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1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. Introduction to Indian dairies with its general review Introduction of Saras dairy Establishment formation & Management of Co-operative societies Aims & Objects Organization structure Organization set up of Saras dairy Introduction to marketing Marketing Saras dairy Market share of Milk products Types of Saras milk products Task Daily schedule Main Task & Targets Strategy Problems/constructions/Limitations Learning In The Executive Training Research Analysis along with pie chart, key finding & suggestions Analysis of survey My observation of Saras Dairy Recommendations Conclusions Questionnaire Bibliography


Lot of Indian people start day with tea and milk. Milk is an essential factor of our daily life. In India milk business is very old. Dairy business adopt modern concept in 197 with the help of National Dairy Develop Board through Operation Flood Plan. In first section of this plan, selected ten states ,In which Mother Dairy was setup in Delhi, Mumbai, Chennai and Kolkata Our country is on first position in production of milk. But in filed per capita availability of milk is almost 900 gm while in INDIA it is almost 200 gm. The ideal average per capita availability of milk should be least 250gm.

Indian Dairy emerging as sunrise industry and contributes significantly in generating small and marginal farmers of rural INDIA, besides providing food security INDIA is blessed with huge bovine population of 196 million cattle and 80 million buffaloes accounting for 51% if Asia and 19% of world bovine populationthe largest in the World. Milk production in INDIA has increased from 20 MILLON tones to during 1970 TO 77 million in 1999 which accounts for 20% of the world`s milk production and stood first in the world`s milk production and registering growth rate of 5% per year. Indias dairy industry generates an annual business of nearly Rs 88,000 Crore Dairy sector provides regular employment to 9.8 million people principal status and 8.6 million people in subsidiary status, which together constitute 5 percent of total work force Dairy development owes much to the Anand pattern of Co-operative The Dairy infrastructure now comprises 25 states federation 170 district milk unions and around 1,00,00 village cooperative societies, through which

rural milk production and procurement system have been effectively linked to urban markets consumption centers. Operation flood brought milk revolution in the country by transforming dairying into a core economic activity. The main challenge before Indian dairy sector improving quality, developing international accepted products and stepping up global marketing strategy. The future of Indian Dairy industry is promising since its de-licensing in 1992. The interest of multinational and Indian corporate in the industry has been growing, and the industrys growth potential is high as there is sufficient domestic demand and good scope for exports of milk products. India is emerging as one of the largest and fastest growing consumers market in the world with high income elasticity of demand of dairy products. Indian dairying is energy efficient labor incentive and ecological sound. Over 80% of milk sold in urban and semi urban areas is non-pasteurized from unorganized sector. THE overall market for liquid milk is growing 4 percent per annum.


The Feeder Balancing Dairy Jodhpur is located on the out skirts of Jodhpur city in Heavy Industrial Area. A uniform piece of 25 acres of land has got road on its front side two sides of this piece of land are free and at the back long way away is Central Arid Zone. Paschimi RajasthanDugadh Utpadak Sahakari Sangh, (Jodhpur PRDUSS) was established in the year 1972, under the Operation Flood Programmed finds from D.P.A.P. were utilized for the construction of plant at Jodhpur, and later on the establish various chilling centers. Initially five districts of Jodhpur, Pali, Jaislmer, Barmer and Nagore were included under PRDUSS. But Pali was hived off later and was made into an independent union. Under Jodhpur Union the production of milk is one lack per day while consumption of milk is 73 thousand liters per day. The excess of milk (60 thousand liters) is send to the central dairy Delhi and Gujarat. At present 485 cooperative societies and 347- milk collection canter are functioning where average production of milk is one lack thirty three thousand liters coming in Jodhpur dairy through 53,198 milk productions. Through increase milk production can fight with famine. Man district of Marwar faces with famine in every year but through increase in milk production they do earn money and get relief from famine. There is only source of earning money is selling of milk to DCS. They get payment in cash or bank account after days. According to dairy officers whenever falling famine in western Rajasthan, in dairy collection of mill increase. During the famine in Barmer and Jaisalmer district the collection of milk is increase 45,000 liter. In the last year, December the total collection of milk was 72,000 liter while this year it is reached 1, 17000 liter. Dairy provides animal food at cheap rate for maximum production of milk. In Barmer and Jaislmer village almost 24 bulk cooler through this the problem of farmer is eliminate. Whenever dairy vehicles reach late, milk keep in these bulk cooler. In the year November, 2005 after setup new milk centre at Bilara, the collection of milk was between 30 to 40 thousand liters.


In its scheme of functioning, milk cooperative societies were organized in the village so as to provide and assured market to milk producers and also ensure equitable return to the farmers by eliminating middleman. A feeder balancing dairy of 1 lac liters per day capacity at Jodhpur and 4 milk chilling centers of 10,000 liter/day capacity each at pokarn, pali, Balotra and Merta city have been established. All these plants were commissioned during 1974-76. The capacity of the main dairy is being expanded to 1.5 lac liters and capacity of existing chilling centers is being doubled. Looking to the potentiality in the Western area the Govt. has sanctioned the construction of additional chilling centers at Barmer, Nagour and Phalodi. In the initial phases, the sangh started its functioning with only 13 societies through two milk collection routes in 1973-74. Total collection of milk in the beginning of the Sangh was only 3,500 liters per day. The milk was being chilled at private Ice Factory at time. The main dairy plant stared its function of 1 November, 1975. At present Sangh is collecting working about 68,000 liter milk per day through 299 milk co-operative societies. In the coming flush season it is hoped that it will reach one lack liter per day.


Co-operative means mutual working. In simple words it is an organization of weaker section to face exploitation of irch persons. In other words co-operative form of organization is an association of persons where by people of ordinary means unit voluntarily to protect their economic and social interests. Thus it is protective mean adopted b such persons. It is based on principal Each for all and all for each

Formation & Management of Co-Operative Societies

Co-operative Societies can be formed and registered under the India Co-operative Act. The following conditions are essential for of the society. 1. There must be at least minimum ten members. 2. Every member should be adult or major. 3. The members should be resident of that village or the city, where society is setup. 4. All documents of co-operative societies should be submitted to the registrar of co-operative society The Management of co-operative societies is based on democratic Aspect. Registrar of co-operative societies departments checks the accounts of society. All the members of the co-operative society elect a working committee that looks after the work of the society. No remuneration or salary is paid by the cooperative society to its members.


