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A REPORT ON
BY
SMITA CHOUDHARY
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Management Thesis - I
A REPORT ON
BY
SMITA CHOUDHARY
MBA (III SEMESTER)
Submitted on 07th July 2007
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Management Thesis - I
TABLE OF CONTENTS
Acknowledgement.....................................................4
Preface........................................................................5
Declaration.................................................................6
Company Profile........................................................7
Product portfolio............................................8
From the Managing Director’s Desk.........................10
Who’s who of marketing department.........................11
Introduction................................................................12
Objectives......................................................13
Limitations ....................................................14
List of Tables and Illustrations...................................16
Abbreviations.............................................................17
Summary....................................................................18
Body of thesis............................................................20
Main tasks and targets....................................20
Method of survey...........................................22
Conclusions....................................................24
Survey results.....................................26
Observation about Saras products......32
Observation about Saras dairy...........33
Recommendations..........................................34
Appendix....................................................................36
References..................................................................44
Glossary.....................................................................45
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ACKNOWLEDGEMENT
I express my heartfelt thanks to Mr. J.R. Dhaka, Managing Director, AZDUSS Ltd. for his
direction, help and motivation.
I express my sincere thanks to Mr. Sandeep Kumar Kautish (Faculty Guide), Mr. Amit
Bhattacharya (Company Guide, Plant Manager, Saras Dairy, Alwar [AZDUSS Ltd., Alwar]),
Mr. L.C. Balai (Deputy Manager, Marketing) and Mr. Anil Kumar Mathur (Deputy Manager,
Administration) for their support and cooperation. They provided me their valuable help and
guidance during the training period.
I shall be highly indebted to the staff of the marketing department of Saras Dairy (AZDUSS
Ltd., Alwar) for the moral support they extended to me during the SIP training.
I also thank the booth/parlour owners and the respondents whom I surveyed for giving me
their valuable time and fruitful suggestions.
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Management Thesis - I
PREFACE
Marketing is one of the most important functions in business. It is the discipline required to
understand customers' needs and the benefits they seek.
No study can be termed complete if there is no practical experience. Hence need for training
has become a real necessity. The training aims to prepare students through a process of
practical experience. Practical exposure no doubt has contributed a significant amount of
knowledge to me along with real life experience and was an ideal combination of academic
knowledge and practical experience.
Marketing activities can be regarded as lifeblood of all business concerns. In order to enhance
the performance of marketing department and overall success of a business concern, study of
consumer behavior and their satisfaction, sales and distribution channels, advertisement and
competitive advantages is necessary. The performance of a company is very much important
for an organization.
Saras Dairy, Alwar is in fact a very ideal location to gain practical experience. I am sure the
experience gained in short duration, will go a long way in all my future endeavors.
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Management Thesis - I
DECLARATION
I hereby declare that this project work entitled “A study of performance and growth of
Saras Dairy, Alwar” is my original work, carried out under the guidance of my Faculty
Guide Mr. Sandeep Kumar Kautish and my Company Guide Mr. Amit Bhattacharya.
The facts and figures produced in this report are based on my own experience and study. This
report neither full nor in part has ever been submitted for award of any other degree.
Smita Choudhary
6ND11765
ICFAI National College
Alwar
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Management Thesis - I
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COMPANY PROFILE
Alwar Zila Dugdh Utpadak Sahakari Sangh Ltd., Alwar (AZDUSS Ltd., Alwar) is a
cooperative organization registered under Cooperative Act with Registrar of Cooperative,
Government of Rajasthan. AZDUSS Ltd., Alwar was established in the year 1972 keeping in
mind the interests of the cattle rearers to implement dairy development activities in the Alwar
district, under Operation Flood Program. The task of milk collection started from 22 nd August
1973. The main objective of the organization is to eliminate the role of intermediaries and
give cattle rearers good value for the milk and prevent them from exploitation. The other
objectives of the organization are:
1) To help in financial development of the villages and cattle rearers.
2) To help in the social and financial development of the rural milk producers.
3) To increase the milk producing capacity of the cattle.
4) To make available pure, healthy and high quality milk and milk products to the
customers.
