Varghese kurien – role model for amul



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VARGHESE KURIEN – ROLE MODEL FOR AMUL

V. Kurien possessed all professional & management skills which helped to prosper the Amul Company. V. Kurien is considered to be one of the world's great agricultural leaders of this century. The collection of his speeches help to light the way for those who must carry on the battle to ensure greater food security, prosperity, and peace to the world. Dr. Verghese Kurien is the Chairman of India's National Dairy Development Board, the National Cooperative Dairy Federation of India and the Gujarat Cooperative Milk Marketing Federation. His professional life has been dedicated to empowering the Indian farmer through cooperatives. The architect of India's White Revolution, "Operation Flood" work has been recognized by the award of a Padma Bhushan, the Ramon Magsaysay Prize for Community Leadership, the Carnegie-Wateler World Peace Prize, and the World Food Prize. A dream in which regardless of origin, place of birth, occupation, or of language, each Indian has an equal opportunity to share in the nation's blessings, and to contribute to the nation's progress.

Dr. Verghese Kurien, founder chairman of the national dairy development board and founder chairman of Gujarat cooperative milk marketing federation, popularly known for his utterly butterly delicious “AMUL”. He is a businessman, par excellence but it would be quite a narrow classification for a man whose achievements go far beyond the realm of business. He is an excellent businessman, a highly successful chief executive, an institution builder, a social reformer and a socio economic revolutionary. He has achieved a tremendous national and international recognition. The government of India conferred on him the PADMA VIBHUSHAN.

He was the chairman of NDDB since its inception in 1965 and the Gujarat Cooperative Milk Marketing Federation (GCMMF). He has been recognized as the doodhwala from Anand. His life is as study as to how business can start a social revolution. The basic philosophy of ANAND

pattern is to combine India’s greatest asset the power of its people with professional management, in a vertically integrated co-operative structure that establishes a direct contact between those who produce the milk and those who consume it. AMUL products are available throughout the country which is our distribution reach and our turnover exceeds Rs. 3000 crores. He is also a member of the planning commission, vice chancellor, Gujurat Agricultural University, Chairman Gujarat Electricity Board, and Member of the Technology Mission on Dairy Development of the Government of India and continues to be the Chairman of Institute of Rural Management (IRMA).

AMUL – TASTE OF INDIA
INTRODUCTION:-

Amul began the dairy cooperative movement in India and formed an apex cooperative organization, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.2 million milk producers in Gujarat, India. Amul was formally registered on December 14, 1946. The brand name Amul, sourced from the Sanskrit word Amoolya, means priceless. It was suggested by a quality control expert in Anand. Some cite the origin as an acronym to (Anand Milk Union Limited).The Amul revolution was started as awareness among the farmers. It grew and matured into a protest movement that was channeled towards economic prosperity.

ORGANISATION:-

Amul is a dairy cooperative movement in India. It is a brand name managed by an apex cooperative organization, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41 million milk producers in Gujarat, India. It is based in Anand town of Gujarat and has been a sterling example of a co-operative organization's success in the long term. The Amul Pattern has established itself as a uniquely appropriate model for rural development. Amul has spurred the White Revolution of India, which has made India one of the largest milk producers in the world. It is also the world's biggest vegetarian cheese brand. Success of Kaira District Co-operative Milk Producers' Union Limited and setting up of District Co-operative Milk Producers' Unions needed a state-level organization for entire Gujarat. That leads to creation of Gujarat Cooperative Milk Marketing Federation (GCMMF).



RANGE OF PRODUCTS:-

Amul's product range includes milk powders, milk, butter, ghee, cheese, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi, Nutramul brand and others. . Amul Butter, Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya In January 2006, Amul plans to launch India's first sports drink Stamina, which will be competing with Coca Cola's Powerade and PepsiCo's Gatorade.


COMPETITION AND EXPORT:-

In January 2006, Amul plans to launch India's first sports drink Stamina, which will be competing with Coca Cola's Powerade and PepsiCo's Gatorade Amul is the largest food brand in India with an annual turnover of US $868 million (2005-06). Currently Amul has 2.41 million producer members with milk collection average of 5.08 million litres/day. Besides India, Amul has entered overseas markets such as Mauritius, UAE, USA, Bangladesh, Australia, China, Singapore, Hong Kong and a few South African countries. Its bid to enter Japanese market in 1994 had not succeeded, but now it has fresh plans of flooding the Japanese markets. Other potential markets being considered include Sri Lanka.

