AN ORGANIZATIONAL STUDY AT THE SANGROSE LABORATORIES PVT LTD.

PROJECT REPORT
COURSE CODE CC21 Submitted in partial fulfillment of the requirement for the award of the Master degree of Buisiness Administration of the Mahatma Gandhi University , Kottayam

Submitted
By

SREEHARI S MOHAN
Enrolment No: 00000000000 Under the Guidances of

Mr. BOBAN THOMAS, MBA (Department of Management Studies) SIGMA COLLEGE OF COMPUTERS
M.G University Off Campus Centre PATHANAMTHITTA 2011 2013

DECLARATION
I SREEHARI S MOHAN, iam a benefited student of, SIGMA COLLEGE OF COMPUTERS, PATHANAMTHITTA. I would like to declare that the Organization Study at SANGROSE LABORATORIES PVT. LTD. MAVELIKARA, is an original work done by me for the fulfillment of the requirement for the award of the degree of Master of Buisiness Administration of Mahatma Gandhi University, Kottayam. I also hereby declare that this project report has not been submitted to any other University or Institute for the award of any Degree or Diploma.

SREEHARI S MOHAN

ACKNOWLEDGEMENT
First and foremost I would like to thank Almighty GOD for making me to complete this project work successfully.Iam highly indebted to SANGROSE LABORTATORIES PVT LTD for their guidance and constant supervision as well as for providing necessary information regarding the project and also for their support in completing the project. I would like to express my gratitude towards my parents and member of this organization for their kind co-operation and encouragement in which help me in completion of this project I would like to express my special gratitude and thanks to industry persons for giving me such attention at time My thanks and appreciations also go to my colleague in developing the project and people who have willing the helped me out with their abilities

SREEHARI S MOHAN

INTRODUCTION

INTRODUCTION

An industry produces goods and services for human consumption in order to satisfy human wants. The entire range of human activities in which men and women play a dominant role is measured and is economically valued in terms of money. Industrial sector is one which helps in the overall development helps to measure the richness of a country. Industry is divided into four broad segments such as: 1. 2. 3. 4. Manufacturing Extractive Exchange Service

This study facilities in understanding the size, geographic distribution, employment, production, sales, and economic condition of the pharmaceutical industry. SANGROSE LABORATORIES PVT LTD is a pharmaceutical industry founded in 1987 by Mr. C.K. Alexander who is an entrepreneur - research chemist. His vision was to establish his company as worlds largest and only producer of clofazimine. The company was incorporated as a private limited company under the Indian Companies Act ,1956. The company is a registered small scale industry with the main objective of manufacturing basic drugs and is located in Kochalumoodu industrial estate which is Alapuzha district.

INDUSTRY PROFILE

INDUSTRY PROFILE
Historic Outline of the Industry
Industry is cocerned with the process of extraction of raw materials from the nature and the various other process of transforming these raw materials into consumable goods. It deals with the function of converting or transforming these materials extracted from nature and to make them fit for human use or consumption. In brief, industry deals with the production of goods of value.

SMALL SCALE INDUSTRY

Small scale industries are the significant segments of the Indian economy. The basic objectives underlying the development of small and medium scale industries are the increased supply of manufactured goods, the promotion of capital formation, the development of indigenous entrepreneurial skills and the creation of employment opportunities. In addition to this, they also include such socio economic goals or the decentralization and dispersal of manufacturing activities from the metropolitan areas to rural areas, reduction of regional economic imbalances within a country and promotion of entrepreneurial and managerial activities and skills as well as of technology throughout the country.

Small scale industry plays a vital role in the economic development of a country in the following ways: To generate large scale employment opportunities with relatively low capital investments To find solution for the unemployment in the country To promote balanced regional development of the nation

The highlights of small scale industry are: They are capital light They are labour intensive They are skill light They are quick yielding and flexible

Present structure of the industry

Pharmacy is an art and science of preparing and dispensing medication and providing the public with drug related information. The modern Indian pharmaceuticals industry has laid its foundation in the early 19th century and it was through a small factory known as Bengal chemical and pharmaceutical works, Calcutta. Indian pharmaceutical industry has grown tremendously and presently is in a position to meet 70% of the requirement of drugs of the country.

INDIAN PHARMACEUTICAL INDUSTRY

Indian pharmaceutical industry is playing a key role in promoting and sustaining development in the vital field of medicines. Around 70% of the countrys demand for bulk drugs, drug intermediates, chemicals, tablets, capsules, orals and vaccines is met by Indian pharmaceutical industry. A number of Indian pharmaceutical companies adhere to highest quality standards and is approved by the regularity authorities in USA and UK. The production value of the bulk drugs during the year 1997 -1998 was Rs. 2623 and that of pharmaceutical formulations was Rs.12068 Crores. The production of pharmaceuticals in India increased by 13.68% during the year 1997-1998 against the previous year. Now it has rise up to 30%. The Indian pharmaceuticals industry today has occupied the first rank in the Indias science based industries with wide range of drugs. A lightly 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 in the world in terms of the quality, technology and range of medicines manufactured. The Indian pharmaceutical industry is highly fragmented with more than 20000 registered units. It has expanded drastically in the last two decades. The leading 250 pharmaceuticals companies control 70% of the market. This fragmented market sector is characterized by severe price competition and government controls the prices.

