The placenta is an invaluable part of  postpartum healing process for both mother & child.  For thousands of years, the Chinese have revered this powerful substance in their Materia Medica as regenerative to the essence and the breath.  Full of Qi (life force), the placenta aids in the recovery from childbirth, restoring lost hormones, augmenting lactation, shortening bleeding time, preventing mood jags, and ultimately helping your child in this vital time of bonding and nurturance.  The placenta is prepared fresh - freezing is not recommended - with rice wine, precious herbs and fresh ginger to disperse the medicine deeply into the body.  It is cleaned, steamed, and cut into very thin slices, then placed in a dehydrator until thoroughly dry.  Then it is ground finely and encapsulated.  It is believed that the state of mind one carries while working with the placenta will be absorbed into the medicine, so the healing focus is maintained throughout.  The whole process takes 12 to 16 hours, definitely a labor of live!  The typical dosage is two capsules three times a day for the first two to three weeks or until strength has been restored.  It can then be called upon during the stages of your child's development where separation from Mommy is difficult, e.g. weaning, first steps, day care, etc. 
Placenta is used in following ways ;
a) help to transfer food to baby
b) help to transfer oxygen also