INTRODUCTION

Milks nutrition rich food that provider a large number of nutrition relative to the
calories consumed milk is delicious as a beverage and can be used as a base for drink such as
hot chocolate .

The milk of domesticated animals is also an important food for human. Most milk
consumed in from cows others important sources include sheep, goads water ,along with
dissolved .sugar ,minerals(including calcium and minerals , phosphorous)and vitamins
,particularly vitamin B complex.

Commercially processed cow’s milk is commonly enriched with vitamins A and B.

Many countries require pasteurization to product against normally occurring and

officially microorganisms. Cooling further prevent spoilage (sourcing and curdling).

Fat from (about 3.5% fat content )can be removed in a separator to produce cream and
low-fat milk n(1-2 fat) or skin milk (0.5% fat) milk usually homogenized, forced under high
pressure through small opening to distribute the fat evenly .it may also be condensed ,
evaporated, or dehydrated for preservation
 PROFILE OF THE COMPANY

2.1 COMPANY PROFILE

Aaavin milk Products Ltd. is one of a India’s largest private dairy. From a modest ice-
cream manufacturer to one of the leading names in India's dairy sector in just a span of three
decades, Aaavin milk now stands majestically as a hallmark of successful entrepreneurship.
Be it in the dedication to quality, in employing the world's latest technology, innovative
marketing strategies, or bringing prosperity to hundreds of thousands of farmers in the south.

When the market was ruled by unhygienic milk, Aaavin milk came up with Arokya -
the standardized, homogenised and bacteria clarified milk.aavin milk is still unsurpassed in
purity, thickness and quality and has made it one of the most preferred milk brand consumed
by several hundred thousand households every day and then came Aaavin milk Komatha. This
product is Aaavin milk 's proud contribution of a superior quality, lower fat milk which Aaavin
milk calls 'Cow's milk'. Komatha is the perfect symbolization of the values and attributes of
the provider of fresh milk - the cow. No wonder that Aaavin milk Komatha milk is hailed as
the most suitable milk for the whole family. Loved by kids and adults alike for its taste and
freshness.

Aaavin milk handles a total 1.8 million litre a day. Aaavin milk 's quest for quality
starts at procurement, two times a day, 365 days of the year at over a thousand collection
centers, from more than a hundred thousand farmers. Aaavin milk sources its milk with an
ever watchful eye, always keen on quality. It is an enthusiastic and bustling activity when milk
takes its first step in its journey to the consumers' homes. It started as a creamy dream in 1970:
Arun Icecreams, the rich, delicious brand that has captured the hearts of millions of icecream
lovers. With over 70 delightful varieties it is the No. 1 selling icecream in south India. Arun
Ice creams is manufactured at the most modern plant of its kind in Chennai. From the
ingredients, to the packaging and distribution stringent quality control is maintained at every
stage which has made Arun Icecreams the first icecream brand in India to win the 9001
certification for quality and world-class manufacturing facilities. Arun Icecreams reaches the
consumers through the largest network of exclusive parlors in India. These and the many Arun
mini-parlors in the rural areas provide employment to thousands of people.
5
Board of Directors

The company is managed by the Managing Director, Joint Managing Director

and Executive Director - Operations subject to the superintendence, control and
direction of the board of directors.

The board of Directors of the company have an optimum combination of

executive, Non-Executive and independent directors, which compels with clause 49 of
the listing requirements as well. The entire board of the company is involved in
selection, Orientation and succession of directors.

Executive Directors

Shri R.G. Chandramogan, Chairman & Managing Director

Shri R.G. Chandramogan is the promoter of the company. He has initially
started ice-cream business in early 1970s and later ventured into milk and milk
related products. In the year 1986 he formed the business into a private limited
company, which was later converted into a public limited company.

Recognition
Aaavin milk 's dairies are ISO 9001:2000 and HACCP (Hazard Analysis
Critical Control Point) certified. The Salem plant has received ISO 14001 and been
certified eco-friendly. The quality assurance of Aaavin milk ensures that stringent
quality standards and norms of American Dairy Products Institute (ADPI) are fully
met.

Network

The company has achieved excellence in establishing an extremely efficient supply

chain management, better logistics and widespread distribution network spearheaded by
exclusive franchisee outlets. All the brands of the company enjoy very strong brand equity
and despite being in a price sensitive market, its brands command a premium.

Its helps to manufacturing butter ,ghee,curd,Ice-cream is sold through exclusive

franchisee outlets and is occupying the top slot in TamilNadu and figures within the top
three in the south India. With the commissioning of plant in Belgaum, the company has
entered into the Goa, Pune and southern districts of Maharashtra markets.

