Case Studies of selected Dairy Co- operatives

120

Chapter V

Case Studies of selected Dairy Co-operatives

121

Chapter V : Case Studies of selected Dairy Co-operative 5. Case Study:

5.1. “GokulMilk”,Kolhapur Zillha Sahakari Dudh Utpadak Sangh Ltd,

Gokul Dairy, Kolhapur.

5.2. “Warana Milk”, Shree Warana Sahakari Dudh Utpadak Prakriya

Sangh Ltd, Warananagar.

5.3. “Shivamrut Milk”, Shivamrut Dudh Utpadak Sahakari Sangh

Maryadit, Akluj.

5.4. “Rajhans Milk”, Sangamner Taluka Sahakari Dudh Utpadak Sangh

Ltd, Sangamner.

5.5. “KrishnaMilk”,Rajarambapu Patil Sahakari Dudh Sangh Maryadit,

Islampur.

5.6. “Katraj Milk”, Pune Zillah Sahakari Dudh Utpadak Sangh Maryadit,

Katraj Dairy, Pune.

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5.1. “GokulMilk”,Kolhapur Zillah Sahakari Dudh Utpadak Sangh Ltd, Gokul

Dairy, Kolhapur

5.1.1. Corporate Profile:

Kolhapur Zillah Sahakari Dudh Utpadak Sangh Ltd. is well known with its

popular brand ‘Gokul’. Gokul Milk is an Operation Flood Cooperative dairy

project established on 16thMarch 1963. Since then it has achieved many land

marks in Milk Procurement, Extension, Animal Health, Breeding, Milk

Processing, Product making and Marketing. At present, Gokul has a capacity of

7 Lakh Litres/day. It has Dairy plant having 4 owned and 1 hired chilling

centers having 4.25 Lakh Litres/day milk handling capacity. The Dairy also has

a modern Packing Unit at Navi Mumbai. The Dairy has at presentl 39 Mobile

veterinary routes, 401 Clusters and 17 static A.I. Centers. It also has its own

Cattle Feed plant of 200 MT/day production capacity with popular ‘Mahalaxmi’

brand. Union has its own Packaging Unit at 40/4-5, Mafco Cold Storage Area,

Sector 18, Turbhe-Vashi at Navi Mumbai.

Working Area: Gokul collects milk from Kolhapur district

Map: 5.1 Map of Working areas of Gokul Dairy

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Brand Logo: Gokul brand is very popular by following remarkable logo

Diagram 5.1 Logo of Gokul Dairy Cooperatives

Special Features

Gokul has implemented Quality Management and Food Safety System. The Plant is

renewed for ISO 9001 certification and achieved ISO 22000 certification in March 2011.

Union has received Export Inspection License in July 2004 for Product Exports.

Gokul is first plant to start Quality Assurance Programme in country in 1992.

Gokul is the only union which is 14 times winner of National Productivity

Awards during 1988-89 to 2006-07.

Gokul pay back is 76% to 82% for every sale of rupee generated in form of price

and services to the Milk Producer.

Turnover of union for financial year 2009-2010 was 835 Crores.

Plant was commissioned in 1986 with 2 Lakh process capacity. Average growth

rate in last 24 years is 10 to 11%

Union having highest milk handling capacity of 11 Lakh Ltr./day and average

milk handling capacity in dairy plant is 7 Lakh Ltr./day.

Infrastructure support

39 Mobile veterinary routes.

401 Clusters and 17 Static A. I. Centers

Cattle Feed Plant of 300 MT capacity expandable to 500 MT is under execution.

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200 MT Cattle Feed is Produced from own Cattle Feed Plant and

100 MT from other Plant as per formula and under Q. C.300 MT supervision

Marketing of 300 MT Feed/day.

Extension support for Cooperatives development. Four owned and one hired

Chilling centers with handling capacity of 4.25 Lakh Liters/day.

Training Centre for core level training.

Gokul’s Present Set Up

Sr. No

Particular Capacity

A) Milk Reception Capacity 3.2 Lakh Ltrs/Day (Raw) 3.8 Lakh Ltrs/Day (Chilled)

B) Milk Process capacity 7.0 Lakh Ltrs/Day

(Union handled 1 Million Ltr. in Flush 2001/02)

C) Powder Manufacturing 40 MT/Day

D) Butter Manufacturing

C. B. M. M. 16 MT/Day Top Churn 8 MT/Day

E) Ghee Manufacturing 6 MT/Day

F)

Packaging Lines : Milk Packaging 1 Lakh Ltr/day

Powder Packing-Ni chrome (Pouch) 10 MT/day

Rollatainer Machine (Cartoons) 10 MT/day

Ghee Packaging (Pouch) 4.5 MT/Day

Table Butter Packaging In 500 gm. 3 MT/day In 100 gm. 1 MT/day Total 4.0 MT/day

G) Storage Capacity :

Milk (Packed Milk) 1 Lakh Ltr

Butter 800 MT

Powder 1400 MT

Ghee 20 MT to 30 MT

Milk (Raw/Process) 9.25 Lakh Ltrs.

Table 5.1 Byproduct capacity of Gokul Dairy

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Objectives of the Society

Development of infrastructure, for procurement of milk in rural areas of Kolhapur

District, to ensure an assured market for milk producers throughout the year, as

well as good remunerative prices.

Fulfill the growing need for milk & milk products of the consumers in

Maharashtra & elsewhere.

To organize the Co-operative structure of milk producers at the village level.

To provide the supplement programme for extension & inputs, with particular

reference to feed, fodder production and implement an intensive breeding

programme for milk animals, to increase milk production.

Imparting training for developing human resource at rural level for effective

leadership, Management skills & improvement of services to rural milk

producers.

5.1.2. Yearly Milk Procurement:

The milk handling capacity of the Gokul Dairy and chilling centers is 11.25

Lakh Liters per day. Dudh Sangh covers 3788 village level dairy co-operatives on

238 milk routes, for Milk procurement every day.

During the year 2009-2010, the average procurement is 5.49 Lakh Liters per day

where as for the year 2010-11 it has increased to 7 Lakh liters. The ratio of

Buffalo Milk to Cow Milk procurement is 67:33. The average Fat and SNF of

Buffalo milk is 7.4 SNF and 9.4% respectively and that of Cow milk the

percentage is 4.3 SNF and 8.6% respectively. Average milk purchase price for

Buffalo milk is 23.13 and for Cow milk is 15.61.

Average Milk Procurement

Average Procurement (LPD)

Flush (LPD) Lean (LPD) Bulk Procurement From State/Outside(LPD)

B.M. 3,66,000 B. M. 4,78,288 B.M. 2,48,540 B.M. 50,000

C.M. 1,83,000 C. M. 2,07,518 C. M. 1,49,844 C. M. 1,00,000 5,49,000 6,85,806 3,98,384 1,50,00

Table 5.2 Milk Procurement of Gokul Dairy

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5.1.3. Share Capital:

Gokul Dairy provides cutting edge products which are manufactured using state-

of-the-art technology and find applications in day-to-day transactions. Turnover

of the union for financial year 2009-2010 was 850 Crores against the average

liquid milk sale 6.55 Lakh liters per day. Total benefit of 550 lakh covered

Reserve funds, Dividend, Charity, Cooperatives Development, Research, Rabbet

fund.

5.1.4. Affiliated Societies and Workforce:

Researcher has divided the workforce in to following categories which are

mentioned below.

In Gokul Dairy, there are more than 1900 are regular Employees.

Gokul is associated with around 3,50,000 milk producers in and around

Kolhapur district.

Dudh Sangh covers 1506 villages.

There are 3788 dairy co-operative societies (DCS) and primary dairy co-

operative societies (PDCS) on 238 milk routes for Milk procurement every

day.

