Upload
nikhil-khobragdae
View
78
Download
15
Tags:
Embed Size (px)
DESCRIPTION
pdf file
Citation preview
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 1
MASTERS IN MANAGEMENT STUDIES
Summer Internship Report
Name of Company: Sanjivani Parenteral Ltd
Address of Company: R-40, T.T.C. Indl. Area, Rabale, Thane-Belapur Road
Navi Mumbai - 400701, Maharashtra
Phone No. +91-22-66888700
Email id www.sanjivaniparanteral.com
Submitted by:
Trilok Mishra
(Roll No.019)
Name of Coordinator: Prof. Patil
BES’s Institute of Management Studies and Research
(Approved by AICTE & Affiliated to University of Mumbai)
May 2012
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 2
DECLARATION
I hereby declare that the Summer Internship Report submitted
for the MMS Degree, BES’s Institute of Management Studies and
Research (Affiliated to University of Mumbai) is my original
work and conducted in Sanjivani Parenteral Ltd. Company.
Place: Mumbai
Date:
Signature of the Student
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 3
ACKNOWLEDGEMENTS
I wish to express my gratitude to Mr. Mahendra kalwankar from the Sanjivani
Parenteral Ltd. company for providing me valuable information.
I am grateful to BES’s Institute of Management Studies and Research for giving me an
opportunity to pursue MMS. I wish to thank Professor Vikram D. Shikhare, Director,
BES’s Institute of Management Studies and Research who has been a perpetual source
of inspiration and offered valuable suggestions to improve my practical Knowledge.
I am indebted to my Coordinator Mr. Patil Professor, BES’s Institute of Management
Studies and Research, for abundant guidance, support, and encouragement throughout
my internship Study.
I would like to express my thanks to various people from the Sanjivani Paranetral Ltd.
Company for their support and direction.
Place: Mumbai
Date: July , 2012
Signature of the student
(TRILOK MISHRA)
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 4
TABLE OF CONTENTS
Chapter No Title Page
No
A Table
No
List of Tables
1.1 Leading Pharma players in India 14
2.1 key executives of company 19
2.2 Key products of company 20-22
2.3 Manufacturing plants address 25
3.1 Levels of managers in distribution process 29
3.2 Prices of key products 35
3.3 Global markets of SPL products 36
4.1 No. of employees department wise 42
5.1 Format of mfg. schedule 51
5.2 Format of label used in each dept. 51
5.3 Format of BMR making by production dept. 51
5.4 Excess volume labeled 55
5.5 Format of rejected products labeling 56
5.6 Format of sorting report 56
5.7 Format of writing batch mfg. on board 57
5.8 Secondary packaging labels 58
5.9 Defects in labeling procedure 59
6.1 Temp. range of different dept. 67
6.2 List of documents for dispatch of finished goods 68
8.1 Criteria of CRISIL FINANCIAL Ranking 82
8.2 Equity Capital Structure of SPL 84
8.3 Financial turnover of SPL 85
8.4 Shareholding pattern of SPL 86
8.5 Financial performance of SPL 87
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 5
8.6 Share market listing detail of SPL 87
8.7 Monthly share price detail of SPL 88
8.8 Last five year balance sheet of SPL 89-90
8.9 Last five year profit & loss account of SPL 90-91
8.10 Key Ratios OF SPL 91-92
8.11 Last Five Year Cash Flow of SPL 92-93
8.12 Competitors Sales 93
B Fig No. List of Figures
3.1 Distribution chain of parental products 28
3.2 Sales & Marketing function 30
3.3 PLC of Parenteral products 31
3.4 Marketing Mix of SPL 33
3.5 Export Market of SPL 36
3.6 MR strategy of promotion 37
3.7 Target of MR 38
4.1 Organizational Structure 39
4.2 Objectives of HRM in SPL 40
4.3 HRP in SPL 41
4.4 Selection Procedure 43
4.5 Per formation Appraisal in SPL 47
5.1 Layout of SPL 49
5.2 Material movement in production area 50
5.3 Store dept. layout 64
5.4 Material movement in store department 65
6.1 Receipt and handling of raw material 66
6.2 Import at concessional rate of duty 69
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 6
7.1 Granting of license 77
8.1 Hierarchy of Accounts and Finance Department 80
8.2 Purchase process 81
8.3 Financial Planning Process in SPL 83
8.4 share price fluctuation of SPL 89
8.5 Graph of ratio representation of SPL 92
8.6 Graph of Cash flow of SPL 93
C List of Abbreviations 114
1 Pharmaceutical Industry - A perspective 9
1.1 Introduction 9
1.2 Global Scenario 9-11
1.3 Indian Scenario 12-14
2 Sanjivani Parenteral Ltd. Company Profile 18
2.1 Key Executives 19
2.2 Key Products 22
2.3 Management Message 23
2.4 Locations of offices 24-25
3 Marketing Department 28
3.1 How does Sanjivani Parenteral sales & marketing
function
29-30
3.2 Sanjivani product lifecycle 31
3.3 SWOT analysis of Sanjivani Parenteral 32
3.4 Marketing mix of Sanjivani Parenteral ltd 33-38
4 HRM Department 39
4.1 Objectives of HRM in SPL 40
4.2 Process of HRP 41
4.3 Sources of recruitment 42
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 7
4.4 Employees recruitment & selection 43
4.5 Training & development 44
4.6 Performance management 44
4.7 Employees compensation & benefits 45
4.8 Types of compensation & benefits 46
4.9 Labour management relations 47-48
5 Operation / Production Department 49
5.1 Material movement in production area 50
5.2 BMR (Batch Manufacturing Record) 51
5.3 introduction to areas of production department 52-58
5.4 Packaging department 58-59
5.5 Packaging of Parenterals 60
5.6 Labelling of Parenterals 61
5.7 Quality control 61-63
5.8 Storage section 63-65
6 Dispatch and import – export Department 66
6.1 Warehouse 66-68
6.2 Dispatch 68-69
6.3 Import 69-71
6.4 Export 72-73
7 Regulatory Department 74
7.1 Schedule `M’ of the Drugs and Cosmetics Act (1940) 75
7.2 The Indian Patents and Designs Act, 1970 77
7.3 Patents (Amendment) Act, 1999 78
7.4 The Drugs (Prices Control) Order (DPCO), 1995 78-79
8 Finance Department 80
8.1 Accounts department 80
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 8
8.2 Ratings on Sanjivani Parenteral 82
8.3 Bankers of SPL 83
8.4 Capital Structure of the Company SPL 84
8.5 Company Financial Analysis 94-95
9 MIS/ IT Department 96
10 Identification of Problems – Department Wise 99
11 Solutions of Problems with Merit and Demerit 102
11.1 Financial solutions 102
11.2 Production solutions 103
11.3 Marketing solutions 103
11.4 Human resources solutions 104
11.5 Regulatory solutions 105
12 Recommendations to Company 106
13 Learning Outcomes 108
14 Reference Section 109
A-1 Bibliography 109
A-2 Questionnaire 110
A-3 Appointment Letter 112
A-4 Company Certificate 113
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 9
I
N
T
R
O
D
U
C
T
I
O
N
Chapter 1
Pharmaceutical Industry - A perspective
1.1 INTRODUCTION
Health is defined both as cause and effect of economic development. Therefore, the
pharmaceutical industry is specifically recognized in the UN Millennium Development Goals
as an factor that can contribute to economic development. In addition, the pharmaceutical
industry provides significant socio-economic benefits to the society through creation of jobs,
supply chains, and through community development. The industry also plays an important
role in technological innovation, which may reduce costs of economic activity elsewhere in
the economy.
Players in the pharmaceutical industry include: branded drug manufacturers, generic drug
manufacturers, firms developing biopharmaceutical products, nonprescription drug
manufacturers, firms undertaking contract research. In addition, there are also enablers of
the industry such as universities, hospitals and research centers that play a role in R&D
activities.
1.2 GLOBAL SCENARIO
Market Size
Global pharmaceutical market is highly dynamic and is characterized by greater levels of R&D
expenditure and extensive regulation of its products. Global pharmaceutical sales are estimated to
be US$ 643 billion in 2006, a growth of 7% over the previous year. Sales have grown from US$ 334
billion in 1999 to US$ 643 billion in 2006, witnessing a CAGR of 10%. North America is the major
pharmaceutical market accounting for around 48% of global pharmaceutical sales, followed by
Europe (30%), Japan (9%). Leading therapy classes in world pharmaceutical market include lipid
regulators (with a market share of 5.8%), oncologics (5.7%), respiratory agents (4%), acid pump
inhibitors (4%), and anti-diabetics (3.5%).
Research and Development
Research and Development (R&D) is the backbone of the pharmaceutical industry all over the
world. Globally, USA is the major hub for pharmaceutical R&D.
According to Pharmaceuticals Research and Manufacturers of America (PhRMA), USA, in the year
2005, has spent more than US$ 50 billion in pharmaceutical R&D. R&D spending in US
pharmaceutical industry accounted for over 17% of total sales. Europe, with R&D expenditure worth
more than US$ 25 billion, in 2005, stood at second position, followed by Japan (US$ 8 billion).
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 10
Trade
Share of pharmaceutical products in world exports has grown over the years. From a level of
1.7% share in world exports in 2000, export of pharmaceutical products in world exports
increased to 2.6% in 2005. In the year 2005, world export of pharmaceutical products
amounted to US$ 272 billion. European Union, as a bloc, is the largest exporter of
pharmaceutical products accounting for 70% of total world exports in 2005. Of this, over
60% are traded intra-regionally. European Union, as a single bloc, is also largest importer
Of pharmaceutical products accounting for 57% in world pharmaceutical imports.
EMERGING TRENDS IN GLOBAL PHARMACEUTICAL INDUSTRY
Changing Demographic Trend
Developed countries have reached the era of demographic transition, where they are
increasingly confronting with the phenomenon of ageing population. This has resulted in
increasing pressure on the countries’ national healthcare system. Chronic diseases,
particularly cardio-vascular diseases, have become more frequent cause of death in these
countries. On the other hand, infectious diseases have remained more common cause of
death in developing countries. In addition, lifestyle related diseases are going to be common
among fast developing countries like China and India. All these factors would have major
influence on the global pharmaceutical industry.
Patented Drugs Going Off-Patent
It has become a major concern for the large pharmaceutical firms that many of the
blockbuster drugs will be going off-patent in the coming few years. It is estimated that in
USA alone, blockbuster drugs going off-patent are valued at US$ 27 billion in 2007, and US$
28 billion in 2008. These drugs are major sources of revenue for major pharmaceutical
companies in the world. Production of generics in such products will put considerable
Pressure on the profit margin of these companies.
Lowering R&D Productivity
R&D in pharmaceutical industry is a very expensive and time consuming process, as it
involves a number of stages before a drug can be introduced in the market. Moreover, at any
stage, the process may have to be abandoned if it is not showing desired results both in terms
of effectiveness and safety. In the world pharmaceutical industry, although the R&D
expenditure by firms have shown significant increase, R&D productivity has come down. All
these factors have led to added pressure on the profit margin of the leading players and thus
there is a pressing need to cut down the costs.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 11
Increasing Mergers and Acquisitions
Mergers and Acquisitions (M&A) have been dominating the global pharmaceutical industry.
In the year 2005, M&A activities in the pharmaceutical industry amounted to US$ 61 billion
with the completion of nearly 700 deals. Major deals were in the generics segment. Drive to
enhance the size and thereby attaining higher economies of scale has motivated such
acquisitions. This trend is expected to continue with many firms from developing countries,
particularly India, joining the race.
Increasing Marketing Cost
As the competition amongst the pharmaceutical firms is aggrevating, many firms have started
to get into retail business. In this model, drugs will be sourced directly from the
manufacturers providing proximity with the end users. Such a model would provide benefits
both to producers (better supply chain management) and consumers (lower price).
Low Emphasis on Clinical Trials
With an increasing share of generics in total pharmaceutical sales, leading pharmaceutical
firms are changing their strategies from traditional blockbuster model to niche market players
in the areas such as diabetes, cancer and lipid disorders. Many large firms are adopting
strategies with long term investment commitments, scientific advancements, and strategic
positioning of their drugs as part of a more comprehensive approach to medical treatment.
Pricing Strategies
Pricing has never been a key issue in global pharmaceutical industry as it is today. Global
pharmaceutical majors are increasingly adopting varied pricing strategies in each therapeutic
and geographic market, with the objective of optimizing share, revenue and profit.
Increasing Patent Litigations
With a number of branded drugs going off-patent, the market share of the generic producers
in the world pharmaceutical market shows an increasing trend. However, the growth path of
the generic players is witnessing turbulence with increasing number of IPR related litigations.
Legal cost associated with challenging of patent infringement cases turns out to be very high
for many pharmaceutical companies. Another angle of such litigations is prohibition to
manufacture such drugs till the time the cases are settled. This has emerged as a major
challenge, of late, for the generics manufacturers.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 12
1.3 Indian Scenario
The Indian pharmaceutical industry currently tops the chart amongst India's science-based
Industries with wide ranging capabilities in the complex field of drug manufacture and
Technology. A highly organized sector, the Indian pharmaceutical industry is estimated to be
Worth $ 4.5 billion, growing at about 8 to 9 percent annually. It ranks very high amongst all
the third world countries, in terms of technology, quality and the vast range of medicines that
are manufactured. It ranges from simple headache pills to sophisticated antibiotics and
complex cardiac compounds; almost every type of medicine is now made in the Indian
pharmaceutical industry.
The Indian pharmaceutical sector is highly fragmented with more than 20,000 registered
units. It has expanded drastically in the last two decades. The Pharmaceutical and Chemical
industry in India is an extremely fragmented market with severe price competition and
government price control. The Pharmaceutical industry in India meets around 70% of the
country's demand for bulk drugs, drug intermediates, pharmaceutical formulations,
chemicals, tablets, capsules, orals and injectibles. There are approximately 250 large units
and about 8000 Small Scale Units, which form the core of the pharmaceutical industry in
India (including 5 Central Public Sector Units).
India's pharmaceutical market grew at 15.7 per cent during December 2011. Globally, India
ranks third in terms of manufacturing Pharma products by volume. The Indian
pharmaceutical industry is expected to grow at a rate of 9.9 % till 2010 and after that 9.5 %
till 2015. The Indian pharmaceutical market is expected to touch US$ 74 billion sales by
2020 from US$ 11 billion. The market has the further potential to reach US$ 70 billion by
2020 in an aggressive growth scenario.
Moreover, the increasing population of the higher-income group in the country will open a
Potential US$ 8 billion market for multinational companies selling costly drugs by 2015.
Besides, the domestic Pharma market is estimated to touch US$ 20 billion by 2015, making
India a lucrative destination for clinical trials for global giants.
Further estimates the healthcare market in India to reach US$ 31.59 billion by 2020.
(A) Diagnostics Outsourcing/Clinical Trials
According to the estimates, the Indian diagnostics and labs test services, in view of its growth
Potential, is expected to reach Rs159.89 billion by FY2013. The Indian market for both
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 13
therapeutic and diagnostic antibodies are expected to grow exponentially in the coming years.
Findings from the report suggest that more than 60% of the total antibodies market is
currently dominated by diagnostic antibodies.
Some of the major Indian pharmaceutical firms, including Sun Pharma, Cadilla Healthcare
and Piramal Life Sciences, had applied for conducting clinical trials on at least 12 new drugs
in 2010, indicating a growing interest in new drug discovery research.
(B) Generics
India tops the world in exporting generic medicines worth US$ 11 billion and currently, the
Indian pharmaceutical industry is one of the world's largest and most developed.
Moreover, the Indian generic drug market to grow at a CAGR of around 17 per cent between
2010-11 and 2012-13. Union Minister of Commerce and Industry and Minister for Trade and
Industry, Singapore, have signed a 'Special Scheme for Registration of Generic Medicinal
Products from India' in May 2010, which seeks to fast-track the registration process for
Indian generic medicines in Singapore.
(C)Advantage India
The Indian Pharmaceutical Industry, particularly, has been the front runner in a wide range of
specialties involving complex drugs' manufacture, development and technology. With the
advantage of being a highly organized sector, the pharmaceutical companies in India are
growing at the rate of $ 4.5 billion, registering further growth of 8 - 9 % annually.
More than 20,000 registered units are fragmented across the country and reports say that 250
Leading Indian pharmaceutical companies control 70% of the market share with stark price
Competition and government price regulations.
Competent workforce: India has a pool of personnel with high managerial and technical
competence as also skilled workforce. It has an educated work force and English is
commonly used. Professional services are easily available.
Cost-effective chemical synthesis: Its track record of development, particularly in the area of
improved cost-beneficial chemical synthesis for various drug molecules is excellent. It
provides a wide variety of bulk drugs and exports sophisticated bulk drugs.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 14
Legal & Financial Framework: India has a 53 year old democracy and hence has a solid
legal framework and strong financial markets. There is already an established international
industry and business community.
Information & Technology: It has a good network of world-class educational institutions and
Established strengths in Information Technology.
Globalization: The country is committed to a free market economy and globalization. Above
all, it has a 70 million middle class market, which is continuously growing.
Consolidation: For the first time in many years, the international pharmaceutical industry is
finding great opportunities in India. The process of consolidation, which has become a
generalized phenomenon in the world pharmaceutical industry, has started taking place in
India.
