an organisational study at kmf mother dairy yalahanka new

AN ORGANISATIONAL STUDY AT KMF MOTHER DAIRY YALAHANKA, BANGALORE

INTRODUCTION

As MFA students our aim should not be only to learn theoretical concepts in the classroom, but it

becomes more important as how we apply those concepts in practices.

In present scenario the world is developing so fast, and thus the technological and application

theory is changing at a greater phase. The training inculcates students to think out of the box,

rather than emphasizing within the box. We are coming across many modern theories and

implementation of machineries, to start new business. We must have the knowledge of theories

and practical, through it, the student can able know about how to apply their mind in the real

business world.

This Internship training is to create awareness about the industrial environment amongst the

students. Such Industrial visit also plays vital role in MFA internship training.

The importance of industrial visit and project preparation has been widely accepted in the

education institutions. Thus knowing the importance of such practical visit, our college is

providing with such a programme to enhance the overall development of the students.

“MOTHER DAIRY” gave me the golden opportunity to carry out my visit in such a great

organization. I have prepared the detail report regarding the “Potential and future of dairy

Industry”. I have tried my best to collect all necessary information relating to the project work.

OBJECTIVES OF STUDY

During these two weeks of internship training, working along with the colleagues and

communicating clients of Internship Company helped to maintain a good relation with the

company. It also helps to parties and improve the different skills during education su as:

To get exposed to the organization cutler.

To get the experience of working in industry.

To study the organization chart.

To understand Departmental functions.

To apply theoretical aspects in working in industry.

INDIAN ACADEMY Degree College, Bangalore 560-043


INDUSTRY PROFILE

Karnataka Cooperative Milk Producers' Federation Limited (KMF) is the Apex Body for the

dairy co-operative movement in Karnataka. It is the second largest dairy co-operative amongst

the dairy cooperatives in the country. In South India it stands first in terms of procurement as

well as sales. One of the core functions of the Federation is marketing of Milk and Milk

Products. The Brand "Nandini" is the household name for Pure and Fresh milk and milk

products. KMF has 14 Milk Unions covering all the districts of the State which procure milk

from Primary Dairy Cooperative Societies(DCS) and distribute milk to the consumers in various

Towns/Cities/Rural markets in Karnataka.

The dairy sector in the India has shown remarkable development in the past decade and India has

now become one of the largest producers of milk and value-added milk products in the world.

The dairy sector has developed through co-operatives in many parts of the country. During 1997-

98, the States (Delhi-Haryana-Uttar Pradesh) had 17574 million tones production capacity,

which rose to 29719 million tons by the year 2012. In addition to many processing plants, many

government cooperative societies and chilling centers have being made. About the Indian dairy

Industry In India, the dairy sector plays an important role in the country’s socio-economic

development and constitutes an important segment of the rural economic.

Dairy industry provides livelihood to millions of homes in village, assuring supply of quality of

milk and milk products to both urban and rural areas. With view to keeping pace with the

country’s increasing demand of milk and milk products, the industry has being growing rapidly.

According to research report “Indian Dairy Industry Analysis” India is world’s largest milk

producers accounting of around 17% of the global milk production. Besides, India is also one of

largest consumers of milk and milk products. Due to rich nutritional qualities, the consumption

of dairy product has being growing exponentially in the country, and considering such facts and

figures, my study anticipates that the milk production in India will grow at a CAGR of around

4% during 2012 to 2015.

With rising use of dairy product, the secondary market of dairy product has been flourishing, my

report observed. Covering the necessary aspects of the Indian dairy industry, the study facilitates

knowledge about its current market scenario and future growth. Analyzing the past and current



state of the industry, the report tries to find out how trends like the entry of international

companies and packaging are attracting the consumers and heeding towards further growth in the

market. This way, it presents a clear picture of the direction, in which the industry is likely to

proceed in the coming years. The government is taking several initiatives and running plans and

programs like National Diary Plan and Intensive Dairy Development Program to meet the

growing demand for milk in the country.

Our report talks about such schemes, and government regulations to present an objective and

balanced picture of the industry. The study also discusses the opportunities and strengths of the

dairy market in a complete SWOT analysis, and provides an insight into the competitive

landscape. We hope that our comprehensive research will help clients align their business

strategies as per market dynamics, and make sound investment decisions.

NDDB National Dairy Development Board

(NDDB) was founded to replace...

Exploitation with empowerment.

Tradition with modernity.

Stagnation with growth.

An instrument for the development of India’s rural transforming dairying into an instrument for

the development of India’s rural people. Prior to NDDB, the milk market was vastly governed by

local private dairy and these dairies were neither producing milk nor they were animal breeders

and hence law of demand and supply was unheard by those whose intentions were purely to

make more money from both the sides – that is from producers of milk (farmers) and consumers

at large. Establishment of NDDB broke that spell and traders were side lined in due course.

The National Dairy Development Board was created in promote, finance and support producer-

owned and controlled organizations. NDDB’s efforts are co-operative principles and the Anand

Pattern of Co-operation



Philosophy of NDDB

Co-operation is the preferred form of enterprise, giving people control over the resources,

through democratic self governance.

All beneficiaries, particularly women and under privileged, must be involved in co-

operative management and decision making.

Technological and evolution search for better way to achieve the objective in the

dynamic market.

The NDDB was created in 1965, fulfilling the desire of the Prime Minister of India – the

late LalBahadurShatri – to extend the success of the Kaira Co-operative Milk Producers

union (Amul) to other parts of India.

That success combined the wisdom and energy of farmers with professional management

to successfully capture liquid milk and milk product markets while supporting farmer

investment with inputs and services.

NDDB began its operations with the mission of making dairying a vehicle to a better future for

millions of grassroots milk producers. The mission achieved thrust and direction with the

launching of “Operation Flood”, a programme extending over 26 years and which used World

Bank loan to finance India’s emergence as the world’s largest milk producing nation. Operation

Flood’s third phase was completed in 1996 and has to its credit a number of significant

achievements.

As on March 2001, India’s 96,000 dairy co-operatives integrated through a three tier co-

operative structure – “The Anand Pattern”, owned by more than ten million farmers, procure an

average of 16.5 million litres of milk every day. The milk is processed and marketed by 170 milk

producers’ co-operative unions which, in turn, own 15 state co-operative milk marketing

federations.

NDDB also promotes other commodity-based co-operatives, allied industries and veterinary

biological on an intensive and nation-wide basis. Dr. (Ms) Amrita Patel serves as the Chairman

of NDDB; Dr. Varghese Kurten was the founder Chairman.



OPERATION FLOOD

Introduction to Operation Flood Operation Flood has been one of the world’s largest rural

development programmes. It was started by India’s National Dairy Development Board (NDDB)

in 1970. One of the largest of its kind, the programme objective was to create a nationwide milk

grid.

Operation Flood strategy

The bedrock of Operation Flood has been village milk producers’ cooperatives, which procure

milk and provide inputs and services, making modern management and technology available to

members. Operation Flood’s objectives included:

Increase milk production (“a flood of milk”)

Augment rural incomes

Reasonable prices for consumers

Programme Implementation

Implementation of Operation Flood

Operation Flood was implemented in three phases.

Phase I

Phase I (1970-1980) was financed by the sale of skimmed milk powder and butter oil gifted by

the European Union then EEC through the World Food Programme. NDDB planned the

programme and negotiated the details of EEC assistance.

During its first phase, Operation Flood linked 18 of India’s premier milk sheds with consumers

in India’s four major metropolitan cities: Delhi, Mumbai, Kolkata and Chennai.

Phase II

Operation Flood’s Phase II (1981-85) increased the milk sheds from 18 to 136; 290 urban

markets expanded the outlets for milk. By the end of 1985, a self-sustaining system of 43,000

village cooperatives covering 4.25 million milk producers had become a reality. Domestic milk

powder production increased from 22,000 tons inthe pre-project year to 140,000 tons by 1989,



all of the increase coming from dairies set up under Operation Flood. In this way EEC gifts and

World Bank loan helped to promote self-reliance. Direct marketing of milk by producers

cooperatives increased by several million liters a day.

