CHAPTER 1

HUMAN RESOURCE MANAGEMENT

Human resource is of paramount importance for the success of any organization. It

is a source of strength and aid. Human resource is the wealth of any organization which can help
in achieving its goals. Human resource management is concerned with human beings in an
organization. It reflects a new outlook which views organization‟s manpower as its resources and
assets. Human resource is the total knowledge, abilities, skills, talents and aptitudes of an
organization‟s workforce. The values, ethics, beliefs of the individuals working in an
organization also form a part of human resource. The resourcefulness of various categories of
people and other people available to the organization can be treated as human resources. In the
present complex environment, no business or organization can exist and grow without
appropriate human resource. So, human resource has become the focus of attention of every
progressive organization.

Human resource is a resource like any other natural resource. It means that
management can get and use the skill, knowledge, ability, etc. though the development of skills,
tapping and utilizing them again and again. Human resource management is that process of
management which develops and manages the human elements of an enterprise. It is not only the
management of skills but also the attitudes and aspirations of people. When individuals come to
a work place, they come with not only technical skills, knowledge, experience etc., but also with
their personal feelings, perception, desires, motives, attitudes, values etc. so Human resource
management means management of various aspects of human resource. An important element of
human resource management is the „human approach‟ while managing people. This approach
helps a manager to view his people as an important resource. It is an approach in which
manpower resources are developed not only to help the organization in achieving its goals but
also to the self satisfaction of the concerned persons on one hand, this approach focuses on
human resource development, and on the other hand it focuses on effective management of
people. HRM approach is a fundamental change in philosophy and perspective from the earlier

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thinking about manpower resources. It emphasizes the human aspect of individual workers and
their aspirations and needs.

DEFINITIONS OF HUMAN RESOURCE MANAGEMENT:

“Human resource management may be defined as a set of policies, practices and

programs designed to maximize both personal and organizational goals.”

“Human resource management is the planning, organizing, directing and controlling

of the procurement, development, compensation, integration, maintenance and reproduction of
human resources to the end that individual, organizational and societal objectives are
accomplished.”

-FLIPPO

“The process of bringing the people and organizations together so that goals of each
met efficiently and effectively.”

EVOLUTION OF HRM:

The early part of the century saw a concern for improved efficiency through careful
design of work. During the middle of the century, emphasis shifted to the employee productivity.
Recent decade has focused on increased concern for quality of working, total quality
management and worker‟s participation in management. These three phases may be termed as
welfare development and empowerment.

OBJECTIVES OF HRM:

The objectives of HRM may be as follows:

 To create and utilize an able and motivated workforce, to accomplish the basic
organizational goals.

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  To attain an effective utilization of human resources in the achievement of organizational
goals.
 To provide fair, acceptable and efficient leadership.
 To provide an opportunity for expression and voice in management.
 To create facilities and opportunities for individual or group development so as to match
it with the growth of the organization.
 To maintain high employee morale and sound human relations by sustaining and
improving the various conditions and facilities.
 To minimize the negative impact of sciatica demands upon the organization.
 To ensure compliance with legal and ethical standards.
 To increase employees job satisfaction to the fullest.
ACTIONS OF HUMAN RESOURCE MANAGEMENT:

 Conducting job analyses (determining the nature of each employee‟s job).

 Planning labour needs and recruiting job candidates.
 Selecting job candidates.
 Orienting and training new employees.
 Managing wages and salaries (compensating employees).
 Providing incentives and benefits.
 Appraising performance.
 Communicating (interviewing, counseling, disciplining).
 Training and developing managers.
 Building employee commitment.
SCOPE OF HRM:

According to Dale Yoder, the scope of human resource management is very

wide. It consists of the following activities:

 Setting general and specific management policy for organizational relationships and
establishing and maintaining a suitable organization for leadership and cooperation.
 Collective bargaining, contract negotiation, contract administration and grievance
handling.
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 Staffing the organization, finding, getting and holding the prescribed types and number of
workers.
 Aiding in the self development of employees at all levels providing opportunities for
personal development and growth as well as for acquiring requisite skill and experience.
 Developing and maintaining motivation for workers by providing incentives.
 Reviewing and auditing manpower management in the organization.
 Industrial relations research carrying out studies designed to explain employee behavior
and there by effecting improvement in manpower management.

IMPORTANCE OF HRM

Human resource management is important to any organization in a number of ways,

 IMPORTANCE TOWARDS THE ORGANIZATION:

 Good human resource practices help in attracting and retaining the best people in the
organization.
 In order to make use of latest technology the appointment of right type of persons is
essential. Right people can fit into new jobs properly only if the management performs its
HR functions satisfactorily.
 Globalization has increased the size of the organizations thus employing thousands of
employees in different countries. The performance of any company on qualities of people
employed. This has further increased the importance of HRM.
 Human resource planning alerts the organization to the types of people it may need in the
short, medium and long run.

 IMPORTANCE TOWARDS THE EMPLOYEE:

The human aspect of organizations has become very important over the years.
HRM stresses on the motivation of employees by providing them various financial and
non-financial incentives.
 Right organizational climate is also stressed upon so that the achievement of the
organizational objectives.

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  Effective management of human resource promotes team work and team spirit among
employees.
 It offers excellent growth opportunities to people who have the potential to rise.

 IMPORTANCE TOWARDS SOCIETY:

Society as a whole is the main beneficiary of good human resource practices. Good
HR efforts lead to productivity gains (ratio of output to input) to the society, since it enables
managers to reduce costs, save scarce resources, enhance profits and offer better pay, benefits
and working conditions to employees.

FUNCTIONS OF HUMAN RESOURCE MANAGEMENT:

HRM functions are of two types:

HRM functions

Managerial functions
Operational functions
1. Planning
1. Procurement function
2. Organising
2. Development function
3 Staffing
3. Motivation function
4. Directing
4. Maintenance function
5. Controlling
5. Emerging function

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  MANAGERIALFUNCTIONS:
Managerial functions of personnel management involve planning, organizing, directing,
and controlling. All these functions influence the operative functions.

 PLANNING:

It is a pre-determined course of action planning is determination of personnel

programmes and changes in advance that will contribute to the organizational goals. In
other words, it involves planning of human resource, their requirements, recruitment,
selection, training, etc. It also involves forecasting of personnel needs, changing values,
attitudes and behavior of employees and their impact on organization.

 ORGANIZING
An organization is a means to an end. It is essential to carry out the determined course of
action. In the words of J.C.Massie, an organization is a “structure and process by which
cooperative group of human beings allocate tasks among its members, identifies relationships
and integrates its activities towards common objective. “Complex relationships exist between
the specialized departments and the general departments as many top managers are seeking
the advice of personnel manager. Thus, organization establishes relationships among the
employees so that they can collectively contribute to the attainment of company goals.

 STAFFING:
Staffing is the process of filling all positions in the organization with
adequate and qualified personnel. According to Koontz and O’Donnell, “the managerial
function of staffing involves manning the organizational structure through proper and effective

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selection, appraisal and development of personnel to fill the roles designed into the structure.”
Staffing consists of manpower planning, recruitment, selection, training, compensation,
integration and maintenance of employees. Staffing function has become important with growing
size of organization, technological advancement and recognition of the human factor in industry.

 DIRECTING:

The next logical function after completing planning and organizing is the
execution of the plan. The basic function of personnel management at any level is
motivating, commanding, leading and activating people. The willing and effective co-
operation of employees for the attainment of organizational goals is possible through proper
direction. Tapping the maximum potentialities of the people is possible through motivation
and command. Thus, direction is an important managerial function in building sound
industrial and human relations, besides securing employee contributions. Co-ordination deals
with the task of blending efforts in order to ensure successful attainment of an objective. The
personnel manager has to co-ordinate various managers at different levels as far as personnel
functions are concerned. Personnel management function should also be co-ordinate with
other functions of management like management of material, machine and money.

