pooja thulasi
TRANSCRIPT
Amrita Life
1.1 INTRODUCTION
Organization study refers to the study of the organization as a whole and
getting familiar with various functional departments in the organization. The study
aimed at getting a clear picture of the organization structure to learn how the authority
flows down the levels of management. Apart from these present operations of the
company, familiarizing the duties and functions of various departments and how they
interact with each other were the objective of the study and also to get a practical
vision of the organization apart from the theory which have been learned in the class.
The study is conducted at Amrita Enterprise Pvt. Ltd. one of the leading production of
Ayurvedic medicine in Kerala.
The Indian systems know as Ayurveda originated as far back as 2000 BC.
Ayurveda literally means “The Science of Life”. Actually it implies two connected
ideas the Science of Life and the Art of living. Ayurveda unlike Allopathy or
Homeopathy does not swear by any particular principal of cure. Ayurveda treatments
cover all the principle of Allopathy, Homeopathy and Naturopathy.
According to Ayurveda there are three basic constituent complexes in the
physiological called doshas. There are Vayu, Vata, Pitta and Kapha or Sieshma. These
terms through literally they mean wind like and phiegm respectively; between them,
they sustain the whole body metabolism. Good health implies an ideal balance
between the three doshic factors. No true monodoshic invidual exists. It is the
predominance of any particular doshas, which marks the constitutional type of men.
On this basis human are individual in to three psychosomantictypes, namely the
Vtaparakrati, the Pittaprakriti, and the kalphapriti.
Ayurveda literally means "science of life and longevity." and is considered to
be the traditional system of medicine of India. It is the oldest health care system in the
world. Ayurveda is a science in the sense that it is a complete system. It is a
qualitative, holistic science of health and longevity, a philosophy and system of
healing the whole person, body and mind. The origin of this system goes back to a far
past, in which philosophy and medicine were not separated. Therefore, philosophical
views have strongly influenced the Ayurvedic way of thinking.
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1.2 SIGNIFICANCE OF THE STUDY
This study analysis various department of the organization, on the basis of
their strength, weakness, opportunity, threat arrived at. The finding of the study would
give up valuable information’s for improving over all performance of organization.
1.3 OBJECTIVES OF THE STUDY
To study about the history and profile of Amrita life
To understand the organizational structure and analyze various departments
of the company.
To study the way of functioning in each department.
To conduct SWOT and Porter’s five forces analysis to study competitive
strategy.
1.4 RESEARCH METHODOLOGY
Research Methodology is the systematic procedure involved in
conducting research process. It is the back bone of project work. Ideal with the
research design, data collection methods, various statistical tools.
Research is a systematic approach to a purposeful investigation. A good and
effective research is objective, controlled, and universal free from personal bias,
systematic and reproductive. A research is generally begin with a question or a
problem. This purpose of research is to find solution through the application of
systematic and scientific methods.
DATA COLLECTION
Primary Data
In this organization study the role of primary data is very important. Because most of
the data are getting through primary sources like direct interview, face-to-face
communication etc... In this case, the direct interview with managers of different
departments and face to face communication with the employees of the organization
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help me to collect complete and correct data and this also helps to record data
accordingly. The main primary sources are:
1. Direct interview method
2. Indirect interview method.
Secondary Data
In this organization study the secondary data is also important than that of primary
data. Published documents, journals and magazines are the important secondary data.
So these are also needed for the completion of the organization study. The main
secondary sources are
1. News papers and journals
2. Departmental manual
1.5 SCOPE OF THE STUDY
.The study is being at the Amrita Enterprise Pvt. Ltd. This study tells us an
overall view of organization and functions carried out by different
departments.
This study helps in practical aspects of the theories which are learned in the
class room.
Also this study helps to know about the real life problems of the present
business scenario.
1.6 LIMITATIONS OF THE STUDY
Time limitation of the study.
The workers were busy in their work and had little time available for interview
or conservation.
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1.7 CHAPTERISATION
Chapter – 1 Introduction
First chapter deals with the introduction, objective of the study, significance of the
study, methodology, scope of the study, limitation and chapterisation of the study.
Chapter – 2 Industry Profile
Second chapter is concerned with the industry profile, history of alternator industry,
current scenario of ayurvedic industry, ayurvedic medicine industry in India, status of
ayurveda in India and modern marketing developments.
Chapter – 3 Company Profile
Third chapter deals with the company profile while containing the history services of
the company, core purpose of the company, mission statement of the company.
Chapter – 4 Organizational Structures
Fourth chapter deals with organizational structure and various department Structure.
Chapter – 5 Department Analysis
Fifth chapter deals with analysis the various departments in the company.
Chapter – 6 SWOT and Porters Five Force Analysis
Sixth chapter is concerned with SWOT analysis and Porters Five Force Method
Analysis.
Chapter – 7
Seventh chapter deals with Findings, conclusion, suggestions.
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2.1 INDUSTRY PROFILE
Ayurveda is the oldest system of medicine in the world and is more than a mode
of treatment. It is a way of Life. The origin of Ayurveda – the word conjugated by
‘Ayur’ meaning life and ‘Veda’ meaning knowledge – can be traced back to the
evolution of civilization. Thousands of years ago, the Indian sages committed their
knowledge about the life and the fundamentals of Ayurveda in the oldest scripture
known to humanity, namely the Rig Veda, Yajur Veda, Atharva Veda and Sama
Veda.
Ayurveda is regarded as an upaveda or sub-script of the Atharva Veda. This Veda
contains an abundance of information on how to keep oneself healthy and how to
combat diseases. Ayurvedic philosophy holds that suffering is disease and
contentment is good health, and no human being is healthy if he or she does not
passes a sound sharira (body) and mana (mind). Ayurveda advocates a holistic
approach to good health, and prescribes suggestions for matters pertaining to personal
hygiene and social conduct. It is by understanding the rhythm of the universe that we
can align the rhythm of the body to it–this is the cardinal philosophy of Ayurveda.
Once we understand this principal of upholding the rhythm of the universe, we can
use it to maintain the rhythm of the body. The positive viewpoint of Ayurveda is the
holistic concept based on the spiritual, mental and physical levels of well being not
contradicting any other, any asserting the principles of life. All Classes of People
wherever they may be can be benefited by these principles. This same idea is also
proclaimed through the dictum.
“Lokah Samsatah Sukhino Bhavantu”
Before the evolution of Indian ayurveda into an industry, the practice of ayurveda
was confined to physicians and was considered more of a service than a profession.
The word ‘ayurveda’ is composed of two terms, ‘ayush’ meaning life and ‘veda’
meaning knowledge of science. Ayurveda is therefore that branch of science, which
deals with the physical body. It includes herbal medicine, dietetics, surgery,
psychology and spiritually. Thus etymologically, ayurveda means the science of life
or biology. It has its roots in antiquity and has been practiced in India for centuries but
Western culture and education coupled with the Britishregime pushed this ancient
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science into the background. However, recently efforts have been made to rejuvenate
the almost ‘lost art’ of ancient healing, ironically due to the increased attention from
the Western world.
Today, ayurveda is an officially recognized system of medicine in India. Globally,
the World Health Organization (WHO) recognizes it as Traditional Medicine (TRM).
It is estimated that the total market size is Rs 8000 crore and it is growing
substantially between 10-15 percent, with the same growth rate targeted for the next
10 years.
Overall, ayurveda products fall into two categories – branded and traditional.
Currently, more than 30,000 branded and 1,500 traditional products are available in
the market. At present, India manufactures ayurvedic drugs worth Rs 6,000 crore per
year, of which Rs 1,500 crore are exported. About 60% of this is crude herbs to be
manufactured into products outside India, about 30% is finished product shipped
abroad for direct sales to consumers, and the remaining 10% is partially prepared
products to be finished in foreign countries.
The ayurveda market in India is fragmented, with more than 900 manufacturing
units; most of them are quite small. The industry has been dominated by less than a
dozen major companies for decades, recently joined by a few new entrants, taking the
count to about 30 companies. The key suppliers in the ayurveda segment are Dabur
India, Sri Baidyanath Ayurvedic, Bhawan and Zandu Pharmaceuticals, which together
account for 85% of India’s domestic ayurvedic market. Other major suppliers are
including Himalaya Drug Company, Charak Pharmaceuticals, Vicco Laboratories,
Emami Group and Viswakeerthy Ayurvedic Pharmacy, Ayurveda Pharmacy and
Ozone Group.
The products of these companies are including within the board category of ‘fast
moving consumer goods’ (FMCG; which mainly involves foods, beverage, toiletries,
cigarettes, etc). Most of the larger ayurvedic medicine suppliers provide materials
other than Ayurvedic internal medicines, particularly in the areas of foods and
toiletries (soap, toothpaste, shampoo, etc), where the main ingredients may be
traditional herbal ingredients, which are projected as the unique selling proposition
(USP) of these products. Ranjit Anand Puranik, General Secretary, Ayurvedic Drug
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Manufacturers association (ADMA), says, “Currently, Indian ayurveda industry
consumes 1000 crore of medicinal plants and as per weight, we consume
153,000tones of medicinal plants every year from 960 different medicinal plants.
Indian ayurveda manufacturers have good resources but because of lack of knowledge
and experience, we are not able to meet with industry challenges. In current Scenario,
every manufacturer must make effort to understand the resource and identities of its
traditional plant input material and also concentrate upon investing in backward
integration projects for attaining resources identity”.
Ayurveda is now a part of a movement towards a global medicine system that
includes the best features of medicine system of many countries. A new naturalistic
medicine is emerging, largely through a re-examination of the older Eastern and TRM
of indigenous people trough out the world. Of all the systems, ayurveda is probably
the best point of synthesis for such a global medicine system as it contains the
broadest number of healing knowledge and modalities. It provides rational help for
the treatment of many internal diseases, which are considered to be obstinate and
incurable in other systems of medicine. It Simultaneously lays a great deal of
emphasis on the maintenance of positive health of an individual. Thus it aims at both
prevention and cure of diseases.
Ayurveda also studies basic human nature and natural urges like hunger, thirst,
sleep, sex etc and provides measures for a disciplined, disease free life. “There is an
urgent need for new investment in modern research, improved marketing and
government support to sustain the ancient medicinal system. Innovation is now the
key to attract more and more consumers towards ayurveda products and for this the
above inputs are a vital need today, “says S C Sehgal, Chairman and Managing
Director, Ozone Group. Ayurvedics now has a wide range of herbal health and beauty
care products, which are category pioneers and best sellers. Ozone's ayurveda-based
product 'No marks' which, in fact, created a mark in the removal cream category in the
country, has established a prime niche for itself, and despite the entry of new players
in the field, continues to be the leader in this category.
Kiran Das, General Manager-Exports & Herbal, Anglo-French Drugs and
Industries, says, “The major challenges faced by the industry are in relation to the
standardization of products, market access (reach in to micro interiors), high level of
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fragmentation of the market and presence of too many small and localized players.
The lack of adequate scientific data also hinders progress of the industry. We sell our
ayurvedic formulations to Kenya and Russia. We anticipate taking the products to
more countries across Asia and Africa.
“The Indian ayurvedic industry is marked by the presence of both organized and
unorganized players. There are many unorganized players producing low quality
drugs that not have an adverse effect on the patient's health but also damage the
reputation of the entire industry as a whole, “points out Dr Rangesh ,Head-Product
Development Initiatives, Himalaya Drug Company. “Therefore, Standard i-sation and
quality control mechanisms need to be put in place and enforced strictly, so that more
and people may realize the benefits of the Indian ayurveda systems of medicine . The
enforcement of Good Manufacturing Practices (GMP) and other quality procedures
for the manufacture of ayurvedic drugs need to be done effectively. Updating the
industry with amendments and changes happening around in the domestic and
international regulatory mandates, helping and guiding them through is very
important,” he says. Expanding on the other bottlenecks, Dr Durga Prasad, Senior
Manager-Medical Marketing, Dabur India says, “One of the major hurdles in wider
acceptability of Indian ayurveda products is improper standardization techniques and
unpreparedness of market acceptability, which prevent manufacturers from accepting
global challenges. Several countries still view the quality of raw materials used in
manufacturing ayurvedic drugs and even the finished ayurvedic drugs with suspicion.
