Final 1 - Mankind Pharma Report

7\\\\\\i8Report On
ORGANIZATION STUDY
at
MANKIND PHARMA
BY
MEGHA M HEGADE
USN: 1RN19MBA70
Submitted to
VISVESVARAYA TECHNOLOGICAL UNIVERSITY, BELAGAVI
In partial fulfilment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION
Under the guidance of

Prof. AJIT V. DEVA
Department of MBA & Research Centre.
RNSIT, Bengaluru
RNS Institute of Technology

Department of MBA & Research Centre
Dr. Vishnuvardhan Road, Channasandra, RajarajeshwarinagarPost,
Bengaluru, Karnataka – 560098
August 2020
RNS INSTITUTE OF TECHNOLOGY
(AICTE Approved, VTU Affiliated and NAAC ‘A’ Accredited)
Channasandra, Uttarahalli – Kengeri Main Road, Rajarajeshwari NagarPost,
Bengaluru – 560098
Department of MBA & Research Centre
CERTIFICATE
This is to certify the MEGHA M. HEGADE bearing USN 1RN19MBA70, is a
bonafide student of Master of Business Administration course of R N S Institute of
Technology, affiliated to Visvesvaraya Technological University, Belagavi.
Organization study (18MBAOS307) report at MANKIND PHARMA is prepared
by her under the guidance of Prof. AJIT V. DEVA, Internal Guide/Mentor, in
partial fulfillment of the requirements for the award of the degree of Master of
Business Administration of Visvesvaraya Technological University, Belagavi
Karnataka.
Signature of Internal Guide Signature of Head of Department
Signature of Principal
Viva-Voce Examination Date:
Signature of Internal Examiner Signature of External Examiner

Name and Affiliation Name and Affiliation
DECLARATION
I, hereby declare that this Organization Study conducted at MANKIND

PHARMA is record of independent work carried out by me under the guidance of
Prof. AJIT V. DEVA, faculty of M.B.A Department, R N S Institute of technology.
I also declare that this study is towards the partial fulfillment of the university
regulations for the award of degree of Master of Business Administration by
Visvesvaraya Technological University, Belagavi.
I have undergone an organization study for a period of four weeks. I further declare
that this report is based on the original study undertaken by me and has not been
submitted for the award of any degree/ diploma from any other University/
Institution.
Disclaimer
The enclosed document is the outcome of a student academic assignment, and does
not represent the opinion/views of the University or the Institution or the
Department or any other individuals referenced or acknowledged within the
document. The data and information studied and presented in this report have been
accessed in good faith from secondary sources/ web source/public domain,
including the organization’s website, solely and exclusively for academic purposes,
without any consent/permission, express or implied from the organization
concerned. The author makes no representation of any kind regarding the accuracy,
adequacy, validity, reliability, availability or completeness of any data/information
herein contained.
Place: Bengaluru Signature of Student

Date: 05/09/2020 MEGHA M. HEGADE
USN: 1RN19MBA70
ACKNOWLEDGEMENT
It was my privilege to do an organization study at Mankind Pharma. There are many
people who have helped me to complete this study successfully. It is with the
gratitude that I acknowledge the help, which guided my efforts with success.
I wish to express my profound gratitude to the management and administrative team

of RNSIT for their constant encouragement.
I express my sincere thanks to Dr. M K Venkatesha, Principal, RNSIT, for his kind
words of motivation.
I also express my sincere thanks to Dr. U Bhojanna, Head of Department, MBA

Department and Research Centre for being the backbone of support throughout the
study.
It is my foremost duty to express my wholehearted thanks to my guide Prof. Ajit V.

Deva for the valuable guidance, support and motivation during the course of this
study. The inspiration provided by my guide at every stage of my work has helped
me immensely in completion of this organization study and preparation of this report.
Last, but not the least, I am indebted to my family members and friends for their
blessings and encouragement.
Place: Bengaluru MEGHA M. HEGADE

Date: 05/09/2020 USN: 1RN19MBA70
TABLE OF CONTENTS
CHAPTERS PARTICULERS PAGE NO.
1 INTRODUCTION ABOUT INDUSTRY 1-5

AND INDUSTRY PROFILE
2 ORGANIZATION PROFILE
A. Company Background 6
B. Nature of Business 7
C. Vision, Mission, Quality Policy 8-10
D. Workflow Model 11-12
E. Product Profile 12-16
F. Ownership Pattern 17
G. Achievements/ Awards 18-20
H. Competitor Analysis 21-27
I. Future growth and prospectus 28
3. MICKINSEY’S 7S FRAMEWORK, 29-42

VALUE CHAIN AND 43-44
PORTER’S 5 FORCE MODEL 44-47
4. SWOT ANLYSIS 48-50
5. ANALYSIS OF FINANCIAL 51-55

STATEMENT
6. LEARNING EXPERIENCE 56-57
BIBLIOGRAPHY 58-72
EXECUTIVE SUMMARY
Mankind Pharma was established in 1995 with a capital of 50 lakhs today Mankind is
a leading pharmaceutical company of India. Their Goal is to help patients lead
healthier lives through two parallel objectives: formulating, developing and
commercializing medicines, and delivering affordable and accessible medication that
satisfy urgent medical needs of all. It is a fully integrated pharmaceutical company
having pan India presence with a comprehensive network of 42 C&F agents & 4000
Stockiest. They are ranked 5th in India and 3 rd in North India as per ORG-IMS,
Prescription Audit, 2008 and a s per ORG -IMS.
Prescription / Doctor / Month audit ofFeb.2008, they are ranked 4th in India. Their
strong portfolio of businesses, geographies and products provide people the strategic
benefits of integration that allow people to perform besting an increasingly
competitive market. Mankind has out-performed the Indian Pharmaceutical industry
by growing at the rate of 60%year after year and ranking among the top 5 fastest
growing Parma companies of India (ORG -IMS). They have achieved the turnover of
Rs.700 Cores in the fiscal year 2007 -08
They have a strong market presence in Antibiotics, Antifungal, Gastrointestinal,

NSAIDs, Anthelmintics, Cardiovascular, Dermal and Erectile Dysfunction categories.
Numbers of their products are at top 5 positions as per ORG -IMS.
An Organization Study on Mankind Pharma
CHAPTER -1
INTRODUCTION ABOUT INDUSTRY AND INDUSTRY PROFILE
INTRODUCTION
India gained independence in 1947, domestic or indigenous pharma industry was

already dominating the pharmaceutical industry. Indian government in 1949 all other
MNC's to operate in India (National Treatment). And the share of indigenous industry
in 1950's was 62 per cent 32 per cent. In contrast the share of MNC's which was 38
percent in 1950's and raised to 68 percent in 1970's.
In 1972 India amended its patent law and all other Process Patent. Result of this
policy change, around 60 per cent market share in late 1970's declined to 40 per cent
by early 1990's.
1991 was a transformation year for India which introduced LPG. With the
introduction of LPG (Liberalization, Globalization and Privatization) Pharma industry
to grow in double digits and by 2003,77 per cent (Total number of companies is
estimated to be 20,000)
At the same time Mankind Pharma was formed in 1991. It started working as a fully
integrated pharmaceutical company in 1995 with the contributions of two brothers, R
C Juneja and Rajeev Juneja with the seed capital for establishing the company was 50
Lakh. The company was started with 20 employees and launched in two states in the
1st year of its operation.
Mankind’s journey began in 1995 with only 53 Medical Representatives and

Managers. Today, Mankind is one of the top 5 leading pharmaceutical companies in
India with a dedicated field force of over 1968 professionals.
Today, it is one of the leading Indian pharma companies and strive to provide world-
class medications at affordable prices. Their significant achievements in the last few
years have helped them expand to the global market.
Dept. of MBA, RNSIT, Bengaluru.

1
INDUSTRY PROFILE
Mankind Pharma Limited is an unlisted public company. It was incorporated on 03

July, 1991 and is located in Delhi. It is classified as a public limited company. The
company has 12 directors - Surendra Lunia, Ramesh Juneja, and others.
Description: The company manufactures pharmaceutical products.
Products & Services: Antibiotic, Antifungal, NSAIDs, Gastrointestinal, Anthelmintic,

Cardiovascular, Dermal, Erectile Dysfunction, and several other categories.
Mankind Pharma Brand Analysis
Parent Company: Mankind
Category : Personal care and pharma
Sector : Pharma and Healthcare
Tagline/ Slogan : Mankind serving life
USP : One of the fastest growing companies through aggressive

product launch and promotion strategies
Mankind Pharma STP
Mankind Pharma Segmentation : Medicines, OTC and FMCG products
Mankind Pharma Target Market: All Indian households especially middle class
Mankind Pharma Positioning : Company whose mission is to support a healthy

& active lifestyle through a broad portfolio of
Pharma,OTC & FMCG products

2
Mankind Pharma Limited's operating revenues range is Over INR 500 crore for the
financial year ending on 31 March, 2019. It's EBITDA has decreased by
-21.42% over the previous year. At the same time, it's book net worth has increased
by 2.26 %. Other performance and liquidity ratios are available here.
The registered office of the company is at 208, Okhla Industrial Estate, Phase-III,
New Delhi.
The total paid-up capital is INR 40.06 cr. The last reported AGM (Annual General
Meeting) of the company, per our records, was held on 23 August, 2019. Also, as per
our records, its last balance sheet was prepared for the period ending on 31 March,
2019.
The total net worth of Mankind Pharma’s products are as follows: Telmikind (Rs.
2644 million), Moxikind-CV (Rs. 2175 million), Amlokind (Rs. 1903 million),
Nurokind (Rs. 1322 million), Cefakind (Rs. 950 million) and Zenflox (Rs. 781
million). Mankind Pharma gives equal emphasis to quality and compliance. All our
manufacturing processes adhere to GMP guidelines to ensure excellent quality
standards. Technology and Research and Development play a vital role in creating
quality health care products. Mankind manufactures a wide range of dosage forms
including oral solids, oral liquids, soft gelatine capsules and injectables. It also creates
products that require specialized conditions such as controlled-release pharmaceutical
products, controlled humidity and temperature conditions etc.
Mankind Pharma’s mission is to improve the quality of life, to continue to be

recognized as a reliable provider of health care products and nurture innovation that
leads to collective excellence.
The management team of Mankind Pharma came together with a common motive to
serve humanity. The team is keen to discover new possibilities and are always eager
to adopt innovative approaches.

3
The basic policy that mankind followed was to focus on semi-urban and rural areas
first and then go to urban markets.
BRAND
“Commitment towards good quality products”
The Name
The company name ‘Mankind’ was inspired from the belief that health is the most
precious gift to mankind, and this ethos is enshrined in Mankind’s aim of working
together to preserve this blessing.
The Logo
A bold and dynamic variation of the letter ‘M’ signifies leadership. The arrow denotes
aiming high, while bold lines with an arrow signify the speed with which the
company grows and flourishes.
The Colour

4
The colour code denotes the trust that customers and partners have in the company to
deliver quality products.
Motto
Our motto of 'Serving Life' encompasses 3 major pillars:
 Quality: Mankind’s unending commitment to quality has made it the most

reliable pharmaceutical company. Delivering quality medicines at affordable
prices makes health care accessible to all sections of society.
 Affordability: The very foundation of the company was laid on the belief that
access to affordable medicines is every citizen’s right. Mankind is committed
to making medicines accessible to all people.
 Availability: India has a large share of rural population and their medical

needs often go unattended. Along with metros and Class-I towns, Mankind has
also concentrated on Class II to VI towns to ensure that affordable medicine
reaches to every part of India.

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CHAPTER-2
ORGANIZATION PROFILE
2.1 COMPANY BACKGROUND
Mankind Pharma is an Indian pharmaceutical company, based at New Delhi, India.

The company has products in therapeutic areas ranging from antibiotics, to
gastrointestinal, cardiovascular, dermal, and erectile dysfunction medications. They
are covering Industrial sectors in Pharmaceuticals, Medical Research & Laboratories
domain. Mankind Pharma Ltd is a public company.
Mankind Pharma was formed in 1991. It started working as a fully integrated

pharmaceutical company in 1995 with the contributions of two brothers, R C Juneja
and Rajeev Juneja.
Mankind’s journey began in 1995 with only 53 Medical Representatives and

Managers. Today, Mankind is one of the top 5 leading pharmaceutical companies in
India with a dedicated field force of over 1968 professionals. Mankind Pharma
achieved a turnover of Rs. 17250 million for the fiscal year 2019-20 with a growth of
20%. Mankind Pharma contributed 30% in Mankind Group of Company’s sales
which was Rs. 56760 million in 2019-20.
In 2019, Mankind became the 1st Indian company and 2nd only in the world to
develop and launch Dydrogesterone, a drug used in high risk pregnancies by the brand
name Dydroboon. The company acquired Magnet Labs Pvt. Ltd. to enter the
antipsychotic segment in 2007. Also it acquired Longifene-an appetite stimulant for
children, in January 2010 which was earlier a brand of UCB Belgium.

