20

A STUDY ON

MARKETING ACTIVITIES OF VISAKHA DAIRY

With special reference to

A Project work submitted to A.U for partial fulfillment for the award of the degree

Of

MASTER OF BUSINESS ADMINISTRATION

Submitted by

SHAREEN KULSUM P.PRATIBHA MONALISA V.S.BHUVANA

G.VIJAYA SAMAIKYA

DEPARTMENT OF COMMERCE AND MANAGEMENT STUDY

(ANDHRA UNIVERSITY)

VISAKHAPATNAM .

(2011-2013

DECLARATION

I hereby declare that this report entitled “AN OBSERVATIONAL STUY ON

MARKETING ACTIVITIES” a study at VISAKHA DAIRY has been prepared by

us in partial fulfillment of the requirements for the award of the degree of

“MASTER OF BUSINESS ADMINISTRATION” Andhra University,

Visakapatnam. I also declare that this observation report is the result of my own

effort and that it has not been submitted to any other university or institution for

any purpose and not published any time.

Place:

Date:

SHAREEN KULSUM

P.PRATIBHA MONALISA

V.S.BHUVANA

G.VIJAYA SAMAIKYA

ACKNOWLEDGEMENT

We would thank VISAKHA DAIRY, Visakhapatnam for giving us this very inspirational

opportunity to do our internship in their reputed company. The company has introduced

us into an entirely new world of Market. We are deeply thankful to Sri. Hari . Asst

Marketing Manager, Visakha Dairy Visakhapatnam , Who had spent his valuable time to

guide us for the completion of our project.

We would also like to extend Our gratitude to all the employees and all the members of

Visakha Dairy Visakhapatnam for their kind co-operation during our stay in the company

in the internship period..

SHAREEN KULSUM

P.PRATIBHA MONALISA

V.S.BHUVANA

G.VIJAYA SAMAIKYA

INDEX

CHAPTER-1:   INDUSTRY PROFILE

UNDERSTANDING RETAIL

OBJECTIVES

METHODOLOGY

CHAPTER-2:   COMPANY PROFILE

CHAPTER-3: OBSERVATIONAL STUDY

CHAPTER-4: SUGGESTIONS

CHAPTER-I CHAPTER-I

RETAIL INDUSTRY PROFILERETAIL INDUSTRY PROFILE

UNDERSTANDING RETAIL

Before understanding the concept of retail let us go through few terminologies

MARKET: Any system or place where parties are engaged in exchange of

either goods or services is called market.

GOODS: Tangible(which can be seen or touched)physical products which

are transferred from seller to buyer to fulfill the latter’s needs are called

goods.

What is Retail?

Retail involves sale of goods from single point(malls, markets, department stores

etc)directly to the consumer in small quantities for his end use.In other words

retailing is nothing but transaction of goods between seller and end user as single

units or small quantities to satisfy the needs of individual and for his direct

consumption.

In this environment Retailers purchase goods in bulk quantities to be sold to the

end user either directly from manufacturer or through wholesaler

THE SUPPLY CHAIN:

Manufacturers…………....Retailers……………Enduser(consumer)

(Wholesalers)

Manufacturers: Manufacturers are the one who are involved in production of

goods with the help of machines, labour and raw material.

Wholesalers: Wholesalers are the one who purchase goods from manufacturers

and sell those goods to the retailers at lower prices. A wholesaler never sell goods

to the end-user.

Retailer: A retailer comes at the end of supply chain who sells the products in

small quantities to the end-user as per the requirement and need. The end-user goes

to the retailer to buy the goods in small quantities to satisfy his needs and demands.

The complete process is called as shopping.

Shopping: The process of purchasing products by the consumer is called as

shopping. However there are certain cases where shopping does not always end in

buying products. Sometimes individuals do go for shopping but return home empty

handed. Such a shopping is merely for fun and is called as window shopping. In

window shopping, individuals generally go to the market, check out various

options and their prices but do not buy anything. This type of shopping break the

monotony.

OBJECTIVE OF THE STUDY

The objetive of the project study to know

To study operations taking place with in the industry.

To study the business development process.

To benchmark the various operations (business development) in marketing

department.

To know how well the company policies and procedures are put into

practice.

To know what generally customer looks for from a service organization.

To offer any suggestion, if any, for the better performance of industry.

METHODOLOGY OF THE STUDY

The methdology of this project runs as stated below. The data was collected from

1. Primary sources

2. Secondary sources

PRIMARY SOURCES:

Obeservation method

Interview method

The primary information is collected by using a structured questionnaire and

also interviews were held with some of the respondents and staff of the

organizations.

SECONDARY SOURCES:

Secondary data was collected through annual reports of the organizations.

