A STUDY ON

“Customer Satisfaction about Milma Products” With Special Reference to Malabar Co-operative Milk Marketing Federation

(MCMMF)

Kasargod Dairy

A Project Report

Submitted in Partial Fulfillment of

The Requirement for the Award of the Degree of

BACHELOR OF BUSINESS ADMINISTRATION

By

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Enrolment No: 565656

SCHOOL OF DISTANCE EDUCATION

KANNUR UNIVERSITY

2011

1

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Enrolment No: 5654353

2rd BBA

Kannur University

STATEMENT BY THE CANDIDATE I here by declare that project work entitled “Customer Satisfaction about Milma Products” at ‘MILMA DIARY’, Kasargod submitted in partial fulfillment of the requirement for the award of degree of BBA of Kannur University has been prepared by me and is a record of original.

I also declare that the project report has not been submitted by me fully or partially anywhere else for the award of any degree diploma or any other similar title.

Place: dfdfdfdf vdfdfdfdf

Date: Enrolment no:

2

ACKNOWLEDGEMENT

The project entitled “Customer Satisfaction about Milma Products” at ‘MILMA DAIRY’, KASARGOD has been executed under the able guidance.

Whole heartily extend my deep sense of gratitude to almighty of God without whose benevolence and grace, anything would have been possible.

I acknowledge my sincere gratitude to all teachers and well wishers for lending a hand up assistant for the completion of this work.

I would like to acknowledge my deep sense of gratitude to the Manager of WIP and all staffs of Western India Plywood Ltd for their valuable guidance and assistance during the time of study.

I am deeply indebted to all authors whose books provided me an insight to the subject.

Above all I remain thankful to the grace of GOD without which I could not have completed this venture successfully.

Place: dddfdfasd gdgdgdgdfg

DATE: enrolment no:

3

CONTENTS

EXECUTIVE SUMMERY

1. INTRODUCTION

1.1 INTRODUCTION 6

1.2 THEORETICAL PERSPECTIVE

2. PROFILES

2.1 INDUSTRIAL PROFILE 10

2.2 COMPANY PROFILE 19

2.3 PRODUCT PROFILE 24

3. RESEARCH OBJECTIVES AND METHODOLOGY

3.1 RESEARCH METHODOLOGY 31

3.2 OBJECTIVES

3.3 SCOPE

3.4 LIMITATIONS

4. FINDINGS SUGGESTION AND CONCLUSION

4.1FINDINGS 37

4.2SUGGESTION 38

4.3CONCLUSION 39

5. BIBLIOGRAPHY 41

6. ANNEXUR 43

4

EXECUTIVE SUMMARY

The project work has undertaken at Kasargod Dairy (MCMMF) in kasargo

d city. The study was conducted for 1 day. The main objectives of this study we

re to know about the customer satisfaction about MIMLA products. Kasargod c

ity has been selected as a location because it is now facing a competition betw

een local milk suppliers and outside state milk suppliers. From the data collecti

on it is clear that the consumers are satisfied with the quality of MILMA Milk. S

o there is no doubt that the MIMA is moving towards number one position wh

en milk and milk products are concerned. But to acquire number one position i

n the market it is necessary to adopt more aggressive sales promotional strate

gies and advertisement because promotional strategies and advertisement are

very important to increase the sales. Now the Co-operative society has no one

position in the market by satisfying the wants and needs of the customers. The

society is earning its profit when compared to other organization. The society h

as to adopt new and improved sales promotional strategies to attract the cons

umers and also increase the sales.

Regarding the quality of the MILMA Milk it is very excellent according to

the customers. MILMA products are very popular for its quality and taste with t

he competitors who are penetrating south one from other places so having as

advantage of the production unit and as well as effective distribution channel li

ke outlet M C M M F is still holding market share, but to compete with the priv

ate companies, MILMA has to adopt some more aggressive strategies to impro

ve sales and well as make more customers aware regarding the products.

STATEMENT OF THE PROBLEM

5

The problem identified for the study is to find out the level of satisfactio

n about MILMA products and also to find out the attitude and perception of th

e consumers towards the MILMA milk.

OBJECTIVES OF THE STUDY

To know the customer satisfaction about the MILMA products

RESEARCH METHODOLOGY

Methodology used for the carry out the project titled “As customer satisf

action about MIMLA products with special reference to MILMA, the milk manu

facturing co-operative society in kasargod. Descriptive research to know the sa

tisfaction level of the consumers towards MILMA products.

SAMPLE DESIGN

To universe of study of being limited to the Kasargod district the researc

her has to select the proportionate sample to conduct this study. And sample si

ze taken as 120. So as to procure relatively accurate of the reaction of the cons

umers on MILMA products in adheres to the objective of the study.

