MBA 703 – HUMAN RESOURCE MANAGEMENT

PROJECT REPORT ON

“AMUL”

Prepared by:
Tanu Shree Shaw
(121923603021)
Email – tstanushree4@gmail.com

In Partial Fulfilment of Requirement for the Award of the Marks towards PROJECT
REPORT as part of MBA 703 – HUMAN RESOURCE MANAGEMENT Course in
Master of Business Administration

Under the Guidance of

Dr. B. KRISHNA KUMARI

Assistant Professor (Department of Human Resource Management)
GITAM Institute of Management, GITAM (Deemed to be University), Visakhapatnam
Andhra Pradesh, India-530045

GITAM Institute of Management

GITAM (Deemed to be University)
Visakhapatnam-45
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 Declaration

This is to acknowledge that this report entitled “PROJECT ON AMUL” truly

represents my work and accomplishment undertaken as part of my Internal Assessment
in Trimester 3 for the academic year 2019-2020 by me to the college of GITAM Institute
of Management,
GITAM (Deemed to be University), Visakhapatnam
under the guidance of

Dr.B. KRISHNA KUMARI

Assistant Professor (Department of Human Resource Management)

This work is not a replication of work done previously by any other person. I also
confirm that the contents of the report and the views contained therein have been
worked and sourced upon and purely written down based on learning.

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 Acknowledgement

It is my pleasure to acknowledge and express our gratitude to all those who helped Me
throughout in the successful completion of this project.
At the outset, we would like to express our deep sense of gratitude and sincere thanks to
Dr. B. Krishna Kumari, Assistant Professor (Department of Human Resource Management)
GITAM Institute of Management, for providing me the opportunity to discover the operations
of Human Resource Management from a practical perspective

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 CONTENTS

S. No Content Page No.

1 Introduction to the Company 1
2 Human Resource Department 4
3 Recruitment Process 5
4 Human Resource Policy 6
5 Selection Process 7
6 Training and Development 9
7 Performance appraisal 12
8 Compensation 13
9 Conclusions 13
10 References 14

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 INTRODUCTION
AMUL (Anand Milk Union Limited), formed in 1946, is a dairy cooperative movement in
India. It is managed by Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF).
AMUL is based in Anand, Gujarat and has been a sterling example of a co-operative
organization's success in the long term. The AMUL Pattern has established itself as a
uniquely appropriate model for rural development. AMUL has spurred the White Revolution
of India. It is also the world's biggest vegetarian cheese brand. The brand name AMUL
means “AMULYA”. This word derived from the Sanskrit word “AMULYA” which means
“PRICELESS”. A quality control expert in Anand had suggested the brand name “AMUL”.
Key people:
MD - R.S Sodhi
CFO – Rakesh Shukla
Headquarters at Gujrat in Anand

AMUL is an Indian dairy cooperative society, based at Anand in the state of Gujarat. AMUL
was spearheaded by Tribhuvandas Patel under the guidance of Sardar Vallabhbhai Patel. As a
result, Kaira District Milk Union Limited was born in 1946. Tribhuvandas became the
founding chairman of the organization and led it until his death. He hired Dr. Verghese
Kurien in 1949. He convinced Dr. Kurien to stay and help with the mission. Kurien, founder-
chairman of the GCMMF for more than 30 years (1973–2006), is credited with the success of
AMUL's marketing. AMUL has ventured into markets overseas.

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AMUL: “While we may take pride in inspiring the whole nation and revolutionize the
dairy co-operative movement in our country alleviating hardships of millions of dairy
farmers and placing India in number one position in world in milk production, we remain
humble in our approach and development firmly believing in that the true development of
an organization or nation lies in development of people - our farmers.”

AMUL is a co-operative sector. It is the institution of the farmers, for the farmers and from
the farmers. The AMUL gives pleasure to the farmer to charge the own price, which was not
possible in earlier years. This union was born on 14th December 1946. The union provides
facilities to its members like more return, satisfactory price, insemination, first aid, group
Insurance, cattle food at confessional price etc. I have done case analysis on HRIS of AMUL
and from that I have come to know how organization operates and how the functions have
been carried in the organization. From this is case I have come to know how a wide
organization like AMUL manages its Human resource. AMUL dairy has five main
departments like finance, personnel, commercial, milk procurement and production. The
finance department does the clerical work and takes care of inflow and outflows of the cash.
The other work of finance Department is to audit of annual work. The personnel department
handles the work regarding personnel like appointment, recruitment, promotion, transfer,
dismissal, demotion, performance appraisal etc.

Symbol of AMUL

 First hand is for the farmers (producers), without whom the organization would do
not existed. Farmers are the inspiration of the AMUL – the taste of India.
 Second hand is for the representatives of processors by whom the raw milk processed
into different finished products.
 Third hand is for marketers without whom the product would have not be able to
reached to the customer.
 Fourth hand is for customers without whom the organization could not carry on
because they are the people who consume the product.
The union of AMUL would not have been the second biggest successful company in the
world without the coordination of the above four hand.

