A REPORT ON SUMMER INTERNSHIP/ PROJECT WORK STUDY OF “ HUMAN RESOURCE INFORMATION SYSTEM” AT AMUL ANAND Submitted to INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I 2 IM) CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY (CHARUSAT) CHANGA Prepared by PATEL .SNEHA .P ID No.: 09MBA58 M.B.A. First Year Under the Guidance of PROF . SUJATA KRISHNAMURTHY JULY 2010 1
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A REPORT ON
SUMMER INTERNSHIP/ PROJECT WORKSTUDY
OF “ HUMAN RESOURCE INFORMATION SYSTEM”
AT
AMUL ANAND
Submitted to
INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM)CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY
(CHARUSAT) CHANGA
Prepared byPATEL .SNEHA .P ID No.: 09MBA58M.B.A. First Year
Under the Guidance of PROF . SUJATA KRISHNAMURTHY
JULY 2010
1
PREFACE
Summer Internship Programme is a part of MBA Programme, which is very
helpful in getting practical knowledge in this globalization world. Now-a-days only
theoretical knowledge is not enough to success in life but most important we
must have practical knowledge. With the help of this training, I came to know how
to apply theoretical knowledge in practice.
Main purpose of this training is to have awareness about industrial environment
and to know about function of different functions of an organization like Human
resource, Finance., Production and Marketing.
I got an opportunity in KAIRA DISTRICT CO-OPERATIVE MILK UNION
LIMITED, Anand, Gujarat to undergo Summer Internship Programme as a part of
MBA Programme. I consider myself privileged that I got a chance to work with
reputed company and can upgrade my knowledge related to practical aspect of
business world which is very helpful in my career building.
.
- Patel Sneha
2
ACKNOWLEDGEMENT
I would like to express my heartfelt gratitude toward Mr. Mr. J. K. Joshi [G. M.]
the chairman of the AMUL, who gave me permission to do my Summer Training
Project in AMUL. Also I would like to convey my sincere thanks to Mr. Mr. Cyril
parmar (Training in charge)who supported me in acquiring practical knowledge
throughout guiding me in my project.
I am deeply thankful to Prof. G. K. Krishnamurthi, Principal, Indukaka Ipcowala
Institute of Management for permitting me to do Summer Training Project and
encouraging me to complete successfully. I would also like to thank my faculty
guide Mrs Sujatha Krishnamurthy, for her keen interest, valuable guidance,
inspiration, immense zeal for hard work and positive outlook towards the subject.
Her intellect, persuasiveness and insistence on a good work were a guiding light
in the darkness of my ignorance.
I would also like to express my sincere thanks to the other faculty members and
administrative personnel who have helped me in carrying out my summer
training. Lastly, I would like thank all the persons who have helped me directly or
indirectly in completing my project successfully.
3
DECLARATION
I , ____________________________, student of the FIRST-year MBA programme at Indukaka Ipcowala Institute of Management (I2IM) hereby declare that the report on summer training and project work entitled “___________________________________” is the result of my own work. I also acknowledge the other works / publications cited in the report.
(Signature)Place: ChangaDate: (Name of the student )
4
INDEX
Sr.No. PARTICULARS Page No.
1 PREFACE 2
2 ACKNOWLEGEMENT 3
3 PART – A INTRODUCTION
6
4 COMPANY PROFILE 9
5 MARKETING MANAGEMENT 20
6 PRODUCTION &OPERATION MANAGEMENT 27
7 SUPPLY CHAIN MANAGEMENT 41
8 HUMAN RESOURCE MANAGEMENT 43
9 FINANCE MANAGEMENT 52
PART – B
CASE STUDY ON HUMAN RESOURCE INFORMATION SYSTEM OF AMUL
65
10 ANNEXURE 70
11 BIBILOGRAPHY 71
5
Executive summary
AMUL is a co-operative sector. It is the institution of the farmers, for the farmers and
from the farmers. The AMUL gives pleasure to the farmer to charge the own price, which
was not possible in earlier years. This union was born on 14th December 1946. The union
provides facilities to its members like more return, satisfactory price, insemination, first
aid, group Insurance, cattle food at confessional price etc.
I have done case analysis on HRIS of AMUL and from that I have come to know how
organization operates and how the functions have been carried in the organization . From
this is case I have come to know how a wide organization like AMUL manages its
Human resource .
AMUL dairy has five main departments like finance, personnel, commercial, milk
procurement and production. The finance department does the clerical work and takes
care of inflow and outflows of the cash. The other work of finance Department is to audit
of annual work.
The personnel department handles the work regarding personnel like appointment,
recruitment, promotion, transfer, dismissal, demotion, performance appraisal etc.
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PART - A
ORGANSATION PROFILE
7
8
Symbol of Amul is a ring of four hands, which are coordinated each other .The actual meaning of this symbol is coordination of hand of different people by whom this union is now at top.
First hand is for the farmers (producers), without whom the organization
would do not existed. Farmers are the inspiration of the AMUL – the taste of
India.
Second hand is for the representatives of processors by whom the raw milk
processed into different finished products.
