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An Organizational study at BAMUL A Report On the Organizational System and Organizational Progress of Bangalore Milk Union Ltd (BAMUL) Submitted for the partial fulfillment of Master of Business Administration By JAGADEESH K.V II semester SURANA COLLEGE Under the esteemed guidance of Dr. APARNA RAO (Internal Guide) SURANA COLLEGE Surana college 1

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Page 1: Project Bamul

An Organizational study at BAMUL

AReport

On the Organizational System andOrganizational Progress of

Bangalore Milk Union Ltd (BAMUL)

Submitted for the partial fulfillment ofMaster of Business Administration

By JAGADEESH K.V

II semesterSURANA COLLEGE

Under the esteemed guidance ofDr. APARNA RAO

(Internal Guide)SURANA COLLEGE

Surana college 1

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An Organizational study at BAMUL

Acknowledgement

The satisfaction that accompanies the successful completion of any task would be incomplete without mentioning the people who have made it feasible with constant guidance and encouragement served as a beacon light and crowned our efforts with success.

I consider it as my privilege to express through this report a fewWords of profound gratitude and deep regards to all those who guided mein completing this project. I would like to thank S. SundaramManaging Director, BAMUL for his unvarying and valuable guidancethroughout the project work.

I sincerely thank Prof. H. Appannayya, coordinator,M.B.A. Department for his precious support, and, Dr. P. Aparna rao lecturer, M.B.A department for supporting and guiding me as an internal guide.

Last but not the least, it is my proud privilege and I have to search words to express my indebtedness to my parents and all my friends whohelped to complete the project.

This has been a great learning opportunity for me and I am highly indebted to the above people for giving this opportunity.

JAGADEESH .K.V

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INDEX

CHAPTER CONTENTS

01. INTRODUCTION

02. MARKETING DEPT

03. H.R.M DEPT

04. M.I.S DEPT

05. FINANCE & ACCOUNTS DEPT

06. PRODUCTION DEPT

07. PROCUREMENT & INPUT DEPT

08. QUALITY CONTROL

09. PURCHASE DEPT

10. STORE DEPT

11. SWOT ANALYSIS

12. CONCLUSION

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CHAPTER-1

COMAPANY PROFILE

(BAMUL)

BANGALORE MILK UNION LIMITED:-

Bangalore milk union (BAMUL) is a biggest Co-operative Milk

Union in South India, fully owned and managed by milk producers of

Bangalore Rural and Bangalore Urban Districts of Karnataka State. Since

its inception in 1965, the union is constantly striving to further the dairy

development and marketing activities in its milk-shed area.

BACKGROUND:-

On January 1st 1958 a pilot scheme under Department of animal

husbandry, Govt of Karnataka was started to cater, Veterinary Hospital’s

and milk process facilities at National Dairy Research Institute (NDRI). In

1962, the Bangalore Milk Supply Scheme came into existence as an

independent body. Bangalore Dairy, a joint venture of UNICEF, Govt of

India and Govt of Mysore was dedicated to the people of Karnataka State

on 23rd January 1965 by honorable Prime Minister Late Sri Lal Bahadhur

Shastriji. The Bangalore Dairy scattering over an area of 52 acres of land,

the Dairy had an initial capacity to process 50,000 liters of milk per day.

This Dairy was handed over to Karnataka Dairy Development Corporation

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(KDDC) in December 1975. As a pert of Rural Milk Scheme of Mysore,

Hassan and Kudige under Operation flood - II and then transferred to

Karnataka Milk Federation (KMF) in May 1984 as a successor of KDCC.

To cater to the growing demand for milk by the consumers of the

Bangalore City, the capacity was introduced to 1.5 lakhs liters per day

under the Operation Flood - II during 1981 and later increased to 3.5 lakhs

liters per day under Operation Flood - III during 1994.

The Bangalore Urban and Rural District Milk Producers

Co-operative Societies Union Ltd., (BAMUL) who has established in the

year 1975. The milk-shed area of the Union comprises Bangalore Rural

and Bangalore Urban Districts, having 2611 revenue Villages. The Union

has organized 1547 Dairy Co-operative Societies (DCS) in 2037 Villages,

thereby covering 78% of the total villages in these 2 districts. In these

DCSs, there are 3,09,577 milk producer members. Among them 91,746

members are women and 56,000 members belongs to Scheduled Castes

and Scheduled Tribes.

As per the policies of the National Dairy Development Board

(NDDB), Bangalore Dairy was handed over the Bangalore Milk Union

(BAMUL) on 1st September 1988. The Union is capable of processing the

entire milk procured, by timely implementation of several infrastructure

projects like commissioning of Mega Dairy, new chilling centers and

renovation of product block.

BAMUL has been registered under MMPO by Central Registration

Authority. Today, the Union has become biggest Milk Co-operative Union

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is Southern India. BAMUL has been certified ISO 9001 - 2000 and

HACCP (IS - 15000) for quality management and Food Safety System.

The philosophy of this co-operative milk producers organization is

to eliminate middlemen and organise institutions owned and managed by

milk producers, by employing professionals. Achieve economies of scale

of rural milk producers by ensuring maximum returns and at the same time

providing wholesome milk at reasonable price to urban consumers.

Ultimately, the complex network of co-operative organization should build

a strong bridge between masses of rural producers and millions of urban

consumers & achieve a socio-economic revolution in the village

community.

Bangalore Milk Union is offering most remunerative purchase

price, which is considered as one among the best prices in the country, to

its producers. Even though the Union is offering the best prices to the milk

procured, the swelling price of milk and milk products to consumers is the

lowest in the country. Hence, the margin between the procurement

price and sales price is one among the least in the country. This cost

competitiveness was achieved due to large-scale milk procurement,

processing and marketing, supported by effective and efficient

management systems. In recognition to these efforts and achievements, the

National Productivity Council (NPC) of Government of India has

conferred “Best Productivity Award” FIVE TIMES and “Energy

Conservation Award” by Bureau of Energy Efficiency (BEE) to the

Union.

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Organization Status:

The member producers and there Dairy Co-operative Societies

(DCS) are the vital constituents of the union and their progress is the

judging yardstick on the efficiency of the union’s operations. Hence the

maximum importance has been given to their development.

The union is making concerted efforts over the years to organize

DCSs in more and more villages of the two districts in the milk-shed area.

Up to now, the union has organized 1548 DCS, functioning in 2037

villages, thereby covering 78% of the total villages.

