Operations Management Of ³GSK´ In ENO Production_______________________

The abstract which highlight major features of the project.

j j j j j j j j j j

Project Overview Introduction Purpose Of The Project Domain Of Project Major Operation Scope Of The Project Why study OM Members Profile Team Organization Consult With The Professionals
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Project overview
Project Title : Operations Management Of ³GSK´ (ENO Production) : Democratic Decentralize (DD) :15th March 2009 :31st May 2009

Team Organization Started Date Ended Date

Introduction:
We are analyzing Operation management of a multinational organization ³GSK´ in ENO Production in this project. This analysis facilitates to know how the operation management activity functions in an organization & how people organize themselves for productive enterprise. This analysis provide a broad understanding that how GSK improve their profitability and enhance its services to society. This will help you explore the numerous and lucrative career opportunity in Operation management.
.

Purpose Of The Project:
Purpose is to have a deep understanding of operational management and its techniques, tools and its ten decision are how applicable and implemented in an organization. Specially in multinational organization to know about the strategic planning, controlling, organizing and different managerial skills and correct implementation of these strategies.

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Domain of the project:
Domain of the project is the basic 10 decisions of operation Management, that how they implement in an organization.

Major Operations:
For this purpose the following major operations are j j j j j j j j j j Design of goods and service Quality Decision Process strategy Location Decision Layout Decision Human Resource management Supply Chain Management Inventory Management Scheduling Decision Maintenance Decision

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

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Why Study OM?
We study OM for four reasons: 1. OM is one of the three major functions of any organizations, and it is integrally related to all the other business functions. All organizations market, finance, operation and its important to know how the OM activity functions. Therefore we study how people organize themselves for productive enterprise. 2. We study OM because we want to know how goods and services are produced. The production function is the segments of our society that creates the product we use. 3. We study OM to understand what operation managers do. By understanding what these managers do. you can develop the skills necessary to become such a manager. This will help you explore the numerous and lucrative career opportunities in OM. 4. We study OM because it is such a costly part of an organization. A large percentage of the revenue of most firms is spent in the OM function.

Member profile:
Our group consists of the following members:

Sl. #

Members Name Hira Waris

Seat No. P0757042

1.

2.

Rufy Afshan

P0757084

3.

Tatheer Zehra

P0757139

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Team organization:
Our team structure is depends on Democratic/Distributed De-centralized (DD). It provides extra flexibility for communication and coordination. Problem solving is done by group consensus. Democratic means all will work separate and decentralized means no boundary, no leader, and no central authority in this team organization.

Use of Internet:
The Internet is the biggest source of information now a days. Therefore, we
Decided to use it as much it is required. It is also the source of communication among the group members.

Consult With The Professionals:
To improve the efficiency the group has decided to keep a information with the professionals who are working in the GSK

j Muhammad Shakeel Khan
Production officer, Consumer Health Care GSK west wharf
.

j Asim ul Hasan
Production Officer, Consumer Health Care, GSK west wharf

j Shahid Samad
Human Resource Departmend Officer GSK west wharf

j Syed Waris Ali
Head Mechanical Engineering, GSK west wharf
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j Design of goods and service j Quality Decision j Process strategy j Location Decision j Layout Decision j Human Resource management j Supply Chain Management j Inventory Management j Scheduling Decision j Maintenance Decision

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Operations management focuses on carefully managing the processes to produce and distribute products and services. Usually, small businesses don't talk about "operations management", but they carry out the activities that management schools typically associate with the phrase "operations management." Major, overall activities often include product creation, development, production and distribution. (These activities are also associated with Product and Service Management. However product management is usually in regard to one or more closely related product -that is, a product line. Operations management is in regard to all operations within the organization.) Related activities include managing purchases, inventory control, quality control, storage, logistics and evaluations. A great deal of focus is on efficiency and effectiveness of processes. Therefore, operations management often includes substantial measurement and analysis of internal processes. Ultimately, the nature of how operations management is carried out in an organization depends very much on the nature of products or services in the organization, for example, retail, manufacturing, wholesale, etc.
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³TEN DECISIONS OF OPERATION MANAGEMENT´
Ten decisions of Operation Management are;
j Design of goods and service j Quality Decision j Process strategy j Location Decision j Layout Decision j Human Resource management j Supply Chain Management j Inventory Management j Scheduling Decision j Maintenance Decision

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New product is crucial to the survival of most firms.While a few firms experience little product change,most firms must continually revise their products. Product design is seldom the sole responsibility of the operations function,but operations is greatly affected by new product introduction and vice versa. A Product can be defined as the output of the operations function.Product definition is the result of the development of a business strategy.Product decision should be closely coordinated with operations to ensure that operations is integrated with product design.Through close cooperation between operations and marketing,the market and product strategy can be integrated with decisions regarding process,capacity, inventory, work force, and quality.

Goods & Service Selection
j j j j Product Strategy Options Support Competitive Advantage Product Life Cycle Life cycle & strategy Product By Value Analysis

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

Strategies For New Product Introduction
1.Market Driven 2.Technology Driven 3.Interfunctional

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New Product Development Process

New Product Development Process

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Role Of Quality Control System:
Quality control wan one of the first fields to be approached scientifically by business organization. The procedures uses by quality control specialists have evolved apace with the evolution of production processes and statistics so that now ³QC´ is perhaps the most highly refined support area of general manufacturing .As organization grow in size and inspection became more technical. There was a tendency to group inspectors together and make them responsible to an inspection supervisor or chief inspector who reported to the manufacturing manager.

Basic Requrements Of Quality Control System:
To develop a quality control plan ensuring that the final production conforms to product specifications, it is necessary to accomplish the following steps. 1. Define what is to be measured. 2. Determine the unit of measurement (inches, pounds, etc) and the procedure by which it is obtained. 3. Establish the desired level 4. Perform the measurement and compare it to the desired level. 5. Accept or reject the lot, or take action to modify the process.

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DATA AND INFORMATION INPUT TO THE QUALITY MANAGER

Evaluation lab

Sampling plan

Scrap

Rework

Vendors

Defects

Change control

QUALTY MANAGER

Engineers

Facilities

Field service

New product

Downtime

Training

Mfg.review bd.