The scheme aims to achieve the following objects: To Improve the Social & Financial Status of Milk Producers. To organizing dairy co-operative societies & Producers Marketable surplus milk. To provides remunerative price to milk producers at the door step. To undertake milk production enhancement activities by promoting breeding / feeding and hygienic milk production practices. To undertake training and awareness programmed against milk producers. Market quality processed milk and milk products to the consumers. Development of Co-operative milk procurement system in the rural areas covered under the milk collection routes of the scheme in order to provide raw milk a channel which is more remunerative than the tradition channel of conversion of surplus milk into un-economic ghee. Establishment of milk processing-cum-manufacturing plant for supplying pasteurized milk primarily to Jodhpur City.


Organization is the structure framework of duties and responsibilities required of personal in performing various within the company. It is essentially a blue-print

for action resulting in a mechanism for carrying out function to achieve the goals setup by the company. An organization structure shows the authority and responsibility relationship between various position in the organization and also clarifies who reports to whom. It is a set of planned relationship between groups of related functions and between physical factors. And personnel required for the achievement of organizational goals. The organizational structure is generally shown on organization chart. It represent authority relationship between various position in the organization by showing who reports to who me. It is a set of planned relationships between groups of related junctions and between physical factors and personnel required for the achievement of organizational goals. An organizational chart is a diagrammatical form which shows important aspects of an organization including the major function and their respective relationship. It is graphic portrayal of position in the enterprise and of the formal line of accountability among them. It provides a bird eye-view of the relationship between different departments or division of an enterprise as well as the relationship between the executives and the subordinates at various levels. An organization cannot work cutting a detents structure. The first step in designing the structure of an organization is to insetting and group the activities involved, whichs expressed as departmentation, because of the intimate connection between the felonry over time and cost accounts it is necessary into which the factories are usually divided the manner in which they are linked and way in which they are managed. In Paschimi Rajasthan Dugh Utpadak Sahakari Sangh Ltd. The overall management of these cones is under the control of the managing director Mr.R.K. Sangwa. The organization structure chart of this concern is given as under.

Managing Director---

The managing Director (M.D.) is the key person of the company he gives all the information to direction of tech, Darnel of administration and directors of works.

Purchases Officer--Purchase officer is in charge of purchase section who is assisted b two assistants. They collect information regarding price movement in different markets for each important markets they have appointed a buying agent who is authorized in advance to intake the purchase as and whom profited and to supply regularly to profitable and to supply regularly to the factor on the prevailing terms.

Sales manager---Sales manager are lineage of sales section of marketing and discharge his duties with the help other assistant sales manager, two salesmen. Their work to pass the finished products in the markets.

Store In Charge---Stores in charge gives the information to purchase and sales section as regards to how man quantity of raw material (raw milk) is lying in balance in stores and how many quantities of finished goods (milk & milk products) are in stores.

Personnel Manager--He is the in charge of personnel department, who is maintaining the records about costing, financial, and also assets and liabilities.

Account officerAccounts officer is the head of the account department, who is maintain the records about costing financial and assets and liabilities


Marketing Department
According to Peter Drucker, The aim of marketing is to make selling superfluous.

Marketing department is one the most important department in every organization. The marketing activities of the organization include providing support to the milk unions within and outside the state. The marketing department conducts various surveys to know the needs and expectations of the customers.

Marketing department is responsible for the sale of liquid milk. It decides the routes by which the milk is supplied as well as decides the number of booths in district and up country. It also appoints distributors for supply of milk from dairy plant to different areas of district and up country market., Jodhpur is also marketing various fresh milk products in Saras brand like chhach, lassi, paneer, shrikhand, dahi and long life products such as ghee, skim milk powder and whole milk powder. Various sales promotion techniques are used by marketing department to increase the sale of Saras products like

It mainly includes the management related with:-

a.)Sales and Marketing b.))Advertisement Hoardings Glow sign board Gift hampers Banners Advertisement through local cable Wall paintings

c.) Cost Fixation d) Distribution of Product

It also cares: e.) Production and distribution based on consumer needs f.) Transportation Management g.) Import Export management h.) Packaging i.) Sales Expansion etc. j) Incentive schemes to dealers k.) Consultancy and hiring of marketing agency

Human Resource Department

Human resource is the most valuable asset for any organization. A human resource manager is responsible to build up an effective workforce, handle the expectations of the employees and make sure that they perform at their best. In management human resource management deals with people. Each and every organization consists of people and an organization has to utilize their services, develop their skills, motivate them, and make sure that they remain committed towards the organization to achieve the goals of the organization.

According to Byars and Rue Human Resource Management encompasses those activities designed to provide for and coordinate the Human resources of an Organization.

The human resource department manages the personnel serving the organization. The Human Resource Department performs the following functions:

Creation of posts and appointments. Verification of character and antecedents Pay of appointment Commencement of service Probation of appointments Certificate of health Record of age Consequence of particulars being false or suppressed Relinquishment of services by employees and discharge of probationers Termination of service of confirmed employee Superannuating and retirement Option to retire in certain cases

Requirement of medical examination Retirement on medical grounds Date of retirement Privilege leave on retirement and encashment Postponement of retirement pending disciplinary action Voluntary retirement Abandoning duty after period of leave or otherwise Appointment of experts Scale of pay Calculation of joining time Overstay after joining time Deputation of employees Special appointments Entry, exits and search Identification, attendance and entry Provident fund Gratuity Leave Tours and traveling allowances Transfers Conveyance facilities Service record Recall from leave Shift working

Operations Department

The operations department defines the working of the organization. Processes: The steps for preparation of various products are as follows: Process of making Ghee Pasteurizer

Cream Separator (To separate cream from milk)

Cream Tank (To collect the cream)

Butter Churn (Where the cream is churned to make butter)

Melting Vat (The butter is melted in Melting Vat)

Ghee Kettle (The melted butter boils in ghee kettle)

(This ghee is collected and stored in settling tank)

Packing Department (Where the ghee is packed in 1 liter and liter packs)

Plain Chhach:
This is pasteurized milk which contains 3.1% fat and 8.6% SNF and acidity 1.08%. This milk is boiled at 40 degree celcius and 3% curd is added. It is diluted by 40% DTM. This is packed in 500 ml packets and supplied to the market for sale.