Year Functioning DCS

1995-96 918

1996-97 994

1997-98 1055

1998-99 1119

1999-2000 1165

2000-01 1266

2001-02 1301

2002-03 1388

2003-04 1433

2004-05 1483

2005-06 1547

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Functioning DCS

0500

100015002000

FunctioningDCS

Importance is given to enroll more and more producers in the

villages as members of DCS. While enrolling these members, several

years, more emphasis is being accorded to enroll increasing number of

women members and to organize more women managed DCSs under

STEP (Support to Training and Employment Program for Women). It is

heartening to note that there is active participation of women and weaker

sections of the society in all the Dairy development actives of the Union.

They have become the mainstay of all the developmental program of the

union. This has resulted in the accrual of economic benefits of these

programs to the most vulnerable sections of the rural economy.

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MILK PROCUREMENT

The daily average milk procurement of BAMUL for the period of

2005-06 (till Dec 2005) was 8.29 lakh kgs, which works out to be 535 kgs

per day per DCS. Curing the year the milk procurement touched a peak of

8.95 lakh kgs per day. In Milk Procurement, Bangalore Milk Union Stands

FIRST in Karnataka State and SIXTH position in the Country.

Milk Procurement (Avg. Kg's per day)

0100000200000300000400000500000600000700000800000900000

Milk Procurement(Avg. Kg's per day)

BAMUL is offering the most remunerative milk procurement price to

member producers. The operational efficiency is reflected on procurement

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0%

20%

40%

60%

80%

100%

1995-96

1996-97

1997-98

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

Woman Members

Total Membership

9

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prices paid to the member producers. The average milk procurement price

paid during the year was Rs. 9.31 for every Liter of Milk supplied to the

Union. Which is 72% of total cost of production.

Milk collected at DCS will be transported to Chilling Centers,

through 93 Milk Procurement Routes, by traveling 14,738 KM’s every

day. 5 Bulk Milk Cooler (BMC) Routes are also in operation, which

collects milk from 35 BMC centers of 68 DCS directly transported to

Bangalore Dairy through insulated tankers.

Milk Purchase 72%Int & Bank charges 2%Misc 5%Sales and Admin 6%Ret.Margin 3%Packing 3%Process 5%Transport 4%

Milk Purchase

Int & Bankcharges

Misc

Sales and Admin

Ret.Margin

Packing

Process

Transport

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OBJECTIVES OF THE UNION:-

To organize Dairy Co-operative Societies at village level and

dissemination of information like good dairy husbandry and

breeding practices; & clean mild production through Extension

Services.

To provide assured and remunerative market for the milk produced

by the farmers members of the union.

To provide technical inputs like veterinary services, artificial

insemination, supply of balanced cattle feed and seed material etc to

milk producers.

To provide hygienic and quality and milk products at competitive

rates to urban consumers.

To facilitate rural development by providing opportunities for self-

employment at village level, preventing migration to urban areas

introducing cash economy and opportunity for steady income to

milk producers.

To provide competitive prices to the milk produced by the farmer

members of the union in order to improve the standard of living.

To provide appropriate medical facilities to the cattle in order to

maintain the health condition of the cattle.

To provide quality milk and milk products to urban consumers at

competitive prices.

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Principles:-

The formal principle of the Bangalore Milk Union is bound to get

nationwide best place in milk production. In order to achieve the same, the

union follows the under listed principles.

To help its member associations financially and socially and to

improve their works towards making a profile business.

To adopt modern technology.

To provide the best service to the customers and the milk producers

through services and dedication of employees union.

MISSION:

“Ushering rural property in the lives of members of milk producers.”

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Mile Stones of BAMUL:

Bangalore Co-Operative Milk Producers Societies Union Ltd was

established on 16th November 1976.

After the bifurcation of the above union, into two separate union for

Bangalore Districts (Urban and Rural) and Kolar District, Bangalore

Urban and Rural District Co-operative Milk Producers Societies

Union Ltd (BAMUL) on 23rd March 1987.

Bangalore Dairy was taken over by BAMUL on 1st September 1988.

MMPO-1992 Registration No 42/R.MMPO/93 dated 7th June 1993

renewed on 13th May 1999.

Bangalore Mega Dairy started functioning on 17th December 2000.

Bangalore Dairy ISO 9001-2000 certified by SAI Global, a reputed

Australian based Company on 19th February 2003.

Bangalore Dairy HACCP IS-15000 Certified by SAI Global, a

reputed Australian based Company on 19th February 2003.

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KMF units in Karnataka:

LIST OF CO-OPERATIVE MILK PRODUCERS SOCIETIES

UNION

Bangalore Milk Union

Belgaum Milk Union

Bellary Milk Union

Bijapur Milk Union

D K Milk Union

Dharwad Milk Union

Gulbarga Milk Union

Hassan Milk Union

Kolar Milk Union

Mandya Milk Union

Mysore Milk Union

Shimoga Milk Union

Tumkur Milk Union

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Operational areas of BAMUL:-

BAMUL is playing a vital role in the district by covering 2037

villages of Bangalore district for their dairy activities. The philosophy of

this Co-Operative milk producer’s organization is to eliminate middle men

and organize institutions owned and managed by milk producers, by

employing professionals. Achieve economies of scale of rural milk

producers, by ensuring maximum returns and at the same time providing

wholesome milk at reasonable price to urban consumers. Ultimately, the

complex network of co-operative organization should build a strong bridge

between masses of rural producers and millions of urban consumers and

achieve a socio-economic revolution in the village community.

The BAMUL has 7 chilling centers in the district. They are:

Anekal Chilling Center-capacity is 60,000 LPD.

Byrapatana Chilling Center-capacity is 60,000 LPD.

Doddaballapur Chilling Center-capacity of 40,000 LPD.

Vijayapura Chilling Center-capacity of 1,00,000 LPD.

Solur Chilling Center-capacity of 60,000 LPD.

Hoskote Chilling Center-capacity of 1,50,000 LPD.

Kanakpura Chilling Center-capacity of 50,000 LPD.

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Capacity of the Main Dairy:-

Milk processing capacity was 60,000 liter per day (LPD) at

the time of establishment of the Dairy on 23rd January 1965.

Milk processing capacity was expanded to 1.5 lakhs LPD on

1st February 1981.

Milk processing capacity was further expanded to 3.5 lakhs

LPD during 1994.

Milk condensing plant-3 metric tons per day.

Spray Drying plant-5 metric tons per day.

