Management 360-Term Paper Submitted to: Mr. Arvind Gandhi Submitted By: 1. C. V. V. Veda Vyas (10207) 2. K. Chaitanya (10208) 3. Siva. Chebrolu (10209) 4. K. Deepak (10210) 5. Dibya Ranjan. B (10211) 6. Reena Julie (10212) Vignana Jyothi Institute of Management mmmMmmManagement Management 360-Term Paper Indian Pharma Industry and Corporate Social Responsibility Contents: Introduction:4 Industry Trends:4 Challenges:4 Government Initiatives:5 Pharma Export:5 Corporate Social Responsibility-Meaning:5
Key Players in Indian Pharmaceutical Industry:6 Ranbaxy Laboratories Limited:6 Introduction:6 Mission and Vision:7 Opportunities:8 Ranbaxy’s Corporate Social Responsibilities:8 Community Health Care:8 Environment:9 Dr. Reddy’s Laboratories:10 Company Profile10 Chronology10 Dr. Reddy’s Corporate Social Responsibility Activities11 Corn’bytes (Sweet Corn Vending):11 Livelihoods – Agro based Livelihood Initiatives:12 Naandi foundation:12 The Power of 10™:12 Rashtra Chenetha Jana Samakhya:13 Residential Bridge Courses:13 Life at your Doorstep:13
Cipla Pharmaceutical Company13 Company profile:13 History:14 Major Achievements of Cipla:14 CSR activities of Cipla15 . Cipla Palliative Care Centre15 Home Visits:15 Nicholas Piramal India Ltd. 16 Company Profile:16 Major Awards and Achievements:16 Core Values:17 CSR activities of Nicholas Piramal India Ltd. 17 Helpyourbody:17 GDL-Piramal Foundation:17 Glaxo Smithkline (GSK)18 Company Profile:18 Recent Developments:18 CSR activities of Glaxo Smithkline (GSK)19 CSR in India:19 Their core value:20 What they do:20 Future Scenario21
Recommendations22 Bibliography22 Introduction: The pharmaceutical industry in India is among the most highly organized sectors. This industry plays an important role in promoting and sustaining development in the field of global medicine. Due to the presence of low cost manufacturing facilities, educated and skilled manpower and cheap labor force among others, the industry is set to scale new heights in the fields of production, development, manufacturing and research. In 2008, the domestic pharma market in India was expected to be US$ 10. 6 billion and this is likely to increase at a compound annual growth rate of 9. 9 per cent until 2010 and subsequently at 9. 5 per cent till the year 2015. Industry Trends: * The pharma industry generally grows at about 1. 5-1. 6 times the Gross Domestic Product growth * Globally, India ranks third in terms of manufacturing pharma products by volume * The Indian pharmaceutical industry is expected to grow at a rate of 9. 9 % till 2010 and after that 9. 5 % till 2015 * In 2007-08, India exported drugs worth US$7. billion in to the US and Europe followed by Central and Eastern Europe, Africa and Latin America * The Indian vaccine market which was worth US$665 million in 2007-08 is growing at a rate of more than 20% * The retail pharmaceutical market in India is expected to cross US$ 12-13 billion by 2012 * The Indian drug and pharmaceuticals segment received foreign direct investment to the tune of US$ 1. 43 billion from April 2000 to December 2008 Challenges: Every industry has its own sets of advantages and disadvantages under which they have to work; the pharmaceutical industry is no exception to this.
Some of the challenges the industry faces are: * Regulatory obstacles * Lack of proper infrastructure * Lack of qualified professionals * Expensive research equipments * Lack of academic collaboration * Underdeveloped molecular discovery program Government Initiatives: The government of India has undertaken several including policy initiatives and tax breaks for the growth of the pharmaceutical business in India. Some of the measures adopted are: * Pharmaceutical units are eligible for weighted tax reduction at 150% for the research and development expenditure obtained. Two new schemes namely, New Millennium Indian Technology Leadership Initiative and the Drugs and Pharmaceuticals Research Program have been launched by the Government. * The Government is contemplating the creation of SRV or special purpose vehicles with an insurance cover to be used for funding new drug research. * The Department of Pharmaceuticals is mulling the creation of drug research facilities which can be used by private companies for research work on rent. Pharma Export: In the recent years, despite the slowdown witnessed in the global economy, exports from the pharmaceutical industry in India have shown good buoyancy in growth.
