KOMUL Was Formed in 23 March 1987 After It Was Divided From Karnataka Milk

INTRODUCTION
KOLAR MILK UNION LIMITED is one of the biggest cooperative Milk unions in South India which is in Kolar district. It is the cooperative apex body in the district representing dairy farmer's organization. Dairy Technology has been defined as that branch of diary science, which deals with the processing of milk and manufacture of milk and manufacture of milk products of milk products of an industrial scale.
KOMUL was formed in 23 march 1987 after it was divided from Karnataka Milk Federation {KMF} and KOMUL has 1463 registered District Cooperative Societies [DCS} in which 1442 are commissioned and 1380 DCS functioning all the DCS are spread over the 11 taluks of Kolar district on the basis of the procurement of milk in that taluk.
Among the DCS registered, 61 DCS are exclusively women DCS
The diary sector has shown remarkable development in these years. More than 2550 million people are economically active in agriculture all over the world. Probably 75% of them are wholly or partially dependent on live stock forming.
The philosophy of KOMUL is to eliminate middlemen and organize institutions to be owned and managed by the milk producers themselves employing professionals, achieving economies of scale to ensure maximum returns to the milk producers, at the same time providing wholesome milk at reasonable price to urban consumers. The basic objective of KOMUL is to build a bridge between masses of rural producers and millions of urban consumers, thus achieving a Socio-economic revolution in the district.
LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.
Kolar District cooperative milk producers' societies union ltd. is Karnataka's highest milk producing district organization. It is a district level apex body of milk cooperatives in Karnataka, which aims to provide remunerative returns to the farmers by eliminating the middlemen and also serve the interest of consumers by providing quality milk and milk products, which are good value for money. - Milk is nature's ideal food for infants and growing children in our country, except in rare cases of lactose intolerance. The important place milk occupies in our diet has been recognized. Since Vedic times, and all modern research has only supported and rein forced this view. In fact, milk is now considered not only desirable but also essential from the time the child is born. The baby is recommended to be bread-fed until it is weaned and there after given cow/buffalo/goat/sheep domesticated mammals milk he or she reaches 12 years of age. The National institute of nutrition has recommended a minimum of 300 grams daily intake of milk for children between 1-3 years of age and 250 grams for those between 10-12 years, if they are vegetarian and 250 and 300 grams for the same age group of non-vegetarian children. In our country, Most such adults consume milk only as whiteners for tea and milk only as whiteners for tea and coffee, some buttermilk.
HISTORY AND EVOLATION
On January 1st 1958 a pilot scheme under the Department of Animal Husbandry, Government of Karnataka was started to cater to the Veterinary Hospitals and Milk Process facilities at National Dairy Research Institute (NDRI). In 1962 the Bangalore Milk Supply Scheme came into existence as an independent body. In June 1974, an interacted project was launched in Karnataka to restructure and recognize the Dairy Industry on the co-operative principle and to lay foundation for a new direction in dairy development. Work on the first ever, World Bank aided Dairy Development Project was initiated in 1975. Initially the project covered 8 southern Districts of Karnataka and Karnataka Development Corporation was set up to implement the project. The multilevel,
multiunit organization with total vertical integration of all dairy development activities was set up with Dairy Co-operative Societies at the grass root level, Milk unions at the middle level and a Dairy Development Corporation at the state level as an apex body, was vested with the responsibility of implementing Rs.51 Crores project. At the end of September 1984, the World Bank aided project ended and the Dairy Development activities continued under Operation Flood-II. The activities were extended to cover the entire state expect coastal Taluks of Uttara Kannada districts and the process of dairy development was continued in the second phase from April, 1984. KMF i.e., Karnataka Milk Federation came into existence in May 1984 as a successor to KDDC i.e., Karnataka Dairy Development Corporation after the closure of Operation flood-III on 31st March 1996.
Bangalore Dairy, a joint venture of UNICEF, Government of India and Government of Karnataka was dedicated to the people of Karnataka on 23rd January 1965 by the then Honble Prime Minister Late Shri Lal Bahadur Shastriji. Sprawling over an area of 52 acres, the Dairy had an initial capacity to process 50,000 liters of Milk per day. This dairy was handed over to the Karnataka Dairy Development Corporation (KDDC) in December 1975 as a part of Rural Milk Scheme of Mysore, Hassan and Kudige under Operation Flood-II and then transferred to Karnataka Milk Federation (KMF) in May 1984 as a successor of SDDC. THE MARKET OF MILK INDUSTRY IN INDIA:
A Beginning in organized milk handling was made in India with the establishment of the Military Dairy Farms (oldest in Allahabad, 1889), the salient features of the market of milk industry so far have been:
1. Handling of milk in co-operative Milk Union (oldest: Allahabad, 1913) established all over the country on a small scale in the early stages.
2. Long distance refrigerator rail-transport of milk form AMUL to Mumbai since 1945. 3. Pasteurization and bottling on a large scale for organized distribution was started as Aarey (1950), Worly (1961), Calcutta (Haringhata, 1959), Delhi (1959), Chennai (1963), etc., 4. Establishment of milk plant under the five-year plan for dairy Development al over India. These were taken up with the dual object of increasing the national level of milk consumption and ensuring better return to the primary milk producer. Their main aim was to produce more, better and cheaper milk.
Actual expenditure of the milk industry in Indias first three Five-year plans:
Plan period I five year plan (1951-55) II Five year plan (1955-61) III five year plan (1961-66)
Expenditure Rs.7.8 Crores Rs. 12 Crores Rs.36.6 Crores
GROWTH & DEVELOPMENT OF THE INDUSTRY:
Until the year 1940, there was very little published information of the method of preparation and use if these products. The credit for the first publication on the subject goes to Dr. W. B. Davis, the first director of Dairy Research. Within a span of three or four decades since Dr. Davis book arrival, considerable research had been conducted at the National Dairy Research Institute and other places on indigenous dairy produces.
Since then on the Dairy Industry had begun to grow at a rapid rate. There has been a tremendous efforts put in by the various organizations to assure good quality milk to the people and the saying of All that is white is pure milk came to existence.
OBJECTIVES OF THE STUDY
To be familiar with the organizational environment. To have a practical exposure of the functioning of the organization. To have practical overview on how the different departments of an organization work together to meet the organization goals and objectives. To be able to spot the strengths and weaknesses of the organization. To be able to find the opportunities that the firm can encase. To be able the spot the threats that the firm is most possibly prone to To critically examine the organizations performances.
COMPANY PROFILE
BACKGROUND Dairy developmental activity in the district was initiated during the Year 1975 under IDA assistance as a part of Kolar Milk Union Ltd {KOMUL} Subsequently the district was bifurcated from an operational area of KOMUL to form a separate Milk Union with the effect from 01-041987. Animal husbandry is the most preferred allied activity in the district, which contributes substantially to the total income of the district and dairy farming forms the major activity under this sector. The total geographical area of Kolar district is 8200 Sq. Km. with 2889 inhabited villages and 26,00,000 average total population. The average annual rainfall in the area is about 750 mm. The total cattle population in the milk shed area is about 6, 79,380 which includes 1, 66,050 crossbred cattle, 3, 65,730 native cattle and 1, 47,600 buffaloes. Presently the daily average milk procurement per DCS is 461 Kgs with a minimum price paid per kg of milk is Rs.8.18/-.
STATUS Kolar District Cooperative Milk Producers Union is registered under Cooperative Societies Act after bifurcation from Bangalore District Cooperative Milk Producers Union from 23.03.1987. The area of operation is restricted to Kolar District only having 2917 village of 11 revenue taluks.
