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TPP Report
Titled
`
For fulfillment of the requirement for the degree of BBA/MBA
Subject: TPP (IMS-706)
Under the Supervision of-
Mr.Rajbir Sain, Plant Manager
&
Mrs.Palak Bajaj
(Assistant Professor)
I, Gaurav Kumarhereby declare that I have completed the report entitled “Routine Operations
at Umang Dairies Ltd” assigned to me by the Institute, to be submitted in the partial fulfillment
of the MBA/BBA 5 year degree from Kurukshetra University. Further, I declare that this is
original work done by me and the information provided in the study is authentic to the best of my
Date:
Place: GAURAV KUMAR.
ACKNOWLEDGEMENT
I take this opportunity to express my profound gratitude and deep regards to my guide Mrs.
Palak Bajaj for his exemplary guidance, monitoring and constant encouragement throughout the
course of this thesis. The blessing, help and guidance given by him time to time shall carry me a
I also take this opportunity to express a deep sense of gratitude to Mrs.Palak Bajaj for his
cordial support, valuable information and guidance, which helped me in completing this task
I am obliged to staff members of Institute of Management Studies (IMS), for the valuable
information provided by them in their respective fields. I am grateful for their cooperation during
Lastly, I thank almighty, my parents, brother, sisters and friends for their constant
Gaurav Kumar
CONTENTS
6. Reference 39-46
CHAPTER: 1
DAIRY SECTOR IN INDIA
1.1-Introduction
Dairy activities have traditionally been integral to India’s rural economy. The country is
the world’s largest producer of dairy products and also their largest consumer. Almost its entire
produce is consumed in the domestic market and the country is neither an importer nor an
exporter, except in a marginal sense.Despite being the world’s largest producer, the dairy sector
is by and large in the primitive stage of development and modernization. Though India may
boast of a 200 million cattle population, the average output of an Indian cow is only one seventh
of its American counterpart. Indian breeds of cows are considered inferior in terms of
productivity. Moreover, the sector is plagued with various other impediments like shortage of
fodder, its poor quality, dismal transportation facilities and a poorly developed cold chain
infrastructure. As a result, the supply side lacks in elasticity that is expected of it.
On the demand side, the situation is buoyant. With the sustained growth of the Indian
economy and a consequent rise in the purchasing power during the last two decades, more and
more people today are able to afford milk and various other dairy products. This trend is
expected to continue with the sector experiencing a robust growth in demand in the short and
medium run. If the impediments in the way of growth and development are left unaddressed,
India is likely to face a serious supply – demand mismatch and it may gradually turn into a
substantial importer of milk and milk products.
Fortunately, the government and other stakeholders seem to be alive to the situation and efforts
to increase milk production have been intensified. Transformations in the sector are being
induced by factors like newfound interest on the part of the organized sector, new markets, easy
credit facilities, dairy friendly policies by the government, etc. Dairy farming is now evolving
from just an agrarian way of life to a professionally managed industry – the Indian dairy
industry. With these positive signals, there is hope that the sector may eventually march towards
another white revolution.
1.2-Players in the sector
A. KwalityWalls
B. Vadilal
C. Amul
D. Nestle
E. GlaxoSmithkline
F. Paras
2.1:Introduction
The group rose in importance in the 1960s and 1970s when it occupied the third position as
an industrial conglomerate after the Birlaand Tata conglomerates. The family is currently divided
into three main groups headed by 3 patriarchs namely Dr Gaur HariSinghania based out of
Kanpur, Shri Hari Shankar Singhania based out of Delhi and Shri VijaypatSinghania, based out
of Mumbai. These three patriarchs are first cousins who now run independent businesses. The
Kanpur family runs JK Cements, JK Technosoft, the Delhi family runs, JK Tyre, JK Papers, JK
Lakshmi Cement, Fenner India, JK Risk Managers & Insurance Brokers and the Mumbai family
runs the Raymonds group of companies. To maintain the family history and legacy, the various
family run companies though completely independent and many publicly owned and listed
subscribe to the JK Group Logo and the oldest male member of the generation in power by
tradition becomes the President of the JK Group (The Association of Trade unions) and allots the
logo to companies run by various family members as and when the apply for membership and
pay an annual fee for the same. It is pertinent to note that these three different units are
technically and legally separate entities and have no cross holdings and have no common
directors and employees except for the shared family history.
2.2 UMANG DAIRIES LIMITED
A. Introduction
J. K. Organization was founded over a 100 year ago and is one of the largest industrial
conglomerates in India.
