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A PROJECT REPORT ON AMUL DAIRY

SUBMITTED TO: SOMLALIT INSTITUTE OF BUSINESS ADMINISTRATION.

SUBMITTED BY:
SHAH RAJ P. F.Y.B.B.A. ROLL NO: - 143

AMUL TASTE OF INDIA

CERTIFICATE

AMUL TASTE OF INDIA

ACKNOWLEDGEMENT
Knowledge in itself is continues process but now a day getting practical knowledge is an important thing and the most important things is guides. Motivation and inspiration provided by the different of our substantial support I find no words to express any gratitude to words those who had helped me directly or indirectly in making this success. I am indebted and thankful for assistance received forms various individuals

Firstly, I take this opportunity to convey my sincere gratitude to Professor JAY RAJ SIR whose constant support and guidance helped me throughout the project.

I am thankful to Managing Director of AMUL DAIRY for providing us so much accurate information about the unit.

I would also like to thank GCMMF for allowing me to visit such a big unit.

I am thankful to the other faculties and the Director for their help.

Once again thank to all who directly helped.

AMUL TASTE OF INDIA

EXECUTIVE SUMMARY
Industrial sector has played a critical rule in the development of Indian economy industrialization holds the improvement of employment and fuller utilization of resources.

A dairy industry is a place for handling milk and milk product. Dairy technology has been defined as the branch of milk and manufacturing of the milk products for industrial sale.

After 50 years of independence India has become along way and her journey to words the goals of industrialization and has become self sufficient in respect of the consumer goods.

Dairy industry occupies important place in Indian economy. It is a consumer good industry. Large portion of India of Indian population is vegetarian therefore milk products assume importance as the only source of the animal fat in their diet important source of protein. So Dairy industry based on this way the Dairy industry has produced miracle in the form of white revolution.

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CO OPERATIVE ENTERPRISE
At present, GCMMF is having 12 such members listed as follows:

1) Amul dairy 2) Dudh Sagar Dairy

- Anand - Mehasana

3) Saber dairy 4) Banas dairy

-Himmat Nagar -palanpur

5) Panchamrat dairy 6) Sumul Dairy

- Godhra -surat

7) Uttam dairy 8) Vasundhara Dairy

- Ahmedabad - Valsad

9) Rajkot Dairy 10) Oudhadhara dairy

- Rajkot - Bharuch

11) Gandhinagar Dairy 12) Baroda Dairy

- Gandhinager - Baroda

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INDEX
No. 1 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 2 2.1 2.2 2.3 2.4 3 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 CONTENT Company Profile Name & address of the Organization Form of the Organization Mission of the Organization History of the Organization Locational Advantages Achievement of the Organization Organizational Chart Establishment Year Production Department Product Classification Installed & Utilized Capacity Production Process Chart Production Process Human Resource Department Recruitment & Selection Types of Interviews Promotion & Training Incentives and welfare programmes Fringe benefits Safety measures Executive remunerations Wage policy
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Pg No.

3.9 4 4.1 4.2 4.3 4.4 5 5.1 5.2 5.3 5.4 5.5 6 7

Industrial relations Marketing Department Types of product(Advance chart) How do you decide prices? Channels of distribution Promotional programmes Finance department Initial investment How cost is calculated Turnover Source of finance Financial performance Social Responsibility Future Plans

AMUL TASTE OF INDIA

[1] COMPANY PROFILE

NAME OF THE ORGANIZATION: - AMUL DAIRY

AMUL MEANS (FULL FORM) :A: - Anand M: - Milk U: - Union L: - Limited

ADDRESS OF THE ORGANIZATION:- Kaira District Co-operative 33333 Milk Producers Union Ltd, Anand - 38001, Gujarat Fax: - -91-269240208 E-mail:- gcmf.amul.com Website: - www.amul.com

FORM OF THE ORGANIZATION: - Co-operative

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MISSION OF THE ORGANIZATION:1) Its basic objective is to provide better quality of products.

