COMPANY PROFILE

DAIRY INDUSTRY IN KRISHNA DISTRICT

Krishna District is on river an track of Krishna abutting Bay of Bengal. It has a total area of
8727 sqkms. The major activity is agriculture. It has 17.39 lakh acres of land under crop cultivation
of which 66% is irrigated. The human population is 39.54 lakhs. It has 972 inhabited villages. The
literacy in the district is 41.71%. The district is known for its quality cattle. In milk cattle population
it ranks second in the state. Buffalo is predominant milk animal.

Organized dairy in Krishna commenced in 1965 with integrated milk project assisted by the
UNICEF. A milk conservation plant is 1.25LLPD (lakh liters per day ) was commenced in April,
1969 at Vijayawada.

The dairy industry in the district had its beginning under state government as part of animal
husbandry activity. Integration of dairy industry into the department of animal husbandry took place
periodically in the name of different projects:

Integrated MILK project (1960)

Dairy development department (1971)

Andhra Pradesh Dairy Development Corporation (1974)

A.P Dairy Development Co-operative Dederation (1981)

Realizing the milk production potentialities of the inversion track, the Government of Andhra
Pradesh and Government of India with “UNICEF” assistance has established “Integrated Milk
project – Hyderabad-Vijayawada”, linking the production and consumption centers. Thus Krishna
district has the distinction of starting organized dairy activities by commissioning a milk chilling at
“PAMARRU” in February, 1965 the first of the type in Andhra Pradesh. Organization of co-
operative structure on ANAND PATTERN was initiated in 1981. Krishna district milk producer’s
co-operative union limited got registered in 1983. It took complete management of Dairy activities of
the Krishna District from February1985.
At present, the district has 534 organized dairy co-operative societies with over 92600 member producers.
There are 300 milk producers’ association centers too functioning besides co-operative societies. The union

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collects milk from about 2,13,896 milk producers covering 815 villages organized through 35milk routes.
District union has 6 milk chilling centers one each operating at pamarru, Hanuman Junction,
Veerankilock, Gudlavallaru,Chilikalu and Tiruvuru with a total processing capacity of 1.70 lakh
liters per day . It has milk products factory with the facilities to manufacture different milkproducts.

The milk products factory at Vijayawada handles surplus milk from all coastal districts.
About 2.10 lakh kgs/day with peak touching 3.18 lakh kgs/day. The factory conserves fat in the
shape of white butter usually to the extent of 1000 M.Ts per year.

Union markets about 2, 00,000 liters/day market milk to 1 lakh families in the district. It
manufactures products like Ghee, Butter Malailaddu,datesKhova, Butter Burfi,ChocolateBurfi, and
Doodhpeda, Ghee products, skim milk powder, UHT Milk (TetraBrik). These products are
manufactured in this dairy with the brand name of “VIJAYA” are popular for its quality throughout
the nation. UHT milk has market at Bombay, Goa, Pune, Calcutta and Hyderabad. New UHT
products such as sterilized cream, slim milk, Traders from counties like Singapore and Brunei paling
orders with the dairy for milk powder.Union manufactures and market about 35 tons/day of cattle
feed besides 400MTS mineral mixture per annum. Dairy co-operatives in villages have gradually
development trading surplus and this aspect coupled with government schemes resulting in
establishing their own buildings in 345 villages valued atRs/-
crores.

An Aspetic packing station was set up in the milk products factory to pack 50,000 liters of
long the milk (UHT MILK) per day. Union has also 2 cattle feed mixing plants with a total capacity
of 50M.T /day. Plant to increase procurement to two lakh liters a day. Vijaya dairy is the only unit
exporting products to countries like Malaysia.

Krishna milk union is a district milk producer co-operative came into exiting in July 1983,
registered “KRISHNA DISTRICT MILK PRODUCERS CO-OPERATIVE UNION LIMITED”. It
took over the
management going dairy activities Krishna district of Andhra Pradesh during February 1985.
Krishna milk union currently 815 functional dairy co-operations in villages and introduced from
various chilling centers and district routes.