Since 2009-10 Animal Husbandry Dept. provided many services, whose

data are is presented in following table.

Particular Counter Mobile Veterinary clinics 39 Villages covered 1,506 Dairy Co-operative Society covered 3,788 Treated cases 2,44,090 Control cases 11,672 Emergency Services Provided 1,20,427 Antirabies post bite vaccine cases 1,807 No of mobile A.I. centers 387 No of A.I. cases 1,60,768 No of Pregnant Animals 54,092 No of calves Born by A.I 47,576

Table 5.3 Veterinary Services of Gokul Dairy

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Chilling Center and Branches:

Gokul Dairy has 5 Chilling Centers, 3 branches, 1 Cattle feed plant and one

training center located at following centers.

Sr. No

Center / Branch Address

1 Chilling Center Lingnur Lingnur, Tal.: Gadhjinglaj Dist.: Kolhapur

2 Chilling Center Borawade Borawade (Bidri), Tal.: Kagal Dist. Kolhapur

3 Chilling Center Tavarewadi Tawarewadi, Tal.: Chandgad Dist.: Kolhapur

4 Chilling Center Gogave Gogave Tal.: Shahuwadi Dist.: Kolhapur

5 Chilling Center Shirol (Hired) Jaisingpur, Tal.: ShirolDist: Kolhapur

6 Pune - Gayatri Cold Storage 105/3, DhereBunglow, Pune-Solapur Road, Manjari (Bu) Pune-411028

7 Vashi - Navi Mumbai Sangh Packing Station, 40/4, MAFCO Yard, Sector No. 18, Turbhe, Navi Mumbai

8 Mahalaxmi Cattlefeed Plant Gadmudshingi, Tal.:Karveer. Dist.: Kolhapur

9 Procurement, Animal Husbandry and Training Center

Tarabai Park, Kolhapur.

Table 5.4 Chilling Center and Branches of Gokul Dairy

5.1.5. Products: Quality of Milk and Milk Product as per QMS and FSMS standard

Gokul Milk Gokul Skimmed Milk Powder

Gokul Ghee Gokul Butter

Gokul Cooking Butter Gokul Shrikhand

Gokul Dahi Gokul Paneer

Gokul Table Butter Gokul Lassi

Gokul Cream Gokul WMP

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Production capacity of above mentioned products is as follows.

Sr. No Product Capacity

1 White Butter 3000 – 3500 MT/Annum.

2 Ghee. 500 MT

3 S.M.P. in 25 kg. 2400MT to 3000MT

4 Shrikhand 100MT

5 Table Butter 100 MT + 600 MT or Annum = 700MT In 20 kg. Pack

6 SMP in Consumer Pack 1 kg./1/2 kg./100gm.

600 MT/ Annum

7 Curd 20 MT /Month

8 Paneer 6 MT/ Month

9 Lassi Seasonal

Table 5.5 Byproduct Production capacity of Gokul Dairy

5.1.6. Cattle Feed:

“Mahalaxmi” is very well-known brand of Cattle feed of Gokul Milk

Cooperative. Mahalaxmi was established with a 100 M.T. Capacity CFP in 1982

under Operation Flood-I and Expanded up to 200 M.T. Capacity CFP in 1992

under Operation Flood-II. Mahalaxmi is having its own modern Laboratory with

latest technology for proximate analysis with N.I.R. Analyzer, Fluoride Meter,

Cyclotec Sample Mill etc. It has formulation and standardization of feeds as per

BIS standard & NDDB's guidance. Mahalaxmi provides Door delivery service to

milk producers with no loss no profit basis. It is also providing extension services

to farmers for minimizing cost of the milk production by using Bypass Protein

feed for high yielding animals. Mahalaxmi products are very famous among

farmers due to their superior quality and most competitive rate. Due to need based

demand from the milk producers from milk shed, the union has introduced

following different types of cattle feed products under the brand name

"Mahalaxmi"

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Sr. No

Product Name Packing

1 Supreme Pellet- BIS Type-II 70 kg Jute 2 Supreme Pellet- BIS Type-II 50 kg HDPE 3 Gold Pellet (Bypass) 70 kg Jute 4 Gold Pellet (Bypass) 50 kg HDPE 5 Mahalaxmi Nutrient (Mineral Mixture) (1 kg x 15) = 15 kg bag 6 Mahalaxmi Milk Replacer 10 kg bag 7 Mahalaxmi Calf Starter 25 kg bag

Table 5.6 Cattle Feed packing of Gokul Dairy

5.1.7. Transport Arrangement:

The Dairy union deploys a taskforce of hired vehicles for transporting the

procured milk to Mumbai, Pune, Nanded, Solapur etc. through insulated Tankers,

where it is packed and made available to consumers. Currently Gokul milk union

has 600 different vehicles.

5.1.8. Extension and Training Programs:

Following are the Objectives of Dairy Cooperatives for extension and training

programme.

To enhance activity in Dairy Cooperatives.

To train peoples for affordable milk business.

Total upliftment of Dairy Cooperatives activities.

To bring employee in decision making.

To bring employee in income generating activity through self-help.

The training Programmes are organized since 1995 and implemented in 440

villages in which covered 815 DCS. In all 1,78,587 participants were benefited

from 4102 Programmes as on 31st March 2011. Following is the list of training

programmes and its duration and contents.

Sr.no

Name of programme Duration Contents / Objectives

1 Women Education programme

1or 2 days as per need

Information on affordable milk business,Women participation in activity, Inputs given by Union, Duties & Responsibilities of members

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2 Women follow up programme

1day Follow up meeting for above villages

3 Self Help Group Formation

1 day Information on Self-help group, Functioning of Self Help Group

4 Self Help group Meeting/Organization

1 day Motivation & meeting

5 Accounting Training For SHG

2day Information on maintaining of Book keeping, proceeding, other record in simple way

6 Health Camps/ Programme

1 day

Information /Camps with help of local health worker, Doctors & Nurses discuss issues related to women’s health as well as social health &hygiene

7 Personality Dev. Programme

5day

Programme for school dropouts specially girls, giving demo on some articles which they can do easily e.g. washing powder, soft toys. Some information on Nutritional diet, health, hygiene.

8 Skill Building Programme

2 days

Programme for Women committee members, Directors of other institution in the village, their role & responsibilities as committee member

9 Cultural Programme / Competition

1 day Programme for Women, Folk Dance & Folk song Competition, songs related to dairy, on SHG,etc.

10 Competition on Cleanliness Hygiene

1day Programme contents like clean cowshed competition, Rangoli, Village cleanliness by women group.

11 Melava 1day Programme at Union level ,Interaction with other villages Guest Lecturer guiding women on special subject

12 Excursion Tours/ Visit to Ideal Model

As per need

Programme for Resource person Visit to model

13 Leadership Development Programme

2 days Programme for Selected Resource Person Action Plan for next year.

Table 5.6 Programmes and its objective at Gokul Dairy

Various Schemes:

Gokul milk union has offered various schemes for the dairy farmer, milk producer

and employees, they are as given below:

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Provident Fund scheme for milk producer.

Pioneer in Unique Gokul Gram VikasYojana (A Community Development

Program).

Unique Calf Rearing Scheme.

Wrestling competition for Girls and Scholarship for Wrestlers.

Issue debentures to member Societies.

'Kisan' Insurance Package Scheme.

Woman Dairy Cooperatives Leadership Development Program

Mass Deworming programme and Vaccination

Farmer’s orientation programmes

Artificial Insemination Services

Patent bagged for Milk Replacer

5.1.9. Milk Tester:

Milk Tester is a device which electronically determines the fat % rapidly in milk.