SHARE CAPITAL Union started with a share capital of Rs.8.56 lakhs which was transferred from Bangalore District Milk Union, now the share capital of the union is Rs.7.44 crores.
ORGANISATION OF MPCS As at the end of April 2005 union have registered 1494 MPCS out of which 1402 MPCS are functioning. The functional DCS includes 73 exclusive Women diary cooperative societies.
MEMBERSHIP As on April 2005, the total members enrolled were 2, 82,829 out of which 96,923 are small farmers, 98,679 are marginal farmers, 46,852 are landless labourers and others are 40,375. Out of total membership 67,365 are women members, 39,693 Scheduled Caste and 29,148 are Scheduled Tribe Members.
MILK PROCUREMENT During the month of April 2005 union has procured an average of 7.75 lakhs Kgs of milk per day and 7.25 lakhs of milk per day is the highest procured since inception of union.
DCS-ROLE AND FUNCTIONS DCS is the basic organizational unit functioning at the village level. These societies are organized on cooperative principle and they practice democracy. DCS gives training to the local people to organize and manage the activities and thus the development of local leadership is also promoted. All milk cattle owners are eligible to become members of the DCS. KOMUL has 1380 DCS functioning in all taluks of the district.
The DCS functions daily and acts as a marketing outlet for the milk produced in the village. Input facilities, which include, veterinary, first-aid sale of cattle feed, supply of fodder seeds, seedlings, provision of mobile and emergency veterinary healthcare, dissemination of know-how etc., are also channelised to the Dairy farmers through these societies. Payment for the purchased milk is also arranged through the Society. A string of DCS is organized to form a milk procurement route linked to chilling center or the Dairy.
KOMUL has 1463-registered District Cooperative Societies [DCS] in which 1442 are commissioned and 1380 DCS functioning. All the DCS are spread over the 11 taluks of Kolar district on the basis of the procurement of milk in that taluk. Among the DCS registered, 61 DCS are exclusively women DCS. KOMUL, presently union has full-fledged dairy at Kolar with an installed capacity of 2.0 LLPD and three chilling centers at Chintamani, Sadli and Gowribidanur with 1.0 LLPD capacity each respectively. These chilling centers have the capacity of 1, 60,000 ltrs, 60,000 Itrs and 60,000 ltrs respectively. KOMUL itself has the capacity of 1, 80,000 ltrs.
No of villages covered DCS DCS- Registered DCS-Commissioned DCS-Functioning No of Women DCS-registered No of Women DCS-Functioning Total Members Enrolled Small Fanners Marginal Farmers Land Less Labourers Others SC ST Women
2,638 1,463 1,442 1,380 65 61 2,82,829 96,923 98,679 46,852 40,375 39,693 29,148 67,365
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No of Members Pouring Milk No of Non-Members Pouring Milk Total Milk Procurement in One Month [October] Average Procurement Per Day Average FAT & SNF Rate of Milk Producers Total No of Routes to procure Milk Transportation cost per month
67,170 1,870 1,90,34,157
6,14,005 4.20% & 8. 54% 8.60 paise per liter 88 1,19,81,923
DAIRY COOPERATIVE SOCIETIES(DCS) DCS ROLES Dairy cooperative society is a basic organization unit functioning at the village level. Democracy is practiced at the grass root level in the societies that are organized on the cooperative principles. Training local people to organize and manage the activities, village level institution promote building and development of local leadership. All milk cattle owners are eligible to become members of the dairy cooperative societies.
DCS FUNCTIONS The DCS functions daily and acts as a marketing outlet for the milk produced in the village. Input facilities are also canalized to the dairy farmers through these societies and include veterinary first aid, sold of cattle feed, supply of fodder seeds, seedlings, provision of mobile and emergency veterinary health cover, disseminations of know how etc, payment for the milk purchased is also arranged through the society. A string of DCS is organized to form a milk procurement route linked to chilling center or a diary.
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MILK UNION SCOPE OF UNION:Union is the middle tier of the complex cooperative organization network. Unions are formed by federating the societies in earn marked geographical area. The milk unions are organized to make them economically viable and the jurisdiction extends from one district to three districts. There are five milk unions whose jurisdiction covers a single district; four unions cover two districts each, and three union's covers districts and one union's territory extended to four districts. All unions own their milk processing facilities.
FUNCTIONS OF THE UNION:DCS are grouped at the district level into cooperative milk producer's union. The unions organize new DCS, assist DCS with their management including audit of accounts, supervise, purchase, process and market the liquid milk. Provisions of input facilities are also organized by the union and canalized to the diary farmers through DCS. The input facilities include supply of cattle feed, fodder, Al, veterinary services, training and know how on scientific animal husbandry. PRODUCT PROFILE
The Product portfolio of KOMUL is three-dimensional that is it has consistency. Breadth is measured by the variety of KOMUL in its product
breadth, depth and
products manufactured. Thus the breadth of
portfolio is 5 that is KOMUL deals with the products such as liquid
sachets, peda, curds sachets, ghee and butter milk. Depth refers to the assortment of different sizes, weight models offered within each product. The depth in the products of KOMUL can be listed as below:
1. Liquid Milk:
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Standard Milk
1000 ml sachets 500 ml sachets 1000 ml sachets 500 ml sachets 500 ml sachets 10 250 pieces in a box Gms
Toned Milk
Good Life Milk 2. Peda:
3. Curds:
200 500
ml sachets ml sachets
4. Ghee:
200 ml sachets 500 ml sachets 1000 ml sachets 15 kg Tin
5. Butter Milk
200 ml sachets
KOMUL'S MILK AND MILK PRODUCTS PROFILE
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The following are the varieties of milk and milk products presently processed and packed at Kolar Dairy
MILK Toned Milk Standardized Milk Full Creak Milk Nandini Good Life Nandini Smart Nandini Slim Good Life
MILK PRODUCTS Ghee Peda Curd Butter Milk Cheese (Processed) Paneer Masti Dahi
Thus the product portfolio of KOMUL shows the horizontal product diversification, which indicates the introduction of closely related products. Such diversification is beneficial to the firm, as it helps the firm in its survival, growth, stability and even in productive use of resources.
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ORGANISATION OBJECTIVES
1. A strong to organize dairy co-operative societies at village level and dissemination like good dairy husbandry and breeding practices and clean milk production through Extension services. 2. To provide assured market & remunerative price for the milk produced by the farmer members of the co-operative societies. 3. To provide quality milk and milk products to urban consumers at competitive prices.
4. To facilitate rural development by providing opportunities for self-employment at village level, thereby preventing migration to urban areas, introduce cash economy & opportunity for steady income. 5. To provide technical inputs like veterinary services, artificial insemination, supply of balanced cattle feed & seed materials etc., to milk producers. 6. To transfer maximum portion of the milk price to the poor milk producing farmers. 7. To support a service-oriented co-operative movement instead of a profit-oriented private company. The philosophy of these co-operative milk producers organization is to eliminate middle men, and organize institutions owned and managed by the milk producers them selves, by employing professionals, at the same time, providing wholesome milk at reasonable price to the urban consumers. Ultimately, the complex network of co-operative organization should build bridge between masses of rural producers and millions of urban consumers and achieve a socioeconomic revolution in the vicinity of the territory.
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Milk procurement is 7.0 lakhs ltrs per day
1. Women membership at 30% of total membership. 2. Liquid milk sales at 2.0 lakhs Itrs per day. 3. UHT milk sales to 50,000 ltrs per day. 4. Cattle Feed sales to 20,000 MT per year. 5. Share capital to 10.0 crores. 6. Processing capacity will be increased to 3.0 LLPD. 7. Chilling centers capacity to 4.0 LLPD. 8. To cover 80% of DCS under Artificial Insemination. 9. To cover 50% of Societies with 'clean milk production awareness program.
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BOARD OF DIRECTORS PRESIDENT

