KARNATAKA MILK FEDERATION DHARWAD.

PRESENTAION ON ORGANISATIONAL STUDY AT

INTRODUCTION ABOUT DAIRY INDUSTRY IN INDIA

Dairy enterprise is an important occupation of farmer. In India nearly 70% of the people depend on agriculture. It is the backbone of India. Dairy is linked with agriculture industry to a large extent.

GROWTH OF DAIRY INDUSTRY IN INDIA

During the Pre-independence year there was no serious stress given to dairy industry. In 1886 the Department of Defense of the British Government established the dairy farms for the supply of milk to the British troops in Alahabad. Later, in 1920 serious steps were taken by Mr. William Smith, an expert in dairy forming to improve the milk production There was discrimination done to the Indians hence this led to the rise of the first milk union in India. In Luck now in 1937 called the Luck now milk producers Co-operative union Ltd.

In 1946 AMUL ( Anand Milk Udyog Ltd ) was started in Gujarat to bring up the economic stability of villagers.

COMPANY PROFILE

Dharwad Milk Union (DMU) came into existence on 3-3-1986.DMU was established under co-operative act on 3-3-1986 at Dharwad and Gadag, Haveri.

Establishment:

The Dharwad Milk Union is Co-operative society among the 13 establishment, under KMF. The Dharwad Milk Union (DMU) is one of the most modern plants in the country. It is located in the spacious 25 acres of land, located in Lakamanahalli Industrial Area, adjacent to the Nation Highway-4. It is patterned the AMUL Milk Dairy, Anand, Gujarat.

VISION OF THE DMU.

•Cleanliness •Discipline•Co-operation.•Transparency.•Total quality maintenance

DMU MISSION STATEMENT

At DMU we Endeavour to satisfy the taste and nutritional requirements of the customers. Through excellence in marketing by DMU committed team, DMU are committed to offering quality products that provide best value for money.

QUALITY POLICY OF DMU.

To ensure pure, hygienic milk and milk products through Continuous improvement of quality standards.

The Karnataka Milk Federation consists of:

UNITSNO.

Milk 13

Dairies 17

Liquid Nitrogen Silos 6

Product Plant 3

Training Center 3

Sperm Station 1

Cattle Feed Plant 4

Pouch Film Plant 1

DMU has various competitors in the milk products market

KrishnaArokyaSpurthiDattaBharath Dairy

Departments of DMU

Purchasing DepartmentQuality Control DepartmentProduction DepartmentProcurement and Input Department (P & I)Finished goods and materials storage Department (FGS)Stores DepartmentSales and Marketing DepartmentFinance and Accounts Department

Price list of milk and milk products.

SL. Products’ name Net Amt Commission MRP

1 Tonned milk/ltr 16.40 0.60 17.00

2 Standard milk/ltr 18.00 1.00 19.00

3 Double tonne milk/ltr 15.00 1.00 16.00

4 Homogenized std milk/ltr 17.00 1.00 18.00

5 Curds 18.00 2.00 20.00

6 Butter milk 11.40 1.60 13.00

7 Peda/kg 116.00 12.00 128.00

8 200ml Ghee 186.36 18.64 205.00

9 500 ml Ghee 180.90 18.10 199.00

10 1000ml Ghee 177.27 17.73 195.00

11 S.F.M/bottle 10.48 1.52 12.00

12 Jamoon mix/200gm pack 27.83 4.17 32.00

14 Mysore pack/kg 196.40 23.60 220.00

15 Paneer 115.00 10.00 125.00

16 Butter 500gm 151.79 18.21 170.00

Strengths

Nandini enjoys good image.

Wide distribution network leads to regular and timely supply.

Milk processed is local milk, which reduces the transportation cost.

It enjoys highest market shares in the packed milk segment .

Weaknesses

Poor retail serving and consumer grievance handling. Recurring quality problem.

Lowest paying brand i.e. commission given by the company is less compared to other brands.

Inadequate sales promotional activity. Due to bad smell that persists causes low sales.

Threats

No entry barriers for private players.

Low level of consumer awareness.

Persuade benefits of competing brand .

Opportunities

There is scope for developing in new area.

Availability of buffalo milk-improves market milk quality.

Predominant of loose milk segment-divide appropriate strategies.

OBSERVATIONS

1. What I observed here that there is a severe lack of consumer awareness about the wide range of products sold.

2. The various private brands have been trying to give a really tough competition by giving the agents high trade margins.

3. The organization is playing an important role in developing the economic viability of the villages.

4. The powder making plant has taken an vital role in Dharwad Milk Union.

5. The retailers were not satisfied about the commission given to them by DMU.

Suggestions

The retailers and dealers should be satisfied with commission and schemes so that they can improve the sales in the market.

The company should come up with new products with different varieties and attributes to attract the customers.

To advertise about all the products in the market.

The organization can build good infrastructure better than these like maintaining good garden etc.

If the company wants to restart the production of “Double Toned Milk”, firstly it has to provide sufficient knowledge and awareness about the attributes of products as compared to others.

FINDINGS

Nandini products have a good brand image.

Pricing strategy of nandini is appreciated by its customers.

Proper training programs are going on from past few years .

Nandini is started with customer contact programs in order to get first hand feedback from its customer and also to improve its products.

Dharwad Milk Union is a reputed organization which has developed its goodwill in the market to compete with other famous brands such as Sphurti, Arokya, Srikrishna etc. It has to adopt modern technology in the production process and can do better marketing compared with others. It has to increase the rate of commission payable to its agents or dealers or retailers.

Last but not the least I would like to conclude DMU as good organization to work as well as to interact with people. All the workers and members of the union nicely motivated me. The Hubli Dharwad retailers and hotel owners co-operated well and supported me in completing and making this project a successfully.

CONCLUSION