2) To give optimum returns to his members

3) To Assisi in the development of small villages co-operatives.

4) To minimize the adverse effect on the environment.

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HISTORY OF AMUL
In the 1940s, in the district of Kaira in the State of Gujarat, India, a unique experiment was conducted that became one of the most celebrated success stories of India. At that time, in Gujarat, milk was obtained from farmers by private milk contractors and by a private company, Polson's Dairy in Anand, the headquarters of the district. The company had a virtual stranglehold on the farmers, deciding the prices both of the procured as well as the sold milk. The company arranged to collect, chill and supply milk to the Bombay Milk Scheme, which supplied milk to the metropolis of Bombay, and to cities in Gujarat. Polson's Dairy also extracted dairy products such as cheese and butter. Polson's Dairy exploited its monopoly fully; the farmers were forced to accept very low prices for their products, and the decisions of the company regarding the quality and even the quantity of the milk supplied by the farmers were final.

In 1946, inspired by Sardar Vallabhbhai Patel, a local farmer, freedom fighter and social worker, named Tribhuvandas Patel, organized the farmers into co-operatives, which would procure milk from the farmers, process the milk and sell it in Bombay to customers including the Bombay Milk Scheme. Purely by chance, in 1949, a mechanical engineer named Verghese Kurien, who had just completed his studies in engineering in the USA, came to India and was posted by the Government of India to a job at the Dairy Research Institute at Anand. Dr Kurien's involvement with the Kaira District Co-operative Milk Producers' Union Limited grew rapidly.

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The most important feature of these co-operatives is that they are run purely as farmers' co-operatives, with all the major decisions being taken by the farmers themselves. The co-operatives are not 'run' by a separate bureaucracy with vested interests of its own; the farmers are truly in charge of their own decisions.

This experiment of organising farmers into co-operatives was one of the most successful interventions in India. A very loyal clientele was built up who experienced prosperity on a scale they could not have dreamt of 10 years earlier.

In 1954, Amul built a plant to convert surplus milk produced in the cold seasons into milk powder and butter. In 1958, Subsequent years saw the addition of more plants to produce different products. Starting from a daily procurement of 250 litres in 1946, Amul had become a milk giant with a large procurement base.

On his visit to Anand in 1965, the then Prime Minister of India, Lal Bahadur Shastri, was impressed by what he sawa system that procured, processed and delivered high quality milk to distant markets cost efficiently. Shastri could also see the difference that the income from milk had made to the standard of living of farmers in the area. What impressed him the most was that Amul had done all this without government assistance?

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LOCATIONAL ADVANTAGES: The Kaira District is very good place for dairy industry from where it was ranged from a small dairy to the national level repute.

There are very clear and roads along with railways line for transportation due to this reason collection of milk easily and speedily take place here.

Anand is a big city, which is surrounded by many village being in a big city is easily available being situated Anand.

ACHIVEMENTS OF THE ORGANIZATION:Even at the time of its formation, GCMMF had three major products in its portfolio: liquid milk, butter and milk powder. Gradually, many new products were added to its range, largely milk derivatives. so that poorer people can also afford to drink milk. In the 1970s, Amul introduced its processed cheddar cheese, a malt based beverage called Nutramul and chocolates. In 1983, cheese spread was launched by GCMMF. Amulya, a dairy whitener was introduced and it soon became the market leader. In 1996, Amul launched its Amul brand ice cream. India's ice cream market was estimated to be worth around Rs 8 billion in the year 2000 (about US$ 175.8 million). GCMMF launched its ice creams in fourteen flavours in the city of Mumbai (Bombay) and Gujarat State. At launch, prices were about 30% lower than the prevailing prices and GCMMF also emphasised that the ice cream did not contain any gelatin. In less than a year, Amul ice cream commanded a market share of about 55% in Gujarat and 30% in Mumbai; by the year 2000, its share in India as a whole had reached 30%. In 1997, Amul achieved further success when it managed to get various co-operatives in the country, trying to launch their own ice cream brands, to sell all their ice creams under the Amul brand name. This enabled GCMMF to benefit from the capacity of many of the more than 170 co-