AZDUSS receives direction and assistance from Central Government, State Government,
RCDF Ltd. Jaipur and National Dairy Development Board, Anand from time to time.
Presently the dairy plant has a capacity to process 1.50 lakh litre milk, prepare 10 M.T. milk
powder and 9.0 M.T. ghee per day. Besides these the plant also prepares chhach, lassi, dahi,
shrikhand, paneer and other milk products. The plant also has a capacity to pack 2.50 lakh
litre milk per day.
The Alwar plant of Saras (AZDUSS Ltd., Alwar) has been certified under internationally
accepted quality and food safety management systems in accordance with ISO 9001-2000
with HACCP. The organization also helps in improvement of animal breed, providing animal
health services, insurance of animals, women dairy project and providing vermicompost
manure to the cattle rearers. The organization also provides cattle feed which is purchased
from Nadbai and marketed in Alwar.
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Management Thesis - I
Product Portfolio
Saras Dairy, Alwar (AZDUSS Ltd., Alwar) prepares and markets the following products:
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2) Chhach
a. Plain 500ml
b. Namkeen 250ml
3) Lassi 250ml
4) Ghee ½ litre , 1 litre and 15 litre tin
5) Paneer 200 gm and 1 KG
6) Shrikhand 100 gm Cup
7) Dahi 200 gm Cup
8) Butter (Purchased from Jaipur Dairy, marketed in Alwar) 100 gm and 500
gm
9) Flavored milk (Purchased from Jaipur Dairy, marketed in Alwar) 200 ml Bottle
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Who’s who of Marketing Department
Sales Supervisor
Sales Inspector
Root Supervisors
Skilled Workers
Computer Operators
Fourth Class
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INTRODUCTION
I joined Saras Dairy, Alwar (AZDUSS Ltd., Alwar) as an intern on 19th March 2007. I am
working in the Marketing Department of Saras. My main task was to conduct booth, parlour
and customer surveys.
American Marketing Association (AMA) defines marketing as the process of planning and
executing the conception, pricing, promotion and distribution of ideas, goods and services to
create exchanges that satisfy individual and organizational goals. Marketing deals with
products. Product can be in the form of goods, services or ideas. Marketing is not just selling.
According to Peter Drucker, “The aim of marketing is to make selling superfluous.”
Marketing department is one the most important department in every organization. The
marketing activities of the organization include providing support to the milk unions within
and outside the state. The marketing department conducts various surveys to know the needs
and expectations of the customers.
I was assigned the task to survey parlours, booths and customers of Alwar city.
In Alwar city there are 10 Saras parlours and 315 booths that are currently working.
On the basis of my observation till date I expand the name SARAS as follows:
S – Smart
A – Association
R – Responsible for
A – Authentic
S – Services
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Management Thesis - I
OBJECTIVES
The objectives of the Executive Training at Saras Dairy (AZDUSS Ltd., Alwar) are:
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LIMITATIONS
Any research in any field topic gives some new results, discovering new areas etc. but
there are always some limitations thereof.
The limitations that I came across during the course of my training at Saras (AZDUSS
Ltd., Alwar) are:
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Management Thesis - I
information about the organization. This sometimes became a hurdle during the
training.
11) Non availability of person: In some cases the person is not present at home.
12) Dependence on respondents’ views: The data collected is totally dependent on
respondents’ views, which could be bias in nature.
13) Difficult to recall: It is not possible and economically viable to revisit a person who
was not present at home.
14) Lack of educated and cooperative respondents: Personal interviews are successful
only when the respondents are educated.
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ABBREVIATIONS
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SUMMARY
In this section I present the summary of targets achieved by me and the tasks performed by
me during the SIP training in a tabular form. The supporting documents and the detailed
information are present in the appendix section at the end of the report. This Summary
contains details of tasks done by me from 19th March 2007 to 6th July 2007.
Table 1
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Management Thesis - I
strategies strategies
Note:- I got an Appreciation Letter from my SIP Company (Alwar Zila Dugdh Utpadak
Sahakari Sangh Ltd.) for good performance. Copy of Appreciation Letter is enclosed at the
end of the report.
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Management Thesis - I
BODY OF THESIS
Saras (AZDUSS Ltd., Alwar) is a very large and reputed organization and it gives me
immense pleasure and satisfaction to be associated with such a reputed organization.
