Director Director Independent Director
A dedicated Management committee and Executive Committee make sure that BEXMCO PHARMA achieves its target with sheer professionalism. The committees are: • • •
Management Committee Executive Committee Company Secretary
o The Management Committee: Nazmul Hassan Osman Kaiser Chowdhury Ali Nawaz Afsar Uddin Ahmed Rabbur Reza Lutfur Rahman Zakaria Seraj Chowdhury Mohd. Tahir Siddique A R M Zahidur Rahman Jamal Ahmed Choudhury
Managing Director Member of the Board of Directors Chief Financial Officer Director, Commercial Director, Marketing Director, Works Director, Sales Executive Director Executive Director, Production General Manager, Accounts & Finance.
The Executive Committee: Osman Kaiser Chowdhury Nazmul Hassan Ali Nawaz Afsar Uddin Ahmed
Member of the Board of Director Managing Director Chief Financial Officer Director, Commercial
The Company Secretary: Md. Asad Ullah, FCS
Milestones in the development of the organization
1976: Company incorporated
1980: Commenced Manufacturing Bayer AG of Germany and Upjohn Inc. of USA products.
1983: Launched own brands.
1993: Russia became
1985: Listed with Dhaka Stock Exchange.
1996: IV unit (former
Export operation with first export destination Beximco Infusions APIs. For formulation products Ltd.) Received ISO 9001 Certification from TUV-Cert, Germany.
1998:Become first pharma 2001: First Bangladeshi company to win "National Export Trophy (Gold)" for export excellence.
pharma company entering into Singapore, one of the most regulated markets in
2003: Became first company to introduce antiHIV drugs in Bangladesh; diversified into anticancer therapeutic class.
2005: Became first
2006: Launched CFC
2007: The US FDA
Bangladeshi company to get admission to Alternative Investment Market (AIM) of London Stock Exchange (LSE) through issuance of GDRs.
free ozone-bengin HFA based inhalers as the first company in Bangladesh.
standard oral solid plant commissioned.
2008: Only Bangladeshi company to receive GMP certification from Gulf Central Committee for Drug Registration, Executive Board of the Health Ministers' Council for GCC states.
2.17 Product and service: Product type: They have different kinds of product variety and assortments like, Tablets, Capsules, Dry Syrup, Powder for suspension, cream, ointments, suppositories, metered dose nasal sprays, large volume intravenous fluids, metered dose in halers, etc. ensuring the global standard of quality.
Product variety: Product Range: a. Analgesics and Antipyretic, b. Anti Infective, c.
d. Central Nervous System, e. Cough and Cold, f. Diabetics, g.
j. Oncology, k.
figure: BPL Office.
l. Skin Care, m. Vitamins and Minerals supplement.
4.18 Corporate Social Responsibility â€˘
The guiding philosophy of our CSR activities is doing our best in what we do and at the same time helping others in doing what they do. With this in mind, our CSR strategy is that we should manufacture highest quality medicines, our modus operandi should be compassionate for all the people and all our activities should be such that these are benevolent for our society and benign to our environment.
Corporate social responsibility is an integral part of our business strategy which is reflected in their mission statement. Every employee of their company knows that the company does not view its success and achievements in financial terms only, but also in term of its deep relation with the society.
Each year, an increasing amount of contribution is ploughed back into social causes demonstrating Beximco Pharma’s commitment to the nation. More importantly the company’s contribution extends beyond one-time donation to ongoing participation as reflected in our partnership with NGOs working for AIDS patients, in supporting sports, and in raising disease awareness among the people.
They donated medicine worth millions of taka to victims in national and international calamities. Donation of medicines to victims of earthquake in Pakistan and victims of tsunami in Sri Lanka are worth mentioning. Differential Edge of BPL
• • • • • • • • •
World class manufacturing facility Highest GMP standards Outstanding product quality Sophisticated formulation technology Diversified dosage forms & products Significant investment in R & D Excellent customer services Responsible care for the environment Commitment to the people & the society
4.19 Commitment of BPL One of the primary goals of BPL is to contribute to keep the earth clean. BPL is aware of its responsibility of caring for the environment. BPL is committed to green operation and its facilities are carefully designed and operated to prevent all forms of pollution. BPL continuously strives to improve performs and optimize the use of all material and human resources there by minimizing adverse impact on environment.
4.20. International Markets We are the largest exporter of pharmaceutical products from Bangladesh and received National Export Trophy (Gold), the highest national accolade for export, for record three times. We commenced international market operations with the export of Active Pharmaceutical Ingredients (APIs) to Hong Kong in 1992 and finished formulation products in 1993. We first exported intravenous fluids in 1995 to Russia and Vietnam. Beximco Pharma is the only pharmaceutical company in Bangladesh having its operation
in Singapore Along with selling products to regular retail outlets, we also supply products to renowned hospitals and institutions in many countries, including Raffles Hospital, and K K Women & Children Hospital in Singapore, MEDS and Kenyatta National Hospital (KNH) in Kenya, Jinnah Hospital, and Agha Khan Hospital in Pakistan. Another important business activity of Beximco Pharma is the contract manufacturing for major international brands of leading multinational companies.
Products registered in / exported to: Asia Singapore Hong Kong Myanmar Cambodia Nepal Sri Lanka Pakistan Philippine Bhutan Iran South Korea Taiwan Thailand Vietnam
Africa Kenya Ghana Somalia Botswana Mozambique Pacific Island Fiji Papua New Guinea Solomon Island Kiribati
Middle East Yemen Jordan Latin & Central America Chile Belize Guatemala Eastern Europe Georgia Russia Ukraine
We aim to build Beximco Pharma as a world-class manufacturer of pharmaceutical products for operating in domestic and international markets, including Least Developed Countries (LDCs), developing and developed countries like USA and We believe that entry into developed markets in particular will lead to significant sales and profit growth. BPL operates through extensive departmentalization that has helped it to sustain its position as one of the leading pharmaceuticals in Bangladesh. Most believe that the success rate is partially dependent on the smart, energetic and enthusiastic people, who direct, control and monitor these departments. The departments are described as following manner. 1. Strategic Brand Management 2. Purchase Department 3. Sales Department 4. Planning and Inventory Control Department 5. Medical Service Department 6. MIS Department 7. Training Department 8. Multimedia Department 9. International Marketing Department 10. Human Resources Department 11. Finance and Account Department 12. Distribution Department
13. Fine Chemicals 14. Commercial 15. General Management 16. Department of Engineering & Technology 17. Marketing Department 18. Business Researches & Development
Strategic Brand Management (SBM): Strategic Brand Management (SBM) department includes the activities of marketing and sales promotion of both BPL and BIL (Beximco Infusion Limited). The head of the department guides all product officers. The activated that are preformed by SBM department are: • • • • • • • • •
Brand Management. Preparing product literature and others promotional materials for doctors. Determine the packing pattern, color and size. Fixing target sales. Searching about competition strength weakness opportunity and threats. Conducting meeting with field workers. Issuing budgets in consulting with different departments. Setting price for each product. Collecting statistical data, which are relevant to their operations.
Purchase Department & Inventory controls Department: Purchase Department is one of important department of Beximco. The purchase department deals with all the purchase (pharmaceuticals raw materials, packaging materials, office equipment, machinery's etc.) of the organization. This department interacts directly with the planning production and financing department. Finance department develops cash flow at the beginning of the year. The sales department fixes the sales target. Based on the information provided by the planning department, the purchase department prepared the import authorization formats. Then the format is sent to be the director (commercial) for approval. After as L/C is opened all information about its latest status is documented in a 'purchase consignment (PC) folder' preserved by the purchase department. And for the monitoring (Current status and information record) of all L/C, such books are essential. The purchase department operate two types of purchase, those are: Purchase Department
The activities of the purchase department are: •
Estimated and calculation the cost of necessary raw materials based on planning departments order. • Split out the whole years demands for raw materials on monthly basis. • Negotiate for cash with the finance department. • Take decision which product purchase from the local market and which from import. • It arranges for bidding to the supplies, which involves close interaction with the planning department. • Along with the planning department it has to corporate through the whole process to purchasing raw materials from available sources. It also involves about the machinery requirements for a specifics production process and their purchasing.
Sales Department: Sales department forecast the sales. The major responsibilities of this department are, preparing the strategies for expense budget through SBM, and generating the demand in the market through MR. The main goal of sales department is sales achievement. The flow chart of the operational structure of the department is mention in the following: Director, Sales
Deputy Sales Manager
Assistant Sales Manager
Sr. Regional Sales Executive
Regional Sales Executive
Sr. Area Sales Executive
Area Sales Executive
Sr. Medical promotion Executive
Medical promotion Executive
The responsibilities of the Sales manager (SM) are as follows: • • • • • • • •
Forecasting demand. Approving and designing territory and region. Critical customer handling that is beyond the authority of the RSE, ASE and MPE. Maintaining good relation with the chemists association. Donation handling. Strategy making and sharing with other department. Make the meeting RSE, ASE and MPE with doctors by HR department. Identify the lower turnover territory and give input to improve the territory.
The responsibilities of the Regional Sales Executive (RSE): • • • • •
Territory development. They maintain the relation of key potential customer. They take steps to improve the interior product in terms of sales volume. Development the supervisor. RSE is each region. Each RSE has 5 Area Sales Executive (ASEs).
The Responsibilities of the Medical Promotion Executive (MPE): 1. They are responsible for prescription generation by the doctors. 2. They make the segmentation of the doctors by class A (doctors having patients more than 30 and less than 30 a day), and Class C (doctors having patient less than 20 a day) based on the business potentiality of the Doctors. 3. They design call plans according to the action plan regarding which product is to be promoted, which benefit is to be promoted and to which doctor is to promote that.