The information so collected is tabulated systematically and analyzed meaningfully

by using various statistical techniques wherever necessary. This helped a lot in

making appropriate suggestions and drawing meaningful conclusions.

LIMITATION OF THE STUDY

Respondent’s busy schedule /routines

Respondents were busy with their routines and schedules because of

which they could not respondent properly

Fear of top management may prohibit the employee to give their true

opinion

Confidential documents

Most of the information had been department l, confidential and

as such is not passed on as part of the company

Restricted to area

The study is done In Visakhapatnam city because of which the

observations are taken only from Visakhapatnam.

Indian Dairy Industry: An Overview

As an attribute, the word dairy refers to milk-based products, derivatives and

processes, and the animals and workers involved in their production, A dairy farm

produces milk and a dairy factory processes it into a variety dairy products. These

establishments constitute the dairy industry a component of food industry.

Key challenges of Indian Dairy Industry are as follows:

Ensuring Quality

Procurement and efficiencies in supply chain

Product differentiation and value addition

Milk Production:

India’s milk production increased from 88.1 million tons in 2003-2004 to

100 million tons in 2007-2008

India is the largest producer of milk in the world (Replacing USA)

Per capita availability of milk presently is 231 grams per day, up from 112

grams per day in 1968-1969.

India’s 3.8 percent annual growth of milk production surpasses the 2%

growth in population; the net increases in availability is around 2% per year

Operation Flood:

Launched in 1970, operation flood has helped dairy farmers direct their own

development, placing control of the resources they create in their own hands. A

National Milk Grid links milk producers throught india with consumers in over

700 towns and cities , reducing seasonal and regional price variations while

ensuring that the producers get a major share of the consumers rupee.

The bedrock of operation flood has been village milk producer’s cooperatives,

which procure milk and provide inputs and services, making modern management

and technology available to members. Operation Flood’s objectives include:

Increase milk production

Augment rural incomes

Fair prices for consumers

CHAPTER – II

COMPANY PROFILE

SRI VIJAYAVISAKHA milk Producers Company Limited Profile:

History :

SRI VIJAYAVISAKHA Milk producers Company Limite(Visakha Dairy) is

located on NH-5 opposite to BHPV at visakhapatnam on the road from to

gajuwaka.The dairy complex includes and inputs, effluent treatment plant,

electrical substatin, administration office, staff canteen and residential quarters.

The milk shed of SRI VIJAYAVISAKHA Milk producers Company Limited

Visakhapatnam comprised of three districts Srikakulam, Vizainagaram,

Visakhapatnam. These three districts in the north eastern part of the coastal area of

Andhra Pradesh state and considered to be backward for agricultural and industrial

development. The perennial sources of the water were from irrigation through

rivers lets is also very much limited especially on Visakhapatnam and

Vizainagaram district. Therefore , the rural farmers belonging to small and

marginal categories have necessarily depend on some other source of income for

livelihood.

The government after considering dairying as one of the best instrument

for bringing socio-economic development in the rural areas has started a dairy with

a handling capacity of 1000 liters per day in 1996.The union was registerd under

cooperative act in 1973. After observing the success of the small dairy. The present

new dairy was constructed with initial capacity 50,000 liters with an estimated cost

of rupees 1.37 crores with the assisstance from NCDC,New Delhi and procurement

started increasing year by leaps and bounds. Thanks to the vision and foresight of

the founders, the Visakha dairy, now covering 2744 villages in the districts in 50

villages in Visakhapatnam districts in 1977 is now 2744 villages in three districts

serving 2,07,925 number of milk producers. This union is converted to mutually

aided as at, 1955 with effect from 08-07-1999 and name is changed as

‘SRIVIJAYAVISAKHA district milk producers mutually aided cooperaive union’

the union is converted to company act. 1956 withg effect from 06-01-2006 and its

name is changed as ‘SRI VIJAYAVISAKHA MILK PRODUCERS COMPANY

LIMITED’ the production and procurement started increasing year by year with

more participation of the rural farmers. The handling capacity of Visakha Dairy

has been enhanced from time to time.

MISSION STATEMENT:

Visakha Dairy is commited to enhance the milk Procuremnt through Technical

inputs by providing Quality services to their Member Producers by ensuring

economic viability to improve socioeconomic conditions of our Members. Visakha

Dairy is also commited to supply quality milk and milk products to consumers.

Their Dairy shall become top dairy in the country with its inspired team of

employees. We, the inspired Team of employees are dedicated to Co-operation,

Honesty, Discipline and Time, Quality and purity, Hard working, Tranparency,

Trust and Belief on Organization, Mutual Respect, Skill Development and

education.