The organization maintains state of the art quality and hygiene standards.
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Management Thesis - I
7) To take demand of various Saras products from parlour/booth owners and distributors
through phone or personal contact in the prescribed proforma. To make maximum
people aware of Saras.
8) To organize free testing camps to test the purity of milk.
9) To increase the sale of Saras products.
10) To implement human resource management techniques to increase the satisfaction
level of the employees of AZDUSS Ltd., Alwar.
11) To interview 500 homes in four months to know their views and opinions about Saras
products.
12) To organize plant visit for 250 people in four months to show them the plant and tell
them the processes that the Saras milk undergoes and how different Saras products are
prepared. The purpose of organizing such visits is to tell the people about the many
advantages that Saras offers them like
a. Hygienic plant
b. High nutritional value of its products
c. Good storage facilities
d. Cleanliness of the plant and storage area
13) I was given the responsibility to guide 36 MBA students (working as interns in Saras
Dairy, Alwar) and assign them their tasks and duties on a weekly basis.
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Management Thesis - I
METHOD OF SURVEY
Survey Research
Research is the search for, and retrieval of, existing, discovery or creation of new information
or knowledge for a specific purpose. Research has many categories, from medical research to
literary research. Marketing research is a form of business research.
A survey research is defined as the method of collecting information by asking a set of pre
formulated questions in a predetermined sequence in a structured questionnaire to a sample of
individuals drawn so as to be representative of a defined population.
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Management Thesis - I
I chose the personal interview method for survey research due to the following reasons:
2) Probing: The interviewer in a personal interview can explore the respondent for
complex answers. The detailed information so obtained is very useful to the
researcher.
Questionnaire Design
A questionnaire is a set of questions to be asked from respondents in an interview, with
appropriate instructions indicating which questions are to be asked, and in what order.
Questionnaires are used in various fields of research like survey research and experimental
design.
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CONCLUSIONS
The following pie charts show the opinion about various Saras products.
Figure 1 Figure 2
13% 5%
5%
10%
36% Like very much Like very much
15%
like somew hat like somew hat
neutral neutral
51%
dislike somew hat dislike somew hat
dislike very much dislike very much
29%
18%
18%
Figure 3 Figure 4
3% 10%
10%
24%
Note: The graph only shows the opinion of the people I surveyed and not of the general
public.
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Management Thesis - I
During the training my major work was to conduct booth/parlour surveys and customer
surveys. My efforts have benefited the company (AZDUSS Ltd., Alwar) in the following
ways:
1) I surveyed Saras parlours and booths and tried to find out the problems faced by the
booth/parlour owners.
5) This has resulted in timely supply of material to the booth and parlours and cover
stands and straws were also provided to them.
6) After these actions were taken, customers started getting better facilities and this
enhanced the goodwill of the company (AZDUSS Ltd., Alwar).
7) I also interviewed the staff of the marketing department to judge their satisfaction
level. It proved very beneficial to the head of the organization, the Managing Director,
as he came to know the satisfaction level of the employees of his organization and the
action he needs to take to keep his staff completely satisfied so that they can work
well for the betterment of the organization and remain loyal towards the organization.
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Management Thesis - I
Survey Results
During the course of SIP training I conducted survey of 9 Saras parlours, 205 booths. The
results of the survey are presented graphically as follows:
35
16%
Highly satisfied
102 Very much satisfied
48% Fairly satisfied
Unsatisfied
Highly unsatisfied
63
29%
Figure 5
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Management Thesis - I
I organized plant visit for 250 people during the four months of my SIP training. I explained
them the working of Saras plant. I also told them how Saras products are better than the
products supplied by local vendors and the advantages of using Saras products. Each and
every person gave his/her response and I graphically present their responses using pie chart as
follows:
11 7
23 4% 3%
9%
Highly convinced
29 Very much convinced
12% 119
48% Fairly convinced
Unconvinced
Highly unconvinced
Can’t say
61
24%
Figure 6
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Management Thesis - I
I surveyed 500 people. The people I interviewed were randomly selected from various
colonies of Alwar. Every person has a different opinion, some say Saras products are
excellent, some say they are good, some feel they are poor and some find them average. I
present the result of the survey graphically using pie chart as follows:
12 14
21 2% 3%
4%
66
13% Excellent
Very good
Good
Poor
Very poor
289
58% Can’t say
98
20%
Figure 7
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Management Thesis - I
During the course of my training I surveyed some people who for some or the other reason
are not using Saras products or are unable to use Saras products. The reasons they gave are
presented below in a tabular form.
