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ORGANIZATION STUDY ON UNICHEM LAB. LTD.
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Introduction to Organization Study
Introduction:
This is an overall study of the organization of Unichem laboratory Ltd. where it’s
working environment and various policies and practice are studied
OBJECTIVES OF THE STUDY:
1. To familiarize with a business organization
2. To familiarize with the different departments in the organization and
their functioning.
3. To enable to understand how the key business process are carried out in
organizations.
4. Understand how information is used in organization for decision making at
various levels.
5. To know the history about the company.
6. To get clear cut idea about the management and administration.
7. To know about the industrial relation in the company.
8. To analyze the strength and weakness.
9. To get clear cut idea about the various departments and functions.
10. To give findings and solutions.
11. To relate theory with practice.
City College Dept. of Management Studies 1
INDUSTRY PROFILE
The Indian pharmaceutical industry is one of the developing world’s largest and most
developed, ranking 4th in the world in terms of production volume and 13th in
domestic consumption value. India’s industry, valued at $5.3 billion in 2005,
represents less than one percent of the global pharmaceutical industry ($550 billion).
Over the last 30 years, India’s pharmaceutical industry has evolved from almost
nonexistent to a world leader in the production of high quality generic drugs. India
has garnered a worldwide reputation for producing high quality, low cost generic
drugs. The industry currently meets India’s demand for bulk drugs and nearly all its
demand for formulations, with the remainder supplied by foreign multinational
corporations (MNCs). India’s pharmaceutical industry is one of the fastest growing
segments of the Indian economy with an average annual growth rate of 14 percent
during 2002-2005. Overall, the Indian market for pharmaceuticals is projected to
grow at an average annual rate of between 15 and 20 percent during 2005-2010. The
surge in production has been driven by legislative reforms, the growth in contract
manufacturing and outsourcing, value added foreign acquisitions and joint ventures,
India’s mastery of reverse engineering of patented drug molecules, and India’s efforts
to comply with its World Trade Organization (WTO) Trade Related Intellectual
Property Agreement obligations. When India joined the WTO in 1995, its
pharmaceutical exports were valued at less than $600 million. By 2005, its exports
had grown to $3.7 billion and accounted for more than 61 percent of industry
turnover. Currently, Indian pharmaceutical companies produce between 20 and 22
percent of the world’s generic drugs (in value terms) and offer 60,000 finished
medicines and nearly 400 bulk drugs used in formulations.4 With changes in India’s
patent laws in the early 1970s, Indian drug producers became experts in ‘reverse
engineering’ and increased its supply of less expensive copies of the world’s best-
selling patent protected drugs. India’s pharmaceutical industry grew and prospered in
a highly regulated environment with government price controls on a significant
number of formulations and bulk drugs. In January 2005, India amended its patent
laws governing pharmaceuticals, bringing them into conformance with the WTO
TRIPs agreement. Under the new patent law, Indian drug markers can no longer
manufacture and market reverse-engineered versions of drugs patented by foreign
City College Dept. of Management Studies 2
drug producers. To replace sales lost to TRIPs compliance, many of India’s leading
pharmaceutical producers have increased their exports of generic drugs to the United
States and Western Europe and entered into research and development agreements,
mergers and acquisitions, and other alliances with foreign pharmaceutical firms.
India’s Pharmaceutical industry: Independence to 2005
At the time of independence in 1947, India’s pharmaceutical market was dominated
by Western MNCs that controlled between 80 and 90 percent of the market primarily
through importation. Approximately 99 percent of all pharmaceutical products under
patent in India at the time were held by foreign companies and domestic Indian drug
prices were among the highest in the world. The Indian pharmaceutical market
remained import-dependent through the 1960s until the government initiated policies
stressing self-reliance through local production.5 At that time, 8 of India’s top 10
pharmaceutical firms, based on sales, were subsidiaries of MNCs. To facilitate an
independent supply of pharmaceutical products in the domestic market, the
government of India founded 5 state-owned pharmaceutical companies.6 Today, India
is the world’s fifth largest producer of bulk drugs. Government policy culminated in
various actions including: the abolition of product patents on food, chemicals, and
drugs; the institution of process patents; the limitation of multinational equity share in
India pharmaceutical companies, and the imposition of price controls on certain
formulations and bulk drugs. Subsequently, most foreign pharmaceutical
manufacturers abandoned the Indian market due to the absence of legal mechanisms
to protect their patented products. Accordingly, the share of the domestic Indian
market held by foreign drug manufacturers declined to less than 20 percent in 2005.
As the MNCs abandoned the Indian market, local firms rushed in to fill the void, and
by 1990, India was self-sufficient in the production of formulations and nearly self-
sufficient in the production of bulk drugs.
Strengths and weaknesses of India’s pharmaceutical industry:
India’s comparative advantages lie in its cost competitiveness, its reverse engineering
experience, its large pool of less expensive English-speaking scientific and
engineering workers, and its well-developed chemical industry infrastructure.Today,
India produces some of the cheapest drugs in the world, especially because labor costs
are 50 to 55 percent cheaper than in the West.50 Industry experts indicate that
City College Dept. of Management Studies 3
infrastructure costs are 40 percent lower and fixed cost are estimated to be 12 percent
to 20 percent less that in the United States and Western Europe. Consequently, India
can produce bulk drugs that cost 60 percent less that in the West and can open a
production plant in India 40 percent cheaper than in developed countries. Because of
this, India has become a hub for pharmaceutical research and development and
clinical trials for many leading foreign pharmaceutical companies.
City College Dept. of Management Studies 4
COMPANY PROFILE
Introduction:
In Himachal Pradesh, the 'Dev Bhumi' or the land of the gods, renowned in India for
its mythological nexus and beautiful landscapes, is situated an upcoming industrial
township - Baddi.
Baddi is located about 45 kms from the architectural paradigm, Chandigarh, the town
is surrounded by lush green hills of the Shivalik range of mountains. In the far end of
the town, at the foothills, you come across a structure, which nestles in its ambiance, a
visual delight. This is the state-of-the-art pharmaceutical manufacturing unit of
Unichem Laboratories Limited, merging aptly into its backdrop, yet starkly standing
alone in its individuality.
The World class Baddi plant houses the manufacturing facility for different
formulations of Beta Lactam range of antibiotics.
Unichem brings to the customer a blend of modern-day research and nearly six
decades of rich experience in the Indian pharmaceuticals industry. The Company was
promoted by the late Mr. Amrut Mody, a pioneer in the Indian pharmaceuticals
business.
Even though formulations account for a significant portion of Unichem's revenues,
the Company also manufactures active pharmaceutical ingredients (API or bulk
actives). The Company has prudently addressed relevant and growing therapeutic
areas like gastro-intestinal, cardiovasculars, diabetes, psychaitry, neurology, anti-
bacterials, anti-infectives and pain management, among others.