Namkeen Chhach:
In plain chhach various ingredients like 0.6% salt, 0.3% jeera, 0.15% rock salt and 0.1% pepper is added to make namkeen chhach and packed in 200 ml packets and supplied to the market for sale.

In plain chhach 12% sugar is added to make lassi and packed in 200 ml packets and supplied to the market for sale.

Paneer Segment:

Milk from SILO

Paneer Vat (In this Vat the milk contains FAT 5.0% and SNF 9.0%.) The milk boils in paneer vat at 80 degree celcius and 2% citric acid is added in this milk to separate FAT, SNF and water

Paneer Hook (Then curded milk is pressed in paneer hooks for 45 minutes, then this paneer is put into chilled water at 5 degree celcius)

Packaging Department (Here the paneer is packed in 1 KG and 200 gm for sale)


Saras Dairy, Jodhpur (PRDUSS Ltd., Jodhpur) provided the following facilities during operations:-

1) 2) 3) 4) 5) 6)

Safety for workers Medical facility First aid facility State of the art technology is used Insurance cover for workers Fire extinguishers are installed in the plant

Finance Department

Financial Management is defined as making available the required funds at an acceptable cost and making sure that the funds are suitably invested according to the plan. This task is performed by the Finance Manager of the organization.

Capital Structure Theories

The two sources of long term finance for a firm are

1) Equity Capital: - Equity capital is the owners own capital invested in the business. 2) Debt Capital: - Debt capital is the capital raised from other sources which is invested in business. Arrange finances through loans from ICICI and HDFC. Final accounts are maintained yearly.

Daily transactions are maintained in one day business. Budget is prepared by the Accounts Department.

Financial Ratio Analysis

Ratio analysis is a widely used tool of financial analysis. It can be used to compare the risk and return relationship of a firm of different sizes. It is defined as the systematic use of ratio to interpret the financial statements so that the strengths and weaknesses of a firm as well as its historical performance and current financial condition can be determined. The term ratio refers to the numerical or quantitative relationship between two items/variables. Ratio analysis is a systematic use of ratios to interpret the performance and status of the firm.

Current ratio: This ratio reveals the relationship between current assets and
current liabilities. Current ratio = current assets / current liabilities

Quick ratio/ acid test ratio: The acid test ratio is the ratio between quick
current assets and current liabilities and is calculated by dividing the quick assets by the current liabilities. Quick ratio = Quick assets / current liabilities


Organization is mainly based on three-tier system.

1. Rajasthan co-operative Dairy Federation (R.C.D.F.) 2. Paschimi Rajasthan Dugdh tpadak Sahakari Sangh Ltd.(PRIDUSS Ltd.) 3. Primary Dairy or Co-operative Society.
1.) Rajasthan Co-operative Dairy federation (R.C.D.F.) is a registered cooperative body. This milk plant is not managed by the Government but is direct under the federation. The authority has been delegated equally to the entire member & technical person can give the technical suggestion to the higher authority. 2.) Paschimi Rajasthan Dugdh Utpadak Sahakari Sangh Ltd. (PRDUSS Ltd.)is at present collecting milk through primary samities in districts jodhpur, Barmer, Nagore and Jaisalmer. The samities of rest of the district give their milk to repective chilling centers at: Barmer, balotra, Nagore, Merta, and pokaran & phalodi. 3.) Primar Dairy or Co-operative Society at village level: a) Total registered co-operative societies 732 b) Active Societies ---342 c) Milk Collection Centers 249

There are mainly 7 section as departments in the organization as shown in the organization structure like :1. Farmer Organization 2. Purchases Section

3. 4. 5. 6. 7.

Production Section Quality Control Section Finance Section Marketing Section Personnel & Administration Section



06:00 A.M. to 02:00 P.M. 02:00 P.M. to 10:00 P.M. 10:00 P.M. to 06:00 P.M.

And rest work in Administration shift i.e. 10:00 A.M. to 5:00 P.M.

In the previous one decade. We have taken some efforts particularly in the management of milk and products. Particularly the saras has brought a

revolutionary change in the management of milk. The skimmed milk powder, pannier in attractive packagers have received positive responses not only in the domestic market but also in the overseas market. However we need qualitativecum-quantitative improvements on almost all the forms. In the respect the key managerial decision areas are the following:-

Farming the product mix Structuring the distribution channel Managing the pricing Designing the promotion mix?

1). Farming product mix : we have to follow the following important

managerial decision areas in the product mix of milk are as:

a) Selection of cows or the she buffaloes: in the product mix of

milk the vital managerial decision area to select the particular quality of cows or the she buffaloes, which providing milk in the large quantity

b) breeding to improve the quality : for this, the producers

should also consider the climatic condition and the quality of water and fodder available. The anchor found at nearly place

c) Yield of milk: to bring an improvement in the milk supply it is

essential that multi-faceted arrangement are made e.g., high quality fodder healthy water adequate med-care and so on.

D )seasonal variation in production: this variation is mainly

affected by the incidence or calving or milk animals during different month of the year.

2)Farming/ Structuring Distribution Channel:

To be more specific the distribution of milk needs efficient personal and fast transportation. Establish of co-operative nearer to milk production centers where facilities should be scientific and adequate. No communication gap between the milk production centers and the milk consumption centre. The functionaries viz., producers, wholesalers and retailers, should have a co-ordination.

3) managing the pricing strategies : The general law of demand and

supply is applicable. As and when the supply is higher the price is lower and viceversa. In the pricing management of milk the following points deserve: The intermediaries between the producer and consumer (collector and distributor) should accept reasonable margin. There should be gradation of milk and price for different categories should be fixed accordingly. The regulatory support exercised by the government would make the pricing strategies rational.

4).-- Designing the promotion mix : The advertisements Saras in almost all
leading journals newspapers and magazines. In addition the Saras Dairy also displays their advertisement through radios, TVs and other devices. It would be important to mention that formation of co-operative or dairy farming would be essential also with the viewpoint of bearing the promotion expenses. Of late, the milk products like skimmed milk, condensed milk and cheese etc. offer gifts, offprice and premium facilities so as to attract the prospects and benefit the functionaries. Meanwhile honorable chief minister of Rajasthan is brand ambassador of Saras brand.


Farmers organization section collects milk from local village twice a day. It gives free facilities to the milk collection samities such as: a) Minerals b) Medicines c) Training related with milk collection d) Training related with milk testing e) Training related with Animal husbandry f) Training related with Accounting work maintains It has 6 dairy supervisors including two lady supervisors.