Third hand is for marketers without whom the product would have not be able to
reached to the customer.
Fourth hand is for customers without whom the organization could not carry on
because they are the people who consume the product. The union of Amul would not
have been the second biggest successful company in the world without the
coordination of the above four hand.
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ORGANIZATION PROFILE
NAME : KAIRA DISTRICT CO- OPERATIVE
MILK PRODUCERS’ UNION LIMITED,
ANAND.
FORM : Co-operative sector under the co- operative
Society Act.
REG.OFFICE : Kaira District Co-operative Milk producers
Union ltd, Anand -3881001.
Gujarat, India.
PROMOTERS (1) SHRI TRIBHUVANDAS PATEL
(2) SHRI MORARJI DESAI
(3) SHRI VALLABH BHAI PATEL
(4) Dr. VARGHESE KURIEN
BANKERS : 1. Kaira District Co-operative Bank.
2. Axis Bank.
3. State Bank of India.
4. Bank of Maharastra.
5. Corporation Bank.
6. Bank of Baroda.
7. Bank of Saurastra.
AUDITORS : Special Auditors (Milk), Milk Audit Office
Anand.
SOCITIES : 1113.
MEMBERS : 6, 31,333.
OFFICE TIME : 1O:00 A.M TO 06:00 P.M.
PREMISES : 49.55 Acres.
REGISTRATION : 14th December, 1946.
10
The Amul – Meaning
AMUL means “ priceless “ in Sanskrit . A quality control expert in Anand suggested the
brand name “AMUL” from the Sanskrit word “Amoolya” variants, all meaning
“priceless” are found in several Indian languages. Amul products have been used in
millions of home since 1946 .
Amul butter
Amul milk powder
Amul ghee
Amulspray
Amul cheese
Amul chocolates
Amul Ice- cream
Today Amul is a symbol of many things . of high – quality products sold at reasonable
prices . F triumph of indigenous technology . Of the marketing savvy of a farmers
organization . And proven model for dairy development .
MOTTO, VISION, AND QUALITY POLICY
MOTTOThe main motto of AMUL is to help farmers. Farmers were the foundation stone of
AMUL. The system works only for farmers and for consumers, not for profit. The main
of AMUL is to provide quality products to the consumers at minimum cost. The goal of
AMUL is to provide maximum profit in terms of money to the farmers.
VISION
Vision of AMUL is to provide and vanish the problems of farmers (milk producers). The
AMUL apparition was to run the organization with co-operative of four main parties, the
farmers, the representatives, the marketers, and the consumers.
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QUALITY POLICY
We the motivated and devoted work force of AMUL are committed to produce whole
some and safe foods of excellent quality to remain market leaders through deployment of
quality management system, state of art technology innovation and eco- friendly
delightment of customer and betterment of milk producer
HISTORY
In early 1940’s a farmer in Kaira district, as elsewhere in India, derived his income
almost entirely from seasonal crops. The income from milk was paltry and could not be
depended upon. The main buyers were milk traders of Polson Ltd.-a privately owned
company that enjoyed monopoly for supply of milk from Kaira to the Government Milk
Scheme Bombay. The system leads to exploitation of poor and illiterate farmers by the
private traders.
12
However, when the exploitation became intolerable, the farmers were frustrated. They
collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the
freedom movement. Sardar Patel advised the farmers to sell the milk on their own by
establishing a cooperative union, instated of supplying milk to private traders. Sardar
Patel sent the farmer to Shri Morarji Dasai in order to gain his Co-operation and help.
Shri Dasai held a meeting at ‘Samrkha’ village near Anand, on January 4, 1946. He
advised the farmers to from a society for collection of the milk.These village societies
would collect the milk themselves and also decided prices for that which would be
profitable for them. The district union was also from to collect the milk from such village
cooperative societies and to sell them. It was also resolved that the government should
asked to buy milk from the union.
However, the government did not seem to help farmer by any means. It gave the negative
response by turning down the demand for the milk. To respond to this action of
government, farmer of Kaira district went on a milk strike. For 15 days not a single drop
of milk was sold to the traders. As a result the Bombay milk scheme was severely
affected. The milk commissioner of Bombay then visited Anand to assess the situation.
Finely he decided to fulfill the farmers demand.
Thus their cooperative unions were forced at village and district level to collect and sell
milk on a cooperative basis, without the intervention of government. Mr. Verghese
Kurien had main interest in establishing union who was supported by Shri Tribhuvandas
Patel who convinced farmers in forming the cooperative unions at thevillage level. ‘The
Kaira District Co-operative Milk Producers’ Union’ was thus established in Anand and
was registered formally under section 10 of Bombay Act VII of 1925 on December 14,
1946. Since then farmers are selling all the milk in Anand through cooperative union. In
1955 it was commonly decided the sell milk under the brand name ‘Amul’
At the initial stage only 250 liters of milk was collected everyday. But with the growing
awareness of the benefits of the co-operative-ness the collection of milk increased. Today
Amul collect 50, 00,000 liters of milk everyday. As the milk is perishable commodity it
became difficult to preserve milk for a longer period. Besides when the milk was to be
13
collected from the far places there was a fear of spoiling of milk. To over come this
problem the union thought to develop the chilling unit at various junctions, which would
collect the milk and could chill so as preserve it a for a longer period. Thus, today Amul
has more than 168 chilling centers in various villages. Milk is collected from almost 1097
societies.
