1AMUL DAIRY ON ADVERTISING KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS‘UNION LIMITED ANAND

7/31/2019 1AMUL DAIRY ON ADVERTISING KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERSUNION LIMITED ANAND

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A PROJECT REPORTON

WORKING OFAMUL DAIRY ON ADVERTISING

KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERSUNIONLIMITED

ANAND

Prepared by Guided byHARSH R DAVE Prof. VIJAYANTIM.B.A SEM-2 TIKYANI

SUBMITTED TO

Dr. J. K. Patel Institute Of Management(AFFILIATED TO GUJARAT TECHNOLOGICAL UNIVERSITY)

Waghodiya, baroda.IN THE YEAR 2011


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ANAND MILK UNION LIMITED

THE KAIRA DISTRICT CO-OPERATIVE MILK

PRODUCERS UNION LIMITED

ANAND

Dr. J. K. Patel Institute of Management

CERTIFICATE

This is to certify that Mr HARSH DAVE student of Master of Business

Administration (Batch 2010-2012) at Dr. J. K. Patel Institute of Management,

Vadodara have undertaken a Project Titled Marketing in partial fulfillment of 2

years full time MBA programme of Gujarat Technological University,Ahmedabad. The Summer Internship Project has been undertaken under the

guidance of Prof. VIJAYANTI TIKYANI, faculty of Dr. J. K. Patel Institute of

Management.

This is also to ascertain that this project has been prepared only for the award of

Master of Business Administration degree and has not been submitted for anyother purpose.

Prof. Dr.AbhijeetChatterjeeFaculty Guide DirectorVIJAYANTI TIKYANI

Date:15/7/2011Place:Baroda


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The MBA programmed is well structured and integrated course of business studies.

The main objective of practical training at MBA level is to develop skill in student by

supplement to the theoretical study of business management in general. Industrial training

helps to gain real life knowledge about the industrial environment and business practices. The

MBA programmed provides student with a fundamental knowledge of business and

organizational functions and activities, as well as an exposure to strategic thinking of

management.

In every professional course, training is an important factor. Professors give us theoretical

knowledge of various subjects in the college but we are practically exposed of such subjects

when we get the training in the organization. It is only the training through which I come to

know that what an industry is and how it works. I can learn about various departmental

operations being performed in the industry, which would, in return, help me in the future

when I will enter the practical field.

Training is an integral part of MBA and each and every student has to undergo the training

for 2 months in a company and then prepare a project report on the same after the completion

of training.

During this whole training I got a lot of experience and came to know about the

management practices in real that how it differs from those of theoretical knowledge and the

practically in the real life.

In todays globalize world, where cutthroat competition is prevailing in the market,

theoretical knowledge is not sufficient. Beside this one need to have practical knowledge,

which would help an individual in his/her carrier activities and it is true that Experience isbest teacher.


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With immense pleasure, I would like to present this project report for Kaira DistrictCo-operative Milk Producers Union Ltd., Anand. It has been an enriching experience forme to undergo my summer training at AMUL, which would not have possible without the

goodwill and support of the people around. As a student ofDR. J. K. PATEL INSTITUTEOF MANAGEMENT I would like to express my sincere thanks to

all those who helped me during my practical training programmed.

I would like to give my heartily thanks to Mr. J P BHOI, Manager of

Administration, who permitted me to get training at AMUL. I am very thankful to Mr.SIRFRAJ PATHAN who helped me at every step whenever needed and who arranged allpossible visits for me at AMUL.

As we know research work needs hard work, keen insight and long patience with

scholarly vision based on content operation hence it becomes a humble duty to express my

sincere gratitude to Mr. PRATIK SIR, marketing in charge.

However, I accept the sole responsibility for any possible error of omission and would

be extremely grateful to the readers of this project report if they bring such mistakes to mynotice.


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Declaration

I am HARSH DAVE here by declare that the report on summer internship program

and project work entitled marketing of advertising is prepared by myself, if in this report

any kind of mistake so I am responsible for that.

Date:15/7/2011 HARSH DAVEPlace:Baroda


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CONTENTS

SR.NO. PARTICULARS

1 EXECUTIVE SUMMERY

2 INTRODUCTION AND HISTORY

3 ORGANIZATION PROFILE

4 VISION AND LOGO5 THE BRAND NAME OF AMUL

6 PLANTS

7 ORGANIZATION STRUCTURE

8 BOARD OF DIRECTOR

9 AMUL PRODUCTS

10 MARKETING DEPARTMENT- INTRODUCTION

-ORGANIZATION STRUCTURE

- MARKETING MIX- DISTRIBUTION CHANNEL- MARKET SEGMENTATION- SALES

11 H.R. DEPARTMENT- INTRODUCTION

- SELECTION PROCESS

- PERFORMANCE APPRAISAL

- WAGE AND SALARY ADMIN.