Dr. V.KURIEN – THE KEY PERSON

Dr Verghese Kurien, the chairman of the GCMMF, is recognized as the man behind the success of Amul. The primary goal of Dr. V. Kurien, Chairman GCMMF, the "Milk Man of India", has been to build a strong Indian society economically through an innovative cooperative network, to provide quality service and products to end-consumers and good returns to the farmer members. Dr. Kurien states, "We have traversed a path that few have dared to. We are continuing on a path that still fewer have the

courage to follow. We must pursue a path that even fewer can dream to pursue. Yet, we must. We hold in trust the aims and aspirations of millions of our countrymen."
REVOLUTIONARY WORK:-

In 1996 Amul was one of the first major organizations in India to have a website. This site has been used both to develop an intranet of Amul distributors as well as a cyber-store for consumers, one of the first examples of e-commerce activity in India. The CEO of Amul, Mr. B M Vyas, recently said, "Amul is not a food company, it is an IT company in the food business". He was recognizing that the most efficient way of building links between milk producers and consumers so as to provide the best returns for both is through IT innovation.

Amul has been able to withstand the onslaught of private and foreign players in the dairy industry and has also been able to export products in limited quantities. The success of Amul resulted in similar organizations being setup by state governments throughout India, most of which had reasonable success. Examples are Vijaya in Andhra Pradesh, Aavin in Tamil Nadu and others.
SITUATION OF FARMERS:-
Over five decades ago, the life of an average farmer in Kheda District was very much like that of his/her counterpart anywhere else in India. His/her income was derived almost entirely from seasonal crops. The income from milk buffaloes was undependable. Private traders and middlemen controlled the marketing and distribution system for the milk. As milk is perishable, farmers were compelled to sell it for whatever they were offered. Often, they had to sell cream and ghee at throw-away prices. In this situation, the private trader made a killing. Gradually, the realization dawned on the

farmers that the exploitation by the trader could be checked only if they marketed their milk themselves. Amul was the result of the realization that they could pool up their milk and work as a cooperative.

KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS UNION:-

The Kaira District Co-operative Milk Producers' Union Limited began pasteurizing milk for the Bombay Milk Scheme in June 1948. By the end of 1948, more than 400 farmers joined in more Village Society, and the quantity of milk handled by one Union increased from 250 to 5,000 liters a day. The success of Amul was instrumental in launching the White Revolution that resulted in increased milk production in India. It is officially termed as Operation Flood by Amul. The breakthrough technology of spray-drying and processing buffalo milk, developed by Mr. H.M. Dalaya, was one of the key factors that contributed to the Revolution.



EXTRA ORDINARY STORY OF AMUL

Every day Amul collects 447,000 litres of milk from 2.12 million farmers (many illiterate), converts the milk into branded, packaged products, and delivers goods worth Rs 6 crore (Rs 60 million) to over 500,000 retail outlets across the country. Its supply chain is easily one of the most complicated in the world. If we are visit to any Amul or Gujarat Cooperative Milk Marketing Federation (GCMMF) office a photograph of Mahatma Gandhi will be missing but we can certainly see one particular photograph showing a long line of Gujarati women waiting patiently for a union truck to come and collect the milk they have brought in shining brass matkas. This makes the farmers or the member of the organization of the organization how to prevent the milk from souring. Hence, Amul takes various initiatives to make the farmer or the producer understand how to provide service to the consumers with the only resource available with them i.e. milk a perishable one. The prominent display of picture states the message” NEVER FORGET YOUR CUSTOMER. IF YOU DON’T SUCCESS IS CERTAIN”

At the time Amul was formed, consumers had limited purchasing power, and modest consumption levels of milk and other dairy products. Being a co-operative organization Amul adopted a low-cost price strategy to make its products affordable and attractive to consumers by guaranteeing them value for money. Amul also introduced higher value products. Beginning with liquid milk, Amul enhanced the product mix through the progressive addition of higher value products while maintaining the desired growth in existing products.

Despite competition in the high value dairy product segments from firms such as Hindustan Lever, Nestle and Britannia, GCMMF ensures that the product mix and the sequence in which Amul introduces its products is consistent with the core philosophy of providing milk at a basic, affordable price.

GUJARAT CO-OPERATIVE MILK MARKETING FEDERATION(GCMMF)
Introduction:-

A group of farmers keen to free themselves from intermediaries and to gain access to markets and to utilize the benefit for their efforts came together in 1946 and formed the Gujarat Cooperative Milk Marketing Federation. The organization is situated in the village of Anand, the Kaira District Milk Cooperative Union (better known as Amul) which has now been expanded exponentially. GCMMF joined hands with other milk cooperatives, and the Gujarat network now covers 2.12 million farmers, 10,411 village level milk collection centers and fourteen district level plants (unions) all under the overall supervision of GCMMF. The GCMMF is been particularly been recognized for the beneficiary of the farmers. The organization mainly helped to transform the small farmers and contribute mainly for the development of the society. Markets, then and even today are primitive and poor in infrastructure. Amul and GCMMF acknowledged that development and growth could not be left to market forces and that proactive intervention was required. Two key requirements were identified that are:


  1. Sustained growth for the long term would depend on matching or maintained balance between supply and demand. It would need heavy investment in the simultaneous development of suppliers and consumers. Effective management of the network and commercial viability would require professional managers and technocrats.