QUALITY POLICY:

Visakha Dairy endeavors to be one of the largest processors of milk and

manufacturers of milk products in India. They are committed to provide hygienic,

safe and nutritious products while meeting the statutory and legal requirements to

achieve customer satisfaction and in-turn to improve the economy of our members

producers. To this effect the management is committed to communicate,

implement, maintain and continually improve the Quality and Food Safety

Management Systems in the Dairy.

ACHIEVEMNET:

Visakha Dairy produces many Milk Products to cater to the consumer needs.

It supplies quality milk of different variants round the clock through its 1500

exclusive outlets and became dearer to the consumers because of the quality

and purity. Visakha Dairy's name has become synonymous with quality.

1966 - Started Dairy with as handling capacity of 10000 LPD(Lts. Per Day)

 

operations in Visakhapatnam.1973 - Union registered under cooperatives Act.

1977 -Inauguration of 50000 LPD Visakha Cooperative Modern Dairy. By Sri.Jalagam Vengala Rao Chief Minister of AP.

1980 -Inauguration of 25000 LPD MCC (Milk Chilling Center) at Narasipatnam.

1981 -Joined as member of the AP Dairy Development Coop Federation Ltd. At AP level.

1982 -Operation area of the Union extended to Srikakulam and Vizainagaram districts and the name changed to Sri Vijaya Visakha District Cooperative Milk producers Limited.

1985 -MCC Srikakulam merged with Visakha Coop Dairy & capacity expanded from 12000 to 20000 LPD.

1986 - Expansion 50000 to 100000 LPD.1987 - NMG(National Milk Grid) milk sales started.

1989 -Expansion plant 100000 to 150000 liters per day. Establishment of milk producers & employee’s education, health and medical welfare trust.

1991 - Expansion of 150000 to 200000 LPD.1996 - Inauguration of 30000 LPD chilling center at Vizianagaram.1998 - Inauguration of 13 MT powder plant at Visakhapatnam.

1999 -Converted to Mutually Aided Cooperative Act’95. Name also changed as “Sri Vijaya Visakha District Milk Producers Mutually Aided Cooperative Union Limited”

2000 -Dairy expansion 200000 to 300000 LPD Commenced milk procurement in East Godavari District Commissioning of milk packing station at MCC Kakinada

2001 -Inauguration of Aseptic packing station (APS) Commissioning of milk packing station at Hyderabad & sales started at Rajahmundary & Hyderabad.

2002 -Dairy expansion 300000 to 500000 LPD Inauguration of milk pouch packaging station.

2003 - ISO 9001:2000 & HACCP certification.2004 - Upgradation of HACCP to revised standard.

2006 -Converted to Company Act’56. Name also changed as “Sri Vijaya Visakha Milk Producers Company Limited”

2008 -Inauguration of Aseptic packing station (APS) with New Tetra pak A1 Machine

RETAIL PROFILE:

At present Visakha Dairy have total number of 1500 Milk Booths , out of

Which 410 outlets are selling milk and milk products round the clock. They are

Supplying milk and milk products in three districts of North Coastal Andhra viz,

Srikakulam, Vizianagaram, Visakhapatnam, Kakinada and Tuni also in East

Godavari District. They are distributing milk through 31 routes for a wider

Coverage and accessibility of the public. They have been doing all sort of sales

promotion activities with innovative ideas for development of milk market.

Visakha Dairy retail store offers the complete gamut of milk and milk products.

Product profile includes the following: 

MILK:

Full Cream Milk

Double Toned Milk

Homogenised Milk

Standardised Milk

Toned Milk

Good Milk

Smart Milk

Shakti Milk

MILK PRODUCTS:

These products are also called as Bi-Products.The Bi-Products are as follows

Butter Milk

Lassi

Curd

Mishti Doi

Shrikhand

Butter

Milk Cake

Badam Burfi

Mysore Pak

Doodh Peda

Ghee

Cow Ghee

Paneer

Milk Powder

Zest Flavour Milk

WELFARE ACTIVITIES:

The main aim of the Trust is to extend Medical Health and Educational facilities

particularly to farmers and their families. In this direction the trust has established

a modern hospital fully equipped with the latest technology and employed

specialist and super specialists. Further, it has established schools and colleges for

rural poor and farmer's children.

The Trust's activities are being carried out in 8.25 acres of land in the vicinity of

city of Visakhapatnam. Various social welfare activities have been undertaken

since it's establishment. These activities have been applauded by various

Government officials, Chief Ministers, Parliamentarians, Ministers and other

Public Figures.

ORGANISATION STRUCTURE:

Board Of Management: It consists of the following departments

Field Operation

Plant Projects

Marketing

Finance Accounting

Personal

Management Information System

Civil Project’s

Plant project takes place with the help of following activities

Production

Engineering and Maintains

Elecster section

Quality control

Dispatch