- COMPENSATION

- TRADE UNION

12 FINANCE DEPARTMENT

- INTRODUCTION

- ORGANIZATION STRUCTURE

13 ADVERTISING

14 CONCLUSION

15 SWOT ANALYSIS

16 FINDING AND SUGGESTIONS

17 BIBLIOGRAPHY


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EXECUTIVE SUMMARY

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.

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,

The commercial department conducts all promotional activities of local area. The

pricing decision of milk and buttermilk is taken at commercial department. The marketing

work is handle by GCMMF.

The production department produces the product with the help of latest technologies.

The production is done according to ISO marks requirement.

The milk procurement department gets the milk every day two times from 92 routes

and 1073 societies. For the maintenance of quality of milk there are 150 chilling units


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INTRODUCTION AND HISTORY

In the year 1946 the first milk union was established. This union was started with 250

liters of milk per day. In the year 1955 AMUL was established. In the year 1946 the union

was known as KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS UNION.

This union selected the brand name AMUL in 1955.

The brand name Amul means AMULYA. This word derived form the Sanskrit

word AMULYA which means PRICELESS. A quality control expert in Anand had

suggested the brand name AMUL. Amul products have been in use in millions of homes

since 1946. Amul Butter, Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul

Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya have made

Amul a leading food brand in India. (The total sale is Rs. 6 billion in 2005). Today Amul is a

symbol of many things like of the high-quality products sold at reasonable prices, of the

genesis of a vast co-operative network, of the triumph of indigenous technology, of the

marketing savvy of a farmers' organization. And have a proven model for dairy development

(Generally known as ANAND PATTERN).

In the early 40s, the main sources of earning for the farmers of Kaira district were

farming and selling of milk. That time there was high demand for milk in Bombay. The main

supplier of the milk was Polson dairy limited, which was a privately owned company and

held monopoly over the supply of milk at Bombay from the Kaira district. This system leads

to exploitation of poor and illiterates farmers by the private traders. The traders used to

beside the prices of milk and the farmers were forced to accept it without uttering a single

word.

However, when the exploitation became intolerable, the farmers were frustrated. They

collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the

freedom movement. Sardar Patel advised the farmers to sell the milk on their own by

establishing a co-operative union, Instead of supplying milk to private traders. Sardar Patel

sent the farmers to Shri Morarji Desai in order to gain his co-operation and help. Shri Desai

held a meeting at Samarkha village near Anand, on 4th January 1946. He advised the

farmers to form a society for collection of the milk.


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These village societies would collect the milk themselves and would decide the prices

at which they can sell the milk. The district union was also form to collect the milk from such

village co-operative societies and to sell them. It was also resolved that the Governmentshould be asked to buy milk from the union. \

However, the govt. did not seem to help farmers by any means. It gave the negative

response by turning down the demand for the milk. To respond to this action of govt., the

farmers ofKaira district went on a milk strike. For 15 whole days not a single drop of milk

was sold to the traders. As a result the Bombay milk scheme was severely affected. The milk

commissioner of Bombay then visited Anand to assess the situation. Having seemed the

condition, he decided to fulfill the farmers demand.

Thus their cooperative unions were forced at the village and district level to collectand sell milk on a cooperative basis, without the intervention of Government. Mr. Verghese

Kurien showed main interest in establishing union who was supported by Shri

Tribhuvandas Patel who lead the farmers in forming the Co-operative unions at the village

level. The Kaira district milk producers union was thus established in ANAND and was

registered formally on 14th December 1946. Since farmers sold all the milk in Anand through

a co-operative union, it was commonly resolved to sell the milk under the brand name

AMUL.


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At the initial stage only 250 liters of milk was collected everyday. But with the

growing awareness of the benefits of the cooperativeness, the collection of milk increased.

Today Amul collect 11 lakhs liters of milk everyday. Since milk was a perishable

commodity it becomes difficult to preserve milk flora longer period. Besides when the milk

was to be collected from the far places, there was a fear of spoiling of milk. To overcome this

problem the union thought out to develop the chilling unit at various junctions, which would

collect the milk and could chill it, so as to preserve it for a longer period. Thus, today Amul

has more than 150 chilling centers in various villages. Milk is collected from almost 1073

societies.

