Kmf Project

Karnataka evidence law University. Navanagar, HUBLI 580 025. - Phone 0836-2222392 fax 0836-2223392 - Website www. kslu. ac. in Principles and practices of management PROJECT- done at KMF ( co-operative society) NAME- Santosh B. M. CLASS- B. B. A. ,LL. B(HONS)(1STSEM) R. NO- 08 DATE- 20-10-2012 SUBMITED TO-Mr. Gangadhar G. carry over OF CONTENTS * INDUSTRIAL PROFILE a) Introduction to co-operative society, ) Background, c) Evolution or development. * phoner PROFILEa) Background of confederation,b) Vision and bursting charge statement society,c) Evolution of KMF,d) Products profile,e) Area of operation,f) Ownership pattern,g) Competitor information,h) Infrastructural facilities,i) Achievement or award if any,j) Future prospectus. *MC KENSYS 7s FRAME WORKa) Structure,b) Skill,c) Style,d) Strategy,e) System,f) Staff,g) Sh ar value. *SWOT analysis. * Summary of latest annual report. (a)INTRODUCTION TO CO-OPERATIVE SOCIETYThere is no universally veritable definition of a co-opera tive. In general, a co-operative is a business owned and democratically controlled by the plurality who use its services and whose benefits are derived and distributed equitably on the basis of use. The user-owners are called members. They benefit in two slipway from the co-operative, in proportion to the use they make of it. First, the more they use the co-operative, the more service they receive. Second, internet are al laid to members based on the amount of business they do with the co-operative.In many ways, co-operatives resemble other(a) businesses. They pitch similar physical facilities, perform similar functions and must follow bottom business practices. They are usually incorporated- under state law by filing articles of incorporation, granting them the right to do business. The organizers draw up bylaws and other necessary legal papers. Members elect a board of directors. The board sets policy and hires a jitney to run the day-to-day operations. But in some ways, co-operatives are distinctly different from other businesses.These differences are found in the co-operatives purpose, its ownership and control, and how benefits are distributed. They are reflected in co-operative rationales that explain the unique aspects of doing business on a co-operative basis. CO-OPERATIVESOCIETY Aco-operativesocietyisformedbythepeopleoflimitedmeansforself-importancehelp throughmutual help. It issetup toprotecteconomicallythepoorsectionsofthesociety. It issetupfor cooperation,notforcompetition. Themottoof asocietyisselfhelp,withoutdep differenceenceon otherbusinessunits.DEFINITIONAccordingtoHerrik,Cooperationis an natural dish upofpersonsvoluntarilyunitedforutilizingreciprocallytheirown forces,re semensorbothundermutualmanagementfortheir putting greenprofitorloss. Accordingto Mr. Plunket, Thecooperationisselfhelpmadeeffectivebyorganization. Co-operativeSocietyADVANTAGESOFCO-OPERATIVESOCIETYFollowingarethe all important(p)advantagesormeritsofco-operativeso ciety1. Advantagefor matureers2. EasyFormation3. EqualRights .4. EqualDistributionofWealth5. EconomicDemocracy .6. exterminationofMiddlemen7. FinancialAssistance8. FriendlyRelations9. ImprovetheStandardofLiving.10. IncreaseinEmploymentDISADVANTAGESOFCO-OPERATIVESOCIETYFollowingarethedisadvantagesofco-operativesocieties1. LackofCapital2. UntrainedSupervision3. wrongOrganization4. IlliterateandIgnorant.5. LackofExperience6. LackofDiscipline7. LackofSincereManagement8. LackofProfitIncentive9. LackofSecrecy10. Lackof fellowship (b)BACKGROUND AND EVOLUTION OF CO-OPERATIVE SOCIETYIn one sense, cooperation is probably as old as civilization.Early people had to learn to report together to meet their common requests, or perish. The Pilgrims who settled at Plymouth, jointly cleared fields put outdoor(a) by the Indians, broke up the soil, and planted and cared for their corn. by and by the harvest, celebrated with the Indians in 1621 with a Thanks free fest, the corn was shared equally among the settlers. Legend suggests that the initial structured co-operative business in the United States was the Philadelphia Contribution-ship for the redress of Houses from Loss by Fire, a mutual fire insurance company established in 1752.This associations genius is likely based on two factors. First, Benjamin Franklin was the organizer. Second, the business has been conducted so expeditiously over the days that it is still operating today. In the wee 1800s, co-operative businesses appeared on s perpetuallyal fronts. In Britain, co-operatives were formed as a tool to continue with the depressed economic and social conditions related to the struggles with Napoleon and industrialization. In the United States, resurrecters began to process their take out into cheese on a co-operative basis in diverse places such as Goshen, CT, and Lake Mills, WI.Writers some snips trace the origin of co-operatives from the Rochdale Equitable Pioneers Society, an urban, consumer co-operative organized in England in 1844. It sold consumer levelheadeds such as fare and clothing to persons unhappy with the merchants in the community While neither the first nor most successful early co-operative, the Rochdale Society real an active outreach program, encouraging and assisting others to form co-operatives. It