Phase III

Phase III (1985-1996) enabled dairy cooperatives to expand and strengthen the infrastructure

required to procure and market increasing volumes of milk. Veterinary first-aid health care

services, feed and artificial insemination services for cooperative members were extended, along

with intensified member education. Operation Flood’s Phase III consolidated India’s dairy

cooperative movement, adding 30,000 new dairy cooperatives to the 42,000 existing societies

organized during Phase II. Milk sheds peaked to 173 in 1988-89 with the numbers of women

members and Women’s Dairy Cooperative Societies increasing significantly. Phase III gave

increased emphasis to research and development in animal health and animal nutrition.

Innovations like vaccine for Theileriosis, bypass protein feed and urea-molasses mineral blocks,

all contributed to the enhanced productivity of mulch animals. From the outset, Operation Flood

was conceived and implemented as much more than a dairy programme. Rather, dairying was

seen as an instrument of development, generating employment and regular incomes for millions

of rural people.

Achievements of Operation Flood

“Operation flood can be viewed as a twenty year experiment confirming the Rural Development

Vision” (World Bank Report 1997c.)

1. It resulted in making India the largest producer of milk and milk products, and hence is also

called the White Revolution of India. It also helped reduce malpractices by milk traders and

merchants.

2. This revolution followed the Indian Green Revolution and helped in accelerating organic,

decentralized development across the board, alleviating poverty by offering gainful employment,

and also providing access to better nutrition.

3. Operation Flood has helped dairy farmers direct their own development, placing control of the

resources they create in their own hands.



4. A National Milk Grid links milk producers throughout India with consumers in over 700

towns and cities, reducing seasonal and regional price variations while ensuring that the producer

gets fair market prices in a transparent manner on a regular basis.

Objectives

KMF is a Cooperative Apex Body in the State of Karnataka representing organizations of milk

producers' and implementing around dairy development activities to achieve the following

objectives:

To ensure assured and remunerative market round the year for the milk produced by the

farmer members.

To make available quality milk and other premier dairy products to urban consumers.

To build & develop village level institutions as cooperative model units to manage the

dairy activities.

To ensure provision of inputs for milk production, processing facilities and dissemination

of know how.

To facilitate rural development by providing opportunities for self employment at village

level, preventing migration to urban areas,introducing cash economy and opportunity for

a sustained income.



COMPANY PROFILE

The team members

Name Designation Division Call @

Sri. C.Narasimha Reddy Director Administration 080-22179002

Smt. Swarna C General Administration 080-22179058



Manager(Tech)

Sri. Suresh Kumar RGeneral

Manager(Marketing)Marketing 080-22179049

Smt. Padmavathi RGeneral

Manager(Systems)

Computer

Section080-22179007

Dr. Ramesh C.NGeneralManager

(Admin & Purchase)Administration 080-22179003

Sri. Ubedulla Khan Manager (Marketing) Marketing 080-22179008

Sri. Vaitheeswaran N Manager (Marketing) Marketing 080-22179009

Sri. Rangaswami P.H.Manager

(Engineering)Engineering 080-22179055

Smt. VijayalakshmiRai

G.BManager (Dairy) Production 080-22179025

Kum. Vani C.H Manager (Chemical) Systems 080-22179076

Smt. Lakshmi V.A Manager (Civil) Civil 080-22179011

MOTHER DAIRY

HISTORY:

Karnataka Cooperation Milk Producers Federation Limited(KMF) is the Apex Body in

Karnataka representing Dairy Farmer's Cooperatives.It is the second largest dairy cooperative

amongst the dairy cooperatives in the country. In South India it stands first in terms of

procurement as well as sales. One of the core functions of the Federation is marketing of Milk

and Milk Products.The brand "Nandini" is the Household name for pure and fresh milk and milk

products.



Mother dairy is essential liquid milk processing and marketing unit with the objective of finding

a suitable urban market for the milk produced by the rural producers.First it handled 2 lakhs

liters/day.Now it handles 7. 5 lakhs liters/day.

KMF has 13 Milk unions throughout the state which procure milk from primary Dairy Co-

operative societies (CDS) and distributes milk to the consumers in various towns/cities//rural

markets in Karnataka.

UNITS OF KMF

1. Mother Dairy,Yalahanka,Bangaluru.

2. Nandini Hi-Tech Product Plant,Chennarayapatna.

3. NandiniMikProducts,KMF Complex,Bangaluru.

4. Cattle Feed Plants at Rajanakunte/Gubbi/Dharwad/Hasana.

5. Pouch Film Plant at Munnekolalu,Marathahalli.

6. Nandini Sperm Station(formerly known as Bull Breeding Farm & Frozen Semen Bank at

Hesaragatta.

7. Central Training Institute,Bangalore & Training Institute at Mysore/Dharwad.

8. Sales depots at Bangalore,Mysore,Mangalore,Hubli,Gulbarga & Kannur.

MOTHER DAIRY

Mother dairy, a unit of Karnataka Milk Federation,which is located in Yelahanka in Bangalore

North Taluk, was established in a total area of 28 acres during under Operation Flood-II with a

processing capacity of 2 Lakh liters per day with an additional cost of Rs.3.64 corers.Again the

processing capacity increased to 7.00 lakh liters at a cost of Rs.20.86 corers.Total investment for

this project is Rs.30.47 corers.



COMPANY AT A GLANCE

Name : Mother Dairy unit of Karnataka Co-operative Milk

Producers Federation Ltd.

Address : Mother Dairy,G.K.V.K Post,Yelahanka,Bangalore-65

Constitution: Public sector undertaking.

Year of establishment:7/12/1984

Trade mark:Nandini

Proposed Products: Milk,Ghee,,Ice-cream,skin milk powder,Paneer,S.F.M(bottles),F.M in

UHT 200ml pack.

Land covered:28.09 acres at Yelahanka.

Total investment: Rs10.61 corers.



VISION:-

1. Quality assurance from cow to consumer.

2. To vanish the scarcity of milk.

3. To fulfill the objectives of the white resolution.

4. To strengthen the living standards of rural people.

5. Product diversity.

6. Avoiding post harvest losses.



MISSION:-

1. Procuring the raw milk from the local farmers at a fair price.

2. Pasteurization and homogenizing of the procured raw milk.

3. Producingthe other milk products.

4. Transporting the pasteurized milk in various quantities from processing plant to the urban

areas.

5. Supply milk to the consumer at a reasonable rate.

6. Developing good infrastructure facilities.

Heralding economics,social and cultural prosperity in the lives of our milk producer members

by promoting vibrant,self-sustaining and holistic cooperative dairy development in Karnataka

State.

Quality policy of mother dairy

The KMF has accorded highest priority for the quality of milk products.Hence, the holistic

approach of 'Quality Excellence from Cow to Consumer' has been adopted wherein constant

efforts to improve quality at all stages of milk in production,procurement,processing and

marketing are being made.

"Every employee of mother dairy will strive for customer satisfaction by providing hygienic

quality milk and milk products at competitive rates and timely delivery through continual

improvement".

OBJECTIVES

KMF is a co-operativeApex body in the state of Karnataka representing organizational of milk

producers and implementing all round dairy development activities to achieve the following

objectives-



To ensure assured and remunerative market round the year for the milk produced by the

farmer members.

To make available quality milk and other premier dairy products to urban consumers.

To build and develop village level institutions as co-operative model units to manage the

dairy activities.

To ensure provision of inputs for milk production,processing facilities and dissemination

of know how.

To facilitate rural development by providing opportunities for self employment at village

level,preventing migration to urban areas, Introducing cash economy and opportunity for

a sustained income.

NATURE OF THE BUSINESS CARRIED

PROCUREMENT

Mother dairy is procuring on an average 4 lakh of milk per day from Kolar Milk Union's chilling

centers such as Chintamani,Sadali and Gowribidanur chilling centers of Kolar milk union and

dairy co-operative societies which are processing Bulk Milk coolers,through road milk tankers.

The Dairy is processing and distributing on an average 2090 lakh liters of milk,it is planned to

increase the processing capacity of the Dairy.

PRODUCTION

Mother Dairy has a unique nature of homogenizing the milk and selling it to the consumers

through Bulk Vending Booths and FRPtanks.In addition to production of Toned milk in Sachet,it

also produces Full Cream Milk in Sachet(6.0% FAT and 9.0% SNF) and products like

Butter,Ghee,Curds,Ice-cream, as well as Buttermilk in Sachets.