With the financial help from UNICEF, assistance from the government of New Zealand
under the Colombo plan, of Rs. 50 million for factory to manufactory milk powder and
butter. Dr. Rajendara Prasad, the president of India laid the foundation on November 50,
1954. Shri Pandit Jawaharlal Nehru, the prim minister of India declared it open at Amul
dairy on November 20, 1955.
A plant to manufacture balanced cattle feed was formally commissioned on October 31,
1964 by Shri Lalbahadur Shastri, the Prime Minister of India. At the request of the
government of India, a new dairy with a capacity to manufacture 40 tons of milk powder
and 20 tons of butter a day was completed in 1963. This was meant to meet the
requirement of India’s defense forces. The dairy was declared open by ShriMorarji Desai
in April, 1965. in 1974, the Kaira Union setup a plant to manufacture high-protein
weaning food, chocolate and malted food at Mogar, about 8 km south of Anand.
In September, 1981, the second cattle feed plant at ‘Kanjari’ were started. The succesion
of the co-generation project on September 11, 1985, marked a milestone on the energy
front when two gas turbine generators of 1.5 MW each based on natural gas, were
commissioned. On October 31, 1992, Dr. V. Kurien chairman, National Dairy
Development Board, laid the foundation of Kaira Union’s third dairy with a processing
capacity of 6.5 lakh liters of milk a day. Work on the third dairy and cheese plant at
‘Khatraj’ with capacity for 20 Metric Ton of cheese per day, began in February, 1994.
Also in 1994, Kaira Union put up bread spread plant at ‘Mogar’ with the assistance from
National Dairy Development Board.
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THE AMUL BUTTER GIRL STORY
Amul Butter Girl: The moppet who put Amul on India's breakfast table.
50 years after it was first launched, Amul's sale figures have jumped from 1000 tones a
year in 1966 to over 25,000 tones a year in 1997. No other brand comes even close to it.
All because a thumb-sized girl climbed on to the hoardings and put a spell on the masses.
Bombay: Summer of 1967. A Charni Road flat. Mrs. Sheela Mane, a 28-year-old
housewife is out in the balcony drying clothes. From her second floor flat she can see her
neighbors on the road. There are other people too. The crowd seems to be growing larger
by the minute. Unable to curb her curiosity Sheela Mane hurries down to see what all the
commotion is about. She expects the worst but can see no signs of an accident. It is her
four-year-old girl who draws her attention to the hoarding that has come up overnight.
Round eyed, chubby cheeked, winking at you, from strategically placed hoardings. She is
the Amul moppet everyone loves to love
For 30 odd years the Utterly Butterly girl has managed to keep her fan following intact.
So much so that the ads are now ready to enter the Guinness Book of World Records for
being the longest running campaign ever. The ultimate compliment to the butter came
when a British company launched butter and called it Utterly Butterly.
15
It all began in 1966 when Sylvester daCunha, then the managing director of the
advertising agency, ASP, clinched the account for Amul butter. The butter, which had
been launched in 1945, had a staid, boring image, primarily because the earlier
advertising agency which was in charge of the account preferred to stick to routine,
corporate ads.
The Amul girl who lends herself so completely to Amul butter, created as a rival to the
Polson butter girl. This one was, village belle, clothed in a tantalizing choli all but
covering her upper regions. "Eustace Fernandez (the art director) and I decided that we
needed a girl who would worm her way into a housewife's heart. And who better than a
little girl?" says Sylvester daCunha. And so it came about that the famous Amul moppet
was born.
16
ORGANISATION STRUCTURE OF AMUL
Board of Director
CHAIRMAN
MANAGING CHAIRMAN
GENERAL MANAGER
ASSISTANT GENERAL MANAGER
MANAGER
DEPUTY MANAGER
ASSISTANT MANAGER
SENIOR EXECUTIVE
SENIOR OFFICER
SENIOR ASSITANT
WORKERS
Grade ( Ato E)
.
17
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INTRODUCTION – MARKETING MANAGEMENT
Every organization that produces one or more products requires marketing of the products sell
them in the market. It is only through marketing that people know about a company's products.
Hence marketing is considered as a key activity of organization. The organization requires sound
marketing structure to carry on its marketing activities.
However the concept of marketing is not confined only to selling of goods and services to
customers. Instead the company tries to create and maintain the customer base through marketing.
The marketing thus focus on the customer needs and wants in the market and emphasis on
producing and selling only those goods, which have higher demand in market. The company
mainly markets its products through advertising. Marketing uses various sales promotional tools
to boost the sales of the company. The marketing department thus should have sound distribution
channel and promotional system to make the marketing activities sound.
