Assignment On Operation MGT

Operations Management Of “GSK” In ENO Production_______________________
The abstract which highlight major features of the project.
 Project Overview
 Introduction
 Purpose Of The Project
 Domain Of Project
 Major Operation
 Scope Of The Project
 Why study OM
 Members Profile
 Team Organization
 Consult With The Professionals
__________________________________________________________________
Department Of Commerce
University Of Karachi page 1 of 94
Project overview
Project Title : Operations Management Of “GSK”

(ENO Production)
Team Organization : Democratic Decentralize (DD)
Started Date :15th March 2009
Ended Date :31st May 2009
Introduction:
We are analyzing Operation management of a multinational organization

“GSK” in ENO Production in this project. This analysis facilitates to know
how the operation management activity functions in an organization & how
people organize themselves for productive enterprise. This analysis provide
a broad understanding that how GSK improve their profitability and enhance
its services to society. This will help you explore the numerous and lucrative
career opportunity in Operation management.
.
Purpose Of The Project:
Purpose is to have a deep understanding of operational management and its

techniques, tools and its ten decision are how applicable and implemented in
an organization. Specially in multinational organization to know about the
strategic planning, controlling, organizing and different managerial skills
and correct implementation of these strategies.
__________________________________________________________________
Domain of the project:

Domain of the project is the basic 10 decisions of operation Management,
that how they implement in an organization.
Major Operations:
For this purpose the following major operations are
 Design of goods and service

 Quality Decision
 Process strategy
 Location Decision
 Layout Decision
 Human Resource management
 Supply Chain Management
 Inventory Management
 Scheduling Decision
 Maintenance Decision
Scope of the project:

The goal of this project is the better understanding of ten decision of
Operation management in any organization. The goal of this project is to
present a broad introduction to the field of operations in a realistic, practical
manner. Having a solid understanding of the role of operations in an
organization is of substantial benefit to you. This report will also help you
understand how OM affects society & your life. Certainly you will better
understand that what goes on behind the scenes when you purchase
__________________________________________________________________
something. Research work has been carried out using all kind of material
from personal interview to Internet.
Why Study OM?

We study OM for four reasons:
1. OM is one of the three major functions of any organizations, and it is
integrally related to all the other business functions. All organizations
market, finance, operation and its important to know how the OM activity
functions. Therefore we study how people organize themselves for
productive enterprise.
2. We study OM because we want to know how goods and services are
produced. The production function is the segments of our society that creates
the product we use.
3. We study OM to understand what operation managers do. By
understanding what these managers do. you can develop the skills necessary
to become such a manager. This will help you explore the numerous and
lucrative career opportunities in OM.
4. We study OM because it is such a costly part of an organization. A large
percentage of the revenue of most firms is spent in the OM function.
Member profile:
Our group consists of the following members:
Sl. # Members Name Seat No.
1. Hira Waris P0757042
2. Rufy Afshan P0757084
3. Tatheer Zehra P0757139

__________________________________________________________________
Team organization:
Our team structure is depends on Democratic/Distributed De-centralized

(DD). It provides extra flexibility for communication and coordination.
Problem solving is done by group consensus. Democratic means all will
work separate and decentralized means no boundary, no leader, and no
central authority in this team organization.
Use of Internet:
The Internet is the biggest source of information now a days. Therefore, we
Decided to use it as much it is required. It is also the source of communication among the
group members.
Consult With The Professionals:

To improve the efficiency the group has decided to keep a information with
the professionals who are working in the GSK
 Muhammad Shakeel Khan

Production officer,
Consumer Health Care
GSK west wharf
.
 Asim ul Hasan
Production Officer,
Consumer Health Care,
GSK west wharf
 Shahid Samad
__________________________________________________________________
Human Resource Departmend Officer

GSK west wharf
 Syed Waris Ali

Head Mechanical Engineering,
GSK west wharf

 Layout Decision
__________________________________________________________________
Operations management focuses on carefully managing the processes to

produce and distribute products and services. Usually, small businesses don't
talk about "operations management", but they carry out the activities that
management schools typically associate with the phrase "operations
management." Major, overall activities often include product creation,
development, production and distribution. (These activities are also
associated with Product and Service Management. However product
management is usually in regard to one or more closely related product --
that is, a product line. Operations management is in regard to all operations
__________________________________________________________________
within the organization.) Related activities include managing purchases,

inventory control, quality control, storage, logistics and evaluations. A great
deal of focus is on efficiency and effectiveness of processes. Therefore,
operations management often includes substantial measurement and analysis
of internal processes. Ultimately, the nature of how operations management
is carried out in an organization depends very much on the nature of
products or services in the organization, for example, retail, manufacturing,
wholesale, etc.
“TEN DECISIONS OF OPERATION

MANAGEMENT”
Ten decisions of Operation Management are;
 Layout Decision
__________________________________________________________________
New product is crucial to the survival of most firms.While a few firms

experience little product change,most firms must continually revise their
products.
Product design is seldom the sole responsibility of the operations

function,but operations is greatly affected by new product introduction and
vice versa.
A Product can be defined as the output of the operations function.Product

definition is the result of the development of a business strategy.Product
decision should be closely coordinated with operations to ensure that
operations is integrated with product design.Through close cooperation
between operations and marketing,the market and product strategy can be
integrated with decisions regarding process,capacity, inventory, work force,
and quality.
Goods & Service Selection
 Product Strategy Options Support Competitive Advantage

 Product Life Cycle
 Life cycle & strategy
__________________________________________________________________
 Product By Value Analysis
Generating New Products

 New products Opportunities
1.Understanding the customer
2.Economic change
3.Sociological & demographic change
4.Technological Change
5.Political/legal Change
6.Other changes(suppliers,distributor,market practice)
 Importance of New Product
Strategies For New Product Introduction

1.Market Driven
2.Technology Driven
3.Interfunctional
__________________________________________________________________
New Product Development Process
__________________________________________________________________
New Product Development Process
__________________________________________________________________
Role Of Quality Control System:
Quality control wan one of the first fields to be approached scientifically by

business organization. The procedures uses by quality control specialists
have evolved apace with the evolution of production processes and statistics
so that now “QC” is perhaps the most highly refined support area of general
manufacturing .As organization grow in size and inspection became more
technical. There was a tendency to group inspectors together and make them
responsible to an inspection supervisor or chief inspector who reported to the
manufacturing manager.
Basic Requrements Of Quality Control System:
To develop a quality control plan ensuring that the final production

conforms to product specifications, it is necessary to accomplish the
following steps.
1. Define what is to be measured.

2. Determine the unit of measurement (inches, pounds, etc) and the
procedure by which it is obtained.
3. Establish the desired level
4. Perform the measurement and compare it to the desired level.
5. Accept or reject the lot, or take action to modify the process.
DATA AND INFORMATION INPUT TO THE

QUALITY MANAGER
__________________________________________________________________
Evaluation lab Sampling plan
Scrap Rework
Vendors Defects
Change control Engineers
QUALTY
Facilities Field service
MANAGER
New product Downtime
Training Mfg.review bd.
Retest Customer
returns
Calibration Inspection
Customer Expenses
complaints
Quality Control Objectives:
__________________________________________________________________
Quality objectives should be set down in specific terms and for a prescribed
period. The following might be the quality control goals of a firm for the
coming year
 Reduce the number of customer complaints to 3 percent

 Reduce the number of customer returns to 2 percent.
 Reduce the maximum work level to 5 percent.
 Lower the per unit quality control and inspection costs by 10
percent.
 Conduct a monthly program for training and updating inspection
personnel.
At the end of the year. Success or failure in meeting these objectives

must be seriously analyzed. The objectives may be either extended or
revised for the following year.
Measures Of Quality:
There are several ways that quality can be measured.thes is as follow
 Grade
 Fitness for use
 Consistency
 Quality conformance
GRADE:
Grading presumes that a scale has been created against which
comparison s can be made.
FITNESS FOR USE:

Fitness for use refers to the degree to which a product satisfies the user.
CONSISTANCY:
__________________________________________________________________
Product or service output that is consistent, and therefore predictable, is a

quality measure.
QUALITY OF CONFORMANCE:
Quality of conformance refers to the degree to which product meets its
design specifications.
Cost Of Quality:
The costs of quality are all of the costs attributable to the production of
quality that is not 100 percent perfect cost of quality considers only those
costs that are the difference between “what can be expected from excellent
performance” and current cost that exist.
There are three basic assumptions needed to justify an analysis of the costs
of quality:
1. The premise that failures are caused.
2. That prevention is cheaper.
3. That performance can be measured.
Classifications Of Cost Of Quality:

The costs of quality are generally classified into three types:
Appraisal costs:
The cost incurred due to the inspection, testing etc, to ensure that the
product or process is acceptable.
Prevention costs:
The sum of all the costs to prevent defects: the costs to identify the causes of
the defect, to implants corrective action to eliminate to cause, to train the
personnel, to redesign the product or system and for new equipment or
modifications.
Failure costs:
a. INTERNAL: The costs incurred within the system :
scrap,rework,repair,etc
__________________________________________________________________
b. EXTERNAL: The costs for defects that pass through the system:
customer warranty replacements. Loss of customer or goodwill,
handling complaints, and product repair.
Process options are available for the product and services. process decision
commit management to specific technology ,quality, human resources use
and maintenances these capital commitments will determined much of the
firms time and cost
A process strategy in an organization approach to transform resources in to
goods and services
THE OBJECTIVE OF PROCESS STRATEGY;

The object of the process strategy is to find a way to produce goods and
services to meet the customer requirement and product specification with in
the cost and managerial constraint
Product focus;
A product focus facility produce high volume and low Varity it require high
fixed cost and low variable cost reward high facility utilization
Process focus;
A production facility organized around process to facilitate low volume and
high Varity process.
Repetitive focus
A product oriented production process that uses modules.
__________________________________________________________________
Facility location decision for both manufacturing and services organizations

may determine the firm ultimate success. Errors made at this juncture may
overwhelm other efficiencies.
Location selection for the manufacturing firms

May need to be near raw material or labor is available
Location selection for the services firms

May need to near customer are available
The strategic importance of the location

One of the most important strategic decision made by the companies is the
location of the company where to locate an organization once manger is
committed to a specific location many cost are firmly placed and difficult to
reduced it
The location decision is depend upon the type of the business , location
ultimately the power to make or break the company for industrial location
the strategy is to minimizes the cost where as to retail and services
organization is concern strategy focus is to maximizing the revenue ware
house strategy is to however is the combination of the cost and speed
delivery in general the objective is to maximized the benefit of the location
to the firm
Companies make the location decision relatively infrequently usually
because demand has out grown the current plant capacity or because of
changes in the productivity cost or local attitudes.
Companies may also relocate the their manufacturing or services facilities
because of shifts in the demographics and customer demand
__________________________________________________________________
Location option
Location option include the following
 Expanding an existing facility instead of moving

 maintaining the current sites while adding the another facility
 closing the existing facility and moving to another location
firms through the world using different kinds of techniques and tools to
make the strategy of the location
Factors that Affect Location Decision
Country Decision
 Government rules, attitude, stability, incentives
 Cultural and economic issues
 Location of the markets
 Labor affordability , attitudes productivity and cost
 Availability of the supplies communication and energy
 Exchange rate
Community decision
 Corporate desires
 Attractiveness of the region
 Labor availibity,costs,attitudes towards unions
 Environmental regulation of town
 Governmental incentives
 Proxity to raw material and customers
 Land and construction cost
Site decision
 Site sixe and cost
 Air, rail,and water way system
__________________________________________________________________
 Zoning restrictions
 Nearness of the servicese
 Environmental impact issues
Labor productivity
Labor cost in many under developed contry are now one third of those in
the developed nations however cost is the 15%of the manufacturing
costthe difference may not over many oter disadvantages of the low labor
cost countries
Proximity to markets:
For many firms it is extremely important to locate near customers
particularly ,services organizations like post office barber and drugstores
Proximately to suppliers:
Companies usually depend on the huge bulk of the inventory for this
huge transport cost is incurred to curtail the transportation expenses
company want to built companies where transportation cost is less.
Methods of evaluating location alternatives

 The Factor Rating Method
 Locational Breakeven Analysis
 Services Location Strategy
 Purchase Power Of The Customer
 Competition In The Area
 Quality Of The Competition
 Operating Policies Of The Firm
 Quality Of The Management
__________________________________________________________________
What is Facility Layout

 Location or arrangement of everything within & around buildings.
 Objectives are to maximize:
 Utilization of space, equipment, & people.
 Efficient flow of information, material, & people.
 Employee morale & safety.
 Trend is towards flexible and dynamic layouts.
 Helps achieve competitive advantage:
 Better, faster, cheaper.
 Determines productivity, cost, quality, flexibility, image, etc.
 May involve a blend of strategies
Six Layout Strategies
 1. Fixed-position layout.
 For large unique projects such as ships and buildings.
 2. Office layout.
 Positions workers, equipment, and spaces/offices to provide for
movement of information and material.
 3. Process-oriented layout.
 For low-volume, high-variety production.
 4. Retail/service layout.
 Arranges facility and allocates shelf space in light of customer
behavior.
 5. Warehouse layout.
 Addresses trade-offs between space utilization and material
handling.
 6. Product-oriented layout.
__________________________________________________________________
 For repetitive or continuous production.
Requirements for a Good Layout
 Understand capacity and space requirements.

 Understand information flows.
 Understand cost of people and product flows.
 Select appropriate material handling equipment.
 Consider environment and aesthetics.
 Consider safety and regulations.
Constraints on Layout Objectives
 Product/service design.
 Volume of business.
 Process equipment & capacity.
 Quality of work life.
 Building and site.
1. Fixed-Position Layout
 Project is stationary.
 Special purpose: Construction, shipbuilding, etc.
 Workers and equipment come to site.
 Complicating factors.
 Limited space at site.
 Changing material needs.
 Unique projects.
2. Office Layout
 Positions people, equipment, & offices.

 Usually for maximum information flow.
 Also can consider material flow.
__________________________________________________________________
 Arranged by process or product.

 Example: Payroll dept. is by process.
 Different cultures have different expectations for space.
 Relationship (or proximity) chart used.
Photocopier President’
s sSecretar
y
(5) (4) President
Corrido
r (1)
Engineering Costin
(3) g (2)
4. Process-Oriented Layout
 Place departments with large flows of material or people close

together.
 Similar processes and equipment are located in close proximity.
 For example, all x-ray machines in same area.
 Used with process-focused processes.
 Low volume, high variety.
Process-Oriented Layout Advantages

 Flexibility.
 Allows wide variety of products.
 Low fixed costs for general purpose equipment.
 Breakdown of one machine or worker does not stopprocessing.
Process-Oriented Layout Disadvantages

 Scheduling is difficult.
 High variable cost.
 High work-in-process inventory and waiting.
__________________________________________________________________
 High labor skills required.
5. Retail/Service Layout
 Maximize product exposure to customers.

 Maximize profitability per square foot of floor space or per
linear foot of shelf space.
 Decision variables:
 Arrangement of store.
 Store flow pattern.
 Allocation of (shelf) space to products.
 Locate high-draw items around the periphery.
 Use prominent locations (end aisle locations; first or last aisle) for
high-impulse and high margin items.
 Remove crossover aisles to prevent customers from moving between
aisles.
 Distribute “power items” (that dominate a shopping trip) around store
to increase the viewing of other items.
 Locate far apart.
 Locate on both sides of an aisle.
6. Warehouse Layout
 Balance space utilization & handling cost.

 Similar to process layout.
 Items moved between loading docks
& various storage areas.
 Optimum layout depends on:
 Variety of items stored.
 Number of items picked
7. Product-Oriented Layout
__________________________________________________________________
 Used with product-focussed processes.