6
Today, it is one of the leading Indian pharma companies and strive to provide world-
class medications at affordable prices.

7
2.2 NATURE OF BUSINESS
Mankind Pharma was formed in 1991. It started working as a fully integrated

pharmaceutical company in 1995.
Mankind Pharma Limited is an unlisted public company based at New Delhi. The
company has products in therapeutic areas ranging from antibiotics, to
gastrointestinal, cardiovascular, dermal, and erectile dysfunction medications. They
are covering Industrial sectors in Pharmaceuticals, Medical Research & Laboratories
domain. Mankind Pharma Ltd is a public company.
Vet Mankind is a division of Mankind Pharma that focuses on the veterinary industry
to promote the future of animal healthcare. Initially, Vet Mankind stepped into the
dairy industry with medicines and feed supplements for cattle that eventually raised
the popularity of its economical and quality products amongst livestock owners and
dairy farms.
Mankind Pharma has 21 state-of-the-art manufacturing facilities in various areas like

Paonta Sahib, Himachal Pradesh, Sikkim, Vizag & Rajasthan. All manufacturing
facilities are designed as per cGMP and FDA guidelines. Being one of the fastest-
growing pharmaceutical companies in India, they have always invested in building
modern manufacturing facilities to increase our production capacities and meet the
growing demands of society. Their manufacturing facilities are approved by WHO-
GMP as well as the various regulatory bodies of the respective countries they operate
in.
The management team of Mankind Pharma came together with a common motive to
serve humanity. The team is keen to discover new possibilities and are always eager
to adopt innovative approaches.
Mankind Pharma contributed 30% in Mankind Group of Company’s sales which was
Rs. 56760 million in 2019-20. Mankind Pharma focuses on a variety of therapeutic
segments such as Cardiovascular, Antibiotics, Gastro-intestinal, Anti-allergic, Anti-
fungal, Nutritional, NSAIDs, Ortho and Gynaecological.

8
Mankind is committed to making medicines accessible to all people. Availability:

India has a large share of rural population and their medical needs often go
unattended. Along with metros and Class-I towns, Mankind has also concentrated on
Class II to VI towns to ensure that affordable medicine reaches to every part of India.
2.3 VISION, MISSION AND QUALITY POLICY
VISION:
To be a global pharmaceutical company, most admired for its Affordability, Quality

and Accessibility of products.
Global:
They provide pharmaceutical products across different geographic regions.
Pharmaceutical Company:
They strive to continuously innovate and deliver medications that meet the growing
needs of society.
Widely Recognized:
They are respected and recognized by our patients, employees and even our
competitors for delivering world-class products while maintaining our patient
centricity, values and ethics.
Affordability:
They provide cost-effective and innovative healthcare solutions.
Quality:
They believe in providing superior quality products to our customers.
Accessibility:
Our products are available across the length and breadth of the market they operate.

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MISSION:
To be able to provide cost-effective, innovation based superior quality pharmaceutical

products across the globe, to improve the lives of the patients.
Company:
Having begun its journey in 1995, Mankind Pharma operates in 34 overseas

destinations leveraging 14000 happy employees and is now one of the leading Pharma
Manufacturing Companies in India.
Purpose:
They aim at providing high-quality pharmaceutical products at affordable prices

which help our patients in leading healthier lives.
Value:
They believe in innovation, and maintaining the superior quality of products is our top
priority
Business:
They function at a global level and deliver best quality pharmaceutical products to all
sections of the society.
Reach:
Our global presence makes pharmaceutical products available to all.
Customer:
Our customer-centric approach makes us deliver top quality medicines at affordable

prices to people who need them the most.
QUALITY POLICY:
“Ensuring product safety and efficacy”.

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Mankind Pharma’s patient-centric approach extends to their quality policy as well.

Their focus on quality helps us to ensure product safety and efficacy, regardless of the
drug form. They believe that quality is the mainstay of competitiveness and create an
environment of Quality and Compliance, in line with the global best practices. Their
dedication to quality in everything they do is uncompromising and covers every stage
of the development, production, and marketing of our medicines. Their commitment
is to implement a robust global quality management system in order to sustain a
culture of operational excellence, while meeting and exceeding the expectations of all
stakeholders, including patients, customers and regulators.
Mankind is committed towards delivering affordable and high-quality products, a

fundamental element of their company's mission and vision.
o Compliance
o Trust
o Innovation
o Training
This policy sets the framework for driving our quality programs to create a
sustainable quality culture for continual improvement.
Our manufacturing facilities are approved by WHO-GMP as well as the various

regulatory bodies of the respective countries they operate in.
They have separate facilities dedicated to manage the various dosage forms like
tablets, hard and soft gelatin capsules, orally disintegrating films, sachets, syrups &
suspensions, creams & ointments, and injectables, including ampoules & vials. Our
state-of-the-art dedicated facilities ensure the manufacturing of high-quality Ayurveda
and feed supplementary products, along with Natural Rubber Latex Condoms,
Nutraceuticals & Cosmetics.

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2.4 WORKFLOW MODEL
Workflow model in Mankind Pharma is same as followed by all other pharmaceutical

companies. Following detail gives clear picture about the work flow.
Their facilities have four change room concepts, unidirectional flow of men and
material movement, and segregated de-humidified areas for manufacturing moisture-
sensitive products. Stainless steel panels are used for in-sterile facility core areas. The
maintenance and servicing are done from the top of a false ceiling without entering
the manufacturing areas. All our facilities are equipped with a water system with
interlocking Supervisory Control and Data Acquisition (SCADA), online
conductivity, velocity monitoring, and power back-up. Our sterile facilities also have
a fully-automatic visual inspection machine to ensure the safety of all products. All
these facilities also have integrated lines with synchronized auto carbonators and on-
line packing with check weighers.
They have separate facilities dedicated to manage the various dosage forms like
tablets, hard and soft gelatin capsules, orally disintegrating films, sachets, syrups &
suspensions, creams & ointments, and injectables, including ampoules & vials. Our
state-of-the-art dedicated facilities ensure the manufacturing of high-quality Ayurveda
and feed supplementary products, along with Natural Rubber Latex Condoms,
Nutraceuticals & Cosmetics.
The goal of mapping processes in pharmaceuticals manufacturing is to document

work steps for a business problem that management is trying to solve. But, identifying
the main steps in the beginning, and keeping those steps confined to a reasonable
scope, can be tricky. Most pharmaceuticals manufacturing processes have multiple
sub-processes that spin off from main work flows, so not all should be mapped at
once. 4 major steps in the pharmaceuticals manufacturing process that must be
captured when creating a work flow include:
1. Staging and weighing of raw materials

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2. Compounding, blending, and drying of combined and mixed materials
3. Compounding, blending, and drying of combined and mixed materials
4. Package and prepare final product for shipment and distribution
2.5 PRODUCT PROFILE
Mankind Pharma take utmost care to understand the needs of their customers. This
enables them to develop innovative quality products at an affordable cost. Mankind
has over 1000+ products being marketed and 200+ products under development. The
product portfolio caters to wide range of therapeutic areas such as cardiology,
respiratory, neurology, gastroenterology, diabetology, dermatology, ophthalmology,
gynaecology and many more.
Mankind is renowned for following products in the market
 Contraceptive products
 Over-the-counter medicines
 Pregnancy detection cards
 Artificial sweateners
 OTC Products
The OTC and consumer healthcare segment brings a dynamic dimension to Mankind.
With a cutting-edge R&D centre, best-in-class manufacturing units, and marketing
excellence, Mankind offers multi-faceted products across categories like oral
contraceptives, condoms, pregnancy detection card, antacids, artificial sweateners,
etc.
Mankind Pharma focuses on a variety of therapeutic segments such as Cardiovascular,

Antibiotics, Gastro-intestinal, Anti-allergic, Anti-fungal, Nutritional, NSAIDs, Ortho
and Gynaecological. Every day 75 Lacs Indians consume Mankind's cardiac care
products. Mankind has launched many innovative and successful products such as

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Placida, Zolahart, Overzyme in the Indian market and economical brands like
Nurokind, Moxikind, Telmikind, Cefakind, and Rabekind.
Mankind's successful range of products includes No. 1 brands
1. Ring-Out Dusting Powder is an anti-fungal powder, which is effective for the

treatment of fungal infections like itching, jock-itch, athlete's foot, etc. It is available
in the pack size of 65gm and has a pleasant fragrance.
2. Heal-O-Kind is an all-rounder gel with unique nanofine technology which heals all
types of injuries, wounds, nicks, bruises and burns. Heal-O-Kind has a strong anti-
bacterial action that absorbs into the skin for faster and as well as scar-less healing. It
is available in a pack size of 11g.
3. Preganews is the no.1 * pregnancy test card in India which is endorsed by Kareena
Kapoor Khan. It is a convenient way to test pregnancy at home. With Preganews
results are easy to read within 5 minutes. The card is sensitive enough to share
accurate results.
4. Manforce is the category leader* in premium quality condoms in India and is

currently being endorsed by Sunny Leone. Manforce condoms are available in various

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textures like 3-in-1 condom, Extra Dotted, Plain, etc. It comes in a wide range of
exciting flavours like Chocolate, Strawberry, Black Grapes, Pineapple, Orange, etc.
Have launched an interesting concept of flavoir fusion with Cocktail Condoms.
5. Unwanted-21 Days is a simple, effective & regular Oral Contraceptive Tablet for
women who want to delay their pregnancy and space the next child. Unwanted-21
Days Tablet is available in a pack of 21 tablets. Subhoshree Ganguly is endorsing the
product in East market.
It is a No.1* emergency contraceptive tablet which prevents pregnancy & avoids the
risk of abortion. Unwanted-72 contains levonorgestrel-1.5 mg. The tablet has to be
consumed within 72 hours.
6. Anti-inflammatory and anti-bacterial, AcneStar Gel is a rapid solution for flawless

acne-free skin. AcneStar Gel is available in 2 pack sizes – 15g & 22g. AcneStar Soap
soothes, nourishes and cleanses your skin, protecting the skin from acne. When used
together, both the soap and gel work as a solution to give radiant and gorgeous skin.
Available in a 75g pack size.
7. Gas-O-Fast is helpful in problems like gas, acidity, heartburn & hyperacidity. Its active
range comes in different variants of the 5g pack such as Jeera & Ajwain.