SCOPE OF THE STUDY

This study helped to know about the scope of the consumption of MILM

A products among the consumers. And their satisfaction level, this study helpe

d to know about the distribution channel adopted by the organizations; also fr

om the study it is found that MILMA milk have distinctive advantage compared

to others. The study also helped to know about effective media for advertising

the MILMA products.

LIMITATIONS OF THE STUDY

6

There was lot difficulty faced while meeting the customers personally, b

ecause some of them were not to co-operative in answering the questionnaire.

CONCLUSION

One of the main competitive edges of MILMA products widens distributi

on network all over Kerala. Customer satisfaction toward MILMA products is q

uick and incredible. Brand loyalty, quality, taste and good supplier relationship

all these factors makes MILMA superior player in the market that showing cust

omers highly satisfied with using MILMA products.

7

CHAPTER.1

INTRODUCTION

GENERAL INTRODUCTION

THEORITICAL OVREVIEW

C onsumer and Customer Satisfaction

8

Intense competition and over capacity in almost all industrial sectors has

brought the customer back to the forefront of organizational planning. Compa

nies have been forced to evaluate the customer from being “just a customer” t

o a part of the mission statement. A quick scan of the quality policies of any IS

O certified company would reveal this. Realizing the strategic significance of ke

eping the customer happy, companies have adopted the path of customer rela

tionship management in large numbers.

“A customer is the most important visitor on our promises. He is not dep

endent on us. We are dependent on him.”- Mahatma Gandhi.

A customer may either external or internal.

1. External customers are those who buy our products/services.

2. Internal customers are individuals/department who Use company’s

output as either as their input and the company becomes their supplier.

What is Satisfaction?

1. Satisfaction is evaluation of an emotion.

2. Satisfaction is the outcome of the interaction between the expectation

of customer and the performance of the product and service.

3. Satisfaction is the reward a customer gets for the choice made.

FIG: CUSTOMER SATISFACTION CYCLE

9

Manufacturer

Market survey to assessCustomer needs.

Recent Trends in Customer Satisfaction:

1. Customer orientation

Customer Orientation means keeping customer requirements in mind or thinki

10

ng about customers wants.

1. Right Quality

2. Right Quantity

3. Right time and Right cost

2. Customer delight

This is no more unknown concept and all the companies in India and abroad

are trying to reach this height. Satisfaction has given way to customer delight a

nd it has become the evergreen buzzword. What is customer delight? Custome

r delight is a step more than customer satisfaction delight is a stage where the

customer is truly very happy rather delight when gets something more than th

ey expects.

In the present marketing scenario, customer has become the core of the co

mpanies. Customer satisfaction is being replaced by the neo concept of custom

er delight- very true to India also. Not only manufacturing companies have to b

egin to think about the customer and their satisfaction, delight. Companies are

being ranked on the vases of their level of customer satisfaction.

11

CHAPTER.2

PROFILES

INDUSTRIAL PROFILE

KERALA CO-OPERATIVE MOLMA MARKETING FEDERATION (KCMMF)

Kerala Co-operative Milk Marketing Federation (KCMMF), popularly calle

12

d MILMA was established in April, 1980 with its Head Office at Thiruvananthap

uram for the successful implementation of the Operation Flood.

The name MILMA represents:-

2,608 primary milk co-operative societies.

7.33 lakhs farmer members.

Three Regional Co-operative Milk Producer’s Union.

Ten Dairies capable of handling 9.90 Lakhs litter of milk per day.

Fourteen Milk Chilling Centers.

Two Cattle Feed Plants with cumulative capacity of 500MT per day.

One Milk Powder plant of 10MT per day capacity.

A well established Tanning Centre.

5,000 retail outlets.

Over 30,000 people working either or indirectly for the functioning of

MILMA

A part from these we serve millions of consumer day-in and day-out.

MISSION

Farmer’s prosperity through consumer satisfaction.

OBJECTIVES

To channelize marketable surplus milk from the rural areas to urban

deficit areas to maximize the returns to the producer and provide quality

milk and milk products to the consumers

13

To carry out activities for promoting production, procurement,

processing and Marketing of milk and milk products for economic

development of the farming community.

To build a viable in the state.

To provide constant market and stable price to the dairy farmers for

their produce.

MILMA’S NETWORK

The motto of Co-operation of “of the people, by the people and for the p

eople” is the foundation of the “three tier system” followed by the organizatio

n. At the village level we have the Village Milk Co-operative Societies which hav

e the local milk producers as its members. These village Co-operative Milk Prod

ucers unite at the Regional level and formal Regional Co-operative Milk Produc

ers Union. These unions are federated at the state level to from state federatio

n namely Kerala Co-operative Milk Marketing Federation (KCMMF)

PERFORMANCE OF KCMMF

The main Milestones are;

1. Federation and all the three regional Milk Unions joined hands with NDDB

(NATIONAL DAIRY DEVELOPMENT BOARD) to be a part of the national

14

stream to promote co-operative brand. In the wake of competition from

private sector, KCMMF and the regional Milk Unions readily accepted the

well planned Marketing Strategy of NDDB and the mnemonic symbol of

NDDB was introduced in the milk pouches in the State Kerala is the first

federation to adopt the mnemonic symbol throughout the state.