Major government policies

The government is the agency that is responsible for fixing various prices for the drugs. Following the de-licensing of the pharmaceutical industry, industrial licensing for most of the drugs and pharmaceutical products has been done. Manufacturers are free to produce any drugs that are duly approved by the controlling authority. Technically strong and totally self reliant, the pharmaceutical industry in India has low cost of production, low research and development cost, innovative scientific manpower, strength of national laboratories and an increasing balance of trade. The pharmaceutical industry with its rich scientific talents and research capabilities, supported by intellectual property protection regime is well set to take all the international market.

Predicted scenario of industry

India holds the lion share of the worlds contract research buisiness. Over 15 prominent Contract Research Organizations (CROs) are now operating in India, attracted by her ability to offer efficient R &D on a low cost basis. Thirty five percent of buisiness is in the clinical trials arena. India offers a huge cost advantage in the clinical trials domain compared to the western countries. The cost of hiring a chemist in India is one fifth of the cost of hiring a chemist in the west. Indian companies will play an important role in determining the future of many Indian pharmaceutical companies post product regime after 2005. Indian companies in an effort to consolidate their position will have to increasingly look at the merger and acquisition options of either companies or products. This will enable in offsetting the loss of new product options, improve the R & D efforts and to improve the distribution to penetrate into new markets. In order to say competitive in future, Indian companies will have to refocus and heavily in R &D.

Top ten players in the market

1. Ranbaxy Laboratories 2. Dr. Reddys Laboratories 3. Cipla 4. Nicholas Piramal 5. Aurobindo Pharma 6. Glaxo Smith Kline 7. Pfrie 8. Sun Pharmaceutical Industries 9. Cadila Healthcare 10.Aventis Pharma

COMPANY PROFILE

COMPANY PROFILE
Background of the company The Indian pharmaceutical industry today is in the front rank of Indias science based industries with wide ranging capabilities in the complex field of drug manufacture and technology. Pharmaceutical industry is playing a key role in promoting and sustaining development in the vital field of medicines. The pharmaceutical industry, with its rich scientific talents and research capabilities, supported by intellectual property protection regime is well set to take on the international trade. SANGROSE LABORATORIES PVT LTD. was incorporated in the year 1987 as a private limited company under the Indian Companies Act, 1956. The company registered as a small scale industry with main objective of manufacturing basic drugs is located in the Industrial Estate, Kollakadavu in Vettiyar village, Mavelikara Taluk in the notified industrial backward district Allepey, in Kerala state. The main functions of the Bombay office are purchase as well as collection forum, to deal and maintain a cordial with suppliers. TECHNICAL BACKGROUND OF THE PROMOTERS SANGROSE LABORATORIES PVT LTD. was founded in the year 1987 by Mr.C.K. Alexander who is an entrepreneur research chemist. The DNA of the company is drawn from its founder and his vision to establish worlds only largest producer of Clofazimine. The vision of a research chemist takes on social and commercial expressions thats in the nutshell, briefly explains the genesis and growth of SANGROSE labs. Mr. C.K. Alexander the founder and managing director was born and brought up in the tradition of Kerala. He is a post graduate, approved manufacturing and quality control chemist, having 25 years of experience in pharmaceutical industry of which 10 years he had gained experience in working with the top level management in developing and implementing project where administrative, technical, marketing and financial skills were required. He also have a three years experience in research and had developed process know for a number of life saving drugs.

Mr. Thomas Samuel, the finance director a post graduate in buisiness administration is well experienced in funds management. The sound financial health of the company proves his expertise in this field. Mr. George Manuel have three years of experience as a chemist in Mumbai and was the senior manager in an International Airlines for the past 10 year.

NATURE OF THE BUISINESS

SANGROSE LABORATARIES has tie ups in the mantra to success In this age of globalization east meets west as transactional companies reach out for synergistic partners to enhance their competitiveness in global market. Company seek partners who have the state of art research and development, manufacturing facilities with excellent customer care. SANGROSE caters to all as it believes in value added support. SANGROSE seeks partnership with pharmacy companies around the world by offering facilities for contract manufacturing API and drug intermediaries. Its group ethos is based on achieving excellence in bringing out therapeutically active products.

MISSION AND VISION

MISSION: The mission of SANGROSE is to dedicate itself through the creation of innovative medical products and services for the benefits of the medical community and human health around the world.

VISION: The vision of the company is to become a leader in the Indian pharmaceutical industry and a significant global player, providing customer delight and enhancing share holders value.

Dedication towards : SANGROSE is dedicated to achieve the highest level of quality in all its products.

Environment for individual: At SANGROSE the self esteem and dignity of an individual is upheld, it also provides an open cultured environment for expression of views and ideas.

Innovation : SANGROSE aims at creating an environment suitable for individuals to bring out the skills to innovate which in turn help one to excel out.