Medical Promotion Executive
Marketing Department: Beximco Pharma, undoubtedly one of the leading pharmaceutical companies over the last two decades, has made the nation proud with over 400 products in its portfolio. A set of highly qualified and driven Brand executives look after these brands making each stand out on its own through quality, affordability and usefulness. Depending on the therapeutic category, there are five ‘Center of Excellences’, each of which, in turn is coordinated by a separate head of department. The responsibilities of the head of the departments are as follows: •
Regulate product’s marketing and follow-up through sales team all over the country: As the marketing plan is a direct product of the extensive and continuous market research done by the company, it includes the market target, presentations on the brands and important aspects like promotional, situational and other factors.
Organize events: Two monthly sales conferences are held at BPL. The National conference is held at the beginning of the month and it is participated by the top-level management. The given month is ended through the Regional Conference that seeks and maintains participation from Medical Promotion Executives (MPE). Other than these marketing team also arranges events like conferences, launching program, seminars etc.
Develop and coordinate promotional campaigns: Promotion is rather tedious in the global pharmaceutical industry and although tough, BPL tackles it efficiently. As promotional tools, writing pads, stationeries and other items that is of most convenient tools those have been given away to the target market.
Launch new products and develop new promotional campaigns : The marketing team is researching to find new and useful drugs. As soon as a new product is found, Strategic Brand Management (SBM) department undertakes a feasibility study of the new Product if it’s launched. Various departments also contribute through important suggestions like potential sourcing, packaging, labeling etc after report submission. In case of non-feasible circumstances, the plan for the launch of the new product is cancelled. When found feasible, a new product is launched through an inaugural
program attended by renowned doctors, medical personnel and other related personalities of the nation. •
Act as the center point of all activities by formulating sales and factory policies: The top management formulates a monthly plan, known as the Action Plan. This seeks to promote around 30 to 35 brands are promoting in each month. Once the brands are fixed, the responsibility is shifted to the marketing team, who formulate the cost-effective yet glamorous promotional tools. This includes literature, gift item selection, and themes for a given month etc. MPE’s are also given feasible targets on their prescription objectives.
While the respective department heads are credible through their own set of tasks and their success at it, the entire company’s success depends on the unified efficiency of its various departments.
Medical Service Department: In 1990 this department was formally announced as a separate department and the objective is to provide continuously Medical Education program to the practicing doctors. It is involved in indirect promotion of the company by helping the doctors with academic support. As a result it causes a good image of the company among the doctors. As the medical science if an ongoing process, many know about all those things unless and until they do through all medical journals. In our country there are very few magazines on medical science. There are some good world class medical journals which are very expensive. The medical service department of Beximco Pharma prepares its own medical journal from other journals which are relevant to our medical practices and supply it to the doctors at free of cost. So the doctors can know about the new contribution of the medical world. The functions of medical service department have been listed below: • • • • •
Every three months the department publishes a medical newsletter of 24 pages. Beximco is the only company in Bangladesh who has the initiative to publish such an articles for the doctors. They publish 4 to 5 booklets in a year. It keeps doctor’s request by marketing multimedia projections for them that would be used by them nationally and internationally in seminars clippings inside the presentation. BMA (Bangladesh Medical Association) arranged clinical meeting are attended by Medical service department. It responds to the queries of the doctors through mail or medical representative around the country.
Management Information System is responsible for maintain communication between whole departments. The functions of this department are: 1. Maintain a good communication with production department that is situated in Tongi through radio link. 2. The operation department can communicate and exchange information with the BEL tower and corporate headquarters through fiber optic cable. 3. I & I service department can communicate with the head office through modem. Employees are provided computer service according to their range of activities. NT server also has a backup server to stay in the safe side. Communication between departments is also done through E-mail. All users can use these facilities from any workstation.
Planning & Inventory Control Department: Planning department is responsible for making all types of raw materials plan. This department works directly with the purchase production and finance department. According to demand planning departments starts its operation, which are mention below: • • • • • • •
According to market demand, planning department fragmented every finished goods in different particulars. Then they check out how much and what raw materials they need to produce. Split out the whole years demands on monthly basis for each product type. It determines day-to-day requirements of raw materials in hand. Estimated the price or cost of the product required on a month. Submit a tender to different supplier in the first week of every monthly. Usually raw materials are received in every two to three months order. This department also decides about the machinery requirements for a specific production process.
Training Department: Training department is responsible to train up the fresher. BPL knows that's trained employee is the strong power for company. BPL maintains an in house training program, which is maintained by training departments. Three experts are usually responsible for giving training. Training has been provided through lectures with the assistance of handout, multimedia projector, technical memorandum and training materials. This training is necessary to improve the quality of job related function. The curriculum of training varies from group to group. The Department basically offers 3 types of training programs:
Training programs for Medical Promotion Executive
Area Sales Executive (ASEs)
Regional sales Executive (RSEs)
Training programs for Medical Promotion Executive: Training programs give to medical representative before join the job. Because there don't have any function about BPL. So that training department provide the training for medical representative of the company. Duration of the training period is 37 working days. Training programs for Area Sales Executive (ASE): Training programs give to field supervisor some time. When any field supervisor gets promotion than there take the training programs. And some time RSE think that necessary training for his field supervisor than their take the training programs. Mainly Training is giving on: • Physic, biology, chemistry, mathematics • Attitude towards buyers how to present products quality • Build up strong selling skills • How to convenience customers
Multimedia Department: Functions of the multimedia department are: • • • • • • • • •
Web page designing. Developing multimedia presentation for presentation programs. Making videos of conferences, meeting etc. Designing the cover page of annual report. Making video for products. Making video for company. Keeping the records of annual meeting and other meeting. Storing still photographs and video on medical science. Copying literature, promotional tools, and medical in CDs to gift it to doctors
Finance and Accounts Department: The activities of the finance department are divided under the three heads: Finance Department
Management Accounting Department: This department identifies the cost centers and prepares the budget. Management department calculates the product cost and cost of goods sold. The annual budget preparation starts at October. Budget review is done quarterly and half-yearly (by the top management). It compares the budget and actual sales expenses and prepares report on them. Core Function of Management Accounting Wing: • Budgets, costing, Internal reporting • Maintaining projects capital expenditures Financial Account: This department's function is to maintain all records and transaction. It is automate with the aid of the software named MAPICS (Manufacturing Accounting Planning Information Control System). Core Function of Financial Accounting Wing: • Day to day transition recording, monthly reports, auditing. • Handling tax related matters, maintaining legal compliance, maintain SEC rules preparing financial reports. Treasury Accounts: Treasury account deals with banks and bill it also looks after the cash planning and management. Core Function of Treasury Accounts Wing: • Fund management. • Maintaining banking transactions loan and leases. • Party payments employee payroll. The flow chart of the operational structure of the department is mention in the following: Chief Financial Officer (CFO)
General Manager, Finance & Accounts
Sr. Accounts Officer
Asst. Accounts Officer
Distribution Department: Pharmaceutical industry is a sales oriented sector thatâ€™s why they always try to maintain their quality and distribute their products in right time to right place. But sometimes their distribution cost is increasing rapidly for some reasons. Every pharmaceutical industry wants to reduce their distribution cost and want to more effectiveness in their channel Beximco Pharma is maintaining the second largest distribution system in Bangladesh. It has around 20 depots all over the country Factory
Central ware house
Rajshahi Kushtia Faridpur Khulna Chittagong
Comilla Tangail Dinajpur
C O N S U M E R
Figure 5: Beximcoâ€™s Distribution Channel (source- Distribution Office) As I completed my internship under distribution department, so I briefly discuss about the whole distribution department
Organ gram of Distribution Department: Head of Distribution
Deputy Distribution Managers
Assistant Distribution Managers
Senior Assistant Distribution Officer Senior Distribution Officer
Sr. Assistant Distribution Officer
Assistant Distribution Officer
Distribution Manager plans and coordinates the channel operation. This plan includes the following: • The type of goods that will be produced. • The amount at which the goods will be produced. This plan is send to the concerned authority of the factory. According to that plan, the production continues. From the factory, the goods are delivered to the central store. With these goods, one of channel is send the store in charge of the central store and another copy of channel is send to the accounts department of distribution office. From factory, one copy of the transfer/ dispatch note is also send to the store in charge of the central store and another copy is kept in the factory. The depots of different places of Bangladesh send requisition to the central store through telephone and internet. Only the Dhaka depot sends requisition through requisition from. Based on the telephone calls and requisition form of various depots, handwritten requisition is prepared. Then those requisition are sent to the deputy distribution manage for approval. The deputy distribution manager checks information kept in his computer in order to check whether the ordered quantity is available in the stock. If there is no shortage in the stock, he approves the requisitions. These signed requisitions are sent to the store to the store in charge of the central store. Delivery of products involves the following key activities: • • •
Order received from field colleagues (MPE &SR). The office staff prepares belts by assigning each distribution assistant (DA) for each belt. Computer section generates invoice each party and a summarized allocation for each belt.
Invoice consists of two parts. One for the respective chemist, another for the distribution assistants.
Allocation has two parts. One part for store and the other for concerned distribution assistants.
Office hands over invoices, order copies, and a copy of allocation paper to the concerned distribution assistants.
With the allocation paper, DA (Distribution Assistant) receives allocated products from the store and gets them loaded in the vehicle for supply.
After finishing delivery, a distribution assistant performs the following activities: o
Returns returned products to the store (if return occurs.)
Submit summary report to computer section.
Deposit the sold value (cash) to cash management.
After adjustment, computer section sends the final summary report to the store for reconciliation.
After reconciliation, store then sends the same to cash management for final check up. If the amount of money received by the cash management is equal to that of the store summary, the total procedure is then OK. â€˘
Cash management then prepares a balance sheet of that day.
