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PGDM 17-19

Term- III

Calcutta Business School

PROJECT REPORT Rahul Basak, Anirban Bnaerjee, Ankita

Chakrabarti, Gulshan Kaur Bhamrah,
Prosenjit Roy, Harshita Parasrampuria,
Vidushi Bharti

Rural marketing, SHG, Industry visit



Every project big or small is successful largely due to the effort of a number of wonderful
people who have always given their valuable advice or lent a helping hand. I sincerely
appreciate the inspiration; support and guidance of all those people who have been
instrumental in making this project a success.

We would like to express my special thanks of gratitude to our director Dr.Sekhar

Chawdhury and Dean Dr.Tamal Dutta Chawdury for giving us the golden opportunity
to visit Ranchi Simdega, which helped us in doing a lot of Research or Rural Immersion
and we came to know about so many new things I am really thankful to them.

We would also like to thank or acting Principle as well as faculty guide Prof. Suman
Kumar Dawn and Dr.Padmavathy Dhillon for their critical advice and guidance without
which this project would not have been possible. We also are Thankfull to Prof.Sanjeeb
Bajaj for arranging the total tour.

Last but not the least I place a deep sense of gratitude to my family members and my
friends who have been constant source of inspiration during the preparation of this
project work.

Rahul Basak
Anirban Banerjee

Ankita Chakrabarti

Vidushi Bharti

Harshita Parasrampuria

Prosenjit Roy

Gulshan Kaur Bhamrah



Chapter I
Purpose of visit
Benefit of the participants
Overview of the trip
Limitation of the study
Chapter II
Self Help group (SGH)
Osam Dairy
Rural Haat in Ranchi


Chapter I


The Rural Immersion Program is a unique initiative to sensitize emerging business
leaders and entrepreneurs towards various rural development policies and programs.
Our students will also analyze their execution and effectiveness. Through this program,
we will create a squad of inspired leaders with a social and rural orientation, who have
the right character, competence, and enthusiasm to build a better world.

The programme was spread over a week (Feb16 to 24, 2018). Participants were divided
into groups of 4-5 and are sent to districts. Participants visit the specific place of
Ranchi(ex:Panchghag, Simdega,Patrantu).

Each group had to survey according to schedule set by college in six days. A structured
Questionnaire provided by Calcutta Business School, was given to each group and they
had to survey the households, organization and Anganwadi in each GP. They had to vigil
the movements of the Villagers towards Open Defecation and understand the problems
in the system.

The RIP was a once in a lifetime opportunity for the students. It was an immense
learning experience and a best week spent in the hostel as well as Ranchi with friends
and faculty members also.

All the places were located around the mountains which gave the natural beauty of the
nature to the students.There are many exciting places to visit.

We have divided this total trip in 3 parts

1. SHG (Self Help group)

2. Osam Dairy industry visit
3. Rural Hut explore

Purpose of Visit
This programme was organised for 1st year PGDM students of CBS,Kolkata at Ranchi
Simdega. Our objective was to retain the information about self help group of rural area
and know about their life and family.We also supposed to analysis the Rural market and
its culture.

The entire programme is oriented towards ensuring that the participants get a chance
to apply their classroom learnings to a real-time environment. Additionally, the
programme offers the students a chance to explore the rural markets and identify
implementation gaps or business opportunities, which can help fill these gaps.


The programme also sensitizes students towards social issues, which are prevalent in
such societies and learn that the government might not always be wrong and it is
sometimes about getting a different perspective.

Benefits to the participants

Students get a chance to apply their academic learning in a practical context. They
explore the rural markets, understand consumer behavior and identify relevant
business opportunities.

Students gain awareness about social issues in rural areas and an understanding of
opportunities to introduce technological intervention and implement new management

The main aim of this program is to give the students an exposure to the rural areas.
Many participants come from urban background and may not have seen or experienced
a rural area. Through this, they are sensitized towards social issues prevalent in the
region, which broadens their perspective. They get to observe the rural economy,
understand the challenges and opportunities for business, and develop an overall
understanding of the rural society.

Also, the participants get to know the various schemes undertaken by Government in
villages and to study and analyze the execution and effectiveness of these schemes.