Seasons:-

In BAMUL whole year is divided into two parts depending on the

availability of milk, viz;

Flesh season

Lean season

Flesh season means where there is availability of grass and feed in

plenty to animals. The animals will produce more milk and the supply of

milk to dairy is also very high from farmers. When the procurement of

milk reaches the peak level gradually, this period is known as flesh season.

Normally sunless days are called lean season, because in these days

there is no availability of sufficient grass to animals. It reflects in less

quantity of milk production in this period.

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Products:-

BAMUL mainly does purified milk and milk products. The

products that are produced by these units are:-

Purified liquid milk

Pede

Kova

Curds

Butter and butter milk

Masala butter milk

Ghee

Set curd

Workforce:-

BAMUL has 400 employees currently working in the organization.

Number of employees:-

Permanent 0939

Men Employees 0831

Women Employees 0108

CHAPTER – 2

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MARKETING DEPARTMENT

Marketing management in the analysis, planning, implementing and

controlling of programs designed to bring about desired exchange of goods

and money with target market needs and desires and using effective

promotional activities to improve sale and attain the desired profit.

Departmental Hierarchy:-

Marketing department comprises of departmental head and further

divided into two categories and further into officers then to

superintendents. Salesmen and dispatchey. The hierarchy is as under.

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Marketing Department:

Manager

(Marketing)

Dy Manager

(Marketing)

Asst Manager

(Marketing)

Officers

Suptd

Marketing Asst-1

Marketing Asst-2

Marketing Asst-3

Helpers

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MILK AND MILK PRODUCTS MARKETING

Bangalore Dairy markets the following types of milk and milk products:

Toned milk – 3% fat & 8.5% SNF

Homogenized Toned milk – 3% fat & 8.5% SNF

Full Cream milk – 6% fat & 9% SNF

Nandini Goodlife (3.5% fat & 8.5% SNF)

Nandini Full Cream milk (12% fat & 9% SNF)

Nandini Smart (1.5% fat & 9% SNF)

Nandini Slim (with less than 0.5% fat & 9% SNF)

Curds

Peda

Sweetened Lassie and Sweetened Curds

Softy ice-cream

Flavored Milk

Spiced Butter Milk

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Objectives of Marketing Department

To provide utmost satisfaction to the end consumers.

Create market awareness and preference for Nandini.

Customer retention.

Balance the demand and supply of milk and milk products.

Organize and develop the market share of Nandini effectively.

Prepare sales budget.

Formulate strategies to compete with its competitors.

Always ensure the position of Nandini as the market leader in milk

and milk products.

Functions:-

1. To capture the markets share.

2. To collect information about revenue.

3. Maintain sales and other accounts.

4. To attain major market shares.

5. To over competition.

Market Share of BAMUL:-

60-70% of market share- Nandini.

05-10% of market share- loose milk vendor.

10-20% of market share- other private brands.

Major competitors:-

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The major competitors of BAMUL dairy are the loose milk vendors,

but the other brands are

Heritage.

Arogya.

Doodla.

The Private brands are promoting these products through major

advertising, more retail margins, false information etc.

Marketing Strategies adopted by BAMUL

“Procure more, Produce more, Sell more, and Earn more”

By procuring and producing more BAMUL achieves economies of

scale which results in least cost distribution on each unit sold.

It raises consumer awareness for Nandini by pamphleteering, raising

health issues related to consumption of adulterated milk and soon.

981 nos of retailer ship during 2004-05 75 nos till October 05 were

commissioned.

As per the demand for milk and milk products available throughout

the day, 26 numbers of Franchise Outlets, 19 nos of parlors are made

functional.

For the retailers who were not in a position to install chest coolers

insulated boxes numbering around 900 were distributed during the

said period. Milk and milk product were preserved in the insulated

boxes and sold.

Around 40 numbers of 400 liters capacity chest coolers under the

cold chain development has been distributed.

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Promotional Activities:-

Door to door campaigning:- This is done through the sales force

team by questioning the consumers, reasoning them, issuing

brochures etc. This is carried on periodically.

Organizing meeting:- Organizing meetings is important public

places and inviting important period like doctor, professional,

government officers etc.

Visit to Non -Govt. Organizations:- Visiting to NGOs and creating

awareness about the product and its benefits, inviting them to the

plant and showing them the production procedures.

Visit of school children to the dairy and promoting their products

through them by issuing samples.

Inviting the consumer forum and creating awareness to them.

Participating in trade shows, exhibitions and educate people.

Through advertising in major media’s like T.V., News Papers,

hoardings etc…

It seals its product under the brand name “NANDINI”

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Channels of distribution:-

The main distribution channel comprises of numerous wholesalers in

the city, then their agents and then the retailers. They supply them in shifts

through their own vehicles.

BAMUL

Dairy

Retailers T.C.D W.S.D

(Agents)

New Products:-

The new product of BAMUL is

Double Toned Milk

Masala Butter Milk

Set Curd

Next planned products to be introduced are Lassi and Paneer.

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Other Services:-

The rates to the order for any occasions and supply without any

extra cost or charges and deliver to the doorsteps of the customers.

Marketing & Sales of BAMUL at a glance

Number of Distribution Routes 147

Retailers 952

Wholesale Dealers 11

Franchisee Outlets 34

Milk Parlors 22

Day Counters 138

Transport cum Distributors 17

Number ofDistribution Routes

Retailers

Wholesale Dealers

Franchisee Outlets

Milk Parlors

Day Counters

Transport cumDistributors

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CHAPTER -3

HUMAN RESOURCE MANAGEMENT

HUMAN RESOURCE TEAM

General Manager (Administration)

Deputy Manager (Administration)

Assistant Manager (Administration)

Personal Secretary / Time Officer / Public Relation Officer /

Administration Officer / Office Manager / Labor Officer

Administration Superintendent

Administration Assistant-I

Administration Assistant-II / Sr. Typist / Sr. Steno

Administration Assistant III

Helpers

Peons

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HUMAN RESOURCE MANAGEMENT

(HR Department)

Human resource management is a management function that helps a

manager to recruit, select, train and develop members for an organization.

It is mainly concerned with the people dimension in organization.

BAMUL has a very efficient HR – department also known as

administrative department. The activities are very limited. But this

department carries out its functions effectively and maintains good

employee and employer relations.

Classification of Employees

Permanent employee: A permanent employee is one who is on the

permanent rolls of the union against the specific cadre and enjoying

all such benefits as specified under the regulatory rules of BAMUL

or all such benefits which may be excluded from time to time.

Employees who are recruited are deemed to be permanent

employees subject to declaration of probation and confirmation by

an order.