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operative unions in the country, with a milk procurement of more than 15 million litres/day, located close to the markets. By the year 2000, its product range was truly expansive: three varieties of milk, flavoured milk, buttermilk, four varieties of milk powder, two varieties of butter, five varieties of cheese, two varieties of ghee (clarified butter), chocolates, chocolate drinks, sweets, ice cream, edible oils and fruit and vegetable based products. The latest additions to the range of brands marketed by GCMMF are Masti Dahi (curd) and Amul Taaza (longlife milk). In the year 19992000, GCMMF had a total turnover of Rs 22.2 billion (about US$ 550 million).

ORGANIZATIONAL CHARTS:GCMMF is a lean organisation, a strategy that is believed to provide it with a cost advantage. At its headquarters in Anand, four general managers (GMs) and four assistant general managers (AGMs) assist the managing director (MD). The four AGMs look after the functions of marketing, systems, co-operative services and technical projects, respectively. The four GMs are in charge of marketing (dairy products), human resources development and marketing (Dhara and new business), finance and quality assurance, respectively. The whole country is divided into five zones, each headed by a zonal manager responsible for the sales of all products within his zone. These managers report to the MD but functionally each also reports to the various AGMs/GMs at the headquarters. There are 50 sales offices spread across the country (of which only two are in Gujarat); a sales manager heads each office and is assisted by sales officers and field salespersons. The entire country has been represented in this structure. GCMMF has one overseas office in Dubai.

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Managing Director

Production Manager

Marketing Manager

Finance Manager

Factory

Store

Sales Manager

Advertising Manager

Chief Accountant

Internal Manager

Manager Manager

Forman

Sales

Selection

ESTABLISHMENT YEAR: -

December 4th 1946

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[2] PRODUCTION DEPARTMENT


PRODUCT CLASSIFICATION
BREAD SPREADS
1. AMUL BUTTER 2. DELICIOUS TABLE MARGARINE 3. AMUL LITE

MILK DRINKS
1. AMUL KOOL MILK SHAAKE 2. AMUL KOOL 3. AMUL KOOL CAF 4. NATRAMUL ENERGY DRINK 5. AMUL KOOL FLAVOURED BOTTLED MILK 6. AMUL MASTI SPICED BUTTERMILK 7. KOOL KOKO 8. AMUL KOOL CHOCOLATE MILK 9. AMUL KOOL FLAVOURED TETRA PACK 10.AMUL LASSEE 11.AMUL KOOL THANDAI

POWDER MILK
1. AMUL SPRAY INFANT MILK FOOD 2. SAGAR SKIMMED MILK POWDER 3. AMULYA DAIRY WHITENER 4. AMUL INSTANT FULL CREAM MILK POWDER 5. SAGAR TEA COFFEE WHITENER

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FRESH MILK
1. AMUL FRESH MILK 2. AMUL TAZZA DOUBLE TONED MULK 3. AMUL FRESH CREAM 4. AMUL CALCI+ AMUL GOLD MILK 5. AMUL LITE SLIM AND TRIM MILK 6. AMUL SHAKTI TONED MILK 7. AMUL BUTTERMILK

CHEESE
1. AMUL PASTEURISED PROCESSED CHEESE 2. AMUL EMMENTAL CHEESE 3. GOUDA CHEESE 4. AMUL CHEESE SPREADS 5. AMUL PEZZA MOZZARELLA CHEESE

FOR COOKING
1. AMUL / SAGAR PURE GHEE 2. AMUL MALAI PANEER 3. MITHI MATE 4. PRO-BIOTIC DAHI 5. COKKING BUTTER 6. UTTERLY DELICIOUS PIZZA 7. MASTI DAHI

