1.1.

INTRODUCTION

Milk is being a complete food had its own important in the day to day life being.
Milk cannot substantiate with another product. It is essential for the growth of children and it
is also an important food for all age group. In our country possess about 18 percentage of the
total supply of milk in the world. There are companies in the country to produce milk and
milk products.

Milk is being important from the nutritional stand point since it contains nearly all
the essential constituents required in human diet in proper proportion. Milk supplies body
building proteins, bone forming mineral and health giving vitamins and essential amino acids
in fairly large quantities.

Milk is essential part of balanced diet. Large parts of populations in India are
vegetarians and therefore the importance of milk is still great. According to Nutrition
Advisory Committees of Indian Council of Medical Research “a balanced diet of an Indian
adult should include ten ounce of milk per day. Though India has 30 percentage of the cattle
wealth in the world and dairy per capita availability of milk estimated to be only five ounce
per day. This shows that actual requirements of the milk. The per capita milk available in the
country is just half of our requirements.

Milk may be defined as the whole, fresh, clean, lacteal, secretion obtained by the complete
milking of one or more healthy milk animals excluding that obtained within 15 days before or
5 days after calving. It must be practically free from colostrums and should contain minimum
prescribed percentage of milk fat and milk solids not fat.

Most of the milk produced in the country in from rural areas, small fanners who keep
usually one or two animals. There is no ready market for the milk on the village. At the
same time there is high demand for milk in urban areas.

In Kerala milk and milk products have high demand, the demand for the products
increase on festival seasons. At early stages, in the stage milk was supplied by local enjoyed
monopoly in the supply of pasteurized milk in the state, but after sometimes other
organisations started to enter in the field.
 According to prevention of Food Adulteration Rules as far as Kerala is concerned
cow milk should contain not less than 3.5 percent fat and 8.5 percent solids not fat,
where buffalo milk should contain not less than 5 percent fat and 9 percent solids not fat.

Most of the milk produced in the country is from rural areas, small fanners who
keep usually one or two animals. There is no ready market for the milk on the village.
1.2 INDUSTRY PROFILE

In India the white revolution has achieved its first goal of boosting production and
flooding the country side with milk it led to the sustained growth in the availability of milk
and milk product. In terms of total production India is the leading producer of milk in the
world is followed by USA the milk production in India accounts for more than 13% of the
total world output and 57% of Asia’s total production during the pre-independence. Public
and private agencies dominated the dairy industry, although government policy. Did early
efforts to organize during along co-operative lines were made immediately after the
enactment of the co-operative society’s act 1912. The present day Anand pattern dairy co-
operative at Anand in 1d 946 under the direction and guidance of sardar vallabaipatel. They
dairy farmers of the knead. District of Gujarat organized themselves to form a dairy co-
operative in order to directly under take sale and processing of milk collected from member
dairy farmers district Milam food ltd are some of the dairy co-operative which now
functioning in India which here been formed in partnership with the respective dairy
federation of Kerala, Uthranjal, Utharpradesh, Andrapradesh.

In the year 1986 the department of defense established dairy farmers forms supply of
milk of British Troops stationed at Allahabad at advised by the board of Agriculture.
However only in the 20th century India witnessed a flurry of activities in the field of cattle
rearing a dairy.

In the year SHRI PESTIONI EOULJI POLSON established POLSON MODEL

DAIRY at Anand with the latest available technology and also manufactured Polson Butter.

The dairy Industry was greatly affected during the second World War due to shortage
of milk and the demand for milk and milk product the from the army’s as well as civilian’s
population. After independence there was another support of expansion in the field of piney
co-operative.

Agriculture still continues to be major sector in India economy. Agriculture is lifeline base
for about 70% of the people of India is based on mixed farming i.e. crop production through
irrigation and rearing live stick. The demand for milk and products continues to rise in our
country year after due to growing incomes of families.
 To meet the growing demand of milk and products, there is the need to revamp the
country’s milk policy and promote manufacture of high quality dairy products. There is very
good scope for new entrepreneurs. The dairy industry involves processing raw milk into
products such as consumer milk, butter, cheese, yogurt, condensed milk, dried milk and ice
cream using processed such as chilling, pasteurization and homogenization.

1.2.1 HISTORY OF DIARY

Dairy cattle were first imported by European settlers in the early 19th
Century to provide milk, butter and cheese for local supply. As early as 1846, only six years
after the signing of the Treaty of Waitangi, the first exports began. In 1882 New Zealand
exported the first refrigerated shipment - a worldwide first - of meat and butter from Port
Chalmers, Dunedin to London on the ship "Dunedin".

The advent of refrigerated shipping enabled New Zealand to develop a substantial

dairy export trade to the United Kingdom, which remained the largest export market until the
1970, when Britain joined the European Union.

Refrigerated shipping, New Zealand's temperate climate and a highly innovative and
efficient dairy industry based on farmer-owned co-operative dairy companies enabled
dairying to grow into New Zealand's most important industry. Since the 1970 there has been
significant diversification in both dairy products and markets. Now China and the United
States are our largest markets and the United Kingdom has been surpassed by Japan and
several other Asian markets that barely existed 30 years ago.