RANKING OF THE DISTRICT IN ANDHRA PRADESH

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Milkproduction....................2nd
Processing .......................... 3rd
Marketing ........................... 2nd
Krishna district has milk procurement ranging from 45,000 kgs to 2,00,000kgs.Per day from
1969 to 2014. The district being buffalos concentrated has wide procurement fluctuations. It was
considered imminent to reduce the seasonal imbalance in milk production. New programmers were
drawn up. Induction of “X” bred cows has been taken up since 1990 to increase milk production
potentially. District has very close animal health coverage by the animal husbandry department.The
district co-operatives milk union provides the following inputs to farmers for increased milk
production
.
 Veterinary first aidfacilities

 Animal vaccines & medicines at subsidizedprices

 A.I.Facilities.

 Breadingbulls

 Fodder seeds at subsidizedrates

 Premixed cattlefeed

 Cattle insurance at 2/3subsidy.

 Extensionservices.

PROCESSING
Milk processing of milks it done by pasturing and chilling the milk at certain temperatures.
The fat % and chilling the milk at certain temperatures, the fat% and SNF % is standardized
accordingly for various types of milk is sent to by products section to produce various products.

PRODUCTION
In the production section the milk and milk products are produced the excess milk is converted into skim milk
powder (SMP), Butter to meet the demand to learn seasons.

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 SALES:
Indents received from various boots and parlors. Depending on the indents the consolidated
reports are raised. These reports are sent to various sections. Reconciliation statements are prepaid
according to the indents and the details of stock delivery are maintained for various parlors, boots
and institution. Andhra Pradesh has prominent place in the dairy of India. Dairy and milk supply has
been given importance in the five year plans of the state. Not only with a view has help had the
farmer to improve their income had it enabled

HISTORY AND ESTABLISHMENT

Andhra Pradesh has prominent place in dairying India. The cattle wealth of Andhra
Pradesh is established at Rs. 220 crores and 70% of total of milk products factory,
Vijayawada was commissioned an 11.4.1994.Milk products factory VIJAYAWADA is
having the site of 27.3 acres. At present the cost of UNICEF equipment and erection is about
19.4 crores (1983-1984).

The Krishna district milk products factory’s date of registration is in 6.7.1983. Authorized
share capital Rs.10,00,00,000, paid up share capital Rs.48,12,00,000 members of societies registered
518, number of societies affiliated.

In 1979-1980 machinery was established in processing sections chiller capacity 80,000 liters
capacity tanks. Now the above capacity is improved chiller capacity.

Milk products factory, VIJAYAWADA was commissioned on 11.04.1969. This factory has
the installing capacity of 1.25 Lakhs liters per day in the first stage with provision for expansion of
3.50lakh liters per day in the second stage. Milk products factory, VIAJAYAWADA has the
distinction of handling milk to its capacity in the second year operation. A part from handling milk to
its capacity in the second year operation. A part from handling milk Krishna district, it also handled
surplus milk received from district of VISAKAPATNAM,EAST AND WEST GODVARI,
PRAKASAM AND NELLORE. The factory had pack
holding during 1982-1983, with a view of handling the increased surplus milk got from NELLORE,
PRAKASAM and EAST and WEST GODAVARI DISTRICTS, a second spray drying plant with a
latest design to produce about 124MT of milk powder has been established and commissioned during
1982.