DESSERTS
1. AMUL ICE CREAMS 2. AMUL MITHAEE GULAB JAMUNS 3. AMUL BASUNDI 4. AMUL SHRIKHAND 5. AMUL CHOCOLATES

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HEALTH DRINKS
1. NATRAMUL 2. AMUL SHAKTI HEALTH FOOD DRINK

UTILIZED CAPACITIES

Members: 13 district cooperative milk producers' Union No. of Producer Members: 2.79 million

No. of Village Societies: 13,328 Total Milk handling capacity: 11.22 million litres per day

Milk collection (Total - 2008-09): 3.05 billion litres

Milk collection (Daily Average 2008-09): 8.4 million litres Milk Drying Capacity: 626 Mts. per day

Cattlefeed manufacturing Capacity: 3500 Mts per day

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Production Process Chart


Milk Process

Milk Pasteurization

Milk Standardization

PHE
(Plant_Heat_Exange) Milk_flows_chilling_or heating_medium Milk taken to 2_cillos cillos

Milk Separator
(Separates milk and cream)

2_cillos

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PRODUCTION PROCESS
Production itself a process for converting the raw material into finished product after passing though different types of process steps. In the other words production process is a combination of collectively taken certain steps to receive finished final product. 1.

Milk Storage at plant :-

The chilled milk received from various chilling center stored there in AMUL DAIRY about 10-lakh liter of milk is collected every day from 1509 villages before collecting the fat it is checked in the laboratory. On laboratory test they decide about the amount of milk to be collected. All the raw milk collected at AMUL DAIRY is laboratory tested the fat and sniff of the milk then it is sent for pasteurizing. 2.

Pasteurizing:-

After laboratory test of milk pasteurizing process is conducted through three pasteurization machines. The milk passed through the above machines with the help of water pumps. The milk in the pasteurizing machines is heated at 80 to 82 for 15 seconds and after it is cooled at 5 Co. After this method the pathogenic bacteria present in the raw milk are destroyed and the milk becomes good for use. Now this process milk goes to separator machine and some part of milk is sent to patching machine. 3.

Separation:-

This separation machines by falcate the milk into different kind of products. (1) (2) Skimmed milk Cream

The above both products sent to the different channels. There are hundred disk fixed in the separator machine. Now it is taken to the tank,
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which has the storage capacity of 20 thousand liters. There are four tanks and the milk in every tank has different portion of SNF. It is the deficit portion is added by mixing cream. There is some space in the tank to fill the added cream. Now after adding necessary fat and SNF in the milk it is packed in 250 ml and 500 ml pouches. The pouches are kept in a basket which has the capacity to contain of the machine is 100 pouch per minute.

6.

Storage Facility:-

After packing the milk in pouches, the pouches are taken to the cold storage, which has the capacity of containing 4500 pouches at the temperature on 8 to 10 degree Celsius. The temperature is maintaining with the help of silicon chips fans, with the help of ammonia. 7.

Process of Ghee:-

The separator machine separator the cream and sends it to butter churching machine. These machines rotate for half and hour and the butter then take to the Ghee Kettle. Where it is heated at 40 o C. degree Celsius. Now the ghee is packed in pouches, tins, which is add in the market by the brand name of AMUL DAIRY The production of the ghee plant is 144181liter of ghee per year.

8.

Process of milk powder:-

First chilled milk receive from chilling plant to AMUL DAIRY is checked in the laboratory and pass though separator machine though different channels. It is again tested in the laboratory and according to deficit it is added by mixing machine. After adding more fats and creaming milk there are some raw materials like salt and some other chemicals are also adding in the milk now the milk is boiled in vacuum so that it becomes thick. The thick milk is passed through condenser. Now, this condense ilk is sent too drier. The sour milk is taken away. The moistures remaining in the milk powder is taken away at a temperature of 60 Celsius. The machine pea this powder place this powder place automatically by machines without touching by human hand this powder milk is stored in cool place and sold under the make milk from powder in the name of sold under the make milk

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from powder in the name of AMULYA The capacity of production in 17000 liters. There are three milk powder plants. 9.