 CONTROLLING:
After planning, organizing and directing the various activities of
the personnel management, their performance is to be verified in order to know that the
personnel functions are performed in conformity with the plans and directions. Controlling
also involves checking, verifying and comparing of the actual with the plans, identification of
deviations, if any and correction of identified deviations. Thus, action and operation are
adjusted to pre-determined plans and are standard through control. Auditing training

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programs, analyzing labour turnover records, directing morale surveys, conducting separate
interviews are some of the means for controlling the personnel management function.
 OPERATIONAL FUNCTIONS:
The operative functions of human resource
management are related to specific activities of personnel management, viz., employment,
development, compensation and relations. All these functions are interacted by managerial
functions. Further these functions are to be performed in conjunction with management
functions as shown in figure.
EMPLOYMENT: It is the first operative function of HRM. Employment is
concerned with securing and employing the people possessing required kind and level of
human resource necessary to achieve the organizational objectives. It covers the functions
such as job analysis, human resource planning, recruitment, selection, placement,
induction and internal mobility.

a. JOB ANALYSIS: It is the process of study and collection of information relating

to the operations and responsibilities of a specific job. It includes:
 Collection of data, information, facts and ideas relating to various aspects of jobs
including men machines and materials.
 Preparation of job description, job specification, job requirements and employee
specification which will help in identifying the nature, levels and quantum of
human resource.
b. HUMAN RESOURCE PLANNING:
It is the process of determination and assuring that the organization will have
an adequate number of qualified persons, available at proper times, performing jobs
which would meet the needs of the organization and which would provide satisfaction
for the individuals involved.
 Estimation of present and future requirements and supply of human resource
based on objectives and long range plans of the organization.
 Calculation of next human resource requirements based on present inventory of
human resource.

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c. RECRUITMENT: It is the process of searching for prospective employees and
stimulating them to apply for jobs in an organization. it deals with:
 Identification of existing sources of applicants and developing them.
 Creation / identification of new sources of applicants.
 Stimulating the candidates to apply for jobs in the organization.
 Striking a balance between internal and external sources.

d. SELECTION:

It is the process of ascertaining the qualifications, experience, skill, knowledge

etc., of an applicant with a view to appraise his/her suitability to a job. This function
includes:
 Framing and developing application blanks.
 Creating and developing valid and reliable testing techniques.
 Formulating interviewing techniques.
 Setting up medical examination policy and procedure.
 Line managers‟ decision.
 Sending letters of appointment and rejection.

e. PLACEMENT:
It is the process of assigning the selected candidate with the most
suitable job in terms of job requirements. It is matching of employee specifications with
job requirements. This function includes:
 Counseling the functional managers regarding placement.
 Conducting follow-up study, appraising employee performance in order to
determine employee adjustment with the job.
 Correcting misplacements, if any.

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f. INDUCTION AND ORIENTATION:

Induction and orientation are the techniques by which a new employee is

rehabilitated in the changed surrounding and introduced to the practices, policies,
purposes and people etc., of the organization.
 Introduce the employee to the people with whom he or she has to work such as
peers, supervisor and subordinates.
 Mould the employee attitude by orienting him to the new working and social
environment.

1. HUMAN RESOURCE DEVELOPMENT:

It is the process of improving, moulding and changing the skills, knowledge,

creative ability, aptitude, attitude, values, commitment, etc. based on present and future
job and organizational requirements. This function includes:

a. PERFORMANCE APPRAISAL:
It is the systematic evaluation of individuals with respect to performance on
the job and their potential for development. It includes:
 Developing policies, procedures and techniques.
 Helping the functional managers.
 Evaluating the effectiveness of various programmes.
b. TRAINING: It is the process of imparting employees the technical and operating
skills and knowledge. It includes:
 Identification of training needs of the individuals and the company.
 Developing suitable training programmes.
 Evaluating the effectiveness of training programmes.
 Improving the knowledge and skills of employees.

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c. MANAGEMENT DEVELOPMENT:
It is the process of designing and conducting suitable executive development
programmes so as to develop the managerial and human relation skills of employees.
It includes:
 Identification of the area in which management development is needed.
 Conducting development programmes.
 Motivating the executives.

d. CAREER PLANNING AND DEVELOPMENT:

It is the planning of one‟s career and implementation of career by means of
education, training, job search and acquisition of work experiences. It includes internal
and external mobility.

INTERNAL MOBILITY: It includes vertical and horizontal movement of an

employee within an organization. It consists of transfer, promotion and demotion.

i. TRANSFER:
It is the process of placing employees in the same level jobs where
they can be utilized more effectively consistence with their potentialities and
needs of the employees and the organization. It also deals with:
 Developing transfer policies and procedures.
 Guiding employees and line management on transfers.

ii. PROMOTION:

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 It deals with upward reassignment given to an employee in the
organization to occupy higher position which commands better status and/or pay
keeping in view the human resources of the employees and the job requirements.
 Advising line management and employees on matters relating to
promotion.

iii. DEMOTION:
It deals with downward reassignment to an employee in the
organization.
 Advising the line management and employees on matters relating to
demotion.
 Develop equitable, fair and consistent demotion policies and procedures.

 It is a planned process designed to improve organizational effectiveness

and health through modifications in individual and group behavior, culture
and systems of the organization using knowledge and technology of
applied behavioral science.
2. COMPENSATION:

It is the process of providing adequate, equitable and fair remuneration to the

employees. It includes job evaluation, wage and salary administration, incentives, bonus,
fringe benefits, social security measures, etc.

a. JOB EVALUATION:
It is the process of determining relative worth of jobs:

 Select suitable job evaluation techniques.

 Classify jobs into various categories.
 Determining relative value of jobs in various categories.

b. WAGE AND SALARY ADMINISTRATION:

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 This is the process of developing and operating a suitable wage and salary
programme. It covers:
 Conducting wage and salary survey.
 Determining wage and salary rates based on various factors.
 Administering wage and salary programmes.
 Evaluating its effectiveness.

c. INCENTIVES:
It is the process of formulating, administering and reviewing the schemes of
financial incentives in addition to regular payment of wage and salary. It includes:
 Formulating incentive payment schemes.
 Helping functional managers on the operation.

d. FRINGE BENEFITS:

These are the benefits at the fringe of the wage. Management provides these
benefits to motivate employees and to meet their life‟s contingencies. These benefits
include,
 Disablement benefit.
 Housing facilities.
 Educational facilities.
 Canteen facilities.
 Re-creational facilities.
 Conveyance facilities.
 Credit facilities.
 Legal facilities.
 Medical, maternity and welfare facilities.
 Company stores.

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e. SOCIAL/SECURITY MEASURES:
Managements provide social security to their employees in addition to the fringe
benefits. These measures include:
 Workmen‟s compensation to those workers.
 Maternity benefits to women employees.
 Sick leave benefits and medical benefits.
 Disablement benefits.
 Dependant benefits.
 Retirement benefits.

3. HUMAN RELATIONS: Human relations are the process of interaction among

human beings. Human relations is an area of management which deals in integrating
people into work situation in a way that motivates them to work together productively,
co-operatively and with economic, psychological and social satisfaction. It includes:
 Understanding and applying the models of perception, personality, learning, intra
and inter personal relations, inter and intra group relations.
 Motivating the employees.
 Boosting employee morale.
 Developing communication skills and leadership skills.
 Improving quality of work life of employees.

4. EFFECTIVENESS OF HUMAN RESOURCE MANAGEMENT:

Effectiveness of various personnel programmes and practices can be measured or
evaluated by means of organizational health and human resource accounting.

a. ORGANIZATIONAL HEALTH: Organizational health may be studied

through the result of employee‟s contribution to the organization and the employee‟s
job satisfaction can be understood by labour turnover, absenteeism, commitment and
the like.

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 b. HUMAN RESOURCE ACCOUNTING: Effectiveness of human resource
management can also be found through human resource accounting, audit and
research.
i. HUMAN RESOURCE ACCOUNTING:
It is a measurement of the cost and value of human resources to the
organization. Human resource management is said to be effective if the value
and contribution of human resource to the organization is more than the cost
of human resources.
ii. HUMAN RESOURCE AUDIT:
Human resource audit refers to an examination and evaluation of policies,
procedures and practices to determine the effectiveness of HRM.
 Personal audit measures the effectiveness of personnel programmes and
practices.
 Determines what should or should not be done in future.
iii. HUMAN RESOURCE RESEARCH: It is the process of evaluating
the effectiveness of human resource policies and develop more appropriate
ones.
ROLE OF HR MANAGER:

The job of HR manager is that of a generalist, who has to administer and co-
ordinate the HR programmes cutting across the functional areas. HR manager usually, holds a
top ranking position at a plant or establishment and is expected to know about all areas of
management. He is, in fact, placed at the place of action. He has to oversee the implementation
of HR policies and advise the line manager on HR issues.

