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A SUMMER TRAINING PROJECT REPORT ON CUSTOMER RELATIONSHIP MANAGEMENT At

AXA PARENTERALS LTD, ROORKEE

SUBMITTED IN THE PARTIAL FULFILMENT OF MASTER OF BUSINESS ADMINISTRATION (TWO YEAR FULL TIME PROGRAMME)

SUBMITTED BY SACHIN KUMAR MBA ( 3rd Sem)

UNDER THE SUPERVISION OF Mr. PRADEEP JOSHI

(Batch 2011-2013)

QUANTUM SCHOOL OF BUSINESS


Mandawar (22 Km Milestone), Roorkee Dehradun Highway (NH 73) ROORKEE 247 662 Contact No.: 0132 2781728, +91 9319909777 Approved by AICTE, Ministry of HRD, Government of India

CERTIFICATE
This is to certify that the summer training report titled, Customer Relationship

Management is an original work carried out by Mr. Sachin Kumar, a student of


MBA 3rd Semester of QUANTUM SCHOOL OF BUSINESS, ROORKEE, (Batch 20112013).

This Project report has been submitted in partial fulfillment of award of MASTER OF BUSINESS ADMINISTRATION.

(SIGNATURE) INTERNAL GUIDE

(SIGNATURE) H.O.D.

ACKNOWLEDGEMENT

I would like to take this opportunity to express my deepest gratitude to AXA Parenterals Ltd who gave me this opportunity to work in their organization. I feel extremely honored for being a student of Quantum School Of Business through which I got this opportunity to come close to AXA Parenterals Ltd.

All

the persons who have been instrumental in successful completion of this

project. As it is aptly said a single conversation across the table with a wise man is worth a months study of books. The project entitled Customer Relationship Management to AXA Parenterals Ltd, I taken up and carried out thoroughly.

I would like to

thank my project guide Mr. Pradeep Joshi for helping me

completing my project successfully through their unfailing courtesy and constant enthusiastic cooperation, which was fruitful enough for my project .

SACHIN KUMAR

DECLARATION

I, Sachin Kumar, hereby declare that the work which is being presented in this report entitled Customer Relationship Management In Axa Parenterals Ltd. is an authentic record of my own work carried out under the supervision of Mr. Pradeep Joshi. The matter embodied in this report has not been submitted by me for the award of any other degree.

Sachin Kumar

CONTENTS
Certificate of Faculty Guide Certificate from Organisation Acknowledgement Contents Executive Summary Objectives of study About Company About Topic Research Methodology Sample size Sample unit/profile Method of Sampling Location Parameters of Study Method of data collection Tools Limitations Analysis & findings Recommendations Conclusions Bibliography Questionnaire 2 3 4 6 7 8 9 28 46

a) b) c) d) e) f) g) h)

50 61 62 63 64

EXECUTIVE SUMMARY

The game of economic competition has new rules. Firms should be fast and responsive. This requires responding to customers needs for quality,

variety, customization, convenience and timeliness. Meeting these new standards requires a workforce that is technically trained in all respects. To survive and flourish in the present day corporate jungle, companies should invest time and money in upgrading the knowledge and skills of their employees constantly.. This article is intended to give an insight to one of the primary Marketing function i.e. Customer Relationship Management being followed in Axa Parenteral Ltd. The document begins with a brief overview, objectives of the study and goes on to elaborate on the need and significance of the study. It proceeds further with the methodologies being followed and how the data is collected, analyzed and interpreted. This is mainly is dealt with and the Company profile is elaborated followed by the Marketing analysis, Statistical analysis and is concluded with Recommendations and suggestions. In this project, I have learned many things about Customer Relationship Management programmes carried out at Axa Parenteral Ltd.

OBJECTIVE OF STUDY

Objectives of Customer Relationship Management


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2. 3. 4. To study the current practices of CRM. To find out the impact of CRM on the profitability of the organization. To study the factors affecting the CRM practices. To study the role of information technology in CRM.

Company Profile

Welcome to Axa Parenterals Ltd.

AXA Parenterals Ltd is into manufacturing & marketing of Sterile Parenteral preparations, life saving medicines and hospital products. AXA Parenterals Ltd has first of its kind I.V. Fluid plant in Roorkee, Uttarakhand, the hilly state of India. AXA's Intravenous Fluids are manufactured in High Quality Medigrade Plastic LDPE granules under aseptic conditions using the latest State Of-The-Art AFFS Technology. AXA products are marketed across India through its own Sales, Marketing and Distribution network. The plant is certified with WHO-GMP. The plant has been designed as per USFDA and EU regulatory guidelines as the company plans to enter regulated markets in coming years. AXA Parenterals Ltd is into manufacturing & marketing of Sterile Parenteral preparations, life saving medicines and hospital products. AXA Parenterals Ltd has first of its kind I.V. Fluid plant in Roorkee, Uttarakhand, the hilly state of India. AXA's Intravenous Fluids are manufactured in High Quality Medigrade Plastic LDPE granules under aseptic conditions using the latest State-Of-The-Art AFFS Technology. AXA products are marketed across India through its own Sales, Marketing and Distribution network. The plant is certified with WHO-GMP. The plant has been designed as per USFDA and EU regulatory guidelines as the company plans to enter regulated markets in coming years.