Concept
The marketing concept holds the key to achieving its organizational goals consists of the
company being more effective than competitors in creating , delivering and communicating
customer value to its chosen target markets . marketing starts with the determination of
consumer wants and ends with the satisfaction of those wants. The concept says that any
business should be organization around the marketing function, aningticipating and
stimulating and meeting customers need . The marketing concept rests on four pillars and
they Are
1. Target market
2. Customer needs
3. Integrated marketing
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4. Profitability
AMUL has also its own marketing concept . AMUL targets all type of customers like
babies , children , young customers and old age customers etc . Amul try best for
satisfying needs by providing good quality products.
Marketing Mix
The marketing mix , which is set of four elements or four “ P” of marketing are as
follow
1. Product
2. Price
3. Place
4. Promotion
Same as four “P” there is also four “ C” of marketing.
1. Customer solution
2. Cost
3. Convenience
4. Communication
PRODUCT :
A product is anything that satisfies a needs or wants and can be offered to the market for
exchange. A product can be a goods , services without product there is no marketing .
This includes product variety ,product design , packaging , quality , brand name, size etc.
AMUL produces and sell i.e. Milk , It has to plan Its product very carefully so that the
consumer gets only good quality products. There are various products marketed by
GCMMF
List of products marketed
Bread spread
Amul butter
Amul Lite Low bread spread
Amul cooking butter
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Cheese range
Amul Malai panner ( cottage cheese)
Amul pasteurized processed cheese
Amul pizza cheese
Amul Emmiatial cheese
UHI Milk Range
Amul shakti 3% fat milk
Amul Taaza 1.5% fat milk
Amul Gold 4.5% fat milk
Amul fresh Toned milk
Amul snowcap soft milk.
Pure ghee
Amul pure ghee
Amul cow ghee
Sagar pure ghee
Infant milk Range
Amul infant milk formula (0.6 millions)
Amul infant milk formular
Amul spray infant milk food
Milk powder
Amul full cream milk powder .
Curd products
Yogi sweetened flavored dahi
Amul Lassee
Amul masti Dahi
Price :-
21
The prices of products of Amul are also decided by the GCMMF. The GCMMF conducts
the market survey to check the validity and feasibility of prices in the market and
accordingly decides the prices of Amul products.
The price of the products of Amul are also decided by the Gcmmf .The Gcmmf
conducts the market survey to check the validity and feasibility of prices in the market
and accordingly decides the price of Amul products . However , the price is inclusive of
several elements like:
• Cost of milk
• Labour cost
• Processing cost
• Packaging cost
• Advertising cost
• Transportation cost
• Sales promotion cost
• Taxes etc.
The GCMMF considers all this cost . aspects and set them up in pricing structure to
decide the selling price of milk and milk products.
Promotion
IT includes a variety of techniques including advertisement , sale promotion,
public relations and personal selling that are used to communicate with customers and
potential customers . Television is the best media for advertising in the local areas .
Hoardings designed on the creative basis attract the customers more .
Place
Place refers to marketing activities that make products available to consumers at the
right time in a convenient location . place refers as distribution Channels .IT is the
process of moving products from the producer the consumer.
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Amul has developed federation and Amul parlours located in several parts of country
.Amul have managed to create more than 2300. Amul have identified certain potential
locations such as Railway , Airports , universities , and shopping malls . The GCMMF
handles the workers relating to Managing of stocks and distributors to in the country.
Thus GCMMF looks offer the disbursement of products to the various Marketing
channels.
Market segmentation : -
Any commodity has not a single Market. But it has a composite Market which can be
divided on the basis of age, gender , preferences etc . The process of dividing a market
into disticnt groups of buyers is called market segmentation . Market segmentation may
be defined as a process of dividing a Market into different sub- markets on the basis of
some definite criteria .
At Amul, since marketing activities are handle by the GCMMF , market segmentation
is also decided by Gcmmf . Generally , Milk products like Butter , cheese are also
popular in the all age group. Hence they are segments at the national level. Milk products
like chocolates and milk powder are segmented on the basis of age . The GCMMF
conduct the market survey to know demand for the products of Amul in the Market and
then accordingly determines the market segments, defines the target market .
MARKETING &GCMMF
GCMMF is India’s largest exporter of dairy products . It has been awarded as a
“Trading House” status . GCMMF has received the APEDA award from the government
of India for Excellence in dairy products Exports for the last 11 years . Gcmmf is India’s
largest food products Marketing Organization . It is a state level apex body of milk co-
operatives in the Gujarat which aims to provide remunerative returns to farmers and also
serve the interest of consumers by providing quality products which are good value for
money
23
The major export products :- The products of Amul is being exported in the 40
countries of the world . Many of the products are now available in the U.S.A , Gulf
countries and Singapore. Amul products are being exported to the Singapore since last
three decades . undoubtedly , Amul is the preferred taste of Indians in the Gulf countries.
Consumer packs:-
Amul pure Ghee
Amul Butter
Amul Shrikhand
Amul Mithaee Gulabjamun
Nutramul Brown Beverages
Amul cheese
Amul malai panner
Amul Gold Milk
Amul UHT Milk ( Long Life)
Amul Taaza Double Toned Milk
Amul Life slim and trim Milk
Amul fresh cream
BULK PACKS
Amul Skimmed Milk powder
Amul Full Cream Milk powder
The following Amul products are available in the Gulf Markets :-
Amul / Sagar pure Ghee
Amul cheese Tin and Slices
Amul Shrikhand
Amul Butter
Amul Gold milk
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Amul – cool chocolate Milk.