In this context another role of the HR manager can be to head a functional personnel
activity at the corporate level. Many large organizations are organized into relatively
autonomous and independent divisions. These firms have functional specialists at the corporate
level who develop the HR policies and transmit these policies to all the divisions. For example,
at the head office of the organization, there would develop a comprehensive plan based on
corporate objectives and commitments. The manager would then co-ordinate with the HR

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managers of different divisions to make sure that the plans at the divisional levels are consistent
with the corporate objectives.

CONCLUSION:

Human resource management plays a key role in any organization. Without

human resource management the organization cannot survive effectively. The human resource
management performs an identifiable set of activities that affect and influence the people who
work in the organization. These activities include Human Resource planning, job analysis,
recruitment, selection, placement, career management training, designing performance
assessment and compensation system, labour welfare and labour relations.

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 EMPLOYEE MOTIVATION

Employee motivation is the combination of fulfilling the employee's needs and

expectations from work and the workplace factors that enable employee motivation - or not.
These variables make motivating employees challenging

Employers understand that they need to provide a work environment that creates
motivation in people. But, many employers fail to understand the significance of motivation in
accomplishing their mission and vision. Even when they understand the importance of
motivation, they lack the skill and knowledge to provide a work environment that fosters
employee motivation.

Definitions:
“ Abraham Maslow” viewed motivation as being based off a hierarchy of needs, of
which a person cannot move to the next level of needs without satisfying the previous level.
Maslow‟s hierarchy starts at the lowest level of needs, basic physiological needs.

“Frederick Herzberg” developed the two-factor theory of motivation based on satisfiers

and dissatisfies. Satisfiers are motivators associated with job satisfaction while dissatisfies are
motivators associated with hygiene or maintenance

OBJECTIVES

Main Objectives of Employee Motivation are as follows:

1.The purpose of motivation is to create condition in which people are willing to work with zeal, initiative. interest,
and enthusiasm, with a high personal and group moral satisfaction with a sense of responsibility.
2. To increase loyalty against company.

3. For improve discipline and with pride and confidence in cohesive manner so that the goal of an organization are
achieved effectively.

4. Motivation techniques utilized to stimulate employee growth.

5. For the motivation you can buy man‟s time. Physical presence at a given place.

6.You can even buy a measured number of skilled muscular motions per hour or day.

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7. Performance results from the interaction of physical, financial and human resources.

IMPORTANCE OF EMPLOYEE MOTIVATION

1. The workforce will be better satisfied if the management provides them with opportunities to fulfil their
physiological and psychological needs. The workers will cooperate voluntarily with the management and will
contribute their maximum towards the goals of the enterprise.

2. Workers will tend to be as efficient as possible by improving upon their skills and knowledge so that they are
able to contribute to the progress of the organization. This will also result in increased productivity.

3. The rates of labour‟s turnover and absenteeism among the workers will be low.

4. There will be good human relations in the organization as friction among the workers themselves and between
the workers and the management will decrease.

5. The number of complaints and grievances will come down. Accident will also be low.

6. There will be increase in the quantity and quality of products. Wastage and scrap will bless. Better quality of
products will also increase the public image of the business.
Purpose:
Today people care more about what happens tomorrow, and want to contribute to ensuring the future of our
children, and the health of our communities and planet.

TYPES OF EMPLOYEE MOTIVATION

Understanding employee motivation is necessary to the success of a company. By knowing what
encourages an employee to do his or her job, a company will be able to implement different policies to increase the
performance of the workers. In order to understand employee motivation, one must realize that people are
different. This means that different things motivate different employees.

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  Achievement:
One type of employee motivation is achievement. In this type of employee motivation, the worker is
driven by the goal itself. This in a sense is like climbing a mountain because the mountain is there. Employers
often make use of this by presenting challenges to the employees. In making use of this type of employee
motivation employers often include incentives such as promotion or cash. However, for the employees, the
incentive is only a bonus to the achievement.

 Advancement:

For some employees, their motivation is the prospect of rising up in the ranks of the corporation. They
work hard in order to catch the eye of the boss and probably get a promotion. This type of employee motivation is
characterized by ambition. Of course, there are times when this type of employee motivation can be dangerous.

 Pressure:

Some employees work harder under pressure. This employee motivation is rarely manifested
consciously in a worker. It is often the case that an employee unknowingly piles pressure on him or her and this
pressure pushes them to work harder. Sometimes, pressure is used by and employee to see just how far he or she
would be able to go. However, this type of employee motivation can have some very negative results, considering
the fact that every person has a limit. In fact, it often ends up in a breakdown of some sort.
 Fear:
This is one of the most commonly used employee motivation techniques. Employees are often
threatened with termination if they fail to meet certain objectives. Of course, if an employee does not handle
pressure very well, this type of employee motivation technique could be detrimental to his or her work
performance.

FACTORS Of EMPLOYEE MOTIVATION:

 Communication:

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 Honest, frequent two-way communication between workers and managers,
including constructive discussion of workplace issues.

 Challenging and exciting work :

Ensure every employee has a challenge plan and is periodically asked to rate the
degree of job excitement.

 Opportunities:

Reward managers for developing their employees and make sure that employees
are held accountable for following through on their individual learning plans.

 Recognition and reward for performance:

Make it clear what the incentives are and reward fairly across all departments so
employees see the benefit of effort.

 Control over the job:

You've employed your staff to do a job, so let them do it. Trust people to be able to
shape the way they work and the projects they get involved in.

 Business Impact:

Provide employees with periodic reports on the effect their projects are having on the
business so they know their work makes a difference.

METHODS OF EMPLOYEE MOTIVATION:

 Creativity and Innovation:

At many companies, employees with creative ideas do not express them to

management for fear that their input will be ignored or ridiculed. Company approval and

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 toeing the company line have become so ingrained in some working environments that
both the employee and the organization suffer.

 Learning:
If employees are given the tools and the opportunities to accomplish more,
most will take on the challenge. Companies can motivate employees to achieve more by
committing to perpetual enhancement of employee skills.
 Quality of Life :

The number of hours worked each week by American workers is on the rise, and
many families have two adults working those increased hours. Under these
circumstances, many workers are left wondering how to meet the demands of their lives
beyond the workplace.

 Monetary Incentives:

For all the championing of alternative motivators, money still occupies a major
place in the mix of motivators. The sharing of a company's profits gives incentive to
employees to produce a quality product, perform a quality service, or improve the quality
of a process within the company.

 Other Incentives:

Study after study has found that the most effective motivators of workers are
nonmonetary. Monetary systems are insufficient motivators, in part because expectations
often exceed results and because disparity between salaries.

MOTIVATION CONCEPTS

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  Intrinsic motivation
Intrinsic motivation refers to motivation that is driven by an interest or
enjoyment in the task itself, and exists within the individual rather than relying on any external pressure.
Intrinsic motivation is based on taking pleasure in an activity rather working towards an external reward.

 Extrinsic motivation
Extrinsic motivation refers to the performance of an activity in order to attain an outcome, which then
contradicts intrinsic motivation. Extrinsic motivation comes from outside of the individual. Common
extrinsic motivations are rewards like money and grades, and threat of punishment. Competition is in
general extrinsic because it encourages the performer to win and beat others, not to enjoy the intrinsic
rewards of the activity. A crowd cheering on the individual and trophies are also extrinsic

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CHAPTER II
OBJECTIVES OF THE STUDY
 To study the important factors which are needed to motivate the employees.

 To study the effect of monetary and non-monetary benefits provided by the organization
on the employees performance.

 To study the effect of job promotions on employees.

 To learn the employee‟s satisfaction on the interpersonal relationship existing in the

organization.

 To provide the practical suggestions for the improvement of organization‟s performance.

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 SCOPE OF THE STUDY
 It is always essential for a concern to assess its strategies and reshapes its destiny.

 It is necessary for every organization to study the different aspects that affects the
organization development.

 Every study has a clear and specific scope.

 The scope of this study is limited to “AUROBINDO PHARMA “LTD.

 In this survey, the emphasis is on the “EMPLOYEE MOTIVATION”.

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 NEED OF THE STUDY
 Motivation is an important tool in the hands of the manager for inspiring the work force
and making them to do work with enthusiasm and willingness.

 If it is an important function of the management to motivate the people working in the

organization.

 The work assigned to them is effectively and efficiently.

 The management has to understand the human behaviour, it has to provide maximum
motivation to the personnel.

 Motivation is something that moves a person into action and continues him in the course
of action.

 The main of this study is to find out the employee motivation in “AUROBINDO
PHARMA LTD” HYDERABAD as motivation is an important factor.