Export has become an important driving force for growth in this industry with more than 50 % revenue coming from the overseas markets. For the financial year 2008-09 the export of drugs is estimated to be $8. 25 billion as per the Pharmaceutical Export Council of India, which is an organization, set up by the Government of India. A survey undertaken by FICCI, the oldest industry chamber in India has predicted 16% growth in the export of India’s pharmaceutical growth during 2009-2010. Corporate Social Responsibility-Meaning:
In the 1990s, when one spoke of Corporate Social Responsibility, it was very quickly concluded to be donations. It was understood to be a philanthropic gesture which the organizations undertook as their responsibility towards the society. In this context, Corporate Social Responsibility CSR or Corporate Citizenship had different implications for different companies. For some companies, CSR could largely mean compliance and altruism. Many others would observe it as a more strategic framework that took into account a company’s relationships and overall impact on the society.
Companies also have a way of practicing CSR internally within the organization for their employees and associates. In the twenty first century, however, companies have been generating innovative ideas and methods to incorporate social responsibility in congruence with organizational goals. To implement these social goals, the companies are partnering with the government and the Non-Government Organizations (NGOs). With increased competitiveness in the private sector, it is critical for an organization to leverage its social activities in order to gain a competitive advantage.
The increased credibility and goodwill earned from the customers and associates is an invaluable intangible asset for the organization. An example is of the pharmaceutical industry, where it becomes imperative to either collaborate with NGOs or with the government to be able to reach out to a large population and provide medicines to the needy at affordable prices. This sector has strict price controls and regulations by the government. Therefore, only by partnering with the government, hospitals and the society can the company introduce drugs at affordable prices for distributive justice.
The conception of corporate social responsibility (CSR) is inimitably coupled to a country’s identity in which it primarily operates and therefore, the resulting policies and programs of CSR are inherently tied to the distinct social, political and economic systems in which the company operates. Key Players in Indian Pharmaceutical Industry: There are several national and international pharmaceutical companies that operate in India. Most of the country’s requirements for pharmaceutical products are met by these companies. Some of them are briefly described below: Ranbaxy Laboratories Limited:
Introduction: The Ranbaxy is a pharmaceutical company which was incorporated in 1961 in India. It’s a public sector company. Ranbaxy Research Foundation was established in 1985. Production start-up at the modern APIs plant at Toansa in Punjab, make the country’s largest manufacture of antibiotics. This plant gets US FDA approval in 1988. Ranbaxy was granted its first US patent, for Doxycyline. Ranbaxy enters in to an agreement with ELL LILlY & Co of USA for setting up joint venture in India. Company enters into an agreement to set up a joint venture in china in 1993.
Ranbaxy enucleates mission to become a Research based International Company. The new Research Center at Gurgaon. The company established Regional Headquarters in UK and US. Acquisition of Ohm Laboratories, a manufacturing facility in US. Inaugurations of FDA approved, state-of the new manufacturing wings, at Ranbaxy’s US subsidiary Ohm laboratories. Ranbaxy Laboratories Ltd crosses a sales turnover of Rs10000 million, with its export reaching an all time high of Rs 5000 million in 1997. In 1998 Ranbaxy enters USA, world’s largest pharmaceuticals, with product under its own name.
Ranbaxy Laboratories Limited (Ranbaxy), India’s largest pharmaceutical company, is an integrated, research based, international pharmaceutical company, producing a wide range of quality, affordable generic medicines, trusted by healthcare professionals and patients across geographies. Ranbaxy today has a presence in 23 of the top 25 pharmaceutical markets of the world. The Company has a global footprint in 46 countries, world-class manufacturing facilities in 7 countries. In June 2008, Ranbaxy entered into an alliance with one of the largest Japanese innovator companies, Daiichi Sankyo Company Ltd. to create an innovator and generic pharmaceutical powerhouse. The combined entity now ranks among the top 20 pharmaceutical companies, globally. The transformational deal will place Ranbaxy in a higher growth trajectory and it will emerge stronger in terms of its global reach and in its capabilities in drug development and manufacturing. Mission and Vision: Ranbaxy’s mission is ‘To become a Research-based International Pharmaceutical Company’. The Company is driven by its vision to ‘Achieve significant business in proprietary prescription products by 2012 with a strong presence in developed markets’.