2. Thiruvananthapuram dairy under the Thiruvananthapuram Regional Co-

operative Milk Producers Union Ltd. obtained ISO certification. This is the

first dairy in the Kerala to get such an accreditation.

3. Kozhikode dairy under the Malabar regional Co-operative Milk Union

obtained ISO 9001-2000& HACCP (Hazard Analysis and Critical Control

Point) Certification. This is the first dairy in Kerala to get internationally

acclaimed HACCP accreditation. This is also the first day in India to receive

both the above two certification simultaneously.

4. For effective leam flush management in milk procurement, the dual pricing

system was introduced for the first time in all the three regional milk

Unions.

5. A rehabilitation package for the ERCMPU with the Central & State Govt.

assistance was initiated through NDDB with a total outlay of Rs. 4.13 Crores.

6. Long-term Perspective plans of TRCMPU and MRCMPU for Rs. 15.99 Crores

respectively were approved by NDDB.

7. Government of Kerala has granted Sale Tax exemption for sales of liquid

milk with retrospective effect from 01.01.1994.

FUNCTIONAL AREAS OF KCMMC KCMMF HEAD OFFICE

Provides staff management functions to support its Unit & Regional Milk

Unions. KCMMF Head office has well established Marketing, Purchase, Quality

Control, Finance, Project planning & Systems HRD Departments.

15

MARKETING

Brand Management.

Lean Flush Management.

Bulk trading of surplus products.

Institutional supply contracts.

Coordinated promotional activities.

Packaging & product Development.

Procurement & Consumer Pricing.

PURCHASE

Centralized purchase of Dairy consumables.

Purchase of Raw materials for cattle feed plants.

Purchase functions of KCMMF Heads Office.

QUALITY CONTROL

Render technical & legal assistance to primary dairy co-operative and

Regional Milk Unions.

Liaison and maintain quality of milk and milk products as per the

standards.

Attend to consumer complaints on quality problems.

FINANCE

Financial management of KCMMF and its units.

Liaison with financial institutions for availing loan for creation of

infrastructure.

16

Liaison with Government for availing Government financial assistance.

Long term repayment and scheduling of loans.

Capital management schemes for primary co-operative societies.

Recommended remuneration of APCOS employees.

PROJECTS

Planning and execution of projects for creating infrastructure for

Regional Milk Unions and KCMMF.

Providing consultancy for execution of projects.

Liaisoning with statutory authorities like Factories and Boilers, Electrical

inspectorate, Dept. of Explosive etc for obtaining approval and

implementation of projects.

Liaisoning with Government for land allocation, water, power and other

amenities.

Estimate management and assistance in maintenance of plant &

machinery of KCMMF Units.

PLANNING & SYSTEM

Maintenance of system at KCMMF, Units and Regional Milk Unions.

Development of software’s to support various functions.

Purchase of hardware and software.

Support Management information system.

Networking.

Conducts Tanning programs for development for computer skills.

HUMAN RESOURCE DEVELOPMENT

17

MILMA family has 2098 skilled, efficient and qualified personnel and

has an excellent labor relationship.

Takes active role in farming personnel policies and service rules.

Finalize long term wage settlement, wage bonus etc.

Placement and career development activities.

PROCRSSING FACILITIES AND THROUGHTPUT.

The installed capacities of various Dairies and Chilling Plants and their average procurement and sales are given below (LPD).

18

SL. No Unit Capacity Procurement Sales district

1Kozhikode Diary 1,50,000 54000 73,300 Kozhikode

2Kannur Diary 1,00,000 82,000 75,500 Kannur

3Palakkad Diary 1,00,000 92,100 42,300 Palakkad

4Attappady MCP 30,000 12,000 - Palakkad

5Pattambi 15,000 7,000 - Palakkad

6Nilambur MCP 30,000 21,000 - Malapuram

7Meenagadi MCP 60,000 40,100 - Wynad

8Manathavady MCP 10,000 12,900 - Wynad

9Kasargod Diary 30,000 - - Kasargod

The average milk procurement and sales during 1999-2000 is 2,17,300 LPD an

d 1,81,100 LPD respectively.

