amul in rural india


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amul in rural india

  1. 1. <ul><li>The Kaira District Co-operative Milk Producers Union Limited, popularly known as Amul Dairy is a US $ 500 million turnover institution </li></ul><ul><li>It is a institution built up with a network of over 10000 Village Co-operative Societies and 500,000 plus members </li></ul><ul><li>Managed by an apex cooperative organisation, Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF), which today is jointly owned by some 2.41 million milk producers in Gujarat, India </li></ul>
  2. 2. <ul><li>Amul is the largest food brand in India with an annual turnover of US $1068 million (2007-08) </li></ul><ul><li>Currently Amul has 3.11 million producer members with milk collection average of 6.04 million litres/day. </li></ul><ul><li>Amul is the largest producer of milk and milk products in the world. </li></ul>Amul 2007-08 1068 850 2005-06 672 2004-05 616 2003-04 575 2002-03 500 2001-02 500 2000-01 493 1999-00 493 1998-99 455 1997-98 450 1996-97 400 1995-96 355 1994-95 US $ (million) Sales Turnover
  3. 3. Amul’s products range includes milk powders , milk, butter , ghee, cheese , curd , chocolate , ice cream , cream , shrikhand, paneer , gulab jamuns , basundi, Nutramul brand and others.
  4. 4. Product Range Brand Name <ul><li>Liquid Milk (nine varieties) </li></ul><ul><li>Milk Powders (five varieties) </li></ul><ul><li>Butter </li></ul><ul><li>Ghee (two varieties) </li></ul><ul><li>Bread Spread </li></ul><ul><li>Cheese (three varieties) </li></ul><ul><li>Cocoa Products (two varieties) </li></ul><ul><li>Sweets (three varieties) </li></ul><ul><li>Ice Cream (several varieties) </li></ul><ul><li>Condensed Milk </li></ul><ul><li>Edible Oil (nine varieties) </li></ul><ul><li>Mineral Water </li></ul><ul><li>Fruit Drinks </li></ul><ul><li>Panel E: Number of Brands </li></ul><ul><li>Liquid Milk: AMUL, SAGAR </li></ul><ul><li>Milk Powders: Amulspray, </li></ul><ul><li>AMUL, SAGAR, Amulspree, </li></ul><ul><li>Amulya </li></ul><ul><li>Cocoa Products: AMUL, </li></ul><ul><li>Nutramul </li></ul><ul><li>Edible Oils: Dhara, Lokdhara </li></ul><ul><li>Mineral Water: Jal Dhara </li></ul><ul><li>Fruit Drinks: Safal </li></ul>
  5. 5. Collection Chain Supply Chain Weighing the milk Determination of fat content Calculation of the purchase price <ul><ul><li>Storing the milk </li></ul></ul>Processing the milk <ul><ul><li>Distributing the milk </li></ul></ul>Amul Strategy
  6. 6. <ul><li>AMUL introduced an electronic automatic milk collection system in 691 milk collection centres , </li></ul><ul><li>The system weighs the milk and measures its fat content at the time of delivery to the centre. </li></ul><ul><li>This system reduced time required for collecting the milk. </li></ul><ul><li>It enabled immediate payments to the farmer </li></ul>AMUL WORKING TO COLLECT MILK electronic weighing scale MILK-O-TESTER
  8. 8. Farmers Village Cooperative Societies (with Chilling Units) Village Cooperative Societies (without Chilling Units) Local Restaurants/Other Milk related businesses Milk Sold to Village & Local Residents Milk Processing Union & Warehouses Warehouses Wholesalers/C&S Retailers Home Delivery Contractors CONSUMERS Network Services * Veterinary Services * Animal Husbandry * Animal Feed Factory * Milk Can Producers * Agriculture University * Rural Mgmt Institute * Trucking Facilities Chilling Plants CONSUMERS AMUL SUPPLY CHAIN
  9. 9. . Members: 2 district milk producing units Number of Producer Members: 2.5 million Number of Village Societies: 11,962 Total Milk Handling Capacity: 9.91 million litres per day Total Milk Collection: 2.28 billion litres Daily Average Milk Collection 6.3 million litres Milk Drying Capacity: 511 metric tons per day Cattle feed Manufacturing Capacity 2340 metric tons per day Sales Turnover: US $868 million AMUL INFRASTRUCTURE IN RURAL INDIA
  10. 10. Amul Marketing in Rural Sector in India <ul><li>Advertisements on Aakashwani </li></ul><ul><li>Advertisements on Aakashwani </li></ul><ul><li>Hoardings </li></ul><ul><li>Posters </li></ul>
  11. 11. AMUL INICIATIVE IN DEVELOPING RURAL RETAILING <ul><li>Insurance against natural calamities </li></ul><ul><li>Establish telecenters and enhance technology in villages </li></ul><ul><li>To charge for each service provided to the supplier </li></ul><ul><li>To purchase all milk that member farmers produced </li></ul><ul><li>To sell liquid milk at affordable prices so as to serve a large number of consumers </li></ul><ul><li>To develop and deliver services that will improve lives of people in the network </li></ul><ul><li>To hire professional managers, to run the federation and unions, whose values </li></ul><ul><li>included upliftment of rural poor. </li></ul>
  12. 12. CONCEPT Behind Rural Retailing <ul><li>Inspiring Leadership and Consuming Values </li></ul><ul><li>• Building Networks </li></ul><ul><li>• Coordination for Competitiveness </li></ul><ul><li>• Technology for Effectiveness </li></ul>The Management Paradigm: “Anand Pattern ”
  13. 13. WHY AMUL IS ? Physique : Taste, Quality Personality : Simple, Indian Self-Image : Proud Indian, Fun loving Reflection : Value Oriented Culture : Co-operative , Sharing Relationship : Sociable