Unichem is headquartered in Mumbai with five manufacturing locations in Roha
(Maharashtra), Goa, Ghaziabad (Uttar Pradesh), Pithampur (Madhya Pradesh) and
Baddi (Himachal Pradesh). The Company's facilities enjoy credible certifications: for
instance, the Goa plant has been approved by UK MHRA (earlier MCA), MCC
(South Africa), WHO (Geneva) and TGA (Australia). The Baddi plant has been
City College Dept. of Management Studies 5
approved by UK MHRA and MCC (South Africa). The Company has received ISO
9001:2000 for all its plants and corporate office. Similarly the Company has received
ISO14001:1996 certificates for its formulation plants ( Goa, Ghaziabad and Baddi)
and Corporate Office at Mumbai.
As a future-focused initiative. Unichem has expanded its Research and Development
facility in Jogeshwari (Mumbai) to spearhead research in Novel Drug Delivery
Systems (NDDS) and develop non-infringing routes for the manufacture of products
directed at the regulated markets. The Company has also funded a collaborative
research with the Indian Institute of Sciences, Bangalore. Unichem's growth strategy
is fueled and backed by more than 2400 talented and motivated human resources.
Product manufactured in Baddi plant of UNICHEM LABS. LTD.:-
Beta lactum antibodies
Ampillin and cloxacillin antibodies.
Ampoxin (injection, capsules, kid tabs, neonate, & dry syrup)
Sulbacin injection.
Mymox capsules.
Myclave tablets.
Unienzyme tablets.
City College Dept. of Management Studies 6
BADDI PLANT VIEW:-
Regulatory Approvals
Approved by World Premier Regulatory Bodies - WHO, MCC - South Africa
and MHRA-UK.
Installed Capacity
Dosage Form Million/Annum/Per shift
Capsules 225
Vials 20
Tablet 48
Dry Syrup 06
City College Dept. of Management Studies 7
HISTORY/Milestones:-
2006
Unichem Specialities Division Launched
Acquisition of 100% stake in Niche Generics Limited, United Kingdom
2005
Set up of New Pharma Technology Development Center at GOA
Baddi Unit II plant was commissioned
Unichem acquired API manufacturing unit at Pithampur
2004
Restructuring of Unisearch & Launch of Unisearch CD Division
2002-2003
Animal Healthcare division divested
Subsidiaries in South Africa & Brazil established
Modernization of Ghaziabad formulations plant
2002
Established Joint Venture in UK called Niche Generics Limited
2001
New R&D Centre set up at Mumbai.
New Biosciences R&D Centre set up at Bangalore for research work in Bio-
technology
2000
Corporate Vision till 2005 unfolded
South African Health Authority Certifications for Goa and Baddi Plants
Bonus Issue 1:1
UK MCA (MHRA) certification for Goa & Baddi Plants
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1999
Modern Multipurpose Bulk Drug plant set up at Roha
MOLECULAR GENERICS DIVN Launched
1998
Baddi formulations plant fully operational
1997
Goa formulations plant fully operational
New Corporate office set up at Unichem Bhavan Jogeshwari, Mumbai.
1996
Merger of Unichem Exports Ltd. & Unisearch Ltd. with Unichem
Laboratories Ltd
1994
Bonus Issue
First major capital infusion in the Company. Private Placement of shares @
Rs. 265 premium
1993
Right issue @ Rs.40/- per share
Restructuring & transformation of the company inline with future growth
strategies
1987
Entered Animal Health Care business
1986
Bonus Issue
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1984
UNISEARCH Ltd. set up in Collaboration with Upjohn
Unichem entered the anti-biotic segment - Ampoxin launched
1983
US FDA approval for Hydrochlorothiazide at Jogeshwari plant
Anti-TB - Isoniazid, Rifampicin introduced in white tablet form for the first
time in India – Anticox
1979
NEFEDIFINE - Unichem first to get clearance from Drug Authorities
1978
Bonus Issue 1:4
Roha Bulk Drug Plant established (Backward Integration)
1976
Fine Chemicals unit at Roha was set up
1975
Bonus Issue 1:7
1973
Unichem's Research Laboratory recognised for Phd work by Bombay
University. Unichem's R&D Centre recognised by Department of Science &
Technology
1972
Padma Bhushan awarded to Late Mr. Amrut Mody for his pioneering efforts
in Indian Pharma Industry
1970
Backward Integration for manufacture of Anti-TB Drugs
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1968
Ghaziabad formulations plant setup
1963
Tie up with Uni Sankyo - Co-Marketing formulations
1962
Foreign Collaboration with UCB for bulk-drugs
First Formulation plant at Jogeshwari
Unichem became Public-Listed on BSE - Total Share Capital 44 lacs
(October)
OESTROGEN & Progestin combinations launched
1953
Unichem entered into Hormonal products
UNIPROGESTIN launched
1952
First exports of Unichem
1944
Unichem was set up by Late Mr. Amrut Mody
ORGANISATIONAL CHART
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Board of Directors
Managing Director
Vice President HRD &
Personnel
Vice President
R&D
Vice President Projects
Vice President
Marketing
Regional Sales
Manager
Sales Officer
Market Intelligent Assistants
HRD Manager
Assistants Manager Accnts
Manager Tax
Factory Accnts.
HRD Manager
Quality Assts.
Project Manager
Asst. Mrkg. Mgr
Field Officers
Market Intelligent System
Marketing Manager
Vice President Finance
Vice President
Sales
Regional Mrkg. Mgr
Asst. Manager
City College Dept. of Management Studies 12
ORGANISATIONAL CHART OF PANNNISSERY UNIT
DIRECTOR V. PRSDNT
MAINT. DEPT
ACNTS DEPT
STORE DEPT
R&D DEPT
PURCHS
DEPT.
QLTY DEPT.
PRODN. DEPT
PERS DEPT
MAINT. IN-CHRG
STR KEEPER
PUR .IN CHARGE
PROD. IN CHARGE
ACCOUNTANT
R&D IN-CHRG
QLTY CTRL CHMST
PERS. IN-CHRG
MAINT. STAFF
ASSTS. ASSTS.
SUPRVSR
WORKMEN
BOARD OF DIRECTORS
City College Dept. of Management Studies 13
Dr. Prakash Amrut Mody
Dr. Prakash Amrut Mody is a doctorate in Organic Medicinal Chemistry from
University of Bombay and graduate alumni of Harvard Business School. He is
associated with various industry associations. He serves on the Board of M/s. Kewal
Kiran Clothing Limited and on all Subsidiary Companies of Unichem. He was
appointed Chairman and Managing Director in 1999. He is the Chairman of the
Management Committee of Unichem.
Mr. Bhoopendra Kumar Sharma
Mr. Bhoopendra Kumar Sharma holds a Masters degree in commerce from Agra
University and a Postgraduate Diploma in Personnel Management from Delhi
University. He was appointed as our Executive Director in 1994. Prior to this
appointment he was Vice President in charge of operations and marketing since 1989.