Commercial units:-

Central Products Dairy

19

Alappuzha dairy is directly managed by the Kerala Co-operative Milk Mar

keting Federation. An Ascetic Packing Station (Tetrapack unit) and Milk Powder

Factory are also established in the dairy compound, which are only one of its ki

nd in Kerala. Central products dairy (CPD) was commissioned on 23rd December

1987 with a capacity of 60000LPD.

Milk Powder Factory

Capacity – 10MT per day.

Facilities are available to produce normal and instead varieties of Skim M

ilk Powder, whole milk powder, baby foods, 4.5MT ghee per day production fa

cility is also provided.

Cattle Feed Plants

MILMA has two cattle feed plants, one each at Pattanakad in Alappuzha

District and Malampuzha in Palakkadu District. The plan at Pattanakad was esta

blished in 1985 with an investment of 142 lakhs and the installed capacity of th

e plant was 100MT per day. Later during 1993 this plant was expanded to 300

MT per day capacity at an investment of 307.5 lakhs. This plant can also produc

e pellet from of cattle feed. The plant at Malampuzha was set up by Animal Hu

sbandry Department, Government of Kerala in 1972 with an installed capacity

of 100MT per day and later during April 1983 it was hand over to KCMMF as pa

rt of the agreement between Government of Kerala and NDDB for implementa

tion of operation Flood II programme in Kerala. This plant was modernized wit

h computerized batching operation with an investment of Rs.56 lakhs during 1

989 and subsequently expanded to 200MT per day capacity during 1995 with a

n investment of 214 lakhs.

These plant were set up to supply good quality balanced compounded ca

20

ttle feed at reasonable rates of to member farmers of APCOS. The total production capacity of

the plants is 500MT per day, i.e. 300MT per day capacity plant at Pattanakad a

nd 200MT per day capacity plant at Malampuzha.

Adjudge Top Feed Manufacture of India for manufacture Aflotoxin-free b

est quality cattle feed by Indian Association of Veterinary Pathologists during 1

998.

TRANNING CENTRE

In keeping with the ideology of placing the instruments of progress in th

e hands of the farmers themselves, an orientation programme was started way

back in 1984 and the tanning needs were met from a rented building at Edapall

y in Ernakulam District. During the initial period NDDB came forward to help us

in providing financial assistance as grant for meeting the training center expens

es. Under North Kerala Dairy Project – phase I, Swiss Development Co-operatio

n provided Rs. 29 lakhs as grant for establishment of a full-fledged training cent

er expenses with hospital facility in the land adjacent to Trichur Dairy. Accordin

gly the training center was established and started functioning from new premi

ses from 2.1.1992 onwards and it provides training courses for presidents, secr

etaries, Milk Testers, Milk Collectors of Anand Patern Co-operative Societies.

COMPANY PROFILE

MALABAR REGIONAL CO-OPERATVE MILK PRODUCERS UNION LTD (MRCMPU)

21

INTRODUCTION

Malabar Regional Co-operative Milk Producer’s Union Ltd.(MRCMPU) is

one of the three Regional Co-operative Milk Producer’s Union in Kerala

state and is the youngest one. The area of operation is six northern

district of Kerala, viz. Kasagod, Kannur, Waynad, Kozhikode, Malapuram

and Palakkad.

MRCMPU was registered on 29.06.1989 and started functioning on

15.01.1990. From 15.01.1990 to 15.04.1993 an Administrative

committee constituted by the Government was governing the

Organization, and from 16.04.1993 MRCMPU is governed by an elected

board of directors.

On 16.04.1993, an elected Board of Directors with Sri. P.T. Gopala Kurup

as Chairman took charge Sri. Dakahina Moorthy is the Managing Director

of the MRCMPU.

Subsequent to election conducted on 15.02.1996, a new Board of

Director has taken charge and Sri. P.T Gopala Kurup has been re-elected

as the Chairman. On 30.12.1999, Sri. P P Gopinath Pialli has been elected

as Chairman. The present Chairman Sri. P T Gopala Kuru has been

elected as chairman of KCMMF Thiruvanthapuram.

Before formation of MRCMPU, the Kannur and Palakkad Dairies were

managed by Kerala Co-operative Milk Marketing Federation (KCMMF)

and the erstwhile of Kozhikode, Malapuram and Waynad milk Unions

were functioning in the area of operation of MRCMPU. MRCMPU took

over Kannur and Palakkad dairies from KCMMF on 01.06.1990 and the

three district milk union were merged with MRCMPU on 01.08.1990.

22

The Head office of MRCMPU now functions at Perigolam near

Kunnamangalam at a distance of 15 kms from Kozhikode City.

MARKETING

Toned milk (3.0 FAT% AND 8.5% SNF) is the major product of MRCMPU.