With the financial help from UNICEF, assistance from the govt. of New Zealand

under the Colombo plan, of Rs. 50 millions for factory to manufacture milk powder and

butter was planned. Dr.Rajendra Prasad, the president of India laid the foundation on

November 15, 1954. Shri Pandit Jawaharlal Nehru, the prime minister of India declared itopen at Amul dairy on November 20, 1955.


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PEOPLE POWER: AMUL'S SECRET OF SUCCESS

The system succeeded mainly because it provides an assured market at remunerative prices

for producers' milk besides acting as a channel to market the production enhancement

package. What's more, it does not disturb the agro-system of the farmers. It also enables the

consumer an access to high quality milk and milk products. Contrary to the traditional

system, when the profit of the business was cornered by the middlemen, the system ensured

that the profit goes to the participants for their socio-economic upliftment and common good.

Looking back on the path traversed by Amul, the following features make it a pattern and

model for emulation elsewhere.


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Amul has been able to:

Produce an appropriate blend of the policy makers farmers board of management and the

professionals: each group appreciating its rotes and limitations,

Bring at the command of the rural milk producers the best of the technology and harness its

fruit for betterment.

Provide a support system to the milk producers without disturbing their agro-economic

systems,

Plough back the profits, by prudent use of men, material and machines, in the rural sector for

the common good and betterment of the member producers and

Even though, growing with time and on scale, it has remained with the smallest producer

members. In that sense. Amul is an example par excellence, of an intervention for rural

change.

The Union looks after policy formulation, processing and marketing of milk, provision of

technical inputs to enhance milk yield of animals, the artificial insemination service,

veterinary care, better feeds and the like - all through the village societies. Basically the unionand cooperation of people brought Amul into fame i.e. AMUL (ANAND MILK UNION

LIMITED), a name which suggest THE TASTE OF INDIA.

Plants

First plant is at ANAND,which engaged in the manufacturing of milk, butter, ghee, milk

powder, flavored milk and buttermilk.


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Second plant is at MOGAR, which engaged in manufacturing chocolate, nutramul, Amul

Ganthia and Amul lite.

Third plant is at Kanjari, which produces cattelfeed


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Fourth plant is at Khatraj, which engaged in producing cheese

name Amul. Today Today, twelve dairies a producing different products under the brandAmul dairy is no. 1 dairy in Asia and no. 2 in the world, which is matter of proud for Gujarat

and whole India.


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Organisation profile

NAME: Kaira district co-operative milk producers union limited, anand.

FORM: co-operative sector registered under the co-operative society act.

LOCATIN: kaira district co-operative milk producers Ltd,

Milk producers Ltd,

Amul dairy road,

Anand-388001

Gujrat.

PREMISES OF AMUL: 49.55 acres

REGISTRATION: 14th December 1946,

REGISTERED OFFICE: Kaira district co-operative milk producers union Ltd Anand388001,

INITIAL PROMOTERS:

(1) Shri tribhovan das patel

(2) Shri morarji desai

(3)Shri vallabh bahi patel

(4)Dr.varghese kurien

OFFICE TIME: 10:00A.M TO 6:00P.M

TOTAL NO OF SHIFT:

1st

shift time: 08:30 A.M TO 04:30 P.M

2nd

shift time: 10:00 A.M TO 10:00A.M TO 06:00 P.M

3rd shift time: 04:30 P.M TO 12:30 A.M


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VILLAGE CO-OPERATIVE SOCITY: 1137

TOTAL NO, OF SOCITY MEMBERS: 543278

BANKARS: kaira district co-operative bank.

Axis bank.

State bank of India

Bank of Baroda

Corporation bank

H.D.F.C bank

AUDITORS: Special auditor (milk) milk audit office anand.


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VISION & LOGO

Vision:

The main Motto of Amul is to help farmer. Amul system works under objective of

highest possible price to the milk producers and lowest possible price to consumer. Farmers

are paid money in cash payment for the milk. Milk gives them money for daily necessities.

Amul is the one who started using their profit for the milk producer common good.

Logo of the amul

Logo of AMUL is a ring of four hands, which are co-coordinated each other. The

actual meaning of this symbol is co-ordination of hand of different people by whom this

union is now at top.

FIRST HAND: Is for farmers (producers), without whom the organization would not be

existed. Farmers are the inspiration of the AMUL-taste of India.

SECOND HAND: Is for the representatives of processors by whom the raw milk processed in

to different finished products.

THIRD HAND: Is for marketers without whom the products would not been able to reach to

the customers.