BUSINESS OF THE COMPANY:

Since incorporation in the year 1958 the Company has been engaged in the manufacturing
and marketing of Ice Cream and Milk and Dairy based products under the brand name 'ARUN'.
Mr. R.G. CHANDRAMOGAN, the owner of the brand name permitted the use of the brand name
subject to a payment of royalty @ 1% of the Gross Ice Cream Turnover achieved by the company.
In 1987 the company was also allowed to register the brand name in the name of the Company
subject to the same terms. Except the royalty payable by the Company, no other
considerationwaspaidin1987.

The Company decided to reorganize its operations by closing down its / manufacturing
operation and hiving of leather division and retaining only marketing operations. As part of the
strategy, the Company closed down its manufacturing activity on 4th April 1958, since the facility
at its Tollgate Unit has out lived its utility. The Company has also put up Wind Mill of 250 KVA
for generation of power to meet part of the power requirements. The Company proposes to focus
its efforts only on marketing of Ice Cream and Milk and Dairy based Products. For Sourcing Ice
cream and other Ice Cream based products, the company has entered into a contractual arrangement
with its Group/Associate concerns.

INDUSTRY PROFILE

A dairy product is facility for the extraction and processing of animal milk-
mostly from cows and goats, but also buffalo, sheep, horses or camel for human
consumption. Typically it is farm (dairy farm) are section of a firm that is concerned with
the production of milk butter, and cheese. Terminology defers slightly between countries.
In particular in the U.S. a dairy can also be a facility that processes ,distributes and sells
dairy products, or a room ,building or establishment were milk is kept and butter and
cheese is made. In New Zealand English is dairy means a corner convenience store, all
supersets and dairy factory is the term for what is elsewhere called a dairy?

As an attributive, the word dairy refers to milk based products, derivatives and
process, and the animals and workers involved in there production: for example dairy
cattle, dairy goat.

A dairy farm products milk and a dairy factory process it into a variety of dairy
products. These Establishment constitute the dairy industry, a compound of the food
industry

HISTORY

Milk producing animals have been domesticated for thousands of years. Initially,
they were part of the subsistence farming.no made engaged in as the community moved
about the country, there animals accompanied them .protecting and feeding the animals
were a big part of the symbiotic relationship between the animals and the herders.

In the more recent post, people in agricultural so cites owned dairy animals that
they milked for dogmatist and local (village) consumption, a typical example of a cottage
industry.

The animals might serve multiple purposes (for example, as a dragged animal for pooling
a plough a youngster, and at the end of its useful life as meat).

In this case animals were normally milked by hand and the herd size was quite
small so that all of the animals could be milked in less than an hour-about 10 per milkier.
These tasks were performed by a dairy made (dairy woman) or dairy man. The word
dairy harkens back to middle English dayerie ,deyerie,from dye(female servant or dairy
maid) and for the back to old English

(Kneader of bread).
 ORGANIZATIONAL CHART / STRUCTURE

MANAGING
DIRECTOR

GENERAL MANAGER GENERAL MANAGER GENERAL MANAGER

HR MARKETING QUALITY ASSISTANT

ZONAL MANAGER

BRANCHMANAGE
R

SALES OFFICER

FIELD SALES
FORCE
3.1 ESTABLISHMENT & MANAGEMENT OF THE
ORGANIZATION

CATEGORIES AVAILABLE

 The sublime and superior quality products are marketed under the brand name
aavin.

 And our secondary quality products for standing in the market competency are
marketed under the brand name of BOGAR.

 Classified just for the sake of cost effectiveness to be consumed by all class of
people but still it is unrivalled by other brands available in the market.

3.2 MANUFACTURING DEPARTMENT

PRODUCTS

 Butter

 Milk khoa

 Ghee

 Ice cream

 Milk cake

 Milk powder

 Curd and butter milk

ORGANAISATION STRUCTURE
 MD

GM

MARKETING TECHNICAL ADMINISTRATION FINANCIAL

MANAGER DIREACTOR MANAGER MANAGER

PRODUCTION ASSISTANT
SALES
MANAGER
 MANAGER
EXECUTIVE


DATA ENTRY
ASSISTANT OPERATOR
MANAGER

QUALITY
CONTOLLER

FLOOR
SUPERVISOR

WORKERS

PRODUCT STUCTURE
 Product of Happy and Its Packing Methods

In a most simple way aavin milk product could be defined as "every thing the
purchaser gets in exchange for his money" A milk product is a bundle of physical or
chemical properties which has some utilities, In other point of view, product means an
objects which satisfies the needs of the costumer. According to Wore Alderson "a product
should be considered as a bundle of utilities consisting of various products features and
accompanying services”.