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 LIMITATIONS OF THE STUDY:
 As the respondents were busy with their work it was difficult for the researcher to meet
the respondents and gain information.

 The study was limited to a short period only.

 The data depends totally on the respondent‟s view which may be beside.

 In this study the sample size is 50.

 The finding of the study cannot be applied to all other field since it locks external
validity.

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 METHODOLOGY OF THE STUDY
RESEARCH
Research is a scientific and systematic search for pertinent information on a
specific topic. In fact, research is an art of scientific investigation. It is an original
contribution to the existing stock of knowledge making for its advancement. It is the
pursuit of truth with the help of study, observation, comparison and experiment. In short,
the search for knowledge through objective and systematic method of finding solution to
a problem is research.
“All progress is born of inquiry. Doubt is often better than overconfidence,
for it leads to inquiry, and inquiry leads to invention” is a famous Hudson maxim in
context of which the significance of research can well be understood. Increased amounts
of research make progress possible. Research inculcates scientific and inductive thinking
and it promotes the development of logical habits of thinking and organization.

 RESEARCH METHODOLOGY:

Research methodology is a way to systematically solve the research

problem. It may be understood as a science of studying how research is done
scientifically. In it, we study the various steps that are generally adopted by a researcher
in studying his research problem along with the logic behind them. A descriptive research
methodology is used for his study.
 RESEARCH DESIGN:

A research design is the arrangement of conditions for collection and

analysis of data in a manner that aims to combine relevance to the research purpose with
economy in procedure. In fact, the research design is the conceptual structure within
which research is conducted; it constitutes the blueprint for the collection, measurement
and analysis of data.

27
  SAMPLE SURVEY:

All items in any field of inquiry constitute a „Universe‟ or „Population‟.

Since it is impossible to investigate each individual unit in the population, a sample is
used.

 SAMPLE DESIGN:
A sample design is a definite plane for obtaining a sample from a given
population. It refers to the technique or the procedure the researcher would adopt in selecting
items for the sample.

 COMPONENTS IN SAMPLE DESIGN:

 TYPE OF UNIVERSE:

 The first step in developing any sample design is to clearly define the set of objects,
technically called the Universe. The type of Universe in this study is Finite Universe
because the number of employees AUROBINDO PHARMA Ltd. in 1000

 SAMPLING UNIT:
A decision has to be taken concerning a sampling unit before selecting sample.
Sampling unit may be a geographical one such as state, district, village, etc., or a construction
unit such as house, flat, etc., or it may be a social unit such as family, club, school, etc., or it may
also be an individual. In this study the sampling unit is AUROBINDO PHARMA organization.
So, it is a social unit.

28
  SIZE OF SAMPLE:
This refers to the number of items to be selected from the universe to
constitute a sample. An optimum sample is one which fulfils the requirements of
efficiency, representativeness, reliability and flexibility. The size of the sample of this
study is 100.

 SAMPLING PROCEDURE:

Finally, the researcher must decide the technique to be used in selecting the
items for the sample. In this research a random sampling technique is used.
Random sampling is also known as „Probability sampling‟ or „Chance
sampling‟. Under this sampling design, every item of the universe has an equal chance of
inclusion in the sample. It is, so to say, a lottery method in which individual units are
picked up from the whole group not deliberately but by some mechanical process.
 METHODS OF DATA COLLECTION:

There are two types of data, namely

1. Primary Data
2. Secondary Data

To accomplish the study of objectives, both primary and secondary data are used.
 PRIMARY DATA:

The primary data is that which is collected afresh and for the first time, and thus
happen to be original in character. Primary data is collected with the help of
a. Observation Method
b. Interview Method
c. Questionnaire Method
d. Scheduling Method

29
 In this research, primary data is collected from employees through
questionnaire and observation.

 SECONDARY DATA:
The secondary data, on the other hand, is that which has
already been collected by someone else and which has already been passed through the
statistical process.
The secondary data is collected with the help of
a. Various publications of the central, state or local governments.
b. Various publications of foreign governments or of international bodies and their
subsidiary organizations.
c. Technical and trade journals.
d. Books, magazines and newspapers.
e. Report and publications of various associations connected with business and
industry, bank, stock exchanges, etc.
f. Reports prepared by research scholars, universities, economists, etc. in different
fields.
g. Public records and statistics, historical documents and other sources of published
information.

In this research secondary data is collected with the help of various reports and manuals
provided by the company, text books and both Indian and Foreign editions and through internet.

30
 INTRODUCTION OF PHARMACEUICAL INDUSTRY
At the beginning of the 20th century, the pharmaceutical manufacturing
industry consisted mostly of small and regional companies; only a few manufacturers,
such as Eli Lilly and squibb, had national presences. It was manufacturing prowess
rather than research that characterized the industry. Mahoney offered some facts that
place the lack of concentration and size in the American industry in perspective 3,512
firms failed between 1932 and 1934 at the height of the Great depression; in1939 no
single ethical drug manufacture had a sale volume for all 1,100 pharmaceutical
companies was $ 150million at the manufacturing level.

Era of Biological

The end of 19th century and beginning of 20th century saw the rise of biological
as an important part of the pharmaceutical industry. The discovery of some causative
agents of disease and the emerging science of bacteriology ushered in the era of
biological. In the last decade of the 19th century diphtheria and tetanus antitoxins were
pre pared in laboratories in France & Germany. Perhaps the most important product of
the period was ant-diphtheria serum; it was an effective therapy for one of the most
feared childhood diseases of the day. In1894 the H.K. Mul ford company established
the first biological laboratory in American in Philadelphia for the production of a
reliable antitoxin. By 1895 the new York City board of health Laboratories was
producing diphtheria antitoxin, as were health departments in other cities, including
those in St. Louis, Cincinnati, and Boston.

In 1901 tragedy struck in St. Louis when at least children died of tetanus after they
received contaminated diphtheria antitoxin that had been produced by the city’s
health department. Apparently, this situation was not unique. In Camden, N.J,
numerous cases of tetanus were reported in children in children who had been
vaccinated for smallpox, and isolated reports were received other American and
European cities. Ultimately, the need to regulated the interstate sale of viruses,
serums, toxins, and analogous products led the U.S. congress to pass the Biological
Control Act of 1920. President Theodore Roosevelt and Drug Act, placing the
production of biological produce under the control of the forerunner of today’s public
Health service. Parke-Davis & company and H.K. Mulford were among the first
companies to produce of biologics commercially. In 1902 park-Davis would receive the
first license to manufacture biologics and Malford the second. Ernst
JosephLederlresigned his position as director of the New York Health Department to
establish Elderly Antitoxin Lederle Antitoxin Laboratories in 1906, and biologics licenumber-

31
Food& Drug Act:
The food & drug law of 1906 was passed primarily to control problems in the food
production industry. The law was expanded to cover drugs when the government could no longer
ignore problem in the proprietary pharmaceutical industry. However, the law‟s requirements
only applied to interstate violations when a product was misbranded or adulterated. Harvey W
.Wiley‟s Bureau of Chemistry in the U.S. Department of Agriculture was given responsibility for
enforcing the Act. The Shirley Amendment of 1912 added the requirement that labels could not
contain any therapeutic statement “which is false and fraudulent”. The large, reputable national
companies with analytical laboratories were largely unaffected by the regulations and were, in
fact generally in favour of the regulations that were interested to curb abuses that discredited the
industry.

Federal Food, Drug and Cosmetic Act of 1938:

The food &Drug Administration was formed out of the predecessor Bureau of
Chemistry in 1931. In the fallowing years there were attempts to pass new legislation that would
plug the loopholes and strengthen the penalties of the 1906 act. However, these efforts received
little congressional support until another tragedy struck. Intending to introduce a liquid form of
sulfanilamide, Massengill, an old and respected firm, determined that diethlene glycol was a
satisfactory solvent. The company began selling Elixir of sulfanilamide without testing it, a
number of people, mostly children, died as a consequence of the solvent‟s toxicity.(Au: please
provide a reference for the information in this paragraph. Under the 1906 law Massengill could
only be prosecuted for mislabeling the product as an elixir, since it contained to alcohol. The
public outcry provided into interstate commerce. Importantly, it also establishes the requirement
for self-medication.

Research and Development:

The American pharmaceutical industry of the early 20th century was predominantly a
manufacturing industry. Individual companies started by serving a geographical region with an
assorted line of standard product are by championing a specific dosage from

Pharmaceutical manufacturers worked together and with the government on a number of projects
in support of the war effort. The two most notable examples were the production of dried plasma
and its constituents;

32
the industry was able to device techniques and equipped to produce millions of units of dried
plasma from blood collected by the American Red Cross.