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The brand primarily thrives on the advantage of its natural ingredient. The brand is
currently being endorsed by Brahmanandam in South Market, Biswanath Basu in East
Market and Saurabh Shukla in Hindi Speaking Belt.
Gas-O-fast tablet acts on the root cause i.e. indigestion. It comes in tasty orange
flavour and has the goodness of digestive enzymes. The brand primarily thrives on the
advantage of its sugar-free proposition & effervescence.
8. An artificial stheyetener, Kaloree1 is a sugar substitute that helps in maintaining the

overall fitness and promotes a healthy lifestyle. Kaloree-1 tablets are available in 3
pack sizes, i.e., 400+200 tablets, 100+100 tablets, and 300+100 tablets free in a refill
pack.
9. KABZEND natural laxative granule - An ayurvedic formulation which helps in

maintaining regular bowl movements and ensure proper cleansing of the body. It is
enriched with the goodness of 17 herbs to alleviate the problem of constipation. The
herbs used in formulations are gentle on the body.
10. The Magic of Rio, The Magic of Vegas, The Magic of Hawaii, The Magic of
Spain and The Magic of Sydney are the 5 variants which come in a 150ml bottle.
Adiction Deodorant also comes in a 'No Gas Formula' range - Energy, Impact and
Force which offer a guaranteed long-lasting and powerful fragrance.
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 Prescription Medicines
Mankind Pharma is one of the leading manufacturers of prescription medicines in

India. Their superior quality medicines are trusted and recommended by both medical
experts as well as their customers. With an innovative approach, they are able to
provide over 1000 supreme quality products in 22 forms to preserve our mission of
serving humanity. The products are as follows
1 ABIWAYS
2 ACNESTAR -20
3 ACNESTAR GEL
4 ACNESTAR SOAP
5 ACNESTAR-10
6 ALFA-MAXICAL SOFT GEL CAPSULE
7 ALOGRACE
8 ALOGRACE
9 ALOGRACE BATHING BAR
10 AMLOKIND-10 and many more
 Veterinary Medicines
Vet Mankind has witnessed success in the areas of the dairy industry, poultry and
companion healthcare. Our extensive pet healthcare products are manufactured in
certified plants under strict checks to ensure highest quality.
ACIDAPURE(Liquid),
BANDYSTAR(Tablet),

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CALCIMUST(Injection),
ELECTROBEST POWDE(Powder),
EMIKIND PET(Syrup) and many more.
2.6 OWNERSHIP PATTERN
Mankind Pharma Limited is a Public incorporated on 03 July 1991. It is classified as

Non-govt company and is registered at Registrar of Companies, Delhi. Its authorized
share capital is Rs. 410,000,000 and its paid-up capital is Rs. 400,588,448. It is
involved in other business activities.
MANKIND PHARMA LIMITED is a Public Company limited by Shares. It is

registered with Registrar of Companies, Delhi on Jul 3, 1991. Current Status of
Mankind Pharma Limited is Active.
Mankind Pharma has 21 state-of-the-art manufacturing facilities in various areas like

Paonta Sahib, Himachal Pradesh, Sikkim, Vizag & Rajasthan. All manufacturing
facilities are designed as per cGMP and FDA guidelines. Being one of the fastest-
growing pharmaceutical companies in India, they have always invested in building
modern manufacturing facilities to increase our production capacities and meet the
growing demands of society.
It’s manufacturing facilities are approved by WHO-GMP as well as the various

regulatory bodies of the respective countries they operate in.

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2.7 ACHIEVEMENTS/ AWARDS
Mankind has been awarded for its work in the pharmaceutical industry on several
occasions. Some of our major achievements include:
SL. Year Awards

No
1 2011  Entrepreneur of The Year
Awarded ‘Entrepreneur of The Year’ by Ernst and
Young in 2011.
 India Business Icon (Pharma) Award
Awarded ‘India Business Icon (Pharma) Award’ by
Network 18 for 2011.
 Udyami Samman
Honoured for the spirit of entrepreneurship with
‘Udyami Samman’ by Axis Group and Zee News (UP)
in 2011.
2 2012  The 49th Annual National Conference of IAP
Acknowledgement of participation and support by the

Organization Committee of Pedicon, 2012, in the 49 th
Annual National Conference of IAP.
 Achieving Business Excellence
Awarded for ‘Achieving Business Excellence’ by Citi

Commercial Bank in 2012.
3 2013  SAP Ace Award

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Best run award for using SAP Business One ‘SAP Ace
Award’ in 2013.
4 2014  GB Pant University of Agri & Tech

First Prize in 96th Farmer’s Fair by GB Pant University
of Agri & Tech, Pantnagar in 2014.
 India’s 50 Great Workplaces
Awarded 'India’s 50 Great Workplaces' title in 2014 for
being a workplace that cares for people, stands for high
performance, develops leaders, and has a great
leadership culture
5 2015  GB Pant University of Agri & Tech

Second Prize in 98th Farmer’s Fair by GB Pant
University of Agri & Tech, Pantnagar in 2015.
 Excellence in HR
Awarded 'Excellence in HR' for exemplary contribution
in the field of HR & Skills Development on the occasion
of HR Conclave 2015.
6 2017  Best Talent Management Strategy Award

Mankind Pharma adds another feather to their cap by
winning 'Best Talent Management Strategy
Award' & 'Best Workplace Practices Award' in a
ceremony held in World HRD Congress in February
2017.
 Best Employee Engagement Programs Award
Won the 'Best Employee Engagement Programs
Award' in India Human Capital Summit & Awards 2017
by World HRD Congress in July 2017.
 Dream Companies to Work For Work

Won the 'Dream Companies to Work For Work' & 'Fun

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At Work' Award in Asia's Best Employer Brand Awards

2017 (8th Edition) hosted by World HRD Congress in
August 2017.
 Award For The Best Design In Healthcare
ABP (one of the biggest news channels in India)
felicitated 'MANKIND PHARMA' with the 'AWARD
FOR THE BEST DESIGN IN HEALTH CARE’ in
November 2017.
7 2018  Smart Exporter – Pharmaceuticals
Won the 'Smart Exporter - Pharmaceuticals' Award

organized by Gateway Media Private Limited in January
2018.
 Pitch Top 50 brands
‘Pitch Top 50 brands' in gender equitable category

(Prega news) by Exchange 4 Media in July 2018.
 Best Pharma OTC Company (Mankind

Pharma)
Proud winner of Best Pharma OTC Company of the

Year (Mankind Pharma) & Best Condom Brand of the
Year (Manforce Condoms) Awards in 2018.

21
2.8 COMPETITOR ANALYSIS
Below are the top 2 Mankind Pharma competitors:
1. Cipla
2. Lupin
Based on the overall revenue (except for Piramal where only pharma business
division revenue is considered) the top 15 pharmaceutical companies in India are:
1. Sun Pharmaceutical Industries Limited
Sun Pharmaceutical Industries Limited is a multinational company and was

established by Mr. Dilip Shanghvi in 1983 offering products to treat psychiatry
ailments. Today the company offers formulations in various therapeutic areas, such as
cardiology, psychiatry, neurology, gastroenterology and diabetology.
Sun Pharmaceutical is India's largest pharmaceuticals company based on overall

revenue. In FY 2018 the company's revenue was INR 273.28 billion which was
15.13% less than the revenue in FY 2017.
2. Aurobindo Pharma Limited
Aurobindo Pharma was established in 1986 and it's key business segments are APIs,
Formulations and Packaging. Aurobindo Pharma sells over 300 products in over 125
countries. About 35% sales are generated through APIs, and About 65% of the
22
company’s revenue is generated from formulations business, of which 63% of

formulation sales comes from United States.
Aurobindo Pharma is India's second largest pharmaceuticals company based on

overall revenue. In FY 2018 the company's revenue was INR 164.99 billion which
saw an increase of 9.34% over the revenue in FY 2017.
3. Lupin Limited
Lupin was established in 1968 and it's key business segments are APIs and
Formulations, and the company manufactures and markets pharmaceutical products in
all major markets across the globe. Lupin has a presence in key growth therapies such
as Cardiology, Central Nervous System, Diabetology, Respiratory, Gynecology, Anti-
Infective, Gastro-Intestinal and Oncology.
Lupin is India's third-largest pharmaceuticals company based on overall revenue. In

FY 2018 the company's revenue was INR 159.55 billion which declined by 9.35%
compared to revenue in FY 2017.
4. Cipla Limited
Chemical, Industrial & Pharmaceutical Laboratories, now known as Cipla, was

incorporated in 1935. Cipla Limited was founded by Dr. K.A. Hamied. Cipla is a
therapy leader in India for anti-malarial with a market share of over 34%.
Cipla is India's fourth largest pharmaceuticals company based on overall revenue. In

FY 2018 the company's revenue was INR 155.77 billion which saw an increase of
4.83% over the revenue in FY 2017.

23
5. Dr. Reddy’s Laboratories
Dr. Reddy’s Laboratories is headquartered in Hyderabad and was founded in 1984.

The company manufactures and markets a wide range of pharmaceuticals in India and
overseas. The company has over 190 medications, 60 active pharmaceutical
ingredients (APIs) for drug manufacture, diagnostic kits, critical care, and
biotechnology products.
Dr. Reddy’s Laboratories is India's fifth largest pharmaceuticals company based on

6. Cadila Healthcare Limited
Cadila Healthcare Limited was founded in 1952. Zydus Cadila provides total
healthcare solutions ranging from formulations, active pharmaceutical ingredients and
animal healthcare products to theyllness products.
Cadila Healthcare Limited is India's sixth largest pharmaceuticals company based on

7. Intas Pharmaceuticals Limited

24
Intas was founded in 1984. Intas has 13 commercialized biosimilars including

Docetaxel & Paclitaxel. As on date, Intas continues its R&D efforts in chronic disease
areas such as oncology (cancer), rheumatology, auto-immune, nephrology,
ophthalmology and plasma-derived product based therapies. Intas has 14 formulation
manufacturing facilities, of which seven are located in India, and the rest in the U.K.
and Mexico.
Intas Pharmaceuticals is India's seventh largest pharmaceuticals company based on

8. Glenmark Pharma Limited
Glenmark Pharma Limited was founded in 1977. Glenmark is a research-driven

organization which is focused on discovering novel molecules and developing high-
quality generics for people all around the globe. With a focus towards innovation and
a robust growth framework, the company's drug discovery endeavors continue to play
a vital role in the therapeutic areas of dermatology, respiratory and oncology.
Glenmark Pharma Limited is India's eighth largest pharmaceuticals company based

on overall revenue. In FY 2018 the company's revenue was INR 91.86 billion which
saw a decrease of 0.21% over the revenue in FY 2017.
9. Torrent Pharmaceuticals Limited
Torrent Pharmaceuticals Limited was founded in 1959. The company is engaged in

manufacturing and marketing of branded and unbranded generic formulations.
Currently, the company consumes most of the APIs manufactured in its facility, and
only a fraction is sold to the external consumers. Also, the company is engaged in

25
contract manufacturing of formulations for pharmaceutical majors. For the last fifteen
years, Torrent Pharmaceuticals has been manufacturing Insulin for Novo Nordisk
Indian operations
Torrent Pharmaceuticals is India's ninth largest pharmaceuticals company based on

overall revenue. In FY 2018 the company's revenue was INR 63.01 billion which saw
an increase of 3.63% over the revenue in FY 2017.
10. ManKind Pharma Limited
ManKind Pharma Limited was founded in 1995. The company is engaged in

manufacturing of a wide range of products – Antibiotic, Antifungal, NSAIDs,
Gastrointestinal, Anthelmintic, Cardiovascular, Dermal, Erectile Dysfunction, and
several other categories.
ManKind Pharma is India's tenth largest pharmaceuticals company based on overall

revenue. In FY 2018 the company's revenue was INR 52.00 billion which saw an
increase of 16.67% over the revenue in FY 2017.
11. Biocon Limited
Biocon Limited was founded in 1978. From being an enzyme venture, Biocon

successfully emerged as a biotechnology company in less than two decades time and
now is a fully-integrated Biopharmaceutical company. The parent company’s key
subsidiaries are Syngene International Limited, Biocon Biopharmaceuticals Private
Limited, Biocon Research Limited, Switzerland-based Biocon SA and Malaysia-
based Biocon SDN.BHD. Also, The Company owns 50% stake in Abu Dhabi-based
NeoBiocon FZ.

26
Biocon Limited is India's eleventh largest pharmaceuticals company based on overall

revenue. In FY 2018 the company's revenue was INR 43.36 billion which saw an
increase of 6.33% over the revenue in FY 2017.
12. Piramal Enterprises Limited
Piramal Enterprises Limited was founded in 1988.The Company is in the pharma,

critical care, consumer products, phytomedicine and imaging. For this ranking only
the pharmaceuticals division's revenue was considered.
Piramal is India's ttheylfth largest pharmaceuticals company based on overall revenue.

In FY 2018 the company's revenue was INR 43.22 billion which saw an increase of
11.03% over the revenue in FY 2017.
13. Wockhardt Limited
Wockhardt Limited was founded in 1960s. Wockhardt has 3 research centres and 12
manufacturing plants, with businesses ranging from the manufacture and marketing of
Pharmaceutical and Bio-pharmaceutical formulations, Active Pharmaceutical
Ingredients (APIs) and Vaccines.
Wockhardt Limited is India's thirteenth largest pharmaceuticals company based on

a decrease of 1.74% over the revenue in FY 2017.
14. Divis Laboratories Limited

27
Divis Laboratories Limited was founded in 1990. Divis Laboratories business

segments are Active Pharma Ingredients, Nutraceuticals and intermediates. The
company exports over 90% of manufactured products to foreign countries and only
8%-10% is consumed in India yearly. The company derives nearly 90% of revenues
from developed economies such as Europe and US.
Divis Laboratories is India's fourteenth largest pharmaceuticals company based on

a decrease of 3.70% over the revenue in FY 2017.
15. Abbott India Limited
Abbott India Limited was founded in 1944. Abbott India Limited is public listed
company and a subsidiary of Abbott Laboratories USA. Abbott India has headquarters
in Mumbai, Maharashtra. The company manufactures pharmaceutical drugs and
enjoys strong brand equity multiple therapeutic categories such as Women's Health,
Gastroenterology, Neurology, Thyroid, Diabetes, Urology, Pain Management,
Vitamins, Anti-Infectives & other therapy areas. Abbott India has a state-of-the-art
formulation plant at Verna, Goa designed to produce high quality, high volume
formulations.
Abbott India Limited is India's fifteenth largest pharmaceuticals company based on

an increase of 14.29% over the revenue in FY 2017.