In terms of industry structure, dairy co-operatives have been part of New Zealand's
history since 1871 when the country's first cheese company was created on Otego Peninsula.
Like co-operatives all over the world, they were established to create the power that comes
from pooling resources.

By the 1930, more than 400 separate dairy co-operatives were operating throughout
the country. They were export focused, and had their own international marketing arm in the
Dairy Export Produce Control Board which later became the New Zealand Dairy Board.
 The 1930 to the 1960 saw the beginnings of the industry consolidation. As
technologies in transport and refrigeration improved - for example, cooling of milk on-farm
was introduced 1955 - co-operatives began joining forces to become more efficient.

Driven by technology and cost efficiencies, the processing industry continued to

consolidate and by 1995 had shrunk to 13 dairy companies. In contrast to this consolidation
at home, internationally the industry's marketing operations were expanding. The 1960 threat
of Britain joining the EU encouraged the Dairy Board to diversify, both in terms of product
and export markets.

By the 1980, the Dairy Board had 19 subsidiaries and associated companies around
the world. By 1990 it had 40 and by 1995, 80. In a little more than 10 years, the New Zealand
Dairy Board became the world's largest dedicated dairy marketing network

There are two seasons in milk they are,

1. “Flesh seasons” i.e. in this season more milk will be available.

2. “Lien seasons” i.e.in this season only less milk will be available.

In 1970 when “Lal Bagadur Shastri” was the PM India hearing the grievance the
farmers who where bagan crushed the agents who purchased the milk at low price. Keeping
this is min the PM started two bodies are co-operation for dairy and they are as follows.

1. National Dairy Development and

2. Indian Dairy Corporation

He also took necessary steps to starts the powder “Anand milk scheme” which is now
known as “Amul Milk Powder “ scheme is to receive the milk powder given by America
under PL 480 to the children studying in the primary schools to get all kind of vitamin Chas
that need for growing children.

The milk powder received by Anand Milk Powder Company is distributed to all the
states in India for cash distributed primary schools by the state Government. The amount
received from the sale of milk powder has been utilized to start the “operation flood
programme” under the chairmanship of NP courier.
 In 1970 Anand milk powder gave Rs.480 cores to NP courier for the operation flood
programme and the amount is used to start a number of Co-operative societies in all states of
India. In the operation flood programme, it helps to milk from each society by the district
society situates in cash district. Each district society is directly o the state Dairy Development
Corporation and each state in India is connected with National Dairy Development
Corporation at Delhi.

In 1942 a team of World Bank delegates visited many places in Tamil Nadu to start a
Dairy in Tamil Nadu. Collected various information from various parts of the state and at
least the collected “Erode” the place where a dairy is to be started with the aid of World Bank
and as a result of this effect. In 1974 on second October four units of milk society near started
in Tamil Nadu in Madurai, Dharmapuri, Namakkal, and Vellore.

The main duties of the societies started in Tamil Nadu is to collect from small village
in the surroundings of milk like Madurai, Dharmapuri for chilling the milk and the balance
milk is rent to state milk federation of Madurai.

1.2.2 GROWTH OF INDIAN INDUSTRY

Today India is the oyster of the goal dairy industry. It offer opportunities galore to
entrepreneurs worldwide, who to capitalize on one of the world’s largest and growing market
for milk product. A bagful of pearls awaits the international dairy processor in India. The
Indian dairy is rabidly growing trying to keep place with the galloping progress around the
world.

Indian’s dairy sectors will triple in production in next Ten years in view of expending
potential for export to Europe and the west. Moreover with WHO regulation expected to
come into force in coming years, all the developed countries which are among big exported
today would have been withdraw the support and subsidy to their domestic milk product
sector. Also India today is the lowest cost producer per liter of milk in the world at 27cents,
compare to Japan 63cents,and US $2.8 dollars. Also to take advantage of his low cost of milk
production in this country, multinational companies are planning to expand their activities
here. Some of h milk producers have already obtained quality standard certificates from the
authorities. This well helps them in marketing their products in foreign country in processed
form.
1.2.3 GLOBAL OPPORTUNITIES FOR INDIAN DIARY IINDUSTRY

Global opportunities available Indian dairy industry arises primarily out of availability
of the large quality of competitively priced milk. There is no subsidy in the Indian dairy
sector, India only stands to gain from affair implementation of WTO. It may be difficult for
us to access the market of developed countries such as the EU, USA and Japan but India is
well situated to supply the milk difficult region of such East Asia and Africa. There is also
the large expatriate Indian population in the Middle East who recognizes and prefers Indian
brands. With a per capita Milk consumption of 211gms, India is still below the developed
countries average 303gms per day. India has a large domestic market which will help in
creating a suitable base for export products.

Apart from ensuring quality of milk we will have to create world class processing
facility to meet international specification. The Indian dairy industry has to look at innovative
value added products. Many of the traditional products could also be considered for factory
processing. Lastly on marketing, a lot needs to be done. First of all we need the government
help to give as market access. Our government must involve industry professional negotiation
forum has been less than adequate and must ensure a level playing field for India.