ESTABLISHED OF 30MT POWERPLANTS

To facilitate conversion of surplus milk of unions in the project area,Karnataka Milk

Federation has established a powder plant during the year 2002 with an outlay of Rs.22.15crores

with a capacity to convert 3lakh liters of milk into 30 tones of milk powder.The surplus milk of

Bangalore,Kolar,Mysore,Hassan,Mandya and Tumkur Milk Unions is being accepted for

conversion.This benefits the member Milk Powder manufactured in this unit is of international

standard and has been exported during last year through private contractors.

ICE CREAM MANUFACTURING UNIT

Ice cream manufacturing was with the small-scale industries till 1997.For the first time

the government of Indian allowed the cooperatives to manufacture ice cream and hence the

Karnataka Milk Federation could establish an ice cream plant in the Mother Dairy premises

during the year 1997 with an installed capacity to manufacture 3000 liters of ice cream per day.

Mother Dairy started distributing ice cream under the brand name of AMUL through Gujarat

Cooperative Milk Marketing Federation. The meet the increasing demand,the capacity of the

plant was increased to produce 1000liters of ice cream per day during January 2006 at a cost of

Rs.3.69 corers.The ice cream is also being marketed in Bangalore under the brand name

ofNANDINI.

SPECIAL FEATURES OF MOTHER DAIRY:

1. Mother Dairy is the first among the Dairy plants in south India to obtain ISO-9002 and

HACCP-15000 certificate from the Bureau of India Standard and is in continuous process

to further obtain ISO-22000 certificate in the year 2008.

2. An 'Extra Grade Certification' has been awarded to the milk powder manufactured by the

Milk Powder Plant.

3. An online computer system carrying out all major transactions was installed during the



year 1993.Presently,the computer system is being upgraded at an estimated cost Rs.1.05

corers.

4. Consistency in the process of profit making since 1988-89.

5. With a unique feature of Glycol chilling, on an average,1.2 lakh liters of milk was

supplied to Calcutta Mother Dairy for many years.

6. Mother Dairy has 75 BVB booths,now booths converted into 140 Shoppers.

7. Mother Dairy has received Export license for Ghee and SMP.

8. Mother Dairy has received a national level Energy conservation award during the year

2006-07(Merit Certificate)and a state level Energy conservation award during the year

2006-07(First Prize).

COMPUTERIZATION

Presently all majortransaction is being carried out through the its online Computer System.

The major areas covered are:

1. H R,Attendance and Payroll

2. Purchase and store

3. Sales and Distribution.

4. Procurement and Processing:-Weigh Bridge,Q C,Processing,Products,Ice Cream Plant.

5. Finance:-Receipt and Payment,Invoice,Taxation,Sub ledger and Book of Accounts.

6. Engineering:-Boiler,Electrical,Mechanical,Transport Pre-pack and Refrigeration.

7. Maintaining databases of all the above said transactions.

8. Milk Products distribution.



Modernization and Expansion of Mother Dairy

With the increase in demand for supply of milk products to the Bangalore City and Supply

processed to the powder plant, the existing capacity of 4 lakh liters per day is not

sufficient.Hence, it is envisaged to increase the processing capacity to handle 7 lakh liters per

day.

Infrastructure facility

Mother dairy provides so many infrastructure facilities for the workers which are as follows:

Production Block.

Administration Block.

Security and time office.

Tanker parking.

Fueling point

Garage Block

Canteen

Working amenities

Go down

Hospital

Dressing room

Future expansion

Coal yard

Sub station



Certificates

Milk

Processing & Packing


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Established with an Initial capacity of 2 LLPD during 1984 and expanded to 7Lakh Litres

processing and 3 Lakh Liters packing per day in 2008.

Purchase Milk from unions and chilling centers. Also receives surplus milk of Unions

and surplus milk from unions for conversion.

Stringent quality standards are ensured before receipt of milk.

Has recently undertaken manufacturing of very improvised quality of Paneer, Yoghurt

and Sterilized Flavored milk.

Milk Powder Plant

To facilitate conversion of surplus milk, Powder Plant was established during the year

2002.

Capacity to convert 3.4 lakh litres of milk into 30 tonnes of Milk Powder. Has facility for

manufacturing of Agglomerated Skimmed Milk Powder, Dairy Whitener and Whole

Milk Powder

Has facility to pack different retail pack sizes of Skimmed Milk Powder & Dairy

Whitener.

Ice Cream Plant

Established Ice Cream Plant in the year 1997 with an initial Capacity of 3000 litres but to

meet the increasing demand, the plant was expanded to 10000 LPD but presently working

capacity is upto 15000 Ltrs/day .

The first of its kind in South India under the co-operative sector equipped with state of

the art technology

Initially Ice Cream was manufactured in AMUL Brand

Nandini Ice cream Production started from Apr-2000.

Product Plant


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BUTTER

Butter being one of the major products at Mother Dairy, is manufactured from fresh

cream using state of the art technology.

Posses two continuous butter making machines of 800 kgs/hr capacity.

Monthly average production of butter is 440 mt .

Posses export license for butter and have exported to countries like Armenia, Georgia,

Tbilisi etc.

Have storage facility of 600 mts of butter.

GHEE

Ghee a desi product is manufactured from the best quality butter by using the latest

technology.

Have facility to pack Ghee in sachets, Bag in box, pet jars, standee pouch and tins.

Monthly average production of Ghee is 133 mts.

Dispatching monthly 32-40 mts of ghee to the famous holy temple of TirumalaTirupathi.

Posses export license for the ghee and exported ghee to Dubai.

PANEER

Is a fresh, nutritive and healthy product manufactured by coagulating milk in an hygienic

environment with good technology, Posses with the Capacity of 1800 kgs per day.

Paneer is also one of the major product of Mother Dairy is manufactured by the Shubham

milk and available in 200ml packs and in block and diced manner.

Monthly average production of Paneer is 45 mts

YOGHURT

Posses with the Capacity of 800 kgs per day.

Very healthy product which improves the digestion ability is manufactured using milk

with 2% Fat and 11% SNF.



Added with real fruit extract and is produced in two flavors presently- MANGO &

STRAWBERRY.

STERILISED FLAVOURED MILK (SFM) IN GLASS BOTTLES

Have capacity to manufacture 2500 liters per day in 5 flavors – Badam, Pista, Rose,

Elaichi and Banana.

A healthy drink manufactured using Double Toned Milk with added sugar, color and

flavors.

Monthly average production of SFM is 50000 ltrs.

UHT (ultra-heat treatment)

Have capacity to manufacture 42500 liters per day.

UHT milk packaged in a sterile container, if not opened, has a typical unrefrigerated shelf

life of six to nine months.

UHT flavored milk is available in 200 ml and 160ml tetra packs in 4 different flavors like

Badam, Pista, Strawberry.

UHT milk Shake is available in 200 ml and 160ml tetra packs in 4 different flavors like

Vanilla, Butterscotch, Chocolate./li>

UHT Plain Lassi and Mango Lassi is available in 200 ml and 160ml.

UHT Butter Milk is available in 200 ml and 160ml tetra packs.

UHT Good life is available in 200 ml and 160ml.

Marketing

Mother Dairy is responsible in providing quality milk & milk products to the consumers

in Bangalore City through its network of different types of Retailers viz. Sachet, BVBs

and FRPs.

The Dairy is distributing on an average 3.5 lakh liters of milk per day to the consumers in

Bangalore City. The Dairy is also selling 40,000 Kgs of curds every day.



Nandini Shoppers serve as Modern Format Shops for selling entire range of Nandini

products all through the day and ensure availability and reach ability to customers.

Computer section

ERP system is responsible for real time integration of management information by controlling

the flow of information across an entire organization. Adopting this technology, all the

transactions are carried out online, hence the dairy stands unique among KMFunits. With this

technology in place, dairy has achieved the following:

Integrated Information.

Enhanced and efficient technology.

Better Resource Management

Accuracy and Consistency.

Easy data accessibility


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Increased security.

Transparency

Providing Business and Financial Solution.

User Friendliness.

Easy reporting.

Better Communication.

Engineering

Equipped with fully automated SCADA based sate of Art Refrigeration System

Adopted Environmental Friendly (Emission free) LPG / CNG as fuel for boilers.

Automatic Centralized CIP system.

Equipped with semi automated advanced milk separators.