  2. To implement their vision while retaining their focus on farmers, a hierarchical network of cooperatives was developed, this today forms the strong and healthy supply chain behind GCMMF’s endeavors. The vast and complex supply chain stretches from small suppliers to large fragmented markets.

Management of this network is made more complex by the fact that GCMMF is directly responsible only for a small part of the chain, with a number of third party players (distributors, retailers and logistics support providers) playing large roles. Managing this supply chain efficiently is critical as GCMMF's competitive position is driven by low consumer prices supported by a low cost system.

GCMMF: AN OVERVIEW

Gujarat Cooperative Milk Marketing Federation (GCMMF) is India's largest food products marketing organization. It is a state level apex body of milk cooperatives in Gujarat which aims to provide remunerative returns to the farmers and also serve the interest of consumers by providing quality products which are good value for money. The table mentioned drawn below makes us understand about the members in the GCMMF organization, village societies, milk handling capacity and various processes related with the collection capacity





Members:

12 district cooperative milk producers' Union

No. of Producer Members:

2.5 million

No. of Village Societies:

11,962

Total Milk handling capacity:

9.91 million litres per day

Milk collection (Total - 2005-06):

2.28 billion litres

Milk collection (Daily Average 2005-06):

6.3 million litres

Milk Drying Capacity:

511 metric Tons per day


Cattle feed manufacturing Capacity:

2340 Mts per day



GCMMF :- CURRENT SCENARIO
GCMMF is India's largest food products marketing organization. It is a state level apex body of milk cooperatives in Gujarat, which aims to provide remunerative returns to the farmers and also serve the interest of consumers by providing quality products, which are good value for money. GCMMF markets and manages the Amul brand. From mid-1990's Amul has entered areas not related directly to its core business. Its entry into ice cream was regarded as successful due to the large market share it was able to capture within a short period of time - primarily due to the price differential and the brand name. It also entered the Pizza business, where the base and the recipes were made available to restaurant owners who could price it as low as 30 rupees per pizza when the other players were charging upwards of 100 rupees.

The sales turnover of the GCMMF from 1994-2006 is been represented below which helps to get a clear view of the earnings of the company, GCMMF is today nation's largest food company with an annual turnover exceeding Rs 2300 Crores.




Sales Turnover

Rs (million)

US $ (in million)

1994-95


11140

355

1995-96

13790

400

1996-97

15540

450

1997-98

18840

455

1998-99

22192

493

1999-00

22185

493

2000-01

22588

500

2001-02


23365

500

2002-03

27457

575

2003-04

28941

616

2004-05

29225

672

2005-06

37736

850




Innovation at Grass Roots.

One of the members of GCMMF, the Banas dairy, has started a unique initiative called the Internet Sewa Project in their district called Banaskantha. This is a village-level effort at bridging the Digital Divide by providing information kiosks at the Village Cooperative level. Each village has one information kiosk, which is the single point of contact for Internet and other e-governance activities for the co-operative. Official forms, Rural Jobs, Veterinary, Agriculture, and Matrimonial details, educational applications and local market prices with buy & sell options are provided at the information kiosk so that people do not have to travel all the way to the district headquarters for these information.

To improve the farmer members' living standards and to facilitate affordable Internet access services including VOIP Net telephony, the district union has also become a local Internet Service Provider (ISP) using these Village Information Kiosks. Today the services are subsidized but

the goal is for the kiosks to become self-supporting Markets today are primitive and poor in infrastructure. Amul and GCMMF acknowledged that

development and growth could not be left to market forces and that proactive intervention was required. Two key requirements were identified that are:

Sustained growth for the long term would depend on matching or maintained balance between supply and demand. It would need heavy investment in the simultaneous development of suppliers and consumers. Effective management of the network and commercial viability would require professional managers and technocrats.

To implement their vision while retaining their focus on farmers, a hierarchical network of cooperatives was developed, this today forms the strong and healthy supply chain behind GCMMF’s endeavors. The vast and complex supply chain stretches from small suppliers to large fragmented markets.

Management of this network is made more complex by the fact that GCMMF is directly responsible only for a small part of the chain, with a number of third party players (distributors, retailers and logistics support providers) playing large roles. Managing this supply chain efficiently is critical as GCMMF's competitive position is driven by low consumer prices supported by a low cost system.
AWARENESS CREATED BY GCMMF THROUGH MOVIE- MANTHAN:-
Manthan relates the story of a young urban group headed by a veterinary doctor, which is sent by an organization to a poor village in order to help start milk cooperative.