28
2.9 FUTIRE GROWTH AND PROSPECTS
Introduced Dydroboon in female infertility segment after tireless work done by their
scientists for 9 years in R&D Center. Became the first Indian company to develop
Dydrogesterone. Mankind has launched a novel patented drug Remogliflozin with the
Brand name SGLTR in Deceber'2019 for better management of Diabetes. And they
are often trying new things towards success and to compete with rivals, and their great
efforts taking up them to the peak of success.
Following are the opportunities of future growth and prospects:-
1. With growing awareness and modernization, the demand for its products is bound
to rise
2. Related diversification into growing categories
3. With growth in modern retail, it should look into opportunities of how to cater to
this channel
To achieve their goal, they believe successful partnerships are an important element
and they engage with our partners at a strategic level. Mutual trust and respect are the
key guiding principles
Mankind has successful history of partnership since inception of the company.

Currently they work with multiple partners spread across the world through various
collaboration models such as co-development, technology transfer, in-licensing
agreement, distribution model etc.
Mankind has several areas of interest and they look forward to partners who bring in
unique products, services which can augment our position in the market. They are
actively looking for products for various geographies such as US, EM, India etc and
they are looking forward good opportunities.

29
CHAPTER-3
MCKINSEY’S 7S FRAMEWORK AND PORTER’S 5 FORCE MODEL
INTRODUCTION TO MCKINSEY’S 7S FRAMEWORK
The model was developed in the late 1970s by Tom Peters and Robert Waterman,
former consultants at McKinsey & Company. They identified seven internal elements
of an organization that need to align for it to be successful.
The framework can be used to examine the likely effects of future changes in the
organization, or to align departments and processes during a merger or acquisition.
The model categorizes the seven elements as either "hard" or "soft":
Hard Elements Soft Elements
Shared Values
Strategy Skills
Structure Style
Systems Staff
The three "hard" elements are strategy, structures (such as organization charts and
reporting lines), and systems (such as formal processes and IT systems.) These are
relatively easy to identify, and management can influence them directly.
The four "soft" elements, on the other hand, can be harder to describe, less tangible,
and more influenced by your company culture. But they're just as important as the
hard elements if the organization is going to be successful.

30
Figure below, shows how the elements depend on each other, and how a change in
one affects all the others.
Let's look at each of the elements individually:
 Strategy: this is your organization's plan for building and maintaining

a competitive advantage over its competitors.
 Structure: this how your company is organized (that is, how
departments and teams are structured, including who reports to whom).
 Systems: the daily activities and procedures that staff use to get the job
done.
 Shared values: these are the core values of the organization, as shown
in its corporate culture and general work ethic. They were called
"superordinate goals" when the model was first developed.
 Style: the style of leadership adopted.
 Staff: the employees and their general capabilities.
 Skills: the actual skills and competencies of the organization's
employees.
1. STRATEGY
The basic policy that mankind followed was to focus on semi-urban and rural areas
first and then go to urban markets and other things include,
• Huge team of medical representatives
• Out of the box HR policies

31
• Diversification into OTC space
• Shifting focus from acute to chronic therapy
• Focus on generating secondary sales rather than primary sales.
2. STRUCTURE
er set of related
activities .The effect of this decision
is to define job in terms
of specialization and
responsibility. Although job
having
many Criteria’s the most
important one is their degree of
specialization.
S. Chand is with the Institute of
Pharmaceutical Sciences, Kurukshetra
University, Kurukshetra (corresponding
author to provide phone:
098966534650; e-mail:
[email protected]).
G. Gupta is with Institute of
University, Kurukshetra, (e-mail:
[email protected]).
32
B. Gera is with the University School of

Management, Kurukshetra
University, Kurukshetra. (e-mail:
[email protected]).
After this manager decides the bases
by which to group
the individual jobs .This decision
is much like any other
classification decision and it can
result in groups containing
jobs that are relatively homogeneous
(alike).
Then manager decides the
appropriate size of group to each
superior. As they have already
noted that this decision
involves determining whether spans
of control are relatively
narrow or wide.
In the last manager distributes
authority among the
33
jobs. Authority is the right to

make decision without
approval by higher manager. All
jobs contain some degree
of the right to make decisions within
prescribe limit.
What is needed is an integrated
plan for each key
customer in the context of the
company’s portfolio, rather
than the traditional plan for each
sales force team. The
integrated plan should identify the
company’s objectives for
the customer, their needs, how to
address them and who will
be responsible for doing so this
will lead the company to
identify what type of sales people
or teams it needs, what

34
skills they should have, what roles

they should play, what
tools they require, and what system
will hold it all together
and provide support.
Implementing this strategy
requires
new processes and technologies
for information sharing,
which in turn requires a change
in organizational structure
and the breaking down of
information silos within the
organization.
II. T
HE PROBLEM
Change in the pharmaceutical
market requires company
to change their approach and
business model. In the part,

35
medical sales forces have mostly

called on doctors and other
prescribes to sell their product. This
approach is focused on
transactions and on increasing
share of voice. Turnover
among sales representatives is often
high, making it difficult
to build relationship with the
customer. Several
representatives from the same
company might be calling on
the same customer to promote
different or the same product,
presenting further challenges of
coordination.
For the purpose of our study they
had chosen a sample of
50 pharmaceutical companies from
top 500 pharmaceutical

36
companies on convenience basis.

In our study, they found
that each company is following a
different structure (may be
functional or divisional) according
to size of marketing
operations and span of control. As
our sampling units theyre
large pharmaceutical companies,
they observed a problem
that is faced by every HR manager
of these companies and
that is of employee turnover.
As they theynt in depth of this
problem, they found a reason
of this problem. Previously
pharmaceutical companies theyre
used to appoint diploma holders,
graduates and master
degree holders in Pharmaceutical
Sciences for the job of
37
Medical Representatives because the

job and work demands
for specialization. But the
employees theyre paid less as
compared to their degree demanded
for and as compared to
other professionals having the
equivalent qualifications but
working in other industries (except
pharma industry).
A
So a trend came of quitting the job
because of work and
salary dissatisfaction. As a result,
the companies facing this
problem started appointing non-
professionals (graduates,
master degree holders in any
stream) for this job and this
38
situation gave birth to the

problem of Pharma
unemployment on the part of the
country. With the passage
of time, today a new problem has
arisen that the new sales
personnel theyre unable to satisfy
the queries of doctors. This
results in the avoidance of Medical
Representatives by the
doctors. This again discards the
marketing plans of the
pharma companies.
III. T
HE NEW STRUCTURE
Above problem can be solved by
adopting the new
structure that leads to more
specialization. In fact every
structure demands for the
specialization. But they are
39
suggesting a bifurcation in the

job of Medical
Representatives. They suggest
dividing it into two parts. They
are calling the two new jobs as
MRD i.e. Medical
Representative for Doctors and
MRCW i.e. Medical
Representative for Chemists and
Wholesalers.
A. Below they are showing a
common functional
structure of a pharmaceutical
company.
B. Following to this, they are

showing a common
functional-geographical structure
of marketing division,
which is follotheyd by any big
pharmaceutical company
40
today.
But this structure is giving birth to

some problems which they
have discussed above. So they
are propounding a new
structure for the marketing
division of a pharmaceutical
company. This new structure will be
like this:
C. Now in reader’s mind some
questions will arise like:
Why two separate divisions for
marketing of products
to Doctors and marketing to
Retailers/Wholesalers?
And if these exist who will be
recruited to these two jobs?
Whether the persons with same
educational background will

41
do both the jobs or the persons

with different backgrounds
will be needed?
D. The anstheyr to these questions
lies in the following
text:
As they have discussed earlier
there should be two
separate divisions because it
facilitates the Marketing
Function. Different professionals
will be needed for these
two divisions. Their educational
level will be different. For
MRD’s job the person appointed
must possess a degree or
higher in pharmaceutical sciences
because their job profile
demands for pharmaceutical
professionals. And they will be

42
paid higher because of their

expertise and higher investment
on education. For the MRCW’s
job the persons appointed
will be diploma holders in
pharmaceutical sciences and they
will be paid lesser than the above
professionals. After the
study they have analysed that the
above structure will
definitely solve the problem of
employee turnover on the
part of the pharmaceutical
company and pharma educated
country.
Marketing Manager
East Zone Sales Manager
Theyst Zone Sales Manager
North Zone Sales Manager

43
South Zone Sales Manager

Medical Representatives
CEO (Pharmaceutical
Finance Manager
Purchasing Manager
Research & Development
Mana
ger
Production Manager
Marketing Manager
Human Resource Manager
Marketing
East
Zone
Theyst
Zone
North
Zone
South
44
Zone
Medical Representatives for
Doctors
Chemists & Wholesalers
Doctors
Doctors
Doctors
Make & retain the
customer (How to
produce better
facilities to the
customer?)
45
Connecting
organization and the
customer (What t he
customer demands
for?)
Information
demand (Which
information is
needed?)
Marketing
process (How
the company
will interact to
IV. L
AST BUT NOT THE LEAST
Changes in business processes
and organization are
necessary to meet customer needs.
When focusing on the
customer and the intended
interactions with them, many
companies will find that their
existing processes and internal
46
structures are ill-equipped to put

the new strategy into
practice. Organizational silos may
prevent the transfer of
information, create bureaucracy
and lead to internal
conflicts (over responsibility or
authority) that get in the
way of engaging with the
customer. Internal business
processes need to be developed that
successfully implement
the selected strategy, and an
organizational structure needs
to be created in which these can be
implemented efficiently.
Information needs to be gathered
in a comprehensive and
systematic way, capturing what the
company needs to know

47
about its customers and its

interactions with them. The
organization should be aligned
around the customers, with
all other functions and processes
supporting this structure.
er set of related
having
specialization.
098966534650; e-mail:
[email protected]).

48

[email protected]).
[email protected]).
by which to group
(alike).
49
narrow or wide.
authority among the
prescribe limit.
plan for each key
50

requires
organization.
II. T
HE PROBLEM

51

customer. Several
coordination.

52

53

pharma industry).
A
because of work and
54

problem of Pharma
pharma companies.
III. T
HE NEW STRUCTURE
adopting the new
55

job of Medical
MRD i.e. Medical
MRCW i.e. Medical
Wholesalers.
common functional
company.

showing a common
56

today.

like this:

57

will be needed?
text:
there should be two

58

country.
Marketing Manager

59

CEO (Pharmaceutical
Finance Manager
Purchasing Manager
Mana
ger
Production Manager
Marketing Manager
Marketing
East
Zone
Theyst
Zone
North
60
Zone
South
Zone
Doctors
Doctors
Doctors
Doctors
Make & retain the
61
customer (How to
produce better
facilities to the
customer?)
Connecting
customer (What t he
customer demands
for?)
Information
demand (Which
information is
needed?)
Marketing
process (How
the company
will interact to
IV. L
62


63

er set of related
having
specialization.

64
098966534650; e-mail:
[email protected]).
[email protected]).
[email protected]).
by which to group
(alike).

65

narrow or wide.
authority among the
prescribe limit.
plan for each key
66

requires
organization.
II. T
HE PROBLEM

67

customer. Several
coordination.

68

69

pharma industry).
A
because of work and
70

problem of Pharma
pharma companies.
III. T
HE NEW STRUCTURE
adopting the new
71

job of Medical
MRD i.e. Medical
MRCW i.e. Medical
Wholesalers.
common functional
company.

showing a common
72
today.

like this:

73

will be needed?
text:
there should be two

74

country.
Marketing Manager
75

CEO (Pharmaceutical
Finance Manager
Purchasing Manager
Mana
ger
Production Manager
Marketing Manager
Marketing
East
Zone
Theyst
76
Zone
North
Zone
South
Zone
Doctors
Doctors
Doctors
Doctors
77

Make & retain the
customer (How to
produce better
facilities to the
customer?)
Connecting
customer (What t he
customer demands
for?)
Information
demand (Which
information is
needed?)
Marketing
process (How
the company
will interact to
IV. L
78


79

An organizational structure defines how job tasks are formally divided in to groups
and coordinated. The new rules of operating in today’s global business environment
make structure and design even more critical. There are five key elements a manager
needs to address when he designs organization’s structure. These are: work
specialization, departmentalization, span of control, centralization and
decentralization.
Work can be performed more efficiently if employees are allowed to specialize. The
essence of work specialization is that, rather than an entire job being done by one
individual, it is broken down into a number of parts:
In this work, manager first decides how to divide the overall task into successively
smaller jobs. Manager divides the total activities of the task into smaller set of related
activities. The effect of this decision is to define job in terms of specialization and
responsibility. Although job having many Criteria’s the most important one is their
degree of specialization.
After this manager decides the bases by which to group the individual jobs. This
decision is much like any other classification decision and it can result in groups
containing jobs that are relatively homogeneous (alike).