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Will be equipped shortly with UHT flavored milk plant with advanced

technology with higher capacity to cater milk to school children of Karnataka

Government.

Finished Goods Stores

Has facility to store 1200MTs of Milk Powder.

Has facility to store 50 MTs of Ghee.

Has facility to store 600MTs of Butter.

Has facility to store 15 MTs of Good life (in UHT packs).

Milk

Milk is lacteal secretion of the mammary glands of mammals. It is an almost

nearly complete food for humans.


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Milk provides essential nutrients like vitamin-B12, calcium for healthy teeth and

bones, carbohydrates for energy, protein for growth, potassium for strengthening

of nervous system, riboflavin for health of the skin and zinc for immunity

against diseases.

The product may be consumed directly, boiled, or used for preparation of

beverages and Indian dishes.

The product has to be stored below 4 deg C

The product has to be consumed immediately upon opening or boiled and kept

upon opening until use

May be used by people of all age groups.

Shelf life : Two days and declared in terms of use by date when stored @ 4oC

Curd

White thick coagulated mass having fine smooth body with little or no whey

separation.

Product may be consumed directly and also in preparation of dishes.

Good for people of all age groups.

Shelf life : 2 days when stored at 4oC or below.


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Ghee

Agmark Special Grade Ghee

Made by clarification of milk cream or white unsalted butter

Used directly or in preparation of any dishes.

To be stored in cool and dry place.

Shelf life : 6 months when stored @ room temperature.

Butter

Unsalted butter made by churning of cream

Creamy yellow product with smooth texture

Used to prepare Ghee or directly utilized in any food preparation.

To be stored -200C.

Shelf life : 1 year when stored @ -150C to -250C


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Milk Powder (Available in three forms)

Skim Milk Powder

Creamy white smooth granular free product that dissolves instantly when put

into water and rich in Lactose and milk protein.

Contains total Fat of 1.0g.

To prepare a glass of Milk, add 5 parts of water by volume to 1 part by volume

of skimmed milk powder.

Used as ready to drink milk or for preparing any milk delight.

To be stored in a cool and dry place. After opening pack, store in airtight

container.

General consumers of all age groups & institution.

Shelf life: 1 year from the date of packing when stored in a cool and dry place.


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Dairy Whitener



Contains total Fat of 2.0g with added sugar.

To prepare a glass of rich creamy sweetened Milk (200ml), add 31/2 heaped

spoons of Dairy Whitener to a glass (180ml) of lukewarm water



container.


Shelf life : 1 year from the date of packing when stored in a cool and dry place.

Whole Milk Powder



Contains total Fat of 26 g with added sugar.

To make milk which is more thicker, add 5 parts of water by volume to 1 part by

volume of this whole milk powder.



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container.


Shelf life: 6 months from the date of packing when stored in a cool and dry

place.

Ice Cream

Ice cream is a frozen ready to eat dairy product containing both pasteurized and

unpasteurized components.

May be used directly or as topping in any sweets, salads, deserts etc..

To be stored in -180C to -280C

Used by public of all age groups.

Shelf life : 12 months when stored at -180C or below..

Paneer

Acid coagulated product with smooth granular and rubbery texture prepared

from pasteurized milk.


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Used in preparation of curries and other Indian dishes.

Product need to thawed to normal temperature by keeping the product at room

temperature for 20 mins before use after removing from the refrigerator.

To be stored @40C until use.


Shelf life: 30 days from the date of packaging when stored at 40C or below.

Yoghurt

White thick Coagulated mass having fine smooth body with little or no whey

separation with added color, flavor and fruit extracts.

Sweet and slightly sour in taste.

To be stored @ less than 4 -80C.

The product may be consumed directly and immediately after opening the cup.

Yoghurt improves the digestion ability hence a very healthy product for all.

Available in Mango and Strawberry flavors.

Shelf life: 15 days under refrigeration temperature of 40 C.


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Sterilized Flavored Milk (Bottles & UHT)

Prepared from Double Toned Milk having minimum Fat and SNF with different

food grade flavors.

Wholesome food consisting of Fat, Proteins, Carbohydrates, Minerals and

Vitamins.

Used directly as a delicious, tasty and healthy drink. Taste best when chilled.

To be stored in a cool and dry place.

Shelf life: 180 days from date of packing when stored in a cool and dry place.

SFM bottles are available in unitflavor or Assorted flavour boxes.

Also available in 6 bottles of attractive family pack for easy handling.

Spiced Butter Milk (UHT)

Prepared from curds of toned milk having minimum fat and SNF with dry spice

mixture.

Used directly and preparation of Indian dishes.


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To be stored @ less than 40C.

The product may be consumed immediately after opening the pack.

General consumer of all groups.

Shelf life: Two days and declared in terms of use by date when stored at below

40 C.

Sweet Lassi (Plain and Mango)

Prepared from curds of toned milk having minimum fat and SNF with added

sugar.

Used directly and preparation of Indian dishes.

To be stored @ less than 40C.

The product may be consumed immediately after opening the pack.

General consumer of all groups.

Available in Mango flavor also.

Shelf life: Two days and declared in terms of use by date when stored at below

40 C.


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Instant Payasa Mix

NandiniKheer - a rich traditional Indian dessert which is easy and quick way of

recreating a sensational taste and experience.

A blend of specially chosen thin, roasted sevai, milk solids, sugar, cashew,

raisins and a rich aroma of natural elaichi.

No need to add milk.

Ideal for all special occasions or just a regular meal this easy dessert will satisfy

one and all.

Instant treat for guests, get- together parties and also suitable for caterers.

Highly nutritional dessert with a calorie of 432Kcal , 63 gm carbohydrates, 14.8

gm protein,13.5 gm fat and 602 mg calcium for every 100 gm of the product.

Diced Paneer

Nandini Diced paneer, a convenient ingredient for every Indian Curry.

No hassles of cutting, readily available in uniform sized cubes suitable for

preparation of snacks and starters for a great meal.

A long shelf life of 30 days when stored at 0 to 4 deg.C temperature.

High protein diet with a energy of 297 K.cal, 22.7 g fat, 18.6 gm protein, 4.5 gm

carbohydrate, and 260 microgram Vitamin A for every 100 gm.


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Probiotic Sugar free frozen food

Nandini care for dieters and diabetics

Nandini Sugar free Probiotic Frozen food is a frozen dairy product obtained by

freezing a pasteurized mix prepared from the ingredients such as Milk and milk

solids with low fat, Sucralose (Low calorie artificial sweetener), Prebiotic Inulin

and Fructooligosaccharide along with Multirole. This Pasteurized mix after

ageing is added with Probiotic bacteria which have multiple health benefits.

This frozen food is specially formulated with chosen ingredients for not only

calorie conscious but also regular ice cream consumers and diabetics.

MatkaKulfi Ice cream

Nandinimatkakulfi is a rich traditional Indian ice cream variety.

It reminds us of traditional Indian cuisine enjoyed by children and elders as well.

It is made by condensing milk with addition of sugar, cardamom, pista and

natural flavours suitable for every occasion.

It has a nutritional value of 137 Kcal energy, total fat 8.9 g, total carbohydrates

11.2 g, protein 3.1 g and calcium 95 mg.

Casatta Ice cream

Nandinicasatta Ice cream is being presented in attractive rainbow Colored half

moon shaped block.

It is a combination of three flavors of Vanilla, Strawberry and green pista Ice

cream with a topping of Cashew and sauce.

It is very nutritious, tasty and liked by all age groups.


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This rich Ice cream has a nutritional value of 158 kg.cals with a total

carbohydrate of 14 g, protein 3g, fat 10g and calcium 79 mg.

Real Thick Curd

Nandini Real thick curd - a nutritious fermented milk product with high milk

solids ideal for being a part of Indian daily diet.

Made from homogenized milk cultured with high quality imported direct vat set

culture which contributes to high therapeutic value of the product.

Refreshing health food that is easily digestible and of uniformly thick

consistency for direct use or as an ingredient in the preparation of other foods.

High protein food with a nutritional value of 67 K.cal of energy, carbohydrates

5.4g, total fat 3.0 g, protein 4.3 g, minerals 0.7g, Vitamin A 35 µg and calcium

170 mg

Fruit Yoghurt

Better digestion, great taste and less of illness. Easily digestible with good

therapeutic value, good for all age groups especially children.

