Submitted By
V.NIVETHA (2014MBA31)
BONAFIDE CERTIFICATE
PREFACE
As a part of the MBA Curriculum and in order to gain practical Knowledge in the
field of management, we are required to make a report on the functioning of various
departments in an organization. The Basic Objective behind doing this project report is to get
practical knowledge of what we learn inside the classroom In this project report we have
included various practices and policies followed at MADURAI DISTRICT CO-OPERATIVE
MILK PRODUCERS UNION LTD, MADURAI which we were able collect through
observation and interviews .This Project report helped us to gain practical exposure and
enhance our knowledge towards the work environment.
DECLARATION
I hereby declare that A SUMMER TRAINING REPORT ON MADURAI
DISTRIDT CO-OPERATIVE MILK PRODUCERS UNION LTD, MADURAI- 20
submitted as a part of MBA Degree is our original work and no part of this project has been
submitted for the award of any other Degree, Diploma, Fellowship or other similar titles.
Place: Madurai
Date: 22.06.2015
ACKNOWLEGEMENT
TABLE OF CONTENTS
S.No
Index
Page No
1.1
INTRODUCTION
INDUSTRY PROFILE
DEPARTMENTS
29
3.1
HUMAN RESOURCE
30
3.2
PRODUCTION
35
3.3
MARKETING
45
3.4
FINANCE
52
3.5
MIS
59
3.6
63
3.7
PURCHASE
68
3.8
STORE
71
3.9
QUALITY CONTROL
73
75
CONCULUSION
77
AAVIN PRODUCTS:
CHAPTRE- I
1.1 INTRODUCTION:
Summer internship study is an exercise for the students who are undergoing
MBA program. The objective of the study is to make the student familiar to the current
industrial scenario. It provides the student with the first hand idea on the general working of
the student has acquired in student curriculum. The exercise is an opportunity for the student to
understand the organizational structure, the major departments, flow of information and
various other functions in an organization
CHAPTER- II
B. REACH:
The dairy co- operative network
C. MARKETING:
Dairy co- operative now market in about 200 classes some 550.
During the last decade, the dairy milk supply to each 1000 urban Indian
increased from17.5 to 43.5 litres.
D. MILK PRODUCTION:
E. INNOVATION:
Bulk vending saving money and environment.
Milk travels as far as 2200 kms to deficits areas, carried by innovation and
road milk tanker.
95% of daily equipment is production in India, saving valuable foreign
exchange.
F. MACRO IMPACT:
The annual value of Indias milk production amounts to Rs.780 billion.
Dairy co- operative generate employment opportunities for some 10.5
million farm families.
I.
LOCATION:
The Madurai Aavin has 39.42 acres of land and located in K>K Nagar and Anna Nagar in
Madurai Sivagangai highway and nearly to the office of the Madurai district collector.
MADURAI DISTRICT CO OPERATIVE MILK PRODUCERS UNION LIMITED
AAVIN
SATHAMANGALAM
MADURAI -625020.
Indias dairy sector is expected to triple its production in the next 10 years in view of
expanding potential for export to Europe and the West. Moreover with WTO (World Health
Organization) regulations expected to come into force in coming year all the developed
countries which are among big exported today would have to withdraw the support and
subsidy to their domestic milk products sector. Also India is the lowest cost producer of per
litter of milk in the world at 27 cents, compared with the U>S63 cents and Japans $2.8
dollars. To take advantages of this lowest cost of milk production and increasing production in
the country multinational companies are planning to expand their activities here. Some of these
milk producers have already obtained quality standard certificates from the authorities. This
will help them in marketing their products in foreign countries in processes from.
The urban market for milk products is expected to grow at an accelerated pace of
around 33% per annum around Rs.43, 500 corers by year 2005. This growth is going to come
from the greater emphasis on the processed foods sector and also by increase in the conversion
of milk into milk products. By 2005, the value of Indian dairy product is expected to be
Rs.10, 00,000 million. Presently the marker is valued at around Rs.7, 00,000 million.
II.
BACKGROUND:
India with 134 million cows and 125 million buffaloes has the largest population of
cattle in the world. The cattle population in the country as on October 200 stood at 313 million.