MANAGEMENT DIRECTOR
ASST Mgr Tetrapak
ORGANISATION CHART
Dy Mgr purchase
Dy. Mgr Finance Dy Mgr Quality Contral Dy Mgr Markting Dy Mgr Dairy Dy Mgr Administ ration
MANAGE R (P & I)
Assistant Technical Officer
Assistant Dy Mgr Head Quarters Dy Mgr Veterina ry Dy Mgr Feed & Fodder Dy Mgr of 11 Taluks Asst Mgr Producti on Asst Mgr Veterina ry Camp Officer Extensio n Officer Asst Mgr Service Assistant
Incharge Chilling centers
Dy Mgr of 11 Taluks
Asst Mgr Producti on
Assistant
Technica l Officer
Operator s Free- Audit Wing Asst Mgr Finance Superintendent Admn Superntndent Head Grd Security
MIS Officer

Assistant
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Assistant
Security Member
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The organization has been structured on cooperative principles and consists of three tier systems.
FEDERATIONS (STATE LEVEL)
UNIONS (DISTRICT LEVEL)
DISTRICT COOPERATIVE SOCIETIES (AT VILLAGE LEVEL)
ORGANISATION AT KOMUL The entire president who have selected at grass root level will become the directors of the Union. The board of directors will elect one person as chairman of the Union. He and the board will hold responsibility for organizing the operation of union.
LEVELS OF MANAGEMENT The organization has got three levels of management:
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TOP LEVEL It includes board of directors, chairman, managing director and chief general manager and senior executive come under this level. They are concerned in determining policies, plans and procedures of the Union.
MIDDLE LEVEL It includes all the department heads. Such as General Manager for personnel, Financial and for Processing Department.
LOWER LEVEL It includes all the clerks and employee working under different department. These clerks and employees are working under the guidance and control of the departmental heads i.e., of General Manager.
Manager (procure and input) comes to the "Managing Directors". Assistant Manager (Agriculture), Assistant Manager (P&I), Assistant Manager (Veterinary) will assist the Manager (P&I). Officer on the special duty is appointed by National Dairy Development Board (NDDB) will act all the 'General Manager'. General Manager stands next to Manager (P&I). This is the peculiar system in KOMUL.
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BOARD OF DIRECTORS
The Board of KOMUL constitutes 5 official members and 11 non-official members. The official members include Managing Director elected by Non-official members, a nominee of National Dairy Development Board and a nominee of Karnataka Milk Federation, Deputy Registrar of Cooperative societies and Deputy Director of Animal Husbandry. The non-official directors are elected by the members of each taluk thus forming 11 directors, elected from among the presidents of all the presidents of all the DCS of Kolar District.
LIST OF THE DIRECTORS:-
Official Members:
1. Mr. Ramakrishna 2. Mr. R. Narayana Reddy
Managing Director Nominee of NDDB 21
3. K. Yashodamma. 4. Mr. Jayaprakash Reddy
Nominee of KMF Deputy Registrar of Cooperative Societies
5. Mr. B. Mimivenkatappa
Deputy
Registrar
of
Animal Husbandry Non-Official Members: 1) Mr. KV. Nagaraj 2) Mr.Manjunatha Reddy 3) Mr. K. Gudiyappa 4) Mr. Jaya Simha Krishnappa 5) Mr. R. Krishnappa 6) Mr. TN. Rajgopal 7) Mr. K.Ramaiah 8) Mr. S. Ramesh 9) Mr.K.S.Nagaraj 10) Mr.K.Ashwath Reddy 11) Mr. C. Munivenkatappa Chikkballapur Bagepalli Sidlaghatta Bangarpet Kolar Chintamani Malur Gowribidanur Mulbagal Gudibande Srinivasapur
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DIFFERENT FUNCTIONAL AREAS OF KOMUL
INTRODUCTION:-
Departmentation is the process of groups the various activities into separate units of department. A department is a district section of the business establishment concern with a particular group of business activities of like nature. In business units department is necessary for sub dividing the activities and easy reference. Departmentation in KOMUL is done on the basis of function i.e. grouping of the activities in to major functional departments like Production, Sale, Purchase, Personnel, Accounts, etc.
DEPARTMENTS
The KOMUL is the following department on the basis function of the organization. These departments are: 1. Procurement and Input Department 2. Purchase Department 3. Production Department 4. Quality Control Department 5. Marketing Department 6. Finance Department 7. Management Information System Department 8. Administration and Personnel Department
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PROCUREMENT AND INPUT DEPARTMENT STRUCTURE
Manager P & I
Dy Manager (H &O) {STEP}
Dy Manager Feed & Fodder