He joined the Company in 1969 and was in charge of operations of our Ghaziabad
plant till 1989.He serves on the Board of all Subsidiary Companies of Unichem. He
has served on the Board of Unichem since 1994. He is a member of the Management
Committee and Shareholders Grievance Committee of Unichem.
Mr. Prafull Anubhai
Mr. Prafull Anubhai, is a management consultant and is associated with educational,
research and cultural institutions like Indian Institute of Management (IIMA),
Ahmedabad Education Society (AES), Centre for Science Technology and Policy
(CSTEP), ATIRA, Saptak (An Indian Classical Music organization) etc. He has done
his B.Sc.(Econ.) from the London School of Economics and attended PMD at
Harvard Business School. He has 30 years of experience in top management of
Textile and other businesses. He serves on the Boards of Torrent Cables Ltd., The
EMSAF – Mauritius (The Emerging Markets South Asia Fund), Mahavir Spinning
Mills Ltd. (Vardhman Group), Birla Sun Life Trustee Co. Pvt. Ltd. etc. He has served
on the Board of Unichem since 1979. He is the Chairman of the Audit Committee and
member of the Compensation Committee of Unichem.
Mr. Ramdas M Gandhi
City College Dept. of Management Studies 14
Mr. Ramdas M Gandhi is an advocate and solicitor by profession. He holds a Masters
degree in law from University of Bombay. He was enrolled as an attorney at law in
the High Court of Mumbai in 1956. He also served as partner in a leading law firm in
India namely M/s. Bhaishanker Kanga & Girdharlal, and of M/s. Manilal Kher
Ambalal & Co. He presently serves as director in Pidilite Industries Limited, Aarti
Industries Limited, Vinyl (India) Chemicals Limited and Aarti Drugs Limited. He has
served on the Board of Unichem since 1985. He is the Chairman of the Shareholders
Grievance Committee and member of Audit Committee, Compensation Committee
and Management Committee of Unichem.
Mr. Nasser Munjee
Mr. Nasser Munjee holds a bachelor degree in economics from the London School of
economics, a master of economic degree from the London School of economics.
Presently, he is Chairman of Development Credit Bank Limited. He has served as
Managing Director and CEO of Infrastructure Development Finance Company and as
Executive Director of Housing Development Finance Corporation. He also has
handled consultancy assignments of World Bank, Asian development bank, UN
Habitat Centre and UNCDF. He serves on the Board of many leading Indian and
multinational companies including Cummins India, Gujarat Ambuja Cements
Limited, HDFC Limited, Voltas Limited, Maharashtra Airport Development
Company Limited, etc. He has served on the Board of Unichem since 2003. He is a
member of the Audit Committee of Unichem.
Mr. Prafull D. Sheth
Mr. Prafull D. Sheth currently serves as Vice-President, Federation of Asian
Pharmaceutical Association, Manila, Philippines, Professional Secretary, SEAR
Pharma Forum (South East Asian FIP-WHO Forum of National Pharmaceutical
Associations) and Member, Executive Committee, Community Pharmacy Section,
International Pharmaceutical Federation. He has served as Executive Director of M/s.
Ranbaxy Laboratories Limited, and as President of Indian Pharmaceutical
Association. He has been on the Board of Unichem since 2003. He is the Chairman of
the Compensation Committee of Unichem.
Mr. Anand Y Mahajan
City College Dept. of Management Studies 15
Mr. Anand Y Mahajan is the Managing Director of Grindwell Norton Limited and the
General Delegate of Compagnie de Saint-Gobain responsible for India, Sri-Lanka and
Bangladesh. He has served on the Board of Unichem since 2005.
City College Dept. of Management Studies 16
VISION
"To be a global Pharmaceutical company with increasing focus on innovative
research and developed markets"
MISSION
"To be a caring Pharmaceutical company helping to enhance health through quality
products"
OBJECTIVES OF THE COMPANY
1. To setup and carry out research and development for the manufacture
and development of antiseptic soaps, toothpastes, tooth powder etc...
2. To carry out the business as manufactures, producers, investors,
converters, sellers, packers, movers, stockiest, agents, merchants,
distributors, consignors, jobbers, or otherwise deal in all kinds and
varieties of products used for as personal care, health care etc. But in
future company has a plan to produce anti HIV drugs.
SOCIAL OBJECTIVES
Provide employment to the people, who live in and around the
production units
Increase the standard of living of the people
Carry out good business practices for the enrichment of the society as a
whole
Contribute to the nations wealth
Extends help for the promotion of education and for the welfare of the
society
City College Dept. of Management Studies 17
PRODUCT PROFILE:-
1. Active Pharmaceutical Ingredients
Sr.
No.
Current Product List Therapeutic uses
1 Amlodipine Besylate Anti Hypertensive
2 Amlodipine Maleate Anti Hypertensive
3 Bendroflumethiazide Anti Hypertensive, Diuretic
4 Bisoprolol Hemifumarate B-Blocker
5 Brimonidine Tartrate Anti Glucoma
6 Buprenorphine
Hydrochloride
Post Operative Analgesic
7 Clonidine Hydrochloride Anti Hypertensive
8 Hydrochlorothiazide Anti Hypertensive,Diuretic
9 Leflunomide Immunomodulator,
Antirheumatic
10 Meloxicam COX II Inhibitor
11 Metronidazole Anti Protozoal / Anti Amoebic
12 Sertraline Hydrochloride Anti Depressant
13 Telmisartan Anti Hypertensive
14 Tizanidine Hydrochloride Muscle Relaxant
City College Dept. of Management Studies 18
ANOTHER PRODUCTS:-
City College Dept. of Management Studies 19
Sr.
No.
Product List Therapeutic uses
1 Aripiprazole Antipsychotic
2 Eprosartan
Mesylate
Anti Hypertensive
3 Escitalopram Anti Depressant
4 Lamotrigine Anti Epileptic
5 Levetiracetam Anticonvulsant
6 Losartan
Potassium
Anti Hypertensive
7 Pantoprazole
Sodium
Anti Ulcerative
8 Rosuvastatin HMG-CoA Reductase Inhibitor
9 Zafirlukast Anti Asthmatic
10 Alfuzosin Alphablocker
11 Amiodarone Anti Arrhythmic
12 Erdosteine Mucolytic
13 Eszopiclone Anti Insomnia
14 Quetiapine
Hydrochloride
Anti Psychotic
15 Ranolazine Anti Anginal
16 Venlafaxine Anti Depressant
Proposed in
the near future
Veterinary Products:-
Having been deeply imbibed with the philosophy of quality and reliability, Agvet
Unichem has been the first to introduce many revolutionary veterinary products.
The division has the most unique range of veterinary products that encompasses many
facts of ailments and treatments.
Duraprogen*
The No. 1 Progesterone brand in the country, it is
essential for initiating and maintaining pregnancy.
