UNIT V

ANU AGA
• MP of Rajya Sabha (Nominated)
(27 April 2012 – 26 April 2018)
• Member, National Advisory Council
(2010–2014)
• Personal detailsBorn3 August
1942 (age 76) Mumbai,India
• Nationality- Indian
• ResidencePune, India
• Alma mater- St. Xavier's College, Mumbai,
Tata Institute of Social Sciences
Occupation
• Ex-Chairperson, Thermax Ltd.,social
worker
• Anu Aga (born 1942) is an Indian billionaire businesswoman and social
worker who led Thermax, an energy and environment engineering
business, as its chairperson from 1996 to 2004.

• She had figured among the eight richest Indian women, and in 2007 was
part of 40 Richest Indians by net worth according to Forbes magazine.[
• She was awarded with the Mumbai Women of the Decade Achievers
Award by ALL Ladies League, the all ladies wing of Assocham.

• After retiring from Thermax, she took to social work, and In 2010 she was
awarded the Padma Shri for Social Work by the Government of India.

• She is currently Chairperson of Teach For India.

•  She was nominated toRajya Sabha, the Upper House of Indian

Parliament on 26 April 2012, by President Pratibha Patil.[
 My Years with Thermax
• Desire
• Methods for diversification
• Sense of mission
• Development of entrepreneurial culture
• Concern for quality
• Willingness to take risk
• Happiness is the positive cash flow
Founder of Serum Institute of India,
• Born Cyrus S. PoonawallaResidence Pune, India
• Alma mater Brihan Maharashtra College of Commerce
• Years active 1966–presentOrganization Serum Institute of India
• Known for Founder of Serum Institute of India, Horse Racing,
Cars
• Net worth US$ 5.1 Billion (27/3/18)
• Spouse(s) Villoo Poonawalla (30 sep 1943-9 june 2010(66))
• Children Adar Poonawalla (son)
• Awards Padma Shri in 2005

• We reach more children than Coca-Cola and PepsiCo can ever

hope to.
– Cyrus Poonawalla
• Poonawalla contributed $5.5 million for a hospital named after his
late wife, to treat the underprivileged.

• Son Adar, featured in Forbes Asia's Heroes of Philanthropy list, is one

of the brand ambassadors for the government's 'Clean India' mission.

• Son of a race horse breeder, Cyrus Poonawalla founded Serum

Institute of India in 1966 and built it into one of the world's largest
vaccine makers.

• Serum produces 1.3 billion doses annually of a range of vaccines,

including for measles, polio and flu.

• His U.K.-educated son Adar is Serum's CEO and helps him run the
company.
• About Dr. Cyrus Poonawalla
• Dr. Poonawalla is a person who has always had a vision
of creating an atmosphere where high quality vaccines
do not remain as a mere luxury for children in India or
the world and are offered at inexpensive prices.

• And its impact is so much that international agencies

have collaborated with him in his noble cause of
developing vaccines against Meningococcal A, H1N1
Influenza, Rotavirus and other diseases.

• At 73, Dr. Poonawalla with a net worth of $6.2 Billion is

listed as the 10th richest person in India & 286th richest
person in the world by Forbes Magazine.
• ESTABLISHMENT OF “Serum Institute of India”
• Dr. Poonawalla along with his school friend began his career at the age of 20 by first testing
waters with cars. But soon after they built a $120 prototype sports car modeled on the D-type
Jaguar, they realized that producing it on a commercial basis would require more money than
they had and hence abandoned the idea.

• Later, he decided to target the masses than the classes and hence a conversation with a vet
diverted him into vaccines.

• Poonawalla decided to take up the challenge of extracting the serum from horses himself and
producing cheaper vaccines.

• So without any delay; he along with his brother Zavaray raised $12,000 selling horses,
convinced their father to put up the rest and in 1966, Dr. Poonawalla set up the SIIL on a 12-
acre lot.

• As they had no background; they hired 10 doctors and scientists from the government-owned
Haffkine Institute of India in Mumbai. And within a span of two years Serum Institute of India
launched its first therapeutic anti-tetanus serum.

• Soon the company won contracts to supply state governments and hospitals and their sales
started getting better.
• From there onwards there was no looking back for them and the chain of events that took
place was as follows:

• In 1974, they made the DTP vaccine to protect children from diphtheria, tetanus and pertussis.

• In 1981, an anti-snake-venom serum for snakebites was launched.

• In 1989, the production of Measles Vaccine M-Vac began and within a year SIIL became India’s
largest vaccine manufacturer.

• India became self-sufficient for Tetanus, Diphtheria and Whooping Cough vaccines; because of
SIIL.

• By 1998, SIIL began selling these vaccines to over a 100 countries.

• And by the year 2000, 1 out of every 2 children in the world has been vaccinated by a vaccine of
SIIL.