In April 1992, “Milma rich” (standardized milk with 4.5% FAT and 9.0%

SNF) was launched as a premium product. In the year 2000 two

additional products “milma white” (homogenized milk with 2.0% FAT

and 9.0% SNF) and “milma jersey” (cow milk with 3.5% FAT and 8.5%

SNF) are introduced. Milma Milk products are being sold on brand

name “MILMA” through1449 agents.

The MRCMPU sells about 54M.T of ghee per month. Production and

sale of Curd and Sambharam (Butter Milk) were also started in all

dairies and about 10,000 liters of Curd and 3,000 packets of

Sambharam(200ML each) is sold daily.

MILK PRICE AND MILK VALUE PAYMENT

During 1997-98, an additional price of 2.250 per kg paid the APCOS

during the period February-March 1998 of which Rs. 1.25 per kg was

paid in cash (which was passed on to the producers and the balance

Rs.1.25 per kg was converted share capital of the society in the union.

The detail of incentives paid in the lean season and the share capital

as on the last day of each year are given under “8.0 Finance”.

The milk procurement price is Rs. 96.72/kg FAT Rs. 79.13 per kg SNF

with effect from 01.04.1999

MANPOWER

23

The MRCMPU has total staff strength of 507 including 9 temporary work

ers (as on 31.08.2000).

FINANCE

The MRCMPU which made a turnaround in the year 1992-93, has been c

onstantly making profits thereafter. The accumulated loss of Rs. 15.46 lakhs as

on 31.03.2000 was Rs. 386.05 lakhs.

EXTENSION CELL

An extension cell was constituted the P & I Department during April 199

6 to implement different Technical Inputs, Training and Extension programs of i

n an integrated manner. The objectives of the Extension cell is to develop, plan

and to implement need based Technical inputs, Training and Extension progra

ms and to organize other activities so as to achieve the objectives of the P & I D

epartment and the Union. The task of the extension Cell includes:

Formulation and application of its extension philosophy.

Elaboration of extension methodologies.

Organization of flow of information to and fro the field.

The identification of needs and subsequently their transmission into

extension messages.

The elaboration of a training concept of training coerces.

The establishment of contacts with outside agencies.

The identification and contracting of external resources persons.

The up-dating of its own know-how and skills.

24

Considering the pivotal role played by women in Dairying, the MRCMPU de

cided that the Training and Extension Programs should b focused mainly on W

omen. Hence it was decided to implement the Technical Inputs Training and Ex

tension Programs in the village in an integrated form through women Promote

rs, who will act as a change agent. The integrated technical inputs Training and

Extension package has major programs, namely, Women Cattle Care Program,

Co-operative Development program, artificial insemination Program and feeds

& Fodder Program.

BOARD OF DIRECTORS

Sri. P P Gopinatah Pillai(Chairman)

Sri.P T Gopala Kurup

Sri. A Raghavan

Sri. Jose Munnanal

Sri. Joseph Vallikunnel

Sri. M Sreenivasan

Sri. P C Vijayan

Sri. K Narayanan

Sri. T P Usman

Sri. K P Mohandas

Sri. K Surendran

Sri. K J Devasya

Sri. N S Varadarajan (KCMMF)

Sri. Mathew Kurien (Dairy dev. dept)

Sri. Cheriyan Joseph (NDDB)

MILMA HISTORY

25

The Kerala Co-operative Milk Marketing Federation (KCMMF) or Milma s

tarted its operation in 1980 with its head office at Thiruvananthapuram. It was

started under the Indo-Swiss project. The project was launched in 1963 on the

basis of a bilateral agreement executed between the Swiss Confederation and t

he Government of India. The project has made great strides in the improveme

nt of livestock farming in the state. One of them is the development of Swiss Br

own, a cross breed suited for the state's conditions. The project is now manage

d by the Kerala Livestock Development and Milk Marketing Board. It main moti

ve was to implement the Operation Flood programs started by the National Dai

ry Development Board (NDDB) in Kerala.

Malabar Regional Co-operative Milk Producers’ Union (MRCMPU) Limite

d is a Union of more than 1000 village level dairy co-operative societies located

in the six northern districts of Kerala State in South India and it is owned by the

dairy farmers who are members of each affiliated society and who live in the ar

ea of operation of these societies. The societies function on the pattern of the s

ocieties affiliated to the world famous Anand Milk Union Ltd. (AMUL) at Anand

(Gujarat), India and hence are also known as Anand Pattern Co-op Societies or

“APCOS”. The area of operation of MRCMPU Ltd. comprises of the six revenue

districts of North Kerala, viz Kasaragod, Kannur, Wayanad, Kozhikode, Malappu

ram and Palakkad. The Union is affiliated to the state level apex body-Kerala C

o-operative Milk Marketing Federation Ltd (Operating under the trade name M

ILMA) along with its sister Unions at Ernakulam and Thiruvananthapuram. The

head office of the Union is located at Peringolam under Kunnamangalam post

office near Kozhikode.