MAJOR PHARMACEUTICAL COMPANIES IN INDIA
Some of the leading Indian players by sales (US$ million)
Company name Sales in US$ million Year End
Cipla 6,368.06 March 2011
Ranbaxy Lab 5,687.33 December 2010
Dr Reddy's Labs 5,285.80 March 2011
Sun Pharma 1,985.78 March 2011
Lupin Ltd 4,527.12 March 2011
Aurobindo Pharma 4,229.99 March 2011
Piramal Health 1,619.74 March 2011
Cadila Health 2,213.70 March 2011
Matrix Labs 1,894.30 March 2010
Wockhardt 651.72 December 2011
Table 1.1 leading Pharma players in India
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 15
Ranbaxy
Ranbaxy is among the predominant pharmaceutical companies in India and was founded in
1961. Ranbaxy is a research based Pharma giant and became a public limited company in
1973.
Ranbaxy was recently ranked among the top 10
international pharmaceutical companies in the world have
presence across 49 countries.
Ranbaxy is also reputed for its 11 state-of-the-art
manufacturing facilities in countries like China, India,
Brazil, South Africa, and Nigeria. The company has also
won several awards and recognitions for its pioneering
initiatives in the developing markets of the world. Ranbaxy is also a member of the Indian
Pharmaceutical Alliance and Organization of Pharmaceutical Producers of India. In the
present scenario Ranbaxy commands more than 5% share of the Indian pharmaceutical
market. Ranbaxy’s product portfolio is diverse and includes drugs that cater to nutrition,
infectious diseases, gastro-enteritis, pain management, cardiovascular ailments, dermatology,
and central nervous system related ailments.
Ranbaxy’s operations in India are designed under as many as 9 SBUs which take care of the
Various categories of medicines and drugs that are manufactured by Ranbaxy. The company
is especially well-known for having the highest research and development (R&D) budget
among pharma companies in the world which is as high as US$ 100 million.
Ranbaxy India operations are handled by 2,500 employees and the company’s market share
in India is worth around US$6 billion.
Dr. Reddy's Laboratories
Dr. Reddy's Laboratorie is one of the popular
pharmaceutical companies with base in more than
100 countries. The medicines of Dr. Reddy's
Laboratories Limited are easily available all across
the globe.
Dr. Reddy's Pharmaceutical Company is very
much customer friendly. It takes care of the fact
that maximum people get benefited by the
products of this pharmaceutical company. It
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 16
commercialized various treatments so as to provide high tech treatment to the masses. It tries
to meet the medical needs of the people.
Though Dr. Reddy's Laboratories is located in various parts of the world, it has its
headquarters in India. The subsidiaries of this company are found at various countries like
US, Germany, UK, Russia and Brazil. 16 countries have the representative offices of Dr.
Reddy's Laboratories Limited. 21 countries have third party distribution.
Cipla
Cipla was founded by Khwaja Abdul Hamied in 1935 and was known as The Chemical,
Industrial and Pharmaceutical Laboratories, though it is better known by the acronym Cipla
today.
Cipla was registered in August, 1935 as a public limited enterprise and it began with an
authorized capital of Rs. 6 lakh.
Though set up in 1935, it was only in 1937 that
Cipla began manufacturing and marketing its
pharmaceutical products. Today, the company has
its facilities spread across several locations across
India such as Mumbai, Goa, Patalganga,
Kurkumbh, Bangalore, and Vikhroli.
Apart from its strong presence in the Indian market, Cipla also has an extensive export
market and regularly exports to more than 150 countries in regions such as North America,
South American, Asia, Europe, Middle East, Australia, and Africa. For the year ended 31st
March, 2007 Cipla’s exports were worth approximately Rs. 17,500 million. Cipla is also
considerably well-known for its technological innovation and processes for which the
company received know-how loyalties to the tune of Rs. 750 million during 2006-07.
Sun Pharmaceuticals
Sun Pharmaceuticals was set up in 1983 and the company started
off with only 5 products tocure psychiatric illness. Sun Pharma is
known worldwide as the manufacture of specialty Active
Pharmaceuticals Ingredients and formulations.
However, the company is also concerned with chronic treatments
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 17
such as cardiology, psychiatry, neurology, gastroenterology, diabetology, and respiratory
ailments. Active Pharmaceuticals Ingredients (API) include peptides, steroids, hormones, and
anti-cancer drugs and their quality is internationally approved. The international offices of
Sun Pharmaceuticals Industries Ltd. Are located in British Virgin Islands, Russia, and
Bangladesh. In India, the offices are in Vapi, Silvassa, Panoli, Ahmednagar, and Chennai.
There are 3 major group companies of Sun Pharmaceuticals Industries are:
Caraco Pharmaceuticals Laboratories (based in Detroit, Michigan)
Sun Pharmaceuticals Industries Inc. (Michigan)
Sun Pharmaceuticals (Bangladesh)
Aurobindo Pharma
Aurobindo Pharma, an India-based private pharmaceutical company having presence around
the world. Aurobindo Pharma was set up in the year 1986 and started its operations in 1988-
89 in Pondicherry, India.
Now, the company is headquartered at Hyderabad,
India. Aurobindo Pharma is one of the most
respected generic pharmaceuticals and active
pharmaceutical ingredients (API) manufacturing
company of the world. Aurobindo Pharma operates
in over 100 countries across the world. Further, the
pharmaceutical major markets over 180 APIs and
250 formulations throughout these destinations. This Indian pharmaceutical major has filed
over 110 DMFs and 90 ANDAs for the USA market. So far, Aurobindo has received 45
ANDA approvals (both final and tentative) from USA alone.
Aurobindo Pharma products cover segments like –
Antibiotics,
Anti-Retro Virals
CVS
CNS
Gastroenterological
Anti-Allergics
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 18
Chapter 2
COMPANY PROFILE:
Parenteral: The dosage form for conveying a drug by means of injection through the skin or
mucous membranes.
Parenteral drugs are administered directly into the veins, muscles or under the skin, or
more specialized tissues such as the spinal cord.
Circumvented the highly efficient first line body defense that is skin and mucus
membrane.
Thus they should be free from microbial contamination and should have high purity.
Incorporated as a public limited company in Oct.'94, Sanjivani Parenteral is jointly promoted
by Anami H Khemka and a team of professionals in various fields of pharmaceutical
industry. The company is setting up a plant at Taloja, Maharashtra, to manufacture high grade
anti-biotics and life saving injectibles used in various infections, pre- and post-operative.
Sanjivani Parenteral and pharmaceutical plants are located on beautiful environmentally clean
30,000 sq. ft. facility at navi Mumbai. Today Sanjivani employs over 250 people and sales
field force of over 100 executives and managers and has a sales turnover of 690 million
contributed by a range of modern medical products which are sold all over India & abroad.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 19
The installed capacities for its products will be, 150 lac pa each for liquid vials and powder
vials and 73 lac pa for its ampoules, taking the total capacity to 375 lac pa. The company
came out with a public issue in Jan.'96 to part-finance the project. The promoters have
received firm enquiries from reputed pharmaceutical companies like Merind, Lupin
Laboratories and USV for the first year' production of liquid vials and ampoules. During the
year 1998-99, the Company has been approved by the WHO GMP Certificate. The Company
is hoping for export of its products in Africa, Europe & Latin America.
The Company has also tied up with Cadila Ltd., Alkem Ltd., Indian Immunologicals Ltd for
marketing its products. During the year 1999-2000, the company has tied-up with India's first
ranked pharmaceutical giant Ranbaxy for manufacturing its products.
2.1 Key Executives
Chairman & Managing Director Ashwin Khemka
Director Narmdeshwar R Chaube
Director Mahendra Kalwankar
Director Vinod R Goyal
Table 2.1 key executives of company
The company has grown many folds and aspires to be a respected research-based company.
With its diverse product portfolio, it is rapidly expanding its reach to the global marketplace,
riding on its success in India and in the
world’s emerging and developed markets.
After establishing itself in India, Sanjivani
has extended its reach globally by entering
the markets of Asia, Europe, Africa and
Latin America. The company has active
presence in countries like Russia, Ukraine,
Uzbekistan, Turkmenistan, Fiji, Vietnam,
Sri Lanka, Nepal, Malaysia, Thailand,
Nigeria and Peru, to name a few. Sanjivani
Parenteral has also got its plant approved by
the registration authorities of Congo, Sudan and Sri Lanka. It is making its presence felt in
the world market now, through leveraging its manufacturing capacity, quality of products and
international alliances.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 20
International business contributes about 30% of the company’s revenue and is set to grow to
more than 50% in the coming two years. This includes the sales of Sanjivani’s own brands
and the revenue from the contract manufacturing services that the company provides to its
overseas clients. The company is in the making of a strong base to broaden its horizons.
Sanjivani has been a regular supplier to the armed forces’ hospitals in India. Furthermore,
many government and private hospitals have availed of the products and services offered by
Sanjivani across the country. The company also has its own marketing operations in India
and boasts of over 1000 distributors all over India.
Dehradun
The company has recently started an oral solids plant in Dehradun and has begun
manufacturing tablets and capsules. The facility has a capacity of manufacturing 80 million
tablets per month and 25 million capsules per month. In continuation with the company’s
policy of having young and dynamic personnel, the plant boasts of a young team of scientists,
pharmacists and technicians, who are committed to the success of the new venture.
2.2 Key Products
Therapeutic Products
Animal Products
Key Products
Oral Solids
Animal Products
Animal Products
Sr.No Brand Name Composition Strength Presentation
1. SANTROPIN Atropin Sulphate 1 mg Vial
2. BROADCURE Amoxycillin + Cloxacillin 2 mg Vial
3. SANROFLOX Enrofloxacin 100mg/ml 30 ml, 50 ml Vial
4. SANMYCIN Gentamicin Sulphate 80 mg/2ml 10 ml, 30 ml Vial
5. GOVICEF Ceftriaxone Sodium 2 gm Vial
6. DEDRON Dexametasone Sodium Phosphate 4 mg/ml 30 ml Vial
7. SANFOS Toldimfos Sodium 200 mg/ml 30 ml Vial
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 21
8. SANMECTIN Ivermectin 10mg/ml 10 ml, 30 ml Vial
9. MULTIVET Vitamin A (as Palmitate) 250000 IU 10 ml Vial
Table 2.2(a) Key products of company
Key Products Key Products
Sr.No Brand Name Composition Strength Presentation
1. SANTAZID Ceftazidime 250 mg, 500 mg, 1 gm
Vial
2. CEFROBACTAM Cefoperazone Sodium + Sulbactum Sodium
1 gm, 2 gm Vial
3. BROADCEF Ceftriaxone Sodium 250 mg, 500 mg, 1 gm, 2 gm
Vial
4. CEFPH Cefpirome Sulphate 1 gm Vial
5. SANROXIME Cefuroxime Sodium 750 mg, 1.5 gm Vial
6. SANCLAV Amoxycillin Sodium + Clavulanate Potassium
600mg, 1.2 gm Vial
7. SANTAZ Piperacillin Sodium + Tazobactum Sodium
2.25 gm, 4.5 gm Vial
8. SANOCEF Cefotaxime Sodium 250 mg, 500 mg, 1 gm
Vial
9. PENEM Meropenem Trihydrate
500 mg, 1 gm Vial
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 22
10. CILASPENE Imipenem + Cilastatin Sodium
500 mg Vial
11. S-PIME Cefepime Hydrochloride
500 mg, 1 gm Vial
12. BROADCEF - T Ceftriaxone Sodium + Tazobactum Sodium
1.125 gm Vial
13. BROADCEF – S Ceftriaxone Sodium + Sulbactum Sodium
375 mg, 750 mg, 1500mg
Vial
14. SANOCEF - S Cefotaxime Sodium
+ Sulbactum Sodium
750 mg, 1500 mg Vial
15. MERINEURON Thiamine Hydrochloride
10 mg 2 ml Amber Ampoule
Riboflavin Sodium 0.5 mg
Pyridoxine Hydrochloride
2 mg
Cyanocobalamin 300 mcg
Calcium Pantothenate
1000 mcg
16. VITAMIN B COMPLEX
Thiamine Hydrochloride
10 mg 2 ml, 3 ml Ampoule, 10
ml Vial Riboflavin 2 mg
Pyridoxine Hydrochloride
2 mg
Niacinamide 100 mg
D-panthanol 5 mg
17. MONOVIT Thiamine Hydrochloride
2.5 mg 200 ml Syrup
Riboflavin Sodium Phosphate
2.5 mg
Table 2.2(b) Key products of company
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 23
2.3 Management Message
Since its inception, Sanjivani has chosen to build on a vision to become a key player in the
global pharmaceutical market. Working towards this vision, Sanjivani has, in the extent of
11 years, notched up an impressive presence in over 15 countries of the world. All this is
thanks to a vast marketing and distribution network and a work force capable of and
equipped for international marketing challenges.
Their core strengths are :
1. Manufacturing capability
2. Focus on Technology and Quality
3 .In-house research activity
These strengths give them an edge in the market,
since very few companies have this combination of
capabilities. Having laid the groundwork for growth,
the company looks forward to picking up greater growth momentum from the years ahead, a
time that all of us look forward to with excitement and anticipation.
Primary Focus Areas
They provide solutions by focusing on three extremely fundamental areas that enable us to
provide better products.
Focus on Quality
The famous management guru Peter F. Drucker once quoted, “Quality in a product or service
is not what the supplier puts in. It is what the customer gets out and is willing to pay for. A
product is not quality because it is hard to make and costs a lot of money, as manufacturers
typically believe. This is incompetence. Customers pay only for what is of use to them and
gives them value. Nothing else constitutes quality.” That sums up their quality policy.
Focus on the Customer
Customer is at the core of their values. Customer satisfaction is primary objective. They
ensure that all the customer requirements are met at the time of providing a product or
service. They would credit their customers for the growth of the company, who have trusted
them for their quality, recommended areas of improvements, whenever required and boosted
our business over the years. Their Complaint Handling Cell is very efficient. They
communicate to the concerned party in less than 48 hours of hearing from them and the issue
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 24
gets resolved at the earliest. This demonstrates their commitment to the customer and quality
of service.
Focus on Us
They believe in their experience and expertise in manufacturing pharmaceutical products and
offer them to government agencies, hospitals, NGOs, other types of organizations and
Individuals. Their customers are offered highest quality and affordable products to fulfill
their requirements. They constantly work to provide the best possible solutions to their
esteemed customers, through research, technological innovation & up gradation and in-house
and out-bound training programmes.
Corporate Governance
Corporate Governance reflects the quality of the management in a company. It is a mirror
image of the organization’s culture, policy and the method in which the organization deals
with various stakeholders. Sanjivani is committed to high standards of Corporate Governance
and ethical business practices.
Information Sharing is the key to Corporate Governance. Apt and precise disclosure of
information regarding a financial position, accounting policies, business performance,
ownership and governance of the company is an important part of Corporate Governance.
Corporate governance is critical to boost and preserve investor trust. Sanjivani has developed
Corporate Governance guidelines to empower the Board to evaluate and review the
performance of the Company.
2.4 LOCATIONS OF OFFICES
Sanjivani Parenteral corporate office is present in Bhandup while Manufacturing Plant is
present in Rabale and Dehradun. The addresses of these offices are as below:
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 25
Corporate office:
Sanjivani Pharmaceuticals
205,P.N.Kothari industrial Estate,
L.B.S. Marg; Bhandup (West)
Mumbai-400 078
Phone:+91-22-67290900/67974270
Manufacturing Plants:
Mumbai Plant Dehradun Plant
R-40 , TTC Industrial Area Plot No. 323/1 , Near Central Hope Town
Rabale , Navi Mumbai – 400 701 Camp Road , Selaqui
Maharashtra , India Dehradun- 248197
Phone : +91-22-66888700 Phone : 0135-2698691
Table 2.3 manufacturing plants address
2.5 COMPANY’S BUSINESS DIVISIONS:
Sanjivani Parenteral ltd. Manufacturing Plant is at Rabale (Mumbai) where production of
various injectibles, sterile powder and suspensions is done whereas at Dehradun Plant
production of tablets and capsules for domestic market as well as for Export.
Different departments working in the head office are
1. Marketing and Sales
2. Human Resources
3. Financial Accounting & Revenue Assurance
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 26
4. Administration
5. Procurement & Logistics
6. Quality Control
7. Quality Assurance
8. International Business (Exports)
9. Maintenance
10. Production
11. Regulatory
Research & Development
A special emphasis is put on research activities at Sanjivani. A team of scientists work
continuously for new product development and technical advancement activities. They take
care of the Research & Development activities for Sanjivani. It is in the vicinity of the
production plant, so that the production and research teams can continuously work in
tandem. It helps the company with the patent drafting and filing, regulatory support for APIs
and formulations and finding various techniques for reducing the cost of the products, so that
the end-user gets benefitted by it.
The facility has well established Analytical Laboratories equipped with sophisticated
analytical instruments such as Liquid Chromatographs and Gas Chromatographs. The
laboratory provides cost reduction, regulatory and patent drafting & filing services to other
companies as well. A strong and reliable platform of confidentiality has been created for
intellectual property protection.
Quality Process & Assurance
Quality Policy
Quality has been the forte of Sanjivani since its beginning in 1997. It has been one of the
biggest factors for growth. Total commitment to quality, coupled with international exposure
& expertise of technology, helps us in our efforts to grow globally. At the core of our Quality
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 27
Philosophy is the commitment to achieve a level of perfection that matches the highest
international standards.
Sanjivani’s high-tech laboratory set up is equipped with facilities for chemical and
instrumental analysis. Capable of undertaking the most comprehensive tests, the laboratory
has equipment sourced from internationally renowned suppliers. This facility is validated as
per international regulatory authorities' expectations. A dedicated validation team works
continuously to achieve the highest levels of quality in production and ensures the same.
Quality Assurance
There are separate teams for quality assurance (QA) and quality control (QC) to achieve
quality throughout the production process. These teams ensure that the core value of the
company, of providing the highest standards of quality, is protected.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 28
Chapter 3
COMPANY’S MARKETING & DISTRIBUTION:
Sanjivani Parenteral follows push strategy with robust distribution system as follows:
Figure 3.1 Distribution chain of parental products
The sale generated by company to distributor is termed as Primary sales.