80
Then manager decides the appropriate size of group to each superior. As they have
already noted that this decision involves determining whether spans of control are
relatively narrow or wide.
In the last manager distributes authority among the jobs. Authority is the right to
make decision without approval by higher manager. All jobs contain some degree of
the right to make decisions within prescribe limit.
What is needed is an integrated plan for each key customer in the context of the
company’s portfolio, rather than the traditional plan for each sales force team. The
integrated plan should identify the company’s objectives for the customer, their needs,
how to address them and who will be responsible for doing so this will lead the
company to identify what type of sales people or teams it needs, what skills they
should have, what roles they should play, what tools they require, and what system
will hold it all together and provide support. Implementing this strategy requires new
processes and technologies for information sharing, which in turn requires a change in
organizational structure and the breaking down of information silos within the
organization.
The structure followed by Mankind Pharma is matrix. The matrix organizational

structure is a mix of two other organizational structures, the project system, and the
functional system. The matrix structure cancels out the extremes of the two
structures to balance them somewhere in between.

81
Change in the pharmaceutical market requires company to change their approach and
business model. In the part, medical sales forces have mostly called on doctors and
other prescribes to sell their product. This approach is focused on transactions and on
increasing share of voice. Turnover among sales representatives is often high, making
it difficult to build relationship with the customer. Several representatives from the
same company might be calling on the same customer to promote different or the
same product, presenting further challenges of coordination.
For the purpose of our study they had chosen a sample of 50 pharmaceutical
companies from top 500 pharmaceutical companies on convenience basis. In our
study, they found that each company is following a different structure (may be
functional or divisional) according to size of marketing operations and span of
control. As our sampling units were large pharmaceutical companies, they observed a
problem that is faced by every HR manager of these companies and that is of
employee turnover.
As they went in depth of this problem, they found a reason of this problem.
Previously pharmaceutical companies were used to appoint diploma holders,
graduates and master degree holders in Pharmaceutical Sciences for the job of
Medical Representatives because the job and work demands for specialization. But
the employees were paid less as compared to their degree demanded for and as

82
compared to other professionals having the equivalent qualifications but working in

other industries (except pharma industry).
So a trend came of quitting the job because of work and salary dissatisfaction. As a
result, the companies facing this problem started appointing non-professionals
(graduates, master degree holders in any stream) for this job and this situation gave
birth to the problem of Pharma unemployment on the part of the country. With the
passage of time, today a new problem has arisen that the new sales personnel were
unable to satisfy the queries of doctors. This results in the avoidance of Medical
Representatives by the doctors. This again discards the marketing plans of the pharma
companies.
Above problem can be solved by adopting the new structure that leads to more
specialization. In fact every structure demands for the specialization. But they are
suggesting a bifurcation in the job of Medical Representatives. They suggest dividing
it into two parts. They are calling the two new jobs as MRD i.e. Medical
Representative for Doctors and MRCW i.e. Medical Representative for Chemists and
Wholesalers.
Below they are showing a common functional structure of a pharmaceutical company
CEO (Pharmaceutical)
Finance Manager Purchasing
Manager Research & Development
Production Manager
Purchasing Manager
Marketing Manager
Company Hierarchy
83
A pharmaceutical company is a company which manufactures and sells

pharmaceutical products such as medicines, medicinal cosmetics and drugs. Within
the working of a pharmaceutical company lies a whole hierarchy of job positions,
designations and roles. All the jobs and departments together are responsible for the
success and profit of the organization.
Some of the departments in a pharmaceutical company include manufacturing

department, sales department, marketing departments, research department and others.
The following is a detailed description of the hierarchical structure followed inside a
pharmaceuticals company.
 Senior Most Level Job Positions
In a pharmaceuticals company, the senior most levels are taken by administrators,

owners, board of directors and other important employees who are responsible for the
overall management and running of the organization. The senior employees or
working positions decide and set the goals for the rest of the employees to achieve
and are also responsible for handling finances which form an important part of the
success of any company.
The following are the various job positions in the senior level job positions:
 Company director
 Chief company executive
 Senior company supervisor
 Head of the pharmaceutical company department
 National pharmaceutical company head
 Chief medical officer
 Zonal company head
 Pharmaceutical company supervisor
 Company manager
 General manager

84
 Executive director
 Middle Level Job Positions
After the senior level employees comes the category of the middle level workers or
employees who execute the plans and projects formed by the senior level employees.
They supervise the lower level employees and make sure that the company and its
operations run smoothly. The middle level executives hold the most important
positions which decide the profit and success results of the company. The following
are the main middle level job positions in a pharmaceuticals company;
 Department manager
 Regional managers
 Company manager
 Associate company manager
 Pharmaceutical company team leader
 Pharmaceutical company PR
 Marketing manager
 Sales manager
 District pharmaceutical company head
 Quality control manager
 Warehouse manager
 Entry Level Job Positions
As far as authority is concerned, those working at entry level positions don’t hold
important roles but they still form an important part of the company and are
responsible for day to day tasks and functions. The entry level positions are held by
those who are not very experienced. The following are the various entry level job
positions in a pharmaceuticals company:

85
 Pharmaceuticals sales executive
 Pharmaceuticals trainee
 Pharmaceuticals assistant
 Pharmaceuticals secretary
 Pharmaceuticals associate intern
 Pharmaceuticals manufacturing clerk
 Pharmaceuticals company representative
3. SYSTEMS
For Human Resource management they were using Oracle backed People-Soft.
Since it is coming to an end from a product parse. So they are moving forward with
Success Factor. It is a SAP Product. The biggest benefit it will give us is mobility.
Apart from giving us the simplified and standardized HR process, it will also help us
keep the business agile with the changing business needs.
The third digital initiative is working on EDW, Enterprise Data Warehouse. The
entire data from all the applications and digital technologies deployed will come to
EDW platform. On EDW is data warehouse, data lake and data visualization tool.
These visualization tools will be catering to the analytical dashboard for Mankind
Pharma.
How are they leveraging technology for smooth billings and payments process?
For them, it is nearly impossible to keep a track on every invoice manually. To

enhance the vendor invoice management system they are working to implement RPA
wherein the invoice will get scanned through OCR (Optical Character Recognition),
will get converted into respective records in SAP, and then go through the approval

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cycle. If the data will be approved by the set rules and process only then it will be
processed further. In case, any ambiguity arises and it does not match the required
criteria then it will require manual intervention. This will bring in efficiency in
processing of Invoice thus helping Accounts Payable functionaries to turn around
more invoices in less time. This process will reduce the turnaround time significantly.
Their Business highly depends on Medical representatives. How is digital helping

them track us?
A day of MR starts with the daily calls. He probably checks his route map for the day.
On visiting the client i.e, the doctors, he pitches the sample and the product.
Depending on how the call goes, the sale is made. Once done with day, MR was
earlier supposed to sit and file all his meetings at the portal. Sometimes, he would
forget what all happened during the meeting and so would miss out on filing that.
Now, with the digital coming into the picture, they have equipped our MR with tablet
which has an in-built application. With this, he just has to go to meetings and login to
the application. The application is being evaluated to work on Speech to text model. It
will this keep us updated with the doctor's responses.
It did not only save the MRs time but also helped us in keeping a check on how he is
actually working on the field. They know which MR, pitched which product to which
doctor. Since they have a track of what and how is he presenting, it benefits us in the
training process. In case there is any situation where the MR does not have enough
information to take action, he can ask our chat-bot. So he will get the answer there
and then only.
How is technology help in ensure that the consumer does not take away expiry
products?

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Their product first goes out to the CnFs (Carrying and forwarding agents) to stockists
and then to retailers.
To keep up to their vision of delivering quality products and to avoid loss of sales
they have an initiative called 'Action near expiry' which is unique to Mankind. When
their representative speaks to the retailer, he has with him the data of the sales made
in the past. With this data, he can also see the expiry date of the medicine. This helps
him inform the retailer that the certain product/batch is nearing its expiration data so
an action needs to be taken.
Security Measures
The Company has adopted reasonable security practices and procedures within the
Company for the security and protection of Information, in line with the
internationally accepted standards which includes, technical, operational and physical
security control measures.
4. SHARED VALUES
As a performance-driven company, Mankind values integrity, customer-focus and

teamwork, and offers its employees an atmosphere conducive to their growth, health
and overall well-being. Mankind's tireless commitment to quality has earned the trust
of its valued customers.
Their motto of 'Serving Life' encompasses 3 major pillars:
Quality: Mankind’s unending commitment to quality has made it the most reliable
pharmaceutical company. Delivering quality medicines at affordable prices makes
health care accessible to all sections of society.
Affordability: The very foundation of the company was laid on the belief that access
to affordable medicines is every citizen’s right. Mankind is committed to making
medicines accessible to all people.

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Availability: India has a large share of rural population and their medical needs often
go unattended. Along with metros and Class-I towns, Mankind has also concentrated
on Class II to VI towns to ensure that affordable medicine reaches to every part of
India
5. STYLE
Situational leadership style is been adopted in the organization, different types and in
different combinations of leadership style in been adopted according to the changing
situations. Such as:
 Democratic
 Strategy
 Transformation
 Team
 Cross culture
 Facilitative
 Or in combination of any of the above-mentioned styles.
Since its inception, Mankind aspires to be customer-centric and a leader in the Global
markets. Committed towards a healthier and happier world, we strive to provide
accessible and affordable healthcare to all sections of the society. Today, Mankind
operates in 34 countries across the Globe. The company has recently started
operations in the markets of CIS, Ukrain, Uzbekistan and Kazakhistan.
their Business leaving footprints all across the globe (International Market) which
includes 300 plus PRODUCTS, 34 countries, 13 Regulators approval.
Their Presence in Overseas Market
LATIN: Peru, Chile, Jamaica, Panama
South East Asia: Philippines, Malaysia, Cambodia &, Myanma
Asia: Srilanka, Nepal , Maldives , Afghanistan

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Africa: Zimbabwe, Kenya, Tanzania, Zambia, Nigeria, Ghana, Uganda, Rwanda,

Ethiopia, Benin, Burkina Faso, Ivory Coast, Mali, Senegal
CIS: Russian Federation, Ukraine, Moldova ,Kazakhistan & Uzbekistan.
Regulatory Affairs
Our Regulatory Affairs team is highly competent with strategic and tactical
experience and works in collaboration with different stakeholders in:
o Designing an appropriate regulatory approach for product development

o Support in generating Right First Time (RFT) documentation for faster
approvals & early market launch
o Lifecycle management of registered products & their post-marketing
surveillance
o Ensuring regulatory inspections & their maintenance.
The growth and competence of mankind Pharma shows its excellent style of
leadership resulting in list of top pharma companies in the world.
6. STAFF
Each employee is considered as a Brand Ambassador of the company. They are

continuously engaged and aligned to the company's vision, values & culture. Mankind
cares for its employees in surviving tough times.
Reward & recognition
Employees felicitation programmes - Employees are rewarded & felicitated for

exceptional performance. We recognize the smart work, talent, efforts & employees’
time by providing them several awards/rewards like Employees of the Month, Star,
Diamond, Platinum event, Smart MR contest and award functions. These award
programmes are organized every year where employees are felicitated. Best
performers are sponsored for domestic & international trips every year, giving them
global exposure. These award programmes are organized every year where employees
are felicitated. Best performers are sponsored for domestic & international trips every
year to give them global exposure.