Probationer employee: A probationer employee is one who is

provisionally employed to fill a permanent vacancy in a post for a

period of probation which will not exceed 2 years on aggregate and

whose name is entered on the rolls of the probationary employees.

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Apprentice: It means a learner who is engaged to undergo

apprenticeship training and who is paid a stipend and whose terms

and conditions of apprenticeship are governed by the provisions of

The Apprenticeship Act of 1961. The Union Dairy is not obliged to

employ him o n completion of his apprenticeship period.

Maintenance of service register/personnel files

BAMUL maintains a service register of each employee mentioning

all the service records and the below mentioned facts:

Particular of the employees.

Date of joining.

History of services.

Pay scale/increment/advance increment/stagnation increment.

Particulars of leave availed including leave encashment/maternity

leave/miscarriage etc.

Particulars of record of rewards, praise, punishment or censure

including suspension.

Place of position.

Name/age of family members of medical/HTC/LTC.

Permanent residence address and present postal address.

Details of training program undergone.

Functions:-

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1. Recruitment of candidates

2. Selection of best suited and right person

3. Training and development of employees

4. Framing of rules

5. Creating a good working environment

6. Motivating the employees to work hard

7. Maximizing the performance of employees

8. Maintenance of records

9. Maintenance of industrial relations

10.Employee Service and Benefits

11.Compensation

12.Personal Audit

Recruitment

Procedure of appointment

If a post is to be fulfilled by competitive examination, then after

giving adequate publicity in the leading Kannada newspaper and one

of the national dailies (as the appointing authority may determine).

The appointment procedure will be carried in the order of merit

subject to reservation in Rule 3.6 from the list of candidates

prepared by the selection committee or expert panel.

If it is by selection, after giving such adequate publicity in leading

newspaper at least one in Kannada and English to the recruitment as

the appointing authority may determine in the order of merit (same

3.6).

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In case of the post being fulfilled by internal promotion from its own

staff it is done by a selection of a person on the basis of merit and

suitability in all respects.

HR Practices of BAMUL:-

The following are the HR practices of BAMUL:

1. House rent Allowance:-

It is allowance provided to all permanent employees at the

rate of 13% of basic pay.

2. Conveyance Allowance:-

Companies provide conveyance facilities to each employee

from the place of residence to the place of work. BAMUL also

provides this allowance because it is situated 11 km away from

Bangalore. Conveyance allowance of Rs. 225/month for persons

owning Scooters/Motorcycle, Rs. 500 for moped where as Rs 1000

for other will be given.

3. Shift Allowance:-

It is an allowance given to employees who work in shifts

(except general shift).

For 1st shift Rs. 2.25 per day

For 2nd shift Rs. 2.50 per day

For 3rd shift Rs. 3.00 per day

Shift allowance should not be taken into account for the

purpose of calculating PF, Bonus etc…

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4. Provident and Pension Fund:-

This contribution is equal to that of employee contributions

i.e. 12% of salary and it is divided between provided and pension

fund as 8.33% and 3.67% respectively. The total accumulated is

balanced in the individual PF account and is paid to employee at the

time of his retirement or on his leaving the service. In the event of

the death of the employee accumulated balance is paid to his legal

heirs.

5. Gratuity:-

The amount of gratuity payable is generally 15 days average

salary. For this purpose salary includes only basic pay, DA and

completed service.

6. Compensation for disablement:-

The employees are covered under the group saving Life

Insurance scheme. Who contributes to the fund are as follows:

Below SDC - Rs. 30

Above SDC - Rs. 60

Below superintendent - Rs. 90

Above superintendent - Rs. 120

Out of this 10.5% is kept for insurance

In the event of disablement of any nature, insurance company

will compensate as per the terms and conditions.

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7. Death Relief Fund:-

If any workmen of the factory at BAMUL expire, the

company will declare no paid holiday. However, if the workmen

decide to work on a holiday/weekly off and contributes that day’s

wages to the deceased workmen’s family an equivalent amount will

be granted by the company and thus total amount will be paid to the

nominee of the workmen.

The nominee under the payment of Gratuity act, PF act or

legal heir, as the case may be considered for this purpose.

8. Lease Facilities:-

All permanent employees as on the date of settlement will be

given leave facilities as mentioned below.

Earned leave

Casual leave

Commuted/half day leave

Special disability leave

Maternity leave

Restricted leave

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9. Medical Reimbursement:-

Contribution from employees is 1.75% (except washing

allowance and conveyance allowance), Rs 25 from management.

Total 6.5% should be remitted to ESI within stipulated time of

21 days. If an employee becomes fully handicapped, company will

provide him Rs. 170/month depending upon the salary scale. If an

employee earns less than Rs. 25 then management contribute Rs. 25

to ESI.

10. Washing Allowance:-

Washing allowance is also provided by BAMUL to each

employee of Rs. 25.

It will not be taken into account for this purpose of calculating

PF, Bonus, ESI and Gratuity.

11. Salary Advance:-

Workmen will be provided to avail this facility of festival

advance for Rs. 2,000 each employee same has been recovered 10

equal installment of salary of employees.

The other HRM practices practiced in BAMUL are as under:-

Canteen facilities

Festival allowances

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Cold storage allowance

Heat allowance

Attendance allowance

Special pay, allowances inactive

Training and Development

At BAMUL, training and development is an ongoing process. The

workers are trained to operate machines, reduce scrap and avoid accidents

whereas the supervisors, managers and executives are provided training

which will enable them to grow and acquire maturity of thought and

action. The training and development efforts at BAMUL are designed to

help the employees satisfy their personal goals – through higher level of

skills and competencies; facilitate higher contribution at their present jobs

and to prepare them for the next level of the organization. The employees

who are deployed for training are considered to be on duty and they get the

TA and DA as per the rules of BAMUL. Normally the training

programmes conducted at BAMUL are:

Workshop on good quality Ghee.

Computer Basics.

ISO Quality System Awareness Programme.

Workshop on Sale Tax.

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Quality Audit Programme.

Marketing management.

Materials management.

Workshop on First aid.

Reclair Grades for Milk Packaging Application and Food Laws.

Total Energy Management Programme.

Marketing and Brand Management.

Improving sales effectiveness.

Promotions:-

Promotion for the employees is given on seniority basis. For

promotion, individual employee should have working experience of

about 10 years in a particular department i.e. minimum 5 years.

Trade Unions:-

There are two recognized trade unions. It is formed by

workers for legal issues.