World Wide Operations: Global Pharma Companies are experiencing an ever changing landscape ripe with challenges and opportunities. In this challenging environment Ranbaxy is enhancing its reach leveraging its competitive advantages to become a top global player. Ranbaxy’s global footprint extends to 46 countries embracing different locales and cultures to form a family of 50 nationalities with an intellectual pool of some of the best minds in the world. Opportunities: The global spread of Ranbaxy and the blazing growth in business provides ample opportunities for our employees to build careers in various fields.
Opportunities have never been a constraint for the deserving. We believe in employee growth that goes beyond vertical movements and change in designations. Potential and performance are the pillars of career progression at Ranbaxy. A robust development process supports this. Our managers will generally have the opportunity to live and work in different countries; such international experience will help them better understand our complex business and grow both personally and professionally. Ranbaxy’s Corporate Social Responsibilities: Community Health Care:
Corporate Social Commitment and Public Service is deeply embedded into the cultural fabric of Ranbaxy. Over the years serious efforts have been directed towards making a meaningful contribution in uplifting and transforming the lives of the underprivileged. The Company is also extremely conscious of its duty and responsibility towards the environment. We continue to make sincere efforts to promote good health, social development and better environment, through various Company programs that contribute to sustainable, all round growth.
In 1978, in the wake of the grim health scenario in India, Ranbaxy realised the urgency to reach out to the underprivileged sections of society that had little or no access to basic healthcare. The Company took a conscious decision to contribute towards the national objective “Health For All”. Towards this end, the “Ranbaxy Rural Development Trust” was set up and the first well equipped mobile healthcare van was introduced, in certain underserved areas of Punjab.
As the programme grew, the Ranbaxy Community Healthcare Society (RCHS), an independent body, was created. RCHS is devoted to the health of the disadvantaged. Today, multiple well equipped mobile healthcare vans and an urban family welfare centre, run by Ranbaxy, benefit over 2 lakh people, in identified areas in the State of Punjab, Haryana, Himachal Pradesh, Madhya Pradesh and Delhi. The programmed was based on a maternal child health, family planning, reproductive health, adolescent health, health education including AIDS awareness.
Ranbaxy has also dovetailed its CSR efforts in a manner that is synchronous with the larger health goals of the State and Central Government. RCHS continues to work actively on critical issues related to HIV/AIDS, tuberculosis, malaria, polio, non communicable chronic diseases and female foeticide. In 2009, RCHS continued its partnership with the Voluntary Health Association of Punjab for the project on Reproductive Child Health (RCH), in the districts of Nawanshahar and Fatehgarh Sahib, in Punjab and achieved the targets set under the RCH-II plan, of the Government of
India. Ranbaxy Science: Ranbaxy Laboratories Limited incorporated Ranbaxy Research Foundation in 1985 and was later reconstituted as a separate society as Ranbaxy Science Foundation and registered under the Societies Act in May 1994. with an implicit mission of giving instituted impetus to research activity and help in reviving India’s great scientific tradition. The Foundation Ranbaxy Research Awards to recognize original outstanding contributions in the fields of Medical and Pharmaceutical Sciences.
Every year the Foundation invites nominations for 4 awards – 3 Awards for Rs. 1,00,000/- each in the fields of Medical Sciences in Basic. Applied and Clinical and 1 Awards of Rs. 1,00,000/- in the field of Ranbaxy Science foundation (RSF) is a non profit organization dedicated to promote scientific endeavors in the country by encouraging and rewarding and channeling national and international knowledge and expertise on subjects connected with treatment of diseases afflicting mankind.