% of the people
S.No. Factor
surveyed
1 Absence of home delivery 23.6
TOTAL 100
Table 2
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Management Thesis - I
As my project title is “A study of performance and growth of Saras dairy”, therefore I did
a comparative analysis of many factors related to performance and growth of the organization
like number of registered societies, milk procurement, liquid milk sale and turnover from
2001-02 to 2006-07. I represent the statistical figures in a tabular form below:
2003-04 609
2004-05 681
2005-06 742
2006-07 795
2002-03 62.97
2003-04 66.22
2004-05 70.28
2005-06 76.93
2006-07 82.66
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Management Thesis - I
LIQUID MILK SALE
Table 5
2003-04 29.56
2004-05 35.81
2005-06 67.03
2006-07 132.69
2001-02 53.6
2002-03 59.57
2003-04 93.77
2004-05 96.33
2005-06 95.8
2006-07 99.15
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Management Thesis - I
Product
FCM (Gold) √
Toned Milk (Taza) √
Double toned milk √
(Smart)
Skimmed milk (Lite) √
Ghee √
Dahi √
Paneer √
Lassi √
Chhach (Plain) √
Chhach (Namkeen) √
Shrikhand (Plain) √
Flavored Milk √
Table 7
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Management Thesis - I
Now I have completed four months as an intern in Saras Dairy (AZDUSS Ltd., Alwar) and
during these four months as a trainee I carefully observed various aspects of the organization.
Here, I am presenting my observations and findings using the Constant Sum Scale. I have
divided a total of 100 points into various attributes that I observed. The maximum marks that
can be allotted to a factor are 10.
The various attributes that I observed and the points I allocated to each observation are
presented below in tabular format.
Table 8
Total 100
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RECOMMENDATIONS
On careful observation of the Saras dairy during the training period, I have the
following suggestions for Saras dairy, which on proper implementation may provide a
big boost to it.
4) All information regarding Saras dairy and its products should be available on internet.
5) The policy that an organization must follow in order to run successfully is…..
Rule #1
The customer is
always right!
Rule #2
If the customer is
ever wrong, reread
Rule #1
Figure 8
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Management Thesis - I
8) Alwar dairy should give milk producers competitive prices and facilities.
12) To popularize ‘Shrikhand’ free samples may be distributed at some public places.
14) Good coordination between marketing department and booths & parlour owners.
17) New technology should be adopted from national and international company’s experts
in the field.
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APPENDIX
I prepared many questionnaires to perform the survey task assigned to me. These
questionnaires were first shown to the officials of the Saras dairy and after their acceptance
and consent they were implemented to do the assigned task. The various questionnaires
prepared by me to conduct surveys and interviews are enclosed in this section.
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Management Thesis - I
16) Do you think Saras should start the system of home delivery?
Yes No
17) Do you want Saras to introduce any new product?
Yes No
If yes, which types of products?
____________________________________________________________
18) Are you satisfied with the price of Saras Products?
Yes No
If not why and what should be the right price?
_______________________________________________________________
19) Any Suggestions
__________________________________________________________________
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Yes No
16) How do you collect your payment from customers, monthly or cash and carry?
_____________________________________________________________________
17) Do you have any alternative source of electricity in case of power failure to keep
your products safe?
Yes No
18) Do you sell other products (like bread, biscuits, eggs, etc.) along with the Saras
products?
Yes No
19) Are you able to sell the received products daily or you are left with some unsold
products?
Yes No
20) What do you do of the unsold products?
______________________________________________________________________
21) How do you handle the excessive demand for any product?
______________________________________________________________________
22) Does the marketing department of Saras help you in fulfilling the excessive demand?
______________________________________________________________________
23) Does the marketing department of Saras ask about your problems?
Yes No
24) Does the marketing department of Saras solve your problems?