Manthan has been sponsored by 500,000 farmers of Gujarat, constituents of the Gujarat Co-operative Milk Marketing Federation. This is the first time in India that a feature film has been financed by farmers. Several

new trails have been blazed by them; the "Anand Pattern" of dairy development, which today has been adopted all over the country, was also

their contribution. Their dairy cooperatives illustrated how small farmers could triumph over adversity. Appropriately, the theme of "MANTHAN" is the churning up of the social structure when the milk cooperative movement erodes the power of traditional bosses in a village.


AMUL PRODUCTS

AMUL means "priceless" in Sanskrit. The brand name "Amul," from the Sanskrit "Amoolya," was suggested by a quality control expert in Anand. Variants, all meaning "priceless", are found in several Indian languages. Amul products have been in use in millions of homes since 1946. Amul Butter, Amul Milk Powder, Amul Ghee, Amulspray, Amul Cheese, Amul Chocolates, Amul Shrikhand, Amul Ice cream, Nutramul, Amul Milk and Amulya have made Amul a leading food brand in India. (Turnover: Rs. 37.74 billion in 2005-06). Today Amul is a symbol of many things of high-quality products sold at reasonable prices of the genesis of a vast co-operative network of the triumph of indigenous technology of the marketing savvy of a farmers' organization. Amul represents a proven model for dairy development.





  1. Amul Pasteurized Butter

Amul butter is most commonly used in every household. Amul is made from butter common salt and permitted natural colour. It is been marketed from last from 4 decades. Amul butter composes of fresh cream, milk fat, moisture, salt as well as curd in specific proportions. Amul is

standardized product and has BIS specifications. The calorific value is 720 kcal./100g.


  1. AMUL LITE : A Low Fat Low Cholesterol Bread Spread

Unlike Butter & Margarine, Amul Lite is a low-fat, low-calorie & low-cholesterol bread spread, hence a healthier substitute. It contains 26% less fat and calorie content as compared to butter or margarine.




Unlike Butter & Margarine, Amul Lite is a low-fat, low-calorie & low-cholesterol bread spread, hence a healthier substitute. It contains 26% less fat and calorie content as compared to butter or margarine. This product is specifically prepared for diet considering population. It is considered as healthier substitutes as it contain 26% less fat and calorie. Helps to maintain slim and trim without sacrificing. Amul lite is suitable for old age people as the heart disease chances are been reduced. It contains Omega-6 and Omega-3. It helps to maintain healthy and cholesterol levels are kept at minimum. This product is certified by AGMARK for quality. Tastes best with toast, sandwiches and bread. It can also be used for topping on paranthas, paav

bhaji, pulav, khichadi, and soups and also for household baking, preparation of cake etc.



  1. Amul Spray Infant Milk Food




AMULSPRAY INFANT MILK FOOD is made from partially skimmed milk, sugar, minerals and vitamins. Amul has introduced various powder milk products the Amul spray infant milk food is made from partially skimmed milk, sugar, minerals and vitamins It is composed of milk proteins, fats and carbohydrates. It has various vitamins such as A,D,K,B,C and various minerals like calcium, magnesium, phosphorous, iron, copper, iodine. This product is been marketed since 25 years. This product is formulated on guidelines set by Codex Commission of WHO/ FAO




  1. Amul Instant Full Cream Milk Powder





AMUL INSTANT FULL CREAM MILK POWDER (Spray Dried) is made from Toned Milk, Vitamins A, and D. It composes of milk fat 26%, protein 26%, carbohydrates 37%, minerals 6%, and minerals 6%, moisture 3%. This product is highly acceptable product made from the most modern dairy plant through a special formulation. It meets the requirements laid down under PFA rules for processed Cheese Spread.

  1. Amul Emmental Cheese

Amul's Emmental Cheese with holes can be traced back from 1290 AD. The tradition of cheese-making has flourished in the skilled hands of sennen. This famous cheese with a Swiss taste owes its name to the Emmental valley, near Berne in Switzerland.

This famous cheese with a Swiss taste owes its name to the Emmental valley, near Berne in Switzerland. Emmental is actually a `live' cheese, i.e. it has live bacteria, which continue the ripening process, even after the cheese is packed and placed on the retail shelves. However, it is a 100% vegetarian coagulating enzyme. The composition of Emmental cheese is of moisture 43%, fat 46% and salt 1.5% this product is to be stored at ordinary refrigeration temperature i.e. 4 degrees Centigrade to 8 degree Centigrade. Amul Emmental Cheese is available in a 200 gm pack.