Marketing Research : -
“ Marketing Research is the systematic design collection , analysis and reporting of
data and findings relevant to a specific marketing situation of the company .
Amul performs the marketing research mainly to launch a new products in the
market. The purpose is of checking the validity of the new products in the market for the
local new . Amul conducts the market survey by appointing business administration
students for conducting the market survey . Extending policy of the new producted
launched , Amul has recently launched the energy drink named “ STAMINA” specially
targeted to the people who are playing sports daily .
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PRODUCTION &OPERATION DEPARTMENT
INTRODUCTION
Production management is refers to the process of correction of past mistakes catching up
with the new techniques, taking up steps with developing techniques and taking measures
for the production of goods at competitive cost.”
The basic philosophy of production management is to launch a frontal attack on
direct costs and effective use the availability manpower weaving new techniques in to the
whole to keep the production unit efficient and developing production management is the
process of planning, organizing, directing and controlling.
The Amul is started with only 250 liters of milk per day. But now Amul collect
average 9 lakhs of liters milk per day. At the initial stage, Amul has not any problem
regarding milk, but in the winter season there was excess supply of milk. So, Amul has to
sell out that excess milk at the low price or Amul has to face loss. To removing these
problems Amul take decision to set up a plant to process the surplus milk butter and milk
powder.
Today the Amul has three plants Known as Amul 1, 2 & 3 all three plant work 24
hours a day continuously. The all manufacturing process is done automatically. The
production is done in the special machines. These machines and the technology are
import-id from the TRFTA PEAK Company. There is also facility of chilling of milk, so
that the milk remains usable.
Today three plant of AMUL perform different function.
1. AMUL – 1 presently it is use as a go down for storing raw materials.
2. AMUL – 2 Today in this unit, the production process of Ghee and packings are
running .
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3. AMUL – 3 This unit is producing AMUL butter, AMUL spray powder, and
flavored milk.
Organization Structure
Managing Director
General Manager
Dairy Plant Asstt. G. M.
Manager Manager Officer A.M.
(Production) (Eng.) (Eng.)
Dy. Manager Workers Officers
(Eng.)
A.M. Technicians
(Eng.)
Eng. Workers
Officers
Technicians
Eng. Worker
27
Milk Collection Cycle
The success of each and every dairy industry is the getting the milk from the
farmers and making that milk in use as soon as possible before that milk get spoiled
because the milk is the perishable product. For the smooth running the business of dairy
industry the industry must concentrate on the milk collection cycle. Amul dairy is very
conscious about the milk collection cycle because the base of the success of the Amul is
milk collection cycle.
Production capacity of Amul
Butter 50 to 60 Tones
Powder plant 70 tones
Powder plant 60 tones
Flavour milk 40000 bottles
About Machinery
In AMUL – 3 production of powder, Butter and Milk are being done continuously. These productions are done by latest machineries equipped with computer system and it is handled by one technicians.
- The Milk pasteurizer machines belong to Alfa level company of Pune
- Powder plant machineries belong to L & T Larson and Turbo company of India
- Butter production machineries belong to S.G.company of switrzland and other
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- Butter manufacturing production machineries belong to Simon Feres com.of France
Amul – 2 Raw Reception Dock
Reception dock is the very first department of any dairy where milk is unloaded and
simultaneously tested . Amul-2 has a well designed RMRD , situated in the west wing of
dairy . Raw milk at Amul- 2 is received mainly through cans . There are 2 reception lines
for unloading milk cans in Amul – 2 . About 60 % of reception is of buffalo milk and
remaining 40% is cow milk .
Flow chart of Amul-2 process
Unloading of cans
Chain conveyer
Removal of cans lid
Physically inception of milk
Transfer of milk to dump tank ( 12-13cans/ min)
Filter
Weighing
Raw milk collection tank – Amul -3
29
Pasteurization ( At 80 C for 15 seconds)
Standardization
Processed milk silo
Sent to different production section milk pouch packing
section
Butter section
The utterly Butterly Delicious butter of the Amul is one of the most popular product of
Amul dairy along with the famous butter girl . The butter section is located in Amul -3
which manufactures Table Butter , white butter and renduced salt butter . The section is
completely computer controlled and is equipped with most modern imported
equipments .Butter section very important as it handles fat, which is the costliest
constituent . The cream obtained from process section is fully utilized for butter making .
Amul white and table Butter is exported to USA and various Middle Eastern countries .
OPERATION
The cream for manufacturing Butter is receiving from Amul-3 process section while
standardization of milk . In Amul -3 the milk fat will be separated at above 60 Celsius ,
the centrifugal separators inline with Milk pasteurizer separate this as cream . The cream
thus separated is pasteurized and then pumped to the cream buffer tanks and to cream silo
.After ageing at 8 Celsius for 24 hrs , cream is pumped to cream chilling unit in the
butter section . there the temperature of cream is adjusted to the required churning
temperature of continuous Butter Making Machine.