The group has multi business activities – paper, tire, cement, conveyor belts, pharmaceuticals,
J. K. ventures are famous for using the latest technology with relentless focus on quality,
The dairy plant situated 120kms from Delhi in the town of Gajraula (UP) is a state of the art milk
The first dairy plant from the private sector to have received ISO certification. As on the date the
plant has HACCP certificate from DNV, ISO 9001: 2008, ISO 14001:2004 and OHSAS 18001:
2007 certifications.
A fully developed R&D centre constantly works for improving system of milk collection,
BOARD OF DIRECTORS
D. B. Doda-
R. C. Jain
R. C. Periwal
R. L. Saha
COMPANY SECRETARY
DAIRY CREAMERS
DAIRY WHITENERS
PURE GHEE
FRESH CREAM
BUTTER
Extensive market coverage through distributors servicing all major potential areas.
Dairy top instant dairy whitener is the undisputed market leader in its segment.
CONSUMER PACKS
Step-2- The plant has a capacity to process over 8,00,000 litres of milk per day.
Step-3- The plant has the state of art equipment, imported from Gaulin(USA) &Hassia
(Germany). Other major equipment have indigenously designed by alpha level.
Step-5-Then boilng of milk to reduce all impurities,half of milk used for self marketing like other
milk products and other will supply to mother dairy etc companies.
Step-6-Total eco friendly process with the help of solar panels,rice and wheat waste is to be used
in boilers.All process is totally..
Company Background:
Umang Dairies Ltd. is a dairy product company manufacturing skimmed milk powder (dairy
creamers) and Ghee. The company sells its Milk Powder under the brand name of “White
Magic”, “Dairy Top” and “Milk Star” and ghee is sold under the brand name of “Umang”. To
effectively utilize its capacity, the company does contract manufacturing for “Mother Dairy Food
Processing Ltd” to process and pack liquid milk in poly pouches. Recently the company has also
ventured into marketing flavored milk and liquid milk. Manufacturing plant is located in Western
Uttar Pradesh, which is rich in milk production. The company has built up a village level
collection network involving more than 300 villages. Umang Dairies Ltd. belongs to the J.K.
Organisation which has multiple businesses Tyre, Cement, Paper, etc..
Some of the earnings risks which the company faced in the past include sudden spike in milk
prices without corresponding increase in end product prices (milk powder and ghee). Increasing
power and fuel costs are also a risk for earnings. India, being the largest milk producers in the
world, have attracted many foreign companies to invest. One recent development is Groupe
Lactalis SA (Lactalis) (which is the worlds largest dairy player) acquiring South India based
Tirumala Milk Products Private Limited.
3.2.Financial Analysis
Table: 3.2 A
Graph/Figure: 3.2 A
Expenditure
Financial Results
(Rs in Lacs.)
Application of Funds
PRODUCTS& PRICES
RS:375Kg
RS:395Kg
Promotional tools are banners and hoardings and with the help of local retailers
RECRUITMENT
According to Edwin B. Flippo, Recruitment is the process of searching the candidates for
employment and stimulating them to apply for jobs in the organization. Recruitment is the
activity that links the employers and the job seekers.
It is the best process to choose the right person for the right job in effective manner. In every
company recruitment & selection process is very important for the right staff in the organization
so that objectives are easily achieved. There are several methods in organization to fulfill the
vacant position.
RING FENCING: Some employers will advertise their jobs internally first so interested
employees will have the first opportunity.
EMPLOYMENT AGENCIES: Many employers are turning to agencies for the peer is the
recruitment of employees.
RECRUITMENT POLICY:
OBJECTIVES:
External sources is amore wide used in practice as compare relocation, advertising, job portals,
job posting, internal transfer, walk-interview, direct recruitment, campus recruitment employee
referrals and the services of placement consultant are some of the sources of recruitment.
Advertisements: The advertisements for a vacancy is drafted in consultation with the concerned
departmental head and chief of division, as and when it is to be released.
Consultants : placement consultant are properly scanned on the following parameters past
history, market reputation, ability to deliver, a list is maintained by HR of selected consultants
and the same is reviewed at regular intervals to incorporate necessary modifications, the job
profile is to the consultant and bio data of candidates is invited.
Campus recruitment: it is carried out annually to induct fresh talent in the organization from
selected institutes of repute. It covers recruitment and selection. The typical designation covered
under campus recruitment are management trainees, graduate engineer trainees, trainee research
associates.
Institutes: Well established business school and engineer colleges are chosen and an association
is maintained on a long term basis. A list of selected colleges is prepared and reviewed every
year and circulated to the functional heads.
Finalization of dates
Campus visits
Job portals: The company posts their job requirements on its website and other job portals like
NAUKRI.COM, MONSTERINDIA.COM, resumes and jobs are matched using basic criteria
like skills, past experience and job location.
The employees could apply for a cross – functional change.The move could be lateral as well as
vertical.