to a fault prepared a written tend of practices and policies that bump intomed consonant with success of such efforts.This list became one of the first sets of co-operative principles, characteristics that distinguish co-operatives from non co-operative businesses. The Grange, founded in 1867, quickly became the major(ip) thrust behind agricultural and awkward co-operatives in America. In 1874, a Grange representative went to Europe to assemble information about co-operatives. In 1875, the Grange create a set of rules for the organization of co-operative stores, based on the Rochdale principles. local anesthetic granges organized stores to serve their rural me mbers.They sold groceries and clothing as healthful as general farm supplies, hardware and agricultural implements. Granges in the South marketed cotton. Those in Iowa operated grain elevators. In Kentucky, they sponsored warehouses for receiving and handling tobacco. California Granges exported stubble and marketed wool. As the country recover from the depression of the 1870s, fewer Granges were organized and many co-operatives went out of business, but the conflict of the Grange co-operative movement survives.It demonstrated that the Rochdale type of co-operative, which handled goods at prevailing prices and distributed net savings according to use, offered a sound basis for co-operative efforts in America. Cooperation flourished during the cardinal decades from 1890 to 1920. As many as 14,000 farmer co-operatives were operating by the end of the period. Co-operative growth was fueled by the wave of other farmer movements and farm organizations sweeping the country, such as th e American Society of Equity, National Farmers Union, and the American Farm Bureau Federation.They were engaged in selling closely of all timey farm crop and furnishing supplies and services to their producer-members. Many of todays major farmer co-operatives were formed during this period. The following decades stupefy seen farmer co-operatives develop their own pecuniary institutions through the Farm Credit System. Non agricultural co-operatives likewise developed the National Co-operative Bank. With help from the Rural Electrification Administration, rural residents used co-operatives to bring electric and telephone services to their towns and farms.The rural electrics formed the National Rural Electric Co-operative Finance plenty (CFC) as a supplemental source of financing. Some co-operatives have become larger, partially in response to growing concentration among their competitors and the firms their members must deal with. They have adopted modern management techniques a nd sophisticated processing, distribution and merchandise methods. Today rural and urban residents use co-operatives to acquire consumer services such as housing, accredit and other financial services (through credit unions), groceries, education and telecommunications. Franchisees, governmental nits, hardware and grocery stores, florists and numerous other businesses use co-operatives to market their products and secure the supplies they need at competitive prices. (a) BACKGROUND Of KMF Every one in karnataka as well as india knows a bit about Karnataka Co-operative take out Producers Federation Limited (KMF) is the Single Body in Karnataka representing Dairy Farmers Co-operatives. It is the second largest dairy farm farm farm co-operative amongst the dairy co-operatives in the country. In South India it stands first in impairment of procurement as well as sales. One of the core functions of the Federation is marketing of draw and milk Products.The BrandNANDINIis the househ old reboot for Pure and Fresh milk and milk products. KMF has 13 take out Unions throughout the State which procure milk from Primary Dairy Co-operative Societies(DCS) and distribute milk to the consumers in various Towns/Cities/Rural markets in Karnataka. The first ever origination Bank funded Dairy Development Program in the country started in Karnataka with the organisation of crossroads Level Dairy Co-operatives in 1974. The AMUL pattern of dairy co-operatives started functioning in Karnataka from 1974-75 with the financial assistance from World Bank, Operation Flood II III.The dairy co-operatives were established under the ANAND pattern in a three tier structure with the Village Level Dairy Co-operatives forming the base level, the soil Level Milk Unions at the middle level to take care of the procurement, processing and marketing of milk and the Karnataka Milk Federation as the Apex Body to co-ordinate the growth of the sector at the State level. Coordination of activiti es among the Unions and developing market for Milk and Milk products is the responsibility of KMF. Marketing Milk in the respective(prenominal) jurisdiction is organized by the respective Milk Unions.Surplus/deficit of liquid milk among the member Milk Unions is monitored by the Federation. While the marketing of all the Milk Products is organized by KMF, both within and outside the State, all the Milk and Milk products are sold under a common brand name NANDINI. (b) boot AND VISION OF COMPANY Vision * To march forward with a missionary zeal which will make KMF a groundbreaker of exemplary performance andachievements beckoning