ANAND MILK UNION LIMITED
HISTORY OF THE ORGANIZATION
1946- First milk union was established.
Union was started with 250L milk per day.
1995 - AMUL was established.
AMULYA means PRICELESS.
Since 1946, the product has been used in millions of homes.
Leading food brand in India.
Proven model for dairy development.
Amul butter, Amul Milk Powder, Amul Ghee, Amul Cheese, Amul chocolate, Amul ice cream, Nutramul etc.
Main supplier of milk was POLSON DAIRY LIMITED.
PROFILE OF THE PRODUCT
Fresh milk Curd product
Amul taaza toned milk Yogi sweetened flavored Dahi (desert)
Amul gold full cream milk Amul masti Dahi
Amul slim and trim double toned milk Amul masti spiced butter milk
Amul cow milk Amul lassee
Cheese range Ice cream
Amul Pasteurized processed cedar cheese Royal treat range
Amul processed cheese spread Nut-o-mania range (Kaju Drakshi,
Amul pizza (mozzarella) cheese kesar pista, roasted almond etc.)
Amul malai paneer (cottage cheese), Utsav range
frozen Simply delicious range (vanilla,
Utterly delicious pizza strawberry, rose, chocolate)
Bread spread
Amul butter
Amul lite low-fat bread spread
Amul cooking butter
MISSION, OBJECTIVE, AND STRATEGIES OF THE ORGANIZATION
Objective:
Mission:
Make India the biggest producer of milk and milk
Their mission is to manufacture the most effective
production within the world.
merchandise of outstanding qualities, providing
Supply goods with the best of quality and purity at
connected services and solutions to their customers
very reasonable rates. It helped to reduce
whereas utilizing the most recent technologies,
malpractices carried out by merchants and milk
highest business-standard, and their main motive is
traders.
to make every customer SMILE.
Aim to extend India's production of milk and milk
product.
Strategies:
Customer centricity
Innovation
Pricing strategy
Marketing strategy
POLICIES AND PROCEDURES FOLLOWED
Code of conduct- it also cover privacy and conflict of Recruitment resolving employment issue.
interest. Training and development of employee
Discipline, misconduct and investigation of employee Protection of company’s asset
including expenses. Long service award
Health and safety Travel and transport policy
Leaves Use of company equipment
Working hour and over timing which include time in Pension and perks.
lieu and flexible. Extension of services.
Protection of confidential information.
Appraisal for best performer.
Organizational structure
FUNCTION OF VARIOUS DEPARTMENT AND THEIR MANAGERS
Procurement and Input Department Transport Department
This department have the responsibility to This department is responsible for transportation of
procure the milk from different dairy from raw material for production or finished product
different places. They look after the from one place to another. They provide jeep,
requirement of the dairy farmers. tanker etc.
Financial Department Production Department
It is operated at centralized level. This department is the most important
different level manager work in order department. it plays important role by
to maintain the financial statement. processing the raw material into
They also try to raise fund and allocate pasteurized milk. It also process the
them in different functions. They also milk procured from different district.
assess the financial statement to find
profit and loss and revenue earned
during the financial year.
Quality Control Department
This department is responsible for checking the quality of milk product
and pasteurized milk before reaching the product to the customer. They
are also responsible for checking the quality of machinery. It includes:
Freshness test
Cleanness Engineering Department
Foreign particles This department is responsible for
Urea test keeping the machinery equipment at a
Glucose proper working condition.
Sugar
Salt
Formalin
Starch Store Department
Mineral oil test This department is responsible for live
Milk fat stock feed, storing of product,
Milk SNF (Solid Not Fat) machinery.
SWOT ANALYSIS
Strengths: Weakness:
The major strength of the Amul is the different There are various competitors in the chocolate
variety of milk they have. market, leads to restriction to there growth.
Have a recognized brand name. Lack of capital invested as compared to
They have strong network of over 3million of milk company.
producers. Lack of proper distribution channel in India.
It is the world largest manufacturer of pouched There is a strong competition from international
milk. and domestic player, in the ice cream product.
Affordable price of all the product available.
In butter segment it is only market leader.
Strong network on Amul retail outlet.
Popular mascot in the Amul girl.
Successful advertising and marketing campaign.
Opportunities:
Lot of potential for growth and development as large number
of people stay in rural market where competitors are not
targeting.
Chocolate market is at growth with very less competition.
So, by introducing good brand and good advertisement can
be a very good scope in future.
Increase in purchasing power of Indian citizens.
Threats:
There is a threat from other companies who hold a major share
of consumer in Indian market. i.e. Cadbury and nestle.
Strong competition from international player.
Threat of new entrants in the Indian market.
Strong supply chain management of competitors.
SIGNIFICANT FACTORS OF SUCCESS
Dairy farming known as the largest business all over the world. Nowadays, for being a
successful dairy farmer include the awareness and understanding of dairy technology, learning
preparation and production skill. There are some important factor, which are helpful to get
success in dairy farm:
Increase effectiveness
It is important to know how to reduce waste resources and time. It is the main factor to make
profitable production. Manufacturing firm require work and effort to be put into better
equipped system to become success. Any manufacture can get success all the way through less
waste.