It consists the work related with purchase of raw material and other things related with the organization. It invite tender for purchasing raw materials etc. Tender should be obtained by different ways like:a) Open Tender --- By Advertisement in Newspaper have large circulation. b) Limited Tender --- By direct invitation to limited members of firms. c) Eligible Tender for proprietary purchase By limitation to one firm only. It also includes the purchase related with:a) b) c) d) e) f) Equipment and spare parts Specialized laboratory equipment Laboratory Chemicals, Glass ware. Urgency of the requirements Packaging Material Medicine etc.

It controls production of the plant to purchase latest techniques and equipments & control the misuse of product & handle the capacity of the plant.

It mainly balances the standard level of milk according to the consumers. And it also produces various products of the milk like Cream, Ghee, Cheese, Lessie, Shrikhand, Butter, Chhach and milk with various fat levels etc.


It controls quality of milk and other products according to the society levels and desire of the consumers. It include mainly:a) Testing of milk b) Canes unloading, Grading c) Test of Adulteration of milk Sugar, Salt, Urea, Starch, Water, preservatives etc. should not be taken to the plant. d) Testing of Fat and S.N.F. e) Testing of Acidity of milk f) Sanitation of milk


Till very recently, the marketing department was the most neglected. It was only after it was realized that the profits came from city sales, the union started paying attention to this most essential activityThe city sample at jodhpur has increased to nearly 90,000 LPD (june,2009) and has shown a steady growth over the last two years. Toned milk is the only type of milk processed. The dairy also manufactures other fresh products, but the production is order based and is has a very insubstantial contribution towards the total sales of the dairy.


The dairy has appointed retailers (booth agents) throughout the city who sell milk. There are 330 agents in the city and these have been distributed over ten different routes. The dairy has provided tin booth to some of the agents while some of them have been provided with parlors. Currently 26 parlors are opened by the union. A break up of types off booth agents is provided in the graph.

The dairy has to spend Rs. 20lacs on transportation for transfer of milk from one place to another

Road Side Agents Dholwala Shopes Parlours

Types of Agents of SARAS (Retailers)

As we see from the figure, more than half of the agents are roadside retailers. Both the shops and parlors are stoned structures the differences being that former are managed by the dairy staff. In jodhpur city the numbers of booth falling under each route are as follows:


1 2 3 4 5 6 7 8 9 10

20 45 50 65 80 65 60 75 60 15

Routes of Liquid Market In Jodhpur

Route 01
Pal road, Shankar Nagar, Subhash colony, Pal gao (20Booth)

Saradpura, Jalori gate, Kabutaron ka chowk, Navchokiya, Chandpole, Mawdiyo ki ghati, Bakramandi (45 Booth)

Mahatama Gandhi hospital, Railway station, Sojati gate, Bari, Old
stadium, Ghantaghar, Ummed Chowk. Bagar Chowk, Nagori gate, Killa road, MEDTIA gate. (50 booth)

Masuriya, Sharmik colony, Baldev Nagar, CHB Suthla Chopasni gao Chokha. (65booth)

Isai ka kabristan, Bhagat ki kothi, Madhuban colony, Jhalamand choraha, Saraswati Nagar, Kuri bhagtasni, Sangariya road.(80booth)

12th Road, Akhaliya choraha, Pratap Nagar. KNN, Sangariya road Kuri bhagtasni, (80Booths)

UITPWDchoraha Central school(Airforce area) Gold course scheme Airforce area Ratanada Shikargadh Mohanpura Ajit colony(60booths)

Rai ka bagh Partvi pura BJS Banar Vidhayia Nagar Mahamandir Shakti Nagar Bhadasiya Maderna colony.(75booths)

PaotaMandore road Basni Nagori bera Lal sagar Magra punjala ChainpuraLaw collage(60booths)

ITI choraha, Shastri Nagar, Jaljog choraha Regidency road, Rotary circle and near, (15booths) The morning supply starts at 3.00 a.m. and last point by 5.30 a.m., while the afternoon supply starts by 4 p.m.


Supply to the ASC centers from a substantial part of the total sales of the union. Rate of the ASC supply is decides at pune. This process is done through tender. Rajasthan Co-operative Dairy Federation Limited of Jaipur fills tender. The jodhpur union is catering to four ASC centers at present. They are jodhpur, jaisalmer, jessai and Pokaran. The contract is made through RCDF and rates at which supply is decided keeping in mind the prevailing market price at that time. The army pays the transportation cost or as is the case with pokaran ASC the army vehicle comes to collect the milk from the chilling centre. The details for supply are given in the table below:

ASC CENTER Jodhpur Jaisalmer Jessai Pokaran

Army supply details

SUPPLY FROM Jodhpur Pokaran Barmer Pokaran

AVE.SUPPLY(LPD)approx 5500 1000 900 500

From the chilling centers of pokaran and Barmer milk is supplied to ASC centers at jaisalmer and jessai respectively. Barmer center has started city supply since april 1997. Milk from pokaran is supplied in sealed cans to ASC, jaisalmer, while the other two centers (Barmer and jodhpur) supply packed milk to the ASC.


Every booth has been allotted number, same as the booth registration number, in the jodhpur credit and co-operative Bank(JCCB). By 2 p.m ever

day, the booth agent has to deposit the full amount for the quantity of milk he indents for the next day. The total indent list of the booths of all different r routs reaches the dairy by 3p.m and accordingly the production department is given the target for the next day. However in the new indenting policy the transporter collects the indent for the next day and the money when he returns to the booths to collect the carats.


The commission to a both agent is ninety paisa per liter of milk sold. This commission gets accounted on a monthly basis and is then deposited in the agents account in the jodhpur Credit Co-operative Bank. There are no other incentive schemes for the agents at present. Subject to Commission & Incentive Commission Rate on Milk Sale Incentive Electricity Expenses Total Commission Rs./liter 0.60 0.15 0.15 0.90

(Commission of a both agent)


Milk from the DCS is collected and brought to the six chilling at Balotra, Barmer, Phalodi, Pokaran, Merta city and Naguar as well as directly to the plant at jodhpur. From these chilling centers, milk is brought to the plant at jodhpur by milk tankers. From a mere thirty-eight Dairy Co-operative Societies (DCS) at the village level in 1974, the union has been able to establish and organize 782 DCS, out of which 375 are functional as in 2003-04. The total memberships of all these DCS stand at 51797. There has been a remarkable increase in procurement during the Ist five years, from an average of 39987 LPD in 1999-2000 to 63293 LPD in 2003-04, an increase of 58 percent.