FOURTH HAND: Is for customers without whom the organization could not carryon because

they are the people who consume the products.


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The brand name of the amul

The Kaira district co- operative milk producersunion ltd selected the brand

Name AMUL for its products range, in 1955.

AMUL word is derived from Sanskrit word AMULYA. And it means that

PRECIOU

PRICELESS

INVALUABLE

It means that one cannot measure the value.

One finds similar sounding word with the same meaning in several Indian

Languages also. The very concept of Kaira unions system of co-operative dairyingWas destined to become priceless for millions of farmers.


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PLANTS

Mogar Plant

It is situated on Anand -Vadodara Highway No. 8. Its Production is Chocolates,Nutramul, Amul Lite and Amul Ganthia. This Plant establish in 1973.

Anand Plant

The products are Milk, Buttermilk, Milk Powder, Butter, Ghee, Flavored Milk etc,. It

is establish in 1973.

Kaniari Plant

The product is cattle feed. Old plant establish in 1964 & new plant in 1980.

Khatraj Plant

It is situated between Nadiad-Mahemdabad. The product is Cheese.

Chilling Center

Kapadvanj, Undel and Balasinor

Satellite Dairy

Balasinor, Undel


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ORGANIZATION STRUCTURE

B.O.D

Chairman Managing Director

General1

Manager

Assistant General Manager

Manager

Deputy

Manager

Assistant Manager

Superintendent

Deputy Superintendent

Senior Officer Officers Assistants

Junior Assistant

Workers

(A to G Grade Workers)


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BOARD OF DIRECTORS

1. Shri Ramsingh P. Parmar Chairman

2. Shri Rajendrasinh D. Parmar Vice Chairman

3. Shri Shivabhai M. Parmar Director

4. Shri Maganbhai G. Zala Director

5. Shri Chandubhai M. Parmar Director

6. Shri Pravinbhai F. Solanki Director

7. Shri Dhirubhai A.Chavda Director

8. Shri Bhaijibhia A. Zala Director

9. Shri Mansinh K.Chauhan Director10. Shri Bipinbhai M.Joshi Director

11. Smt. Madhuben D. Parmar Director

12. Smt. Sarayuben B. Patel Director

13. Shri Ranjitbhai K. Patel Director

Shri B. M. Vyas

(M.D. of GCMMF, Anand)

Shri Rahulkumar Shrivastav

(M.D. of KDCMPUL, Anand)

Shri Deepak Dalai (District Registrar)

Kaira District Central Co-operative Bank

U.T.I. Bank

State Bank of India

Bank Of Baroda

Bank Of Maharastra

Corporation Bank

Auditor:- Special Auditor (Milk), Milk Audit Office, Anand.


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AMUL PRODUCTS

Products:-

Milk.

Butter.

Cheese.

Milk Powder.

Condensed Milk.

Baby Food.

Ghee.

Nutramul.

Chocolate.

AMUL Butter Milk.

AMUL icecream.

Dan (Cattle Food).

Peda

kajukatri

Industrial products:-

Coco Butter.

Coco Powder.

Coco Mass.

Cream.


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Amul Butterz

Amul Chocozoo


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Amul masti Dahi

Amul pure ghee

Amul Mithaee Gulab Jamuns


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MARKETING DEPARTMENT

INTRODUCTION

Every organization that produces one or more products requires marketing of the

products sell them in the market. It is only through marketing that people know about a

company's products. Hence marketing is considered as a key activity of organization. The

organization requires sound marketing structure to carry on its marketing activities.

However the concept of marketing is not confined only to selling of goods and

services to customers. Instead the company tries to create and maintain the customer base

through marketing. The marketing thus focus on the customer needs and wants in the market

and emphasis on producing and selling only those goods, which have higher demand in

market. The company mainly markets its products through advertising. Marketing uses

various sales promotional tools to boost the sales of the company. The marketing department

thus should have sound distribution channel and promotional system to make the marketing

activities sound.


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Organization Structure:

Managing Director

Deputy Manager

Product-dispatch Superintendent

Manager

Deputy Superintendent

Senior Officer

Assistant


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Marketing Mix:

The marketing mix is a set of four elements: Product, Price, Place and Promotion and

this is decided by GCMMF.

1. Product:

At AMUL, "GUJARAT CO-OPERATIVE MILK MARKETING FEDERATION

LIMITED (GCMMF)" does the product planning at national level. It is the duty of GCMMF

to plan the new product by conducting the market survey at the state and national level.