To achieve these objectives, the Foundation conducts Round Table Conferences on topics concerning public health and symposia on topics at the cutting edge of research in medical sciences to explore the latest in the selected area of specialty and its potential application for the benefit of mankind. Environment: Ranbaxy is fully committed to achieve Environment, Health ; Safety (EHS) excellence and conduct its activities in the most responsible manner. Over the years, importance of EHS has been stressed and extensively promoted a corporate culture within Ranbaxy.
It is also clearly reflected and well defined into Ranbaxy’s value statements of “Managing our operations with high concern for safety and environment” and “Be as a responsible corporate citizen”. Thinking and working responsibly so that the employees, the community at large, and the environment including the natural resources, are protected leaving minimal environmental footprints, is integral to Ranbaxy’s EHS philosophy. On the road to EHS excellence, Ranbaxy has adopted a top down approach and embraced the principles and codes of best EHS practices into its redefined world class EHS Management System. Dr.
Reddy’s Laboratories: Company Profile Established in 1984, Dr. Reddy’s Laboratories (NYSE: RDY) is an emerging global pharmaceutical company. As a fully integrated pharmaceutical company, and their purpose is to provide affordable and innovative medicines through their three core businesses. Pharmaceutical Services and Active Ingredients, comprising our Active Pharmaceuticals and Custom Pharmaceuticals businesses, Global Generics, which includes branded and unbranded generics, and Proprietary Products, which includes New Chemical Entities (NCEs), Differentiated Formulations, and Generic Biopharmaceuticals.
Dr. Reddy Labs products are marketed globally, with a focus on India, US, Europe and Russia. Dr. Reddy’s conducts NCE research in the areas of metabolic disorders, Cardiovascular Indications, anti-in fectives, and inflammation. Our strong portfolio of businesses, geographies and products gives us an edge in an increasingly competitive global market and allows us to provide affordable medication to people across the world, regardless of geographic and socio-economic barriers. Chronology 1984: Dr. Anji Reddy founds Dr.
Reddy’s Laboratories, based on a bulk actives business he had founded in the 1970s, in order to extend into the production of drug formulations. 1986: Dr. Reddy’s goes public on the Bombay stock exchange. 1988: The Company acquires Benzex Laboratories in order to expand the bulk actives business. 1992: Dr. Reddy’s Research Foundation is founded as part of the strategy to enter drug development. 1994: The Company opens a subsidiary in the United States. 1995: The Company files its first patent for an in-house developed drug. 1999: The Company acquires American Remedies Ltd. 000: The Company acquires Cheminor Drugs Limited and becomes the third largest Indian drug company. 2001: The Company lists shares on the New York Stock Exchange; a new research and development facility opens in Atlanta, Georgia. 2002: The Company acquires BMS Laboratories Ltd. and its marketing and distribution subsidiary Meridian Healthcare Ltd. in the United Kingdom. 2003: The Company gains tentative approval to market generic versions of Serzone, developed by Bristol Myers Squibb. Dr. Reddy’s Corporate Social Responsibility Activities Corn’bytes (Sweet Corn Vending):
Corn’bytes, an exclusive micro entrepreneurship development project for the partially handicapped aspirants has been conceptualized by the DRF with partnership DRDA. The aim of the project is to create a convenient micro entrepreneurial option for those disabled and looking for sustainable income generating. Through a psychometric test, DRF team identified 25 partially handicapped youth with entrepreneurial traits and trained them necessary technical and business skills which include market scenario, business etiquette, hygiene, customer relations, product knowledge and preparation/mixing, kiosk management, etc.
Besides that DRF has taken the responsibility of handholding all these entrepreneurs for at least one business cycle including facilitation of both the backward and forward linkages. Livelihoods – Agro based Livelihood Initiatives: Agro Facilitation CenterDRF in partnership with Rane Industries as financial partners shall set up a facilitation center at Pregnapur, Village, with multiple partnerships for knowledge dissemination like IIIT and ICRISAT who will be knowledge partners. The partnership will operate these centers with full fledged project management team which will act as catalyst between the networked agencies and farmers.
The Agro Facilitation Centre is to provide cutting edge technologies to farmers; provide a centre for all agricultural and rural developmental information and knowledge, networking the rural community with Input and Output Agencies along with the additional value added services like Health, Education, e-governance etc for the development of community. Naandi foundation: Being a discovery-led company, Dr Reddy’s Laboratories Ltd. recognizes and upholds the need to support innovation-driven enterprises – enterprises that create breakthroughs, not only in laLife . Research .
