Corporate Culture

A study of Pakistans Pharmaceutical Industry

by Javeria Tariq Kiran Shaukat Noureen Mushtaq

Corporate Culture in Pharmaceutical Industry of Pakistan

Corporate Culture with Reference to Corporate Governance

Corporate Governance

Corporate Culture

Corporate governance refers to the set of systems, principles and processes by which a company is governed

A blend of the values, beliefs, taboos, symbols, rituals and myths all companies develop over time

Value Value

Corporate Governance

Value

Value

The unit of corporate governance is Value. Value is the principle or standard that defines the Importance, Worthiness and meaningfulness

Value system made for?

A value based system is developed for regular and routine activities as well as for the unexpected and uncommon events and happenings as well so that no one is left without a proper value-based guideline and directions

Mistakes while struggling for good Corporate Culture?

Value Based Corporate culture

In order to establish a value based system, organizations often commit mistakes: copying value systems of other successful organizations Dont go for adaptation they implement it as it is Dont get quality results They do not appreciate and encourage thinking and initiating But a value based organization always promote thinking That is why their successful system is based on valuable suggestions

Value Generation

It is all about conducting business with Value For stakeholders (ranging from Directors to society)

Ideal Corporate Culture

In Short Corporate culture, with refernce to Corporate Governance should be such that , it can help the business to run its operations in a manner that will add value to the conduct of company

Corporate Culture can be Based on:

Mission Statement Beliefs Norms Values Owners Mindset

Written or Spoken
Anything Governing peoples minds

BUSINESS and Corporate Culture

Possibilities

Culture can be Changed, Modified or improved as per needed Tools can be used for this purpose Pre-requisits are to initially Understand and being able to Define your Corporate Culture
Note:

Whatever as a company think, but one thing should be made clear that Corporate Culture is what will define how ones business will go for achieving the level of Excellency and success

Defining Corporate Culture by answering following questions

Who are we? What do we believe in? What inspires us? Where are we going? Why we want to go there? What is the Importance of getting there?

Principles underlying Corporate Governance :

Integerity & Fairness

Flowing Information

Thought Proking

Accountability

Responsibilty

Ethics

Respect

Recognition

Law Concerns

Marketing / Corporate Governance Marketing is all about identifying, generating and conveying value to the stakeholders. By this continuous flow of value, a value based system is developed where everyone is recognized and valued. This is Corporate governed Culture where Value flows from the Value Stream, starting from within the organization

Creating Value

Incorporating Value

Conveying Value

Corporate Governance And Marketing

Benefits of Good governed Corporate:

Reputation

Good will
Good Corporate Culture

Trust

Confidence

Loyalty

Corporate Culture in Pakistan

Lack of funds. High competitive markets Human turnover.

Lack of infrastructure. Proper Systems. Less Education among masses Cultural factors

Pakistan
Economical elements Uncertain national environment Instability in Political conditions etc Majority of Shares owned by Owners Dominancy of Owners in Important decisions etc

Why are we Discussing?

Minority shareholders and stakeholders are just treated as ordinary employees and not appreciated by their performance Performance is affected as managers get best for themselves on the cost of others This all give rise to corporate sins Sloth, Greed and fear

Why are we Discussing?

Purposeof this discussion: To convey the importance To see beyond the Miyopic vision To promote Value based system in Pakistan To stimulate Potential entrants to start with system and values To discourage the money making essence of business

Why are we Discussing?

Corporate culture, in essence, comes down to the way you do things in your company. In reality though, its so much more than that. Corporate Culture reflects the values and beliefs that are prevailing and promoted in the members of an organization whether in the form of projects are coordinated or meetings are held. In Zaidi Traders, the approach has been adopted to let employees respect human beings and must not degrade any post or any level work. While in Ds pahrma, through a proper system employees have been restricted ethically from stealing etc

Adding Value

Without Value
Credit :Mr. Abid Masood Sandhu.

With Value

Where are we going?

Corporate Governance at Corporate Culture in Pharmaceutical Industry of Pakistan

Why are we Discussing?

Companies are not only competing for customers and revenue, they are competing on the basis of how they treat their employees and what they represent

Profile of Pharmaceutical Industry in Pakistan:

Most Vibrant and Forward looking industry There are approximately 800 participating organization in pharmaceutical industry There 400 pharmaceutical manufacturing units Industry meets around 70% of the country's demand of Finished Medicine share market is almost evenly divided between the Nationals and the Multinationals. the majority industry is following Good Manufacturing Practices (GMP) Pakistan is a developing pharmaceutical market

Zaidi Traders

DS Pharma

Top 10 pharmaceutical brands in Pakistan include:

Chas.A.Mendoza, Karachi Wilshire Labs/Horizon Pharmaceuticals Getz Pharma Searle Pakistan Limited Herbion

Remington Pharmaceuticals Barrett Hodgson Pakistan Nucleus Pharmaceuticals (Pvt) Limited Macter International Limited AGP Pharmaceuticals

Nature of Players in Industry:

Manufacturers Importers

Franchisers
Distributors Retailers, Medical Stores, Companys Outlets etc

Illustrated Supply Chain Management:

Whole sellers Manufacturer

Retailers

Importer

Distributing Company

Franchiser

Medical Stores or Chemists etc

Nature of Operations:

At Zaidi Traders
Beside distribution of products on behalf yet independently of other companies, it is also providing different services and producing products provided at the doorsteps of the Patients also.