Pure fruity thrill-THE WONDER FOOD


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It has the goodness of fruits, easier to digest than milk: many people who cannot

tolerate milk either due to protein allergy or lactose intolerance can enjoy

yoghurt.

Replace salad dressings and milk shakes with Nandini yoghurt to reap the health

benefits of yoghurt

Nandini yoghurt is available in two different flavors – Real mango and Real

Strawberry. Nandini scooping yoghurt is a fermented milk product prepared by

fermenting homogenized milk with superior quality dairy starters and addition of

sugar, pectin, nature identical flavor, color and real mango pulp and strawberry

crush

SterilizedFlavored Milk in Tetra packs

Nandini sterilizedflavored milk in tetra packs is available in 200ml packs of 4

different flavors- Badam, Pista, Strawberry, Chocolate prepared by using double

Toned Milk with added color, flavor, added stabilizers

Commercially sterile safe and nutritious drink. No preservatives added. Suitable

for all age groups.

Ultra high temperature treated, in a closed presterilized system where milk is

flash heated at 137 deg, centigrade for 4 seconds and quickly cooled to room

temperature and aseptically packed.

High temperature boiling enables a total destruction of all bacteria in the milk

while preserving all necessary nutrition intact.


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Extra long shelf life of 6 months achieved by the special six layered tamper

proof packaging done by tetra pack preventing air light and moisture from

entering the pack.

Needs no refrigeration until opened and Homogenization ensure wholesomeness,

consistently thick and delightful up to last drop.

Mango Lassi

Refreshing fermented milk drink with added sugar and and real Mango pulp,

color and flavor that suits every season and every occasion.

Packed in 200ml sachets

Reasonably priced

Sterilized Butter Milk in Tetra packs


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Spiced buttermilk is a refreshing drink prepared by diluting curds at the rate of 1:

2 curds and water

Addition of spices and pectin as stabilizer to the product

suitable for consumers of all groups.

Ultra high temperature treated, in a closed presterilized system where Butter

milk is flash heated and quickly cooled to room temperature and aseptically

packed.

High temperature boiling enables a total destruction of all bacteria in the milk

while preserving all necessary nutrition intact.

Extra long shelf life of 6 months achieved by the special six layered tamper

proof packaging done by tetra pack preventing airlight and moisture from

entering the pack.

Needs no refrigeration until opened.

Dairy Whitener

Sweet, Granular, free flowing product that dissolves instantly when put into

water

Rich source of milk fat, protein and lactose

Prepared by drying Whole milk with added sugar and emulsifier

Energy: 452 K cal, Total fat: 20 g, Total carbohydrates: 48 g, Total Protein: 20 g,

Calcium 1000mg, Sodium 88mg


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Suitable for preparation of coffee and Tea instantly

Suitable for General consumers of all age group & Institutions

Can be used in preparation of Kheer and other milk based sweets

Fresh Cream

Nandini fresh cream – made out of fresh cow milk and packed in a handy 200 ml

pouch

Highly nutritious for providing add-on taste to fruit salads, Indian curries

Can also be used for salad dressings and as garnish to multi cuisines

High fat product with a nutritional value of 246 K cal energy, 25g of Total fat ,

3.2 g of Total carbohydrates,

2 g of Total proteins and 286 microgram of Vitamin A

Reaching you at a competitive price



3.1 ORGANISATION CHART

ORGANIZATION STRUCTURE:

Human Resource Management at Mother Dairy


DIRECTOR

PERSONNEL ASST

Manager (QC) Manager (Engineering)

Manager (Technical)

Manager (Marketing)

Manager (Finance)

Deputy Manager(QC)

Deputy Manager (Eng)

Manager (Production)

Deputy Manager (Mkg)

Deputy Manager (Fin)

Asst Manager (QC)

Asst Manager (Eng)

Deputy Manager (Pro)

Asst Manager (Mktg)

Asst Manager (Finance)

Technical Officer (QC)

Technical Officer (Eng)

Asst Manager (Pro)

Marketing Officer

Administration (Finance)

Administration Asst (QC)

Administration Asst (Eng)

Technical Officer (Pro)

Administration Asst Typist

Administration Asst

Helper Helper Administration Asst (Eng)

Helper Helper

Helper


“Mother Dairy is one of the leading Dairy” It shares collaborative and friendly relationship with

preferred partners, employees, consumers and other workers involved to it. It maintains a

transparency in handling the above relations and stick to its standards.

The HRM function or Personnel department function in Mother Dairy is indeed vast. All major

activities since working of a worker – from the time of his/her selection in to an organization

until he/she resigns or get retired or leave job for any reason – comes under the preview of HRM.

The HR planning in Dairy is very smooth and transparent. It made Mother Dairy a HUGE BIG

Family of approximately 3000 employees. In Mother Dairy major attention is given on the

welfare and Safety of employees.

Dairy also focuses on developing human value and potential through various bearing and

development activities and provide favorable atmosphere. All these functions are performed by

HR in Mother Dairy.

The functions of human resource department are broadly classified as :

1. Recruitment

2. Training and development

3. Promotion

4. Salary and wages

5. Increments, incentives and bonus

6. Transfers

7. Retirement benefits.

8. Safety.

9. Welfare programmes.



Recruitment

Recruitment is a process of searching for prospective employees & stimulating them to apply for

the job in the org. Recruitment of an employee is done on the bases of “Human Resource

Planning” carried by Mother dairy Mgt. At Mother dairy recruitment is done through both

sources i.e. internal as well as external sources.

Internal Recruitment:

Recruiting employees internally like promotion, transfers, etc.

External Recruitment:

Recruiting employees form job portals, employment exchange, campus interview,

advertisements. Dairy uses External source of recruitment mostly.

Selection

Selection procedure includes the selecting Right candidate, at Right time, for right job. It is as

follows:

Application form

Bio-data analysis

Short-listing.

Interviews

References/security screening

Ability tests

Aptitude, intelligence and personality

Work experience/short term contracts

Medical checkups.

Placement/Appointment.

OBJECTIVES



Selection of right type of employees.

Proper orientation and introduction of new employee.

Individual development.

Buildup employee morale.

Good relation with trade union.

Providing reasonable compensation and remuneration.

Ensure availability of competent and willing work force to the organization.

4.1 FUNCTIONAL DEPARTMENTS



ADMINISTRATION DEPARTMENT

The administration department functions by the administrative officer,KMF Bangalore.The

administrative department of the unit holds all official work responsibility and his direction after

general manager.All the matters regarding preparing of employees attendance,sanctioning of

increments ,promotions,leave etc, are notices by this department and presented to general

manager for this perusal and approval of the operation at the end of one accounting year.

It plays a very important role in the organization. It is primary concern with human relationship

in the organization.A sound human relationship within the organization.Thus,its main objects lay

in the maintenance of the relationship on a basis which consideration of the well being of the

individual.

Recruitment will be done by the central office.

Maintenance of seniority list

Employees to promote under KMF interest

Private employees trading

Benefits

Medical facilities are provided as per the law in force.

Canteen facilities under subsidy rate morning 7.0çlock breakfast

11'clock lunch and in the evening 7'0 clock dinner for night shift employees

Free milk ml for employee every day .

Shoe and uniform

Washing allowance

Government holiday payment

Cold storage allowance and heat allowances for the staff working in refrigeration and

boiling section



Motorcycle advance Rs.25000 for two wheelers, festival and advance and solar advance

Rs.10000

Home travel concession[HTC]for every two years

Provident fund-but no pension for employees

Bonus[lower cadre]ex-grain [higher cadre]

Increment for promotion of small family: it will be paid to all the officers and staff once

in a year based on their performance

Leave:

Earned leave(EL)30 days per year.

10 days compensatory leave or 20 days H.P.L(half pay leave)

15 days casual leave

Government holidays

Special casual leave 7 days for sports

Extraordinary leave for accident, sick 10months for entire service

Leave encashment

Maternity leave for female employee is eligible for 6 weeks after delivery(only for 2

times),miscarriage 6 weeks.

Residential quarters for essential staff.