other Milk Federations in the country in pursuit of total aspiration of its good deeds. To ensure prosperity of the rural Milk producers who are ultimate owners of the Federation. * To promote producer orientated viable co-operative society to impart an impetus to the rural income, dairy productivity and rural employment. * To abridge the quip between pric e of milk procurement and sale price. * To develop business acumen in marketing and trading disciplines so as to serve consumers with quality milk, give a fillip to the income of milk producers. To argue with MNCs and Private Dairies with better quality of milk and milk products and in the process sustain invincibility of co-operatives. MISSION * Heralding economic, social and cultural prosperity in the lives of our milk producermembers by promoting vibrant, self-sustaining and holistic co-operative dairy development in Karnataka State (c) Evolution Karnataka Milk Federation which is most popular as KMF, evolved itself as a premier and most profitable dairy farmers organization in the State of Karnataka.As an chest of drawers in 1975 to implement the World Bank Aided Dairy Development Projects, Karnataka Dairy Development Corporation (KDDC) was formed, the company grew itself fast and as it spreads the wings of new found rural economic activity dairy farming all over the State, t he genesis of apex co-operative body took the shape of KMF in 1983 encompassing entire State with 13 District Co-operative Milk Unions executing the various parameters of Dairy activity organization of Dairy Co-operatives, Milk Routes, Veterinary Services, procurement of milk in two shifts of the day, Chilling, Processing of milk, distribution of milk and also founding of Cattle Feed Plants, Nandini Sperm Station, Liquid Nitrogen Supply, Training Centres as its main stay. The entire formation was reconstructed on the model of now well known ANAND pattern dairy co-operative societies. Eight southern districts of Karnataka was considered initially with a target of organizing 1800 Dairy Co-operative Societies, four Milk Unions and processing facilities were set up to the occupation of 6. 5 hundred thousands per day by 1984. Under Operation Flood II III, project which started in 1984 1987 covered the remaining parts of Karnataka. Thirteen milk unions are organized in 175 taluka s of all 20 districts then and the field work was extended by organizing more dairy co-operative societies. The processing facilities i. e. hilling centers, milk dairies and disintegrate plants were transferred in phases to the administrative control of respective co-operative milk unions and the activities continued to be implemented by these District Organisations. Additional processing facilities were created existing facilities augmented every decade with the help of Govt. / Zilla Panchayat and NDDB to handle ever increasing milk procurement without declaring milk holidays. The processing facility as exists at 32. 25 lakh liters/day is further strengthened. (d) AREA OF OPERATION IN KARNATAKA KARNATAKA MAP In this Karnataka map we can see the area of operation of K. M. F the symbol is K. M. Fs area of operation in Karnataka. K. M.F is having branches in more or less all districts of KARNATAKA UNITS OF KMF KMF has the following Units functioning directly under its control * Mot her Dairy, Yelahanka,Bangalore. * Nandini Hi-Tech Product Plant, Channarayapatna. * Nandini Milk Products, KMF Complex, Bangalore. * Cattle Feed Plants at Rajanukunte/Gubbi/Dharwad/Hassan. * Nandini Sperm Station (formerly known as Bull Breeding Farm Frozen Semen Bank) at Hessaraghatta. * Pouch Film Plant at Munnekolalu, Marathhalli. * Central Training Institute,Bangalore Traning Institutes at Mysore/Dharwad. * Sales Depots at Blore,Mysore,Mlore,Hubli,Gulbarga,Tirupathi Kannur (e) OWNERSHIP PATTERN Ownership K. M. F is like this a) District co-operative societies (b) National dairy development board (f) PRODUCTS PROFILE Nandini homogenized milk in pure milk which is homgenized And pasteurization consistent right through it gives you more cup of tea and coffee and its easily digestable. Nandini ghee made purely from kine milk and not adultrated. and good for health Cows pure milk, UHT processed bacteria free in tamper proof tera fino pack . which keep milk fresh upto 60 days with out refrigeration until capable , available in 500 ml and also in 1 liter Toned milk from nandini fresh and pure milk containing 3. 0 % fat and 8. 5% snf . available in 500 ml 1 liter .Full ice cream milk from nandini containing 6% fat and 9% SNF a rich creamy and tastier milk for home made sweets. (e) COMPETATORS INFORMATION 1. Arokya milk dairy- it procures most of its milk from milk unions of belgum . it procures 10,000 liters of milk every day. Its located near desur ,near belgum 10 km away from city on NH-4. 2. Mayor dairy it procures milk from belgum and other regional dirsticts mainly chikkodi, rayabhag ,and athani. Procures more than 25,000 liters daily. its located near kholapur,and supplys milk to all over state. 3. Adity milk dairy a well known company in north Karnataka and procures milk 25,000 milk (approx) 4. Ram-Rahim milk dairy this is solely owned small master rivate company established in1987 with an investment of 2. 