Flow chart of Butter processing
Raw cream
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Pasteurizer (90 to 95 C )
Cooling (8-9 C)
Ageing(8-9 C/ 24hours)
Cream Balance tank
PHE ( for temperature adjustment at 6-8 C)
Churning (speed 500- 1200rpm)
Butter Grains butter Milk Washing with butter milk
Current Assets: Deposits 169.25 214.05 277.29 Due from societies 0.06 0.11 5.06 Advances 417.25 777.80 960.91 Trade Debtors 6015.61 8458.69 4435.10 Sundry Debtors 372.62 404.62 534.52 Income – Tax Deposits 93.41 91.53 131.68 Society Loans- BMC project - - 1036.45(B) Total Current Assets 7068.19 9946.80 7380.01
Cash & Bank: Bank Current Account 224.31 159.84 583.65 NDDC BMC Project A/c 0.00 501.63 128.00 F. D in Bank 3503.19 2649.03 1340.76 Cash on hand 0.62 0.71 1.00(C) Total Cash & Bank 3728.11 3311.22 2053.41GROSS WORKING CAPITAL (A+B+C) 19874.2 28995.89 28674.39
58
In AMUL, Current Assets are made up of stock (both trading and stores), Advances
and Debtors (deposits, due from societies, advances, trade debtors, sundry
debtors etc.) and cash and bank balances.
Percentage change in investment in Current Assets
FINANCIAL YEAR G. W. C. % INCREASE2005-06 18990.94 -2006-07 19874.20 4.42 %2007-08 28995.89 45.90 %2008-09 28674.39 -1.11 %
Net Working Capital:
Net Working Capital is the excess of current assets over current liabilities and provisions.
Net Working Capital is positive when Current Assets exceed current liabilities, and
negative when current liabilities exceed current assets. This concept has been following
practical relevance.
1. It indicates the ability of the firm to effectively use the spontaneous
finance in managing the firm’s Working Capital requirements.
2. A firm’s short term solvency is measured through the Net Working
Capital position it commands.
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CALCULATION OF NET WORKING CAPITAL OF AMUL:
PARTICULARS
2006-07
2007-08
20
08-09(A) Total Current Assets 19774.20 28995.89 28674.39
Less: Total Current LiabilitiesDeposits 380.71 168.24 232.99Due to Societies 6264.11 7223.31 12017.60Outstanding against Expenses 1076.90 1423.59 1828.48Outstanding against purchase 3373.85 4298.31 3058.15Sundry Creditors 337.14 459.06 336.56 Total (B) 11432.71 13572.51 17473.79Net Working Capital (A-B) 8441.49 15423.38 11200.60
Source: Balance sheet’s of last 3 years)
Efficient Working Capital Management requires that the firm’s should operate with the
amount of Net Working Capital. The data of last three years shows the margins by which
Current assets over the short term obligations and such margins were more in 2007-08 as
compared to past years. The portion of current which can be financed through long-term
assets has decreased in 2008-09 as the portion of current liabilities has proportionately
increased and hence the Net Working Capital is low in 2008-09.
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PART – 2
STUDY ON HUMAN RESOURCE INFORMATION SYSTEM
OF
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STUDY OBJECTIVES :
• To understand , how human resource being managed by the organization.
• To study the maintenance of the records of their employees.
• To study if organization is using ICT for HR functions and to maintain
database.
• To study the users perception about HRIS
Definition:
“A Human Resources Information System, is a system that lets you keep track of all
your employees and information about them. It is usually done in a database or, more
often, in a series of inter-related databases “
Human Resources is an organizational function that deals with issues such as recruitment
and selection, training, appraisal, compensation and performance management of the
employee.
Information System :
A system, whether automated or manual, that comprises people, machines, and/or
methods organized to collect, process, transmit, and disseminate data that represent user
information .
HRIS Human Resource Information System (HRIS) is a systematic way of storing data
and information for each individual employee to aid planning, decision making, and
submitting of return and reports to the external agencies .
• It merges HRM as a discipline and in particular its basic HR activities and processes
with the information technology field.
• It can be used to maintain details such as employee profiles, absence reports, salary
administration and various kinds of reports.
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INTRODUCTION :
An information system is an inter-related set of procedures and processes to provide
information for decisions. Information is data that have been processed so that they are
meaningful. It adds to the representation of an idea. It corrects and confirms previous
information. It tells us something which we did not know. Many organisations have
computer-assisted information systems. Thus HRIS is a system that enables storing of
information of Human Resource in every aspect such as Personal, Academic,
Qualification, Family, Medical, Career and Performance Evaluation, Training &
Development & Wage and Salary of individuals. Unlike manual systems the HRIS
enables availability of all such information in a single screen. Reports on various
parameters can be generated with ease. Moreover reliability of such records is assured.
• An information system especially developed for human resource management is
referred to as HRIS – a human resource information system.