As Indian products have a poor family quality image we need to have very strict
quality control and exports. The ministry of commerce government of India has made it
mandatory for all exports to be approved by exports to be approved by export inspection
agency. This control should very strictly implement in that there is improvements in the
image of products abroad. While the goal dairy opportunities are large, it is also not for the
faint hearted. Only those players who implement complete value chain can hope survive in
the competitive world.

1.2.4. IMPORTANCE OF DIARY INDUSTRY

Milk and milk products rank as a large secondary source of income to the farmer of
country. A good number of India’s population in engaged in the production, processing and
marketing of dairy products and many more are in needed to processes and bottle and deliver
fluid milk and other dairy products. One fact is that, milk is superior source of complete
protein, as well as of calcium and riboflavin (vitamin). It also contain smaller quantities of
the other B vitamins, a small amount of vitamin C and usually added vitamin D. Milk and
milk products are very rich in protein, calcium, vitamin and milk sugar and they provides
these nutrition in proper proposition to satiate our body demands, importance of bride or
skimmed milk powder can’t be emphasized in this complex and busy world.

1.2.5 RECENT TREND IN THE CONSUMPTION OF DAIRY PRODUCT

For many years, in Western countries the consumption of butter has been falling, that
of liquid milk has remained unchanged or decreased slightly, while cheese consumption has
increased.

The situation differs from country to country. In countries with liquid milk
consumption figures below 100 kg per year, liquid milk sales have been increasing, whereas
in countries where consumption is higher than 100 kg per head, the liquid milk market has
been declining.

In recent years, many countries have experienced a strong improvement in the healthy
image of milk fat (Canada, the United States, the Netherlands and Germany). The link which
had previously been assumed to exist between the consumption of milk fat and the incidence
of cardiovascular disorders has been largely disproved as a result of recent research.
According to recent findings, butter has no adverse effect on cholesterol level; in addition, it
is a pure, natural product with a superior taste.

In several countries, the market for dairy products is characterized by polarization,

and is moving towards the extremes of premium/branded high-quality products on the one
hand and low-price products on the other. The middle ground is shrinking. The consumption
of imitation products is declining; in most European countries, their share of overall
consumption is minimal.

Noteworthy is the strong decline in home deliveries of liquid milk in the United
Kingdom: from 80 per cent five years ago to less than 35 per cent in 1997. This represents
substantial erosion of the influence of the last bastion of home deliveries.

Major trends in food markets are, more demand for added value products, for food produced
in an environmentally friendly way and a higher priority for freshness.

1.3 COMPANY PROFILE

Kerala Co-operative Milk Marketing Federation (KCMMF), popularly called milma
was established in April, 1980 with its Head office at Thiruvananthapuram for the
successful
implementation of the Operation Flood (a dairy programme launched in 1970 under the
agencies of National Dairy Development Board (NDDB).

Operation flood, otherwise known as while revolution is one of the world’s largest
rural development programmers. It has helped dairy farmers direct their own development
placing control of resources they create in their own hand. Accordingly to this
programme’s national milk grid links milk producers throughout India with consumers in
over 700 towns and cities reducing seasonal regional price variation, while ensuring that the
producer gets a major share of the consumers’ rupee.

The bed rock of operation flood has been village milk producers co-operatives which
producers milk and provide inputs and services, making modern management and technology
available to member. Kerala was introduce in operation flood project during the second
phase(1980-1987) the eight southern district from thiruvananthapuram to thissur were
include in the project area having a total layout of a crones these project were based at
Thiruvananthapuram Regional Co-operational Milk Producers Union (TRCMPU) and
Ernakulum Regional Co-operatives Milk Producers Union (ERMPU) formed in 1985. The
third union via Malappuram Regional Co-operative Milk Producers Union (MRCMPU) was
formed in 1989.

It was started under the Indo-Swiss project, the project was launched in 1963 on the
basis of a bilateral agreement executed between the Swiss Confederation and the Government
of India. The project has made great strides in the improvement of livestock farming in the
state. One of them is the development of Swiss Brown, a cross breed suited for the state’s
conditions. The project is now managed by the Kerala Livestock Development and Milk
Marketing Board. It motive was to implement the operation flood programme started by the
National Dairy Development Board (NDDB) in Kerala.

The project impact was so widespread that close to about 83% of the adult cattle of
the state got converted to the new breed – Sunandini, the milk production increased by over
ten times and the per capita availability of milk increased by over 7 times with over a million
families dependent on milk production. The project has succeeded in integrating better
technology and management to the traditional small holder production system. It also
demonstrated how the high productive, semi stall fed cows led to a spontaneous decline in
the total bovine population of the state from 34.6 lakh in 1977 to 21.86 lakh in 2003 when the
total bovine population of India went through an upsurge. This contributed immensely to
environmental sustainability. By demonstrating a growth model for productivity
enhancement, the project not only impacted the million small livestock holders in Kerala, but
also millions outside the state

The project demonstrated revolutionary institutional changes beginning with the Indo
Swiss project of Kerala, an autonomous institution under the govt. of Kerala to the Livestock
Development and Milk Marketing Board and then to the present autonomous company - the
Kerala Livestock Development Board, with the formidable dairy cooperative system under
the Kerala Cooperative Milk Marketing Federation (MILMA), under the guidance of its first
managing director S. Nagarajan IAS, spun off as successful an independent entity.