BAMUL employees union

Participation of employees in decision-making is practiced in

BAMUL. The participation of employees is encouraged only in the

matter pertaining to employee disputed, wants and demand.

CHAPTER-4

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MANAGEMENT INFORMATION SYSTEM

INTRODUCTION: -

Organization has grown in complexity to levels, which are

unprecedented, and information plays a vital role in holding together and

coordinating organization. Information is the mortar that holds together

the Edifice in the modern multi-product, multi-occupied, multi-location

and multidivisional organizations.

MIS department of BAMUL plays a very important and efficient

role for the organization and its integration and co-ordination.

The computerized office work is handled only in this department.

They are working towards networking to make the whole organization

Atomize and inter-connect different department like accounts, marketing,

production, Administration section, etc. through the network of computers

and for easy handling of the different department and smooth of computers

and for easy handling of the different department and smooth flow of

information.

Objectives: -

1. To integrate the different department of an organization.

2. To provide information for decision-making.

3. To collect and store date and furnish it as and when required by

different of management.

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4. To keep informing about the activities in different of organization to

the top-level management

5. To furnish information to board for decision-making.

6. To co-ordinate the different activities and help in smooth

functioning of the organization.

Functions: -

The functions of MIS department in BAMUL are as under: -

1. To furnish monthly reports to KMF, NDDB, and others.

2. Collect the data form internal and external sources compile it

and store it as and when required by the organization.

3. Providing information to the board and help in decision-

making.

4. Catering information to the different department and

divisional heads as and when needed and help them in smooth

functioning.

5. To furnish computer related works such as milk billing, sales

accounting, pay roll, GIS, DIS.

6. Annual budget through integrated business plans.

7. Conducting monthly variance analysis.

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8. Day to day computerization activities of organization.

Sources of Information: -

The MIS department is divided into 3-iier system

Village level societies

District Union

Federation

The information is needed to manage these tiers and even they cater

information for further processing to MIS department.

1. Primary Sources: -

As the name itself suggests that the information in first hand. The

primary sources for collecting information by MIS department are as

follows.

Milk co-operative societies:-

Here the monthly information pertaining to societies activities like

procurement, number of members in the society, women, SC/ST, and P

and I position. This is collected through field officers called ‘Extension

Officers’.

Information collected through the data provided by facilities/

services to farmers:

Veterinary

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Services:

Round the clock veterinary treatment is given and information about it is

collected once in fortnight where the doctors visit once in a fortnight and

treat free of cost.

Information about organized health camp for cattle for

vaccination, artificial insemination for high breeds etc

Information is collected in order to know how successfully it is

working and its act9ivities conducted.

Supply of feed and fodder: -

Supply of feed and fodder to farmers at subsidized rate like seeds

and sampling and some of these at free of cost. Hence the data about this

is collected and further processed into information.

Training Facilities: -

Information about training facilities for societies, staff and also for

producers is also collected.

As the above information is collected by field officers called

“Extension Officers” in the first week of every month is

submitted and this information is compiled and reports are

formed and submitted to KMF. This forms the primary and

external source of data, which compiled processes into useful

information

Internal Source of Information: -

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Information from different department and divisions and sections are

collected. The different sections are

Marketing Sections: - information about sales proceeds,

sales promotions, product line, demand and supply, competition, market

trend etc. and about other marketing activities is being reported to MIS.

Products Section: - The information about deferent products

manufactured, this production, different types, quality, supply

to the market, their price etc. is being reported to MIS.

Procurement & Input Section: - The information about the

procurement of the raw-materials and inputs for production will be

reported to MIS.

Quality Control: - Information about the quality control

techniques being adopted, its success, etc. is being reported to MIS.

Production Sections: - Information about the cost of

production, turn over/day, purchase, sale, etc. machinery and its working

conditions, etc is being reported to MIS.

Finance Section: - Information about annual report, balance

sheet, income statement, bills, receipts etc. is being reported to MIS.

Administrative Sections/HRM: - The information about

employees like appraisal reports, number of employees, attendance, salary,

promotions, welfare activities, etc. is being reported to MIS.

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Hence all these sections submit these reports to MIS department and

MIS department stores and cater to the information to the board as and

when needed by the board decision-making and keep them well informed.

2. Secondary Sources: -

The secondary source refers to the already processed information

and this is collected through the government documents, survey reports,

animal husbandry department, etc.

Management of Information System: -

MIS manages its function through the implementation of Windows

2000 D2k (Developer 2000) which is used as front end, and Oracle as

backend. In addition it implemented 2 packages.

a) Milk billing package.

b) Sales accounting and payroll.

The whole packages are implemented through ERP module i.e.

(Enterprise Resources Planning).

The whole processing is done through the networking, which is

pertained only within MIS section. The process is under program for

implementing the network throughout the organization.

Chapter-5

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FINANCE AND ACCOUNTS DEPARTMENT

FINANCE & ACCOUNTS TEAM

Manager (Finance)

Dy Manager

Asst Manager

Ac. Officer

Suptd

Ac.A-1

Ac.A-2

Ac.A-3

Helpers

Ac.A= Account Assistants

Introduction: -

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Finance is regarded as the lifeblood of the business enterprise.

Efficient financial management is very important to any organization. Lack

of this paralyses the activities of the firm. Hence, it is essential to have a

sound financial system organized in an organization or enterprise. Every

organization needs money and the management of it is very important in

any financial system of an organization.

BAMUL has a very sound financial department and well trained and

experienced employees to carry out the financial activities. Here very small

to big activities are carried out with utmost care.

Objectives: -

The objectives of financial department are as under: -

To ensure that accounting records of various division are properly

maintained.

To ensure that sales realization are properly accounted and remained

the marketing section from time-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 are made to milk producers on priority.

To see that the payments to creditors are made within stipulated

time.

Account section has to provide management timely information

about the financial position of the union and guide them as to

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viability of the proposals that come in the course of business

activity.

The other objective of finance section is to keep the management /

board appraised of monthly treading and P/I 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 evaluation and caution management where ever the

cost exceeds the norms.

Functions: -

The main functions of financial department are as under: -

1. To manage cash.

2. To mage bills.

3. To manage transportation bills.

4. To manage pay bills.

5. To manage accounts.

6. Prepare IBP.

7. File IT returns and other statements returns.

The details of each function are as under:

1. Cash: -

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There are two cash counters in the financial section,

I) Collection of sales proceeds counter.

II) Cash counter.