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Aim and establishment of the company:

AXA had launched a series of new products, which is acknowledged by the Indian Medical fraternity very well. In last 3 years, we could grab a major market share in the fluid therapy segment in India and we can proudly claim ourselves as one of the leaders in Indian pharmaceutical infusion market.

AXAs business focus in coming years will be in Emerging Markets across the world. We are enhancing our internal operations to ensure a consistent quality and world-class products. We will ensure that in all of our actions, we strive to ensure that all economic, environmental and social factors are considered.

We have the key success factors required a right combination of scientific, financial, managerial and operational skills to withstand the winds of change. We are committed as a team to build a skilled research and development team, which is reinforced by the stateof-the-art infrastructure. It is imperative to combine the technical expertise, knowledge and care, where every drop of medicine will balance Human Life in favor of Fitness and Well Being. AXA has established and organized a strong marketing and distribution network in a short span across India. AXAs well recognized market presence, strong product portfolio and growth in multifold has given us confidence to go for further capacity expansion. In response to the competitive market, AXA will focus on development of new products, new services and new systems to create new markets across the world.

As the human being is challenged by incomprehensible diseases and ailments, we attempt to reach the best of scientific processes to unearth their remedy. Its HOPE in wider sense which enabled us to build AXA, one of Indias modern sterile solutions manufacturing unit. It was a responsibility powered by hard work, initiative and self belief. Above all, we say TO DREAM WITH YOUR EYES WIDE OPEN.

I am delighted to convey that AXA has a plethora of initiatives in coming years, for realizing stronger growth and exceeding customers expectation with quality solutions. Our focus will be on specific growth opportunities by

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Redefining the market boundaries on Emerging Markets across the globe. Developing trust & confidence of Medical Fraternity, Distributors and Retailers across India and International markets.

We are being identified as a Company of Quality Products. It would be our constant endeavor to excel on this quality and responsibility bestowed on us through improvement in our manufacturing and technology.

THE STATE-OF-THE-ART TECHNOLOGY

The company is equipped with From-Fill-Seal plant and machineries. LVP and SVP machine obtained from Rommelag. Germany, global leaders in this technology. The containers are blown and filled with the I.V fluid and sealed in closed circuit in most aseptic condition, which is totally automatic and devoid of any human touch. The aseptically sealed bottles are further sterilized in Sophisticated Superheated Sterilizer.

Axa offers its products Large Volumes Parenterals (500 ml, 450ml, 350ml, 250ml, and 100ml) and small volumes parenterals (10ml, 8ml, 5ml, 3ml, 2ml, 1ml).

Key distinct advantage which AXA can offer: Dedicated Rommelag, Germany, FFS machines for LVP and SVP with stage 2 expansion to be completed with installation of another FFS machines by November 2011. Collateral expansion in veterinary and critical care division to be completed by November 2011.

12 Unique and new bottle design, with an option to exchange engraves logo on bottle as per choice itself. Strong in house QA/QC and R&D departments with latest & sophisticated equipments. Committed and assured towards manufacturing, as it comply strictly with principle norms and procedures. Dedicated team of management and professionals. A unique shaped container of multi dose units for eye/ear drops and single dose container in 5ml and 10ml for WFI, NS and other injectables. Axa facilities are already accredited with WHO GMP. Plant is located in excise free zone of Uttarakhand thus can offer significant savings on LVP and SVP products. Their own strong presence in Domestic Indian Market with strong holding North, Central, North-East part of India. Presence in International market (Semi-regulated) with collaboration and direct registration in South-East Asia, CIS, and African countries.

Axa is already working closely with various reputable national and multinational companies for Indian markets (like B Braun, Aristo, Cipla, Cadila Nicholas, Piramal, Wockhardt, Mankind, FDC, Aristo, Unichem, Medley, Sunways, Entod etc) as contract Manufacturer/Loan License Manufacturer.

Axa, in extremely short term has formed very close working relationship with its customers for a protected mean of existence.

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GUIDING PRINCIPLES

VISION AND MISSION


Mission 1. Manufacturing quality products with concern for safety, environment and health 2. Following best management practices and build success with excellence. 3. AXA to strive ceaselessly with a commitment towards Customer satisfaction.

Vision 1. To be one of the reliable, innovative, customer oriented and most admired pharmaceutical company in the global arena. 2. To continually create value, bring pride to our customers and partners at large. 3. To provide quality products with concern to Safety for human health.

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SWOT ANALYSIS
SWOT Analysis is a strategic planning method used to evaluate the strengths, Weaknesses, Opportunities, and Threats involved in project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective. The technique is credited to Albert Humphrey, who led a convention at Stanford University in the 1996s and 1970s using data from Fortune 500 companies. A SWOT analysis must first start with defining a desired end state or objective. A SWOT analysis may be incorporated into the strategic planning model. Strengths: Attributes of the person or company that are helpful to achieving the objectives. Weaknesses: Attributes of the person or company that are helpful to achieving the objectives. Opportunities: External conditions that are helpful to achieving the objectives. Threats: External conditions which could do damage to the objectives.

Situation analysis

Internal analysis Strength Weaknesses

External analysis Opportunities Threat

15 STRENGTH: It is first of its kind I.V fluid plant in Uttarakhand. Using the latest AFFS technology. Quality is affirmed by WHO/GMP. Technologies obtained from Rommelag, Germany. It is located at excise free zone of Uttarakhand.