A durable support for pregnancy.
UNIMYCIN*
The pioneering introduction of Neomycin
antibacterial in veterinary as an injection & bolus.
Superior pharmacokinetics and higher uterine
levels of Unimycin eliminates the necessity for
any other intra-uterine theraphy.
LIVOFEROL®
A liquid feed supplement for cattle & poultry,
containing Iron, B-complex, Calcium and Liver
Fraction.
An ideal vitalizer that enhances production and
increases profits.
FAZOLE®
City College Dept. of Management Studies 20
A unique combination of two powerful antimicrobials against
anaerobic and aerobic micro organisms and protozoa.
UNIMIX*
A unique growth promoter & body defence booster.
It ensures a dual advantage of superior body weight gain and
increased body defence.
City College Dept. of Management Studies 21
3. DEPARTMENT STUDY & SWOT ANALYSIS:
3.1 DEPARTMENTS/FUNCTIONAL AREAS:
City College Dept. of Management Studies
FunctionalArea
H.R.
DEPARTMENT
Manufacturing
DepartmentFinancial
DepartmentMarketing
Department
22
MANUFACTURING DEPARTMENT:-
Quality assurance Department
A separate quality assurance department is functioning in this unit to ensure
that all the products meet the required quality. The quality assurance dept. is
entrusted with the responsibility of preparing quality control plans and
measures and evaluating product quality.
Important Function
1. The department makes sure that the raw materials comply with the
quality specifications by collecting samples. Raw materials are accepted
if it conforms to specified quality and are rejected if the raw materials do
not comply with the specified quality.
2. The department checks the quality of output after the completion of each
stage of production.
3. The department attends the customer complaints on quality aspects and
takes corrective action.
4. The department ensures that necessary actions have been taken for the
assurance of quality of the final product
City College Dept. of Management Studies 23
PURCHASE DEPARTMENT
The purchase department is responsible for the continuous availability of raw
material to the production department. The production department should see
that all the required materials are purchased at the right time in the right
quantity at the right price. Continuous availability of all the raw material are
necessary to keep the production flow uninterrupted. The company makes
purchases from suppliers outside as well as inside the state.
Purchase Procedure
The company prepares a detailed purchase budget at the beginning of every
year, which contains the item and quantity to be purchased of each item. The
bill of materials can also be used to know the requirement of raw materials for
a certain period of time. The purchase in-charge, after receiving the purchase
requisition form initiated by the storekeeper makes necessary arrangements for
inviting tender for supplier selection. The supplier selection then company
conducts vendor evaluation by collecting complete information about the
suppliers. While evaluating supplier’s information like creditworthiness, past
experience, delivery time, capacity to supply, mode of payment are collected
and evaluated. An approval list of suppliers is prepared after the completion of
vendor evaluation. After having selected the supplier, the purchase department
proceeds to place the order for materials, specifying the details of goods. The
purchase order contains details such as order number and date, suppliers name
& address, rate and number of items ordered, mode and date of delivery etc......
The dept sends reminder to supplier for the timely delivery of goods.
Goods are verified at the time of receiving with the help of delivery note sent
by the supplier and the purchase order. Quality assurance is done by quality
department by taking samples from the arrived materials. Goods are received
only after the completion of quality and quantity inspection. This follows the
preparation of material received note.
City College Dept. of Management Studies 24
RESEARCH & DEVELOPMENT
BIOSICENCES R & D
Biosciences Research Centre, Unichem Laboratories Ltd., Bangalore
The Biosciences Research facility is located at the Indian Institute of Science
Campus, Bangalore.
This well equipped laboratory became functional in April 2002
The Research centre has initiated collaborations with renowned scientists at
the Indian Institute of Science.
The major focus is on biologically active peptides of therapeutic value.
The centre has scientific / technical expertise in the areas of modern biology /
chemistry.
The Biosciences Division also interfaces with the R&D centre located at
Jogeshwari to explore newer avenues for novel drug discovery.
CHEMICAL R&D
Resources
State of art facility in 35000 sq ft.
Highly talented creative & energetic synthetic & analytical team
Well equipped library with online web search facility
Speciality Areas
Asymmetric Synthesis, Grignard reactions, High pressure reactions.
City College Dept. of Management Studies 25
STORES DEPARTMENT
Stores Department is responsible for storing materials and finished products.
Stores department is headed by storekeeper and he is assisted by assistants.
This unit has a centralized store and it is from here materials are dent to various
departments. The departments keep the finished good and all the raw materials
required for the production. Raw materials are issued according to the
requirements from respective departments.
Functions
1. The department checks the weights of the raw materials when they are
received.
2. The department issues raw materials to the production department.
3. The stores department maintains different types of books and registers for
the proper control of materials. Various records are maintained in stores
department are
1. Goods Received note
2. Stock Register
3. Material Purchase register
4. Quality Register (for recording items of low quality)
City College Dept. of Management Studies 26
MAINTENANCE DEPARTMENT
The maintenance department is responsible for the smooth and proper working
of all the machines. This department ensures that all the machines are
maintained properly which is necessary for the uninterrupted flow of
production. The maintenance department is headed by maintenance in charge
and he is assisted by maintenance staff. The maintenance department performs
mainly 3 types of maintenance works namely
Preventive maintenance
Periodic Maintenance
Break down Maintenance
PRODUCTION PROCESS:-
City College Dept. of Management Studies
SIFTERS MILLS GRANULATORS
FLUID BED DRYERS & PROCESSORS
COMPRESSIONCOATINGBLISTER PACKING MACHINES
27
Composition:-
Unichem Pharma is the flagship division of Unichem Laboratories. The division has a
diverse portfolio of over 25 brands in the day therapy areas of Pain management, Anti
infectives, Anti allergics, Digestives and Nutritionals.The division has attained
leadership in key segments of Cephalosporins and Anti-allergics with brands that
have been launched in the past 3 to 4 years. Key among these are Sefdin a brand of
Cerfdinir and Lezyncet the leading brand by volumes in the Levocetirizine market.In
fact many brands of Unichem Pharma feature amonth the top three brands of the
respective segment and three of the brands rank among the top 300 in the Indian
pharmaceutical industry.
Sr.
No.