Party List Invoice
Offic e Allocation-wise products
Return refused products Reconciled summary
S Complete Figure - Delivery Operation Procedure (Source- Distribution Office)
Summary report submitted
Summary goes for reconciliation
Functions of the multimedia department are: • Web page designing. • Developing multimedia presentation for presentation programs. • Making videos of conferences, meeting etc. • Designing the cover page of annual report. • Making video for products. • Making video for company. • Keeping the records of annual meeting and other meeting. • Storing still photographs and video on medical science. • Copying literature, promotional tools, and medical in CDs to gift it to doctors.
Business Research and Development Department: Business R&D Department began its operation from January 1, 2000. It is working on market development, both domestic and international. The functions that are done by this department are in the following: •
U.S.A. FDA guideline study.
New product study.
New technology study.
Project feasibility study.
Observing the world pharmaceuticals market.
Helping to product development studying the trend of the develop countries.
Concerning the improvement of quality assurance (in each stage in factory).
Purchase and materials management.
Product Development Process of Business R&D Department:
It is mentioned that by practice BPL follows the highest standard of quality suppose as suggested by who purchase and materials management coordination is also included with responsibilities of this department.
Human Resource Department:
Today's it would be very difficult to imagine any organization achieving and sustaining effectiveness without effective HRD and its active programs. The HRD of BPL is very affluent with its mission as well as the HR team. This department is working to maintain a fair environment within the site and also the welfare of employees as well as organization with a very strong and energetic team. The downward communication system of the HRM department is shown below: Manager, HR
Senior Assistant Manager, HR Assistant Manager, HR
Senior HR Officer
Senior Assistant HR Officer
Assistant HR Officer There are two major types of activities have HRD. These are: â€˘ â€˘
Administrative functions (maintenance and protocol services). Human resource related functions.
The functions of Administrative Department are: 1. Transport 2. Safety 3. Security 4. Guard 5. Peon service 6. Mail service 7. Proto call
8. Wage benefit 9. Employee welfare 10. Maintain labor law The objectives of Human Resource Department are• Recruitment policy and procedure. • Conformation policy and procedure. • Placement of employees. • Human Resource Development. • Organizational structure review and modification. Career planning. • Hiring and Firing. • Job description preparation. • Conducting appraisal at the end of each year. • Introduction, Attendance and leave. • Maintaining and developing employee’s personal files. • General services. • Safety-security. • Welfare activities for employees. Desire of HR • Positive Thinking • Open door policy • Group Approach • Transparent Communication • Shared and Cared Grievances • Practices of Creativity
Chapter 3 Literature Review
3.1 What means management? Management is the process of designing and maintaining an environment in which an individual, working together in groups, efficiently accomplish selected goals. In other words, â€œManagement is the process of planning, organizing, leading, and controlling the efforts of organization members and of using all other organization resources to achieve stated organizational goalsâ€? More specifically, management is responsible for the primary activities of the firm, those being inbound logistics, operations, outbound logistics, marketing and sales, and service.
3.2 Importance of management It arranges the factors of production, assembles and organizes the resources, integrates the resources in effective manner to achieve goals. It directs group efforts towards achievement of pre-determined goals. By defining objective of organization clearly there would be no wastage of time, money and effort. Management converts disorganized resources of men, machines, money etc. into useful enterprise. These resources are coordinated, directed and controlled in such a manner that enterprise work towards attainment of goals.
3.3 Objective of management The main objective of management is to secure maximum outputs with minimum efforts & resources. Management is basically concerned with thinking & utilizing human, material & financial resources in such a manner that would result in best combination. This combination results in reduction of various costs.
3.4 Functions of Management Management has been described as a social process involving responsibility for economical and effective planning & regulation of operation of an enterprise in the fulfillment of given purposes. It is a dynamic process consisting of various elements and activities. These activities are different from operative functions like marketing, finance, purchase etc. Rather these activities are common to each and every manger irrespective of his level or status. For theoretical purposes, it may be convenient to separate the function of management but practically these functions are overlapping in nature i.e. they are highly inseparable. Each function blends into the other & each affects the performance of others.
1. Planning It is the basic function of management. It deals with chalking out a future course of action & deciding in advance the most appropriate course of actions for achievement of pre-determined goals. According to KOONTZ, “Planning is deciding in advance – what to do, when to do & how to do. It bridges the gap from where we are & where we want to be”. A plan is a future course of actions. It is an exercise in problem solving & decision making. Planning is determination of courses of action to achieve desired goals..
2. Organizing It is the process of bringing together physical, financial and human resources and developing productive relationship amongst them for achievement of organizational goals. According to Henry Fayol, “To organize a business is to provide it with everything useful or its functioning i.e. raw material, tools, capital and personnel’s”. To organize a business involves determining & providing human and non-human resources to the organizational structure. Organizing as a process involves: a. Identification of activities. b. Classification of grouping of activities. c. Assignment of duties. d. Delegation of authority and creation of responsibility. e. Coordinating authority and responsibility relationships. f.
3. Staffing It is the function of manning the organization structure and keeping it manned. Staffing has assumed greater importance in the recent years due to advancement of technology, increase in size of business, complexity of human behavior etc. The main purpose o staffing is to put right man on right job i.e. square pegs in square holes and round pegs in round holes. According to Kootz & O’Donell, “Managerial function of staffing involves manning the organization structure through proper and effective selection, appraisal & development of personnel to fill the roles designed un the structure”. Staffing involves:
a. Manpower Planning (estimating man power in terms of searching, choose the person and giving the right place). b. Recruitment, selection & placement. c. Training & development. d. Remuneration. e. Performance appraisal. f. Promotions & transfer.
4. Directing It is that part of managerial function which actuates the organizational methods to work efficiently for achievement of organizational purposes. It is considered lifespark of the enterprise which sets it in motion the action of people because planning, organizing and staffing are the mere preparations for doing the work. Direction is that inert-personnel aspect of management which deals directly with influencing, guiding, supervising, motivating sub-ordinate for the achievement of organizational goals. Direction has following elements: a. Supervision b. Motivation c. Leadership d. Communication Supervision- implies overseeing the work of subordinates by their superiors. It is the act of watching & directing work & workers. Motivation- means inspiring, stimulating or encouraging the sub-ordinates with zeal to work. Positive, negative, monetary, non-monetary incentives may be used for this purpose. Leadership- may be defined as a process by which manager guides and influences the work of subordinates in desired direction. Communications- is the process of passing information, experience, opinion etc from one person to another. It is a bridge of understanding.
5. Controlling It implies measurement of accomplishment against the standards and correction of deviation if any to ensure achievement of organizational goals. The purpose of controlling is to ensure that everything occurs in conformities with the standards. An efficient system of control helps to predict deviations before they actually occur. According to Theo Haimann, “Controlling is the process of checking whether or not proper progress is being made towards the objectives and goals and acting if necessary, to correct any deviation”. According to Koontz & O’Donell “Controlling is the measurement & correction of performance activities of subordinates in order to make sure that the enterprise objectives and plans desired to obtain them as being accomplished”.
3.5 Principle of Management: A principle refers to a fundamental truth. It establishes cause and effect relationship between two or more variables under given situation. They serve as a guide to thought & actions.
Therefore, management principles are the statements of fundamental truth based on logic which provides guidelines for managerial decision making and actions.
1. Division of Labor a. Henry Fayol has stressed on the specialization of jobs. b. He recommended that work of all kinds must be divided & subdivided and allotted to various persons according to their expertise in a particular area. c. Subdivision of work makes it simpler and results in efficiency.
2. Party of Authority & Responsibility a. Authority & responsibility are co-existing. b. If authority is given to a person, he should also be made responsible. c. In a same way, if anyone is made responsible for any job, he should also have concerned authority.
3. Principle of One Boss a. A sub-ordinate should receive orders and be accountable to one and only one boss at a time. b. Unity of command provides the enterprise a disciplined, stable & orderly existence. c. It creates harmonious relationship between superiors and sub-ordinates.
4. Unity of Direction a. Fayol advocates one head one plan which means that there should be one plan for a group of activities having similar objectives. b. Related activities should be grouped together. There should be one plan of action for them and they should be under the charge of a particular manager. c. According to this principle, efforts of all the members of the organization should be directed towards common goal.
5. Equity a. Equity means combination of fairness, kindness & justice. b. The employees should be treated with kindness & equity if devotion is expected of them. c. It implies that managers should be fair and impartial while dealing with the subordinates.
6. Order a. This principle is concerned with proper & systematic arrangement of things and people. b. Arrangement of things is called material order and placement of people is called social order. c. Material order- There should be safe, appropriate and specific place for every article and every place to be effectively used for specific activity and commodity.
7. Discipline a. According to Fayol, â€œDiscipline means sincerity, obedience, respect of authority & observance of rules and regulations of the enterpriseâ€?. b. This principle applies that subordinate should respect their superiors and obey their order. c. It is an important requisite for smooth running of the enterprise.
8. Initiative a. Workers should be encouraged to take initiative in the work assigned to them. b. It means eagerness to initiate actions without being asked to do so. c. Fayol advised that management should provide opportunity to its employees to suggest ideas, experiences& new method of work.
9. Fair Remuneration a. The quantum and method of remuneration to be paid to the workers should be fair, reasonable, satisfactory & rewarding of the efforts. b. As far as possible it should accord satisfaction to both employer and the employees. c. Wages should be determined on the basis of cost of living, work assigned, financial position of the business, wage rate prevailing etc.
10.Stability of Tenure a. Fayol emphasized that employees should not be moved frequently from one job position to another i.e. the period of service in a job should be fixed. b. Therefore employees should be appointed after keeping in view principles of recruitment & selection but once they are appointed their services should be served. c. According to Fayol. “Time is required for an employee to get used to a new work & succeed to doing it well but if he is removed before that he will not be able to render worthwhile services”.