Retest

Customer

Calibration

Inspection

Customer complaints

Expenses

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Quality Control Objectives:
Quality objectives should be set down in specific terms and for a prescribed period. The following might be the quality control goals of a firm for the coming year Reduce the number of customer complaints to 3 percent Reduce the number of customer returns to 2 percent. Reduce the maximum work level to 5 percent. Lower the per unit quality control and inspection costs by 10 percent. j Conduct a monthly program for training and updating inspection personnel. j j j j At the end of the year. Success or failure in meeting these objectives must be seriously analyzed. The objectives may be either extended or revised for the following year.

Measures Of Quality:
There are several ways that quality can be measured.thes is as follow j j j j Grade Fitness for use Consistency Quality conformance

GRADE: Grading presumes that a scale has been created against which comparison s can be made. FITNESS FOR USE: Fitness for use refers to the degree to which a product satisfies the user.

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CONSISTANCY: Product or service output that is consistent, and therefore predictable, is a quality measure. QUALITY OF CONFORMANCE: Quality of conformance refers to the degree to which product meets its design specifications.

Cost Of Quality:
The costs of quality are all of the costs attributable to the production of quality that is not 100 percent perfect cost of quality considers only those costs that are the difference between ³what can be expected from excellent performance´ and current cost that exist. There are three basic assumptions needed to justify an analysis of the costs of quality: 1. The premise that failures are caused. 2. That prevention is cheaper. 3. That performance can be measured.

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

THE OBJECTIVE OF PROCESS STRATEGY;
The object of the process strategy is to find a way to produce goods and services to meet the customer requirement and product specification with in the cost and managerial constraint

Product focus;
A product focus facility produce high volume and low Varity it require high fixed cost and low variable cost reward high facility utilization

Process focus;
A production facility organized around process to facilitate low volume and high Varity process.

Repetitive focus
A product oriented production process that uses modules.

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Facility location decision for both manufacturing and services organizations may determine the firm ultimate success. Errors made at this juncture may overwhelm other efficiencies.

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

Location selection for the services firms
May need to near customer are available

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

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Location option
Location option include the following j Expanding an existing facility instead of moving j maintaining the current sites while adding the another facility j closing the existing facility and moving to another location firms through the world using different kinds of techniques and tools to make the strategy of the location

Factors that Affect Location Decision
Country Decision
j j j j j j Government rules, attitude, stability, incentives Cultural and economic issues Location of the markets Labor affordability , attitudes productivity and cost Availability of the supplies communication and energy Exchange rate

Community decision
j j j j j j j Corporate desires Attractiveness of the region Labor availibity,costs,attitudes towards unions Environmental regulation of town Governmental incentives Proxity to raw material and customers Land and construction cost

Site decision
j j j j Site sixe and cost Air, rail,and water way system Zoning restrictions Nearness of the servicese

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j Environmental impact issues

Labor productivity
Labor cost in many under developed contry are now one third of those in the developed nations however cost is the 15%of the manufacturing costthe difference may not over many oter disadvantages of the low labor cost countries

Proximity to markets:
For many firms it is extremely important to locate near customers particularly ,services organizations like post office barber and drugstores

Proximately to suppliers:
Companies usually depend on the huge bulk of the inventory for this huge transport cost is incurred to curtail the transportation expenses company want to built companies where transportation cost is less.

Methods of evaluating location alternatives
j j j j j j j j The Factor Rating Method Locational Breakeven Analysis Services Location Strategy Purchase Power Of The Customer Competition In The Area Quality Of The Competition Operating Policies Of The Firm Quality Of The Management

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What is Facility Layout
j Location or arrangement of everything within & around buildings. j Objectives are to maximize: j Utilization of space, equipment, & people. j Efficient flow of information, material, & people. j Employee morale & safety. j Trend is towards flexible and dynamic layouts. j Helps achieve competitive advantage: j Better, faster, cheaper. j Determines productivity, cost, quality, flexibility, image, etc. j May involve a blend of strategies

Six Layout Strategies
j 1. Fixed-position layout. j For large unique projects such as ships and buildings. j 2. Office layout. j Positions workers, equipment, and spaces/offices to provide for movement of information and material. j 3. Process-oriented layout. j For low-volume, high-variety production. j 4. Retail/service layout. j Arranges facility and allocates shelf space in light of customer behavior. j 5. Warehouse layout. j Addresses trade-offs between space utilization and material handling. j 6. Product-oriented layout. j For repetitive or continuous production.
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Requirements for a Good Layout
j j j j j j Understand capacity and space requirements. Understand information flows. Understand cost of people and product flows. Select appropriate material handling equipment. Consider environment and aesthetics. Consider safety and regulations.

Constraints on Layout Objectives
j j j j j Product/service design. Volume of business. Process equipment & capacity. Quality of work life. Building and site.

1. Fixed-Position Layout
j Project is stationary. j Special purpose: Construction, shipbuilding, etc. j Workers and equipment come to site. j Complicating factors. j Limited space at site. j Changing material needs. j Unique projects.

2. Office Layout
j Positions people, equipment, & offices. j Usually for maximum information flow. j Also can consider material flow. j Arranged by process or product. j Example: Payroll dept. is by process.
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j Different cultures have different expectations for space. j Relationship (or proximity) chart used.

Photocopier s (5) Corrido r Engineering (3)

President¶ sSecretar y (4) Costin g (2)

President (1)

4. Process-Oriented Layout
j Place departments with large flows of material or people close together. j Similar processes and equipment are located in close proximity. j For example, all x-ray machines in same area. j Used with process-focused processes. j Low volume, high variety. Process-Oriented Layout Advantages j Flexibility. j Allows wide variety of products. j Low fixed costs for general purpose equipment. j Breakdown of one machine or worker does not stopprocessing. Process-Oriented Layout Disadvantages j Scheduling is difficult. j High variable cost. j High work-in-process inventory and waiting. j High labor skills required.

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5. Retail/Service Layout
j Maximize product exposure to customers. j Maximize profitability per square foot of floor space or per linear foot of shelf space. j Decision variables: j Arrangement of store. j Store flow pattern. j Allocation of (shelf) space to products. j Locate high-draw items around the periphery. j Use prominent locations (end aisle locations; first or last aisle) for high-impulse and high margin items. j Remove crossover aisles to prevent customers from moving between aisles. j Distribute ³power items´ (that dominate a shopping trip) around store to increase the viewing of other items. j Locate far apart. j Locate on both sides of an aisle.

