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MOTHER DAIRY

Submitted to:-

N.R. IBAOpp. Law Garden

Allis Bridge

Ahmedabad.

Submitted By:-

Parmar Yash G.

Roll No: - 120

F.Y.B.B.A

DIV: - B1



N.R. INSTITUTE OF BUSINESS ADMINISTRATIONGLS Campus, Mardia Plaza Lane, Off. C.G. Road, Ellisbridge, Ahmedabad-380006, Phone: 6430373

CERTIFICATEThis is to certify that the report on the visit to Mother dairy.

is submitted by Mr.Parmar Yash. to N.R. Institute of Business

Administration, affiliated to Gujarat University, in the partial fulfillment of the

requirements for the completion of “Practical Studies” in the area of Management at the

First Year of the B.B.A. Program for the year 2010-2011.

_____________ _______________ ______________

Director Prof. in-charge External Prof.

Date:24 /1 /2011

2



PREFACE

According to George R. Terry, “Management is a distinct

process consisting of planning, organizing, actuating and

Controlling, preformed to determine and accomplished the

Objective by the use of the people and resources”. TheSuccess of any company or business is upon its

management.

The visit to industry is very helpful to students of

management because it helps to get better prospects and

understanding the working condition of various industries.

Under this practical training every student has to visit any

Company for one day and he has to collect related

information and has to prepare report on the practical

training.

I am glad to present report based on the Mother Dairy.I have tried my level best to prepare this project report.

Yours truly,

YASH PARMAR

3



INDEX

Sr.

No

Topic Page

No.1. Company profile

2. History of the organization

3. Form of organization

4. Organization structure

5. Location

6. Production

7. Financial information

8. Marketing

9. Human resourcemanagement

10. Findings

11.

12. Suggestion

13. Conclusion

14. Reference

4



Company Profile

5



Name of dairy : - mother dairy

Form of organization:-co-operative

Registered office :-mother dairy,

GCMMF unitNr.Apollo hospital,

Ahmedabad.

Date of establishment:-19-august-1994.

Group company : - AMUL

General Manager :-A.K DAGHAT

Managing director : - B.M VYAS

Awards : - Ramakrishna Bajaj National Quality Award-

2003International CIO 100

Awards for Resourcefulness

Rajiv Gandhi National Quality Award – 1999

Name of plant : - ghee plant

Milk plant

Ice- cream

Powder plant

Cheese plant

Pizza plant

6



Classification :-

The unit is a co- operative federation and

based on the principle of co- operative of farmer of nearby

villages are member of the society have their representatives in

the federation to do various jobs like production, marketing, personnel management etc.

7



ACKNOWLEDGEMENT

The successful completion of this report would not have been

possible without co-operation of my teacher, friends and my

institute. People have made their contribution in marketing this

visit a success. I am very thankful to all of them.

Firstly, I am very thankful to the director of our instituteshri BIJAL BHATT for making this visit possible for us.

I am also thankful to Miss. ANUJA THAKKAR in charge

of industrial visit. I am thankful to the attention and co-operation

of the half of “MOTHER DAIRY PVT. LTD.” to us during our

visit I must thank them for king support and their attention as well

as guidance. I have been learning many things. Finally I express

my gratitude towards all the persons also directly and indirectly

supported me in preparing this report.

8



Form Of Organization

• Mother dairy is a co-operative society’s co-operative

soc is essentially an association of passion who join

gather on a voluntary basis fir furtherance of their common economic interest.

• Formation of a co-operative soc we very easy compared

To a joint stock company.

9



History of the Organization

Mother dairy comes in to existence in the

year 1994 started manufacturing commercial product on 19th

September 1994. It is duty computerized unit.

Mother dairy was started when they sound

that they had lot of surplus milk even after selling whatever

possible and thus mother dairy was set up to use extra milk. Mother

dairy deals not in milk but also in various milk products like milk

powder, ghee, ice-cream etc.

The dairy was established on behalf of the

government of India ministry of agriculture. The government

however decided that National Dairy Development Board (NDDB)should manage the dairy. Thus mother dairy from its inception was

being managed by the NDDB.

In administration department one person is

put in charge of requirement & selection and large matters are

given to other person. The sales men have to visit the market

everyday and examine the position of the retailer. They also take

care to the accounting part they have a very fast system of making

they have wholesale dealer in all. They put in charge of particular

territories.