House construction or purchase advance 15 months’ salary

HIERARCHY OF ADMINISTARION DEPARTMAENT


DIRECTOR

GENARAL MANAGER (ADMIN)


4.1.2Production Department

PRODUCTION DEPARTMENT


GENARAL MANAGER (ADMIN)


Production department can be defined as 'an organized activity of transforming raw material into

finished products ‘Production can also be defined as production of goods, which satisfies some

human needs and wants

The production department of Nandini milk products is located in the KMF mother dairy.The

production department in Nandini milk Products performed the function of developing a

procedure transform a set of input elements like man,machine,material,money, into specified set

of output elements like finished goods in assigned quantity and best quality in order to achieve

the organization goals successfully

Production department activities

Mother dairy has a unique nature of homogenizing the milk .In addition production of toned milk

in sachet, it also produces full cream milk in sachet(65 FAT and 9% SNF)butter,ghee,curds in

sachets as well as butter milk. Mother dairy also produces milk for supply to mother dairy,

Kolkata through rail milk tankers by making use of existing deep chilling facility to 1-2

Degree,C(Glycol Chilling)

Responsibilities



The production manager/technical production officer authorizes the functional supervisors to the

various production activities availing the assistance of quality control specialist,supervisors,

operator and other are under his control.

Objectives of production department

Pre plan the production activities soon after receiving the intends of quality demanded.

Execute,coordinate,organize and monitor production activities.

Ensure process control and quality of the product manufactures.

Ensure that production meets the planes requirements.

Designing products and packages.

To upgrade technical efficiency of production.

HIERARCHY OF PRODUCTION DEPARTMENT


MANAGER DAIRY

DEPUTY MANAGER


Production Department is most important part in any organization, firm, company or co-

operative sectors. Production can be made for the middle users or for the end- users (direct

consumers). Production do the main work of converting raw material into semi-finished or

finished goods, it depends on what kind of production the organization is doing.



In the context of Mother Dairy, people have endless demand for milk and milk products.

MOTHER DAIRY undertakes the procurement of milk and its production likewise satisfying the

needs and demand of people. It estimates the demand and accordingly production is done for

which arrangement of Raw material, finance and provision for selling is made by MOTHER

DAIRY.

The Production Department is interrelated with the Personnel, Finance, and Marketing

Department. On an average 30 million liters of milk is processed by Mother dairy.

PRODUCTION AND PROCESS DEPARTMENT

The main objective of this department is to follow up production schedule as per planed to

maintain close and co-ordinate relationship with other department and ensures toupgrade the

technical efficiency of production. Milk, as it is highly perishable product has toprocessed

immediately to avoid spoilage milk respect to its flavor, texture and taste

Production department is well equipped and has various types of highlysophisticated

machines imported from Sweden and Denmark. Once the milk is received from & I department,

it is first weighed with the help of weighing bowl. Later, it is poured in dump tank. Sample

testing is made through lactometer reading and other tests. The fat andSNF content of each

sample of milk is accessed the cow and buffalo’s milk are separately received and sent to the

production section separately through two different stainless steel pipes.

Later, the raw milk is passed through plate chiller of variable capacity where it is cooledup to 4-

5 degrees Celsius. This cooled raw material is further stored in a silo of 30,000 liters capacity.

MILK PROCESSING UNIT


Raw chilled milk reception though

insulted tankers

Weighted at mother dairy weigh bridge


PURPOSE OF CHILING

This is done to avoid the growth of micro organisms, which are responsible forspoilage

of milk and bitter taste. The milk, which is stored in silos, is pumped through pipeline to the



balance tank, which helps to maintain the steady speed flow of milk in the pasteurization

machine. In, DMU, there are 2 milk pasteurization machine and 1 Creampasteurization machine.

PURPOSE OF PASTEURIZATION

Pasteurization is a process where milk is heated to high temperature and cooled instantly,

to destroy any microorganism. The pasteurized milk will stored in pasteurized milk silos and

then sent to pre-packing section. Package is done in 500ml and stored in coldstorage at 7 degree.

PURCHASE AND STORE DEPARTMENT

PURCHASE DEPARTMENT

Purchase department mainly concerned with the purchase of materials which are required

by the each department and effective storage and maintenance of the same. Normally for

purchasing of goods, Mother Dairy follows Trader method purchased materials are stored in the

stores of Mother Dairy.

Objectives:

Following are the important objectives of purchase department

To procure fights materials

In right qualities

In right quantities

Form right and reliable sources of supplies

To produce materials economically i.e., at reasonable price.

To secure and deliver materials at right place and at right time

Transparency in the transactions.

Purchase department has to perform certain activities, duties and function in order to achieve the

objects mentioned above.

Duties and responsibilities:

To keep records indicating possible materials and their substitutes.



Maintenance of relevant records of reliable records of reliable sources of supplies,

price materials.

Making contacts with right sources of supplies

Analyzing, evaluation of offers /quotations to procure the materials.

Maintaining all the relevant records of purchase made.

Inventory Management System

In Mother dairy, the store department uses the FIFO method. I.e. First in First Out method of

inventory management.

Purchase Procedure

Mother Dairy’s main raw material is milk. The purchase department has only to pick up just 10%

of other raw material. The purchase procedure is as under:

1. First of all respective department heads find out their need and get it approve by the managing

director.

2. Then they contact the stores department.

3. After this they send an indent to the purchase department.

4. The purchase department then asks for quotation from the suppliers.

5. After the quotations are received will then be selected.

6. The least cost giving suppler will then be selected.

7. Then take the approval and give the authority to the supplier who gets the quotation passed.

8. Then just let the finance department will make the payment the supplier after the delivery of

goods.

Types of Stores

Cold Stores



The cold stores are use for storing milk, flavored milk, Dahi etc. and many other products.

General Store 1

In this general store, the veterinary products, medicines, transportation instrument, buckets,

flavors for milk and Ice-cream are stored here.

General Store 2

Here plastic of milk bags is store; tins of ghee, milk powder etc. is stored.

Activities of Production Department:

There are mainly Eight (8) activities done by the Production Department. They are as

follows:

1. Raw Material Receiving Dock

2. Clarification 3. Homogenization

4. Pasteurization

5. Chilling

6. Processed Milk

7. Deep Chilling

8. Dispatch In Insulated Tankers

Mother Dairy has set up a modern plant for the production process. It has established its plant in

a modern high tech style which functions nearly 80% automatically.

4.1.3 FINANCE DEPARTMENT

Finance department is involved in drivers and challenging assignments.There are three board

areas of financial decision-making,capital budgeting,capital structure, and working capital



management.Every organization requires an accounts/finance department where the circulation

of all essential issues like salary billing,sales,purchase etc, are carried out it acts as a heart of the

organization without whatever may be result of functioning of a unit,the accounting at the same

time,it ensure the results experienced and qualified person identified as purchase officer.

Functions of Finance department

Preparation of annual budget

Scrutiny of all payments bill

Maintain of sales ledgers.

Salary established ledger-EPR and ESI registers.

All subsidy books under co-operative societies.

Income tax and tax deductions at source registers.

Debtor's ledger

Cash book

General ledger.

Preparation of cost sheet

Audit

There is pre statutory audit it is basically at the end of the year.As mother dairy:Yelahanka is a

cooperative department under the government of Karnataka.The audit is done according to the

rules and regulation of the Karnataka cooperative societies act.Double entry system of book

keeping is followed by the finance department to calculate the depreciation Straight line method

is followed.

Mother Dairy follows 2 types of auditing

1. PRE-AUDITING system: It is done by finance and account department every year.

2. STATUTORY system: It is done by private charted accountant every year.



Objectives

To ensure that accounting records of various divisions are properly maintained.

To ensure that sales realization are properly accounted and remained the marketing

section from time to time over the debtors portion in order to enable them to collect the

dues.

The account section objective is also to see that regular payments of milk bill due are

made to milk producers on priority.

To see that payment to the creditors is made within stipulated time.

Account section has to provide management timely information about the financial

position of the union and guide them as to viability of the proposals that come in the

course of business activity.

The other objectives of finance section is to keep the management/boar appraised of

monthly trading and P & L figures.

To include timely submission of financial statements to auditors and ensure smooth audit

is conducted and give audit reports to management.

To make cost evaluations where ever their cost exceeds the norms

HIERARCHY OF FINANCE DEPARTMENT


FINANCE MANAGER

DEPUTY MANAGER


THE DETILES OF EACH FUNCTIONS ARE UNDER

1. CASH


DEPUTY MANAGER


There are two cash counters in the financial section.