6. Warehouse Layout
j Balance space utilization & handling cost. j Similar to process layout. j Items moved between loading docks & various storage areas. j Optimum layout depends on: j Variety of items stored. j Number of items picked

7. Product-Oriented Layout
j Used with product-focussed processes. j Facility organized around product. j High volume, low variety.

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Types:
j j j j Fabrication line - Builds components. j Assembly line - Assembles components into products. Divide work into small tasks. To be done by workers or machines. Assign tasks to workstations. Balance output of each workstation. j To smooth operations of the line. j To make workload equal. j To minimize idle time. j To achieve desired output. Standardized product. High production volume. Stable production quantities. Uniform quality of raw materials & components.

j j j j

Product-Oriented Layout Advantages j j j j j Lower variable cost per unit. Lower material handling costs. Lower work-in-process inventories. Rapid throughput. Easier training & supervision.

Product-Oriented Layout Disadvantages j Higher capital investment for special equipment. j Any work stoppage stops whole process. j Lack of flexibility in volume and product.

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Work force focused on the technical skills and labor standards can be consistent output based wage system possible People are an integral and expensive part of an organization. Therefore, the quality of work provide the life to an organization the talent and skill required and their cost must be determined

The Objective Of A Human Resources Strategy
The objective of a human resources strategy is to manage labor and design jobs so people are effectively and efficiently utilized as we focus on a human resources strategy we want to ensure that people. j Are efficiently utilized with in the constraints of other operations management decisions. j Have a reasonable quality of work life in an atmosphere of mutual commitment and trust

Distinct Decision Area Of Human Resources Strategy
j Labour Planning j Job Design j Labour Standards

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Labour Planning
A means of determining staffing policies dealing with employment stability and work schedules j j j j Employment Stability Policies Work Schedules Standards Work Schedules Flexible Time

JOB DESIGN
An approach that specifies the tasks that constitute the job for an individual or a group. j Labor Specialization j Job Expansion j Motivation And Incentive Systems.

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A supply chain is the group of components (suppliers, distribution points, transportation providers) necessary to bring your product from its raw material state to the end user. Supply chain management is the term used for controlling and regulating your supply chain. Supply chain management (SCM) is the combination of art and science that goes into improving the way your company finds the raw components it needs to make a product or service and deliver it to customers
.

Components of Supply Chain Model
A simple supply chain model consists of four components: j j j j Supplier: supplies the raw materials Manufacturer: produces the product Warehouse or Distribution Center: Stores and ships the product End User: receives the product

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Supply Chain Strategies
j j j j j Many Suppliers Few Suppliers Vertical Integration Keiretsu Networks Virtual companies

Managing The Supply Chain
j Mutual Agreement on Goals j Trust j Compatible organizational Cultures Issues in An Integrated Supply Chain j Local optimization j Incentives
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j Large lots

Opportunities in An Integrated Supply Chain j j j j Accurate pull data Lot size Reduction Single Stage Control of Replenishment Vendor managed Inventory

Vendor Selection
j Vendor evaluation j Vendor Development j Negotiations

Supply Chain Activities/Functions:
Supply chain management is a cross-function approach to manage the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and then the movement of finished goods out of the organization toward the end-consumer. As organizations strive to focus on core competencies and becoming more flexible, they have reduced their ownership of raw materials sources and distribution channels. These functions are increasingly being outsourced to other entities that can perform the activities better or more cost effectively. Supply chain activities can be grouped into j Strategic j Tactical j Operational

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

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Inventory decision can be optimized only when customer satisfaction, and supplier , production schedules, and human resources planning are considered In manufacturing goods inventory of the raw material, work in process and finished goods may be inventoried As far as services business is concern other ways are to be found to accommodate changes in the demand

Functions Of The Inventory
j To provide the stock of the goods to meet anti cipated customer demand and provide a selection of the goods. j To decouple suppliers from production and production from distribution for example if the supplier ,s fluctuate , extra raw material is available to decouple the production process siilarily if the product demand is high so it can avoid the cost of the shortage and stockouts such procedures is the decouple s production from distribution j To take disadvantage of the quantity discount j To hedge against the inflation and upward price changes j To protect against delivery variation j Safety stock or extra goods on the hands can reduce the risk of the shortage j It permit the operation to continue smoothly

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INVENTORY MANAGEMENT
Inventory management system is for the managing the inventory ingredients of the systems is how to classified called abc analysis a. A. b. c. analysis b. Record accuracy c. Cycle counting

Abc Analysis:
A method for dividing the on hand inventory into three classifications based on the annual dollar volume

Types Of The Iventory
There are four types of the inventories j Raw Material Inventory j Work In Process Inventory j Maintenances And Operating Supply (Mro) Inventory j Finished Goods Inventory

Inventory Models
j j j j Holding Cost Ordering Cost Setup Cost Setup Time Cost

HOLDING COST: The cost to keep or carry inventory in stock. ORDERING COST; The cost of the ordering the process. SETUP COST: The cost to prepare a machine or process for production ECONOMIC ORDER QUANITY:The objective is to minimized the cost like ordering and carrying the cost of inventory

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Schedule
A schedule is a timetable for performing activities, utilizing resources, or allocating facilities, the purpose of operations scheduling in the job shop is to disaggregate the master production schedule into time-phased weekly, daily, or hourly activities. It can also define as the planned workload on the productive system in the very short rum. In designing scheduling and control system, provision must be made for efficient performance of the following functions: 1. Allocating orders, equipment, and personnel to work centers or other specified locations, essentially this is short-run capacity planning. 2. Determining the sequence of order performance; that is, establishing job priorities. 3. Initiating performance of the scheduled work. This is commonly termed as dispatching of orders. 4. Shop floor control(or production activity control)involving: a) Reviewing the status and controlling the progress of orders as they are being worked on. b) Expediting late and critical order. 5. Revising the schedule in light of changes in order status

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

Schedule Evaluation Criteria The following constitute standard measures of scheduled performance and
are used to evaluate prior rules: 1) 2) 3) 4) Meeting due date of customer and or downstream operation. Minimizing flow time (the time a job spends in the shop). Minimizing WIP. Minimizing idle time of machine and workers.

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Hiearchy And Location Of Maintenance:
Organizationally, the maintenance management manager may report to the production manager, the plant manager, or, perhaps the plant engineer. His or her responsibilities typically include equipment maintenance and building and building service maintenance.

