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Science dealing with collection,
 preparation, and standardization
            of DRUGS,
 derives its name from the Greek
    root PHARMAKON, a drug




a company that makes
      and sells
   pharmaceuticals
Pharmacy began in Van
                                       Established the H.T. Gould &
Diemen's Land with the supply of     Co. Homeopathic Pharmacy in Hobart
medicines by                         in 1881
military surgeons and dispensers
                                       Formal separation of medicine and
  As the number of free settlers     pharmacy came about when the
grew, traders with ‘chemical         Pharmacy Act was passed in 1908
knowledge' brought in shipments
                                       Most medicines were compounded
of medicines and chemicals           mixtures of natural ingredients until
                                     the early 1900s, when the advent of
  The first was Michael Bates who,   patent medicines and manufactured
in 1825, established a business as   tablets such as ASPIRIN AND
'PHARMACOPOLIST, Chemist             PHENACETIN
and Druggist' in Launceston
                                       The synthesis of antibiotics and
                                     antipsychotics revolutionized drug
   Hatton & Laws Chemists, one of    treatment in the 1940s and 1950s
the oldest pharmacy businesses
still operating in Australia           In 1978 Pharmacy moved to the
                                     University of Tasmania, where it came
  Chemists were licensed by laws     to be ranked as one of the best
enacted in 1837, 1840 and 1842       pharmacy courses in Australia.
4.78   5.39
                      4.03
                             3.92       Ranbaxy
                                2.91    Cipla
                                 2.01   GSK Pharmaceuticals
                                        Piramal Healthcare
                                        GlaxoSmithKline
                                        Pfizer
76.96
                                        Others
Indian
* Incorporated in 1961
* Ranked among the top




                                                          Foreign
* 10 generics companies in the world
* Ground operations in 49 countries and manufacturing
 operations in 11 nations

* Exports contribute to around 80 per cent of the total
 revenues

* The company’s net profit in first quarter of 2008 was

                                       *
 US$ 39 million.
* Established in 1984




                                                                     Indian
*   Ranks among the top 15 generics players in the world

*   First pharmaceutical company in Asia-Pacific (outside Japan)




                                                                     Foreign
    to be listed on NYSE

*   Presence in 35 countries with operations in over 115 countries

*   Generated revenues of US$ 1.5 billion in 2007

*   Overseas business contributes to around 86 per cent of the
    total revenues

* Aspires to become a discovery led global pharmaceutical
    company and one of the top 10 generic companies in the world

                                *
Indian
*   Set up in 1935

*   World’s largest manufacturer of cost effective anti-retroviral drugs




                                                                                Foreign
* Cipla’s products are bought by over 170 countries across all the continents
* Partnerships with nine companies for over 125 products
* Recorded a turnover of US$ 800 million in 2007
* Exports account for over 50 per cent of the overall sales
* Over 100 Drug Master File (DMF) registrations in the US and over 85 in
    Europe

* Presence across most of the therapeutic category


                                                              *
Indian
* Came into existence in 1988
* Fourth largest pharmaceutical company and is the leader in the CVS segment
* Has grown primarily on acquisitions, mergers and alliances in the last 15 years




                                                                                    Foreign
* Merged with Global Bulk Drugs and Fine Chemicals (India) in 2003
* Acquired Pfizer’s custom manufacturing plant located in Morpeth (UK)
* NPIL recorded a turnover of US$ 335 million
* Domestic market accounts for approximately 87 per cent of the company’s
 annual sales

* TC presence: Anti-infectives, CVS, diabetes, dermatological, pain
 management, GI, respiratory, nutritional, CNS and urological




            *
Indian
* Two manufacturing units in India, located at Nasik and Thane
* 2000-strong fieldworkers and a country wide network of over 4000
 stockists




                                                                          Foreign
* Net sales of the pharmaceuticals business segment was US$ 326
 million, which constitutes 92 per cent of the company’s total sales

* It exported bulk drugs and formulations worth US$ 7.1 million
* Two R&D centers which are approved by the Department of Scientific
 and Industrial Research, Government of India

* TC presence: Anti-infectives, CVS, diabetes, dermatological, pain
 management, CNS, GI, nutritional, gynecological, respiratory, sera and
 immunoglobulin, hormones