A lot of it is also motivated by various lobbies. Export certification of ayurveda and
other herbal products by government agencies has been a long-pending demand of the
industry. This one move will do a lot to increase the credibility of the ayurvedic
industry abroad”.
RELIEF MEASURES
The Indian Government is continuing to focus on economic reforms and it is
increasing its investment in the healthcare segment. It is expected that it will take
further measure to sustain market growth of pharmaceutical products. The pharma
industry continues to face challenges in the form of uncertainties related to the Drug
Price Control Order (DPCO).
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However, pharma companies have woken up to the fact not a single ayurveda
product fall under the DPCO. And hence many Indian as well multinational pharma
companies are trying to invest huge amounts in this segment. In line with this trend,
recently, Novartis India announced that company will be investing a good amount in
this area. “As people are becoming more health conscious rather than curative, they
are adopting preventive healthcare measures. This category of products is also not
under price control. So far the near future, we have robust plans for Ayurveda R&D
activity”, averred RanjithSahani, vice chairman and managing director, Novartis
India, during the recent Annual General Meeting (AGM).
Recently in 11th plan scheme (2007-12) the Government has given subsidies to the
Department of Ayurveda, Yoga and Naturopathy, Unani, Siddha and Homoeopathy
(AYUSH), which includes major plans for the ayurveda industry like:
To upgrade quality control department, improve quality-manufacturing unit as
per CGMP, US Food and Drug Administration (FDA), UK's Medicine and
Healthcare products Regulatory Agency (MHRA) and the European Union
(EU) guidelines.
To set up GMP standard for botanic products as well as it be should defined as
per WHO's standards.
Recently, AYUSH has provide the first scheme for ayurvedic manufacturing
companies, known as 'Ayush Cluster', where it will give assistance of ` 10 crore for
forming such clusters anywhere in India.
The department of Science and Technology has also jumped into this race and
welcomed the proposal for research and development (R&D) for joint sector
programme. Under this initiative, proposal was well accepted worldwide for botanical
production activity and encompassed with R&D activity for ayurveda.
In India 60% of registered physicians are involved in non-allopathic systems of
medicine. In addition to the nearly 400,000 ayurvedic practitioners, there are over
170,000 homeopathic physicians; India has about 500,000 medical doctors (similar to
the number in the US, but serving nearly four times as many people). Dependence on
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ayurvedic medicine is heavy in certain regions of India, such as Kerala in the
Southwest. Many ayurvedic practitioners in small villages are not registered,
“according to A R Ramasubramania Raja, president-Finance, Arya Vaidya Pharmacy.
Nowadays, ayurveda has become very popular among tourists especially foreigners,
who are first attracted by the 'exotic' factor but stay and even, return once the
remedies act. This is also supporting the Indian economy through medical tourism. A
recent CII-McKinsey report suggests that medical tourism could fetch as much as $2
billion by 2012, compared to an estimated $333 million.
During the last financial year, Indian ayurveda-related tourism earned Rs 6000
crore in revenues. As modern medicine with its strong synthetic chemical drugs fails
to combat disease, there is rapid and progressive acceptance of this system. Patients
from across the world come to India for ayurvedic treatment. With the popularity of
the system, the demand for ayurvedic doctors is on the rise in India and abroad as well
and there are many ayurvedic doctors practicing as consultants overseas.
Traditional principles, Modern Avatar
In America, Europe, and other countries, it has long been recognized that it is
difficult to promote TRM systems because of their complexity; so individual herbs
become the focus of attention. Today the Indian ayurvedic market shows signs of
following the same system with the promotion of individual treatment for specific
therapeutic areas. This allows each customer/patient to register for stand-alone
treatments.
In general, successful ayurvedic therapy is made up of a variety of treatments
which help to cure diseases conditions like autonomic nervous disorders,
gynecological disorders, cardiovascular disorders, digestive tract disorders ,metabolic
disorders, joint and spinal disorders, respiratory diseases, allergic disorders, skin
diseases, genitor- urinary disorders and neurological disorders.
Benchmarking standards
The repacking of ancient healing practices for a modern consumer base is best
typified by spa resorts. The concept of a spa is in fact ‘wellness’ in its purest form.
The accent on anti-stress, preventive, and curative treatments at these spas is based on
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Indian ayurvedic practices. Spas offer a gamut of authentic and traditional wellness
treatments and experience in most traditional yet modern way. It is like entering a
sanctuary of peace and offers guests an unparalleled experience, in an environment of
luxury and pampering.
But the proliferation of spas has also seen a few unscrupulous players, who pass
off substandard treatment. Therefore the Quality Council of India(QCI), an
autonomous body of the Central Government for national accreditation programme, is
all set to frame a set of new standards for ‘wellness centers’ in India. Recently,
GiridharGyani, secretary general, Quality Council of India, said, “We are in the
preliminary stage of framing new standards for wellness centers. We have already
entered into a technical agreement with Australian Council on Healthcare Standards
International (ACHSI) for drafting these standards. In another five years, too many
new players in the health and beauty, and service and wellness segments are likely
come to the market. We are drafting standards for wellness centers at the right time”.
With all these measures, the Indian ayurveda market is sure to grow from strength to
strength
2.2 CURRENT SCENARIO OF AYURVEDA INDUSTRY AND
THE WAY FORWARD
Ayurveda has been a lively system of health with an unbroken practice since
3000 years. Although, Ayurveda as a system of medicine has been in practice in India
for centuries but its growth as an industry has commenced only a few years back. This
was mainly on account if lack of awareness and initiative by its practitioners. Industry
and even the Government. We have pennon-receptive and reclusive for modern
techniques and advancement that has occurred in the modern pharmacy industry. The
classical drugs like Dashmmolarishta and Arjunarishta are also in practice since then.
In recent past, the tradition of preparation of medicines by the Ayurveda practitioner
has almost come to an end. Now we find a much organized and commercial
production of Ayurvedic medicines in big factories.
Ayurveda and its products are becoming popular with increasing demand the world
over. The pressure of the people of the respective countries to adopt Ayurvedic
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products have amounted to many countries now allowing and regularizing sale of
these products in to their countries. This has boosted the globalization process. But
this initial phase is primarily the phase of enquiry and curiosity
Ayurveda has to live up to the expectations, otherwise we have the risk of getting
washed out forever. Hence, Ayurveda needs immediate and extensive reorientation to
gain scientific credibility, as this traditional old system of medicine if given the
opportunity, is poised for an unprecedented expansion globally. There is, therefore, a
need to transform Ayurveda into a dynamic, scientifically validated and evidence
based which takes its roots from rich knowledge base of oral tradition and scripture.
The major hurdle in the wider acceptability of Ayurveda and its products is the lack of
proper standardization techniques and its unpreparedness to accept global challenges.
The quality of raw drugs used in manufacturing as well as the finished drugs of
Ayurveda and other traditional system from India are seen with a suspicion. We need
to reassure our goal partners by providing them evidence of quality of medicines we
prepare in terms of reproducible efficacy and standardization. Some of the reasons for
our unpreparedness are;
Lack of good teachers and good institutions of learning. Barring a few like
Banaras Hindu University (Varanasi), Gujarat Ayurveda University and National
Institute of Ayurveda, most of the other college are either just average or even
below the acceptable limits. This reflects in non-promising Ayurveda graduates
coming out of these institutions.
Absence of a basic manufacturing standards or Standard Operating Procedures
(SOPs) of various ayurvedic products in this sector. Problem confronted by the
exporters of Ayurveda products is the absence of herbal monographs in Indian
Pharmacopoeia. The lack of a killer instinct in the Ayurvedic industry to have a
larger share of sales in the domestic as well as in the international market has
resulted in loss of opportunities, which should rather have been grabbed not only
for the benefit of the industry but also for the benefit of the nation as a whole.
The lack of facilitating regulating regulations for the Indian medicinal products
in the most of the countries has been the major hindrance for the growth of this sector.
There is a strong need to rectify the things at home as well as in terms of
standardizing Ayurvedic finished products on quality parameters which involves the
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FPS (Finished Product Specification) the claim support studies whether clinical or
experimental and the safety of these preparations through toxicity studies done in
NABL/GLP Laboratories as the requirement may be.
Even the manufacturing environment has to be par excellence as many of the
authorities like MHRA, USFDA have the inspection and approval of manufacturing
location as an essential elements of registration. There has been a gradual change in
attitude although much slower than the time demands. Government of India has
started the task of finalizing the Ayurvedic Pharmscopoeia of India (API) of which
Volume I Part I- VI has already been published which cover around 326 herbs. The
API gives specifications of the raw herbs standards to be adopted by the Industry. In
fact, the Industry has to come forward for phyto-chemical profiling of each of the
herb used in their manufacturing facilities. Much more difficult is the need to identify
at least one biologically active market compound. Unless and until you have the
bioactive marker, no pharmacokinetic studies or bioavailability studies are possible.
This is challenges as it has also come as an obstacle for the registration of Ayurveda
product as medicines in most of the countries. Professionals of Ayurveda often blame
the industry for not selling its goods abroad as medicines and get the products
registered as food supplements. But till you meet the drug norms, you cannot register
them as medicinal products as number of herbs are not available today and many
more are already categorized as ‘endangered species’
If official substitutes are not given, the Industry will have to shut down shop or has
to give false ingredients lists. There has to be review committees specifically for
declaring the official substitutes. Besides laying down the standards of raw materials,
the AYUSH Department has also commenced a programme to lay down standard for
herbal extracts with the help of ISM industry.
Industry is fully cooperating with the Government of evolve the standards of
extracts of both types, viz. water and hydro-alcoholic extracts of medicinal plants.
Facilities of testing the raw materials as well as the finished products have to be made
available to the small manufactures who cannot afford expensive research laboratories.
This can be done either by a consortium of Ayurvedic Industry or by the initiatives of
the Government of India. This is all the more important as smaller Ayurvedic
Industries cannot afford to have in-house facilities for testing and product
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development. Contract research and other facilitating agencies need to be encouraged
by providing them with single window clearance. Financial assistance for contract
research organization (CROs) and research laboratories exclusively working for the
promotion of indigenous systems which have till date been ignored.
The research going on in Ayurvedic colleges, Ayurvedic institutes and other allied
disciplines like Pharmacy colleges, Chemistry Departments, Medical colleges; all need
to be reviewed by one single agency and the best of the researches need to be
published in indexed journals. Al these University researches may not have been the
best ones but for sure will give us leads in many areas of healthcare. With too strict
and stringent regulations, the Ayurveda industry which is still in its infancy will be
discouraged to grow. That is what has been happening since last 2-3 years. Every
month or two, there is a new regulation for this nascent industry. The industry is not
against any regulations, but bringing in regulations one after the other in quick
succession keep a very small window for the Industry to operate. What was
unregulated for centuries should be regulated in a phased manner. Some of the
Stalwarts in Industry put this as the foremost reason for the non-starter of Ayurvedic
industry growth.
Export certification of Ayurveda and other herbal products by the Government
Agencies has been a long pending demand of the Industry. This will increase the
Credibility of the Ayurvedic Industry abroad. Even the local certifications for the
domestic market will do wonders for the manufacturer as well as in winning the
confidence of the consumer. Therefore, it is time for the Government, academicians
and researchers in Ayurvedic and allied disciplines to join hands to meet the common
goal of having evidence based Ayurveda.
2.3 THE AYURVEDIC MEDICINE INDUSTRY IN INDIA
Ayurvedic medicines are produced by several thousand companies in India, but
most of them are quite small, including numerous neighborhood pharmacies that
compound ingredients to make their own remedies. It is estimated that the total value
of products from the entire Ayurvedic Production in India is on the order of one
billion dollars (U.S). The industry has been dominated by less than a dozen major
companies for decades, joined recently by a few other that have followed their lead,
so that there are today 30 companies doing a million dollars or more per year in
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business to meet the growing demand for Ayurvedic medicine. The products of these
companies are included within the broad category of “fast moving consumer goods”
(FMCG; which mainly involves foods, beverage, toiletries, cigarettes etc.). Most of
the larger Ayurvedic medicine suppliers provide materials other than Ayurvedic
internal medicines, particularly in the areas of foods and toiletries (Soap, Toothpaste,
Shampoo, etc.), where there may be some overlap with Ayurveda, such as having
traditional herbal ingredients in the composition of toiletries.