12
More than fifty percent of the buffaloes and twenty percent of the cattle in the world are found
in India and most of these are milk buffaloes.
Indian dairy sector contributes the largest share in agriculture gross domestic
products. Presently there are around 70,000 village dairy co operatives across the country.
The co operative societies are federated into 170 district milk producers unions, which is turn
has 22 state co operative dairy federations. Milk production gives employment to more than
72 million dairy farmers. In terms of total production, India is the leading producer of milk in
the world followed by USA. The milk production in 1999 2000 is estimated at 78 million
MT as compared to 774.5 million MT in the previous year. This production is expected to
expected increase to 81 million MT by 2000 2001. Of this total production of 78 million
cows milk constitute 36 million MT while rest is from other cattle.
While world milk production declined by 2 percent in the last three years, according
to FAO estimates, Indian production has increased by 4 percent. The milk production in Indian
accounts for more than 13 percent of the total world output and 57 percent of total Asias
production. The top five milk producing nations in the world are India, USA, Russia, Germany
and France.
Although milk production has grown at a fast pace during the last three decades
(courtesy: operation flood), milk yield per animal is very low. The main reasons for the low
yield are
III.
13
14
The preferred dairy animal in India is buffalo unlike the majority of the world
market, which is dominated by cow milk. As high as 98 percentage of milk is produced in
rural India, which caters to 72 percentage of the total population, where as the urban sector
with 28 percentages population consumes 56 percentage of the total milk produced. Even
in urban India, as high as 83 percentage of the consumed milk comes from the unorganised
traditional sector.
Presently only 12 percentage of the milk market is represented by packaged and
branded pasteurized milk, valued at about Rs. 8000 crores. Quality of milk sold by
unorganised sector however the price is inconsistent across the season in local areas. Also
vendors add water and caustic soda, which makes the milk unhygienic.
Indias dairy market is multi layered. Its shaped like a pyramid with the base
made up o f a vast market for low cost milk. The bulk of the demand for milk is among
the poor in urban areas whose individual requirement is small, maybe a glassful for use as
a whitener for their tea and coffee. Nevertheless, it adds up to a sizable volume million of
litres per day.
Presently, barely 778 out of 3,700 cities and towns are served by its milk
distribution network, dispensing hygienically packed wholesome, quality pasteurized milk.
According to one estimate, the packed milk segment would double in the next five years,
giving both strength and volume to the modern sector. The narrow tip at the top is a small
but affluent market for western type milk products.
IV.
GROWING VOLUMES:
The effective milk market is largely confined to urban areas, inhabited by over 25
percent of countrys population. As estimated 50 percent of the total milk produced is
consumed here .By the end of the twentieth century , the urban population is expected to
increase by more than 100 million to touch 364 million in 2000 a growth of about 40
percent. The expected rise in urban population would be a boon to Indian dairying.
Presently, the organised sector both co operative and private and the traditional sector
cater to this market.
15
The consumer access has become easier with the information revolution. The
number of households with television has increased from 23 million in 1989 to 45 million
in 1995. About 34 percent of these household in urban India have access to satellite
television channel.
Two key elements of marketing strategy for 2000 AD are;
Focus on strong brands
Product mix expansion to include UHT milk, cheese, ice creams and
spreads.
The changing marketing trends will see the shift from generic products to the
packaged quasi, regular and premium brands. The national brands will gradually edge out the
regional brands or reduce their presence. The brand image can do wonders to a products
marketing as is evident from the words of perfume princess coco channel: in the factory, we
pack perfume; in the market, we sell hope.
V.
India. All India penetration of butter or margarine is only 4%. This is also largely represented
by urban areas ,where penetrations is higher at 9%.in rural areas ,butter or margarine have
penetrated in 2.1 % of household only. The use of these products in the large metros is higher
with penetration at 15%
Penetration of cheese is almost nil in rural areas and negligible in urban areas per
capital consumption even among the cheese consuming household as poor as 2.4 kg as
compared to over 20 kg in USA. The lower penetration is due to peculiar food habits, relative
products and also non availability in many parts of the country. Butter, margarine and other
cheese products are mainly manufactured by the organised sector.