The table given below provides chilling centers wise procurement details of the milk procured. The average fat percentage in the milk procured by the union is 4.5%, the average SNF percentage being 8.5% the average SNF content was below 8.3% about six month ago and the union has to mix milk powder(SMP) in order to bring the level of SNFG up to 8.5%. however due to strict steps taken thereafter the SNF content has gone up now. According to the PFA (prevention of food act) standards minimum percentage of fat and SNF should be 3% & 8.5% respectively. The collection of milk is contracted to transporters. The average transportation costs for the various chilling centers are providing in the Table.

Procurement of milk Chilling Average

No. of Average


plant Pokaran Phalodi Balotra Barmer Merta Nagore Bilara Direct to plant

procurement 7419 7448 13803 15993 7083 1927 26669 11290

routes 4 11 7 18 4 4 4 10

Fat & SNF 5.0% 8.5 4.0% 8.4 4.1% 8.6 5.0% 8.6 4.3% 8.6 5.0% 8.4 5.0% 8.9 4.5% 8.5

cost 0.55 1.04 052 0.79 0.72 2.38 0.10 0.82

(Chilling Centre wise procurements details) The payments to the DCS is done every week PRDUSS pays the maximum procurement price to its procurement price to its producer vis--vis oher dairies of the state, though recently have been lowered.

MONTH WISE PROCUREMENT OF MILK PER DAY Year 02-03 03-04 04-05 05-06


April 41.8 54.5 74.9 May 45.0 49.2 68.3 June 38.9 46.8 70.4 July 31.5 47.3 74.7 August 35.8 44.3 75.8 September 34.9 45.1 84.9 October 29.5 48.1 56.6 November 37.3 53.1 54.8 Decemeber 48.8 73.8 100.7 january 59.6 86.2 100.9 Febuary 63.4 88.8 109.8 March 60.4 80.5 95.5 (Month wise procurement of milk per day)

89.6 61.8 54.3 62.2 58.4 49.1 44.5 58.3 72.3 74.9 73.9 68.0

98.3 67.1 69.8 78.5 77.9 88.7 63.9 62.9 102.4 114.3 112.4 99.8


97-98 98-99 99-00 00-01 01-02 02-03 03-04 04-05 05-06 06-07

33.1 41.1 44.0 43.2 40.0 43.9 59.11 86.31 63.29 86.33

18.0 19.2 28.2 37.2 44.05 54.09 60.23 72.07 72.1 95.34



Liquid Milk Ghee Curd & Cream Paneer etc. Other

Milk products of Saras dairy, Jodhpur

Types of milk

Rs.21/lite Rs.20/lite r Rs.18/lite r

Fresh Milk Products of Saras dairy, Jodhpur

Rs.6 Rs.5

Rs 27 and Rs.125 Rs. 110 and Rs. 220 Rs.8 Rs.9 Rs.10

Double Toned Milk

Composition: Fat %(Min.)-1.5 SNF %( Min.)-9.0 Pack Size-1/2 & 1 liter, 5 liter Self-Life/best before; 2 days from the date of packing when stored below 8C PRICE- Rs-19.00(liter), Rs 9.50(500ml), 95(5 liter)

Toned Milk
Composition: Fat %(Min.)-3.0 SNF %( Min.)-8.5 Pack Size-1/2 & 1 liter, 5 liter Self-Life/best before; 2 days from the date of packing when stored below 8C PRICE- Rs-21.00(liter), Rs 10.50(500ml), 105(5 liter)

Standard Milk
Composition: Fat %(Min.)-4.5 SNF %( Min.)- 8.5 Pack Size-500ml& 1 liter Self-Life/best before; 2 days from the date of packing when stored below 8C PRICE- Rs-23.00(liter), Rs 11.50(500ml)

Composition: Fat %(Min.)-3.0 SNF %( Min.)-8.5 Pack Size1 liter Self-Life/best before; 120 days from the date of packing when stored below 8C PRICE- Rs-32.00(liter),

Composition: Fat %(Min.)-3.0 SNF %( Min.)-8.5 Pack Size:- 200gm Self-Life/best before; 120 days from the date of packing when stored below 8C PRICE- Rs-8.00(2gm)

Composition: Fat % 50 on dry matters Moisture%( Max.)-60 Pack Size:- 200gm PRICE- Rs-125(1kg), 25(20gm) Self-Life/best before; 15 days from the date of packing when stored below 8C

Composition: Fat %(Min.)-2.0 Acidity% (Max): 0.45 Salt: 0.75,T.S.%: 6-7% SNF %( Min.)-8.5 Pack Size-250ML, 500ML, 1 LITERPOUCH Self-Life/best before; 7 days from the date of packing when stored UNDER REFRIGERATION BELOW PRICE- Rs-7.00-500ML


Fat % 12.0+0.5%(Min 10.0% %Protein (Min)) 3.5% %TS (Min) 36.0% Self-Life/best before; 6 month from the date of packing when stored below 20C


Moisture% by Wt. Min 5.0 Fat5 by wt, Min 5.0 Self-Life/best before; 6 month from the date of packing when stored cool and dry place

Composition: Moisture%(Max) 0.3 FFA%(MAX) 0.3 Meets Agmark Standards. Pack Size 1liter polypack in duplex board carton 5 liter in tin Self Life / Best Before 9 month from date of packing for tin, 6 month for poly pack Price Rs 230 per kg

Composition: Fat%(Min) 4 on dry matter basis Moisture%(MAX) 47

Added sales( Max) 2.5 Pack Size 400 gm, in metal cans Self Life / Best Before 12 month from date of packing under refrigeration at 4C.