However, issues of product lunch at the local level are taken care of by Amul itself. The Amul

has set up the commercial department, which conducts the survey in the local areas through

business. The new product decisions are also taken by the GCMMF.

2. Price:

The prices of products of Amul are also decided by the GCMMF. The GCMMF

conducts the market survey to check the validity and feasibility of prices in the market and

accordingly decides the prices of Amul products. However, the price is inclusive of several

elements like,

Cost of Milk

Labor Cost

Processing Cost

Packaging Cost

Advertising Cost

Transportation Cost

Sales Promotion Cost

Taxes etc.

The GCMMF considers all these cost aspects and set them up in pricing structure to

decide the jelling price of milk and milk products.


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3. Promotion:

AMUL, promotes its products through newspaper, Television, hoardings etc.

Television is the best media for advertising. The GCMMF however uses hoarding for

advertising in local areas. Hoarding designed on the creative basis attract the customer

more.

Advertising/Promotion

Amul uses the following advertising/promotion sources:

Television

Direct Mail

Personal contacts

Trade associations

Coordinators/ references

4. Place:

AMUL has developed federation and AMUL parlors located in several parts of

country. The GCMMF handles the works relating to managing of stocks and distributors in

country. Thus GCMMF looks after the disbursement of products to the various marketing

channel.


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Amul Dairys distribution channels

Amul Dairy

GCMMF

Area Depot

Distributors

Retailers

Consumers


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Market Segmentation:

At Amul, since the marketing activities are handled by the GCMMF, market

segmentation is also decided by GCMMF. The GCMMF determines the market size and

market its product accordingly in the market so that the product can be easily sold in the

market. Generally milk and milk products like butter and cheese arc popular in the all age

groups. Hence they arc segmented at the national level. Milk products like chocolate and

milk powder are segmented on the basis of age, that is for children but they arc also

marketed at national level. The GCMMF conduct the market survey to know the demand for

the products of Amul in the market and then accordingly determines the market segment,

defines the target market and emphasis on the demand of population in that particular

segment. The GCMMF has developed the marketing information system, which takes care of

such issues.

Amuls sales:

Sales Turnover Rs (million) US $ (in million)

1994-95 11140 355

1995-96 13790 400

1996-97 15540 450

1997-98 18840 455

1998-99 22192 493

1999-00 22185 493

2000-01 22588 500

2001-02 23365 500

2002-03 27457 575

2003-04 28941 616

2004-05 29225 672

2005-06 37736 850

2006-07 42778 1050

2007-08 52554 1325

2008-09 67113 1504

2009-10 80053 1700


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COMPETITROS:

Competitors are the person who produce and sales the same

product by the unit affect the business with several causes. The main rivals of AMUL are asfollowing.

Rich milkSardar milkNestleBritanniaCheese of Le-BoenGowardhan


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HUMAN RESOURCE DEPARTMENT

INTRODUCTION

"Management is getting things done by people."

There is one popular theme in the management "MAN IS MASTER" and AMUL

follows this theme. Generally organization is run with the help of five Ms viz. Man, Money,

Material, Machine and Market. However it is impossible to seem the organization without

human resource. Thus human resource comprises the value of the organization by effective

and efficient work.

HRM is concerned with integration - getting all the members of the organization in

loved and working together with a sense of common purpose. Human resource taker active n

le in the modern economic scenario of any company. The management of men is not only

fundamental but also dynamic and challenging Task.

The human resource management has thus become important to manage the human

resources properly in the organization. Therefore, the organizations involves human resource

department to take care of human aspect in the organization. The structure of the human

resources management department is as under:


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Selection:

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 checkup

Selection


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Performance Appraisal System :

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 highlyuseful in making decision regarding the promotion, transfer, wage and salary administration

etc.

The Amul adopts the following appraisal system

Promotion Period Appraisal For

1 year Managers

3 year Officers

1 year Workers

1 .5 year Temporary Workers

Final confirmation with the recommendation by the divisional heads comes from the

MD on annual basis. His work is evaluated and if his work is not found satisfactory, he is

terminated from his job. At present Amul has adopted open system under which the employee

himself writes in which work he needs training and asks to the management to arrange for it.


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Wage And Salary Administration :

It is a universal fact that no one will work without any reward. Thus an employee has

to be properly rewarded for his services rendered to the organization. He should be paidreasonable wage or salary. The salary or wage is the remuneration for his service to the

organization.

At Amul, wages and salaries arc paid on monthly basis. A time rate wage system is

followed by the organization. The salary of an employee would include basic salary plus

allowances like house rent, medical allowance, clearness allowances, performance

allowances, festival allowances, travel allowances, education and development allowances,

leave allowances etc,. Besides provident fund is also paid out from the monthly salary.