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Fast track career growth for deserving
We have ample opportunities for talent at Mankind. Exceptional performers are put
on fast track career growth, job rotation and are mentored by senior colleagues to
groom them for future leadership positions.
Learning opportunities
Training helps employees sharpen their knowledge & hone skills in their own
functional areas & behavioral disciplines as well. They are also groomed for the next
level of role by developing cross-functional & leadership competencies through
continuous trainings.
Engaging
Each employee is considered as a Brand Ambassador of the company. They are

continuously engaged and aligned to the company’s vision, values & culture.
Benefit programs
Mankind cares for its employees in surviving tough times. Employee-centric HR

policies & practices, support during critical hours are a few examples of how we go
that extra mile to extend our helping hand.
Care
Offering attractive benefits programmes.
Life at Mankind is celebrating Life they make the most of time and enjoy every
moment.
Excursion Trips/ outings
At Mankind, multiple events are planned throughout the year that aim at enabling
employees to balance professional and personal priorities.
7. SKILLS
Today, the success of Mankind Research Centre is attributed to the capabilities of its
highly-skilled employees and work environment. Mankind Research Centre promotes
teamwork, strengthening the position of an equitable work culture.

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Mankind’s state-of-the-art R&D Centre is located in Manesar and administered by

more than 350 leading scientists from diverse fields, with a prime focus on promoting
innovation, knowledge and leading-edge skills. The development capabilities include
New Drug Discovery and Research (NDDR), APIs, Formulations and Development,
Analytical Research and Development, Clinical Research & Biopharmaceutics,
Regulatory Affairs, Biotechnology, and Intellectual Property Management.
Today, the Mankind Research Centre has transformed into a training ground for
young scientists. The rich human capital and high-tech equipment make Mankind a
pioneer in the field of research and development.
Mankind is one of the select global pharmaceutical companies that is vertically

integrated with a presence in the API and Formulation segments.
Great place to work
At Mankind, they recognize and value the diversity of our employees, their
perspectives and experiences. They take much pride in fostering an engaging and
inspiring environment for all our employees. Keeping everyone connected with work,
new initiatives and with the organization in a productive manner to ensure the work-
life balance and effective utilization towards the attainment of individual, group, and
organizational goals.
The most differentiating factors leading to progress and morale boost is that they
work as a team with the transparency to make the goals realistic & achievable. They
offer the best working culture, nurture their talent, incorporate a strong culture of
learning using interesting and latest techniques, and rewarding employees at every
possible step of their journey.
This is all about mankind Pharma’s 7S model.
INTERNAL ANALYSIS BY VALUE CHAIN MODEL :
Value Chain Analysis describes the activities that take place in a business and relates
them to an analysis of the competitive strength of the business. Focusing on the value-
creating activities could give the company many advantages.
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Infrastructure of pharmaceutical industry has to comply with the standards set by

different competitive authorities such as FDA, WHO, NDA, INDA etc. so
infrastructures of pharmaceutical industry are almost similar. GlaxoSmithKline, Lupin
and Pfizer have specialized research and development centre which is approved by
these regulatory bodies. Lupin’s manufacturing and supplying APIs and formulations
approved by leading pharmaceutical regulatory authorities like the US FDA, World
Health Organization, MHRA (UK), TGA (Australia), MHLW (Japan), ANVISA
(Brazil) and MCC (South Africa) which serves as the competitive advantage for the
Lupin.
Human resource department is one of the important sources for competitive

advantage. GlaxoSmithKline and Pfizer both have more than 100000 lakh employees
each which form the great work force and employed over the world. Cipla, Lupin and
Mankind have relatively small workforce of 26000, 12710 and 10000 respectively.
These five companies have different unique system; Lupin, Mankind,
GlaxoSmithKline, Pfizer and Cipla has employee benefit, work life balance, learning
development, talent acquisition and HR generalist scheme respectively.
Research and development of new molecules or existing drug is the integral function
of pharmaceutical industries. Continuous improvement of quality and effectiveness of
drug gives competitive advantage to the company over its rivals. GlaxoSmithKline
invest huge amount of money in its R & D projects, its researches are focused on
bioelectric tackling, epigenetic turn on and turn offs and antibiotic resistance whereas
Cipla, Mankind, Pfizer and Lupin focuses on API development, new molecule, stem
cells antibiotic technology, and advance drug delivery system respectively.
Operation of these companies are almost similar, how efficiently and effectively
operate certain functions determine the success or failure of any company. All these
companies have basic operation function as manufacturing, supplying, quality control
and delivering of drug and formulation.
Sales and marketing are the ultimate objective of any manufacturing industry. Lupin
has the robust distribution network, Mankind have aggressive selling strategy with its
80% employee as the medicinal representative, GlaxoSmithKline has commercial
team for this purpose, market access is the main strategy of Pfizer and strategic tie ups
with global MNCs are the strategy of Cipla.

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A service provided by these five companies is of significant importance to customers,

stake holders and employees. Lupin provides patient education, GlaxoSmithKline has
consumer healthcare centre, Mankind provide home healthcare and Pfizer involves in
stakeholder benefit plan and Cipla in employee benefit services.
PORTER’S 5 FORCE MODEL
Michael Porter's Five Forces of Competitive Position model provides a simple

framework for assessing and analysing the competitive strength and position of a
corporation or business organization. These five forces are new entrants, bargaining
power of suppliers, bargaining power of buyers, threats of substitute and competitive
rivalry.
 Industry Competition (competitive rivalry)
Rivalry of competitors are very high especially in generic sector of medicine where a
pharmaceutical company can use cost reducing technique for achieving competitive
advantage in the market. Competition is very high because,

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o Most competitive industries in the country with as many as 10,000 different

players.
o Top player in the country has only 6% market share and top five have 18%.
o High growth prospects.
o Very low entry barriers.
o Fixed cost requirement is low and need for working capital is high.
 Bargaining Power of Buyers
Buyers bargaining power is low for all the five companies because they have patent
for specific medicines so buyers cannot change the pricing of drugs. Because,
o End user of the product is different from the influencer (read Doctor).
o Consumer has no choice but to buy what doctor says.
o Buyers are scattered and they as such do not have much power in the pricing
of the products.
 Bargaining Power of Suppliers
Suppliers bargaining power is low for all the pharma companies because of
availability of more suppliers in the market and also these companies are huge volume
producers which reduce the bargaining power of suppliers. Pharmaceutical products
require various types of organic chemical. There are a number of chemical suppliers
present in the market. Instead of buying chemicals at the high cost, pharma companies
can switch from one company to other.
 Threat of new Entrants
Threats of new entrants are generally less because of huge capital cost and established
brand image of existing companies these five companies have established its strong
brand image so for all these have less threats of new entrants. But Mankind has
medium threats because it also operates in FMCG sector.
The threat of new entrant is low to moderate based on the following factors:

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It has become very important for the pharmaceutical companies to focus on research
and development to sustain their position in market. The cost associated with
research and development is very high. Also, there are the stringent government
regulations for approval of new drugs which act as high barrier. Besides this, various
other challenges such as drawing up appropriate distribution strategies, selecting the
right products, anticipating competition among others are limiting the entry of new
barrier in market.
Many pharmaceutical companies are progressing in the market by shifting from

traditional business approach to emerging new business approach. The new business
technique includes contract research (drug discovery and clinical trials), contract
manufacturing and co-marketing alliance. Many new companies to enter the market
without burden of costly tasks such as research and development, clinical trials and
manufacturing of drugs. Moreover, patent expiry is one of the reasons which is
offering opportunities for lower cost generic manufacturer in terms of greater market
access. Additionally, the government has increased their focus on healthcare cost
cutting. It is creating pressure on the authority to allow early introduction of low-cost
drugs in the market. This, in turn, poses a big opportunity for pharmaceutical
companies with approved facility and sound knowledge of regulatory issues.
Therefore, all these factors are responsible for the high threat from a new entrant.
 Threat of Substitutes
Threats of product substitute are moderate to high for the generic medicines because
of cost related advantage of one company over the others. There are no threats or less
threats for the patented medicines. Then it becomes one of the great advantages of the
pharma industry. Key reasons for high competitiveness in the industry is that as going
concern. The demand for generic drugs compared to branded drug has increased
because of cost. Generic manufacturers do not incur the high cost involved in research
and development and regulatory activities such as FDA approval and clinical trials.
These are the reasons they can offer their product at cheaper price. This increases the
threat of substitutes.

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To put it in simple words,
Organizati Threat Suppliers Buyers Rivalry Threat

on of New bargaini bargaini from of
entran ng power ng power competito product
ts rs substitu
te
Mankind Medium Low Low Medium low
Conclusion
Industry is not static in nature, i's dynamic. Larger players in the industry will survive
with their proprietary products and strong franchisee. In the Indian context,
companies like Cipla, Ranbaxy and Glaxo are likely to be key players. Change in the
patent regime, will see new proprietary products coming up, making imitation
difficult. Government too will have bigger role to play.
CHAPTER-4
SWOT ANALYSIS

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Introduction to SWOT analysis
SWOT analysis is the tool for auditing an organization and environment. It is the first
stage of planning and helps markets focus on key issues. Once key issues have been
identified, they feed into marketing objectives. It can be used in conjunction with tool
of audit and analysis.
SWOT stands for strengths, weakness, opportunities and threats. Strength and
Weakness are within the company where as opportunities and threats are external
factor. Strengths are its resources and capabilities that can be used as a basis for
developing competitive advantage. It means the power of the organization to utilize
the available resources in maximum extent to achieve the goals of an organization.
The power may be in the form of finance, HR, place, ownership etc.
A SWOT analysis is used to determine the strength, weakness, opportunity and threats
which can be useful for various decision making and problem-solving approaches as
well as strategy making in the company at all level from marketing strategy to
operation strategy.
Strengths are the source of competitive advantage of the companies and it varies with
company to company, Lupin has large market share in Japan US and its world leader
in anti TB drugs and cephalosporin which are its biggest strength. Mankind’s drugs
are highly prescribed by the physician and have excellent advertising strategy,
GlaxoSmithKline has excellent R& D centre, Pfizer has strong brand image and
expanding market share by mergers and acquisition, and Cipla have its strength on
anti-infective and anti-asthmatic formulation.
Weaknesses are the areas where a company should look at to improve the
organization and convert it to its strength over a time. High dependence on global
market is the biggest weakness of Lupin because its main market is Japan and US,
Mankind has less regular sells and GlaxoSmithKline has patent expiry as its
weakness, for Pfizer and Cipla tough competition in the market is the main weakness.
These weaknesses should be sort out by the companies and try to overcome those
weaknesses.

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Opportunity is something that a company tries to grab to get the profit and take
important decision to expansion of product or business. Emerging technology and
prevalence of TB in developing countries is the good opportunity for Lupin, related
diversification and modernization of retail is good opportunity for Mankind as it also
involve in FMCG sector. Merger and acquisition and research of new drug, strategic
partnership with other companies, and Alzheimer’s disease are the opportunities for
GlaxoSmithKline, Pfizer and Cipla respectively.
Threats for the pharmaceutical companies are generally failure of the drug, soaring
cost of research and development of the drug especially in clinical trials. Lupin finds
rigid opposition and huge cost of discovering new drug as the threats of the company.
Completion from the unbranded drug, risk of failure of new drug, economic
slowdown and fluctuation in the currency exchange rate is threats for Mankind.
Mankind Pharma SWOT Analysis
Strengths
Below are the Strengths in the SWOT Analysis of Mankind Pharma:
1. It is one of the largest pharmaceutical company in India and was ranked No.1
Company of India as per Prescription/Doctor/Month audit of IMS-Health
2. The company's product pipeline ranges from pharma to over the counter and
FMCG brands, which include Addiction, Gas-O-Fast, Kaloree1, Kustody, PregaNews
and Unwanted72
3. A strong distribution network with 62 C&F agents & 6000 Stockists.
4. Their ads are quite strong unlike other contraceptive brands; selling products in
unconventional places like pan shops has helped product sales.
Weaknesses
Here are the weaknesses in the Mankind Pharma SWOT Analysis:
1. Presence in very niche categories which constitute a very small part of consumer’s
regular purchases
2. It is perceived more of a Pharma company and not that strong in FMCG

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Opportunities
Following are the Opportunities in Mankind Pharma SWOT Analysis:
1. With growing awareness and modernization, the demand for its products is bound
to rise
2. Related diversification into growing categories
3. With growth in modern retail, it should look into opportunities of how to cater to
this channel
Threats
The threats in the SWOT Analysis of Mankind Pharma are as mentioned:
1. Intense and increasing competition amongst other FMCG companies

2. The needs that its brands cater to are not openly discussed in Indian culture which
makes promotion and advertising a little difficult
3. Competition from unbranded and local products

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CHAPTER-5
ANALYSIS OF FINANCIAL STATEMENT
Introduction to Financial Statement Analysis:
Financial statement analysis is the process of reviewing and analyzing a company's

financial statements to make better economic decisions. These statements include the
income statement, balance sheet, statement of cash flows, and a statement of changes
in equity. Financial statement analysis is a method or process involving specific
techniques for evaluating risks, performance, financial health, and future prospects of
an organization.
It is used by a variety of stakeholders, such as credit and equity investors, the

government, the public, and decision-makers within the organization. These
stakeholders have different interests and apply a variety of different techniques to
meet their needs. For example, equity investors are interested in the long-term
earnings power of the organization and perhaps the sustainability and growth of
dividend payments. Creditors want to ensure the interest and principal is paid on the
organization’s debt securities (e.g., bonds) when due.
Tools for financial statement analysis
 Comparative Financial Statements: The comparative financial statements

are statements of the financial position at different periods; of time. The
elements of financial position are shown in a comparative form so as to give
an idea of financial position at two or more periods. Any statement prepared in
a comparative form will be covered in comparative statements.
 Common Size Statements: The common-size statements, balance sheet and

income statement are shown in analytical percentages. The figures are shown
as percentages of total assets, total liabilities and total sales. The total assets
are taken as 100 and different assets are expressed as a percentage of the total.
Similarly, various liabilities are taken as a part of total liabilities.