• In 2013, Prince Charles’s keenness to know about the production of these inexpensive but high
quality vaccines forced him to make a private visit to SIIL.
BOLD POSTURE:
• Adar Poonawalla says Serum has a cash balance of about Rs 800 crore and is looking for new

avenues for investment

They took it forward. Research was the key and by 1974, Serum introduced the DTP

(diphtheria, tetanus and pertussis) vaccine, followed by an anti-snake-venom serum in 1981. In

1989, Serum began producing its measles vaccine, M-Vac, and within a year became the

country's largest vaccine manufacturer.

A turning point in Serum's business came in 1994 when it got accredited by the World Health

Organization (WHO) to export vaccines from India and started supplies to UN agencies such as

Unicef and Pan American Health Organization (PAHO). Today, Serum is the world's largest

supplier of measles and DTP vaccines and controls 70 per cent of the paediatric vaccination

market in about 140 countries, except the US and the European continent.
• But that does not mean Serum is a giant in the $27-billion global vaccine market.

• It is a minnow when compared to, say, GlaxoSmithKline, Sanofi, Wyeth, Merck or

Novartis.
• But the ability to supply vaccines on a big scale at low prices makes Serum the most

preferred supplier of vaccines to healthcare aid agencies such as Unicef and Global

Alliance for Vaccines and Immunisation (Gavi).

• Charity and state-funded vaccine business is estimated to be Rs 3,000 crore, says Adar.

• In this space, Serum's key rivals are from India — Panacea Biotec, Bharat Biotec,

Biological E and Shanta Biotechnics (now part of Sanofi). Its overseas competitors

include Biopharm of Indonesia and a few players from Latin America.

Challenges
• Although, the company hasn’t faced much of challenges in the past but with the rise in the

competition Serum institute of India does face big challenges in the near future.
• And the major reasons which could affect the company massively are its over-dependence on

public-private funded healthcare agencies. Reportedly, more than 50% of its revenues come from

UNICEF and PAHO.

• Now any such kind of supplies requires pre-qualification from the World Health Organization and

the regular audits at manufacturing outlets, the UN body conducts are extremely strict and the

minutest of discrepancy will lead to cancellation of orders and disqualification.

• The best example for this is; Indian vaccine makers like Bharat, Shantha and Panacea who have had

to face disqualification by WHO in the past.

• Other than that, what poses a grave threat to SIIL are the Chinese firms and global players who are

competent to offer vaccines at a very low price. Also because, World Health Organization has

passed China’s drug safety authority and has said that it meets the international standards for

vaccine regulation.
• Firstly, SIIL has gained a reputation in the market, so unless they screw up

badly (which is unlikely the case), any obstacle wouldn’t affect them so

much.
• And on the other hand; the over-dependency on the aforementioned

organizations is being balanced by increasing the supply to individual

companies.
• To add to that; the Poonawalla group as a whole is expanding its genres (as

mentioned above) to reduce the dependency on one particular thing too.