The key supplies in Ayurveda are Dabur, Baidyanath and Zandu which together
have about 85% of India’s domestic market. These and a handful of other companies
are mentioned repeatedly by various writers about the Ayurvedic business in India; a
brief description in provided for them, arranged here from oldest to newest:
Kottakkal Arya Vaidya Sala (AVS):
AVS is a century old Charitable Institution engaged in the practice and
propagation of Ayurveda, the ancient health care system of India. AVS offers
classical Ayurvedic medicines and authentic Ayurvedic treatments and therapies to
patients from all over India and abroad.AVS was established at Kottakkal in Kerala
State of India in 1902 by the visionary physician and philanthropist, the late
Vaidyaratnam P.S. Varier. Started essentially as a village clinic, it has now grown
into a multi-unit, multi-disciplinary and multi-crore organisation. It has operations
in different areas of Ayurvedic practice.AVS manages Ayurvedic Hospitals at
Kottakkal, Delhi and Kochi. All classical Ayurvedic medicines, therapies and expert
medical advice are available there. AVS has two modern medicine manufacturing
units, has well equipped quality control labs, has fullfledged research activities,
publishes Ayurvedic periodicals and books, cultivates medicinal plants and conducts
educational programmes. AVS also runs a Kathakali academy where the classical
theatre of Kathakali is taught and performed.
The beginnings P. S. Varier, scion of an illustrious family of Kottakkal in the
Malabar region of Kerala, was an extraordinary man. He was a multi-faceted
personality: a renowned Ayurvedic scholar and academician, an able practitioner; a
successful entrepreneur, and a genuine philanthropist... all at the same time! Sri Varier
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studied Ayurveda under the classical Gurukula system. He also acquired proficiency
in the practice of Allopathy.
In late 1902, Sri Varier founded the Arya Vaidya Sala, Kottakkal, for the preparation
of authentic Ayurvedic medicines.The rest is history. Today, Kottakkal Arya Vaidya
Sala is a name synonymous with Ayurveda. A name that offers a new lease of life to
the suffering humanity.
Dabur India Ltd.:
Dabur India Ltd. is India’s largest Ayurvedic medicine supplier and the fourth
largest producer of FMCG. It was established in 1884, and had grown to a business
level in 2003 of about 650 million dollars per year, though only a fraction of that is
involved with Ayurvedic medicine. Last year, about 15% of sales volume was
pharmaceuticals; the remaining 85% were mostly non-medicine items such as food
and cosmetic. Dabur’s Ayurvedic Specialties Division has over 260 medicines for
treating a range of ailments and body conditions-from common cold to chronic
paralysis. These materials constitute only 7% of Dabur’s total revenue (thus, less than
50 million dollars). Dabur Chyawanprash (herbal honey) has a market share of 70%
and chewable Hajmola Digestive Tablets has an 88% share. Other major products are
DaburAmla Hair Oil, Vatika (Shampoo), and LalDantManjan (Tooth Powder).
Sri Baidyanath Ayurvedic Bhawan Ltd.:
Sri Baidyanath Ayurvedic Bhawan Ltd. (Baidyanath for short) was founded in
1917in Calutta, and specializes in Ayurvedic medicine, though it has recently
expanded into the FMCG sector with cosmetic and hair care products; one of its
international products is Shikaki (Soap pod) Shampoo. Baidyanath has a sales volume
of about 350million dollars, but most of the product sales are in the cosmetic range.
The company reports having over 700 Ayurvedic products, made at 10 manufacturing
centers with 1,600 employees. Included items are herbal teas, patent medicines,
massage oils, and chyawanprash.
Zandu Pharmaceutical Works:
Zandu Pharmaceutical Works was incorporated in Bombay in 1919, named after
an 18th century Ayurvedic. The company focuses primarily on Ayurvedic products (in
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1930, pharmaceuticals were added, but the pharmaceutical division was separated off
about 30 years later). However, today Zandu has a chemicals division and cosmetics
division. Its total sales volume is about 45 million dollars. One of its current projects
is to develop a dopamine drug from a plant extract, applying for new drug status in
the U.S.
The Himalaya Drug Company:
The Himalaya Drug Company was established 1934 in Bangalore. It currently has
a business level of about 500 million dollars and has a U.S. distribution division
(Himalaya USA). It is known in the U.S for the product Liv-52, marketed as a liver
protection and therapy for liver diseases like viral hepatitis; the product was first
marketed in India in 1955.
Charak Pharmaceuticals:
Charak Pharmaceuticals was founded in 1947, and currently has three distribution
centers in India; it produces liquids, tablets and veterinary supplies. It has gained a
large advantage with its new product Evanova, a preparation contain 33 herbs and
minerals and non-hormonal active ingredients in this product. The product also
contains Ayurvedic herbs that act like selective estrogen receptor modulators as well
as asparagus root (shatavari), which reduce the frequency and intensity of hot flashes.
Vicco Laboratories:
Vicco Laboratories was established in 1958. It mainly produces topical therapies
based on Ayurveda and is best known internationally for its toothpaste product,
Vajradanti, which has been marketed in the U.S. for more than 25 years.
The Emami Group:
The Emami Group, founded in 1974, provides a divides a diverse range of
products, doing 110 million dollars of business annually, though only a portion is
involves with Ayurvedic products, through its Himami line; the company is mainly
involved with toiletries and cosmetic, but also provides Chayawanaprash and other
health Products.
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Aimil Pharmaceuticals Ltd:
Aimil pharmaceuticals Ltd. , incorporated in 1984 and engaged in manufacturing
and sale of both generic and proprietary Ayurvedic medicines, with a business level of
about 20 million dollars annually. Its wide range of Ayurvedic herbal formulations,
covering most therapeutic segments, was honored by the Indian Government’s
National Award for Quality Herbal Preparation and National Award of R&D in the
year 2002. It is known for its proprietary formulas for hepatitis, diabetes, menstrual
disorders, digestive disorders and urinary diseases. Several small companies that have
grown rapidly in recent years envision themselves as primary players in the
Ayurvedic market. As an example, Viswakeerthy Ayurvedic Pharmacy promotes
itself as one of the largest suppliers of Ayurvedic medicines in India. It present the
following on its website:
ViswakeerthyAyurvedic Pharmacy:
Viswakeerthy Ayurvedic Pharmacy was founded by Dr. K. Mohammadkutty a
great friend of Natured and Ayurveda. Started in 1977, as a fledging pharmacy,
Viswakeerthy today is one of the largest Manufactures of Ayurvedic Medicines with a
formidable presence of all over Kerala. The dynamic leadership of Dr. K M Kutty,
complemented by the energetic drive of his team of young enthusiastic professionals
has taken Viswakeerthy Ayurvedic Pharmacy to new heights. The philosophy behind
the inception was to “Serve Humanity Through Ayurveda-The Authentic Way” by
propagating and practicing genuine Ayurveda and producing quality Ayurvedic
medicines. Today, this philosophy has taken Viswakeerthy to new height of
Ayurvedic excellence. Realizing the importance of standardization of medicines and
the modernization of production, Viswakeerthy took the significant step of updating
the technology of the existing pharmacy and establishing a sophisticated private
limited company, Viswakeerthy Herbals Pvt. Ltd. at Kalpakanchery, Malappuram
District of Kerala.
The market for ayurvedic internal medicine is dominated by Chyawanaprash, an
herbal honey comprised of about 3 dozen ingredients, with amla (emblicmyrobalance)
as the key ingredient. The leader in this field is Dabur, which `had a 69% market
share at the end of 2002; followed by Baidyanath, with nearly 11%, and Zandu and
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Hamami (Emami Group) with about 7.5% each. A variety of individual herbs,
traditional formulations, and proprietary medicines make up the rest of the health
products section involving internal remedies, while the remainder of the market is
taken up by toothpastes and powders, skin creams, massage oils, shampoos, and other
topical preparations. Aside from Chyawanprash, the following are among the major
traditional remedies:
Two of the largest companies involved with providing traditional medicine
products, such as the above, are Himalaya Drug Company and Universal
Medicament’s (in Nagpur). Universal Medicament’s has a joint venture for research
and manufacturing of herbal products with Cipla Ltd, and Lupin Ltd, two leading
pharmaceutical companies of India. Universal is engaged in manufacturing and
exports of both pharmaceutical formulations and research-based herbal medicines.
Exports of Ayurvedic medicines have reached a value of 100 million dollars a
year (about 10% the value of the entire Ayurvedic industry in India). About 60% of
this is crude herbs (to be manufactured into products outside India), about 30% is
finished product shipped abroad for direct sales to consumers, and the remaining 10%
is partially prepared products to be finished in the foreign countries.
2.4 STATUS OF AYURVEDA IN INDIA
The Indian government and non-government organizations have been collecting
statistics on the Ayurvedic system in India and these data about the manpower and
institutional aspects of Ayurveda have emerged:
Number of registered medical practitioners: 366,812
Number dispensaries: 22,100
Number of hospitals: 2,189
Number of hospital beds:33,145
Number of teaching institutions (undergraduate): 187
Number of upgraded postgraduate departments: 51
Number of specialties in postgraduate medical training: 16
Number of pharmacies manufacturing Ayurvedic medicines: 8,400
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In India, 60% of registered physicians are involved in non-allopathic systems of
medicine. In addition to the nearly 400,000 Ayurvedic practitioners, there are over
170,000 homeopathic physicians; India has about 500,000 medical doctors (similar to
the number in the U.S., but serving nearly 4 times as many people). Reliance on
Ayurvedic medicine is heavy in certain regions of India, such as Kerala in the
Southwest. Many Ayurvedic practitioners in small villages are not registered.
MODERN MARKET DEVELOPMENTS
The SAARC (South Asia Association for Regional Cooperation) was formed in
1985; its member countries are India, Pakistan, Nepal, Bangladesh, Bhutan, Maldives,
and Srilanka. These countries all have been influenced by Ayurvedic medicine. Trade
in Ayurvedic medicines within the SAARC is mostly limited to raw materials that
grow in one region (eg., high mountains, northern climate) and are then exported to
other regions (eg., lowland southern areas). Because of the large number of very small
factories that try to service the local communities, with products labeled with the local
language, there is little opportunity for suppliers in one SAARC country to send
finished products to another SAARC or even abroad.
Entrepreneurs in these countries (mainly in India) seeking to break into the market
for natural products have determined, rightly that the demand for traditional style
Ayurvedic medicines both inside and outside the region is limited, despite growth
trends as high as 20% annually encountered in the late 1990s. They have aimed to
bolster interest by carrying out scientific research into promising herbs and formulas
that are based on Ayurveda but not necessarily reflecting traditional practices. Of
necessity, such research eventually focuses on finding of active ingredients, and this
has led to the development of isolates from plants that are sold as “nutriceuticals”
(substances not registered as drugs, but used like nutritional and dietary supplements,
sold over the counter in various formulations with specific health benefits portrayed
for them). For these, there is a growing worldwide demand. The main suppliers of
nutriceuticals are Japan, China, and the U.S., but India stands to become a significant
contributor.
