Drug store & Business Management

1. Drug Store and Business Management
Chapter 1. Introduction
Topic: Functions of Management and
Industry
Miss. Harshada Ravindra Patil
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2. Functions of Management
There are six functions of managements
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3. Management
Planning
Organizing
Staffing
Directing
Controlling
Coordinating
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4. Planning
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5.  Planning is an intellectual or mental exercise
requiring imagination and judgment.
 Planning helps to do things in an order manner.
 Its increases economy and efficiency by
minimizing random action.
 Planning helps in the proper utilization of
resource.
 Planning aims at achieving the desired results.
 It involves forecasting of future problems &
events .
 selecting an appropriate course of action to
handle the anticipated problems & events
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6. Starting a pharmaceutical industry the
following problems are anticipated,
 Selection of a proper site.
 Items to be manufactured.
 Arranging necessary finance.
 Required licence
 Sale of good manufactured by the factory.
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7. Planning is deciding in advance
 what to do, how to do
 why to do
 where to do
 who will be responsible for doing is planning.
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8. Importance of Planning
 Planning provides directions
 Planning reduces overlapping and wasteful
activities
 Planning promotes innovative ideas
 Planning facilitates decision making
 Planning establishes standards for controlling
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9. Organizing
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10. Organization means group of people contributing
their efforts towards the attainment of certain
common objectives.
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11.  It is organizing the company by grouping the
similar activities together to achieve activity
planned objectives, define responsibilities of
employees .
 In a pharmaceutical industry various activities
like purchasing production, QC stores,
distribution, marketing finance.
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12. The process involves the following steps:
 Identify the activities necessary to achieve
the objectives.
 Grouping the activities into manageable units.
 Assigning duties to appropriate individuals.
 Giving authority to individuals & fixing
responsibilities for results.
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13. Importance of Organizing
 Organizing helps Organizations to reap the
benefit of specialization.
 Organizing provides for Optimum utilization of
resources.
 Organizing helps in Effective administration.
 Organizing achieves co-ordination among
different departments.
 Organizing creates scope for new change.
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14. Staffing
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15. o A right person should be selected for right job
to get maximum output to target work done.
o Honest & hard workers should be given the
appreciation for his work
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16. Staffing consist of following activities
 Manpower planning
 Recruitment, selection & replacement.
 Training & development.
 Promotion & transfer.
 Employee remuneration etc.
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17. Importance of Staffing
 Filling the Organizational positions
 Developing knowledge to challenges
 Optimum utilization of the human resources
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18. Directing
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19.  Management is the art and process of getting
things done.
 Managers should guide the subordinates by
teaching proper method of work.
 They should motivate the subordinates to
work & cooperate.
 The manager have the responsibilities of
supervising their sub-ordinates by giving proper
instruction & checking the performance etc.
 By giving proper instruction.
 By guiding & teaching the subordinates
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20. Importance of Directing
 Direction initiates actions to get the desired
results in an organization.
 Direction is essential to keep the elements like
Supervision, Motivation, Leadership and
Communication effective.
 It ensures that every employee work for
organizational goals.
 Stability and balance can be achieved through
directing.
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21. Controlling
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22.  Controlling means the steps taken to ensure
that the performance of the organization
conforms to the plans.
 There should be an adequate control, so that
predetermined planned objectives are achieved.
 There should be adequate control over the
staff so as to achieve the planned goals.
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23.  Strict control on the activates of the
subordinates may sometime leads to loss of all
capability on the part of the workers.
 It ensures that performance of the
organization conforms the plans.
 To look the day to day working.
 There should be an adequate control so that
pre- determined planned objectives are
achieved.
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24. Coordinating
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25.  In the management of organization objectives
are laid down.
 Which can ultimately be fulfilled by co-
ordination with various departments.
 There should be proper coordination among
the various department.
 It means that all the working units as well as
the employees/workers of the organization work
in complete harmony to fulfill the goals of the
organization
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26.  Each department or division should be precisely
informed of its share in the common task.
 Each department should work in harmony with
other department.
 The working schedules of various departments
should be constantly attuned to circumstances.
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27. The basic features of coordination
 It is a continuous process.
 It is an orderly arrangement of group efforts.
 Its purpose is to secure unity of action
towards common objectives.
 Its consists of three elements
I. Timing
II. Balancing
III. Integrating
 Coordination is the essence of management.
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28. Industry
 It is the part of business activity which relates
to production, processing, or fabrication of
products.
The goods are called Consumer goods if used
by final consumers and Capital or Producer
goods if used in production of other goods.
 Example: Tablet, Capsule, Syrup.
 Machine tools, Pharmaceutical Machinery.
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29. Classification
 Classified into four divisions
A. Types of good produced
B. Size and amount of investment
C. Capital employed
D. Official classification of industries
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30. A. Types of good produced
Types of good produced
Extractive
Industries
Genetic
Industries
Construction
Industries
Manufacturing
Industries
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31. Manufacturing
Industries
Analytical
Industries
Synthetic
Industries
Processing
Industries
Assembly Line
Industries
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32. B. Size and amount of Investment
1. Light Industries
2. Heavy Industries
C. The Capital Employed
1. Large scale industries
2. Small scale industries
D. Official Classification of Industries
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33. 1. Extractive industries
Concerned with extraction or drawing out the
products from natural sources such as soil, air
or water.
Example: Oil exploration, Forestry, Agriculture.
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34. 2. Genetic industries
Producing and multiplying certain species of
plants and animals for the purpose of earning
profit from their sale.
Example: Poultry farms, Nurseries.
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35. 3. Construction industries
Construction of roads, buildings, bridges, dams
etc.
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36. 4. Manufacturing industries
Engaged in production of goods wherein the raw
materials or semi manufactured goods are
converted into finished products.
Example: Pharmaceutical industry
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37. A. Analytical industries
Engaged in manufacturing of products by
analyzing and separating different elements from
the same material.
For example, fractional distillation of crude oil
refinery industries.
B. Synthetic industries
Where two or more than two materials are mixed
together in a manufacturing process to make a
new product.
 Products like various chemicals, drugs, soaps,
cosmetics, fertilizers are produced by synthetic
industries.
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38. C. Processing industries
Raw materials are processed through different
stages of production to produce final product.
For example drugs, pharmaceutical industries,
paper, sugar industries etc.
D. Assembling industries
Where the parts or components are assembled
to make useful product.
For example production of cars, scooters,
television, computers etc.
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39. Based on size and investment
1. Light industries
These industries involve a small capital
investment and have a short duration production
cycle.
Example: Industries involved in the production
of collapsible tubes, rubber tubes, tin containers
etc.
2. Heavy industries
These industries need a big capital investment
and also involve a longer production cycle.
Example: Iron and Steel industries, Automobiles.
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40. 3. Based on capital employed:
Large scale industries
Involves higher capital, large number of workers,
machinery and tools
 .
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41. Small scale industries
Capital involved is not more than 10 lakhs in plant
and machinery.
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42. 4. Official classification of industries
The industries are classified according to the type
of products produced by them as given under
the, First schedule to the industries
(Development and Regulation) Act, 1951 by the
government.
For example, Drugs and Pharmaceuticals,
Medical and Surgical appliances, Cosmetic and
Toilet preparations.
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