Agricultural Officers
Dy Mgrs/Asst. Mgrs Of 11 Taluks

Extension Officers
Dy. Manager Veterinary

Asst Manager Veterinary
Extension Officers
Assistants
Assistants
Assistants
Assistants
This Department is concerned with the functions of procurement of milk, providing of Feed and Fodder to the members, establishment of women DCS, providing of veterinary facilities to the members.
Milk Procurement
Raw material is the basic requirement of every organization. The raw material for all the products of KOMUL is 'MILK'. The societies situated in the villages procures milk from the
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members pourers and non-member pourers everyday and in turn transports to the chilling centers of Gowribidanur, Chintamani, Sadali and Kolar. The chilling centers other than Kolar chilling center is concerned only with chilling of milk and then transporting to the required dairies.
MILK PROCRUMENT (Avg. YEARS 1993-1994 1994-1995 1995-1996 1996-1997 1997-1998 1998-1999 1999-2000 2000-2001 2001-2002 2002-2003 2003-2004 Kgs/Day) 2,92,033 3.09.318 3.16.020 3.64.991 3.65.579 3.94.862 4.63.100 4.97.115 5.38.261 5.57.882 5.64.618
MILK SALES (Avg. ltes/Day) -------------------------------48.971 58.800 29.283 68.237 34.015 44.146 19.621 67.360
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2004-2005 2005-2006
6.56.283 6.55.829
91.665 1.14.377
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INPUT DEPARTMENT
TECHNICAL INPUT PROGRAMMES
Technical Input Programmed is one of the major components of the Union for enhancing milk production. Union has well-established input sections to meet the needs of its member producers. Various technical input activities that are being provided to member producers include facilities such as Emergency Visit Service, Animal Health Camps, Artificial Insemination Centers, First-Aid Centers, Animal Disease Diagnostic Laboratory, Mass Vaccination Programmer against FMD, Vaccination Programmed against Theileriasis and Brucellosis, Supply of Semen Straws, Replenishment of Liquid Nitrogen, Supply of Balanced Cattle feed, Seeds of multi-crop varieties, Seasonal Crops and Legumes, Hybrid variety Root slips, Chaff cutters etc., besides Extension activities such as organizing Cattle show and Milking competition, Audio visual shows, village meetings and arranging visits of member producers to main dairy, cattle feed plant, artificial insemination centers etc.
The above-mentioned Procurement and Input (P & I) activities of the Union is decentralized to 11 taluks of the district where Deputy Manager is posted at each taluk. Technical services like supply of semen straws and replenishment of Liquid Nitrogen to DCS are being monitored by Central Office at Kolar.
EMERGENCY SERVICE
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Union is providing Emergency Visit Service from the sub center at each taluk level. As on today it is operating about 19 Emergency Visit route vehicles (which include Animal Health Camp routes too).
ANIMAL HEALTH CAMP
From all sub centers at taluk level, the Union is operating Animal Health Camp routes to almost all DCS. At present there are about 10 Animal Health Camp routes. This facility is planned in such a way that each AI center and Non-AI center should get its visit repeated once in every three months and six months respectively. Presently, this service to member producers is being provided at free of cost.
ARTIFICIAL INSEMINATION CENTERS
Union is operating two kinds of Artificial Insemination (AI) centers namely, the Single AI centers and Cluster AI centers. This service is being carried out by the trained staff of the DCS - usually the resident of same village, so that the facility is made available round the clock as and when the animal reported to be in heat. In single AI center concept, in order to get the animals artificially inseminated, the member producers of that particular DCS have to bring their animals towards AI center. The cluster AI center is the concept wherein which a string of NonAI centers will be attached to one AI center and a trained Inseminator with a mobile (Moped) facility, discharges his service at the doorsteps of member producers.
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FIRST-AID CENTERS:
Union is supplying few selected drugs related to First-aid therapy to majority of its DCS. Suitably trained First-Aid worker, usually the resident of same village where DCS is located will be appointed to take up initial treatment till such time, the emergency service of a qualified Veterinarian is made available. First-Aid trainer has to procure the First-Aid drugs from sub center at taluks level and he has to maintain First-Aid drug's stock book at DCS level.
VACCINATION PROGRAMME:
It is also rewarding that the Union has taken up mass vaccination programmer against Foot and Mouth Disease (FMD) to prevent its periodical outbreaks. Similarly vaccination programmed against Theileriasis is also being taken up to prevent its incidences. Every year these vaccination programmers are being carried out at regular intervals during the months of October and November against FMD and during December against Theileriasis. A corpus fund has been generated at Union level to meet the cost of vaccinations against FMD and Theileriasis. Under the project BBPCP, the Union is also undertaking vaccination programmer against Brucellosis, in Dairy Cooperative Societies which are found positive for Brucellosis.
MASTITIS CONTROL PROGRAMME
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Kolar district is crossbred dominated area. Mastitis is commonly encountered in high yielder due to the bad manage mental practices. Based on our statistics more than 30% of the cases we treat in the field are belonging to Mastitis. Though, Union is spending huge amount for treating these cases, few cases fail to respond for the treatment leading to fibrosis of infected quarter/s wherein which the milk producing capacity of the quarter/s become totally nil. Hence as the says goes prevention is , better than cure, the Union has taken up Mastitis Control Programmer in which each member producer has to buy one bottle of Dipal solution (supplied by M/s De-Laval Ltd.,) and a Dip-cup specially designed for dipping tests. The unit cost of each set is around Rs.143/-. In the same programmer, the member producers are also being supplied with booklets containing strips of pH paper called Mastech (supplied by M/s IIL), with the help of which one can detect Mastitis at an early stage of infection.
ANIMAL DISEASE DIAGNOSTIC LABORATORY
It is well known that the diagnosis is an important tool for the treatment and control of diseases. Unlike human beings animals are not able to express their feelings when they are at sick. Treating the disease just based on symptomatology is of no value as symptoms in many
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diseases are alike. Hence the Union has started one Animal Disease Diagnostic Laboratory (ADDL) in its operational area. Among 11 taluks of Kolar district Chintamani is geographically centrally located. It is therefore the laboratory is started at Chintamani Chilling Center Campus. This laboratory has facilities to undertake routine Hematological, Parasitological, Bacteriological, Screening of animals in addition to examination of Dung samples for Parasitic ova, skin scraping for external parasites and anti-biotic sensitivity test against infectious agents causing Mastitis, Metritis etc.
CATTLE FEED AND FODDER ACTIVITIES
In order to improve milk production, the Union is also paying maximum attention towards the management and feeding conditions of dairy animals. The balanced cattle feed procured from Federation's Rajanakunte Feed Plant is being sold to DCS on credit basis and the amount is being recovered from milk bills on monthly basis. The Union has storage facilities for Cattle feed at Kolar, chilling centers at Sadali and Gowribidanur and sub office at Mulbagal.
For cultivation of fodder, the Union is also supplying Legume seeds and Non-Legume root slips to its member producers at 100% and 75% subsidy respectively. Seeds related to seasonal crops such as Maize,
African tall grass and Sorghum Sudan multi cut variety are also being supplied for fodder cultivation purpose.
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CLEAN MILK PRODUCTION:
Today India is world's highest milk producing country. It has surpassed USA by producing over 70 million tons of milk per annum. It is in the top of the list only with respect to quantity; but quality wise it is in the bottom of the list. The milk industry in the advanced dairying countries of the world today it reached a high level of sanitary production, transportation, processing and distribution. It has become imperative for India to export milk and milk products to other countries. This demands quality milk that meets the needs of International standards. With this objective, the Kolar Milk Union Ltd. (KOMUL) implemented a project for quality raw milk production at farmer level and aseptic measures to be adopted at village DCS level and dairy plant level.
COMMUNITY MACHINE MILKING CENTERS
The sources of contamination of milk at farmer level are interior of udder, exterior of the cow particularly udder and flanks, barn air and dust, flies and other vermin, the milkier, utensils, feed, water used for cleaning of udder and utensils etc. Hence the Union felt machine milking as one of the concepts in clean milk production. Under the programme Community Machine Milking Centers the Union on experimental basis installed milking machines at Shillangere and Hospet Dairy Cooperative Societies. These milking machines have been provided at the rate of Rs. 1.45 lakhs per unit as interest free loan to be recovered over a period of seven years.
AUTOMATIC MILK COLLECTION UNITS
Installation of Automatic Milk Collection Units (AMCU) at village DCS is yet another programmer implemented by the Union for having quality milk at DCS level. AMC Unit refers
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to a personnel computer based Automatic Milk Collection Unit. The other accessories of the Unit include printer, weighing balance and electronic milk tester. Collection of milk with this system is advantageous in that, it helps to overcome manual errors of weighing and testing of milk for fat. Further it also offers an opportunity for computerization of DCS activities. Union so far installed a total number of 83 AMC Units in few selected DCS. These assemblies have been supplied at the rate of Rs. 1.60 lakhs per unit.
BULK MILK COOLER UNITS :
Installation of chilling units called Bulk Milk Coolers (BMC) at DCS level in one of the most important programmes (Under CMP) implemented by the Union to improve the quality of raw milk. It is first of its kind in the entire Karnataka that the Kolar Milk Union Ltd. Started installing these chilling units at village DCS level. His unit is known to maintain the quality of raw milk by bringing down its temperature to 4 degrees Celsius. Other measures taken by the Union to improve the quality of raw milk under the project Clean Milk Production (CMP) include supply of detergents, stainless steel (SS) trays, SS measuring sets to DCS, supply of SS vessels and extension materials on CMP to producers and training programmer on CMP to producers and DCS staff.
WOMEN DAIRY COOPERATIVE SOCIETIES:

In order to help the women entrepreneurs in milk production activity DCS exclusively for women were opened in the jurisdiction of KOMUL, Union so far has organized 57 Women Dairy Cooperative Societies (WDCS) and are spread all over the district. As on today 3265 women producer members have enrolled their names for membership from a total number of 57 WDCS and 1700 members among these constitute pouring women members. The daily average milk procurement of WDCS is 200 Kgs.
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Support to Training and Employment Programme (STEP) for women refers to a scheme introduced by the Union, under the joint venture of state and central governments (Minister of Human Resources) during the year 1997. Out of 57 WDCS organized so far 41 are belonging to STEP category and the rest 16 are belonging to Non-STEP category. Presently 9 WDCS are providing artificial insemination facility to the crossbred cows / buffaloes belonging to the lady member producers of their societies through adequately trained lady inseminators. Under the scheme STEP small voluntary groups called Self Help Groups (SHG) have also been made. Presently, the Union has got 44 SHGs for its credit and these SHGs have made an accumulated savings of about Rs.3 lakhs
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PURCHASE DEPARTMENT AND STORES DEPARTMENT