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 Trend Analysis: Trend analysis is a technique used in technical analysis that

attempts to predict the future stock price movements based on recently
observed trend data. Trend analysis is based on the idea that what has
happened in the past gives traders an idea of what will happen in the future.
There are three main types of trends: short-, intermediate- and long-term.
 Ratio Analysis: A ratio analysis is a quantitative analysis of information

contained in a company’s financial statements. Ratio analysis is used to
evaluate various aspects of a company’s operating and financial performance
such as its efficiency, liquidity, profitability and solvency.
Ratio Analysis:
Introduction to Ratio Analysis:
Ratio analysis is used for analyzing and interpreting financial statements. It also helps
in decision making process by providing useful inference.
The most popular way to analyze the financial statements is computing ratios. It is an
important and widely used tool of analysis of financial statements. While developing
a meaningful relationship between the individual items or group of items of balance
sheets and income statements, it highlights the key performance indicators, such as,
liquidity, solvency and profitability of a business entity. The tool of ratio analysis
performs in a way that it makes the process of comprehension of financial statements
simpler, at the same time, it reveals a lot about the changes in the financial condition
of a business entity.
1. Current ratio:
The current ratio is a financial ratio that shows the proportion of current assets to
current liabilities. The current ratio is used as an indicator of a company's liquidity. In
other words, a large amount of current assets in relationship to a small amount of
current liabilities provides some assurance that the obligations coming due will be
paid.

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Current Ratio = Current Assets / Current Liabilities
Table:
Year Current Assets Current Liabilities Ratio
2016 29,941.30 13,143.96 2.27
2017 32,953.65 17,887.02 1.84
2018 31,635.90 19,864.32 1.59
2019 31,069.19 17,339.62 1.79
2020 31,654.16 15,706.43 2.01
Interpretation:
Current ratio of the Mankind pharma has been decreased from 2016 to 2018 (2.27,
1.84, 1.59 respectively) as a slight variation in position to pay off its liabilities, and in
2019 it started raising i. e. 1.79 and in financial year 2020 it reached to 2.01. From the
above analysis we can interpret that current ratio is increasing day by day and
apparently in a better position to pay off its liabilities.
2. Quick Ratio:
This quick ratio is the same as the current ratio except that it excludes inventories
form the current assets, inventories are usual the least liquid portion of the current
assets and may be difficult to dispose of especially if they are slow moving and
become absolute.
Quick Ratio = Quick Assets / Current Liabilities
Table:
Year 2016 2017 2018 2019 2020
Ratio 0.36 0.37 0.59 0.63 0.83
Interpretation:

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From the above table it is clear that the quick ratio in the year 2016 is 0.36, 0.37 in
2017, and in 2018 it increased to 0.59 again it raised in 2019 as 0.63 and finally at
present it is 0.83 it shows that company is in the position as the quick assets are more
than the current liabilities. In all the year’s current liabilities are less and cash balance
is well maintained. It was good sign to the company because company should meet
the seasonable demand which fulfill the short-term obligation.
3. Current Assets Ratio:
It establishes relationship between the Net Sales & Current assets. This ratio indicates
how many net sales are made for every rupee of investment in current assets. It may
be expressed as:
Current Asset Ratio = Net sales / current asset
Table:
Year Net sales Current Assets Ratio
28,487.03
2016 29,941.30 0.95
2017 31,308.14 32,953.65 0.95
2018 26,415.54 31,635.90 0.83
2019 29,065.91 31,069.19 0.94
2020 32,837.50 31,654.16 1.04
Interpretation:
Current asset ratio of Mankind pharma was both in the year 2016 and 2017, 0.95 it
means there was no change in the current asset ratio. In the year 2018 it was slightly
declined to 0.83, and in the year 2019 it started raising i. e. 0.94 and finally at present
it is reached to 1.04 this is highest one compared to all the years. It means that the
company is maintaining standard level of current asset ratio it based on the industry
requirements, it keep on managing & changing. There is slight volatility also we can
see in this table. Basically company having high portion of stock/inventory in this

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current asset. It mainly plays vital role in changing in its current asset level, &
subsidies are leads to the cash balance not constantly maintained by the company. The
portion of investment also covered in this. So year to year the preference on elements
of current assets are also changing.
4. Working Capital Turnover Ratio:
The stock levy for which in progress is beaded mostly or production cycle higher
turnover ratio indicates better margin of inventory and lower turnover indicates
accumulation of stock.
Working Capital Turnover Ratio = Net Sales / Working Capital
Table:
Year Net Sales Working Capital Ratio

2016 28,487.03 16797.34 1.70
2017 31,308.14 15066.63 2.08
2018 26,415.54 11771.58 2.24
2019 29,065.91 13729.57 2.12
2020 32,837.50 15947.73 2.06
Interpretation:
The working capital turnover ratio in the year 2016 it was 1.70, and in the year 2017 it
increased to 2.08, and again increased in the year 2018 to 2.24. And it is started
declining in the year 2019 it was 2.12. Again it decreased in 2020 to 2.06.
It means company doesn’t have any standard working capital ratio. If company
having higher the ratio it’s better for company, they can easily convert working
capital in to the sales, in order to multiply its earnings and avoid the dead investment.
From above chart its clears that there is huge volatility in company’s working capital,
may be because usually follow the flexible policy of working capital financing, this
will lead to maintain huge amount of current assets, but working capital mainly
affected by the nature of business, it should not able to maintain all the year same
level of inventory, due to some reasons, so the ratio is inconsistent. It having very less
working capital, the conversion time also takes too much.

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CHAPTER-6
LEARNING EXPERIENCE
Initially we worried about how can we search and approach the company? and in this
COVID-19 out spread situation which company will accept us? And all other stuffs.
But when we received circular from VTU like we have to do our organization study
online we were little shock, because we haven’t thought of it. At the beginning stage
of company selection we were little confused that to with we had to choose two
companies without any duplication. But after selection of company we felt bit cool.
And the 1st week of organization study it was little hectic because it was contained
with lot of sub-contents. But if we consider the whole organization study, it was a
great experience with lot of key takeaways.
Organization study is a very good concept to understand the actual conceptualities,

basics or fundamentals with whole work-flow and structure. And it is an opportunity
to test drive a career without making any serious commitments. It's our chance to see
what it would really be like how is the company work flow, what structure will it
follow, how company maintains it’s HR, Finance and communication and other
records and how it controls and coordinates the activities as well in a particular
industry, and we can also think whether we are a great fit or not.
And, perhaps most importantly, a good organization study provides us with I

experiences, lessons, and tools we'll need to get a full-time gig in the future. Here are
a few things we can take away from an organization study that may help us land a job
down the road: It is a great experience where we learnt many things about the
functioning of the company in accordance with present market trends.
I heard of Mankind Pharma but I didn’t know any of its products particularly. But
when I selected this company I was worried bit because as I’m a commerce student
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don’t have that much knowledge in pharma products and all of that. But when I went
through it and since Mankind Pharma is an organization which produces various
pharma products I became very familiar with the terms and names of products. So it
helped me to take learn why different organization have different policies of
maintenance. This helped in developing our knowledge and it gave experience and
understanding of the industrial scenario in the competitive environment outside the
realms of the institute. Also understood that only through team-work, every work
could be completed and mission can be accomplished.

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BIBLIOGRAPHY
 Company annual reports

 Text books:
Entrepreneurship Development
Financial Management
Strategic Management
Management and Organizational Behavior (MOB)
Accounting for Managers
 Websites:
https://www.mankindpharma.com
https://en.wikipedia.org/wiki/Mankind_Pharma
www.mbaskool.com

108
ANNEXURE
MANKIND PHARMA
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDING 31st MARCH 2016
TO 2020
PROFIT & LOSS MAR 20 MAR 19 MAR 18 MAR 17 MAR 16

ACCOUNT (in Rs.
Cr.)
INCOME
REVENUE FROM 11,906.7 9,783.29 8,774.41 7,509.67 7,262.46

OPERATIONS 4
[GROSS]
Less: Excise/Service 0.00 0.00 0.00 109.24 130.43

Tax/Other Levies
REVENUE FROM 11,906.7 9,783.29 8,774.41 7,400.43 7,132.03

OPERATIONS [NET] 4
TOTAL 12,531.9 10,303.2 9,006.25 7,683.96 7,614.46

OPERATING 3 1
REVENUES
Other Income 1,510.92 1,271.44 1,128.04 515.08 431.82
TOTAL REVENUE 14,042.8 11,574.6 10,134.2 8,199.04 8,046.28

5 5 9
EXPENSES

109
Cost Of Materials 3,201.71 2,727.71 2,210.12 2,228.45 2,019.85

Consumed
Operating and Direct 0.00 0.00 0.00 0.00 0.00

Expenses
Changes In 138.60 -251.30 159.26 -167.86 -68.48

Inventories Of FG,
WIP And Stock-In
Trade
Employee Benefit 1,702.77 1,571.34 1,625.00 1,499.88 1,480.51

Expenses
Finance Costs 408.01 540.92 388.31 223.57 530.64
Depreciation And 561.56 552.95 487.24 422.28 463.98

Amortisation
Expenses
Other Expenses 3,549.79 3,302.35 2,832.10 2,773.02 3,447.56
TOTAL EXPENSES 10,789.8 9,640.82 8,903.54 8,215.84 9,044.06

5
PROFIT/LOSS 3,253.00 1,933.83 1,230.75 -16.80 -997.78

BEFORE
EXCEPTIONAL,
EXTRAORDINARY
ITEMS AND TAX
Exceptional Items 0.00 -1,214.38 -950.50 0.00 -70.13
PROFIT/LOSS 3,253.00 719.45 280.25 -16.80 -

BEFORE TAX 1,067.91

110
TAX EXPENSES-
CONTINUED
OPERATIONS
Current Tax 386.46 1.55 2.02 5.77 5.45
Less: MAT Credit 0.00 0.00 0.00 0.00 0.00

Entitlement
Deferred Tax -344.60 -98.70 -27.41 0.27 0.00
Tax For Earlier Years 0.00 0.00 0.00 0.00 0.00
TOTAL TAX 41.86 -97.15 -25.39 6.04 5.45

EXPENSES
PROFIT/LOSS 3,211.14 816.60 305.64 -22.84 -

AFTER TAX AND 1,073.36
BEFORE
EXTRAORDINARY
ITEMS
PROFIT/LOSS 3,211.14 816.60 305.64 -22.84 -

FROM 1,073.36
CONTINUING
OPERATIONS
PROFIT/LOSS FOR 3,211.14 816.60 305.64 -22.84 -

THE PERIOD 1,073.36
OTHER
ADDITIONAL
INFORMATION
EARNINGS PER
SHARE

111
Basic EPS (Rs.) 13.40 3.40 1.30 -0.10 -4.50
Diluted EPS (Rs.) 13.40 3.40 1.30 -0.10 -4.50
VALUE OF
IMPORTED AND
INDIGENIOUS RAW
MATERIALS
STORES, SPARES
AND LOOSE TOOLS
Imported Raw 0.00 0.00 0.00 0.00 823.35

