RESEARCH MANAGEMENT IN BUSINESS

TOPIC: AMUL (Anand Milk Union Limited.)

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HISTORY OF AMUL
Amul was formally registered on December 14,1946. The brand name Amul,sourcedfromtheSanskritwordAmoolya,means priceless. Itwas suggested by a quality control expert in Anand. The Amul revolution was started asawareness among thefarmers. Itgrew and matured into a protest movement that was channeled towards economicprosperity. It is a dairy cooperative movement in India. Itsbrandname managedbyanapexcooperativeorganization,GujaratC o-operativeMilkMarketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41million milk producers in Gujarat, India. Amul has spurred the WhiteRevolution 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. 6/30/12

Currently Amul has 2.41 million producer members with milk collection average of 5.08 million liters/day. Besides India, Amul has entered overseas markets such asMauritius,UAE,USA, Bangladesh,Australia,China,Singapore,Hong Kong and a few SouthAfricancountries.ItsbidtoenterJapanese market in 1994had not succeeded, but now it has fresh plans of flooding the Japanese markets. Other potential markets being considered includesLanka.

Factory of AMUL IN GUJARAT 6/30/12

Achievement of Amul :
Amul is one the topmost brand in Milk Production. Lets see what Amul achieved in its AMUL history:2.8 million milk producer member families 13,759 village societies 13 District Unions 8.5 million liters of milk procured per day Rs. 150 million disbursed in cash daily GCMMF is the largest cooperative business of small producers with an annual turnover of Rs. 53 billion The Govt. of India has honored Amul with the Best of all categories Rajiv Gandhi National Quality Award. Largest milk handling capacity in Asia Click to edit Master subtitle style Largest Cold Chain Network 48 Sales offices, 3000 Wholesale Distributors, 5 lakh retail outlets Export to 37 countries worth Rs. 150 crores Winner of APEDA award for nine consecutive years

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DRAWBACKS OF AMUL
Perish ability:Pasteurization has overcome this weaknesspartially. UHT gives milk long life. Surely, many new processes will follow to improve milk quality and extend its shelf life. Lackof control over yield:Theoretically, there is little control over milk yield. However,increased awareness of developments like embryo transplant,artificial inseminationand properly managed animal husbandry practices, coupled with higher income to rural milk producers should automatically lead to improvement in milk yields. Logisticsof procurement:Woes of bad roads andinadequate Click to edit Master subtitle style transportation facility make milk procurement problematic. But with the overall economic improvement in India, these problems would also get solved. Problematicdistribution:Yes, all is not well with distribution. But thenif ice creams can be sold virtually at every nook and corner, why cant we sell other dairy products too? Moreover, it is only a matter of time before we see the emergence of a cold chain linking the producer to the refrigerator at the consumers home! 6/30/12

Competition:With so many newcomers entering this industry, competition is becoming tougher day by day. But then competition has to be faced as a ground reality. Milk vendors, the un-organizedsector:Today milk vendors are occupying the pride of place in the industry.Organized dissemination of information about the harm that they are doingto producers and consumers should see a steady decline in their importance.

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BUSINESS LOSSES FACED BY AMUL :The Gujarat Co-operative Milk Marketing Federation (GCMMF), which markets Amul brand products, will absorb the losses incurred in the first year of Sri Lanka project before handing it over to the local authority. GCMMF has expressed its readiness to establish a milk powder plant, with a capacity of processing 2 lakh litre milk per day at an estimated investment of Rs 10 crore. The decision was taken following the visit of Anura Kumara Dissanayake, Sri Lankan minister for agriculture and livestock, in last July. Varghese Kurien, chairman, GCMMF toldBusiness Standard, said: Click to gift to the subtitle style The project is ouredit Master neighboring nation. We are willing to absorb the initial losses during the first year of operations. The GCMMF will make the project viable before handing over the operations to the local agency. The GCMMF is aiming at replicating the Anand pattern in Sri Lanka. The GCMMF also aims at making Sri Lanka self-reliant in dairying and boosting employment opportunities through co-operative model. Traditionally, Sri Lanka has been the major global trader for tea and spices and has not paid much attention on being independent in dairying. The adoption of co-operative dairy model will help the nation become self6/30/12 reliant, said Kurien. The growth of dairy industry will escalate the