Hope – Driven by this spirit, the company, led by the Chairman, Dr K Anji Reddy, called upon similar-minded corporate and created a new social platform, a not-for-profit development organization that could showcase not only to India but the international community as well, the depth of corporate will in shouldering the responsibility of finding solutions to long-pending social development problems of the country. The company has defined ‘corporate giving’ by coming forward to donate unconditionally to Naandi’s social initiative programs through the Power of 10™.
The Power of 10™: The Power of 10™ is a mechanism created by Naandi that allows everyone to do their bit for the society, even if it is donating Rs 10 every month towards a cause. And leading the way, we are proud to say, have been the company’s factory workers. They give generously to the Power of 10™ , which is channelized by Naandi into its education project, popularly known as the ‘Support Our Schools’ program, aimed at improving the quality of education in over 2000 government schools.
To encourage this culture of giving showcased by its employees, Dr. Reddy’s too makes a contribution to the Power of 10™ that matches the contributions made by the employees. Dr. Reddy’s has become a model that is being emulated by more and more corporates, institutions, and individuals thereby enabling Naandi to become the platform that allows for an interface between civil society and the underprivileged. For employees who want to do more, Naandi offers several windows of opportunities to give back to the society. Rashtra Chenetha Jana Samakhya:
DRF signed an MoU with Rashtra Chenetha Jana Samakhya, a handloom weavers’ union based at Chirala (AP), under which DRF will provide funding for the development of a loom that will reduce the strain on a weaver. The International Institute of Information Technology, Hyderabad, has been co-opted as the technological partner in the project. Residential Bridge Courses: Under the government-supported Sarva Siksha Abhiyan, DRF also conducted a Residential Bridge Course for out of- school children and those engaged in child labour. 01 boys and 67 girls have been mainstreamed into formal education and housed in government welfare hostels. To ensure their continued education, DRF has launched a ‘hostel support program’, which includes a dedicated hostel volunteer and tutors to coach them to enhance their educational standards. Life at your Doorstep: Dr. Reddy’s Foundation for Health Education introduced two patient education initiatives in the past year. Life at Your Doorstep, a palliative care program, is focused on providing relief to chronically and terminally ill patients through pain and symptom management and by counseling the family.
A team consisting of a doctor, nurse and patient counselor visits the patient at home. Since the program’s launch in January 2008, Life at your Doorstep has reached out to 56 patients. Cipla Pharmaceutical Company Company profile: Cipla is 2nd largest pharmaceutical company in India in terms of retail sales. Cipla manufactures an extensive range of pharmaceutical & personal care products and has presence in over 170 countries across the world. Cipla’s product range includes Pharmaceuticals, Animal Health Care Products, OTC, Bulk Drugs, Flavors ; Fragrances, and Agrochemicals.
Cipla also provides a host of consulting services such as preparation of product and material specifications, evaluation of existing production facilities to meet GMP, definition of appropriate plant, size and technology. History: Khwaja Abdul Hamied, the founder of Cipla, was born on October 31, 1898. The fire of nationalism was kindled in him when he was 15 as he witnessed a wanton act of colonial highhandedness. The fire was to blaze within him right through his life. In 1935, he set up The Chemical, Industrial ; Pharmaceutical Laboratories, which came to be popularly known as Cipla.
He gave the company all his patent and proprietary formulas for several drugs and medicines, without charging any royalty. On August 17, 1935, Cipla was registered as a public limited company with an authorized capital of Rs 6 lakhs. Cipla was officially opened on September 22, 1937 when the first products were ready for the market. The Sunday Standard wrote: “The birth of Cipla which was launched into the world by Dr K A Hamied will be a red letter day in the annals of Bombay Industries.