 Facility organized around product.
 High volume, low variety.
Types:
 Fabrication line - Builds components.
 Assembly line - Assembles components into products.
 Divide work into small tasks. To be done by workers or machines.
 Assign tasks to workstations.
 Balance output of each workstation.
 To smooth operations of the line.
 To make workload equal.
 To minimize idle time.
 To achieve desired output.
 Standardized product.
 High production volume.
 Stable production quantities.
 Uniform quality of raw materials & components.
Product-Oriented Layout Advantages
 Lower variable cost per unit.

 Lower material handling costs.
 Lower work-in-process inventories.
 Rapid throughput.
 Easier training & supervision.
Product-Oriented Layout Disadvantages
 Higher capital investment for special equipment.

 Any work stoppage stops whole process.
 Lack of flexibility in volume and product.
__________________________________________________________________
Work force focused on the technical skills and labor standards can be
consistent output based wage system possible
People are an integral and expensive part of an organization. Therefore, the
quality of work provide the life to an organization the talent and skill
required and their cost must be determined
The Objective Of A Human Resources Strategy

The objective of a human resources strategy is to manage labor and design
jobs so people are effectively and efficiently utilized as we focus on a human
resources strategy we want to ensure that people.
 Are efficiently utilized with in the constraints of other operations

management decisions.
 Have a reasonable quality of work life in an atmosphere of mutual
commitment and trust
Distinct Decision Area Of Human Resources Strategy
 Labour Planning
 Job Design
 Labour Standards
__________________________________________________________________
Labour Planning
A means of determining staffing policies dealing with employment stability
and work schedules
 Employment Stability Policies

 Work Schedules
 Standards Work Schedules
 Flexible Time
JOB DESIGN
An approach that specifies the tasks that constitute the job for an individual
or a group.
 Labor Specialization
 Job Expansion
 Motivation And Incentive Systems.
__________________________________________________________________
A supply chain is the group of components (suppliers, distribution points,

transportation providers) necessary to bring your product from its raw
material state to the end user. Supply chain management is the term used for
controlling and regulating your supply chain. Supply chain management
(SCM) is the combination of art and science that goes into improving the
way your company finds the raw components it needs to make a product or
service and deliver it to customers
.
Components of Supply Chain Model
A simple supply chain model consists of four components:
 Supplier: supplies the raw materials

 Manufacturer: produces the product
 Warehouse or Distribution Center: Stores and ships the product
 End User: receives the product
__________________________________________________________________
Supply Chain Strategies

 Many Suppliers
 Few Suppliers
 Vertical Integration
 Keiretsu Networks
 Virtual companies
__________________________________________________________________
Managing The Supply Chain

 Mutual Agreement on Goals
 Trust
 Compatible organizational Cultures
Issues in An Integrated Supply Chain
 Local optimization
 Incentives
 Large lots
Opportunities in An Integrated Supply Chain
 Accurate pull data

 Lot size Reduction
 Single Stage Control of Replenishment
 Vendor managed Inventory
Vendor Selection
 Vendor evaluation
 Vendor Development
 Negotiations
Supply Chain Activities/Functions:

Supply chain management is a cross-function approach to manage the
movement of raw materials into an organization, certain aspects of the
internal processing of materials into finished goods, and then the movement
of finished goods out of the organization toward the end-consumer. As
__________________________________________________________________
organizations strive to focus on core competencies and becoming more

flexible, they have reduced their ownership of raw materials sources and
distribution channels. These functions are increasingly being outsourced to
other entities that can perform the activities better or more cost effectively.
Supply chain activities can be grouped into
 Strategic
 Tactical
 Operational
Logistics Management
 Distribution System
 Cost of shipping Alternatives
 Logistics,Security & JIT
Logistics management ensures the successful acquisition of goods and

services from outside the organization. Of all the knowledge areas, this is
often the area of least involvement.It is better to subcontract critical
dependencies only within your own country for timely support by the legal
system. Never outsource a core competency without a great deal of
hesitation. Be aware that vendors can and do subcontract your work. If (or
when) this occurs, the problem resolution path will lengthen. Depending on
scheduling concerns, timing and pressures, it may be critical to know and
have access to the real suppliers of service, despite what contract law
advises. Know if you have influence or control over vendor selection. In
global companies, it’s not always possible to control to whom work is
contracted because of other considerations. Beware of international holidays
and their potential effect on delivery dates.
Warehousing and logistics provider, DDC can help you manage:
 Trucking
 Warehousing
 Distribution
__________________________________________________________________
 Freight Forwarding
 Air Freight
 Ocean Freight
 International Shipping
Inventory decision can be optimized only when customer satisfaction, and

supplier , production schedules, and human resources planning are
considered
In manufacturing goods inventory of the raw material, work in process and
finished goods may be inventoried
As far as services business is concern other ways are to be found to
accommodate changes in the demand
Functions Of The Inventory
 To provide the stock of the goods to meet anti cipated customer

demand and provide a selection of the goods.
 To decouple suppliers from production and production from
distribution for example if the supplier ,s fluctuate , extra raw material
is available to decouple the production process siilarily if the product
demand is high so it can avoid the cost of the shortage and stockouts
such procedures is the decouple s production from distribution
 To take disadvantage of the quantity discount
 To hedge against the inflation and upward price changes
 To protect against delivery variation
__________________________________________________________________
 Safety stock or extra goods on the hands can reduce the risk of the
shortage
 It permit the operation to continue smoothly
INVENTORY MANAGEMENT
Inventory management system is for the managing the inventory ingredients
of the systems is how to classified called abc analysis
a. A. b. c. analysis
b. Record accuracy
c. Cycle counting
Abc Analysis:
A method for dividing the on hand inventory into three classifications based
on the annual dollar volume
Types Of The Iventory

There are four types of the inventories
 Raw Material Inventory
 Work In Process Inventory
 Maintenances And Operating Supply (Mro) Inventory
 Finished Goods Inventory
Inventory Models
 Holding Cost
 Ordering Cost
 Setup Cost
__________________________________________________________________
 Setup Time Cost
HOLDING COST: The cost to keep or carry inventory in stock.
ORDERING COST; The cost of the ordering the process.
SETUP COST: The cost to prepare a machine or process for production
ECONOMIC ORDER QUANITY:The objective is to minimized the cost

like ordering and carrying the cost of inventory
Schedule
A schedule is a timetable for performing activities, utilizing resources, or
allocating facilities, the purpose of operations scheduling in the job shop is
to disaggregate the master production schedule into time-phased weekly,
daily, or hourly activities. It can also define as the planned workload on the
productive system in the very short rum.
In designing scheduling and control system, provision must be made for
efficient performance of the following functions:
1. Allocating orders, equipment, and personnel to work centers or other

specified locations, essentially this is short-run capacity planning.
2. Determining the sequence of order performance; that is, establishing

job priorities.
3. Initiating performance of the scheduled work. This is commonly

termed as dispatching of orders.
__________________________________________________________________
4. Shop floor control(or production activity control)involving:
a) Reviewing the status and controlling the progress of orders as

they are being worked on.
b) Expediting late and critical order.
5. Revising the schedule in light of changes in order status
Priority Rules For Allocating Jobs To Machines:
Five of the more common rules are:

1) FCS: first come first served; orders are running the order they arrive
in the department
2) SOT: shortest operation time; orders are run in the inverse order to
the time required to process item in the department, this is identical to
SPT shortest processing time,
3) Due date: earliest due date first; run the job with the earliest due date.
Date when referring to the entire job; OPND - when referring to the
next operation.
4) Start date : due date minus normal lead time(run the job with the
earliest due date first)
5) STR: slack time remaining; this is calculated as the difference

between the time remaining before the due date minus processing time
remaining. order with the shortest STR are run first.
__________________________________________________________________
Schedule Evaluation Criteria
The following constitute standard measures of scheduled performance and

are used to evaluate prior rules:
1) Meeting due date of customer and or downstream operation.