Kerala's milk demand / consumption per day are 12 Lakhs litres, whereas total
production in Kerala amounts to 9.46 Lakhs litres per day. Thus, Kerala imports round about
2.54 litres per day of milk from Karnataka, Tamil Nadu and Maharashtra.

VISION:

Milma plants to start a calf adoption scheme and mini dairy unit through out the state.
The capacity of the plant will be increased.

MISION:

Farmer’s prosperity through consumer satisfication.

METHODLOGY

2.1. OBJECTIVES

 To study about the clear structure for all of the various activities that an
organization carry out.
 To study the various operation and evaluate efficiency of a firm.
 To identify the functions,duties, responsibilities and maintenance of each
departments
 To verify how far the organization structure successful in accomplishing the
objectives of company

SCOPE OF THE STUDY

 In the present scenario the business become competitive and technology has
changed the nature of business and organization a lot. This study analysis in detail
about the functioning of department on the basis of strength weakness
opportunity and threats are explored
 To understand the human resource management in the company
 To understand the quality of product and consumer behavior of the company

2.3. TYPE OF THE STUDY

a) Primary data

Primary data were collected through observation, personal interview, discussion with manager
and employees of the various department of the organization.

b) Secondary data

secondary data were collected through Literature review which includes company interval record
publication annual report website (official and others).
2.4 PERIOD OF THE STUDY

The organizational study about the various department and the functioning in
Thiruvananthapuram Diary was undertaken for the period of one month that is from 08-06-
2015 to 07-07-2015

2.5 LIMITATIONS OF THE STUDY

 Limited allotment period of study (one month)

 Workers are not provide accurate information.
 Not allowed to meet the workers during the working hours.

2.6 CHAPTERIZATION

Chapter I deals with Introduction, Industry profile, company profile, Organisation chart.
Chapter II deals with objectives of the study, scope of the study, type of the study, period
of the study, limitations and Chapterization. Chapter III deals with, departmentation,
profile of the products,Analysis of the study. Chapter IV deals with observation,
Recommendation, Conclusion, Bibliography Appendix, Company high lights, special
concepts.

3.1 DEPARTMENTATION

Organisation chart is the vital tool for providing information about

organizational relationships. Such a chart is a diagrammatical form which shows the
major functions and their respective relationships, the channels of formal authority,
and the relative authority of each manager who is in charge of each respective
function. The organization chart shows only formal relationships; the informal
relationships are mostly transitory and flexible, so they are not depicted on the chart.
Moreover, it depicts formal relationships only at a given point of time.
Milma consists of 9 departments. They are
  Human Resource Department
 Accounts & Finance Department
 Procurement & Input Department
 Production Department
 Quality Control Department
 Marketing Department
 Engineering & Maintenance Department

3.1.1 HUMAN RESOURCE DEVELOPMENT DEPARTMENT

ORGANISATIONAL STRUCTURE HUMAN RESORCE DEVELOPMENT

Assistant HR Mgr

Assistant Personnel Officer

Junior Superintendent

Senior Assistant

Junior Assistant

Stenographer

Typist

Office General
FUNCTIONS

 Deals with all the matter of employees.

 Recruitment

 Selection

 Tests & interview

 Training

 Performance appraisal

 Grievance redressal

ROLES & RESPONSIBILITIES

(1) Assistant Manager

 Total administration of discipline in the firm.

 Communicating between the management and the employees.

 Solving the problems regarding employees.

 Takes precautionary measures to avoid unrest in the firm.

(2) Assistant Personnel Officer

 Assists the assistant HR manager.

(3) Junior Superintendent

 Deals with salary matters such as ESI, PF etc

 Deals with welfare of the employees

(4) Senior Assistant

 Deals with matters regarding transfers, payments etc

 Service matters
(5) Junior Assistant

 Deals with the primary stages of grievance redressal

(6) Stenographer

 Does secretary jobs towards the assistant manager.

(7) Typist

 Does job related to typing the official matters of the firm.

(8) Office General

 Does filling works and collecting couriers.

3.1.2 FINANCE AND ACCOUNTS DEPARTMENT

ORGANISATIONAL STRURCTURE OF FINANCE & ACCOUNTS

Assistant Mgr

Assistant Account Officer

Computer technician

Superintendent

Senior Assistant

Junior Assistant

Mgt Apprentice

Occasional Apprentice
FUNCTIONS

 Providing financial assistance as per the departmental requirements.

 Keeping the monetary transactions in the book of accounts expect the marketing
department.

 Proceeding requisitions of Milma Kollam unit's requirements towards the head office.

 Finance department also deals with the Systems department.

 Systems department operates with software which is made by KCMMF, Milma

Integrated Information System.

ROLES & RESPONSIBILITIES

(1) Assistant Manager

 Deals with the entire functions of the Finance and Systems departments.

 Final verification of all financial matters.

 Confirms sending the concerned statements to the Dairy Mana

(2) Assistant Account Officer

 Verification of entire accounts

(3) Superintendent

 Verifies the milk va lue

 Computing the TDS

 Preparing the inter units transfers

(4) Senior Assistant

 Transactions relating to the outside purchases

 Transactions relating to the transportations & distributions

 Transactions relating to the TA

 (5) Junior Assistant (Cashier)

 Issuing cash payments, especially salaries and wages.

