The document outlines the principles of management within the pharmaceutical industry, defining management as the process of using resources to achieve specific goals. It discusses three levels of management: top, middle, and lower, detailing their roles and functions, including planning, organizing, staffing, directing, coordinating, and controlling. Additionally, it highlights the importance of effective management for resource optimization, growth, and addressing employee and societal concerns.

1. PHARMACEUTICAL MANAGEMENT
PREPARED BY
Mr. V.M.Gaware
Asst. Prof
College of Pharmacy (For Women), Chincholi Nashik

2. What is Management ???
• Is the process of using what you
have { RESOURCES }, to do
what you want to do ….
{GOALS}

3. Resources {Assets}
7 categories of resources:
• People
• Money
• Time
• Work Procedures
• Energy
• Materials
• Equipment

4. Goals
• Profit Levels or Maximum cost levels
• Maintenance or growth of financial strength
• Quality standards
• Guest employee & management concerns
• Professional obligations
• Societal concerns

5. • The word management denotes the process of
conducting and managing various business
activities.
• It is the art of securing maximum results with
the minimum of efforts so as to secure
maximum prosperity and happiness both for
employer and employees and at the same time
provide best possible service to the public.
Management:

6. • Management is the art and science of
organizing and directing human efforts
applied to control the forces and utilize the
materials of nature for the benefit of man.
• Management is science because it proves,
predicts, define, measure and utilizes
knowledge.
• At same it is an art becoz it feels, guesses,
describe, expresses, communicates &
practice.

7. • It is also profession becoz it requires skill and
knowledge and development of positive mental
attitude.
• Management is principally a task of planning,
coordinating, motivating and controlling the
efforts others towards specific objective.
• Management is creation & maintenance of
internal environment in enterprise where
individual, working in groups can perform
efficiently and effectively towards the
attainment of group goals.

8. • When the principles and practices of management are applied to
pharmaceutical industry and drug store, it is known as
“Pharmaceutical Management”
LEVELS OF MANAGEMENT

9. LEVELS OF MANAGEMENT
Non Management Employees

11. LEVELS OF MANAGENMENT
There are three levels of management:
Top level management:
• The top level management of company
consists of board of directors and
managing director.
• Top management is the ultimate source
of authority which frame the policies
for the enterprise.

12. Functions of top level management:
1. Lying down the overall objectives
and board policies of enterprise.
2. Organizing the business into various
department & divisions.
3. Appointing department managers.
4. Issuing guidelines from heads of
department.

13. 5. Coordinating the work of different departments.
6. Reviewing the work of departments and taking
steps to ensure achievement of objective.
Middle level Management:
1. It generally consists of head of department.
2. They are responsible to the top level management
for efficient functioning of their departments.
3. In small enterprises there is one layer of middle
management but in big firms there may be senior
middle level managers & junior middle level
managers.

14. Lower level management:
• It is also known as supervisory management
becoz it is directly concerned with the control
of performance of the operative employees.
• The level includes supervisors, foreman,
superintendents, sale officers, accounts officers
etc.
• They issue orders and instructions and guide
day to day activities.
• They also represent the grievances of workers
to the higher level of management.

15. Functions of Lower Level Management:
• Planning of day to day work.
• Assignment of jobs and issuing orders and
instructions.
• Supervising and guiding workers.
• Evaluating operating performance.

16. 5. Maintaining close personal contacts with
workers to ensure discipline and team work.
6. Communicating the grievances and
suggestions of workers to higher authorities.

17. IMPORTANCE OF MANAGEMENT:
1. It helps in the optimum utilization of all types of
resources to achieve the best possible results.
2. It helps to increase the skill in handling business.
3. It helps to reduce the cost of production and increase
the output.
4. It helps to utilize the service of talented persons
which are employed in organization to achieve the
planned target.

18. 5. It helps to make stable and progressive
growth of organization in changing
environment.
6. It helps to design new products by
adopting new techniques so as to give
maximum satisfaction to the consumers
and the society.
7. It helps to maintain the discipline which
is achieved due to proper supervision at
all levels in the organization.

19. The Management process…..

20. Management
Planning
Organizing
Staffing
Directing
Controlling
Coordinating
FUNCTIONS OF MANAGEMENT:

21. FUNCTIONS OF MANAGEMENT:
The following are the functions of management:
1. Planning
2. Organizing
3. Staffing
4. Directing
5. Controlling
6. Coordinating

22. 1. Planning:
• Planning is the most fundamental and the
most pervasive of all management
functions.
• If people working in groups have to
perform effectively, they should know in
advance what is to be done, what activities
they have to perform in order to do what is
to be done, and when it is to be done.
• Planning is concerned with 'what', 'how,
and 'when' of performance. It is deciding in
the present about the future objectives and
the courses of action for their achievement.

23. For example:
• Before starting a pharmaceutical industry the following problems are
anticipated:
1. Selection of a proper site.
2. Items to be manufactured.
3. Obtaining the required license from drug administration to manufacture
the selected items.
4. Arranging necessary finance for starting the business.
5. Sale of goods manufactured by factory.
• Hence planning is the process of deciding in advance what to do how to
do it, when to do it.
• It involves the selection of objectives, policies, procedures and
programmes from among alternatives.