1. Collection of scales proceeds counter

This is for cash collection of sales proceeds of milk ad milk products. Cash

collected from various milk distribution roots for sale through agent is collected in cash by root

salesman and is remitted into his cash counter.A receipt is passes for the net amounted collected

from each of the distribution root salesman and this is being recorded in a book collected Root

cash book. This entire amount collected by the end of the day is remitted to bank next day to the

current account of the milk union.

2. Cash Counter

Another cash counter is for handling impressed cash and cheques.Impressed cash means amount

required for meeting various payment such as salaries paid in cash. Travel allowance, festival

advances etc,which are made in cash.Receipts are being issued for collection of cash towards

receipt of all these are recorded in a cash book called petty cash book, both these cash books are

closed at the end of the day and verified by accounts office/assistant manager finance cheques

are also going drawn for payment of bills whenever payment are to be required through

cheques.For receipt of many cheques received from outside officials,general receipt are being

passed in this cash section. All these transactions of receipt and payment are entered into

computer and cash book entry is also being made in the computer.

2. BILLS

Bills are being received from various and usually the purchase section after getting the Material

Receipt Information(MRI)from stores duty certified for quality and quantity sends bills to record

section in the related files and these bills are processed and entries in the control register and

after scrutiny from pre-auditors bills are put up for passing MD through assistant manager

finance after the signature of the MD the cheques are drawn in the name of the parties. File with

entries of cheques No and a copy of the voucher is returned to concerned section. And the

payment vouchers are accounted in computer.

3. TRANSPORTATION BILLS



Following are the types of Transportation bills

1. Procurement Transportation bile(PTC)

2. Distribution Transportation bills(DTC)

3. Mobile veterinary root bills

4. Cattle feed Transportation bills

5. LN2 Transportation bills(liquid nitrogen)

6. Hire banks Transportation bills

All these above bills are received from different user section once in a fortnight duly

certified for having hired the vehicle for the purpose of milk procurement, distribution mobile

veterinary services, cattle feed Transportation, transportation of milk to other dairies inn hired

Transportation tankers. All these bills are duly scrutinized in account section in different aspects

such as correction of the distance, deduction towards TDS and any other recoveries and/or

passed for payment through cheques. Since these bills Are No's once a fortnight for total amount

of payment made to these contractors AJE(journal entry)is passed the same is accounted in

computers.

4. PAY BILLS

Attendance data are being received from time to time office as per the punch card entries

further the attendance of chilling and center staff and field staff are being received from

concerned section once in a month duly certified by sanctimonies based on these attendance

extracts pay bill of all the employees of the milk union are being prepared through computers

and salary is being distributed partly in cash account counter and partly through Canara Bank

main branch by way of crediting the account of respective employees in the bank.

There are various heads under salary recoveries are made such as employees PF, employee state

insurance scheme(ESI),professional tax, LIC, GSLIOC(group saving linked insurance of

scheme)pay cheques, pay advance, bank loan and such other deductions under about 45 accounts

heads.

These salary recoveries are being sent to respective department such as regional PF



commissioner, ESI office, professional tax office, LIC of India and different bank where

employees avail loan through cheques. The account section prepares salary deduction statement

for deductions under various heads cited above and these deductions are generated in computer

itself when salary bills are prepared, specimens of salary bills and deduction statement are

enclosed.

1. ACCOUNTS

The functions of account section are

1. To maintain records of day to day transactions, up-to-date

2. Entries in computer

3. Prepare monthly nominal accounts

Prepare annual financial statements such as receipt and pays, trading and P/I, account and

balance sheet and also to produce same to statutory auditory and get it audited.

SOURCES OF FINANCE

The main source of finance is sales realization(retained earnings).Sales are purely on cash basis.

As the nature of the product is highly perishable i.e. that milk and other milk products. Hence

because of this the product needs to be immediately sold to the end users.

As result money is generated immediately and routinely. Hence this forms the only source and

can be classified as short term source finance.

The other products arise out of milk and as their perish ability period is little more i.e. for a

period of 3-4 months and sales are realized and money gained out of it can be classified as long

term source of finance. Sometimes they even get grants from the government.

4.1.4 MARKETING DEPARTMENT



Marketing department is the business function that identifies customer needs and wants,

determines which target markets the organization can serve the best design appropriate products,

services and programs to serve these markets. However, marketing is much more than just an

isolated business functioning. It is a philosophy that guides the entire organization.

Mother dairy has a very good marketing network. Marketing slogan of KMF is “Fresh and pure”.

Role of marketing manager

Collecting information for sales forecasting.

Search for new market area.

Pricing the products as per the demand.

Appointing new dealers and distributors.

Market the product that involves launching, presentation, awareness and advertisement of

the product promotion on certain areas.

To keep a watch on the action and motives of the competitors.

To have full and perfect knowledge of marketing conditions and policies.

To attend grievances, complaints if any regarding the product and service.

Functions of market department:

The basic function of this department is to interpret the needs of the customer and plan

the production of such products.

It sells the product to the customers directly and through network of distribution.

It makes a market research regarding the demand for the product, taste and preference of

the customers.

It prepares plan regarding production of such product and maintains a good relationship

with production department by providing the information information regarding

production.

It also fixes prices for the product with the consultation of the top-level management

considering its price policy, demand policy and government policy.

It also makes the sufficient offers to promote sales.



It is concerned with designing the advertisement stake for the product.

It is concerned with the distribution of the product for the required consumers at required

place and time.

It checks the daily report by the sales representatives, follow-up the letters and attend to

the queries if any.

It prepares incentive chart; arrange the salaries and other sales follow-up activities of

representatives.

HIERARCHY OF MARKETING DEPARTMENT


MARKETING MANAGER


PACKING AND DISPATCH DEPARTMENT

The products manufactured have very short life and therefore the section heads have to plan for

rapid dispatch to the market before it loses its nutritional value. Considering this the management



has planned to club the packing section with the production department so that the time taken for

the finished product to the packing section and from there to the stored is minimized. Packing

section is equipped with laborers, weighting machines, big iron and still racks to place produce

fill in trays, shopping, cutting machine, refrigerator etc.

ENGINEERING MECHANICAL SECTION

The units which require machinery. Power consumption steam, chill water, hot water etc,

required an engineering department separately to maintain the power supply and avoid

breakdowns of the machinery and other necessary technical assistance required for the

production. This unit required all the above mentioned power and energy for the manufacturer of

the products and therefore has organized a separate department called the “Engineering

department headed by a technical officer.

Sections of engineering department:

Boiler section

Electrical section

Mechanical section

Refrigeration section

STORES DEPARTMENT

Storage is an essential of marketing process. This involves the proper arrangement for retaining

the goods in a perfect state till they are need by the consumers and are to be taken to the market

place. Two people handle the stores department. One person is known as office and other is his



assistance who maintains books of receipts and issue of goods from the department. The stores

department maintains a number of books such as stock ledger, stock inventory method.

As soon as the stock arrives, the stores keeper checks the quality and enters the same into their

receipts ledger, where the job of the accounting for stocks carries on until they are sent to the

department which requires this information.

Functions of stores:

To place or send a requisition of materials to the purchase department on time.

Receiving the incoming materials and to record the receipts in general ledger and to

carry out the inspection work properly.

After the inspection work of both quality of materials, are placed properly on the basis

of their nature and to record them in [bin card] rejection materials are sent back to the

suppliers and asking the supplies to send the requirements or required type of quality

materials.

Proper maintenances of stores records.

To issue the materials receipts of duty signed or authorized requisition note from the

respective department.

To protect stores against damage

MANAGEMENT INFORMATION SYSTEM DEPARTMENT

Online computer transaction system at mother dairy

Presently mother dairy is having a system of all major transaction being carried on through its

online computer system. The major areas covered are.



All milk distributors to retailers/factories/institutions.

All incoming milk weightiest, billing and its accounting.

All financial accounts, book maintenance, employees pay roll, sales transactions.

Maintaining database of all the above said transactions

The milk production and quality control system:

The weightiest of milk tankers taken on the weight bridge, which is inter forced with the online

system. Quality test fat percentage and SNF percentage area entered in q.c. Menu. The shift wise

receipt issue milk processing register product reports are taken by entering the details in

production menu to arrive to material balance.