As an example of development of Ayurvedic nutriceuticals, Sabinsa Corporation, a
U.S. Company with affiliates in India that represents the Indian tradition, though it
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also takes on similar projects involving herbs from other sources. The company was
founded by Dr. Muhammed Majeed. He was born in Kerala, India; after graduating in
Pharmacy from Kerala University, Majeed emigrated to the U.S in 1974, where he
continued his graduate studies and then worked at pharmaceutical companies for 15
years. Then, in 1988, he founded Sabina Corporation. Soon after, in 1991, Majeed set
up a research and development group at Bangalore, India called Sami Labs Ltd. That
facility now has over 500 employees. Sabinsa produces extracts and special powders
such as the following (uses are typical applications sought by product manufacturers
and may not reflect traditional Ayurvedic uses):
As examples of how traditional Ayurvedic ingredients are converted to modern
products, it has been found that myrrh yields guggulsterones and frankincense yields
boswellic acids that are now in high demand. For both these herbs, the original
research and product development originated in India as part of an ongoing effort to
investigate and make more useful the tradition of Ayurvedic medicine. Much of the
guggulsterone and boswellic acid currently used in manufacturing products today
comes from Sabinsa Guggulsterones are reputed to lower blood lipids, including
cholesterol, a problem recognized currently, but not an issue of traditional Ayurvedic
medicine. The standardized nutriceutical available for most manufacturing of products
is 2.5% guggulsterones; preparations of 7.5% and of 10% guggulsterones are
produced, but the high steron products are soft and more difficult to use in
manufacturing. The Sabinsa product is trademarked Gugulipid. Bosewellic acids are
reputed to have potent anti-infiammatory activity, as demonstrated in laboratory
experiments; its traditional use would indicate an anti-inflammatory action. The
standardized boswellic acid preparations list their content as 50-70% boswellic acids,
though it has been suggested that these are actually total organic acids from
frankincense, with boswellic acids as the major component. The Sabinsa product is
trademarked Boswellin. This trend towards nutriceutical development ha not been
adopted by all. Some are still interested in promoting the acient tradition and sell the
well-known prescriptions or make up new proprietary formulas. An example of a
company that sells complex Ayurvedic compounds is Surya Herbal in New Delhi.
They are the manufacturers and exporters of a wide range of Ayurvedic generic,
branded specialties and other OTC herbal healthcare products. The company provides
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15 formulations, which match, for the most part, the categories of natural therapeutics
in demand worldwide. The products include:
Memory-loss Capsules/ Syrup ; Mender Stress and Fatigue Relieving Capsule;
General Weakness Tonic for Men & Women; Liver Disorder Cultivate Tablets/Syrup;
Piles & Varicose Veins Tablets; Throat & Other Minor Infection Therapy
Tablets/Syrup; Menstrual Regulatory Capsules/Syrup; Cough Relief Tablets/Syrup;
and Constipation Regulatory Tablets/Syrup.
Another example is Universal Medicaments Pvt. Ltd., a part of Universal
Pharmaceutical Group. The company is best recognized for its formulations Karnim
(Anti-diabetic supplement), Herbokam (Anti -stress formula), Chetak (Stimulant),
Tonabilin (Iron supplement), Minitone, U-Gyanetone, and Unicough Syrup. All
together, the company has about 15 main proprietary products. Key elements in both
these companies is a gradual move away from traditional Ayurvedic products to the
new formulation (“research-based”) and new dosage forms (eg. Capsules and Syrups
to replace, as examples, teas and ghee preparations) that suit the current demands. The
direction today is to deal with broad issues, such as lowering cholesterol and lipids,
lowering blood sugar (in diabetes), and improving cardiovascular health overall.
Products in high demand also include menopause formulas, sexual stimulants,
treatments for liver diseases, and detoxifying regimens.
The biggest supplier of Ayurvedic herbs products for the U.S. And other Western
countries in Maharishi Ayurvedic Products International, lnc., currently located in
Colorado. Despite its dominance in the field, which came about because of the
popularity of Maharishi Mahesh Yogi in his teaching of transcendental meditation, the
company still has only a limited market presence and small staff. The Maharishi had
attracted a few medical doctors to his program, and they have been vocal proponents
of the products, which is the reason for their continued use. There are about two
dozen products in their catalog.
In America, Europe and other countries, it has long been recognized that is
difficult to promote traditional medicine systems because of their complexity, so
individual herbs become the focus of attention. The main herb of interest from India is
ashwaganda. It is not promoted as much based on its role in Ayurveda; rather, it has
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been compared, with considerable hyperbole, to ginseng, which was for many years
the biggest selling medicinal herb on the international market. So it is called “Indian
ginseng” by some (though to do so now in the U.S. is illegal) and promoted as an
“adaptogen”. as a sexual tonic, and as an immune enhancer, but usually without any
reference to its characteristic as recognized by Ayurveda. It is included in
formulations, but mostly with non-Ayurvedic ingredients. Previously, the best
promoted herb from Ayrveda was Centellaasistica, one type of Brahmi. This herbs
became popular almost entirely on the basis of one product (which contained two
other non-Ayurcedic herbs), that was heavily promoted. Confusion over the source
led to substitution of a Chinese herb in most products recently. However, this
Ayurvedic herb is still promoted as an energizer (in Ayurvedic medicine it is a
sedative), and as a tonic for the brain (which is consistent with some Ayurvedic
indications for it).
There are serious problems with traditional Ayurvedic medicine in the West. In a
separate article (Status of Ayurveda in the U.S),I have described significant barriers
that exist to development of the field here, where Chinese medicine has done fairly
well. Visitors to India bring back distressing stories about the status of Ayurvedic
medicine education in India, which indicates that there are problem arising in the
source country. Other issues influence the potential spread of Ayurvedic medicines.
Which the popularization of herbal medicine in recent decades, along with the rapid
growth in population, numerous species used in making traditional formulas is
becoming endangered. A good example is Nardostachys (jatamansi), which is now
permitted only in manufactured products, cannot be otherwise exported; it is mainly
obtained in Nepal. According to one estimated, 120 economically useful plants in
India are endangered, 35 of which are said to be important medicinal.
Quality control issues have come to the fore, with worries about contaminations of
plant products by heavy metals, pesticides, and other substance, yet few Ayurvedic
factories are larger enough and affluent enough to invest in the necessary testing
producers to demonstrate the quality of the finished materials. The ones mentioned
above, Surya and Universal do have the capabilities and produce certificates of
analysis for their batches of product that reversal test data on cleanliness and purity of
the product
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2.5 GLOBAL OPPORTUNITIES AND CHALLENGES OF
AYURVEDA
Ayurveda is one of the most ancient systems of medicines in the world. Ayurvedic
medicines are one of the most ancient systems of treatment in India & now spreading
globally. Natural Products are also a part of our everyday life. Right from the
inception, India has a rich heritage of using Ayurvedic& Herbal were being practiced
and used all over the world for many years but have only recently started getting legal
acceptance in many countries in the world as alternative system of medicine. India is
called “Botanical Garden of the world” as it is the largest producer of medicinal
herbs. Out of more than 25000 plants of medicinal value, only 10% are used for their
medicinal value. Around 1800 species are systematically documented in the codified
Indian systems of medicine. These herbal products are preventive, protective,
nutritive and curative. Botanically, a herb is a plant with a non woody stem which
withers and dries down after flowering. The term applies to all plants whose leaves,
stems, roots, flowers, fruits and seeds have medicinal uses. There are thousands of
Herbs which can be processed to prepare their extracts in the form of liquid, paste &
powders. As per W.H.O. report, more than 80% of the world population uses
medicines made from Herbal and natural products.
Current Global market of Herbal &Ayurvedic medicines is estimated to be more
than US $ 100 billion, out of this E.U. accounts for about 40% Japan 20% USA 10%
the Asian countries together account for 30% of the global market. During last decade
importance of Alternative medicine was realized and with the inclination to this, the
growth rate of Ayurvedic& Herbal industry can be put more than 30% for the last 25
years.
The world, which due to technological advance, developed medicine which are
quick acting, potent and capable to treat & provide sympathetic relief, has now started
to feel the need for longer lasting & more fundamental cures for their problems of
health. Attention now being shifted from relief to prevention & cure. The intention to
go back to nature & use natural materials & methods of ancient times. The support to
this use of food supplements / neutraceuticalsis promoted in USA under law called
DSHEA. These industries have rapid growth of more than 3 trillion dollars – industry
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comprising of vitamins, minerals, amino acids, nutrients, micronutrients & above all
herbals. The opportunities are enormous in India the only constraint is this system is
not recognized in most parts of the world legally as a system of medicine / health
care, allowing qualified doctors to practice the profession, advice & prescribe
Ayurvedic& Herbal medicines & neutraceuticals. Whatever is happening in few
countries is due to individual efforts in personal capacity & success stories heard
some time. A new model & statutory clearance for facing this challenge is now
required. Recent developments in Italy and U.K with Lord Walton Committee, the
coming up European law on traditional medicines are all putting more & requirement
to be met.
Concurrently more & more discussion are emerging about source of herbs & their
collection, cultivation, harvesting, post harvesting practices, storage, microbiological
& other contamination characteristics. These provide more challenges, Notifications
about export of such natural materials, need for sustainable development & the
recently enacted Biodiversity Act as more aspects to be taken care of. Ayurveda
accounts for more than 80% of user’s profile of traditional medicinal plants, with 719
plants being used in this sector.
The lowest numbers of species (49) are being in modern system of medicine. It is
estimated that over 8000 units are engaged in preparation of wide range of herbal
products using medicinal plants. Most of the units are in the Ayurveda system of
medicine. There are also licensed practitioners numbering around 500,000 who
believe in processing the plants themselves and preparation of medicines. Besides,
there are also estimated one million folk healers in and around villages of India. There
also medicinal plants cultivation and consumption at home level (Tulsi and Aloe vera
and such other) which are beyond the estimated for commercial cultivation. Based on
the current commercial consumption levels in ISM sector (Rs. 384 crore), and export
level (Rs. 463 crore only cruide drugs), it is estimated that commercialization of
medicinal plant cultivation was to the extent of Rs. 847 crore (in 2001- 02) in India.
During the last decade, there has been a growing interest in traditional and
alternative system of medicine in many developed countries. Medicinal plants are the
oldest known health care products. Their importance is still growing although it varies
depending on the ethnological, medical and historical backgrounds of each country.
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Herbal medicines are assuming greater importance in the primary health care of
individual and communities in many developed as well as developing countries and
there has been an increase in international trade in herbal medicine, and many herbal
products of India origin, have very good potential to win a considerable share of the
world market. Reportedly, UK, UAE, Sweden, Indonesia and USA ( 3 countries) have
already recognized Ayurveda as a health care system and thirty more countries are on
the average of doing so. India with its wide variety of climate and soil conditions has
ample scope in gaining a foothold in the global plant based neutraceutical market. But
the promotional efforts by industries and government have not been sufficient to
achieve the required potential presented by the markets abroad. Thus an appropriate
planning and action based on the market requirements is essential. India has 45000
diverse plant species spread over 16 different agro-climatic zones, 10 vegetation
zones, 25 biotic provinces and 426 habitats of specific spices.
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3.1 COMPANY PROFILE
Amrita Life is a full pledged Ayurvedic manufacturing unit opened on 19th May
2008 as a part of Amrita Enterprises Pvt. Ltd. It is an independent establishment
functioning under factory Act, managed by Mata Amritanandamayi Mat. There are a
lot total of five subsidiary units of Amrita Enterprises Pvt. .Ltd, which include Amrita
Television, Amrita Technologies, Amrita Books and Amrita Pharmacy.
Management of Amrita Enterprises Ltd. Comprise of five Board of Directors,
members from various background which include Lawyers, CEOs and people from
different professions. They all own a significant amount of share in the company. The
Board of Directors appoints General Management (GM) for all its sub companies
including Amrita Life. The management structure then goes down to the recruitment
of experienced professionals as managers (Head of Departments), answerable to the
GM. These managers recruit staff (Human Resource) for their respective department
which completes the structure. Here we can see that the organization structure is not
too long is wide in terms of a number of departments, though they are not board in
scope.
LOCATION
The company’s main office is located in Vallikavu , a sub-urban area located in
Kollam , Kerala. Vallikkavu is the birth place of Her Holiness Mata
Amritanandamayi, who is the inspiration and guiding light of Amrita Enterprises Pvt.
Ltd. The office is situated adjacent of Amrita Ayurvedic Medical College, Where the
company also has an exclusive outlet for the supply of its products.
INFRASTRUCTURE
It is fully mechanized manufacturing unit. The entire manufacturing process is
doing with the help of modern equipments and plants. The production is controlled by
technically skilled officials, technicians and staff. Amrita Life is well equipped with
the necessary infrastructure and other paraphernalia for manufacturing ayurvedic
medicines. The Amrita Life factory has a boiler, which used wood as fuel, thermic
fluid as heat carrier with auto control gadgets. Boiling pans with centralized heating
system are used to manufacturing classical ayurvedic medicines like decotions.