Teamwork: SANGROSE aims at creating a better sence of teamwork, the ability to work together, ability to direct individual accomplishment towards organizational objectives.

CORE VALUES C Care for customers R Respect for associates E Excellent for teamwork A Always learning T Trust mutually E Ethical practices

QUALITY PLEDGE
We, the people of SANGROSE LABORATORIES PVT LTD. will create an enterprise committed to quality. It is our policy to design, manufacture and service our products to provide top quality level products and value that meets our customer needs. We will aim to generate customers enthusiasm through improvement in our products and services. We are committed to excellence in the way we work together within the organization as well as outside aimed at total customer satisfaction.

LOCATION OF SANGROSE

SANGROSE is located in the Industrial Estate : Kollakadavu in Vettiyar village, Mavelikara taluk is in the notified industrial backward district Allepey in Kerala state. All the basic infrastructures are provided by the authorities as it is located in the industrial estate which is monitored by the government for industrial upliftment.

PRODUCTS
1. BASIC DRUGS The company presently manufacturing anti leprosy Basic Drug Clofazimine I.P / B.P only on its basic drugs units. 2. SOFT GELATIN CAPSULES The fully air conditioned Gelatin Capsule unit is having a production of 50000 per hour. Utmost care is taken in each stage of production in order to ensure the total quality of the capsules.

SOURCES OF THE PROJECT

SANGROSE LABORATORIES PVT. LTD. make use of chemicals as raw materials. The following are some of the important raw materials used in the laboratory and they are:

Amino compound Acetic acid Methanol Glycerin Sorbitol Isopropanol Methylsalicyclate Carbon tera chloride Imiazole O chloro benzoic acid

MAJOR CUSTOMERS

Overseas customers Government supply Outside state customers Nation level Local level

NATIONAL LEVEL CUSTOMERS

Nova Millenium Pharmacy, Chennai ABL Biotechnologies, Chennai Nouvenav Medicam, Chennai House Remedys, ChennaI Enka Health Care, Delhi

OBJECTIVES OF THE FIRM

To manufacture, produce, refine, process, formulate, buy, sell, import, export or otherwise deal in the basic drugs, python chemicals, plant extracts, dyes pesticides. To manufacture, produce, distribute, sell, make, research, export and to deal in pharmaceuticals, drugs, chemicals, medicine preparation, dyes pesticides, cosmetics, their intermediates including sophisticated item oils, injection, orals, syrups, tablets, capsules and in such other form for human and animal use. To carry on the buisiness of chemicals, drugs, import, manufacture, and deal in pharmaceuticals, chemicals for medical purposes, pathological, clinical, industrial and for other preparations and articles, compounds, drugs and deal in chemicals, surgical apparatus and materials.

COMPETITORS ANALYSIS

It Is really a pride for SANGROSE LABORATORIES as the company enjoys a monopoly position in the production of the basic drug Clofazimine. In the case of other drugs, competitions are with the following:

Lark Laboratories Invies Laboratories Unicare India Pvt Ltd RKG Pharmacy Pvt Ltd

ACHIEVEMENTS

SANGROSE LABORATORIES has received GMP Certificate from WHO which is equivalent to ISO Nominated as the best small scale industry of Alappuzha District consecutively for three years and fourth in the state Runner up for the management excellence award of Berchamans Institute of Management Selected as one of the best entrepreneurs of the state Gold card member of Kerala Financial Corporation, the finance agency based on growth expansion and prompt payment The firm has been closely associated with National Leprosy Eradication Programme of Government of India by the supply of clofazimineive

PRODUCT PROFILE 1. In the management of Eczema, Dermatitis, Druritus and Psoriasis o CLO B
Clobetasol Propionate Cream 0.05% w/w Highly effective in the treatment of eczema, dermatitis, druritus and non scalp psoriasis

o CLOSAL
Clobetasol and Salicylic acid Rapid clearing of scaling, pruritus and inflammation Rapid onset of action Salicylic acid Softens Keratin, loosens cornified epithelium and desquamates the epidermis Make the underlying layers more accessible to steroid

o CLOGEN
Clibetasol and Gentamicin Arrest the growth of patholigenic agents Satisfactory results obtained in 97.5% cases Good relief from symptoms Rapid healing of lesions
2. In the management of steroid responsive dermatses

o EMSONE
Mometasone Furoate 5 Gms Used in the treatement of dermatitis, psoriasis, eczema and other steroid responsive dermatoses Safety and efficiency has been well established
3. In the treatment of primary and secondary skin in infections

o U PRO Mupirocin 2% Ointment Effective against a variety of superficial skin infections Effective against a wide range of GRAM + VE(including staphylococci, streptococci) and moderately active against GRAM + VE BACTERIA Effective in the treatment of IMPETIGO

4. To provide complete protection from sunlight Beta carotene containing Highcaro (HIC) Total protection from sunlight Prevents cellular damage

5. In the treatment of psoriasis

o ZEMEGA 3
Epa 180 mg, DHA 120 mg Ameliorates symptoms of psoriasis Significant reduction in itching, erythema and scaling