                                *
Indian
* Forayed in the Indian market in 1950
* Manufacturing facility at Thane, Maharashtra
* Launched five patented products since 2005 -




                                                                       Foreign
 Vfend, Viagra, Lyrica, Caduet and Macugen

* Seven of Pfizer’s brands feature among the top 100 pharmaceutical
 brands

* Pfizer Limited (India) has a turnover of US$ 172 million (November
 2006)

* Clinical research investments of US$ 15.75 million in India
* TC presence: Anti-infectives, CVS, dermatological, sera and
 immunoglobulin, pain


                                            *
 management, diabetes, CNS, GI, nutritional, gynecological and
 respiratory
Business Model
               R&D               Manufacturing             Marketing




Traditional    Model I: Integrated Operations
 Business
  Model                                  Model II: In house manufacturing
                                         and marketing for own product




                                      Model IV:
Emerging        Model III:         Manufacturing for
Business        Contract                                    Model V:
 Model           R&D                                       Contact / Co-
                                                            Marketing
                                            Supplies
                                                             Alliance
                                    CM
Total per
person
spending in
HEALTH
CARE with
GDP
change
Expiring
 Patents
Rural market – opportunities
at the bottom of the pyramid
• 65 per cent of the population resides in the rural areas with
  limited or no access to medicines and other healthcare
  facilities

• With a growth rate of 39 per cent in 2006, rural market has
  outstripped the growth in the urban region, across most of the
  therapeutic categories in both value and volume terms

• General physician driven segments such as anti-
  infectives, analgesics, etc. have registered high growth
  compared to the specialist-driven segments such as CNS

• Non-communicable diseases such as
  cancer,blindness, mental
  illness, hypertension, diabetes, HIV/AIDS, accidents and
  injuries are also on the rise
Lifestyle disease on the
   rise in rural areas
Policy And It’s Impact




   1970   1995   2005
Job Prospective
Finance
              Corporate Recruitment Factory
                        Officer         Retail/Medical
              sales                 Manager Sales
                                        Store
                                            Market
             HR                             Research
Marketing    Manager            Financial
                  Training and                Financial
                                Analyst
                  Development                 Controller

  Human
 Resource

    Job Profile
Ratings Analysts
Budget Analysts
                        Risk Analysts
Investment Analysts
                        Security Analysts
Mergers and
                        Tax Analysts
Acquisitions
Analysts                Stock Market
                        Analysts
Money Market
Analysts                Credit Analysts

         Salary : 30,000 - 110,000+


Financial Analyst
Prepare financial reports and present findings and
recommendations to senior management
Interact with corporate finance group for reporting and
financing needs
Provide management information on the performance/
profitability of products, projects
Responsible for overall annual planning process and
quarterly forecasts
Approve company expenditures budgets of operational costs
and capital investments
Prepare monthly analytical accounting reports, product
costing reports, budget deviations

Financial Controller
Create and execute an effective call plan

Utilize reporting tools provided to achieve territorial goals

Build business relationships with assigned customers

Utilize your customer focused selling skills in your
presentations

Remain in compliance with Drivers Safety Guidelines, and
your personal automobile insurance coverage requirement


Sales
Supporting creation, design, development, implementation and
ongoing maintenance/ administration of various incentive
compensation plans through compensation analysis, modeling
and reporting

Client data management, technical configuration, process
definition, modeling and Incentive Compensation administration

Perform changes to reports and data interfaces, and conduct ad
hoc analyses.


Market Researcher
Plan and manage all production activities to ensure the
maximum quality with the ideal cost of production.

Avail all production assets (equipment, machines, raw
materials, etc.)

Co-ordinate with the
production, maintenance, inventory and purchasing
departments



Factory Manager
Service Provider

The Facilitator

The Executive

The Consultant

The Auditor

Employee Relations




HR Manager
Consulting with other managers to identify training needs.
Drawing up an overall training plan.
Managing a training budget.
Producing materials for in-house training.
Working with training providers to develop suitable course
content.
Evaluating the success of both individual training and the
overall program.
Managing regular staff appraisals and reviews and making
sure staff have opportunities for ongoing development.