Milk Tester is used at primary dairy co-operative level in the village. The milk

supplied by producer is tested before acceptance and payment is made on basis of

milk quality. This helps to ensure good quality milk at primary Dairy

Cooperatives as well as at Union level. The transparent process results in

strengthening faith of milk producers on Village Society and Union. Gokul Milk

Union provides free of cost chemical and sachet powder for testing fat. The Union

has distributed 4528 Milk Testers and 199 Fatomatic machines to primary

societies through subsidies.

5.1.10 Critical issues of ICT Implementation handled at Gokul Dairy

1. Feasibility Study (Cost Analysis): IT department of Gokul Dairy conducted the

economical and technical feasibility for implementation of ICT services. The

management on realizing that investment on ICT is on the higher side and the

initial cost is quite high for the software development, decided to recruit IT

experts for inhouse software development. Due to the in-house development the

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issues related to technical, economical and operational feasibility were taken care

of automatically.

2. Software Evaluation, development and Problem Analysis: The management of

Gokul dairy is very supportive for In-house development of ICT services. The

management believes that due to in-house development the internal staff may

learn a number of things, thereby building skilled manpower. The management

made the provision of ICT implementation in their annual budget.

3. Software Implementation, Testing, Maintenance and Monitoring: A Number of

programs were conducted to create awareness among the stakeholders about

utilization of ICT.

4. Software Upgradation management; Frontend, Backend, OS and Hardware

Compatibility (Reengineering): Technology upgradation was a challenge and

needed a great deal of investments and efforts.

5. Legal software issues: Gokul dairy purchased legal operating system and

licensed antivirus software for handling regular work of the Dairy Cooperatives.

Gokul Dairy has a licensed network antivirus and Windows Operating System.

6. Networking Issues: Departments were spread across 25 acres of land. Fiber optics

cable network for 1.5 KM is used for the internal connectivity of the departments.

7. Backup and Security Issues: The security and backup issues are still a challenge

to the IT department. The security issues are taken care of by licensed antivirus

and locking of CD-ROM and USB ports. Dairy also has secured Linux server.

Backup issues are taken care by using hard disk mirroring backup system. Dairy

is also taking the weekend backup of the data.

8. Local language Support to software and Websites: At the initial phase of

development and implementation there was a barrier of the regional language

Marathi. Dairy is using Shivaji Marathi font for the development of packages. For

every end user they are able to get the report as per their need due to multi

language support to the software.

9. Underestimating IT skills (Providing specialized training): The dairy has invested

in ICT education, training and skill development. The management also made

separate provision in annual budget under this head. A number of training

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programs were conducted to create awareness among the stakeholders about ICT.

The flexibility for changing the responsibility as per the skill set available with

the employee is ensured by the management. The dairy has sufficient IT expertize

manpower as per the need of the dairy. IT department is continuously involved in

developing the modules in Visual Basic and SQL platform. There has been a

regular change in business environment due to parallel implementation.

10. Budgetary provision for Hardware software and Training (Management

Support): The Board of Management has made investment for IT resourses like

hardware, software required for infrastructure and professionals. In the beginning

stage of the development IT staff of Gokul was not very confident about

development of software. Initially they faced the technological risk due to low

confidence level. With support of top management the staff became confident.

Due to limitations of software package used for development, the scope is limited

(this is the drawback of technology). The Board of Management is keen to

implement ERP.

11. Resources Management (Technical, Skilled manpower, Planning): As per the

need and requirement of Gokul Dairy, the business processes are developed.

Developing, maintaining and updating some modules are some of the major

issues. Management of the Dairy believed in self-development of the employees.

Self-development generated skilled manpower and confidence in their work.. Like

other dairies, Gokul dairy had no problem of people management. The main

reason was that the IT department developed separate modules for each

department. At the initial level they were worried about computer literacy but

now they have managed it effectively. Development, Implementation and

Maintenance work was assigned to IT department. The provision of required

training was made available. Management has not taken separate efforts towards

spreading ICT importance. Instructions were given to the specific department

about implementation of ICTs.

5.1.11 Status of ICT Services in the Dairy:

Some of the issues of ICT implementation are listed below:

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IT Designation available in the Dairy co-operative: Manager System/In-charge

(Twenty Two Years Experience), Asst. Manager (Two Numbers), Sr.

Programmer (Two Numbers), Programmer (Two Numbers), Data Entry Operator

(Two Numbers)

Dairy Co-operative has switched over to computerization and has more than

Seven years’ of experience in Computerization

Name of the Departments computerized

Partial Computerized :- N. A.

Complete Computerized :-Marketing Department, Processing

Department, Quality Department, Milk Procurement, Accounts

Department, Finance Department, Packing Department, Dispatch Section,

Admin Department, Cattle Feed.

Dairy conducted feasibility study before system design: Technical Feasibility,

Operational Feasibility, Economic Feasibility, and Social Feasibility

Type of software Dairy has: Tailor made (In-house Development)

Name of the Software Developer : IT Department of Gokul Dairy

Address of Company : Gokul Dairy

E-mail : [email protected]

Website : http://gokulmilk.coop/

Server in Dairy : HP (5 + 1 servers) HP ProLiant DL120 G6 Server

Network Technology Used : Star Topology

Present status of computer systems in Dairy:

Number of Computer Systems : 210 + 7 laptop

Number of Computer having P-III or fewer configurations : 0

Number of Computer having P-III or higher configuration : 210

Operating System used: Windows 98, Windows ME, Windows XPand Linux for

Server Administration.

License Software : OS License and Other software are in process

Front End Software : Visual Basic/MS-Visual Studio, D2K

Data Base Software : Access, SQL Server

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Application Software : MS Office, Lotus 123, ERP Package, Department

wise Module

Utilities : Antivirus, ISAM, Shree Lipi

Licensed Antivirus used: Quick Heal

Securities provided to software:

Logical Security: Software Lock, Password Authentication, Access right

Physical Security : Hardware Lock, Biometric and Fire wall

Computerization provides recovery and backup scheduling : Yes

Networking is made by using CAT-5, CAT-6 and Fiber Optics Cable

Upgradation is done on regular basis for hardware and software: As per the need

Tentative Cost for computerization:

Software Cost : 50.0 lakh

Computer Cost : 52.50 lakh

Networking Cost . : 15.00 lakh

Printer Cost : 8.0 lakh

Other devices Cost : 2.0 lakh

Total Expenditure for Computerization : 127.5 lakh

ICT Services available in Dairy Cooperatives : E-mail, Phone, SMS, Group

Mobile, By Post, Person to person, CCTV, EPBX, Postmaste (50 user)

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5.2 “Warana Milk”, Shree Warana Sahakari Dudh Utpadak Prakriya Sangh

Ltd., Warananagar, Dist. Kolhapur

5.2.1 Introduction

Shree Warana Sahakari Dudh Utpadak Prakriya Sangh Ltd., Warananagar, Dist.

Kolhapur is very popular by the brand name 'Warana', one of the most successful

co-operative dairy in Maharashtra. Warana dairy was established in 1968, with

the noble purpose of providing an additional source of income to the farmers from

the surrounding villages. This revolutionary movement has crossed the turnover

of 400 crores per annum. The dairy has already acquired the ISO 9001-2000 &

H.A.C.C.P. Food Safety Certificate. In addition to this, Warana Dairy houses a

plant of milk processing with the capacity of 10 lakh liters per day. It is one of the

most hygienic plants. Along with Warana Shrikhand an indigenous Indian sweet,'

Warana Milk Powder, UHT Milk in Tetra Pak, produced in a quantity of 65

metric tons per day, is exported to gulf nations like Kuwait, Saudi Arabia and

African Countries, Bangladesh and China. Warana Shrikhand has set a record of

highest selling shrikhand in India. It's also one of the most popular products in

Maharashtra. The dairy produces various milk & milk products like UHTTertra

Pak Milk, Pasteurized milk, milk Powder, Shrikhand, Ghee, Butter, Cheese,

Paneer, Chhas, Dahi, Lassi and other product. The Warana Dairy is now all set to

enter the European market with its wide range of quality products.

