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LATEST NEWS OPINION AND BLOGGER RAVI SPEAKS-KNOW IT ALL.

LATEST NEWS OPINION AND BLOGGER RAVI SPEAKS-KNOW IT ALL.
LATEST NEWS OPINION AND BLOGGER RAVI SPEAKS-KNOW IT ALL.

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My Thought-“Should Extension After Retirement be Given In The Pharma-Sales”.

Generally speaking, such a question does not occur in one’s mind-who is serving in a pharma company for many years and still has quite a few years left out till his retirement age comes. I co-relate it obviously with my own experience. When I had already served the company say for twenty-five years-that was in 2007-I never had even an inkling of such an idea as to What would happen to me after I reach my retirement age at 58(2019). Yes, one thing was for sure somehow put into my mind by the happenings in the same year of 2007-that an unknown assurance of getting an extension in my services too would be there-since the people who were at the helm of affairs holding the post of NSM, GM, etc were all given an extension of services after their superannuation and they were going even stronger as far as their services and their activities were concerned. The beauty was that all such people who were given the extension were given more or less the same emoluments but in the disguise of a third party not on the company’s regular rolls.


Retired From Service On 31-10-2019.


My GM who had retired quite a few years back has been carrying on very strongly in the capacity of GM only by getting his renewal of what they call- “Retainership”. His excellent relations with the CEO mainly and his vast experience of more than forty-two years with the company in different capacities has been still keeping him on the same GM post and every year his Retainership is getting extended by one year every time. The organization must be seeing many qualities in such people- but this type of system has not been seen prevalent in other very good multinational companies. They have their set rules and they have the strict follow up-what we call a disciplined approach in the company’s functioning.


Time Table-for a Retired Person.


If you ask me as to whether it was right to be following the system of giving extension to a retired person-who has spent many decades in the same organisation-I would strongly say a big “NO”. I feel that a person who has already served for many years and has already given his best for the organization-should be magnanimous enough to give way to the fresh and new young brains. Because we must not forget that the bigger changes which have been coming with time bring newer brains which have been nurtured in such changes and new people are just like the fresh air needed for any organization to refresh its functioning systems. Such companies reorient & adapt fully with the continued changes occurring around-growing conspicuously in this “pharmaceutical-arena”.


Follow One Amongst The Three


For a person who has been kept even after his retired age-we must not forget that his style of working patterns, his creative ability, and above all his mindset is already tested and tried in different situations earlier on. The only thing where he may score is the number of extra years of experience-where of course he has an edge. For that, even the bigger houses keep certain prominent personalities of the sales as their consultant advisors and not as their indirect employees on retainership.


Still After Retirement-Willing To Carry On.


Enjoy After The Retirement.


Personally, speaking I have not seen any significant change being brought about by such people except minting their own money which is very high at the time of retirement consequently giving a very high load on the revenues of the company. Especially at the time of GDP slowing down due to the various unforeseen factors and even the company’s “Top-line and the Bottom-line” picture trying to justify their existence in the company’s revenue-sheet.


Bill Gates Too Retired-A Real Visionary.


The top line and bottom line are two of the most important lines on the income statement for a company. Therefore, when a company has "top-line growth," the company is experiencing an increase in gross sales or revenues. The bottom line is a company's net income, or the "bottom" figure on a company's income statement.

  • Both the top-line and bottom-line figures are useful in determining the financial strength of a company, but they are not interchangeable.
  • The bottom line describes how efficient a company is with its spending and managing its operating costs.
  • Topline, on the other hand, only indicates how effective a company is at generating sales and revenue and does not take into consideration operating efficiencies which could have a dramatic impact on the bottom line.
  • Old Retired People-Get To Enjoy.


    Horizon-To Be Defined.


A company can increase its bottom line through the reduction of expenses. A company's products could be produced using different input goods or with more efficient methods. Decreasing wages and benefits, operating out of less expensive facilities, utilizing benefits of Tax, and limiting the cost of capital are ways to increase the bottom line. Here in this section the extension to retirement for the already retiring people can be very easily removed or obliterated by the company authorities resulting in a huge revenue saving and at the same time creating a bigger avenues for the new and fresh innovative brains to join-ensuring a bigger and constructive reform in the company functioning and productive yields. Conversely, if a company's bottom line shows a decrease from one period to the next, it's an indication the company has suffered a dip in income or a surge in expenses.

