5AMBER PHARMACEUTICALS
In a pharma company manufacturing and marking drugs and medicines, the research staff has developed a number of new products and formulations which are effective. But at the same time it has to meet severe competition from stalwarts with foreign collaboration. Mr. Shah, the Vice President Marketing has a very successful Pharma Marketing background. He has been with the company for the past 4 years. Mr.
Shah had made ambitious plans for capturing sizeable share of market in the Gujarat State. The company being medium sized, Mr. Shah had kept his marketing department and the marketing team lean and trim.The field sales staff was given aggressive targets and were virtually pushed to reach the respective targets. The field staff worked to their best abilities to compete their respective targets. Mr. Shah had himself been working hard almost 11- 12 hours a day.There was no formal appraisal and reward system in the company. During last 5 years more than 60 Medical Representatives and the Area Supervisors had left the company due to unsatisfactory increments and promotions. Those who left the company were star workes. But Mr. Shah did not care for this high turnover. He was over confident that he would be able to hire freshers and also select candidates who were not
happy with their remuneration in their respective company. Mr. Shah had never communicated to the field sales staff about their performance or reasons for not recognizing their outstanding performance in a few cases. There was on the whole a great dissatisfaction and good performers were leaving the company.
1)What are the steps you will take serially to correct the situation?
In a pharma company manufacturing and marking drugs and medicines, the research staff has developed a number of new products and formulations which are effective. But at the same time it has to meet severe competition from stalwarts with foreign collaboration. Mr. Shah, the Vice President Marketing has a very successful Pharma Marketing background. He has been with the company for the past 4 years. Mr.
Shah had made ambitious plans for capturing sizeable share of market in the Gujarat State. The company being medium sized, Mr. Shah had kept his marketing department and the marketing team lean and trim.The field sales staff was given aggressive targets and were virtually pushed to reach the respective targets. The field staff worked to their best abilities to compete their respective targets. Mr. Shah had himself been working hard almost 11- 12 hours a day.There was no formal appraisal and reward system in the company. During last 5 years more than 60 Medical Representatives and the Area Supervisors had left the company due to unsatisfactory increments and promotions. Those who left the company were star workes. But Mr. Shah did not care for this high turnover. He was over confident that he would be able to hire freshers and also select candidates who were not
happy with their remuneration in their respective company. Mr. Shah had never communicated to the field sales staff about their performance or reasons for not recognizing their outstanding performance in a few cases. There was on the whole a great dissatisfaction and good performers were leaving the company.
1)What are the steps you will take serially to correct the situation?
From India, Calcutta
Dear Ric09,
This is the second case study that you have posted. May I know what you do and where? Also, are you seeking soultions for the case study? If so, why?
If I were you, I would have given my views and then asked for comments on mine.
Have a nice day.
Simhan
A retired academic in the UK
From United Kingdom
This is the second case study that you have posted. May I know what you do and where? Also, are you seeking soultions for the case study? If so, why?
If I were you, I would have given my views and then asked for comments on mine.
Have a nice day.
Simhan
A retired academic in the UK
From United Kingdom
Sorry,that I didn't post my view. But it's not mean that I didn't try to solve the case study.
I think the basic problem of Amber Pharmaceuticals it that there was no formal appraisal or reward system. So the growth of the employees is stagnant. Employees were working over there for many years but they were not getting any promotion or salary hike. So the attrition rate was increasing as the employees had left the company due to unsatisfactory increments and promotions.
So the company need to introduce Performance appraisal sysem. On the basis of performance appraisal It will be possible to measure the performance of the employees. which will help to increase the productivity as well as it will help to reduce attrition rate. The morale of the employees will also increase when they will get promotion and increament on the basis of their performance.
From India, Calcutta
I think the basic problem of Amber Pharmaceuticals it that there was no formal appraisal or reward system. So the growth of the employees is stagnant. Employees were working over there for many years but they were not getting any promotion or salary hike. So the attrition rate was increasing as the employees had left the company due to unsatisfactory increments and promotions.
So the company need to introduce Performance appraisal sysem. On the basis of performance appraisal It will be possible to measure the performance of the employees. which will help to increase the productivity as well as it will help to reduce attrition rate. The morale of the employees will also increase when they will get promotion and increament on the basis of their performance.
From India, Calcutta
You have not answered my questions, which I repeat again.
May I know what you do and where? Also, are you seeking soultions for the case study? If so, why?
fmr
If you are a student, what course are you on, where and in what mode are you studying.
Have a nce day.
Simhan
From United Kingdom
May I know what you do and where? Also, are you seeking soultions for the case study? If so, why?
fmr
If you are a student, what course are you on, where and in what mode are you studying.
Have a nce day.
Simhan
From United Kingdom
I am not a student. I have completed my MBA in HR. I am thinking that I will go for further study. So I am just trying to solve hr related question. Like case studies, mutiple choice etc which will help me in future.Thats why i m on this site. through discussion i want to gain more knowledge about HR
Have a nice day
Thanks
From India, Calcutta
Have a nice day
Thanks
From India, Calcutta
Thank you very much for the information. I would have given this information in introducing myself before posing the question. As I have said earlier, it is always better for us to give all the information so that bloggers are awar of our motives and the situation. Thus, you have done the correct thing in this thread by giving your analysis of the case and seeking views of others.
Have a nice day.
Simhan
From United Kingdom
Have a nice day.
Simhan
From United Kingdom
I have sent my views on this cas study. But I am not sure whether I am right or wrong....Please send your views.
From India, Calcutta
From India, Calcutta
Dear Ric09 (whoever you are),
As my wont I will not give any direct answers as I am not HR person. However, I will try to guide you in a direction in which you may be able to find the answers you are seeking.
If I have interpreted the question correctly, it requires you to give steps that you would take sequentially. Kindly see <link no longer exists - removed> the content of which, when digested, may trigger a correct response from you.
Have a nice day.
Simhan
From United Kingdom
As my wont I will not give any direct answers as I am not HR person. However, I will try to guide you in a direction in which you may be able to find the answers you are seeking.
If I have interpreted the question correctly, it requires you to give steps that you would take sequentially. Kindly see <link no longer exists - removed> the content of which, when digested, may trigger a correct response from you.
Have a nice day.
Simhan
From United Kingdom
Community Support and Knowledge-base on business, career and organisational prospects and issues - Register and Log In to CiteHR and post your query, download formats and be part of a fostered community of professionals.
Case Study on Promotion.pdf
Case study.doc