By the end of the war the American Red Cross had collected more than 13 million pints of blood,
most of which was processed into dried plasma and packaged for military use. Thirteen
pharmaceutical companies (Abbott, Armour, Ben, Venue, cutter, Hyland, Lederle, Lilly, park-
Dives, Reichel, Sharp& Dohme, Squibb, Upjohn &Wyeth)were involved in processing dried
plasma and albumin for the military during the war Lilly alone processed more than two million
units of dried plasma. Penicillin was another triumph of team work. Initially research was
undertaken by a group of three coast companies (Merk, Pfizer and Squibb), but a group of
companies based in the Midwest (abbot, Lilly, park-Davis and Upjohn) quickly added their
efforts as did three companies unaffiliated with either group (Lederle, Reichel laboratories and
Hyden Chemical).In the 1043 total production was 425 million units and distribution was limited
to the military. In 1944 the war production Board signed contracts with six companies (Ben,
Venue, Chaplin, Commercial Slovene, Cutter, Sterling and Wyeth) to boost production and in
May the Board established a civilian distribution mechanism. In June 1945 alone, 646 billion
units were produced.

INDIAN PHARMACEUTICAL INDUSTRY

“The Indian pharmaceutical industry is a success story providing employment for million
and ensuring that essential drugs at affordable prices are available to the vast population of this
sub-continent.” _Richard Gerste

The Indian pharmaceutical industry currently tops the chart amongst India‟s science-
based industries with wide ranging capabilities in the complex filed of drug manufacture and
technology. A highly organized sector, the Indian pharmaceutical industry is established to be
wrath $4.5 billon, growing at about 8 to 9 percent annually. It ranks very high of medicines that
are manufactured. It ranges from simple headache pills to sophisticated antibiotics‟ and complex
cardiac compounds; almost every type of medicine is now made in the Indian pharmaceutical
industry.

33
 The Indian pharmaceutical sector is highly fragmented with more than 20,000 registered
units. It expanded drastically in the last two decades. The leading 250 pharmaceutical companies
control 70% of the market with market leader nearly 7% of the market share. It is an extremely
fragmented market with severe price competition and government price control.

The pharmaceutical industry in India meets around 70% of the country‟s demand for bulk
drugs, drug intermediates pharmaceutical formulations, chemicals, tables, capsules, orals and
ingestible. There are about 250 large units and about 8000 small scale units, which form the core
of the pharmaceutical industry in India (including
5central public sector units).these units produce the complete range of pharmaceutical
formulations i.e. She Following the de-licensing of the pharmaceutical industry, industrial
licensing for most of the drug and pharmaceutical product has been done away with. Are
manufacturer are free to produce any drug duly approved by the Drug control by the Authority.
Technologically strong and totally self-reliant, the pharmaceutical industry in India has low cost
of production, low R&D costs, innovative scientific manpower, strength of national laboratories
and an increasing balance of trade. The pharmaceutical Industry,

With its rich scientific talents and research capabilities, supported by intellectual property
protection regime is well set to take on the international market.

ADVANTAGE INDIA:

Competent workforce:

India has a pool of personnel with high managerial and technical competence as also skilled

workforce. It has an educated work force and English is commonly used. Professional services are

easily available.

Cost-effective chemical synthesis:

34
 Its track record of development, particularly in the area of improved cost-beneficial

chemical synthesis for various drug molecules is excellent. It provides a wide variety of bulk drugs

and exports sophisticated bulk drugs.

Legal& Financial Framework:

India has a 53 year old democracy and hence has a solid legal framework and strong

financial markets. There is already an established international industry and business community.

Information& Technology:

It has good network of world-class educational institutions and established strengths in

information technology.

Globalization:

The country is committed to a free market economy and globalization. Above all, it has a 70 million

middle class market, which is continuously growing.

Consolidation:

For the first time in many years, the international pharmaceutical industry is finding great

opportunities in India. The process of consolidation, which has become a generalized phenomenon in

the world pharmaceutical industry, has started taking place in India .

35
THE GROWTH SCENARIO

India‟s US$3.1 billion pharmaceutical industry is growing at the rate of 14 present per year. It is one

of the largest and most advanced among the developing countries.

Over 20000 registered pharmaceutical manufacturers exist in the country, the domestic

pharmaceuticals industry output is expected to exceed Rs260 billion in the financial year 2002, which

accounts for merely 1.3%of the global pharmaceutical sector. Of this, bulk drugs will account for Rs

54 bn (21%) and formulations, the remaining Rs 210 bn (79%) In financial year 2001, imports were

Rs 20 bn while exports were Rs 87 bn.

STEPS TO STRENGTHEN THE INDUSTRY

Indian company need to attain the right product-mix for sustained future growth. Core

competencies will play an important role in determining future of many Indian pharmaceutical

companies in the post product-patent regime after 2005. Indian companies, in an effort to consolidate

their position, will have to increasingly look at merger and acquisition options of either companies or

products. This would help them to offset loss of new product options, improve their R&D efforts and

improve distribution to penetrate markets.

Research and development has always taken the back seat amongst Indian pharmaceutical

companies. In order to stay competitive in the future, Indian companies will have to refocus and

invest heavily in R&D.

36
 The Indian pharmaceutical industry also needs to take advantage of the recent advances in

biotechnology and information technology.

The future of the industry will be determined by how well it markets its products to several regions

and distributes risks, its forward and backward integration capabilities, its R&D, its consolidation

through mergers and acquisitions, co-marketing and licensing agreements

The pharmaceutical industry is highly regulated. The Government controls prices of a large

number of bulk drugs and formulations. Profits margins of players vary widely in both domestic and

export sales due to many factors.

INDUSTRY & SERVICES

DRUGS & PHARMACEUTICAL

The Indian pharmaceutical industry valued has portrayed tremendous progress with reference to

infrastructure development technology base creation and a wide range of production. The progressive

trend in this sector is expected to continue, due to increased integration with global trade, which

began with the signing of the General Agreement on Tariffs and Trade (GATT) in January2005.

India started to recognise global patents and the growing significance of the country in terms of

contract research and clinical trials

The pharmaceutical industry produces bulk drugs belonging to major therapy groups. Globally the

Indian pharmaceutical industry ranks 4th in terms of volume (with an 8 percent shares in global

sales), 13th in terms of value (with a share of 1 percent in global sales) and produces 20-24percent of

37
the world‟s generic drugs (in terms of value).The industry has developed Good Manufacturing

practices (GMP) facilities for the production of different dosage forms. India is emerging as the

global hub for contract research and manufacturing services due to a combination of low- cost and

world-class quality standards. According to a study by Ernst& Young, the total market for clinical

research activities in India is expected to touch $1.5-2 billion by 2010 Also, A.T. Kearney has listed

India second (just after china) for attractiveness as a clinical trials centre. With pharmaceutical

majors facing increased pressure on profit margins, spiralling R&D costs and increasing overheads,

outsourcing of clinical research processes to third parties in developing countries seems a viable

option.

INDUSTRY STRENGTHS
 Knowledge based Industry
 Large manufacturing base for high quality drugs and formulation
 Developing cost effective technologies for drug intermediaries and bulk actives without a
compromise on quality
 Cost advantage in terms of drug production, maintenance of high standards in terms of
purity, stability and international safety, health and environment protection
 Tremendous export potential
 Major driver of growth in the future
 Strong scientific and technical manpower
 World class national laboratories in process development
 Increasing balance of trade in the sector
 An excellent centre for clinical trials
 Competencies in chemistry and process development
EXPORTS

38
 Exports of Drugs, pharmaceutical and fine chemicals

(Rs. in crores)

2003-04 2004-05 2005-06 2006-07

12837.89 15213.24 7857.80 21578.96

INVESTMENT OPPORTUNITIES:

 Scope for generic drug production market

 Contract research

 Lean manufacturing

 Clinical research and trials

 Significant export potential

 Supply of generic drugs to developed market

RESEARCH AND DEVELOPMENT

Indian pharmaceutical companies are in favourable position to develop drugs at a fraction of

the international costs due to the low manpower cost, infrastructure, quality scientists and the

capability to conduct path-breaking research.

 The Government has taken various policy initiatives in order to strengthen Research and

Development in the pharma sector.