A common method is followed for the wage and salary administration. The present

catalogue record received from the tine keeping officer is maintained of each employee in the

register, which is known as "Muster Roll".

Timekeeper sends that muster roll to the account department for attendance of each

and every employee. This will analyze and entered in the computer. The report is scrutinized

and statutory and non-statutory deductions are made. After this salary is calculated for each

employee through computer according to that they prepare salary sleep of employees.

The wages are paid in cash and also credited to their savings or current account. The

wages and salaries paid according to the grade wise. Amul delegates grades like A, L, C. D,

E, F, and G.


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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 get injure that lime organization take care of that employee. If

the employees under medical treatment and unable to came in organization for job, than 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 get injure that time disability certificate

take as an evidence for the payment of compensation. According to disability certificate

union decide 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 'o 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.

Trade Union:

Trade unions as we know exist in inmost every organization. Trade unions are the

typical unions made up of employees of that particular organization. Generally the

employees in order to get better working conditions, better pay scales and to protect

themselves from exploitation form Trade Unions. Trade unions perform the basic activities of

discussions and negotiations with the management regarding the issues of conflict.


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At Amul there are tree trade unions in existence. One trade union is for workers the

other is for clerical staff and finally one is for officials. In the initial stage there were many

strikes had for 2 to 3 days of workers. Last strike was for 10 days in the year 1985. However

since then Amul has been faced harmonious relations with trade unions. Since Amul is a co-

operative organization each member of trade union works as a member of the Amul family.

Further more Amul holds the monthly discussions with all their employees to share with them

the problem" they night be facing. This awakens the mutual under standing between the

management and employees.


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FINANCE DEPARTMENT

INTRODUCTION

Financial Management is an activity, which is concerned with the acquisition and

conservation of capital funds in meeting financial needs and overall objectives of a business

enterprise.

In Financial Management process following points are considered:

Financial Analysis

Financial Decision-Making

Financial Planning

Financial Control

Finance department is that managerial activity concerned with the planning and

controlling of the firm's financial resources. Among all the 5 Ms, i.e. man, money, machine,

material and market. Money plays a vital role ion the organization. Finance is the lifeblood

for the success of an organization. For the organization to grow and develop an even basis,

availability or finance on adequate basis is the prime requirement.

The financial management involves critical decisions on which the very survival of the

organization depends. The main financial decisions are as follows:

Investment Decision.

Financing Decision.

Dividend Decision.

Financial decisions are thus very crucial and important, decisions for the firm. The

main function of finance department is to tackle The day to day financial requirement and

other short term and long term expenses, which an organization incur quite often.

All the other department of the organization strongly depends upon the financedepartment to carry on their departmental activity efficiently. Hence it is the responsibility of


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the finance manager to manage the finance function with proper care. Adequate financial

availability in time in the organization would lead to organizational success and the failure

to manage finance will thus lead to inefficiency.

IMPORTANCE OF FINANCIAL MANAGEMENT

Proper finance is the real key to the success of any business enterprise. Without

proper finance a business neither survives nor expands and modernizes. It is the finance,

which works like a lubricant, which keeps the organization dynamic. Keeps men and machine

at work. The following are the points highlight the importance of finance.

Finance for business promotion. .

Finance management for optimum use of firm.

Use for co-operation in business activities.

Useful in decision-making.

Determinant of business success.

Measurement of performance.

Basis of planning, co-operation and control.

Useful to shareholders and investors.


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ORGANIZATION STRUCTURE

Finance management is vital as well as crucial part of management as whole and

involves planning, allocation of resources and their control. The ultimate responsibility offinance decisions lies with the top management. The nature of finance organization differs

however from firm to firm.

Top management takes the complex and important financial decisions and middle

level personnel take other decisions. The account department is divided in to various other

sections like.

1. Account Division

The Function Of this Division is prepare voucher, bills. It also issue Check for the

payment.

2. ESTA Division

The Function of this Division is to prepare payroll of employee.

3. Purchase Bill Division

The Function of this division is issue Check or Draft to party from whom they

purchase raw material.

4. MIS Division

The Function of this division is handle Data related Account. They have a data base

system for that. They have Accounting software system Tally 6.3. In which they input all

information related Accounting.


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FINANCE STRUCTURE

MD

General Manager

Asst. General Manager

A/C Manager Comm. Manager Pur. Superintendent

Dpyt. Sup. Dpyt. Sup. Dpyt. Sup.