2) Minimizing flow time (the time a job spends in the shop).
3) Minimizing WIP.
4) Minimizing idle time of machine and workers.
Hiearchy And Location Of Maintenance:

__________________________________________________________________
Organizationally, the maintenance management manager may report to the

production manager, the plant manager, or, perhaps the plant engineer. His
or her responsibilities typically include equipment maintenance and building
and building service maintenance.
Classes Of Maintenance:
There are three general classes or type of maintenance.
 Remedial maintenance
 Preventive maintenance
 Conditional maintenance
Remedial maintenance:
Remedial maintenance refers to carrying out a repair, replacement, or

complete over haul of a piece of equipment when it breaks down.such work
can be perform immediately after a breakdown occur.
Preventive maintenance:
It refers to maintenance performed prior to breakdown and may be either in
nature, such as simple adjustment. A preventive maintenance program may
include provision for immediate repair or overhaul after a breakdown or over
haul for predermined time periods.
Conditional maintenance:
it refers to overhaul or repair that is not performed on the basis of
inspecting and measuring the state of the equipment. If the equipment passes
the test, it might be allowed to operate until it breakdown or until it has
reached a certain number of operating hours, after which it is replaced,
overhauled, or repaired.
__________________________________________________________________
Do more
feel better &
live Longer
__________________________________________________________________
 GSK Mission
 GSK Vision
 Did You Know Glaxosmithkline Globally
 Corporate And Social Responsibility
 What Is GSK For Their Employees?
 GSK At A Glance
 Corporate Functions
 GSK In Karachi
 Quality Performance Indicator
 GSK Management System
 Mintzbergh Managerial Role In Gsk
__________________________________________________________________
__________________________________________________________________
GlaxoSmithKline`s
vision is Exciting the
Opportunity to make a
difference to the lives of
billions of people Our vision
is to achieve sustainable
competitive business
advantage through
leadership
and excellence in
environment, health and
safety.
GSK is a recognized leader
in protecting and enhancing
the health of its employees
globally,
enabling sustainable
business success.
Did You Know??
Galaxo Smith Kline
__________________________________________________________________
Globally……
 The only pharmaceutical company tackling the

three WHO “priority” diseases: HIV/AIDS,
Tuberculosis and malaria.
 Four billion packs of the medicines and healthcare

products manufactured yearly.
 Over 15000 people working to discover new drugs.
 65 million compounds screened every year
 A quarter of the world’s vaccines supplied by

GSK
 More than 100 countries benefit from our

humanitarian product donations
Corporate and Social Responsibility
__________________________________________________________________
(CSR)
“GSK believes that our business makes
a valuable contribution to society by
Developing And marketing medicines
And Consumer health care products
Which improves people’s lives?”
What is GSK for their Employees?

__________________________________________________________________
“GSK is a dynamic “GSK is like a learning

and global company. academy, where there is
Each day presents a an immense opportunity
new challenge.” to apply, practice and
grow!”
“The place to be
with diversified jobs, “GSK provides ample
people, culture and a career development
company that opportunities to those
sincerely cares for its who work hard and are
internal and external open to change and
customers with a learning.”
desire to do more
feel better and live
longer”
__________________________________________________________________
COMMITMENT
TO
CORPORATE RESPONSIBILITY
GSK is committed to connecting business decision to ethical. Social and

environmental concerns. Thus, corporate responsibility is an integrategral
and part of tha way GSK does business.
COMMUNITY INITIATIVES
GSK makes donations of money, medicines, vaccines time and equipment to
support good causes. Our community investment strategy focuses on
improving health and education in under served communities.
EMPLOYEES INVOLVEMENT
GSK employees are encouraged to contribute to their local communities
through employee volunteering schemes.
RESEARCH AND INNOVATION
The most important element of corporate responsibility for us is the

contribution our products make to health.
GSK Is involved in various public/ private partnership projects.
__________________________________________________________________
GSK At A Glance
 Our mission is to improve the quality of human life by enabling
people to do more, feel better and live longer
 We are a research-based pharmaceutical company
 We are committed to tackling the three "priority" diseases
identified by the World Health Organization: HIV/AIDS,
tuberculosis and malaria
 Our business employs around 99,000 people in over 100 countries
 We make almost four billion packs of medicines and healthcare
products every year
 Over 15,000 people work in our research teams to discover new
medicines
 We screen about 65 million compounds every year in our search
for new medicines
 We supply one quarter of the world's vaccines and by the end of
February 2009 we had more than 20 vaccines in clinical
development
 January 2008 marked the tenth anniversary of our programme to
help eliminate lymphatic filariasis (elephantiasis). During those ten
years we donated 750 million albendazole tablets, reaching over
130 million people
 In 2007 we marked 15 years of our Positive Action programme
that helps communities living with HIV/AIDS
 In the developing world, we provide certain medicines at
preferential prices ensuring that the poorest can still benefit from
our treatments and vaccines
 Many of our consumer brands are household names: Ribena,
Horlicks, Lucozade, Aquafresh, Sensodyne, Panadol, Tums,
Zovirax.
__________________________________________________________________
Corporate Functions
M. Salman Burney - Managing Director
Dr. Muzaffar Iqbal - Technical Director, Global Manufacturing and Supply
Pervaiz Iqbal Awan - Director Sales
Maqbool Ur Rahman - Director Sales
Erum Shakir Rahim - Director Marketing & Business Development
Javed Ahmedjee - Director Finance, IT & Logistics
Shahid M. Qureshi - Director Legal, Corporate Affairs, IR, Admin and

Regulatory
Fariha K. Salahuddin - Head of Human Resource and Organisational

Development
Dr. Ahmad Atif Mirza - Director Medical Affairs and R&D
Sohail Matin - Country Manager, Consumer Healthcare
__________________________________________________________________
GSK In Karachi
35- Dockyard Road, West
Wharf, Karachi- 74000.
Telephones: 111-GSK-PAK (111-475-725)
Fax: 2314898 and 2311122
94, Deh Landhi,

Karachi.
Telephones: 5015040-44
Fax: 5015515
F/268, S.I.T.E,
Near Labour Square,
Karachi-75700
Telephones: 2599999
Fax: 2572613 and 2570360
B/63, Estate Avenue S.I.T.E,

Karachi.
Telephones: 2561200-7
Fax: 2564797
__________________________________________________________________
QUALITY PERFORMANCE
INDICATORS
PERFORMANCE
TARGET THIS MONTH YTD
INDICATOR
BNRFT 10.11% 1.18% 3.09%
Customer complaints (NO.S) NIL NIL
Line clearance failure

NIL NIL NIL
/rogue
DEPARTMENT: CHC MONTH: FEBRUARY 2009
__________________________________________________________________
GSK Management System
Board
Manufacturi Other major

Finance Marketing Quality ng function
Design Manufacturing Customer

Administration
reliability quality control support
Overall evaluation
Reliability program planning
Quality planning Field engineering
engineering and
Component Quality control Performance data Budget and

engineering engineering collection controls
Environmental test Test equipment

Statistical services
laboratory engineering
Material and
Data processing
processes Inspection and test
and analysis
laboratory
Standards
laboratory
__________________________________________________________________
Mintzbergh Managerial
Role In GSK
Formal authority
 Informative role
 Interpersonal role
 Decisional role
Informative role
 Monitor
 Disseminator
 Spoke person
Interpersonal role;
 Figure head
 Leader
 Liaison;
Decisional role;
 Entrepreneurship
 Disturbances Handler
 Resources Allocator
 Negotiator
__________________________________________________________________
 ENO
 Yearly Volume ENO Sachet
 Yearly Volume ENO Bottles
 Packaging Process of ENO Bottles

