Dr. Reddy's Laboratories is an Indian pharmaceutical company founded in 1984 and headquartered in Hyderabad, India. It produces active pharmaceutical ingredients, finished dosages, and biologics. Dr. Reddy's controls its entire supply chain to offer high quality, affordable medicines while maintaining quality at every stage. It has 20,000 employees worldwide and facilities in India, the US, UK, and Mexico. Dr. Reddy's goals include becoming a global, integrated mid-sized pharmaceutical company through diversifying into generics and specialty medicines across emerging markets.

1. SUPPLY CHAIN AND
LOGISTICS
OF
DR.REDDY’S LABORATORIES
By Himanshu Shekhar

2. Chairman - Dr. K.Angi Reddy

3. Dr.Reddy’s Lab Ltd
• Type Public
• Traded as NSE: DRREDDY BSE: 500124 NYSE: RDY
• Industry Pharmaceuticals
• Founded1984
• Headquarters Hyderabad, Telangana, India
• Key people Anji Reddy (Founder) G. V. Prasad (CEO) Kallam Satish
Reddy(Chairman)
• Revenue $2.3 billion (2014)
• Net income $350 million (2014)
• Number of employees 20,000 (April 2015)
• Website www.drreddys.com
• TAGLINE/SLOGAN: Life. Research. Hope.
• USP: Strong Vertically integrated Portfolio of Products, Businesses &
Geographies.
• TARGET GROUP: Healthcare Professionals, Retail Outlets
• POSITIONING: Committed to Providing Affordable & Innovative Medicines for
Healthier Lives.

4. Company Background
• Dr.Reddy’s Laboratories Ltd founded in 1984 by Dr.
Kanga Reddy and has become India’s second biggest
pharmaceutical company and its headquartered is in
Hyderabad.
• It produces and sells active pharmaceutical ingredients,
finished dosages and biologics.
• It manufactures ulcer medicines, antibiotics, pain
relievers, antidepressants and cardiovascular drugs.

5. Controlling the entire Value Chain
• Dr. Reddy’s controls the entire supply chain and offers
high quality products at competitive prices at opportune
time .
• In addition it ensures that quality is maintained at every
stage.

6. Industry Classification
Pharma
Bulk Drugs (API)
Contract
Research
Formulations
Patented Generics
Generic
generics
Branded
generics

7. STRATEGIC GROUPS IN THE INDIAN
PHARMA INDUSTRY
Applied R & D Basic R & D
Local
Branding
Global
Branding
CIPLA
Torrent
NOVO
NORDISK
Glaxo
Smithkline
SANOFI-AVENTIS
DR. REDDY’S LAB
RANBAXY
Generics
International
Formulation
Domestic
Formulation
TORRENT
CIPLA

9. Supply Chain

10. SWOT Analysis of Dr. Reddy’s
Strengths
• Partnerships with key players in
the market keeps its cost base
down
• Research Driven & Global
Weaknesses
• Over-reliance on partnerships
• Lack of resources similar to US
and Europe based competitors to
develop a drug to marketing
Opportunities
• Take a drug all the way to market
• Take a molecule from its pipeline
all the way to the market place
cost-effectively market
• Increase domestic footprint in
generics
Threats
• Needs to gain FDA approval for
all sources and products
• Products have to pass strict FDA
trials before going to market,
which can be costly and time
consuming

11. DRL’s Strategic Goals
Global
Pharmaceutical
company
Integrated global
mid sized
pharmaceutical
company
Diversified emerging generics
& specialty company
Longer Term (6-7 years)
Mid Term (3-6 years)
Today

12. Dr Reddy’s Infrastructure & Capabilities
:
Pharma services &
Active ingredients
• 6- FDA approved
plants in India
• 1 Cytotoxic facility
• 1 Plant in Mexico
• 1 FDA approved
plant in Mirfield, UK
• 4 Technology
Development
Centres ( 2 in
Hyderabad, 1 in
Cambridge, and 1
in Leiden,
Netherlands
Global Generics
• 7 Formulations
plants in India (US
FDA inspected)
• 2 FDA inspected
plants in USA
Product
Development
• Integrated product
development
capabilities that
include API
development,
Formulations
development and
analytical
development skills.
• One integrated
Product
Development
facility in
Hyderabad, India.

13. New Chemical
Entities (NCEs)
• Research in
the areas of
metabolic,
cardiovascular,
anti-bacterial,
and pain &
inflammation.
Biologies
• Biological
development
centre
• GMP
production
• E coli and
mammalian
cell platforms
Plan
• To set up R&D
centre at New
Jersey, USA
• GSK-Dr
Reddy’s
alliance to
register their
1st product in
the EU in 2014