WEAKNESSES: Higher maintenance cost of plant to fulfill appropriate hygienic conditions. Technicians are to be outsourced because machineries used are obtained from Germany. Due to less number of machinery company fails to fulfill demand.

OPPORTUNITIES: Company can produce parenterals products for veterinary. Company can enhance their domestic marketing. Export of products to other countries. As now company has a good image so company can capture the other states.

THREATS: Vulnerable to reactive attack by major competitors. Entry of new competitors. Niche Market.

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Manufacturing
The company has earned the distinction of being a reliable and quality conscious contract manufacturer of quality products to various leading pharmaceutical companies in India and International Markets.

As a specialist in Aseptic Parenteral processing, we give emphasis on quality of the final product. Our quality policy facilitates our personnel to strive to meet the standards of excellence. In extremely short term AXA has formed very close working relationship with its customers Axa facilities are now well regarded in the industry.

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Technology / Quality
Technology
The company is equipped with FFS (Form- Fill-Seal) technology. LVP and SVP machine obtained from Rommelag, Germany, the global leaders in this technology. The Containers are blown and filled with the I.V. fluid and sealed in closed circuit in most aseptic condition, which is totally automatic and devoid of any human touch. The aseptically sealed bottles are further sterilized in Sophisticated Superheated Sterilizer.

Quality
The philosophy of the Company is to deliver top quality products to the consumers, using best quality materials for the manufacturing I.V. fluids. Total Quality Management is the principle of the company, practiced by strict adherence to WHO-GMP Standards.

Monitoring of quality standard/good manufacturing practices at each and every stage of manufacturing.

The state-of-the-art laboratory set up is equipped with facilities for chemical and instrumental analysis. Capable of undertaking the most comprehensive tests, the laboratory has equipment sourced from internationally renowned suppliers.

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PRODUCTS CATEGORY

Fluid therapy
PRODUCT (LVP) Dextrose Injection. 5%.,10% 25% Sodium Chloride 0.9% & Dextrose 5% Injection. Sodium Chloride 0.45% & Dextrose 5% Injection. Sodium Chloride 0.33% & Dextrose 5% Injection. Sodium Chloride 0.22% & Dextrose 5% Injection. Sodium chloride Injection 0 .9% Sodium Chloride Injection. 0.45% Sodium Chloride 0.33% Ringer Lactate Injection. Ringers Injection Multiple electrolytes 'P' & Dextrose Injection. Multiple electrolyte 'G' & Dextrose Injection. Multiple Electrolyte M & Dextrose Injection. Multiple electrolytes 'E' & Dextrose Injection. Dextran 40 Injection with Sodium Chloride Dextran 40 Injection with Dextrose Mannitol Injection 10%.20% Invert Sugar 10% with 0.9%Sodium chloride Invert Sugar 5% injection ANTIBACTERIALS Ciprofloxacin Injection. Ofloxacin Infusion Levofloxacin Infusion Gatifloxacin Infusion 4mg/ml Moxifloxacin Infusion Pefloxacin infusion 400mg/100ml Linezolid I.V Injection. ANTIFUNGAL PACK 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml 500ml PACK 100 ml 100 ml 100 ml 100 ml 100 ml 100 ml 100 ml & 300 ml PACK

Mannitol (10%w/v) & Glycerin (10%w/v) Injection 500ml

19 Fluconazole I.V. Injection ANTI AMEOBOCITES Metronidazlole Injection. Ornidazole Infusion Tinidazole I.V.Injection Metronidazole 0.2% & Dextrose 5% w/v Injection ANALGESIC AND ANTIPYRETIC Paracetamol Intravenous Infusion 100 ml PACK 100 ml 100 ml 400 ml 500ml PACK 100ml

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Eye Drops
EYE DROPS Betamethasone eye drops PACK 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml

Betamethasone + Neomycin eye drops

Betamethasone + ofloxacin eye drops

Briminodine Tartrate eye drops

Bromfenac Sodium 0.09% + BKC 0.005% eye drops Carboxymethyl cellulose + Stabilized oxychloro complex Eye drops 0.5%w/v Carboxymethyl cellulose, N-Acetyl-carnosine, eye drops.

Chloramphenicol eye drops

Chloramphenicol + Polymyxin B Sulphate eye drops

Chloramphenicol + Tetrahydrozoline eye drops

Ciprofloxacin hydrochloride 0.3%w/v as ciprofloxacin Ciprofloxacin + Dexamethasone Eye drops

21 & 10 ml Cyclopentolate Hydrochloride Eye drops 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml

Dexamethasone Sodium phosphate Eye drops

Diclofenac eye drops

Dorzolamide hydrochloride eye drops

Dorzolamide + Timolol Eye drops

Fluconazole 0.3%w/v

Flurbiprofen Sodium + HPMC eye Drops

Flurbiprofen + Chloramphenicol eye Drops

Gatifloxacin 0.3%w/v eye drops

Gatifloxacin + Dexamethasone eye drops

Gentamicin 0.3%w./v eye drops

Hydroxypropyl methyl cellulose

Ketorolac Tromethamine 0.5%w/v

Ketorolac Tromethamine + Dexamethasone eye drops

22 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml

Ketorolac Tromethamine + Moxifloxacin eye drops

Ketorolac Tromethamine + Ofloxacin eye drops

Latanoprost eye drops

Moxifloxacin 0.5% eye drops

Moxifloxacin + Dexamethasone eye drops

Moxifloxacin + Prednisolone eye drops

5 ml Naphazoline Hydrochloride + Methyl cellulose + borax + boric acid & 10 + Menthol + camphor eye drops ml NaphazolineHCl + CPM + HPMC eye drops Naphazoline Hydrochloride + Chlorpheniramine maleate + Zinc sulphate eye drops Naphazoline Nitrate + CPM eye drops 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10

