C Ebu Institute of Technology University: Plant Visit

CEBU INSTITUTE OF TECHNOLOGY
UNIVERSITY
N. Bacalso Avenue, Cebu City
COLLEGE OF ENGINEERING AND ARCHITECTURE

DEPARTMENT OF MECHANICAL ENGINEERING
ME502-P01
PLANT VISIT
International Pharmaceutical
Incorporated (IPI)
Submitted by:
ARPON, ADONIS C.
BSME- 5
Submitted to:
ENGR. RAY MALONJAO
Instructor
COMPANY PROFILE
The helping hand of the company, through the benevolence of their President and CEO,
the late Mr. Pio W. Castillo, Sr., or “tatay” as fondly called by all employees of IPI, was evident
before the formal creation of their first foundation on March 1, 1989, the Bread for the
Philippines Foundation, Inc. was born out of the company’s desire to extend their philanthropic
act not only their employees but also to the communities anywhere in the Philippines. As aptly
said by him, “the company is morally obliged to give back a portion of the profit that we got
from the Filipino people.”
The Bread for the Philippines Foundation inc., sometime in May 1989, in tandem with
the USAID, undertook reforestation project and donated artesian wells in the mountain
barangays of Carmen and Borbon, Cebu. The initial were successful but the foundation’s
remaining activities had to be stopped temporarily due to the creation of another foundation in
honor of their late father, Don Go Lam. The Don Go Lam Foundation, Inc., was registered with
the Securities and Exchange Commission on April 22, 1993, the with the following purposes and
objectives:
 To provide livelihood projects to indigents;

 To extend health care programs to depressed communities;
 To provide scholarship programs to poor but deserving students who desire to pursue
college education;
 To provide care program for the disabled, the aged, the orphans and the inmates;
 To help in the recovery of calamity-stricken areas.
From May 31, 1993 to April 11, 2006, the Don Go Lam Foundation, Inc., has supported the
following activities:
 Scholarship Program for the students of Central Bible Training Institute of Langtad,
Naga, Cebu;
 Sunday School Outreach Program for the students of the United Church of Christ in the
Philippines in Cogon, Compostela, Cebu;
 Financial assistance for the hospitalization of various persons;
 Hospitalization endowment fund for the UCCP church workers and their families in
Davao City;
 Donation for the Filipino Soldiers for Peace Fund sponsored by the Philippine Star
Operation Damayan;
 Free medical, dental and optical mission in the province and cities of Cebu and nearby
provinces twice and month;
 Donations to fire victims in various locations in Cebu City;
 Construction of Green House in Talamban, Cebu City for the Health Food Program;
 Donations to the Bagong Buhay Rehabilitation Center
Sometime in early 2006, the members of the Technical Working Group ware planning to
get a certification and accreditation with the Philippine Council for NGO Certification so the
foundation can accept donations from other development agencies within and outside the
country. Mr. Pio Castillo proposed a new name for the foundation: the IPI Foundation, “so that
people will automatically associate the various activities of the foundation to IPI.”
In April 24, 2006, the IPI Foundation Inc was incorporated. At present, the IPI
Foundation Inc is located at the IPI Complex at Juan Luna Avenue, Mabolo, Cebu City.
OBSERVATIONS
On our 3rd Plant Visit the International Pharmaceutical Incorporated (IPI) appeared to be a Local
Company due to its small Manufacturing site, They implement a very strict rules that all workers
and visitors alike are to comply. But as we go through the briefing area, we learned so many
things about IPI and its history and what they do to the community and how many branches they
handle throughout the country.
As I ask the HR about the company, I learned that One of the many good things about IPI
is it has an effective management system. The company is always eager to help and support all
its employees through the benefits offered. It has a very friendly working environment and my
Head and Superiors would always attend to the needs of each employee and would even
contribute to our learning process. With 60 years of service to the Filipino community,
International Pharmaceutical Incorporated have steadily shaped the market’s needs by becoming
the leading local pharmaceutical brand in the country. And now an established and well-loved
brand known throughout the Philippines with branches in Bacolod, Davao, Isabela, Butuan, las
pinas, Osamis, Zamboanga and General Santos City. International Pharmaceuticals Incorporated
is composed of both regular and outsourced employees. Outsourced laborers are found in the
production area. They must undergo training and, at least, a high school graduate. Regular
employees are found in office doing managerial functions. Women are mostly found in the
packaging and sorting area while men are doing heavy jobs in the production. IPI also gives
incentive to those employees who exceed its quota.
EVALUATION
International Pharmaceutical Incorporated is a certified Halal company and is FDA

approved. IPI maintains a strict quality control in every process to maintain the safest, most
reliable, high quality array of products. A Halal Certificate issued by the Majlis under the Halal
Certificate and Halal Label Order, 2005. A HALAL accredited company shall mean
a) neither is nor consists of or contains any part or matter of an animal that a Muslim is
prohibited by Hukum Syara’ to consume or that has not been slaughtered in accordance with
Hukum Syara’;
b) does not contain anything that is considered to be impure in accordance with Hukum
Syara’;
c) has been prepared using an instrument that is free from anything which is considered
to be impure in accordance with Hukum Syara’; and
d) has not in the course of preparation or storage, been in contact with or close
proximity to any food that fails to satisfy paragraph (a), (b) or (c) and anything that is
considered to be impure in accordance with Hukum Syara’.
FDA is awarded to companies who complied to the Rules and Regulations Governing
the Operations of Food and Food Products Manufacturing and Processing Establishments and to
the Good Manufacturing Practice Requirements pursuant to Administrative Order No. 153 n.
2004.
International Pharmaceuticals Incorporated’s orders raw materials as much as there are

available from the suppliers. IPI Cebu can produce 155 Bioderm soaps per minute in the
quarantine area. Then, finished products were distributed among its 13 branches worldwide.
Among the collection of products, they provide, International Pharmaceuticals
Incorporated’s main product is the Efficascent Oil. Efficascent oil is a liniment preparation
specially formulated for fast relief of back and muscular pains from overwork, cramps,
rheumatism, lumbago, arthritis, stiff neck, headache, gas pain, insect bites, minor burns and
bruises, sprains and skin irritations. It also gives pleasant fragrance and it does not stain. It may
be in colour white or green. IPI’s products are simple products since the design and structure is
not complex.
The type of production process is continuous production system since they produce high
volume but low variety efficascent oil. Continuous production system also applies to other
product line of IPI such as soaps, cottons, alcohol,
etc. The process is particularly a mass production process. They use a make-to-stock strategy
because of the nature of the product that it is widely used by the customers. The process is
capital-intensive since the production requires machine to do most of the work. The workers only
assist in the production process.
GROUP PICTURE

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CEBU INSTITUTE OF TECHNOLOGY

COLLEGE OF ENGINEERING AND ARCHITECTURE

 To provide livelihood projects to indigents;

International Pharmaceutical Incorporated is a certified Halal company and is FDA

International Pharmaceuticals Incorporated’s orders raw materials as much as there are

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