Milk marketing and distribution system:

Indenting for milk supply as per the retailers requisition quantity production indent, route sheet

printing, distribution menus, after the supply return entry, cheque entries carried to take the

cheque statement short or excess payment reports sales reports and retailers reports are taken.

Financial accounting system:

The general receipts are entered for cash or cheque receipts with GR print outs, payment

vouchers debt note, advances, bill payment, cheque, bounces are entered. All financial reports

petty cash book, purchase day. R&P, trail balance, journal entries, subsidiary ledgers income tax

from 16TDS certificates etc, monthly annual reports taken.

Integrated material management system:

Material purchases are done by enquiry entry, quotation entry, and comparative statement and

vendor approval for placing the purchase orders. Stores are maintained by entering MRR,issues,

stock ledgers, entry tax reports, issues reports are taken.

Payroll attendance management:

Employees are swapping their ID cards in attendance card reader for attendance of their presence

in dairy. In and out times are transferred to server with the interface of records to the system.

After entering leaves, OOD the monthly, half yearly, annual statement generated and printed.



Engineering and production planning control:

Electrical, boil, refrigerators, mechanical, pre pack, transport sections data entry of meter

reading, preventative maintenance, rates are entered. Register and logbooks are taken effective

utilizations is not yet made due to programmer errors and users.

Benefits of the MIS system

Shifts wise receipts and issue statements

Material balance between any period [daily, weekly, monthly]

Milk conversion statement, quality reports of films, packing materials etc.

Milk processing, butter, ghee register

HIERARCHY OF MIS DEPARTMENT


DEPUTY MANAGER

ASSISTANT MANAGER


SECURITY DEPARTMENT

Industrial Security:

Security is must for any organization to tackle with problems like theft strikes, conflicts between

workers, etc. mother dairy maintains its own security through permanent employees and contract



labors. It has also employed an ex-service man who looks after the security of the whole

premises.

There are 35 employees who work for this department in three shifts. They have different tasks

to perform right from checking the milk tankers, checking the distribution vehicle, keeping

records for the visitors and keeping an eye on the premises of mother dairy and 4 cameras which

are installed for safe guarding the dairy activity and its premises. If and mischief conducted

while dispatching the materials from the premises the fine is collect in the ratio of 1:10 of the

amount of the materials

MOTHERDAIRY MANTAINS CERTAIN REGISTERS

Visitor’s register:

The visitors coming in MOTHERDAIRY have to enter their name. purpose of visit whom

they are meeting, time of entering time of going out and signature.

Duty Reporting Register:

It is and internal register of security department which tracks the number of people

reported for duty in a particular shift.

Occurrence register:

This registers only for any critical incident happening in the premises. An incident such as

theft, an accident etc if happens has to be recorded in this register.

Material Movement Register:

The materials which are taken our from the premises are recorded in outwards register and

the materials coming in are recorded in a separate register. They are duly checked before it goes

out or comes in.



Contract Register:

Here records such as name, address, time of work, etc contained in this register. Besides

these activities counting of contract labors done after and before every shift so that the exact

number ca be sent to administration department for their payment.

HIERARCHY OF SECURITY DEPARTMENT

SECURITY OFFICER

PERMANENT GUARD

PRIVATE SECURITIES


SECURITYHEAD GUARD


SOWT ANALYSIS

SWOT ANALYSIS OF MOTHER DAIRY



STRENGTH:

Market leader.

NANDINI is trusted household brand name.

It has a good infrastructure.

Its main power is company’s man power.

Maximum source utilization.

Construction equipment division measures customer satisfaction by the means of

customer satisfaction index and to measure performance.

Technology updating in regular intervals.

Total quality management system is implemented.

High quality goods and services were produced.

Good brand image in the market and Wide range of products available in the market.

Consumers are highly satisfied with KMF products.

WEAKNESS:

No replacement policy, resulting in safe indenting by agents.

Lack of specialization in top management.

Some departments of Mother Dairy are lacking enough authority to take decisions.

Difficulty in adopting modem technology by following procedures.

Lack of counseling and absence of interaction between employees Logistics of

procurement.

Weak distribution network because of bad roads and inadequate transportation facility

make milk procurement problematic.

Heavy competition from the private vendors

Evaluation of effectiveness of training given to the staff.

OPPORTUNITIES:

At better price than any other milk union’s price obtained in Karnataka.



Effective advertisements: - by providing the effective advertisements it is possible to the

organization to Increase brand awareness of different products of KMF.

Expansion of product line in current market. Since KMF is a well-known brand, it has an

opportunity to diversify into other milk products.

Mother Dairy is recruiting its labor from permanent and contract basis,

It has opportunity to meet production as per fluctuating demand. Exploring possibilities

to export the products required by the state of the art companies.

Strengthening of union-management relationship to achieve organizational objectives.

By minimizing the wastage the production levels can reach its objectives and reduces

cost.

THREATS:

Competition from private vendors: - in the present situations private milk vendors are

occupying the pride place in the dairy industries.

Poor microbiological quality of milk. Result of globalization.

Change in technology. Limited market. Increase in milk procurement.

(When there is a surplus· of milk production in other states)

Multinational companies entering into milk business for which Government should not

encourage

As mother dairy is owned by Karnataka government, change in policies of the

government affects the mother dairy.

Change in technology.

FINDINGS, SUGGETIONS AND CONCLUSION

6.1 FINDINGS:



KMF has learnt it hard way and has been continuously striving to compete with

competitors and has been successful.

KMF is being showing consistent growth prospective.

It has centralized many functions that help of a better control and coordinate.

Company continuously strives for achieving total quality management.

This company assigns market field survey to us it shows the utilization of the available

sources at present or current period of time.

The facility is maintained well.

6.2 SUGGESTION:

Very important of all is the marketing department function that is has to do good

advertisement and build brand awareness in the market.

Job rotation, job enlargement and job enrichment needs to be done frequently which

would motivate an employee to do better.

As KMF faces a tough competition from the private firms it must formulate. In order to

survive and to be leader KMF needs to come out with new products continuously and

increase its product line.

The company should improve the promotional activities to create brand awareness and

capture the market.

The recruitment process has to be modified.

Recruitment and selection policy should be more transparent.

Retailer's Sales margin should be increased to motivate them to push the Products

CONCLUSION:

Indian dairy sector contributes a large chunk in agricultural gross Domestic Product. Milk is one

of the basic needs for the people. Mother Dairy, a service oriented organization as entered



households of Bangalore and other parts of Karnataka with its attractive products and efficient

service. The costumers can be taken in to confidence so that it helps dairy with better insides

even though KMF is facing vary stiff competitions from the competitors like Heritage, Arogya

and swastika,. It has strong brand image and also better distribution network.

This training has given as insight in understanding the various attributes of the products as well

as the other factors which influences the buyer behavior of business markets for effective

formulation of marketing strategies with respect to product, promotion and placement because

the advertisement and sales promotional, strategies are very important for any product to become

popular and push the sales up. During the training period it is found that KMF production and

other strategies are good.

BIBLIOGRAPHY:Books referred

Author Title Year Edition Publication



Dipak Kumar

Bhttacharyya

Human Recourse

Management

2013 3rd Kalyani

George W.

Bohlander,

Human Recourse

Management

2008 2nd South-Western

College

Peter Marketing Management 2013 4th Jain Book

Aagency

Aggarwal

Navdeep

Financial Management 2014 3rd Kalyani

Ahuja K.K OrganisationBehaviour 2016 1st Kalyani

Philip Kotler

Kevin Lane

Keller

Marketing Management 2006 12th Pearson

S.A Sherlekar Marketing Management 2004 12th Revise &

Enlarged

Himalaya

TapomonyDeb Human Resource

Planning

2006 Students Ane’sBooks

India

I.M Pandey Financial Management 2009 9th VikasPublic

House Pvt Ltd.

Dr.Girish P

Jakotiya

Strategic Financial

Management

2012 2nd VikasPublic

House Pvt Ltd.

Gary Yuld Leadership In

Organization

2006 7th Pearson

Websites:



1. www.motherdairykmf.in

2. www.kmfnandini.coop

3. www.ab ebooks .com/ book


http://www.kmfnandini.coop/

http://www.motherdairykmf.in/

an organisational study at kmf mother dairy yalahanka new

Education