The Warana Valley unfolded an epic of sorts with the establishment of sugar

factory along the Warana river area, by Tatyasaheb Kore, a man of great

foresight. He realized that though the economic condition of the irrigated farmers

was up-lifted, the percentage of such farmers was only 15-20%. Further economic

development was necessary to cover the dry land farmers, small holders, landless

laborers and weaker sections. This lead to the emergence of one of the country's

most successful dairy co-operatives.

Along with Warana milk Cooperatives, Warana group have following sister

concerns.

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Sr. Name of organization Type 1 Shri Tatyasaheb Kore Warana Sahakari Sakhar Karkhana

Ltd., Warananagar Sugar Factory

2 Shree Warana Sahakari Bank Ltd., Warananagar Bank 3 Warana Bank Kalyan Mandal Employee

Association 4 Warana Bazar Sevakanchi Path Sanstha Ltd. Mini Bank 5 Shree Warana Vibhag Sikshan Mandal Ltd. Warananager Educational 6 Warana Sakhar Kamgar Sangh Employee

Association 7 Warana Gramvikash Pratistan Rural Develop 8 Shri Tatyasaheb Kore Warana KamgarVikas Mandal Ltd.

Warananagar Employee Association

9 Warana Dairy & Agro Industries Ltd., Tatyasaheb Kore nagar

Milk & Milk Products

Table 5.7 Sister Concern of Warana Udyog Samuha

Brand Logo:Warana brand is very popular by following remarkable logo

Diagram 5.2 Logo of Warana Dairy

Working Area: Warana collects milk from all over the Kolhapur District

Map5.2 Map of Working Area of Warana Dairy

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5.2.2 Objectives of the Warna dairy

The management of Dairy Cooperatives is very visionary. They always wanted to

become number one in the area. The milk Cooperatives has following vision and

objectives

To educate continuously in increasing per cattle production of milk as per

International standards and transform knowledge and technology to the dairy

farmers to enable them to give better returns to the shareholders.

To become number one Producer and Exporter of quality milk and milk

products having International quality standard from India.

To produce byproducts of milk which gives maximum profit

To educate dairy farmers on cultivation of organic feed for cows to

make available organic milk & milk products for Indian and International

Market.

5.2.3 Affiliated Societies and Workforce:

Workforce is divided into six categories which is mentioned as below.

Milk Producer : 1,60,000

The milk is procured : 5 tehsils

Milk societies : 763

Operation villages : 389

The plant expanded : In the year 1975,

Chilling Centers : 12

Number of Employee : 1800

5.2.4 Yearly Milk Procurement:

Sr. No Year Cow Milk Procurement Lit. per Day

Buffalo Milk Procurement Lit. per Day

1 2002-2003 283 633 2 2003-2004 363 604 3 2004-2005 354 619 4 2005-2006 667 726 5 2006-2007 714 753

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6 2007-2008 1038 686 7 2008-2009 1174 719 8 2009-2010 979 668

Table 5.8Yearly Milk Procurement of Warana Dairy

5.2.5 Share Capital:

Due to effective implementation of this program, income generated from dairy business

tuned to 533 Crores annually in the year 2009-10.

Sr. No Financial Year Turnover in crore 1 2006-07 381 2 2007-08 404 3 2008-09 460 4 2009-10 533

Table 5.9Turnover of Warana Dairy

5.2.6 Affiliated Society’s and Workforce:

Workforce is divided in to four categories which are mentioned as bellow.

In Gokul Dairy there are 1800 regularly working employees (Permanent &

Temporary).

Gokul is associated with around 1,60,000 milk producers in and around Kolhapur

district.


763 dairy co-operative societies (DCS) on 45 milk routes for Milk procurement

every day.

140

In the Financial year 2009-10 Animal Husbandry Dept. provided following services

Particular Counter Mobile Veterinary clinics 29 Villages Covered 389 Dairy Co-operative Society covered 763 Treated cases 1,03931 Operated cases 1252 Emergency Services Provided 22,209 Pregnancy diagnosis cases 89,409 Antirabies post bite vaccine cases 643 No of mobile A.I. centers 135 No of A.I. cases 1,03,931 No of Pregnant Animals 41,600 No of calves Born by A.I 23,752

5.10 Veterinary Services of Warana Dairy

5.2.7 Chilling Center and Branches:

Chilling Center, Bulk Collar, Branches and Packing centers are as follows

Sr. No

Chilling Center / Branch/ Packing Center

Sr. No.

Chilling Center / Branch

1 Ganeshwadi 7 Gandhinglaj 2 Jath 8 Mudhol 3 Solapur 9 Warana Sangh 4 Washi 10 Rukadi 5 Kale 11 Budhgaon 6 Birude 12 Bambawade

Table 5.11 Chilling Centers and Branches of Warana Dairy

5.2.8 Products of Warana Dairy:

Warana Milk Warana Ghee

Warana Cream Warana Lassi

Warana Butter Warana Shrikhand

Warana Cheese Warana Paneer

Warana Milk Powder Warana Ice cream

Warana Chhas Warana Dahi

Fruit Jam Flavored Milk

Tetra Pack Cattle Feed

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Production capacity of above mentioned products from the financial year 2005-

06 onwords is as follows.

Table 5.12Byproduct production of Warana Dairy

5.2.9. Transport Arrangement:

Pasteurized milk is sent daily to Washi (Navi-Mumbai) for packaging. Before the

milk is dispatched through tankers, the tankers are cleaned properly as per

schedule given previously. The Pasteurized milk is chilled at 1.5 ~ 2 ° C and

filled in tankers and after filling, the sample is given for analysis. After

satisfactory analysis report, the tankers are permitted for transportation to Washi

for packaging.

5.2.10 Extension and Training Programs:

Producer is the important base of the milk business. Warana Coop Milk Union

always puts them in front while designing training and extension activities. With

Sr. No

Product 2005-06 2006-07 2007-08 2008-09 2009-10

1 Warana Milk 60931228 67830935 72699552 69918775 74923329

2 Warana Ghee 964 1190 1397 1632 1806

3 Warana Cream 3326 3833 3005 3393 2417

4 Warana Butter 923 1194 805 844 472

5 Warana Milk Powder

5012 6462 6396 8155 4934

6 Warana Chhas 156525 255810 341425 259054 362837

7 Born vita 6655 7498 8357 9130 11499

8 Tetra Pack - 14860 1187041 1641240 2281012

9 Warana Lassi (20ml)

2081010 2415420 2026100 2381100 2894850

10 Warana Shrikhand 2209 2306 2387 2644 2585

11 Warana Paneer 103 139 236 276 283

12 Ice Cream 521 290305 522259 336073 259977

13 WaranaDahi 451 734 1035 1014 1027

14 Flavored Milk 144469 425600 742240 1163712 452120

15 Cattle Feed 22060 22300 21860 20580 21740

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the purpose of development and expansion of milk business, union also tries

inventory program techniques and offers motivational subsidies, some of them

are as follows.