6. In the treatment of hyper pigmentation

o COJI CLEAN
Koji acid and alpha lipoic acid cream Removes pigment spots faster effectively maintains natural skin colour Kojic acid Slows down melalin production by inhibiting tyrosinase

Alpha Lipoic Acid Scavenges ROS Regenerates vitamin A and C Prevents oxidative damage Prevents wrinkling of skin by inhibiting cross linking of protein with macro molecules

7. In the treatment of skin diseases o VITA E 400

Reduces formation of FR Prevents lipid peroxidation Maintain skin integrity Reduces trans epidermal water loss Strengthens skin barrier function

8. When the need is for an anti histamine o ZENTIN L

Levocetrizine 5 mg Rapid therapeutic reaponse Higher bio availability Higher affinity towards H 1 receptor 9. In the treatment of fungal infections

o SANFLU 150
Fluconazole 150 mg Enhanced bio availability Better absorption Masks odour Larger shelf life Better appearance Terbinorm (Terbinafine 250 Mg) Highly effective in dermatophytosis and onychomycosis Low relapse rate

10. In contact of dermatitis of thin skin

o HYDROSTER

Purest hydrocortisone safe on face and thin skin Provides moisturisation Smoothen skin by filling up spaces between skin flakes

11. In hyperkeratosis warts, corns and psoriasis

Mild conditions akralic 3% Moderate conditions akralic 6% Severe conditions akralic 12 %

12. To treat severe recalcitrant cystic acene

o RETISO 20
Isotrentinion 20 Mg Dramatically reduces elevated sebum production, comedogenesis and ductful colonization of psoriasis acnes High cure rates 13. In the treatment of skin disease of mixed actiology

o GENCLOBEC (Gentamicin, Clotrimazole, Beclomethasone Cream)

Arrests the growth of pathogenic agents

14. In the management of neurological disorders

Vit axon Soft gels Benfotiamine 100 Mg Methylcobalamin 500 Mg Alpha lipoic acid and 100 Mg Vitamin C 75 Mg Vitamin B2 10 Mg Pyridoxine hydrochloride 3 Mg Vitamin E acelate 25 0 Mg Pantothenic acid 5 Mg Zinc 15 Mg

PRESENT STATUS

Since SANGROSE is the only company manufacturing CLOFAZIMINE in Kerala, they enjoy a greater market share and also seek the help of central purchasing committee. They enjoy complete monopoly and could defeat several manufacturers in this field. Currently a tough competition is not faced by them as they have already benchmarked their products with that of the national level manufacturers. The company is also concentrating on several promotional activities and public awareness programmes which helps in gaining publicity as well as trust from the public. As mentioned before they rank third in India. The future plans of the management is to become one of the leading manufacturers of some of the drugs, rare soft gelatin capsules that are not patented yet in the world through strategic alliance / joint venture with the major MNCs in this pharmaceutical field.

ORGANIZATION STRUCTURE

Organization chart is the pictorial or graphical representation and arrangement of position in an normally positions are arranged in a sequential order on the basis of their authority and responsibility. With the help of a planned and well designed organization structure we are able to get an overview of the functioning of the organization. Authority and responsibility positions can be easily recognized with the help of this chart.

ORGANIZATIONAL CHART

ORGANIZATIONAL CHART

Managing Director

Finance Department

Purchase and Store Dept

Production

Maintenance and Engg Dept

Research and Development

Marketing Dept

HRM

Finance Manager Production Chemist Quality Control Dept Maintenance Engineering Chemist Marketing Engineer PR

Accountant Purchase Manager Assistant Chemist Quality Control Manager Workers Assistant Chemist Sales Officer Welfare Officer

Clerks

Lab Assistant

Assistant Chemist Lab Assistant

Accountant Clerk

Store Assistant

Workers

Lab Assistant

OBJECTIVES

OBJECTIVES OF THE ORGANIZATION STUDY

To learn and understand the vision and goals of the organization. To compare theological knowledge with actual practices. To interact with managers at different levels and find out their duties and responsibilities. To understand the overall industry in the organization is a player completing with the other
firms. To observe and analyze whether their operation and functioning justify the vision and goals.

SCOPE OF THE ORGANIZATION STUDY

The students shall get familiarized with the structure, system procedures and functioning
of an organization.

The students shall encounter practical situations which require immediate, fast and
prudent solutions thereby students can put numerous concepts and theories into practice.

Students can indulge in a fresh and novel the approach to problem which may not be the
case with the personnel already employed in the firm as they already tend to have an indelible platform on an issue.

By permitting these type of study the industry academic tie up is strengthened which is
beneficial to students, managers and organization as a whole.

RESEARCH AND METHODOLOGY

RESEARCH AND METHODOLOGY

The methodology adopted to carry out this study includes the collection of primary and secondary data. The primary data was collected through personal interview and discussions conducted with management. Secondary data was obtained from the company file, brochures, records and websites.

The methods of data collection are : 1) Primary Data Primary data are those data that are collected directly through direct personal interview , oral investigations, observation method, case study method, experimental method, survey method etc. Survey method was conducted on the employee in SANGROSE Laboratories Pvt. Ltd. Survey means a planned effort to collect relevant information from a representative of the selected population. This survey can be classified into three categories. a. Personal interview b. Telephonic interview c. Mail survey The primary data was collected by Interview Observations Discussions with departmental heads

Interview:

Personal interviews were conducted with departmental managers, company officials and employees of the organization.