Naphazoline Nitrate + Phenylephrine eye drops

Natamycin ophthalmic suspension

Norfloxacin 0.3% eye drops

Ofloxacin 0.3% eye drops Ofloxacin + Dexamethasone eye drops

23 ml Olopatidine Hydrochloride eye drops 5 ml & 10 ml 5 ml & 10 ml

Poly vinyl alcohol & Povidone eye drops

5 ml Potassium Iodide, Sodium chloride and Calcium chloride Eye drops & 10 ml Prednisolone Acetate eye drops 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 10 ml 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml

Prednisolone acetate + Gatifloxacin eye drops

Prednisolone acetate + Moxifloxacin eye drops

Prednisolone + Ofloxacin eye drops

Sodium Chloride 5.0%w/v

Sodium Chromoglycate eye drops 4%w/v

Sparfloxacin 0.3%w/v eye drops

Sulphacetamide sodium Eye drops Sulphacetamide + CPM + HPMC + Zinc sulphate + Chlorbutol Sulphacetamide + Chloramphenicol eye drops Tobramycin ophthalmic solution 0.3%w/v

Tobramycin+ dexamethasone eye drops Timolol Maleate Eye drops 0.25%w/v

24 & 10 ml Timolol Maleate Eye drops 0.5%w/v 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml PACK 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml

Tropicamide eye drops Tropicamide 0.8 % & Phynylephrine hydrochloride 5%w/v Eye drops OPHTHALMIC SUSPENSIONS Chloramphenicol + Dexamethasone eye drop

Fluoromethalone Ophthalmic suspension 0.1%

Fluoromethalone Ophthalmic suspension 0.25 %

5 ml Tobramycin 0.3%w/v and Fluoromethalone ophthalmic suspension & 10 ml

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Ear Drops
EAR DROPS Beclomethasone + Clotrimazole+ Zinc Sulphate + Gentamicin +Lignocain Beclomethasone + Clotrimazole+ Zinc Sulphate + Gentamicin + Ofloxacin +Lignocain Chloramphenicol ear drops Chloramphenicol (0.4%) + Dexamethasone (0.1%) ear drops Chloramphenicol (0.5%) + Dexamethasone (0.1%) + Polymeric-B sulphate (5000 IU )ear drops Clotrimazole 1%+ Lignocaine Hydrochloride 2% Ofloxacin ear drops Ofloxacin + Dexamethasone sodium phosphate + BKC Para dichlorobenzene ear drops PACK 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml 5 ml & 10 ml

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Nasal Drops
NASAL DROPS Sodium Chloride 0.65% nasal drops Xylometazoline Ear drops PACK 10 ml 5 ml & 10 ml Oxymetazoline Hydrochoride Nasal drops 5 ml & 10 ml

Injectables
INJECTIONS PACK Lignocaine Injection 0.5% 7.2 ml Lignocaine injection 1.0 % 7.2 ml

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Customers
Axa works as Contract Manufacturer for various reputed national and multinational companies like Biocon, Abbott, Unichem, Cipla, Intas, B Braun, Cadila, Bal Pharmaceuticals Ltd., Wockhardt, Mission, FDC, Biochem, Pharmtak, Aristo, Mankind, Entod, Macleods and Sunways .

Bal Pharmaceuticals Ltd.

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INTRODUCTION OF THE TOPIC

Introduction

The biggest management challenge in the new millennium of liberalization and globalization for a business is to serve and maintain good relationship with the king the customer. In the past producers took their customers for granted, because at that time the customers were not demanding nor had alternative source of supply or suppliers. But today there is a radical transformation. The changing business environment is characterized by economic liberalization, increasing competition, high consumer choice, demanding customer, more emphasis on quality and value of purchase etc. All these changes have made todays producer shift from traditional marketing to modern marketing. Modern marketing calls for more than developing a product, pricing it, promoting it and making it accessible to target customer. It demands building trust, a binding force and value added relationship with the customers. The process of developing a cooperative and collaborative relationship between the buyer and seller is called customer relationship management shortly called CRM. The idea of CRM is to know the individual customer intimately, so that the company has a customized product ready for him even before he asks for it.

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Aims of CRM

The CRM is a new technique in marketing where the marketer tries to develop long term relationship with the customers to develop them as life time customers. CRM aims to make the customer climb up the ladder of loyalty. The company first tries to determine who are likely prospects i.e. the people who have a strong potential interest in the product and ability to pay for it. The company hopes to convert many of its qualified prospect into first time customers and then to convert those first time customers into repeat customers. Then the company tries to convert these repeat customers into clients they are those people who buy only from the company in the relevant product categories. The next challenge for the company is to convert these client into advocates. Advocates are those clients who praise the company and encourage others to buy from it. The ultimate challenge is to convert these advocates into partners where the customers and the clients work actively together to discover ways of getting mutual benefit. Thus in CRM the key performance figure is not just current market share but share of life time value by converting customers into partners. In CRM the company tries to identify that small percentage (20%) of key account holders whos contribution to the company revenues is high (80%). So from this point of view, CRM is also known as KEY ACCOUNT MANAGEMENT.