The factory has a provision to make 8MT of the demand from public will be converted into products.
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VIJAYAWADA in the state during 1977 test was successfully conducted on manufacture of infant milk food,
based on the formulae provided by central food technological research institute, MYSORE. Subsequently milk
food with the brand name of “VIAJAYA SPRARY” was introduced in consumer pack of 1Kg and 1/2kg
throughout the country.
This milk products factory, VIAJAYAWADA had the distinctionofbeing first public sector organization
in the consumer packs. In addition to the above milk powder is also being manufacture in the factory.
GROWTH OF THE FACTORY
As an integral part of the above project the milk product factory, VIAJAYAWADA WAS
COMMISSIONED ON 11.04.1969. This factory has got an initial handling capacity of
11,25,000liters in the stage with provision to handle 2,50,000 liters of liquid milk in the second stage.
It has crossed the mark of 1,00,000liters in the very first year of its operation getting admiration from
the UNICEF officials.
INTEGRATED MILK PROJECTS
A scheme viz., the integrated milk project, Hyderabad and Vijayawada at a cost of Rs.4.35
crores has been setup to make full utilization of the surplus milk of the area. Milk products plant at a
capacity of 1,25,000liters per day in the first phase and 2,50,000 liters per day in the second phase at
VIJAYAWADA RESPECTIVELY.

Milk product factory, VIJAYAWADA AREA OF SITE 27.3 ACRES, THE VALUE OF
FACTORY
BUILDING Rs.120 lakhs money given by UNICEF for machinery Rs. 57lakhs cost of investment on
number of worker 265. At present yearly earnings are Rs.56 croresandanuual turnover Rs. 60crores
.In the year 1983-1984 the annual turnover is about 19.4 crores and total staff is2,064.

CHILLING CENTERS
The VIAJAYAWADA milk products factory has set up six chilling centers, which are given
under center, have been producing chilled milk for the composition of the various segments of the
consumers. Chilling centers use very successfully to milk products factory. Following are centers in
Krishna district under the control of VIAJAYAWADA milk products factory:

 Pamarru

 HanumanJunction

 Veeranki lock

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  Chillakallu

 Tiruvuru

MILK DISTRIBUTION CENTERS

Town sales (in Liters) No.of selling boots Daily

Viajayawada 1321 1,89,921
Godavari 90 4,383
Chillakallu 86 6,894
Tiruvuru 110 5,535
Pamarru 320 27,610

SALES CENTERS
VIJAYAWADARTC Bus stand super bazaar, Railway station milk products factory,
vastralatha, Vijaya dairy parlour (near Alankar theatre) Benz circle, Sathyanarayanapuram,
machavaram, patamata etc.

CAPACITIES
Milk 2,00,000 liters per day
Ghee 5 tons per day
Butter 7 tons per day
Milk powder 5 tons per day
Refrigeration capacity 1.5 tone capacity
Stream generation 15 tones per 1 prt
Milk packing 1,25,000 packets per day
Chilling 1,50,000 liters per day
Processing 1,50,000 liters per day

TRANSPORT
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 There are about 25 vehicles in transport organization, milk products factory, Vijayawada.
Road tankers:

4 tones of 15,000 liters capacity

4 tanks of 10,000 liters
capacity 3 distribution
vehicles for sales 6
inspection vehicles

In addition to these 25 vehicles are taken hire from private transporters for distribution of milk. The
milk feed to chilling centers and far off places like Visakhapatnam Nellore and chittor is being
transported by the road tankers. It is also transported to all metropolitan cities of Delhi Mumbai,
Calcutta and Chennai through the insulated tankers.

RESEARCH AND DEVELOPMENT

The India council of agricultural research has started a research scheme during the period
1970-71 to undertake research on milk products. Under this scheme soft cheese, butter milk powder
curd, Doodhpeda, ice cream mix, butter etc. are, manufactured.

NEED FOR EXPANSION

With the introduction of the baby food, the milk handling capacity has been reduced to about
80-85 thousand liters of milk in view of the sugar content added in manufacture of the baby good.
Therefore it is proposed to expand the present plant by adding additional buildings in the existing
vacant area adjacent to the transport section. This will enable the factory to handle 1.5 lakh liters
perday.