• Human resource management, when it doesn’t include the human resource planning
function, requires only a basic HRIS. If this basic HRIS is computer-supported, it is
likely to include transition processing system or management information system.
• An information system provides for the accumulation by gathering, processing by
deleting extraneous information, deciding among divergent information and putting
the information in a logical arrangement that promotes its understanding.
• Finally, the information is stored in a readily accessible configuration.
HR Information System Includes :
This system include the employee name and contact information and all or some of the
following:
• Department
• Job Title
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• Grade
• Salary
• Salary History
• Position History
• Employee details (Personal & Professional)
• Employee Posting information on appointment /transfer
• Employee promotion/ appointment information
• Employee Service verification details
• Employee Leave Information including(Leave available , leave availed,)
• Employee confidential report information
• Employee Training information
Needs Of HR Information System
• Human resource manager requires considerable amount of data for planning and
control of human resources and for this there is a strong need of a sound
information system.
• Efficiently storing each employee information and data for reference- personal
data management, pay roll accounting, benefits management and planning.
• Enabling informed decision making in day-to-day personnel issues, planning,
budgeting, implementing and monitoring Human Resource function.
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• Facilitating decision making in areas like promotion, transfer, nomination, settling
employees provident funds, retirement, gratuity, LTC, and earned leave
compensation
• Cutting costs.
• Improving accuracy
Advantages Of HR Information System
• Reduction in the amount and cost of stored human resource data.
• Availability of timely and accurate information about human assets.
• Developing of performance standards for the human resource division.
• More meaningful career planning and counselling.
EFFECTIVENESS OF HRIS
The key to the effective planning of manpower and improvement of people productivity
is an effective HRIS. However, in order to be effective an information system must take
into account the following :
Adequacy of information: Too much or too little information, both lead to defective
decision-making. Therefore, there must be some understanding regarding what
information and in how much detail and covering what periods should be maintained.
Specificity: Even where it is not possible to quantify the information, the information
should be made as specific as possible.
Relevance: Information is to be managed in the light of the requirements of the
decision makers. Therefore, HRIS focus on the needs of the decision-makers and
stakeholders rather than on what is interesting or easily available or palatable to the
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people. The system, therefore, must also have the built in capability for deletion and
updating of data.
Comprehensiveness: The information should be complete from the point of view of the
decision-maker giving details of who, what, how, when, where and why .
Reliability: Since the information is going to be the basis of critical decisions, it must
satisfy the requirements of validity and reliability. Moreover, to ensure effectiveness, not
only should the information provided be relevant and reliable but the delivery system
should also be the most satisfying and cost effective. A wealth of information but not
accessible when needed or available at an inhibiting personal cost in terms of energy and
time, is of hardly any use.
IT SUPPORTED HRISIn today’s enterprises, HRIS are typically Information Technology (IT) supported
systems. This is not to say that without IT HRIS cannot be introduced. But
information technology allows much greater effectiveness of HRIS than a manual
system. Some of the deficiencies of the Manual Systems which an IT based HRIS
overcomes to a considerable extent
Convenience: In IT enabled systems, data entry, update and retrieval are all
significantly faster. Redundant data may be easily replaced.
Integration: A computerized system can greatly reduce fragmentation and duplication of
data. All data can be stored in a single system to enable retrieval of complete picture of
each employee or of each defined parameter in a desired number of permutation and
combinations. Moreover, depending on the requirement, reports can be generated in
different ways that provide an accurate picture. Verification of data and error rectification
are also relatively easy in computerized systems.
Multi-user benefit
Different people can access the data simultaneously, which facilitates quick
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dissemination across geographical and structural boundaries and facilitates faster
decision-making. Moreover, on-line data entry is possible that leads to automatic up-
dating of data resulting into better informed decisions. However, to obtain these
advantages, it is important that the knowledge and expertise is available to the
organization, internally or from outside, to develop and tailor- make the system to suit the
organization’s unique needs.
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EQUAL EMPLOYMENT
EQUAL EMPLOYMENT
EMPLOYEES AND LABOUR
RELATIONS
EMPLOYEES AND LABOUR
RELATIONS
HEALTH AND SECURITY
HEALTH AND SECURITY DATABASE DATABASE
COMPENSATIONS AND BENEFIT
COMPENSATIONS AND BENEFIT
STAFFING STAFFING
HR PLANNING AND ANALYSIS
HR PLANNING AND ANALYSIS
HRISHRIS
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A CASE STUDY OF HUMAN RESOURCE INFORMATION
SYSTEM AT AMUL
Human resource information system , that enables the organization in collecting ,
storing , maintaining ,retrieving and validating data needed about its human resource .
HR data are wide in their variety, and include job history (transfers, promotions,
etc.),current and historical pay details, inventories of skills and competencies, education
and training records, performance assessment details, absence, lateness, accident ,medical
and disciplinary records, warning and suspensions, holiday entitlements, pensions data
and termination records. An HRIS normally provides an electronic database for the
storage and retrieval of this data which is, at least potentially, available to anyone who
may want to access it.
The important issue however, is- how this IT system is actually used in carrying out the HR tasks.