PRODUCT PROFILE

26

OUR PRODUCTS

MILMA has a range of products. A marketing chain consisting of nearly 4

000 retail outlets, across the state ensures availability of MILMA’S products to

consumers. MILMA with its motto “your health is our concern” has become syn

onymous with assured quality of milk and milk products. MILMA’S spectrum of

products. MILMA’S spectrum of products adheres to the PFA rules and is releas

ed for distribution only after stringent quality checks.

1. Milk

Toned milk

Double toned milk

Standardized milk

2. Curd

3. Ghee

4. Butter milk

CERTIFICATON

1. ISO 9001:2008:-

ISO 9001:2008 is a quality management standard by which an organization

ensures that customer requirements are met and customer satisfaction is enha

nced continuously. Dairies and chilling plants under the Union have been ISO 9

001:2008 certified by the international certifying agency, M/S Det Norske Verit

as B.V of the Netherlands.

ISO is an effective system for integrating the quality development, qualit

y maintenance and quality improvement efforts of the various groups in an org

anization so as to enable the various departments of the Union to achieve full c

27

ustomer satisfaction at minimum cost. ISO ensures that systems, machinery an

d devices work safely and satisfactorily. The International standard also provid

es a common framework for the customer and suppliers worldwide for smooth

interchange of goods and services.

2.  HACCP:-

The growing concern among consumers about the safety of food is one of t

he greatest challenges facing the dairy industry today. The Hazard Analysis and

Critical Control Point (HACCP) system is a structured, systematic tool develope

d to identify and assess the microbiological, chemical, physical and allergenic h

azards and risks associated with the manufacture and distribution of dairy prod

ucts. HACCP is a method to reduce the hazard down to an acceptable level or e

ven less. In MRCMPU Ltd the Kozhikode Dairy is HACCP certified. HACCP togeth

er with prerequisites such as Good Hygienic Practices (GHP) during milk produc

tion and processing and Good Manufacturing Practices (GMP) are the basis for

producing safe milk products anywhere in the world.

MILMA – THE FARMERS ORGANIZATION

MILMA is an Organization of the farmers. They are the producers of the

raw material-milk, the shareholders in the organization and the Chairman and

Board of Directors are elected from among them.

The farmers are members of the A P C O S (Anand Pattern Co-operative Societ

y). The president of the APCOS from the General Body of the Regional Milk Uni

on, which Federate to form the KCMMF.

MILMA provides the members of APCOS with various services at nominal/conc

essional prices.

28

Procurement of Milk: first and foremost, milma provides assured milk

market and procures milk from even the remotest societies. Twice a

day our milk collection trucks go the societies and collect milk. In areas

which are not accessible by road, other means of collections are

employed.

Veterinary service: our veterinary service is most popular component

of our input activates. The veterinary wing operates two types of

veterinary routes, regular and emergency.

Cattle feed plants: balanced cattle feed is the major centralized input

provided to the dairy farmers of the state from the federation. There is

a high acceptability for this product in the market.

Training centre: in keeping with the ideology of placing the instruments

of progress in the hands of farmers themselves. An orientation program

is offered to the farmers to equip them with the basic and the

fundamentals of co-operatives, accounting, testing, laws etc. A full-

fledged training centre is functioning at Trichur.

Co-operative Development Activities: the inherent togetherness

brought about by being a part of the society was seen as a potential

platform for dissemination of related information and discussion

various issues that crop up in the normal village life style. Thus was

born the idea of a Co-operative Development Wing which held

activities that saw the village as a whole and the society a nodal point,

i.e. these activities one step ahead by seeing the milk suppliers not

merely as a farmer member but went on to see them as a part of the

fabric of the village. The issues dealt with human health aspects,

nutrition aspect, scientific management techniques of dairying and such

varied topic with the help of leading experts in the concerned where

29

discriminated. This is more of a society motivating exercise that an

image building ventures.

Embryo Transfer: in an effort to bring the results of research into the

field conditions, Embryo Transfer Technology has been introduced to

upgrade cattle wealth. ET was started in 1990 and so far, had a

commendable 48% success rate which is comparable to the national

standards.

MARKETING DEPARTMENT

Marketing is one of the three key functional areas of MRCMPU Ltd. and i

t is the only functional area responsible for generating income for the Union.

Marketing comprises of the following two broad areas.