Cost of the distribution from manufacturing plant till the stockiest is borne by the
manufacturer. Price to Stockiest (PTS) , Price to Retailers (PTR) are the terms used in the
industry. Sub stockiest would get the stock from stockiest and operate on 8% commission till
they establish themselves as a big player and qualify for getting a stockiest license from
manufacturers. Retailers get 15 – 20% margins based on type of drugs, generic/branded/price
controlled and even more on counterfeit drugs.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 29
Sanjivani doesn’t believe in advertisement. It has aggressive and vibrant field force to
promote their products in the market especially to stockiest, retailers as follows:
Table 3.1 Levels of managers in distribution process
The sale generated via this channel is termed as Secondary sales.
3.1 HOW DOES SANJIVANI PARANTERAL SALES & MARKETING FUNCTION
Pharmaceutical Sales and Marketing processes can be classified under three main categories:
� Business-to-Business
� Marketing
� Sales
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 30
B2B: The burden of winning large deals lies on B2B sales. B2B specialists constantly work
with large hospitals, clinics, managed care, and ILTC facilities to build and sustain long-term
relationships and negotiate multi-million dollar contracts.
Marketing: Pharmaceutical marketing is a strategic function. The marketing efforts vary
from campaigning for a new product launch to conducting Direct-to-Customer road shows
promoting patient awareness.
The organic growth of the internet and google-ization (extensive internet searches using
engines such as Google) of masses has made the consumer highly informative and curious
about patient treatment. The traditional DTP route of marketing the drug to the doctors has
gradually yet significantly shifted to innovative DTC marketing.
The pharmaceutical consumer marketing in itself is more challenging than conventional
DTC. As shown in Figure consumer marketing is any intervention that influences consumer
attitude/behavior towards an Rx product. This makes it more complex as compared to
marketing in other industry sectors. The subtle marketing channels such as gaining interest of
various thought leaders to generate favorable ideas on a drug are being employed by almost
all pharmaceutical majors.
Figure 3.2 Sales & Marketing function
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 31
Sales: Pharmaceutical sales force is perhaps the most dynamic work force across all verticals.
Sales function today is not just about sampling and detailing the drugs to the doctors. It has
taken a whole new dimension in using the latest technology and multimedia to target the most
influential physicians and converting them into high volume prescribers.
3.2 SANJIVANI PRODUCT LIFECYCLE
Pharmaceutical marketing activities depend largely on the stage in which a particular product
is within the product lifecycle. Following represents a generic product lifecycle of sanjivani.
(Products may vary greatly and the lifecycle stages may not manifest uniformly for all
products) Product Name (PENEM)
1. Introduction Stage: Penem is introduced to
the physician’s cures a disease in a
different manner than existing products.
At this stage, sales future is uncertain and
direct competition is very low.
2. Growth Stage: This new product receives
widespread acceptance from the medical
community and number of
competitors increase. Promotion
activities at this stage focus on
advocating their own brands and
sales volumes increase.
3. Maturity Stage: The
effectiveness of the product is
well established at this stage and
promotional activities focus on
selling the product to large
volume buyers. Competition on
the product line reaches an all
time high
4. Saturation Stage: The product is typically used for all indications it is found useful for
at this stage. A number of product variants such as dermatological, tablets, capsules
etc. appear and promotional activities focus on adding extra value.
5. Decline: Decline may or may not happen and is primarily caused by identification of
certain areas where the product was thought to be effective but is not. Some
competitors leave the market at this stage.
Figure 3.3 PLC of Parenteral products
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 32
3.3 SWOT ANALYSIS OF SANJIVANI PARENTERAL
Strength
Weakness
Well-qualified and established entrepreneurs
Easy and cheap workforce availability
Locational Advantage – Strategically well
placed, connected to other states by road, rail
and air
Availability of number of Financial
Institutions, Banks etc
Industrial City and Commercial Capital of
India
Availability of Educational/Technical
Institutions/Collages/University
Low R&D Costs
Easy availability of Raw material and other
related material
manufacturers/suppliers/service providers
Trust level in the cluster is very low
Old and Traditional Technology
/manufacturing processes in most of the
units affecting productivity
Under utilization of financial facilities
Poor coordination with Government
bodies and other related Organizations
Presence of Number of Associations
Low level of strategic planning for future
and also for technology forecasting
No strong linkage between industry &
academia
One of the least penetrated markets in the
world. Mainly rely on exports because of
slow growth
Opportunities
Threats
Having good number of Hospitals and Doctors,
opening avenues for direct supply
Availability of MNCs – Good opportunity for
loan licensees
Growth in the emerging branded generic
market
Contract manufacturing arrangements &
globalization will act as additive for easier
international trading
Spreading attitude for soft medication (OTC
drugs)
There is a huge potential for the development
of India as a centre for international clinical
trials
Better utilization of Trade House Dawa Bazaar
for domestic market
Implementation of WHO – GMP norms
Stiff competition due to WTO norms and
arrival of MNCs
Commencement of Product Patent law in
near future
Dependency on Government Supply
Shortage of water and electricity
Capturing market by other countries at
low cost with good quality
High Cost of discovering new products
and fewer discoveries
Stricter registration procedures
Spike in raw material prices, Accelerated
generalization & intensified competition
The MRP based excise duty regime poses
a threat to the existence of many small
players.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 33
3.4 MARKETING MIX OF SANJIVANI PARENTERAL LTD.
Marketing is the task of creating, promoting and delivering goods and services to consumers
and businesses. Organizations identify and profile distinct group of buyers who might prefer
or require varying products and
marketing mixes. The customer
seeks for value and satisfaction.
The organizations can increase the
value of the customer offering in
several ways e.g. raising benefits,
reducing costs etc. marketing mix
is a set of marketing tools that the
firm uses to pursue its marketing
objectives in the target market.
These marketing tools are known
as 4 p’s of marketing.
To identify the customer needs
and fulfilling hem is the basic objective of an organization. Marketing is not just satisfying
your customers, you have to delight them and this can be done by acting upon this phrase.
Sanjivani provides a winning combination of products to its prime customers. It is one of the
country’s small scale parenteral, but which ensures complete Aspetic,Sterile and quick
actionable in all injecteble products.
PRODUCTS
A product is anything that can be offered to a market to satisfy a want or need and a service is
an act or performance that is essentially intangible and does
not result in the ownership of anything. What products have
to be offered to the target market depends on the market
requirement and also the organization’s profits. The
organization will offer those products, which result in
maximum profits and minimum costs.
Sanjivani offers a diversified line of products to its
customers. The unique products offered by Sanjivani are as
follow:
Figure 3.4 Marketing Mix of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 34
PRODUCT PREVENTING DIESEASE PACK
INJECTABLE RANGE
PENEM Septicemia,
Pneumonia (HAP/VAP)
1 gm , 0.5 gm , 125 mg
SANTAZ Neonatal sepsis,
Nosocomial infections,
Febrile Neutropenia
4.5 gm , 2.25 gm ,
1.125 gm
BROADCEF-T Surgical prophylaxis,
Intra abdominal infections,
Pre-post operative conditions
1 gm , 500 mg , 250 mg
BROADCEF Typhoid , Meningitis
Surgical prophylaxis , SSIT
250 mg , 1000 mg
CEFROBACTUM Peri-operative cases,
Gynecological infections,UTI
2 gm , 1.5 gm , 1 gm ,
500 mg
SANCLAV Acute sinusitis , Pharyngitis,
Tonsillitis
1.2 gm
PRAZOSAN Acidic conditions 40 mg
SANMICA Septicemia , UTI
Febrile neutropenia
500 mg , 250 mg , 100 mg
TABLET/CAPSULE RANGE
SANCLAV Pneumonia , Tonsillitis 625 mg
ZUCAF-CV UTI , Typhoid , RTI 325 mg
PRAZOSAN-DSR Ulcer , prevent injury of stomach 10×10 cap
PRAZOSAN Heart burn , GERD 40 mg
TYDOL Post operative pain 10×10 Tab
SANFLOX-O PID , Diarrhead dysentery 10×10 Tab
SANCALVIT Arthritis , Osteoporosis 10×10 Tab
LIQUID RANGE
ZUCAF-CV dry syrup RTI , SSTI 50 ml
SANCORIL Productive cough 100 ml
HEVIT Iron Tonic Anaemia in pregnancy 200 ml
MONOVIT Vit-B Syrup Pregnancy & Lactation 200 ml
SANCALVIT SYRUP Hypocalcaemia 200 ml
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 35
PRICE
The prices and the margins of drugs for the wholesaler and retailers are largely decided by the
National Pharmaceutical Pricing Authority (NPPA), which varies depending on whether the
active constituent of the product is a scheduled drug or a nonscheduled drug. Scheduled drugs
are price controlled whereas nonscheduled drugs are not.
The NPPA is an organization of the government of India established to fix or revise prices of
controlled bulk drugs and formulations. Companies must keep drug prices affordable to the
general public. To keep medicines within reach of the poor population, the government has
covered 76 scheduled drugs.
Hospitals and large institutions sometimes directly negotiate with the manufacturing
company and get the drugs in their pharmacy at lower costs. Stockiest compete with each
other in a given city. Generally, hospitals order large quantities and can negotiate with
stockiest, who provide payment terms, credit periods, and margins. Further, retailers and
distributors form associations locally and nationally, and manufacturing companies must
comply with their terms.
For example, in many states when a company launches a new product (either branded or
generic), to make that product available in the pharmacy, the company has
to pay commissions to the chemist (pharmacy) association. On receiving the commission the
association will issue a no-objection certificate, which is mandatory for any company to make
their product available in the market.
PRODUCT PRICE (Rs) PRODUCT PRICE (Rs)
PENEM-1gm 1100 MONOVIT Syrup-200 ml 58.00
SANTAZ-4.5gm 308.0 SANCALVIT SYRUP 60.00
BROADCEF-T 1.2 gm 145.0 SANZOLE-10 ml 22.50
BROADCEF-1000 mg 62.40 RITONE-4.5 ml 170.0
CEFROBACTUM 124.80 SANPON-200 ml 62.00
SANCLAV-1.2 gm 130.0
PRAZOSAN 40 mg 54.00
SANCLAVIT-(10 tab) 28.00
ZUCAF-(10 tab) 81.90
PRAZOSAN-40 mg 54.00
HEVIT Iron Tonic-200 ml 58.00
Table 3.2 prices of key products
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 36
PLACE
SPL has the strongest domestic distribution network for smoothing distribution of medicines
to North parts of the country. Currently it has 9 depots all over the country. Those are situated
at Maharashtra, Patna, Cuttack, Raipur, Ranchi, Agra, Varanasi, Lucknow, and Indore. It uses
own transport system to deliver its Product to the stockiest and retailer.
SPL also exports its products to 12 countries
Present export market covers:
Russia Sri Lanka
Ukraine Nepal
Uzbekistan Malaysia
Turkmenistan Thailand
Fiji Nigeria
Vietnam Peru
Table 3.3 global markets of SPL products
Figure 3.5 Export Market of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 37
PROMOTION
Public advertisement for medicine, especially POM drug is strictly prohibited in India. But it
may be done for OTC medicine to some extent. However, no pharma company in India is
engaged in such advertisement.
SPL heavily depends on personal selling through rapport building and maintaining. A team of
sales representatives, called MR have been employed to meet with physicians to explain the
merits, demerits, indication, contraindications, etc. of the medicine with the help of literature,
brochure, pad, booklet, leaflet, gift item etc. That is, the Medical Representative the
companies product to doctors front with the help of different promotional materials. If a new
drug is to be more expensive, then it needs to demonstrate that its superior performance is
worth it.
Its promotional activities can be illustrated as follows:
Promotional compliance
includes:
• Advertisements and
mailings
• Detail Aids, brochures
and others
• Internet sites
• Exhibition panels, videos
and others
• Gifts, samples and
others
• Reprints and others
• Hospitality
• Representative’s
• Meetings/Symposia
• Public Relations
• Any other
communication
Figure 3.6 MR strategy of promotion
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 38
SPL Company has 16 divisions based on therapeutic area and the sales force structure is
common for most of the prescription drugs
Sales force functions based on the therapeutic area. Each representative has to make 10 visits
to a doctor in a day, 240 visits in month.
The below image depicts a sample function of a Scientific Business Officer from company
SPL working for Urology Division in Mumbai.
Figure 3.7 Target of MR
SPL also launch schemes and offer gifts for brand promotion. The sale in scheme period may
sometime go up by 3-4 times (at times much more) than the usual monthly sale. It precedes
and succeeds by a much lower sale due to
drying up and over filling of the stock
pipeline.
Promotional activities exclude:
• Medical Information
o Responses to specific enquiries
• Shareholder/business communications
o Prescribed Information
• Patient Information Leaflets
o Price Lists
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 39
Chapter 4
STRUCTURE OF THE HUMAN RESOURCE DEPARTMENT
ORGANIZATIONAL STRUCTURE:
. Figure 4.1
Production Head
QC Lead
Store Dept.
Regulatory Leads QA Team Lead
Powder Department Head
Marketing Manager HR Manager
Finance Executive
Excise Head
Maintenance Dept.
Packaging Dept. Head
Logistics & Distribution
Liquid Dept. Head
Microbiology Lab
Product Devt. Head
Chemists
Purchase Dept.
CEO
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 40
4.1 Objectives of HRM in SPL
The general objective of HRM is to contribute towards the realization of the
organizational goals. The specific objectives of HRM may be listed as follows:-
To achieve and maintain good human relationship within an organization.
To enable each person to make his maximum personal contribution to the effective
working of the organization.
To ensure respect for human personality and the well being of each individual.
To ensure maximum individual development of personnel.
To ensure satisfaction various needs of individuals for achieving the maximum
contribution towards organizational goals.
Figure 4.2
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 41
All manufacturing units are staffed with adequate number of Professionals related to
Pharmaceutical sciences in accordance with WHO guidelines in order to produce good
quality, safe and effective drugs and pharmaceuticals. Adequate number of other supporting
trained and skilled technical personnel is employed for smooth functioning of the
manufacturing plant.
SPL has a dedicated team of adequate professionals for smooth functioning of the company
4.2 PROCESS OF HRP:
SPL use the information which was gathered from external environmental scanning
and assessment of internal strengths and weaknesses is used to forecast HR supply and
demand in light of thee objectives and strategies. Forecasting in SPL contains information
from the past and present to identify expected future conditions. Because of the rapid changes
in the political, economical & global changes, SPL mainly emphasize on short term
forecasting usually of 4 to 6 months durations.
Despite the availability of vary sophisticated techniques, forecasting in SPL is still
objective judgment. The facts are some times evaluated and weighed by knowledgeable
individuals, such as managers and HR experts, and some times not.
Figure 4.3 HRP in SPL
SPL Objectives & Strategies
Forecasting
SPL HR Plans
Internal Environment Scanning External Environment
Scanning
Survey Of Employees
Available Survey Of Employees Needed
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 42
SPL uses surveys to find out the present employees, their strength and experience and
then find out the no of required employees in near future. This gives the organization the
ability to cope with future need of employees. But the same is not true for high level
employees such as Pharmacists, Chemists, Analysts, Officers & Managers. SPL does not
have a valid planning for higher level officers. As a result there is always a shortage of
skilled, technical & experienced top level officers as indicated by the following table.
No. Ranks Available Required
1 Dept. Heads 07 10
2 Chemists 06 07
3 Purchase dept. staff 02 03
4 Ware House Officers 02 03
5 Accounts Sections 06 06
6 Maintenance Staff 07 02
7 Inventory Control 02 06
8 Logistics Officers 01 02
9
10
Analysts
Manager
08
01
07
02
Total Officers 42 48
Table 4.1 No. of employees department wise
4.3 SOURCES OF RECRUITMENT:
INTERNAL RECRUITMENT:
Internal recruitment seeks applicants for position from those who are currently employed.
Internal sources include present employees, employees referrals, former employees and
former applicants.
EXTERNAL RECRUITMENT:
i. Advertisement:
These constitute a popular method of seeking recruits as many recruiters prefer
advertisement because of their wide reach. Advertisement is local or national newspapers and
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 43
trade and professional journals is generally used when qualified or experienced personnel are
not available from other sources .Most of the senior position in industry are filled by this
method when they cannot be filled from within.
ii. Educational Institutional:
Direct recruitment from pharmaceutical colleges for jobs which require pharmacy
qualification has become a common practice a close liaison between the company and
educational institutional helps in getting suitable candidates to main various positions.
iii. Internet:
Job sites like naukri.com can be used to reach certain type of job applications such as
skilled workers. They provide 20,000 resumes in 5000rs.
4.4 EMPLOYEES RECRUITMENT & SELECTION:
“SELECTION PROCEDURE”
Once the forecast is developed and approved from the top management, the HR
department of SPL start Recruitment &
Selection process to fill the vacancies.
Like all good plans, HR Manager of SPL
builds employment plans on premises. Basic
assumptions for employment requirement by
forecasting contain three important things:
The supply of inside candidates;
Personnel needs;
The supply of outside candidates
according to their company requirements.
The overall aims of the recruitment and selection
process in SPL are to obtain, at minimum cost,
the number and quality of employees required to
satisfy the needs of staff requirement. The three
stages of recruitment and selection in SPL are:
Defining requirements:
Preparing job descriptions and specifications;
deciding terms and conditions of employment;
Attracting candidates: Reviewing and evaluating alternative sources of
applicants, inside and outside the company, advertising;
Selecting candidates: Sifting applications, interviewing, testing, assessing
candidates, offering employment, obtaining references; preparing contracts of
employment.