 Making advance payments.

(6) Mgt Apprentice

 Issuing cheques

 Dealing with the bank matters.

(7) Occasional Apprentice

 Filling
 Collecting couriers.

(8) Computer technician

 Development of software’s to support various functions.

 Support Management Information System

 Networking

3.1.3 PROCUREMENT AND INPUTS DEPARTMENT

ORGANISATIONAL STRUCTURE OF PROCUREMENT AND INPUTS

Assistant Mgr

Milk Procurement Officer

Veterinary Officer

Assistant Milk Procurement Officer

Senior Supervisors

Junior Supervisors
  This department deals in procuring milk from the societies.

 Calling tenders of vehicles

 Scheduling of routes

 Providing veterinary services.

 Providing cattle feed supply

ROLES & RESPONSIBILITIES

(1) Assistant Manager

 Ensuring all the activities is performing according the plans.

(2) Veterinary Officer

 All medical issues of the cattle are treated.

(3) Milk Procurement Officer

 Entrusted with the activities of calling tenders and quotations of vehicles.

 Scheduling of the routes.

(4) Assistant Milk Procurement Officer

 Assisting in the works of the Milk Procurement Officer

(5) Senior Supervisors

 Deals with the extension activities in the field such as,

 Finding the needs of the farmers.

 Conducting camps and seminars

3.1.4 PRODUCTION DEPARTMENT

ORGANISATIONAL STRUCTURE OF PRODUCTION

Production Mgr Assistant Mgr Technical Officer Technical Supervisor

Operators Workmen

FUNCTIONS

 Involved with the processing of milk. Production of curd, buttermilk and ghee.

 Procures raw materials.

 Procures milk from outside state in the times of scarcity.

 Makes payments for the milk powder.

ROLES & RESPONSIBILITIES

(1) Production Manager

 Controls the entire production function of the plant.

 Hears the grievances of plant employees if any.

 Informs the Dairy Manager about the production status.

(2) Assistant Production Manager

 Assists the Production Manager in his work.

(3) Technical Officer

 Scheduling of the plant activity.

(4) Technical Supervisor

 Implementation of plans.

 Ensures that the milk tankers arrive as per the schedule.

(5) Operators

 Operates the plant machines

(6) Workmen

 Involves in the production process.

3.1.5 QUALITY CONTROL

ORGANISATIONAL STRUCTURE OF QUALITY CONTROL

Assistant Mgr

Quality Control Officer

Chemist/Bacteriologist

Lab Technician Grade -1

Lab Technician Grade -2

FUNCTIONS

 Taking samples at every stages of milk processing and of other milk

products.

 Timely testing the quality of milk and other milk products.

 Maintains to keep the standard.

ROLES & RESPONSIBILITIES

(1) Manager

 Management representative of ISO 9001 standard.

 Ensures the quality is maintained.

 Ensures that subordinates do the quality testing in time.

(2) Quality control officer

 Management representative of AGMARK standards.

 Does mainly quality testing of AGMARK products such as ghee.

 Sees whether the milk has required quality.

 Similarly this is done in the other milk products also.

 Does quality analysis and records the results

 Taking periodic statements

(3) Chemist / Bacteriologist

 Does the entire required tests for knowing the quality.

(4) Lab Technician Grade 1

 Assists in the chemist in conducting tests.

(5) Lab Technician Grade 2

 Collects the required samples at every stages of processing.

3.1.6 MARKETING DEPARTMENT

ORGANISATIONAL STRUCTURE OF MARKETING

Marketing Mgr

Marketing Officer

Assistant Marketing

Marketing Organisers

Marketing Assistants Junior Assistant

Salesmen

FUNCTIONS

 Sales of milk and other milk products.

 Distribution of the products.

 Collecting the payments from the agents

 Finding the potential markets.

 Doing promotional activities.

ROLES & RESPONSIBILITIES

(1) Marketing Manager

 Coordination of all marketing activities

(2) Marketing Officer

 Marketing activities of milk

(3) Assistant Marketing Officer

 Marketing activities of all Milma products including products which are not produced
in Kollam unit.

(4) Marketing Organisers

 Dealing with the customer complaints

 Agency promotion

 Finding potential markets

 Canvassing

(5) Marketing Assistants

 Cash collection of agents (CASH BOX system)

 Milk despatch activities

(6) Junior Assistant

 Keeping marketing accounts

 Issuing invoices

 MIS

(7) Salesmen

 Selling process is done in the stall, where located outside Milma unit.

 Maintaining inventories in the stores.

3.1.7 MAINTENANCE AND ENGINEERING DEPARTMENT

ORGANISATIONAL STRUCTURE OF MAINTENANCE AND ENGINEERING

Assistant Mgr

Deputy Engineers

Technical Superintendent

Senior Assistant

Operators and

FUNCTIONS

 Maintaining the proper functioning of the plant and its machines.

 Purchasing the materials for packing of the products,

 Purchasing the materials which are required for the machines.