The RIP, this year, had specific project structured and designed for some specific
districts in SIMDEGA ,RANCHI in collaboration with Swachh Bharat Abhiyan

Over view of the trip

16th February,2018
We set out for Howrah station from CBS at around 6.00pm. We reached Howrah station
at around 9.15pm and were waiting at the platform for the train to arrive. The train
arrived at around 10.00pm and left station for Ranchi at 10.25pm.
17th February,2018
We reached Ranchi at 7.00 in the morning. After having tea, our bus left for Simdega at
8.30am. We reached Simdega at 3.00pm. Then we had our lunch and went to our rooms.
There were two rooms, one for the boys and another one for the girls. In the evening at
around 6.00pm we went to the local market
18th February,2018


We left for Lachragarh where we had to interact with the self-help groups. We returned
from Lachragarh at 5.00pm and went to the market.
19th February
We left for Nawatoli where we had to interact with another self-help group. We finished
our work and lunch there and left for Ranchi at 5.00pm. We reached Ranchi at 9.30pm.
Then we moved to our respective hotel rooms.
20th February
We explored the local market and went to Nucleus Mall.
21st February
We went to a village in Panchghagh and interacted with some of the tribal people. Then
we went to Panchghagh falls.
22nd February
We went to a dairy plant named OSAM dairy. Then we made a stop at the sunset point at
Patratu Valley. We spent some time at that place and left for Ranchi at 6.00pm. We
reached our hotel, packed our bags for the return journey.
23rd February
We went to the rural haat at around 3.30pm. We explored the market and interacted
with some of the customers and sellers. Then we returned to our hotel and transferred
the bags in the bus. Then we went to have our dinner and left for Ranchi station. We
boarded the train and had a good night’s sleep.
24th February

Limitation of this program.

As we know every tour and program has limitation. In this program Time was a
constraint.In limited time we need to cover the Rural marketing as well as the industry
visit. Environment of Ranchi gave trouble to some of our students. Also the area of
Simdega where we lived at church was not safety.


Chapter II


Self Help Group (SHG)
The Self Help Groups (SHG) initiative was adopted by India several decades ago in order
to alleviate poverty, and improve women’s ability to achieve rights and well-being. At
the beginning, SHG was an initiative undertook by NGOs, but later on, due to its success
in improving live standards and delivering public goods and services, Indian State
engaged in facilitating access to financial resources. Self-help group (SHG) is a village-
based financial intermediary usually composed of between 10-15 local women.
Members make small regular savings contributions over a few months until there is
enough capital in the group to begin lending. Funds may then be lent back to the
members or to others in the village for any purpose. A Self-Help Group (SHG) may be a
registered or unregistered group of micro entrepreneurs having homogenous social and
economic backgrounds; voluntarily coming together to save regular small sums of
money, mutually agreeing to contribute to a common fund and to meet their emergency
needs on the basis of mutual help. The group members use collective wisdom and peer
pressure to ensure proper end-use of credit and timely repayment. This system
eliminates the need for collateral and is closely related to that of solidarity lending,
widely used by microfinance institutions1 . To make the book-keeping simple enough to
be handled by the members, flat interest rates are used for most loan calculations. Self-
help groups are generally started by non-profit organizations (NGOs) that generally
have broad anti-poverty agendas. These groups are seen as instruments for a variety of
goals including empowering women, developing leadership abilities among poor
people, increasing school enrolments, and improving nutrition and the use of birth
control. Financial intermediation is generally seen more as an entry point to these other
goals, rather than as a primary objective2

Historical Evolution of SHGs:

 By the late 1980’s, Myrada, an NGO located in South India, formed around 300
autonomous SHGs known as the Credit Management Groups.

 The National Bank for Agricultural and Rural development (NABARD)1 , found SHG as
an interesting and effective strategy to provide banking services to the so called ‘un-
bankable’ people.

 Between 1991 and 1992, NABARD in consultation with RBI, Commercial Banks (CBs)
and NGOs launched the pilot project of linking the SHGs with Commercial Banks, based
on NABARD guidelines.

 By the late 1990s and early 2000, given its success the government had become a key
promoter of SHGs. Decentralization of power at the Panchayt’s level in 2004 gave local


bodies more teeth and SHGs came to be recognized as a powerful institution for the

 By March 2005, the programme had provided credit to 1 618 456 SHGs with a
membership of over 24 million poor families or about 120 million poor people, making
it the largest microfinance initiative in the world.

SHG Models - SHG-Bank Linkage Model:

SHG are voluntary, small group structures for mutual aid and the accomplishment of a
special purpose. They are usually formed by peers, who have com together for mutual
assistance in satisfying a common need (Katzand Bender, 1976).