 Observation During the 4 weeks organization study the general functioning of the organization was keenly observed. It is an important method as it provides an opportunity to study about the functioning of the organization.

Discussions with departmental heads Questionnaires were prepared for each and every department and information was collected from the respective departmental heads. It helped to understand the major functions of each department.

2) Secondary Data Secondary data are those data that are collected from the already existing data. Secondary data can be from external sources and internal sources. Internal sources include financial statements analysis, sales force report. External sources include information from published records and includes, a) b) c) d) e) Company website www.sangroselabes.com Company documents Company journals Company records Annual reports

LIMITATIONS

LIMITATIONS OF THE STUDY

This company has been in private sector; hence the researcher could not obtain certain
types of required data.

As the company is in the manufacturing industry, researcher was unable to collect and
analyze some complicated technical details.

Time allocated for study was also limited. The study has been conducted purely for academic purpose and it is not an exclusive data
for the comparison of performance of the industry.

It was not possible to get an in depth knowledge of each and every work in the
organization because of tight schedule of the selected staff.

DEPARTMENTAL PROFILE

Functional Areas

Every organization performs several functions and this enables to reduce the complications. Departmentalization enables in specialization of the job. Effective supervision is also possible and better results are the outcome of such functional departments. Division of work enables in achieving the organizational objectives. Every manager can efficiently manage the work when the different activities are categorized into a common group.

The different departments in SANGROSE Laboratories are :

PRODUCTION DEPARTMENT HUMAN RESOURSE DEPARTMENT FINANCE DEPARTMENT MARKETING DEPARTMENT QUQALITY CONTROL DEPARTMENT RESEARCH AND DEVELOPMENT DEPARTMENT

PRODUCTION DEPARTMENT

PRODUCTION DEPARTMENT

Production is the department in which the process of conversion of raw materials and inputs required for production is converted into output or finished products. Production is the basic or primary function as everything starts from it. Production system consists of inputs at one end and at the end these outputs are connected by a series of operations, processes, storage and inspections. It is the department responsible for the creation or manufacture of a product. Its sub departments are stores department, quality control department and maintenance department.

FUNCTIONS OF PRODUCTION DEPRTMENT

To produce the required number of products that cater to the current demand. To set proper manufacturing schedules inorder to ensure timely completion and supply of products. Optimum utilization of men, machines, materials and money. To ensure minimum wastage. To achieve the production target within the stipulated time with minimum wastage of resources. The unit cost of the product should be estimated carefully and effort should be made to stick to the cost standards.

PRODUCTION IN SANGROSE The SANGROSE laboratories produce basic drugs and capsules and they are: Basic Drug : CLOFAZIMINE Capsules : Vitamin A & D Black lumen seed oil Glovite Nifedipine Vitamine A Capsule U.S.P Vitamine E Capsule U.S.P Cefoz Rejuven Alprazolam Paracetamol Atenolol Ranitidine tablet Brufin

Production Requisites Raw Materials : The most important raw material is amino compound purchased from Baroda. Power and Fuel : In SANGROSE, electricity is used as power and is required for working machines and lighting facilities and for this purpose KSEB Subtraction is very near. Water : The company has dug wells in the nearby private land in the possession of the company. In addition to this the industrial estate has its own water supply system.

MACHINERIES

Various types of machinery and equipments are necessary for the production of medicines. The plant is equipped with machinery to produce 15000 20000 Kgs basic drug (CLOFAZIMINE) per annum and hence 20 lakhs capsules are manufactured per shift. The plant basically requires the following machines :

SS Reactor with Condenser MS Rubber Lined Reactor SS Reactor MS Glass Line Reactor SS Centrifuge Rubber Lined Centrifuge Multimill (harmer type) Soft Capsulation Machines Gelatin Cooking Vessel Capsulation Washing Equipment

PRODUCTION PROCESS:

SANGROSE is a medicine manufacturing company. As it has got its own policies it keeps its production process secret. The MD who is the main chemist in the production unit, is the key factor behind the formulation of the medicines.

The chart shows the various activities in production unit:

RAW MATERIAL

MIXING

ENCAPSULATION

WASHING

DRYING

WASHING

PACKING

DISPATCHING

Effluent Treatment Procedure

RAW EFFLUENT: The raw effluent being very little in quantity is collected in a rubber lined concrete tank heated and allowed to concentrate. When a sufficient quantity is obtained it is to be sold to the consultants of the company for neutralizing the alkaline effluents of other industries.