Process of Amul Butter:-

After collecting and testing the milk in AMUL DAIRY laboratory. It is passed through pasteurizing plant by this method the pathogenic bacterial presence in the raw milk are destroyed after this process some milk goes to separator machine where two products are produced at one hand schemed milk and at the other hand cream. Now the cream to churching machine by churching of ripen cream keeping the fat present at bout 83 % the butter is ready. It can be with of without salt.

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[3] HUMAN RESOURCE DEPARTMENT


Training and Development of Personnels
Amul employee are also provided training which helps to remove performance deficiencies in employees performance deficiencies in employees training is given to them only when, a) Deficiency is caused by a lack of ability rather than a lack of motivation to perform. b) The individual involves has the attitudes and motivation needed learn to the job better. c) Supervisors & peers are supportive of the desired behaviors.

Training Contributes
Employees stability Employees become efficient after understanding to training efficient. Employee Contribute to the growth of the organization.

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Wages and Salary


Attendance is one of the major factors for the wages and salary administration. The time keeper reads the record of the attendance to the accounts department where it is entered into the computer. The record is study and after this salary is calculated for each employee through the computer. On the other hand milk producer are paid regularly on first and 25th of every month.

Facilities given to employees.


Canteen Group Insurance average Healthy Environment Health checkup.

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[4] MARKETING DEPARTMENT


Marketing

Advertisement

Packaging

Selling

In the olden days there where sellers market in India but now a days the trend has rapidly change the sellers market converted into the buyers market. In the change scenario now marketing has to play an important role by providing a customer complete satisfaction by building value laden relationship with the important customers. The marketing departments have to create more demand for our product. In the other words, we can say each marketing person must think to create new customers and strengthen relationship with the existing customers. It means the marketing people only have to think about customers.

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TYPES OF PRODUCTS
Breadspreads:

Amul Butter Amul Lite Low Fat Breadspread Amul Cooking Butter

Cheese Range:

Amul Pasteurized Processed Cheddar Cheese Amul Processed Cheese Spread Amul Pizza (Mozarella) Cheese Amul Shredded Pizza Cheese Amul Emmental Cheese Amul Gouda Cheese Amul Malai Paneer (cottage cheese) Utterly Delicious Pizza

Mithaee Range (Ethnic sweets):


Amul Shrikhand (Mango, Saffron, Almond Pistachio, Cardamom) Amul Amrakhand Amul Mithaee Gulabjamuns Amul Mithaee Gulabjamun Mix Amul Mithaee Kulfi Mix Avsar Ladoos

UHT Milk Range:


Amul Shakti 3% fat Milk Amul Taaza 1.5% fat Milk Amul Gold 4.5% fat Milk Amul Lite Slim-n-Trim Milk 0% fat milk Amul Shakti Toned Milk Amul Fresh Cream Amul Snowcap Softy Mix

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Pure Ghee:

Amul Pure Ghee Sagar Pure Ghee Amul Cow Ghee

Infant Milk Range:


Amul Infant Milk Formula 1 (0-6 months) Amul Infant Milk Formula 2 ( 6 months above) Amulspray Infant Milk Food

Milk Powders:

Amul Full Cream Milk Powder Amulya Dairy Whitener Sagar Skimmed Milk Powder Sagar Tea and Coffee Whitener

Sweetened Condensed Milk:

Amul Mithaimate Sweetened Condensed Milk

Fresh Milk:

Amul Taaza Toned Milk 3% fat Amul Gold Full Cream Milk 6% fat Amul Shakti Standardised Milk 4.5% fat Amul Slim & Trim Double Toned Milk 1.5% fat Amul Saathi Skimmed Milk 0% fat Amul Cow Milk

Curd Products:

Yogi Sweetened Flavoured Dahi (Dessert) Amul Masti Dahi (fresh curd) Amul Masti Spiced Butter Milk Amul Lassee