Yes No
25) Any suggestions:
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
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Management Thesis - I
Alwar Zila Dugdh Utpadak Sahakari Sangh Ltd., Alwar
Questionnaire to Obtain Employee Feedback
1) Name : ______________________________________
2) Department : ______________________________________
3) Designation : _____________________________________
4) Address : ______________________________________
______________________________________
______________________________________
5) No. of years in service: ______________________________________
6) Timings : ______________________________________
7) Job responsibility : ______________________________________
8) Satisfaction Level : Extremely Not Satisfied Not Satisfied
Satisfied Very Satisfied Extremely Satisfied
9) Facilities Provided: Medical L.T.A. Loan Facility
Conveyance Allowance Traveling Allowance
House Rent Allowance Welfare Schemes
10) If you get better remuneration and opportunity in some other company will you
leave Saras Dairy, Alwar?
Yes No
11) How much time do you devote for field work in a day?
________________________________________________________________________
12) Are you satisfied with the policies of the company with respect to customer?
Yes No
13) What steps do you take to fulfill the demand for milk when supply is short?
________________________________________________________________________
14) What are the means of advertising you use?
Electronic media Print media Banners Hoardings Door to door
marketing
15) Do you set well defined targets for each booth?
Yes No
16) What are the timings of the booths?
________________________________________________________________________
17) Do you prepare each product marketed by you at the Alwar plant?
Yes No
18) Which products do you purchase from other plants of Saras Dairy?
________________________________________________________________________
19) What do you do with the unsold products left after the date of expiry?
________________________________________________________________________
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20) How do you check the synthetic milk producers operating illegally in the market?
________________________________________________________________________
21) How do you prevent duplicacy of your brand?
________________________________________________________________________
22) Are you exploring the market outside Rajasthan? If yes, where?
________________________________________________________________________
23) Do you get any incentives for meeting the targets?
________________________________________________________________________
24) What mechanism do you use to set prices of your products?
________________________________________________________________________
25) Do you take feedback from the customers?
Yes No
26) Do you organize any camp to solve the problems/grievances of the customers?
Yes No
27) Do you work on holidays also or do you adopt rotation system?
________________________________________________________________________
28) Do you have any plans to launch new products in the market in the near future?
Yes No
29) Do you see any difference between your product and the product coming from the
milk producers?
Yes No
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18) Does any conflict arise between your staff members? If yes, what do you do to
resolve the conflict?
____________________________________________________________________
19) Do you reserve the power to provide monetary benefit or incentive to your staff for
good performance?
Yes No
20) Do you provide training to your staff?
Yes No
21) Do you take feedback from employees?
Yes No
22) How do you keep record of your data?
Electronically Manually Both
23) Do you organize any camps or meetings where Saras parlour and booth owners are
involved and their problems can be heard and solved?
Yes No
24) What measures do you take to ensure smooth functioning of the organization?
_____________________________________________________________________
25) Do you provide any additional benefit/incentive to booth/parlour owners?
Yes No
If yes, what are the conditions that need to be fulfilled by the parlour/booth owners?
___________________________________________________________________
26) Who is responsible for setting prices of Saras products?
____________________________________________________________________
27) Are you aware of the fact that Reliance is entering the dairy industry?
Yes No
28) Have you planned any strategy to counter competition from Reliance?
Yes No
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REFERENCES
The definitions and data used in this report are compiled from the following sources:
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GLOSSARY
1) HACCP: HACCP stands for Hazard Analysis and Critical Control Points. HACCP is
an industry-wide effort approved by the scientific community as well as regulatory
and industry practitioners. This effort is designed to focus specifically on food safety,
including food safety in retail establishments. HACCP, or the Hazard Analysis Critical
Control Point system, is a process control system that identifies where hazards might
occur in the food production process and puts into place stringent actions to take to
prevent the hazards from occurring. By strictly monitoring and controlling each step
of the process, there is less chance for hazards to occur. HACCP is important because
it prioritizes and controls potential hazards in food production. By controlling major
food risks, such as microbiological, chemical and physical contaminants, the industry
can better assure consumers that its products are as safe as good science and
technology allows. By reducing food borne hazards, public health protection is
strengthened.
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