  1. AMUL PIZZA CHEESE


Amul, the largest selling brand of Cheese in India, introduced genuine Mozzarella Cheese for the first time. Amul Pizza Cheese has Moist, Soft, Elastic texture and has a very timely surface sheen and when fresh, it has a slightly salty blandish taste and pleasant aroma. Because of its stretch ability, i.e. ability to form strings when hot, this cheese is ideal for preparing Lasagna, Veal Cutlet, Alla Parmagnia and as a topping on pizzas.. Mozzarella
is an excellent source of milk proteins and is palatable to the consumer and institutional segments. It composes of fat, moisture and salt. The Gouda cheese is an excellent taste used for pizza toppings and is widely used in major hotels.

  1. AMUL MALAI PANEER




Technologically, it is equivalent to Cream Cottage Cheese of western products. Amul Malai Paneer is available in already cut cubes form. The best quality Malai Paneer with quality assurance of Amul is the only national brand of Paneer available in India since 1997. It is also exported to US, Gulf as well Singapore & Japan markets regularly.” Richer, Softer, Better" Paneer is made out of fresh milk. Compositions of Amul Malai Paneer are higher fat content (26-27%) and lower moisture content. This gives Amul Malai Paneer smooth, uniform texture and softness that most consumers desire. Diced Paneer is available in three pack sizes viz. 100 g, 200 g & 1 kg pack in heat sealed poly pouches to ensure the best quality.


  1. Amul Pure Ghee.






AMUL PURE GHEE is made from Milk Fat. The composition of Amul is milk fat 99.7% and moisture 0.3%. the calorific value 900 kcal/100g. Amul sagar pure ghee is made from fresh cream. It has a typical rich aroma and granular texture. It is an ethnic product made by dairies with decades of experience being a rich source of Vitamin A, D, E and K. Meets AGMARK SPECIAL GRADE specification of the AGMARK scheme (1938) of Govt. of India.



  1. Mithai Mate











AMUL MITHAI MATE SWEETENED CONDENSED MILK is made from Sugar & Milk solids. It comprises of Sweetened Condensed Milk, Total Milk Solids, Fat, Added Cane Sugar, Partly Skimmed Sweetened Condensed Milk, Total Milk Solids, Fat, and Added Cane Sugar. It is a free flowing product and has a pleasant flavour. The product can be used to manufacture Ice Creams, Confectioneries like Toffees, Biscuits and Sweets. It Meets BIS standards: IS: 1166.
  1. Amul Shrikhand







AMUL SHRIKHAND is made from Chakka, Sugar and flavoring agents/fruits (Elaichi, Saffron, Mango pulp). It contains fat, milk solids, and mango pulp. The Shrikhand is most commonly used at festive occasion as a sweet desert. Most processes are undertaken in order to improve the taste of these Shrikhand and it acts as a auspicious feed during festivals. Shrikhand is a traditional sweet. It is the only pasteurized Shrikhand which is been made from most modern dairy equipment which helps the Shrikhand of an extended shelf life with smooth texture. The calorific value is 260 kcal./100g. the product meets BIS specification No.IS:9532-1980.

  1. Masti Dahi







AMUL MASTI DAHI is made from Pasteurized Toned Milk. Amul mast dahi composes of essential nutrients such as fat 3.5% and SNF 8.5%. This product is available in packaged form. It is produced in a modern processing plant which helps to give a smooth, mild acetic acidic taste and pleasant flavour consistently.

  1. Amul Ice Creams



AMUL ICE CREAM is made from Milk and Milk products, Sugar, Stabilizers & Emulsifiers. It composes of milk fat, total solids, sugar,

acidity, protein etc. Calories present are per 100 ml -196.7 kcal Various verities of Ice Cream can be made from the basic mix by addition of required amount of permissible colors and flavour. Dry fruits and nuts would be used for making premium varieties of Ice Cream. Various flavors of Amul ice-cream are as follows:-

Vanila, Strawberry, Pineapple, Orange, Rose, Mango, Chocolate, Honey-Dew-Melon, Tutti Frutti, Litchi, Kesar Pista, Kaju Draksh, Butterscotch, Chocochips, Rajbhog and Cashew Break.


  1. Amul Mithaee





This is a ready-to-eat product and hence it liked by a majority of people. People prefer to this product than the mix of Gulab Jamuns available. The best quality of the food attracts the people as the nature, moistness and softness is accepted which enforces the people to buy the product.



  1. Gulab Jamun Mix






AMUL MITHAEE GULABJAMUN MIX is made from Whole Milk Powder, Tartaric Acid, and Sodium Bicarbonate. Amul Mithaee Gulabjamun Mix is a mixture of all the required ingredients to produce tasty, softer and delicious Gulabjamuns.The moisture content is more than the fat content.

  1. Amul Chocolates






AMUL CHOCOLATE is made from Sugar, Cocoa Butter, Milk Solids, Chocolate mass. The composition is as follows Milk Fat, Sugar,

Total Fat (Milk Fat + Cocoa Fat), Cocoa Solids, and Milk Solids and meets all requirements under the PFA for boiled sugar confectionary.