WASH WATER

The wash water from the production area is collected in a separate rubber linked tank for treatment. The effluent is pumped into a mixer cum flocculation tank where liquor ammonia or lime is added for neutralizing. The dried mass is permitted to be used as a land fill. The clear overview from the location tank and the filter bed arrow pumped into an aeration tank where the clear liquid is generated and then passed in carbon filter bed to absorb any remaining organic matters. The filtered liquid is collected in hopper bottom secondary setting tank. From the secondary tank it is pumped into another creation tank and biomass is added. After sufficient creation of the mixture the overflow is passed into a clarifier where any suspended biomass is collected into the slubge put and the clear water is directly passed to 3.5 acres of agricultural land for irrigation as permitted by the pollution control board. There are above 100 people working in the company who are regularly subjected to medical examination by qualified medical practitioner as per the direction of the drugs controller of Kerala and so far no cases of any contagious or any other diseases are reported.

PRODUCTION PLANNING AND CONTROL Production planning and control are the two major aspects of production management. It is an important department of the company which is headed by the senior manager, senior assistant manager, and an assistant manager in charge of the day to day activities of the department. Production planning and control is the planning and organization of the manufacturing process and to co ordinate the series of functions. The elements and function of production planning and control are the following, ROUTING: Determining the route part for the movement of manufacturing lot through factory. LOADING: Refers to the work load against a machine or a worker. SCHEDULING : Determining the start time and completion time of various operations to be performed DISPATCHING : Sets the productive activities in motion through the release of orders and instruction according to timings given in operation sheets, route card and loading schedule.
FOLLOW UP :

It ensures that the necessary instruction has been followed in their unit and required tools and materials are made available to the workers. INVENTORY CONTROL Production Manager is the complete authority who is having control over the production. He is responsible to reduce the cost of production, wastage of raw materials, timely production etc. Economic lot sizes, economic order quantity, reorder levels etc are fixed by this department. Timely actions help to prevent over and under stocking of raw materials. For this it is essential to control the physical flow of raw materials. It is essential to arrange the procurement of raw materials from a supplier who offers continuous supply.

Inventories may be classified into four classes :- Raw materials, supplies, work in progress and finished goods. Raw materials in SANGROSE are chemicals that are processed and converted into finished products such as clofazimine, basic drugs.

The main objective of inventory control is to enable to place an order at the right time from the right source price and of right quantity. Techniques employed : a) Economic Order Quantity : It refers to the specific order size that gives maximum economy in purchasing the materials. Economic order quantity is the inventory level which minimize the total ordering or carrying costs. b) Ordering Cost: Cost of placing an order and securing the suppliers. c) Carrying Cost Refers to the cost of keeping the materials in the store house.

HUMAN RESOURCE DEPARTMENT

Human Resource Department

Human resource is the field of management which controls the human resource in an organization. Human resource department maintains a complete list of all the worked deployed in the organization. The work is performed in three shifts and around 100 employees are working here. SANGROSE maintains cordial relationship with its workers. Good formal and informal relations are maintained between the employees and employers. SANGROSE implements various incentive schemes for the benefit of the employees which can motivate the employees to work more. The functions of human resource department : Manpower planning Job analysis Job evaluation Recruitment training and development

RECRUITMENT Recruitment is the process of searching prospective employees and stimulating them to apply for jobs in the organization. The firm usually calls interview for ten candidates for one vacancy and will resort to written examination if the candidates exceeds 20. Sources of Interview : Walk in Interviews: Sometimes the SANGROSE Laboratories conduct interviews to prospective candidates. The suitable candidates will be selected for appointment. Advertisement : Newspapers and magazines are the common media in which SANGROSE provides advertisement.

Employee Reference : The employee reference will be considered when there is an emergency need for an employee. Consult In : The potential job seekers approach the officials personally and in the regular selection process a suitable candidate is selected.

Nearby Locality : Unskilled workers are usually selected from the nearby locality

SELECTION Candidates who are technically skilled, educationally qualified and potentially able are selected.

TRAINING AND DEVELOPMENT SANGROSE Laboratories offer a wide variety of developmental opportunities to the employees of the organization. They are designed to promote professional and personal growth of workforce. Training enables employees to be technically skilled which can lead to low wastage of raw materials. Purpose of Training o o o o To increase the productivity To reduce the wastage in production To improve and maintain the quality of the product Enables in reducing the accidents during production

Three types of training are provided to the employees : 1. Induction training 2. External training 3. Internal training

1) Induction Training This training is meant for the fresh employees and those employees who have been transferred from other departments of the organization. HR department is responsible for preparing the training schedule. The main purpose of training is to get acclimatize with the company. 2) External Training It is given to the permanent employees such as engineers, officers and other executives. This training is conducted by the external agencies or external organization. 3) Internal Training This type of training is given to the technical personnel working in the various sections or divisions. The training consist of welding, market testing, etc. Management provides training for a period of six months for the fresh employees. Only after the successful competition of the training the candidates are permanently appointed. This type of training is compulsorily practiced.

LABOUR WELFARE ACTIVITIES PROVIDED BY SANGROSE Maslows need hierarchy theory mentions several human needs like self actualization, esteem needs, safety needs, etc. is inevitable to an organization. Better working conditions, job security, insurance, medical facility, recreational facilities, etc should be provided to the employees.