Walk interviews: Interview is very important source of recruitment now days. Although it is a
costly mode then it is very frequently used. In this company goes in any city and invites
candidates for on the spot selection.
Employee referrals: if the candidate who is referred by an employee is selected then that
employee is paid a particular amount.
SELECTION PROCESS
Great attention is paid to establish the best fit between job requirements on the one hand and the
candidate s qualifications on the other.
SCREENING
SELECTION
REIMBURSEMENT
SALARY FITMENT
Recruitment synonymous with "hiring" in American English, refers to the overall process of
attracting, selecting and appointing suitable candidates for jobs within an organization, either
permanent or temporary, unpaid positions, such as voluntary roles or training programmes.
Managers, human resource generalists and recruitment specialists may recruit in-house, while
public-sector employment agencies, commercial recruitment agencies, or specialist search
consultancies may undertake parts of the process. Internet-based technologies to support all
aspects of recruitment has become widespread.
Job analysis
In situations where multiple new jobs are created and recruited for the first time, a job
analysis might be undertaken to document the knowledge, skill, ability, and other personal
characteristics required for the job. From these the relevant information is captured in such
documents as job descriptions and job specifications. Often a company will already have job
descriptions that represent a historical collection of tasks performed. Where already drawn up,
these documents need to be reviewed or updated to reflect present day requirements. Prior to
initiating the recruitment stages a person specification should be finalized to provide the
recruiters commissioned with the requirements and objectives of the project.
Sourcing
Sourcing is the use of one or more strategies to attract or identify candidates to fill job vacancies.
It may involve internal and/or external recruitment advertising, using appropriate media, such as
local or national newspapers, specialist recruitment media, professional publications, window
advertisements, job centers, or in a variety of ways via the internet. Alternatively, employers may
use recruitment consultancies or agencies to find otherwise scarce candidates who may be
content in their current positions and are not actively looking to move companies. This initial
research for so-called passive candidates, also called name generation, results in a contact
information of potential candidates who can then be contacted discreetly to be screened and
approached.
Suitability for a job is typically assessed by looking for that are required for a job. These can be
determined via: screening résumés (also known as curriculum vitae or CV); job
application; Biographical Information Blanks which is an assessment that asks for a more
extensive background than an application; or a job interview. Various psychological tests can be
used to assess a variety of Knowledge, skills, abilities and other characteristics(KSAOs),
including literacy. Assessments are available to measure physical ability. Recruiters and agencies
may use applicant tracking systems to filter, along with software tools for psychometric
testing and performance based assessment. In many countries, employers are legally mandated to
ensure their screening and selection processes meet equal opportunity and ethical
standards. Employers are likely to recognize the value of candidates who encompass soft
skills such as interpersonal or team leadership. Multinational organizations and those that recruit
from a range of nationalities are also concerned candidates will fit into the prevailing company
culture.
The word disability carries few positive connotations for most employers. Research has shown
that employer biases tend to improve through firsthand experienceand exposure with proper
supports for employee [4] and the employer making the hiring decisions, less influenced by the
disabled applicant perceived contribution. As for most companies, money and job stability are
two of the contributing factors to productivity, which in return equates to the growth and success
of a business. Hiring disabled workers produce more advantages than disadvantages.[5] Disabled
workers are more likely to stay with the company and make their a work a career than most due
to the fact that they appreciate having a job and are more stable because they can work at high
levels. There is no difference in the daily production of a disadvantaged worker. Given their
situation, they are more likely to adapt to their environment surroundings and acquaint
themselves with equipment, enabling them to solve problems and overcome adversity as other
employees. The U.S. IRS grants companies Disable Access Credit when meeting
eligibility.] These funds can assist with costs of accommodations and other expenses like
supervision and assistance of those who encounter problems, or hiring of more qualified
personnel (in case supervisor unavailable) which equates to higher wages, double shifts and
incentives. Ensuring adequate space and property changes such as ramps, restricting parking
spaces, and posting handicap signs can be fairly inexpensive. Sometimes companies lose skilled
workers due to depth of responsibility entailed in overseeing employees that are disadvantaged
Internal recruitment
Internal recruitment refers to the process of a candidate being selected from the existing
workforce of a company to take up a new job in the same organization, perhaps as a promotion,
or to provide career development opportunity, or to meet a specific or urgent organizational
need. Advantages include the organization's familiarity with the employee and
their competencies insofar as they are revealed in their current job, and their willingness to trust
said employee. It can be quicker and have a lower cost to hire someone internally.
Date of evaluations
Signature HOD
Date HOD of HR
Recommendation: confirm/extend/terminate
All employees up to the level of Deputy General Manager are on a six months probation
period.