Veterinary Services Road Show Cattle feed supply Services Seminars Various Competitions Regional Meetings Productivity enhancement

program

Excursion Tours/ Visit to ideal model

Training / Education Programme Calf Rearing program Demonstration of various

Activities

Green Fodder Development Programs

Melava De-warming Programs Travis for Animals Exhibition and Competitions Purchase of Milch Animals

5.2.11 Important statistics of last three years:

Year Training for DC Beneficiaries Women Beneficiaries

No. of Women Training

Women Beneficiaries

2007-2008 43 658 3134 27 2471 2008-2009 79 (Inc. Edu Tr.) 5545 3367 17 2882 2009-2010 13 240 2498 9 1339

Table 5.13 Extension and Training Programme in Warana Dairy

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5.2.12 Resource Development

Sr. No

Financial Year

Veterinary clinics

Artificial Insemination Animal (No.)

Artificial Insemination Checkup

Born

1 2006-07 125 103808 90232 23355 2 2007-08 159 93106 81010 18026 3 2008-09 151 94008 88463 23752 4 2009-10 135 103931 89409 27472

Table 5.14 Veterinary Services of Warana Dairy

5.2.13 Critical issues of ICT Implementation handled at Warana Dairy

1. Feasibility Study (Cost Analysis) : IT manager of Warana dairy conducted Feasibility

studies to findout the strengths, weaknesses, opportunities and threats of the dairy

business. They conducted technical, economical and operational feasibility before

implementation of ICT services in their dairy. The software which was developed

locally was selected to minimize the risks.

2. Software Evaluation, development and Problem Analysis: Local vendor was selected

for the development of the ICT services. No special search was made because IT

department was looking for vendors who could develop the software as per the need

of Warana dairy. Now Management intends to switch over to ERP, so there is a big

challenge to identify a good vender. Top management and IT head visited number of

Dairy Cooperatives who have implemented ERP. The Dairy is using the software

developed by the local vendor. The software was specifically developed for the

Warana Dairy so changing the business environment was not a major issue due to

implementation of modules separately and independently.

3. Software Implementation, Testing, Maintenance and Monitoring: Software

Implementation, Testing, Maintenance were taken care by software developer. The

AMC of software and hardware is also handled by the same company.


Compatibility (Reengineering): Technology upgradation was not a big challenge due

to modular implementation. IT department started planning for technological

updating to face the challenges of ERP implementation. Implementation of modules

in P-III computers was really a challenge to the vendor and IT Department but later

144

on IT department was successful in conveying the need for new computers. Today

Warana dairy has 120 Pentium IV desktop and eight Laptops. Separate well-equipped

computer room, Server room and essential needs were established only after getting

the fruits of the ICT in Dairy.

5. Legal software issues: Dairy has Microsoft license for operating system licenses.

Norton antivirus software is also available in the Warana dairy.

6. Networking Issues : Wired network is used for inter departmental connectivity. The

dairy has AMC for handling the networking and hardware issues.

7. Backup and Security Issues: IT department in-charge takes care of regular backup on

a separate external HDD. Antivirus software protects the computers from the virus

attack.

8. Local language Support to software and Websites: From the first day of

implementation of the software, the software vendor provided the support of ISM

Marathi regional language.

9. Underestimating IT skills (Providing specialized training): Various training

programmes were conducted for spreading IT education and training. Training and

ICT education developed the skilled manpower among the dairy staff. However, there

is scope to provide more training to improve the skills of dairy employees.

Management supported the initiation of IT department for installation of the modules

and observed the changes and made improvements in the regular work. Due to the

modular implementation there was not a remarkable change in structure of the

organization as such.

10. Budgetary Provision for Hardware software and Training (Management Support):

Due to the modular implementation of software the financial risk was not major issue.

The payment was cleared only after successfully implementation of the module.


Some of the dairy essential issues of Computerization are listed below

IT Designation available in Dairy co-operative: MIS and System Officer (17.4

Year Experience) IT Manager (1 Number), Programmer (3 Numbers), Data Entry

Operator(2 Numbers)

145

Dairy Co-operative has switched over to computerization and has more than 10

years’ of experience in Computerization

Name of departments those are computerized

Partial Computerized : Processing Department, Packing

Department,

Complete Computerized : Milk Procurement, Dispatch Section,

Accounts Department, Finance Department, Marketing Department

Computerization Not Started : Admin Department, Quality Department



Type of software Dairy has: Tailor made (As per Requirement)

Name of the Software Developer : Jurassic Software Systems

Address of Company : D23-24 1st Floor,Mahalaxmi Chamber,

Opp. Central S T Stand, Kolhapur-416001


No other dairy is using the same software.

Server in Dairy: IBM (Three Server)

PN: 7379IVS2 Way Tower Server, Intel® Xeon® Quad Core


Present status of computer system in Dairy:

Number of Computer Systems : 120


Number of Computer having P-III or high configuration : 100

Operating System used: Windows XP and Windows-7

Licensed Software :Using license and Non license software

Front End Software :Visual Basic/MS-Visual Studio, D2K

Data Base Software :Access, SQL 2003

Application Software :MS Office

Utilities :Antivirus, Shree lipi, ISAM


Securities provided to software :

146

Logical Security : Password Authentication, Access right

Physical Security : Fire wall

Computerization provides recovery and backup scheduling :Yes

Upgradation of Hardware and Software : On periodical basis

Tentative Cost for computerization?



Networking Cost . : 20.0 lakh




ICT Services available : E-mail, Phone, SMS, Group Mobile, By Post

Existing Software are flexible and fulfill all the requirement of Warana Dairy.

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5.3 “Shivamrut Milk”, Shivamrut Dudh Utpadak Sahakari Sangh Maryadit, Akluj

5.3.1 Introduction

SHIVAMRUT Co-operative Milk Producers Union was established on 27th

January, 1976 under the Cooperatives Societies Act. Initially five talukas from

Solapur district namely Malshiras, Sangola, Pandharpur, Mangalwedha and

Karmala were brought under the operational area of this Sangh. Presently the

activities of this Sangh are mainly concentrated within Malshiras Taluka having

280 villages. The Sangh was started by Late Sahakar Maharshi Shankarrao

Mohite Patil. Sangh is continuously marching ahead on the path of progress. Due

to effective implementation of this program, income generated from Dairy

business tuned to 193.47 Crore annually in this area, thereby creating self-

employments to about 30,000 rural families within this Taluka. Shivamrut Milk

Union has a state of art milk processing plant in Vizori, Akluj having a daily

processing capacity of 2,50,000 litres. There are 364 various societies from which

milk is procured on daily basis. To increase the efficiency and reduce the time in

milk procurement, Sangh has started 10 Bulk Milk coolers. Due to starting of

these bulk Milk Coolers, the quality of milk has increased and the societies get the

weight and quality measures of the milk on the spot.

Working Area of Shivamrut

Map 5.3 Map of Working Area of Shivamrut

148

Logo of Shivamrut:

Diagram 5.3 Logo of Shivamrut Dairy Tag Line of Shivamrut:

The Marathi tag line is “Themba Thembat Amrut” means “Every Drop of Nectar”

which can be interpreted as freshness of Milk and Purity of Nature that is served.

International Standards

The Union has met and achieved the ISO 9001 (Quality Management System)

HACCP (Food Safety audit) and ISO 14001 (Environmental Management

System) Certifications and is striving continuously to meet the other International

Standards. The union is the first and the only one to obtain these certifications

together in the state.

5.3.2 Objectives of Shivamrut Dairy:

The Sangh is offering to the beneficiaries a package deal of basic necessities to

meet different needs, to the milk producer in procurement, marketing of milk,

biological and medicinal inputs, cattle feed etc. To achieve this aim, the following

objectives are defined and implemented by the sangh.

To organize and arrange the activity of milk procurement from the milk

producers to the Sangh.

To process milk by Homogenization and Pasteurization in a highly sanitary

condition.

To find assured and remunerative market for milk and milk products.