16
industry from milk. The relative share of branded products in this category is
17
VI.
at rs470bn. The market is currently growing at round 4%pa in volume terms. The milk surplus
states in India are Uttar Pradesh, Punjab, Haryana, Rajasthan, Gujarat, Maharashtra, Andhra
Pradesh, Karnataka, and Tamil Nadu. The manufacturing of milk products is concentrated in
these milk surplus states. The top 6 states visa Uttar Pradesh, Punjab, Madhya Pradesh, and
Tamil Nadu, Rajasthan, Gujarat together account for 58% of national production.
Milk production grew by a mere 1% pa between 1947. Since the early 70s, under
operation flood, production growth increased significantly averaging over 5%pa.
About 75% of milk is consumed at the household level which is not part of
commercial dairy industry. Loose milk has a larger market in India as it is perceived to be fresh
by most consumers. In reality however, poses a higher risk of adulteration and contamination.
The production of milk products, i.e. milk products including infant milk food,
condensed milk & cheese stood at 3.07lakh MT in 1999, production of milk powder including
infant milk food has risen to 2.25lakh MT in 1999, whereas that malted food is at 65000 MT.
Cheese and condensed milk production stands at 5000 and 11000 MT respectively in the same
year.
AWARDS OF AAVIN:
2005- 2006 - The State level award for productivity award.
2007 - The State level award for best co-operative milk producers union Ltd.
2010 - Aavin has got the best exhibition award.
FUTURE PLANS:
Increasing the milk handling capacity.
Increasing the milk procurement to 3.0 LLPD.
Increasing the Milk handling capacity from 1.5 LLPD to 3.0 LLPD.
18
Introduction of Bulk Milk Cooler (BMC) concept at village level at the cost of
3 Cores.
VII.
PRODUCT PROFILE:
India is the largest consumer of milk and milk products. Especially Aavin milk and its
by products are considered as a best quality when compared to the other private milk products.
The following thereby the products manufactured in Aavin with the brand name of
AAVIN
BUTTER:
GHEE:
19
GHEE (TIN)
15 KG
GHEE (JAR)
5LTR
GHEE (TIN)
1 LTR
GHEE (JAR )
1 LTR
GHEE (CARTAN) 1 LTR
GHEE (TIN)
500 ML
GHEE ( JAR)
500 ML
GHEE (CARTAN) 500 ML
GHEE (JAR)
200ML
GHEE (SACHET) 25 ML
GHEE (JAR)
5KG
GHEE (JAR)
1KG
GHEE (JAR)
500 GM
GHEE (JAR)
200GM
MILK :
20
FLAVOURED MILK:
MILK POWDER :
Aavin manufacture and market ISI quality milk powder in 500 grams
carton and 1 kg poly pack. It is manufactured in all our product dairies viz
Erode, Salem, Krishnagiri and Madurai and marketed throughout the state.
Carton 500gms
Poly bag 1 kg
Bulk bag 25 kg
MILK KHOA :
Aavin milk Beda is king of all sweets. It is dearer to the people of
Chennai. It is available in small packing like 50 Gms and 100 Gms packets and
also in 500 Gms and 1 kg bowl.
BUTTER MILK :
22
MILK BEDA :
Milk Beda is one type of sweet which is prepared by heating milk until
all water in milk is evaporated and 20% of sugar is added and chilled then it
goes for packing.
23
24
AWARDS:
Aavin has got the best exhibition award for the year 210
National productivity council of India gave productivity awarded for the year
2005 -2006 to MDCMPU Ltd in the year 2008
Madurai Aavin has got the state level best co-operative milk producers union Ltd,
award in the year 2007.