I) Collection of sales proceeds counter: -

This is for cash collection of sales proceeds of milk and milk

products. Cash remitted by challen system from various milk distribution

roots for sale. A receipt is passed for the net amount collected from each of

the distribution root salesmen and this is being recorded in a on-line

account. This entire amount collected by the end of the day is remitted to

bank the same day to the current account of the milk union.

II) Cash counter: -

Another cash counter is for handling impressed cash and cheques.

Impressed cash means amount required for meeting various payments.

Receipts are being issued for collection of cash towards receipts of

EMD (Security deposit repayment of advance drawn and such other

outstanding) all these things are recorded in a cashbook called petty cash

book. This cashbook is being closed at the end of day and verified by

accounts office\Asst. Manages finance. Cheques are also being drawn for

payments of bills whenever payments are required through cheques. For

receipt of any cheques received from outside official, general receipt are

being passed in this cash section. All these transactions of receipt and

payments are entered into computer and cash book entry is also being

made in computers. The union uses 7.2 Version Tally Package.

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2. Bills: -

Bills are being received from various suppliers and usually the

purchase section after getting the Material Receipts Information (MRI)

from stores duly certified for quality and quantity, sends bills to finance

section in the related files and these bills are processed and entered in the

control register and after scrutiny from pre-auditors bills are put up for

passing before MD through Assistant Manager Finance. After the

approval of MD the cheques are drawn in the name of the parties. File

with entries of cheque No. and a copy of the voucher is returned to

purchase section / to the concerned section. And the payment vouchers

are accounted in computer.

3. Transportation Bills: -

Following are the types of transportation bills:

i) Procurement Transportation Bills (PTC)

ii) Distribution Transportation Bills (DTC)

iii) Mobile veterinary root bills

iv) Cattle feed transportation bills

v) LN2 transportation bills (Liquid Nitrogen)

vi) Hire vehicle transportation bills

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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 service; cattle feed

transportation, transportation of milk to other dairies in hired transportation

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

aspects such as correction of the distance, deduction towards TDS, any

other recoveries and / or passed for payment through cheques. Since these

bills are in No.; once in a fortnight for total amount of payment is made to

their bank accounts.

4. Pay Bills: -

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

card entries, further the attendance of chilling center staff and field staff

are being received from concerned section once in a month duly certified

by section needs. Based on these attendance extracts pay bill of all the 950

employees of the milk union are being prepared through computers and

salary is being distributed through Canara Bank main Branch, Syndicate

Bank of BDCC Bank by way of crediting the account of respective

employees in the Bank.

These are various heads under which salary recoveries are made

such as Employees Provident Fund (EMF), Employees State Insurance

Scheme (ESI), Professional Tax, LIC, GSLIS (Group Saving Linked

Insurance Scheme), pay advance, Bank loan and such other deductions

under about 45 account heads. These salary recoveries are being sent to

respective departments such as Regional PF commissioner, ESI office,

Professional Tax Office, LIC of India, different banks where employees

avail loans through cheques. The account section prepares salary

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deduction statements for deductions under various heads cited above and

these deductions are generated in computer itself when salary bills are

prepared. Specimens of salary bill and deduction statements are enclosed.

5. Accounts: -

The functions of account section are: -

To maintain record of day-to-day transactions, update entries

in computer.

Prepare monthly nominal accounts.

Prepare annual financial statements such as receipt and

payments, trading, and P/L a/c and balance sheet and also to

produce the same to statutory auditors and get it audited.

Sources of Finance: -

The main source of finance is sales realization (Retained Earnings).

Sales are purely on cash / cheques 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 of milk and as their perish ability period is little

more i.e., for a products of 3-4 months and sales are realized and money

gained out of it can be classified as long-term source of finance.

Some times they even get grants from the government.

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Share Capital (in Lakh Rupees)

Share Capital (in Lakh Rupees)

0

200

400

600

800

1000

1200

Share Capital (inLakh Rupees)

Annual Turn-over (in Lakh Rupees)

Annual Turn-over (in Lakh Rupees)

0

5000

10000

15000

20000

25000

30000

35000

Annual Turn-over(in Lakh Rupees)

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Net Profit (in Lakh Rupees)

Net Profit (in Lakh Rupees)

0

50

100

150

200

250

300

Net Profit (in LakhRupees)

Ratios at Glance

Ratios1999-2000

2000-2001

2001-2002

2002-2003

2003-2004

Current Ratio 1.97:1 1.91:1 1.67:1 1.66:1 1.41:1

Quick Ratio 1.55:1 1.27:1 1.25:1 1.35:1 1.13:1Inventory to Working Capital 42.20% 70.27% 62.20% 46.89%

Debt equity 2.04:1 2.63:1 2.79:1 2.38:1 1.75:1Fixed Asset to new worth 0.68:1 2.92:1 2.96:1 2.69:1Current Liability to Networth 0.69:1 0.73:1 0.89:1 0.76:1

Solvency Ratio 1.83:1 1.66:1 1.27:1 1.32:1Working Capital Turnover 16.5 T 16.8 T 19.75 T 22.68 T

Stock Turnover 49.80 T 34.0 T 15.19 T 27.63 T 59.61 T

Debtors Turnover 77 T 88.7 T 195.49 T 159.4 T

Debt Collection Period 4.7 days 4.1 days 1.87 days 2.30 days6.71 days

Cash Turnover 18.0 T 22.9 T 21.79 T 18.70 T

Debt Payment Period 29.8 days31.7 days

20.91 days 23.5 days

Net Profit Ratio 1.05% 0.44% 0.15% 0.90% 1.37%

Operating Ratio 98.58% 99.04% 101.15% 99.19% 98.63%

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CHAPTER-6

PRODUCTION DEPARTMENT

The Bangalore Milk Union is mainly concerned with production of

milk and other by-products such as curds, butter milk, ghee, peda and

butter. The Production of other by-products is taken care by a separate

department brown as product department and production of milk and curd

is taken core by production department.

Hierarchy (production department)

Manager

Dept Manager

Asst Manager

Technical Officers

Supervisors

Technicians

Helpers

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Functions: -

The functions of production department are as follows: -

1) Procurement of raw material.

2) Maintain and produce the standard quality products.

3) Using of advanced technology.

4) Produce zero bacteria milk.

5) Maintaining inventory of both raw material and finished products.

6) Produce different quality of products to meet the market needs and

wants.

Types of Products Produced: -

There are 5 main products produced. They are:-

1) Milk:

Toned milk,

Double toned milk,

Full cream milk.