At DS Pharma
Distribution of products by purchasing those products and providing them to the final customers through other forward distributing channels

According to CEO of the company Mr. Syed Masood Akhtar Zaidi when I had established my organization, it was me as a CEO and as a Peon representing a dedicated culture fo the organization as well

As a business leader, you must explicitly support and reinforce your values and corporate culture with your actions and behavior. This is the major challenge faced by the Managing Director, Muhammad Jahangir.R.Rajput of DS Pharma. Pakistan.

Dealing Product line and Companies:

DS Pharma:
Himont Pharmaceuticals (pvt) Ltd Himont (JSK Enterprises) Nabiqasm (pvt) Ltd Siza International Scilife Pharma Dynatis Division Indus Pharma (pvt) Ltd Indus Pharma Brookes Pharma Pharma Health Mass Pharma (Pvt) GT Pharma (pvt) Ltd Bio-Labs (pvt) Ltd Azron Pharma Azron Labs Cosmo Pharm

Pharma International (JSK) Chemifar International Novamed Pharmaceuticals Angelini Pakistan Maq Pharma Health Rise ( Pharma Health) Pharma Health (JSK Enterprises) Epla Labs (pvt) Ltd Pearl Venture Pharma Webros Pharmaceuticals Genera Pharma Uni-Pharma (pvt) Ltd Neucon Pharma

Zaidi Traders:
Roche Pakistan Ltd BF Biosciences Lund Beck Pvt Ltd ETDC/Biotest Germany Mission Pharma Novo Nordisk Pharma Pvt Ltd Sanofi Aventis

Similar activities At Both Companies

Warehousing and Inventory Management

Major Activites

Cool Chain Management

Contract based

Distribution

Distinctive services, which are available at Zaidi Traders

 Diagnostic Products; Roche manufactured Products Near Patient Testing:

Reflotron Reagents, Accessories & Equipments Accutrend System Coaguchek System Urinalysis Cardiac Markers and Accessories Electrolyte Analyzers Glucose Meters Glucose Strips Urine Strips Etc

Specific Products Available

Diabetic Care Accessories (on demand):

Basic Requirements:
Doctors Prescription Personal details including name, contact no. and desired dispatch address Advance Payment in the form of Pay Order, Demand Draft or Bank Deposit

Hospital Equipments
Following types of Hospital Equipments are also provided:

Scanning Equipments Monitory Equipments Laboratory Equipments Surgical Equipments

Scanning Equipments
(New and Used both can be provided on demand): X-ray Ultrasound Dolpper

Monitory Equipments
(New and Used both can be provided on demand): ECG EIT Patient Monitors

Laboratory Equipments
Chemistry Analyzer Hemoglobin Analyzer Electrolyte Analyzer Coagulation Analyzer

Surgical Equipment
Surgical equipment and disposables are provided on demand Zaidi Trader has also started Compounding and customized product development

Clinical Pharmacy Services are also provided

Extract of Discussion/ Conclusion:

A value based system must be developed so that regular and routine activities carry out in a proper manner. Good corporate governance specifies the distribution of rights and responsibilities It also spells out the rules and procedures for making decisions on corporate affairs. It provides the structure through which company focuses are set. In this way a more value based, integrated and cooperative environment can be initiated and prevailed throughout the society. But unfortunately, corporate governance often becomes the centre of discussion only after the exposure of a large scam.

Recommendations:

Suggestions: Company should incorporate a value based system The vision and goals should be communicate properly so that everyone in organization know where to ahead. Focus on Consensus: As Traci Fenton, founder and CEO of WorldBlu in Austin said : You have to decide what decision-

making method is going to work best for your company. I love working by consensus because I dont have all the answers.

Share Responsibility as Darren Paul co-founder of New York Citybased Night Agency said:

"We put a tremendous amount of responsibility on those we hire, and make sure that thats what theyre craving,

Recommendations:

Hire Wisely: Norm Brodsky, a longtime Inc. columnist and founder of CitiStorage in New York City, says that culture starts with hiring:

It takes almost a year to find out what people who work for you are like We hire people for their strengths and then manage them to fix their weaknesses
Companies can develop culture clubs, which are groups of employees who come together to talk about culture issues within their country or office and how to improve things. In short: If you have a strong culture, people will not only want to work for you, but they wont want to work for anyone else so its well worth the investment of money and time.

Good corporate governance is about 'intellectual honesty' and not just sticking to rules and regulations, capital flowed towards companies that practiced this type of good governance.

Mervyn King
(Chairman: King Report)

Hamdard University

Thank you for your times and Attentions