11.Scalar Chain a. Fayol defines scalar chain as ’The chain of superiors ranging from the ultimate authority to the lowest”. b. Every orders, instructions, messages, requests, explanation etc. has to pass through Scalar chain. c. But, for the sake of convenience & urgency, this path can be cut shirt and this short cut is known as Gang Plank. d. A Gang Plank is a temporary arrangement between two different points to facilitate quick & easy communication as explained below:
In the figure given, if D has to communicate with G he will first send the communication upwards with the help of C, B to A and then downwards with
the help of E and F to G which will take quite some time and by that time, it may not be worth therefore a gang plank has been developed between the two.
12.Sub-Ordination of Individual Interest to General Interest a. An organization is much bigger than the individual it constitutes therefore interest of the undertaking should prevail in all circumstances. b. As far as possible, reconciliation should be achieved between individual and group interests. c. But in case of conflict, individual must sacrifice for bigger interests.
13.Espirit De’ Corps (can be achieved through unity of command) a. It refers to team spirit i.e. harmony in the work groups and mutual understanding among the members. b. Spirit De’ Corps inspires workers to work harder. c. Fayol cautioned the managers against dividing the employees into competing groups because it might damage the moral of the workers and interest of the undertaking in the long run.
14.Centralization & De-Centralization a. Centralization means concentration of authority at the top level. In other words, centralization is a situation in which top management retains most of the decision making authority. b. Decentralization means disposal of decision making authority to all the levels of the organization. In other words, sharing authority downwards is decentralization.
3.6 Management and administration: According to Theo Haimann, “Administration means overall determination of policies, setting of major objectives, the identification of general purposes and laying down of broad programs and projects”. It refers to the activities of higher level. It lays down basic principles of the enterprise. According to Newman, “Administration means guidance, leadership & control of the efforts of the groups towards some common goals” Whereas, management involves conceiving, initiating and bringing together the various elements; coordinating, actuating, integrating the diverse organizational components while sustaining the viability of the organization towards some pre-determined goals. In other words, it is an art of getting things done through & with the people in formally organized groups. Practically, there is no difference between management & administration. Every manager is concerned with both – administrative management function and operative management function as shown in the figure. However, the managers who are higher up in the hierarchy denote more time on administrative function & the lower level denote more time on directing and controlling worker’s performance i.e. management.
The Figure above clearly shows the degree of administration and management performed by the different levels of management
3.7 Management as a Profession: Over a large few decades, factors such as growing size of business unit, separation of ownership from management, growing competition etc have led to an increased demand for professionally qualified managers. The task of manager has been quite specialized. As a result of these developments the management has reached a stage where everything is to be managed professionally. A profession may be defined as an occupation that requires specialized knowledge and intensive academic preparations to which entry is regulated by a representative body. The essentials of a profession are: 1. Specialized Knowledge – A profession must have a systematic body of knowledge that can be used for development of professionals. Every professional must make deliberate efforts to acquire expertise in the principles and techniques. Similarly a manager must have devotion and involvement to acquire expertise in the science of management. 2. Formal Education & Training – There are no. of institutes and universities to impart education & training for a profession. No one can practice a profession without going through a prescribed course. Many institutes of management have been set up for imparting education and training. For example, a CA cannot audit the A/C’s unless he has acquired a degree or diploma for the same but no minimum qualifications and a course of study has been prescribed for managers by law. For example, MBA may be preferred but not necessary. 3. Social Obligations – Profession is a source of livelihood but professionals are primarily motivated by the desire to serve the society. Their actions are influenced by social norms and values. Similarly a manager is responsible not only to its owners but also to the society and therefore he is expected to provide quality goods at reasonable prices to the society. 4. Code of Conduct – Members of a profession have to abide by a code of conduct which contains certain rules and regulations, norms of honesty, integrity and special ethics. A code of conduct is enforced by a representative association to ensure self
discipline among its members. Any member violating the code of conduct can be punished and his membership can be withdrawn. The AIMA has prescribed a code of conduct for managers but it has no right to take legal action against any manager who violates it. Representative Association â€“ For the regulation of profession, existance of a representative body is a must. For example, an institute of Charted Accountants of India establishes and administers standards of competence for the auditors but the AIMA however does not have any statuary powers to regulate the activities of managers.
3.8 Marketing Management: Marketing is art of developing, advertising and distributing goods and services to consumer as well as business. However, marketing is not just limited to goods and services it is extended to everything from places to ideas and in between. This brings forth many challenges within which marketing people have to take strategy decisions. And answer to these challenges depends on the market the company is catering to, for consumer market decision are with respect to product, packaging and distribution channel. There is no alternative of marketing management of distribution department.
3.9 Supply Chain Management It is the important part of management. Global markets are expanding beyond borders and redefining the way demand and supplies are managed. Global companies are driven by markets across continents. In order to keep the cost of manufacturing down, they are forced to keep looking to set up production centers where cost of raw materials and labor is cheap. Sourcing of raw materials and vendors to supply the right quality, quantity and at right price calls for dynamic procurement strategy spanning across countries. Distribution department as follow supply chain management.
3.10 Information Technology- A Key Driver of SCM Supply Chain Management is a broad based function which encompasses all business and operational processes involved in but not limited to Procurement, Manufacturing, and Finished Goods Transportation, warehousing & Distribution and Inventory Management. In a globalized business scenario characterized by Geographically spread markets, raw material procurement sources across the world and cheaper manufacturing and labor markets being available in developing world, the business of meeting demand with supply is constantly changing and evolving. Global business has been fuelled and enabled by the IT Technology which has redefined all aspects of business today. All businesses today are run on ERP - Enterprise Resource Planning which provides the organizations with tools to manage all the functions including procurement, production, sales and finance management in seamless and integrated manner
3.11 Warehouse Management System In any Supply Chain, Inventory Management and Warehousing form a part of operations intensive function and is one of the key building blocks in the entire chain. Most of the
inventory is held at the warehouses as compared to the pipeline, and the efficiency of the warehouse operations will determine the further supply chain efficiency. Though it is a normal industry practice now to outsource the warehousing operations to a 3PL Logistics service provider, the SCM managers who are the decision makers and network owners would need to know the intricacies of warehouse operations and get actively involved in choosing the right partner and right facility. A distribution center or a warehouse is the key to the entire model as it holds the inventories and also manages other operations like bundling, packing, labeling, co packing, kitting etc as per buyer requirement. Most of the marketing and buyers requirements are met with from the warehouses. imam Many factors and elements contribute to successful operations of a distribution center. The time taken to detail the project and build a model taking into account all considerations will go a long way in ensuring operational efficiency of the supply chain
3.12 Distribution : Distribution is one of the basic tools in the marketing. Others include Product, Price and Promotion. Most producers or manufacturers world over do not sell their goods directly to the final users, however. Instead there are various players or intermediaries who handle this very important role in the distribution chain.
3.13Definition of 'Distribution Management' Overseeing the movement of goods from supplier or manufacturer to point of sale. Distribution management is an overarching term that refers to numerous activities and processes such as packaging, inventory, warehousing, supply chain and logistics. Effectively managing the entire distribution process is critical to financial success and corporate longevity. The larger a corporation or the greater the number of supply points a company has, the more it will need to rely on automation to effectively manage the distribution process. The management of resources and processes used to deliver a product from a production location to the point-of-sale, including storage at warehousing locations or delivery to retail distribution points. Distribution management also includes determination of optimal quantities of a product for delivery to particular warehouses or points-of-sale in order to achieve the most efficient delivery to customers. Overseeing the movement of goods from supplier or manufacturer to point of sale. Distribution management is an overarching term that refers to numerous activities and processes such as packaging, inventory, warehousing, supply chain and logistics. Investopedia Says: Effectively managing the entire distribution process is critical to financial success and corporate longevity. The larger a corporation or the greater the number of supply points a
company has, the more it will need to rely on automation to effectively manage the distribution process.
3.14 Who‘s involved in the chemical distribution industry? The wide variety of organizations involved in the distribution & value chain between chemical producing companies and the industries using 'chemical substances'. So the chemical distribution industry not only includes chemical manufacturers and their distributors, but also chemical traders, agents, export/import houses and a number of other suppliers providing these companies with added value products or services e.g. warehousing, logistics, plant & equipment. The term ‘chemical substance’ was deliberately used in the above description. REACH (see ‘What is REACH?’) defines a chemical substance as “... a chemical element and its compounds in the natural state or obtained by any manufacturing process... ”. This wide definition of a ‘chemical’ obviously includes substances derived from natural sources as well processed minerals. We believe this is wholly appropriate as this more fully describes the activities of many chemical distributors who also supply minerals (e.g. pigments, fillers, thickeners) or plant-derived chemicals (to the same end use markets).
3.15 What is a chemical distributor? There is no universally agreed definition of what a chemical distributor is because of the wide variety of functions performed by distributors and confusion with other types of trading in the industry. Generally speaking, chemical distributors buy and sell chemicals from producers. They take title to the goods, responsibility for stocking and warehousing, before selling the products on to their customers in their own name. There is often a formal, long-term agreement between the distributor and the chemical manufacturer (the ‘Principal’) whom they represent. Most agreements are based on regional and or industry sector (e.g. coatings, plastics) preferences. A distributor is not an agent. Agents do not take title to or stock goods, but receive a commission for their contribution in helping a manufacturer complete a sale. “Chemical trader” is another term that is sometimes incorrectly used to describe chemical distributors. Traders sometimes act as distributors (in the sense of taking title to goods) and sometimes they turn out to be agents! But usually they are involved with the purchase and resale of commodities and buy from the producer or supplier offering them the best deal at the time. There is no close, long-term relationship with the manufacturer and most rely on their suppliers’ logistics to serve their customers.