MANAGEMENT
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 Management of the company shall consist of board of directors chairman and managing
director.
The chairman of the affiliated union enrolled as number. Nominee of the government of Andhra
Pradesh if the government of Andhra Pradesh is a member Chairman of the board of directions shall
over general meeting. In case of this absence the meeting shall be conducted by a chairman form
amongst the memberspresent. The general body shall be called once a financial year with in grater
ending on 31st December. This shall be “Annual general meeting”

A special general body meeting may be called at any time by a majority vote of board of
directors and shall be called with one month at least 1/5 of the members of derivation or by the
registrar of cooperativesocieties.

PROVISION UNDER ACT

1) Subject to such resolution as the general body may from time to time pass. The execution
management of the union shall consist of not more than 17 members as detailedbelow.

a) 2 elected representative of affiliated 30societies

b) 3 governmentnominees.

c) Registrar of cooperative societies of thisnominee

2) Director of animal husbandry or hisnominee

.
3) Managing director, A.P dairy development corporation or hisnominee.

a) One to be adopted by the board from the experts in milkbusiness.

b) Nominee of financingagency.

c) As soon as the election of the members of the board over they shall meet and elect a
chairmen and vice-chairman who will hold office for one year. The election and vice-chairman is to
be held, in the same manner every year immediately after the general body meeting in which the
raining vacancies of directors filledup

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 ORGANISATION CHART

General Body

Board of Mgt

Managing Directors

Procurement & Input Personnel officer

controller

Marketing Quality
Manager

Production Stores
Manager

Plant MIS
Maintenance

Director (Finance) APS

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 THE GENEARALPOWER DUTIES ANDRESPONSIBILITESOFTHEMANAGING
DIRECTORS ARE ASFOLLOWS

 He shall power for and on behalf of the federation to enclose sign negotiates checks other
negotiates on behalf of thefederation.

 He shall also sign all deposits, receipts and operate as accounts of the federation with
anybank.

 He shall allow credit to buyer within limits fixed by the board from time totime.
 He shall make necessary arrangements for transport and storage of dairy and alliedproduce.
 He shall arrange to support training to the staff members of the federation union andsocieties.
 He shall appoint consultant or exports and fix theirremuneration.

BOARD OF DIRECTORS
The board consists of the following
 Chairman of the affiliated union enrolled asmembers

 Registrars of the cooperativesocieties

 One nominee of the financingagency.

 Managing director of thefederation.

 3 nominees of the state Government representing interest dairydevelopment.

Any member nominated to the board may at any time resign from his office by sending a
letter to Government and such registration shall come into effect from the date on which it is
accepted by the Government.

The Government shall nominate the chairman of that board time to time. The secretary of the
Government dealing with dairy development shall be the vice-chairman of the board. All the members of
board expect managing director and chairman of the federation shall be honorary.

MANAGING DIRECTOR
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 The managing director shall be appointed by the Government from time to time upon such
terms and conditions as the Government thinks fir and the Government extends such items as it may
due necessary and expedite.

STAFF POSITION OF THE COMPANY

Department No of Persons
Managing Director 1
Dairy Directors 2
Dairy Managers 8
Asst.DairyEngineers 8
Quality control officers 1
Asst Dairy Managers 22

Fodder Development officers 2

Junior Engineers 8
Technical staff 111
Transport 31
Finance 39
Administration 117
Field staff 88
Others (Non Technical ) 375
Total 803

KDMPMACUL OBJECTIVES
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 Evolving long term policies to encourage and develop milk production and productivity in the
district. Achieving co-ordination among various programmers in the district to optimize resource
utilization. Providing remunerative and assured market for the milk produced by the farmers round
theyear.

Improving efficiency in milk collection, transport processing and marketing with the
emphasis on reducing the cost of operations at very stage from emphasis on reducing the cost of
operations at very stage
from rural farmer to urban consumer. Increasing in availability of milk and development the market of
milk products.

Development the manpower of the organization to reach excellence in their working life and
create a pro-active organizational culture for achieving competitive edge. Consolidation and
expansion of co- operative structure with special attention to small farmers and weaker section of
milk producing community. Traders from countries like Singapore and Brunei placing order with the
dairy from milk powder.