Name of the
Formulation and
composition
SpecificationCOMPOSITION
Type Size
1 Ampoxin 250 Strip 10CAmpicillin 125mg & Cloxacillin
125mg
2 Ampoxin 500 Strip 10CAmpicillin 250mg & Cloxacillin
250mg
3 Ampoxin 250 Vial VialAmpicillin 125mg & Cloxacillin
125mg
4 Ampoxin 500 Vial VialAmpicillin 250mg & Cloxacillin
250mg
5 Ampoxin 1Gm Vial VialAmpicillin 500mg & Cloxacillin
500mg
6 Ampoxin Neonate Vial VialAmpicillin 50mg & Cloxacillin
25mg
7 Ampoxin Dry Syrup Bottle 30MLAmpicillin 125mg & Cloxacillin
125mg
8 Ampoxin Kid Strip 10TAmpicillin 125mg & Cloxacillin
125mg
9 Ampoxin - LB 250 Strip 10C Ampicillin 125mg & Cloxacillin
City College Dept. of Management Studies 28
mg125mg & Lactic acid Bacillus 60 X
106
10Ampoxin - LB 500
mgStrip 10C
Ampicillin 250 mg & Cloxacillin 250
mg & Lactic acid Bacillus 60 X 106
11 Anticox II Strip 4TRifampicin 450mg & Isoniazid I.P
300mg
12 Tuftax 0.75 G Vial VialCefotaxime 500 mg & Sulbactam 250
mg.
13 Tuftax 1.5 G Vial VialCefotaxime 1000 mg & Sulbactam 500
mg.
14 Celib 100 mg Strip 10 C Celecoxib 100 mg
15 Celib 200 mg Strip 10 C Celecoxib 200 mg
16 Domadol 50 mg Strip 10 C Tramadol Hydrochloride 50mg
17 Domadol 50 mg Ampoule5
*1MLTramadol Hydrochloride 50mg
18 Domadol 100 mg Ampoule 5*2ML Tramadol Hydrochloride 100mg
19 Erix 50 mg Strip 4T Sildenafil 50 mg
20 Flospar 200 mg Strip 6T Sparfloxacin 200mg
21 Frez DS Strip 10 TOfloxacin USP 200mg & Tinidazole
IP 600mg
22 Izra 20 mg Strip 10 T Esomeprazole 20 mg
23 Izra 40 mg Strip 10 T Esomeprazole 40 mg
24 M_Cam 15 mg Strip 10T Meloxicam 15mg
25 M_Cam 7.5 mg Strip 10T Meloxicam 7.5mg
26 Pronim Bottle 30ML Nimesulide 50mg
27 Pronim Bottle 60ML Nimesulide 50mg
28 Sefdin 300 mg Strip 6 C Cefdinir 300 mg
29 Sefdin Dry Syrup Bottle 30 ml Cefdinir 125 mg
30 Sefdin DT Strip 10 T Cefdinir 125 mg
City College Dept. of Management Studies 29
31 Sefdin LB 300 Strip 6TCefdinir 300 mg, Lactic Acid Bacillus
60 million spores
32 Unienzyme Strip 10T
Fungal diastase (1:800) 20mg, Papain
30mg, Simethicone 50mg, Activated
Charcoal 75mg, Nicotinamide 25mg
33 Zyncet Strip 10T Cetrizine Dihydrochloride B.P 10mg
34 Zyncet Syrup Bottle 60ML Cetrizine Dihydrochloride B.P 5mg
35 Etoxib 60mg Strip 10 T Etoricoxib 60mg
City College Dept. of Management Studies 30
FINANCIAL ANALYSIS:
Unichem Q1 FY06 Total Income at Rs. 1225.32 million and Net profit at Rs.
322.81 million
KEY HIGHLIGHTS:
Sales at Rs.1221.50 million as against Rs.1219.38 million in Q1 FY05; YoY
growth of 0.17%.
Profit before tax and extraordinary gains is at Rs.223.36 million in Q1 FY06
as against Rs.202.12 million in Q1 FY05. YoY growth of 10.51%
Net profit is at Rs 322.81 million as against Rs.144.05 million in Q1 FY05.
This translates to an annualized EPS of Rs.37.84 as against Rs.16.88 in Q1
FY05.
City College Dept. of Management Studies 31
Un-audited Financials Results for the Quarter Ended June 30, 2005
All figures in Rupees Millions
INCOME 30th
Jun'05
30th
Jun'04
%
Change
Sales/Income from operations (Gross) 1221.50 1219.38 0.17
Other Income 3.82 2.37 61.18
TOTAL INCOME 1225.32 1221.75 0.29
TOTAL EXPENDITURE
(Increase) / Decrease in Closing stock of
Finished and Semi-finished goods
27.61 4.21 555.82
Consumption of Raw/Packing materials 264.05 305.78 -13.65
Excise Duty 66.14 98.02 -32.52
Purchase of Finished goods 191.27 189.37 1.00
Staff cost 116.77 100.70 15.96
Other expenditure 300.34 293.10 2.47
Interest 8.47 6.28 3
4.87
Depreciation 27.31 22.17 23.18
Profit before tax and Extraordinary gains 223.36 202.12 10.51
Extraordinary gain 133.87 0.00 133.87
Provision for Taxation (Including Deferred
Tax)
34.30 58.00 -40.86
Profit after tax and before prior period
items
322.93 144.12 124.07
Prior Period Expenses / (Income) 0.12 0.07 71.43
Net profit after tax, extraordinary gain and
prior period Items
322.81 144.05 124.10
City College Dept. of Management Studies 32
Segmental Reporting (By Geographical Segment)
30th Jun'05 30th Jun'04 % Change
India 1050.25 1024.57 2.51
Outside India 171.25 194.81 -12.09
Total 1221.50 1219.38 0.17
Subsidiaries of Unichem
Niche Generics Limited, our United Kingdom subsidiary recorded sales of Rs214.60
million for Q1 FY06 as compared to Rs.157.10 Million during Q1 FY05
Dividend:-
Dividend payouts during the last five years are tabulated below:
Year Share Capital
(In Lacs)
Dividend Per Share (%) Total Dividend
(In Lacs)
2005-2006 1800.20 100 1800.20
2004-2005 1706.00 70 1194.00
2003-2004 1706.00 60 1024.00
2002-2003 853.00 80 682.40
2001-2002 853.00 80 682.40
Interim Dividend of 255.90 Lacs was declared as the final dividend for the
year 1999-2000.
Unichem expect to enhance value for shareholders in the future:-
Unichem's various initiatives are expected to generate sustainable growth. Unichem
will focus on a prudent management of debt and an increase in its return on net worth.
The pursuit of sound corporate governance initiatives are expected to protect
shareholder value and help build a business that generates a return on invested capital
that is higher than the industry average.
- Shares of Unichem are listed and traded on the Stock Exchange in Mumbai and the
National Stock Exchange of India Limited.
MARKETING DEPARTMENT
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Marketing is a subject having wide spectrum. Marketing deals with the whole
process of entering markets, establishing profitable positions and building loyal
customer relationship. As market change, so does marketing. Marketing is no
longer a company department charged with a limited numbers of tasks.
Managing and advertising. Sending out direct mail, finding sales leads.
Providing customer service. It must drive the company’s vision, mission and
strategic planning. Marketing is about deciding who the company wants as its
customers, Which needs to satisfy, what products and services to offer, what
prices to set, what communications to send and receive. What channel of
distribution to use and what partnership to develop.