Figure 4.4
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 44
4.5 TRAINING & DEVELOPMENT:
Training is one of the most important tool any organization using to cope with the rapid
change in technology and way of doing business. HR department of SPL is responsible for
the training and Development of existing as well as new coming employees.
The difference between the training of new and existing employees are orientation
and SPL culture.
When a new employee is selected, an orientation of the new employees is conducted.
Production Manager is responsible for the orientation of new employees. Orientation is
basically a one to two hour activity in which the new employees are informed about the
organizational structure, term & conditions of employment, the duties of incumbent, the
ethical & behavioural requirement for the new employee and the so. This activity is only
design for the officers and managers. Workers & employees of lower level are exempted
from orientation. As a result most problems are observed at this level during day-to-day
transaction.
New or Existing employees are trained in HR Department via two methods.
Employees Handbook
Training by concerned department Manager.
The period of training is not specified, some times it covered in a week some times it
is extended up to 6 months.
4.6 PERFORMANCE MANAGEMENT:
Employee’s job performance is an important issue for all employers. A performance
management system consists of the processes used to identify, encourage, measure, evaluate,
improve, and reward employee performance at work.
SPL encourage their employees to achieve high level of excellence i.e. in
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 45
Quantity of output
Quality of output
Timeliness of output
Presence at work
Cooperativeness
These excellences are appreciated by the management at their monthly meeting with
their employees and in the form of shields and awards. However all these activities are
qualitative in nature. The activities of employees are recorded on the basis of observation
made by the management officials from time to time. There is also maintenance of
performance log. However critical incidents are recorded on rough pages for the future need.
4.7 EMPLOYESS COMPENSATION & BENEFITS:
SPL Pharmaceuticals currently Lower compensating there employees with respect to other
industries present in Mumbai.
SPL have a different pay structure for different level of employees and also
employees of same level. i.e. Head of two departments are paid two different type of
compensation.
HR department is responsible for pay and pay related issues. It was also found that
salary determination in SPL is a matter of bargaining. i.e. SPL pay 9500 Thousand to an
analyst while at the same time pay 15000 to other analyst working in a same post.
SPL creates 2 categories for their employees. Exempt & Non-Exempt. SPL pay
overtime to its non-exempt employees who work in excess of 8 hour and are one & half times
there base pay. Almost all officers, managers, directors & executives are exempt from
overtime allowance.
There is also shift premium and night allowance for workers. The pay structure changes in
SPL with that of based on seniority and not on performance.
Employees Categories
Exempt Employees
Non-Exempt Employees
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 46
4.8 TYPES OF COMPENSATION & BENEFITS:
There are only one type of pay structure is available for the lower level employees. i.e.
base pay. No other direct & indirect pay & benefits are provided to the employees. For the
lower level employees SPL is giving time base pay i.e. every employee have to work for at
least 9 hours a day after which he has subject to receive his pay at the end of month. No
portion of the pay is directly or indirectly associated with the pay. As a result motivations of
the employees are low.
The composition of salary of lower level employees consist of :
Basic Salary
Overtime
Indexation allowance (For workers having salary less than 2500 rs/month)
Basic Salary
Cost of
Living
Allowance
Overtime
Attendance
Allowance
Indexation
Allowance
Composition
of Salary
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 47
SPL pay a higher wage to his high level employees. The composition of the salary given to
these employees consists of:
Gross Salary
Basic Salary
House Rent
Transportation Allowance ( usually between 300 to 500 rs/day)
Cost of Living Allowance
Internet Allowance (300 rs/day)
Medical Allowance
Bonus (8.33% of salary)
Education Allowances
Deductions
Loan Instalments
Provident Fund (12% of basic)
ESIC
Benefits
The following benefits are being paid.
ESIC ---------------------------------
4.75 % of wages
Advance against salary------------- up to one third of salary (For all employees)
Medical allowance ----------------- 4% of Salary
Loans
The employee is given loans as per the loan policy mentioned in the Service Rules. The
employees submit their application for loan approval to HR department after the approval of
the Managing Director the loan is granted to the applicant
4.9 LABOUR MANAGEMENT RELATIONS:
Labour-Management relation in SPL is an ideal one. The employees are just satisfied
the management style. Thus we can say that the organization keeps normal relations with its
employees. There are two-way communications methods in SPL. Several features of Labor-
Management relations are
Figure 4.5 Performation Appraisal in
SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 48
Every employee has the right to come to meet his immediate BM for his problem. If
his BM cannot satisfy the employee, then employee can go to HR department for his
problem.
Some Department held meeting on monthly basis in which head of Dept and first line
BM, ABM & RM meet to employee and discuss about the previous performance of
Dept & individual performance. At the end the decisions are made to enhance the
individual performance by facilitating the employees.
The company treats all employees with respect and dignity, no employee is subjected
to any gesture, language and physical contact that are sexually coercive, threatening,
abusive or exploitative.
Discipline Procedure:
Warning are addressed to the employees verbally and in written through their
immediate RM. The warning referred to the contraventions committed by the
employee and served to remind the employees the he/she abide by the company rules
and regulations in performing his/her work, and that this contravention should not be
repeated in future.
A written letter addresses to the employee describing the contravention committed.
The employee is also notified that a higher penalty may be inflicted on him in the
contravention is repeated in future. The warning letter is then registered in the
employee’s personal file. Issuance of written warning can be recommended by the
respective supervisor and Head of Department. It will be issued by the HR department
after approval of Chief Executive Officer.
The employee may be suspended from performing his or her duties for a period of
time as conveyed in written.
Unauthorized absence of more then two times in Six month can result in termination
of employment.
An employee who is absent from the job with out satisfactory explanation and
necessary proof is considered to be an unauthorized unpaid absence.
Discrimination, intimidation and harassment based on sex, race, religion, age, color,
disability, sexual orientation and cultural background is prohibited at the workplace.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 49
Chapter 5
Operation and Production
Production is a functional area responsible for turning inputs into finished outputs through a
series of production processes. The production manager is responsible for making sure that
raw materials are provided and made into finished goods effectively.
Lay out:
Figure 5.1 Layout of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 50
5.1 Material movement in production area:
Chemist room
It is an area where all workers, machine operators and officers meet daily at the starting time
of their respective shift to plan complete schedule and allocate work activities.
In the room one white board displays 1 month projected manufacturing schedule of
production department in following format.
Figure 5.2
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 51
Sr,
no.
Mfg. date Filling
date
Product name Batch no. Batch size Remarks
1 15/05/2012 16/05/2012 Emtec 2ml SRA 205 200 liter Domestic
2 16/05/2012 16/05/2012 Sanmycin 2ml SGT 206 150 literr Export
Table 5.1 Format of mfg. schedule
All officers have been affix label on glass window of concern area, to demonstrate current
operation of area in following fix format.
BATCH IN PROCESS
DATE:__/ __/ 201_
PRODUCT NAME
BATCH NUMBER
BATCH SIZE
MANUFACTURING SIZE
EXPIRY DATE
STAGE
CHECKED BY
Table 5.2 Format of label used in each dept.
5.2 BMR (Batch Manufacturing Record)
It is a file which contains all the details of batch starting from raw material receiving to finish
good dispatch. BMR preserved for 1 year more than expiry date of batch
Content of BMR:
Sr. no. Title Sr. no. Title
1. Product name 13. Washing of PPM
2. Generic name 14. Mfg process detail
3. Strength 15. Filtration detail
4. BMR status 16. Filling detail
5. Effective date 17. Sterilization detail
6. Supersedes 18. Calculation
7. CC no. 19. Accountability %
8. Batch size 20. Yield %
9. Material pick up list 21. Visual inspection record
10. Master formula 22. History date
11. Signature log 23. Cycle time
12. Verification sheet 24. Packaging & labeling
Table 5.3 Format of BMR making by production dept.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 52
5.3 Introduction to areas of production department
a. De cartooning area
Here primary packing materials like ampoules and vials are received. Workers arrange
ampoules or vials into perforated plate which are directly sent to washing area through hedge.
There would be normal pressure and room temperature would be maintained.
b. Ampoules / Vials washing area
In this area ampoules and vials are being washes in two step process
1. Inner wash: by help of purify water, water for
injection and compressed air one by one.
2. Outer wash: by help of purify water &
water for injection one by one.
Temperature of washing area should NMT 27o C & pressure NLT 0.4 mm of WC. (WC =
water column) 23
PROCESS
Water is sprayed onto the ampoules.
Turned to an angle of 180 degree with their mouth downward to remove water.
Finally the ampoules are filled with compressed air to remove residual water.
Certain machines have a high temperature zone meant for killing any bacteria.
c. Equipment washing area
Here parts of
equipment or tanks
has to be cleaned
with help of purify
water and then
water for injection.
Temperature of
washing area
should NMT 27o C & pressure NLT 0.4 mm of WC (= water column)
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 53
d. Dress washing area
Equipment has capacity to process 30 pairs of dress at once. Normal room temperature and
humidity would be maintained here.
e. Autoclave & DHS (Dry Heat Sterilization)
area
Material or equipments used for preparation of
parenteral products must pass through autoclave
or DHS, for sterilization.
This process leads to denaturation of protein of
bacteria, results in death of bacterias. Autoclave
wiil lead to coagulation of protein of bacteria.
It has temperature NMT 27o C & humidity NMT 55%. Temperature will be automatically
recorded and printed at regular interval of 3 minutes.
f. Manufacturing area
Here active ingredients &
recipient of final product
have been mixed according
to procedure of BMR.
Manufacturing area has to
send in process sample of
30 ml for approval of QC
department.
In this area temperature,
humidity, pH order of mixing and other parameters has to be followed strictly.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 54
g. Filtration area
Bulk solution or suspension is filtered through membrane or cartilage filter by help of
nitrogen gas with pressure of 0 to 2 Kg/cm2. Efficiency of filter is calibrated by bubble point
test.
h. Filling and capping area
In filling area Product is filled in respective containers.
There are 3 different types of filling tube
Stainless steel, Glass & Silicon.
Tubes have been washed by ultrasonic
machine. (By help of vibration)
Initial 5 vials or ampoules have been discard
in following cases:
Initial machine startup.
Completion of maintenance
work.
Replacement of syringe &
needle.
Shift change.
Each & every carton contain FO number
(Filling operation)
FO number will be changed in following
cases:
Any interruption.
Take more than 1 day for filling
Power failure of more than 30 minutes.
Change in filling syringe.
Breakdown for more than 120 minutes.
Change in fill volume.
In the filling process control
limit (Standard of company) is
+/- 1.5% and tolerance limit
(Standard of industry) is +/-
2%.
In UTL, excess amount of drug is
filled than labeled volume in
pharmaceutical industry as follows:
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 55
Sr. no. Labeled size
(ml)
Recommended excess volume
Mobile liquid (ml) Viscous liquid (ml)
1. 0.5 0.1 0.12
2. 1 0.1 0.15
3. 2 0.15 0.25
4. 2.5 0.17 0.3
5. 3 0.20 0.35
6. 4 0.25 0.4
7. 5 0.30 0.5
8. 10 0.50 0.7
9. 20 0.60 0.9
Table 5.4 Excess volume labelled
i. Visual inspection area
In this area each & every ampoules or vials have been checked by trained workers
manually.
Each worker gets target to
complete within one shift, target is depend
on type of product.
Visual department require
minimum 22 workers.
Each worker has to be submitting eye
report from government hospital.
Each worker gets 20 minute break after
every 2 hours.
Workers have to be properly trained
properly for 1 week.
Company takes on test for 100 ampoules,
in which qualifying criteria is 97% accuracy.
Up to one week 100% cross checking is
takes place.
Workers are generally reject products
having following errors:
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 56
Fiber NMT 2 Low dose Improper sealing Damaged bottle
Black particle High dose Without seal Melt cake
White particle Black oil Without rubber stopper Others
Table 5.5 Format of rejected products labeling
At the end of visual of any batch, area has to prepare statistical sorting report in following
format:
Container
no.
No. of
units
Inspected
by
Sample
qty.
No. of
rejection
Sorted by Types of
rejection
Remark
1 294 DJV 3 Nil SAM NA NA
2 294 SRV 3 Nil SAM NA NA
Table 5.6 Format of sorting report
Temperature measurement record.
Sequential log sheet.
Daily visual inspection record.
Manpower attendances register.
Training record file.
j. Freeze dry area
It works on principle of “Lyophilization & Sublimation”
This process has capacity to remove moisture from product by converting moisture in
ice and then directly convert to vapor by passing liquid stage.
Freeze dryer is from “Lyovac
company”.
Product has been load at 5 0C at
loading temperature.
In first stage freeze dryer lower
temperature up to -40 0C, so
moisture in product will be
converting to ice.
Silicon oil is used to lower and
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 57
maintain temperature up to -40 0C, because structure of silicon oil will remain same
from -56 0C to +260 0C.
Now in second stage temperature will increase at uniform rate.
Vacuum of 0.05 millibar will be applied to remove vapor of moisture.
Cycle time & temperature will vary with types of product.
This freeze dryer has 200 liter capacity.
EX: Lupride depot is freeze dried product; UTL is only Manufacturer Company in India.
FD area has planning schedule on the board in following format:
Sr. No. Product
name
FD load
date
FD unload
date
Batch no. Batch size Remark
1 Diclomine 08/5/12 10/5/12 SDC 205 200 ltr. Primary
2 Netlisan 10/5/12 15/5/12 STT 206 175 ltr. NA
Table 5.7Format of writing batch mfg. on board
k. Quarantine area
after completion of visual inspection, products are placed in this area.
from this area, packing department will
receive products for labeling & secondary
packing with help of “Batch transfer note”.
there are different To Be Checked Labels for
different stages of products.
Purpose of this Labels is to identify
product at each & every stage and to avoid a
mix up of materials.
l. Crushing area:
Once in 15 days, all non-recoverable
rejected final products have been
crushed here.
Production area is responsible for maintaining records of crushing activity.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 58
m. Sanitizing Activity:
Each & every area of production department sanitize regularly by different solution.
Even company sanitizes each drain point by using 2.5 liter of sanitizing solution
daily.
Company has to change sanitizing solution after every week, because of
“Development of resistant in microorganism”
n. Media plate:
sterility of area.
If sterility is not proper then, growth of microorganism in media will be observed.
o. Particle counter:
Once in month, QA department check particle count in area A, by help of particle counter
machine.
5.4 PACKAGING DEPARTMENT
There are 6 different types of packing line in packing department for secondary packing.
Secondary packing includes following boxes.
Sr.
No.
Line name Use Work
stations
Machines
01 Glass bottle packing line Glass bottle 9 Labeling done by manually
02 Vial packing line Vial 14 Labeling machine
Check weigher machine (Techno
four company)
Online coding machine
(PIC electronics)
03 Ampoule packing line (2
line)
Ampoule 14 Same as “Vial packing line”
04 Single pack show box over
wrapping line
Single show
box
8 Single wrapping machine
Check weigher machine (Techno
four company)
05 Multi pack show box over
wrapping line
Multi show
box
8 Multi wrapping machine
Check weigher machine (Techno
four company)
Table 5.8 Secondary packaging labels
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 59
there are mainly 2 types of products.
.
after completion of batch, final products are transferred to store of company.
Layout of packing department quarantine:
In packing department following defects have been observed:
Double label Improper label Damaged cartoon
Twisted label Torn label Partial printing
Tip break Dirty label Missing leaflet
De shaped ampoule Cartoon without bottle
Table 5.9 Defects in labeling procedure
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 60
5.5 PACKAGING OF PARANTERALS
Containers:-
Parenteral preparations are supplied in glass ampoules, bottles or vials, plastic bottles or bags,
and prefilled syringes, which are coloured in the case of light-sensitive substances.
Except where otherwise indicated in individual
monographs, these
containers are made
from material that is
sufficiently
transparent to permit
the visual inspection
of the contents. They
should not adversely
affect the quality of
the preparation,
allow diffusion of any kind into or across the material of the
container, or yield foreign substances into the preparation.
Closures:-
Closures for Parenteral preparation containers should be equipped with a firm seal to prevent
entry of microorganisms and other contaminants while permitting the withdrawal of a part or
the whole of the contents without removal of
the closure. They should not be made of
components that react with the contents, nor
should they allow foreign substances to diffuse
into the preparation. Plastic materials or
elastomers of which the closure is composed
should be sufficiently firm and elastic to allow
the passage of a needle with the least possible
shedding of particles. Closures for multidose
containers are made sufficiently elastic to
allow the puncture to reseal when the needle is
withdrawn and protect the contents from
airborne contamination. A tamper-evident
container is fitted with a device that reveals clearly whether it has ever been opened.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 61
5.6 LABELLING OF PARENTRALS
Labelling:-
Every pharmaceutical preparation must comply with the labelling requirements established
under Good Manufacturing Practice.
The label of a Parenteral preparation should include:
(1) The name of the product;
(2) The name(s) of the active ingredient(s); INNs should be used wherever possible;
(3) The amount of the active ingredient(s) in a suitable dose volume and the volume in the
container; for powder for injections: the amount of the active ingredient(s) in the container;
(4) the batch (lot) number assigned by the
manufacturer;
(5) the expiry date and, when required, the
date of manufacture;
(6) any special storage conditions or handling
precautions that may be necessary;
(7) directions for use, warnings, and
precautions that may be necessary; and
(8) the name and address of the manufacturer or the person responsible for placing the
product on the market.
For Parenteral preparations that are solutions or dispersions, the concentration of the active
ingredient(s) should be given in terms of mass or biological activity per volume. For
concentrated solutions, labels should state the composition and the dilution to be carried out
before use.
