From a small-sized family-owned company to becoming a large professionally managed public listed company in the pharmaceutical industry, the journey was not an easy one for us. The Company leadership had to confront many challenges from time to time for the transition from an entrepreneur-driven company to a professionally managed company. The leadership had to undergo significant changes in terms of roles, orientation, business strategy, organisational culture, governance, systems, decisionmaking, structures and overall way of working.
The Company incorporated in 1999. It started as a trading company with the seed capital raised from within the family. At that time, it was entirely family-owned and run. Within a few months, stepping on the dream of being a global company since beginning, the first international office was inaugurated. Also parallely, the first manufacturing facility with three production lines was set up in India. In a short span of two years the sterile manufacturing facility received an important certification and the Company also touched an important revenue landmark. This brought immense confidence to us and gave us a direction towards the upward journey. Integrity, implementation, excellence, innovation and patient satisfaction became our values.
In 2003, the Company received approvals from regulatory authorities from various other developing countries. The global growth strategy also permitted the Company to apply in various developed markets. Still, the organisation’s size was small and structure was not very much in order, hence most of the functions were directly managed by the family members. Managing an international set-up for a family-run company was obviously placing a great deal of pressure on the top management. The time had come for us to transit to the next orbit. Today we have market a presence in 76 countries and this has been achieved by decentralising the organisation and creating various presidents, business heads, division heads, and managers.
When I stepped into the MD’s role, I first focussed on new product development and streamlining of manufacturing and operations of the Company. We brought advanced technology equipments and automated machines to add up to manufacturing capacity and to enhance productivity. We established management systems and processes and review mechanisms across organisation which were to become base for advanced transition later.
In 2006, one of the largest international private equity funds invested in our Company. The introduction of this private equity fund in the Company was a crucial point in the transition of our Company towards professional management. We inducted independent directors to improve our corporate governance and to attain the highest standards of corporate governance. Improving the corporate governance helped us in maximising the long-term value for all stakeholders of the Company, including shareholders, employees, customers, society, etc. Our corporate governance philosophy and practice consists of the following facets:
To make timely disclosures and adopt transparent policies
To show greater responsibility and fairness in dealings with all
To demonstrate the highest level of accountability towards employees
To conduct our business in an ethical manner.
We introduced more robust systems like SAP and centralised inventory system. On one hand, where the business was flourishing in terms of back-end, on the other, the front-end needed further focus to match with the market demands and be at the edge with the competition. Hence, as MD I took charge of Businesses (Sales and Marketing) and focussed more on visiting countries, meeting people, getting market insights and devising international marketing strategies. We established a great market presence across various regulated markets as well as emerging markets. USFDA approval for sterile injectable manufacturing facility was one of the greatest milestones which opened a new scope for expansion of the business. The Company also focussed on enhancing visibility in the market in terms of participation in conferences and competing in awards and came out with flying colours. We received several awards. We also ramped up effective management of back-end and front-end as per demand of time-witnessed manifold growth in business, presence across countries, thousand-plus registrations across.
Looking at the volume and growth of the company, it became quintessential to streamline and professionalise the organisation structure. We developed the second-level and third-level management cadre and assigned functional accountability to non-family members who needed to independently handle their teams. Delegation of responsibility and giving authority to the second level helped improve the organisation and also develop a better workforce. We maintained inherent cultural values, focussed on people policies and practices which later helped the Company achieve recognition as one of ‘the Best Places to Work for in India’ and #1 Healthcare Company to work for.
The Company started to work on its dream of going public, following a culture of continuously upgrading best practices in corporate governance and management quality. The Company shifted gears and prepared itself in all aspects to take this big move. In 2010, the Company became a listed company. This was the next big thing for us and has put us in a completely different bracket. Through the IPO, the Company raised proceeds which it has already started investing in augmentation of manufacturing capabilities. Listing brings with it greater responsibility and greater external scrutiny but also puts your company on a higher pedestal.
Throughout, the journey, the Company made sure that its growth does not get hampered in bringing about a professional management approach. We always believed in ourselves and will continue to do so, thereby removing every hurdle that comes on the way. The underlying mantra behind the success story is ‘dream big and work hard’. As we look back on these 12 years, we have transitioned from a family-run and owned company to a professionally-run company to a PE-funded company and finally to a family-owned listed company. The road has been long and arduous but very satisfying and fulfilling. We have miles to go before we sleep but we believe in one motto which has been our mantra through the years:
“The world changes view, if you change yourself”.