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ABSTRACT

AMUL is an Indian dairy cooperative founded in 1947, eight months before India's
independence from British rule, and owned by over three million farmers in the state of
Gujarat. It is India's largest food product marketing organization, selling 46 products,
including pouched milk, cheese, butter, ice cream and infant food through a million retailers
across the country, and is the market leader in almost all the categories that it operates in.
AMUL is well known among Indian consumers for offering high-quality products at
reasonable prices, and runs a highly popular advertising campaign that spoofs current events.
It offers its farmers 80% of the consumer's dollar for milk, compared with 35%-40% typical
in some Western markets. AMUL's cooperative dairy model has been replicated across
several Indian states, thereby helping increase the incomes of 80-100 million farmer families
across the country. However, despite its success, AMUL is beginning to come under
increasing pressure.

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Human resource department- AMUL
MAJOR FUNCTION OF HUMAN RESOURCE DEPARTMENT
1. Recruitment and selection
2. Training and development
3. Performance appraisal
4. Salary and wage administration
5. Employee turnover
6. Compensation
7. Industrial relation
8. Factory act
9. Industrial dispute act
10. Human resource information system (HRIS)

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Organization structure
Managing Director

General Manager

Assistant General

Manager Officers

Clerk

Peons

There are two types of Recruitment sources followed by AMUL:

 INTERNAL SOURCES
 EXTERNAL SOURCE

INTERNAL SOURCES: Internal sources include personnel already on the payroll of the
organization.
 Present Permanent Employees.
 Employee Referrals
 Former Employee
EXTERNAL SOURCES: These sources lie outside the organization in AMUL they
consider following sources for recruitment:
 Campus Interview
 Unsolicited Application
 Application Blank
 Placement Agencies

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HUMAN RESOURCE POLICY
RECRUTMENT POLICY
Entry level qualification:
Below officers’ cadres-
1. S.S.C / H.S.C Attendant Operator – Dairy (AOD) – G Gr. Worker.
Taken as apprentice under trade apprentice Act /3 yrs. Apprenticeship, then based on their
appraisal report, selected as temporary worker. After total 5yrs of work, may be selected as
G-Grade Worker.
2. Professional Qualification E/F Grade Worker (Boiler Attendant).
3. BA / B.COM / M.COM / M.A (general) MSW / MRM /MRS M.E_Biz of Gujarat
vidyapeeth and C Grade Worker similar Non – University Institutions.
4. B.Sc / M.Sc / Diploma Engineers B Grade workers. Apprenticeship Lab assistant for 1yr 3
months for B.SC & M.SC; 1yr for Diploma Engg. Then 2/3 yrs. as trainee technician, than
based on appraisal Appointed as Technician B Grade.
5. BBA Management Trainee for 1yrs.Jr. Assistant
(a) M.SC (Agriculture) /MRS /MRM /MSW /MLW/ MBA/ B.Tech (DT ) / MCA / M.E –Biz.
(From recognized University) 1 yr. as a trainee then appointed as senior officer.
(b) Inter CA /Inter ICWA / BE 1 yr. as training period, then appointed as Dy. Sup. Deputy
Superintendent
(c) CA/ICWA
Superintendent
NO training period, direct appointment. However, in case of fresh recruitment of candidates
with exceptional qualification form reputed Institutions such as IIM/IIT/IRMA o Central
Institution, consideration for appointment to Higher Grade be given due weightage,
notwithstanding the above minimal requirements.

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Selection procedure is concerned with securing relevant information about the applicant. The
main objective of selection process is to determine whether an applicant meets the
qualification for a specific job and choose the application that is most likely to perform well
in the job. The Selection process in AMUL is as under
Vacancy in any department

Approval from M.D

Advertisement

Collection of application

Securitize the application

Interview

Medical check-ups

Selection
After selection, the employees generally have probation period. In AMUL probation period is
different for different type of employees. Probation period for officers is 12 months, 6 months
for clerical employees and 3 months for workers.

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FOR EXAMPLE:

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TRAINING AND DEVELOPMENT
Definition: It is a subsystem of an organization. It ensures that randomness is reduced and
learning or behavioural change takes place in structured format.
Training is the process where the work related knowledge, skills and attitude are given to new
employees. By which they aware the policies rules and increase technical and manual
efficiency and create of responsibility.
AMUL has accepted three methods for the training.
TRAINING PROCEDURE IN AMUL
Identification of need of Training
↓
Module Preparation
↓
Selection of Employee for the Training
↓
Training
↓
Feedback
AMUL HAS ACCEPTED THE 4 METODS OF TRAINING
1. On the job method
2. Off the job method
3. In house training
4. Out house training

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Training and Development programme of AMUL is an ongoing programme since its
inception as it believes the development of the institution lies in the development of the
people – producer members. It organizes various training programmes based on the need and
a few of these are as follows:

 VMS Workshops:

This programme aims at to create a document on Vision, Mission and Strategy for
Village Dairy Co-operative Societies. This process has helped to involve and develop
dairy farmers for their future planning and review of the growth thereby improve their
income and quality of life.

 Milk Day Celebration:

This programme aims at bringing together all members, including Chairman,

Management Committee Members and respective producer members of Dairy Co-
operative Societies to identify and solve their problems. This programme is attended by

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the respective Board of Director and Chairman from the District Union, Internal
Consultant of Co-operative Department of District Union.