  1. Amul Basundi





Ingredients:-

Amul Basundi is concentrated milk based product with added sugar, flavors and condiments and contains Fat - 11%, Milk Solids - 25%, Sugar - 9%. The calorific value is 205 Calories per 100ml. Amul Basundi is available in 500 ml and 1 Liter aseptic Tetra Pack. The Basundi is prepared from best quality, rich in nutrition and free from bacteria. It can be stored in room temperature and maintains a long shelf life(6 months from date of manufacturing ). It is economically priced and available round the year. Amul Basundi is accepted and can be served as can be served as food companion or dessert. It also helps to make Kheer, Payasam, Gajar Halwa, Seviya, Kulfi, Rabdi, Milk Shakes delicious


  1. Nutramul




NUTRAMUL MALTED MILK FOOD Amul's Nutramul has the highest protein content among all the brown beverage powders sold in India and is the only one in India with BIS certification mark. Amul's Nutramul is made from malt extract, milk solids, sugar, cocoa powder, emulsifying agents, sodium bicarbonate and added flavour. It composes of fat carbohydrates starch, sugar protein and cocoa. Carries BIS certification mark IS: 1806-1975 Type II.



  1. Amul Shakti Health Food Drink


Amul Shakti is a unique combination of Milk and natural goodness of Kesar (Saffron) & Almond. Amul Shakti, a complete food in a drink, is ideally balanced for the nourishment and health of the entire family. It contains more of Milk Protein and Milk Calcium which are easily digested and assimilated in the body. Amul Shakti contains essential Amino Acids, Vitamins, Minerals and Micronutrients needed for building up internal immunity and maintaining good health. The product is available in two flavors Kesar-Almond and Chocolate. Amul Shakti contains essential Amino Acids, Vitamins, Minerals and Micronutrients needed for building up internal immunity and maintaining good health. The product is available in two flavors Kesar-Almond and Chocolate and in Glass Jars - 500 gm & 200 gm Refill Boxes - 500 gm & 200 gm Pouches - 50 gm & 25 gm.


AWARDS

Amul has always produced qualitative products. The company maintains its total quality management in order to produce best quality products. The products produced by the company were always been appreciated by the consumers. In fact we can state that Amul has maintained a tradition to improve its performance and get noted amongst the top companies by bagging the most worthy prizes from business ceremony by getting these awards. The list of awards received by Amul for their tremendous performance states the various measures adopted by the company in order to increase the sales. Following are the three big awards which got by Amul for their best performances are:



  • Ramakrishna Bajaj National Quality Awards-2003.

  • International CIO 100 Awards for Resourcefulness.

  • Rajiv Gandhi National Quality Awards-1999.

Ramkrishna Bajaj National Quality Award-2003:-

The Gujarat Co-operative Milk Marketing Federation Ltd. has emerged as the top scorer in the service category of the prestigious IMC Ramkrishna Bajaj National Quality Award - 2003. The Certificate of Merit was presented at a glittering ceremony held at Mumbai on March 11 by the Governor of the Reserve Bank of India, Dr. Y. V. Reddy.

According to Shri B. M. Vyas, Managing Director, GCMMF, this recognition has once again reiterated GCMMF's commitment to quality and excellence. The biggest strength of GCMMF is the trust it has created in the minds of consumers regarding the quality of its products. GCMMF and its brand Amul stand for guaranteed purity for whatever products it produces, he added.

GCMMF has bagged this award for adopting noteworthy quality management practices for logistics and procurement. Over the years, it has established an efficient supply chain that penetrates even the remotest corners of the country. The information systems of the Federation are comprehensive and include details on product quality, delivery performance, supplier quality, disaster recovery and all essential commercial areas, the citation reads.

The Ramakrishna Bajaj National Quality Award is based on framework and principles almost similar to the Malcolm Baldrige Award that is given by the President of the United States to businesses - manufacturing and service, small and large - and to education and healthcare organizations that apply and are judged to be outstanding in seven areas: leadership, strategic planning, customer and market focus, information and analysis, human resource focus, process management, and business results.


Mr. B M Vyas receives the Qimpro Gold Standard Award
Qimpro Platinum Standard, the highest individual honour, has in recent years been awarded to Chandra Mohan, Aditya Birla, Deepak Parekh, F C Kohli, Dr J J Irani, Azim Premji, and Kumar Mangalam Birla. Qimpro Awards are recognized by the ASQ and the Institute of Quality Assurance, UK.

INTERNATIONAL CIO 100 AWARDS FOR RESOURCEFULNESS:-




AMUL - THE TASTE OF INDIA (GCMMF)

receives

INTERNATIONAL CIO 100 AWARD FOR RESOURCEFULNESS

GCMMF is a winner of the prestigious international CIO 100 award from IDG's CIO Magazine, USA. The 2003 CIO 100 award recognizes the organizations around the world that excel in positive business performance through resourceful IT management and best practices.