 GSK launches ENO Pudina
__________________________________________________________________
 Safety Data Sheet of ENO
 EHS Report Of ENO
ENO
ENO is an antacid powder which is mixed with
water to produce a sparkling antacid drink for the
temporary relief of heartburn & acid indigestion
caused by too much food and/or drink.
ENO is the most global of GSK's gastrointestinal products. The fast-acting

effervescent fruit salts, used as an antacid and reliever of bloatedness, was
invented in the 1850s by James Crossley Eno. It has sales of nearly £30
million, with its major markets being Spain, India, Brazil, South Africa and
Thailand. It is frequently used as as substitute for baking powder.
ENO is a range of antacid products that treat the symptoms of heartburn

and gastric discomfort. It is available in different flavours and pack formats.
Indications: Condition where long term or short term

maintenance of alkaline urine is desirable. In condition where
temporary relief from minor gastric upsets is desired. In
__________________________________________________________________
combination with antibiotics; when the effectiveness

of an antibiotic is increased in the presence of alkaline urine.
Description:
Eno is an antacid powder which is mixed with water to produce a sparkling
antacid drink for the temporary relief of heartburn & acid indigestion caused
by too much food and/or drink.
YEARLY VOLUME ENO SACHET
ENO SACHET PACKS IN MILLIONS
__________________________________________________________________
18
16 15.33
SACHET IN MILLION 14
12
10
8 5.83
6
4
2
0
2007 2008
YEAR OF PRODUCTION
YEARLY VOLUME ENO BOTTLES
__________________________________________________________________
ENO BOTTLE PACKS IN MILLION
1.4
1.2
1.2
PACKS IN MILLION
0.8
0.6
0.4 0.35
0.2
0
2007 2008
YEAR OF PRODUCTION
PACKAGING PROCESS OF ENO

BOTTLES
__________________________________________________________________
Bottle blowing
Bottle line for cleaning
Filling
Manual Capping
Manual sieving
Printing
__________________________________________________________________
GSK launches ENO Pudina

GlaxoSmithKline Consumer Healthcare (GSKCH) has announced the
introduction of ENO Pudina. With the launch of the pudina flavoured
variant, the company has expanded its portfolio of products in the antacids
segment.
Retaining the well-accepted proposition of significant action, starting within

six seconds, the new variant of ENO, would gain from the naturally soothing
effect of the pudina herb. The new combination would offer quick and
effective relief from the discomfort of acidity. “Pudina has a long heritage of
use as a carminative in digestive disorders. Since times immemorial, pudina
has been used and recommended for digestive disorders,” says Trupti
Bhandari, Marketing Manager of GlaxoSmithKline Consumer Healthcare
India. “The main ingredients of Eno Pudina are Svarjikshara and
Nimbukamlam which provide the fast action, while pudina provides the
benefit of cooling and numbing the oesophagus (food pipe), enhancing the
perception of relief.”
ENO Pudina has neutralised acid, both in the stomach, as well as, refluxed
acid in the oesophagus (food-pipe). This ability to neutralise stomach acid,
in addition to refluxed acid in the oesophagus, makes it a remedy of choice
for fast and effective relief against both acidity and heartburn.
The launch of the pudina variant is expected to expand the market for
antacids and enhance the equity of the brand ENO accrued over a period of
34 years. ENO Pudina is a pan-India launch, covering the North, West, East
and key markets of South.
__________________________________________________________________
SAFETY DATA SHEET

Material ENO FRUIT SALTS
COMPOSITION / INFORMATION ON
INGREDIENTS
Ingredients CAS RN Percentage
SODIUM BICARBONATE 144-55-8 46.4
CITRIC ACID 77-92-9 43.6
SODIUM CARBONATE 497-19-8 10
HAZARDS IDENTIFICATION
Fire and Explosion Assume that this product is capable of sustaining
combustion.
Health Handling this product in its final form presents minimal risk from
occupational exposure.
Health effects information is based on hazards of components.
Environment No information is available about the potential of this product
to produce
adverse environmental effects.
FIRST-AID MEASURES
__________________________________________________________________
Ingestion Never attempt to induce vomiting. Do not attempt to give any

solid or liquid
by mouth if the exposed subject is unconscious or semi-conscious. Wash
out the mouth with water. If the exposed subject is fully conscious, give
plenty of water to drink. Obtain medical attention.
Inhalation Physical form suggests that risk of inhalation exposure is
negligible.
Skin Contact Using appropriate personal protective equipment, remove
contaminated
clothing and flush exposed area with large amounts of water. Obtain
medical attention if skin reaction occurs, which may be immediate or
delayed.
Eye Contact Wash immediately with clean and gently flowing water.
Continue for at least
15 minutes. Obtain medical attention.
NOTES TO HEALTH PROFESSIONALS
Medical Treatment None.
Medical Conditions Caused or Aggravated by Exposure None for
occupational exposure.
Antidotes No specific antidotes are recommended.
FIRE-FIGHTING MEASURES
Fire and Explosion Hazards The combustibility of the product is not
known, however the packaging is
combustible.
Extinguishing Media Water or foam extinguishers are recommended.
Carbon dioxide or dry powder extinguishers may be ineffective.
Special Firefighting Procedures For single units (packages): No special
requirements needed.
For larger amounts (multiple packages/pallets) of product: Since toxic,
corrosive or flammable vapours might be evolved from fires involving this
product and associated packaging, self contained breathing apparatus and
full protective equipment are recommended for firefighters.
If possible, contain and collect firefighting water for later disposal.
Hazardous Combustion Products Toxic, corrosive or flammable thermal
decomposition products are
expected when the product is exposed to fire.
__________________________________________________________________
ACCIDENTAL RELEASE MEASURES

Personal Precautions Wear protective clothing and equipment consistent
with the degree of
hazard.
Environmental Precautions For large spills, take precautions to prevent
entry into waterways, sewers, or
surface drainage systems.
Clean-up Methods Collect and place it in a suitable, properly labelled
container for recovery or
disposal.
DecontaminationProcedures No specific decontamination or detoxification
procedures have been
identified for this product.
HANDLING AND STORAGE

HANDLING General Requirements No special control measures required
for the normal handling of this
product. Normal room ventilation is expected to be adequate for routine
handling of this product.
EXPOSURE CONTROLS/PERSONAL
PROTECTION
* STORAGE No storage requirements are considered necessary for the
control of fire
and explosion hazards.
None required for normal handling. Wash hands and arms thoroughly after
handling.
STABILITY AND REACTIVITY

Stability This product is expected to be stable.
Conditions to Avoid None for normal handling of this product.
__________________________________________________________________
TOXICOLOGICAL INFORMATION
Oral Toxicity Not expected to be toxic following ingestion.
Skin Effects Irritation is not expected following direct contact.
Eye Effects Irritation is not expected following direct contact with eyes.
Sensitisation Sensitisation (allergic skin reaction) is not expected.
Genetic Toxicity Not expected to be genotoxic under occupational exposure
conditions.
Carcinogenicity Not expected to produce cancer in humans under
occupational exposure
conditions. No components are listed as carcinogens by GSK, IARC, NTP
or US OSHA.
Reproductive Effects Not expected to produce adverse effects on fertility or
development under
occupational exposure conditions.
* Other Adverse Effects None known for occupational exposure.
ECOLOGICAL INFORMATION
Summary No information is available about the potential of this product to
produce
adverse environmental effects. Local regulations and procedures should be
consulted prior to environmental release.
DISPOSAL CONSIDERATIONS
Disposal Recommendations Collect for recycling or recovery if possible.
The disposal method for
rejected products/returned goods must ensure that they cannot be re-sold or
re-used.
Regulatory Requirements Observe all local and national regulations when
disposing of this product.
__________________________________________________________________
GSK’S EHS Report

General Safety and Security Rules
The following are some of the reasons for which an employee of a contractor
may be temporarily orpermanently removed from GSK premises.
Possession or use of alcoholic beverages,regulated drugs not prescribed by
a physician,explosives, firearms, ammunition, other weapons,cameras and
recording devices
Smoking
Deliberate violation of safety or security rules
Illegal dumping, handling, or disposal of hazardous materials
Sexual harassment of any individual or group while on GSK premises
Destruction or removal without written permission of any property
belonging to GSK, the property owner, employee, or other contractors or
employees
Abuse, defacement, or destruction of property, as well as posting of
unauthorized signs, notices
Safety Permits and Procedures

