A report on Strategic Management Process:

A case study on

GlaxoSmithKline Bangladesh Limited.

GSK Mission Statement

We have a challenging and inspiring mission to improve the quality of human life by enabling people to do more, feel better and live longer. By focusing our business around our strategic properties we are confident that we can fulfill this promise.

GSK strategic intent:

We want to become the indisputable leader in our industry.

GSK company spirit:

We undertake our quest with the enthusiasm of entrepreneurs, excited by the constant search for innovation. We value performance achieved with integrity. We will attain success as a world class global leader with each and every one of people contributing with passion and an unmatched sense of urgency.

Quality statement:
Quality is the heart of all activities that support the discovery, supply and marketing of products to our patient and customer. Quality is critical to building trust with society and, therefore, to our future business success.

EHS statement: We at GSK will dedicate ourselves delivering innovative medicines and products
that help millions of people around the world live longer, healthier and happier lives. For each of us this should be a quest a daily search for ways that we, as individuals, can contribute our time ,our talents and our ideas to achieve as a company what is truly noble mission for the benefit of society.

Vision of GSK

To grow in the Network through the journey of Operational Excellence.

Performing Internal and External audit

GSKs main focus is on quality assurance and Environment, Health and Safety. All of their activities are based on these two factors. They have found many internal strength and weakness and external opportunities and threat while focusing on quality and safety of work and environment. They spend a lot on research and development. They are a diversified vaccine producer. They are incompetent in the marketing and distribution sector because of all the rules and regulation set by the government. Keeping the environment safe and helping the community is what they thrive on.

Strength:
Research and development: Few healthcare companies have GSKs passion for research and skill for turning that research into vaccines, medicines and consumer health products that improve the quality of life of people around the world. Their scientist work hard to discover new medicine that prevent, treat and cure diseases and they invest the equivalent of 8 million pound on research and development everyday. Biological: GSK Biological is one of the worlds leading vaccine manufacturers. Its portfolio contains over 25 marketed vaccines and over 20 new vaccines in clinical development. Almost a quarter of GSK Biologicalsglobal workforce is devoted to developing new, high quality vaccine against infections and diseases which cause serious medical problems worldwide. In the next five years, GSK Biologicals expects to launch 5 new major vaccines.

 Global Manufacturing and Supply(GMS): GSK manufactures a large portfolio of products, ranging form tablets and toothpaste to inhalers and complex capsules. They have 80 manufacturing sites in 37 countries. The sites within the GSK manufacturing network: Manufacture more than 4 billion packs per year. Supply product sold in over 140 countries. Produce over 28000 different pack sizes and presentations. Produce around 6000 tones of bulk actives.

Experienced workers: The man power of GSK is vastly experienced. The top and middle management are working for the company over 25 years. There are few employees which recruited from England. Training and development: It is required that personnel have the skills, knowledge and behavior to fulfill requirements of there assigned roles. Training is a regulatory and business requirement. It is only with highly competent people that GSK can achieve its objective.

Weakness:
Marketing is not up to the mark. GSK has only 350 sales people all over the country. On the contrary the Square pharmaceuticals has 3500 sales persons. They are not able to do any kind of sales promotion because of government restriction. For instance, the polio vaccine which is freely distributed by the government is a product of GSK but they can not provide the company name and logo on the medicine because of restriction.

 GSKs medicines and vaccines are not widely prescribed by the doctors because of less marketing.

Opportunity:
Environment, Health and Safety (EHS):
GSK pays due attention to health and safety of their employees and to the environment in which they operate and people lives. EHS are vital components of GSKs ethical approach to business. For a company to be world leader they must have world-leading health, safety and environment performance and GSK is rightly doing so.

Pharma:
GSK prescription medicines treat six major disease areas- asthma, virus control, infection, mental health, diabetes and digestive conditions. In addition GSK is a leader in the important area of vaccines and are developing new treatments for cancer. Of the worlds top 60 medicines, they produce 8.

Philanthropy:
Though global community partnerships GSK provide money, medicine, time and equipment to bring sustainable improvements in the health and education of our communities. They support global health programs and local community projects around the world, as well as donating medicine to support disaster and humanitarian relief efforts. In 2006 their total community investment was $ 558 million, equivalent to 3.9% of pre-tax profit. Donations are made by GSKs corporate contribution committees at group level and by individual GSK sites to support local communities.

Equipment:
GSK is well supported by advanced logistics. They export most of their machineries from foreign countries. They have huge space to move around which makes work comfortable. Maintaining the equipments is a top priority.