Classes Of Maintenance:
There are three general classes or type of maintenance. j Remedial maintenance j Preventive maintenance j Conditional maintenance
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Remedial maintenance:
Remedial maintenance refers to carrying out a repair, replacement, or complete over haul of a piece of equipment when it breaks down.such work can be perform immediately after a breakdown occur.

Preventive maintenance:
It refers to maintenance performed prior to breakdown and may be either in nature, such as simple adjustment. A preventive maintenance program may include provision for immediate repair or overhaul after a breakdown or over haul for predermined time periods.

Conditional maintenance:
it refers to overhaul or repair that is not performed on the basis of inspecting and measuring the state of the equipment. If the equipment passes the test, it might be allowed to operate until it breakdown or until it has reached a certain number of operating hours, after which it is replaced, overhauled, or repaired.

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Do more

feel better & live Longer

j j j j j j j j j j j

GSK Mission GSK Vision Did You Know Glaxosmithkline Globally

Corporate And Social Responsibility
What Is GSK For Their Employees? GSK At A Glance Corporate Functions GSK In Karachi Quality Performance Indicator GSK Management System Mintzbergh Managerial Role In Gsk
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GlaxoSmithKline`s vision
is Exciting the Opportunity to make a difference to the lives of billions of people Our vision is to achieve sustainable competitive business advantage through leadership and excellence in environment, health and safety. GSK is a recognized leader in protecting and enhancing the health of its employees globally, enabling sustainable business success.

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Did You Know??

Galaxo Smith Kline
Globally««
y The only pharmaceutical company tackling the
three WHO ³priority´ diseases: HIV/AIDS, Tuberculosis and malaria.

y Four billion packs of the medicines and healthcare products manufactured yearly. y Over 15000 people working to discover new drugs. y 65 million compounds screened every year y A quarter of the world¶s vaccines supplied by GSK y More than 100 countries benefit from our humanitarian product donations

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Corporate and Social Responsibility (CSR)

³GSK believes that our business makes
a valuable contribution to society by Developing And marketing medicines And Consumer health care products Which improves people¶s lives?´

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What is GSK for their Employees?

³GSK is a dynamic and global company. Each day presents a new challenge.´

³GSK is like a learning

academy, where there is an immense opportunity to apply, practice and grow!´

³The place to be with diversified jobs, people, culture and a company that sincerely cares for its internal and external customers with a desire to do more feel better and live longer´

³GSK provides ample

career development opportunities to those who work hard and are open to change and learning.´

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COMMITMENT TO CORPORATE RESPONSIBILITY
GSK is committed to connecting business decision to ethical. Social and environmental concerns. Thus, corporate responsibility is an integrategral and part of tha way GSK does business.

COMMUNITY INITIATIVES
GSK makes donations of money, medicines, vaccines time and equipment to support good causes. Our community investment strategy focuses on improving health and education in under served communities.

EMPLOYEES

INVOLVEMENT

GSK employees are encouraged to contribute to their local communities through employee volunteering schemes.

RESEARCH AND INNOVATION
The most important element of corporate responsibility for us is the contribution our products make to health. GSK Is involved in various public/ private partnership projects.

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GSK At A Glance
j Our mission is to improve the quality of human life by enabling people to do more, feel better and live longer j We are a research-based pharmaceutical company j We are committed to tackling the three "priority" diseases identified by the World Health Organization: HIV/AIDS, tuberculosis and malaria j Our business employs around 99,000 people in over 100 countries j We make almost four billion packs of medicines and healthcare products every year j Over 15,000 people work in our research teams to discover new medicines j We screen about 65 million compounds every year in our search for new medicines j We supply one quarter of the world's vaccines and by the end of February 2009 we had more than 20 vaccines in clinical development j January 2008 marked the tenth anniversary of our programme to help eliminate lymphatic filariasis (elephantiasis). During those ten years we donated 750 million albendazole tablets, reaching over 130 million people j In 2007 we marked 15 years of our Positive Action programme that helps communities living with HIV/AIDS j In the developing world, we provide certain medicines at preferential prices ensuring that the poorest can still benefit from our treatments and vaccines j Many of our consumer brands are household names: Ribena, Horlicks, Lucozade, Aquafresh, Sensodyne, Panadol, Tums, Zovirax.

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Corporate Functions
M. Salman Burney - Managing Director
Dr. Muzaffar Iqbal - Technical Director, Global Manufacturing and Supply Pervaiz Iqbal Awan - Director Sales Maqbool Ur Rahman - Director Sales

Erum Shakir Rahim - Director Marketing & Business Development Javed Ahmedjee - Director Finance, IT & Logistics
Shahid M. Qureshi - Director Legal, Corporate Affairs, IR, Admin and Regulatory Fariha K. Salahuddin - Head of Human Resource and Organisational Development Dr. Ahmad Atif Mirza - Director Medical Affairs and R&D

Sohail Matin - Country Manager, Consumer Healthcare

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GSK In Karachi
35- Dockyard Road, West Wharf, Karachi- 74000. Telephones: 111-GSK-PAK (111-475-725) Fax: 2314898 and 2311122 94, Deh Landhi, Karachi. Telephones: 5015040-44 Fax: 5015515 F/268, S.I.T.E, Near Labour Square, Karachi-75700 Telephones: 2599999 Fax: 2572613 and 2570360 B/63, Estate Avenue S.I.T.E, Karachi. Telephones: 2561200-7 Fax: 2564797

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QUALITY PERFORMANCE INDICATORS
DEPARTMENT: CHC MONTH: FEBRUARY 2009

PERFORMANCE INDICATOR

TARGET

THIS MONTH

YTD

BNRFT

10.11%

1.18%

3.09%

Customer complaints

(NO.S)

NIL

NIL

Line clearance failure /rogue

NIL

NIL

NIL

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GSK Management System
Board

Finance

Marketing

Quality

Manufacturi ng

Other major function

Design reliability

Manufacturing quality control

Customer support

Administration

Reliability engineering

Quality planning

Field engineering

Overall evaluation program planning and

Component engineering

Quality control engineering

Performance data collection

Budget and controls

Environmental test laboratory

Test equipment engineering

Statistical services

Material and processes laboratory

Inspection and test

Data processing and analysis

Standards laboratory

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Mintzbergh Managerial Role In GSK
Formal authority
j Informative role j Interpersonal role j Decisional role

Informative role
j Monitor j Disseminator j Spoke person

Interpersonal role;
j Figure head j Leader j Liaison;

Decisional role;
j j j j Entrepreneurship Disturbances Handler Resources Allocator Negotiator

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j j j j j j j

ENO Yearly Volume ENO Sachet Yearly Volume ENO Bottles Packaging Process of ENO Bottles GSK launches ENO Pudina Safety Data Sheet of ENO EHS Report Of ENO

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ENO
ENO is an antacid powder which is mixed with
water to produce a sparkling antacid drink for the temporary relief of heartburn & acid indigestion caused by too much food and/or drink.