Obtain a permit or approval through your supervisor before:
Working on fire protection/detection systems
Doing burning, welding, cutting, soldering, grinding, or other hot work
Working on an electrical circuit
Entering confined spaces (these will be identified by your supervisor)
Moving emergency equipment (fire extinguishers,first aid kits, etc.)
Turning off any utility (electrical, compressed air,steam, etc.). Each
individual working on a system must install their own lockout device on the
piece of equipment as directed by their supervisor. In addition, GSK
Facilities Operations will shut down and start up operating utilities.
__________________________________________________________________
Environmental Issues
Hazardous Waste Management
Contractors are responsible for the safe use and disposal of any chemicals
brought onto a GSK site, and are limited as to the amount of hazardous
chemical
they may store on GSK property. Contractors that generate hazardous waste
on site must notify Environmental Health and Safety for disposal
directives.Do not store more than 55 gallons of hazardous waste
or one quart of acutely hazardous waste without written approval from
Environmental Health and Safety.
Waste containers must be clearly labeled as to their contents.
Waste must not be transferred between GSK facilities.
Do not dispose of hazardous and chemical waste in company dumpsters.
The disposal of waste materials such as asbestos, lead paint, hazardous

construction debris, or contaminated soil resulting from demolition,
excavation, or
maintenance activities that are not the result of hazardous materials or
petroleum products brought on site by a contractor must be approved by
GSK.
Spill Prevention and Control

Use appropriate protective procedures such as double containment,
employee training, overflow protection, and other measures as part of
activities involving the use, storage, or handling of petroleum products or
hazardous materials on GSK property.
Containers of hazardous materials and petroleum products should be stored
in order to prevent releases to the environment. This requires selecting
locations
and methods to minimize exposure to rainfall, surface water, and the ground.
Enclosures, shelters, and secondary containment should be used where
appropriate.
__________________________________________________________________
Electrical Safety
Only qualified electricians are permitted to work on electrical systems and
equipment that uses or controls electrical power.
Do not operate electrical tools or equipment in wet areas or areas where
potentially flammable dusts, vapors, or liquids are present, unless
specifically
approved for the location.
In areas where water or moisture is present or likely to be present, use
ground fault circuit interrupters (GFCI) on power circuits. If permanent plant
power circuitsare not GFCI, use a portable GFCI box with electrical tools
and equipment. Test interrupters on a regular basis.
Should a circuit breaker or other protective device “trip,” ensure that a
qualified electrician checks the circuit and equipment and corrects problems
before
resetting the breaker.
No solvents, paints, or similar flammable, toxic, or irritating materials may
be used in areas occupied by GSK employees unless specifically approved in
writing by an authorized Environmental Health and Safety representative
Maintain adequate ventilation when paints or solvents are used
__________________________________________________________________
Use proper respiratory protection and protective clothing

Use flammable solvents and materials with extreme caution
Store flammable paints and solvents in approved flammable liquid storage
cabinets if inside buildings
Closing Statement
GSK has a duty to provide a safe workplace that is free from recognized
hazards. Because of the number of contract activities on GSK premises,
GSK is providing
this handbook to contract employees as part of its safety program to protect
its people and property. It is the responsibility of contractors to ensure that
their
employees perform work in a safe manner and in a safe work environment.
Contractors must train, supervise, and direct their employees concerning
compliance with safety rules, including those required by GSK for work on
its premises. This manual is not intended to nullify or assume responsibility
that contractors owe to their employees or to other persons
CEHS Mission:
In order to achieve its vision,CEHS will provide:
 Leadership for the integrated, global effort within GlaxoSmithKline
on
Key EHS issues;
 Governance of EHS performance;
 Support for GlaxoSmithKline businesses with tools, technology,
information and knowledge;
 Innovation and continuous improvement for unified EHS systemsand
approaches.
__________________________________________________________________

 Layout Decision
__________________________________________________________________
1.DESIGNS OF GOODS
AND SERVICES
Product strategy focus on developing a competitive advantage with respect
to differentiation, low cost, rapid response. Product design is critical in the
highly competitive pharmaceutical organization. GSK keep in touch with
their customers and they respond to the market place. With changing
consumer tastes, compounded by material changes and ever improving
product production, the design function is under constant pressure. These
pressures are the constant issue of cost competitiveness combined with the
need to provide good value for customers.
GSK know that the basis for an organization’s existence is the good on
service it provides society. Great products are the keys to success for GSK.
Anything less than an excellent product strategy can be devastating to a
GSK. To maximize the potential for success GKS focus and concentrate on
their product. Most products have a limited and even a predictable life cycle
that’s why GSK constantly be looking for new products to design, develop
and take to market. GSK believes on strong communication among
customer, product, processes, and suppliers that results in a high success rate
for their new products.
__________________________________________________________________
For Developing characteristics of product their marketing department is

responsible. They takes action according to competitor activities for product
design and quality. They also maintain a particular standard & designs of
products are change if there is any requirement by the permission of
Ministry Of Health.Designs are changed by the suggestion of CSD Creative
Service Design.
ENO:More recently they changed their ENO packaging that before they
packed them in a paper material but now they are using polythene material.
ENO maintain a great quality and has a low price and loyal customer as
compare to Citro soda.
__________________________________________________________________
2.QUALITY DECISION
GSK Quality Management System (QMS)
GSK has developed a comprehensive system of QMS by aligning
internationally recognised standards and best practices. The primary goal of
this vital exercise is to provide safe and effective products for patients and
customers, satisfying the stringent requirements of the regulators and the
needs of our shareholders.
For GSK to remain an indisputable industry leader, the company has set a
list of stringent criteria that ensures all customer needs are achieved.
 Standards:
 Global quality policies
 Global quality guidelines
 Global quality management processes
o Training
o Material
__________________________________________________________________
o Auditing
o Continuous improvement
GSK’s Quality Management System is an innovative yet practical tool that

is benchmarked against all international standards and guidelines ensuring
risk minimisation, and more importantly top-notch managerial skills.
GSK QMS is a ‘living system’ which focuses on the ever changing needs of
their main customer groups – patients, regulators, company / shareholders.
This is a fast-paced world and industry where changes are constant, and the
QMS has been created to ascertain that everything is managed in a
controlled and proficient manner.
Quality control is alaways a burden to the organization.first time batches are
quality product.quality is circulating from person to person and department
to department.
__________________________________________________________________
Quality assurance department `s job is to do quality control from raw

material to finished good.In packing case every two hours batches are
cheked.
QUALITY MANGEMENT SYSTEM

(QMS) AND ITS PURPOSE IN GSK
THE QUALITY MANAGEMENT OF THE GSK PROVIDE COMPANY

FRAM WORK FOR;
 Assuring Product Quality,Safety And Efficacy
 Delivering Capable Processes And Operational Improvement
 Assuring Sustainable Regulatory Compliance
 Managing Quality And Compliance Risk And Preventing

Quality Failures
 As Such The Qms Supports The Aspiration Emboided In Gsk

Quality System
__________________________________________________________________
To reiterate GSK’s quality statement:

“Quality is at the heart of everything we do – from the discovery of the
molecule through to product development, manufacture, supply and
sale – and vital to all the services that support our business
performance.”
JP Garnier, Chief Executive Officer
__________________________________________________________________
3.PROCESS STRATEGY IN GSK;

COMPOSITION / INFORMATION ON
INGREDIENTS
Ingredients CAS RN Percentage

SODIUM BICARBONATE 144-55-8 46.4
CITRIC ACID 77-92-9 43.6
SODIUM CARBONATE 497-19-8 10
Gsk process strategy is to transform the input into desirable out come here
we have used the term process and transform their objective is to make
medicines that meet the customer requirement but as well as it should meet
the international standards as all of us know that there are three types of the
process strategies like
 Process focus
 Repetitive;
 Product focus
Process focus;
__________________________________________________________________
Seventy five percent of all manufacturing companies are concerning to make

low volume and high varity products in places like gsk it make betnovate;
ENO, macleans and other medicines this facility provide the benefits
Product process
Some of the product of the gsk also use the product process in large quantity
and small variety is produced and equipment is special purpose in which
operators are broadly skilled like in gsk most of the work is done through
machines
Mass customization;
Gsk is currently working on that strategy to provide mass customizaton
they are cater the market in which customers have a unique desire under this
process three strategy become more flexible and convenient for the
production department of the firm
Flexibility;
They have the ability to respond with little penalty in ;cost or customer value
Process Analysis And Design

They first design and transform the process which again transform the inputs
in to outputs they consider the following process
 Is the process design to achieved the competitive advantage in term of
the differentiation
 Does the process maximized customer value
 Will the process win the order
according to the manager of the gsk each step of your process must add
value to your product because product is the combination of different layouts
__________________________________________________________________
Physical Properties
Prolong heating and/ or temperature beyond 200 C may transform physical
appearance of powder from white colored powder yellowish brown colored
powder.
Low heating below 50 C may result in loss of effervescent effect of ENO.

