Introduction

What Is Management :

Management is the art of making effective use of resources to achieve goals. It

concerns planning, coordinating and implementing all aspects of an organization’s

operation in a manner which fulfils the organization’s aims. In other words, once a

museum identifies its purpose, good management helps to achieve it. As different

processes are needed to achieve various aims, we tend to discuss management practices

in terms of particular functions.

Why an organization should practice management:

Management is the sole of an organization. An organization can’t run without

management. Management is necessary in every steps of an organization. Management

Practice is using managerial process to run an organization. Every organization has a goal

& objective, management set this goal and it says how an organization can achieve this

goal. The basic operations of an organization (Planning, Organizing, Staffing, Leading

and Controlling) are performed by different levels of managers. So we can say that every

organization should practice management in proper way.

Here we discuss about the management practice of Beximco Pharmaceuticals

Limited.

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Profile of Beximco Pharmaceuticals Limited

Company Name: Beximco Pharmaceuticals Limited (BPL)

Date of Establishment: 1976 (Start operation in 1980)

Organization Structure: Tall Structure

Address: 19 Dhanmondi R/A, Road No. 7, Dhaka 1205, Bangladesh.

Vision: “We Are Building a Healthier Tomorrow”

Mother Company: Beximco Group

Data Interpretation of BPL:

Beximco Pharmaceuticals Ltd (BPL) is a leading manufacturer of pharmaceutical

formulations and Active Pharmaceutical Ingredients (APIs) in Bangladesh. The company

is the largest exporter of pharmaceuticals in the country and its state-of-the-art

manufacturing facilities are certified by global regulatory bodies of Australia, Gulf

nations, Brazil, among others. The company is consistently building upon its portfolio

and currently producing more than 400 products in different dosage forms covering

broader therapeutic categories which include antibiotics, antihypertensive, anti-diabetics,

anti asthma inhalers etc, among many others.

BPL decades of contract manufacturing experience with global MNCs, skilled

manpower and proven formulation capabilities, the company has been building a visible

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and growing presence across the continents offering high quality generics at the most

affordable cost.

Ensuring access to quality medicines is the powerful aspiration that

motivates more than 3000 employees of the organization, and each of them is guided by

the same moral and social responsibilities the company values most.

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Organization Structure of BPL:

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Chairman

Vice-Chairman

Director DirectorDirector DirectorDirectorDirectorDirectorDirector

CEO

Chief Financial Officer

Chief Operating Officer

Director, Sales

Director, Int. Marketing

Director, Manufacturing

GM

Senior Manager

Different Duties Performed by the Executives of BPL:

Different jobs are performed by different groups of people. One can’t do every

thing. We know there are different skills in different level of management. These skills

are:

Technical Skill

Human Skill

Conceptual Skill

Design Skill

Technical skill is very essential for operation level executives. The director of

manufacturing should have some technical skills. S/he should know about the raw

chemicals, the production process and other things related to production. The other top

executives also have some technical skills, but it is too low.

Human skill is very important for the middle and first level managers. The Int.

Marketing Director, Sales Director, GM, Senior Managers should have this skill. These

people are always working with field officers, different clients and some time with

workers. So they should have the ability to communicate with people.

Conceptual skill is important for top and middle level managers. It means the

ability to see the “Big Picture”. Top level people should able to see future. In future

what is the position of BPL is set by the Directors, CEO and GM of this company.

Design skill is very essential for top management. The Chairman, Vice-chairman,

Directors and CEO can able to solve the problems without hampering any group. They

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can take have the skill that prevent the problems. This group of management must have

a skill of good design engineering in working out a practical solution to a problem.

The Planning Process of Beximco

Pharmaceuticals Limited

Different types of planning sets by BPL:

Every organization must have a plan and this plan is created through a process.

BPL also has many plans for their different operation. BPL divides its plans in different

types.

Purpose or mission

Objectives & goals

Strategies

Policies

Budget

Different time period of planning

The purpose or mission is the basic task of BPL. The main mission of BPL is

making profit by producing pharmaceutical formulations and Active Pharmaceutical

Ingredients (APIs). So they set plans to accomplish their main mission.

The objective & goal of BPL is accomplished their mission and doing the other

tasks like staffing, organizing leading & controlling. For this reasons they set their plans

to gain their objectives.

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BPL set its plan by determining its strategies. How much resources they have and

how they use it properly is a big issue for planning. So they evaluating their resources

and its allocation before set a plan.

Every organization has a policy. BPL set its plan by maintaining its policies. They

make their policies that how a plan can create, who can create a plan or what is the range

of planning.

Budget is the biggest issue for planning. Before setting plans BPL check its

budget. They always try to make balance between budget and plans.

BPL divides its plans in different time period. They make short term, mid term

and long term plans. For different tasks BPL takes these different plans. Their short term

plans took one day to one year, mid term plans took one year to five or ten years and long

term plans take ten to twenty years.