25
General Manager
Asst. General
mngr
1. Mngr(DC)
2. Mngr(DB)
3. Mngr(QC)
Lab Asst,
Factory
Deputy General
Mngr
Milk
Procurement &
input
Team Leader
Deputy
General
Manager
Asst. General
Mngr
1. Process
2. Egr
26
3. Transport
Asst. General
Manager
Marketing
Manager
Asst. General
Manager
Deputy
Manager
1. Admin
2. Industry
Asst. General
Manager
Deputy
Manager
1. Finance
2. Pay Bill
Asst. Manager
Deputy Manager
Marketing
Mngr (Dairy)
Mngr(Store)
Mngr(CC)
Executive
Executive
Executive
1. Charge
Manager
2. Machine
Operator
27
CHAPTER- III
3. DEPARTMENTS IN AAVIN:
29
and
development, performance appraisal, and rewarding (e.g., managing pay and benefit
systems).
DEFINITION:
Human Resource Management (HRM) is the function within an organization that
focuses on recruitment of, management of, and providing direction for the people who work in
the organization. HRM can also be performed by line managers.
FUNCTIONS OF THE HR DEPARTMENT OF AAVIN:
Take action for the protection of welfare of the workers
Take final decisions regarding the workers.
Decides the workers annual leave promotion, transfers, and bonus and increment
etc.
It will take some disciplinary actions to maintain the discipline among the workers.
Aavin suppliers free milk cars to the workers.
Prepare agenda for the meetings.
Supply free milk cards to the workers.
Fixes the day-to-day activities of the dairy
Loans
PF (provident fund)
Travel allowances
Medical allowances
PF
HR POL ICI ES
LO AN
B) RECRUITMENT:
Usual recruitment process is being followed by the company. Recruitment
process in Aavin Company is only through government order. In this department will
appoint new employees below the common category candidates through employment
exchange by following usual recruitment procedure regulated by government.
C) TRAINING:
In 1985, the union established a training centre with the main objective of
imparting training. They give training to the primary co-operative societies about the milk
31
procurement. The management committee members are also training on bow to manage
their societies. They give lot of training to the employees who are all in the procurement
division. But now-a-days there is no off the job training. Only on the job training in this
training also own without any induction program conducted.
1. CANTEEN:
The company provides canteen facilities, travel allowances, medical allowances.
In Aavin, canteen runs by subsidiary to the employees. Meals, Tiffins and tea are supplied to
the employees at subsidized rate by the union.
2. MEDICAL ALLOWANCES:
32
3. WORKERS COMPENSATION:
The worker compensation is given to the workers for any accident as per workers
compensation act 1923.
5. OTHER PROCESS:
No Performance appraisal of the employees.
Wage increment is there for every year once to each and every employee based
on the employee behaviour. If there are any complaints or punishment on
selection grade
If an employee gets the 20 increment of 20years the employee will promote to
promotion grade or special grade.
Like this only promotion will get.
G) LEAVE ELIGIBILITY:
Leave are given to the following basis;
Annual leave with wage at the rate of 1/20 for actual working days of the
previous year.
Normally 15 days are credited.
Medical leave at the rate of 12 days per year subject to maximum of 60 days.
33
DEFINITIONS:
In the words of Mr, E.L. Breech: Production Management is the process of effective
planning and regulating the operations of that section of an enterprise which is responsible for
the actual transformation of materials into finished products.
The objective should be to produce goods at least cost and to the minimum satisfaction of
the buyer. To meet the objective the role of production in an enterprise is most important. The
production department includes input wing, milk processing process and maintenance
department, quality control department, stores wing and transport wing.
In the production department there are various sections are available they are listed below
34
1. Reception section
2. Lab section
3. Chilling section
4. Butter section
5. Milk powder section
6. Milk Beda section
7. Ghee section
8. Deep freeze section
9. Flavoured section
10. Curd section
1. RECEPTION SECTION:
Under this reception section the milk is collected from various societies in and around
Madurai districts nearly 80-90 societies. The collected milk will be tested in the reception
section to find whether it is good or decayed.
If the milk is spoiled it will be returned back to the milk holder. If the milk is good then the fat
content will be tested the fat content in the milk should be four degree Celsius if it is less than
four degree Celsius again the milk will be returned.
35
2. LAB SECTION:
The next section is lab section in the lab section a sample of milk will be sent the fat
and water in the milk will be tested in that lab section the fat content should be 4 - 4.2 degree
Celsius if it is less than or more than four to four point two degree Celsius the milk will be
returned to the customer.