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Amul Icecreams:

Royal Treat Range (Butterscotch, Rajbhog, Malai Kulfi) Nut-o-Mania Range (Kaju Draksh, Kesar Pista Royale, Fruit Bonanza, Roasted Almond) Nature's Treat (Alphanso Mango, Fresh Litchi, Shahi Anjir, Fresh Strawberry, Black Currant, Santra Mantra, Fresh Pineapple) Sundae Range (Mango, Black Currant, Sundae Magic, Double Sundae) Assorted Treat (Chocobar, Dollies, Frostik, Ice Candies, Tricone, Chococrunch, Megabite, Cassatta) Utterly Delicious (Vanila, Strawberry, Chocolate, Chocochips, Cake Magic)

Chocolate & Confectionery:


Amul Milk Chocolate Amul Fruit & Nut Chocolate

Brown Beverage:

Nutramul Malted Milk Food

Milk Drink:

Amul Kool Flavoured Milk (Mango, Strawberry, Saffron, Cardamom, Rose, Chocolate) Amul Kool Cafe Amul Kool Koko Amul Kool Millk Shaake (Mango, Strawberry, Badam, Banana)

Health Beverage:

Amul Shakti White Milk Food

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The basic concept of marketing: Touch the heart of the customer to create demand. Note customers needs, pick their choice, Provide product knowledge, assure for food service, ideas, product value.

Customer complete satisfaction

Creating product awareness through Digerent, modes, Advertisement

Exchange & Transaction

Relationship and service network

Develop existing markets

Search new market and Prospects

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Distribution chart
GEMMF made indirect channel for distribution. They take of agents within the country and also for abrod. Agent supply to wholesalers and he supply to retailer and the retailer supply to customers.

PRODUCTION

AGENT

WHOLESALER

RETAILER

CUSTOMER

Advertising
Anand milk union ltd. Is related to Gujarat co-operative milk Marketing federation. they usually selected media like Televion, radio, news paper, picture point on wall an road side etc. Prefer to choose always cross roads for advertising.

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PROMOTIONAL PROGRAMMES:-

August 04, 2009 July 03, 2009 June 27, 2009 June 05, 2009 May 31, 2009 May 29, 2009 February 21, 2009 February 07, 2009 January 08, 2009 December 25, 2008 December 20, 2008 December 05, 2008 November 22, 2008 October 21, 2008 October 11, 2008 October 07, 2008 Sept 20, 2008 August 28,

Visit of Ministerial Delegation from Chhattisgarh Amul & IBM sign IT services agreement to fuel future growth Shri B M Vyas, MD, GCMMF gets prestigious Charotar Ratna Award GCMMF (AMUL) Beats Recession, Achieves, A Turnover Of Rs. 6700 Crores Visit of Ministerial Delegation from Uganda 14th Annual Kaizen Celebration 25th Hoshin Kanri Meeting At Anand Indian Dairy Association (IDA) Honours B. M. Vyas for his Outstanding Role IAS Officer Trainees of the 2008 batch Amuls Christmas Celebration At Second Life 13th Ice Cream Hoshin Kanri Meeting At Anand 4th Amul Milk Hoshin Kanri Meeting At Anand Visit of Students from IIM, Ahmedabad Visit of Dutch Expert Launch of South South Experience Exchange Facility at World Bank, Washington Visit of Tetra Pak Delegation 24th Hoshin Kanri Meeting At Anand Visit of Senior Journalists from the Republic of Kazakhstan

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2008 August 21, 2008 August 15, 2008 July 12, 2008 July 10, 2008 July 08, 2008 June 30, 2008 June 27, 2008 June 26, 2008 June 20, 2008

and the Republic Uzbekistan Visit of Chairman, National Coop. Fed. , Nepal Amul Coops plant more than 70 lakhs trees Visit of Training Officers from Cooperative College of Malaysia, Kuala Lumpur Visit of MD, NCDC, New Delhi Visit of Secretary, AHD & Fisheries, GOI Visit of SBI Managing Director Visit of Mr. Walter Stechel, Consul General, German Consulate General, Mumbai CRISIL AAA and P1+ for GUJARAT COOPERATIVE MILK MARKETING FEDERATION bank facilities Visit of Singapore Indian Chamber of Commerce & Industry Visit of World Bank Team Visit of IFAD Team GCMMF bags Apeda Award for 11th year in a row Visit of African Youth Group