ROLES & RESPONSIBLITIES

(1) Assistant Manager

 Coordinating all the activities of the department

(2) Deputy Engineers

 Maintains the plant and machinery

 (3) Technical Superintendent:
 Assists the deputy engineers
3.2 PRODUCT PROFILE

3.2.1 MILK PRODUCTS

Pasturised Double Toned Milk (Smart Milk)

Contains 1.5 percent fat and 9.0 percent non-fat solids. Ideal for elderly people since
fat content is low. Can also be used for whitening tea/coffee and for the preparation of milk
based drinks like fruit shakes. Fat will not settle at the top since the milk is homogenized.
Available in 500 ml sachets.

Pasturised Toned Milk

Contains 3.0 percent fat and 8.5 percent non-fat solids. Ideal for consumption by
children in the form of milk or in the form of brown beverages like Bournvita. Fat will settle
at the top if Milk is kept still for some time. Available in 500 ml sachets.

Pasturised Toned Milk - Special

Pasteurized Toned Milk in which Fat is 3.5%o and SNF is 8.5%. The milk is also
Homogenised to have smaller and uniform fat globules leading to no cream-line formation,
more full-bodied flavour & better mouthfeel.

Pasturised Homogenised Toned Milk

Contains 3.0 percent fat and 8.5 percent non-fat solids. Ideal for whitening tea/coffee
and for the preparation of solid curd. Since the milk is homogenised, whitening capacity is
more and less amount of milk will be sufficient for whitening tea/coffee. The milk will not
stick to vessels on heating and hence washing of used vessels is easier.

Pasturised Standardised Milk

Contains 4.5 percent fat and 8.5 percent non-fat solids. Ideal for the preparation of
payasam and sweets. Fat will settle at the top if Milk is kept still for some time since the
milk is not homogenised. Available in 500 ml sachets.
3.2.2 FERMENTED PRODUCTS

Paneer

Paneer also called Chenna is a milk product made by coagulating boiled hot whole
milk with citric or lactic acid and subsequent drainage of whey. It is a fresh source of milk
protein and has good* flavour and smooth texture. It is used in preparation of various dishes.

Set Curd

This is a coagulated product obtained from the Pasteurized Toned milk by lactic acid
fermentation through the action of lactic cultures.

Sambharam

Contains 4.5 percent total solids and natural flavour extracts. Ideal as thirst quencher
during hot season. Prepared under hygienic conditions using fully mechanized processes.
Available in 200 ml sachets.

Skimmed Milk Curd

Contains 10 percent non-fat solids. Ideal for making curries. Prepared under hygienic
conditions by fully mechanized processes. Cannot be used as starter-curd for converting milk
into curd. Available in 500 ml sachets.

Fat Products

Milma Butter

Milma Butter prepared from the cream of milk contains 81% fat and less than 15.6%
water. This is available in convenient 100gm,200gm and 500gm family packs. Available in
salted and unsalted varieties.

Milma Ghee

Contains 99.7 percent milk fat. Manufactured by melting fresh cream under hygienic
conditions. Milma ghee has the ideal golden yellow colour due to presence of natural
carotene in cow milk. (In contrast, ghee manufactured from buffalo milk is white in color).
No artificial colours or flavours are added in Milma ghee.
3.2.3 ICE CREAMS &

DESERTS Kulfi

This is an ice-cream in which cardamom & saffron flavours are used and filled in
moulded container.

Cone Icecream

This is an ice-cream which is filled in a dry cone-shaped pastry, made of a wafer

which enables ice-cream to be held in the hand and eaten without a bowl or spoon.

Choco Bar

This is a stick ice cream having chocolate as an outer layer and vanilla flavoured ice-
cream inside.

Icecream

Made from pure milk cream (unlike many private brands who vend "Frozen desserts"
made from cheap vegetable fats in the guise of Ice - cream), this is a real ice cream made
available in various flavours and packs. Produced hygienically in ISO 9001-2008 and
HACCP certified production facility.

Milma ice-cream, is available in a range of lip smacking flavours: vanila, chocolate,

mango, strawberry and fruit & nut, fin addition, our Ernakulam Union also produces and
distributes delicious "kulfi" and cream rolls. The only ice-cream in Kerala market which is
manufactured in a dairy, and hence most fresh ice cream.

Cassatta

Mixture of tasty ice-cream and tooty fruity encircled with oven fresh spong cake. It is
a delicious snack rich in milma cream.
Milma Sip-up

It is an ice- lolly made available in two varieties - Milk Sip-up and Water Sip-up.
Both are packed in elongated and tubular pouches, which can be broken by biting into it. The
contents are then consumed by sipping at the broken end.

3.2.4 SWEETS & CHOCLATES

Krispy Choclate

Milma Krispy is a Chocomass chocolate coated with Wafer Biscuit.

Gulab Jamun

Gulab jamun is a desiccated milk product manufactured by mixing Milk Khoa, Maida
and Skimmed Milk Powder, converting the mix into balls and then by frying the balls in
ghee. The fried balls when soaked in sugar syrup turn out into delicious Gulab jamun, which
is then packed in sterilized tins.