The first city in India can now boast of a concern, which will supersede all existing firms in the magnitude of its operations. India has lagged behind in the march of science but she is now awakening from her lethargy. The new company has mapped out an ambitious programme and with intelligent direction and skillful production bids fair to establish a great reputation in the East. ” Major Achievements of Cipla: * Manufactured ampicillin for the first time in India Lauched etoposide, a breakthrough in cancer chemotherapy, in association with Indian Institute of Chemical Technology * Launches transparent Rotahaler, the world’s first such dry powder inhaler device * Launches transparent Rotahaler, the world’s first such dry powder inhaler device * Became the first company, outside the USA and Europe to launch CFC-free inhalers CSR activities of Cipla As in the past, Cipla has made a special effort to produce this report at a low cost, without compromising its quality or contents leading to a saving of Rs. 4 lakhs. This amount is being donated to the Cipla Cancer and AIDS Foundation/Cipla Public Charitable Trust . Cipla Palliative Care Centre The Palliative Care and Training Centre, Pune was set up in 1997 by the Cipla Cancer and AIDS Foundation. Over the decade, the Cipla Centre has cared for 5000 patients and their families. It has been following a unique family model of care, where a family member is trained to look after the patient with confidence at home. Palliative care provides relief from symptoms caused by a disease or its treatment.
It aims to improve the quality of a patient’s life and provides support to the patient and family during and after the treatment. Palliative care has a role to play right from diagnosis till bereavement and beyond. The Centre adopts a holistic approach, treating the person as a whole. It involves symptom and pain management, cares for mental and emotional health, and caters to spiritual needs. Cipla Palliative Care Centre started the day care centre in its second year. It serves to meet the needs of patients who have returned home and have come for follow-up visits Home Visits: 1.
The Centre has home care teams which meet patients at home and train relatives in palliative care. Each team, comprising of a doctor, a nurse, a social worker and a volunteer, caters to patients within a radius of 60 km of the Centre 2. An ambulance donated by Rotary International covers this distance. This experience of a home visit helps us understand facets of the patients better-like psycho-social background, relationships and more. 3. Though there is always a dearth of personnel who can go on these home care visits, generous volunteers have helped the service gain momentum.
Nicholas Piramal India Ltd. Company Profile: Nicolas Piramal is the second largest pharmaceutical healthcare company in India. The brands manufactured by the company include Gardenal, Ismo, Stemetil, Rejoint, Supradyn, Phensedyl and Haemaccel. Nicholas Piramal has entered into join ventures and alliances with several international corporations like Cheissi, Italy; IVAX Corp; UK, F. Hoffmann-La Roche Ltd. , Allergan Inc. , USA etc. Piramal Enterprises was founded in 1933 & was dealing with Textile Business till 1984.
In 1984 it acquired a small glass company Gujarat Glass. It Acquired Nicholas Laboratories in 1988, Acquired Roche Products India Ltd in 1993, Acquired Sumitra Pharmaceutical & Chemicals in 1995, And Acquired Boehringer Mannhiem India Ltd in 1997. Now, it is the Merger of three companies (Nicholas Piramal, Roche Products & Boehringer Mannhiem) in 1997-1998. It is a company which has reputed for its ethics, transparency, corporate culture, stakeholder relationship, contribution to society and growth. It is prized by its employees for its work ethics and HR practices.
A strong culture of brand building at Piramal Healthcare and their unmatched sales and marketing coverage has seen 13 of their power brands make it to amongst the top 300 in the Indian pharmaceutical market. Major Awards and Achievements: * Primal health care is listed in the – * S&P Global Challenger’s List of 2006. * Forbes ‘Best Under A Billion’ List of 2003 and 2004. * Forbes 2005 List o ‘Best Small Asian Companies’. * Piramal Healthcare grew from rank 48 to amongst the top 5 pharmaceutical companies in India in just20 years. Piramal Healthcare was the only pharmaceutical company to have a representation on the Scientific Advisory Committee to the Prime Minister of India. * Mr. Ajay Piramal, Chairman, was awarded the ‘Ernst & Young Entrepreneur of the Year’ Award in 2003 and ‘Entrepreneur of the Year Award’ by UK Trade ; Investment in 2006 and CEO of the Year by World Strategy Forum in 1999. * He is the only Indian member of the Governors’ Forum on Healthcare in the World Economic Forum. * The World Economic Forum in 1996 selected him as the “Global Leader of Tomorrow”.