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Pressure control fermentation vessel are used for pressing, juicing, cutting, chopping,
powdering, pulverizing and automatic sieves for processing raw materials. Automatic
powder filling machine, lehyam filling machine, Liquid filling machine, Cap Sealing
machine, Shirnk Packing machine and Foil Sealing machine are used for packing
finished products. The range of products manufactured at Amrita Life includes
classical medicines, proprietary or patent medicines, and nutritional products.
3.2 AIM
The aim of this established company is to manufacturing quality ayurvedic
medicines and to promote high value of ayurveda nationally and internationally
through global marketing. The company has set its own standards and measures to see
that each and every product is of highest quality and is exactly similar to the value of
quantity of ingredients required to prepare a particular medicine, according to the
Vedic scripture. All of its products have a complete list of ingredients written on its
package to ensure effective and efficient results.
3.3 CORE PURPOSE
“To Celebrate Health Celebrate life”
GLOBAL REACH
Amrita Life will create an extensive network consisting of branches and agencies
to distribute the finished products to the local and global community. It exports
ayurvedic medicines that meet international quality requirements to create an impact
at global level. Amrita Life has 150 branches all over India. It will not sacrifice ethics
and quality of medicines in the interest of financial gain.
BUSINESS FOCUS
Amrita Life Ltd. is an ISO 9001:2008 and GMP certified Ayurvedic
Pharmaceuticals Company that manufactures authentic ayurvedic products exactly
prescribed in the vedic scriptures.
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3.4 MISSION STATEMENT
Amrita Life is committed to reviving India’s ancient Science of Life is dedicated
to maintaining the highest standards and values of traditional Ayurveda, taking
advantage of the latest technologies and innovative methods, with our highly
qualified, experienced and motivated team, we are committed to actively serving
India and the world by providing the highest quality Ayurvedic medicines and
treatments available anywhere. Through the synergy of Science and spiritually, we are
inspired to serve society for its all-around progress and prosperity.
SUPPLIERS / CLIENTS
The company deals in about 450 different types of raw materials. So one can
imagine the number of suppliers it deals with. The company has lot suppliers and
clients spread across India, which include Bombay, Ahmadabad, Chennai and several
parts of Kerala. This is mainly due to the natural; of the industry. Ayurveda deals with
rare herbs which need to mix in the exact proportion to create the composite product.
These herbs are not available everywhere and need to be procured from very deep
forests which may be inaccessible by road. The company deals with both registered as
well as unregistered suppliers. These unregistered suppliers are mainly adivas is who
reside in forest areas, who are the only source of access for some type of herbs. Many
of the adivas is being illiterate do not have much knowledge about the trade system
and tax. So the company itself crates the bills on the name of these suppliers and even
often signs it on their permission as they may not have their own signature. This may
be a loss for the company as they pay tax on their behalf, but the company needs to
abide by its legal obligations.
The company do not have clients as in specific individual customers as it deals
with generic public, through its exclusive franchises and distribution centers. But the
company produces an ayurvedic medicine which is only given as prescribed by the
doctors. This is done by company’s own medical representative who acts as the sales
team. Out of all its franchises and distributers, four of them are directly managed by
the company itself. The locations include;
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Amrita Ayurvedic Medical College and hospital, Vallikavu, Kollam
Amrita Life outlet at Vallikavu, Kollam
Amrita Institute of Medical Science (AIMS), Edappally, Kochi
Another outlet in Edappally, Kochi
The rest are run by private individuals under an agreement with the company. This
also includes super stockiest at the district level, who purchases the goods in bulk, to
meet the unexpected demand of its neighboring and distribution centers.
3.5 QUALITY POLICY
“Amrita Life” dedicates them with ayurvedic missionary zeal to achieve and
sustain excellence in all their activities. They are committed to Total Customer
Satisfaction by providing ayurvedic products and services strictly adhering to the
centuries validated traditional which shall delight their customers and comply with all
the statutory and regulatory requirements. They strive to continually improve the
effectiveness of their QMS through Innovations, Technology, Technological
Excellence and Training to their employees. A dedicated team of work force with a
sense of pride of Amrita Life will lead them, for “TOTAL QUALITY”.
CORPORATE VALUE
Amrita Life believes in honoring its commitment, integrity and transparency are an
integral part of our relationship with customers, employees and society. Respect for
Life: the company believes that life in all its forms must be respected. They respect
and value their people. Their employees are their value creators whose efforts,
creativity, bond they cherish their customers, who reward them for their value
creation and their stakeholders, who are committed to them in their endeavor to
improve life. They also recognize and respect their environment and take every effort
to preserve it.
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3.6 ACHIEVMENTS
Amrita Life has many a first to its credit and these have been earned through its
constant endeavor for identification of products that are required by the end users.
Research and Development centre aims to provide specialized products that value and
enhance every aspect of life.
Mentioned here are some of the achievements of the company;
Granted GMP certification within six months.
ISO 9001-2008 in one year of inspection. Was able to reach the customers in
Kerala, Karnataka, Tamil Nadu, Maharashtra and Delhi within ayurvedic year.
Group concerns of the company include;
Amrita Television.
Amrita Pharmacy at AIMS.
Amrita Technologies.
Amrita Medical College.
PRODUCT PROFILE
Amrita Life is a company that deals in the manufacturing and sales of Ayurvedic medicines. Products include:
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Traditional Ayurvedic medicines /classical products
Patented and proprietary products
OTC products
Eco-friendly cosmetic products
Health Supplements
Organic products
Classicalproducts:
Arishtam(medicatedwines),Kashayam(decoctions),Thailam(medicatedoils),Kuzhamb
u(medicatedcombination),Keram(medicatedcoconutoils),Lehyam/
Rasayanam(medicatedlinctus),Gritham(medicated ghee),Gulika (medicated
pills),Churnam(medicated herbal powders).
Arishtam /Asavams :
These are fermented type of medicines prepared adding honey, jiggery, sugar to
various herbal combination. These preparations will have an alcohol content of 6-
10%, which is generated due to the fermentation process. Around fifty types of
Arishtams and Asavams are manufacturing in Amrita Life.Few of these products are
as under:
1. Amrutharishtam
2. Ashokarishtam
3. Balarishtam
4. Dasamoolarishtam
5. Lakshmanarishtam
6. Dhathryaristam
7. Duralabhaarishtam
8. Jeerakaadyarishtam
9. Mustharishtam
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10. Parthadyarishtam
11. Vasaarishtam
12. Aravindasavam
13. Lohaasavam
14. Nimbasavam
15. Pippallyaasavam
16. Punarnnavaasavam
17. Saribaadyaasavam
Kashayas :
Disintegrated drugs are concentrated and extracted into water. The drugs are boiled in
water and are concentrated. More than fifty types of Kashyas are manufactured in
Amrita Life. Few of these products are as under:
1. Amruthotharam Kashayam
2. Elakanadi Kashayam
3. Gandharvahasthadi Kashayam
4. Sukumaram Kashayam
5. Varanadi Kashayam
6. Daasamoolam Kashayam
7. Drakshadi Kashayam
8. Indukandam Kashayam
9. Kaidaryadi Kashayam
10. Maharasnadi Kashayam
11. Padoladi Kashayam
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12. Punarnavadi Kashayam
13. Sahacharadi Kashayam
14. Thikthakam Kashayam
15. Veeratharadi Kashayam
16. Vidaryadi Kashayam
17. Vasaguloochyadi Kashayam
Keram:
1. Balahadadi keram
2. Chembarathyadi Keram
3. Durvaadi keram
4. Eladi Keram
5. Nalpaamaradi velichena
6. Thriphalaadi velichena
7. Kayyunyadi Keram
8. Neelibringaadi Keram
9. Lakshadi Keram
10. Thekaraja Keram
11. Prapaundarikadi Kera
Lehyam :
Lehyam are semi-sold preparation of drug, prepared with the addition of jiggery or
sugar candy and boiled with the prescribed liquid and fine power of drugs, until the
correct constituency is obtained different lehyams manufactured they are ;
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1. Agasthyarasayanam
2. Aswagandhadi lehyam
3. Chinjadi lehyam
4. Chyavanaprasam
5. Dasmoolaharithaki
6. Goomoothraharithaki Lehyam
7. Haridrakhandam
8. Kalyanagulam
9. Panchajeerakagulam
10. Sooranadi lehyam
Choornas :
1. Ashtachoornam
2. Avipathi choornam
3. Eladi choornam
4. Pushyanuga choornam
5. Sudarsana choornam
6. Dadimashtaka choornam
7. Karpooradi choornam
8. Kottamchukadi choornam
9. Rasnaadi choornam
10. Thaleesapathradi choornam
Thailam :
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1. Arimedadi thailam
2. Anuthailam
3. Asanavillwadi Thailam
4. Balathailam
5. Karpooradi Thailam
6. Karpasathyadi Thailam
7. Kottamchukkadi Thailam
8. Ksheerabala Thailam
9. Lakshadi Thailam
10. Narayana Thailam
11. Pindathailam
12. Pinyaka Thailam
Ghrithas :
1. Brahmi ghrutham
2. Indukanda ghrutham
3. Sukumara ghrutham
4. Varanadi ghrutham
5. Vidaryadi ghrutham
6. Dadimadi ghrutham
7. Padoladi ghrutham
8. Saaraswatha ghrutham
Gulika :
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1. Chandraprabha Gulika
2. Kaanchanara Gulgulu
3. Kaisora Gulgulu
4. Vilwadi Gulika
5. Yogaraja Gulgulu
Kuzhambu :
1. Dhanwantharam Kuzhambu
2. Elaneer Kuzhambu
3. Kottamchukaadi Kuzhambu
4. Prabhanjanam Kuzhambu
5. Gandharvahasthadi Erandam
6. Karpasasthyadi Kuzhambu
7. Kottamchukaadi Kuzhambu
8. Sahacharadi Kuzhambu
Avarthi :
1. Ksheerabala Thailm
PATENT PRODUCTS
Amrita Genius:-
Brain nourisher& memory booster for all ages & stages. Improves intellectual
performance in a modern high-profile and high-stress atmosphere.
Amrita Kesini:-
Hair oil with an enchanting fragrance. Induce very good stress free sleep and
relieves tension.
Amrita ChukkuKappi:-
A substitute for regular coffee, useful for sore throat, throat pain etc..
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Amrita Nasarshari:-
Unique medicated coconut oil for external application on the head to prevent nasal
polyps and related diseases.
Amrita Herbal Shampoo:-
Combination of aloe vera and unique saffron. Improves skin texture and leaves the
skin soft and blemish-free.
Amrita Chemparuthi:-
To protect from germs in natural and gently way. Soft like your grandma’s touch.
Amrita Kanthi:-
Natural face pack. To keep your skin cool restores natural skin glow. Prevents
and cures acne, black heads etc… Suitable for oily, dry and mixed skin type.
Amrita Green Apple:-
Natural soap, protect your family with pudina. Natural way to keep skin healthy
and beautiful.
Amrita Brahmitailam:-
Special preparation which restores natural and normal sleep pattern. Enhances
memory power. Can be used for all age.
Amrita Murivenna:-
An ancient and remark miraculous remedy for burns, wounds, back pain every
have need in their first aid box.
Amrita Alife:-
A classical combination with herbs and essential oils to fight against head ache,
body pain.
Amrita Honey:-
Forest honey collected through in our plant processed with maricha and sunthi
can be used as anupan along with other medicines.
4.1 ORGANIZATIONAL STRUCTURE
An organization structure means the framework, typically hierarchical, within
which an organization arranges its lines of authority and communications,
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and allocates rights and duties. Organizational structure determines the manner and
extent to which roles, power, and responsibilities are delegated, controlled, and
coordinated, and how information flows between levels of management.
A structure depends entirely on the organization's objectives and the strategy chosen
to achieve them. In a centralized structure, the decision making power is concentrated
in the top layer of the management and tight control is exercised
over departments and divisions. In a decentralized structure, the decision making
power is distributed and the departments and divisions have varying
degrees of autonomy. An organizational chart illustrates the organizational structure.
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Amrita Life
5.1 PRODUCTION DEPARTMENT
Production is the act of creating output, a goods or services which has value and
contributes to the utility of individuals. The act may or may not include factors of
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production other than labor. Any effort directed toward the realization of a desired
product or services is a productive effort and performance of such act is production.