3.16 What different types of chemical distributor are there? Chemical distributors are usually classified or segmented in terms of the type of operation or function they perform or by their geographical or market coverage. The main types are: •
Commodity chemical distributors buy chemicals in bulk (sometimes from several suppliers like traders), then process, blend and repack to customer requirements often selling under their 'own-label'. Their operations are geared around breaking up bulk and logistics. Typically they have a high investment in tank storage, drumming, blending and formulation capabilities - as a result there are relatively few commodity distributors. Specialty chemical distributors purchase pre-packaged (bag or drum) and sell on a technical basis, usually under a manufacturer's own brand. Operations are built on sales and marketing skills - as opposed to logistical know-how. They rarely have any involvement with the breaking of bulk and generally outsource their logistical requirements. The key differentiators are industry expertise and the quality of product/supplier portfolios. Many small and large distributors are involved in this segment. Full range chemical distributor is a term sometimes used to describe the very small number of distributors globally who cover both the commodity and specialty distribution segments e.g. Brenntag, Univar. Multi-national distributors are usually specialty chemical distributors covering many industrial sectors across national boundaries (many countries). They typically offer their Principals a wider geographical coverage for the industry sectors they serve than traditional, national distributors. They have local sales teams and offices but many manage industry sectors on a multinational basis. European specialty distributors include Azelis, BTC, Caldic, Helm, IMCD and Omya Distribution. Regional or national distributors are chemical distribution companies whose activities are restricted to a specific region, country or state (e.g. USA). Typically offer multimarket industry or single industry coverage. In North America there are a number of distributors that offer coverage of a group of states with some offering coast to coast coverage of the US market e.g Univar, Brenntag, Chemcentral, Ashland Distribution.
3.17 selection of channel : the selection of distribution is affected by many of factors, which play significant role while choosing the channel for distribution. It may include the buying pattern of consumer, type of the product is perishable, or auto mobile, weight and bulk and it also depends on the company's resources. The main affecting factors are following.. Organization objectives - If company objective is to have mass appeal and rapid market
penetration. type of product - Perishable products should have a short distribution channel, FMCG goods should have a wide reaching, intensive distribution channel. nature and extent of market- Distribution to consumer market or industrial markets would be different channel structures. existing channel for comparable product- company may chose it's existing channel of distribution for relative product. buying habit of customers- Understanding consumer needs and criteria for buying Channel Availability - Channels may not be available
Chapter 4 Practical Part
4.1 Organogram of Distribution Department (BEXIMCO Pharmaceuticals Ltd): Sr. Manager, Distribution
Deputy Manager, Distribution
Asst. Manager, Distribution
Senior Distribution Officer
Sr. Assistant Distribution Officer
Assistant Distribution Officer
Distribution Manager plans and coordinates the channel operation. This plan includes the following: â€˘ The type of goods that will be produced. â€˘ The amount at which the goods will be produced. This plan is send to the concerned authority of the factory. According to that plan, the production continues. From the factory, the goods are delivered to the central store. With these goods, one of channel is send the store in charge of the central store and another copy of channel is send to the accounts department of distribution office. From factory, one copy of the transfer/ dispatch note is also send to the store in charge of the central store and another copy is kept in the factory. The depots of different places of Bangladesh send requisition to the central store through telephone and Internet. Only the Dhaka depot sends requisition through requisition from.
Based on the telephone calls and requisition form of various depots, handwritten requisition is prepared. Then those requisition are sent to the deputy distribution manage for approval. The deputy distribution manager checks information kept in his computer in order to check whether the ordered quantity is available in the stock. If there is no shortage in the stock, he approves the requisitions. These signed requisitions are sent to the store to the store in charge of the central store. Delivery of products involves the following key activities: â€˘ Order received from field colleagues (MPE &SR). The office staff prepares belts by assigning each distribution assistant (DA) for each belt. Computer section generates invoice each party and a summarized allocation for each belt. Invoice consists of two parts. One for the respective chemist, another for the distribution assistants. Allocation has two parts. One part for store and the other for concerned distribution assistants. Office hands over invoices, order copies, and a copy of allocation paper to the concerned distribution assistants. With the allocation paper, DA (Distribution Assistant) receives allocated products from the store and gets them loaded in the vehicle for supply. After finishing delivery, a distribution assistant performs the following activities: o
Returns returned products to the store (if return occurs.)
Submit summary report to computer section.
Deposit the sold value (cash) to cash management.
After adjustment, computer section sends the final summary report to the store for reconciliation. After reconciliation, store then sends the same to cash management for final check up. â€˘
If the amount of money received by the cash management is equal to that of the store summary, the total procedure is then OK. Cash management then prepares a balance sheet of that
4.2 Distribution Channels of Beximco Pharmaceuticals Ltd.: Pharmaceutical industry is a sales oriented sector thatâ€™s why they always try to maintain their quality and distribute their products in right time to right place. But sometimes their distribution cost increases rapidly for some reasons. Every pharmaceutical industry wants to reduce its distribution cost and want to more effective in their channel. Beximco Pharma has around 18 depots all over the country. Factory
Central ware house
Rajshahi Kushtia Faridpur Khulna Chittagong
Comilla Tangail Dinajpur Coxâ€™s Bazar
C O N S U M E R
4.3 Delivery Flow Chart of Beximco’s Distribution Department:
Party List Invoice
Offic e Allocation-wise products
Return refused products Reconciled summary
S Complete Figure - Delivery Operation Procedure (Source- Distribution Office) Multimedia Department: Functions of the multimedia department are: • Web page designing. • Developing multimedia presentation for presentation programs. • Making videos of conferences, meeting etc. • Designing the cover page of annual report. • Making video for products. • Making video for company. • Keeping the records of annual meeting and other meeting. • Storing still photographs and video on medical science. • Copying literature, promotional tools, and medical in CDs to gift it to doctors • Storage the products
Summary report submitted
Summary goes for reconciliation
When products are produced or complete the production .production department transfers the products to the distribution department Production supervisor counted the product shifted the store supervisior.and store supervisor repeater counted the product and loaded the car Shifted the product used the different car Small car Small van Small lift Big car Loaded the car product and reach the store another store in charge must be counted the products and storage the products and entry the computer. Maintain the other informationâ€™s such as quantity ,batch number .release date Store the product Quarantine storage. Without the quality assurance certificate not release the products. Quality department test the products and satisfy the test given the release paper otherwise not sale the product. Medicine is the directly related to the life.so quality department test the product reputedly. If any fault taken their destroy the product not sell the product. Released product When quality department satisfy the test they decided and given the releases paper when store seal the product otherwise not sell the product. Central warehouse mis department they are entry to the received product in factory To prepared challan copy To prepare allocation paper To prepare bed documents Muck 11 Muck 17 Muck 18 Other necessary documents All of the necessary documents are prepared and signed by the responsible person allocation paper send to the store in charge. As per requirement of depot product are loaded the car One person to call the product name quantity of small box and quantity of big box and written down the batch number and loaded the car. When loaded the car counted the product two or more person and written down the store in charge based number and quantity.
Explain the three vat documents Muck-11,is the statement of what products are sale. If any products sale must be maintain the muck 11.sale the products must be paid the tax. Main tax documents are prepared. Its statements of documents what quantity products are sale otherwise nbr held up the sale .so strictly maintain the muck 11.prepared the three copies 1. one copy provide the car driver 2. Second copy submit the nbr 3.To preserve the company This documents must be submit the nbr office AS specific time Interval Mock-17 Is not provide the other person or nbr office .it internally maintain the company own and book provide the nbr .company must be write down the given book When they are selling the products must be written down the mock 17 book. And entry the product wise .easily known the each product is sale. What quantity products are sale. And easily known the individual products sale .demand. And books are audited the internal auditor and external auditor so always updated the book. Mock -18 Every company must be paid the advance tax .when they are sale the product must be paid tax .sale products charge tax .tax deducted by the advance tax is called muck 18.as for example 15/06/2012 advance tax 500000.and 16/06/2012 vat charge in 100000.16/06/2012 balance is 400000’.alwayes chargeable tax deducted by the advance tax. Routinely check the internal auditor and external auditor .all of those documents are preserved perfectly otherwise fallen the problems.
Transportation Transportation is the important to carry products in warehouse to depot. They are 20 depots are existed in Bangladesh.so transportation departments are liable to provide the car as per requirement .so they are managed in two ways 1.own car 2.Hire car They are prepared the road schedule because of the shortage car and minimizing the cost Route schedule •
Comilla →chomani→coxs bazar →Chittagong
Often they are arrange the long tour in hire car because of minimizing the cost. Pretty cash Pretty cash is small cash to provide the service effectively and efficiently routine work or daily work .large number of small costs are occurred in daily work pretty cash provide the cost. Pretty cash maintain the impress system . Main jobs are pretty cash •
To meet the causal labor wages
To meet the driver cost
To meet the oil cost of car
To meet the repair expense of the car
To meet the conveyance bill
To meet the lunch bill
And other bills as per company law
Receive the money in head office and sent the requisition of in head office
Dhaka depot Dhaka depot is the largest depot in the Bangladesh. Its carry the one fifth of total sales in Bangladesh. Depot target is twenty core in per month. So Dhaka is the sale big amount.
