SERVAID Internship Report

TABLE OF CONTENT ...................... ............... .......... .. ............... ..................... ...... 3 History and Intro Introduc ductio tion n Of The Org Organ aniz iza ation tion............... Service Sales Corp Corpo oration ration.............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... ....... 3 Statement St ement .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ... 5

ission Mission

..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... ............. ...... 6 Intro Introduc ductio tion n to serva rvaid.............. R eliability....... eliability.............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... .............. .............. 7 Ethical Stand Standar  ar ds .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ... 7 ..................... ............... ........... ... .............. ........................ .................. ........ ..... 8 Stra trategic gic Dir Direc ectio tion n Of The Co Company mpany.............. ision Vision

Statemen Statement .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ... 8

anagement ement Manag Boar d

...................... ............... .......... .. .............. ........................ ............. ... 9 Of Servi Service ce Sales Sales Corp orpora oration tion...............

of Direct Directo ors .............. ...................... ............... .......... ... ............... ........................ ................. ........ ............... ...................... ............... .......... .. . 9

Managemen agement Team....... eam ............... ............... .............. .......... ... ............... ......................... ................. ....... .............. ..................... ............... ........... ... 9 roductt Mix .............. Produc ...................... ............... .......... ... ............... ........................ ................. ........ ............... ...................... ............... .......... .. ........... ...........

10

Medicin icines....... es .............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ............ ............ 10 Geriatric Care .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ...... 10 Health Care A pplian  ppliances ............... ...................... .............. .......... ... ............... ......................... ................. ....... .............. ..................... ......... .. 10 Baby

Care Pr oducts oducts....... ............... ............... .............. .......... ... ............... ......................... ................. ....... .............. ...................... ............... ....... 11

Toiletries Toiletries ............... ...................... ............... .......... .. .............. ........................ ................. ......... .............. ...................... ............... .......... ... ............. ............. 11 Person ersonal al & hygien hygiene............... ...................... .............. .......... ... ............... ......................... ................. ....... .............. ..................... ............... .......... 11 Househ Househo old Pr  Pr oducts oducts....... ............... ............... ............... .......... .. ............... ......................... ................. ....... .............. ...................... ............... ....... 11 Surgical Equipme Equipmen nt ............... ...................... ............... .......... .. ............... ......................... ................. ....... .............. ...................... ............... ....... 11 roductt Mix Produc

Analysis Analysis ............... ...................... ............... .......... .. ............... ......................... ................. ....... .............. ...................... .............. ...... 12

Target Market....... arket .............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ...... 12 Pr oducts oducts ............... ...................... ............... .......... .. ............... ......................... ................. ....... .............. ..................... ............... ........... ... .............. .............. 12 Pr oducts oducts of Multi Multin nation ational al Compa Compan nies....... ies .............. .............. ............... ........... ... .............. ........................ ................ ...... 12 Pr oducts oducts of Nati Nation onal al Compa Compan nies....... ies............... ............... .............. .......... ... ............... ......................... ................. ....... ...... 12 Herbal Pr oducts oducts .............. ...................... ............... .......... ... ............... ........................ ................. ........ ............... ...................... ............... .......... 12 Food Su pplemen  pplements ............... ...................... ............... .......... .. .............. ........................ ................. ......... ............... ...................... ............ ..... 13 Eatables .............. ...................... ............... .......... ... ............... ........................ ................. ........ ............... ...................... ............... .......... .. ........... ........... 13 Toiletries Toiletries ............... ...................... .............. .......... ... ............... ......................... ................. ....... .............. ..................... ............... ........... ... ......... 13 San Sanitation itation Pr  Pr oducts oducts....... .............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... ........... .... 13 Pr oduct oduct Positi Position oniing ............... ...................... ............... .......... .. ............... ......................... ................. ....... .............. ...................... ............... ....... 14

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...................... ............... .......... ... ............... ......................... ................. ............... ............... .............. ............... .......... .. .... otenti tial al.............. Mark et Poten K ey

15

...................... .............. .......... ... ............... ......................... ................. ....... .............. ..................... ............... .......... 16 Success Succe ss Factors Factors ...............