Composition: Fat%(Min) 2.0 Acidity% (Max) 0.5 Added sugar 8-10% T.S% 16-17% Pack Size 250 ml, poly pack Self Life / Best Before 7 Days from date of packing under refrigeration below 8C. Price Rs 7.00 (250ml)

Composition: Fat%(Min) 80.0 Moisture%(MAX) 16 Salt 2.3+ .02%, Crd% (Max) 1.0 Meets Agmark Standards Pack Size 100 ,g 500gm, Self Life / Best Before 12 month from date of packing under refrigeration below 20C. Prise Rs 87.00 (500gm), 18.00 (100gm)

Composition: Fat%(Min) 1.5 SNF %( Min.)-9.0 Added sugar AND PERMITTED FLAVOURS. Pack Size 200 ml, bottle & Tetra pack Flavouras Elaichi, Coffee, Straw Berry & Chocolate. Self Life / Best Before 3 month from date of packing Price Rs 11.00 each

Composition: Fat% 30 on dry matter basis. Moisture%(Max) 30-35 Pack Size 200 ,g m Self Life / Best Before 20 days from the date of packing when stored below 8C.

1. To conduct a comparative study of the growth of Saras. 2. To conduct survey of Saras parlors and booths to know their problems and short them out. To get feedback from parlors and booths. 3. To get feedback customers and find their problems. Satisfaction level, take their suggestions and help Saras Dairy Jodhpur to implement those suggestions. 4. To take responses from people who do not use Saras products and find answer to the question. Why they are not using Saras Product 5. To judge the satisfaction level of employee of Saras Dairy, Jodhpur. 6. Take part in extra activities for increasing sale.

My tasks at the on job training are to study the working of Saras plant, gather complete information about Saras, conduct market and booth surveys. The daily schedule that I follow to complete this tasks are: Sign in the company office 09:50 AM Make plan for the whole day - between 09:50 AM to 10:15 AM Go to the field conduct market survey and booth survey 10:30 AM to 12:30 PM Lunch time 01:30 PM to 02:30 PM Visit the plant to understand the working of the plant 02:30 PM to 03:30 PM Discuss with my company guide about the task for the next day 03:30 PM to 04:30 PM Submit the daily report to the Assistant Marketing Manager 04:30 PM to 05:00 PM Sign out of the company 05:00 PM


Targets are defined as goal, which has to be fulfilled and sounds compulsiveness. Without setting target it is difficult for anybody to achieve his/her objective.

The targets that are set for me during the training are:1) To make maximum people aware to Saras. 2) To interview 100 homes to know their views and opinions about Saras products. 3) To conduct a comparative study of the growth of Saras (PRDUSS Ltd., JODHPUR) 3) To conduct survey of Saras parlours and booths to know their problems and sort them out. To get feedback from Saras parlours and booths. 4) To get feedback from customers and find their problems, satisfaction level, take their suggestions and help PRDUSS Ltd., JODHPUR to implement those suggestions. 5) To take responses from people who do not use Saras products and find the answer to the question, Why they are not using Saras products. 6) To Learning Technique increase the sale of products..

A marketing strategy is a process that can allow an organization to concentrate its (always limited) resources on the greatest opportunities to increase self and achieve a sustainable competitive advantage. A marketing strategy is effective when it is an integral component of corporate strategy, defining how the organization will engage customers, prospects and competitors in the markets Arena for success. It is partially derived from broader corporate strategies, corporate mission, and corporate goals. They should follow from the firms mission statement. They are also influenced by a range of micro environment factors.

A survey research is defined as the method of collecting information by asking a set of pre formulated question in a predetermined sequence in a structured questionnaire to a sample of individuals drawn so as to be representative of a defined population. These questionnaires are administered to an individual or a group of individual through interview. Typical survey objectives involved describing or learning from an ongoing activity by studying the changes in behavioral pattern of the subjects of interest of the researcher.

Method of survey research used by me: Door to Door interview.


Any research in any field topic gives some new results, discovering new areas etc. but there are always some limitations thereof. The limitations that I came across during the course of my training at Saras Dairy, Jodhpur are: The data collected is totally depended on respondents view which could be bias in nature. Sometimes respondents do not give a response or give partial response. It is called non response error. The reason may be lack of knowledge or unwillingness to answer. During the survey I came across unfavorable weather condition like scorching heat and dust storm. There is the limited time available each day and lots of tasks have to complete in a day like preparing a reports conducting surveys. Transfers given by the respondents are not always correct and may be misleading. It is a very time consuming to go Door to Door in order to conduct a survey of various homes and find their views and study their buying behavior. Sometimes it becomes very difficult to convince people as many of them are not at all aware of Saras products and some are very stubborn. It becomes

slightly difficult to convince such people but it is challenging task and a good learning experience. Being trainee, non confidential information about the organization is available. This sometimes becomes a hurdle during the training. In some cases the respondent is not present at home. Sometimes the respondent are not executed, personal interviews are successful only when the respondents are educated.

The limitations that Saras Dairy comes across are: 1) Low availability of raw milk in summers. 2) Dependence on milk producers. 3) Milk can be produced not manufactured. 4) Increasing competition in dairy industry.


Each day is a new learning experience and so was the case during my executive training. Every day I learnt something new during my training. I learnt the following: First and the foremost, I learnt to practically apply the knowledge gained through theory classes and bridge the gap between academic institution and corporate world. Understand the importance of job responsibility. How co-ordination is maintained between different departments like marketing, human resource, administration. Learn the ways to increase milk procurement. Understood the distribution network adopted by Saras Dairy. Understood how the management keeps its employees satisfied and retain them. The marketing strategies adopted by Saras Dairy. Learnt how to conduct Door to Door interviews. Initially I felt slightly uncomfortable conducting the interviews but with time I learnt a lot and became very comfortable conducting Door to Door personal interviews. Learnt how to build a good rapport with a staff.

Q NO (1)- Milk purchased from? purchase
23% 29%

dholwalas 17% milk mandi shopes 31%

Key findings and suggestionstotal milk consumption in jodhpur urban

is approx. 4 lac. Liters. Out of which saras is sharing only 29% market share. So, it is suggested that to increase the market share we should make sound interventions in supply chain management i.e. direct delivery to consumers to grab the share of dholwalas. Strategies against growing share of milk mandi i.e. chowta and local shops must be formulate to gain competitive advantage

Q. NO (2)-Packets preferred?

standard 37% toned 54% gold

Key finding and suggestion- as standard is in commanding position, but

we have to increase the sell of gold, which lays highest margins among all the categories. Gold contains maximum fats and targeting affluent segment of society.

Q.NO- (3) Average quantity purchased per month?