The term "top the line" comes from the fact that a company reports its revenue numbers at the top of its income statement. The top line is a pure gross sales number showing how much revenue the company brought in for a given period.

Looking to the above-detailed view as to what extent a pharma company can save especially by putting an end to the extension of a retired person and how much it stands to gain by inducing the fresh young brains at even lesser than half of the revenue to be spent on them as compared to the old retired people whose salaries too over a passage of time have swollen to huge sums and it becomes a very big burden for even the bigger houses to carry on like that.


Good Bye Message To Office Colleagues.


When I try to analyze as to why it was being done by companies like HIMALAYA in special. The only thing which comes to my mind is just to give weightage to seniority and experience. They might be right on their part but I beg to differ with their ideology especially in nowadays time-where they too will be very much concerned about their balance sheets. And we must not forget the tested statement- “No one is indispensable”. If they remove this practice of keeping the retainers after their superannuation-I am sure the company would save a lot of money as well as give a real chance to the new professionals-who in turn would bring a drastic-positive change in their overall functioning helping them reach the Company’s-Visionary Goals.

Good Bye Message For The Organisation After Retirement.


Let them stick to the simple normal criteria of giving the best in all respects to their field force-till their retirement ages only and let each one gets the real benefits of their retirements as per the provisions provided by the government of India. Any house wants to hang onto good employees and offering a retirement plan helps do that. The retirement benefit also serves as a recruiting tool. The field force too will be happier knowing they’re more likely to have some financial security in retirement as it is prevalent as on date.


Farewell Cake Showing A Trap.


Coming on to the consistent growth and ever-increasing sales trend -which is the ultimate aim of any organization-that would perhaps get a better boost-when the old and experienced would be giving a chance to the fresh and new innovative brains of course under their valuable guidance based on their long experiences.

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13 Comments

  1. Really appreciate ur vision of preferring induction of new young brains over retaining retired personnel.But I must say Old Is Gold.👍

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  2. Yes I believe in it very strongly about the fresh and the experienced brain since it all depends upon type of job one is holding, in direct selling one needs fresh brain and off course if one dealing with indirect sales one should have experienced and sessioned players. In direct selling one needs to have latest inputs about his or her products and in inderct one, one should have a good approach and well displined. Anyway the topic is encouraging when one finds the some lucrative offers should be made for those who are getting retired so that they feel commendable and some how loyal to their employer afterwards too. Thanks 🙏

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  3. Old is Gold is only for Gold.
    Young brains and lateral thinkers are the need of the hour. Especially when their team members are millennials.

    A Good Leader will create more leaders and not followers. Society and the professional world will appreciate one who paves the way for the younger generation. well said Ravisab

    ReplyDelete
    Replies
    1. Hi-Anandan.
      How are you and your family?
      Thanks a lot for your comments.
      You have always been brilliant!!!
      God Bless!

      Delete
  4. Hi Ravi Bhai, highly appreciate your thoughts regarding a thorough professional company approach.
    This clarity of thoughts and action accordingly makes any organisation great.
    Perhaps these are the reasons that put brakes to our growth.
    I find difficult to find indian brands which are No. 1 in there respective segments atleast in India (exceptions apart) .
    Yes I agree fresh people bring fresh approach that is a must in these fast changing times.

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  5. Dear Tiki Saab,how are you, I fully endorse your views on extension, brainy people like metrorail sridharan and DrApj services were used as consultants only,people worked as accountants taking sales account should be retired at 58 or earlier also,multiple extensions have resulted in multiple fractures to the company

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  6. Dear Tiki Saab Iam palanikumar, I have sent opinion justnow

    ReplyDelete
  7. Appreciate your Frank openion.

    ReplyDelete
  8. This comment has been removed by the author.

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  9. After serving GSK for 35 years ,I was being insisted by some colleagues to apply for extension ,I got indirect messages also from some top management but I was of firm belief that " It is wise to leave when people will say " Why" ..Avoid the situation when same people will say " Why not"
    Most of the extension in Corporate houses is being given to those who are seen mostly as advisors ...but in most of the cases their advise is like "purani sharab nayi bottle "

    ReplyDelete