Milma Instant Palada Mix

Palada Payasam is a traditional delicacy of Kerala, the preparation of which is

laborious, time consuming and requires professional skill. It is made by concentrating high
fat milk, rice granules and sugar. Milma has standardized its own large scale production
process for the instant palada mix which is made available in dry powder form. Milma palada
payasam is easily prepared from this mix by simply mixing the palada mix with hot milk and
heating the same for 10 minutes. Available in 200 gm packs. No artificial colours or flavours
are used in the product.

Milma Peda

A natural milk toffee manufactured by the heating and removal of a major portion of
the water content of fresh milk and by the addition of sugar. No colour or preservatives are
added. Natural carotene in the milk gives the product its characteristic colour. Ideal for
children and as an after-food sweet. Available in packs of 15 gms, 150 gms and 750 gms.
3.2.5 MANGO DRINKS & OTHERS

Milma Plus (Strawberry)

Manufactured by addition of sugar and flavour to homogenized double toned milk.

The product is sterilized along with the glass container by heating to a high temperature in
specialized ovens after which containers are stored in chilled condition in outlets. Ideal for
elderly people as well as children since it contains very little fat and is far more nutritious
than cola drinks. Available in 200dnl containers and in Strawberry flavours.

Milma Plus (Chocolate)

Manufactured by addition of sugar and flavour to homogenized double toned milk.

The product is sterilized along with the glass container by heating to a high temperature in
specialized ovens after which containers are stored in chilled condition in outlets. Ideal for
elderly people as well as children since it contains very little fat and is far more nutritious
than cola drinks. Available in 200 ml containers and in Cardamom flavours.

Milk Powder

Milma Dairy Whitener is a partially skimmed milk powder with added sugar. It is
ideal for preparation of various delicacies. It can also be used as a whitener for tea and coffee.
The Dairy Whitener is packed under Nitrogen, and has excellent solubility and a fine granular
texture.

Packaged Drinking water

Milma Packaged drinking water is packed with extreme care to ensures safe, clean,
potable and pathogenic bacteria free water for direct human consumption. The entire packing
process undergoes the following eight stages.

Milma Refresh

In addition to milk drinks, milma also has a mango drink in the market. Refresh,
milma's manago drink is a favourite in the fruit drink sector.
3.3 ANALYSIS OF STUDY

1. SWOT ANALYSIS

STRENGTHS

 Good brand name in the kerala dairy market.

 Meets the market demand appropriately.
 There is good co-ordination between the manager and the departmental heads.
 There is good inter relationship between all department.
 There is active customer complaint cell.
 Eco-friendly plant.
 Strict disciplinary actions and quick grievance redressal are taken.
 Ensure timely quality testing of milk and another related products.
 Maintains quality standard such as ISO.

WEAKNESS

 Faces milk shortage.

 Plant is not fully automated.

 No computerized warning system in plant for detecting problems.

 Just meeting the demands of the market rather creating more demand.

 No recreational activities for the workers.

OPPORTUNITIES

 More scope to procure milk from other states, which is not much expensive plus
ensures good quality.

 Good scope for capturing huge market share in the milk products category.

 More opportunities to create demand in rural areas.

THREATS

 Faces milk shortage within the state.

 Government's decisions regarding procuring milk from Tamil Nadu may result in loss
making due to high price.

 New competitors may reduce market share.

 Customers preferring other brands' milk products.

2.PORTERS FIVE FORCE ANALYSIS

Porter's five forces analysis is a framework for the industry analysis and
business strategy development developed by Michael E. Porter of Harvard Business
School in 1979. It uses concepts developed in Industrial Organization (IO) economics
to derive five forces which determine the competitive intensity and therefore
attractiveness of a market. Attractiveness in this context refers to the overall industry
profitability. An "unattractive" industry is one where the combination of forces acts to
drive down overall profitability. A very unattractive industry would be one
approaching "pure competition".
The model of the Five Competitive Forces was developed by Michael E.
Porter in his book “Competitive Strategy: Techniques for Analyzing Industries and
Competitors” in 1980. Since that time it has become an important tool for analyzing
an organizations industry structure in strategic processes. Porter’s model is based
on the insight that a corporate strategy should meet the opportunities and threats in
the organizations external environment. Especially, competitive strategy should
base on and understanding of industry structures and the way they change.
Porter has identified five competitive forces that shape every industry and
every market. These forces determine the intensity of competition and hence the
profitability and attractiveness of an industry. The objective of corporate strategy
should be to modify these competitive forces in a way that improves the position of
the organization. Porter’s model supports analysis of the driving forces in an industry.
Based on the information derived from the Five Forces Analysis, management can
decide how to influence or to exploit particular characteristics of their industry.

The five forces are;

 Threat of new entrants
 Bargaining power of suppliers
 Bargaining power of buyers
 Threat of substitute products
 Rivalry among competitors
THREAT OF NEW ENTRY

 Milma have well established brand names and fully differentiated price
 It has the capacity to retaliate when new firm enter into the industry
 Capital requirement in the initial phase is high because plant and machinery
is expensive hence it acts as an entry barrier to new firm
 Milma have high brand loyalty among customers - So the threat of new entry
is very low for milma
BARGAINING POWER OF SUPPLIERS

 There is ample supply of cows and bulls for rearing and cross
breeding purposes
 They are available at very low prices also.
 Consumer switching cost is low
 Consumers have intense knowledge about products of Milma – So Bargaining
 power of suppliers is low in case of Milma.