As stabilizing salt is not produced for LOD value doesn’t comply with the
standard percentage i.e 37%
__________________________________________________________________
ENO Lemon/Orange Manufacturing Process Map
__________________________________________________________________
4.LOCATION OF THE GSK:

__________________________________________________________________
As all of us know that gsk is the multinational company so they use the
system that is called geographical information system which not only
provide the correct information about the location and customer but also
provide the statistical information about the market situation of the particular
country for example gsk manager use the technology that is called gis
software called atlas gis from strategic location mapping on e of the manager
of gsk said that we typically consider the locational break even analysis and
transportation method of the linear programming because location is the
critical element in determining the revenues for the services retail and other
needs of the firm
Gsk also used the factor rating method a method that is consider the both
qualitative as well as the quantitative method to evaluate the cost
Frist they consider the exchange rate of the country and cost and attitude
market and availability of the suppliers and above mention factors are so
much important factors the factory location and capacity
Labor productivity is also very important factor mr shekel the production
manger of the gsk said the labor cost in many under developed country like
Pakistan are increasing in trend but in Pakistan mostly employee are least
educated and poor trained and low skilled to trained them aand to aware and
educate them it is a big problem in Pakistan.
5.LAYOUT DECISION:
__________________________________________________________________
Gsk keeps in eyes these factors while purchasing a machine.

 User request brief URB
 Market research
 Financial resource
 Vendor search
 Feasibility report
 Cost effectiveness
 Pay back period
At the time of installment of a machine or equipment,there are certain

documentation done by GSK that
 IQ Installment Qaulification:
How much space GSK has for installment of a equipment
 DQ Design Qualification:
First GSK have to design temporary map or sketch then it is approved
by supervisors.
 OP Operation Qualification:
It is basically of machine of environment that how a machine will
operate.
 PQ Performance Qualificaion:
How well a machine or equipment perform in this environment either
standards are meet or not.
Room and departments are designed according to the need.

For ENO a particular space & capacity needed.For ENO temperature &
humanity factors keeps.
Recently GSK install a sachet machine line in ENO production
department,that give more benefits.
INSTALLATION & COMMISSIONING OF

SACHET MACHINE LINES IN CHC IN
ENO PRODUCTION DEPARTMENT
__________________________________________________________________
BENEFITS
1.Replacement of old Sachet filter with double capacity new fibers.
2.Elemintion of manual powder feeding with auto vacuum powder
transfer system operation.
3.Productivity improvement from 35,000 to 70,000 sachet per shift.
4.Elemintion of night shift working
There are a individual department in GSK for the control of Noise in a

department named EHS Environment Health & Safty.This department
completely protects the employee’s health. GSK has Material Safty Data
__________________________________________________________________
Sheet which is approved from world wide & which helps to decrease noise
pollution and it is also benefit for worker’s ear.GSK understand that their
employees are assets & they treat them as the best.
There is intercom facility and a backup person available for the urgent need
of communication in GSK.
Raw material store in front of manufacturing department & quality of raw
material must be checked before sending it to manufacturing .Order is given
by planner’s to department’s operational manger when raw material needed
in GSK.
Warehousing
There are not local vendors. GSK do not have zero inventory .They keep
market always full.40% batches must have in stock and 20% unplanned
extra is present in warehouse to meet fluctuations.
LAYOUT OF GSK
__________________________________________________________________
PLAN
SPECIAL ORDER IN PRODUCTION
PRODUCTION
WAREHOUSE
RAW MATERIAL (DISPENSE)
MANUFACTURING
QUALITY CONTROL PASSED SAMPLE
FILLING
QUALITY CONTROL TEST (F/G)
RELEASED
F/G STORE
__________________________________________________________________
6.HUMAN RESOURCES
STRATEGY OF GSK
In GSK they have their own performance development planner
In multinational organization employee are the assets of an organization.
Employee satisfaction is the first priority of the gsk in that specific planner
performance of each and every employee is noted and according to the
performances promotion and demotion is rewarded every employee feels
that he or she is working in his own organization a part from providing
bonus and increment to employees they provide medical facility to their
employees and influence them by giving them AWARDS and motivated
them by giving them different kind of facilities
Their standard work hour is 7.75 hr excluding tea break, namaz, lunch but
for special orders in order to generate efficiency
Extra over time and bonus is given to employees
Employees Empowerment In GSK

Employees empowerment is the first priority of the g.s.k
We have personally noticed that they have labor union and every employee
was provided good food at free of cost
U.S.P OF GSK
__________________________________________________________________
 OPENESS
 EGALATARIAN
 HUMBLENESS
 RESPECT
 ONE TEAM
They believe in one team work and there is openness for the employee for
new experiment and explore new journey and every employee is respected
by the management there is no discrimination on the base color cast and
creed in the organization.
Recuritment Process
 Advertising
 Screen
 General Test
 Test PPA
 Interview
 Candidate Finalization
ENO maintain a great quality and has a low price and loyal customer as
compare to Citro soda.
__________________________________________________________________
7.SUPPLY CHAIN MANAGEMENT

Supply chain Management is the integration of activities that procure
materials and services, transforming them into intermediate goods and final
products, and delivering the products to customer through a distribution
system.
GSK has chain of transportation vendors, credit and cash transformers,

more than 1 suppliers, distributors, Account payable and receivables,
warehousing and inventory levels. GSK has always excess inventory and for
maintenance of that they have more than 1 suppliers which helps them in the
fluctuations period. GSK focuses on maximizing value to the ultimate
customers by chain of Suppliers .GSK doesn’t have local vendors.
There are a separate department named CPS Corporate Purchase Standard.

All the decisions & standards are made by CPS ,cost and standards are very
important to material. Relationship with suppliers are very important for
smooth production and that’s why GSK have long term relationship with
their suppliers, they don’t bound their suppliers and gives security by
making long term relationship.
__________________________________________________________________
GSK employees are responsible for overall quality,marketing,research &

designs. There are so many workers who work for suppliers.GSK innovative
supply chain will,it hopes,improve quality and drive down costs as each
subcontractors accepts responsibility for its units and worker compensation.
Material: Material management is done by QC that identify what the

environment is better.
Outsourcing: Technology and economic efficiency demand

specialization that’s why GSK increasing their commitment to outsourcing
and supply chain integration.GSK is buying not only materials bus also labor
and the related services.Suppliers are integrated tightly into GSK own
network.
Before any outsourcing,GSK has performed SAT site assessment test and
FAT factory assessment test.Recently in ENO department a machine has
purchased from China whose output is 80% better than previous one.The
cost of this machine is 1.4million. China had also provide all services related
to it.They also gives training to GSK’s workers.
Distribution Channels: There are different ways of distribution in