ENO is the most global of GSK's gastrointestinal products. The fast-acting
effervescent fruit salts, used as an antacid and reliever of bloatedness, was invented in the 1850s by James Crossley Eno. It has sales of nearly £30 million, with its major markets being Spain, India, Brazil, South Africa and Thailand. It is frequently used as as substitute for baking powder.

ENO is a range of antacid products that treat the symptoms of heartburn
and gastric discomfort. It is available in different flavours and pack formats.

Indications: Condition where long term or short term
maintenance of alkaline urine is desirable. In condition where temporary relief from minor gastric upsets is desired. In combination with antibiotics; when the effectiveness of an antibiotic is increased in the presence of alkaline urine.

Description:
Eno is an antacid powder which is mixed with water to produce a sparkling antacid drink for the temporary relief of heartburn & acid indigestion caused by too much food and/or drink.

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YEARLY VOLUME ENO SACHET

ENO SACHET PACKS IN MILLIONS

18 16
SACHET IN MILLION

15.33

14 12 10 8 6 4 2 0 2007 2008
YEAR OF PRODUCTION

5.83

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YEARLY VOLUME ENO BOTTLES

ENO BOTTLE PACKS N

LL ON

PACKS N

LL ON

YEAR OF PRODUCT ON

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PACKAGING PROCESS OF ENO BOTTLES

Bottle blowing

Bottle line for cleaning

Filling

Manual Capping

Manual sieving

Printing

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GSK launches ENO Pudina
GlaxoSmithKline Consumer Healthcare (GSKCH) has announced the introduction of ENO Pudina. With the launch of the pudina flavoured variant, the company has expanded its portfolio of products in the antacids segment. Retaining the well-accepted proposition of significant action, starting within six seconds, the new variant of ENO, would gain from the naturally soothing effect of the pudina herb. The new combination would offer quick and effective relief from the discomfort of acidity. ³Pudina has a long heritage of use as a carminative in digestive disorders. Since times immemorial, pudina has been used and recommended for digestive disorders,´ says Trupti Bhandari, Marketing Manager of GlaxoSmithKline Consumer Healthcare India. ³The main ingredients of Eno Pudina are Svarjikshara and Nimbukamlam which provide the fast action, while pudina provides the benefit of cooling and numbing the oesophagus (food pipe), enhancing the perception of relief.´ ENO Pudina has neutralised acid, both in the stomach, as well as, refluxed acid in the oesophagus (food-pipe). This ability to neutralise stomach acid, in addition to refluxed acid in the oesophagus, makes it a remedy of choice for fast and effective relief against both acidity and heartburn. The launch of the pudina variant is expected to expand the market for antacids and enhance the equity of the brand ENO accrued over a period of 34 years. ENO Pudina is a pan-India launch, covering the North, West, East and key markets of South.

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SAFETY DATA SHEET
aterial

ENO FRUIT SALTS

COMPOSITION / INFORMATION ON INGREDIENTS
Ingredients SODIUM BICARBONATE CITRIC ACID SODIUM CARBONATE CAS RN 144-55-8 77-92-9 497-19-8 Percentage 46.4 43.6 10

HAZARDS IDENTIFICATION
Fire and Explosion Assume that this product is capable of sustaining combustion. Health Handling this product in its final form presents minimal risk from occupational exposure. Health effects information is based on hazards of components. Environment No information is available about the potential of this product to produce adverse environmental effects.

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FIRST-AID MEASURES
Ingestion Never attempt to induce vomiting. Do not attempt to give any solid or liquid by mouth if the exposed subject is unconscious or semi-conscious. Wash out the mouth with water. If the exposed subject is fully conscious, give plenty of water to drink. Obtain medical attention. Inhalation Physical form suggests that risk of inhalation exposure is negligible. Skin Contact Using appropriate personal protective equipment, remove contaminated clothing and flush exposed area with large amounts of water. Obtain medical attention if skin reaction occurs, which may be immediate or delayed. Eye Contact Wash immediately with clean and gently flowing water. Continue for at least 15 minutes. Obtain medical attention. NOTES TO HEALTH PROFESSIONALS Medical Treatment None. Medical Conditions Caused or Aggravated by Exposure None for occupational exposure. Antidotes No specific antidotes are recommended.

FIRE-FIGHTING MEASURES
Fire and Explosion Hazards The combustibility of the product is not known, however the packaging is combustible. Extinguishing Media Water or foam extinguishers are recommended. Carbon dioxide or dry powder extinguishers may be ineffective. Special Firefighting Procedures For single units (packages): No special requirements needed. For larger amounts (multiple packages/pallets) of product: Since toxic, corrosive or flammable vapours might be evolved from fires involving this product and associated packaging, self contained breathing apparatus and full protective equipment are recommended for firefighters. If possible, contain and collect firefighting water for later disposal. Hazardous Combustion Products Toxic, corrosive or flammable thermal decomposition products are expected when the product is exposed to fire.
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ACCIDENTAL RELEASE MEASURES
Personal Precautions Wear protective clothing and equipment consistent with the degree of hazard. Environmental Precautions For large spills, take precautions to prevent entry into waterways, sewers, or surface drainage systems. Clean-up Methods Collect and place it in a suitable, properly labelled container for recovery or disposal. DecontaminationProcedures No specific decontamination or detoxification procedures have been identified for this product.

HANDLING AND STORAGE
HANDLING General Requirements No special control measures required for the normal handling of this product. Normal room ventilation is expected to be adequate for routine handling of this product.

EXPOSURE CONTROLS/PERSONAL PROTECTION
* STORAGE No storage requirements are considered necessary for the control of fire and explosion hazards. None required for normal handling. Wash hands and arms thoroughly after handling.