Parts of Dhaka depot: •
Management information system department
Types of product •
Distribution of product division different based on customer Retails sales •
Institution sales •
Large medical shop and
Retail sales Retail sales only cash on delivery not credit, delivery the product DA Convey the money and chemist bound to pay when you get the received the product Dhaka depot is responsible to provide the product hole Dhaka district, Manikgonj, more than five hundreds product are existing in the market, all this product are distributed and serve the more than one lakh retail customers and more two thousand institution. Retail sales division the responsible to distributor the retail customer orders, appromaxilly 72-75 % in retail sales of total sales, so retail sales are most important, so company to have taken the extra care the retail sales. Retail distribution is very hard task other distribution because they deals the large number of customers and problem is cash on delivery and other problem arise quickly. •
Cash sales As per company law retail sales means cash sales because of company could not offer any credit in retail customer. DA delivery the product and chemist bound to pay that total price of the product. Dispatching company offered the some special doctors quack doctors chemist special offer to credit sales their enjoy the one month credit and maintain the credit limit is past by the committee retail sales division handling the dispatching seals. At the first week of month place the order and company see the credit limit information and provide the product and their responsible to pay the money last day in the month.
Operation procedure of the retail sales Order received
Order received from different way •
When their collect the order forms of the customer the retails division responsible to distribute the product all of the order formed are divided into different is small area Which are call the belt. Belt Belt is the small reason to distribute the product effectively and effeciencntly. To distribute the product easily Belt prepared form based on the different criteria. •
Number of order
Quantity of order
Price of order
Area of order
Location of chemist shop
Firstly belt is a two type
• Other activities of retail section When MIS department is prepared the invoice and allocation paper those must be sign to the retail manager and see the all types of information •
The prepared the DA distribution schedule
Assign the DA job
Other jobs as per company requirement
When product is large amount when manager provide the extra person to help the DA
Retails departments manager always see the total store product parte list, short list and authority section the DA expense
Check the total sales of per day
Gave between the targeted and sale product
Follow of the DA activates
Follow of the customer
See the return product list
Try to reused the return
Manager maintain the DA leaves
Their authority to pass the different expanse
Other small expense
Retail department overall management of DA and managed other people who are directly involved to the distribution
They are try to efficient distribution management and solve customer complain
All of those activities are performed by retail department
Institution department Definition Institution means any large organization there operate chemist business, used medicine and served the poor people of the country government organization who are used to medicine is called institution. The distribution system is deferent the other retail distribution system, this division take and the different police as per customer demand so they are enjoy the some facilities
Institution distribution •
Institutions sales Institutions sales occurred from deferent forms •
Cash on delivery
Company offer some institutions to credit sales I must be noted the time limit, amount limit, as per company law
Sales price system of institution sales •
Credit distribution Beximco pharma limited not sale the product in credit but institution sales are credit sales because of institution maintain the long procedures to pay money so company match the business policy to provide the credit sales.
The company provide the facilities maintain the some roles and regulation 1. It must be purchase the large amount of product 2. It must be mentioning the time limit. 3. It must be mention the credit amount.
4. It must be mentioning the discount rate. 5. It must be mention the special discount. When they are get to credit discount facility fill up the specific from which provide the company and must be past the proposal by the sales committee
Given the pro forma of discount credit from •
The from fill up the institution authority
name of the clinic
Discount to the offer
History of the customer
Product sold power
Comment of mpe
Recommended by BSM and
Recommended for approval by deputy manager institution business approved by the manager of sales.
Finely approved deputy general manager of the marketing
All of the information are completed company given the chance of credit business and company provide the customer ID and this custom place the order company responsible to distributor the product. At that time company given the user ID And preserved the all information company computer. When organization place the order company responsible person to see the credit limit, credit time, discount rate ext. are fulfill company prepared the invoice and other documents
Cash sales means the delivery the product chemist are pay the money. they are enjoy often the discount facility and not enjoy the credit facilities. Some organizations are often business in cash.
Different price systems are follows are institution sales •
Normal price When company offer the same price all costumer not any difference of customer is called the normal price. If any person buy the 1 products get price any persons buy the 100 products the same price. Price is not variation. Tender price Market is very completive often company bid price in large government oraganzsion .large organization offer the tender company bid the offered get the chance to provide products. Often the price is lower than the normal price because of they are the compete the other companies. But enjoy some extra facilities •
Large number of products are sale
Long time sale the products
No extra care of company
Company taken the extra facility
Tender organization of beximco pharma ltd CAAP<BANNI ASHAR ALO BGB MUKTO AKASH<BD BIMAN BD AIRLINES NICVD APOLLO HOSPITAL DMCH WHO BANGA BHAVAN UNICEF EDCL DMCH CENTRAL JAIL UNDP
SIR SALIMULLAH MEDICAL COOLEGE Civil surgeon office,cox,s bazar Total 400 organizations are taken medicine in the tender in BPL and serve the customer
Special discount Often company offer the special discount some products to increase the sales .when see the market condition are bad so try to hold the new customers and increase new customers .they are provide the special discount.it is not long time change it frequently .special discounts depends on the large numbers of factors’
Promotion of the products •
Increase the sale
When expired is near when company try to sell the products quickly,
When competitor product is low when company decrease the price to capture the market.
Recently discount product list Sales promotion product rate Maximum-slab Product name TYcil drops Neoceptin-R150 s Filmet 400 MG Tycil sus Tycil drops Filmet 200
POlice 5% 3% 5% 5% 5% 5%
Month April May March May May May May
Order receive receive process and other related works in institution. Order received from different ways •
When they are receive the order they are see the information See order process, institution name, code â€˜credit limit, discount payment, the order must signature the responsible person.etc all of the information match the company role ,responsible person prepared the order sheet if they are not order the company order form, the check the information .company name, institution code ,territory code ,discount rate special discount rate, if they are received the tender order must be see the tender price. Which price offer the company, signature the responsible persons .other informationâ€™s is same in normal order. If all the information match the company roles ®ulation prepared the order sheet. And the order sent to mis department. Is department are prepared the invoice, allocation paper. Vat challan .and other vat documents thatâ€™s want to the vat documents. All of the documents are prepared and sent to the institution department .and responsible person see the some information s Name of institution all product name that is ordered by the organization Quantity Total price Vat etc. And finally decided to distribute the product some documents preserves the department which are necessary and some documents give the order institute. Others procedure same to the retail sales
Management Information department MIS is the heart of organization their preserve the all kind of information which are badly needed to round the company perfectly so MIS is a important organization
Retail department complete the job prepare the belt and belt sell to the MIS department work is stat. MIS is fully setup own software of company when belt is see the MIS department worker their prepare the invoice allocation paper often prepared the vat chalan and other belt documents All of those information are convey the order from suach customer code Institution name of DA name MP area Product price They are entry the information and software are automatically shown the figure of TP and customer name and customer full address and all information are get easely when entry the product code they are get some information quickly Product price
Vat Discount Must be noted the Boucher prepared the person when entry the completed there are printed the one Boucher and three allocation paper and all of the information preserved long time when this work is completed order Boucher and allocation paper send to the retail section Other activates of MIS department They are entry the product code prepare the Boucher and allocation paper Product entry to the store and dispatching to the store it must be entry the MIS department They are prepare the summery They are provide the short list of product They are sent to the sales data in head office There maintain the office equipment management other depot in Bangladesh
Store department Dhaka store, store means the storage the product in order to temporally store and sale products. Dhaka store the product and dispatch the products. Receive the products and dispatch the products When mis department completes their activities and sign the allocation paper the manager. A carry the allocation paper submit the storage in charge when they start their activities. Main jobs of the storage department 1, They are received the allocation paper as per allocation paper they are collect the products 2. One person name the product name another person carry the product. He must be mention the products name and quantity. Another person carry the products 3. Store in charge countered the products perfectly and match the allocation paper .and must be shilled Retail sales â€“silled the Dhaka store Institution sales silled the institution sill 4. Collect the all product counted two or more time and called the da.and da must be match the allocation paper is duties further any complain not acceptable 5. When product is return by the chemist .da must be return to the product and store in charge counted the products and sign the received copy. 6.Da receive copy submit the mis department and mis department prepared they summary store department match the summary the sale products and store product allocation paper and summary and recheck .
7. Any mistake is taken they are informed the mis department, da manager need solved the problem the quickly.alwayes neat and clean the products accounts otherwise fallen the problems 8. They are load unload the products 9. They are prepared the short list and order place from the central warehouse what products are needed 10. And preserved the products perfectly and counted the products correctly Al of those activities are performed the Dhaka store Accounts department Accounts department are responsible to the correctly accounted to the money in sales. Accounts department is responsible accounts the money and deposited the bank accounts and transfer the data in head office in specific interval Accounts department are three sub departments â€˘
Retails accounts Retails accounts department is responsible to collect the retails Sales money and counted correctly Main task of the retails cash account 1. When da sales the products they are collect the money the money given the accounts department in morning it must be noted that total amount of money and statement of money. 2. When they are receive the money, counted the money and made bundle and see match the be a statement amount 3. Money are received and accounted taken the total amount and money deposit the bank and entry the computer some information are included in the software the name total amount ext. and send the information and given the information to head office. All of those actives power from by routinely. Institution cash They are receive from the institution sales money and cheek, institution sales are credit there received the money to way check and cash Main task in the institution cash 1. When they are received check must be note down the book and entry the opposite of the bill and less the amount of payment due and upped institution account
2. When they are received cash entry the book to opposite the bill amount entry the computer and less the payment due all of this ways always update of the institution account. 3. Received money counted perfectly and deposited the bank. Pretty cash Pretty cash means the routine small expenses is call the pretty cash Pretty cash maintain the impress system everyday amount is fixed by company this is four lack need the daily expenses which are occurred the performed daily activities. Main job is pretty cash department 1. They are provide the convince bill of employ as per company roles. 2. They are providing the launch bill and other bill, which are maintain the company roles. 3. Prepared the indement and requisition of money cash department given the check. 4. All of the document are collected and entry the expenses in head wise and send to the head office all of the activates are performed routinely s
Transport department Transportation department is main job maintain the car expenses distributor the car, schedule the car and repair the car update the car documents which are necessary to pass the root Transportation department 164 cars is owned BPL Main job is transportation department 1. They are always the car document which are needed •
2. To repair the car 3. To schedule the car 4. To maintain the car fallen the problem 5. Provided the car as per deco demand 6. Often hire the car in outsides because of shortage in own car ]
All of those activities are performed by transportation department
Chapter 5 5.1 Fast Moving products of BPL Increased market complexity now a days place great demand on the sales and marketing operations of pharmaceutical companies, making it even more difficult and costly to manage. But our marketing and sales team was able to withstand competition successfully in 2009, which enabled us not only to retain market leadership of all the key brands but also to grow in other therapeutic areas. Lets introduce with some fast moving products of Bexiomco Pharmaceutical Ltd.