In India, SHGs have federated into larger organizations. Typically, about 15 to 50 SHGs
make up a Cluster /Village Organisation (VO) with one or two representatives from
each SHG and with several inter-groups decision making structures. The most
important SHG’s institutional model is the SHG-Bank Linkage Model (SBLM), and in
India three different schemes of linkage of SHGs to the financial institutions have
emerged: I. Banks, themselves, form and finance the SHGs. II. SHGs are formed by NGOs,
Government and other agencies but financed by banks. III. Banks finance SHGs with
NGOs and other agencies as financial intermediaries.

Types of Self Help Promoting Agencies:

Most SHGs are formed with assistance from a promoting institution – ‘Self Help
Promoting Agencies or Institutions’ (SHPAs; SHPIs), but others are formed by
themselves. The main types of Self Help Promotion Institutions (SHPIs)2 include:

 Non-governmental organizations (MYRADA, PRADAN, DHAN Foundation and CARE-


 Government (Departments of Panchayat Raj & Rural Development, Women & Child
Development, Women Development Corporation, and Tamil Nadu Corporation for
Development of Women),

 Poverty Reduction Programmes (Kudumbashree, Indira Kranti Patham (Velugu),

Vazhundhu Katuvoom, MAVIM, and Mission Shakti)

 State and Commercial Banks (ICICI, HDFC)

 SHG Federations, Cooperatives, Cooperative Banks,

 Microfinance institutions, VVVs or farmer’s clubs,

 Individuals (‘social entrepreneurs’) and, SHG leaders (may promote SHGs).


On the spot
We set out for Simdega from church at 09:00am. We reached our destination at around
11:30am. We were taken inside the office where we were briefed about how the
organization works. The batch was divided into 4 groups to understand the process in
details. Each group was taken to one self-help group of basic level. We saw the weekly
meeting of the group which started with a prayer followed by two pledges. Then
attendance was taken. Then Rs20 of weekly savings were collected from each group
member. Then they check if any of the group member had taken a loan previously and if
the collection date for the installment(with interest of 1%) has arrived, then they collect
it. Then they discuss about the problems being faced by the members and try to find a
mutually agreeable solution.

The major focus was on community involvement in sanitation practices so as to monitor

potable water availability, improved hand washing practice, safe child excreta disposal,
improved better hygiene practice in pre nursery group children.

The groups surveyed Aajiveeka, took interviews of the villagers and the members of
Aajiveeka .

We were guided about the details of SHG by Aisu Swami who was the PRP- Professional
Resource Person. In all Self Help Groups, there can be maximum 15 members. The
Lachragarh VO (Village Organisation) consists of 41 small self help groups. He also told
us that as the level increases from a Self Help Group to a Village organization, in the
same way the next level is a Cluster which is fromed of 20 VOs. An amount of Rs. 15000
is given to people which stays in the cycle only, it revolves from one person to another
depending upon the requirements. Different funds are provided like CIF- Community
Investment Fund is Rs.75000 which comes from the state government. Two ladies of
each group is given the incharge of looking after the area. The ladies arecalled- sakriya
mahila. They have weekly meeting in the self help group and the village organization
meeting is held twice in a month. They have five post holdersfor every village
organization. Every group in this cycle has its main objective in their minds- “to make
women active.” Varieties of loans are provided from banks now to them at lower rates,
like- Cash Credit Loan @7%.

This Rural Immersion programme was of great use to us. It helped us to know what
people actually suffer through in villages and what they do in order to improve their
family condition and state. In order to make women more active and working , these
groups have been created to help them become independent upto a certain level.


Industry Visit in Osam Dairy
‘Osam’ is an honest effort made by a team of young, energetic professional
entrepreneurs to provide high quality dairy products to our consumers. ‘Osam’ is a
commitment which Osam have made to themselves to leave no stone unturned to
satiate every demand of our customer.

What do Osam produce & How?

Osam procures every drop of milk from a network of trained dairy farmers. The rigorous
training is supplemented by quality checks at the time of procurement on a daily basis
through Milk Analyser which checks the milk on pre-defined parameters. If the milk does
not meet our standards on purity, quality and freshness, we reject the milk at the farm
level. Once the milk comes to the plant, expert dairy professionals take over in a modern,
eco-friendly and hygienic infrastructural set up. The milk is neither exposed to air or
human touch. We ensure that nothing but the best comes out of the ‘Osam’ plant.