STABILITY AND REACTIVITY
Stability This product is expected to be stable. Conditions to Avoid None for normal handling of this product.

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TOXICOLOGICAL INFORMATION
Oral Toxicity Not expected to be toxic following ingestion. Skin Effects Irritation is not expected following direct contact. Eye Effects Irritation is not expected following direct contact with eyes. Sensitisation Sensitisation (allergic skin reaction) is not expected. Genetic Toxicity Not expected to be genotoxic under occupational exposure conditions. Carcinogenicity Not expected to produce cancer in humans under occupational exposure conditions. No components are listed as carcinogens by GSK, IARC, NTP or US OSHA. Reproductive Effects Not expected to produce adverse effects on fertility or development under occupational exposure conditions. * Other Adverse Effects None known for occupational exposure.

ECOLOGICAL INFORMATION
Summary No information is available about the potential of this product to produce adverse environmental effects. Local regulations and procedures should be consulted prior to environmental release.

DISPOSAL CONSIDERATIONS
Disposal Recommendations Collect for recycling or recovery if possible. The disposal method for rejected products/returned goods must ensure that they cannot be re-sold or re-used. Regulatory Requirements Observe all local and national regulations when disposing of this product.

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GSK¶S EHS Report
General Safety and Security Rules
The following are some of the reasons for which an employee of a contractor may be temporarily orpermanently removed from GSK premises. yPossession or use of alcoholic beverages,regulated drugs not prescribed by a physician,explosives, firearms, ammunition, other weapons,cameras and recording devices ySmoking yDeliberate violation of safety or security rules yIllegal dumping, handling, or disposal of hazardous materials ySexual harassment of any individual or group while on GSK premises yDestruction or removal without written permission of any property belonging to GSK, the property owner, employee, or other contractors or employees yAbuse, defacement, or destruction of property, as well as posting of unauthorized signs, notices

Safety Permits and Procedures
Obtain a permit or approval through your supervisor before: yWorking on fire protection/detection systems yDoing burning, welding, cutting, soldering, grinding, or other hot work yWorking on an electrical circuit yEntering confined spaces (these will be identified by your supervisor) yMoving emergency equipment (fire extinguishers,first aid kits, etc.) yTurning off any utility (electrical, compressed air,steam, etc.). Each individual working on a system must install their own lockout device on the piece of equipment as directed by their supervisor. In addition, GSK Facilities Operations will shut down and start up operating utilities.

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Environmental Issues
Hazardous Waste Management
Contractors are responsible for the safe use and disposal of any chemicals brought onto a GSK site, and are limited as to the amount of hazardous chemical they may store on GSK property. Contractors that generate hazardous waste on site must notify Environmental Health and Safety for disposal directives.Do not store more than 55 gallons of hazardous waste or one quart of acutely hazardous waste without written approval from Environmental Health and Safety. Waste containers must be clearly labeled as to their contents. Waste must not be transferred between GSK facilities. Do not dispose of hazardous and chemical waste in company dumpsters. The disposal of waste materials such as asbestos, lead paint, hazardous construction debris, or contaminated soil resulting from demolition, excavation, or maintenance activities that are not the result of hazardous materials or petroleum products brought on site by a contractor must be approved by GSK.

Spill Prevention and Control
Use appropriate protective procedures such as double containment, employee training, overflow protection, and other measures as part of activities involving the use, storage, or handling of petroleum products or hazardous materials on GSK property. Containers of hazardous materials and petroleum products should be stored in order to prevent releases to the environment. This requires selecting locations and methods to minimize exposure to rainfall, surface water, and the ground. Enclosures, shelters, and secondary containment should be used where appropriate.

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Electrical Safety
Only qualified electricians are permitted to work on electrical systems and equipment that uses or controls electrical power. Do not operate electrical tools or equipment in wet areas or areas where potentially flammable dusts, vapors, or liquids are present, unless specifically approved for the location. In areas where water or moisture is present or likely to be present, use ground fault circuit interrupters (GFCI) on power circuits. If permanent plant power circuitsare not GFCI, use a portable GFCI box with electrical tools and equipment. Test interrupters on a regular basis. Should a circuit breaker or other protective device ³trip,´ ensure that a qualified electrician checks the circuit and equipment and corrects problems before resetting the breaker. yNo solvents, paints, or similar flammable, toxic, or irritating materials may be used in areas occupied by GSK employees unless specifically approved in writing by an authorized Environmental Health and Safety representative yMaintain adequate ventilation when paints or solvents are used
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yUse proper respiratory protection and protective clothing yUse flammable solvents and materials with extreme caution yStore flammable paints and solvents in approved flammable liquid storage cabinets if inside buildings

Closing Statement
GSK has a duty to provide a safe workplace that is free from recognized hazards. Because of the number of contract activities on GSK premises, GSK is providing this handbook to contract employees as part of its safety program to protect its people and property. It is the responsibility of contractors to ensure that their employees perform work in a safe manner and in a safe work environment. Contractors must train, supervise, and direct their employees concerning compliance with safety rules, including those required by GSK for work on its premises. This manual is not intended to nullify or assume responsibility that contractors owe to their employees or to other persons

CEHS Mission:
In order to achieve its vision,CEHS will provide: j Leadership for the integrated, global effort within GlaxoSmithKline on

Key EHS issues;
j Governance of EHS performance; j Support for GlaxoSmithKline businesses with tools, technology, information and knowledge; j Innovation and continuous improvement for unified EHS systemsand approaches.

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j Design of goods and service j Quality Decision j Process strategy j Location Decision j Layout Decision j Human Resource management j Supply Chain Management j Inventory Management j Scheduling Decision j Maintenance Decision

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

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For Developing characteristics of product their marketing department is responsible. They takes action according to competitor activities for product design and quality. They also maintain a particular standard & designs of products are change if there is any requirement by the permission of Ministry Of Health.Designs are changed by the suggestion of CSD Creative Service Design.

ENO:More recently they changed their ENO packaging that before they
packed them in a paper material but now they are using polythene material. ENO maintain a great quality and has a low price and loyal customer as compare to Citro soda.

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2.QUALITY DECISION
GSK Quality Management System (QMS)
GSK has developed a comprehensive system of QMS by aligning internationally recognised standards and best practices. The primary goal of this vital exercise is to provide safe and effective products for patients and customers, satisfying the stringent requirements of the regulators and the needs of our shareholders.