Atova 10 Tablet (Code-A3T) (Atorvastatin calcium Tablet) Atova®(atorvastatin calcium) is used in patients with multiple risk factors for the heart disease such as familial history, high blood pressure, age, low HDL or smoking, to reduce the risk of heart attack and stroke and along with a low-fat die, to lower cholesterol. It is also used in patients with type 2 diabetes and at least one other risk factor for heart disease such as high blood pressure, smoking or complication of diabetes, including eye diseases and protein in urine, to reduce the risk of heart attack and stroke. Atova ® is not for every one. It is not for those with liver problems. And it is not for woman who are nursing, pregnant or may become pregnant.
Amdocal 5 Tablet (Code-AD1) (Amlodipine besylate Tablet) Amdocal® (5mg &10mg tablet) is the besylate salt of amlodipine, a long-acting calcium channel blocker that inhibits the transmembrane influx of calcium ions into vascular smooth muscle and cardiac muscle selectively, with a greater effect on vascular smooth muscle cells than on cardiac muscle cells. Amdocal® is indicated for the treatment of hypertension. It may be used alone or in combination with other antihypertensive agents. Amdocal ® is indicated for the symptomatic treatment of chronic stable angina alone or in combination with other antianginal agents. In patients with recently documented CAD by angiography and without heart failure or an ejection fraction <40%, Amdocal is indicated to reduce the risk of hospitalization due to angina and to reduce the risk of a coronary revascularization procedure.
Aristovit B, Aristoplex Syrup (Code-ABT) (Vitamin B complex Tablet) Aristovit® B tablet is the combination of all B vitamins which are indicated in the treatment and prevention of Vitamin B defeciencies, particularly when depletion is suspected, such as in case of pregnancy and laction, convalessence following debilitating illness and in restricted diet.
Aristovit- M TABLET (Code-ARM) (Multivitamin with mineral Tablet)
Aristovit® M is sugar-coated multivitamin mineral tablet. Aristovit ®-M is indicated in deficiency states in acute and chronic disease. Conditions regarding specific support: pregnancy, lactation, menopause, during treatment with antibiotics. The comprehensive formulae of Aristovit® M assures liberal amounts of important vitamins, minerals and trace elements needed by the body during periods of increased energy requirements such as in disease and convalescence.
Azithrocin 500 TAB (Code- AZ9) (Azithromycin 500 mg Tablet, 250 mg capsule & suspension ) Azithrocin® contains Azithromycin U.S.P. It is an azalide antibiotics active against Grampositive and gram negative organisms. Azithrocin® (Azithromycin) in indicated for infections caused by susceptible organisms; In lower respiratory tract infections including bronchitis and pneumonia, skin and soft tissue infections, otitis media and in upper respiratory tract infections including sinusitis, pharyngitis and tonsillitis. In sexually transmitted disease in men and women Azithrocin® (Azithromycin) is indicated in the treatment of uncomplicated genital infections due to Chlamydia trachomatis. Azithrocin® has very simple once daily dosage schedule for 3 days only, which is very convenient for the patients.
Flatameal-DS.SUSP. (Code-FLS) (Al Hydroxide, Mg Hydroxide and Simethicone Tablet Suspension) Flatameal® DS is an antacid and antiflatulent containing a combination of Aluminium Hydroxide Gel USP, Magnesium Hydroxide BP and Simethicone USP. It is indicated for dyspepsia, hyperacidity, gastric and duodenal ulcer, gastrititis; also for the relief of flatulence, abdominal distention and windy colic.
Neoceptin-R 150 TAB (Code-N1T) (Ranitidine Tablet, Syrup and Injection) Neoceptin® R is a histamine H2 receptor antagonist. It inhibits basal and stimulated secretion of gastric acid. It is indicated for the treatment of duodenal ulcer, benign gastric ulcer, postoperative ulcer, reflux oesophagitis, Zollinger Ellison syndrome and in other conditions where reduction of gastric acidity is beneficial. Neoceptin ® R is rapidly absorbed after oral administration. Food or antacid does not interfere its absorption.
Napa Syrup (Code-NAS) (Paracetamol) Napa is an analgesic & antipyretic used for the fast and effective relief of pain & fever and discomfort associated with headache, period pain, colds and flu, tension headache, backache, and muscular aches. It’s the safest drug of choice in pregnancy and lactation. It’s also suitable for cardiovascular risk patients, peptic ulcer patients, asthmatics who are sensitive to aspirin and non-steroidal anti-inflammatory drugs (NSAIDS). It is available in 12 different strengths of different dosage forms such as tablet, syrup, suspension, paediatric drops, and suppository.
Pedeamin Syrup (Code-PES) (Diphenhydramine Hydrochloride Syrup)
Pedeamin® is a preparation of Diphenhydramine hydrochloride BP. Diphenhydramine is widely distributed throughout the body, including the CNS. Pedeamin ® is indicated for the treatment of followings: Seasonal, perennial, vasomotor rhinitis; Urticaria, angioneurotic oedema, anaphylaxis; Pruritic conditions; Premedication for emesis and motion sickness; Miscellaneous like Meniere’s disease and Parkinsonism.
Tofen Tablet (TFT) ( Ketotifen Fumarate Syrup ) Tofen® is a preparation of Ketotifen which has antiallergic & anti-anaphylactic properties is used in the prophylactic treatment of bronchial asthma & symptomatic treatment of allergic conditions including rhinitis & conjunctivitis.The prophylactic activity of Tofen ® may take several weeks to become fully established. Tofen ® will not abort established attacks of asthma.
5.2 Product Concept: Product considered as such things that hold the consumers will favor those products that offer the most quality, performance and innovative features. Here BPL focus on making superior products and improving them over time in response of consumers dynamic need changes and capturing most competitive advantage. (1)Anti Diabetic Core product: Diapro PLC stage : Growth Brand slogan: controls diabetes, protects cardiovascular disease. OTC/prescription: Prescription Target doc: All diabetic doctors, potential GPs Packaging: Blister strip Picture : Diapro (2)Anti Ulcerant Core product: NEOCEPTIN R PLC Stage: Maturity Brand slogan: Prevent gastric acid disorder for more than 20 yrs/ensure safety in long term use/protest against gastric mucosal damage Otc/prescription: Both Target doctors: Gastroentologist/ Medicine specialist orthopedician/gynecologist surgeon/potential GPs Rmp-pcs Packaging: Alu Alu
Picture: Neoceptin R (3)Anti infective Core product: Neofloxin PLC stage: Maturation Brand slogan: Clinically tested most preferred antibiotic for all group of patients Otc/prescription: Prescription Target doc: surgeon/medicine specialist/ent specialist/chest specialist/gynecologist/potential gps/potential rmp/pcs Packaging: blister strip
Picture: Neofloxin (4)Cardiovascular Core product: Amdocal PLC stage: Growth Brand slogan: Out of the ordinary, proven efficacy, safety & tolerability in controlling BP and angina Otc/prescription: prescription Target doc: cardiologist/medicine specialist/all potential gps Packaging: Blister strip Picture: Amdocal-10 (5) Respiratory system: Core product: Azmasol inhaler PLC stage: Growth Brand slogan: First time bronchodilator for immediate relief from bronchoconstriction in Asthma and copd. Otc/prescription: Presciption Target doc: Asthma centre/chest specialist/medicine specialist/pediatrician/ Packaging: Canister Picture: Azmasol inhaler (6) Allergic disorder Core product: ATRIZIN PLC stage: growth Brand slogan: complete solution for the family including infants over 6 months in allergic symptoms/none sedating/economic/
Otc/prescription: prescription Target doc: All doctors Packaging: blister stripe tab./amber glass bottle syrup Picture: Atrizin
(7)Central nervous system Core product: FRENXIT PLC Stage: GROWTH Brand slogan: free from anxiety and depression for a cheerful life/simple dosage schedule/beautiful elegant looking easy to swallow tab. Prescription Status :Prescription Target doc: Medicine specialist Psychiatrist all potential gps Packaging: Blister Picture: Frenxit (8) Vitamins Core product: BEXTRUM GOLD PLC stage: growth Brand slogan: High Potency multi mineral for all age group OTC/prescription: BOTH Target doc: all docs Packaging: Pet Bottle. Figure: Bextrum gold (9) Analgesic Core product: NAPA PLC stage: GROWTH Brand Slogan: Relieves pain & fever fast with care & trust OTC/Prescription status: prescription Target doctor: ALL Manufacturing quality: Packaging: Blister strip Figure: Napa (10) Skin care Core product: Exovate N PLC stage: growth Brand slogan: Otc/prescription: Prescription
Target doc: Skin and vd specialist/dermatologist/gynecologist/gps/medicine specialist/rmp/pcs Packaging: crĂ¨am/ointment Figure: Exovate N (11) Cough and common cold Core product: MUCOSAL PLC stage: Growing, Brand Inventory Brand slogan: chesty cough solution for the whole family OTC/Prescription status: Prescription & OTC both Target doctor: Medicine specialist, Potential gps, Chest specialist, Potential Rmp- pc Packaging: glass bottle, 100ml, pineapple/colorless, ordinary house color.