GOVT INTERFERNCE :
Interestingly, though Amul was initially a government supported organization, it never followed the typical red-tapism of the inherent to Government. It has turned in to a vibrant, self sufficient, and competitive entity. To the surprises of many experts, it never even allowed MNCs such as Nestle, Unilever etc., who dominate FMCG market in India, to compete with it in dairy products market. The system succeeded mainly because it provides an assured market at remunerative prices forstyle Click to edit Master subtitle producers' milk besides acting as a channel to market the production enhancement package. What's more, it does not disturb the agro-system of the farmers. It also enables the consumer an access to high quality milk and milk products. Contrary to the traditional system, when the profit of the business was cornered by the middlemen, the system ensured that the profit goes to the participants for their socioeconomic upliftment and common good.
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FUTURE PROSPECTS:
Amuls worlds biggest vegetarian cheese brand The Land of sacred cows has become the world's largest producer of vegetarian cheese. India's top dairy co-operative Amul is now the biggest brand for vegetarian cheese as the Global Indian even now prefers desi shuddh taste over the premium Braes and Camembert's . Amul to invest in Sri Lanka NEW DELHI: Amul, the most successful cooperative movement in India, is moving across borders to Pakistan and Sri Lanka. The brand owned by Gujarat Cooperative Milk Marketing Federation Limited (GCMMF) is in discussion with Dairy Association of Pakistan to provide technical assistance for establishing a quality dairy infrastructure in that country. It is also close Click to edit Master subtitle style to finalizing a Rs 10 crore investment deal for setting up a dairy plant in Sri Lanka. Lassi for the people, Amul style AHMEDABAD: In a bid to cash in on the health-drink fad and offer a desi beverage equivalent to the omnipresent cola this summer, Amul is churning out a new drink. The Gujarat-based dairy giant, owned by the Gujarat Cooperative Milk Marketing Federation (GCMMF), is experimenting with the idea of launching 'lassi' in the Indian markets. It has already launched flavored lassi in Ahmadabad on a test-marketing basis. Though Amul preferred to remain tight-lipped about the soft launch of the new product in select outlets 6/30/12 in the city, it has already started charting out the future course of lassi in

Todays consumers demand choice and convenience. They mix and match channels according to their needs for product research, purchase and delivery. As cross-channel shopping behavior grows mainstream, the best way to evaluate and compare retail channels is to gauge their relative impact increasing customer satisfaction and loyalty. Customer satisfaction presents a versatile cross-channel metric to gauge the retailers strengths and weaknesses from the customers point of view. Since satisfaction drives behavior, a more thorough understanding of what Click to edit Master subtitle style drives multi-channel shoppers satisfaction will give retailers the insights they need to influence customer behavior in the short term and long term. In this way, customer satisfaction is harnessed to become a driving force in sales growth and increasing loyalty where each channel is optimized to meet the customers needs and exceed their expectations. Multi-channel retailers, like all retail organizations, have two primary goals: sales and loyalty. These goals assume critical importance during the holiday season when retailers have the opportunity to build their brands, draw in new customers 6/30/12 and strengthen their share of wallet with existing customers customer

CUSTOMER SATISFACTION:

MARKETING STRATEGIES !!! Exporting dairy products to Europe and US is not an easy deal even for

high tech and wealthy corporate as these countries would expect very highest standards as far as milk products are concerned. But, for 65 year old Amul Dairy, which is run by Co-operative Milk Producers' Unions situated in 13districtsof Gujarat, Export to US and Europe is a cake walk. The products of Amul in these Countries have an extreme demand as amul is loved by not only Indians settled there but also by natives. In a survey that is conducted Campaign Magazine, Amul has out powered all India Brands and has attained89thposition among 1000 brands of Asia. It is the third year in a row whereAmulhas featured in the top 100 of the Click to edit Master subtitle style 1,000 Asian brands covered under the survey.

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WIDE VARITIES OF PRODUCTS :

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Amul's product rangeincludes milk powders, milk,butter, ghee,cheese,MastiDahi,Yoghurt,Buttermilkchocolate, ice cream,cream,shrikhand,paneer,gulab jamuns, flavored milk, basundi, Nutramul brand and others. In January 2006, Amul plans to launch India's firstsports drink Stamina, which will be competing withCoca Cola's PoweradeandPepsiCo'sGatorade. In August 2007, Amul introduced Kool Koko, a chocolate milk brand extending its product offering in the milk products segment. Other Amul brands are Amul Kool, a low calorie thirst quenching drink; Masti Butter Milk; Kool Cafe, ready to Click to edit Master subtitle style drink coffee and India's first sports drink Stamina. Amul's sugar-free Pro-Biotic Ice-cream won The International Dairy Federation Marketing Award for 2007.