To provide veterinary and breeding services by undertaking A.I. Programs

with the use of high quality germ plasma.

To perform a role of catalyst in the process of securing financial inputs and

purchasing dairy animals for the beneficiaries in the areas.

To process milk by Homogenization and Pasteurization in a highly sanitary

149

condition.

To undertake production and supply of nutritious and balanced cattle feed.

To work as an agency for insuring the dairy cattle and for perusing the

insurance settlement claim of cattle owners, with the insurance companies.

To perform a function of disseminating moderm technical know-how to the

dairy farmers in the area by organizing Extension and Training

programmers regularly.

5.3.3 Members of Shivamrut Sangh:

The purpose of a co-operative is to do the best for its members. Shivamrut is

doing this right from day one. Following chart shows the number of Milk

Procurement Society’s, Development Institutes, Processing Unit, Government

Units and Total Members.

Sr. No

Year Milk Procurement Society’s

Development Institute

Processing Unit

Govt. Total

1 2004-05 177 20 1 4 202 2 2005-06 181 20 1 4 206 3 2006-07 181 20 1 4 206 4 2007-08 255 20 1 4 280 5 2008-09 255 20 1 4 280 6 2009-10 255 20 1 4 280

Table 5.15 Milk Procurement PDCS of ShivamrutDairy

5.3.4 Milk Procurement

The traditional system of milk collection in the Dairy Cooperatives societies

included mainly to accept milk by volumes, carry out fat testing by Gerber

method and enter the fat and SNF data manually in the registers. Table 5.16

shows the number of Dairy Cooperatives society, yearly and daily milk

Procurement and Number of routes of milk collection.

The Sangh deploys a fleet of hired vehicles for transporting the procured milk,

which is transported to Mumbai, Pune, Latur, Nanded, Solapur etc. by insulated

Tankers, where it is packed and made available to consumers.

150

Sr. No Year Number DCS

Yearly Milk Procurement

Daily Milk Procurement

Number of Vehicles Routes

1 2004-05 369 3,72,56,541 1,02,072 23 2 2005-06 370 4,18,51,986 1,14,663 29 3 2006-07 396 3,99,73,340 1,09,516 29 4 2007-08 391 5,38,17,790 1,47,446 34 5 2008-09 371 5,96,67,280 1,63,472 35 6 2009-10 364 6,17,67,668 1,69,226 26

Table 5.16 Milk Procurement of ShivamrutDairy

Newly Commissioned Dairy Plants

Considering the improvement in milk procurement, the Sangh has installed and

commissioned an ultra-modern Hi- Tech Dairy project of 2 Lakh LPD capacity at

Vijaynagar-Akluj. The activity of processing manufacturing and packaging of

Milk and Milk products is carried out in a very hygienic and sanitary condition by

taking the utmost care to provide quality products to the valuable customers.

5.3.5 Milk Distribution

The type of liquid milk distributed, the packaging system, the number and

location of retail centers, the distance between the retail centers and the plant or

depots, and the type of vehicles are major factors affecting the techno-economics

of transport. Table 5.17 shows Milk distribution at major Cities. Shivamrut also

distribute milk at Miraj Dairy, Mahanand Dairy, Gokul Dairy, Amul Dairy and

Mother Dairy etc.

Sr. No Year Mumbai Pune Latur Nanded Gulbarga Solapur 1 2004-05 69,06,827 23,88,203 9,44,288 39,89,745 6,92,034 - 2 2005-06 66,03,447 26,13,100 9,26,080 39,99,040 1,31,386 - 3 2006-07 44,76,946 26,75,006 7,55,758 37,82,691 - 16,42,129 4 2007-08 41,30,411 28,14,527 10,85,420 37,05,918 - 4,72,840 5 2008-09 34,49,189 29,38,615 13,19,585 44,34,964 - 18,75,795 6 2009-10 32,42,755 30,08,190 14,16,458 53,69,569 - 16,59,219

Table 5.17 Milk Marketing in various cities of ShivamrutDairy


Due to effective implementation of this program, income generated from Dairy

business tuned to 193.47 crore annually in this area, thereby creating self-

151

employments to about 30,000 rural families within this Taluka. Initially the share

capital of the sangh was 51,000/- , Presently Sangh has officially 20 crore of

share capital.

Sr. No Financial Year Turnover in crore 1 2004-05 181 2 2005-06 100 3 2006-07 126 4 2007-08 151 5 2008-09 181 6 2009-10 193.47

Table 5.18 Turnover of Shivamrut Dairy

Budgetary Provision:

Presently Sangh holds different budgetary provision such as depreciation fund on

vehicles, machinery and different buildings, owned by the Sangh and Special

Reserve Fund raised as per Govt. Rules on new machineries. The Sangh has

generated 15,81,19,740/- through the supervisions.

4.3.7 Products of Shivamrut:

Shivamrut Co-operative milk is engaged in packing of pasteurized and

Homogenized Milk in pouches and also manufacturing milk products like Ghee,

Cheddar Cheese, Processed Cheese, Table Butter, Pouch milk, Flavored milk,

Lassi, Shrikhand, thick milk shake / Ice-cream mix, Sweet curd, Pedha, Burfi,

Paneer & Sterilized Flavored milk etc. Besides, constantly increasing milk

production in this area has made the management aware to think over the future

need of diverting some of its procured milk in other suitable market.

Sr.

No Particulars 05-06 06-07 07-08 08-09 09-10 10-11 Total

1 Loose Milk 26379250 26017740 37340304 41137576 44286873 29593398 204755141

2 Packed Milk 17091672 18087321 18602967 18966721 19098913 19974148 111821743

3 Shirkhand - 2753 2693 8711 12500 18812 45472

4 Ambrakhand - 935 1241 2099 2440 3952 10670

5 Pedha - 2299 2311 3090 3941 6678 18321

6 Sterilized Milk - 106868 274924 181865 80121 111227 755006

7 Paneer - 102 346 2945 1123 6511 11029

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8 Ghee - 11502 6510 88231 72680 42077 221003

9 Khoya - 145 339 3019 2087 6400 11992

10 Lassi - 3730 9209 13285 11552 11389 49165

11 Mattha - 858 521 380 0 0 1759

12 Sweet Curd - 0 10 63 0 0 73

13 Cheddar Cheese - 30054 962 0 1 0 31018

14 Basundi - 113 140 567 949 644 2415

15 Curd - 718 909 351 192 605 2776

16 Barphi - 248 225 159 200 175 1008

17 Chiwda - 532 751 322 751 1177 3536

18 Gulabjamun - 228 68 197 191 105 691

19 Milk Cake - 230 0 25 0 0 256

20 Chakka - 26 0 157 0 0 183

21 Flavored Milk - 926 4414 950 3204 2573 12067

22 Buffalo Milk - 45 0 0 0 0 45

23 Cream - 2 0 42 0 0 44

24 Doya - 0 0 0 0 3949 3949

Table 5.19 Milk Product Production of Shivamrut Dairy


Workforce is divided into four categories which are mentioned below.

In Shivamrut Dairy, there are 650 regular workers.

Shivamrut is associated with around 30,000 milk producers in and around

solapur district.


364 dairy co-operative societies (DCS) on 26 milk routes for Milk

procurement every day.