5.7 QUALITY CONTROL
The quality control section of the company involves the processes of striving to produce a
perfect product by a series of measures requiring an organized effort by the entire company to
prevent or eliminate errors at every stages in production. The in-process quality control for
Parenterals is as follows:-
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 62
1) Checking the bulk solution, before filling, for drug content, pH, color &
completeness of solution.
2) Checking the filled volume
of liquids or filled weight of
sterile powders for injection
in the final containers at
predetermined intervals
during filling.
3) Testing for leakage of
flame-sealed ampoules.
4) Subjecting the product to
physical examination for appearance, clarity &
particulate contamination.
5) Examining the sterility
indicator placed in various areas of the sterilizer for
each sterilization operation.
Submitting the product for sterility testing to
establish the safety & other parameters of the
product.
The following quality control tests are performed in the quality control section of the
company:-
1) LEAKAGE TEST:-
Any leakage in the ampoules may cause entry of micro-organisms in the ampoules or
the drug content may leak outside &
spoil the appearance of package. Thus,
this test is carried out to check the
leakage of ampoules.
Leakers are detected by producing a
negative pressure within an incompletely
sealed ampoule in a vacuum chamber,
while ampoule is entirely submerged in a
deeply colored dye solution (0.5%
methylene blue). Some amount of dye is
entered into the ampoule from opening.
This is visible after the ampoule has been washed externally to clear it of dye.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 63
2) CLARITY TEST:-
It is practically impossible to prepare a lot of a sterile product so that every unit of
that lot is perfectly free from visible particulate matter, i.e.,30 to 40 m & larger in
size.
The visual inspection of a product is done by individual human inspection of each
externally clean container under a good light, baffled against a black & white
background, with the contents set in motion with a swirling action. The care must be
taken to prevent entry of air bubble. A moving particle is easier to see than that of
stationary particle. It is necessary to invert the container to see the heavy particles as
the final step in inspection.
3) LAL TEST:-
The presence of pyrogens in the preparation can be detected by an in-vitro test method
for pyrogens. This method utilizes the gelling
property of the lysate of the amebocytes of
Limulus polyphemus (the horseshoe crab). A firm
gel is formed within 60 min in the presence of
pyrogenic endotoxins from gram negative
bacteria when incubated at 37 . This test is
commonly known as LAL test.
4) STERILITY TEST:-
The sterility of the preparation can be determined
by incubating the small volume of preparation in
an agar plate at 37 for 48 hours. If the growth of micro-organisms occurs in the agar
plate after 48 hours, then that preparation will be discarded.
5.8 STORAGE SECTION
The powdered & liquid injectibles
filled in vials/ampoules are then
packed into cartoons. These cartoons
are stored in a cold place. The light
sensitive pharmaceutical products are
stored in the absence of sunlight. The
region where these cartoons are
placed should be neat & clean. The
pharmaceutical products should be
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 64
stored carefully in order to prevent the breakage of containers and the spoilage of the drug.
These cartoons should well label.
STORE DEPARTMENT
The store department is responsible for
stocking all the necessary tools, spares,
raw materials and equipments which
required for manufacturing process.
When source is unreliable, buffer stocks
will need to be kept and the use of
computerized stock control systems helps
keep stocks at a minimal but necessary
level for production to continue
unhindered.
Store department is further divided into following 4 sub units:
Figure 5.3 Store dept. layout
Store department is currently using FIFO (First in First out) method. Store department has
facility of cold room to store products at 20C to 80C
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 65
Material movement in store department:
It is a link between
industry and external
environment market.
Store is only department
which deals with
acceptance of raw
material for production
and dispatch of finished
goods. Store department
is also responsible for
storage of raw materials
and finished products as
per requirement in
suitable environment.
Figure 5.4
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 66
Chapter 6
DISPATCH AND IMPORT – EXPORT
6.1 WAREHOUSE
All the activities in the warehouse can be shown in the form of a diagram given below.
RECEIPT AND HANDLING OF RAW MATERIAL
On receiving intimation from gate by
security in-charge regarding any
receipt of raw material, the following
matters/details are required to be
verified on the basis of supplier‟s bill
challan.
Then supplier‟s bill/challan would be
checked, whether the material is for
our location, if yes then material
would be allowed inward.
Security will take entry in inward
register and allow vehicle inside the
factory. The security in-charge will
put the reference of the inward entry
on the backside of the supplier’s
bill/challan/LR (lorry receipt)
Figure 6.1
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 67
STORAGE OF RAW MATERIAL
Checks and precautions
Storage all the liquid raw materials on the lower most rack. Store the heavy containers at
lower level of rack. All the raw materials are to be stacked in proper rows, so that movement
of the materials at the time of issuance is easy.
Quarantine area
Store QUARANTINE materials in this area which are identified by yellow colored border
dedicated area/covered with nylon net/yellow rope (if applicable) with “Quarantine” coupon.
Try to store single consignment on one pallet, if consignment is large, use required number of
pallets ensuring proper segregation. Use separators in between for stacking different material
on single pallet.
Approved area
Store all approved materials in this area, which
are identified by green colored “Approved”
label.
Rejected area
Store all rejected materials in this area which are
identified by red colored “Rejected” label
Storage area
Store all the raw materials in the area with
respect to their storage conditions as per the list given by QC. The various storage area
available are
Temperature range Storage area
Less than 2o C Cold storage/refrigerator/cooling cabinet
Less than 25o C A.C. store room
Room temperature Respective location/ store room
Table 6.1 Temp. range of different dept.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 68
Depending on the status of materials like Quarantine/approved/rejected transfer the material
to its respective location. Whenever any non compliance is observed at any stage, inform the
QC department for defacing the approved label and affix the HOLD label if required
In such cases where the non-compliance is observed for limited packs / containers instead of
whole lot, the same should be transferred to Quarantine area after affixing HOLD label.
Necessary entries should be updated in ERP for the same.
After shifting the raw material to their respective location, update the locator code in the ERP
system and thereafter also whenever material is shifting from one location to another or one
rack to another, update the ERP system likewise.
Whenever any material (in-out) from (2o to 8o) refrigerator and (-14oC to -25oC) deep
freezer like for dispensing or sampling or any reason to be note down the entry in log book
register.
6.2 Dispatch
At the Unimed a standard procedure for dispatching is being followed strictly. This procedure
ensures the quick dispatch of finished products into the market within very less time after the
manufacturing of product.
Warehouse receives RFC (Rolling Forecast) every month from the corporate. RFC is a list of
products to be dispatched in the month. The same RFC is also sent to the production
department for manufacture planning during the month.
Meanwhile the dispatching process proceeds, documentation process will also proceeds
simultaneously. The list of required documents is given below.
Details of documents for dispatch of finished goods:
Name of document Document source
1 Excise bill in duplicate ERP
2 Stock transfer note ERP
3 Form 402 Printed form
4 Form AR-2 for state excise product Printed form MS Excel / open Office, signed
by excise inspector
5 Lorry receipt Transporter
6 Original and triplicate of out pass Warehouse
7 Form ARE-1 / ARE-2 / AR-4 for export Printed form MS Excel / open Office, signed
by excise inspector wherever applicable
Table 6.2 List of documents for dispatch of finished goods
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 69
Dispatch procedure
Authorized officer prepares the list of products to be dispatched with full details as per shown
below.
Item code
Description of the item
Rate of excise duty to be charged while billing
Batch no.
Total quantity
Total no. of boxes
Quantity in loose boxes
Retail price per unit
6.3 Import
The wide portfolio of Unimed products requires large variety of raw materials from India and
IMPORT AT CONCESSIONAL RATE OF DUTY
Foreign. Company imports various
raw materials on regular basis from
renowned organizations of Europe,
America and some other countries.
Import procedure is very difficult
which includes typical
documentation and approval
procedure from many different
government authorities at the
different stages of import. As
import procedure became a regular
practice at Unimed Company
always apply for import at
concessional rate of duty So
general import is known here as
“import at concessional rate of
duty”.
Here the flow chart of the whole
import procedure is produced in
order to present the difficult import
procedure in simple form. Figure 6.2
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 70
Import Process:
1. Registration:
A manufacturer intending to avail of the benefit of an exemption shall obtain a registration
from the assistant commissioner of central excise having jurisdiction over his/her factory.
The registration shall contain particulars about the name and address of the manufacturer, the
excisable goods produced in his factory, the nature and description of imported goods used in
manufacture of such goods.
Then the assistant commissioner of central excise
or deputy commissioner of central excise will
issue a certificate to the manufacturer indicate the
particulars referred above.
2. Application by the manufacturer to obtain
the benefit:
A manufacturer who has obtained a certificate
and intends to import any goods for use in his/her
factory at concessional rate of duty, shall make
an application to the assistant commissioner of
central excise or deputy commissioner of central
excise indicating the estimated quantity and value of such goods to be imported. Applicant
shall also provide details of port of import.
The manufacturer may at this option, file the application either in respect of a particular
consignment or indicating his estimated requirement of such goods for a quarter.
The manufacturer shall also give undertaking on the application that the imported goods shall
be used for the intended purpose only.
The application shall be countersigned by the assistant commissioner or deputy commissioner
of central excise who shall certify there in that the manufacturer is registered in his office and
has executed a bond to his satisfaction in respect of end use of imported goods in the
manufacturer‟s factory and indicate the particulars of such bond.
3. Procedure to be followed by AC / DC of customs:
On the basis of application countersigned by assistant commissioner or deputy commissioner
of central excise, the assistant commissioner or deputy commissioner of customs at the port
of import shall allow the benefit of the exemption notification to the importer.
Provided that where the importer has field the application in respect of his estimated
requirement for a quarter, that said assistant commissioner of customs or deputy
commissioner of customs shall debit in the said application, the quantity and value of import
made under a particular consignment, also indicating particulars of the bill of entry, before
allowing the benefit of the exemption notification to the importer.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 71
The assistant commissioner or deputy commissioner of customs will forward a bill of entry
containing the particulars of import, the amount of duty paid and other relevant particulars to
the assistant commissioner or deputy commissioner of central excise.
4. Procedure to be followed by AC / DC of central excise:
The assistant commissioner or deputy commissioner of central excise shall acknowledge the
receipt of intimation received from the assistant commissioner or deputy commissioner of
customs.
5. Manufacturer to give information regarding receipt of imported goods and maintain
records:
The manufacturer shall give information of the receipt of imported goods in his factory,
within two days (excluding holidays, if any) of such receipt, to the superintendent of central
excise having jurisdiction over his factory.
The manufacturer shall also maintain a simple account indicating the quantity and value of
goods imported. The quantity of imported goods consumed for the intended purpose and the
quantity remaining in stock, bill of entry wise. The organization has to present this account as
and when required by the assistant commissioner or deputy commissioner of central excise.
6. Recovery of duty in certain case:
The AC/DC of Central Excise shall insure that the goods imported are used by the
manufacturer for the intended purpose and in case they are not so used take action to recover
the amount equal to the difference between the duties liviable on such goods but for interest,
at the rate fixed by notification issued under section 28AB of the customs act, 1962 for the
period starting from the date of importation of the goods on which the exemption was availed
and ending with the date of actual payment of the entire amount at he difference of duty that
he is liable to pay.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 72
6.4 EXPORT
Whenever any goods produced in the factory anywhere in India leaves the factory premise, it
is liable to excise duty. But in order to promote the export government provide 100%
exemption on duty paid by exporter. This way exporter gets relief from
5% basic excise duty
2. 2% of basic duty as education cess
3. 1% secondary and higher secondary education cess
Unimed exports its products in countries like, Guyana, Thailand. Mauritius, Netherlands,
Algeria, Peru, Russia, South Africa etc.
Export process:
In exercise of the powers conferred, the Central Government hereby, directs that rebate of
whole of the duty paid on excisable goods (hereinafter referred to as „materials‟) used in the
manufacture or processing of export goods shall, on their exportation out of India, to any
country .
(1) Filing of declaration. - The manufacturer or processor shall file a declaration with the
Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise
having jurisdiction over the factory of manufacture describing the finished goods proposed to
be manufactured or processed along with their rate of duty leviable and
manufacturing/processing formula with particular reference to quantity or proportion in
which the materials are actually used as well as the quality. The declaration shall also contain
the tariff classification, rate of duty paid or payable on the materials so used, both in words
and figures, in relation to the finished goods to be exported.
(2) Verification of Input–output ratio. – The Assistant Commissioner of Central Excise or
the Deputy Commissioner of Central Excise shall verify the correctness of the ratio of input
and output mentioned in the declaration filed before commencement of export of such goods,
if necessary, by calling for samples of finished goods or by inspecting such goods in the
factory of manufacture or process. If, after such verification, the Assistant Commissioner of
Central Excise or the Deputy Commissioner of Central Excise is also satisfied that there is no
likelihood of evasion of duty, he may grant permission to the applicant for manufacture or
processing and export of finished goods.
(3) Procurement of material. – The manufacturer or processor shall obtain the materials to
be utilized in the manufacture of the finished goods intended for export directly from the
registered factory in which such goods are produced, accompanied by an invoice under rule
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 73
11 of the Central Excise Rules, 2002: Provided that the manufacturer or processor may
procure materials from dealers registered for the purposes of the CENVAT Credit Rules,
2002 under invoices issued by such dealers.
(4) Removal of materials or partially processed material for processing. – The Assistant
Commissioner of Central Excise or the Deputy Commissioner of Central Excise may permit a
manufacturer to remove the materials as such or after the said materials have been partially
processed during the course of manufacture or processing of finished goods to a place outside
the factory -
(a) for the purposes of test, repairs, refining, reconditioning or carrying out any other
operation necessary for the manufacture of the finished goods and return the same to his
factory without payment of duty for further use in the manufacture of finished goods or
remove the same without payment of duty in bond for export, provided that the waste, if any,
arising in the course of such operation is also returned to the said factory of the manufacture
or process; or
(b) for the purpose of manufacture of intermediate products necessary for the manufacture or
processing of finished goods and return the said intermediate products to his factory for
further use in the manufacture or process of finished goods without payment of duty or
remove the same, without payment of duty for export, provided that the waste, if any, arising
in the course of such operation is also returned to the factory of manufacturer or processor;
(c) Any waste arising from the processing of materials may be removed on payment of duty
as if such waste is manufactured or processed in the factory of the manufacturer or processor.
(5) Procedure for export. - The goods shall be exported on the application in Form A.R.E. 2
specified in the Annexure to this notification and the procedures specified in Ministry of
Finance (Department of Revenue) notification No. 42/2001-Central Excise (N.T.), dated the
26th June, 2001 shall be followed.
(6) Presentation of claim of rebate. – The claim for rebate of duty paid on materials used in
the manufacture or processing of goods shall be lodged only with the Assistant
Commissioner of Central Excise or Deputy Commissioner of Central Excise having
jurisdiction of the place approved for manufacture or processing of such export goods.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 74
Chapter 7
COMPANY’S REGULATORY STRUCTURE:
There are various legislations that govern the manufacture and sale of drugs and Parenterals
in India. There are also rules framed under the provisions of these laws. The following are
the laws that are currently in operation in the country:
1. The Poisons Act, 1919
2. The Drugs and Cosmetics Act, 1940
(this was amended various by Drugs
(Amendment) Acts in 1955, 1960,
1962, 1964, 1972, 1982 and 1986)
3. The Drugs and Cosmetics Rules,
1945
4. The Pharmacy Act, 1948
5. The Drugs and Magic Remedies
(Objectionable Advertisement) Act,
1954
6. The Medicinal and Toilet
Preparations (Excise Duties) Act,
1956
7. The Narcotic Drugs and Psychotropic Substances Act, 1985
8. The Drugs (Prices Control) Order, 1995
General legislations that have a significant bearing on pharma industry in the country.
1. The Industries (Development and Regulation) Act, 1951
2. The Trade and Merchandise Mark Act, 1958
3. The Indian Patents and Design Act, 1970.
From among these legislations the following four play a critical role in the
development of the industry:
(a) Schedule ‘M’ of the Drugs and Cosmetic Act 1940
(b) The Indian Patents and Designs Act, 1970
(c) Patents (Amendment) Act, 1999
(d) The Drugs (Price Control) order (DPCO), 1995
These legislations are briefly described so as to appreciate their likely impact on and
response from the manufacturers and others concerned.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 75
7.1 Schedule `M’ of the Drugs and Cosmetics Act (1940)
The Schedule ‘M’ classifies the various
statutory requirements mandatory for all drugs,
pharmaceuticals and medical disposable
industry relevant as per current good
manufacturing practices (CGMP). Schedule
‘M’ was last revised in 1986, when the concept
of GMP was first introduced. The Central
Government is now revising the Schedule ‘M’
to get it “harmonized with that of the various
developed and developing countries and also
to the level of the well established international
organizations such as the World Health
Organisation (WHO)”.
WHO guidelines on GMP for pharmaceutical
products urge that:
All manufacturing processes are clearly
defined, systematically reviewed, and shown to
be capable of consistently manufacturing
pharma products of the required quality that comply with their specifications;
All necessary facilities are provided including
qualified trained personnel, adequate premises and
space, suitable equipment and services, correct
materials, containers and labels, approved
procedures and instructions, suitable storage and
transport and adequate personnel, laboratories and
equipments for in process controls;
Instructions and procedures are written in clear
and unambiguous language;
Operators are trained to carry out procedures
correctly;
Records are made (manually and/or by recording
instruments) during manufacture to show that all the steps required by the defined
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 76
procedures and instructions have actually been taken and that the quantity and quality
of the product are as expected and any significant deviation fully recorded and
investigated;
Records covering manufacture and distribution are retained in a comprehensive and
accessible form;
A system is available to recall any batch of product from sale or supply; and
Complaints about marketed products are examined, the causes of quality defect
investigated, and appropriate measures taken.