For GSK to remain an indisputable industry leader, the company has set a list of stringent criteria that ensures all customer needs are achieved. j Standards: j Global quality policies j Global quality guidelines j Global quality management processes o Training o Material o Auditing o Continuous improvement

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GSK¶s Quality Management System is an innovative yet practical tool that is benchmarked against all international standards and guidelines ensuring risk minimisation, and more importantly top-notch managerial skills. GSK QMS is a µliving system¶ which focuses on the ever changing needs of their main customer groups ± patients, regulators, company / shareholders. This is a fast-paced world and industry where changes are constant, and the QMS has been created to ascertain that everything is managed in a controlled and proficient manner. Quality control is alaways a burden to the organization.first time batches are quality product.quality is circulating from person to person and department to department. Quality assurance department `s job is to do quality control from raw material to finished good.In packing case every two hours batches are cheked.

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QUALITY MANGEMENT SYSTEM (QMS) AND ITS PURPOSE IN GSK
THE QUALITY MANAGEMENT OF THE GSK PROVIDE COMPANY FRAM WORK FOR;

j Assuring Product Quality,Safety And Efficacy j Delivering Capable Processes And Operational Improvement j Assuring Sustainable Regulatory Compliance j Managing Quality And Compliance Risk And Preventing Quality Failures j As Such The Qms Supports The Aspiration Emboided In Gsk Quality System

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To reiterate GSK¶s quality statement: ³Quality is at the heart of everything we do ± from the discovery of the molecule through to product development, manufacture, supply and sale ± and vital to all the services that support our business performance.´ JP Garnier, Chief Executive Officer

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3.PROCESS STRATEGY IN GSK;
COMPOSITION / INFORMATION ON INGREDIENTS
Ingredients SODIUM BICARBONATE CITRIC ACID SODIUM CARBONATE CAS RN 144-55-8 77-92-9 497-19-8 Percentage 46.4 43.6 10

Gsk process strategy is to transform the input into desirable out come here we have used the term process and transform their objective is to make medicines that meet the customer requirement but as well as it should meet the international standards as all of us know that there are three types of the process strategies like j Process focus j Repetitive; j Product focus

Process focus;
Seventy five percent of all manufacturing companies are concerning to make low volume and high varity products in places like gsk it make betnovate; ENO, macleans and other medicines this facility provide the benefits
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Product process
Some of the product of the gsk also use the product process in large quantity and small variety is produced and equipment is special purpose in which operators are broadly skilled like in gsk most of the work is done through machines

Mass customization;
Gsk is currently working on that strategy to provide mass customizaton they are cater the market in which customers have a unique desire under this process three strategy become more flexible and convenient for the production department of the firm

Flexibility;
They have the ability to respond with little penalty in ;cost or customer value

Process Analysis And Design
They first design and transform the process which again transform the inputs in to outputs they consider the following process j Is the process design to achieved the competitive advantage in term of the differentiation j Does the process maximized customer value j Will the process win the order according to the manager of the gsk each step of your process must add value to your product because product is the combination of different layouts

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Physical Properties
Prolong heating and/ or temperature beyond 200 C may transform physical appearance of powder from white colored powder yellowish brown colored powder. Low heating below 50 C may result in loss of effervescent effect of ENO. As stabilizing salt is not produced for LOD value doesn¶t comply with the standard percentage i.e 37%

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ENO Lemon/Orange Manufacturing Process Map

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

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5.LAYOUT DECISION:
Gsk keeps in eyes these factors while purchasing a machine. j User request brief URB j Market research j Financial resource j Vendor search j Feasibility report j Cost effectiveness j Pay back period At the time of installment of a machine or equipment,there are certain documentation done by GSK that j IQ Installment Qaulification: How much space GSK has for installment of a equipment j DQ Design Qualification: First GSK have to design temporary map or sketch then it is approved by supervisors. j OP Operation Qualification: It is basically of machine of environment that how a machine will operate. j PQ Performance Qualificaion: How well a machine or equipment perform in this environment either standards are meet or not. Room and departments are designed according to the need. For ENO a particular space & capacity needed.For ENO temperature & humanity factors keeps. Recently GSK install a sachet machine line in ENO production department,that give more benefits.

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INSTALLATION & COMMISSIONING OF SACHET MACHINE LINES IN CHC IN ENO PRODUCTION DEPARTMENT

BENEFITS
1.Replacement of old Sachet filter with double capacity new fibers. 2.Elemintion of manual powder feeding with auto vacuum powder transfer system operation. 3.Productivity improvement from 35,000 to 70,000 sachet per shift. 4.Elemintion of night shift working

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There are a individual department in GSK for the control of Noise in a department named EHS Environment Health & Safty.This department completely protects the employee¶s health. GSK has Material Safty Data Sheet which is approved from world wide & which helps to decrease noise pollution and it is also benefit for worker¶s ear.GSK understand that their employees are assets & they treat them as the best. There is intercom facility and a backup person available for the urgent need of communication in GSK. Raw material store in front of manufacturing department & quality of raw material must be checked before sending it to manufacturing .Order is given by planner¶s to department¶s operational manger when raw material needed in GSK.

Warehousing
There are not local vendors. GSK do not have zero inventory .They keep market always full.40% batches must have in stock and 20% unplanned extra is present in warehouse to meet fluctuations.

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LAYOUT OF GSK
PLAN

SPECIAL ORDER IN PRODUCTION

PRODUCTION

WAREHOUSE

RAW MATERIAL (DISPENSE)

MANUFACTURING

QUALITY CONTROL PASSED SAMPLE

FILLING

QUALITY CONTROL TEST (F/G)

RELEASED

F/G STORE

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6.HUMAN RESOURCES STRATEGY OF GSK
In GSK they have their own performance development planner In multinational organization employee are the assets of an organization. Employee satisfaction is the first priority of the gsk in that specific planner performance of each and every employee is noted and according to the performances promotion and demotion is rewarded every employee feels that he or she is working in his own organization a part from providing bonus and increment to employees they provide medical facility to their employees and influence them by giving them AWARDS and motivated them by giving them different kind of facilities Their standard work hour is 7.75 hr excluding tea break, namaz, lunch but for special orders in order to generate efficiency Extra over time and bonus is given to employees

Employees Empowerment In GSK
Employees empowerment is the first priority of the g.s.k We have personally noticed that they have labor union and every employee was provided good food at free of cost

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U.S.P OF GSK
j OPENESS j EGALATARIAN j HUMBLENESS j RESPECT j ONE TEAM They believe in one team work and there is openness for the employee for new experiment and explore new journey and every employee is respected by the management there is no discrimination on the base color cast and creed in the organization.