24. 2. Organizing:
• It is one of the important functions of
management.
• The term ‘organization’ means a group of people
contributing their efforts towards the attainment
of certain common objectives.
• Organizing involves identification of activities
required for the achievement of enterprise
objectives and implementation of plans;
grouping of activities into jobs; assignment of
these jobs and activities to departments and
individuals; delegation of responsibility and
authority for performance, and provision for
vertical and horizontal coordination of activities.

25. For example:
• For starting a pharmaceutical industry, classify the
activities which will be involved in it such as
purchasing, production, quality control, stores,
distribution, marketing, administration and
finance.
• In order to run the factory smoothly full authority
must be given to purchase manager as regards the
purchase of raw materials.
• Interrelate the other activities like quality control,
production, marketing and finance department for
proper coordination so that the final batch will be
manufactured during the specified period in order to
fulfill the objective of organization.

26. Organizing thus involves the following sub-functions
• Identification of activities required for the
achievement of objectives and implementation of
plans.
• Grouping the activities so as to create self-contained
jobs.
• Assignment of jobs to employees.
• Delegation of authority so as to enable them to
perform their jobs and to command the resources
needed for their performance.
• Establishment of a network of coordinating
relationships.

27. 3. Staffing:
• Staffing is a continuous and vital function of
management.
• A right person should be selected for right
type of job.
• The various activities such as selection,
communication, participation, counseling,
training, compensation, dismissal etc comes
under it.

28. For example:
• To run a syrup section of pharmaceutical factory, minimum
of four persons are required.
• One for weighing of raw materials and mixing them in proper
quantity in water to make syrup.
• Two person are needed for filling the syrup in bottles and then sealing and
labeling it.
• One person is needed for testing i.e. to analyze the prepared syrup.
• An honest and hard working worker should be given due appreciation for
his work.

29. • Suitable reward or compensation should be
given
It comprises several sub functions:
• Manpower planning involving determination of
the number and the kind of personnel required.
• Recruitment for attracting adequate number of
potential employees to seek jobs in the
enterprise.

30. • Selection of the most suitable persons
for the jobs under consideration.
• Placement, induction and orientation.
• Transfers, promotions, termination
and layoff.
• Training and development of
employees.

31. 4. Directing:
• Directing is the function of leading the
employees to perform efficiently, and
contribute their optimum to the
achievement of organizational objectives.
• Jobs assigned to subordinates have to be
explained and clarified, they have to be
provided guidance in job performance and
they are to be motivated to contribute their
optimum performance with zeal and
enthusiasm.

32. The function of directing thus involves the following sub-functions :
(a) Communication
(b) Motivation
(c) Leadership

33. Coordinating:
• Coordinating is the function of
establishing such relationships among
various parts of the organization that they
all together pull in the direction of
organizational objectives.
• It is thus the process of tying together all
the organizational decisions, operations,
activities and efforts so as to achieve unity
of action for the accomplishment of
organizational objectives.

34. A well coordinated enterprise must satisfy the following conditions:
1. Each department or division should be precisely informed of its share in
common task.
2. Each department should work harmony with other departments.
3. The working schedules of various departments should be constantly
attuned to circumstances.
The basic features of coordination are as follows:
1. It is continuous process.
2. It is an orderly arrangement of group efforts.
3. Its purpose is to secure unity of action towards common objectives.

35. 4. Coordination does not arise spontaneously. It
has to be created thr’ deliberate efforts.
5. It consists of three elements i) timing ii)
balancing iii) integrating.
• Timing means adjusting time schedule of
different departments.
• Balancing means ensuring that enough of one
thing (e.g. machine) is available to support the
other (e.g. material).
• Integrating means unifying objectives of the
employees with those of the organization.
6. Coordination is the essence of management.

36. • Coordination, as a management function,
involves the following sub-functions:
 Clear definition of authority-responsibility
relationships
 Unity of direction
 Unity of command
 Effective communication
 Effective leadership

37. Controlling
• Controlling is the function of ensuring that the
divisional, departmental, sectional and
individual performances are consistent with the
predetermined objectives and goals.
• Deviations from objectives and plans have to be
identified and investigated, and correction
action taken.
• Deviations from plans and objectives provide
feedback to managers, and all other
management processes including planning,
organizing, staffing, directing and coordinating
are continuously reviewed and modified, where
necessary.

38. • Controlling implies that objectives, goals and
standards of performance exist and are known
to employees and their superiors.
• It also implies a flexible and dynamic
organization which will permit changes in
objectives, plans, programmes, strategies,
policies, organizational design, staffing
policies and practices, leadership style,
communication system, etc., for it is not
uncommon that employees failure to achieve
predetermined standards is due to defects or
shortcomings in any one or more of the above
dimensions of management.

39. Thus, controlling involves the following process :
 Measurement of performance against predetermined goals.
 Identification of deviations from these goals.
 Corrective action to rectify deviations.
• It may be pointed out that although management functions have been
discussed in a particular sequence-planning, organizing, staffing,
directing, coordinating and controlling – they are not performed in a
sequential order.

40. • Management is an integral process and it is
difficult to put its functions neatly in separate
boxes.
• Management functions tend to coalesce, and it
sometimes becomes difficult to separate one
from the other.
• For example, when a production manager is
discussing work problems with one of his
subordinates, it is difficult to say whether he is
guiding, developing or communicating, or
doing all these things simultaneously.
• Moreover, managers often perform more than
one function simultaneously.