This CIO International IT excellence Award has recognized the Cooperative Movement & its Leadership under the "Amul" brand, initiated by Dr. V Kurien, Milkman of India, who’s main Motto is to build Indian Society economically & literally strong through innovative cooperative resourceful network, so as to provide quality service & products to the end consumers and good returns to the farmer members.

This award has also given direction that IT need to be encouraged & adopted more & more at grass root level and bridge the digital divide through proper training, re-training so as to bring radical change & benefit to the Indian society.

It has also recognized the Managing Director, Mr. B M Vyas, who has taken IT initiative by setting the direction "GCMMF as IT Company in Food business". It has also inspired all the employees of GCMMF Enterprise to sustain the challenges as a "Change Agent" by excelling their IT skills in order to transform the people around them towards IT Integration (e-Vision) on both the ends of supply chain (Village level Farmer to end consumer). This award also motivated the each & every member dairy, Amul's wholesale distributors, retailers, transporters and suppliers who have supported whole-heartedly the IT initiatives of GCMMF.

The Gujarat Co-operative Milk Marketing Federation (GCMMF) has been honoured at the CIO 100 Symposium & Award Ceremony on August 19, 2003, at the Broad moor in Colorado Springs,

Colorado, USA. Shri Subbarao Hegde, Head of IT had been to USA and received the said Award on behalf of GCMMF.


Rajiv Gandhi National Quality Award – 1999:-
After creating ripples in the market whether it be with a Rs. 20/- Pizza or with a "real" Ice Cream, Amul has once again bagged the biggest prize not only for new product launch for giving a tough fight to best of the food companies in extremely competitive segments. It has now topped as the winner of the "Best of All" Rajiv Gandhi National Quality Award for the year, 1999.
The award which is considered equivalent of Malcolm Baldrige National Quality Award of USA and European Quality Award is the most prestigious award which recognizes achievements of an organization in terms of excellence in business results, business processes, customer satisfaction as well as societal and environmental impact.

In a glittering function organized at Vigyan Bhawan, New Delhi on 12th November, 2001, Shri Shanta Kumar, Hon'ble Minister of Consumer Affairs, Food and Public Distribution gave away the awards to Shri B.M. Vyas, MD of GCMMF.



TOTAL QUALITY MANAGEMENT CONDUCTED BY

AMUL COMPANY

Introduction:-

As AMUL concerned with the manufacturing of perishable products it had a bird eye on the quality of the products produced by the company. In today’s stiff competition it tried to strengthen its functional processes. Emerging trends of liberalization and impact of WTO has led to focus on Total Quality Management. Realizing that unless the TQM initiatives is been accepted by all business partners, the same would remain ineffective. As a very unique measure Amul extended all the TQM initiatives to its business partners whether it was the farmer producer in the village or a wholesale distributor in a metro town or its most sophisticated production unit. A number of TQM initiatives which run successfully across the organization are been mentioned below:-


  1. Kaizen

  2. Housekeeping

  3. Small Group Activities

  4. Hoshin Kanri(Policy Development )

Shri B.M. Vyas, Managing Director, championed this movement realized way back in 1994 that with emerging competition, doing business would become more exciting yet extremely competitive which would require at times not only a whole set of new skills and competencies but quick adaptability to change without much stress or turbulence. The initiation of TQM was to work with the well known quality management initiatives which have proven to be

effective elsewhere to create a culture of transparency, openness and leadership in the organization.



  1. Kaizen:-

Employees of GCMMF have done more than 1.60 lakhs Kaizen since May, 1995 which has impacted in bringing in a culture of continuous improvement.

  1. Housekeeping:-

The housekeeping initiatives have helped keeping the offices/warehouses neat, clean and more productive, be it is the Office premises or the godowns or even Computers.

  1. Small Group Activities :-

150 SGA’S have been carried out in cross functional groups to address the problem and pain areas of the organization i.e. issue of sales, marketing, HR or IT. The organization has implemented a customized ERP for seamless integration of its 40 odd sales offices from Jammu to Port-Blair and Head Office. All its wholesale dealers are computerized and GCMMF is moving on a B2B model for integration interface with its dealers be it for placing order for buying its products, sharing information or for tracking logistic of dispatch/receipt of goods.
  1. Hoshin Kanri(Policy Development):-


GCMMF has also embarked upon for last 4 years, 'Hoshin Kanri' a employment initiative where more than 100 Officers/Heads

participate twice in a year to review its business goals/processes and implement new initiatives. These are further cascaded to the wholesale dealers in different territories in a two day exercise called Vision Mission Strategy (VMS) Workshop. These initiatives have resulted common understanding of goals, eliminating communication barrier.