16% 41% 50 ltrs 21% 75 ltrs 100 ltrs 25 ltrs


Key finding and suggestion- most of the consumers and families are
consuming 50 ltrs of milk per month. So it is suggested that we should persuade them to increase the consumption of milk by informing the value and new use of the milk in the dairy life. Consumers, which are purchasing below 50 ltrs per month, should be emphasizing while message is communicated. Advertising is required to them buy more quantity of milk.

Key finding and suggestion-

As we are offering different mix of fats

contents in the packets, so it is quite possible that 37 % people were expecting more then what they have paid in terms of different packets charging differently.

Do you find price set milk packets are reasonable against other milk sources in jodhpur ?

42% YES 58% NO

Key finding and suggestion As competitors pricing purely depends upon

demand and supply of milk during the different seasons of the year. So 42 % people were arguing against the same price all through the year, conveying that they should charge less in winters, when supply of milk is highest and demand is comparatively low. As other sources lower down their prices during winters in absence demand. Pricing strategies can be reformulated to oppose the consumer grievances.


(A) Are you getting the required supply from saras ?

11% No Yes 89%

Key finding and suggestion---Most of the consumers are satisfied with

quantity served, so no more measures required to make changes.

(B) Are you getting the milk timely?


No 65%

Key finding and suggestion Booths located in remote areas of jodhpur

such as mandore and berry are not getting the milk timely, so we have to increase the number of vans to send the milk at desired places within given frame of time.

(C) Do you find saras booth is convenient to approach?


Yes 77%

Key finding and suggestion ---23% people who are facing this problem
will be definitely satisfied in near future with the proposed plan of department to launch 100 new booths in different parts of city.

(D) Do you find milk of saras is fresh and hygienic against the exposed? Milk sold in the market by other sources?
31% No Yes 69%

Key finding and suggestion -- 69% is a per value of satisfaction, but

people finding milk of chouta is fresh brings a negative frame of mind regarding cold milk. So, we have create a health communication regarding our products to erase the image of cold milk from mindsets of those consumers.

(E) Do you find saras booth is clean and well maintained?

45% No 55% 55%

Key finding and suggestion Proper clening and maintenance rules and
regulations are required to the booth holders

Q NO (5) Quality of milk.

(A)Do o find milk fresh?
31% No Yes 69%

Key finding and suggestion same as 4 d

Q NO (6) Home delivery services satisfaction.

(A) Do you want home delivery service ?

Yes No


Key finding and suggestion Future of service industry is home

delivery So it is very crucial to activate home delivery system in our distribution pattern. After implementing the home delivery we can grab most of the share of dholwalws.

(B) Are you satisfied with home delivery service?

39% No 61% Yes

Key finding and suggestion --Service vans and channel of distribution are
not satisfactory, i.e. most of the people are unsatisfied and hence rescheduling of home delivery is required to installed.

(C) Can you submit advance money for home delivery service?

Yes No 79%

Key finding and suggestion --since satisfaction level of consumers

towards home delivery service is not at par. So after increasing sound pattern of home delivery, it will automatically attract the advance payments.

Q NO (7) Do you find packing and labeling safe and attractive?

27% No Yes 73%

Key finding and suggestion --No more interventions are required in

packing and labeling is required, became it is quite safe

(B) Do you find tastier?


No Yes 74%

Key finding and suggestion --Test is a matter of individual specific ness,

so we really require here more interventions in product ingredients

(c)Do you find milk is concentrated and creamy?


Yes No

{B} Market share of Saras in other dairy Products.

(1) GHEE

13% 15% 61% saras Krishna amul other


Key finding and suggestion-- since major competitors are leading due to
low pricing e.g. Krishana and Amul. We have to reformulate the pricing strategy of ghee to gain the overall market competitiveness, As low priced ghee is more preferable along with quality standards. Here others brands are doing well. i.e. exposed local and dalda etc.


7% 17%


saras amul desi other 41%

Key finding and suggestion --Butter product is the most speculative

target for saras. Equipment Amul is having major share. Saras needs advertising exercise and should promote the sales of butter. Repositioning is required in saras butter to persuade the local consumers.

(3) Paeer

3% 22%

Local Shop
saras amul rural supp.



Key finding and suggestion -- saras should not do an exercise in paneer,

because it will be futile due consumer preferences in terms of fresness as they only like to buy fresh made paneer from local shops and wholesalers from rural areas. Saras should emphasize to meet the seasonal demands of paneer during marriage season.

(4) Shrikhand

14% 31% saras amul other 55%

Key finding and suggestion --Shrikhand needs extra promotional efforts,

Amul is famous due to Gujrat pricing also can be re-evaluted because Amul is charging 1Rs per 100gm

(5) Flavored milk Flavored milk

12% saras amul 88%

Key finding and suggestion --Amul is having bigger share due to all india
exposure of broadcasting media, but still Saras can grab a healthy share with local media advertising.

(6) Cold chhanch

Cold chhanch
27% saras 68% 5% amul other

Key finding and suggestion --local cold chhanch suppliers like janta and
poker are selling it heavily during summers. So it is recommended to bring some promotional schemes and provide a healthy supply to local shops, where sales can be increased

(7) Lassie lassie

7% 2% saras amul other 91%

Key finding and suggestion --Consumers grievances such as

concentration and the technical drawbacks of lassi of saras. So such grievances must be redressed promptly. Mostly consumers like to have lassi local vendors, so totally consumer preferences are unfavorable.

(8) Curd

8% 3% saras amul other 89%

Key finding and suggestion --same as to lassi (8) Ice-cream Ice-cream

11% 17% saras vadilal 51% 21% creenbell other

Key finding and suggestion --ice cream is a diverse market as it having

numbers players saras is having low share and ready for repositioning of whole range of ice creams on coming festival of raksha-bandan. Heavy promotional efforts are required to grab the sound position in the mark.


Resarch design is defined as a systematic and objective process of gathering, recording and analyzing data that provides information to guide business decisions. The process of business strategy can be divided into three phases planning, execution and report preparation. The planning phase begins from problem/opportunity identification and leads to selection of the sampling procedure. Data collection and evaluation can be described as the execution phase of the business research process, while report generation can be considered as the last phase. Steps in the research design process

Identifying and Defining Problem/Opportunity


Planning the strategy

Selecting the method of strategy

Selecting a Sampling Procedure


Data Collection

Evaluating the Data


Preparing and Presenting the Report

Marketing research is defined as the formal process of collecting information, analyzing the result, communicate the findings and implementation in terms of marketing actions. Analysis of information is used in evolving some marketing and financial decisions.