10



Organizational structure

Mother dairy is a co-operative society and so its form and

organization is small and which is easy to understand the

present form and organization is asunder:-

11

Sales

manager

Personnel

manager

Board of director

Managing director

General Manager

Productionmanager

Sales

men

Sales

men

Workers Employee



Location

The plant location of mother dairy is as under

Mother dairy,

Nr.Apollo hospital,

Gandhinagar highway,

Ahmedabad

If the available things are not supplies, it affect the

industry

Negative. Therefore layout should there where all things are

available easily

Advantages of location

The mother dairy is situated at gandhinagar, which is

well-developed area from the viewpoint of starting of an industry

it is nearby national highway No-8 so the transportation services

are cheaply available. The unit can be easily obtaining petrol,

diesel and other important fuel like oil, coal electricity etc.

Every facility, which are essential and important for development of the industry like power, electricity, fuel raw-

material transportation, communication main power at cheaper

rate.

12



Product of mother dairy

Products of mother dairy are as under:

MILK GHEE

MILK POWDER

ICE-CREAM

CHEESE

PANNER

Pure ghee

Amul pure ghee

Amul cow ghee

Infant milk range

Amul infant milk formula-1 (0-6 month)

Amul infant milk formula-2 (6 months above)

Amul spray infant milk food

Milk powder

13



l full cream milk powder

Amul dairy whitener

wder

Sagar tea and coffee whitener

Sweetened condensed milk

Amul mithaee sweetened condesed milk

Fresh milk

Amul Tazza toned milk 3% fat

Amul Gold full cream milk 6% fat

Amul Shakti standardized milk 3% fat

Amul smart double toned milk 1.5% fat

Amul cow milk

Curd products

Amul masti dahi (fresh curd)

Amul buttermilk

14



Amul lassee

Yogi sweetened flavoured dahi(dessert)

AMUL ICE – CREAM

Royal treat range

Rajbhog

Cappuchino

Chocochips

Butterscotch

Tutti fruity

Nut – o – mania range

Kaju draksh

Kesar pista

Roasted almond

Kesar carnival

Badshahi badam kulfi

Shista pista kulfi

15



Introduction of production

Production is regarded as the most

important economic activity in the present day world economy.

Production is a part of the business activity. Production is primaryobjective of every industrial unit. The nature and extent of all their activity of the unit depend on its production activity from the

society’s point of view also, production is most important because

without production it is impossible to satisfy human need &

desire. Production taken place when something gifted by nature

transformed in to a useful product. In other word, production is

defined as creation utility by changing the form of anything that isavailable to main from nature.

Business of every kind has production

function in greater or lesser degree. Several type of industry in particular have to do with production is creation of goods and

service but the manufacturing mining, framing finishing of this

manufacturing is the most directly concerned with productionmanufacturing changes the form utilities of goods.

Mother dairy produces three types of milk packs:-

1) GOLD

2) SHAKTI

3) TAZZA

But the terminology used by Amul for these packs

are

1) Whole

2) Standard

3) Tones

16



The milk is produce within the constraints

of PFP act. (Prevention of Good and Adulteration act.)

The difference among the three packs of milk is that of percentageof Solid Not Fat (SNF) percentages i.e.

Name of qualityFat SNF Color

1. Gold (whole) contains. 6% 9.0 % Red

Shakti (standard) contains4.5 % 8.5 % Green

Tazza (tones) contains3% 8.5% Blue

17



Financial Information

Finance management is procurement of funds and their

effective utilization in the business. Finance is the task of

providing fund needed by the enterprise on the terms that are mostfavorable to it keeping in view the objective of enterprise.

According to Howard and Anton, “Finance is that

administration area or set or administration function in an

organization which relate with the arrangement of cash & credit,so that the organization may hence the mean to carryout its

objectives as satisfactory as possible.”

Since finance is life blood of business, its management

demands special attention. The first aspect to be attended to is the

estimate of how much business requires and for what purpose.

This estimation and control of finance in business is a part of the

financial management.

Need of finance

In a business unit need of finance arises due to the following

reasons.

For the purpose of expansion

For the purpose of establishmentFor the purpose of renovation

For the purpose of diversification

Coordinating the operation of the various wings of departments through appropriate measures to ensure discipline in

the use of financial resources.