MARKETING STRATEGIES
All marketing strategies are built on STP- segmentation, targeting, and
positioning. Companies discover different needs and groups in the market
place, target those needs and groups that the companies can satisfy in a superior
way, and then positions its offering so
that the target market recognizes the companies distinctive offering and image.
No company can win, if its product and offering resembles every other product
and offerings. Today most companies are guilty of strategy convergence
namely undifferentiated strategies. Companies must pursue meaningful and
relevant positioning and differentiation. Companies normally reformulate their
marketing strategies and offerings several times. Economic condition changes,
competitors launch new and the produce passes through new stages of buyer
interests and requirements. Consequently strategies appropriate to each stage in
the products life cycle must be developed.
City College Dept. of Management Studies 34
MARKETING STRATEGIES OF UNICHEM LABORATORY LTD.
Whole the marketing strategies of company is formulated and controlled by the
head office at mumbai directly. There is no involvement from the production
units situated at different part of the country.
The following are the marketing strategies adopted by the company:-
o To deliver quality products at reasonable prices to all the class of
the society.
o Differentials the products in order to get distinctive identity in the
market.
o Adopting sales promotional schemes for both the dealers and
customers.
o Creating brand awareness in the customers through continuous
advertisements and event sponsorship.
DISTRIBUTION CHANNELS
Marketing channels are set of interdependent organization involved in the
process of marketing a product or service available for use or consumption.
Channel decisions are among the most critical decision facing the management.
The channels chosen intimately affect all the other marketing decisions. The
distribution system is a key external source.
CHANNEL FUNCTIONS
They gather information about potential and current competitors and
other actors and forces in the marketing environment.
They develop and disseminate persuasive communications to stimulate
purchasing.
They reach agreement on price and other terms so that transfer of owner
ship or possession can be done easily
They place order with manufacturers.
City College Dept. of Management Studies 35
They acquire the funds to finance investments at different levels in the
marketing channel.
They assume risk connected with carrying out channel work.
Channel of distribution of Unichem Laboratoty Ltd.
The Channel of distribution of the company is functioning very well to meet
the aim of reaching the product to customers at the right time. Following is the
chain of distribution of the company.
Super stockers
Distributors
Whole Sellers
Retailers
Finished products are taken by super stockers from the company and it is the
Super stockers who supply the products to the distributors.
City College Dept. of Management Studies 36
ADVERTISEMENT
In today’s competitive business environment advertisement has got a crucial
role in the success of every business organization. No company can win the
competition if its advertisement strategies are not properly planned and created.
“Advertisement is any paid form of non-personal presentation and promotion
of ideas, goods or services by an identified sponsor”. Advertisement makes the
customers aware about the products and services of the company. It can be seen
that, behind the success of every products in that market, advertisement has
played an important role.
KINDS OF ADVERTISEMENT
Information advertising
Aims to create awareness and knowledge of new products or new features of
existing products.
Reinforcement advertising
Aims to convince current purchasers that they made the right choice.
Advertisement policy of Unichem Laboratory ltd.
The company makes use of various Medias to communicate its message and
product features to the customers. All the advertisement are planned and
implemented directly from the head office
Different advertisement Medias used by the company are as follows
Magazines
T.V. advertisement
Newspapers
City College Dept. of Management Studies 37
Price of Animals product in Indian market:-
Quality with Economy:
Product Pack Size Price Available Active Drug Cost of treatment*
Helmigard 1.2g x 2 Rs. 25.60 2400 mg Rs. 21.33
Analgon 1.5g x 1 Rs. 20.00 1500 mg Rs. 26.66
Albomar 1.5g x 1 Rs. 20.00 1500 mg Rs. 26.66
Panacur 1.5g x 1 Rs. 28.00 1500 mg Rs. 37.33
Panfugal 1.5g x 1 Rs. 26.00 1500 mg Rs. 34.66
HUMAN RESOURCE DEPARTMENT
City College Dept. of Management Studies 38
Personnel Department has got a vital role to play in every business
organization. It can be stated that without the active involvement personnel
dept. no work can be done in the organization whether it is production work or
managerial work. The Vice president heads the personnel dept. of Unichem
Labs Ltd. and he is assisted by managers and other staffs. All the recruitment
selection and Placement and salary fixation jobs are done by this Dept.
In this unit of Unichem Labs, there is a total strength of 100 employees the
number of managerial staff is 10. The packing of hand made detergent cake has
been contracted to a out side party. 50 employees are engaged in the packing
job. The contractor to whom the has been given fixes the remuneration of those
employees.
The overall working of this unit takes place in a single shift i.e. from 8.30 to
5.30 Two tea break and lunch break is given between this timing.
Function of Personnel Department
Salary computation
Salary disbursement
Leave Marking
Attendance
Manpower Planning
Recruitment
Transfer and promotion
Unichem lab Ltd obtain its employees for performing both administrative and
operative jobs through various modes. Lower level and middle level employee
are being selected from the local area itself where as managerial employees are
recruited by the following modes.
Newspaper Advertisement
City College Dept. of Management Studies 39
Weekly Advertisement
Recruiting and selecting from other reputed companies
Transfer from other units
Selection procedure
The company place advertisement for the prospective employees and the
application received for different post are scrutinized by the personal dept. All
the application are scrutinized or the basis of the selection criteria followed by
the company. The company for different jobs has fixed different qualifications.
For production workers, technical qualification is compulsory where as for
managerial employees minimum qualification is graduation R&D and quality
assurance employees should have M.Sc in chemistry. Qualification for Finance
In-charge is C.A. with relevant experience.
Test
After having scrutinized the application received, next step is conducting
different tests. Tests are conducted to measure the candidate’s abilities like
1. Mental caliber
2. Physical Fitness
3. Subject Knowledge
4. Communication skill etc
Interview
Interview is a formal consolation to evaluate the aptitude of prospective
employee it is face- to- face and observation method to evaluate whether the
candidate is suited for the post to which he has applied After the interview the
interviewer comes to know about the skills and abilities of the candidate.
Final selection
City College Dept. of Management Studies 40
Candidates who successfully complete the interview will be selected to the
particular job.
Placement and orientation
Placement is the final step in the selection process. It is the process of assigning
the employee with the job for which he/she has been selected. Proper
placement is necessary in order to avoid employee turnover. Proper placement
also helps in reducing the rate of absenteeism and accident rates.
Training
Employees are given adequate training in order to make them familiar with the
work for which he/she is selected. Both on the job and off the job training is
given to the employees. Through training employees are imparted with the
basic knowledge and skills for the effective performance of job.
Promotion
Promotion is granted to the employees on the basis of performance on their
respective jobs. Experience is also taken in to consideration while granting
promotion to employees.
Remuneration system
Remuneration package of Unichem lab is fixed in accordance with the common
industrial standards. The fixation and disbursement of remuneration is
entrusted with the personal department.