Materials
Indigenous Raw 0.00 0.00 0.00 0.00 1,196.50

Materials
STORES, SPARES
AND LOOSE TOOLS
Imported Stores And 0.00 0.00 0.00 0.00 77.34

Spares
Indigenous Stores 0.00 0.00 0.00 0.00 283.04

And Spares
DIVIDEND AND
DIVIDEND
PERCENTAGE
Equity Share 1,378.96 479.16 797.74 240.68 240.68

Dividend
Tax On Dividend 192.89 0.56 0.34 7.47 7.47
Equity Dividend Rate 400.00 275.00 200.00 350.00 100.00

(%)

112
BALANCE SHEET FOR THE YEAR ENDING 31st MARCH 2016 TO 2020
Equities & MAR MAR MAR MAR MAR

Liabilities 2020 2019 2018 2017 2016
Share Capital 239.93 239.93 239.93 239.93 240.66
Reserves & 45,024.52 41,169.13 37,860.63 36,399.74 32,741.82

Surplus
Current Liabilities 15,706.43 17,339.62 19,864.32 17,887.02 13,143.96
Other Liabilities 7,281.58 5,945.13 6,337.92 6,883.55 9,403.83
Total Liabilities 68,252.46 64,693.81 64,302.80 61,410.24 55,530.27
Assets
Fixed Assets 17,585.79 17,291.92 15,711.10 14,940.33 12,412.96
Current Assets 31,654.16 31,069.19 31,635.90 32,953.65 29,941.30
Other Assets 19,012.51 16,332.70 16,955.80 13,516.26 13,176.01
Total Assets 68,252.46 64,693.81 64,302.80 61,410.24 55,530.27
Other Info
Contingent 7,799.58 9,316.47 9,388.43 7,954.48 5,070.76

113
Equities & MAR MAR MAR MAR MAR

Liabilities 2020 2019 2018 2017 2016
Liabilities

114
INCOME STATEMENT FOR THE YEAR ENDING 31st MARCH 2016 TO

2020
Annual MAR MAR MAR MAR MAR

2020 2019 2018 2017 2016
Sales 32,837.50 29,065.91 26,415.54 31,308.14 28,487.03
Other Income 635.98 1,025.49 838.76 623.15 658.25
Total Income 33,473.48 30,091.40 27,254.30 31,931.29 29,145.28
Total Expenditure 28,161.16 25,725.95 23,257.75 22,483.62 22,051.41
EBIT 5,312.32 4,365.45 3,996.55 9,447.67 7,093.87
Interest 302.73 555.25 517.57 399.80 523.24
Tax 822.80 600.88 845.19 1,211.57 913.77
Net Profit 4,186.79 3,209.32 2,633.79 7,836.30 5,656.86

115
CASH FLOW STATEMENT FOR THE YEAR ENDING 31st MARCH 2016 TO
2020
Annual Mar 2020 Mar 2019 Mar 2018 Mar 2017 Mar 2016
Operating 6,554.77 2,196.45 3,907.15 7,082.21 6,685.86

Activities
Investing -2,588.84 -681.25 -3,370.81 -4,221.60 -4,371.59

Activities
Financing -5,715.14 -2,730.52 -1,539.26 -2,285.39 -1,888.53

Activities
Others 363.52 371.17 267.01 35.45 422.46
Net Cash -1,385.69 -844.15 -735.91

610.67 848.20
Flow
KEY FINANCIAL RATIOS FOR THE YEAR ENDING 31st MARCH 2016 TO
2020

116
KEY FINANCIAL RATIOS MAR MAR MAR MAR MAR

(in Rs. Cr.) 20 19 18 17 16
PER SHARE RATIOS
Basic EPS (Rs.) 13.40 3.40 1.30 -0.10 -4.50
Diluted EPS (Rs.) 13.40 3.40 1.30 -0.10 -4.50
Cash EPS (Rs.) 15.72 5.71 3.30 1.66 -2.53
Book Value 101.68 95.21 93.04 87.58 89.27

[ExclRevalReserve]/Share
(Rs.)
Book Value 101.68 95.21 93.04 87.58 89.27

[InclRevalReserve]/Share
(Rs.)
Dividend / Share (Rs.) 4.00 2.75 2.00 3.50 1.00
Revenue from 52.23 42.94 37.54 32.03 31.64

Operations/Share (Rs.)
PBDIT/Share (Rs.) 17.60 12.62 8.78 2.62 -0.01
PBIT/Share (Rs.) 15.26 10.31 6.75 0.86 -1.94
PBT/Share (Rs.) 13.56 3.00 1.17 -0.07 -4.44
Net Profit/Share (Rs.) 13.38 3.40 1.27 -0.10 -4.46
PROFITABILITY RATIOS

117
PBDIT Margin (%) 33.69 29.38 23.38 8.18 -0.04
PBIT Margin (%) 29.21 24.01 17.97 2.69 -6.13
PBT Margin (%) 25.95 6.98 3.11 -0.21 -14.02
Net Profit Margin (%) 25.62 7.92 3.39 -0.29 -14.09
Return on Net-worth / Equity 13.16 3.57 1.36 -0.10 -4.99

(%)
Return on Capital Employed 13.45 10.12 6.68 0.90 -4.23

(%)
Return on Assets (%) 8.36 2.16 0.83 -0.06 -3.13
Total Debt/Equity (X) 0.24 0.26 0.30 0.23 0.26
Asset Turnover Ratio (%) 32.62 27.31 24.47 22.68 22.27
LIQUIDITY RATIOS
Current Ratio (X) 1.07 0.84 0.76 0.58 0.60
Quick Ratio (X) 0.83 0.63 0.59 0.37 0.36
Inventory Turnover Ratio (X) 4.76 3.69 4.22 3.33 3.57
Dividend Pay-out Ratio (NP) 42.94 58.67 261.00 - -22.42

(%) 1,053.7
6
Dividend Pay-out Ratio (CP) 36.55 34.98 100.61 60.25 -39.49

(%)

118
Earnings Retention Ratio (%) 57.06 41.33 -161.00 1,153.7 122.42

6
Cash Earnings Retention 63.45 65.02 -0.61 39.75 139.49

Ratio (%)
VALUATION RATIOS
Enterprise Value (Cr.) 89,610. 120,496 125,484 169,644 202,70

59 .23 .55 .26 2.44
EV/Net Operating Revenue 7.15 11.70 13.93 22.08 26.62

(X)
EV/EBITDA (X) 21.22 39.80 59.58 269.68 -

64,146.
34
Market-Cap/Net Operating 6.74 11.16 13.20 21.47 25.90

Revenue (X)
Retention Ratios (%) 57.05 41.32 -161.00 1,153.7 122.42

6
Price/BV (X) 3.46 5.03 5.32 7.85 9.18
Price/Net Operating Revenue 6.74 11.16 13.20 21.47 25.90
Earnings Yield 0.04 0.01 0.00 0.00 -0.01
Mankind Pharma CSR Activities

119
Supporting different NGOs in their missions
Providing medical assistance by organizing camps and distributing free medicines
Organizing awareness programs for the benefit, security and welfare of people from
all age groups.

120
Enacting green initiatives to preserve nature
“For the Society, By the Society”

1. Shiksha
Being one of the responsible pharma manufacturing companies, Mankind believes

that spreading awareness about a particular disease will further improve the health
card of our nation. Hence, we started Project Shikha wherein a team of volunteers was
entrusted to spread awareness in villages and cities about communicable diseases, the
importance of hygiene, and providing first aid in a medical emergency.
2. Nanhe
Kadam
Children are most

vulnerable to diseases.
Through Na nhe
Kadam, we
endeavour to educate
families and children about the importance of good hygiene and empower them with
better health and education. Nanhe Kadam aims to make our society more inclusive
by focusing on issues related to homelessness, deprivation, and drug abuse among
children while enabling community support services.
3. Nari Abhgyata

121
Under Nari Abhgyata, our employees volunteer to spread awareness about the various
health problems faced by the women of our society. We partner with NGOs and
societies dedicated to the welfare of women and strive to help women get rid of the
health problems that affect them the most. Nari Abhgyata focuses on AIDS, Breast
Cancer, Pregnancy Care, Menopause and Health Care regime at different stages of
life. Doctors accompany the volunteers to provide necessary medical counsel.
4. Jan Jagrukta
Jan Jagrukta is designed to promote numeracy and literacy among all age groups. It
also focuses on health programs for the elderly that are coordinated through different
old age homes in Delhi. Jan Jagrukta also spreads awareness about the importance of
preserving the environment and natural resources and conducts various educational and
healthcare programs.
5. Encampment
Mankind organizes BMD camps throughout India to make people aware of Bone
Mineral Deficiency. We also make arrangements for a Mobile Clinic that visits
different slum areas every month to provide medical assistance. Voluntary blood
donation camps are conducted within our office premises to help patients in need of
blood transfusion.

122
Mankind Pharma’s CSR policy helps ensure that we reach our goals by:
 Donation to CM relief fund of various states to manage coronavirus pandemic.
 Contributed Rs. 5crore to the families of Policemen who die fighting the
COVID-19.
 Supported the Real Life Heros in these times by offering financial aid of Rs. 1
lac for doing noble work.
 Helped the stranded migrant workers in collaboration with NGO (TYCIA) by

providing transport & cash relief.

123

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125

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7\\\\\\i8Report On

In partial fulfilment of the requirements for the award of the degree of

Under the guidance of

RNS Institute of Technology

Signature of Internal Guide Signature of Head of Department

Signature of Internal Examiner Signature of External Examiner

I, hereby declare that this Organization Study conducted at MANKIND

Place: Bengaluru Signature of Student

I wish to express my profound gratitude to the management and administrative team

I also express my sincere thanks to Dr. U Bhojanna, Head of Department, MBA

It is my foremost duty to express my wholehearted thanks to my guide Prof. Ajit V.

Place: Bengaluru MEGHA M. HEGADE

CHAPTERS PARTICULERS PAGE NO.

1 INTRODUCTION ABOUT INDUSTRY 1-5

3. MICKINSEY’S 7S FRAMEWORK, 29-42

4. SWOT ANLYSIS 48-50

5. ANALYSIS OF FINANCIAL 51-55

6. LEARNING EXPERIENCE 56-57

They have a strong market presence in Antibiotics, Antifungal, Gastrointestinal,

INTRODUCTION ABOUT INDUSTRY AND INDUSTRY PROFILE

India gained independence in 1947, domestic or indigenous pharma industry was

Mankind’s journey began in 1995 with only 53 Medical Representatives and

Dept. of MBA, RNSIT, Bengaluru.

Mankind Pharma Limited is an unlisted public company. It was incorporated on 03

Description: The company manufactures pharmaceutical products.

Products & Services: Antibiotic, Antifungal, NSAIDs, Gastrointestinal, Anthelmintic,

Mankind Pharma Brand Analysis

Parent Company: Mankind

Category : Personal care and pharma

Sector : Pharma and Healthcare

Tagline/ Slogan : Mankind serving life

USP : One of the fastest growing companies through aggressive

Mankind Pharma STP

Mankind Pharma Segmentation : Medicines, OTC and FMCG products

Mankind Pharma Positioning : Company whose mission is to support a healthy

Dept. of MBA, RNSIT, Bengaluru.

Mankind Pharma’s mission is to improve the quality of life, to continue to be

Dept. of MBA, RNSIT, Bengaluru.

“Commitment towards good quality products”

Dept. of MBA, RNSIT, Bengaluru.

Our motto of 'Serving Life' encompasses 3 major pillars:

 Quality: Mankind’s unending commitment to quality has made it the most

 Availability: India has a large share of rural population and their medical

Dept. of MBA, RNSIT, Bengaluru.

2.1 COMPANY BACKGROUND

Mankind Pharma is an Indian pharmaceutical company, based at New Delhi, India.

Mankind Pharma was formed in 1991. It started working as a fully integrated

Mankind’s journey began in 1995 with only 53 Medical Representatives and

Dept. of MBA, RNSIT, Bengaluru.

Dept. of MBA, RNSIT, Bengaluru.

2.2 NATURE OF BUSINESS

Mankind Pharma was formed in 1991. It started working as a fully integrated

Mankind Pharma has 21 state-of-the-art manufacturing facilities in various areas like

Dept. of MBA, RNSIT, Bengaluru.

Mankind is committed to making medicines accessible to all people. Availability:

2.3 VISION, MISSION AND QUALITY POLICY

To be a global pharmaceutical company, most admired for its Affordability, Quality

They provide pharmaceutical products across different geographic regions.

They provide cost-effective and innovative healthcare solutions.