Threats:
If any of the local companies produces a medicine GSK has already been producing then they have to stop the production of that particular medicine. GSK pays a very large amount every year on tax. Government regulatory agency protects the local business and subsidizes them. GSK was denied import permission which makes them unable to import world class products. Moreover. Local products are used as substitute for them.

Translate the mission into strategic goal

GSK continues to pursue the mission of improving the quality of human life by enabling people to do more, feel better and live longer. To achieve this GSK Bangladesh has focused on the key differentiator that sets them apart from their competitors- innovation. In 2010 they have continued to work on their innovative products in an effort to bring more medicine of value to more people.

Vaccines are an excellent fit with their global mission and they have maintained their focus to create awareness about this most cost effective intervention that prevents diseases and saves lives.

The reputation of GSK in Bangladesh is largely linked with their classic brands that enjoy an enviable level of trust and confidence with the health care providers and the patients they serve. Their wide rang of products, many of which appear in

the essential drugs list of the ministry of health of the Bangladesh Govt. ,were supplied to wider parts of the geography, making it possible for more patients to access quality product on GSK.

The objective of GSK is to make all high quality products available to more people in the developing and under-developed world. To achieve this GSK has announced a series of sweeping measures to improve access. On of the key elements and probably the most impact full would be GSKs commitment to make available all innovative products at a price which is no more than 25% of the developed world prices.

GSK is committed to connecting business decisions to ethical, social and environmental concerns. Thus, corporate responsibility is am integral and embedded part of the way GSK does business.

GSK is also committed to provide a healthy and risk free environment for its employees, customers, contractors, suppliers, visitors etc.

Performance with integrity is central to operating at GSK. The BOD of the company has adopted a statement of ethical code of conduct which was circulated among the employees. All employees are required to abide by the ethical code odf conduct in relation to business and regulation.

Formulate strategy to achieve strategic goals

To keep the commitment of providing a better and healthy life GSK formulated many strategies.

Companys corporate governance philosophy: The companys philosophy of corporate governance is aimed at assigning the management of the company in the efficient conduct of its business and meeting its obligation to the stakeholders, and is guided by a strong emphasis of transparency, accountability and integrity. For several years, the company has adopted a codified Corporate Governance Charter, which is in line with the practice, as well as meets the relevant legal and regulatory requirements. All employees are bound by a code of conduct that sets forth the companys policies on all important issues.

Corporate Governance Charter: The purpose of this charter is to codify the companys system of corporate governance so as to assist the top management of the company in the efficient conduct of its business and in meeting its obligation to its shareholders. The charter specifies The relationship with the other group companies The role of the board of directors Responsibilities if the managing directors, finance director, company secretary Important matter the prior approval of the GSK board or its committees Important matter requiring the companys board Control of expenditure

 Professional advisor Internal control framework: The management recognizes its responsibility to present a balance and understandable assessment of the companys position and prospect. The management has accountability for reviewing and approving the effectiveness of internal control operated by the company controls and risk management. While the management has responsibility for implementing various local and corporate policies and procedures, it perceives duties to ensure due compliance with those policies and procedures. Risk management: The company perceives business risk both at local and global perspective. In recognizing risk factor, being part of the world leading company, it is always guided by the sophisticated risk management tools. The company focuses on potential risk form many concerns, like legal and compliance matters, environmental issues and more emphatically, the quality issues. Commercial quality control: In line with the commitment to quality in both product and services, GSK has set up a quality council that works for very prompt response to the complaints as regards quality of GSK product. Although they have a robust quality council at manufacturing site, this is an added effort to making the best use of company commitment patient to the particular and the nation at large.

Implementation of the Strategies

The mission of GSK is to improve the quality of human life to enable people to do more, feel better and live longer- focuses on the needs of patients they achieve this mission through their products and activities, while enhancing the contribution they made to society, sustaining economic performance and operating in an environmentally responsible manner.

Employment practices: They treat their employees with respect and dignity, encourage diversity and ensure fair treatment through all faces of employment. They provide safe and healthy working environment, support employees to perform to their full potential and to take responsibility for the performance and reputation of the business.

Human rights: They uphold the UN universal Declaration of Human Rights, the OECD guideline for MNEs and core labor standard s set out by the international labor organization of their suppliers, contractors and business.

Access to medicine: They research and develop medicine to treat diseases of the developing world. They found sustainable ways to improve access to medicine for disadvantaged people, and seek partnerships to this activity.

Leadership and advocacy:

They established their own challenging standards in corporate responsibility, appropriate to the complexities and specific needs od their business, building on external guidelines and experience. They share best practice and influence others, while remaining competitive in order to sustain their business. Community investment: They make positive contribution to the communities in which they operate, and invest in health and educational programs and partnership that bring sustainable improvements to under-serve people in develop and developing world.