...................... ............... .......... ... ............... ......................... ................. ............... ............... .............. .......... ... 17 Depart Departmen ments ts of s f serva rvaid .............. Plann lanniing & R eplen eplenish....... ish .............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... ........... .... 17 O peration  perationss .............. ...................... ............... .......... ... ............... ........................ ................. ........ ............... ...................... ............... .......... .. ........... ........... 17 Purchase Purchase ............... ...................... ............... .......... .. ............... ......................... ................. ....... .............. ..................... ............... ........... ... .............. .............. 17 Accoun ccounts ts ............... ...................... ............... .......... .. .............. ........................ ................. ......... .............. ...................... ............... .......... ... ............. ............. 17 SWOT Analysis Analysis .............. ...................... ............... .......... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ..... 18

Stren Strengths ............... ...................... ............... .......... .. .............. ........................ ................. ......... .............. ...................... ............... .......... ... ............. ............. 18 Weak ness .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ............ ............ 18 O ppo  pportun rtunities ities........ ............... .............. ............... .......... .. .............. ........................ ................. ......... ............... ...................... .............. .......... ... ....... 18 Threats .............. ...................... ............... .......... ... ............... ......................... ................. ....... ............... ...................... ............... .......... .. ................ ................ 18 Int Internship Depart Departmen mentt.............. ...................... ............... .......... ... .............. ........................ .................. ........ ............... ...................... ........... .... 19

Plann lanniing & R eplen eplenish....... ish .............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... ........... .... 19 Hierarchy .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... ............ ............ 20 Activities of Pla Plann nniing & R eplen eplenish Departmen epartme nt............... ...................... ............... .......... .. .............. ................... ..... 21 To p To p 500 .............. ..................... ............... ........... ... ................. ........................ ............... ........ ............... ...................... .............. .......... ... ........... ........... 21 Cluster  Demand emand .............. ...................... ............... .......... ... .............. ........................ .................. ........ ............... ...................... ............... .......... 21 Urgen rge nt Demand emand .............. ...................... ............... .......... ... .............. ........................ .................. ........ ............... ...................... ............... .......... 21 Cons Consu mer D mer  Demand emand ................................ .................... ............ .......................... 21 Monthly Monthly Sale Query Query....... .............. ............... ............... .......... ... ............... ......................... ................. ............... ............... .............. .......... ... 21 Demand emand Schedu Schedule le....... .............. .............. ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... 22 Sto Stockin cking Schedu Schedule le .............. ...................... ............... .......... ... ............... ........................ ................. ........ ............... ...................... ............... .......... 22 Job

des descrip ription tion .............. ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... ............... .......... .. ...... 23

Conclusio nclusion n ............... ...................... ............... .......... .. .............. ........................ ................. ......... .............. ...................... ............... .......... ... ............. ............. 24 ecommendatio mmendation ns .............. R eco ..................... ............... ........... ... .............. ........................ .................. ........ ............... ...................... .............. .......... ... .

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HISTORY AND INTR ODUCTION OF THE ORGANIZATION

SERVICE SALES CORPOR ATION

Service Sales Corporation Pvt. Ltd. (SSC) is Pakistan¶s  premier  retailer  that has set new recor d standar ds and created new  benchmarks in the retail industry. With its world-class retail systems, ar dently dynamic appr oach to  business and highly energetic team, SSC is today heading towar ds becoming a regional retail player . The main  business of SSC is to purchase the shoes f r om SIL and local  purchasers and take the ownership af ter  adding u p its margin. The ownership includes costs marketing of the shoes, logistics arrangements to circulate the shoes, management and f ixed assets costs. SSC has its own marketing network  and distribution network  in the country. Sales are carried out thr ough wholesale and retail outlets, which are located in f amous trade centers in various cities and towns all over the country. To meet the rising needs and demands, they purchase shoes on or ders f r om other  local vendors. Sometimes these  purchases are made to minimize  per  unit cost in case of  small or ders. To deal with local vendors, SSC has three local  purchase off ices in the country situated at Lahore, Faisalabad and K arachi. SSC is also responsible for  marketing and sales  pr omotion activities. For  this  purpose, SSC uses various  platforms for  sales  pr omotional activities like advertising, incentive to staff  and gif t schemes for  consumers etc, etc. Servis has  been a trendsetter  in footwear  f ashion in Pakistan. It intr oduced color ful Joggers for  the f irst time in Pakistan in early eighties. Its CHEETAH brand shoes are very  po pular  for  sports as well as for  casual wear, DON CARLOS  brand shoes ref lect latest f ashion trend in formal and casual wear . Pr oducts innovation has  been an