18



The major areas covered under finance function are as

follow:-

1) Financial planning.

2) Forecasting of cash receipts.

3) Rising of funds.4) Financial control.

5)Allotment of funds.

19



MARKETINGDefinition

Marketing can be defined as a social process by which an

individual or group achieves what they need and want in exchange

of values.

Marketing mix

Marketing mix is a tool to design marketing strategies for any

organization. It is having four important elements that is product,

price, place and promotion, which is also known as 4 P’s of marketing. This tool was suggested by McCarthy.

4Ps of marketing

Product

It means is anything which can be offered to market for attention,acquisition, use and consumption.

Price

It is amount of money has to pay to obtain the product. It include

discount, term, determination price etc.

Promotion

It means the activities are communicating merits of the product &

persuade target custom to buy it. It includes advertising personal

selling, publicity and sales promotion etc.

20



Place

It includes company’s activity that makes the product available totarget customer. It includes channel coverage, location,

transportation etc.

Marketing environment

The concept of marketing finally brings as full circle to theconcept of marketing. Marketing means managing for markets to

bring about exchanges for the purpose of satisfying human wants.

This we return to our definition and groups obtain about they need

and what by creating and exchanging products and value with

other the follow will show is the marketing environment of an

industry.

Marketing environment chart

21

SU

P

PL

I

E

End

User

Market

Company

Marketer

Marketing

Inter-

Mediaries

Com etitors



Above figure shows the mean element in a modern

marketing system in the usual situation, marketing involves

serving for market of end user in the face of competitors send

their respective product and message directly to consumer or

though marketing intermediaries to the end user.

MARKETING FUNCTION

Distribution channel

Mother dairy has an excellent distribution. It is its distribution

channel, which has made it so popular mother dairy product perishable products like milk and milk products. It becomes that

much important for them to have a good distribution channel of

mother dairy.

22

Plant

Wholesalers

Retailers

Consumers



We can see from above figure that mother dairy distribution

channel is simple and clear. Whatever product produced in the

plant is sold to wholesaler dealers then wholesaler sold that

product to the retailers. After coming goods in the hand of

retailers, they are sold goods to the customer.

Pricing policy

Product price

Companies Gold(Rs) Shakti(Rs) Tazza(Rs)

Amul 9.50 8.50 8.00

From the above figure we can see the price of different brand inthe Ahmedabad market. We can see that mother dairy product

prices either same or less that the competition brand which shows

the dairy’s commitment to its costumer.

Advertisement

Mother dairy success lies in its excellent advertising in the

market. In the beginning mother dairy was nothing that much

important on advertisement but after sometime it understand thatit was to enter in the Indian market. It would advertisement its

product largely in the market so it standard advertisement its

product in different media. Just recently it has adopted a new

message or slogan that amul mother dairy has made product very

popular by advertisement in all part of India.

23



Human Resource

Recruitment

Necessity for securing new employees arises for many

reasons. The mere passage of time cause some employees to grow

older, retire, die or become incapacitated seasonal and cyclicalfluctuation in business causes a constant charge in the work force

of many companies, expansion of business requires new men,

scientist, recruitment leads to the development and maintenanceof satisfied work force, increased production and productivity

reduces cost of production per unit of output and increase in total

earnings of employees.

Selection

After application of required number of employees are

secured through different method of recruitment selection process

being. The main purpose of selection procedure is to find the right

man the right job.

Promotion of employees

The company keeps in mind whose performance and

efficiency of workers and the managers and thus the company

gives promotion at the all levels top level, middle level, bottom

level gives the promotions.

Thus giving the promotions the company can get also

efficiency in its works and achieves goal of its desired.

24



Training of workers

When the mother dairy co-operative Limited recruits the

employees, selects training and development is given to the

employees. Thus their employees who are selected are given

training and development of various types of particle knowledge

and also company trained to the employees.

All the employees as well as their workers are provided onthe job training and also off the job training, separate training are

conducted by the company mother dairy co-operative Ltd.

Motivation of workers

Motivation is the internal feeling and sources of motivation

are need. Motivation changes according to the changes in man’s

need. As need are many, so also are their motives change

according to time circumstances age and person motivation playsa significant role in human behavior.