Standard of ethical conduct: Their employees maintain high ethical standards in all aspects of their business. They do it with honesty and integrity, adhering to their CR principles, and complying with applicable laws and regulation.

Research and innovation: In undertaking their research and innovation: They explore and apply new technologies They engage shareholders in any concerns that arise They ensure that their products are subject to rigorous scientific and testing for safety, effectiveness and quality. Products and Customers They promote their products in line with high ethical, medical and scientific standards and comply with all applicable laws and regulations.

Caring for the Environment They operate in an environmentally responsible manner through systematic management of their environment impacts, measurements of their performance and setting challenging performance targets. To minimize

waste generation and use of material and energy, they improve their efficiency of activities.

Evaluation
To evaluate if the management process is going as desired GSK use competency metrics. It is evaluated by line managers. By this metrics GSK finds how an employee is performing and if it is up to the standard. If they find that an employee lacks some specific skills they train them. A trainer generally comes from London. After the training is complete they decide if he is suitable for that particular job or if he should be moved to a new job.

To boost up HR system in Bangladesh

Human resources management is not an old concept in Bangladesh. HR practice was vastly started in the corporate world of Bangladesh in the early beginning of millennium. The HR practice was introduced by the various multinational companies in our country. Although HR is now practiced widely in all aspects, it is disgraceful for us that the standard of HR practice in Bangladesh is not up to the mark. The department chief of HR Abdul Quderyand his assistant Safwan Bin Alam in GSk figured out some pints that are given below-

1. Lack of knowledge: As it is not that much old idea the corporate people actually do not know what human resources management is? 2. Legacy: The big legacy for us is the corporate institutions of Bangladesh do not have a separate HR department. So, it is probable that there will be lots of corporate malpractice. 3. Basic requirement: The so called HR trainers in Bangladesh do not have the basic idea what kind of requirement is needed for trainees because they dont know what HR is. 4. Lack knowledge of competency matrix: Competency matrix is a important term for HR manager. This matrix helps to evaluate the performance of employees according to the standard. Nevertheless our HR managers do not know it actually is. 5. Training: It is forbidden for HR managers to know what kind of training should be needed for the employees and workers. The matter of fact is the HR managers of our country do not have those initiatives. 6. Behavior and Relationship: A HR manager should be polite and gentle. He\she should know how to interact with the employees and workers. But most of the HR managers do not know the manners as a HR manager should know. 7. People management: Another key factor for HR manger is people management. He\she must have the knowledge of managing people. If a HR manger does not have the

knowledge of managing people the organization will fall. For example, most of Govt. owned organization. 8. HR outsourcing: HR outsourcing means hiring employees on contract. Sometimes discrimination happens between the Contract basis employees and permanent employees because the permanent employees get more facilities in terms of salary, allowance, medical etc. bit it is often seen that the contract basis employees have more responsibility than permanent employees which demotivate them.

The required initiatives: First a he or she must understand the basic criteria of HR manger. HR manger must have the knowledge of the requirements as he\she needed. HR manger should apply the updated training method to motivate the trainees. He\she should be smart enough to handle everything in a decent way that he\she can maintain a first-class relationship with the colleagues and workers. As a HR manger he\she is required to establish integrated management. It means the management will be an effective management. HR polices need to be practiced in every sector of the organization. Managing the people is the main task of Hr manger and it should be done tactfully. Professionalism is required for Hr manger. HR outsourcing should not be practiced within the organization. If it is practiced than it should be practiced in a way that the employee does not get unprovoked. The last and the most important thing is HR manger should work with everyone in team which will help to achieve the organizations Goal. As we know that team work ensures the success.

Our understanding
This report reflects the scenario of HR practice in Bangladesh. Day-by-day our economy is becoming large. In last two decades many multinational companies and neighboring companies are emerging so rapidly in our country. As a result, HR practice has created great influence on these companies. Because without nursing a good human resource, it is easy to say an organization will fall. Therefore, we think our HR practice should be Boosting up HR practice in Bangladesh the challenge lies in creating the right linkage between human resource practices and business success. For this, they need to work closely with the business to adopt the right people and talent management practices to attract talent who delivers high performance. Next, the focus should be on the continued performance, engagement and retention of the talent. Our HR practice should deliver a good employee experience at each stage of the employee life cycle -- from joining to separation. And last, but not the least, HR needs to help the organization create an adaptive, change embracing culture which allows flexibility to meet business demands and drive the best results.