28 lack in dharwad (f) FUTURE PROSPECTUS PE RSPECTIVE PLAN- 2010 After the closure of OF-III project. Government of Karnataka and NDDB signed an MOU during February 2000, for further strengthening the Dairy Development Activities in Karnataka with an outlay of Rs. 250 Crores. effect to the announcement of new lending terms and conditions by NDDB through an evolution of an action plan aspect 2010 to enable the dairy co-operatives to face the challenges of the increased demand for milk and milk products by focusing efforts in the four major thrust areas of Strengthening the Co-operatives.Enhancing Productivity, Managing Quality and building a National Information Network, plans are under implementation. FUTUREVISION To consolidate the gains of Dairying achieved in the state of Karnataka and with a viewto efficiently chill, process and market ever developing and increasing milk procurement with an utmost emphasis on the Quality and in the process conserve the socio-economic interests of rural milk producers, the Govt. of Kar nataka through KMF has proposed to undertake several projects with financial and technical support of NDDB for which an MOU was signed between Govt. of Karnataka and NDDB on 10th Nov. 2004. (g) THE GROWTH PROCESS The growth over the years and activities undertaken by KMF is summarised briefly hereunderITEMS UNITS 1976-77 2011-2012(Up to Mar12) 2012-13(Upto Aug12 Dairy Co-operatives Nos 416 13006 REGED / 11568 Funct 13242 REGED /11773Funct Membership Nos 37000 21. 51 Lacs 21. 84 Lacs Avg. Milk Procurement Kgs/day 50000 Avg. 42. 85PeakProc. 46. 49(Nov11) LKPD Avg. 49. 45PeakProc. 52. 76(June12LKPD Milk Sales Lts/day 95050 28. 90 LLPD / Curd2. 74 LKPD / Good invigoration 2. 19 LLPD 28. 18 LLPD / Curd3. 11 LKPD / Good life 2. 19 LLPD Cattle Feed Consumed Kgs/DCS 220 2958 3025 Daily pay to Farmers Rs. Lakhs 0. 90 785 987 Turnover Rs. Crores 5823. 69 - World Bank Study ObservationsThe World Bank, in its study on the effect of Co-operative dairying in K arnataka, has pointed out that * The villages with Dairy Co-operative Societies are much better off than those without. * The families with dairy cattle are economically better than those without dairy cattle. * Women who had no control on the household income have better control in terms of Milk Money. * A single commodity ? MILK? has acted as a catalyst in the change in the Socio-Economic impact of the rural economy. * There is a constructive impact on those at the lower end of the economic ladder both in terms of landholding and caste PART B MC KENSYS 7S FRAME WORKMC Kensyss 7s tack together work the 7s is popularly known as mc kensys 7s ,because two persons developed this model tom turkey peter and Robert waterman . they both have been consultants at MC Kensys co. At that time they published 7s in their article STRUCTURE IS NOT ORGANISATION , in 1980 . ART OF JAPANESE MANAGEMENT in 1981,and in IN SEARCH OF EXCELLENCE in 1982. Model consists of 7 elements they are distinguish ed as hard and soft skills. Hard skills are feasible and easy to understand, soft skills are known by workers department. I. (a) STRUCTURE OF ORGANISATION UNDER BOARD OF MANAGEMENT II. (b) STRATAGY * To achieve national goal K. M. F industrial plant a lot to change according to consumer needs and taste. Maintaining consistant growth adn expansion of market all over india. * Tries to stick to stick to plan and achieves objectives. * Maintaining quality of product and acquiring market. III. (c) SYSTEM K . M. F industrial plant in a systematic manner in production and in management ,while producing they follow to ways * Maintaining enough inventory. * Well equipped storage facility. * Fast transportation. IV. (e) STAFF This co-operative society makes use of various principle of staffing and recruitment Other like personel, promotion, induction, salaries, and other benifits to make thir woekers perform well and to extract maximum from their work. V. (f) dexterityHere staff is recrui ted according to skill , like differentiating between educational skill and hard skills . and they also train their workers for skill development. VI. (g) STYLE K. M. F a specific style of work like it (a) strictly follows rules and regulation (b) co-ordination between workers (c) reliable and dependable VII. (h) SHARED VALUES Some fundamental and core determine which are spread and shared in the organisation in KMF they are * Consumer satisfaction, * Commitment to quality, * Cost and time conciseness, * Innovative and creativity, * Trust and team spirit , * Individual respect, * Integrity. PART C S. W. O. T ANALYSIS STRENGHTS * enjoys good market, * Wide distribution, * It has good will, * Enjoys market region * less(prenominal) transport cost to local areas, * WEAKNESS * Less sales and consumer handling, * Commissions paid is less compared to other brands, * In adequate sales promotional activities, * OPPORTUNITIES * There is cooking stove in new developing areas * Availability of milk , * Wide area to extract source, * THREATES * Lots of emergent pioneer companies, * Low level of consumer awareness, * Tough competition. ANNUAL REPORT As we can see that annual report of company is quite impressive , and company is performing well. BIBLIOGRAPHY 1. KMF DHARWAD.