The relation between the amount of inputs used in production and the resulting
amount of output is called the production function. Production is the process by
which raw materials and other inputs are converted into finished products. It is one of
the important elements of marketing as no good can be marketed unless they are
produced. Therefore it plays an essential role in an organization. This system differs
from company to company. There are inputs and outputs, operation and activities
imparting values to the inputs. A continuous production system is one in which the
equipments and workstations are arranged in the sequence, in which the input raw
material is converted into desired components or assembly.
Amrita Life has the manufacturing license of about 400 products as sanctioned by
the Drugs Controlling Authority of Government of Kerala. Products include
Arishtam, Kashayam, Asavams, Oils, Thailam, Kuzhambu, Lehyam etc. This
establishment has Good Manufacturing Practice (GMP) certificate issued by the
Drugs Controlling and Licensing Authority of Government Kerala.
A sequence of procedure involved in the preparation of the ayurvedic medicine.
For the preparation of the medicine the process are starts form 3 or 4 months before,
ie.,3 or 4 months before the company collects materials and starts the preparations.
Some preparations are through the hands ie., manually and all these materials are
passed through various machines and preparing the final output. Some of the partly
finished goods keep one or two months for the preparation of the final products. Most
of the ingredients are roots, leafs, seeds, flowers, fruits of medical plants. They
convert this into powder and pulps for the medicine preparation. After the preparation
the medicines are packed and distributed. The raw materials are mainly collected from
Palakkad, Idukki, Thrissur, and Changanassery.
Ayurveda, the knowledge or science of life longevity has a history as long as
human civilization. Also known as the Indian systems of medicines, Ayurveda is
India's timely gift to mankind. Over the countries, Ayurveda attained perfection
through astute minds and adept hands, rendering definite solution to even seemingly
incurable illness that too, without harmful side effects invariably associated with the
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allopathic system. Even in the so called developed nation, Ayurveda is fast gaining
around.
Amrita Life is an ardent follower of the Ayurvedic tradition. But modern
technology has its own contribution to make by way of hygiene, accuracy and speed.
That's the way the company's manufacturing operations have been mechanized to a
large extend with GMP and ISO standards. These operations are organized under the
watchful eyes of a “highly talented and deeply dedicated team of doctors and health
scientists”.
OBJECTIVES OF PRODUCTION DEPARTMENT
To ensure that all the products will have consistent quality.
To achieve maximum customer satisfaction.
To faster team work for optimum productivity of mean and machinery.
To meet the environment regulations with emphasis on safety
of all the employees and maintain the best keeping standards.
Production Department of Amrita Life mainly focuses on carefully managing the
processes to produce and distribute products and services. Production management
includes substantial measurement and analysis of internal process. There are 3 sub
departments under the operation department. They are;
Purchase Department
Development Department
Store Department
Purchasing
Purchasing activity of the firm performing by separate purchasing department. For
the raw materials the production department sends an indent to the purchasing
department about their recruitment. The purchase manager verifies the indent and
makes the order for the material. And the copy of the purchase order sends to the
purchase department.
The raw materials are collected from the agents. The purchase department make the
order to the agents ie., how much want, what are the materials they want? Etc. They
make the delivery at the specified time.
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Purchase process completes only after the successful completion of the quality
check by the Quality Department. If the materials have the specified quality, it is
allowed to entering in the inventory. This is the case of raw materials, but for the
other items each department can make their intent to purchase department and they
purchase and give to the department.
Here purchasing activities is done by the manager only. Manager oversees the
acquisition of materials needed for the operation, general supplies for office and
facilities, equipment or construction contracts.
Manager’s responsibilities are;
Seeking reliable vendors or suppliers to provide quality goods at
reasonable prices.
Reviewing technical specification for raw materials, components,
equipment or building.
Negotiating prices and contracts.
Determining quality and timing of deliveries
Operation
Here customers are the main focus. According to the customer’s requirement,
company will purchase materials and design and develop the final product which the
customer demanded and passed on by marketing executives to the production
department. Once the product is made as per the design validated by marketing, and
QC & material will be delivered to the customer in a nut shell development involve
marketing input, design, validation, prototyping, production, inspection, testing &
delivery.
Store
Store department is very important. This will help to reduce the time lags in the
supply chain, from supplier to user at every stage. Excel program is using as database
to enter the information.
Functions and Duties of Store Department;
The complete control on the materials is vested in the Store Department. Store
department covers the following functions.
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Supplies materials to various department
Inventory control
Storekeeping
Materials handling
Codification
Packing
Transportation
Deliver to customers
CHART No: 5.1.1
WORK FLOW OF AMRITA LIFE
In each and every step the quality checking is carried out rather than that of the
certificate from the controller.
PRODUCTION PLANNING AND CONTROL
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PROCUREMENT OF RAW MATERIALS
WARE HOUSING
POWDERING
PROCESSING
QUALITY CERTIFICATE FROM CONTROLLER
PACKING
Amrita Life
Production planning of the Ayurvedic medicine mainly depends on the season.
The demand for the medicine is different in different seasons. Depending up on the
season, the target or the production is adjusting. They are using the past record for
the planning of the production of the medicines in each season and they analyze the
demand of each product line at each season. For the high demanded season they
purchase the materials in bulk and ‘start the production work. They used hired
laborers’ or they start the three shift operation. In the off-season they cut the three
shift operations or avoid hired labours.
Depending up on the area, they can produce the products. Climate is other
department factor of the production planning. For example the rainy season, in this
season the Ayurvedic medicines have a very good demand. So the company adjusts
the production accordingly. The export of the medicine is also a factor for the
planning. Competitions are another factor of the control of production. Depending up
on the price of the raw materials the production can be controlled.
The maintenance department checks each machine yearly and they repair it if
necessary. A technician is working under the maintenance department for doing the
maintenance work, is called the ‘Maintenance Officer’. Corrections of machineries
are given to outside contractors. Production department of the company is responsible
for the entire production process, store, research and development and quality control.
PRODUCTION FACILITIES
The plant is equipped with modern machines and operations are organized under
the watchful eyes of talented physicians and health scientists. Production and
manufacturing facilities are fully geared for the mass production of ayurvedic
medicines in strict adherence to ancient ayurvedic scriptures. Incorporation of modern
technology for mass production and upholding traditional value make the facilities
well-integrated synthesis of traditional and modernity.
The main equipment used in the production process are;
Red Boiler
Open Pan
Hydrolic Press
Cooker
Micro Pulvansier
Disindicator
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Juicer
CHART No: 5.1.2
STRUCTURE OF PRODUCTION DEPARTMENT
5.2 HUMAN RESOURCE DEPARTMENT
An HR department is an important department in a company. The Human Resource
Department deals with management of people within the organization. There are a
number of responsibilities that come with this title. First of all, the Department is
responsible for hiring member of staff; this will involve attracting employees, keeping
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Manager
Production Officer
Supervisor
Executives
Mechanic
Staff
Amrita Life
them in their position and ensuring that they perform to expectation. Besides, the
Human Resource Department also clarifies and sets day to day goals for the
organization. It is responsible for organization of people in the entire Company and
Plants for future ventures and objectives involving people in the Company.
The human aspect of resource within an organization contributes approximately 8%
of the organization’s value. This implies that if people are not managed properly, the
organization faces a serious change of falling apart. The Human Resource
Department’s main objective is to bring out the best in their employees and thus
contribute to the success of the Company.
The department handles all the personnel aspects of a company as well as training
paying and benefits for your employees. The purpose of having a human resources
department is to establish, develop, maintain and communicate office policies
throughout the entire company and to represent, help, advise and consult with the
employees, while simultaneously keeping the overall best interests of the company in
mind.
A human resource department develops hiring plans and recruiting policies, as
well as handles compensation and salary administration. It also works for affirmative
action and handles employee relations, separations, contracts, performance reviews,
and benefits. Human resource department also develop official documentation,
workplace ethics/code of conduct, employees handbooks, employees training
programs, award/reward programs and community connection as well. Human
resource department is devoted to providing effective policies, procedure, and people-
friendly guidelines and support within company mission, vision, values or guiding
principles, the company metrics, and the factors that keep the company guided
success are optimized.
Employee Recruitment and Selection
Once the recruitment of manpower is known the process of recruitment starts. It
can be defined as the process of identifying the sources for prospective candidates and
to stimulate them to apply for the jobs. In other words, recruitment is the generating
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of applications or applicants foe specific positions.recrutment process of searching for
prospective employees and stimulating them to apply for jobs in the organization.
Selection is the process of offering jobs to one or more candidates from among
those who have applied for the jobs in the organization. The basic purpose of
selection and interview is to ascertain the degree of qualities and abilities of the
prospective candidates.
CHART No: 5.2.1
Employee Recruitment and Selection Process
First, a department head must inform the HR manager of an opening in their
department. Then HR manager must obtain the job description to formulate a
Job Description Sheet for publication either internally, publicly or both. Then
HR must field the (many) response to that job announcement to feed out the
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REVIEW CLIENT REQUIRMENT
ADVERTISEMENT PROCESS
RESUME SELECTION
SQUEEZED INTO 10-20 BEST QUALIFICATION
INTERVIEW
SELECTION
Amrita Life
qualified from the unqualified applicants. Once that is completed, the interview
process must be coordinated. They prepare the job description, contact the
newspaper, run the advertisement, field the calls, compile a list of potential
candidates, submit that list to the department’s hiring manager for approval and
selection, contact the chosen candidates to set up preliminary interviews, and
interview the candidates
Employee Training and Development
Training is concerned with imparting with specific skills for particular purpose.
The term development refers broadly to the nature and direction of change induced
among employees through the process of training and education. It is not necessarily
a guarantee that a candidate who did well in the recruitment exercise is the best in
performance an organization’s functions. New employees need orientation into the
Company’s functions and can also improve some inefficiency that these new
employee may have in relation to their skills. This is the purpose of placing them on
internship
Training is also essential for members of staff who have been working for the
organization for a long time. This is especially so in the wake of technological
advancement, legal changes and changes in service delivery.
As a company and the requirements of a position evolve, a company needs to take
certain measure to ensure a highly skilled workforce is in place. The Human Resource
Department oversees the skill development of company’s workforce, acting as an in-
house training center to coordinate training programs either on-site, off-site or in the
field. This might include on-going company training and outside training seminars.
There are different types of training given to the employees.
Induction training
Sales and marketing
Service training
Communicational training
Equipment Handling training
Operation training
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Employee Compensation Benefits
Ones of the major functions of the HR department are to motivate employees. This
can be done through rewards especially for those who have done well. The HR
departments need to evaluate performance of employees and those who have
exceeded expectations should be compensated for their action. This covers salaries,
bonuses annual occasion, vacation pay; sick leave pay, Worker’s Compensation and
insurance policies such as medical. The Human Resource Department is responsible
for developing and administrating a benefits compensation that will stay on with the
company. When an employee is hired, the company’s Benefits Coordinator is
required to meet with employees one-on-one or in small group setting to explain their
benefits package. This often requires an employee to make an informed decision and
to provide their signature for processing purpose.
Some compensation packages are;
Holiday offers
End of year bonuses
Equities
Awards
Salary increments
Provision of flexible working hours
Straight forward promotion schemes and career developments
Employee Relations
With the increased rise in unethical practices and misbehaviors taking place such
as age, race and religion discrimination, there needs to be mandatory compliance with
governing rules and regulations to ensure fair treatment of employees.
In short, employees need to know they have a place to turn when a supervisor
abuses his or her authority in anyway.
Grievances
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Grievance procedure is a formal communication between an employee and the
management designed for the settlement of a grievance. The grievance producers are;
Open door policy: Under this policy, the aggrieved employee is free to meet the top
executives of the organization and get his grievances redressed.
Step ladder policy: Under this policy, the aggrieved employee has to follow a step by
step procedure for getting his grievance redressed. In this procedure, whenever an
employee is confronted with a grievance, he presents his problem to his immediate
supervisor. If the employee is not satisfied with superior's decision, then he discusses
his grievance with the departmental head. The departmental head discusses the
problem with joint grievance committees to find a solution. However, if the
committee also fails to redress the grievance, then it may be referred to chief
executive. If the chief executive also fails to redress the grievance, then such a
grievance is referred to voluntary arbitration where the award of arbitration is binding
on both the parties.