Milk Food products are the most essential products among the other products.
There are numerous brands of food products an available in the market. These products
always face more competition. They mainly use re use packing materials for attracting
customers.
MARKETING DEPARTMENT

MARKET PROFILE

The milk believes in quality and is practicing not product marketing but quality
marketing it helps customers in understanding his quality milk, butter ,ghee requirements
so as to get benefit of time and cost savings to both the mill and the customer.

MARKETING STRUCTURE

MD

GM

MARKETING
MANAGER

SALES
EXECUTIVE

SALES MAN
 As markets change, so does marketing. Marketing is no longer a company
department charges with a limited number of tasks, marketing advertising, sending out
direct mail, finding sales leads, providing customer service. Marketing must be a company
wide under taking. It must drive the company’s vision, mission and strategic planning.
Marketing is about deciding who the company wants as its customers, which needs to
satisfy. What products and service to offer. What price to set; what communication to send
and receive; what channels of distribution to use.

According to Philip Kottler "Marketing is the human activity directed at satisfying

needs and wants through an exchange process" and according to him "Marketing
management is the analysis planning, implementation and control of Programmers
designed to create, build and maintain beneficial exchanges with target buyers for the
purpose of achieving or objectives"

Aavin Company is no one maufacuturing milk products. It is having an enthusiastic

team of sales and marketing headed by the marketing manager. Total employees of 18
numbers are working in this department. Each executive is arranged some geographical
area for their sales activities.

PRODUCT LIFE CYCLE

Product life cycle concept is very useful. PLC concept derives from the
facts that products sales volume and sales revenue follow a typical pattern of
fire-purchase cycle. I.e. Introduction stage, growth stage, morality stage,
saturation stage and decline stage. The length of the life cycle, the duration of
each phase and the shape of the curve very widely for different product. PLC
helps a marketer in pre planning the entry of a new milk product in a market
in prolonging the profitable stage, in meeting competition and in long term
decision or investment on products. PLC should be termed as product market
life cycle as it is related, to a given particular market

Growth stage
 Every product moves through a life cycle having five stages, Introduction, Growth,
maturity, saturation and, decline stage. Aavin milk It has a rapid climate in sales. They
introduce new product features and expand distribution. So we can come to know milk
product. Ltd products are in the growth stage.

The milk product sustain rapid market growth.

 It improves product quality and adds new product feature and improve
styling.

 It adds new models and flanker products i.e. product of different flavors,
etc.

 It enters new market segments.

 Aavin milk product increases its distribution coverage and enter new
distribution channels.

 It lower prices to attract the next layer of price sensitive buyer.

Marketing strategies:

The marketing department is one of the efficient and affective department, it is

always vigilant about environment and very conscious about the market potential, number
of the major competitor’s strategy, weakness etc. maintaining the effectiveness and
efficiency. According to marketing department we can reach an idea about their products,
marketing strategies, attraction, weakness etc. The brand "Happy" to day offer through
competition to popular national brand like butter,ice cream,ghee, milk powder"Happy" as
been marketing meal times, merrier and thirsty everybody first choice.
Channels of Distribution

Channels of distribution indicate routes or pathways through which

milk foods and seines flow, or more from producers to consumers. It is a set
of interdependent marketing activities involved in the movement or the flow
of goods and services from the primary producer’s to ultimate consumers.
distribution in aavin milk product ltd:

CENTRAL

DISTRIBUTION WHOLE SALE

SUB BROKERS RETAILERS

CUSTOMERS
PROMOTION
Promotion is the process of marketing communication to inform, persuade, remind
and influence consumers or users in milk favor of the product or services aavin
Promotional efforts act as powerful tools of competition providing the cutting edge of its
entire marketing programmer.

Promotion as been defined as the co-ordinate self initiated efforts to establish

channels of information and persuasion to boost the sale of goods or services, or the
acceptance of ideas or points of view.

PROMOTIONAL FUNCTION

Aavin milk and aavin milk product have a vast market to improve the marketing.
the company also adapts visual media in the advertisement channel . In an incentive to the
dealer the company provides cash discount and seasonal discount. Incentive and discounts
are in provided on the competition basis.