The research methodologies used to collect data are of two types:

1) Primary method: In this type of method data is collected with the help of face to face interaction with a person.


Secondary method: It does not involve face to face interaction. In this type of method
data is collected through other sources like internet, books, etc.

In this project I have used both the methodologies to collect the data.

Primary Method:
1) I have used primary method to collect data from various departments of Saras Dairy, Jodhpur(Alwar Zila Dugdh Utpadak Sahakari Sangh Ltd., Alwar) by talking to heads and staff members of each department. 2) Data is also collected by preparing a questionnaire and asking the respondents to fill up the questionnaire. 3) Data is also collected by conducting one to one interviews.

Secondary Method:
1. I have used secondary method to collect some data from the annual accounts of the company Saras Dairy, Alwar (AZDUSS Ltd., Alwar) 2. Data is also collected from the Annual publication of Saras (Magazine)

Research methodology adopted for the study

During my research I have tried to Assess the brand image that the company holds in the minds of the customers. Assess the impact of promotional activities.


Market for Dairy Industry is captive, as people will stop dairy products. In addition, the market for dairy products will keep on increase will the increase of awareness in the people. Increase in adulterated material is showing a new path to the large scale dairy industry. It also gives a huge employment to many unemployed. The main positive point for the Dairy industry is huge turnover and return with low investment. Large scale dairy industry helps in social benefit by taking care the public health by selling fully Quality control products according to the norms of govt. The industry should also keep an eye on the Fake products produced by the company`s name Company should also see that their products are not sold beyond M.R.P. During the last few years the dairy scenario has undergone a diversity change. Due to entry of other competitors, it has become necessary for saras to frame new strategic that enable them to survive and thrive in the long run. The whole concentration has thus shifted to ensure the customer services with maximum satisfaction of the customers. Customer service in dairy sector refers to the satisfaction of need of the customers at the right time as per their requirements. The quality of customer service directly affects customers patronage as these companies are basically sellers of public utility services. Success or failure of these companies therefore, depends on the quality and the range of services offered to the customers. Though the have a lower share in customer deposits, they command a higher share of the net profit. However, they differentiated their operations by focusing on premier customers and set superior standards in productivity, customer service and operating efficiencies by using state of the art technology. Global best practices were introduced and practiced. More importantly, they built durable competencies by attracting the best manpower, building proprietary technology and process and by building strong brand image. This research study has attempted to assess feedback to the gaps. Which are yet to be. This chapter covers exclusively the analysis of survey results.

It was decided to conduct a survey of 100 workers/employees to assess the consumer profile in saras dairy. Random sampling technique was used to pick out a sample of the consumers. A structured questionnaire was used to obtain information about various aspects of the marketing department.

The questionnaire was prepared to bring out the various aspects of Marketing management provided by saras dairy. According, some questions were asked to the respondents. Question wise analysis revealed the following;


was made to know the satisfaction level of respondents. The following information was obtained in response to this question.

S.NO 1 2 3 Level of satisfaction Highly Satisfied Satisfied Unsatisfied Total No. of respondents 30 5 5 40 Percentage (%) 75 12.5 12.5 100

The table reveals that consumers are highly satisfied as 75%. Respondents have said this. There is balance percentage of dissatisfied and less satisfied consumers i.e. only 12.5% have said like this the reason behind this is that there is good relation with the consumers and they are also satisfied with products and benefits provided by the organization

2).FEEDBACK OF SARAS DAIRY --As we know that providing service is

not enough so it become essential for the marketer to know the feedback of the consumer regarding services and products.

Feedback of Saras Dairy S.No 1 2 Attribute Yes No Total No.of respondents 35 5 40 Percentage 87.5 12.5 100

The table reveals that as 87.5% respondents are contacted for taking feedback of saras dairy so it proves that saras dairy believe not only in providing service but in taking feedback from consumers.

3) WORKING ON COMPLAINTS --The listening of complaints from

consumers regarding products are neglected so the marketer should take essential step for solving the problem of consumer.

Working on complaints S.No 1 2 Description Yes No Total No.of respondents 25 15 40 Percentage% 62.5 37.5 100

The analysis that saras dairy is working on the complaints is given by the consumers.

4) PROBLEM REGARDING PRICIING --Price is essential part of

marketing mix.

Problem Regarding Pricing S.No No.Of Percentage% respondents 1 Yes 25 62.5 2 No 15 37.5 Total 40 100 The table that as 37.5% respondents having no problem regarding pricing, and 62.5&% have problem regarding. Thus, his reveals that saras have no control on price. Description

5) PACKAGING OF SARAS PRODUCTS-- Today the packaging of

products have gret impact on the consumers. If the packaging is good then it becomes easier the marketer to sell product.

Packaging of saras products S.No 1 2 Description Yes No Total No.Of respondents 37 3 40 Percentage% 92.5 7.5 100


Now I have completed my 45 days as an intern in Saras Dairy, Jodhpur and during these 45 days as training I carefully observed various aspects of the organization.Here I am presenting my observation and findings using the Constant Sum Scale. I have divided a total of 100 points into various attributes that I observed. The maximum that can be allotted to the factor are 10. The various attributes that I observed and the point I allocated to each observation are presented below in the tabular format:Serial 1 2 3 4 5 6 7 8 9 10 11 12 13 Characteristics of Saras Dairy Variety of milk provided by Saras Dairy Prices are affordable Quality in hygiene Enough range of FMP Round the clock availability Staff is corporative Customer awareness Employee Satisfaction Market reputation Advertisement and Publicity New project and development Channels of marketing Give weightage to suggestions Total Number of Points 9 7 10 8 4 9 8 8 9 5 5 8 10 100

On careful observation of Saras Dairy during the training period I have the following suggestion for Saras Dairy, Jodhpur which on proper implementation may provide a big boost to it. All information regarding Saras Dairy and its products should be available on internet. Increase in advertisement and publicity. Motivation program for booth and parlor owners. Marketing department should be well furnished and attractive. Jodhpur Dairy should give milk products competitive prices and facilities. Glow sign boards should be provided to booth and parlor owners. New product should be launched like ice-cream. To popularize Shrikhand free sample may be distributed at some public place. Inspection and frequent check of booth and parlors. Good co-ordination between marketing department and booth, Parlor owner. New technology should be adopted from national and international Company Experts in the Field.