Core Values: * Gyan Yoga – the principle of knowledge and intellect. * Karma Yoga – the principle of action and entrepreneurial spirit. * Bhakti Yoga – the principle of care and compassion. CSR activities of Nicholas Piramal India Ltd. Helpyourbody: Mumbai-based leading research and diagnostics firm, Piramal Healthcare (formerly known as Nicholas Piramal India) as a part of its CSR, has taken a huge social initiative against chronic diseases through its campaign titled ‘helpyourbody. ‘ It is a nationwide crusade against chronic diseases.
The company has developed a website, www. helpyourbody. in which was officially launched by former President of India, Dr APJ Abdul Kalam in the presence of public figures who have lent their support to the campaign. The respective dignitaries include Member of Parliament and social activist Priya Dutt, filmmaker Mahesh Bhatt, columnist and writer Shobhaa De. GDL-Piramal Foundation: In partnership with Indicorps, the Piramal Foundation has established a Grassroots Development Laboratory (GDL) in the village of Bagar, Rajasthan.
As part of our commitment to preparing India’s emerging generation for leadership, the foundation continues to support and grow “Dreaming of an Indian Awakening”, an early-stage effort to build critical thinking skills and a stronger knowledge base on issues related to the country and its progress. DIA organizes world-class art exhibitions, performances, film showings, lectures and seminars; DIA seeks to encourage young Indians to embark on a constructive endeavor moving India towards a brighter future. Glaxo Smithkline (GSK) Company Profile:
GlaxoSmithKline plc often abbreviated to GSK, is a global pharmaceutical, which was founded in 1904 in New Zealand. It manufactures products in pharmacy sector, its products include biologics, vaccines and consumer healthcare company headquartered in London, United Kingdom. It is the world’s third largest pharmaceutical company measured by revenues (after Johnson & Johnson and Pfizer). It has its operations in 11 countries, including the UK and the US. It employs over 100,000 people and it is focused on four main areas of health, including anti-invectives, central nervous system, and the development of vaccines.
It also produces over-the-counter products including medicines and oral care products, many of which are market leaders Its primary listing is on the London Stock Exchange and it is a constituent of the FTSE 100 Index. It has a secondary listing on the New York Stock Exchange. Recent Developments: 1. In 2001, it completed its purchase of New Jersey-based Block Drug. 2. On November 16, 2009 the US Food and Drug Administration (FDA) announced that a vaccine for 2009 H1N1 influenza protection (manufactured by GSK’s ID Biomedical Corp. subsidiary) would join the four vaccines approved on September 15. 3.
In June 2010, the company acquired Laboratories Phoenix, an Argentine pharmaceutical company focused on the development, marketing and sale of branded generic products, for a cash consideration of approximately $253m. The company has a perfect planning. The company is continuously striving to invent new medicines as it invests huge amounts in the R;D activities Major R;D sites in Greenford, Stevenage, Harlow, Ware and Beckenham in the United Kingdom; Verona, Italy; Zagreb, Croatia; Evreux, Les Ulis, France; Research Triangle Park, North Carolina; Laval, Quebec and Upper Merion and Collegeville, Pennsylvania.
CSR activities of Glaxo Smithkline (GSK) The company’s mission is to improve the quality of human life by enabling people to do more, feel better and live longer. The company is involved in various development initiatives all over the globe. The company’s flagship community programme is its key role in the global alliance to eliminate lymphatic filariasis, one of the most disfiguring and disabling disease prevalent in the world today. In India too, the company has been committed to social and health related activities since 1977.
The company has initiated various development programmes by building effective partnerships with local NGOs, governments and communities. These initiatives are implemented through coordinated projects on urban community development, rural development, disaster relief, workplace initiatives and medical fraternity initiatives. GAVS, a Trust promoted for the development of rural masses Gramin Arogya Vikas Sanstha (GAVS) is a registered public trust promoted by Glaxo in April 1997. The Trust operates in three needy, predominantly tribal villages, 55 kms away from GSK’s factory at Nashik.