The welfare activities commonly practiced in SANGROSE are : a) Free launch and restaurant For special working hours free launch and refreshment are provided. Coffee is provided twice a day. b) Travelling allowance For every official journey SANGROSE provides proper travelling allowance.

c) Bonus A proper amount of bonus is calculated and provided to the employees. d) Insurance All the employees are covered under ESI. e) Gratuity Gratuity calculated as per the rules of payment of gratuity. f) Vehicle facility Vehicle facilities are arranged to fetch the local employees. g) Medical facility Annual medical checkups are arranged for every employee. h) Provident fund scheme Every employee and employer contributes equally to the provident fund scheme.

TIME OFFICE : This department records the time in and time out of the employees. Other activities related to payment of wages, incentives, leaves, etc are recorded in a register. Different registers are maintained for different shifts. A leave book is maintained and it records;

Leave balance Leave credited Leave awaited

The daily attendance reports for employees specify the shift, date, clock No, hours worked, scheduled shift. The daily attendance report is verified by the supervisors, shift engineers and shift head. WORKING HOURS First shift : Office and general shift : 9am Tea break Lunch break Tea break Second shift Break time Meals break Break time : 10.30am : 1pm : 3.15pm : 5.30pm : 7pm : 9pm : 11.45pm _ _ _ _ _ _ _ _ 5.30 pm 10.45pm 1.30pm 3.30pm 2am 7.15pm 9.30pm 12am

HUMAN RESOURCE DEPARTMENT CHART

HUMAN RESOURCE DEPARTMENT

PUBLIC RELATIONS OFFICER

WELFARE OFFICER

EMPLOYEES

FINANCE DEPARTMENT

FINANCE DEPARTMENT Finance may be defined as the art and science of managing money. An efficient finance department is the backbone of an organization. Its main activity is to maintain the cash inflows and outflows in the organization. The finance manager who is the head of the department determines and allocates funds for the various departments and helps to avoid the wastage of funds. As finance is the life blood of the organization it provides solution to the questions such as how to procure fund? How to utilize the fund and how to make profit? OBJECTIVES OF FINANCE DEPARTMENT Financial management is the managerial activity which is concerned with planning, controlling and administration of funds used in business. It involves a sound judgement combined with a logical approach to decision making.

The finance management is primarily concerned with the following objectives : 1. Maximization of profit Profit maximization is the basic criteria considered by the managers while taking a decision. As a business organization the primary objective is to maximize the profit. It is essential for the further smooth working of the organization. 2. Maximization of wealth This objective is as important as maximization of profit. This is possible by maximizing the net present worth of the firm. 3. Working capital management Working capital management has great importance as the success of every business depends upon management of the working capital. Working capital in simple terms is the amount of funds which a business concern has to finance in its day to day operations. It can also be regarded as that proportion of a companys total capital which is employed in short term operations.

FACTORS INFLUENCING THE WORKING CAPITAL REQUIREMENTS IN THE COMPANY Working capital management is a significant fact of substantial management. The working capital needs are influenced by the following.

Nature and size of the business: The working capital requirements of a firm are closely related to the nature of the business. In a pharmaceutical industry like SANGROSE laboratories, which manufactures basic drugs and capsules working capital requirements are requirements are relatively high. Seasonality of operations: Firms which have a market seasonally usually have high fluctuating working capital. The sales for SANGROSE is also seasonal as the company depends on tenders invited by the Govt. of India. This leads to heavy stocking of raw materials and finished goods at the beginning of the financial year.

Conditions of supply: The inventories of raw materials, spares and stores depend on the conditions of supply. The raw materials used here are always not abundantly available and hence sufficient arrangement for early procurement of raw materials are implemented and also for stocking it for future use. They are stored for 3 6 months. NEEDS FOR WORKING CAPITAL Working capital is required for: Purchase of raw materials (chemicals, spares and components). Payment of wages and salaries. To meet the day to day expenses and overhead cost such as power, fuel and office expenses. To meet the selling expenditure like packing and advertising.

CREDIT POLICY The company have its own policies regarding credit and they sell their products on credit basis. The credit period of 15 days and grace period is usually provided to the customers. If the customer is an outstation party it varies from 60 to 100 days. Trade discounts are also provided to the customers to increase sales and this is usually allowed on bulk purchases.

SOURCES OF FUNDS The major sources of fund is shareholders fund, which includes shareholders reserve and surplus. The loan amount stood upto 30lakhs from KFC and about 15lakhs from SBI. SANGROSE has received the best customer award from State Bank of India. The turnover for the company was 10crore in 2007 and 7crore in 2009 and 12crore in 2010. The main source of income are sales and contract basis manufacturing. They were able to overcome the recession as their main business deals with the sales of their patented product, CLOFAZIMINE. FINANCE DEPARTMENT CHART

FINANCE DEPARTMENT

FINANCE MANAGER

ACCOUNTANT

CHIEF CLERK

MARKETING DEPARTMENT

Marketing Department Marketing involves all those processes and activities that direct the flow of goods and services from producer to customer. Marketing is the activities that are aimed at planning, pricing, promoting and distributing want satisfying products and services to the present and potential customers. It also important to an industry as half of the cost of goods and services results from the marketing process. SANGROSE is one of the leading market players in the southern region of the country.