36
3. CHILLING SECTION:
The next section is chilling in the chilling section the tested milk will be chilled
and stored in a container then it will be heated at 40,60,70,80Degree Celsius and then
gradually. The Heated milk will be chilled at 80,70,60,40 degrees Celsius.
4. BUTTER SECTION:
Butter section in the butter section to produce butter the skimmed milk will be used, there will
be a plant called separator it separate the milk into skimmed and non skimmed milk then the
skimmed milk will be sent to produce butter and the non skimmed milk will be sent to produce a
milk powder. In a butter section there will be a plant called butter churn , it look like a big container
in that container the milk will be rotated nearly forty five minutes and then the butter will be
obtained.
37
5. GHEE SECTION:
In the ghee section the butter will be heater in a big container nearly one hour
at 90 degree Celsius. Then it will be will be sent for the packing section and stored in a
Gordon for sale.
In this milk Beda section the milk Beda is prepared manually ten litters of milk,
one kilogram of sugar and one kilogram of cream are heated initially at 90 degree Celsius and
then heated at 70 degree Celsius nearly one hour. Then it will be chilled and sent for the
packing section for sale.
38
The next section is flavoured section in this section the heated milk will be
filled in a bottle and the flavoured is mixed and then it will be placed in a respective plant
for 45 minutes and the milk will be Chilled and sent for sale. There are flavours like
Chocolate
Almond
Strawberry
Mango
Pine apple
Vanilla
39
8. PACKING SECTION:
In the packing section there are separate plant will be available for each and
every variety of product , a plant will produce nearly 72 output per minute for one hour it
produce 1200 output.
9. CURD SECTION:
Aavin curd is superior in quality and hygienically manufactured in Dairy
department, packed in heat sealed cups. It is available in all the leading super markets and
aavin parlours and Franchise retail outlets.
SEPERATOR
BUTTER CHURN
STORAGEN TANK
PACKING ZONE
41
SOCITIES / CHILLING
CENTER
RAW MILK/
CHILLED MILK
SURPLUS MILK
CHILLING
MILK SEPERATION
PROCESSING /
STANDARDIZATION
CREAM
STORING
BUTTER
SKIM
MILK
GHEE
PACKING
STORING
STORING
PACKING
MARKET
42
POWDER
43
MARKETING:
Milk Co-Operative Producers Union Ltd market their product through dealers and
vendors and they do not give any advertisement for their marketing because of governmental
issues.
44
OBJECTIVES OF AAVIN:
The main objective of the organization is to give good remunerative
price to
District
To satisfy the customers by providing milk is hygienic and standard milk.
To supply good quality milk to the consumers of Madurai and Theni
city at a reasonable price.
Assured, round the year procurement of milk from the farmer
members of this Union.
sales.
Allocate the depots in proper place.
Investigate and allocate the depots and parlours.
Arranging vehicles to cover local areas.
Responsibility regarding sales of milk and its by products.
Solve the customer grievances.
Convince the petty shops, grocery shops and departmental stores to form them as
INDENT SECTION:
Getting information from all zonal offices through disk regarding the quality of
milk needed for distribution.
Sending the details regarding the quality of milk required by category wise to the
production establishment.
Issuing gate-pass to the incoming and outgoing loaded vehicles.
Maintaining an account that deals with indent quality and sales quality of milk
including the special order milk.
Supplying the milk according to their routes.
ZONAL OFFICE:
There are five zonal offices in Madurai District and one zonal office in Theni District
for marketing activities. They are,
45
Bibikulam zone
Palanganatham
Central zone
Aarapayam
Thirumangalam zone
Theni zone
the month.
Stop sales of the cards in the government organization.
Solving the problems regarding the concessionaires.
MARKETING MIX:
Product
Price
Place
Promotion
PRODUCT:
Aavin produces milk and the milk products in the company itself. There are four
varieties of milk produced in Aavin.
VARIETIES OF MILK:
Standardized milk
46
Premium milk
Toned milk
Full cream milk
BY PRODUCTS:
The surplus milk is separate into full cream milk and skimmed milk.