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Why customer relationship management

A satisfied customer in 10 years will bring 100 more customers to the company. It costs 7 time more to attract a new customer than to serve an old one. 20% of the companys loyal customers account for 80% of its revenues. (Paretos principle). The chances of selling to an existing customer are 1 in 2, the chances of selling to a new customer are 1 in 16.

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Eight ways to keep customers for life


1. Every part of the companys marketing effort should be geared towards building lifetime relationships. 2. People want to do business with friendly people. To have effective relations a friendly attitude must permeate in the organization. 3. Information technology developments should be positively used to serve the customers. 4. The company should always be flexible to bend its rules and procedures in the clients favor. 5. The company should communicate with its customers even when it is not trying to sell something. 6. The company can communicate and develop stronger customer bonding by providing financial and social benefits. 7. The company should try to know all its customers including their lifestyles, hobbies, likes and dislikes etc. 8. The company should make it a point to deliver more than what is promised.

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CRM in the Pharma industry

In pharma industry one company sell its product to another company. For example a yarn manufacturing company sell to fabric manufacturing company. A fabric manufacturing company sell fabric to apparel company. The main customers of the companies in the pharma industry are the wholesalers. And the final product is sold to the wholesalers and retailers. In this industry the customers are few and profit margins are high. So CRM is very much necessary and relevant in this industry. There is a high degree of uncertainty on the part of the buyers, the likelihood of customers seeking a relationship is increased. If the firm loses its customer it would be major loss to the firm. The product in the pharma industry is complex and quality is an important factor. One of the major values the customer expects from vendors is quality. No customer will tolerate average quality. According to GEs chairman John quality is the best assurance of customer allegiance and strongest defense against competition and the only path to sustained growth and earnings. If the product is not of good quality the customer will not be satisfied and the firm may lose its customer. Moreover there is a scope of customization in the product. The seller has to customize the product according to the need of the customer. Customization is changing the product according to the need of the customer in order to satisfy him.

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How to introduce CRM in the company

There are four key steps for putting one to one marketing program to work

Step 1 : Identify your customers


To launch a one to one initiative the company must be able to locate and contact a fair number of customers or at least a substantial portion of its valuable customers. It is crucial to know the customer details as much as possible, not just their names or address, but their habits, preferences and so forth.

Step 2 : Differentiating your customers


Customers are different in two principal ways, they represent different levels of value and have different needs. Once the company identifies its customers differentiating them will help the company to focus its efforts to gain the most advantage with the most valuable customers.

Step 3 : Interacting with the customer


Interaction is also a crucial component of a successful CRM initiative. It is important to remember that interaction just not occur through marketing and sales channels, customer interact in many different ways with many different areas of the organization so to foster relationship all the areas of the organization must be accessible to the customer.

Step 4 : Customize your enterprises behavior


Ultimately to lock a customer into a relationship a company must adapt some aspect of its behavior to meet customers individually expressed needs this might mean mass customizing a manufactured product or it might involve tailoring some aspect of the service surrounding the product.

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Address Your Target Audience By Means of CRM Marketing

The popularity of customer relationship management (CRM) systems has become very widespread in the recent years. These systems are used for a wide array of purposes, the main one being effectively managing and monitoring a business relationship with its customers. Who are those customers, though? Every company has a certain target audience, meaning the people they want to reach with its message and to whom the products/service are intended.

Establishing the target audience in theory is very easy. Lets say that a business selling detergent is addressing 25-45 year old women living in both rural and urban areas with a middle income. There are plenty of women out there with these characteristics, so approaching them properly can be quite challenging. Implementing CRM into a business marketing campaign can be very helpful in this matter.

CRM marketing basically means using CRM systems to direct the marketing technique of a company in an effective direction for a higher conversion. Gathering pertinent information

35 about the companys customers and their needs is the first step of this process. Analyzing the information in order to develop a great CRM marketing strategy that targets the audience groups with better chances of responding comes next.

Not only can CRM marketing help businesses gather useful information about their customers and establish a pertinent way of addressing them, but it can also save them a lot of money. Since marketing managers know who to address, their marketing costs can significantly be reduced. Moreover, the Internet has allowed for great direct marketing campaigns that are cost-effective and can streamline better directions for the advertising part.

The types of data used by companies differ from one company to another. While some businesses focus on specific information about their customers (such as age, family status and occupation), others only store information regarding the customers behavior (such as recent

36 purchases and shopping habits). Opting for a type of data storage or the other depends exclusively on the company handling it.

There are many marketing channels that businesses can use in order to implement a CRM marketing strategy. The most important ones are email, social media, search engines, telemarketing, and direct mail.

Businesses opting for email CRM marketing can use their databases and the contacts in there to reach their customers via email. This enables as a reminder that the company is there and is concerned with the wellbeing of its customers, which them to find out useful information on their satisfaction and needs. It also serves automatically leads to customer loyalty and brand awareness.

Direct mail is one of the most cost-effective CRM marketing solutions. This strategy allows managers to target their marketing strategy towards the customers who are most likely to affect

37 and convert. Unlike conventional mass mailing, which usually ends up in the trash or recycle bin, direct mail leads to optimum results, since it allows managers to choose whom to direct their message to.