The components of employee remuneration in Unichem Laboratry
are as follows
1. Salary/Wages
2. Provident fund
3. Bonus
4. Labor welfare fund
City College Dept. of Management Studies 41
The contribution to P.F. and bonus are done in accordance with section 5 of the
employees PF and miscellaneous act of 1952. The remuneration to workers is
subject to revise after negotiation between union and management. Percentage
increment is made after discussion with unions.
Attendance Control
The company issues an attendance card to every general worker, which
contains particular columns for each day of every month. The security at the
gate will mark the attendance in the card and in the register, which is kept with
him .Particular registers are maintained for managerial staff. Total attendance is
calculated with this card in every month and wages and overtime wages are
calculated.
Leave
The company provides total of 13 days public holidays plus Sundays in a year.
Sick leaves are also allowed to workers for sufficient period. Maternity leave is
allowed to women workers.
Other welfare facilities
First Aid
The company is maintaining a first aid box, which contains first aid medicines.
Uniform
The company provides uniform to all the employees in the organization. The
uniform of managerial and general workers is different
City College Dept. of Management Studies 42
Healthy and Safety
The company provides all the necessary facilities to protect the health of its
employees. Strict hygienic measures are being observed inside the factory.
Employees who deals directly with chemicals are provides with gumboots,
Hand glows and masks.
Recreation
The company organizes an annual meet of its employees every year. It includes
cultural activities performed by the employees.
City College Dept. of Management Studies 43
POLICIES:-
Environmental Policy
To manufacture and market pharmaceutical formulations and active pharmaceutical
ingredients of requisite standards to comply with customer needs, enhance customer
satisfaction and continuously improve the effectiveness of the Environmental
Management System.
We shall be a responsible care company for the environment by promoting
environment, complying applicable environmental regulations and prevention of
pollution in all our operations, including planning for energy saving and conservation
of natural resources.
Quality Policy
To manufacture and market pharmaceutical formulations and active pharmaceutical
ingredients of requisite standards to comply with customer needs, enhance customer
satisfaction and continuously improve the effectiveness of the Quality Management
System.
This shall be achieved by implementing the practices in processes and systems,
updating and conforming to applicable regulatory requirements, continuous and
dynamic improvements in quality of products and services.
Certificates:-
The Company has received ISO 9001:2000 for all its plants and corporate office.
Similarly the Company has received ISO14001:1996 certificates for its formulation
plants ( Goa, Ghaziabad and Baddi) and Corporate Office at Mumbai.
City College Dept. of Management Studies 44
SWOT ANALYSIS
STRENGTHS
1. Low cost of production.
2. Large pool of installed capacities
3. Efficient technologies for large number of Generics.
4. Large pool of skilled technical manpower.
5. Increasing liberalization of government policies.
WEAKNESS
1. Lack of experience to exploit efficiently the new patent regime.
2. Very low key R&D.
3. Lack of experience in International Trade.
OPPORTUNITIES
1. Growing incomes resulting in getting batter medical facilities
2. Growing attention for health.
3. New diagnoses and new social diseases.
4. Saturation point of market is far away.
5. New therapy approaches.
6. New delivery systems.
7. Spreading attitude for soft medication .
8. Globalization
9. Easier international trading
10. New markets are opening.
.
THREATS
1. Containment of rising health-care cost.
2. High Cost of discovering new products and fewer discoveries.
3. High entry cost in newer markets.
4. High cost of sales and marketing.
5. Competition, particularly from generic products.
City College Dept. of Management Studies 45
DESIGN OF THE STUDY:-
LABOUR TURNOVER IN THE UNICHEM
OBJECTIVE OF THE PROJECT TOPIC:-
This project is an attempt to deep and thorough approach toward labour turnover in
the industries.
As in the present scenario of business world, many companies are facing high
employee turnover rate and are being affected by it. So this project is tending to find
out that what actually the turnover means, what are its cause and effects and how to
control the labour turnover. Some points are listed below which can be considered as
the objective of this project topic:-
To identify areas and activities that has the greatest potential benefits in
retaining employee.
To discover what is of most concern to your employee, and therefore the
greatest risk to loosing them.
To learn the reasons your employees stay to continue and improve in these
areas.
How to improve your organization with the specific feedback from the tool
and become more attractive to current and potential employees.
City College Dept. of Management Studies 46
Topic summary
Labour turnover is a universal problem among the industrial workers. It means
movements, shifting or migration of workers from one unit to another or from
one industry to another.
Turnover is a relatively simple and easily described concept. However
considerable confusion often results when addressing turnover, because of
differences in how it is defined, how it is counted and how the turnover rate
are expressed?
Turnover is also costly although not enough attention is paid to its cost
because so much of it is indirect and thus not readily visible. There are
varieties of causes of turnover, some which can be corrected and some which
can not be avoided.
Reducing are other wise controlling turnover require continuing management
attention to its causes and constant recognition of what can be and should be
controlled and what can not be controlled. On going attention to turnover is an
essential part of the department manager’s role.
From the control point of view the causes of labour turnover may be either
avoidable or unavoidable. Avoidable causes are those which can be controlled
by the management and unavoidable causes cannot be controlled by the
management.
City College Dept. of Management Studies 47
EMPLOYEE TURNOVER
Turnover is a human resource context refer to the characteristics of a given company
or industry relative to rate at which an employer gain or losses staff.
According to Abassi et. Al. (2000):
Employee turnover is the rotation of workers around the labour market; between
firms, jobs and occupations; and between the states of employment and
unemployment.
According to Price (1977):
The term “Turnover” is defined as the ratio of the numbers of organizational members
who have left during the period being considered divided by the average number of
people in that organization during the period.
According to T N Chabra:
Labour turnover may be defined as the rate of change in the working staff of a
concern during a definite period.
No of separations in a year
Labour Turnover Rate:- -------------------------------------------- × 100
Average no. of workers in a year
City College Dept. of Management Studies 48
FINDING(CAUSE OF LABOUR TURNOVER):-
Either employees leave on there own accord per they discharged. Neither fact should
be accepted submissively. Every separation of an employee from an organization,
weather voluntary or involuntary is serious for the organization.
From the control point of view, the causes of labour turnover may be either avoidable
or unavoidable.
Avoidable causes:- among the avoidable causes redundancy is the most
important which may be caused by seasonal character of the trade or business,
shortage of material, inadequate planning, lack of management foresight and
determination etc.
The other avoidable causes are:-
1. Employee dissatisfaction with job.
2. Low remuneration.
3. Long hours of work.
4. Poor working condition.
5. Bad relation with supervisor and fellow workers.
Unavoidable causes:- The unavoidable causes are not due tp the fault of
management but are due to other factors which are not under its control.
Employee may leave because of the following unavoidable reasons:-
1. Personal betterment.
2. Illness, accidents etc.
3. Domestic affaires like marriage, pregnancy in case of female employees etc.
4. Departure from the locality.
5. Unsuitable for job or misconduct on his part.
6. Housing or transport problem.
7. Retirement; death etc.
City College Dept. of Management Studies 49
DATA COLLECTION:-
1. Employee’s data base.
2. From internet.
3. From newspaper and magazine.
4. From survey.
LIMITATION OF THE STUDY.