ERP is an information system to drive the business. It enables the organization to take systematic decision in the area of planning , execution and control based on relevant and current information .
HRIS - Vendors
• Automatic Data Processing Inc.• SAP AG• Restrac Web Hire• ERP Oracle/PeopleSoft• Human Resource Microsystems• Business Computer Systems• Lawson Software
This are the vendors who provides the different types of system to different
organisation . From the above various systems the AMUL uses the system named ERP
ORACLE – Enterprise resource planning . The areas of application of HRIS as follow.
1. Training management
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2. Turnover analysis
3. Succession planning
4. Attendance reporting
5. Accident reporting .
AMUL uses the system centrally in the organisation and over all the plants of the Amul
which is located in various area such as
• Mogar - chocolate plant
• Khatraj plant – cheese plant
• Kanjari plant – cattle feed plant .
The system operates in AMUL for different manner , and with the help of this system
different records are maintained with the help of ERP ORACLE . Types of record
maintained through HRIS .
• Personnel administration - It will encompass information about each employee,
such as name address, personal details etc.
• Salary administration - Salary review procedure are important function of HRM, a
good HRIS system must be able to perform what if analysis and present the
reports Of changes.
• Leave and absence recording — Essentially be able to provide comprehensive
method of controlling leave/absences.
• Skill inventory - It is also used to store record of acquired skills and monitor the
skill database both employee and organizational level.
• Performance appraisal — The system should record individual employee
performance, appraisal data, such as due date of appraisal, scores etc.
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• Human resource planning — HRIS should record details of the organizational
requirements in terms of positions
• Recruitment — Record details of recruitment activities such as cost and method
of recruitment and time to fill the position etc.
• Career planning - System must be able to provide with succession plans reports to
identify which employee have been earmarked for which position.
• Collective bargaining — A computer terminal can be positioned in the conference
room linked to database. This will expedite negotiations by readily providing up
to date data based on facts and figures and not feelings and fictions.
• Database – In database the system records the information of the previous
applicant , who is been not selected for the job this information is useful to the
organization for next recruitment procedure for inviting for job in this way the
cost is saved by the organization because there is no need of giving advertisement
for next recruitment.
• Service records – In service records all the details regarding promotion of an
employee , education detail of employees , personal details, in which it records
the employee No , employee working in which location etc .
• Employee summary – In employee summary the information regarding employee
is available according to grade wise , designation wise , skilled wise , and the total
information of manpower is available.
• Training – The training information of an each employee is being available
through this system because it records that when the employees is being given
training and when will be the next training is to be given to the employees .
• Time keeping : time keeping in Amul is decentralized , plant wise but with the
help of ERP system the record of absence and present record is can be available at
Amul’s head office Anand.
• Recruitment : this system is not used in any steps of recruitment process of the
Amul .
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In AMUL , the HRIS is not used for the recruitment process as it is done manually in the
organization the recruitment of the is carried in the following way
Vacancy in department
Advertisement
Receiving of application
Short listing of applicant
There is no role of HRIS ( ERP oracle ) in the recruitment process , after the short listing
of the application the application which are selected is called for an personal interview
with the general manager of the AMUL . After the candidate is selected for the
particular job , the role of HRIS starts by keeping different types of records of an
employee such as
a) Personal details
b) Previous organization details
c) Training details
d) Service records
e) Joining details
f) Retirement details
• HRIS is also useful in the turnover analysis of the Amul , it helps the organization to
know the number of time employees left the organization .
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• HRIS , is useful in keeping the Accident details of the employees , on the basis of
this reports employees are injured due accident are been given medical facility and
financial help .
• The time keeping process of Amul is decentralized , in the various plants of Amul
1. Mogar plant
2. Khatraj plant
3. Anand plant
4. Kanjari plant
if any information regarding any employee absence and present of other plant is needed
by the central head office at Anand , that it is available with the help of ERP ORACLE ,
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User’s perception
After interviewing the fifteen respondents from the organization I have come to know
that the organization is using the software named “ ERP ORACLE “ in HRIS and by
observing and interviewing the user of the system the following data is gathered .
• The users of the system is fully satisfied with the present system ERP ORACLE
• The AMUL is using this system since last thirteen years and they are trying to
bring change by implementing new system named SAP which is under the
progress .
• With help of HRIS the organization gets the following benefits such as
1. Time saving
2. Cost saving
3. Effective work
• HRIS helps to supports the following HR task of the Amul
1. HR development and workplace training
2. Communication
3. Career management(for employees)
4. Decision making
• The HRIS system of Amul is fully secured , so their no threat of linking of any
kind of data .
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Annexure
KAIRA DISTRICT CO-OPERATIVE MILK PROCEDURES’ UNUION LTD
EMPLOYEE WISE TRAINNING DETAIL
Employee Id : Joining Date :
Employee Name : Department :
Designation :
Qualification
Training Details
Name of Training / conducted by Start Date/ End Date No of Days
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BIBILOGRAPHY
• WWW.amul.co.in • WWW.GOOGLE.COM • HUMAN RESOURCE MANAGEMENT – ASHWATHAPPA