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important  part of  the company¶s marketing strategy. New  pr oducts range in off ered twice a year, at the beginning of summer  and winter seasons.

Following companies are being operated and managed under the wing of SSC:-

1- Servis Shoes Stores and Wholesale business centers

2- Servaid Pharmacy (Pharmacy Store Chain)

3- Soul Collections

4- Shoe Planet

4

MISSION

y

STATEMENT

³To be a result oriented and profitable Company by consistently improving  market share, quality, diversity, availability, presentation, reliability and  customer acceptance.´

y

³To create an efficient resource management and conducive business environment. Evolving an effective leadership by creating a highly  professional and motivated management team fully equipped to meet any challenge.´

y

³Service Sales Corporation will Train and motivate its employees and develop a culture where performance will be measured and rewarded.´

y

³Strive to be a good corporate citizen and fulfill its social responsibilities.´

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INTR ODUCTION TO SERVAID

Servaid Pharmacy was formed in 2005 as a commercial organization with a social imperative. Pakistan is a country where  peo ple of ten have no convenient access to genuine medicine. Pharmacy retailing is typically done thr ough conventional medical stores having du bious  pr ocurement channels resulting in a considerable su pply of f ake, expired or ineff iciently stored medicine to consumers. Servaid envisaged a company with the o bjective of forming Pakistan¶s f irst national chain of   pharmacies  pr oviding 100% genuine medicine to its customers in a convenient and pleasant envir onment. Servaid has already  become the largest  pharmacy chain in the country in less than four -year  time. Currently, it is o perating thr ough 31 stores in f ive diff erent cities  pr oviding services to more than 250,000 valued customers every month. Servaid has a successful experience of o perating 24 hour   pharmacies at various hospitals and community locations. Servaid has a highly valuable resource gr ou p of more than 350 employees including highest number  of qualif ied  pharmacists compared to any other  retail chain in the country. Servaid is the f irst  pharmacy chain that has established an in-house training school to continuously train and develo p its peo ple. Servaid is moving forwar d with aggressive network  expansion inf ive diff erent cities and has already got a str ong network of hospital pharmacies and corporate clients. This success is due to authentic  pr ocurement channels & impeccable quality standar ds in addition to convenient locations and a pleasant retail envir onment.

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ServAidPharmacy (Pvt) Limited is committed to pr ovide quality medicine thr ough conveniently located stores that off er .

y

Pr of essional guidance thr ough qualif ied Pharmacists

y

Pleasing and Temperature Contr olled envir onment

y

Guaranteed Genuine Medicine Only

y

Pr oducts and Services designed for the convenience of the customers

R ELIABILIT Y

1. ServAid Pharmacy (Pvt) Limited dispenses medicines acquired only f r om authentic sources 2. Each Batch Number  can be verif ied f r om the Manuf acturer 

ETHICAL STANDAR DS y

We deal only in pr oducts registered by the Ministry of Health, Pakistan

y

We keep complete recor ds of all contr olled dr ugs and items

y

y

 No Sale without receipt Sell pr oducts responsibly

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STR ATEGIC DIR ECTION OF THE COMPANY

Servaid Pharmacy was established with a vision to market  pr oducts f r om all leading  National and Multinational  pharmaceutical companies. With r ound the clock  services and equipped with qualif ied  pharmacists on duty, Servaid diff erentiates itself with its focus on customer service. Servaid was set u p in 2005 and has 32 stores already o perational in Lahore, Gu jranwala, Sialk ot, Faisalabad, Gu jrat, K asur and Bahawalpur .