Officers Officers officers

Sr. Asst. Sr. Asst. Sr.Asst.

Jr. Asst. jr.Asst. jr.Asst.


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ADVERTISING

DEFINITION:

Advertising is a paid form of non personal communication about products or

services marketed by an organization or market or company.

Elements of promotion mix:

1) advertising

2) sales promotion

3) personal selling

4) publicity

Role of advertising:

1) to inform

2) to retain

3) to remind

4) to influence

5) to entertain


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STAGES OF ADVERTISING

1) PIONEERING STAGE:

Pioneering stage is related with introductory stage of product life cycle and

in this stage of advertising concentration is on what I am and what can I do for u .

When product is new or when existing product is introduced with new

features you have to tell something through advertisement to the customers or to the target

audience.

2) COMPETITIVE STAGE:

This stage is related with growth stage of maturity. When the product has

capture the attention of the target audience you have to tell about the products through

advertisements.

3) RETENTIVE STAGE:

This stage is related with maturity stage of product life cycle and you have to

remind the customers that I am around for you. Example: vip bags , bajaj ,etc.

4) NO ADVERTISING STAGE:

This stage is related with the decline stage of product life cycle in whichsales declines and expenses increase so you have to stop advertising the product.


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FORMS OF ADVERTISING

1) PRODUCT ADVERTISING:

In this type of advertising concentration is on the following aspects:

1) Brand building

2) generic campaign

2) CORPORATE ADVERTISING:

In this type of advertising concentration is on the following aspects:

1) Corporate image building

2) Public relation

3) SOCIAL ADVERTISING:

In this type of advertising concentration is on following aspects:

1) Awareness campaign

2) product promotion


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PRODUCT CATEGORY AND ADVERTISING ROUTE

1) CONSUMER DURABLE PRODUCTS:

1) The advertisement of consumer durable products should be informative and pront

media is more preferable even though audio, video and print media are there for sending

message to the target audience.

2) The advertisement should be such that it creates preference for the particular brand

in the mind of the customers.

3) Initial products need high level of customer involvement in high process so this

advertisement hope or expect initial response generator.

2) CONSUMER NON DURABLE PRODUTS:

1) The advertisement of consumer non durable product should be emotional or

interactive.

2) The advertisement expect more selling of the product.

3) Use of electronic media .

3) INDUSTRIAL PRODUCT:

1) The advertisement should be educational and awareness generator.

2) Focus on corporate image.

3) Print media is preferred.

3) SEVICES:

1) The advertisement of services should be informative and descriptive.

2) It should be influencer or awareness generator.

3) Print or electronic media can be used even though outdoor media is also playing an

important role.


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SIX MS OF ADVERTISING

1) MISSION:

Mission includes business objectives, marketing objectives and advertising objectives

such as to inform, to remain, to remind, to influence and to entertain.

2) MARKET:

Market addresses questions like who are we communicating with, what does the target

audience respond to and how can these people be reached.

STEPS IN ADVERTISING CAMPAIGN PLANNING:

1) Define the advertising objective and target market.

2) Check the awareness level of target audience.

3) Identify the motivators and demotivators.

4) Establish link between unit selling price(usp) and need.

5) Check media habits of audience.

6) Differntiate the advertising.

7) Position the advertising.


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3) MONEY:

The third M of advertising explains about the money factor that is what amount to be

spent and under what different heads will be spent.

METHODS BY SETTING ADVERTISING BUDGET:

The following are the methods of setting advertising budget:

1) Percentage of sales method.

2) Affordable method.

3) Competitive clarity method.

4) Objective and task method.

MAJOR ADVERTISING BUDGET HEADS:

1) Media expenses:

This include the cost of releasing the advertisement in the selected medias.

2) Agency charges:

This include the expense of hiring the agency to do the job.

3) Production charges:

This include the cost of preparing advertisement.


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4) MESSAGE:

APPROACHES TO MESSAGE DESIGN:

1) Interactional approach:

Under this approach the concentration is there on interaction with actual users who

talk about the benefits of the products.

2) Transformational approach:

Advertisements which attach the experiences with the use of products are called

transformation advertising. The following appeals are used:

1) Humour:

Laughter is the best medicine and the fact that humour is universal bonding factor.

2) Fear:

In some advertisement we see the fear directly or indirectly.

3) Emotional:

Love , responsibility , loneliness and hate are the aspects which are highlighted in the

advertisements.

3) Comparative approach:

Two type of comparison is shown in the advertisement that is direct and indirect

comparison.