POLICY FORMULATION
Regardless of the organization's size, company policies and procedures must be
established to ensure order in the workplace. These policies and procedures are put in
place to provide each employee with an understanding of what is expected of them.
Similarly, these policies and procedural guidelines will assist hiring managers in
evaluating their employee's performance. Human resources department must have a
good HRIS in place to automate many functions such as planning and tracking costs,
monitoring and evaluating productivity levels, and the storing and processing of
employee records such as payroll, benefits, and personnel files.
MAKING BETTER USE OF TIME
The Human Resource is conferred with the responsibility of ensuring that all
members of staff perform to their best ability. It could improve this area by
facilitating better use of time in all departments within the organization. Time is one
of the most crucial yet intangible assets of the Company. The proper use of this
resource could maximize production and achievement of organizational goals.
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The Department can do this by planning activities to be carried out in the
organization. It can make schedules for the various activities that have to be done in
the organization and thus facilitate better flow of information. In addition to this, the
Company can also ensure that all members of staff are held accountable for not
performing a certain task. This is especially in regard to maintenance of the schedules.
In so doing, human the Human Resource Department will be ensuring that employees
do not simply report to work and that the spent at work is directly proportional to
output.
IMPROVING ORGANIZATIONAL CULTURE
The Human Resource Department can try to improve organizational culture
through a three step procedure.
The first step of the process is observation. In this step HR finds out what makes ups
or what the company's culture is like. HR should also be very intense on the
organizational needs. Here, HR should realize that personal fulfillment works better
and therefore should try to ensure that the change is relevant to every staff member. In
this stage, HR should try to explain to all staff members or stakeholder the advantage
of transforming the culture in the organization. This should be made clear so that all
can see the advantages at the individual level and not simply at the organizational
level.
Then HR should try to eliminate all inhibitions in staff member's minds. It is
possible that some may claim that they tried one or two strategies before and it did not
succeed. This are what are called 'cries of despair' and HR should try its best to
explain to staff members the need of changing the culture of the organization.
The next step is the analysis of various aspects. Here, there is collection of data
needed in making certain that culture changes. This stage involves checking out the
success features or the factors that can facilitate its success. There should be
calibration of data collected. Staff members should be made to understand that there
are no perfect situations for implementations of changes. The analysis should involve
assessing whether the information is sensible or not. Whether data gathered will be
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helpful or not and if it is too little or too much. Staff members should be requested for
data that will help change the culture.
Of course when trying to bring in change HR Department should have perceived
benefits, a deadline for execution and also the realized gains in relation to the change
in culture. In this step, there should be reality be done often. There should also be
continuous integration. Through this scheme HR Department should be able to change
the culture in the organization and add value to it.
PERFORMANCE APPRAISAL
Performance appraisal is necessary to measure the performance of the employees
and the organization to check the progress towards the desired goals and aims.
Performance appraisal helps to rate the performance of the employees and evaluate
their contribution towards the organizational goals. If the process of performance
appraisals is formal and properly structured, it helps the employees to clearly
understand their roles and responsibilities and give direction to the individual's
performance. It helps to align the individual performances with the organizational
goals and also review their performance. Annual performance appraisal is usually
done by the top management. Quarterly performance is done by line managers. Self
Evaluation is done on daily basis by individual and, monthly by immediate
supervisor.
Self appraisal is an important part of the performance appraisal process where the
employee himself gives the feedback or his views and points regarding his
performance. This is done with the help of a self appraisal for where the employee
rates himself on various parameters, tells about his training needs, if any, talks about
his accomplishments, strengths, weakness, problems faced etc.
Handling people are always difficult and difficult people are always hard to
handle, however with the help of human resource department, employees can work
together as cohesive units to not only solidify the company but to rake in the profits as
well. Human resource personnel understand the psyche of a person so that they can
motivate and stimulate employees to work not only more efficiency but more
effectively as well.
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Thus ultimately the purpose of having a human resource department comes down to
wanting a cordial and friendly atmosphere where employees can work side by side
with their peers to create an effective business mechanism. And also the main
function is to manage people
CHART No: 5.2.2
STRUCTURE OF HR DEPARTMENT
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GENERAL MANAGER
MANAGER (HOD)
ASST. PERSONAL OFFICER
STAFF
Amrita Life
5.3 FINANCE DEPARTMENT
Finance is the science of funds management. The field of finance deals with the
concepts of time, money and risk and how they are interrelated. It also deals with how
money is spent and budgeted. Finance is one of the most important aspects of
business management. Without proper financial planning new enterprise is unlikely to
be successful. Managing money (a liquid asset) is essential to ensure a secure future,
both for the individual and an organization.
Finance department is the life blood of the every organization. Financial
management is concerned with the acquisition, financing and management of asset
with some overall goal in mind .The finance department of a business takes
responsibility for organizing the financial and accounting affairs including the
preparation and presentation of appropriate accounts, and the provision of financial
information for managers.
Finance department is responsible for the financial administration and management
of the company in compliance with the financial rules and the financial guidelines
acting in this company. Finance department concern finance flow management of the
company and is aimed to serving staff, managers, the Board of Directors and securing
the financial health of the company.
Finance department goal and service
The main goal of the department is to provide the internal and external users of
financial statement with relevant, accurate and timely information and to guarantee
that they require financial revision is closely adhered to in order to protect the assets
of the company. The department takes care of finance flow to ensure that the
company operates within its financial regulations and satisfies various external
financial requirements. It also ensures that the corporate financial records comply
with internal and external audit.
The Department there can be picked out the following main service it renders:
Payment of invoice and expenses
Income collection and salary management
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Production and assignment of budgets, capital plans and cash flow forecasts
Monitoring and managing financial plans
Auditing and reporting condition
Giving advice on pricing and costing
The Department plays an important role in the company and the relations
between organizational units. It is closely cooperate with such company’s divisionsas
sales Department, Administration, Warehouse, Deliveries, and Marketing Department
in the fields of payments, audit, revision, account and cash flow. The effective
collaboration is the guarantee that all payments, accounts and deposits will be
processed, covered and closed out. This is important as proper organization of the
finance system inside the company brings the positive and fundamental effect to the
company’s competitiveness, demand and reputation.
Reporting finance – Related tasks
At the end of each day Finance Manager needs to get report on what has been
done during the day. He gets report from the financial staff members and analyzes
performance of each member. For example, to find out whether all outstanding
invoices have been paid, Finance Manager needs to get status report on the tasks ‘Pay
off invoice’. Accountants who are assigned to these tasks can export the tasks view
into MS Excel/SALES FORCE, TALLY file and send the file to Finance Manager as
a report. Such a report in Excel format shows detailed information about task statuses.
The areas covered by the financial department include:
Book keeping procedure
Keeping records of the purchases and sales made by a business as well as
capital spending. These records are typically kept on computer files. Tally is using as
a software for computerized accounting.
Creating a balance sheet and profit &loss account
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Financial statement need to be produced at given time intervals, i.e., at the end of
each financial year. Trial balances are extracted from the ledger entries to create a
Balance Sheet showing the assets and liabilities of a business at the year end. In
addition, records of purchases and sales are totaled up to create a Profit and Loss
(P&L) account.
Providing management information
Managers require ongoing financial information to enable them to make better
decisions. They should give information about how much it costs to produce a
particular product or service, in order to assess how much to produce and whether it
might be more worthwhile to switch to making an alternative product.
Management of tax
The finance department is also responsible for calculating and organizing the
collection of income tax, sale tax, service tax, optical tax, & tax reduction at source
TDS and fire and safety insurance for the inland and export revenue.
Costing
Costing system are components of a broader accounting system used by the
company. The main function of the costing system is to keep a focused eye on
expenditures made by the company. While the data that is collected and generation by
the costing approach allows for easy extraction of the data for reports to upper
management.
The factors that influence in costing of a product are:
Demand of the customer
Market feed back
Volume of the production
Quality
Sales realization section for product
Pricing
57IMK ADOOR
Amrita Life
Price System provides organizations with the visibility to confront project
investment decisions through sophisticated cost estimation products and services.
The factors that affect the price of a product are:
Bill of the raw material
Volume of the production
Inventory caring cost
Sales promotion (sales and marketing cost)
Salary of the employees
Transportation charges
Profit margin
Budgeting
Budget is a document which documents the plan of the business. This include the
objective of business, targets set, and results in financial terms, i.e., the target set for
sale, resulting cost, growth, required investment to achieve the planned sales, and
financing source for the investment. Also budget may be long term or short term.
Long term budgets have a time horizon of 5-10 years giving a vision to the company;
short term is an annual budget which is drawn to control and operate in that particular
year.
Capital budget
This concern proposed fixing asset requirements and how these expenditures will
be financed. Capital budgets are often adjusted annually and should be part of a
longer- term Capital Improvements plan.
Cash budget
Working capital requirements of a business should be monitored at all time to
ensure that there are sufficient funds available to meet short – term expenses.
The cash budget is basically a detailed plan that show all expected sources and uses of
cash.
58IMK ADOOR
Amrita Life
CHART No: 5.3.1
STRUCTURE OF FINANCE DEPARTMENT
59IMK ADOOR
Finance Manager
Assistant Finance Manager
Accountant
Cashier
Amrita Life
5.4 MARKETING DEPARTMENT
Marketing is a social and managerial process by which individuals and groups
obtain what they need and want through creating and exchanging of products and
value with others. Marketing is evitable for the company, economy; Marketing acts a
linking force between organizations, the outside world, its markets and customer. It
has built a bridge between the farms and factories, which has benefited agriculture,
industry and also the society as a whole. The aim of Marketing is to know and
understand the customer so well that the product or service fits him and sells itself. It
is restless and dynamic field. This department has to play the most important role in
the organization compared to all other functions (purchase, production, finance etc.)
of any organization.
Marketing Strategy
An efficient marketing system is working to reach the products to every needy person
through direct distributor and agency. Amrita Life is a holistic approach that
combines AMRITA AND AYUS blessed by Mata Amritananadamayi Devi
affectionally known as Amma this state of art Ayurvedic Medicine manufacturing
unit produces a wide range of traditional ayurvedic medicines, patent and proprietary
medicines, OTC Products, eco-friendly cosmetic products, health supplements and all
types of organic food products.
Through re-establishment ancient and traditional methods of manufacturing
medicines Amrita Life aims to improve the quality of life through various approaches
of ayurveda. Amrita Life’s approach is holistic, taking into consideration not only the
physical but also mental social and spiritual aspect of well being, at Amrita Life
innovative Research and Development is harmoniously blended with traditional
values and ethics.
Amrita Life will export ayurvedic medicines meeting the international quality
requirements and create an impact at global level.
Amrita Life will not sacrifice and science in the process of commercialization.
Amrita life wills not compromising quality of medicines in the interest of
business gains.
60IMK ADOOR
Amrita Life
The major marketing strategies adopted are brand advertisements, agency
developments and meeting the core customers(doctors) through medical
representatives.
Amrita Life is now producing around 250 products. Monthly 5-6 new products are
getting added to this. It is having 35-40 agencies in Kerala including a minimum of 10
agencies per district. Quality of the product is the USP (Unique Selling Point) of
Amrita Life. Major competitors of Amrita Life are:
KottaykalAryaVaidyasala
SD Pharmacy
Sreedhareeum
Cochin AryaVaidysala
SreeBhagavathyMadom
Nagarjuna
FUNCTIONS MARKETING DEPARTMENT
Marketing and sale of products.
Monitoring of sale
Invoice and distribution preparation through computers.
Consumer’s complaint redressed through computerized method.
Sales promotion and market surveying
61IMK ADOOR
Amrita Life
CHART No: 5.4.1
STRUCTURE OF MARKETING DEPARTMENT
5.5 QUALITY CONTROL DEPARTMENT
62IMK ADOOR
Marketing Manager
Marketing Officers
Marketing supervisors
Marketing Assistants
Amrita Life
A well equipped Quality Control department is functioning to ensure the quality of
product. Quality checking is being done at various phase of processing right from the
raw material testing to the finished products.