VISION

STATEMENT

³To help our customers live longer and healthier lives; to provide a challenging  experience for our employees; and to be a recognized and rewarding venture for our  investors.´

MISSION STATEMENT

³To provide Authentic Medicines to Customers as we solely purchase from reliable  Manufacturers & Distributors.´

³To be the Fastest Growing Pharmacy Chain with National Presence.´

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MANAGEMENT

OF SERVICE SALES CORPOR ATION

BOAR D OF DIR ECTOR S y

Mr . Omar Saeed, Chairman

y

Mr . Osman K halid Waheed

y

Mr . R iaz Ahmed

y

Dr . Arif R ana

y

Mr . Jawwad Faisal

MANAGEMENT

TEAM

y

Mr . Jawwad Faisal - Chief O perating Off icer 

y

Mr . Sajjad Haf eez Butt - GM Business Develo pment

y

Mr . Faran Butt - GM Merchandising

y

Mr . Noman Faisal - GM HR 

y

Mr . Nadeem Sheikh - Manager  O perations

y

Mr . Shabbir Ahmad - Manager  Accounts

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PR ODUCT MIX

All Pr oducts available at Servaid outlets are pr ocured and handled with thehighest standar ds of quality and are pr ocured only f r om authorized distributors or  directly f r om manuf acturers. MEDICINES

y

Over the Counter Medicine

y

Prescription Medicine

y

Pediatric Medicine

y

Lif e Saving Medicine & In jections

y

Vitamins

y

Herbal Medicine

y

Homeo pathic Medicine

& Minerals

GER IATR IC CAR E

y

Adult Diapers

y

Vitamins

y

Ortho pedic Su pports

& Minerals

HEALTH CAR E APPLIANCES

y

Glucometerse

y

Blood

y

Weight Machines

y

y

Pressure Meters & Equipment

 Nebulisers Thermometers

10

BABY CAR E PR ODUCTS

y

Pampers

y

Creams

y

Feeders

y

Soothers

y

Skin Care

TOILETR IES

PER SONAL

& HYGIENE

HOUSEHOLD PR ODUCTS

SURGICAL EQUIPMENT

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PR ODUCT MIX ANALYSIS

TARGET MARK ET The target market for the f acility consists of residential areas in the vicinity of the each outlet of ServAid Pharmacy.

PR ODUCTS

Major su ppliers of ServAid Pharmacy are as follow:

Products

of Multinational Companies

y

A bbott

y

Wythe

y

y

GSK 

y

ICI

y

y

Aventis

y

Squib

y

 Novartis

y

SK B

y

Pf izer 

Products y

Lilly R ackitt & Benckiser 

y

BD

y

Schering

y

Ef er oze

y

Highnoon

y

Woodwar ds

of National Companies

Sami

y

Hilton

y

R ek o

y

Highmount

y

Atco

y

Schazoo

y

 Nabi Qasim

Herbal Products y

y

y

Hamdar d Qurshi A jmal

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Food Supplements y

 Nestle Cereals

y

 Nido

y

Maggi

y

Slim u p

y

Set point diet

Eatables y

Cad burys

y

Coca Cola

y

Union

y

Pepsi

y

 Nestle

y

Mitchell¶s

Toiletries y

Rose Petal

y

Tulip

y

Flying

y

Lever  Br os.

Sanitation Products y

Pampers

y

Always

y

Butter fl y

y

Comfort

y

Huggies

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PR ODUCT POSITIONING

Pr oduct  positioning means develo ping the image that a  pr oduct  pr o jects in relation to competitive  pr oducts. Managements ability to  bring attention to a  pr oduct and to diff erentiate it in a f avorable way f r om similar  pr oducts goes a long a way towar d determining that¶s pr oducts revenue

Positioning

in relation to competitors:

y

Fazal Din & Sons (Pvt.) Ltd.

y

Fazal Din Pharma Plus

y

Zaka

y

Clinix

y

D.Watson

Pharmacy

The ServAid main competitors are Zaka and Fazal Din& Pharmacy. However they all have to f ace tough competition f r omthe small medical store.