1. MARKETING OF FRESH PRODUCTS:-

Marketing of Fresh Products (which includes different varieties of milk, c

urd and butter milk) is a responsibility being carried out by the marketing secti

ons attached to the five milk-processing dairies. The Marketing activities in the

se dairies can be broadly classified into Distribution Management and Market

Development Activities. The former involves daily distribution of fresh milk and

curd in the morning and afternoon through insulated vehicles to the dealers an

d collection of money and indent from dealers and other related planning and f

ollow-up activities. The latter involves field activities designed to expand the re

ach of the Union's distribution channel for milk and milk products and to increa

se market penetration. This is done through a team of field sales representativ

es for each dairy who are given the responsibility in a specified geographic zon

e, which in turn comprises of a number of defined markets. The framework for

30

the Yearly activities as well as the financial support is provided through the yea

rly Marketing Plans of Operation, which is finalized along with the year-wise bu

dgets.

2. MARKETING OF LONG LIFE PRODUCTS:-

Marketing of Long Life products (which includes Ghee, Ice-cream, Sip-up,

Peda, Palada mix, Flavored Milk or Milma Plus etc.) is a responsibility being car

ried out by the Products Marketing Section functioning at Head Office. Here als

o the activities can be broadly classified into Distribution Management as well

as Market Development. The only difference is that distribution of long life pro

ducts are carried out through the whole - sale distributors allotted at various lo

cations. Distribution Management of long life products is carried out from the

five dairies of the Union, whereas dealer development activities are carried out

by Marketing Department at Head Office. The broad activity framework as well

as financial support is governed by a separate Yearly Plan of Operation for Long

Life Products.

STRUCTURE OF THE DEPARTMENT

31MANAGING OFFICER

32

SUPPLY MANAGEMENT OFFICER

MARKETING ORGANIZER

MARKETING ASSISTANT MARKETING ASSISTANTMARKETING ASSISTANT

CLERKCLERK CLERK

CHAPTER.3

RESEARCH OBJECTIVES AND METHODOLOGY

RESEARCH DESIGN OF THE STUDY

RESEARCH METHODOLOGY

33

Methodology used for carry out for the project “as customer satisfaction

about MILMA products with special reference to MILMA, the milk manufacturi

ng co-operative society in kasargod.

Research design is the plan, structure, and strategy of investigation achie

ved so as to obtain answers to research questions and control variance. Design

consist of three important terms-plan, structure and strategy. The plan is an ou

tline of the research scheme on which the researcher is to work. The structure

of the research is more specific outline or the scheme and the strategy shows h

ow the research will be carried out, specifying the methods to be used in the c

ollection and analysis of data. Different perspective from which a research stud

y can be viewed. However, a frequently used classification system is to group r

esearch designs under the three board categories-exploratory, descriptive & ca

sual and descriptive researches to identified customer satisfaction towards MIL

MA products.

STATEMENT OF THE PROBLEM

The first in research is formulating a research problem. It is the importan

t stage in applied research, as poorly defined problems will not yield useful res

ults. It is rightly said, “A problem will defined is half-solved”. Poorly defined pro

blem causes confusion and not allow the research to develop a good research

design.

A problem identified for the study is to find out the level of satisfaction a

bout MILMA products and also to find out the attitude and perception of the c

onsumers towards the MILMA milk.

LOCATION OF THE STUDY

The project work has undertaken at Kasargod Dairy (MILMA) in Kasargod

34

district. The study was conducted for the periode of 6 weeks.

DATA COLLECTION

Primary data collection

Secondary data collection

PRIMARY DATA COLLECTION

To generate the primary data to knowing the awareness and satisfaction

level of consumers in kasargod district. A survey has been conducted. Question

naire method is used and the information and the information have collected f

rom visiting 120 consumers in kasargod district including hotels, ice cream parl

ous and bakery.

QUESTIONNAIRE DEVELOPMENT

Most commonly used research instrument for the purpose of data collec

tion was used i.e. is Questionnaire it is developed after a through discussion wi

th the organization and in keeping view of the objective of the research.

SAMPLE DESIGN

To universe of study being limited to the kasargod district the research h

as to select the proportionate sample to conduct this study. And sample size ta

ken as 120. So as to procure relatively accurate of the reaction of the consumer

on MILMA products in adheres to the objective of the study.

SECONDARY DATA

Secondary data source of information are obtained through observation.

Analysis of record, annual report, website, magazines and company vouchers.

Every year company releases a yearly progress report which provides with com

35

pany activities and statistics of sales information. Also discussion with the mark

eting manager of the organization has provided more inputs into this study.

MODE OF ANALYSIS

The data collected are tabulated according to the consumer response. A

ggregate source which are essential for this study to properly analyze the data

were supported by graphical representation/which helped in quick interpretati

on were developed using Microsoft Excel and the tables were created using Mi

crosoft Word.

LIMITATIONS OF THE STUDY

1. The study was restricted to kasargod district only.

2. Short stipulated time to complete the study.

3. Only 120 consumers were taken as sample size as the market is proved

very large because of wide spread of consumer and limited time.

4. Study is limited to the information gathered through the discussion

which the company officials.