Recuritment Process
j j j j j j Advertising Screen General Test Test PPA Interview Candidate Finalization

ENO maintain a great quality and has a low price and loyal customer as compare to Citro soda.

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7.SUPPLY CHAIN MANAGEMENT
Supply chain Management is the integration of activities that procure materials and services, transforming them into intermediate goods and final products, and delivering the products to customer through a distribution system.

GSK has chain of transportation vendors, credit and cash transformers,
more than 1 suppliers, distributors, Account payable and receivables, warehousing and inventory levels. GSK has always excess inventory and for maintenance of that they have more than 1 suppliers which helps them in the fluctuations period. GSK focuses on maximizing value to the ultimate customers by chain of Suppliers .GSK doesn¶t have local vendors. There are a separate department named CPS Corporate Purchase Standard. All the decisions & standards are made by CPS ,cost and standards are very important to material. Relationship with suppliers are very important for smooth production and that¶s why GSK have long term relationship with their suppliers, they don¶t bound their suppliers and gives security by making long term relationship.
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GSK employees are responsible for overall quality,marketing,research & designs. There are so many workers who work for suppliers.GSK innovative supply chain will,it hopes,improve quality and drive down costs as each subcontractors accepts responsibility for its units and worker compensation.

Material: Material management is done by QC that identify what the
environment is better.

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

Distribution Channels: There are different ways of distribution in
GSK. j For huge quantity distribute by sea ships, airplane j For small quantity distribute by container

Major Markets
j j j j j j j j j j j j Spain India MexicoAsia Australia UK Middle East Africa Pakistan South America Hong Kong Srilanka Dubai
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Competitor:
There is a single competitor of ENO is Citro Soda by Abbott Pakistan.

OUTSOURCING MACHINE FOR ENO DEPARTMENT

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8.INVENTORY IN GSK;
j To meet anticipated customer demand j To decouple the suppliers from production and production from distributors j To advantage of the quantity discount to hedge against inflation Inventory recording system; What where and when inventory is required that system in gsk tell continuously up date the management;

BOM
(Bill Of The Material Code And Discription That Is Present In The System)

Material Outsourcing;
Most of the material is imported from aboard thourgh shipped corporative standards; We have the corporatative standards which meet the customer requirement amd meet the international standards

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Selection Of The Equipment And Technology
Equipment are the converting machines which transform the input into output

Factors; User Request Brief;
Then we find the vendor said mr shakeel production manager of the gsk the we prepare the feasibility report then we see market that how many supplier are available it be should be cost effective other wise it will be use less very equipment gives you the pay back period according to replacement or introduction then we allocate the space for the equipment it may create problem in material transportation

Documentation
j j j j IQ DQ OQ PQ (Installation Qualification) (Design Qualification) (Operational Qualification) (Performance Qualification)

Design Qualification;
We draw a map in which we draw sketch about the equipment placement

Operational Qualification;
In which we discuss about the operation o the machine we implement the single possible solution from the discussion in performance criteria we discuss the performance of the machine.

EHS(ENVIRONMENT HEALTH AND SAFETY)
In every organization it is responsibility of an organization to take care of an employee

Material Safty Data;
In material safty date sheet all hazards are given regarding the safety issues it is base on the international standards
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Cycle Time ;
Eno product cycle time is 90 days in receiving the supply from supplier from delivering the goods to the markets In one sachet manufactureto packaging time is 80 hours

Machine Test
There are two kinds of the test j SAT (site assessment test) j FAT (factory assessment test) In which we give all kind of the specification to the vendor he will catelock and provide training to the employee we are planning to export srilanka Afghanistan target marketing is done by the marketing department

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Waste
GlaxoSmithKline has targets to reduce the impact of waste from our operation on the environment.Technical guidance had been developed for our EHS standards on Waste Minimisation and Recycling and on Waste Management. Sites identify and assesswaste arising from site activities and then minimize or manage waste through the following measures: ‡ Eliminate or reduce waste generation whenever feasible; ‡ Substitute with sustainable materials whenever feasible to minimise overall impacts on air, water and land; ‡ Re-use waste whenever feasible; Recycle wastes in a manner consistent with local regulatory requirements; ‡ Use treatment and disposal options that minimise the overall EHS risks and impacts on air, water and land.

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9.SCHEDULING IN GSK

Scheduling involves the timing of operations to achieve the efficient movement of unit through a system.

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

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STANDARD WORKING HOURS
j 1 DAY j WORKING HOURS 8:15am TO 5:15pm 7.75 HOURS

SCHEDULE OF ENO:
j OPERATING CYCLE TIME OF ENO j ENO SACHET PACKAGING TIME 90 DAYS 80 HOURS

j 1 BATCH CONTAINS 77000 ENO SACHET j 1 BATCH CONTAINS 3500 ENO BOTTLES GSK management meets their goal on time by giving extra efforts in shape of j NIGHT SHIFTS j EXTERNAL HOURS (OVER TIME) j AUTOMATIC MACHINE

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10.MAINTENANCE IN GSK
The maintenance management manager may report to the production manager, the plant manager, or, perhaps the plant engineer. His or her responsibilities typically include equipment maintenance and building and building service maintenance. j In GSk mostly preventive and conditional maintenance system is used. j Maximum life of a machine is 20 to 25 years. j Machine failure is identified by sensor system j Every 3 months calibration is made. Balances are cheked by third parties who issue maintenance certificates. j Zero access system is used. j Mostly machines are imported from China. j ENO printing machine is imported from China. j GSK use outsourcing for maintenance of machines. j Technical training/services is given by suppliers.
ENO Printing Machine

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During the project development we used the following book reference for our convenience.

j Jay Heizer, Barry Render ,8th edition, Operation Management j William Stevenson 6th Edition, Operation Management j Render,B,Stair and Micheal Hanna,9th edition,Quantitative Analysis for Management. j www.om.edu.com by internet j www.acm.org.com by internet j Previous projects by internet j Well known software and tools

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arachi niversity

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