Telemarketing is another great way of reaching the target audience, but it can also mean wasted time, money and effort. By adding CRM to this technique, the results will be so much more successful, since telemarketers will only send information to the addressed customers.

Social media has become the most popular trend of our time. However, being present on social networks is not enough for a business to succeed. It takes time and dedication to monitor social networks. Also, it is very important to remain active at all times and not let people forget about the company. When it comes to CRM marketing for social media, being present on more than two social networks is not always a great idea.

38 This is because the customers who use social networks expect a prompt response. If the company is busy handling numerous social network accounts, the response rate will be lower and the relationship with the customers will be damaged.

Search engines can be used to see what kind of information people look up online. In this way, companies will be able to implement an even more precise marketing strategy. Not to mention that search engine optimization can significantly improve the visibility of a website in search engines, which means that more people will come in contact with it.

Source

Marketing CRM is a modern and effective solution that all managers should take into consideration. At extremely low costs, this solution can significantly improve the companys relationship with its customers, therefore leading to a higher profitability.

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Source

CRM is a very efficient system of managing the relationship with clients. All companies can become profitable when they are having a great relationship with their clients, so a great customer relationship management system in your firm can turn out being a great investment, A Higher Profit is without a doubt the most important reason why company managers decide to use CRM. there is no wonder that the sales are great and consequently, the profits much higher.

Centralization and Sharing of Data is also an important benefit obtained though the use of CRM. Data is stored in a centralized location when using this system, meaning that it will become easily accessible to all your employees and each member of your business. As a consequence, the staff will work easier, as communication will be much facilitated between workers and customers. For instance, in case one employee calls in sick or is on vacation, the others will be able to easily share his daily tasks, as they will have quick access to accurate data. The company will never be at risk of loosing an important client.

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Source

A Better Customer Service will keep all clients satisfied and this means that they will be more willing to work with the company. A CRM system will make all clients feel like they received all needed support, actually being almost like part of the firm improved. A Higher Customer Satisfaction is only a simple consequence of the customer relationship management system usage. When clients are satisfied, they will be more likely to make business with you once again, but they can also recommend your company to potential new clients Decrease in Overall Costs is an important benefit of CRM use, too. Along with the efficiency of the everyday working process you will find out that you can reduce staff and obtain the same great results. As the work of your

employees will be eased, you will need less people to work for you. Consequently, costs will be lower and profits much higher. Operation costs will be much reduced, too.

41 Better Marketing is another consequence of the costumer relationship management system usage. You can focus on effective marketing communication aimed specifically at customer needs, but you can also adopt a more personal approach.

Increased value from your costumers, reduced costs, great services, but also an improved profitability are just some of the reasons why you should use the CRM system in your firm, too. It can develop better communication channels, collect vital data, create complex costumer profiles and identity new selling opportunities, as well.

CRM, or customer relationship management, is a widely implemented model for managing a company.

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interactions with customers, clients, and sales prospects. This involves using technology to organize, automate, and synchronize business processes, mainly in the sales area, but also those for marketing, customer service and technical support. Any business is highly dependent on its customers. Traditionally, small businesses were thought to be better able to understand the customers needs, simply because their size made it easier. For instance, if you own a corner shop it is much more straightforward to serve your local customers rather than being a supermarket chain. It is natural, because you know what your customers want since you see them almost on a daily basis and you can speak to them face to face, rather than having to organize surveys and questionnaires.

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Significance of the study


The CRM (customer relationship management) is an integrated effort to strengthen the network of relationship for the mutual benefit of both the parties. The biggest management challenge in the new millennium of liberalization and globalization for a business is to maintain good relationship with the king the customer. This study is of great significance because A 5% increase in the customer retention will increase the profit up to 125%. It costs seven time more to attract a new customer than to serve an old one. 20% of the companys loyal customers account for the 80% of its revenues. To study on customer relationship management would enable the researcher to about the CRM practices adopted in the pharma industry. know

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Review of the existing literature


With the available literature we can summarize CRM in the words of various authors as followsAccording to Shani and Chalarani Customer Relationship Management marketing can be defined as an integrated effort to identify, maintain and build up a network with the individual customers and to continuously strengthen the network for the mutual benefit of both parties, through interactive, individualized and value added contracts over a long period of time. In the words of Lekha CRM aims at delivering better products and value to the customers through better understanding of his needs.

Conceptualization

A firm in pharma industry has to maintain good relations with its customers. They have to retain the customers for a long time to avail the benefit of their relations. The customer relationship management is one of the effective tool to identify, establish and maintain relationship with the customers. With the help of this research we are going to identify the importance of CRM in pharma industry.

Focus of the problem


The pharma industry is basically manufacturing based industry. Through this study we are going to identify the importance of CRM in the pharma industry. How it is benefited from CRM? Is

45 their any relevance of implementing CRM? And what role does information technology can play in CRM?

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RESEARCH METHODOLOGY

Research Design
A research design is simply a plan for study in collecting and analyzing the data. It helps the researcher to conduct the study in an economical method and relevant to the problem. Research methodology is a systematic way to solve a research problem. The methodology should combine economy with efficiency.

A research design is the arrangement of condition for collection and


analysis of data in a manner that aims to combine Relevance to the research purpose with economy in procedure.