EFFECTIVENESS:-

The initiative of TQM six years back has made the organization efficient whether it be in launch of brands, or in implementing ERP's or expanding its distribution network. More striking feature of GCMMF's TQM experience is the integration of its business linkages at the village level to the forward linkage through its sales offices/wholesale dealers in the market.


AMUL YATRA

One of the unique initiatives has been in terms of involvement of its wholesale dealers in a common platform to address issues of market/customers. All the wholesale dealers from across the country have visited Anand in a unique programme called "AMUL YATRA". In the next phase, the organization has already started inviting the salesmen of these wholesale dealers for this programme. It also intends to invite the top retailers of various cities/towns to Anand. The purpose is not as much to orient them to GCMMF's business plans, but to inculcate a super-ordinate goal in their heart that when they are associated with AMUL, they are working for a modest

milk producer in the rural hinterland of the country and that is what true progress is about. GCMMF has more than 200 Amul Quality Circles in the country where all the above wholesale Dealers meet in group on every third Saturday of the month to discuss their business, quality initiatives and also pain areas. This has impacted tremendously not only in communication but also in improving the transparency in the organization.

MARKETING & SALES PROMOTION STRATEGY

Looking at the current Indian marketing scenario, we can say that we are moving back in time. Kotler says that in the evolution of marketing, before the marketing concept became popular, there is a selling concept which states that "customers and businesses, if left alone will ordinarily not buy enough of the organizations products. The organization must therefore undertake an aggressive selling and promotion effort" In this present scenario, it is true that companies will survive only if there is a super efficient sales force. The reasons are that increasingly every product is being commoditized and there is an increase in the power of retails, information explosion that has given the consumer an unusual power. This has ensured that without an efficient sales force companies cannot survive.

Even when companies focus on sales effort, concept like segmentation should not be overlooked. For example, there has been lot of effort on increasing credit card usage in India. Credit card now comes free for life and sales people are just selling credit cards like chocolates. Is it not wise to look at whether the consumer wants a credit card? Does he like to use one? Does he have the ability to pay back? Recently a news channel showed a mutual fund agent giving discounts to a client from his brokerage. What does that mean? It simply means that we are not practicing marketing. We are just selling....

Many business gurus’ are saying that,” customers are the god or king of the market”. It can be understood from the fact that the customer is not the king as the companies want the consumer to be loyal. The real fact is that no company regard customer as the king. Everyone in the market cares about the money. Marketing is creating and exchanging goods of value between company objectives are achieved in that process. So what is happening now is this exchange process. Marketers tried to attract customersby treating them well and thus came the cliche “customer is the

King". It is only economics in play. It is now the choice of the customer that whether he wants himself to be treated as a king (and pay for it).

After realizations of the big issue Amul stated to make the marketing and sales promotion strategy to overcome the problem. Amul is the largest co-operative movement in India with 2.2 million milk producers organized in 10,552 co-operative societies in 2003-2004. The country's largest food company, Amul, is the market leader in butter, whole milk, cheese, ice cream, dairy whitener, condensed milk, saturated fats and long life milk. Amul follows a unique business model, which aims at providing 'value for money' products to its consumers, while protecting the interests of the milk-producing farmers who are its suppliers as well as its owners. Despite being a farmers' co-operative, Amul has given multinationals a run for their money. In butter, cheese and saturated fats, Amul has remained the undisputed market leader since its inception in 1955, by offering quality products at competitive prices. In other categories, Amul has nullified its late mover disadvantage through aggressive pricing, better quality, innovative promotion, and superior distribution.



4PS OF AMUL COMPANY:-

  1. PRODUCT:-

Tracks consumer needs & their changing lifestyles, & accordingly develops products to suit their needs. Product quality plays a paramount role & so does packaging.


  1. PRICING:-

The main USP of Amul brand is its low pricing. It hits at the transnationals by reducing its prices on its product portfolio. The competitive advantage is its “backward integration” strategy, which helps substantially in cost reduction.

  1. PLACE:-


Any food company requires a dedicated cool chain network. Amul boasts of the largest cold chain network (18000 refrigerators) in India, as compared to any other company. It is surprising to note that it sells pizzas in rural markets too!


  1. PROMOTION:-

Amul spends very less on its advertising budget, but spends it very effectively. It has the power of an umbrella brand Amul, which is highly respected brand name & enjoy the trust of 1000 million households. Thank to its brand mascot, the Amul girl, the co-operative has been able to get away with spending just one per cent of its revenues on advertising. In contrast, its competitors spends anywhere between 7 to 10 per cent on advertising. Amul positioning is “Value for Money”. It uses the services of Da Cunha Associates & FCB Ulka for its advertising efforts.



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