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MARK ET POTENTIAL

The review of Pakistani  pharmaceutical market shows that there are ar ound 450 companies which are registered with the Ministry of Health, some 350 manuf acturing units o perating in the country including dozens of  multinationals. Healthcare in Pakistan is still in the early stages of develo pment. Widespread  poverty and a weak  health system underlie the  poor  health status of the  po pulation. Gover nment funding continues to  be minimal, equal to ar ound 3% of GDP and achieves little more than maintaining the status quo, while the  pr o blems of  poor  nutrition and sanitation are compounded  by Pakistan's large and f ast gr owing  po pulation. However  as the economy impr oves, the level of spending may well  begin to rise. Other  issues at the heart of  the  pr o blem include the continuing  prevalence of  communicable diseases, low health man power levels and the under - utilization of  primary health f acilities. The Pakistani  pharmaceutical market remains  beset with diff iculties. Strict gover nment contr ol over  pricing has made many dr ugs uneconomical, with the result that they either   become available only on the  black  market at inf lated  prices, or  disappear  completely. In this envir onment, manuf acturers,  both local and foreignowned, have  pr oved unable to generate the  pr of its needed forcapital investment. This is not helped  by a regulatory system  best described as r udimentary. The appointment of dr ug inspection teams to investigate the manuf acture and sale of 'f ake' dr ugs has met with disappointing results so f ar, largely due to a lack  of  resources and  bureaucratic complications. Dr ug  prices are off icially contr olled, although the gover nment lacks the capacity to enforce its  policies in this area. Some  price rises have  been allowed since 2000,  but the current gover nment shows little sign of  enacting any serious reform of  the  pharmaceutical sector,  pref erring to allege  pr of iteering on the  part of  the  pharmaceutical industry. New legislation  permitting imports of  Indian-made dr ugs was intr oduced in June 2005, although this has yet to  be capitalized u pon in any signif icant way and is unlikely to be in the near future.

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K EY

SUCCESS FACTOR S

Some of the K ey Success f actors that determine the success of this ServAid includes: y

Availability of regular  medicine su pplies.

y

A well trained Pharmacist

y

Availability of complete pr oduct range

y

R easonable and competitive prices.

y

Inventory contr ol to avoid any pilf erage.

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DEPAR TMENTS OF SERVAID y y y y

Planning & R eplenish O perations Purchase Accounts

PLANNING & R EPLENISH

This department allots diff erent budgets to all branches. And keep checking its stock  and sales. This department also does forecasting of the stock .

OPER ATIONS This department does the audit of all  branches of ServAid Pharmacy. And do the all maintenance work of  branches like the outlook, shelves, diff erent electr onics requires and keep an eye on staff. PUR CHASE

This department  purchase all the item or  pr oduct forwar ded by Planning & R eplenishment department and O perations department. Such as, Medicines, Consumer Items, Electr onics, etc.

ACCOUNTS This department maintains the account. Do payments to diff erent medicines and consumer  pr oducts sellers.

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SWOT ANALYSIS

The following are the strength, weak ness, o pportunities and threats of ServAid Pharmacy:

STR ENGTHS y

Comes under the wings of Service Sales Corporation.

y

Purchase all items directly f r om authorized dealers.

y

Have 31 r unning branches.

y

y

Employees are qualif ied and experienced. They hire only D-Pharmacy and BPharmacy students. Variety

of consumer  pr oducts available at their stores.

WEAK NESS y

Budget

assigned for ServAid are very low.

y

Inventory system is not good.

y

There is no back u p.

y

Work force is less.

OPPOR TUNITIES y

Major  portion of market untapped

y

They can bring imported medicines.

y

They are hiring a MBBS doctor  for  every branch.