Since 2009-10 Animal Husbandry Dept. has provided following services

Particular Counter Mobile Veterinary clinics 20 Villages covered 110 Dairy Co-operative Society covered 280 No of mobile A.I. centers 23 No of A.I. cases 54,802 No of calves Born by A.I 10,212

Table 5.20 Veterinary Services of Shivamrut Dairy

153


Sr. No

Center / Branch Sr. No

Center / Branch

1 Vashi Branch (New Mumbai) 12 Pune Branch

2 Solapur Branch 13 Nanded Branch

3 Chilling Center Laxminagar, Mandwe

14 Tandulwadi

4 Chilling Center Palavevasti Mandwe

15 Shindechinch

5 Chilling Center, Sadashivnagar

16 Falwani

6 Chilling Center Markedwadi 17 Piliv

7 Chilling Center Tamshdwadi 18 Chakore

8 Chilling Center Deshmukhwadi

19 Garwad

9 Chilling Center Dasur 20 Khalve

10 Velapur 21 Shirpur

11 Maloli Table 5.21 Chilling Centers and Branches of Shivamrut Dairy

Cattle Feed-

Cattle feed is an essential input requirement for the dairy farmers. Production

and supply of quality feed at minimum costs will certainly result in bringing

down the cost of milk production and simultaneously enhance in net gains. An

80 M.T. per day, feed plant with pelleting facilities is installed by the sangh.

The pelleted form increases the rate of conversion of feed in to milk

production. Sangh proposes to install a 100 M.T./day, totally automatic cattle

feed plant within a short span to meet the huge demand of feed within the

Taluka. Price of Shivamrut Feed is always less than competitor products

available in the market. Besides this, profit generated out of this activity is

passed on proportionately to the milk producers in the form of rebate. In 1994-

95 Sangh had distributed rebate to feed customers at the rate of 20.00 per

bag purchased, yearly. Table 5.22 shows the yearly bags distribution of Cattle

Feed.

154

Sr. No Financial Year Number of Bags Sold (100 Kg.) (Jute)

1 2004-05 1,95,898 2 2005-06 1,76,130 3 2006-07 1,95,287 4 2007-08 2,54,282 5 2008-09 2,79,108 6 2009-10 2,42,143

Table 5.22Cattle Feed of Shivamrut Dairy


Following are the Objectives of Dairy Cooperatives for extension and training

programmes.

Training / Education programme

Competition

Demonstration

Melava

Various Show

Useful Seminar


Regional Meeting

Interaction

5.3.10. Resource Development

Modern technology of using high quality frozen germplasm is harnessed for

improving indigenous cattle resources. The services are organized in such a way

that every needful farmer gets the required service at his doorstep within a very

short period from registering the call. Probably, this may be a unique speciality of

this Sangh that door to door comprehensive health services including preventive

health coverage and breeding services are offered to every animal. For this

purpose, presently 23 Artificial Insemination Centres and 20 Veterinary clinics

are established in this area. These services are catered by a team of 18 Veterinary

graduates, 23 Inseminators and 3 Livestock Supervisors. Each person is provided

155

with a motorcycle. Modern technology of using frozen semen for breeding

services is adopted in this area. Good quality germplasm proved through modern

genetically evolution method is secured, and used for this purpose. Till date about

48,256 high grade dairy cows are born out of this program.

Shivamrut management is proud to note that this service is recognized as

"AKLUJ PATTERN" & accepted by NDDB in their working pattern, throughout

the country. Following is the statistical information

Sr. No

Financial Year

Veterinary clinics

Artificial Insemination Centre

Artificial Insemination Animals

Born

1 2004-05 20 23 50,251 - 2 2005-06 20 23 48,739 6,210 3 2006-07 20 23 48,228 8,918 4 2007-08 20 23 50,742 8,932 5 2008-09 18 20 54,802 10,215 6 2009-10 18 20 49,613 11,119 7 2010-11 20 23 54,802 10212

Table 5.23Veterinary Services of Shivamrut Dairy

5.3.11 Milko Testers / Lactoscan/ Weighing Machines

The Sangh has adopted the policy to supply electronic milk tester at subsidized

rates to the primary societies to have immediate fat testing at the society level.

This instrument makes testing easy and quickly, thus speeding work with

efficiency and accuracy. Till now 350 Milk Testers have been distributed to the

Societies by the Sangh and yet further distribution is carried on as per the

requirement of the societies. In short, the economic revolution brought through

milk business is pouring in nearly 100 crore every year, from metropolitan area

to this Taluka which has benefitted directly 1500 educated people by providing

employment and indirectly benefitted 70% of the rural masses from every society.

Sangh provides Lactoscan machines to societies for measurement of FAT, SNF

and water content at the place of procurement. Weighing machines are provided

to weigh the accuracy of the procured milk.

156

5.3.12 Critical issues of ICT implementation handled at Shivamrut Dairy

1. Feasibility Study (Cost Analysis) : The Shivamrut Dairy conducted feasibility

study as well as Market Analysis, Demand Analysis, Geographical Location,

Financial Analysis, Economic Analysis and Organizational/Operational

Analysis. Finally, the Dairy purchased the SangMaster software. SangMaster

software is basically developed to resolve any dairy related issues. The

management and dairy staff is satisfied about the performance of the

SangMaster software.

2. Software Evaluation, development and Problem Analysis: Shivamrut dairy is

using a tailor made SangMaster software which is also being used by many

other private dairies. SangMaster has been successful in providing with 90%

solutions to Shivamrut dairy. This software is very adaptive for new modules.

As per IT manager of Shivamrut dairy, SangMaster is the perfect solution for

Dairy Cooperatives. But to get the maximum benefit out of it is still a

challenge. The head of IT department had to struggle to get the currect

solution which was suitable for the Shivamrut work culture. Fulfillment of all

the modules was the basic needs of the dairy.

3. Software Implementation, Testing, Maintenance and Monitoring: In the initial

stage of Implementation of SangMaster Software, Implementation, Testing

and Maintenance was taken care by the company under the supervision of IT

in-charge of Shivamrut Dairy.


Compatibility (Reengineering): The Team of IT department visited number of

Dairy Cooperatives to find the perfect solution. Many of the software were not

able to fulfill the need of Shivamrut dairy. IT team also checked front-end,

backend and compatible OS for the software. Initially that was a big risk but

was resolved at the implementation level. As per the need of Dairy, the

business processes are developed by SangMaster. Shivamrut implemented all

the modules of Dairy Cooperatives at once only but only few are functioning

as maintaining and updating the same is one of the major issues. Shivamrut

dairy was not updated as far as the computers of the dairy. They purchased

157

separately 80 Pentium-IV dual core computers for regular work and for the

SangMaster. Separate well-equipped computer room, Server room and

essential needs were established at the time of Installation of SangMaster in

Shivamrut dairy.

5. Legal software issues: Shivamrut dairy purchased Licensed Windows

operating System.

6. Networking Issues : Wired network is used to connect the various departments

which are spread in around 21 acres of area. Initially spreading and

Installation of cabling was the major issue which was resolved. To maintain

the Network is still a major issue for the network administrator.

7. Backup and Security Issues: The security and backup issues are taken care by

the SangMaster itself. Shivamrut purchased only the Net protector antivirus

software for all the desktops and the servers.

8. Local language Support to software and Websites: Support of regional

language Marathi is very essential for any Dairy Cooperatives. SangMaster

provides the support of ISAM font to resolve the barrier of regional language.

SangMaster provides 90% reports in the regional languare Marathi, which are

required by the Management, Dairy staff and the milk.

9. Underestimating IT skills (Providing specialized training): Before the

implementation of SangMaster in Shivamrut dairy, IT department trained the

employees on some of the Hardware and Software. IT department showed

some movies & songs for increasing the interest of dairy employees. Various

training workshops were organized to develop the skillset of the employees in

the Shivamrut dairy. Top Management of Shivamrut dairy personally looked

into the skillset of employees and changed the responsibilities of the

employees’ number of times to get maximum outcome.