39
 Fiscal incentives are awarded to research and Development unites in the pharma sectors

towards the development of new drug molecules, clinical research, new drug delivery

systems, new research and Development set ups and infrastructure provision.

 Certain leading research and Development companies have increased their Research and

Development spending to over 5 percent of their turnover in comparison to an average

spending of 2 percent.

 Pharma units interested obtaining Income Tax Exemption under Section 35(2AB) need to

get their Research and Development unit recognized by CSIR.

 A pharmaceutical Research and Development Promotion Fund to the tune of Rs150 crore

have been established for promoting Research and Development in the pharma sector.

CONTRACT MANUFACTURING

Many global pharmaceutical majors are looking to outsource manufacturing from

Indian companies, which enjoy much lower costs (both capital and recurring) than western

counterparts. Many Indian companies have made their plants GMP compliant and India is also

having the largest number of USFDA –approved plants outside USA.

Indian companies are proving to be better at developing Active pharmaceutical

Ingredients (APIs) that their competitors from target markets and that too with non-infringing

processes. Indian drugs are either entering in to strategic alliances with large generic

companies in the world of off-patent molecules or entering in to contract manufacturing

agreements with innovator companies for supplying complex under-patent molecules.

40
 Some of the companies like Dish man pharma, Divis Labs and Matrix Labs have been

undertaking contract jobs for MNCs in the US and Europe. Even Shasun Chemicals, Strides

Arco labs, Jubilant Organises, Orchid pharmaceutical and many other large Indian companies

started undertaking contract manufacturing of APIs as part of their additional revenue stream.

Top MNCs like Pfizer, Merck, GSK, Sanofi Aventis, Novartis, and Teva etc. are largely

depending on Indian companies for many of their APIs and intermediates.

INITIATIVES IN PHARMACEUTICAL SECTOR

Export promotion cell: An Export Promotion cell in this sector has been incorporated with the

objective of

 Boosting pharmaceutical exports

 Function as anodal centre

 Promotional Activities aiming at accelerating pharma exports.

 Suggestions for modifications in the EXIM policy.

Foreign Direct Investment (FDI) in Drug and pharmaceuticals:

 FDI upto 74% in the case of bulk drugs, their intermediate pharmaceuticals and

formulations (except those produced by the use of recombinant DNA technology)

would be covered under automatic route.

 FDI above 74%for manufacture of bulk drugs will be considered by the Government

on case to case basis for manufacture of the bulk drugs from basic stages and their

41
 intermediates and bulk drugs produced by the use of recombinant DNA technology as

well as the specific cell/tissue targeted formulations provided it involves

manufacturing from base stage.

Provision of Union Budget 2007-08 for the pharma sector:

 Weighted deduction on in-house R&D expenditure extended for a period of five more

years until March 31, 2012.

 Service Tax Exemption to DCG12 approved CRO3s offering clinical trials for

technical testing and analysis services for testing of new drugs.

 Peak customs duty reduced to 10%.

 Concessional rate of 5% customs duty plus Nil CVD on specified items extended to

all Research institutions registered with DSIR4.

 Additional 15 imported items for R&D purposes allowed to be imported at

5%customes duty.

 Increased budgetary allocation towards AIDS control and immunisation for polio.

FUTURE PROSPECTS:

As per WTO, from the year 2005, India will grant product patent recognition to all new

chemical entities (NCEs) i.e., bulk drugs developed then on words. The Indian Government‟s

decision to allow 100 percent foreign direct investment into the drugs and pharmaceutical industry is

42
expected to aid the growth of contract research in the country. Technology transfer to 100 percent

Indian subsidiaries of MNCs is expected only in 2005.

Indian pharmaceutical interest in making a mark on the global scene got a boost when Dr .Reddy‟s

licensed two of its anti-diabetic molecules to Novo Nordisk and when Ranbaxy licensed its Novel

Drug Delivery System (NDDS) of ciprofloxacin to Bayer. MNCs in India faced the problem of

having a very high DPCO coverage, weakening their bottom lines as well as hindering their growth

through the launch of new products. DPCO coverage is expected to diluted further in the near future

benefiting the MNCs. New legislation is also expected in the OTC segment increasing the number of

brands in the Over the Counter (OTC).

43
 COMPANY HISTORY

The company was born of a vision. Founded in 1986 by Mr .P.V Ramaprasad reedy,
Mr .k. Nityananda Reddy and a small, highly committed set of Professionals, Aurobindo pharma
became a public company in 1992. It commenced operation in 1988 with a single unit
manufacturing semi synthetic penicillin (SSPs) at Pondicherry.

Aurobindo pharma had gone public in 1995 by listing its shares in various stock exchanges
in the country. The company is the market leader in the semi-synthetic penicillin drugs . It has a
presence in key therapeutic like SSPs cephalosporin; s antiviral CNS, cardiovascular,
gastroenterology etc.

Over the years the company has evolved into a knowledge driven company. It is R&D
focused has multi product portfolio with multi country manufacturing facilities and is becoming
a marketing conglomerarate across the world.

Aurobindo pharma created a name for itself in manufacture of bulk actives, its area of core
competence. After ensuring a firm foundation of cost effective production capabilities and a
clutch of loyal customers, the company has entered the high margin specialty generic
formulations segment with a global marketing network.

The formulation business is systematically organized with a divisional structure, and has a
focused team for each key international market. Aurobindo believes in gaining volume and
market share in every business segment it enters.

The company has set up two state-of –the-art formulation plants. Aurobindo pharma has
obtaining approvals from UK MCA,UK FDA and various regulatory bodies for these two plants.
This initiative would enter the developed markets.

The company has adopted cost efficient manufacturing processes and has continuously
widened the product portfolio .Older drugs have been replaced and new introductions made to
meet the needs of society. There is a constant up gradation in product list. The company applies
a premium to remaining contemporary.

44
 The company has forayed into custom synthesis business in a big way and has a dedicated
kilo lab to compliment its current infrastructure in manufacturing and R&D. Aurobindo pharma
has identified international operations as a major engine of growth and has hence expanded its
global net work of marketing and manufacturing operations. Joint ventures \ subsidiaries in
China, Brazil, and USA, will further expand its international franchise.

All the key indications of the company confirm the scorching pace of growth. For instance,
the turnover of Aurobindo pharma has growth at a CAGR of 21 percent, in the last four years
(FY 1999 to FY 2004). Similarly net profit grew at 32 percent, in the same period. Over a period
Aurobindo pharma has become a knowledge company with strong intellectual properly. It is now
positioned to ride the challenges with strengthened fundamentals.

Vision:

“ To become Asia‟s leading and one among the top 15 generic Pharma companies in the
world, by 2015”

Mission:

Aurobindo‟s mission is to become the most valued pharma partner for the World
pharma fraternity by continuously researching developing and manufacturing a wide range of
pharmaceutical products complying to the highest regulatory standards.

The milestones achieved and the evolution of the company can be summarized as follows

 Vertical integration
 Mergers and acquisitions.
 Broadening of product portfolio.
 Board basing of the board of directors.
 Listing of shares on major stock exchanges.
 Thrust on exports.

45
  Cost leadership.
BOARD OF DIRECTERS:

Chairman ---------------------------- P.V. Ram Prasad Reddy

Managing Director ----------------- K. Nithyananda Reddy

Whole-time Directors--------------- M. Sivakumaran

M. Madan Mohan Reddy

S. Bimal Singh

K. Ramachandran

P.L. Sanjeev Reddy

K. Sitarama Murthy

Director -------------------------------- P. Sarath Chandra Reddy

Aurobindo pharma Limited 8th units Turnover

Total No. of Employees 480

a. permanent Employees 280

b. Contract Employees 200

8th units total Turnover 300crores

APL unit total countries established position of the APL unit.

World level 35th place

National level 15th place

State level 4th place

APL all Andhra Pradesh12 Branches

46
 Total employed 7500

Total Turnover 2500 crores

Aurobindo pharma Limited 8th unit all Departments:

 Quality control
 Production& Manufacturing Unit
 HR Department
 Safety for Environment
 Ware housing Department
 Process Development Lab
 Engineering& Utilization Department
 Quality awareness Department.
Working Conditions In APL 8th unit

Company shall provide Transport in A, G, B, C shift from kukatpally, housing board, to

factory and back. The based and shift timings should be given.