Descriptive Research

This research includes surveys and facts finding enquires of different kinds. The major purpose of descriptive research is that the research can only describe the state of affairs existing at present in the organization. The main feature of this method is that the researcher has no control over the extraneous variables called the respondents as they are going to interview the employees of the organization in order to perform study. They can only report what happened or what is happening. In social science and business research, we quiet often use the terms ex-post facto research for descriptive research studies, the researcher can discover and describe the causes for various situations but they cannot control the situations.

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Research Tools
Data Source Research Approach Sampling scheme Contact method Sample size Respondent : : Primary & Secondary Data Survey method Questionnaire Simple random sampling Personal / Direct 50 Medical stores, Hospitals, Medical Agencies

Research Instrument : : : : :

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Collection of the data


There are two types of data.

Primary data Primary data are those which are collected a fresh and for the first time &
thus happen to be original in character. Primary data is obtained by the study specially designed to fulfill the data needs to problem hand. Such data are original in characters generated by the way of conducting survey. The hospitals, medical stores, and Medical agencies to which I approach are the following: 1. Neel Himalaya Eye Centre, Roorkee ( Dr. Sachin Tyagi) Sanjeevan Hospital, Roorkee(Dr.Sanjeev Garg) Aksh Medical Agency, Roorkee S.R Pharmaceutical Distributors 2. Pashu Chikitsalaya, Maya puri, Haridwar Dr. Prem Kumar (Chief Veterinary Officer,Haridwar) Dr. R.P Shukla Dr. R.S Negi Dr. P.L Mamgain( Vet. Pharmacist) 3. Super Medical Store, Manglaur Raghav Medicos, Manglaur Rajkiya Pashu Chikitsalya,Manglaur

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Secondary data Secondary data are those which have already been collected by someone
else and which have already been passed through the statistical process. The Secondary data consist of reality available companies already complied statistical statements. Secondary data consists of not only published records and reports but also unpublished records. These data were collected from: (a) Related books, report magazines. (b) Industry publications. (c) Website

Tools A- Questionnaire B- Personal interview Contact Method: Visiting physically to the distributor, companies and major shops of Saharanpur market used personal interview and telephonic interview method.

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DATA ANALYSIS & INTERPRETATION

Reason For Axa To Follow These Practices


Table S.No. 1 2 3 4 5 6 Total Practices Building Brand Image Competitors Retention of Customer Increase in sales & profit Word of mouth Any other Respondents 6 5 25 4 8 2 50 Percentage 12 10 50 8 16 4 100

30 25 25 20 15 10 6 5 0 Building brand Competitors image Retention of Increase in customer sales & profit Word of mouth Any other 5 4 2 8

51 Analysis: This bar chart gives us an idea about why Axa should follow above mentioned practices. 25 percent of the respondents were in favor of retention of customers. Second were those 8 respondents according to whom word of mouth should be the reason.6 thought that by following above practices Axa can gain from increase in sales & profit. Rest of the respondents gave reason like retention of customer.

Interpretation: More people stated that retention of customers should be the main reason for a company because in such competitive world if a customer is not satisfied from a particular firm be can easily move on to other company. So it become necessary for a company to provide good service, schemes to retain the customers.

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Reasons Influence You For Purchasing Axa Products


Table S.No. 1 Reasons Reputation of company 2 3 4 5 Pricing policy Advertisements Good service Any other Total 16 10 14 2 50 32% 20% 28% 4% Respondents 8 Percentage 16%

4 28

16 Reputation of company Pricing policy 32 Advertisement Good service Any other

20

53 Analysis: From the data it is found that as many as 16 people have been Axa client due to good pricing policy use by them. As many as 14 people think that their services are the reason why they are sticking with the firm. 10 are due to advertisement in the market and 8 people due to reputation of the company. Interpretation: It is clearly understood from the data most of people are Axa client due to good pricing policy.

Awareness Of Customer Relationship Marketing Policy


Table S.No. 1 2 Options Yes No Total Respondents 35 15 50 Percentage 70 30

30 Yes 70 No

54 Analysis: From the pie chart depicted about it is clearly understood that out of 50 respondents 35 are aware of customer relationship marketing practices followed by Axa and rest 15 are not aware. Interpretation: This is simple question as majority of respondents are aware of CRM practices. The reason may be that they are aware of the term themselves then the rest.

Customer Relationship Marketing Policy


Table S.No 1 2 3 4 Practices Updated information Long term concessions Regular in touch Any other Total Respondents 25 5 14 6 50 Percentage 50 10 28 12

60% 50% 50% 40% 30% 20% 10% 10% 0% Updated information Long term concessions Regular in touch Any other 18% 12%

55 Analysis: By studying the chart above we can conclude that out of 50 respondents 25 thought the Customer Relationship Marketing practices followed by the company is provided updated information of new launch policies. Next in line are 14 respondent according to whom providing Regular in touch with the customer.

Interpretation: It is clearly understood from the data most of people are Axa client due to company is provided updated information of new launch policies .

Recommend To Other
Table S.No. 1 2 Options Yes No Total Respondents 31 19 50 Percentage 62% 38%

38% 62% Yes No

56 Analysis: This pie chart gives us an idea about a number of respondents who will

recommend Axa product to other 31 responded that they would suggest Axa product and 19 responded that they will not recommend.

Interpretation: The people who will recommend are those who are satisfied with Axa

product or in recent time have earned profit.