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DESIGNING OF PRINT ADVERTISING:

1) Logo:

It is a symbol or trademark of the company.

2) Head line or sub head line:

Head line carry promise made by the product and sub head line carry on with the head

line while spelling out the benefits in the clear term.

3) Body copy:

Body copy is the amplification the claims made through the head line and sub head

line.

FACTORS AFFECTING CREATIVE CONTENT:

1) Market:

The profile of target market decide the language to be used, ideas to be forwarded and

models to be used.

2) Mission:

The mission of advertising may be to remind, to inform, to retain or to entertain.

3) Product profile:

You have to think about what is your product and to whom you have to targeted a

product.

4) Product life cycle stage of the product:

If the product is in introductory stage the content shoule be informative and educative,

If it is in growth than message should highlight advantages over competitive products, if it is

in maturity you have to remind customers and if it is in decline stage than you have not toadvertise the product.


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GUIDELINES TO CREATE A GOOD MESSAGE:

The following are the guidelines to create good message:

1) Be specific.

2) Keep it short and simple.

3) Sell the benefit.

4) Make copy or visual excting.

5) Use of celebrities and opinion leaders.

6) Use of contrasting especially of colours.

7) Exploit the potential of colour.

8) Use of kids.


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5) MEDIA:

The following are the different categories of media available for the advertising

products.

1) Print and non print media

2) Audio, video and audio-video media.

3) Print, electronic and outdoor medias.

Media planning:

Media planning is a process that involves selecting the right media vehicles to carry

the advertising to target audience.

Factors affecting media choice:

1) Product and media match.

2) Reach of media.

3) Cost of media.

4) Competitors presence.


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6) MEASUREMENT:

Measurement is the important aspect or element of advertising. For measurementaspect of advertising we have to consider or think about designing advertising goal for

measuring advertising result approach.

The market has to concentrate on the following approach:

1) Change in sales before and after advertising.

2) Meeting of advertising objectives.

3) Reaction of target audience to the advertising campaign.

Whatever measurement activities are there of advertisement it is related with the

following:

1) Communication effect research.

2) Sales effect research.


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CONCLUSION

Amul is a highly successful co-operative sector in world. Which truly work for

farmers who are the members of union. All departments are working well and help the union

to reach towards top position. I have list out some recommendations. They are as follows.

Special Seminar should be arranged in village for guiding the village people in

proper take care of Animal. Amul should do research actively in village for guiding the

village people in proper take care of Animal. Amul should do research activity in animal

husbandry practice to increase the milk production.

Amul has competitive established system. The four hands of Amul are working

successfully with corporation. The people of Amul are very co-operative and enthusiastic.

Amul is famous as Anand pattern for its co-operative organization in world. So its a

matter of proud for the people of Anand as well as India. Amul is really The Taste of

India.

According to my point, success factors of Amul are hard work, discipline, co-operativestructure, production technology development.


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SWOT ANALYSIS

Strengths:

Demand profile

Margins

Flexibility ofproduct mix

Availability of raw material

Technical manpower

Weaknesses:

Perishability

Lack of control over yield

Logistics of procurement

Problematic distributionCompetition

Opportunities:

Value addition

Export potential


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Threats:

Milk vendors, the un-organized sector

Strong marketing strategy by competitors by offering the discount

coupons to consumers and providing healthy commissions to the

retailers.

Strong supply chain management by the competitors.


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FINDINGS AND SUGGESTIONS

There is a scope of business as there is a demand for dairy products.

AMUL Dairy should open more outlets to get the maximum advantage of the demand.

Need to put more stress in the face-to-face direct marketing to reach to the customers.

The increasing demand for these products presents a great opportunity for

theProduction.

The major problem faced by Retailers and AMUL Retailers is the SUPPLY problem i.e.

problem with the distribution. The company should aim at improving its SUPPY CHAIN

MANAGEMENT.

The company should increase incentives that can increase Retailers Nominal Income.

This can be done through certain Schemes that increase the overall sales.

The company should lay emphasis on proper PROMOTION of the brand at the Retail

Outlet.


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BIBLIOGRAPHY

BOOKS: The Amul India Story: Ruth Heredia

.

: Marketing Management By Philip Kotler (11th

Edition)

: Human resource management by tanuja agrawala

WEBSITE:

www.amul.com

www.google.com

www.managementpredise.com
http://www.amul.com/http://www.amul.com/http://www.google.com/http://www.google.com/http://www.google.com/http://www.amul.com/


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1AMUL DAIRY ON ADVERTISING KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS‘UNION LIMITED ANAND

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