Quality control is a process by which entities review the quality of all factors
involved in production. They will ensure the quality of the product through out the
development cycle. It is the responsibility of the quality department to insure that each
and every product or services either meets exceeds the quality objectives and
customer satisfaction.
Quality Management
Amrita Life enforces quality assurance measures to meet international standards in
the manufacturing of the ayurvedic medicines. All new materials being used in
ayurvedic formulations are correctly identified on the basis of ayurvedic texts as well
as modern scientific parameters. Good harvesting practices are followed to ensure that
raw materials are hand-picked in the most optimal conditions. Semi processing of raw
material is done with due considerations of factors that enhance self life.
Strict protocols are followed in the manufacturing process and quality checking
will be enforced at every stage. Finished products are tested for consistency and
quality. Packing of finished products is done in hygienic conditions to prevent
contamination. Interdisciplinary research involving the specialties of biotechnology
and nanotechnology will be initiated to bring transparency in the manufacturing
process and the validate them scientifically.
Quality Control Measure
Quality control department is working for the checking and assuring the quality of
each process and each product, they check the quality of raw materials purchasing and
each process of production and finally the product also. A quality controller hands
Quality Control Department. The quality controller should be a doctor. The firm gives
more importance to quality because they are preparing the medicines for the people.
The company's mission is to produce quality products.
Quality Objectives
63IMK ADOOR
Amrita Life
1. Focusing on processes and customer.
2. Developing and encouraging people.
3. Using effective IT.
4. Encouraging creativity, Innovation and Team work
CHART No: 5.5.1
STRUCTURE OF QUALITY & CONTROL DEPARTMENT
5.6 RESEARCH AND DEVELOPMENT DEPARTMENT
64IMK ADOOR
QUALITY CONTROL MANAGER
QUALITY CONTROLLER
CHEMIST
Amrita Life
A well established R&D department is functioning for Amrita Life for the
development of new ayurvedic products. Attached to Amrita Life is a drug laboratory
that has the basic amenities for testing and quality assurance of raw materials and
finished products. The research wing of Amrita Life aims to develop agro-technology
and large scale cultivation of medicinal plants. Research activities are being envisaged
to support and substantiate the classical range of ayurvedic medicines by evidence
generated through laboratory and clinical studies.
Stringent protocols are being developed to determine the true identity of herbs and
raw drugs used in the classical ayurvedic medicines. Research support is provided
with the fine standardization and batch to batch consistency of finished products.
Innovative research is being initiated to discover new herbs and new formulations.
Amrita Life, medicines are produced in a holistic atmosphere with chanting of
mantras. Where design and development of each and every product originates keeping
in mind higher values and social responsibilities towards the common man.
Qualified scientists and dedicated team of quality experts are engaged in the
research activities such as;
1. Raw materials standardization and sharing of the technology with the Industry.
2. Product department with proof in allopathic language.
3. This department does production process standardization.
4. Producing the traditional products in the modern convenient forms.
CHART No: 5.6.1
65IMK ADOOR
Amrita Life
STRUCTURE OF RESEARCH & DEVELOPMENT DEPARTMENT
5.7 MAINTENANCE DEPARTMENT
66IMK ADOOR
R & D OFFICER
TECHNICIAN
ASSISTANTS
Amrita Life
Production of the company depends largely on the maintenance department. In
Amrita Life, preventive maintenance aims to locate the source of trouble and to
remove them before break down occurs. So that the machines are kept in the proper
condition so as to maintain the quality of the product and to have a few rejects.
This section is look after the projects and maintenance of technological aspects of
affairs of the company. This is a section in which mechanical experts are working on
different projects. This section takes over the responsibility of various projects. They
are making efforts to expand the area of performance of the company.
CHART No: 5.7.1
STRUCTURE OF MAINTENANCE DEPARTMENT
5.8 SALES DEPARTMENT
67IMK ADOOR
MAINTENANCE MANAGER
ASSISTANT MANAGER
LABOURERS
Amrita Life
The company had a huge market and on the basis of the market and competition
they fix their selling force. To motivate the sales person they give many incentives of
them. The firm gives commission to the sales man on the basis of the target achieved
by them they give the transportation charges to the sales man. Target fixation is on the
basis of the demand contribution, season, availability of raw-materials etc.
Distribution Network
The distribution system of the company is through its exclusive franchises and
distribution centers all over India. The company being in its budding stage, it is
expands at ayurvedic fast rate, in terms of the number of outlets. According to
Sri.Balakrishnan, Head of Marketing, Amrita Life, and the company opens up a
minimum of five outlets every month. Last quarter of 2012, it had opened up around
15 outlets which include both super stockiest and agencies. It is planning to cover up
the whole of the Kerala market, the birth place of Ayurveda, by June of 2011.
Currently the company is also going through the export licensing formalities, to start-
up overseas operations.
CHART No: 5.8.1
STRUCTURE OF SALES DEPARTMETNT
5.9 INFORMATION SYSTEMS DEPARTMENT
68IMK ADOOR
SALES MANAGER
ASS: SALES MANAGER
AREA SALES MANAGER
STAFF
Amrita Life
To remain competitive in today’s rapidly changes business environment,
organizations rely on information system to provide the data needed to quickly
respond to business opportunities. Computer and information systems mangers play a
vital role in the technological direction of these organizations. Computer and
information systems managers plan, coordination and direct research and facilitate the
computer-related activities of firm. With the explosive growth of electronic commerce
and the capacity of the Internet to create a new relationship with customers, the role of
computer and information systems managers will continue to evolve. Opportunities
for those who wish to become computer and information systems managers should be
closely related to the growth of the occupations they supervise and the industries in
which they are found. This department is important because of the engineering trend
in IT field and the use of computers in the organization as a part of automation. All
the transaction of the company are recorded, processed and transferred in
computerized way.
FUNCTIONS OF THE DEPARTMENT
Preparation of demand sheet
Developing of software for the officers of the organization
Preparation of sheet for product dispatch
Preparation of different documents for accounts section, purchase etc.
CHART No: 5.9.1
STRUCTURE OF INFORMATION SYSTEMS DEPARTMENT
69IMK ADOOR
MANAGER
CORDINATOR
STAFF
Amrita Life
6.1 SWOT ANALYSIS
In a SWOT analysis you identify strengths, weaknesses, market opportunities
for your company, and threats to your business. One way to use the analysis it to then
develop marketing strategies that will minimize the affect of weaknesses on your
business while maximizing your strengths. Ideally, you will match your strengths
against market opportunities that result from your competitors weaknesses avoids.
Swot analysis has been used to identify a company’s Strength, Weakness,
Opportunities and Threats. This analysis helps for analyzing company’s internal
and external competitive situations.
Strength and Weakness of a company includes in Internal factors and
Opportunities and threats are includes in external factors.
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Internal factors
External factors
StrengthStrength WeaknessWeakness
OpportunitiesOpportunities ThreatsThreats
Amrita Life
STRENGTH
Amrita Life has its own patent products
Products produce at reasonable price.
Excellent brand image
Good & Efficient Marketing System
Strong R&D
Good Customer relationship
Concentrated on social wellbeing than profit making
Producing more than 400 products
WEAKNESSES
Less number of Manufacturing Units.
Advertising is comparatively Low.
Shortages of raw materials.
OPPORTUNITIES
Improving more popularity among foreigners
Huge demand for ayurvedic products
Link with tourism area
THREATS
Entry of duplicate product
Cut throat competition
Scarcity of raw materials
Seasonal variations
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Amrita Life
6.2 PORTER’S FIVE FORCES MODEL
Porter’s five forces analysis is a framework for industry analysis and
business strategy development. It draws upon industrial organization (IR) economics
to derive five forces that determine the competitive intensity and therefore
attractiveness of a market. Attractiveness in this context refers to the overall industry
profitability. An "unattractive" industry is one in which the combination of these five
forces acts to drive down overall profitability. A very unattractive industry would be
one approaching "pure competition", in which available profits for all firms are driven
to normal profit.
According to Michal porter the nature and degree of competition in an
industry depends on. The point of forces are represented as follows:
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Amrita Life
PORTER’S FIVE FORCE MODEL
I .RIVALRY AMONG CURRENT COMPETITORS
Cheap Credit facility
Cash Discount and Trade Discount
Relative price
Modernization
Low market growth rate.
Exit barriers are higher.
II. THREAT OF SUBSTITUTES
There is no substitute.
III. BARGAINING POWER OF SUPPLIERS
Suppliers are the persons who supply the raw materials to the firm. The company
purchases the raw materials from outsiders. The bargaining power of the suppliers is
high in a certain extent, because the main raw material contains particular herbs.
IV . BARGAINING POWER OF BUYER
Price sensitive customers
High competition
Quality assurance
Concentration of buyers
V .THREAT FROM NEW ENTRANTS
Aimil Pharmaceuticals
Charak pharmaceuticals
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Amrita Life
7.1 FINDINGS
The major findings of the study are;
Labor turnover is very low.
Most of the employees are attracted towards non-financial incentives.
The company is more concerned with the health and safety of employees.
There is remuneration, job security, employee counselor and sound
leadership which are taken by the management for maintaining
reasonable level of morale.
The company is having a good administration with well planned
organizational structure.
Important competitors of the organizations are Kottaykal Arya
Vaidasala, SD Pharmacy, and Nagarjuna etc.
Workers are recruited through direct.
The company uses other methods of disciplinary actions instead of
punishment, suspension, dispersal and discharge.
The package is not attractive.
The marketing strategy adopted by the company are outdated
Sales have improved year to year
The communication channel in Amrita Life is very good
Good interdepartmental relationship
Good quality policy adopted by the Amrita Life
The company to give the employees in different type of training facilities
Good marketing strategy adopted by Amrita Life
Highly experienced manpower.
The effective relationship between workers and
management helps to attain their goal.
7.2 CONCLUSION
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Amrita Life
Amrita Life Pvt. Ltd, an ISO 9001-2008 certified company is committed to
serve society by producing authentic ayurvedic medicines and promoting the holistic
approach of ayurveda by various means.
It is committed to reviving India’s ancient Science of Life dedicated to
maintaining the highest standards and value of traditional ayurveda, taking advantage
of the latest technologies and innovative methods, with our highly qualified,
experienced and motivated team, we are committed to actively serving India and the
world by providing the highest quality Ayurvedic medicines and treatments available
anywhere. Through the synergy of Science and Spirituality, we are inspired to serve
society for its all-around progress and prosperity.
The most important factor which leads Amrita Life to the highest position is
the employee-management relationship. On company can enter into the top position
without the support of the employees. The marketing strategy and technologies used
in the production process in the production process is the unique feature of Amrita
Life.
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Amrita Life
7.3 SUGGESTIONS
The company should give appropriate recognition for the contribution
and accomplishments made by employees
The management may encourage the employee’s participation in
decision making
To introduce quality circle in the organization.
It is advised to recruit more young talents which would further contribute
towards achieving organizational goals.
Advanced technology must be introduced to enhance production process.
May improve the attractiveness of the packing design
The company may introduce new marketing strategies
Multi skilled employees should be introduced to the organization.
Most of the people are unaware of the ethical products .So the Company
should take necessary step to create awareness among the public.
The company should conduct medical camps in various location to
attract more customers
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Amrita Life
BIBLIOGRAPHY
BOOKS
Kothari C.R , Research Methodology, 2e: wishwa prakashan, New Delhi,1990
Kotler Philp, Marketing Management Prentice- Hall of India Pvt, Ltd.,2002
JOURNALS
Status Report of Amrita Life as on August 2012
WEBSITE
www.ask.com
www.amritalife.com
www.ayurveda.com
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Amrita Life
ABBREVIATION
ADMA- AYURVEDIC DRUG MANUFACTURES ASSOCIATION
USP- UNIQUE SELLING PROPOSITION
GMP- GOOD MANUFACTURING PRACTICES
DPCO- DRUG PRICE CONTROL ORDER
AGM- ANNUAL GENERAL MEETING
SAARC- SOUTH ASIA ASSOCIATION FOR REGIONAL CO-OPERATION.
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