The Trust aims at fulfilling basic healthcare, education and other developmental needs of the villagers. The company believes that through their business they make a valuable contribution to society by developing and marketing medicines, which improve people’s lives. The company’s philosophy is to target support to selected programs that are innovative, sustainable and which produce tangible results. CSR in India: The company follows the rationale that is linked closely to the communities in which they operate- locally, nationally or globally.
It cannot exist in isolation. All the actions are focused around this feeling of being centered. Their stated mission statement is “To lend a helping hand to the underserved in our society through the support of women, children and the aged in the areas of health and education. ” Implementing this philosophy in spirit, They make a positive contribution to the communities in which they operate, and invest in health and education programs and partnerships that aim to bring sustainable improvements to underserved people. Their core value:
Being a premier pharmaceutical company in the country, GSK’s core value is to be a good corporate citizen. It is committed to the communities in which it works. Support to the community through charitable initiatives is the way through which it invests in society. Being proactive in improving the environment, Participating and contributing actively for Tribal welfare. The company’s initiatives are primarily focused towards women, children and the aged and are directed in the areas of Health and Education. They believe that these areas are related and of direct concern to GSK.
If there is proper education, one will eventually learn to be hygienic, and if one is hygienic, will one remain healthy. The organization facilitates in educating masses on good practices of healthy living. At GlaxoSmithKline India, the activities towards community development are attached to the Corporate Communications Department. Since 1970, the Company has been implementing various social responsibility activities apart from statutory ones. The following Community Development activities are carried out through the company’s Corporate Social Responsibility Department situated at its Head Office in Mumbai.
What they do: They provide money, medicines, time and equipment to non-profit organizations to help improve health and education in underserved communities. They focus on programs that are ‘innovative, sustainable and bring real benefits to those most in need’. The main CSR activities of the company include: * Help during natural calamities like earthquakes, floods, etc. * Women empotheyrment and upliftment, fighting for their rights and against domestic violence due to dowry demands * Services to an orphanage or an elderly home * Providing medical care * Educational support for children theylfare An attempt to save environmental degradation * Fighting the declining wildlife In GSK, they have segregated their CSR function into two distinct categories—one rural and the other urban. In the rural parts of the country, volunteers from the company visit people to provide medical care and vocational training. The company operates through three centres spread over 15 villages and covering 30,000 people. In urban India, they have an AIDS helpline in place. They also provide support to the rag picker community in Mumbai’s Deonar dumping ground. GSK also is a part of the mid-day meal scheme for balwadis.
Future Scenario With several companies slated to make investments in India, the future scenario of the pharmaceutical industry in looks pretty promising. The country’s pharmaceutical industry has tremendous potential of growth considering all the projects that are in the pipeline. Some of the future initiatives are: * According to a study by FICCI-Ernst ; Young India will open a probable US$ 8 billion market for MNCs selling expensive drugs by 2015 * The study also says that the domestic pharma market is likely to reach US$ 20 billion by 2015 * The Minister of Commerce estimates that US$ 6. 1 billion will be invested in the domestic pharmaceutical sector * Public spending on healthcare is likely to raise from 7 per cent of GDP in 2007 to 13 per cent of GDP by 2015 * Dr Reddy’s Laboratories has tied up with GlaxoSmithKline to develop and market generics and formulations in upcoming markets overseas * Lupin, a Mumbai based pharmaceutical company is looking to tap opportunities of about US$ 200 million in the US oral contraceptives market * Due to the low cost of R&D, the Indian pharmaceutical off-shoring industry is designated to turn out to be a US$ 2. billion opportunity by 2012 Recommendations * Pharmaceutical companies must work to expand their notions of CSR, while striving to better evaluate and improve the impact their businesses have on human development. * Companies must also continue to embrace the cultural paradigms of the surrounding nation state in order to better address the long term needs of both the immediate and global communities. * They should try to fund more for AIDS victims They should give more subsidies for people those who are below poverty line and suffering from severe diseases. Bibliography * http://business. mapsofindia. com/pharmaceutical/ * http://www. cipla. com/corporateprofile/palliative_booklet. pdf * http://www. karmayog. org/csr501to1000/csr501to1000_21288. htm * http://www. drreddys. com/index. html * http://www. gsk-india. com/ * http://en. wikipedia. org/wiki/Corporate_social_responsibility