MANAGING DIRECTOR
GENERAL MANAGER ( TECH)
GENARAL MANAGER (P & S )
DEPUTY MANAGER
PURCHASE OFFICER
AA I
AA II
HELPER
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Purchase department is concerned with purchase of materials required for the manufacture of the products, other than milk. The purchase department in KOMUL is not purchasing any material itself, it interact between the union and the district cooperative societies in purchasing the goals and services. The term material includes the group of raw materials, spare parts, components, consumables, stores and packing materials.
Functions:
1. Receiving purchase requisition from different department of the organization. 2. Exploring the source of supply and choosing the supplier. 3. Inviting the quotation and tenders from different source available. 4. Preparation and execution of the purchase orders. 5. Receiving the materials. 6. Checking and passing of bills for payment.
1. Purchase Requisition: Purchase requisition in a form commonly used as a formal request to the purchase department for procuring material. There are two types of purchase requisition. a. Raised by the stores department b. Raised by the used department
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2. Enquiry: the enquiry made by the purchase department of KOMUL on several supplies available. This enquiry helps to receiving quotation and selecting the qualify materials with least price.
3. Quotation: Once the enquiry is received by the suppliers, they send a quotation in reply to it with the reasonable price quoted therein.
4. Purchase Order: After selecting the supplier, the purchase department prepares a purchase order for the supply of materials.
5. Receiving and Inspection of materials: After making a purchase order the next process is receiving and inspection of materials ordered.
6. Checking and Passing of bills for Payment: When the invoice is received from the suppliers it is sent to the stores section to check both the authentically as well as arithmetical accuracy. The quantity and price mentioned in the invoice are checked with reference to stores received note and the purchase order respectively. The store accounting section certifies and passes the invoice for payment.
STORES DEPARTMENT
The Stores section is concerned with the storage and supply of materials other than milk i.e. stationeries, packing material, engineering materials etc.
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Head of each department places an order copy with the 'purchase Department'. Intern 'purchase Department' issues an indent to the storekeeper specifying the items to be issued, and the quantity to be issued. After receiving the indent the storekeeper issues the required material as per the specification in the indent. The issues are made on 'FIFO' basis [i.e. First in First out].
The 'FIFO' method of issues follows the principle that materials received first are issued first. After the first batch of materials purchased is exhausted, the next lot is taken up for supply. Inventory management is considered to be good if it is based on 'FIFO' because of its advantage. The purchase section does the purchase of materials other than the stationery and consumables. Stationery and Consumables is purchased by the 'Stores Department' itself. This purchase based on 'Recorder Level maintained by the storekeeper. The purchase of such materials is also on 'Tender basis'.
PRODUCTION DEPARTMENT
MANAGING DIRECTOR (MR. V.N. RAMAKRISHNA)
GENERAL MANAGER (MR. K.V. JAGANNATH RAO)
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MANAGER (PRD)
DEPUTY MANAGER (MR. CHANDRAPPA)
ASST. MANAGER
TECHNICAL OFFICER / DAIRY TECHNOLOGIST
DAIRY OPERATOR I DAIRY OPERATOR II
DAIRY OPERATOR III
DAIRY OPERATOR IV PEONS This department is responsible for the function of chilling and pasteurizing of the milk and filling it into sachets. The raw milk procured by KOMUL will be filled into sachets of 500 ml and 1000 ml after chilling and pasteurizing.
THE PROCESS OF MILK PRODUCTION The raw milk obtained will have an temperature of 10 degree Celsius. This milk is chilled from 4 to 5 degree Celsius, then stored in the tanker. The purpose of chilling is to avoid the multiplicity of 'Lactic Bacteria' and perishing of milk. After chilling of milk, it will be pasteurized and this is done to avoid multiplicity of bacteria. This pasteurized milk will be used for packing it into sachets. Before packing, the
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additional FAT and SNF content will be removed and will be used in manufacturing of Butter and Ghee. The required FAT and SNF content in Toned milk is 3.5% and 8.5% respectively, and in Standard milk is 4.5% and 8.5% respectively. After the process the milk is packed in sachets and placed in a cold storage before dispatching. The expansion work at Kolar Dairy has already been completed by increasing its processing capacity from 1,00,000 LPD to 2,00,000 LPD. The work at Chilling centers of Sadali and Gowribidanur is in progress to expand the processing capacity from existing 60,000 LPD to 1,00,000
PROCESS CHART
Raw Milk Chilling Pasteurizing
Removing of Extra FAT & SNF
Packing
Sent to the cold Storage
Distribution
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Milk Products:
Presently at Kolar dairy have the facility to manufacture Butter, Ghee, Peda, Khoa, Curds, Buttermilk, Paneer, Mast Dahi and Good Life.
Butter:
Butter is manufactured out of pasteurized cream. Majority of the butter produced is converted into Ghee. Remaining butter is being packed in both salted from [@ 1.5% salt] and unsalted form in bulk packages of 25 kgs.
Ghee:
Annual production of Ghee is in the dairy is about 900 tons. It is packed in ltrs and 1 ltrs sachets and 5 kgs and 15 kgs tins. The dairy has obtained Agmark certification for the product.
Curds:
Curd is made out of boiled cooled toned milk added with desirable lactic culture. On an average 4000 ltrs of curd is being produced in sachets of 200 ml and 500 ml. The plant has well setup bacteriological laboratory for culture preparation and to carry out other microbiological tests as required.
Masala Butter Milk:

Masala Butter Milk is manufactured and sold in the summer seasons especially from the month of March to July, the only period during which it gets demanded.
Peda:
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Peda is the sweetened heat desiccated product obtained from milk it is rich in Fat, Proteins, Lactose and minerals especially iron contents. On an average 25 kg peda is produced and sold in units 250 gms box. Each box contains 10 pedas.
Amul Masti-Dahi:
The productions of set curds in cups have been taken up to utilize the idle cheese plant under the brand name of Amul Masti-Dahi in collaboration with GCMMF ltd., Anand. The product as well accepted and sold in the market of Bangalore, Chennai and Hyderabad.
Nandini Good Life:

Nandini Good Life is the brand name of pasteurized liquid milk released by the Union on the recent past. It is totally free from bacteria and can be kept at room temperature upto 45 days.
SERVICES SECTION This section is concerned with supplying of required steam, soft water, chilled water and electricity etc. KOMUL requires a power of 400 to 440 volts, which is supplied by KPTCL. The Tetra pack plant uses the power from the generator, because the plant requires the power once when it is started and the plant is also very sensitive. The Engineering Department Supplies the required power to various departments. As the Dairy has to work for the whole day, electricity should be supplied the whole day. For this purpose, there are 4 shifts. 1. The general shift from 9.30 am to 4.30 pm 2. The first shift from 6.00 am to 2.00 pm 3. The second shift from 2.00 pm to 10.00 pm
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4. The night shift from 10.00 pm to 6.00 am
Chilled water is required for chilling the milk. Water is chilled using Ammonia [NH3] Ammonia is bought from outside. An agreement will be made for the supply of Ammonia. A compressor is used for the purpose of supplying Ammonia. The chilled water will be supplied in pipes to required departments and then it is returned to the service section once again for chilling.
Steam is used for pasteurizing, melting of butter, peda making etc., the water boiled will be filled with 3/4 water and will be boiled with a temperature of 220 degree Celsius. At this temperature the water in the boiler converts into steam. For every 75% of water in the boiler 25% of steam will be obtained.
QUALITY CONTROL DEPARTMENT