A shift 6:00 am 14:00 pm

G shift 9:00 am 17:30 pm

B shift 14:00 pm 21:30 pm

C shift 21:30 pm 6:00 am

Organizational Chart:

Organizational Chart of company with respect to the department heads who perform, manage
and verify the work effecting quality of the product. Organization Chart of the unit with respect
to the department head is covered under organ gram.

The APL 8th Unit

ANTI-INFECTIVES

47
 Cephalosporin orals
 Anti fungal
 Cephalosporin steriles
 Anti –bacterials
 Penicillin orals
 Anti –virals
 Penicillin steriles
 Quinolones
CENTRAL NERVOUS SYSTEM:

 Attention Deficit Hyperactivity Disorder

 Anti – Depressants
 Anti -- Epileptics
 Anti -- Migraine
 Anti – Parkinson
 Anti – Psychotics
 Anti – Schizophrenia

CARDIO VASCULAR SYSTEM:

Anti –Arrhythmic:

 Anti – Hyperlipoproteinemics
 Anti –Thrombotic
 Beta – Blockers
 Cerebrovascular Disorder
 Anti – Hypertensive‟s
 Diruretic
GASTOENTEROLOGICALS:

 Anti – Emetics

48
  Anti – Spasmodic
 Anti – Ulcer ants
ANTI – RETROVIRALS:

Anti – Retrovirals
OTHERS

1. Anti – Osteoporosis
2. Anti – Diabetics
3. Anti – Asthmatics
4. Erectile Dysfunction
5. Anti – Inflammatory
6. Anti – Histamines
7. Anti – Cholinergic
8. BPH – Treatment
Product profile:

One of the largest active pharmaceutical ingredients (API or Bulk Actives) manufacturers in
Asia, Aurobindo pharma has commercialized and uncompromising product quality underline the
core competence of the company.

Total quality management is the very essence of Aurobindo pharma. Every detail is
subjected to security be it CGMP compliance, validation, stability studies, documentation, safety,
health or environmental issues. This steadfast adherence to TQM has been highly rewarding and
ensuring that all products are truly world class.

Aurobindo pharma limited is engaged in the manufacture and marketing of a wide range of
Drug inter mediates, semi-synthetic punctilios, sterile and non-sterile penicillin‟s,
chepalaosporius, Anti- virals, bulk APIS and formentation dosages froms with an assur
sustaining and life is enhancing health care products.

Aurobindo pharma has engaged in the manufacturing units and an advanced research center,
at Bachupalli-Hyderabad, to spearhead its foray in technology driven scientific research.

49
 Aurobindo pharma has 12 manufacturing units spread in and around A.P. and Tamilnadu APL
UNIT –VIII Gadda potharam division is dedicate to the manufacture of APIs and Drugs
Intermediates Aurobindo pharma caters to market in over 75 countries around globe.

APL Research center (R&D) strongly the manufacturing process at its manufacturing units to
develop pharmaceutical Drug substances of the highest quality and discover new process.

50
 CHAPTER IV

1. Do the salary increment given to employees very well motivates them?

a)strongly agree b) Agree c) Disagree d) Strongly disagree

Table 4.1: The opinion of respondents on salary increment.

S.NO Respondents No .of Respondents Percentage (%)

1 Strongly agree 32 32
2 Agree 52 52
3 disagree 4 4
4 Strongly disagree 12 12
5 Total 100 100

GRAPH 4.1

60

50

40

30

20

10

0
Strongly agree Agree Disagree Strongly disagree

INTERPRETATION:

From the above graph, it is interpreted that most of the employees agreed
with the salary increment and very few of the employees were disagreed.

51
2 . Do the working conditions provided in the organization are good?

a) Highly satisfied b) Satisfied c) dissatisfied d) Highly dissatisfied

Table 4.2 The opinion of respondents on working conditions in the organization.

S. No Responses No. of Respondents Percentage (%)

1 Highly satisfied 20 20%
2 Satisfied 52 52%
3 dissatisfied 26 26%
4 Highly dissatisfied 2 2%
5 Total 100 100

GRAPH 4.2

60

50

40

30

20

10

0
Highly satisfied Satisfied Dissatisfied Highly dissatisfied

INTERPRETATION:

From the above table, it is interpreted that most of the employees in the
organization are satisfied with the working conditions and very few were dissatisfied.

52
3. Since how many years you have been working in this organization?

a) 0-2 years b) 3-5 years c) 6-8 years d) more than 10 years

Table 4.3 The number of years that the respondents working in the organization.

S. No Responses No .of respondents Percentage

1 0-2 years 22 22
2 3-5 years 39 39
3 6-8 years 18 18
4 More than 10 years 21 21
5 Total 100 100

GRAPH 4.3

45

40

35

30

25

20

15

10

0-2 years 3-5 years 6-8 years More than 10 years

INTERPRETATION:

From the above table, it is interpreted that most percentage of the

employees are working since 5 years and few were working for 10 years.

53
4. Are you satisfied with the provided incentives by the organization?

a)Yes b) No

Table 4.4 The opinion of respondents on providing incentives by the organization.

S. No Responses No. of Respondents Percentage (%)

1 Yes 65 65
2 No 35 35
3 Total 100 100

GRAPH 4.4

70

60

50

40

30

20

10

Yes No

INTERPRETATION:

From the above graph , it is interpreted that most percentage of the

employees are satisfied with the incentives provided by the organization

54
5. Are the medical benefits provided in the organization are satisfactory?

a) Highly satisfied b) Satisfied c) Dissatisfied d) Highly dissatisfied

Table 4.5 The opinion of respondents on providing medical benefits in the organization.

S. No Responses No. of Responses Percentage (%)

1 Highly satisfied 10 10
2 Satisfied 20 20
3 Dissatisfied 30 30
4 Highly dissatisfied 40 40
5 Total 100 100

GRAPH 4.5

45

40

35

30

25

20

15

10

Highly satisfied Satisfied Dissatisfied Highly dissatisfied

INTERPRETATION:

From the above table, it is interpreted that very few employees were
satisfied with the medical benefits provided by the organization and most of the employees are
dissatisfied.

55
6. Are the retirement benefits available are sufficient?

a) Good b)Adequate c)Poor

Table 4.6 The opinion of respondents on available retirement benefits.

S. No Responses No. of Respondents Percentage (%)

1 Good 50 50
2 Adequate 38 38
3 Poor 12 12
4 Total 100 100

GRAPH 4.6

60

50

40

30

20

10

Good Adequate Poor

INTERPRETATION:

From the above graph, it is interpreted that 50% of the employees said
that the available retirement benefits are sufficient and few said that it is not sufficient.

56
7. Do the employees in the organization feel secured in their job?

a) Strongly agree b) Agree c) Disagree d) Strongly disagree

Table 4.7 The opinion of respondents on security of their job.

S. No Responses No. of Respondents Percentage (%)

1 Strongly agree 30 30
2 Agree 45 45
3 Disagree 15 15
4 Strongly disagree 10 10
5 Total 100 100

GRAPH 4.7

50

45

40

35

30

25

20

15

10

Strongly agree Agree Disagree Strongly disagree

INTERPRETATION:

From the above graph, it is interpreted that most percentage of the

employees agreed that their job is secured and few of the employees agreed that their job is not
secured.

57
8. Do you feel about career growth in your organization?

a) Excellent b) Good c) Average d) poor

Table 4.8 The opinion of respondents on career growth in their organization.

S. No Responses No. of Respondents Percentage (%)

1 Excellent 20 20
2 Good 50 50
3 Average 20 20
4 Poor 10 10
5 Total 100 100

GRAPH: 4.8

60
Exce
llent
50
Goo
d
40 Aver
age
Poor
30

20

10

INTERPRETATION:

From the above graph, it is interpreted that 50% of the employees feel
that the career growth in the organization is good , 20% of the employees feel that it is average
and 10% of the employees feel that it is poor.

58
9. Is there suitable ventilation and good environment in the work place?

a) Very good b) Good c) Average d) Poor

Table 4.9 The opinion of respondents on ventilation and good environment in the work place.

S .No Responses No. of Respondents Percentage (%)

1 Very good 35 35
2 Good 45 45
3 Average 15 15
4 Poor 5 5
5 Total 100 100

GRAPH: 4.9

50

45

40

35

30

25

20

15

10

Very good Good Average Poor

INTERPRETATION:

From the above graph, it is interpreted that most percentage of the

employees said that the ventilation and good environment in the work place were good and 15%
said that it is average and 5% said that it is poor.