Training & Development
Manager
Finance
            • Volatility analysis of Pharmaceutical
              Companies

Marketing
            • Trend Analysis of Pharmaceutical
              with reference to B.S.E or N.S.E
  Human
 Resource

    Topic for SIP
Finance
            • Effect of Counter feting in Pharmaceutical
              Sector

Marketing
            • Comparison on sales between two companies
              in same product line
  Human
 Resource

    Topic for SIP
Finance
            • Training of Medical Representatives - an
              important tool for Brand Promotion
Marketing

            • Project on Factors effecting Job Satisfaction in
  Human       Pharmaceutical company
 Resource

    Topic for SIP
THANK YOU
QUESTIONS???

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Pharmaceutical Industry

  • 2.
  • 3. Science dealing with collection, preparation, and standardization of DRUGS, derives its name from the Greek root PHARMAKON, a drug a company that makes and sells pharmaceuticals
  • 4. Pharmacy began in Van Established the H.T. Gould & Diemen's Land with the supply of Co. Homeopathic Pharmacy in Hobart medicines by in 1881 military surgeons and dispensers Formal separation of medicine and As the number of free settlers pharmacy came about when the grew, traders with ‘chemical Pharmacy Act was passed in 1908 knowledge' brought in shipments Most medicines were compounded of medicines and chemicals mixtures of natural ingredients until the early 1900s, when the advent of The first was Michael Bates who, patent medicines and manufactured in 1825, established a business as tablets such as ASPIRIN AND 'PHARMACOPOLIST, Chemist PHENACETIN and Druggist' in Launceston The synthesis of antibiotics and antipsychotics revolutionized drug Hatton & Laws Chemists, one of treatment in the 1940s and 1950s the oldest pharmacy businesses still operating in Australia In 1978 Pharmacy moved to the University of Tasmania, where it came Chemists were licensed by laws to be ranked as one of the best enacted in 1837, 1840 and 1842 pharmacy courses in Australia.
  • 5. 4.78 5.39 4.03 3.92 Ranbaxy 2.91 Cipla 2.01 GSK Pharmaceuticals Piramal Healthcare GlaxoSmithKline Pfizer 76.96 Others
  • 6.
  • 7. Indian * Incorporated in 1961 * Ranked among the top Foreign * 10 generics companies in the world * Ground operations in 49 countries and manufacturing operations in 11 nations * Exports contribute to around 80 per cent of the total revenues * The company’s net profit in first quarter of 2008 was * US$ 39 million.
  • 8. * Established in 1984 Indian * Ranks among the top 15 generics players in the world * First pharmaceutical company in Asia-Pacific (outside Japan) Foreign to be listed on NYSE * Presence in 35 countries with operations in over 115 countries * Generated revenues of US$ 1.5 billion in 2007 * Overseas business contributes to around 86 per cent of the total revenues * Aspires to become a discovery led global pharmaceutical company and one of the top 10 generic companies in the world *
  • 9. Indian * Set up in 1935 * World’s largest manufacturer of cost effective anti-retroviral drugs Foreign * Cipla’s products are bought by over 170 countries across all the continents * Partnerships with nine companies for over 125 products * Recorded a turnover of US$ 800 million in 2007 * Exports account for over 50 per cent of the overall sales * Over 100 Drug Master File (DMF) registrations in the US and over 85 in Europe * Presence across most of the therapeutic category *
  • 10. Indian * Came into existence in 1988 * Fourth largest pharmaceutical company and is the leader in the CVS segment * Has grown primarily on acquisitions, mergers and alliances in the last 15 years Foreign * Merged with Global Bulk Drugs and Fine Chemicals (India) in 2003 * Acquired Pfizer’s custom manufacturing plant located in Morpeth (UK) * NPIL recorded a turnover of US$ 335 million * Domestic market accounts for approximately 87 per cent of the company’s annual sales * TC presence: Anti-infectives, CVS, diabetes, dermatological, pain management, GI, respiratory, nutritional, CNS and urological *
  • 11. Indian * Two manufacturing units in India, located at Nasik and Thane * 2000-strong fieldworkers and a country wide network of over 4000 stockists Foreign * Net sales of the pharmaceuticals business segment was US$ 326 million, which constitutes 92 per cent of the company’s total sales * It exported bulk drugs and formulations worth US$ 7.1 million * Two R&D centers which are approved by the Department of Scientific and Industrial Research, Government of India * TC presence: Anti-infectives, CVS, diabetes, dermatological, pain management, CNS, GI, nutritional, gynecological, respiratory, sera and immunoglobulin, hormones *