The name is an acronym for
"Payment Through Mobile”.
Amazon, named after one of
the largest river in the world
Inside Amazon's secret weapon
Like many of the great companies throughout history, Amazon's
operations strategy is guided by a handful of defining core principles,
perhaps the best known of which is to "focus relentlessly on our
customers." To achieve this goal, Amazon borrowed a strategic framework
called the "flywheel" from strategy guru Jim Collins. Here's a rough sketch
of how the flywheel concept works.
• This concept, while not unique to Amazon, is the key to understanding
how the e-commerce giant guides its operations. In his best-selling book
The Everything Store, which I highly recommend, author Brad Stone
summarizes  Amazon's application of the flywheel strategy:
• [L]ower prices led to more customer visits. More customers increased the volume of
sales and attracted more commission-paying third-party sellers to the site. That allowed
Amazon to get more out of fixed costs like the fulfillment centers and the servers needed
to run the website. This greater efficiency then enabled it to lower prices further. Feed
any part of this flywheel, they reasoned, and it should accelerate the loop.
• A flywheel at standstill requires a substantial amount of effort to begin spinning.
However, once in motion, the flywheel begins to develop a momentum of its own, which
makes it increasingly easy to spin. This same idea of momentum applies to the business
analogy as well. Each improvement Amazon's employees make to fuel the flywheel helps
accelerate the company's cycle of growth.
• Equally important, the flywheel concept is enduring. As Jeff Bezos himself has noted, the
technologies and services that Amazon provides might change over the course of several
decades, but the core tenets, such as low prices, embedded in the flywheel framework
should consistently resonate with Amazon's customers, regardless of the circumstance.
Secrets of Amazon’s Winning Marketplace Strategy: The Virtuous Cycle
• No secret that Amazon has built a highly successful – and highly
profitable – online Marketplace.
• Third-party sales on this platform account for almost half of
Amazon’s unit sales.
• Further proving the potential in this business model, many other
high-profile Marketplaces have emerged in the past few years –
Apple’s iTunes, Alibaba, and Farfetch, just to name a few.
• The secret to the success of Amazon’s model was actually sketched
on the back of a napkin by founder and CEO Jeff Bezos in 2001.
• He essentially laid out the foundation for a winning Marketplace
strategy: the Virtuous Cycle.
• The Key to Success: A Virtuous Cycle
• Amazon’s entire approach to success centers on the
concept of a “virtuous cycle.”
• This mindset has driven the company’s strategy since
the very beginning. According to Bezos, the cycle begins
with a fantastic customer experience, which drives a
large volume of traffic. Satisfied customers then attract
more customers, mostly through word of mouth.
• The additional traffic attracts more sellers to the
company’s third-party marketplace, as Amazon’s large
volume of site visitors is paramount to these smaller
sellers. Amazon, in turn, can ensure breadth of product
choice without actually sourcing from partners.
• As Amazon grew, it lowered its cost structure by leveraging
purchase, fulfillment infrastructure and logistics nfrastructure,
which consequently lowered the cost per unit of products.
• The decrease in cost allowed Amazon to lower its prices to
shoppers, further satisfying their need to find the best
possible price.
• This low price point combined with an increased selection
was critical to improving, and maintaining, the customer
experience that drives this cycle again, and again.
• A virtuous circle is a loop of actions or events whereby results allow the
loop to be repeated with ever increasing results. It is associated with self-reinforcing
practices and processes that gain strength from their outputs. For example:
• Customer Service
A firm maintains an positive relationship with customers that leads to increased work
satisfaction for employees leading to more positive relationships with customers.
• Innovation
An innovative product generates cash flows that allow a firm to fund new research
and development leading to more innovative products.
• Urban Design Terms
A city improves its urban design leading to improved quality of life, greater economic
activity and higher property values. The result is higher tax revenues that allows the
city to improve its urban design.
• Quality
A hotel that improves quality may enjoy higher customer ratings resulting in more
bookings at higher prices. The resulting revenue allows for improvements in quality.
• Sustainability
Customers who choose the most sustainable products in a particular category help the
costs of such products to come down due to economies of scale. The lower prices
cause more customers to choose sustainable products.
FALGUNI NAYYAR
CEO, Nykaa
Post a grandly successful career of over 25 years in financial services,
18 of which were spent with the Kotak Mahindra group as Managing
Director, among other designations, Falguni Nayyar took the
entrepreneurial plunge and launched Nykaa.com, a beauty and
wellness ecommerce, premier platform for women. This IIM
Ahmedabad graduate launched her website in the latter end of 2012
and soon enough Nykaa was already boasting of retail partnerships
with the world’s top notch personal care corporations like Unilever,
P&G, L’Oreal, Beiersdorf, Johnson & Johnson and going onto raise 20
crores in funding from private investors with plans to expand to new
technologies, a mobile app and physical stores in the country. Clearly
an inspiring woman of the working sphere that has shined in every
venture.
RADHIKA GHAI AGGARWAL
Co-Founder & CMO, ShopClues.com
Equipped with over a decade and a half of marketing experience
in various industries like retail, ecommerce, fashion & lifestyle,
advertising & public relations, Radhika Ghai Aggarwal co-
founded Shopclues.com. It was birthed in Silicon Valley in 2011
and is currently India’s first and largest fully managed
marketplace with more than 7 million visitors every month,
serving nine thousand cities, towns and villages in India. Before
this, she ran a fashion blog based out of the Silicon Valley, USA.
Radhika has previously worked with Nordstrom at its corporate
headquarters in strategy planning and with Goldman Sachs in its
Wealth Management group in New York and Menlo Park, USA.
She has an MBA from Washington University and also holds a
post graduate degree in Advertising and Public Relations.
RASHI CHOUDHARY
Co-Founder, LocalBanya.com
Rashi Choudhary is the co-founder and COO at Local Banya,
Mumbai’s first online grocery store that aims to make this shopping
experience more convenient and easy on your pocket. She kicked
off her career as a management trainee at Ernst & Young after
which she worked in retail for Raymond Ltd. and Rashi
Peripherals. This successful woman entrepreneur currently
handles all processes that go down from the customer placing an
order till the point of delivery and after sales service. This includes
logistics, customer service, data management, sourcing & pricing
of products, quality check, web content etc. Presently, LocalBanya
gets an average of six hundred orders a day from Mumbai, Thane
and Navi Mumbai. What’s more, they are known to have 98%
punctuality with respect to order fulfillment.
SUCHI MUKHERJEE
Founder & CEO, Limeroad.com
Suchi Mukherjee is the founder and CEO of Limeroad.com, a social
commerce site for the urban woman. This website brings together the fun
of picking clothes from a magazine-like layout with the simplicity and
convenience of an online retail portal. A decade ago, Suchi received the
Commonwealth Cambridge Scholarship to study Economics at Cambridge
University after which she studied Economics and Finance at the London
School of Economics. Her massively impressive work experience begins
with five years of investment banking at Lehman Brothers, two years as
Director and business development manager in the consumer division of
Virgin Media, a year working at eBay where she learned the ropes of a
consumer business and finally and to top it all off, before starting
Limeroad, Suchi was a part of the initial development of both Skype and
Gumtree.