June 18, 2008 June 09, 2008 June 03, 2008 March 29, 2008 March 19, Visit of Board of Directors, Koyana Union 2008 February 23, 23rd Hoshin Kanri Meeting At Anand 2008

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[4] FINANCE DEPARTMENT


The turnover that year march 1, April 2000 was last crore hats the profit was only to 1 crore 3 lucks beaulement of the profit was given back to the people. The difference in price at the during the year at the time of Holi & diwali also 15 % dividend on a have was distribution, Hence in this was numy at Rs. 1.78 given to milk powder & 2.7 prise is an bellow 1.1 price we toa advertisement tant & 5 % electricity expense % 147 is administrative what. Today three is a staff of 1400 people chocolate mint, diary plant & chilling center. Also Amul creating job opportunities for various professionals into dairy technology, micro biologists business administrative computer expert and computer analysis reads insurance agents etc. This is the way the populated country like our process previously in Mumbai city animals were kept the artificial addition but now in khaira the animal were kept in the metal condition & they gets free with clean water. In fact National dairy Development Board (Nddb) started milk production anand patten in all state like keralla A.P. & Tamilnadu etc. Amul dairy is determined to provide better cervices to the farmers and co-operative members and very good incentives. Amul dairy also qualified milk , ghee, butter, cheese etc. to the consumers at a reasonable price.

Amul dairy has been able to strike a prepare and effective balance between the aver increase expenses and competitive revenues without compromising on the quality of the product. It is an important task but a challenging and rewarding one for any manager because this is Amul Dairy.
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33 INITIAL INVESTMENT 22588 23365 27457 28941 29225 37736 42778 52554 67113

2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09

500 500 575 616 672 850 1050 1325 1504

Sales Turnover 1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

Rs (million) 11140 13790 15540 18840 22192 22185 22588 23365 27457 28941 29225 37736

US $ (in million) 355 400 450 455 493 493 500 500 575 616 672 850

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PARTICULARS
Opening stock Raw materials consumed Salaries Power and fuel expenditure Other manufacturing expenses Rent and electricity expenditure Repairs and maintenances Expenditure Marketing Expenditure Postage Telephone Printing and Stationary Donation Cooperative Development Expenses Legal and Professional charge General Expenses Traveling and Conveyance

2005
17951.14 44095.28 2263.58 1563.14 339.93 112.84 582.47 8091.81 288.40 186.36 45.54 222.98 351.70

2006
19295.58 45518.15 2385.18 1396.07 312.31 107.56 582.04 9157.24 300.27 36.00 2136.66 36.04 220.33 366.39

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BALANCE SHEET
PARTICULAR
DEBIT Net purchase Raw materials consumption Research expenditure Processing expenditure Packaging expenditure Power and fuel Salaries Staff P.F and gratuity Repair expenditure Marketing expenditure Printing and phone expenditure Insurance Premium Rent Expenditure Miscellaneous Expenditure Interest and Commission Depreciation Net Profit CREDIT Net Sales Income from Investment Dividend Income Miscellaneous Income 48403.01 376.12 72.47 489.40 46445.48 572.31 71.26 211.23 28630.73 8001.18 418.71 139.79 3021.22 2318.32 1260.15 268.54 342.75 30.44 26.39 18.11 7.83 22.24 1645.97 1349.38 145.74 28662.05 8990.68 350.71 124.73 2995.23 2339.90 1325.27 269.69 336.26 25.96 26.17 20.17 7.84 32.10 1445.95 1336.59 196.20