FUNCTIONS Functions of exchange: Buying Selling

Functions of physical selling: Transportation Storage of warehousing

Facilitating functions: Financing Pricing Risk bearing Advertising Standardization Sales promotion

In SANGROSE the bulk drug manufactured is exported to Swiss with the help of a foreign company named novatis. The product sold by SANGROSE to Swiss is in the name of novatis. The capsules are supplied to central purchasing committee of the government of India through tender. Black lumen seeds are also exported to Srilanka.

Functions performed by marketing department

Analyzing markets thoroughly. Study consumers psychology and demand. Studying the conditions existing in competitive firms. Studying the market fluctuations. Planning of the advertisement campaign. Preparing sales budgets from marketing plan. Exploring the markets for selling the product.

MARKETING DEPARTMENT CHART

MARKETING MANAGER

MARKETING SUPERVISOR

SALES OFFICIALS

QUALITY CONTROL MANAGEMENT

Quality Control Department

Quality is one of the major aspects that the organization is concerned with. The systematic control of material, men, machines, manufacturing conditions is quality control. Functions: o o o o o o o Identity the defective goods. Find the quality of mixing. Ways to reduce the cost of manufacture. Improvement of manufacturing and customer relation. Market research. Production methods and production design that improves quality. Factors affecting quality.

QUALITY CONTROL MEASURES: Raw material analysis In process analysis Finished product analysis The quality control laboratory functioning in the company has sophisticated equipment like U.P spectrophotometer, disintegration testing equipment, dissolution testing equipment, electronic PH meters, digital electronic balance, etc. Quality control is the statistical method of measuring deviation from standard quality by recording sample tests on a chart which immediately shows when work is being deviated from approved limits.

QUALITY CONTROL DEPARTMENT

QUALITY CONTROL DEPARTMENT

CHEMIST

ASSISTANT CHEMIST

LAB ASSISTANT

RESEARCH AND DEVELOPMENT

RESEARCH AND DEVELOPMENT DEPARTMENT

The company has a research development lab functioning with all sophisticated equipment. Their main objective is developing process know how for life saving drugs. They also develop combination of those drugs that can be produced at lower costs. SANGROSE is spending a reasonable portion of its turnover for its R & D department. A qualified team is working with the department to develop competitive products which identifies SANGROSE among other pharmaceutical companies. SANGROSE is expanding its product line consistently. A new division that is expected to produce tablets, liquids, orals and hard gelatin capsules. A subsidiary of SANGROSE is on the development process and which is proposed to be named as SANGROSE Drugs Chemicals Pvt. Ltd. Which intends to manufacture the basic drugs. The plant is proposed to function from the coming year onwards.

Following are some of the basic drugs: Dapsone (anti- leprosy) Pyrazinamide (anti-TB) Imipramine (anti-depressment) Enthambutol (anti-TB)

FINDINGS AND SUGGESTIONS

FINDINGS
The findings and suggestions derived out of the clear cut analysis to bring out their skills of innovations. The company creates an environment suitable for individuals to bring out their skills of innovation. The company is dedicating to achieve the highest level of quality in all its products . At SANGROSE, they create a better sense of team work, the ability to work together. The company has the lack of advertisement in its products
. Company has a high financial stability.

SUGGESTIONS According to the study, SANGROSEs capacity utilization is very low. So the company should try to utilize the capacity at an optimum level to reduce cost. High / low inventory levels must be avoided in stores, department must follow the concept of EOQ strictly. Strict supervision can be implemented to make the workers and employees to do their work properly and more efficiently. Better product promotion may help in improving sales. Identify card should be provided to all workers. Provide punch card systems to workers.
Initiating major strategies towards imparting dealers.

CONCLUSION

COCLUSION The organizational study gave immerse knowledge about the various functions of SANGROSE. It was an opportunity to peep into the details of its various departments which ultimately revealed that the sincerity and dedications of the employees was the major success factor. SANGROSE Laboratories is the only company manufacturing CLOFAZIMINE in Kerala and third in India. As it is incorporated as private limited company and registered as a small scale industry. The company plays an important role in the National Leprosy Education Program (NLEP) introduced by the government of India under the aid of W.H.O. This will help the company certain concessions for exporting. SANGROSE Laboratories is the capital intensive and power oriented project in the small scale sector promoted with the objective of rural development. It is the policy of SANGROSE Laboratories to supply medicines conforming to quality standards specified by customers at agreed prices and to their satisfaction. The promoters of the company have considered all the infrastructure facility for starting up the required by the small scale industry. The scale of SANGROSE Laboratories become seasons. There is huge requirements of working capital because the company depends on tender invited by the Government of India, this leads to heavy stocking of raw material and finished goods at the beginning of the financial year.

BIBLIOGRAPHY

BIBLOGRAPHY Pandey I.M. Financial Management, Vikas Publications House, (9th edition) Flippo Edwin B, Principle of Personal Management, MC Graw Hill-Kotak. Kotler. Philip. Marketing Management, Prentice Hall of India. Kothari C.R. Research Methodlology, Vishwa Prakashan.