Figure : Mucosol
Chapter 6 SWOT Analysis Of BPL
A situation analysis is a technique for matching organizational strength and weakness with environmental opportunities and threats to determine the organizations right which is known
as SWOT analysis (strengths, weakness, opportunity and threat). Every organization should be able to identify the purpose for which it is best suited.
BPL currently manufactures 452 products with different dosage forms under different brand names. Many of its products enjoy the status of brands leaders in the market . Sales of the formulation products increased by 2.55% and export by 6.65%. Beximco Pharma has successfully captured the local pharmaceutical market and enjoys a commending share of 9% of the entire market. BPL believes that the use of different type of information system. BPL using different type of technology for moves their company to carrying innovation forward. The company has already established its value in the customers' eye as a reputed company who supplies quality products in the market. So, the company can enter into the existing market with its now innovative products without fear. BPL has secured market niche in the market by following cost leadership strategies as well as aggressive promotional activities. The company's strong support to the medical community has gained its brand locality form the doctor. BPL is keen to diversify its capacity of producing and marketing. Strong export demand and international product registration have led BPL to embark on massive capacity expansion program, as evident in completion of FDA standard plant will help it to enter into the USA and Europe markets. BPL manufactures Glaxo Smithklines inhalation. Ventolin, which proves the quality of the company's world-class machinery. The company has already established its new innovative products without fear.
BPL has a narrower product line and number of products than its principle competitor in the market. The company produces so many product variations for that reason some time feels confuse what to suggest BPL product. BPLs distribution network is not working as good as its competitor in the urban area. Opsonin, Acme is doing well in this area than BPL. Warehouse management system is not so well. The company produces very small kind of injectables comparing to its competitors. The injectables market is a large one and the rival companies capture it.
The market is expected to grow by 9% to 15% per annum for the next 5 years. The next stage growth is expected to come from backward integration to manufacturing processes that are difficult to imitate products and exports. The WTO agreement extended in 2016 instead of 2005 for the LDC only in pharmaceutical company. The company starts to produces kind of ingestible comparing. The ingestible market is a large one so they can easily competes their rival companies.
Entered into nine new international markets in Asia, Middle East, Pacific Islands, Africa and Central America. Registered 107 new products in different overseas markets. In Bangladesh pharmaceutical companies are considered as growing company. So there are lots of opportunities in this field. Cost of producing product cost low their close competitor it will help them to charge low price of the product it given huge market opportunities in Middle-East and North Africa nation. BPL is one among the few pharmaceuticals companies in the world that are currently producing technology driven CFC-free HFA MDIs. Based in the very encouraging responses that we are getting for our MDI products particularly for our Non-CFC MDIs from Central and Latin America and Middle East Countries, we have undertaken a project to add another 10 million units capacity plant beside our existing MDI facility. The project is progressing as planned. Therapeutic Goods Administration (TGA), Australia and Joint Inspection Committee of the Ministry of Health of Gulf Cooperation Council (GCC) countries completed audit of the new Oral Solid Dosage (OSD) and Metered Dose Inhaler (MDI) & Spray manufacturing facilities. Signed a long term arrangement with the Global Supply Division of UNICEF (Denmark) to supply 60,000 units CFC free metered dose inhaler product over a two year contract period give enormous market opportunities. During the year, BPL has some project to build facility to manufacture Small Volume Parenterals (SVP), Opthalmic and Nibulizer Solutions progressed as acheduled. Hopefully as planned, they will be able to commence marketing of these products by first quarter of 2009. They are now expediting the process of adding more lines to their existing Oral Solid Dosage Facility. Expected GMP certification of our new OSD facilities by recognized drug regulatory authorities will gibe a new momentum to their existing operation and will be inline with their target to achieve export led growth in medium to long term. Recognizing today's unmet needs of healthcare sector- their marketing strategy will continue to focus on value added but cost effective medicines. Their future strategy will continue to concentrate on retaining and expanding the domestic market share while capitalizing on the enormous export opportunities.
In most case the product cost of BPL is higher than that of other companies because of high cost of maintaining quality products, high distribution cost etc. In the context of Bangladesh economic structure, BPL is in fear of loosing market in the rural areas. In Bangladesh the copyright act is not applied by the government appropriately which creates continually threats for the company as its competitors easily copy its products. Because of political unrest and poor infrastructure facilities BPL faces problems in Local marketing. BPL also facing treats forms its Indian counterparts as they are offering their products at lower price than it. After 2015 they face lot of challenge for TRIPS purpose. Pharmaceutical sector of Bangladesh like all other industries is going to face new challenges. Rising prices of materials in the international market and higher domestic inflation is going to be a big issue. Besides, competition in the local pharmaceutical market is expected to intensify further BPL are mindful of the challenges and confident about their capabilities to f
Chapter 7 Recommendation and findings Recommendation: The following recommendations are made on the basis of the research findings for further improvement of the organization. To make my recommendations more authentic and realistic the used primary data. The communicate with the personnel's where the completed internship program, for taken their views and tried to make it more appropriate and precise. •
BPL may reduce their operating and non-operating expenses in order to increase the profitability of the company.
Net profit margin must be increased to increase the amount of free cash flow to the firm. It also entails that the company must reduce the administrative and selling cost.
It must finance its plants and inventory as far as possible from the retained earnings to reduce pressure on short term financing which is high enough to be compared with other sources of financing.
BPL should organize seminar, campaign and do some promotional activities to provide proper knowledge and used about medicine.
Evaluation for the good performance of the employees should be done by introducing award and incentives.
Integrated software can be a solution for recording and filing problem. If all departments use the same software, it will be easy to find out will-required information. BPL has to press some keys only for this job. But it is true that integrated software is a very complex one for a large organization like BPL. To avoid this complexity, it could use the same software in the selected departments.
BPL should try to reduce the holding period cost. As a result they can earn more profit and the prices of the products may be kept unchanged by strict rate control that will help increasing sales volume.
Material code should be available to the suppliers so that it will be easy to find out material name and description.
Not only in case of earning profit but also if hey can show mare efficiency in their overhead cost, they can achieve the leadership of the Pharmaceutical Company's of the country.
BPL's every employee computer knowledge is not same to operate their daily works and using MAPICS. So BPL should try to make their employee fit for their works, with the help of proper training.
BPL should increase their promotional activities to increase their product awareness. BY doing social welfare activities it can create a good impact on public mind.
To retain customers, BPL should give more attention on their field force. In this regard, they can employ more talented and educated people as medical representatives.
The company should ensure that retailers are getting the right product at right time. The behavior of the delivery personnel should be improved. They need proper training otherwise the image of the company will be effected. So, company should arrange short training course for delivery personnel to develop their manner.
BPL can follow just-in-time (JIT) system. For example, in our country, medical hospital faces a lot of problems like they have insufficient.
Conclusion: In Bangladesh Pharmaceutical sector is one of the most developed hi tech sector, which is contributing in the country's economy. After the promulgation of Drug Control Ordinance1982, the development of this sector was accelerated. The professional knowledge thoughts and innovative ideas of the pharmacists working in this sector are the key factors for these developments. Due to recent development of this sector we are exporting medicines to global market including European market. This sector is also providing 95% of the total medicine requirement of the local market. Leading Pharmaceutical Companies are expanding their business with the aim to expand export market. Recently few new industries have been established with hi tech equipments and professionals which will enhance the strength of this sector. The evaluation of the company can't the complete without comparison of its performance with the competitors in the same company. Share price not only throws light on the better performance of the company but also provides investor's green light where to invest. This is made possible due to inter-company comparison with the company analysis. A single figure with a particular ratio is meaningless, unless it is measures with some standard and norms. One of the popular techniques is to compare the ratios of a company. Comparison would demonstrate the report position visa-avis its competitors. As a fast growing, high quality and efficient manufacturer and marketer of global quality medicines Beximco Pharma are moving forward. Beximco entered into 3 new overseas markets, registered 36 more now produces in existing overseas market, and signed distribution agreement in 5 new markets. Pharmaceutical sector is very much depends on the needs of the economy and people of Bangladesh. Each of pharmaceutical activities must benefit and add value to the common wealth of our society. We believe that people invest their ideas and work in pharmaceutical industries, so it is our responsibility to make it easier and convenient for them by providing self-development and entrepreneurship. Each year patents on pharmaceutical products expire with annual sales worth billion of dollars. This will be one of the key factors, which will help drive generic pharmaceutical growth over the next decade
Chapter 8 Appendices List of Abbreviation BEXIMCO BPL SPL RL TGA MRA AIM ADIS PMD MSD IM Tec-Ser P&A AGM ICM Co u
Bangladesh Export Import Company. Beximco Pharmaceuticals Limited. Square Pharmaceuticals Limited. Renate Limited. Therapeutic Goods Administration. Mutual Recognition Agreements. Alternative Investment Market. Average no. of Days Inventory in Stock Product Management Services Department Medical Services Department International Marketing Technical Service Personnel and Administration Annual General Meeting Investment Corporation of Bangladesh. Comilla University
Bibliography and References •
Annual Report of Beximco Pharmaceuticals Limited 2011
Annual Report of Square Pharmaceuticals Limited 2010
Annual Report of ACI Pharmaceuticals Limited 2011
Marketing Management by Philip Kotler
Principles of Marketing by Philip Kotler
Principles of Management by S,P Robins
Internet Source: • http://www.beximcopharma.com. • http://www.pharma.com. • http://www.wikipedia.com. • www.google.com.
Published on Oct 24, 2013
Published on Oct 24, 2013
Beximco Pharmaceutical Ltd. or BPL is the leading pharmaceutical manufacturing in the country. It all began in 1980 when BPL, first product...