2) Peda

3) Ghee

4) Masala butter milk

5) Curds

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PROCESS FLOW CHART FOR MASALA BUTTER MILK

PRODUCTION & PACKING: -

1) Curd in Can

2) Mixing thoroughly using s plunger

3) Adding of pasteurized water

4) Addition of Masala item to arrive desired taste

5) Filtration to eliminate extraneous / ungrounded Masala fibers

6) Transferring to intermediate tank for packing

7) Packing 200ml size

8) Storing in crates

9) Transferring to cold store immediately

10) Dispatch as per market indent.

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PROCESS FLOW CHART FOR CURD PRODUCTION &

PACKING: -

1. Drawing of Pasteurized toned milk from production to vat

2. Heating to 32 – 35 C with hot water circulation with slow agitation

3. Addition of starter culture and mixing well

4. Pumping to intermediate tank

5. Packing in different pack size

6. Filling to crates

7. Allowing 5 – 6 hours for formation / incubation

8. Observation for formation

9. Transferring in cold store

10.Dispatch as per market indent

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PROCESS FLOW CHART FOR PEDA MAKING AND PACKING: -

1. Collection of good raw milk in cans

2. Transferring to Khoa pan

3. Evaporation of moisture in milk with steam with continuous stirring

4. Adding sugar at the stage of milk solids turning to semi solid state

(phase) and thorough mixing

5. Transferring of obtained product into S.S. Trey

6. Allowing to cool over night in cage

7. Dyeing upon working the product for proper granulation into 25 gms

pieces using S.S. Peda dye

8. Transferring of pieces to laminated carton box of 10 pieces capacity

after putting liner

9. Ceiling with cellophane tapes and statutory stamping

10.Dispatch against marketing indent

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PROCESS FLOW CHART FOR GHEE MAKING AND PACKING

1. Raw butter to melting vat

2. Pumping of melted butter to ghee boiler

3. Cooking of butter fall up to 118-120 C

4. Holding at above temperature for 10-15 minutes

5. Cooling with raw water to bring down the temperature to 75-80 C

6. pumping to ghee settling tank

7. Allowing for natural cooling and setting of about 10-12 hours

8. Packing at 40-45 C in different pack sizes

9. Storage in corrugated boxes / tins upon sealing

10.Dispatch against marketing indent

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CHAPTER-7

PROCUREMENT AND INPUT DEPARTMENT

Introduction: -

The daily average milk procurement of BAMUL for the period of

2005-06 (till Dec 2005) was 8.29 lakh Kgs, which works out to be 535 Kgs

per day per DCSs. During the year the milk procurement touched a peak of

8.95 lakh kgs per day. In Milk procurement, Bangalore Milk Union stands

first in Karnataka and sixth position in the country.

The important activities apart from milk procurement of the P&I

dept in BAMUL include:

Input activities:

Providing feeds and fodder to farmers at concessional rates.

Teaching the importance of animal health to farmers and giving

them medical benefits for their animals.

Special emphasis on organizing Infertility Camps in all the DCS.

Support to Training and Employment Programs (STEP).

F.M.D Vaccination Program.

BAMUL is offering the most remunerative milk procurement price

to member producers. The operational efficiency is reflected on

procurement prices paid to the member producers. The average milk

procurement price paid during the year was Rs. 9.83 for every ltr of milk

supplied to the Union, which is 72% of the total cost of Production. Milk

collected at DCS will be transported to Chilling Centers, through 93 Milk

Procurement Routes are also in operation, which collects milk from 35

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BMC centers of 68 DCS directly transported to Bangalore Dairy through

insulated tankers.

Hierarchy (Procurement and Input):

Manager (P&I)

Dy manager

Asst manager

E.O-1

E.O-2

E.O-3

A.A-1

A.A-2

A.A-3

Peon

E.O=Extension Officer

A.A=Administrative Assistant

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Cost consumption at BAMUL;

Transportation 4%

Process 5%

Packing 3%

Retail margin 3%

Sales & administration 6%

Miscellaneous 5%

Int & bank charges 2%

Milk purchase 72%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Series1

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Milk Procurement (Avg. Kgs/Day)

Year Milk Produced1995-96 3517991996-97 3945461997-98 4046031998-99 424483

1999-2000 4967322000-01 5329482001-02 5469412002-03 5578192003-04 5940732004-05 7130292005-06 828612

Milk Produced

0100000200000300000400000500000600000700000800000900000

Milk Produced

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CHAPTER-8

QUALITY CONTROL

Introduction: -

BAMUL has a very good and an extensive quality control

department. The main aim is to produce milk bacteria free and prevent

adulteration of milk. It also focuses on producing proper quality milk with

proper quality of fits and proteins needed

Quality Policy: -

The quality policy of BAMUL is, “Collection of pure milk from

Bangalore Milk Union Members and Testing Scientifically and Providing

Fresh & Pure Milk to consumers with Associated Milk Products with

Competitive Prices and Best Services”

Objectives: -

1. Strict adherence to specifications with emphasis on defect

prevention, use of raw materials, control over each stage of

operation.

2. Involvement of personnel from all functions at all levels for

development and maintenance of quality system CIP is adopted.

3. Planned & systematic programs for acquiring sales during the

operation in order to ensure standard quality.

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Functions: -

The main function of quality control section is to control the quality

and produce best quality products. In Q.C section, the milk is tested before

processing and even after processing. Before processing the milk, it is

tested for adulteration, fat content in the milk. Milk 8% is rejected and

above 8% of fat is accepted. After the mi8lk is processed again, it is tested

for bacteria fat contents, acidity etc… Then the reports are prepared after

conducting tests. Then these reports are further submitted to KMF for

further clearance and approval. If my defects are found, then KMF notifies

and recommends for further better performance.

KMF has established a research and development center. It conducts

produce development and continued quality improvement programs.

Hierarchy of quality control as under: -

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Hierarchy (Quality Control)

Manager (Q.C)

Dy Manager

Asst Manager

T.O

Chemist-1

Chemist-2

Chemist-3

Helpers

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Quality Control Techniques Adopted: -

The various tests conducted in order to maintain the quality of milk

are as under: -

1. Garber Test: - To know the fat content present in the milk. It is

mixed with sulphuric acid. (MILK + H2SO4)

2. Milk Test: - To know the fact content present in the milk through

electronic device.

3. Lactometer: - To know the stability of the milk and is conducted by

mixing the milk with water and using lactometer, stability is tested.

If milk water quantity is more in the milk the lactometer will

immerse inside.

MBRT test and methylene blue radiatic Test.