“to create a dairy brand which inspires confidence amongst the consumers for its
unfailing quality, outstanding processing infrastructure giving the most hygienic
products which offers value for money. We want to be part of consumers’ every meal
based on binding trust generated through the use of our products”

How Osam is AWESOME?

They are committed to provide quality dairy products to their customers through
strong focus on following modern practices in dairy farming, milk procurement,
processing, packaging and delivery.


Outstanding processing infrastructure giving the most hygienic products which offers
value for money. The rigorous training is supplemented by quality checks at the time of
procurement on a daily basis through Milk Analyser which checks the milk on pre-
defined parameters. If the milk does not meet our standards on purity, quality and
freshness, we reject the milk at the farm level.






1. Raw material receiving dock.

2. Electronic milk test

3. Pasteurizing

4. Separation

5. Homogenization

6. Processed milk

7. Deep chilling

8. Dispatch in insulated tanker.

Production Process
Raw milk is collected from different parts of Ranchi. Around 60,000 liters of milk is
collected per day. Before the milk is sent to laboratory for testing, the milk is separated
from the raw milk. The raw milk flows through stainless steel or glass pipes to a
refrigerated bulk milk tank where it is cooled to about 40° F (4.4° C). A refrigerated bulk
tank truck makes collections from dairy farms in the area within a few hours. Before
pumping the milk from each farm's tank, the driver collects a sample and checks the
flavor and temperature and records the volume.
Before pasteurizing the milk, the samples are taken to the laboratory. In the laboratory
with the help of machine called Electronic milk tester, the proportion of SNF and FAT is
checked with the phosphate solution. When the color of the milk becomes yellow, it is
sent for pasteurizing.
A clarifier removes debris, some bacteria, and any sediment that may be present in the
raw milk. A separator performs the same task, but also separates the heavier milk fat
from the lighter milk to produce both cream and skim milk. Some processing plants use
a standardizer-clarifier, which regulates the amount of milk fat content in the milk by
removing only the excess fat.


The milk—either whole milk, skim milk, or standardized milk—is piped into a
pasteurizer to kill any bacteria. There are several methods used to pasteurize milk. The
most common is called the high-temperature, short-time (HTST) process in which the
milk is heated as it flows through the pasteurizer continuously. Whole milk, skim milk,
and standardized milk must be heated to 161° F (72° C) for 15 seconds. Other milk
products have different time and temperature requirements. The hot milk passes
through a long pipe whose length and diameter are sized so that it takes the liquid
exactly 15 seconds to pass from one end to the other. A temperature sensor at the end of
the pipe diverts the milk back to the inlet for reprocessing if the temperature has fallen
below the required standard.
Separator machine separates two kind of products, skimmed milk and cream, through
channels. The separator separates the heavier milk fat from the lighter milk to produce
both cream and skim milk. Some processing plants use a standardizer-clarifier, which
regulates the amount of milk fat content in the milk by removing only the excess fat. The
excess milk fat is drawn off and processed into cream or butter.
Most milk is homogenized to reduce the size of the remaining milk fat particles. This
prevents the milk fat from separating and floating to the surface as cream. It also
ensures that the milk fat will be evenly distributed through the milk. The hot milk from
the pasteurizer is pressurized to 2,500-3,000 psi (17,200-20,700 kPa) by a multiple-
cylinder piston pump and is forced through very small passages in an adjustable valve.
The shearing effect of being forced through the tiny openings breaks down the fat
particles into the proper size and quantity as per requirement of the batch.The milk is
then quickly cooled to 40° F (4.4° C) to avoid harming its taste.
After the milk is sent for the packaging to the milk packing station in the dairy plant. In
the milk packaging station in the dairy plant. Packs are usually of 500ml to 1litre. The
packets or cartons are stamped with a "manufacturing date” and unique batch code to
identify short comings if any. This also ensures that the retailers do not allow the milk
to stay on their shelves longer than it can be safely stored. The milk cartons or bottles
are placed in protective shipping containers and kept refrigerated. They are shipped to
distribution warehouses in refrigerated trailers and then on to the individual markets,
where they are kept in refrigerated containers.
Then the milk is sent to the cold storage of the dairy where the milk is stored until it is
dispatched. Here the milk is stored in the temperature of 4 degrees Centigrade, it is
maintained with the help of exhaust fans having silicon chips. About 60,000 liters of


milk is dispatched from the cold storage every day. The damaged pouches are kept aside
and the milk is once again put in the tank.
To ensure sanitary conditions, the inner surfaces of the process equipment and piping
system are cleaned once a day. Almost all the equipment and piping used in the
processing plant and on the farm are made from stainless steel. Highly automated clean-
in-place systems are incorporated into this equipment that allows solvents to be run
through the system and then flushed clean. This is done at a time between the normal
influx of milk from the farms.
More than 2500 distributors across the state, Osam dairy employs specially refrigerated
Trucks for transportation of items to its major distributors, who in turn follow the same
process up to small retailers.