2004 - 2005

2005 2006

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CHANGE MANAGEMENT OF GCMMF

In 1991, the previously protected Indian economy first became exposed to the 'winds of liberalisation' when the government opened up the sector to global competition. The Government of India passed the Milk and Milk Products Order (MMPO) in 1992, whereby the milk collection sheds allotted to different co-operative unions were protected from the entry of new enterprises, which otherwise would have competed for the procurement of milk from the milk sheds. With the liberalised import regime and reduced import duties on most food and dairy products, it became clear that it was necessary to deal with the upcoming competition. The co-operatives needed to change in speed and direction. The existing set up of governance needed a complete shift of paradigm. The impending challenge necessitated the organisations to anticipate change and be prepared for it by bringing about change in the way they worked and thought. The competition would force all to be customer focused and to plan for innovation and continuous improvements in the quality of all aspectsproducts, service, processes and systems. It was at about this time in GCMMF that 'change management' was considered to bring about improvements in the existing management systems with quality as the cutting edge (Figure 1). It was also decided that all the links on the production and marketing side had to be involved in the process of change management, to make it a real and a complete success (Table 1).

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37 GCMMF = Gujarat Co-operative MUs = Member Unions; VCs Figure 1. Scope of change management. Milk = Marketing Village Federation; Co-operatives.

Table 1. Summary of change management initiatives implemented for the various links of the chain. Distributor

GCMMF

Member unions

Village co-operatives

Vision mission workshop Amul Yatra Amul quality circle

Vision 2005 Introspection on values Identification of strategic thrust areas Strategy deployment (Hoshin Kanri) Kaizen movement Housekeeping Small group activity (SGA) International training programmes on change management Transformational leadership Internal consultant development ISO (International Organization for Standardization) certification

Vision mission workshop Identification of strategic thrust areas Strategy deployment Kaizen Housekeeping Small group activities ISO and HACCP (hazard analysis critical control point) certification International training programme on change management Internal consultant development

Housekeeping Village self leadership development programme Women's leadership development programme ISO certification

The two areas, which need special attention, are that of 'customer focus' and 'quality orientation'. These areas will be the foundation stones for providing a competitive edge to small-scale producers' co-operative organisations. With the competition intensifying and the consumer becoming more demanding than ever before, it is imperative that such organisations remain very close to the consumer; the consumer needs to be central to all decisions. Furthermore, with the increasing level of consumer education and the potential issue of non-tariff barriers looming large over prospective exports to other countries, organisations must keep up with the pace of technology, upgrading to attain higher levels of quality delivery. To cope with the impending changes and to outperform the competition, the institutional structure created so far, now needs to abide by a new set of paradigms, acting sooner and faster, with focus on customer and quality. Only this can ensure stable and consistent returns to the milk producers who depend on these economic activities as tools for their social development.

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CONCLUSION

After studying the details about the marketing strategies & behaviors of Amul, We can conclude the following:

Quality is the main point of concentrated for Amul. They wanted to give their customer the best quality good at a cheaper rate, which give the customer satisfactory.

They want to make Amul as the biggest supplier of the fabrics with good quality. They dont concentrate more efforts to the brands either it is lee, flying machine or any other brand they put more effort on fabrics made. They don't concentrate advertising. They think that if they customers are satisfied they will come & buy the commodity by them selves. They believe in long lasting relation. They believe customers are God.

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BIBLIOGRAPHY

Kottler Philip, marketing management, Singapore, person education ltd, 2004, 800 pp. Bhuoon Y.K. fundamental of business organization and management, New Delhi, Sultan and Sons educational publishers, 1994, 625 pp. PRASAD L.M., Principle and practice of management, delhi sultan and sons education press, 1997, 730 P.P. ARTICLES Kurian V. Ahat, the future hold, Amul Annual report Gujarat Anand press 2003-2004. Singhania, Aditya Competitors in Diary market first Globle

WEB-SITE:www.amul.com www.google.com

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