Cont.
Increase profitability
All type of risk handling in better way leads to profit generation. The most important factor that are
very helpful to get success in milk business it is important to use the best milk processing equipment
for milking purpose. If they use the best equipment, they will get better milk production for their
organization as well.
SYSTEM OF ACCOUNTING FOLLOWED
They follow the Accrual System( record revenue and expenses when they
are incurred) of accounting for the preparation of accounts.
Financial statement are prepared on the historical cost convention and in
accordance with the Generally Accepted Accounting Principles.
PRODUCT PROMOTIONAL MEASURE
Consumer promotional method Dealer promotion method
Distribution of free samples. Advertisement allowance
Free gifts Quantity discount
Reduction in price Incentives to salesman
Special price Training
Demonstration Meeting and seminars
Money back guarantee commission
Decoration and display at the shop
CAREER PLANNING AND PROMOTION POLICY OF EMPLOYEE
Career planning Promotion Policy of Employee
Performance appraisal Promotion policy is yearly based on the
Pay, allowance and benefits organization, and it is given according to
Talent management their performance.
Training and development
Leave rules
Travel and transfer policy
Staff welfare
Retirement benefit
Separations
TRAINING MEASURES
VMS( Variational Multiscale) workshop
It aims at to create a document on vision , mission and strategy for village dairy co-operative
societies. It help the dairy farmers for future planning.
Milk Day Celebration
The program aims at gathering of all members including top level managers also and
respective producers members of dairy co-operative societies to identify and solve their
problems.
Self-Managing Leadership Program
Amul undertakes this program for women resource person to bring a value based approach
in development process. To achieve its objective it work through a professionally managed
structure which links the village level milk producers to the milk consumer in the cities.
SYSTEM FOLLOWED FOR PURCHASE OF MATERIAL
Village Level Dairy Cooperative Society
It collects the milk from the farmer members. Animal health and other support and services are
routed through the DCS to the farmers.
Districts Level Milk Unions
It provide support and services to the farmers by routing them through the villages DCS. It sell cattle
feed, organize fodder development programs and make available good quality fodder seeds, provide
artificial insemination facilities etc.
State Level Federation
The apex federation provides marketing services and other support to district milk unions of the state.
It also help the milk unions of the state. It also help them to market outside the state.
IT SYSTEM USED
IT have helped them in fast decision making and better product quality and at the same time
reducing the costs of operation.
All the entities like; Operations, Marketing, Accounting, Inventory and Human resources
have a common system that enables consistent reporting of management and operational
units.
HRD MEASURE
HRD measure
For Blue Collar Employees(working class person who
Canteen performs manual labor.)
Transportation Family visits
Uniform Retirement plan
Award
Fitness camp
Health talk
MANPOWER PLANNING
Recruitment and selection
Manpower budgeting
Designation
Probation and confirmation
Absenteeism
Employee code of conduct
Employee record
Performance appraisal
Talent management
Staff welfare
Retirement benefit
Long service award
FUTURE PLAN FOR GROWTH OF THE ORGANIZATION
Engaging with globally reputed consultants who are helping them in their cost optimization network and
expand their coverage to maximum reach.
Improve its technology and distribution of information and it helps to improve the relationship between
the company and customer.
It will focus on working across the globe to attract their customer with an innovative new product.
They also plan to expand their number of servings of their product.
To build a strong partnership with their supplier and dealers.
VIEWS OF MANAGER
Marketing manager of Amul said that the youth has to come up with the innovative idea for more
success. Even they require fund for more advertisement for the promotion of their product.
ADVANTAGE AND DRAWBACK OF ORGANISATION STRUCTURE.
Milk and their different product are important from nutritional point of view as it contain all the
essential nutrition required in human diet.
It provides reference for employees to help them understand their role in the organization.
This industry also help in maintaining the fertility of soil. It also help in grass land farming as well. The
manure is also produce from the cattle dung, which return food nutrients to the soil.
This industry got a big requirement of labour and this keep their farmer busy through out the year.
DISADVANTAGE
Less communication between the department which leads to less coordination among employee.
There is a chance that employee can get frustrated when they have to work for more than one
department which lead to lack of cooperation.
the company must keep a watch on its primary competitors in the market in order to be able to
compete with them.
the company should use a new attractive system of word of mouth advertisement to keep alive the
general awareness in the whole market as a whole.
RECOMMENDATIONS
There should be regular meeting of Head from all the Department should be conducted which help them to
coordinate properly.
Try to minimize the competition among the department which help them to focus on the organizational
objective.
Suggestion scheme in organization should also be encouraged where employees are welcome for the
suggestion.
Modification
Company should make effort for home delivery packed milk which can help them to boast the sale.
More monthly meeting should be conducted. Customer is the king because he has got various choices
around him