A special sub committee
constituted by the Government of India
has proposed revamping of the Schedule
M, covering specifications such as general
requirements in case of buildings and
premises, personal sanitation and hygiene,
training, production and operation
controls, quality control and assurance,
stability and validation studies, documentation, complaints and self-inspections; and special
requirements for individual formulation categories. Among other things, the amendment
calls for the following:
To maintain a ratio of 1:2
between the constructed area and
surrounding premises to prevent
environmental pollution;
To install a validated
water system to aid monitoring
and control of bio-burden levels;
To have a good disposal
system, in the absence of which to have arrangements to recycle rejects;
To have proper environmental control, with emphasis on buildings, till the primary
packaging is complete;
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 77
To ensure supply of filtered air in all production areas to prevent environmental
pollution;
To have specifically designed areas for production, quality control, storage and ancillary
areas;
To take adequate precautions to segregate the manufacture of highly potent drugs to
avoid cross contamination;
To design adequate operational and process controls to ensure reproducible quality of
drugs;
To ensure total quality control from raw materials procurement till the retail counter;
To undertake detailed stability studies to establish the quality of drugs in different
climatic and storing conditions; and
To evolve clear and realistic
documentation procedures.
7.2 The Indian Patents and
Designs Act, 1970
This Act aims at protecting
inventions. The term of patent
granted is in respect of an invention
claiming the method of process of
manufacture of a substance. For a
medicine or drug the protection is
given for a period of five years from
the sealing of the patent or seven
years from the date of patent, whichever period is shorter. The Controller of Patents,
Designs, and Trade Marks appointed under the Trade and Merchandise Act, 1958 is the
Controller of Patents.
Figure 7.1 Granting of license
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 78
7.3 Patents (Amendment) Act, 1999
After signing the GATT agreement, India needed to change its patent law from process patent
regime to a product patent regime. Developing
countries are given time till 2005 to change their
patent legislation. Since January 1, 1995, India
has begun to accept applications for product
patents, which go into a black box. This box is
to be opened in 2005 to establish right of
priority before granting patent. From January 1,
1995 to October 31, 1999, 2994 product patents
have been filed for pharmaceutical products.
Meanwhile for each such patent application that
has been accepted, exclusive marketing rights
(EMR) have to be granted for a period of five
years.
The Controller of Patents examines the
applications to ascertain whether there is a
violation of the relevant provisions of Patent
Act. The government can not only fix the price
of the product covered under EMR, but also reserve the rights to grant compulsory license or
revocation of patent. Provision is made to ensure that EMRs are not granted for substances
based on Indian System of Medicines where the products are already in public domain.
7.4 The Drugs (Prices Control) Order (DPCO), 1995
The DPCO provides for ceiling prices
for medicines, the lists of which are
reviewed periodically. Over the years
substantial changes have been made
in the DPCO in terms of reduction in
the number of drugs under price
control and simplification of
application procedures. The DPCO,
1995 allows for exemption from price
control for new bulk drugs which
have not been produced elsewhere
and which are developed through
indigenous R and D.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 79
On the recommendation of the Hathi Committee (1973), the Government of India created a
Drug Price Equalization Account (DPEA) under
the DPCO. This equalization is done on the basis
of a weighted price average determined by the
government. Any company that sells the product
at higher margins on account of cheaper sourcing
of inputs is held liable to pay up the overcharged
amount to the government.
WTO Product patent regime 2005:
From January 2005 product patent regime come
into existence replacing existing process patent
regime because of that the companies cannot
manufacture products, which have registered
patent for a period of seven years. This makes
Pharmaceutical manufacturers to invest money in
R&D and develop their own drugs and patent
them. SPL who have R&D facilities will not face
any problems and end up as jobbers to the big
market players.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 80
Chapter 8
FINANCE DEPARTMENT
The Financial Department is responsible for budgeting, accounting, employee wages, money
distribution and financial reports. Each year the Financial Department receives an annual
budget from the CEO. This annual budget is based on the economic situation in the region as
well as the available Federal programs and initiatives. It also handles fundraising work to
attract corporate sponsors and donors.
It helps to manage members’ donations and support received from private sources. The
Financial Department consists of three full-time employees: the Financial Manager, the Chief
Accountant and the Assistant Accountant. Together they are responsible for reporting to the
CEO and are accountable for fundraising and managing the income generated from
memberships in the Company.
It deals with the financial matters of the company. It collects the revenues and makes
different payments and maintains
proper record of the financial
performance of the company’s
business to show the net result in the
form of either profit or loss. Finance
department consist of
Management Accountants
Cost Accountants
Accounting MIS Department
8.1 ACCOUNTS DEPARTMENT
The job of the department is to maintain books of accounts. There are following main
activities of accounts.
Issuance of purchase vouchers for raw material, plant and machinery and general
store items
Check payment of payroll to employees including wages, overtime, bonuses etc.
Handling of monthly tax statements.
Computerized general ledger system is working and shows the result of each transaction up to
balance sheet and income/profit and loss statement.
Processing and Recording Check/ Cash Disbursement
After a certain period of time when the date becomes matured for the liability the payment is
made by SPL. The matured date has been calculated in the aged payable report for each
Figure 8.1 Hierarchy of Accounts and Finance
Department
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 81
vendor. The mode of payment is usually per numbered check. In most cases the payment is
made by A/C payee only check. In some cases the payment may be made by cash or by
bearer check or paid in advance fully or partly
. The total process of Local Purchase has been presented briefly in below:
Figure 8.2 Purchase process
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 82
8.2 Ratings on Sanjivani Parenteral downgraded to ‘CRISIL BBB-/Stable/CRISIL A3’
CRISIL has downgraded its ratings on the bank facilities of Sanjivani Parenteral Ltd
(Sanjivani) to ‘CRISIL BBB-/Stable/CRISIL A3’
from ‘CRISIL BBB/Stable/CRISIL A3+’.
The downgrade reflects expectation of continued
pressure on Sanjivani’s financial risk profile,
particularly debt protection metrics and gearing,
because of its large working capital requirements and
its plans of strengthening its market position in the
highly competitive export and direct marketing segment.
Rs.85 Million Term Loan CRISIL BBB-/Stable (Downgraded from 'CRISIL
BBB/Stable')
Rs.400 Million Cash Credit CRISIL BBB-/Stable (Downgraded from 'CRISIL
BBB/Stable')
Rs.40 Million Proposed Long-
Term Bank Loan Facility
CRISIL BBB-/Stable (Downgraded from 'CRISIL
BBB/Stable')
Rs.40 Million Letter of Credit CRISIL A3 (Downgraded from 'CRISIL A3+')
Rs.35 Million Bank Guarantee* CRISIL A3 (Downgraded from 'CRISIL A3+')
Table 8.1 Criteria of CRISIL FINANCIAL Ranking
As on March 31, 2011, Sanjivani’s interest coverage ratio and gearing deteriorated to 1.65
times and 1.83 times respectively, from 2.29 times and 1.60 times respectively as on March
31, 2010. The company’s liquidity has weakened because of stretch in receivables cycle
resulting in increase in working capital requirements in 2010-11 (refers to financial year,
April 1 to March 31); as on March 31, 2011, debtor level was high at around 158 days.
Sanjivani’s bank line utilization is high at about 100 per cent.
Furthermore, Sanjivani’s operating margin declined to 7.4 per cent in 2010-11 from 8.6 per
cent in 2009-10, because of significant increase in employee and selling costs, driven by the
company’s strategy to strengthen its market position in the export and direct marketing
segments in order to mitigate risks associated with significant dependence on institutional
sales. The company’s profitability is expected to remain moderate over the medium term,
given the intense competition in its target business segments, where ability to profitably scale
up operations will depend on the extent of acceptance of Sanjivani’s products and its
marketing capabilities.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 83
The ratings continue to reflect Sanjivani’s strong market position in the institutional segment
and the extensive experience of its promoters in the pharmaceutical industry. These rating
strengths are partially offset by the company’s modest profitability and debt protection
metrics and constrained liquidity.
Outlook:Stable
CRISIL believes that Sanjivani will maintain its strong market position in the institutional
segment and gradually improve its market position in its target business segments, and will
prudently manage its working capital requirements. The outlook may be revised to ‘Positive’
if Sanjivani improves its profitability, debt protection metrics, and working capital cycle.
Conversely, the outlook may be revised to ‘Negative’ in case of less-than-expected cash
accruals, no improvement in margins, inability to renew large tenders, or deterioration in
capital structure due to large, debt-funded capital expenditure.
8.3 Bankers of SPL
Axis Bank Ltd
Shamrao Vithal Co-op Bank
State Bank of India
Financial Planning Process in SPL
Figure 8.3
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 84
8.4 Capital Structure of the Company SPL
The capital structure includes Funds received from the owners of the business i.e. the
Shareholders and therefore called as
Share holders fund
Proprietore fund
Owners fund
The share holders fund are further classified into
Share Capital: Equity and Preference
Reserves and Surplus: General reserve, etc
Fictitious assets: Preliminary expenses,etc
The capital structure also includes Borrowed Funds which are further divided into
Secured Loans (Bank loans, debentures, etc)
Unsecured loans ( loans from friends and relatives)
The Result of which is
The Capital employed i.e. The total long term funds supplied by the creditors and owners of
the firm.It can be computed in 2 ways. First as mentioned above – the non-current liabilities
plus owners equity. Alternatively its is equal to net working capital plus fixed assets.
Year Authorised Issued Subscribed Called Up Paid Up
2011 7.00 5.90 5.90 5.90 5.90
2010 7.00 5.90 5.90 5.90 5.90
2009 7.00 5.90 5.90 5.90 5.90
2008 7.00 5.90 5.90 5.90 5.90
2007 7.00 5.90 5.90 5.90 5.90
2006 7.00 5.90 5.90 5.90 5.90
2005 6.00 4.85 4.85 4.85 4.85
2004 6.00 4.85 4.85 4.85 4.85
2003 6.00 5.05 5.05 5.05 4.96
2002 6.00 5.05 5.05 5.05 4.96
Table 8.2 Equity Capital Structure of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 85
Financial Turnover (Annual Results of SPL)
Particulars Mar-12
(Rs.Cr)
Mar-11
(Rs.Cr)
Mar-10
(Rs.Cr)
Gross Sales 150 144 139
Other Income 1 1 1
Total Income 151 145 140
Total Expenditure 138 134 127
PBIDT 13 12 13
Interest 8 7 5
PBDT 4 4 7
Depreciation 1 1 1
Tax 1 1 2
Deferred Tax 0 0 0
Reported Profit After Tax 3 2 5
Extra-ordinary Items 0 0 0
Adjusted Profit After Extra-ordinary item 3 2 5
EPS (Unit Curr.) 4.3 3.8 8.0
EPS (Adj) (Unit Curr.) 4.3 3.8 8.0
Calculated EPS (Unit Curr.) 4.3 3.7 8.0
Calculated EPS (Adj) (Unit Curr.) 4.3 3.7 8.0
Calculated EPS (Ann.) (Unit Curr.) 4.3 3.7 8.0
Calculated EPS (Adj) (Ann.) (Unit Curr.) 4.3 3.7 8.0
Book Value (Unit Curr.) 0.0 0.0 0.0
Dividend (%) 0.0 0.0 0.0
Equity 6 6 6
Reserve & Surplus 0.0 22.5 18.5
Face Value 10.0 10.0 10.0
Non-Promoter Holding Shares 5,010,396 5,034,501 5,042,948
Non-Promoter Holding (%) 84.95 85.36 85.50
PBIDTM(%) 8.39 8.00 8.98
PBDTM(%) 2.81 3.11 5.07
PATM(%) 1.68 1.53 3.41
Table 8.3 financial turnover of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 86
Share Holding Pattern
Particulars Mar-12 Dec-11 Sep-11
No of
Shares
(Mn)
%
Holdings
No of
Shares
(Mn)
%
Holdings
No of
Shares
(Mn)
%
Holdings
Promoter & Group
Foreign
Sub Total 0.00 0.00 0.00 0.00 0.00 0.00
Indian
Sub Total 0.89 15.05 0.87 14.69 0.86 14.66
Total ShareHolding 0.89 15.05 0.87 14.69 0.86 14.66
Non Promotors / Public Shareholding
Institution
Financial Institutions / Banks 0.00 0.00 0.00 0.00 0.00 0.00
Foreign Institutional Investors 0.00 0.00 0.00 0.00 0.00 0.00
Mutual Funds / UTI 0.00 0.00 0.00 0.00 0.00 0.00
Sub Total 0.00 0.00 0.00 0.00 0.00 0.00
Non Institution
Bodies Corporate 1.16 19.60 1.13 19.12 1.15 19.46
NRIs/Foreign
Individuals/Foreign Nationals
0.02 0.41 0.02 0.42 0.02 0.42
Individuals holding nominal
share capital in excess of Rs. 1
lakh
1.92 32.51 1.92 32.56 1.91 32.37
Individuals holding nominal
share capital up to Rs. 1 lakh
1.83 31.00 1.88 31.86 1.88 31.92
Sub Total 5.01 84.95 5.03 85.31 5.03 85.34
Shares held by Custodians and against issued Depository Receipts
ADR 0.00 0.00 0.00 0.00 0.00 0.00
GDR 0.00 0.00 0.00 0.00 0.00 0.00
Other Custodians 0.00 0.00 0.00 0.00 0.00 0.00
Total Shares 0.00 0.00 0.00 0.00 0.00 0.00
Grand Total 5.90 100.00 5.90 100.00 5.90 100.00
Table 8.4 shareholding pattern of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 87
Sanjivani Parenteral reports net profit of Rs 0.01 crore in the March 2012 quarter
Sales decline 10.84% to Rs 32.97 crore
Sanjivani Parenteral reported net profit of Rs 0.01 crore in the quarter ended March 2012 as
against net loss of Rs 1.91 crore during the previous quarter ended March 2011. Sales
declined 10.84% to Rs 32.97 crore in the quarter ended March 2012 as against Rs 36.98 crore
during the previous quarter ended March 2011.
Particulars Quarter Ended Year Ended
Mar. 2012 Mar. 2011 % Var. Mar. 2012 Mar. 2011 % Var.
Sales 32.97 36.98 -11 150.25 144.10 4
OPM % 6.37 -1.11 674 7.99 7.12 12
PBDT 0.49 -1.09 LP 4.22 4.48 -6
PBT 0.26 -1.34 LP 3.27 3.53 -7
NP 0.01 -1.91 LP 2.52 2.21 14
Table 8.5 financial performance of SPL
For the unaudited full year, net profit rose 14.03% to Rs 2.52 crore in the year ended March
2012 as against Rs 2.21 crore during the previous year ended March 2011. Sales rose 4.27%
to Rs 150.25 crore in the year ended March 2012 as against Rs 144.10 crore during the
previous year ended March 2011.
Listing in Share Market
BSE 531569
NSE NA
ISIN INE860D01013
NAP/E 6.80328
Market Cap [Rs.Cr.] 17 .1395
Face Value [Rs.] 10
Book Value [Rs.] 52.42
Industry Pharmaceuticals - Indian - Formulations
Table 8.6 share market listing detail of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 88
Monthly Share Prices
Year High(Rs.) Low(Rs.) Close(Rs.) P/E High P/E Low P/E Close Mkt Cap.
(Rs. in Cr.)