KDMPMACUL STRTEGY
Milk procurement activities will be intensified for securing increased share in existing
marketable surplus. Concentration of milk production enhancement programmers with special
emphasis on animal breeding, fodder development and animal health.

Marketing in the district will be intensified for better remuneration, privatization beyond
departmental level. Major strength of union being aseptic technology emphasis on value added
aseptic milk products. To survive and grow in the emerging competitive environment there would be
more delegation of work across the organization calling for accountability through well
definedparameters.

Productivity improvement by corporate restructuring with change in managerial system to

make people more system dependent rather then individual dependent.Intensive training for all levels
of staff, which can really help to improve the functioning of organization.Introduction of “reward
and punishment” system.

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 Introduction of quality system under ISO: 9001-2000, L.S.O: 4001-2004 and HACCP
certification.
MILK PROCURMENT IN MPF-VIJAYAWADA:

Milk produced twice a day from 600 villages in the among these 600 centers about 195
registered societies under ANAND PATTERN. A good milk procurement infrastructure has been
developed for the last several years in the district. It is envisaged to open certain centers to boost up
milk production with ore and more active participation of milk producers under operation flood II
program and substantial improvement in milk production is envisaged in near future.

MILK SUPPLY
Milk products factory Vijayawada supplies milk in Vijayawada and to near towns in ½ liter
and 1 liter sachets. Bulk supplies to hospitals, hostals and other institutions besides regular market
milk supplies. Milk products factory, Vijayawada dispatches milk supplies Milk products factory,
Vijayawada dispatches milk to madras, Hyderabad andCalcutta.

ORGANIZATIONAL STRUCTURE
Organization structure is the basic frame of which the manager’s decision making behavior
takes important place. It basically deals with relationships. It is the pattern in which various
components are interrelated or interconnected. This prescribes the relationships among various
positions since the positions are held by various people with the organization. Organizational
structure is the totally of both formal and informal relationships. The organization structure involves
the following steps:

1) Identification ofactivates

2) Groupactivities

3) Delegating ofauthority.

In the KDMPMACUL organizational structure, chairman is the head of board of directors.

General Manager has various lands created under him like plant manage, production manager,
accounts officer, personal officer, sales manager, medical officer, quality control officer etc.,

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 Every manager delegate’s authority to subordinates. It is visible that here is poor
understanding and coordination among all departments of the organization. This harmonious
relationship between the department leads to facilitate efficient management and effective
communication. Optimum use of organizational resource and stimulating creativity in the
organizational mechanism.

DETAILS AT A GLANCE
THE KDM PRIDUCERS CO-OPERATIVE UNION LIMITED
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 1. number of villages covered 815

2. number of cooperative societies 549

3. number of milk routers 35

4.number of chilling centers 6

5.number of feed mixing plants 2

6.milk products factory area 27.3 acres

7.value of factory buildings Rs.120 lakhs

8. value of other buildings and investment Rs.270 lakhs

9. date of commissioning of milk product factory 11.04.1969

10. Total staff 250

11. date of formation of union 6.7.1983

12. date of transfer of management of union 8.2.1985

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PACKING
Milk is collected from collection point and is pasteurized and converted into milk powder. As per the
demand of the requirement the powder is mixed with water and converted back to milk , churned and the
quality controllers check quality, and then approve the milk for packing quality controllers check the quality
and then approve the milk for packing.

MILK AND MILK PRODCUTS

Today KDMPMACU offers the widest spectrum of milk products in India, under the brand name
VIJAYA. These include Ghee, Butter processed cheddar cheese and cheese spread, UHT milk ( std milk
toned milk low fat, Flavored Milk (Merry Milk), Slim Milk in Tetra packs, Sterilized cream , skim Milk
powder , dairy Whitener, Cooking Butter and ice cream. Several among these carry the AGMARK, An
attestation of quality by government of India and the ISI mark of Bureau of India standards.