PROMOTIONAL ACTIVITIES

Advertising
Advertising is a form of mass communication. It is paid by a sponsor or seller who
wants to communicate about his product or service to his customers. The advertiser or milk
sponsor wants to persuade and induce the reader’s viewers or listeners to take some action,
to by the advertised product so that the advertiser can have profitable sales. Advertising
can be defined as "mass paid communication goods in services or ideas by an identified
sponsor. It in a major promotion tool".

ADVERTISEMENT PROCESS

The function of advertisement is to influencing and motivating the people to buy

a product various advertisement agencies are called up, and given brief idea above what to
advertise and the advertisement agencies prepare a pre-demonstration after submitting a
copy of the same company .The marketing manager and MD analysis. The company and
will select best among them and coming out with their advertisement plan. Then comes
media selection,aavin milks normally chooses the following Medias.

 Tele —Vision, DD, Asianet, Surya.

 Video advertisement —CEE Videos.

 Close circuit TV- K S R T C, Railway stations.

 Print media, all Malayalam dairy products, Vanitha etc.

Also the costumers get valuable information from the companies’ web
site.

Packing
Packing is the general group of activities in the planning of a product. These
activities concentrate on formulating a design of the package and producing an appropriate
and attractive container, palatine pages,cups.

IMPORTANCE OF MARKETING
A high level of marketing activity is a good symptom of economic development. at
present the urgency is for increased marketing and not merely increased production, This
shows that importance of marketing of a potential force. It command high significant for
society as whole.

 It is of vital importance for all business to understand the role of marketing

in the economic development of a country and the raising the standard of
living of the people.

 Any increase in the efficiency of the marketing really result in a lower cost
of distribution lower price to consumers mean a real increase the national
income.
 Marketing process brings new varieties of useful and quality goods to
consumers.

 Marketing provide wide employment opportunities.

 Marketing converts talent demand in to effective demand

 3.5 RESEARCH & DEVELOPMENT DEPARTMENT

QUALITY SYSTEM

1. Aavin have Well qualified and experienced technical team.

2. The quality system implements in the production line.
3. Quality assurance by quality plan prepared by technical team and trail production.
4. Continuous and close follow up at every stage of production by QAD achieve
consistent quality.
5. Well equipped laboratory foe assurance junction.

HUMAN RESOURCE DEPARTMENT

PERSONAL DEPARTMENT (HRD)

The personal department is under the control of manager and assistant manager of
HRD (Human Resource Development). In aaavin milk products the department is called
HRD. The department is the bridge between the company management and the workers.
The personal department provides the needs of the works by acting as a barrier.

The time officer is the place to collect the details of the worker from the staff
supervisors and from the security. Security room makes the list of workers who are entering
the mil and leaving the mill. It is just like a attendance. It contains at what time the workers
is entering and leaving the mill. The security submits these records to HRD manager.

In the case of night shifts, security maintains the records and submits to the time
officer the next morning. The time office collects the report give by security and supervisor
and retaken to the manager and on seeing the performance of the milk product workers. He
is given promotion or increments.
3.7 SYSTEMS DEPARTMENT

PERSONAL DEPARTMENTVISITOR

The following guidelines to be followed in respect of consumer & visitor’s movement.

1. Normal visiting hrs are 10.00 am to 4.00pm

2. Incase a visitor is expected after 4.00pm. The main gate security should be
informed accordingly.
3. Similarly incase of any unplanned visitor coming after 4.00pm. Main gate
security will check with concerned HOD. Based on this, permission from the unit
head.
4. Visitors beyond 2nd after checking with the concerned HOD.

FUNCTION OF HRD

1. The HRD is the concern focuses on the following functions.

2. Manpower planning, forecasting, scheduling.
3. Interviewing, screening, testing and recruiting new hands.
4. Personnel appraisal, ratting efficiency
5. Arranging and conducting educational training programs.
6. Assignment of work
7. Wage and salary administration.
8. Welfare measures
9. Maintaining statutory records under labour acts.
10. Counseling
11. Disciplinary proceedings
12. Preparing project reports.
13. Advising the management in work loads remuneration etc.,
 14. 3.7 SYSTEMS DEPARTMENT
PERSONAL DEPARTMENTVISITOR

MAN POWER PLANNING

This is aavin milk products first stage which involves ability to think analysis and
decide. Planning includes how many employees should be selected for the next period and
also production increase.

RECRUTMENT

It is milk product process of searching for prospective workers and

stimulating them to apply for jobs in the concern. The recruitment is done
through campus interviews. After selecting employees, job training is given.