May-12 39.00 27.10 28.40 10.89 6.86 7.58 16.76
Apr-12 42.30 29.00 37.00 12.02 7.47 9.88 21.83
Mar-12 34.25 25.55 31.05 10.58 5.83 8.29 18.32
Feb-12 32.35 25.00 28.65 8.73 6.42 7.65 16.90
Jan-12 27.45 23.00 26.50 7.45 5.87 7.08 15.64
Share Prices Of 2011
Dec-11 26.10 21.80 24.05 7.38 5.82 6.42 14.19
Nov-11 33.00 23.10 24.45 9.00 5.83 6.53 14.43
Oct-11 35.00 29.65 31.65 9.72 7.90 8.45 18.67
Sep-11 34.85 27.50 32.50 9.96 7.15 8.68 19.18
Aug-11 36.30 26.35 30.00 10.30 6.51 8.01 17.70
Jul-11 38.75 32.00 34.95 10.56 8.54 9.33 20.62
Jun-11 37.40 29.75 32.25 11.10 7.63 8.61 19.03
May-11 38.65 29.25 34.65 10.63 7.61 9.25 20.44
Apr-11 47.80 37.40 38.05 14.68 9.96 10.16 22.45
Mar-11 45.20 36.55 38.75 12.69 9.04 10.34 22.86
Feb-11 52.50 41.50 43.15 8.88 6.26 7.07 25.46
Jan-11 56.00 41.45 44.50 9.88 6.33 7.29 26.26
Share Prices Of 2010
Dec-10 54.00 36.75 51.35 9.07 4.90 8.42 30.30
Nov-10 65.00 45.00 51.40 11.15 6.00 8.43 30.33
Oct-10 70.90 53.85 61.05 12.37 8.29 10.01 36.02
Sep-10 63.50 44.30 58.55 10.93 7.20 9.59 34.54
Aug-10 51.00 40.00 43.60 8.99 6.23 7.14 25.72
Jul-10 50.60 42.20 44.80 8.81 6.87 7.34 26.43
Jun-10 46.90 39.50 43.50 8.04 6.09 7.13 25.67
May-10 57.70 39.80 40.70 9.87 6.38 6.67 24.01
Apr-10 63.50 48.00 56.60 11.12 7.25 9.28 33.39
Mar-10 59.35 41.50 49.60 10.80 6.24 8.13 29.26
Feb-10 62.75 29.90 59.35 13.18 5.15 11.79 35.02
Jan-10 39.15 26.80 28.75 8.21 4.96 5.71 16.96
Table 8.7 Monthly share price detail of SPL
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 89
Figure 8.4 share price fluctuation of SPL
BALANCE SHEET
(Rs. in Crores)
Particulars Mar-11 Mar-10 Mar-09 Mar-08 Mar-07 Mar-06
SOURCES OF FUNDS :
Share Capital 5.90 5.90 5.90 5.90 5.90 5.90
Reserves Total 22.51 22.09 18.49 15.54 11.96 8.81
Total Shareholders Funds 28.41 27.99 24.39 21.44 17.86 14.71
Secured Loans 51.15 44.48 33.91 21.37 17.09 15.63
Unsecured Loans 0.72 0.36 0.44 0.00 0.00 0.00
Total Debt 51.87 44.84 34.35 21.37 17.09 15.63
Total Liabilities 80.28 72.83 58.74 42.81 34.95 30.34
APPLICATION OF FUNDS :
Gross Block 22.10 21.79 12.26 12.03 11.85 11.52
Less : Accumulated
Depreciation
6.42 5.48 4.67 4.14 3.62 3.12
Less:Impairment of Assets 0.00 0.00 0.00 0.00 0.00 0.00
Net Block 15.68 16.31 7.59 7.89 8.23 8.40
Lease Adjustment 0.00 0.00 0.00 0.00 0.00 0.00
Capital Work in Progress 0.70 0.44 11.06 5.14 4.27 4.60
Investments 0.05 0.05 0.05 0.06 0.01 0.01
Current Assets, Loans &
Advances
Inventories 17.31 16.51 11.10 14.49 11.54 13.06
Sundry Debtors 62.70 55.24 50.32 38.51 18.93 18.66
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 90
Cash and Bank 0.73 0.59 0.67 1.34 0.37 0.11
Loans and Advances 3.75 5.79 3.14 0.93 2.68 0.66
Total Current Assets 84.49 78.13 65.23 55.27 33.52 32.49
Less : Current Liabilities and
Provisions
Current Liabilities 16.90 19.52 21.65 21.79 7.64 12.93
Provisions 1.16 0.00 2.11 2.30 2.13 0.63
Total Current Liabilities 18.06 19.52 23.76 24.09 9.77 13.56
Net Current Assets 66.43 58.61 41.47 31.18 23.75 18.93
Miscellaneous Expenses not
written off
0.00 0.00 0.00 0.00 0.00 0.00
Deferred Tax Assets 0.00 0.00 0.00 0.04 0.00 0.00
Deferred Tax Liability 2.58 2.58 1.43 1.50 1.31 1.60
Net Deferred Tax -2.58 -2.58 -1.43 -1.46 -1.31 -1.60
Total Assets 80.28 72.83 58.74 42.81 34.95 30.34
Contingent Liabilities 0.09 0.09 0.03 0.03 0.04 0.02
Table 8.8 Last five year balance sheet of SPL
Profit & Loss
(Rs. in Crores)
Particulars Mar-11 Mar-10 Mar-09 Mar-08 Mar-07 Mar-06
INCOME :
Sales Turnover 145.20 140.39 103.36 91.80 69.44 54.36
Excise Duty 1.10 1.22 0.00 0.02 0.32 0.38
Net Sales 144.10 139.17 103.36 91.78 69.12 53.98
Other Income 1.26 0.77 0.52 0.14 0.00 0.11
Stock Adjustments 0.14 -0.05 -0.09 0.19 0.02 0.12
Total Income 145.50 139.89 103.79 92.11 69.14 54.21
EXPENDITURE :
Raw Materials 126.69 120.38 91.40 80.97 59.94 47.69
Power & Fuel Cost 0.74 0.73 0.48 0.36 0.38 0.47
Employee Cost 1.52 1.06 0.73 0.71 0.55 0.35
Other Manufacturing
Expenses
0.85 0.76 0.49 0.25 0.34 0.40
Selling and Administration
Expenses
4.14 4.05 1.94 1.58 1.17 0.85
Miscellaneous Expenses 0.03 0.41 0.04 0.09 0.14 0.08
Less: Pre-operative Expenses
Capitalised
0.00 0.00 0.00 0.00 0.00 0.00
Total Expenditure 133.97 127.39 95.08 83.96 62.52 49.84
Operating Profit 11.53 12.50 8.71 8.15 6.62 4.37
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 91
Interest 7.05 5.45 3.60 2.79 1.72 1.35
Gross Profit 4.48 7.05 5.11 5.36 4.90 3.02
Depreciation 0.95 0.81 0.53 0.52 0.50 0.51
Profit Before Tax 3.53 6.24 4.58 4.84 4.40 2.51
Tax 1.32 1.50 1.63 1.10 1.53 0.19
Fringe Benefit tax 0.00 0.00 0.02 0.01 0.01 0.01
Deferred Tax 0.00 1.14 -0.02 0.00 0.00 0.00
Reported Net Profit 2.21 3.60 2.95 3.73 2.86 2.31
Extraordinary Items 0.00 0.00 -0.02 0.00 0.00 0.00
Adjusted Net Profit 2.21 3.60 2.97 3.73 2.86 2.31
Adjst. below Net Profit 0.00 0.00 0.00 -0.14 0.29 -0.60
P & L Balance brought
forward
16.76 13.16 10.21 6.62 3.47 1.76
Statutory Appropriations 0.00 0.00 0.00 0.00 0.00 0.00
Appropriations 0.00 0.00 0.00 0.00 0.00 0.00
P & L Balance carried down 18.97 16.76 13.16 10.21 6.62 3.47
Dividend 0.00 0.00 0.00 0.00 0.00 0.00
Preference Dividend 0.00 0.00 0.00 0.00 0.00 0.00
Equity Dividend % 0.00 0.00 0.00 0.00 0.00 0.00
Earnings Per Share-Unit
Curr
3.75 6.10 5.00 6.32 4.85 3.92
Earnings Per Share(Adj)-
Unit Curr
3.75 6.10 5.00 6.32 4.85 3.92
Book Value-Unit Curr 48.15 47.44 41.34 36.34 30.27 24.93
Table 8.9 Last five year profit & loss account of SPL
Key Ratios
Years Mar-11 Mar-10 Mar-09 Mar-08 Mar-07
Debt-Equity Ratio 1.7 1.5 1.2 1.0 1.0
Long Term Debt-Equity Ratio 0.3 0.3 0.2 0.0 0.0
Current Ratio 1.3 1.3 1.3 1.2 1.1
Fixed Assets 6.6 8.3 8.5 7.7 5.9
Inventory 8.6 10.2 8.1 7.1 5.7
Debtors 2.5 2.7 2.3 3.2 3.7
Interest Cover Ratio 1.5 2.1 2.3 2.7 3.6
PBIDTM (%) 7.9 8.9 8.4 8.9 9.5
PBITM (%) 7.3 8.3 7.9 8.3 8.8
PBDTM (%) 3.1 5.0 4.9 5.8 7.1
CPM (%) 2.2 3.1 3.4 4.6 4.8
APATM (%) 1.5 2.6 2.9 4.1 4.1
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 92
ROCE (%) 13.8 17.8 16.1 19.6 18.8
RONW (%) 7.8 13.8 12.9 19.0 17.6
PE 10.3 8.1 2.3 3.6 6.1
EBIDTA 11.5 12.5 8.7 8.2 6.6
DivYield 0.0 0.0 0.0 0.0 0.0
PBV 0.8 1.1 0.3 0.6 1.0
EPS 3.8 6.1 5.0 6.3 4.9
Table 8.10 Key Ratios OF SPL
Graph 8.5 ratio representation of SPL
Cash Flow
Particulars Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Profit Before Tax 35.30 62.43 45.78 48.35 44.01
Adjustment 70.97 57.35 37.62 31.73 21.15
Changes In working Capital -88.44 -151.01 -107.78 -66.28 -59.94
Cash Flow after changes in
Working Capital
17.83 -31.23 -24.38 13.80 5.22
Cash Flow from Operating
Activities
-1.69 -67.36 -42.78 4.44 4.18
Cash Flow from Investing
Activities
-5.67 10.94 -61.74 -10.95 -0.06
Cash Flow from Financing
Activities
8.76 55.60 97.81 16.23 -1.53
Net Cash Inflow / Outflow 1.39 -0.82 -6.71 9.73 2.59
Opening Cash & Cash
Equivalents
5.86 6.68 13.39 3.66 1.07
Cash & Cash Equivalent on
Amalgamation / Take over /
Merger
0 0 0 0 0
0
2
4
6
8
2007 2008 2009 2010 2011
Current Ratio
Interest Cover Ratio
EPS
Debt-equity Ratio
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 93
Cash & Cash Equivalent of
Subsidiaries under
liquidations
0 0 0 0 0
Translation adjustment on
reserves / op cash balalces
frgn subsidiaries
0 0 0 0 0
Effect of Foreign Exchange
Fluctuations
0 0 0 0 0
Closing Cash & Cash
Equivalent
7.25 5.86 6.68 13.39 3.66
Table 8.11 Last Five Year Cash Flow of SPL
Graph 8.6 Graph of Cash flow of SPL
Sanjivani Parenteral Ltd. The manufacturer of therapeutic products comprising antibiotic,
anti-emetic, anesthetic, analgesic, anti-malarial, psychotropic, sedative, steroid,
cardiovascular, and cold therapy products and more; is trading at Rs 17Cr Mar Cap.
And look at the peers.
Companies Sales
(In Rs mn)#
Market Cap. (In Rs mn)*
Price (In Rs)*
Plathico Pharmaceutical Ltd. 4741 12,753.40 374
Amrutanjan Health Care Ltd 898.8 2325.6 776
Bliss GVS Pharma Ltd 1688.8 2118.7 20
Zenotech Laboratories Ltd 66 1568.6 45
Sharon Bio-Medicine Ltd 4965 2756 260
Sanjivani Paranteral Ltd 1399.42 170 29
Table 8.12 Competitors Sales
0 20 40 60 80
2007
2008
2009
2010
2011
Closing Cash
PBT
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 94
# - Sales in year 2009-10
* - Date 26-08-2011
Granted company is concentrated on institutional sales and sells to state government but so huge a
discount?
The promoters (only 14.64 % ) in company have given the following performance.
Sanjivani 2011-10 2010-09 2009-08 2008-07
sales 1452.7 1399.42 1038.76 921.6
PAT 27.3 47.43 29.26 57.5
*all in Rs. million
The recently woken up management has `strategized` that Sales Force is what they need and hiring
aggressively, doubling the sales expenditure to Rs 4.2 Cr.
8.5 Company Financial Analysis
According to the individual - Audited financial statement for the Year of 2011, total net
operating revenues increased with 3.90%, from INR 139.9 tens of millions to INR 145.36
tens of millions. Operating result decreased from INR 11.73 tens of millions to INR 11.53
tens of millions which means -1.71% changes. The results of the period decreased -38.61%
reaching INR 2.21 tens of millions at the end of the period against INR 3.6 tens of millions
last year. Return on equity (Net income/Total equity) went from 12.86% to 7.78%, the Return
On Asset (Net income / Total Asset) went from 4.77% to 2.75% and the Net Profit Margin
(Net Income/Net Sales) went from 2.57% to 1.52% when compared to the same period of last
year. The Debt to Equity Ratio (Total Liabilities/Equity) was 282.58% compared to 269.42%
of last year. Finally, the Current Ratio (Current Assets/Current Liabilities) went from 4.00 to
5.00 when compared to the previous year.
Sanjivani Parenteral Ltd. reported unaudited earnings results for the third quarter and nine
months ended December 31, 2011. For the quarter, the company reported net sales of INR
381.478 million compared to INR 348.533 million a year ago. Profit from operation before
other income, interest & exceptional items was INR 31.189 million compared to INR 39.1
million a year ago. Net profit was INR 7.64 million or INR 1.30 per basic and diluted share,
compared to net profit of INR 16.823 million or INR 2.85 per basic and diluted share, a year
ago. For the year to date, the company reported net sales of INR 1,172.741 million compared
to INR 1,071.123 million a year ago. Profit from operation before other income, interest &
exceptional items was INR 91.799 million compared to INR 99.732 million a year ago. Net
profit was INR 25.087 million or INR 4.25 per basic and diluted share, compared to net profit
of INR 41.233 million or INR 6.99 per basic and diluted share, a year ago.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 95
Sanjivani Parenteral Ltd. announced unaudited earnings results for the fourth quarter and full
year ended March 31, 2012. For the quarter, the company reported net sales were INR
329.75 million against INR 369.84 million a year ago. Profit from ordinary activities before
tax was INR 2.62 million against loss of INR 13.44 million a year ago. Profit was INR 0.122
million against loss of INR 19.13 million a year ago. Basic and diluted earnings per share
before and after extraordinary items were INR 0.02 against loss per share of INR 3.24 a year
ago. For the year, the company reported net sales were INR 1,502.49 million against INR
1,440.96 million a year ago. Profit from ordinary activities before tax was INR 32.71 million
against INR 35.3 million a year ago. Profit was INR 25.21 million against INR 22.1 million a
year ago. Basic and diluted earnings per share before and after extraordinary items were INR
4.27 against INR 3.75 a year ago.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 96
Chapter 9
MIS OR IT DEPARTMENT
Information is the basis for every decision taken in an organization. The efficiency of
management depends upon the availability of regular and relevant information. Thus it is
essential that an effective and efficient reporting system be developed as part of accounting
system. the main object of management information is to obtain the required about the
operating results of an organization regularly in order to use them for future planning and
control.
The old techniques like intuition, rule of thumb, personal whim and prestige, etc. are now
considered useless in the process of decision taking.
Modern management is constantly on look out for such
quantitative and such information, which can help in
analyzing the proposed alternative actions and
choosing one as its decision. thus, modern
management functions are information-
oriented more popularly known as
“management by information”. and the system
through which information is communicated to
the management is known as “management
information system (mis)”. the management needs full
information before taking any decision. good decisions can minimize
costs and optimize results. Management information system can be helpful to the
management in undertaking management decisions smoothly and effectively.
The management information system was started in SPL company in the year 1994. In the
initial stages the computers were not used for the
system it was manually done. The system was being
computerized in the year 1997 with just use of 2
computers. In 2000 all the computers in the system
were upgraded with the better technology. at
present it has a base of about 20 computers and 5
servers.computers and 5 servers with the best
technology available in the market.
At present the company has about 20 computers
connected with the help of large area network (LAN). It has 5 servers connected to this LAN.
It also has various other communication hardware’s like fax machines, etc. company uses the
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 97
custom made software called ‘trio’. This software has been developed by the company with
the help of various engineers, which is just used within the organization. This software helps
the organization in the best possible manner as it is being developed as per the workers needs.
The main advantages of this software are as follows:
It helps in invoice printing.
It helps in inventory control.
It is also equipped with accounting procedures.
It follows the way that the worker wants to make follow.
It helps to make the comparison charts, which very less programmes have.
The main source of the
data for preparing the
reports is the servers that
are connected to all the
computers in which the
data is being feed. All the
data is being stored in the
servers hence it is easier
and faster to find the data
as and when required.
All the computers
including the servers are being gives the access to internet. There is no extranet present in the
organization. Internet (e-mail) is used for sending the information to its customers, suppliers,
its manufacturing plant, etc. majority of times reports are being sent to the board through
internet. this is the best advantages’ it saves time and money of the organization also the
decisions can be taken very fast.
There are various processes in the organization, which are being computerized such as –
accounting, research and development, stock and inventory control, quality control, data
analysis, etc. about majority of the processes are being computerized in the organization.
Thus it helps in the better performance of the organization.
The company also maintains a database of all the information on the basic information of the
organization as well as the solution to all the problems that are being faced by the company
since last 7 years. This one of the best thing that can be found in this organization.
The management information system helps the organization in number of ways:
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 98
Speed: it is the main objective of using the computerized MIS. The reports that are
being required to be prepared can be prepared within no time.
Accuracy: it is also one of the important
advantages of using the system. the reports that are
being prepared are very much accurate providing
the information input is correct.
Storage: MIS system helps in storing the
information that can be used in the future. our
organization being having computerized mis
requires very much less space for storing the
information.
MIS reports: with the help of MIS it is easy to prepare reports required by the
management such as – comparative statements, fund flow statements, ratio statements,
stock analysis, sales and production analysis, etc.
Decision making: mis reports help in taking
faster decisions as the reports and information is
easily available which helps the organization
avoiding losses due to faulty decisions.
No repetition: mis system helps saving time of
the employees because all the statistical data
input at one place automatically gets at all the places hence avoiding the worker to do
tedious work.
The company does not use any readily available software in the market. Separate software is
being developed with the help of programmers according to the requirement of the
organization. Different type of software’s is being used for the different activities as follows:
APS AND FAS : financial accounting
MIS : stores and purchase
TOTAL QC : quality control
EXIIM : export and import
PAYROLL : personnel
Different type of special software’s is being used to cater different type of needs. This special
type of software helps to get the best possible solution for the related problems. As all the
software’s are being developed as per the needs of the organization, they get the better
control over the programs. All the software’s are made so that they can be easily integrated
with each other. Antivirus software from Norton and IBM is currently installed for security
reasons.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 99
Chapter 10
IDENTIFICATION OF PROBLEMS OR ISSUES
10.1 Marketing Problems of SPL
After analyzing its present market expansion strategies, the following problems have been
found in it:
1. It seems that SPL pursuing “prescription for profit” strategy for market penetration. It is
partially good, but may not be perfect as the
completion is very hard. There are some other
parties who have the scope and ability to act as
“opinion leader” and to motivate the buyer.
These potential “opinion leaders” are remaining
unexploited. SPL has enough resources to let them
add value to the company.