Acidity Test.

PFA Test and Prevention of food Adulteration Test.

Inspection & Testing: -

Each individual co-operator is trained for instructed well before the

individual co-operator commences his routine work of production. The

supervisor inspects the routine work personally.

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CHAPTER-9

PURCHASE DEPARTMENT

Introduction: -

In every organization success is mainly depending upon the

efficiency of the purchase department. This is due to the fact that, every

organization requires materials during its functioning. Hence, purchase

department fulfill all the materials needed for each and every departments

in an organization.

Objectives: -

To procure right materials

In right qualities

In right quantities

From right and reliable sources of supplies

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

To secure and deliver materials at right placers and at right time.

Purchase department has to perform certain activities, duties and

function in order to achieve the objects mentioned above.

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Duties and responsibilities of the purchase department –

To keep records indicating possible materials and their substitutes

Maintenance of relevant records of reliable sources of supplies, price

materials

Making contracts with right sources of supplies

Analyzing / evaluation of offers / quotations to procure the materials

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CHAPTER-10

STORES DEPARTMENT

The stores department acts as a cushion against every need on an

organization, mainly at the time of break-down of machinery in the process

of working, production and maintenance by supplying the needed items

like necessary equipments / spares etc., specially required materials will be

maintained as stand-by materials as buffer stock or safety stock.

The co-operative auditor makes the stock verification from time to

time. To fulfill this obligation 5 years records will be maintained, and more

than 5 years is also considered as slow – moving items. Finally, there is a

proposed to reduce the inventory from present 2000-2500 items.

The stores department of BAMUL; is divided into 5 sub-divisions as

follows:

Spares and machinery

Consumable stores

Transport stores

Stationery stores

Unserviceable stores

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The above 5 stores are called BAMUL stores. Each consists of 1

superintended. 1 storekeeper and 2 clerks and 2 helpers. These 5

departments are working for processing and packaging of the milk and

distribution etc.

Hierarchy (Stores)

Manager (Stores)

Dy Manager

Asst Manager

Supervisors

Storekeepers

Clerks

Helpers

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The responsibilities of the above – mentioned divisions are as follows:

I. Spares and machinery stores contains maintenance spare and related

items.

II. Consumable stores contains packing materials and consumable like

washing soda, sugar etc.,

III. Transport division contains vehicle spare parts.

IV. Stationery store contains stationery, furniture, fixtures registers for

record keeping, books, etc.,

V. An unserviceable store contains oil, lubricants and disposable items.

VI. P&I wind stores contains drugs and DCS materials.

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CHAPTER-11

SWOT Analysis

SWOT Analysis refers to analysis of “Strength, Weakness,

Opportunities, and Threats”, possessed and faced by an Organization.

Strength of BAMUL: -

a) Strong customer base:

BAMUL enjoys a very strong “customer base” in their domestic

market. Products manufactured by BAMUL are known for their

quality, quality perception of customers regarding BAMUL’s

products has earned them a very strong customer base. They have

captured almost 70% of the market share in the domestic market.

b) Strong supplier base:

Its early inception BAMUL has provided it an opportunity to build

up a very strong “supplier base”, since there were almost no

organized major players in the domestic market.

BAMUL is playing a vital role in the district by covering 2611

villages of Bangalore District for their dairy activities.

The total members for various societies are 3,16,400. It has 1548

societies for their procurement purpose. In these 90% of societies are

running under profit among these above societies.

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c) Competitive Product line:

Products offered by BAMUL are only one of its kinds in the

domestic market; its competitors have only a few substitutes to offer

in terms of variants and quality of products.

Product line of BAMUL consists of

Purified liquid milk

Peda

Kova

Curds

Butter and butter milk

Masala butter milk

Ghee

d) Automated Production:

BAMUL has an automated production process; it helps them to

drastically reduce the cost of production per unit due to High-end

technology production process.

Weakness of BAMUL:

The only weakness suffered by BAMUL is dearth of professionals in

its organization. Personnel at BAMUL have not been trained

professionally in core management areas such as “Marketing, Human

Resource, Finance, etc”, to provide a competitive edge to the organization.

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Opportunities for BAMUL:

BAMUL can explore other avenues of Dairy farming (Honey

Culture), since it already has a strong supplier base. It can train suppliers in

“Honey culturing”, and later market the new product “Honey” under its

own brand name “Nandini”, since it has its own value and customer

perception. In the domestic market Honey available is provided by

Companies such as “Dabur”, so Nandini could be made available at a

cheaper rate owing to lesser Cost of Production. Major market share could

be obtained since Nandini, the brand name is well known in the local

market.

Threats faced by BAMUL:

Competitors of BAMUL have started to access the supplier base of

BAMUL by offering more prices and have been successful in luring some

of the farmers in to give the milk, it is the one threat faced by BAMUL.

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FINDINGS

Findings of the study: -

Following are the findings during the study: -

BAMUL is serving the rural region and helping for their upliftment,

by way of procuring milk through poor farmers through its formed

societies and paying them fair returns. It is contributing for

economic upliftment of farmers.

BAMUL is even serving the society and its customer by providing

better quality milk and milk products.

BAMUL is earning profit year after year and it is not confronting

any financial problems.

BAMUL is equipped with fully automatic systems which ensures

total quality maintenance (function)

It has got its own quality control department with fully equipped

laboratory and equipments that help detecting any adulteration or

any such other defects.

Through the use of advanced technology, BAMUL provides its

customers bacteria free and balance nutritious milk (product

augmentation)

BAMUL provides training and education programme that creates

legal awareness about social and economic upliftment among rural

people, especially women.

The whole system is so equipped automatically, that more hygiene is

maintained in preparing the milk and milk products.

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CONCLUSION

BAMUL, which refers to Bangalore Milk Union Limited, is playing

vital role in serving the rural class and contributing for the economic

upliftment of farmers. It is helping the farmers by giving them all facilities

to rear their cattle by supplying fodder and feed, improving the breed by

artificial insemination with the help of their veterinary services.

BAMUL is reaping profit by equipping the latest technology and

producing better quality products. It is serving the best quality milk and

milk products to its customers, thereby maintaining their top position in the

market. It has atomized manufacturing and every process is computerized.

In other words through atomization it has achieved great success and a

good recognition.

It has its own quality control division with all quality control devices

and techniques which has helped it in maintaining its standard quality.

Hence BAMUL is not only helping the rural society but is also

catering the urban region by providing its products to all ages supplying

milk to look and corner of Bangalore district.

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