The full cream milk is converted into butter and flavoured milk.
The skim milk is converted into powder.
PRICE:
The price of the products is fixed based on fats and proteins content of the milk,
weight and quality of the milk and also on the basis of the value added quality. Fixation
of price is done by the central Government and the price is fixed according to the
demand and product cost basis.
CARD SALES:
Advance money is paid for the products at 50paisa reduction form the price.
Milk cards are sold to consumers against the payment of cost of milk for a month in
advance. Rs.1.50 Per litre is given as discount for card holders.
Monthly card scheme is available for Standardized Milk, Premium
Milk and Toned Milk.
SPECIAL ORDERS:
1. Special orders are booked in advance for special occasions like marriages,
Festivals etc.
2. Door delivery in time is ensured irrespective of the quantity ordered.
3. We charge of Rs.0.50/Litre extra for special order.
47
PROMOTION:
SALES PROMOTION:
The sales promotion carried out in shop painting, banners and press
advertisement.
AVERTISEMENT:
Advertisement is done through banners and Retail shops. There is no media
advertisement because of governmental issues.
PLACE:
CHANNELS OF DISTRIBUTION:
Aavin has both direct and indirect channel of distribution. They distribute their
products through wholesalers, retailers and customers.
MANUFACTUR
ER
RETAILER
CONSUMERS
TARGET SEGMENTATION:
Aavin segmented the market in following ways.
COW MILK:
In this cow milk is content of fat is 3.5% and SNF content is 8.5% and it also
contains other proteins. This type of milk is more suitable for aged person. Now the cow
milk is supplied all over the area.
STANDARDIZED MILK:
In this cow milk is content of fat is 3.5% and SNF content is 8.5%. This type of is
more suitable for the children and even it is beneficial to the patients and the infants.
48
POSITIONING STRATEGY:
It is based on the,
Competitors
Price
Quality
COMPETITORS:
Aavin has better quality at responsible price set by the government compared to its
competitors like HUTSON and AROKYA.
PRICE:
Aavin product price is fixed based on fat, protein content of milk, weight and quality.
QUALITY:
Aavin products are fresh and pure without any adulteration.
MARKET POTENTIAL:
The Madurai district co-operative milk producers union limited purchase
250000liters of fluid milk from the societies per day and sales 180000liters per day, the
remaining 70000liters are used for plant production.
The supply of 18000liters per day is subdivided into night supply and day supply.
Night supply: 150000liters
Day supply: 30liters.
49
DEPUTY GENERAL
MANAGER
MARKETING MANAGER
5 ZONAL OFFICERS
\
CENTRAL
ARAPALAYAM
ANNA
NAGAR
CASHIER
SUPERVISOR
50
PALANGANATHAM
BB KULAM
DEFINITION:
Financial management may be defined as that area or set of administrative
function in an organization which relate with arrangement of cash and credit so that
organization may have the means to carry out its objective as satisfactorily as possible . - By
Howard & Opton.
The Madurai direct co operative milk producers union has raised its funds only
by the loan amount given by the commercial banks and government financial institutions.
INCOME ACCOUNTS:
It prepares the annual income and expenditure report and monthly profit and loss
account will be submitted to the administration section. It maintains account for the future
reference.
MARKETIN
G PAYMENT
SECTION
MARKETING
ACCOUNT
SECTION
SALARY
SECTION
PAYMENT
SECTION
CASH
SECTION
PRE- AUDIT
SECTION
52
FINAL
ACCOUNT
SECTION
Madurai district co operative milk producers union totally pays 20 cores per month.
Total sale is 1, 65,000 litre per day.
COMMISSION:
For other milk - Rs.1.60 per litre
(Cow milk, standardised milk, gold milk)
For FCM - Rs.2.00 per litre
(Full cream milk)
Approximately, Madurai district co operative milk producers union pays 70, 00,000
per month to agents and the salary to its employees 1, 50, 00,000.
PROFIT:
Madurai district co operative milk producers union yields 1, 75, 00,000 profit per
month. For audit profit is 15.08 cores.