2. I didn’t find SPL adopting any strategy to create
brand loyalty. But client is more profitable than customer in terms of both transaction as well
as positive word-of-mouth communication. He himself can be an opinion leader.
3. Holding the heaviest product portfolio should not be the ultimate goal at all. Emphasis
must be given on how early a new product can be launched in the market place than the
competitor.
4. At present, SPL gets only 20% raw materials from its rabale plant and the rest are to be
imported. It increases product cost.
5. Market should not be segmented only on the therapeutic drug basis.
6. Pharmaceutical value chain is a bit different from traditional value as it includes an
additional step in the start “Discovery”. This step is a vital strength of any pharmaceutical
company. SPL lacks this component in its value chain.
10.2 HR Department Problems of SPL
During my stay, I have found following main problems which I discussed with HR
Manager.
Serious shortage of employees in some production departments and sections.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 100
In Sanjivani, interviews are not conducted for lower level employees.
There are no formal training programs for new incumbent.
Strict beurucratic style of management.
Short term planning for human resource.
Forecasting of human resource need is based on subjective judgment.
Orientation & training period of new incumbent are very short and new
employee has to learn everything from his mistakes.
Promotion policy of Sanjivani is not clear.
There is job dissatisfaction and very low motivation on the staff
10.3 Production Department Problems of SPL
In production department, most critical part is filling of BMR. Because it requires
great attention and accuracy also. But as I seen generally officers are so much busy
with their work (instructing to operators and workers).
Multitasking continuously affects work.
Lower level workers are not properly divided into different departments.
Few peoples are only are machine operators their absence effects production flow.
In night shift only two chemists handle the work.
10.4 Finance Department Problems of SPL
Working on the financing procedure of SPL was an interesting issue. The following problems
are made on the basis of research work:
Yearly increment of salary is one of the major issues of labor rate increasing.
Sanjivani provides salary increment every year. Therefore, the cost of direct labor is
increased.
Time consuming decision making process.
Lack of asset management and debt.
Minimum profit in comparison with others.
The long-term creditors are not interested in company's ability to repay
Payments are not coming properly.
SPL heavily depend on local financial resources and are frequently the victims of
exploitation by the money lenders.
Delayed payment of dues to them or locking up of their capital in unsold stocks.
10.5 Regulatory Department Problems of SPL
Inadequate regulatory expertise and testing facilities to implement uniform standards
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 101
Need for greater thrust on institutional support to SPL to enable speedy
implementation of Schedule M up gradation and standardization of drug quality
Proliferation of spurious and substandard drugs in the Indian market
Dual licensing mechanism acts as a deterrent to uniform implementation of regulatory
procedures
Lack of transparency in licensing procedures.
Inadequate adoption of good manufacturing practices to meet global regulatory
standards.
10.6 IT Department Problems of SPL
Lack of adequate expertise, training for technological up gradation.
Limited adoption of information technology techniques in production and processes.
Shortage of IT staff.
SPL have not their own logistics software.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 102
Chapter 11
Solutions
11.1Financial solutions
SPL tries to ensure better quality and better management. The staffs demonstrate their
knowledge and experience with sheer professionalism. Despite these efforts some
shortcomings may remain and there is always an opportunity to overcome those. Throughout
my study I have found that they have some opportunity that they can take being taking proper
steps. On the basis of my understanding and observation I am proposing the following
solutions of problems to the Sanjivani Pharma:
Factory Overhead, Selling and
Administrative overhead:
Factory overhead, selling and administrative
overhead is increasing year to year. The
increasing trend is totally straight. Company
should control the overhead properly. We know
that company has no direct control over raw
material prices. In the increasing raw material
every company will be sufferer but company can
properly control the overhead. The control of
overhead is totally under the decision of the
management. Management should proper analysis of the overhead cost on the basis of this
analysis they should prepare budget. Company should not prepare the budget on the basis of
the requirement of the department demand. Cost manager should have proper knowledge
about the all departments’ functions and activities properly.
Petty Cash Expenses:
Sanjivani distributes their goods through stockiests. They gets commission for their activities.
Stockiest takes their expenses from daily cash collection for expenses of distribution.
With the working with the petty cash sections I have shown that depot of the stockiest
overstate their expenses. For these activities the overhead cost is increasing day by day.
Proposed Policy: Sanjivani Pharma should make budget for the daily expenses. Through
proper budgetary control and research on that will minimize the expenses. SPL should set out
daily allowance of the depot of stockiest on the basis of the proper study and observation.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 103
Management should emphasis to reduce the differences between Average collection period
and average payment period. It wills results liquidity of the company.
Management should try to boost up its quick and current rations & the earnings per share.
11.2 Production solutions
As I discussed that BMR is not accurate, So I suggest that company has to use on line
BMR program, which has following benefits:
Increase accuracy.
System properly followed.
Save time of officers.
Easy to preserve for (2 to 3 years) long time.
Easy to retrieve data from any BMR.
All statistical calculation became automatic.
Also help to planning activities of different areas.
In my project duration, I observe so many waste or misuse of stationeries; employees
blindly print material which they want.
11.3 Marketing solutions
Sales agents are expected to market themselves and their brand in a way that is convincing to
physicians in order to gain the sale. For this reason, agents' attention also extends to nurses
and administrative staff who can assist with scheduling and physician communication. To get
your foot in the door and win over potential clients, use simple yet believable marketing
techniques.
Meal Meetings
Hosting a dinner meeting for physicians and nurses to give information about your
products is a convincing way to market. Organize a catered dinner meeting at a local
restaurant’s separate dining room, and give an informational presentation. Make use
of this time by providing plenty of information in an organized folder or notebook that
can be given to attendees. This is an opportune time to provide samples for physicians
to take back to their offices or schedule meetings to discuss their needs.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 104
Informative Handouts
Prepare information packets with detailed information regarding your product and its
uses. The documents you present should be clear and professional. Each packet
should be consistent and professionally produced to represent a professional image of
your brand. Have enough materials handy for nurses and unconfirmed arrivals to your
meetings and appointments.
Promotional Items
Get promotional items such as pedometers, stress balls and pill boxes that have your
logo on them. Hand these out as you encounter potential clients and to accompany
your sales packets. Pharmaceutical promotional supply company Pharma-Insight, Inc.
specializes in medical-related gifts and promotional items that can be used to market
your brand. The company focuses on handy products that have health care staff in
mind including pill splitters, medicine measurers and thermometers.
Fairs, Expos and Conferences
Attend health related fairs, expos and conferences. These events are frequented by
medical professionals, as the hosts of these events, exhibitors and attendees.
Coordinate with event producers to secure a spot to present a specialty workshop or
host after-hours events for targeted physicians at a local restaurant or private hotel
dining area. If the conference is at a resort property, book a suite where you can host
an information reception or networking mixer in your room to entice potential clients
about your brand. This will build rapport and brand recognition.
11.4 Human resources solutions
The belief “Great People Create Great Organizations” has to be at the core of the
Company's approach to its people.
Their employees are most important assets and source of competitive advantage. Company
success depends entirely on the strength of talent pool which they have to build by fostering
an environment and continually investing in them to enable them to deliver superior
performance. Human Resources strategy is aimed at talent acquisition, development,
motivation and retention.
SPL has to focus on following steps:
Hiring People: Hiring right is the first step, often by tapping into the networks of existing
members.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 105
Energizing Existing People: Engaging and energizing the existing work, building a pipeline
for the future and creating an exciting work place.
Reviewed Policies: The focus was to make the policies employees friendly keeping in view
employees specific needs. The HR policies are being reviewed and benchmarked with world
class organizations.
Accountability: Team Leaders review the results and act on the opportunities identified to
improve engagement. Everyone responsible for own task.
Employees Relations: A healthy Employee Relations environment was maintained across
the organization in line with the Company's business goals and mission.
11.5 Regulatory solutions
SPL has to adopt prudent risk management measures and mechanism to mitigate
environmental, operational and business risks.
Price Control:
Risk: - The domestic market is subject to price control under Drug Price Control Order
(DPCO), 1995. In the event Government reduces the prices of Company's products under
DPCO or introduces price control on products currently not subject to such control, the
profits margins could be significantly affected.
Concern: - The Company has to manage its product portfolio so as to minimize the product
weightage of drugs under price control. Prudent procurement strategies and forecasting
systems will help the Company to sustain its profitability.
Intellectual Property Right (IPR) Regime:
Risk: - Patent laws in respect of pharmaceutical product have been changes effective 1st
January, 2005. This would mean that pharmaceutical product patented after1st January, 1995
can no longer be copied through process re-engineering. This has narrowed the choice of new
product which the company can introduce in the market. Indian market being price sensitive
is less likely to see significant penetration of patented molecules.
Concern: - Generic versions of out-of-patented life cycle.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 106
Chapter 12
Recommendations
12.1 NEW CATEGORY OPINION LEADER
Doctors are the only opinion leader in SPL’s present strategy. It may be partially good, but
cannot be perfect as the completion becomes more intense day by day. There are some other
parties who have the scope and ability to act as “opinion leader” and to motivate the buyer.
These potential “opinion leaders” are remaining unexploited. SPL has enough resources to let
them add value to the company.
Hereby I am proposing a hypothetical model to correct this strategy-
In this model, Retailers have
been selected as new opinion
leader, besides the doctors &
physicians.
In return, they will enjoy
above average profit margin
by selling SANJIVANI product.
12.2 KEEP PACE WITH THE RACE
Today’s world is changing very rapidly, in every sphere. Therefore, updating production
plant alone is not enough to cope with the new environment. SPL has to have a keen eye if
there is any change in HR development, transport, information technology, consumer relation
management, medical science and so on.
12.3 SEGMENT THE CURRENT MARKET SEGMENT
SPL is in need of more segmentation tools in an ongoing effort to establish close and
sustainable relationships with customers.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 107
12.4 CUSTOMER ONCE, CLIENT FOR EVER
Client is more profitable than customer in terms of both transaction as well as positive word-
of-mouth communication. He himself can be an opinion leader.
So, I am suggesting to adopt some programs that will let its customers be transformed into
clients. The following model would better describe this concept:
SPL has a strong brand image
in pharmaceutical industry. It
will facilitate this strategy.
I am citing some instances
here which may be useful for
this strategy:
a. Use of penem in ICU.
b. Health awareness program
in rural area.
c. Modernization of
educational institute or public
hospital etc.
12.5 INTEGRATE GREATLY
SPL imports 80% raw materials of its total requirements. This is an weakness if it wants to
consistently expand its market. So it require either more API plants or increase in present
production capacity.
11.6 DISCOVER THE UNDISCOVERED
Pharmaceutical value chain is a bit different from traditional value as it includes an additional
step “Discovery”. in the start This step is a vital strength of any pharmaceutical company.
SPL lacks this component in its value chain.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 108
Chapter 13
Learning from IP
Working at SPL has provided me with an invaluable experience of how the Production
matters are run and solved. I had chosen to go into this field because of the interest I have in
operation.
From the entire above project I have gained a lot of practical experience of the work. I saw
how work is done practically in organizations. I saw practical application of my theoretical
knowledge. It was a great learning experience, but I observed something which I feel not a
good practice. Basic pay of line workers disappointed me the most.
There are many things that are still in books and remain in books. I think, organizations, in
the process of reducing costs and competing globally, should not forget basic ethics, which
are the essence of a good organization.
During my stay in SPL, I have analysed their existing human recourse system and seen that
how they are applying the Recruitment & Selection process (from job analysis to selection of
employees) and I have seen that company recruit all those persons who are eligible to his
criteria whether they are internal or external. It was also observed that layoff, termination,
demotion and retirement polices are not clear as a result the moral of key employees were
found at low level.
Apply knowledge learned in the classroom. Again, there’s a big difference between
learning about strategies and tactics and actually applying them. Interning for an organization
helps me learn how their classroom knowledge applies to real situations and reinforces
concepts taught in classes.
Gain valuable work experience. In most fields, no longer can a college graduate land an
entry-level job with merely a bachelor’s degree and no prior work experience. Internships
help me to get this real-world experience while still in college. Internship programs are a
great way to generate more work samples for us professional portfolio and give us
accomplishment stories for our resume and online profiles.
Develop and build upon skills. Learning new skills in an internship will help me in future
employment opportunities and might give me a leg up on competition in future application
processes.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 109
Chapter 14 Reference Section
Appendix 1 BIBLIOGRAPHY
JOURNALS
Dun & Bradstreet. 2007. Report on Emerging Pharmaceutical SMEs in India
Pradhan, JP. 2007. New Policy Regime and Small Pharmaceutical Firms in India.
ISID Working Paper
Pradhan, JP. 2006. Global Competitiveness of the Indian Pharmaceutical Industry
(Accessed at website: http://mpra.ub.uni-muenchen.de/12340/). MPRA Paper No.
12340. Posted on December 23, 2008.
Sahu, PP. 2006. Adoption of Improved Technology in India’s Small Scale Industries.
ISID Working Paper
Planning Commission of India. 2006. ‘Report of the Working Group on Drugs and
Pharmaceuticals: Eleventh Plan’.
Annual Reports of Sanjivani Parenteral Ltd.
BOOKS
Prof. Krishan Murthi. (2008). A Handbook of Employees Relations and Labour Laws
in India. (1st ed.). Mumbai, India: NAD International Press.
David A. Decenzo & Stephen P. Robbins (2004). Fundamentals Of Human Resource
Management. (8th
ed.)
Marketing research By N.K Malhotra
financial management - I.M. Panday
Websites:
http://www.sanjivani.co.in
www.pharmainfo.net
http://biotechindia.wordpress.com/2008/02/22/an-overview-of-the-indian-
pharmaceutical-industry/
http://ezinearticles.com/?Impact-of-Product-Patent-on-FDI-in-Indian-Pharmaceutical-
Industry&id=89594)
http://www.rediff.com/money/2004/aug/27pharma.htm
PERSONS
Ashwin khemka, Prashant Parab , Pramod Singh, Pramod Sharma , Hitesh
Khona,Mahendra Kalwankar , Priya Sukhdeve, Aakash Patil , Sachin Shinde etc…..
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 110
Appendix 2 QUESTIONNAIRE
Name: ……………………………………………………………
Name of shop: …………………………………………………………..
Contact no. : …………………………………………………………..
1. Which drugs do you have for a ICU? (Give the name of 3 main drugs)
1……………………………………………….
2……………………………………………….
3………………………………………………
2. Do you have Penem and Prazosan?
Yes No
3. Which brands are available in your shop and also mention the price of drug?
Meropenem Rs.
1……………………………………… ( )
2……………………………………… ( )
3……………………………………… ( )
4……………………………………… ( )
Cefrobactum Rs.
1……………………………………… ( )
2……………………………………… ( )
3……………………………………… ( )
4……………………………………… ( )
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 111
4. Which doctors are prescribing these medicines? (Write name with specialization area of
doctor)
Name Specialization
1. Dr……………………………………….. ( )
2. Dr………………………………………… ( )
3. Dr……………………………………….. ( )
4. Dr………………………………………….. ( )
5. Dr…………………………………………. ( . )
5. Which drug is selling mostly?
6. Give reasons for your answer.
1……………………………………………....
2……………………………………………….
7. What is present situation of Dr. Reddy’s products?
Very good Good Above avg.
Average Below avg. Bad
8. What are the reasons for this situation?
1……………………………………………………
2………………………………………………
9. Any opinions for company to raise the product’s market share.
1……………………………………………………
2………………………………………………
3……………………………………………………
4……………………………………………..
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 112
Appendix 3 APPOINTMENT LETTER
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 113
Appendix 4 COMPANY CERTIFICATE
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 114
List of Abbreviations
AC / DC ASSISTANT COMMISSIONER OR DEPUTY COMMISSIONER
ANDAS ABBREVIATED NEW DRUG APPLICATION
API ACTIVE PHARMACEUTICALS INGREDIENTS
APS ADMINISTRATIVE POLICY STATEMENTS
BM BRANCH MANAGER
BMR BATCH MANUFACTURING RECORD
CAGR COMPOUND ANNUAL GROWTH RATE
CNS CENTRAL NERVOUS SYSTEM
CVS CARDIOVASCULAR SYSTEM
DHS DRY HEAT STERILIZATION
DMFS DRUG MASTER FILES
DTC DIRECT-TO-USERS
DTP DIRECT-TO-PHYSICIAN
EMR EXCLUSIVE MARKETING RIGHTS
FAS FINANCE PROCEDURAL STATEMENTS
FO FILLING OPERATION
GATT GENERAL AGREEMENT ON TRADE AND TARIFF
GMP GOOD MANUFACTURING PRACTICES
ICU INTENSIVE CARE UNIT
ILTC INTERMEDIATE AND LONG-TERM CARE
IPR INTELLECTUAL PROPERTY RIGHTS
LAL LIMULUS AMEBOCYTE LYSATE
MMS MASTER IN MANAGEMENT STUDIES
NGOS, NON-GOVERNMENTAL ORGANIZATION
NLT NOT LESS THAN
NMT NOT MORE THAN
NPPA NATIONAL PHARMACEUTICAL PRICING AUTHORITY
OTC OVER THE COUNTER
PATM PROFIT AFTER TAX MARGIN
PBIDTM PROFIT BEFORE INTEREST DEPRECIATION AND TAX MARGIN
PTR PRICE TO RETAILERS
PTS PRICE TO STOCKIEST
RFC ROLLING FORECAST
SPL SANJIVANI PARENTERAL LTD.
UN UNITED NATION
UTL UNIMED TECHNOLOGIES LTD
WHO WORLD HEALTH ORG.
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 115
INTERNSHIP REPORT ON SANJIVANI PARANETRAL
BES’s Institute of Management Studies and Research Page 116