Rural Haat in Ranchi
A local market in the City of Ranchi, Jharkhand which is unique, one of its kind; a twice
weekly gathering, which brings together the people and their exceptional merchandise
from different small villages in the State. The source of livelihood for many, a family
affair for few, now a part of everyday life of the people at Kabristaan, Rantu, Ranchi.

There are almost 150 shop, with different kind of product.

Dona | Leaf bowl:

A skilled woman from Karra block in Ranchi District sews these leafy bowls called
DONA. Made of two leaves of SAKHUA – Sal tree leaves (abundantly grown in the land of
forest – Jharkhand), DONA can contain dry as well as wet food very well.

It is highly sustainable even after it dries up. It is often used at homes on auspicious
occasions as well as in local food shops. Selling at Rs. 6 per bundle of 20 pieces, this is
what this woman does for her living.

Ojhaa | Soothsayer
Shalimar is totally incomplete without this local Vaidh (the medicine man). From the
roots of plants to the skins and nails of the weirdest reptiles; he sells them all.


This shop will give you a glimpse of the black magic, witchcraft and other such practices
still prevalent in most of the unexplored parts of the state. Come and experience the
“spine chilling products” in this shop.

Karanj Datun and Madhu:

Karanj (the Indian beech) Datun is the best for your teeth – is what my elders have
always told me. My grandfather used them all his life and his teeth were properly intact
without any problems ever even at his age 95 when he passed away.

Karanj flowers provide for a good source of nectar for the honey bees. This fresh
unadulterated MADHU – honey should once be tasted by all. Priced at as low as Rs. 50 /
half litre, it was the best I had ever had in my life.

Munihari/ Beauty Commodities

Like all the stores in the world, even Shalimar caters exclusively to women folk. This
particular shop has products like nail paints, threads, safety pins…. and all the necessary
items that a lady would need.


Steel Utensils:
Utensils, Knives, Hammers, Kitchen, Garden and Hardware equipment all are available
at this place.

The products are made of Iron and Steel, easily procured since Jharkhand is the
wealthiest when it comes to minerals. Cheap and best available quality, this shop is even
preferred by my mother for kitchen tools. Some products you thought were extinct, you
will find it here, like the cow bells which i bought for less than half price of what I had
got in Jute cottage.

Shoes, Bags and Clothes

These shops that have come up in the recent years have also made their way into the
Shalimar Bazaar.The best of display and visual merchandising to compete with the


neighbouring shoand attract the maximum number of customers, this format is a must
see for any Retail Person.

Oil from sea fish

They buy those type of fish from Khidirpore and bring to rural hut. Then they extract
the oil from those fish and use as a medicine of pain, spot, antiseptic etc.

Magic soap
They sell a kind of white rectangle shape soap in market and they claim using of this
soap can remove spot, scars from body.

They also sell FMCG products like oil, spice, soap, shampoo, brush, cooking ingredients,
dry foods, biskuits etc.

Meat and Fish

In the market there are also available different kind of meat, fish and dry fish as well.

This tribal people made one type of alcoholic drink from Mahua flower. Labour type of
people are the most of the customer.

The experience that we garnered by visiting the village is unique and revealing. Hitherto
we had only a vicarious experience of the village life and economy. After conducting this
study we have gained real and first hand knowledge of the advantages and limitations of
being part of the rural socio-economic setup. The people of the village were very cordial
in providing us all the necessary information that we required for our study to the best
of their knowledge. From the study we also came know about the existence of all kinds
of dualism not only between urban and rural areas but also among the various
subsections of the rural areas itself. Taking a cue from the model of development of
rural economy given by Dr. A. P. J. Abdul Kalam, we also have come to the conclusion
that there is a great need of providing all the urban amenities in rural areas. This
conclusion is drawn in a broader perspective and not specifically taking only our study
village into consideration. Rural areas should not be considered as supplier of manual
labor only. This conclusion has been drawn by taking into account the potential of
villages to convert themselves into growth centers by removal of various constraints