Many constraints were involved in doing this study. Some of them are as
follows.
Time and money are critical factors limiting this study.
The data provided by the company may not be 100% correct as the
company have limitation in supplying their own data.
Finding and suggestion have been given from personal point of view.
Due to work pressure, detailed interaction with the executives was not
possible.
City College Dept. of Management Studies 50
CALCULATION OF EMPLOYEE TURNOVER RATE IN
UNICHEM LABS. LTD. BADDI:-
Employee Turnover in 2005:-
Total number of left employee in 2005 = 53
Average number of employees in 2005 = 98
Total No. of Separation in a year
Attrition Rate = ---------------------------------------------------------- × 100
Average No. of employees in that year
53
Attrition Rate in 2005 = -------------------- × 100 = 55 %
98
Employee Turnover in 2006:-
Total number of left employees in 2006 = 76
Average number of employees in 2006 =112
76
Attribution Rate in 2006 = ---------------× 100 = 68 %
112
City College Dept. of Management Studies 51
Employee Turnover in 2007:-
Total number of left employees in 2007 = 40
Average number of employees in 2007 = 131
40
Attrition Rate in 2007 = ------------× 100 = 31 %
131
City College Dept. of Management Studies 52
SUGGESTION
1. To understand the need of employees
2. Identification of the potential employees of the organization.
3. To identify the reasons for leaving.
4. To develop the career progression path.
5. To bridge the gap in term of salary.
6. To recognize the employees in the organization.
7. To enrich the job of the employees.
8. To enhance the knowledge and skill of the employees
EMPLOYEE RETENTION PLAN
Background:-
It has been seen from the past record that the employees are leaving the organization.
The attribution rate of the management staff is 33.8%. During 2005-06. it is the need
of hour to implement the plan to reduce the attrition rate.
Objective :-
1. To retain the key performers
2. To reduce the attrition rate in the management cadre by 25% from the previous
year.
Reasons for leaving:-
1. For career growth (opportunity for advancement).
2. For higher compensation.
Retention Strategies:-
1. Environmental strategies create and maintain a workplace that attracts, retain and
nourishes good people.
2. Relationship strategies focus on how you treat your people and how they treat each
other.
3. Support strategies involve giving people the tools equipment and information to get
the job done.
4. Growth strategies deal with personal and professional growth.
5. Compensation strategies cover the broad spectrum of total compensation, not just
pay and salary.
City College Dept. of Management Studies 53
IMPLEMENTATION OF THE PLAN:-
1. Environmental strategies:-
a) Creation of rewards for recognition.
b) To give the feeling of respect & appreciation.
c) To understand their needs.
d) To respect the commitments made to employees.
2. Relationship strategies:-
In order to understand the feeling of the new employee, it is recommended to spend
more time for interaction with the new employees.
3. Growth strategies:-
Create the annual growth plan for each employee.
City College Dept. of Management Studies 54
CONCLUSION
Turnover does not mean all the time that employee is leaving the organization
voluntarily. Sometimes employees leave the organization involuntarily.
No doubt, every organization has some strengths which make their edge from others,
but every organization have some weaknesses also.
As far as the matter of turnover is concerned, this is a great problem in present days.
People are always looking for growth opportunities and increase in there salary. So it
is very tough job to retain there employees for a long time.
From the survey done by me I concluded some points which can fix or decrease the
problem of turnover up to certain limit. The points are listed below:-
Way to heart goes through stomach’ is an old saying. In today’s world, it has
become a basic thing for the HR Managers to learn. Good food in the
companies and factories earn rule and goodwill from employees, while the bad
food creates a lot of ill will and recur in the offices and work premises.
Some employees feel that there should be equal respect for all level of workers
and there ideas should be recognized. This indicates that managers should
generate a feeling of belongingness among the worker to reduce the turnover
in the company.
Some employees feel that there is a great difference in the salary structure of
the employees as compared to other companies.
Communication gap is also a reason for conflicts in the companies which may
result in to increased employee turnover.
Some employees were of the view that the job satisfaction decreases due to
improper training and lack of knowledge, which would increase the employee
turnover. So there should be proper training of the employees.
Among these respondents maximum were of the 25-35 age group. Also from
the left employee report it was found that people of the age 25-35 years leave
City College Dept. of Management Studies 55
the job readily. This is due to the fact that they are on the growth stage of their
career. So they leave the organization for career growth and better salary.
According to “Labour Law Reporter” females are more stable on their job as
compare to the males. Because male require more growth in their career.
Emergence of online jobs portal such as: Timesjobs.com, naukri.com,
monster.com and clickjob.com have contributed to higher employee turnover.
According to survey conducted by “Labour Law Reporter” companies, which
are in the process of expanding, face the higher attrition rate as compare to
others.
From the observations and findings, a proper plan to retain the employees is
formulated and explained in the following pages.
City College Dept. of Management Studies 56
BIBLIOGRAPHY
1. Business Newspaper & Magzine.
2. Marketing – Philip Kotler 7th edition.
3. Business World March 2007.
4. Company Annual Employee Reports.
WEB SITES:-
www.unichemindia.com
www.google.com
www.guruji.com
City College Dept. of Management Studies 57
QUESTIONARIE
1. Name in Full: …………………………………………..
2. Department: .....……………………………………….
JOB DETAIL:-
1. Date of joining Unichem: - …………………………………………………………
2. Designation on joining: - ……………………………………….………………
3. When you were first employed, where the duties and responsibilities explained to
you?
Yes / No ………………………………………………….…………………
4. During your working with us was your job properly supervised?
Yes / No ……………………………………………………………………
5. Describe something that you liked while working with Unichem.
…………………………………………………………………………………………
6. Anything which you dislike while working with Unichem. ………………………
…………………………………………………………………………………………
7. Did you get an opportunity for personal professional growth? …………………..
…………………………………………………………………………………………
City College Dept. of Management Studies 58
8. Did you get an opportunity to implement your ideas? Give details.
…………………………………………………………………………………………
9. Was the overall treatment in the organization fair and impartial ? Give detail.
…………………………………………………………………………………………
10. While working, did you get all cooperation and guidance from your superior?
Give detail.
…………………………………………………………………………………………
11. While working did you get the support you needed from your colleagues and give
details.
…………………………………………………………………………………………
12. Are you happy with the salary you getting ?
…………………………………………………………………………………………
13. What suggestion you have to make the organization a batter place of work?
…………………………………………………………………………………………
14. What policies and practices of the organization good and we should continue them?
…………………………………………………………………………………………
15. What policies and practices of our organization are not that good and that
we should discontinue? ………………………………………………………
Date: - ………………….. Signature: … …………..
City College Dept. of Management Studies 59
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