Trainees are on six months probation period after completion of their training period of
one year.
After completion of six months , the CHR/ location HR send a confirmatory appraisal form to
the concerned Functional Head, confirmation may be recommended or extend , depending on the
appraisal of the probationers performance. A confirmation letter is issued to the employees upon
confirmation, a copy of which is maintained in his personal file.
REIMBURSEMENT OF JOINING EXPENSES:
In employment offers made to candidate at Manager Level & above, the company may
reimburse expenses incurred in joining. The sanctioning authority for this is chief of
HRD along with the Devision Head.
BENEFITS AT COMPANY:
OBJECTIVES:
1. The salary structure of an employee is said down in his appointment letter which is the
most crucial document covering all terms of his appointment in the organization.
2. The day an employee joins the organization, HRD completes his/her joining formalities.
All the details of the joining formalities are incorporated in the payroll.
BASIC PAY
Basic salary structure of an employee during this salary negotiation stage I the selection process.
The amount will depend upon the candidates educational qualification, past experience, nature of
the job, authority/ responsibility level in which the person is inducted.
COMPANY LEASED ACCOMODATION
EMPLOYEE SUBMITS
APPLICATION FOR LEASE
WITH PARTICULARS.
HRD CHECKS
FOR
ENTITLEMENT &
PREPARES AGREEMENT
& FORWARDS TO ACCO
ADJUSTMENT IN
REQUEST & PAYS RENT TO EMPLOYEE
LANDLORD DIRECTLY BY 7 DEDUCTS
OF EVERY MONTH APPROPRIATE ACCOUNT
OBJECTIVE:
Company leased accommodation provides assistances to employees partly or wholly for residing
in suitable houses as per their status in the organization.
ENTITLEMENT
LEVEL AMOUNT SECURITY ADVANCE
L-10 AND ABOVE 60 % OF BASIC 3 MONTH RENT 3 MONTH RENT
SALARY FOR ALL CASES FOR ALL CASES
In cases of self- lease security and advance will not be allowed. Company accommodation is
available at Gajraula.
OBJECTIVE:
Houses rent allowances provides assistance to employees partly or wholly for reading in suitable
houses as per their status in the organisation.
ELIGIBILITY
All employees not availing company accommodation at plant are entitled to house rent
allowances. HRA will depend on the level of employee and it is different for metropolitan and
non-metropolitan cities.
CONVEYANCE ALLOWANCES
OBJECTIVES:
Leave travel assistance is given as a perquisite to enable them to afford travel out of station to
hometown or otherwise, while on a break from work.
ELIGIBILITY
All employees are entitled for leave travel assistance.
New joiners can avail leave travel assistance after 6 months from the date of joining.
Management trainees/graduate engineer trainees can avail LTA only after 6 months from the
date of joining.
ENTITLEMENT
LEVEL ENTITLEMENT
ALL LEVEL ONE MONTHS BASIC SALARY ON A
PER ANNUM BASIS
TELEPHONE EXPENSES
ENTITLEMENT:
BENEFITS:
ELIGIBILITY:
AMOUNT:
GRATUITY SCHEME
ELIGIBILITY
All permanent employees having five years of continuous service(except in case of termination
of service due to death or total disablement)
AMOUNT:
15 days of last drawn Basic Salary for every completed year of service. Payable in
cheque/demand draft along with the full & final settlement.
BONUS SCHEME
ELIGIBILITY
All the employees whose basic salary is less than or equal to 10,000 per month would be eligible
for payment of bonus under bonus Act, 1965.
NATURE OF PAYOUT:
OBJECTIVE:
ELIGIBILITY:
In case of critical illness as mentioned below the entitlement amount can become double.
Cancer
Myocardial infarction
Stroke
Coronary artery bypass surgery
End stage
CHAPTER-5
SWOT ANALYSIS
SWOT Analysis
Identify general practices that organizations use to recruit and select employees.
Determine how the recruitment and selection practices affect organizational outcomes.
To experience different recruitment and selection activities which are followed by The
Umang Dairies Limited.
Propose suggestions and recommendations for the practitioners the can help management
further to apply best practices in human resource management in the organization.
CHAPTER-6
LEARNING FROM REPORT
Firstly, I had learnt a lot through this report like how to prepare a report. How to analyze the
things like various operational, financial, and marketing aspects of ‘UMANG DAIRIES
LIMITED’
Secondly, I also came to know about and the sector from which it belongs. Its full company
profile, its history, its features, its products and services etc.
Before starting this report, I had never known about how to prepare it. But now, after
preparing it, I understood a lot of things like necessary concepts and aspects of preparing a report
and I also understood how to analyze a report.
http://www.Scribd.com
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