STAFF SELECTION

1. Qualification and previous experience

2. Emotional
3. Moral and social qualities
4. Interest
5. Competency
SELECTION OF EMPLOYEES

Experiance employees are select on the bases of given application and asking them
to fill if it up. They are also selected on previous experiences.

Labours and workers are selected with, the criteria considered in the selection are

1. Minimum Qualification
2. Sex
3. Age (Above : 8 years)
4. Finger flexibility
5. Eye sight
6. Color blindness
7. Height (153cm)
8. Weight (minimum 49 kgs)
9. Experience (Fresh candidate)
10. Extra curricular activities.
11.
TIME OFFICER FUNCTION

The time office is under the control Nandhi dall products of department. The main
function of this section is to register the attendance and its related workers.

1. The register being maintained by time office is

2. Attendance registers for permanent workers.
3. Extra hours worked registered
4. Promotion registers
5. Family planning registers
6. Apprentice register
 7. Register are maintenance
The section is also responsible for the implementation of statutory provisions given
in the Provident Fund Act, ESI Act, Bonus, Act, Gratuity Act, Factory Act, etc.,

3.8 FINANCIAL DEPARTMENT

ANNUAL LEAVE WITH WAGES

The company is working on seven days in a week basis. On rotation the workers
are getting their weekly off.

As per the provisions of the Factories Act, all the workers are provide with on day
annual leave for the 20 worked days in the previous year.

Apart from this, maximum 9 days of national & Festival holidays are allowed in a
calendar year. They are

Republic Day - 1

May 1st - 1

Independence Day - 1

Gandhi Jayanthi - 1

Pongal Day - 2

Pooja Holiday - 1

Deepavali - 1
UNION

Trade union principle underlined in the above is that a group of persons whether
workers or employees will have a better voice that an individual raising a loan voice.

FINANCIAL PERFORMANCE

SERVICE TAX

Aavin milk company over allService tax payable provision is made at the time of
accounting the bills for goods transport agency, labour contractor bills & other services
bill as per services bill as per services tax act and every month service tax payable amount
is arrived and paid before 5th of the every month along with the cheque TR 6 challan is
deposited in the Indian Bank. In the subsequent month service tax cenvat credit is availed
on general inputs & goods transport agency based in the payments made to these bills. This
cenvat credit is adjusted with cenvat payable on finished goods.

EXCISE DUTY PAYMENTS

Assessable value is being verified & determined in respect finished goods

dispatches Cenvat credit to be availed on raw material and capital goods is being
verified & determined based on the purchase documents & GRNs made by the
stores. Reconciliation between the duty payable & credit available is made & duty
is paid 5th of every month considering the balance in PLA. TR 6 challan is prepared
and deposited into the bank along with cheque.
 PAYROLL

Payroll is generate 4d by HRD and given to accounts for cross verification.

Accounts verifies the salary structures with individual employee’s appointment
order attendance registers for.

3.9MAJORCOMPETITORS

COMPETITION
Competition includes all the actual and potential rival offerings and substitutes that
a buyer might consider. We can broaden the picture further by distinguishing four levels of
competition based on degree of milk product substitutability:

]Brand competition

 Arokya milk

 Hutsan milk

 Cavin milk

A company sees its competition as other companies offering a similar product and
services to the same customers at similar prices of other milk products.

Industry competition

A company sees its competitors as all companies making the same product or class
of products. Aavin product are more food products are produced.

Form competition
A company sees its competitors as all companies manufacturing milk product that
supply the same service.
 5.3 CONCLUSION

This is a well reputed one in the aavin milk product are produced butter,butter
powder,ghee,ice cream industry.in the scenario human relation in gaining its own
importance and occupying position in all the organizations.it is also noted that human
resource also plays a vital role in all the organization. Production and sales of the Aavin
milk was increasing day by day. It was getting good name in the consumers mind. This
study was help know about activities are processed in the company.
It was help to understand about the customers, management activities and getting
industrial explorer.And its also given to the quality of product are produced. Lot of
competition is emerging and at the same time people are also going in for new items. So
has to develop suitable marketing strategies for its survival in future. There is followed on
the aavin millk produced successfully strategies .and also satisfied the peoples. There are
provided quality of products and service.
 BIBLIOGRAPHY

 Kotler Philip, “Marketing Management”, New Delhi : Prentice Hall of India (P) Ltd., 8

th Edition. 1994

 Website:

 www.retailbiz.com

 www.google.com

 www.retailyatra.com

 www.wikipidea.com