BARGAINING POWER OF BUYERS

 Concentration of buyers are more

 Buyer has full information about products of Milma
 Milma is comprised of large numbers of relatively small sellers.
 Buyer's purchases are a sizable percentage of the selling industry's total
sales – So the power of buyers are high in Milma.

THREAT OF SUBSTITUTE

 Demand of fresh milk in domestic and overseas market is increasing.

 Milk has been universally accepted as it possess the essential vitamins and
minerals required for good health
 There are substitutes in soya based formulas or goats’ milk, but the
 demand for them are low and does not pose a major threat to cows’ milk.
 Buyer have less propensity to substitute Milma products – So the threat of
substitute is low in Milma.

COMPETITIVE RIVALRY

Competitors are numerous for Milma

 Products are undifferentiated

 Consumer switching costs are low
 Exit barriers are high
 Competitors are strategically diverse – So competitive rivalry is high in Milma
OBSERVATION, RECOMMENDATIONS AND CONCLUSION
4.1 OBSERVATION:

 The co-ordination between the department is appreciable.

 Most of the employees are satisfied with the welfare facilities.
 The procedure of customer satisfaction is strictly followed.
 Majority of the employees are satisfied with quality of equipments used in the
organization.
 Improve the marketing strategies ie, advertising, promotion.
 The company needed to improve accounting processes to reduce working capital
requirements.
 Majority of the employees were dissatisfied with involving the decision making
process.
 Most of the employees were dissatisfied with the personal contribution of their peers.
 Most of the employees are satisfied with their personal life.
 Most of the employees are agreed with morning work

4.2 RECOMMENDATIONS:

 The organization need to improve the working conditions.

 Team work should be encouraged with appropriate rewards and awards.

 Employee’s suggestions must be recognized by the management.

 Workers participation in management concept has to be adopted so as to increase the

employees involvement and commitment in the decision making process.

 The superiors in the organization should encourage, guide and motivate the
employees to share their ideas, views, and suggestions, so as to improve their
performance.
4.3 CONCLUSION:
The organization study at Milma was done with an objective to understanding how an
organization function, what are its major departments and functioning of these departments.
The study at Milma provided the opportunity to learn the organizational goals and objectives,
various departments that conduct critical function and interrelation between them.

Milam observed to be a organization that not only has an objective of working

profitably but also a socially responsible organization that cares of different section of the
society viz ; the mlik producers and the consumers.
 BIBLIOGRAPHY

REFERENCE BOOKS

 P.Subba Rao, Personal and Human Resource Management published by Himalaya

publishing.

 Stephen P Robbins, Organisational Behaviour, Himalaya Publishing House, Delhi

13th Edition.

 European Journal of Business and Management, ISSN 2222-1905 (Paper) ISSN

2222-2839 Vol 4, No.9, 2012

 Gitali Choudhury, The dynamics of organizational climate an exploration, Vol. VII,

No. 2; Dec., 2011

Web Sites
 www.milma.org
 www.milmatrcmpu.com
 www.organisationalclimate.com
 www.humanresource.com
S
SPECIAL CONCEPTS

Working Environment

Work environment is used to describe the surrounding conditions in which an

employee operates. The work environment can be composed of physical conditions, such as
office temperature, or equipment, such as personal computers. It can also be related to
factors such as work processes or procedures.

Stress

Stress state of mental and worry caused by problems in your life, work, etc. the
deformation caused in a body by such a force a physical, chemical, or emotional factor that
causes bodily or mental tension and may be a factor in disease causation.

Health

It is a "State of complete physical, mental, and social well being, and not merely the
absence of disease or infirmity." Health is a dynamic condition resulting from a body's
constant adjustment and adaptation in response to stresses and changes in the environment for
maintaining an inner equilibrium called homeostasis.

Promotion

Promotions refer to the entire set of activities, which communicate the product, brand
or service to the user. The idea is to make people aware, attract and induce to buy the
product, in preference over others.

Job involvement
The degree to which an employee is engaged in and enthusiastic about performing
their work. Business managers are typically well aware that efforts to promote job
involvement among staff tend to pay off substantially since employees will be more likely to
assist in furthering their company's objectives.

Job satisfaction
Job satisfaction is the level of contentment a person feels regarding his or her job.
This feeling is mainly based on an individual's perception of satisfaction. Job satisfaction can
be influenced by a person's ability to complete required tasks, the level of communication in
an organization, and the way management treats employees.

Employee relation
Employee Relations are the skill-set in the body of work concerned with maintaining
employer to employee relationships that contribute to satisfactory productivity, motivation,
and morale.

Decision making

Decision-making can be regarded as the cognitive process resulting in the selection of

a belief and/or a course of action among several alternative possibilities.
 COMPANY HIGHLIGHTS

 Ownership status of the company : Co- operative organization

 Operational status : Manufacturing processing and

marketing

 Marketing status : National

 Year of starting 1985

 Competitors : Amul, Aavin etc.,

 Wage payment : Monthly basis

 Total employees : 287

 Name of the product : Milk and milk products

 Promotion : Performance appraisal & Seniority

 Company branch : Kerala