FUNDS REQUIRMEENTS:
The funds requirements are in two types funds requirements for income and funds
requirements for expenditure.
a) FUNDS REQUIREMENTS FOR INCOME:
Sales of milk
Sales of products
Conversion charges for others
Union products
b) FUNDS REQUIREMENTS FOR EXPENDITURE:
Milk collection cost
Staff cost
Administration overhead
Selling and Distribution
AUDITORS:
In this section the administration department appoints two auditors. One is company
auditors another one is statutory auditors.
a) COMPANY AUDITORS:
53
They look after the preparation of the balance sheet, rate also periodic day-to-day
activity.
b) STATUTORY AUDITORS:
The regional deputy of audit board and overall director audit control, they audit the
works prepare and check all accounts of the union and prepare a final audit memorandum and
submit it to the controlling officer. They submit this audit at the association meeting.
ADVANTAGES:
This is the easiest way.
It reduces the time.
3. SALARY SECTION:
Salary section of Madurai Aavins Accounts division plays an important role in
the organisation. Based on the attendance of each and every employee, salary section
prepares salary statement and they put salary to their account.
4. PAYMENT SECTION:
Payment section pays the amount to what they buy as small things such as
milk film, acid, alkaline. Nearly 40, 00,000 to 45, 00,000 will be paid by the payment
section for the milk films.
USER SECTIONS:
User sections certifies the products and prepare GRN.GRN means goods
received notes which has the following things.
Product name
Specification
Amount
55
5. CASH SECTION:
Three tier systems have been followed.
6. PRE AUDIT:
Entries are in numbers (code).pre audit is prepared before sending the cheques
to the bank. If any mistakes made in the entries they would cleared in pre audit.
56
DEFINITION:
57
PROCUREMENT PURPOSE:
It is used to prepare bills and maintain their salary statement. Mainly MIS is used
for fixing the milk rate based on the FAT and SNF. They are having some rate charts in their
system using the software name MACS software consultancy. Its help to fix the rate. MIS
gives information to producers through message weakly twice or two days once. These are all
procurement purpose.
SALES PURPOSE:
In sales purpose there are two types of commission analyser depot commission
and parlour commission. Here they use software named MIS analyser to analyse assigning
the information for sending information to producers.
58
UNION TO SOCIETY
FAT /SNF
7.7
7.8
7.9
8.0
8.1
8.2
%
3.0
3.1
3.2
3.3
3.4
3.5
1914
19.32
19.51
19.69
19.88
20.06
19.39
19.57
19.76
19.94
20..13
20.32
19.64
19.82
20.01
20.19
20.38
20.56
20.14
20.32
20.51
20.69
20.88
21.06
20.32
20.51
20.69
20.88
21.06
21.24
20.51
20.69
20.88
21.06
21.24
21.43
SOCIETY TO MEMBERS
FAT /SNF
7.7
7.8
7.9
8.0
8.1
8.2
%
3.0
3.1
3.2
3.3
3.4
3.5
18.64
18.82
19.01
19.19
19.38
19.56
18.89
19.07
19.26
19.44
19.63
19.81
19.14
19.32
19.51
19.69
19.88
20.06
19.64
19.82
20.01
20.19
20.38
20.56
19.82
20.01
20.19
20.38
20.56
20.74
20.19
20.01
20.19
20.38
20.56
20.74
59
UNION TO SOCIETY
FAT /SNF
8.3
8.4
8.5
8.6
8.7
8.8
%
6.0
6.1
6.2
6.3
6.4
6.5
21.35
21.71
22.07
22.43
22.79
23.15
21.38
21.74
22.10
22.46
22.82
23.18
21.41
21.77
22.13
22.49
22.85
23.21
21.44
21.80
22.15
22.52
22.88
23.24
21.47
21.83
22.19
22.55
22.91
23.27
21.50
21.86
22.22
22.58
22.94
23.30
Milk bills.
Pay bills.
Marketing credit bills.
Accounting statement.
Society milk receipts.
FUNCTIONS OF MIS:
The computer section should prepare the income and expenditure account in the
system
MIS can also collect the statistical data.