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DEVELOPED AREAS OF AMUL world's Largest Amul is the largest food brand in India and
Pouched Milk Brand with an annual turnover of US $1050 million (200607).Currently Amul has 2.6 million producer members with milk collection average of 10.16 million liters per day. Besides India, Amul has entered overseas markets such as Mauritius,UAE,USA,Bangladesh,Australia,China, Singapore,Hong Kongand a few SouthAfricancountries. Its bid to enterJapanesemarket in 1994 had not succeeded, but now it has fresh plans of floodingstyle Japanese markets.Other Click to edit Master subtitle the potential markets being considered includes Lanka.

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Distribution Network
Over recent years, your Federation has successfully introduced new product lines. This year, in order to leverage our distribution network strengths, to optimize market supervision expenditures, to achieve increasing efficiency while keeping the distribution infrastructure lean, focused and productive, the Federation amalgamated its different distribution networks. Today, we operate an efficient distribution infrastructure consisting of 46 sales offices, catering to 3,000 distributors and five lace retailers. Almost every Click to edit Master subtitle style Federation stockiest has visited Anand to participate in a unique programmed called 'Amul Yatra'. During this programmed, stockiest are exposed to the Federation Philosophy, the culture of Cooperation, as well as operational Systems and Processes. The Federation has also invited distributor's salesmen from all over the country to Anand for a training program focused on the Federation's philosophy and developing their selling skills. 6/30/12

CHAIN OF DISTRIBUTION :

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Exports
The Federation's export turnover registered a 93 percent increase, over the previous year. Apart from our regular exports of branded, consumer-packed dairy products to the US, Persian Gulf and Far East markets, we exported large quantities of skim and full cream milk powder. Nutramul, Amulya, Mithaimate and Amul paneer were launched in the Gulf countries. New markets like Madagascar, Russia and Saudi Arabia are being developed, building a strong base Click to edit Master subtitle style for the future.

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QUESTIONNAIRE !!!???? ?? M.G. Road, Mulund, SHIV DAIRY, Pach rasta ,Near
Charging extra money for the product Shiv Dairy is a shop of Amul Products. But the product that the shopkeeper give are very much above the price printed on the packet. Like if we want 1liter of milk whose price is Rs 20,then he will give that Amul milk packet of half-half charging Rs 13 each, which means we have to give Rs 26 for 1 liter milk whose printed cost is Rs 20.Same is the case with the Amul Curd. Its actual cost for 200ml curd is Rs 8 but we customer have to pay Rs 10 for every 200ml of curd. As these products are of daily use and we still have to pay extra amount for these product. As the consumption of these product is high in ours home so every day we have to payClick to edit Masterthe printed price. extra amount above subtitle style Even my concern over this issue and repetitively telling the shopkeeper to charge the printed price has gone in vane.

Mumbai :

This shop is near Pach Rasta,Mulund. Shop Name is SHIV DAIRY.

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Hypercity
Arrogant Customer Service
I purchased a couple of fruit items that included packaged melon slices, pineapple slices along with amul milk cream and milkmaid tin. After the payment, I requested the person who does the packing to keep the packaged items in a separate bag which could have got soaked because of the sliced fruit package that was already leaking. This fellow started arguing without budging and this was amongst the other customers at the store. Though the store manager was summoned for, there was little that was done to convince me. It was the usual dialogue "We will look after Click to edit Master subtitle style this" The operations manager was Supriyo and the arrogant employee was Anwar Hussain. This is the first time in 3 years that I had this awful experience. This fellow was yelling at me while I was talking to the person on the counter who makes bill while also in front of this so called operations manager. The guy Supriyo looked no interested in taking this seriously and he just stood there quietly. Hypercity was a shopping point for me every fortnight and this experience is something that I cannot relate to , in 6/30/12 this times where there is nothing big than a customer. This was

Amul, Bhandup (west),

inflation and quality, Im a regular consumer of amul milk. I am satisfied with full cream milk but the prices are high now which creates problem that a low budgeted person cannot buy it. Toned milk prices are also high as compared to quality, quality should be improved. amul butter and Click to edit cheese prices Masteralso high, it should be are subtitle style regulated and reduce.

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Amul also participate in sponsoring the TV shows:

1. 2. 3.

Master Chef Voice Of INDIA Music Ka Maha Muqabala

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Thanking you !!!!

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