59
10. Satisfaction with regard to support from the HR department?

a) Strongly agree b) Agree c) Disagree d) Strongly disagree

Table 4.10 The opinion of respondents on satisfaction with regard to support from hr
department.

S. No Responses No .of Respondents Percentage(%)

1 Strongly agree 22 22
2 Agree 72 72
3 Disagree 3 3
4 Strongly disagree 3 3
5 Total 100 100

GRAPH 4.10

80

70

60

50

40

30

20

10

Strongly agree Agree Disagree Strongly disagree

INTERPRETATION:

From the above table, it is interpreted that most of the employees agreed that there is
satisfaction with regard to support from the hr department and few were strongly disagreed that there is no
satisfaction with regard to support from the hr department.

60
11. Do you feel more motivated while participating in activities done here like

NachBallye ,sports week, Cricket tournaments etc?

a) Strongly agree b) Agree c)Disagree d) Strongly disagree

Table 4.11 The opinion of respondents participating in activities.

S. No Responses No. of Responses Percentage (%)

1 Strongly agree 64 64
2 Agree 30 30
3 Disagree 6 6
4 Total 100 100
GRAPH 4.11

70

60

50

40

30

20

10

Strongly agree Agree Disagree

INTERPRETATION:

From the above graph, it is interpreted that most percentage of the employees strongly
agreed that they are motivated while participating in the activities an d very few were disagreed
that they are not motivated while participating in the activities

61
 12. Do you feel that your superior always recognizes the work done by you?

a) Strongly agree b) Agree c) Disagree d) Strongly disagree

Table 4.12 The opinion of respondents on recognizing their work.

S. No Responses No. of Respondents Percentage (%)

1 Strongly agree 30 30
2 Agree 60 60
3 Disagree 5 5
4 Strongly disagree 5 5
5 Total 100 100

GRAPH 4.12

70

60

50

40

30

20

10

0
.
Strongly agree Agree Disagree Strongly disagree

INTERPRETATION:

From the above graph, it is interpreted that most percentage of the

employees agreed that their superior always recognizes the work done by them and few of the
employees disagreed that their superior does not recognizes the work done by them.

62
13. Is there fair amount of team spirit in this organization?

a) Highly satisfied b) Satisfied c)Dissatisfied d)Highly dissatisfied

Table: 4.13 The opinion of respondents on fair amount of team spirit in this organization.

S. No Responses No. of Respondents Percentage (%)

1 Highly satisfied 30 30
2 Satisfied 45 45
3 Dissatisfied 10 10
4 Highly dissatisfied 15 15
5 Total 100 100
GRAPH:

50

45

40

35

30

25

20

15

10

Highly satisfied Satisfied Dissatisfied Highly dissatisfied

INTERPRETATION:

From the above graph, it is interpreted that most percentage of the employees were
satisfied with the fair amount of team spirit in this organization and very few of the employees
are highly dissatisfied with the team spirit in this organization

63
14. Is the organization providing training classes to the newly joined employees?

a) Yes b) No
Table 4.14 The opinion of respondents on providing training classes to the newly joined
employees.

S.No Responses No. of Respondents Percentage (%)

1 Yes 100 100
2 No 0 0
3 Total 100 100

GRAPH: 4.14

120

100

80

60

40

20

Yes No

INTERPRETATION:

From the above graph, it is interpreted that 100% of the employees said
that the organization is providing training classes for the newly joined employees.

64
15. What type of sources the organization gives first preference?

a) Internal sources b) External sources c) No opinion

Table 4.15 The opinion of respondents on type of sources the organization gives first preference.

S .No Reponses No .of Respondents Percentage (%)

1 Internal sources 48 48
2 External sources 32 32
3 No opinion 20 20
4 Total 100 100

GRAPH 4.15

60

50

40

30

20

10

Internal sources External sources No opinion

INTERPRETATION:

From the above graph, it is interpreted that 48% of the employees said
that the organization gives preference to internal sources ,32% of the employees said that the

organization gives preference to external sources and 20% of the employees have no opinion.

65
16. How is the relationship between superior and subordinates?

a) Excellent b) Good c) Average

Table 4.16 The opinion of respondents on the relationship between superior and subordinate.

S. No Responses No. of Respondents Percentage (%)

1 Excellent 40 40
2 Good 40 40
3 Average 20 20
4 Total 100 100

GRAPH 4.16

45

40

35

30

25

20

15

10

Excellent Good Average

INTERPRETATION:

From the above graph, it is interpreted that most percentage of the

employees said that the relationship between superior and subordinate is excellent and very few
of the employees said that it is average.

66
17. How did you know that there are vacancies available in the organization?

a) News Paper b) Employee referrals c) Walk-In D) Web Portals

Table 4.17 The opinion of respondents on vacancies available in the organization.

S. No Responses No .of Respondents Percentage (%)

1 News paper 10 10
2 Employee referrals 67 67
3 Walk-In 20 20
4 Web portals 3 3
5 Total 100 100

GRAPH: 4.17

80

70

60

50

40

30

20

10

INTERPRETATION:

From the above graph, it is interpreted that 10% of the employees

knows the vacancies through newspapers,67% of the employees knows through employee
referrals and 3% of the employees knows through the web portals.

67
18. Do the management involves you in decision making which are connected to your department?

a)Agree b) Disagree

Table 4.18 The opinion of respondents that management involves in decision making which are
connected to the department.

S.No Responses No. of Responses Percentage (%)

1 Agree 85 85
2 Disagree 15 15
3 Total 100 100

GRAPH 4.18

90

80

70

60

50

40

30

20

10

agree Disgaree

INTERPRETATION:
From the above graph, it is interpreted that most percentage of the employees agreed
that the management involves them in decision making and very few percentage of the
employees disagreed that the management does not involves them in decision making.

19. Which of the following factors motivates you most?

68
 a) Salary Increase b) Promotion c) Leave d) Motivational talks e) Recognition

Table 4.19 The opinion of respondents on the factors that motivates them.

S.NO Responses No. of Responses Percentage (%)

1 Salary Increase 50 50
2 Promotion 15 15
3 Leave 15 15
4 Motivational talks 15 15
5 Recognition 5 5
6 Total 100 100

GRAPH 4.19

60

50

40

30

20

10

Responses promotion Leave Motivational talks Recognition

INTERPRETATION:

From the above table management involving employees in decision

making in this organization 70% of employees said yes and 30% of employees.

69
20. Is the work place regularly cleaned?

a) Very good b) Good c) Average

Table 4.20 The opinion of employees on cleanliness of workplace.

S .No Responses No. of Respondents Percentage (%)

1 Very good 50 50
2 Good 35 35
3 Average 15 15
4 Total 100 100

GRAPH 4.20

60

50

40

30

20

10

Very good Good Average

INTERPRETATION:

From the above graph, it is interpreted that 50% of the employees

said that the work place is maintained regularly clean,35% of the employees said that it is good
and 15% of the employees said that it is average.

70
 CHAPTER V

FINDINGS & SUGGESTIONS

FINDINGS

 Aurobindo pharma ltd is considering motivation as a part of organizational strategy.

 It is observed that salary increment ,medical benefits ,retirement benefits motivates

the employees.

 It is observed that most of the employees agreed that, they are completely satisfied
with their job, working conditions provided by the company and they work as a part
of team.

 50% of the employees feel that the career growth in the organization is good.

 A few of the people strongly agree that their superior is helpful in getting work done
and solving the career growth and development.

 Most of the employees are satisfied with regards to support from the organization.

 In aurobindo pharma ltd, most of the employees agreed that their superior always
recognizes the work done by them.

 Most of the employees agreed that management involves them in decision making
process.

 It is observed that 50% of the employees are motivated by the factor of salary
increase.

71
SUGGESTIONS
 Employees need to be evaluated fairly based on their performance and experience for
their promotion prospectus.

 Organization should provide better over time requirements (transfers, hours of motivation
requirements).

 Management should provide sufficient resources to employees to do their work.

 Management should encourage the employees to give suggestions for improvement.

 Section wise review meeting are required to get feedback from each and every
employees.

72
CONCLUSIONS
The employee and employer relations are good.” EMPLOYEE MOTIVATION”

Programs are not up to the expectations of the employees. Most of the employees are

Satisfied with their job. Overtime requirements are not sufficient .There are no proper HRD

Programs. Management should concentrate on monetary benefits paid to the employees

.
There is no proper utilization of man power in the organization. There is no active.

Participation from some of the employees. Interpersonal communication and joint problem

Solving techniques are given at most importance in the organization.

73