They salary bills, pay bills and other bills cannot be prepared by the department.
Monthly improvement report is prepared and sends to the meeting.
Action is being taken to sponsor the staff of the computer section to update the
60
The major activity of this wing is to procure milk from the farmer members
of the Districts and also to provide necessary technical input facility to them. The
procurement is carried out by forming village level Milk Producers Cooperative Societies.
Procurement is the acquisition of goods, services or works from an external source. It is
favourable that the goods, services or works are appropriate and that they are procured at the
best possible cost to meet the needs of the acquirer in terms of quality and quantity, time, and
location.
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The first process of dairy production is procurement of raw materials. The raw milk is
the vital ingredient for dairy processing. The raw milk is needed for processing in Aavin milk
plant is collected from the formers of Madurai and Theni districts. This is purchased from the
collection centres which are in Thirumangalam, Usilampatti and Vadipatti in Madurai district
and Antipatti in Theni district.
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The collected raw milk is chilled in the chilling centre before its despatched to
Aavin Milk Plant. The payment to the suppliers of raw milk will be given to the quantity
of the milk. This is done after making a test.
2.
3.
No.ofMPCSunderveterinary
Animal health coverage
4. No of women MPCS
369
38865
274
190
76
100
318
192
14556
16461
484
Theni Dt.
37180
The procurement price is calculated and given to the farmers based on the
chemical quality of milk .that is solid non fat.
Payments to the producers are affected once in 10 days the union.
Monthly payment nearly 9 cores to rural villages.
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TRAINING CENTRE:
The Union is running a training centre to train the society level employees as well as
the farmers. The training programs conducted are
1.
AI & FA Training
- 30 days
2.
- 30 days
3.
- 5 days
4.
- 5 days
5.
BMC Training
- 5 days
6.
AI Refresher Training
- 5 days
7.
MACom Training
- 5 days
8.
CMP Training
9.
CMP Training
- 2 days (Members)
10.
- 1 day
11.
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- 2 days
The company raw material is milk and the raw material is available in the local areas.
The company purchase raw material directly and through agents. They purchase the milk two
types one is through tanker milk another one is can milk. At the time of purchasing, the raw
milk is tested and measured.
is selected.
The selection sends a sanction orders to the general manager and get signature.
The section sends the purchase order to the selected supplier.
The supplier sends the material to the unions store.
The store section handover the bill to the accounts section.
The accounts section issues to bill to the supplier.
TANKER MILK:
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The tanker milk means purchasing the milk in bulk from theni. These tanker milk
is purchasing through agents. The tanker ,ilk is purchased once in a day.
CAN MILK:
The can milk means purchasing the milk from local areas like KK nagar, Vadipatti,
Usilampatti, etc; in this the milk is purchased through society. The can milk is purchased
twice a day.
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The following materials are kept in main store. Butter packing materials (BPM)
500ml PM
Toned Milk PM
Full Cream PM
Gastric Soda Plant cleaning materials
Lab Medicines
Veterinary Medicines.
GENERAL MANAGER
DEPUTY GENERAL
MANAGER
STOCK OFFICE
70
SYSTEM STORE
OFFICE
ASSISTANT
The quality control laboratory in Madurai dairy is equipped to analyze and evaluate
the quality of raw milk. The quality is checked at every stage of milk production, processing,
storage and marketing. The quality control department improves the milk and milk products
quality and prevents milk from adulteration. Indian standards institution, agamas and trade
give the approval after checking.
72
CHAPTER IV
OBSERVATIONS
During the training period, trainees observed various functions of all the
departments.
Proper attendance was maintained. Proper leave and exit procedure are in
existence.
Employees are paid salaries promptly on time.
Dairy department is the backbone of the company.
There is no coordination between workers in the organisation.
The workers were late to the work place.
The organisation does not have career development program and there is no
SUGGESTIONS
Madurai district co operative milk producers union limited can make its
environment clean and tidy..
People who are working in the office can maintain discipline.
To avoid the conflict between the employees the organisation can be given
counselling.
The organisation can give awards to the employee who comes earlier to the office.
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CHAPTER V
CONCLUSION
75