MANAGING DIRECTOR
GENERAL MANAGER
DEPUTY MANAGER (S.PRAHALNAD)
ASST. MANAGER
TECHNICAL OFFICER CHEMIST I

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CHEMIST - II CHEMIST - III HELPERS
The quality control department in the plant performs the function of using the best raw materials and other inputs, measuring and checking for maintaining then assured standards. As it known that Komul represents quality, purity and freshness. The quality policy of Komul is to maintain a leading position and international standards and also to build high level of customers over their products by providing high consumer surplus.
Paramount importance has been given to quality and hygiene of milk and milk products in the dairy. This is the reason why at every stage quality maintenance is done. It is due to this reason that they were able to get the ISO-9001-2000 for quality management.
All the processors are controlled and monitored by computers. Hence, the probable occurrence of manual error is completely eliminated. Milk is processed in a closed system with out exposure to the atmosphere and human hands. It is due to this that milk is protected from the contamination by external sources of bacteria and other contaminants. This efficiency of milk processing operation is of the highest order and hence the quality of milk and milk products processed in the plant is excellent.
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Computerized auto-standardization facilities, imported from Germany, have been installed in the plant for the first time in South India. This is another quality control device, which ensures that every drop of milk sod will have exact standard of nutrients. The automatic dislodging separator a device used in the production process, apart from removing excess fat also removes minute dust particles, dead cells coming into the milk from udder of the cow and other sediments, which are not possible to be removed by filtration. Hence, the milk from mega dairy is clean in all respect and is of exceptional quality. Apart from the above computer controlled screw compressor, imported from England facilitates deep chilling of milk and so the freshness and quality of milk can be well maintained. Dairies have numerous processing equipments, storage vessels, packing lines, pipelines etc., it is very difficult to manually monitor the cleaning of these equipments and ensure hygiene in the plant. The mega dairy is equipment with a computerized automatic cleaning in place system whenever any equipment is put into operation, the computer notes down the time and immediately after the usage of the equipment for 6hrs a message is displayed by the computer to clean the equipment. When the computer is instructed to clean the equipment it religiously follows all the cleaning steps. The pipeline are washed by caustic soda and boiled water. It can now be assessed that the level of cleanliness maintained at the plant is at a very high degree leading to the maintenance of hygiene in the products so produced.
VARIOUS TEST CONDUCTED BY THE QUALITY CONTROL DEPARTMENT. When raw milk is received the fat from that the fat content is first checked with the help of a electronic milk tester and on the basis of that fat and the lactometer reading and the SNF content is also checked using a formula CLR/4+0.25*F+0.35 Where, CLR = corrected lactometer reading,
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F = Fat Fat is generally 3.8 4.3%, SNF is about 28.5 29.5% lactic acid in milk will be around 0.14 0.06. CHEMICAL TESTS: 1. Ethylene blue reduction test is done to check the keeping quality of milk (usually 4.5 hours for pasteurized milk and 5-6 hours for raw milk). 2. Phosphate test is done check if the pasteurization is done accurately. Milk needs to be pasteurized at least 72-78%.
MICRO BIOLOGY TESTS: 1. Coli form test is done to find out the post pasteurization contamination. It also sees if there is any fecal contamination. This test show a nil reading for good pasteurized milk and 10 for curds. 2. Standard plate count test determines the microbial load in the milk. Yeast and mould test is done for curds exclusively . This is done to check contamination in curds.
Milk Toned milk Double toned Full cream Homogenize
Fat 3% 1.5%
CLR 29.5 33
SNF 8.5% 9%
Acidity 0.15-0.16 0.15-0.16
6% 3.1%
29.5 29.5
9% 8.5%
0.15-0.16 0.15-0.16
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MARKETING DEPARTMENT MANAGING DIRECTOR
GENERAL MANAGER
MANAGER
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(Dr. B.SATHYANARAYANA) DEPUTY MANAGER (Dr. P.PRABHU) TECHNICAL OFFICER MARKETING OFFICERS S.R/MILK DESPATCHERS COMPUTER OPERATORS PEON/HELPER
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Marketing is a comprehensive and it includes all resources and a set of activities necessary to direct and facilitate the flow of goods and services from producer to consumer in the process of distribution. Marketing encompasses all activities of exchange made by producers and middlemen in relation to trade for the purpose of satisfying consumer demand.
Marketing is an important activity of the Union. Presently the union is vested with the responsibility of marketing milk products under the corporate brand name of "NANDINI".
In KOMUL marketing department was establishment in the year august 1994. Since then only the marketing division was started in the union. Marketing of KOMUL's products is done under the common seal of KMF.
Objectives:
1. To increase the market share of "Nandini" milk 2. To increase the average sales in milk and milk products 3. To be responsive to the consumers and channel members, so as to be competitive in the market 4. To streamline the marketing opportunities.
The marketing mix of KOMUL can be known under the following grounds:
Product:
The product mix of KOMUL consists, of the milk and the milk products, such as toned milk sachets, standard milk sachets, buttermilk sachets, curds sachets, peda, etc. All the products are durable in nature. Nandini is the family brand name for all the products of KOMUL. Maintaining the family brand reduces the promotional costs and increases the brand image among the consumers.
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Packaging for the products of KOMUL differs from one another. Film pouch is used for the toned milk, standard milk, curds and buttermilk. Cotton boxes are used for Peda.
Price:
Price is the amount for which a product is exchanged. KOMUL follows administered pricing policy for all the products. The prices of the products include the cost of production and the commission given to the agents. The commission structure is designed on the basis of the risk involved in storing the products and in selling them.
Promotion:
Though KOMUL started marketing from august 1994, much of the promotional activities are undertaken by KMF, through which KMF creates brand image among the prospective customers. The budget for the promotional activities of KOMUL is set on the basis of 'objective and task method'. Such budget is more advantageous as it will be planned on the basis of objectives to be achieved, and the tasks involved therein.
The promotional activities undertaken by KOMUL include: 1. KOMUL issued shirts, caps and bags with the name "Nandini" to school general public. 2. KOMUL has issued Timetables to students with the name 3. KOMUL encouraged informative Wall paintings with the brand name "Nandini" "Nandini" students and
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4. KOMUL undertakes the publicity of its brand name through various press medias' and mass medias. 5. KOMUL has its own plans to undertake certain Market Survey Programmer.
Place:
Distribution refers to the process through which the final products pass from KOMUL to the ultimate consumers. This process includes intermediaries who undertake the activities of distributing the products to the general public. The distribution channel of KOMUL is very simple i.e., the distribution channel of KOMUL include only the agents who bridges the gap between KOMUL and its consumers. These agents are elected on the basis of his location in the city or town where the products are sold, the agent must have a fixed deposit or bank guarantee for Rs.50,000/- and the business done by him much suit the requirements of KOMUL to distribute its products. Bangalore City represents only certain allotted areas by KMF, such as Krishnarajapuram, Indiranagar, Banaswadi, Ramurthynagar, H.B.R. Layout, Kammanahalli and some others. Per capita consumption of milk is at the rate of 231 ml per day in Bangalore city and 180 ml per day in Kolar District. KOMUL uses 21 routes to distribute its products. 5 vehicles run within the district and 16 vehicles are used to transport the products to Bangalore city. These vehicles are also called by KOMUL on tender basis.
Marketing places in Karnataka: Bangalore, Udupi, KGF, Mysore, Mandya and Mangalore. Other States: Goa, Kerala, Maharashtra, Andhra Pradesh.
COMPETITORS
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Every organization has its own competitors according their products and services. KOMUL is not exempted from his competitors they are:
1. Heritage 2. Swastika 3. Thirumala 4. Britannia 5. Good Field 6. Arrogya
ACTION PLANS OF MARKETING DEPARTMENT FOR THE YEAR 2005-2006

Expansion of the distribution network: 1. It has 292 selling agents. 2. Introducing insulated distribution transportation vehicle. 3. To supply in time quality milk to customers in each and every corner of the city, smaller capacity distribution transport vehicles will be introduced.
SALES PROMOTIONAL ACTIVITY: 1. Distribution of glow sign boards (both small and big) 2. Distribution of V shape boards 3. Caps/T-shirts/bags to be distributed to the agents. 4. Wall paintings 5. Painting of insulated distribution transport vehicles etc
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TRAINING 1. The marketing staffs are trained both on field as well as in the office. For training to the marketing officers cross functions team workshops are to be conducted. CONSUMER EDUCATIONAL PROGRAMS 1. Plant visit for school children and others. 2. Door to door marketing. Etc
MARKETING STRATEGY OF KOMUL 1. Make the Nandini milk and milk products available all through the day to prevent the competitors penetration. 2. Make the Nandini milk and milk products available in time and in enough quantity at consumers convenient places 3. Improve the quality of service provided to channel members and also to motivate them for better sales performance. 4. Bring out consumers awareness on positive aspects of the organization 5. Prompt consumers complaint redressed.
As part of their growth oriented strategy, they are strengthening their infrastructure facilities by embarking on new ambitious projects such as commissioning of new equipment,. Strengthening existing facilities at all centers of the union.
FINANCE DEPARTMENT
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MANAGING DIRECTOR (V.N. RAMAKRISHNA) GENERAL MANAGER (K.V.JAGANNATH RAO) MANAGER (Y.N.ANJANAPPA) DEPUTY MANAGER (S.PANIRAJ) ASSISTANT MANAGER ACCOUNTS OFFICER SUPERINTENDENT AA - I AA II PEONS
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Finance is the lifeblood of every organization. Finance has become the basic foundation for all the kinds of economic activities. Efficiency of the organization is brightened only when there is efficient management of its finance.
The functions of finance department in KOMUL are:-
1. Computes and decides regarding the funds of the company. 2. It maintains a good relationship with other departments by providing financial information to required person and department. 3. It prepares and maintains Journal book, Ledger accounts and Profit and loss accounts and Balance Sheet for each year, 4. Analyses the financial position of the organization by maintaining the required records and by preparing and analyzing the financial statements of KOMUL. 5. Assess the working capital requirement of the company and also it decides the source for raising such capital. 6. It calculates the future requirements of funds and makes decision regarding such funds.
PREPARATION OF FINAL ACCOUNTS