 AMUL Darshan:

This programme aims at exposing producer members to various facets of dairy operations
to keep them informed and aware of the development and adopt to good management
practices in production of milk. The exposure visits include visit to Cattle Feed Plant,
Dairy Plant, Chocolate Plant, Dairy Demonstration Farm and presentation by the Co-
operative Development Group.

 Management Development Programme:

This programme aims at capacity building of Secretaries of Dairy Co-operative Societies

in better management and maintenance of ISO standards. For the Management
Committee Members, it imparts training on management strategies, co-operative laws and
their roles and responsibilities.

 Zonal Meeting: This programme aims at review of internal audit on Quality

Management System and Cleanliness of Dairy Co-operative Societies for continuous
improvement. This helps in knowing achievements and identifying grey areas for
improvement.

 Village Group Discussion:

It aims at encouraging discussion among dairy farmers on scientific animal husbandry

practices and its application. The discussions are facilitated by the Internal Consultant of
District Union.

 Awareness and Refreshers Training:

It aims at training of Dairy Co-operative Society personnel on Quality Management

System in order that the ISO is effectively followed.

 Dairymen Training:

This programme aims at building managerial skills of progressive farmers who have more
than five milch animals to bring more success in their dairy husbandry.

 Development Review:

This programme aims at District Union’s review of the comparative progress of five year
programme of Dairy Co-operative Societies and suggests remedial measures.

 Self-Managing Leadership Programme:

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 AMUL undertakes Self Managing Leadership Programme for women resource persons
through Brahmakumari Iswariya Vishwa Vidyalaya at Mt. Abu to bring a value based
approach in development process.

 AMUL Patrika:

It is an in-house Newsletter distributed monthly to producer members to strengthen their

knowledge on scientific animal husbandry practices, quality of milk and sharing success
stories.

PERFORMANCE APPRAISAL
Performance appraisal is the process of evaluating the performance and qualification of
employees in terms of the requirement of the jobs for which they are employed. It is highly
useful in making decision regarding the promotion, transfer, wage and salary administration
etc.
Promotion Period Appraisal

1 year Managers
3 years Officers
1 year Workers
1.5 year Temporary workers

In AMUL various attributes consider for the appraisal of employee.

• Job knowledge
• Work output
• Quality of work
• Interest in work
• Initiatives
• Past records
• Seniority
This appraisal is also the rating scale. Method appraiser also appraised employee by
following:
 Outstanding
 Good
 Satisfactory
 Poor
The overall assessment is done through above rating and also the comment of reviewing
officer is included. Apart from this the performance in liked allowance is provided in relation
with performance that is

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  25%
 50%
 100%
 Not allowed
Generally, in AMUL on base of performance appraisal employee of managerial level gets
specials allowance. While for workers they get promotions.

COMPENSATION
In Amul, The workmen's Compensation Act. 1923 is very well executed. The compensation
is given lo employees as per the Act.
In the case of major accident occur in organization and if any worker gets injure that lime
organization take care of that employee.
If the employees under medical treatment and unable to came in organization for job, then
half salary will be given to that employee until he/she will again Join organization. Employee
also gets all incentives during this period. Union provides complex expanse of medical
treatment to his/her employees.
They have a provision for that amount in welfare fund. For that a report from surgeon is
considered. In case of minor accident, if any employee gets injure that time disability
certificate take as an evidence for the payment of compensation. According to disability
certificate union decides the compensation. Disability certificate must be issue by doctor
from civil hospital.
According the Act, if accident takes place because of worker mistake than he/she will be
unable to get compensation. But in AMUL even if accident occurs by workers mistake in that
case union paid compensation according to injury. For that employees must past through
medical report. In case of accident, if worker get serious injury and he/she will be unable to
do same work after getting recovery than management give them relief by transferring them
in another section for suitable work. By this way they retain their employees.

CONCLUSION
To conclude Human Resource Management should be linked with strategic goals and
objectives in order to improve business performance and develop organizational cultures that
foster innovation and flexibility. The times when management could arbitrarily dictate terms
to the employees and tread upon their rights is something that is not relevant anymore. With
the ballooning of the white collar workforce, it becomes necessary for organizations to pay
more attention to the needs of the employees more than ever. In recent years, with the high
levels of attrition in the service sector, it has become imperative for firms to have a structured
separation plan for orderly exits of employees. In conclusion, it is our view that employee

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separations must be handled in a professional and mature manner and through attrition is a
fact that concerns everyone in the industry, once an employee decides to leave, the separation
must be as smooth as possible. Adding the Human Resource Policy of the company which is
the heart of any company running followed by real time question and answers by the Global
Head – Human Resource of the company. This page is like an interview, ending with
Competencies needed by the company in HR stream.

REFERENCES:

h"ps://en.wikipedia.org/wiki/Amul

h"p://www.amuldairy.com/index.php/about-us

h"p://www.amuldairy.com/index.php/cd-programmes/training-development

h"ps://www.allindiajobs.in/2017/02/amul-recruitment.html

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