5. There was lot difficulty faced while meeting the consumers personally,

because some of them were not to co-operative in answering the

questionnaire.

ANALYSIS AND INTERPRETATION

RESPONDENTS PROFILE

Consumer who are respondents were selected using simple random met

hod and the restricted to 120 consumers. In this survey the consumers are not

restricted to a particular area.

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THE CONSUMER

The consumer which was selected is not restricted to particular size.

TABLE.1 SHOWS THAT THE PROFILE OF CONSUMERS

USING MILMA MILK

SL NO OPTION CONSUMERS PERCENTAGE

1 YES 91 76

37

2 NO 29 24

TOTAL 120 100

FIG.1 SHOWS THE PROFILE OF CONSUMERS USING MILMA MILK

Sales

YESNO

Interface:

This chart shows the percentage of the consumers who are regularly using MILMA Milk. From the above chart it is clear that 76% of the consumers are the regular users, and the following 24% are not regular users.

CHAPTER.4

38

FINDINGS SUGGESTION AND CONCLUSION

FINDINGS

1. Majority of consumer are users of MILMA Milk. It is a popular brand of

milk. According to the survey 76% of the consumers are regular users of

MILMA Milk and 72% consumers are really satisfied with using MILMA Milk.

39

2. According to the survey 24% of the customers are not regular user of the

MILMA Milk and 28% of customers are not satisfied with MILMA.

3. From the survey conducted most of the consumers feel that price is little

high compared to other brands. But they are satisfied with the quality of

the milk.

4. Door delivery is the major channel of delivery.

5. Availability is a major strength of MILMA.

6. From the survey it is found that advertisement is not so effective.

7. From the survey it is clear that consumer is satisfied with using MILMA.

8. Out of 120 consumers 60 consumers are also using other brands of milk.

SUGGESTIONS

Some of the consumers are using other brands of milk and MILMA has to

tap those consumers

40

Door delivery plays a major role and so MILMA has to maintain good

relationship with door delivery suppliers to increase the sales.

Consumers specific that taste and availability is good, the MILMA should

maintain the same taste and availability. Also they suggest improving the

existing condition of the taste and availability of MILMA MILK to

complete with other competitor.

Consumer’s opinion towards promotional strategic adopted by MILMA is

not up to the market. Hence the company has to improve its

promotional strategies by taking new and innovative steps.

Advertisement of MILMA is non-competitive, which is a negative sign to

the society. If the society wants to face the competition and survive in

the market it has to improve its advertisement.

As most of the consumers are using local media and channel it is

desirable to advertise the MILMA product in the local media and

channel.

CONCLUSION

MILMA MILK products most popular brand in Kerala, quality, promotion

and other elements of products shows the positive sign.

41

Satisfaction level of customers are quick impressive in terms of brand loy

alty towards MILMA products.

Promotional activities undertaken by MILMA products are not up to the

mark. About the competition of the MILMA product no doubt that MILMA lead

s No.1 position in Milk and other related products.

MILMA Milk products are being processed at high technology set up. MIL

MA Milk products are one among the premier products in the country. One of t

he main competitive edges of MILMA product widens distribution network all

over Kerala. Customer satisfaction toward MILMA products is quick and incredi

ble. Brand loyalty, quick, taste and good supplier relationship all these factors

makes MILMA Superior player in the market that showing customers highly sa

tisfied with using MILMA products.

42

CHAPTER.5

BIBLIOGRAPHY

BIBILOGRAPHY

1) Company Website : www.malabarmilma.com2) Company journals and magazines3) www.google.com

43

CHAPTER.6

44

ANNEXURE

CONSUMER SATISFACTION OF MILMA PRODUCTS IN KASARGOD DAIRY

QUESTIONNAIRE

1. Name: Phone:

2. Address:………………………….

45

………………………………………….

………………………………………….

…………………………………………. Pin:

3. Please rank the following according to taste and appearance

a) Milma

b) Sri krishna

c) Janatha

d) Arokya

e) Heritage

4. Are you satisfied with the following products manufactured by MILMA?

A) YES B) NO

5. Are you a regular user of MILMA Milk?

A) YES B) NO

6. Since how many years you are using MILMA Milk?

a) Less than one year

b) From two years

c) From three years

d) More three years

7. What is the consumption level of the MILMA Milk per day in your house?

a) Less than one litter

b) Two litter

c) One litter

d) More than two litter

8. How do you rate the price of MILMA Milk?a) Economicalb) Reasonablec) Fair

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d) High9. You purchase milk regularly from

a) Door deliveryb) Vendorc) Agentsd) Others

10. Which one of the following you recommended to change?a) Qualityb) Pricec) Packing d) Availability

11. Are you satisfied with MILMA Milk?a) Yes b) No

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