THR EATS y

y

Competitors like Zake and Fazal Din are big threats. Medicines available at Lahori Gate are very cheap and all small competitors are selling that.

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INTER NSHIP DEPAR TMENT PLANNING & R EPLENISH

This department allots diff erent budgets to all branches. And keep checking its stock  and sales. This department also does forecasting of the stock . For the previous sale they  place or der to purchase department for future. They maintain the inventory of all  branches.

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HIER AR CHY

CEO

Omer Saeed

GENERAL MANAGER

Farhan Butt

PLANNIN & REPLINISHMENT MANAGER

TAIMOOR BUTT

PLANNIN & REPLINISHMENT ASSISSTANT MANAGER

M. ARIF

PLANNIN & REPLINISHMENT

PLANNIN & REPLINISHMENT

EXECUTIVE

EXECUTIVE

M.IKRAM

AMBER HANIF

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ACTIVITIES OF PLANNING & R EPLENISH DEPAR TMENT

Following are the activities which were held in this department: Top 500

They off er over 12,000 diff erent medicines in their  branches. Out which they select to p 500 brands with the help of their  previous sales. These to p500 medicines are the most regularly selling medicines and these varies  branch to branch. These medicines should always available at the desired branch.

Cluster Demand

There are f ew branches which are assigned as cluster  branches and a special manager  is hired to maintain its inventory. This manager is answerable to this department. And have to appr ove the or der f r om this department f irst before forwar ding to Purchase Department.

Urgent Demand

ServAid has its branches at diff erent hospitals to. So there is always an urgent demand there. This has to be fulf illed on urgent  basis.

Consumer Demand

Checking out the stock of consumer items such as, Shampoos, Sanitary items,R azors, Snack, Drinks, etc. they have to check there sales and do forecasting.

Monthly

Sale Query

They demand monthly sales query f r om the all branches, which helps them in doing forecasting and assigning budgets to diff erent  branches.

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DEMAND SCHEDULE They demand for  medicines and pr oducts on following basis: y y y y

Weekly Demand Monthly Demand Customer Demand Special Demand

STOCK ING SCHEDULE They do stocking or  make reports of their stock o the following schedules: y y y

Weekly Stock R eport Fortnightly Stock  Monthly Stock R eport

22

JOB

DESCR IPTION

During last 6weeks worke d with Planning & R e plenis h Department at ServAid:

y

Prepared 2010 sale sheet of  branches

y

Prepared dead stock sheet in warehouse

y

Visited

y

Made calls to diff erent branches on daily bases.

diff erent branches

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CONCLUSION

ServAid Pharmacy (Pvt) Limited is committed to pr ovide quality medicine thr ough conveniently located stores that off er .

y

Pr of essional guidance thr ough qualif ied Pharmacists

y

Pleasing and Temperature Contr olled envir onment

y

Guaranteed Genuine Medicine Only

y

Pr oducts and Services designed for the convenience of thecustomers

Pr oduct R ange counts a lot.

Variety

and availability are the key f actors in retail

 business. As f ar  as the Pharma  business is concer ned, this is the most cr ucial f actor . Almost all major  manuf acturers of  pharmaceutical  pr oducts off er  same dr ugswith diff erent names (Company Names). So availability of all major  brands is cr ucialand ServAid pr ovides its customers with the range of  pr oducts.

All outlets have a  pr o per  temperature and  pr o per  outlook  to attract the customers. If  we not only the outlets of  ServAid  pharmacy are well organized, also the services  pr ovided to the customers are very quick and eff icient.

They have invested in  better  location which  pays in the long r un. The Pharma retails  business is highly dependent u pon the easy access forthe  buyers. This includes all areas near  any major  hospital or   po pular  clinics. And they have tapped the  places where they can grab the customer easily.

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R ECOMMENDATIONS

y

Ensure stock Availability.

y

Increase work force.

y

Back u p.

y

Ensure eff ective communication.

y

Should buy some Sof tware for  maintain inventory.

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