The brand VIJAYA connotes quality ad quality, which makes it a trusted Name in millions of
households across the country. In addition, KDMPMACU also manufactures products such as sterilized
Flavored milk Pannier (indigenous unripended cheese) Doodhpeda (desiccated milk sweet) and Buttermilk
which is marketed through a network of Vijaya Dairy parlors and a chain of retailers spread across Andhra
Pradesh. The Dairy is equipped with the ISO 9001:2000 certification and recently ISO 14001:2004
certification.

DIFFERENT PRODUCTS OF VIJAYA DAIRY

GHEE
 Complete Milk Fat(99.7%)

 Granular and White incolor

 Agmark Special Grade product (Govt. Of IndiaCertification)

 Used as a cooking medium.

 Shelf – life of 6 months at ambient temperature

 Hygienically manufactured andpacked.

 Pleasantflavor.

 Rice source ofenergy.

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GHEE PACKET
 Complete Milk Fat(99.7%)

 Granular and White inColor.

 Agmark Special Grade product (Govt of IndiaCertification.)

 Used as a cooking medium

 Shelf – life of 6 months at ambient temperature

 Hygienically manufactured andpacked

 Pleasantflavor

 Rice source ofenergy.

COOKING BUTTER
 Has 76% Milk Fat, White incolour.

 Can be made into Ghee a per yourchoice.

 Needsrefrigeration.

 Pleasanttaste.

 Used also as a cookingmedium.

MILK
 Treated at Ultra High Temperature and asepticallypacked.

 Sterile, Bacteria free and can be consumeddirectly.

 Needs norefrigeration.

 Contains 4.5% fat and 8.5%SNF.

 Stays fresh for 120days.

 Gives excellent and firmcurds.

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  Hygienicallypacked.

 Natural taste with high nutritivevalue.

 Packaging material absolutely impermeable andnon-returnable

 Available as a groceryitem.

 Homogenized.

SLIM MILK
 Milk free fromfat

 Sterilized with U.H.T process and packedaseptically.

 Needs norefrigeration.

 Has 8.7% MilkSNF.

 Shelf life of 4 months at ambienttemperature

 Low calorie dietmilk.

 Bacteria free and can be consumeddirectly

 Gives firm fat free curds.

SKIM MILK POWDER

Manufactured by drying skim milk spray drying technology after Preconcentration.
 Rich in Protein and Carbohydrates.

 Constitute 3% Moisture, 35% protein, 52% Milk sugar and 1%Fat.

 Shield –life of 12 months at ambienttemperature.

 Product is hydroscopic and should be stored in air-tightcontainers.

 Solubility of99.5%

 BIS marked.
MERRI MILK
 Sweetened flavored milk with 1.5% Fat and 9.0%SNF.
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  Available in Strawberry, Raspberry, Vanilla, Pineapple andBadamflavors.

 Sterile, Bacteriafree

 Needs norefrigeration.

 Safe-life of 3 months.

 Excellent healthdrink.

 U.H.T Processed and aseptically packedHomogenized.

STERLIZED CRAM
 Has 30% Milk Fat with added stabilized and emulsifiers.

 U.H.T processed and aseptically packed.

 Need norefrigeration.

 Shelf-life of 3months.

 Can be used coffee whitening whipping to be used dessertsetc.

 Nutritive and Fresh

 Sterile, Bacteria free and no chemicalchanges.

 Homogenized.

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DOODH PEDA
 Made from freshmilk

 Desiccated sweetened milkproduct

 Contains 20% MilkFat.

 Smooth, granulartexture.

 Shelf life of one week at ambienttemperature.

CURD
 Made from standardized and pasteurized milk using bacterialculture.

 Shelf life of 1 week underrefrigeration.

 Packed in food grade polypropylenecups.

 Pleasantflavor.

PANNER
 Coagulated milk product made from pasteurizedmilk.