  • 12. Indian * Forayed in the Indian market in 1950 * Manufacturing facility at Thane, Maharashtra * Launched five patented products since 2005 - Foreign Vfend, Viagra, Lyrica, Caduet and Macugen * Seven of Pfizer’s brands feature among the top 100 pharmaceutical brands * Pfizer Limited (India) has a turnover of US$ 172 million (November 2006) * Clinical research investments of US$ 15.75 million in India * TC presence: Anti-infectives, CVS, dermatological, sera and immunoglobulin, pain * management, diabetes, CNS, GI, nutritional, gynecological and respiratory
  • 13. Business Model R&D Manufacturing Marketing Traditional Model I: Integrated Operations Business Model Model II: In house manufacturing and marketing for own product Model IV: Emerging Model III: Manufacturing for Business Contract Model V: Model R&D Contact / Co- Marketing Supplies Alliance CM
  • 15.
  • 17. Rural market – opportunities at the bottom of the pyramid • 65 per cent of the population resides in the rural areas with limited or no access to medicines and other healthcare facilities • With a growth rate of 39 per cent in 2006, rural market has outstripped the growth in the urban region, across most of the therapeutic categories in both value and volume terms • General physician driven segments such as anti- infectives, analgesics, etc. have registered high growth compared to the specialist-driven segments such as CNS • Non-communicable diseases such as cancer,blindness, mental illness, hypertension, diabetes, HIV/AIDS, accidents and injuries are also on the rise
  • 18. Lifestyle disease on the rise in rural areas
  • 19. Policy And It’s Impact 1970 1995 2005
  • 21. Finance Corporate Recruitment Factory Officer Retail/Medical sales Manager Sales Store Market HR Research Marketing Manager Financial Training and Financial Analyst Development Controller Human Resource Job Profile
  • 22. Ratings Analysts Budget Analysts Risk Analysts Investment Analysts Security Analysts Mergers and Tax Analysts Acquisitions Analysts Stock Market Analysts Money Market Analysts Credit Analysts Salary : 30,000 - 110,000+ Financial Analyst
  • 23. Prepare financial reports and present findings and recommendations to senior management Interact with corporate finance group for reporting and financing needs Provide management information on the performance/ profitability of products, projects Responsible for overall annual planning process and quarterly forecasts Approve company expenditures budgets of operational costs and capital investments Prepare monthly analytical accounting reports, product costing reports, budget deviations Financial Controller
  • 24. Create and execute an effective call plan Utilize reporting tools provided to achieve territorial goals Build business relationships with assigned customers Utilize your customer focused selling skills in your presentations Remain in compliance with Drivers Safety Guidelines, and your personal automobile insurance coverage requirement Sales
  • 25. Supporting creation, design, development, implementation and ongoing maintenance/ administration of various incentive compensation plans through compensation analysis, modeling and reporting Client data management, technical configuration, process definition, modeling and Incentive Compensation administration Perform changes to reports and data interfaces, and conduct ad hoc analyses. Market Researcher
  • 26. Plan and manage all production activities to ensure the maximum quality with the ideal cost of production. Avail all production assets (equipment, machines, raw materials, etc.) Co-ordinate with the production, maintenance, inventory and purchasing departments Factory Manager
  • 27. Service Provider The Facilitator The Executive The Consultant The Auditor Employee Relations HR Manager
  • 28. Consulting with other managers to identify training needs. Drawing up an overall training plan. Managing a training budget. Producing materials for in-house training. Working with training providers to develop suitable course content. Evaluating the success of both individual training and the overall program. Managing regular staff appraisals and reviews and making sure staff have opportunities for ongoing development. Training & Development Manager
  • 29. Finance • Volatility analysis of Pharmaceutical Companies Marketing • Trend Analysis of Pharmaceutical with reference to B.S.E or N.S.E Human Resource Topic for SIP
  • 30. Finance • Effect of Counter feting in Pharmaceutical Sector Marketing • Comparison on sales between two companies in same product line Human Resource Topic for SIP
  • 31. Finance • Training of Medical Representatives - an important tool for Brand Promotion Marketing • Project on Factors effecting Job Satisfaction in Human Pharmaceutical company Resource Topic for SIP