GSK.
 For huge quantity distribute by sea ships, airplane
 For small quantity distribute by container
Major Markets
 Spain
 India
 MexicoAsia
 Australia
 UK
 Middle East
 Africa
 Pakistan
 South America
 Hong Kong
 Srilanka
__________________________________________________________________
 Dubai
Competitor:
There is a single competitor of ENO is Citro Soda by Abbott Pakistan.
OUTSOURCING MACHINE FOR ENO

DEPARTMENT
__________________________________________________________________
8.INVENTORY IN GSK;
 To meet anticipated customer demand
 To decouple the suppliers from production and production from
distributors
 To advantage of the quantity discount to hedge against inflation
Inventory recording system;
What where and when inventory is required that system in gsk tell
continuously up date the management;
BOM
(Bill Of The Material Code And Discription That Is Present In The System)
Material Outsourcing;
Most of the material is imported from aboard thourgh shipped
corporative standards;
We have the corporatative standards which meet the customer requirement
amd meet the international standards
__________________________________________________________________
Selection Of The Equipment And Technology

Equipment are the converting machines which transform the input into
output
Factors;
User Request Brief;
Then we find the vendor said mr shakeel production manager of the gsk the
we prepare the feasibility report then we see market that how many supplier
are available it be should be cost effective other wise it will be use less very
equipment gives you the pay back period
according to replacement or introduction then we allocate the space for the
equipment it may create problem in material transportation
Documentation
 IQ (Installation Qualification)
 DQ (Design Qualification)
 OQ (Operational Qualification)
 PQ (Performance Qualification)
Design Qualification;
We draw a map in which we draw sketch about the equipment placement
Operational Qualification;
In which we discuss about the operation o the machine we implement the
single possible solution from the discussion in performance criteria we
discuss the performance of the machine.
EHS(ENVIRONMENT HEALTH AND SAFETY)

In every organization it is responsibility of an organization to take care of an
employee
Material Safty Data;
__________________________________________________________________
In material safty date sheet all hazards are given regarding the safety issues
it is base on the international standards
Cycle Time ;
Eno product cycle time is 90 days in receiving the supply from supplier from
delivering the goods to the markets
In one sachet manufactureto packaging time is 80 hours
Machine Test
There are two kinds of the test
 SAT (site assessment test)
 FAT (factory assessment test)
In which we give all kind of the specification to the vendor he will catelock
and provide training to the employee we are planning to export srilanka
Afghanistan target marketing is done by the marketing department
__________________________________________________________________
Waste
GlaxoSmithKline has targets to reduce the impact of waste from our
operation on the environment.Technical guidance had been developed for
our EHS standards on Waste Minimisation and Recycling and
on Waste Management. Sites identify and assesswaste arising from site
activities and then minimize or manage waste through the following
measures:
• Eliminate or reduce waste generation whenever feasible;
• Substitute with sustainable materials whenever feasible to minimise overall
impacts on air, water and land;
• Re-use waste whenever feasible;
Recycle wastes in a manner consistent with local regulatory requirements;
• Use treatment and disposal options that minimise the overall EHS risks and
impacts on air, water and land.
__________________________________________________________________
9.SCHEDULING IN GSK
Scheduling involves the timing of operations to achieve the efficient

movement of unit through a system.
Shop order:
Eno is producing according to shop order. Shop order is a document made
by market analysis which shows the demand of product in the market and
then ENO is produce according to that demand.
Demand of ENO is influencing. Its demand increases day by day.
Marketing, cost and quality are factors of increasing demand.Scheduling
system in GSK are both electronic and manual.
How to manufacture the batch is record in document called BMR. BMR
stands for batch manufacturing record. It is generated by BPCS (Batch plan
and control system).Shop order number is placed on it. It is assigned by
management. This number is unique in nature. The same no. is also allot to
ENO bottle which is use to trace misbranded or centerfields drug
__________________________________________________________________
STANDARD WORKING HOURS

 1 DAY 8:15am TO 5:15pm
 WORKING HOURS 7.75 HOURS
SCHEDULE OF ENO:
 OPERATING CYCLE TIME OF ENO 90 DAYS
 ENO SACHET PACKAGING TIME 80 HOURS
 1 BATCH CONTAINS 77000 ENO SACHET
 1 BATCH CONTAINS 3500 ENO BOTTLES
GSK management meets their goal on time by giving extra efforts in shape
of
 NIGHT SHIFTS
 EXTERNAL HOURS (OVER TIME)
 AUTOMATIC MACHINE
__________________________________________________________________
10.MAINTENANCE IN GSK
The maintenance management manager may report to the production
manager, the plant manager, or, perhaps the plant engineer. His or her
responsibilities typically include equipment maintenance and building and
building service maintenance.
 In GSk mostly preventive and conditional maintenance system is
used.
 Maximum life of a machine is 20 to 25 years.
 Machine failure is identified by sensor system
 Every 3 months calibration is made. Balances are cheked by third
parties who issue maintenance certificates.
 Zero access system is used.
 Mostly machines are imported from China.
 ENO printing machine is imported from China.
 GSK use outsourcing for maintenance of machines.
 Technical training/services is given by suppliers.
ENO Printing Machine
__________________________________________________________________
During the project development we used the following book reference for
our convenience.
 Jay Heizer, Barry Render ,8th edition, Operation Management
 William Stevenson 6th Edition, Operation Management
 Render,B,Stair and Micheal Hanna,9th edition,Quantitative Analysis

for Management.
 www.om.edu.com by internet
 www.acm.org.com by internet
 Previous projects by internet
 Well known software and tools
__________________________________________________________________
__________________________________________________________________
Karachi University
__________________________________________________________________

Assignment On Operation MGT

Transféré par

Informations du document

Description originale:

Titre original

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

Assignment On Operation MGT

Transféré par

Droits d'auteur :

Formats disponibles

Operations Management Of “GSK” In ENO Production_______________________

The abstract which highlight major features of the project.

Project Title : Operations Management Of “GSK”

Team Organization : Democratic Decentralize (DD)

Started Date :15th March 2009

Ended Date :31st May 2009

We are analyzing Operation management of a multinational organization

Purpose is to have a deep understanding of operational management and its

Domain of the project:

For this purpose the following major operations are

 Design of goods and service

Scope of the project:

Why Study OM?

Sl. # Members Name Seat No.

1. Hira Waris P0757042

2. Rufy Afshan P0757084

3. Tatheer Zehra P0757139

Our team structure is depends on Democratic/Distributed De-centralized

Consult With The Professionals:

 Muhammad Shakeel Khan

Human Resource Departmend Officer

 Syed Waris Ali

 Design of goods and service

Operations management focuses on carefully managing the processes to

within the organization.) Related activities include managing purchases,

“TEN DECISIONS OF OPERATION

Ten decisions of Operation Management are;

 Design of goods and service

 Human Resource management

 Supply Chain Management

New product is crucial to the survival of most firms.While a few firms

Product design is seldom the sole responsibility of the operations

A Product can be defined as the output of the operations function.Product

Goods & Service Selection

 Product Strategy Options Support Competitive Advantage

 Product By Value Analysis

Generating New Products

Strategies For New Product Introduction

New Product Development Process

New Product Development Process

Role Of Quality Control System:

Quality control wan one of the first fields to be approached scientifically by

Basic Requrements Of Quality Control System:

To develop a quality control plan ensuring that the final production

1. Define what is to be measured.

DATA AND INFORMATION INPUT TO THE

Evaluation lab Sampling plan

Change control Engineers

Training Mfg.review bd.

Quality Control Objectives:

 Reduce the number of customer complaints to 3 percent

At the end of the year. Success or failure in meeting these objectives

There are several ways that quality can be measured.thes is as follow

FITNESS FOR USE:

Product or service output that is consistent, and therefore predictable, is a

Classifications Of Cost Of Quality:

THE OBJECTIVE OF PROCESS STRATEGY;

Facility location decision for both manufacturing and services organizations

Location selection for the manufacturing firms

Location selection for the services firms

The strategic importance of the location

 Expanding an existing facility instead of moving