 Rich in protein.

 Shelf – life of 1 week.

 Needs norefrigeration.

 Used as an additive in various vegetarian and non-vegetarian dishes.

SERVICES OFFERED TO THE CONSUMERS

1) Offering wide range and milk products suiting to changingneeds.

a) Varieties of pasteurized milk

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 offered for supply: Vijaya
gold (fat 7% SNF 9% full
cream milk) Vijaya Special
(fat 6% SNF 9% full
creammilk)
Vijaya Premium (fat 4.5% SNF 8.5% standard milk fortified with Vitamin
‘A’.

b) Range of UHT processed milk products with shelf – life of 4months:

UHT processed standardized milk in 200ml and 1000ml Tetra

Brick pack. Sterilized cream In 200ml Tetra Brick Pack.
Flavored milk (LASSI) in 200ml Tetra Brick Pack.

c) Range of fresh milkproducts:

Curd (100ml,
200ml and 500ml
cups) Lassie
200ml Poly
packs.
Buttermilk 200ml Poly packs
Pannier 100gm, 200mg, 500mg,
and 1Kg packages. Doodhpeda
25gm, 250gm, 500gm and 1Kg
Packages. Milk cake 250gm,
500gm and 1Kg packs.
KharjuraKova 250gm,
500gm and 1Kg packs
Kharbhuja 200ml pack.
KulfiBadam
200ml pack
Badammix
power
200grs
packet

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 Gift pack 450gms and 900gms packet

Milky Mango magic 200ml and 1000ml packages.

d) Range of otherproducts:

Vijaya Ghee consumer tin packs of ½ Kg, 1Kg, 2Kg, 5Kg, 15Kg, and in
poly pack of 200ml and 500ml. Skimmed milk powder in ½ Kg, 1Kg and 25Kg packs
Cooking butter in 500gms and 20 Packs.

2) Special discount to intuitional buyers on purchase of milk in bulk quantities in loose

condition in cans. Supply of milk to consumers on purchase of monthly milk cards.
Round the clock availability of milk products through 250 cold chain point in the district.
Conduction consumer education camps to create awareness. About quality Of milk and
milk products. Free supply of chilled drinking water to parties buying more than 200
liters of milk on specialorder.
“SWOT ANALYSIS OF KDMPMACU”

Strengths

 Milk production potential in Krishna district issubstantial

 Ability to handle perishable productmilk

 Adequate infrastructural facilitiesavailable

 Availability of well experiencedprofessionals.

 Excellent brand value for“VIJAYA”

 Ability to meet any consumer demand for milk and milkproducts.

 Ability to offer best quality long lifeproducts.

 Established bondages withfarmers.

 Access to development funds andgrants.

 Access to other co-operatives.

 Vijaya Dairy is the only unit exporting milk products to countries likeMalaysia.

WEAKNESS
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  High fixed cost occupying 15% of business turnover.

 Milk and milk products are high priced loosing competitiveedge.

 Process/product manufacturing facilities and outdated. Lack of modernfacilities.

 Work culture and compatible with growing demand for customerservice.

 Employee skills at various levels require upgradation

 High ratio of class 4thstaff.

 Business systems and modern management culture is yet to beadopted.

 Managers lack businessexperience.

 System moves very slowly; due to lack of proper delegation all things seem to
wait for the chief executive.

OPPORTUNITIES
 Responsive milk producerbase

 Good publicimage

 Emerging trends of increased spending onfoods

 Rapidutilization.

 Growing food servicesector.

 Responsive stategovernment

 Pattern of increased spending onfoods

 Increased purchasing capacity of middleclass.

 Export opportunities for long life asepticmilk.

 Voluntary retirement scheme to prune man powerstrength.

THREATS
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  Intense competition in liquid milkmarket

 Entry of organized private sectors in dairybusiness.

 Increasing competition for the marketable surplus milk in ruralareas.

Employees Resistance tochange.

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