Motivation differs from person to person and employee’s

moral goes high due to motivation employees become frustrated

when their needs are not satisfied.

25



FindingFollowing are some finding concluded form the visit to

Mother Dairy.

• Mother Dairy has achieved a great success a great success in just 16years of its establishment about which anyone can just dream about.

• Its financial report shows a great increase in its profit year by year.

For a newly established company it is a great thing to achieve such

stability.

• In techniqual parlance, the machinery used by Mother Dairy Ltd.

Can be compared to be those used in city of cloth i.e. Surat. Which

suggests that its machinerys are totally modernized.

• Along with a good market share in India, the company also holds agood amount of share in U.S, Europe and U.A.E.

• Domestically Company relies on a single distributor, which is

beneficial but at times it can also prove as a disadvantage for them.

SUGGESTIONMother Dairy Ltd. Although being at a peak position in the market,

there are some suggestions which I will to add form my side.

• The Company is indulged in domestic as well international

selling. But still Company should involve in advertising or sales

promotion activity which can give a high rise to their sales.

• Instead of focusing on job work, it should try to develop its own

brand. The current share of job work is 60% out of the total

production.

• Instead of giving main emphasis on the sale of the Bed sheets,

Company should also promote its other products such as Towels,

kitchen products etc.

• The Company should not rely only on a single distributor. As it is

such a large company it should keep some alternatives on hand.

26



• The management should take certain steps to introduce their

company properly to the visited members.

Mission of organization

The dairy has been set up with the following objectives: -

Create an organized sector to develop and command a major

share of the milk market of national capital region to absorb thestability increasing rurally produced milk

Provide year round remunerative price to the small rural milk

producer organized in to co-operative under the operation hood.

Supply quality milk to the customer of national capital region

at reasonable prices.

27



Net Turnover of Mother Dairy

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

1994-95 11140 355

1995-96 13790 400

1996-97 15540 450

1997-98 18840 455

1998-99 22192 493

1999-00 22185 493

2000-01 22588 500

2001-02 23365 500

2002-03 27457 575

28



FEATURES OF CO-OPERATIVE SOCIETY

Voluntary association

Any person can become the member of co-operative societyirrespective of religion, language, caste or creed. Anyone can join

on his/her own freewill and wishes without having any

compulsion.

Equal voting right

Every member enjoys only one vote irrespective of number

of shares held by him. Members cannot vote by proxy.

Service motive

The main objective of co-operative organization is service to

members at most economical cost though may earn minimum

profit needed.

Limited interest on capital

The payment of interest on capital is not compulsory and when it

is paid, the rate of interest is limited and fixed. Therefore, the

financial stability of the society, assumes more importance.

29



Cash trading

Generally, the co-operative organizations are trading on cash,

and trading on credit is discouraged. The organization cannot

sustain the indebtedness resulting in to losses.

Political and religious neutrality

Unity is of prime importance in the smooth running of

society and achieving its aims. This principle implies furtherance

of solidarity and brotherhood among members.

30



PRODUCTION PROCESS

As the main product of mother dairy are milk, ghee, and milk

powder and ice cream process though different stages packedunder the name of “Amul”

Milk manufacturing process

Milk reception

From other dairies raw milk received by the tanker in this sectionthe tanker of raw milk are checked here for the quality of the milk

by the quality control laboratory. Is the milk acceptable, computer

initiate the action for unloading the milk tanker? The milk is

unloaded by the unloaded pumps is passed through the milk chillers where its temperature is stored in the raw milk storage

silos.

Milk processing

There are two lines in this section one is milk pasteurizing &

second is milk standardizing. In first line milk is passed though

the heat exchange where it is heated to certain product

temperature milk is taken out of heat exchange passed though the

centrifuge where fat is adjust to required percentage. The surplusfat is stored for ghee making in stored tanks. And pasteurized milk

is taken to silos. In second line milk is passed through milk

separator. Milk separator cream and milk. The cream is stored for

ghee making in storage thanks and separated milk is taken to silos.

31



Liquid milk packing

The standardized and pasteurized milk is taken to the milk

packing section by pumps and stored in the buffer banks from the

buffer tanks, the milk flows to the packing machine where it is packed in pouches of predetermined volume milk film role are

used for packing of milk which are applied by packing film projected Gandhinagar. These packed pouches are stored in the

cold storage room.