The profit and loss account is prepared every month by highly experienced accountants. This enables effective monitoring of financial position and preparation of final accounts after the accounting year. A BRIEF OUT LOOK OF THE FINANCIAL STATUS OF KOMUL Share capital 9.12 Cores Member deposits 3.25 Cores Weekly milk purchase payment 4.66 Cores
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Every day sales 35 lakhs Profit for the year ended 2004-05 351.81 lakhs
MANUFACTURING AND TRADING A/C FOR THE YEAR 2005-2006 (PROVISIONAL)
PARTICULARS Expenditure Opening Stock Purchases Procurement Transport Charges Process and Manufacturing Expenses Gross Profit Total INCOME Sales Closing Stock
AMOUNT (RS) 10,72,90,028 251,07,75,776 25,08,99,345 20,00,00,000 17,10,87,627 14,19,25,088 338,99,77,864 298,94,21,485 40,05,56,379
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ADMINISTRATION AND PERSONNEL DEPARTMENTSTRUCTURE
MANAGING DIRECTOR
GENERAL MANAGER
DEPUTY MANAGER (H.V.THIPPAREDDY)
PS/TO/PRO/AO/OM/LO*
SUPERIDENT
AA I
AA II/STENO/SR.TYPIST
AA III
PEON/HELPER
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Deputy Manger Admin
MIS Officer
Superintendent Personnel
Head guard of Security
Assistants
* 1. PS Personal secretary 2. TO Time officer 3. PRO Public relation officer 4. AO Administrative officer 5. OM Office manager 6. LO Labor officer
It represents the top management or upper level management it is primarily in charge of thinking function. It is entrusted with the task of planning that is formation of major objectives, plans and policies, coordination of finance, production and distribution and over all control and supervision of the entire business. It is also determines the Organization structure.
The Board consists of the following:
1. President of the Union
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2. Chairman of the Union 3. One nominee of Cooperative Societies 4. One nominee of the State Government 5. One nominee from National Dairy Development Board (NDDB) 6. One nominee from Indian Dairy Corporation 7. Directors of the Union 8. Managing Director of the Union People are the main resources of all productive efforts in every organization. It is assessed and accepted that human resources are the main component of an organization and the success and failure of the organization depends on how effectively they are managed. Acquiring, terminating, developing and properly using the human resources in the organization is essential for accomplishing the organizational activities. Currently the total number of permanent employees in KOMUL is 270. All other required personnel's are contract laborers and they are 215 in number. Along with them there are 50 extension officers, As KOMUL Dairy has to work for the whole day, shift system is maintained. The employees working in plant works in three shifts. The shifts and their timings are: 1. Shift from 6.00 am to 2.00 pm 2. Shift from 2.00pm to 10.00pm 3. Shift from 10.00pm to 6.00 am The employees working in administration department work in 2 shifts. 1. Shift from 9.00 am to 5.00pm 2. General Shift from 10.00 am to 6.00 pm
Recruitments at KOMUL:
Recruitment at KOMUL was done for the last time in 1994. Since 1994, no recruitment has been done. The only external source of 'Publishing in Newspaper' was undertaken then. This
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recruitment was done only for acquiring of permanent employees to the organization. Every year, the contract laborers are recruited, with the help of the contractors.
Selection at KOMUL:
Selection involves choosing personnel to fill specific jobs in the organization on the basis of educational qualifications, training, skills, abilities and personality. During the year 1994, the personnel's were selected on basis of their performance in the interviews conducted. During the interview, the candidate's knowledge of the job, attitude, motivation and other personal characteristics were assessed.
Training Activities undertaken:

The central Training Institute gives training to the employees of KOMUL. This training is given to increase the knowledge and skill of the employees regarding all the fields of the organization. The personnel for this training programmed are selected on the basis of their ability, performance in the organization.
Remuneration:
Remuneration is the reward paid to the employees for the service they rendered to the organization. The remuneration may be monetary and non-monetary. The monetary reward refers to the wage, salary, allowance, and bonus etc., paid to the employees. KOMUL pays its employees with the salaries as per the Karnataka Civil Service Scales. The non-monetary rewards are those paid in kind. The non-monetary rewards paid to the employees of KOMUL are as under.
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Every year the permanent employees of KOMUL will be given two sets of uniforms and the following: 1. Everyday ltrs of milk is given to all the employees 2. Ghee of 1/2 liter is given to employees for two festivals i.e. during Gowri Pooja and Diwali Festivals 3. Food is provided to the employees during all the shifts 4. Permanent employees would get double pay for working during National Festivals 5. Free transport facility is given to all the employees 6. Leave facilities are provided as: 30 days of earned leave 15 days for casual leave and 20 days half-pay leave.
The earned leave is considered if it is backed with a 5 days prior notice. The half-pay leave is considered if it is based on medical grounds. The head guard of security is directly responsible to deputy manager, administration. Under his control there are 40 security officers. These security officers also work in 3 shifts.
TRANSPORT DEPARTMENT
Transport section of KOMUL mainly concentrates on collecting the milk from the DCS, transfers it to the chilling centers and then to the dairy. For the accomplishment of this task, the department has 10 drivers and 8 department vehicles being functioning. Out of the 8 department vehicle, 3 no`s are ambassador cars, 2 no`s are jeep, 1 no are milk tankers and 1 no`s are truck. Apart from the departmental vehicles, KMF calls tender or places work order for hiring private
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milk tankers. Generally 20 no`s of private milk tankers and 20 no`s of BMC's 85 Trucks. KMF does the work allotment and also fixes the hire charges for the milk tankers. The work of transport section employees starts by 4 am and ends by 8.30 pm. Milk reaches chilling centers by 8.30 in the morning and dairy before 12 pm. KOMUL transports milk to its sister unions ( inter dairies ) and also to Tirupathi of Andhra Pradesh and Goa. Before KMF gives the work allotment to the private truck owners, a contract is signed between KMF and private truck owners, few important terms and conditions of contract are listed below:
1. Road milk tankers should supply milk with a capacity of 9000 liters or 9270 Kg`s of milk. However, for truck with more than the indicated capacity pro-rata increases in the rate payable would be affected respectively keeping 9000 liters or 9270 Kg`s as the base quantity.
2. For transporting 9270 Kg`s of milk, the below prorate is fixed. 1) 2) 3) For chilling centers Rs. 10.59 For inter dairy transport Rs. 10.19 For inter state transport Rs. 9.64
3. The contractor should own road milk tankers and submit copies of RC book and other relevant documents.
4. The hired tankers shall possess valid permits and / or two point permit within Karnataka. All the vehicles should have valid comprehensive insurance policy., up to date tax paid receipts and drivers for the tankers should possess valid license to drive the tankers. If tankers are used of milk movement outside Karnataka state the KOMUL union / unit is not liable to reimburse the interstate permit charges as threats finalized of inter state routes is inclusive of permit charges.
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5. The contractor shall arrange for diesel, lubricants and such other consumables required for the tankers.
6. The normal running speed of road milk tanker will not be less than 30 km`s per hour.
7. It will be the responsibility of unions / Dairies to fix and to inform the contractor the distance between the two points within 15 days of commencement of route. The payment of the transport bill of contractor should not be delayed on the ground of not fixing the distance between the two points. 8. The contractors shall be prepared to run his tankers anywhere in the following states as and when requested by the MD of the Dairy chief. 1) 2) 3) 4) 5) 6) Kerala Tamil Nadu Andhra Pradesh Maharashtra Goa Dairies / Unions with in Karnataka.
9. The contractors shall arrange for proper supervision for the cleaning of tankers ( as cleaning will be done by the dairies / unions) and see that valves, gaskets etc are in-act. Any claim of the contractor for missing of valves, gaskets etc or any part of the tanker shall not be considered.
10. It should be the responsibility of the contractor representative to deliver milk in good condition, fit for human consumption, and obtain due acknowledgement.
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11. The contractor must ensure that the tankers loaded with milk are properly seated by the Unions before leaving the Dairy / Union gates.
12. If the receiving Union / Dairy notices any tampering of seal, the shortage of Fat, SNF and quantity shall be assessed to the contractors at the selling price of milk and the value of the shortage will be deducted from the bills payable to the contractor. If the seal is intact, the contractor is not responsible.
13. The contractors tanker shall not carry any passenger other than the driver and cleaner or representative of the concerned dairies / unions in each tanker while carrying the milk.
14. During the contract period, notwithstanding anything consented on rates specified for providing the tankers whenever revision of prices are (fuel-diesel) made by Government pro-data increase/decrease in rates shall be paid by the union dairies. The basis for such calculations will be the rate of 4 km`s per liter of diesel. 15. Penalty of Rs. 25/- per hour will be levied on the contractor for the delayed hours., if any over and above the scheduled time. However, a grace duration time of four hours per trip will be allowed, if the quantity of milk is good.
16. The driver should obtain in and out seal from the security at both loading unloading dairies and chilling centers.
17. If the tanker stopped due to breakdown during transportation of milk, then the consequential losses will be levied on the contractor. The contractor shall be informed of this in writing.
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18. Security deposit: The successful tendered shall deposit the average cost of one load of milk carried for each tanker towards deposit in the form of cash / DD / Bank guarantee drawn on any scheduled Bank for the period of contract including the extension period, if any before claiming the first bill. The SD will not carry any interest.
If any employee / representative of the contractor is found, pilfering , adulterating and or destroying the milk and other items entrusted to the contractor during the transportation or during loading and un-loading operations at the premises of the union or in transit, the contractor shall be responsibility for the loss and the contractor shall have to bear all such losses incurred by the union. Further, in case of dishonesty the losses in the entire contract period shall be assessed and recovered at twice the rates from the contractor besides taking legal actions an the contractor shall be black listed.
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SWOT ANALYSIS
After a keen observation over the organization and the various departments of KOMUL, the following strengths, weakness, opportunities, and threats are known.
Strengths:
Brand Image (NANDINI) Quality product. Well established federation. Planned marketing strategy and channels of distribution. Scientific packing and material handling process. Supporting of rural peoples. Assistance from Govt and Banks.
Weakness
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Basis of recruiting employees.
Less exploitation of the advantages of information technology. Lack of sufficient advertising. Over dependency on credit. Lack of efficient management. Production capacity constraints.
Opportunities:
Opportunities to train people in multiple skills.
Integration of attitudes & skills for organizational growth & growth of individuals. ISO 9002 and HACCP IS 15000 CERTIFICATE shall be instrumental in bringing about a sharper focus on quality. Expansion of function in both rural and urban areas. Increasing product mix.
Threats:
Challenges from local competitors. Leadership roles & responsibilities are restricted to only a few. Value conflicts. Contract labors.
SUGGESTIONS
According to the findings of the study the following suggestions are recommended.
Management should advertise more in TV and printing media.
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They should conduct a market research and development to ascertain the reason for variation in sales performance and channels of distribution among the distributors in the given period of time. They should select the professional marketing executives in the channel of distribution of its products. Advertisements are the means by which company can enhance its sales to the maximum extend. The company is to be advertised to face the price competition by introducing new channels of distribution. The company should improve the present channels of distribution.
FINDINGS
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From the study it is found that KOMUL has classified its distributors in to 2 types viz, Loose milk distributors through BVBs called Consistories and Sachet milk distributors through retailers. From the study it is evidenced that most of the dealers and customers suggested TV and print media as advertising media. From the study it is evidenced that respondents are mainly concerned about price, quality, credit and brand image. Market share of KOMUL is average. Most of the respondents suggest advertising media as a measure to improve market share of KOMUL. Regarding the price of Nandini Milk and Milk products, it has been observed that the prices are reasonable. Regarding the quality of Nandini Milk and milk products it has been proved that the quality is best.
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CONCLUSION
KOMUL that is providing milk and milk products under the brand name of "Nandini" has made a sufficient name and fame in the minds of people for its quality, availability and relatively satisfying the needs of the ultimate consumer and it has made a sufficient mark an established brand among the milk and milk products.
Initially when KOMUL was started, its capacity of processing milk was around 2 lakhs litters per day, as for now it has uplifted itself for processing around 4 lakhs litters per day.
By large the study has revealed that the product mix of KOMUL is excellent and the pricing strategy is also excellent. By this I can conclude that KOMUL has a very good market share for its brand name and also its products.
The dairy development activities are being extended further to touch every nook and corner of the state ushering in quite revolution and making an impact on the socio-economic front of the rural scene. Overall this, KOMUL has a good future prospects.
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BIBLIOGRAPHY
AUTHOR
BOOK
K. Aswathappa
Production Management
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KOMUL Was Formed in 23 March 1987 After It Was Divided From Karnataka Milk

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KOMUL Was Formed in 23 March 1987 After It Was Divided From Karnataka Milk

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INTRODUCTION

Among the DCS registered, 61 DCS are exclusively women DCS

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

HISTORY AND EVOLATION

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

Expenditure Rs.7.8 Crores Rs. 12 Crores Rs.36.6 Crores

GROWTH & DEVELOPMENT OF THE INDUSTRY:

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

OBJECTIVES OF THE STUDY

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

67,170 1,870 1,90,34,157

6,14,005 4.20% & 8. 54% 8.60 paise per liter 88 1,19,81,923

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

breadth, depth and

products manufactured. Thus the breadth of

portfolio is 5 that is KOMUL deals with the products such as liquid

Good Life Milk 2. Peda:

200 ml sachets 500 ml sachets 1000 ml sachets 15 kg Tin

KOMUL'S MILK AND MILK PRODUCTS PROFILE

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

Milk procurement is 7.0 lakhs ltrs per day

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

BOARD OF DIRECTORS PRESIDENT

Assistant Technical Officer

Incharge Chilling centers

Asst Mgr Producti on

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

FEDERATIONS (STATE LEVEL)

UNIONS (DISTRICT LEVEL)

DISTRICT COOPERATIVE SOCIETIES (AT VILLAGE LEVEL)

LEVELS OF MANAGEMENT The organization has got three levels of management:

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LIST OF THE DIRECTORS:-

1. Mr. Ramakrishna 2. Mr. R. Narayana Reddy

Managing Director Nominee of NDDB 21

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

3. K. Yashodamma. 4. Mr. Jayaprakash Reddy

Nominee of KMF Deputy Registrar of Cooperative Societies

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

DIFFERENT FUNCTIONAL AREAS OF KOMUL

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

PROCUREMENT AND INPUT DEPARTMENT STRUCTURE

Dy Manager (H &O) {STEP}

Dy Manager Feed & Fodder

Dy Mgrs/Asst. Mgrs Of 11 Taluks

Dy. Manager Veterinary

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

TECHNICAL INPUT PROGRAMMES

LORVEN COLLEGE OF SCIENCE AND MANAGEMENT.

ANIMAL HEALTH CAMP

ARTIFICIAL INSEMINATION CENTERS