Satisfaction level of customer


Table

S.No. 1 2 3 4 5

Practices Excellent Very good Good Average Poor Total

Respondents 11 14 16 5 4 50

Percentage 22 28 32 10 8

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35% 30% 25% 20% 15% 10% 5% 0%

32% 28% 22%

10%

8%

Excelent

Very good

Good

Average

Poor

Analysis: By studying the chart above we can conclude that out of 50 respondents, The satisfaction level of 16 respondents is good and 14 respondent is very good. The satisfaction level of 11 respondents is excellent and 5 say is average and rest of them satisfaction level is poor.

Interpretation: More respondent are in favor of good option as their experiences have been good in getting responses. Comparatively the number is more in client towards good, excellent level and less towards poor.

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Is There Any Need To Improvement In Customer Retention And Loyalty


Table S.No. 1 2 Improvement Yes No Total Respondent 30 20 50 Percentage 60 40

Improvement

40% 60% Yes No

Analysis: This pie chart gives us an idea about most number of respondents wants to

improvement in customer loyalty and retention.

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Limitations of Customer Relationship Management

Time constraint is unavoidable limitation of my study. Financial problem is also there in completing this project in a proper way. As no work has been done earlier in this regard so scarcity of secondary data is also there. Since the hospitals I visited were government hospitals, doctors were on leave most of the days.

Suggestions

There should be more and more emphasis given by the company for satisfying the customer up to a apex limit and by providing the utility of every penny of his money.

There should be more use of information technology. The company should be flexible to bend its rules and procedures in the clients favors. The company can communicate and develop stronger customer bonding by providing social and financial benefits.

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FINDINGS

Findings
The customers of COMPANY are the wholesalers throughout India. COMPANY also exports the product to countries like Nepal and Bangladesh. The needs of the customers are clearly defined and the products are customized according to the needs of the customers. Customers comments and complaints are welcomed and resolved quickly and positively. Comments and complaints are taken through face to face interviews. The company conducts customer satisfaction surveys through research agencies. The company provides credit facility to its customers up to 90 days. If the customers pay within 7 days they are given 4% cash discount. Sales persons of the company maintain frequent and informative communication with the customers. Business process is regularly reviewed to eliminate non value-adding activities. The average sale per customer has increased by 15% and customers response to the marketing activities is also improving. Customer retention is also improving. The factors which have an impact on the CRM are organization culture, support from top management, interpersonal skill of the sales personals and working environment of the company.

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RECOMMENDATIONS

No doubt there is no serious absenteeism problem in the unit of AXA Parenterals Ltd & it is working hard towards bringing it to its lowest. The Attendance Management System of this unit is really best and need to be applauded but it still require a little bit of perfection in areas

Meet to physicians in presence of senior managers. Para medical staff meets in corporate hospitals. Launching gift for top ten doctors of every executive. Initially company will try to work on present business module, and may change it as per the situation demands. Since company is new in veterinary field, should keep its price competitive. Company should emphasize on doctors commission and distributors discount. Company should promote their products highly as new in veterinary division. Companies will continue to invest in CRM, and will move towards implementing Enterprise-wide CRM solutions. The pharmaceutical industry will make greater use of analytics and business Intelligence (BI) to study sales data. Axa must continue to invest in leading-edge innovation as digital communication Channels evolve. The company should provide best product to the customers as they can make good relationship with the company.

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CONCLUSION

From this study it can be concluded that the customer relationship management in Company is satisfactory. The company is using various CRM practices like customization of the product, maintaining interaction with the customers regularly and providing good quality product etc. Customer relationship management has a certain impact on the profitability of the company. Average sale per customer has increased 15% over the last two years. Customer response rate towards marketing activities is also improving. There are various factors affecting the customer relationship management like working environment of the company, support from top management and coordination among the departments of the company. Information technology is not used as much as it should be. The company is using traditional tools of CRM like quantitative research, personal interviews. The company should modern tools like data mining, contact center, e-CRM and web based survey tools.

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BIBLIOGRAPHY

Report on Sales and Marketing Department Manual 2011-13 Sales and Marketing Department Annual Report of Axa Parenterals Ltd. www.axapar.com Internet Companys Literature Kotler Philip

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Questionnaire

Respected Sir/Madam, This survey is a part of study being conducted by the student of Quantum School Of Business,Roorkee. The result of the study is strictly for academic consumption and would not be used for commercial purpose. We would request you to spare some time to answer the questions that follows the responses will be kept in strict secrecy. Note Please tick () the option, which you find appropriate.

1. What are the practices which followed by Axa? a) Building brand image b) Competitors

c) Retention of customers d) Increase in sales & Profit e) Word of mouth f) Any other

2. What are practices of Axa product influence you? a) Reputation of company b) Pricing policy b) Advertisement d) Good services

3. Are you aware about the customer relationship marketing policy of company? a) Yes b) No 4. Does the company conduct customer satisfaction survey? a) Yes b) No 5. Does company provide you credit facility? a) Yes b) No 6. Does company give concessions to you? a) Yes b) No 7. Does company take feedback from you?

65 a) Yes b) No 8. Does company communicate with you frequently? a) Yes. b) No. 9. How much is the role of computers in serving the customers? a) Plays a big role b) Not much role to play c) No role to play 10. Is there any improvement in customer retention and loyalty? a) Yes b) No