32



MAIN CONTROL ROOM

The several computers are connected with the main terminals

and thus even if anything happen the screen is on the system andcan be switched off and wherever the hare is done programmable

logic control. Thus the received data can be stored up to one year.

The machine can give information of utility services like

consumption of water etc. There by one can study each and every

operation and controls. The un-economic operation, which can

increase the efficiency. Two persons operate this control room.

33



AMUL PRODUCT

Amul butter

Amul butter is made from butter common salt permitted naturalcolor it contains milk fat 80%, moisture 16%, salt 2.5%, curd

0.8%, its caloric values is 720 kg cal/100 gm. Modern continuous

butter marketing machine makes it from fresh cream. It is

marketed in India since last 4 decades.

Amul milk powder

Amul instant full cream milk powder is made milk, vitamins A &

D. it contains milk fat 28%, milk protein 26%, carbohydrates

37%, minerals 60%, moisture 3%, it caloric value is 500 kg cal /100 gm 60gm of powder contains 1300 i.v vitamin A and 200 i.v

of vitamin D.

Amul cheese

Amul cheese is made from cheese, sodium citrate, common salt,

citric acid permitted natural color. It contains fat 27%, moisture

45%, protein 23%, and added salt 2.5%. Its caloric value is 340 kg

cal / 100gm. It is made granted cow/buffalo milk microbial

rement.

Amul ice-cream

Amul ice-cream is made from milk and milk products sugar

stabilized. It contains milk fat 14.5%, total solid 41%, sugar 15%,

and protein 4.1%. its food energy value is cal per 100 ml cal. It is

packed in 50 ml cup, 100 ml cup, 500 ml pack, candies and cones.

Various verities of ice-cream can be made from the basic mix by

addition of required amount of slavers, dry fruits & nuts.34



SALES

During the year, sales of our Federation registered a growth of 29

percent to reach Rs. 3773.55 crores (Rs.37.74 billion) includingconsignment sales of Rs.39.42 crores (Rs.0.39 billion). This is a

very robust growth rate shown by our Federation vis-à-vis the

industry average.

I am also pleased to note that our Federation has done

remarkably well in most of the value added consumer packs. Salesof Amul Milk in pouches increased by 31 percent. UHT Milk hasgrown in value terms by 12 percent with a 60 percent market

share. Amul Ice cream achieved a sales value growth of 18

percent, and has strengthened its position as the undisputed

market leader with 35 percent market share. Sales of Masti Dahi

grew by 25 percent. The sales of the Amul Cheese range increased

by 18 percent. Products like Amul Masti Spiced Buttermilk,Flavored Milk, Amul Fresh Cream, Paneer and Mithaimate

demonstrated their potential to become dominant brands in the

coming few years. New products like Amul Basundi, Stamina,

Yogi Flavored Yogurt, Kool Café etc. launched during the year

are expected to do well in the current year while diversifying our portfolio of offerings to the consumer further.

35



CONCLUSION

Mother dairy is a wonderful company It is aMother dairy is a wonderful company It is a

developed company with its registered office as well as factory atdeveloped company with its registered office as well as factory at

Mother dairy has capered the market of ice creams. It will beMother dairy has capered the market of ice creams. It will be

leader in ice cream after some times if it continues to process inleader in ice cream after some times if it continues to process in

this way as it is doing now. We can tell that the industry is anthis way as it is doing now. We can tell that the industry is an

Ideal Industry and after eating its Ice-cream any body can tell thatIdeal Industry and after eating its Ice-cream any body can tell that

Mother dairy is a wonderful company It is aMother dairy is a wonderful company It is a

developed company with its registered office as well as factory atdeveloped company with its registered office as well as factory at

Mother dairy has capered the market of ice creams. It will beMother dairy has capered the market of ice creams. It will be

leader in ice cream after some times if it continues to process inleader in ice cream after some times if it continues to process in

this way as it is doing now. We can tell that the industry is anthis way as it is doing now. We can tell that the industry is an

Ideal Industry and after eating its Ice-cream any body can tell thatIdeal Industry and after eating its Ice-cream any body can tell that

36



REFERENCE

Web sites

Www. Amul.com

Www. Motherdairy.com

Www.google.com

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parmar yash