amul in rural india

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The Kaira District Co- operative Milk Producers Union Limited, popularly known as Amul Dairy is a US $ 500 million turnover institution It is a institution built up with a network of over 10000 Village Co-operative Societies and 500,000 plus members Managed by an apex cooperative organisation, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41 million milk
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Transcript of amul in rural india

Page 1: amul in rural india

The Kaira District Co-operative Milk Producers Union Limited, popularly known as Amul Dairy is a US $ 500 million turnover institutionIt is a institution built up with a network of over 10000 Village Co-operative Societies and 500,000 plus members

Managed by an apex cooperative organisation, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41 million milk producers in Gujarat, India

Page 2: amul in rural india

• Amul is the largest food brand in India with an annual turnover of US $1068 million (2007-08) •Currently Amul has 3.11 million producer members with milk collection average of 6.04 million litres/day. •Amul is the largest producer of milk and milk products in the world.

Sales Turnover US $ (million)

1994-95 355

1995-96 400

1996-97 450

1997-98 455

1998-99 493

1999-00 493

2000-01 500

2001-02 500

2002-03 575

2003-04 616

2004-05 672

2005-06 850

Amul

2007-08 1068

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Amul’s products range includes milk powders, milk, butter, ghee, cheese, curd, chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, basundi, Nutramul brand and others.

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Product Range Brand Name

Liquid Milk (nine varieties)Milk Powders (five varieties)ButterGhee (two varieties)Bread SpreadCheese (three varieties)Cocoa Products (two varieties)Sweets (three varieties)Ice Cream (several varieties)Condensed MilkEdible Oil (nine varieties)Mineral WaterFruit Drinks

Panel E: Number of BrandsLiquid Milk: AMUL, SAGARMilk Powders: Amulspray,AMUL, SAGAR, Amulspree,AmulyaCocoa Products: AMUL,NutramulEdible Oils: Dhara, LokdharaMineral Water: Jal DharaFruit Drinks: Safal

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Collection ChainSupply Chain

Weighing the milk

Determination of fat content

Calculation of the purchase price

Storing the milk

Processing the milk

Distributing the milk

Amul Strategy

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•AMUL introduced an electronic automatic milk collection system in 691 milk collection centres,

•The system weighs the milk and measures its fat content at the time of delivery to the centre.

•This system reduced time required for collecting the milk.

•It enabled immediate payments to the farmer

AMUL WORKING TO COLLECT MILK

electronic weighing scale

MILK-O-TESTER

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The CYCLE

MILKMAN

COW

DAIRY

DCS

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Farmers

VillageCooperativeSocieties (withChilling Units)

VillageCooperativeSocieties(without ChillingUnits)

LocalRestaurants/Other Milk relatedbusinesses

Milk Sold toVillage &Local Residents

Milk ProcessingUnion &Warehouses

Warehouses

Wholesalers/C&S

Retailers Home DeliveryContractors

CONSUMERS

NetworkServices* VeterinaryServices* AnimalHusbandry* AnimalFeed Factory* Milk CanProducers* AgricultureUniversity* Rural MgmtInstitute* TruckingFacilities

Chilling Plants

CONSUMERS

AMUL SUPPLY CHAIN

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.

Members: 2 district milk producing units Number of Producer Members: 2.5 millionNumber of Village Societies: 11,962Total Milk Handling Capacity: 9.91 million litres per dayTotal Milk Collection: 2.28 billion litresDaily Average Milk Collection 6.3 million litresMilk Drying Capacity: 511 metric tons per dayCattle feed Manufacturing Capacity 2340 metric tons per daySales Turnover: US $868 million

AMUL INFRASTRUCTURE IN RURAL INDIA

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Amul Marketing in Rural Sector in India

Road ShowsRoad Shows

Advertisements on Aakashwani

Advertisements on Aakashwani

Hoardings Posters

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AMUL INICIATIVE IN DEVELOPING RURAL RETAILING

Insurance against natural calamities

Establish telecenters and enhance technology in villages

To charge for each service provided to the supplier

To purchase all milk that member farmers produced

To sell liquid milk at affordable prices so as to serve a large number of consumers

To develop and deliver services that will improve lives of people in the network

To hire professional managers, to run the federation and unions, whose valuesincluded upliftment of rural poor.

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CONCEPT Behind Rural Retailing

•Inspiring Leadership and Consuming Values• Building Networks• Coordination for Competitiveness• Technology for Effectiveness

The Management Paradigm: “Anand Pattern”

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Physique : Taste, Quality

Personality :Simple, Indian

Self-Image :Proud Indian, Fun loving

Reflection :Value Oriented

Culture :Co-operative, Sharing

Relationship :Sociable

WHY AMUL IS ?