The steps in planning followed by BPL:

Aware of opportunities

Establishing objectives

Developing Premises

Determining alternative courses

Evaluating alternative courses

Selecting a course

Formulating derivative plans

Numerating plans

There is so many opportunities are come when a plan want to set. So BPL should

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always aware about these opportunities. It can evaluate the opportunities and select the

best one.

After that BPL establish its objectives. It declares the objectives to the employees

of this whole enterprise. The employees are mentally prepared for achieve the objectives

set by the top management of BPL.

Then BPL is determining the alternative courses. They examine the alternative

ideas from many other opportunities, specially the plans those not immediately apparent.

Every plan has more than one alternative, if the plan has no alternative it is wrong.

After determining alternatives, BPL evaluating the alternatives. Here BPL

examines their strong and the weak points. Then match it with the alternatives and their

objectives. They evaluate these alternatives in a logical process.

After evaluating BPL select the best idea as a plan. It is the point of real decision

making for the management of BPL. Here they examine their opportunities, threats,

weakness and strength, then make a final decision.

After making a decision BPL design some plans that support the basic plan. Here

they evaluate the characteristics the basic plan and make decisions that fulfil the error of

the main plan and make it more logical & practical.

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The Objectives of Beximco Pharmaceuticals

Limited

Every organization has an objective that the achievement the goals, set by the top

level management of the organization. There are different sub objectives that are

accomplished by the different level of management.

A Hierarchy of Objective of BPL:

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The Objective Setting Process of BPL:

There are two types of objectives. One is verifiable and other is non-verifiable.

BPL always use verifiable objective. In verifiable objective all plans are very specified by

the management. BPL uses this method because it can create a clear concept about the

decision to the employee and they can prepare themselves to fulfil the objectives.

BPL & MBO:

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Socio economics purpose

Chairman, Vice-chairman, Directors

Mission

Overall objectives of the organization

CEO, CFO & other top level managers

GM, Director: Marketing, Director: Sales, Director: Manufacturing, COO

More specific overall objectives

Division Objectives

Department & unit objective

Individual objectives performance personal development objective

Senior managers & other lower level managers

MBO is a comprehensive managerial system that integrates many key managerial

activities in a systematic manner and that is consciously directed towards the effective

and efficient achievement of organization and individual objective. So BPL always tries

to perform their managerial activities through objectives, means they set objectives first

and then practically apply it through managerial activities.

The Strategies & Policies of Beximco

Pharmaceuticals Limited

Strategies & polices are very essential for planning. A plan is depending on the

strategies & policies of an enterprise. So BPL set its strategies & policies very carefully.

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BPL thinks strategies are determining the purpose and basic ling run objectives and the

adoption of course of action and allocation of resources necessary to achieve its aims.

Policies are general statement or understanding that guides the managers of BPL in

decision making purposes.

The Strategic Planning Process Followed by BPL:

Inputs

Industry analysis

Enterprise profile

Orientation of top managers

Purpose and major objectives

External environment

Internal environment

Development of alternative strategies

Evaluation & choice of strategies

Medium and short range planning, implementation & control

Consistency and contingency

In strategic planning process the first thing is input. Here BPL inputs different raw

data like the basic goals & objectives, their mission, vision and the basic aim of BPL.

Here BPL also inputs the organization structure.

The next step for strategic planning process is industry analysis. In this step BPL

segment the market in different parts. Then they evaluate the each segment’s

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attractiveness. Then they analysis the different threads and opportunities. They try to

gather information about the potential buyers, suppliers, substitute product and

competitive firms. In a word in this step BPL analyse the whole industry whether it will

perfect for them or not.

After analysing industry BPL make their enterprise profile. In this profile they

show their mission, vision & objectives.

The enterprise profile is shaped by the executives. So they must know how to get

the success, what kind of task they should do, how to do and when to do. For these

reasons top management gives some instructions to the executives.

Then BPL sets the purpose and major objectives. It is the end points toward which

the activities of BPL are directed.

Here BPL evaluates the external environment that they shall face in future and

now. The external environments are economic, social political, legal, demographic,

geographic and so on. The present and external future environment must be assessed in

term of threats and opportunities.

Like external environment BPL also evaluates the internal environment that they

shall face in future and present. The external environments are human resource, financial

sources, production level, product or service quality, cost of raw materials, availability of

raw materials etc.

Then BPL develops the alternative strategies. They set these alternative strategies

by evaluating the internal and external environments. They evaluate the threats,

opportunities, strong and weak points of the environments.

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After that BPL carefully evaluate various strategies then select one or more

strategy for this organization. The strategic choice must be considered in light of the risks

involved in a particular decision.

Then BPL makes sure the implementation and control of medium and short range

planning. For this reason they consider the all phases of the process.

The last key aspect of BPL strategic planning process is consistency and

contingency. During all phases of strategic planning process consistency testing is

essential for BPL.

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