Support): The management of Shivamrut dairy is very active. Management

has made the budgetary provision in their annual budget by availing loans

from the sister Cooperatives bank. Management of the Dairy was positively

looking towards outcome. Management invested a huge amount for

158

purchasing SangMaster but still they are not happy due to partial functioning

of SangMaster.

11. Resources Management (Technical, Skilled manpower, Planning): Top

Management and Department In-charge took great efforts for increasing the

awareness at the initial stages. It was also found that the employees above 40

years of age are rigid to adopt the new technology. In every official or

unofficial meeting with the employee the top management or department

heads were communicated about the importance of ICT in Dairy

Cooperatives. Some brain storming sessions were also conducted for the dairy

employee. Shivamrut Dairy was successful in building the trust and

relationship among the employees by various activities. Huge efforts were

taken to build the trust among the employees.

5.3.13 Status of ICT Services in the Dairy

Latest computers have been provided to societies to ease procurement data and

milk billing. All these have enabled the societies to increase the quality of the

milk as all the weight and quality related data is provided on the spot. This has

also enabled fast billing and has increased transparency in the whole process.

some of the dairy essential issues of Computerization are listed below

IT Designation available in Dairy co-operative: EDP Manager/In-charge (One

Year Experience), Programmer (One Number), Data Entry Operator (Two

Number)

Dairy Co-operative has switched over to computerization and has more than

Eight years’ of experience in that field.

Departments those are computerized are:

Partially Computerized : Packing Department, Dispatch Section

Completely Computerized : Marketing Department, Processing

Department, Quality Department, Milk Procurement, Accounts

Department, Finance Department

Computerization Not Started: Processing Department, Admin

Department, Cattle Feed

159



Type of software Dairy has: Tailor made (As per Requirement)

Name of the Software Developer : Shiv Traders (SangMaster)

Address of Company : Sangali


Dhule Taluka Dudh Utpadak Krishipurak Udyog Sahakari Sangh Ltd. and

some other private dairy are using the same software

Server in Dairy : IBM (1 server) X 3500 MHz


Present status of computer system in Dairy:




Operating System used: Windows XP and Windows-7 and Linux is used for

Server.

Licensed Software : Yes

Front End Software : Visual Basic/MS-Visual Studio

Data Base Software : Access, SQL Server, FoxPro and dBase

Application Software : MS Office, ERP Package

Utilities :Antivirus, ISAM, Server Management Utilities

Licensed Antivirus used: Net protector

Securities provided to software


Physical Security : Biometric and Fire wall


Upgradation of hardware and Software : On Demand




Networking Cost : 1.5 lakh

160


Other devices Cost 1.0 lakh


ICT Services available : E-mail, Phone, SMS, Group Mobile, By Post,

Person to person, CCTV, EPBX

Existing Software are Flexible and fulfill all the requirements of Shivamrut

Dairy

161

5.4 “Rajhans Milk”, Sangamner Taluka Sahakari Dudh Utpadak Sangh Ltd,

Sangamner

5.4.1 Introduction

Sangamner Taluka Sahakari Dudh Utpadak and Prakriya Sangh Ltd “Rajhans

Milk” was incorporated in Sangamner in 1977. The Cooperatives movement in

agriculture farming took place in Maharashtra after independence. Dairy was

started by the vision of Sahakar Maharshi Shri Bhausaheb Santuji Thorat, a senior

social and political leader, banker, freedom fighter and doyen of co-operative

movement determined to improve the quality of life. The founder comes from a

humble farming family who with immense hard work and vision has made an

institution.

Rajhans Milk Dairy is committed to the vision of procuring surplus milk from the

farmers to produce value-added dairy products through superior technology. The

dairy is fully integrated dairy with processing capacity of 2.3 lakh litres of milk

per day. There are various quality products produced in the dairy. The Dairy has

established its new plant for production of mineral water named as Rajhans Aqua.

This product is already a leading product in Maharashtra.

Rajhans Aqua plant is established in 2004 which is catering to thrust of people

from Maharashtra, Goa, Gujarat and Karnataka. The plant is again fully automatic

run by latest machinery from world class companies.

Logo of Rajhans:

Diagram 5.4 Logo of Rajhans Dairy

162

Working Area of Rajhans

Map 5.4 Logo of Rajhans Dairy


Rajhans Milk and Aqua are located in Sangamner on Pune-Nasik Highway in

Maharashtra State, India, Rajhans Milk ensures the quality standards followed are

indeed the best. There’s in-house R & D and technical team to monitor every

single aspect of production which follows HACCP. Rajhans Milk also holds the

certification of ISO 9001: 2000.

Rajhans milk union has remain consistently competent to provide updated

technical resources and necessary support facilities to production of milk

products. Dairy tries to continuously improve the effectiveness of implemented

quality management system & food safety management system based on

international standard.

163

5.4.2. Objectives of Rajhans Dairy:

The management of Rajhans dairy is very visionary and introduced various

schemes in favor of farmers, employees and milk procurement method and

process. The management has following objectives.

Innovate with Quality, Grow at speed of light, serve with passion and Excel

with ethics

Dairy union endeavor to reach the leadership position in Dairy Industry.

Dairy union is committed to satisfy customers by providing Quality

Products.

Continuous improvement by giving value added returns on their investment

Dairy union commits to continuous growth, so as to fulfill the aspirations of

Farmers, Customers, Employees and Shareholders and all people related to

the dairy.

5.4.3 Rajhans Infrastructure

Rajhans Dairy plant is one of the most modern units in Maharashtra, with the

latest technology on avail at Sangamner.The plant has a milk processing capacity

of 2.3 lakh lit. milk/per day and it is operating to its full efficiency. In addition to

this dairy has separate facility for R& D and Quality management department

with latest instruments & devices.Dairy plant is strategically located in the

proximity of green zone with ample water resources. There are more than 10,050

farmers who are regular supplier of milk to dairy. To ensure the quality of milk,

Rajhans Milk dairy has set up hundreds of bulk milk coolers spread over 75

villages. The dairy is running its own as well as hired transportation system of

milk vans which are always on work to collect the milk from various parts of

Ahmednagar district.To educate the milk suppliers, devoted team of veterinary

doctors and dairy farming professionals demonstrate and create awareness about

the cattle and milk management.

164

5.4.4 Members of Rajhans Sangh and Milk Procurement

Sr. No Year Number DCS Yearly Milk Procurement

Daily Milk Procurement

Number of Vehicles on Roads

1 2003-04 198 6,13,42,635 1,68,062 16 2 2004-05 204 6,22,83,370 1,70,639 18 3 2005-06 207 7,02,27,525 1,92,404 18 4 2006-07 203 6,89,54,945 1,88,917 17 5 2007-08 205 7,52,09,728 2,06,054 18 6 2008-09 201 8,36,69,542 2,29,231 18 7 2009-10 201 9,03,90,380 2,47,644 18

Table 5.24 DCS of Rajhans Dairy

Table 5.24 shows the Milk procurement, Sale of Rajhans packing Milk, Milk

Procumbent cost, Milk Sale amount, Milk product sales cost in crore for the

Rajhans Dairy.

Sr. No

Financial Year

Milk procurement

Sale of Rajhans packing Milk

Milk Procumbent cost

Milk Sale amount

Milk product sales cost

1 2005-06 7.2 7.29 73.36 88.52 1.24 2 2006-07 6.89 7.49 81.49 97.99 2.43 3 2007-08 7.52 7.97 99.68 117.56 4.30 4 2008-09 8.37 8.02 122.15 139.12 8.37 5 2009-10 9.03 8.21 138.41 156.41 12.54

Table 5.25Milk Procurement and Sales of Rajhans Dairy

5.4.5 Milk Distribution

Every year the milk procurement and marketing is increasing. Milk union

distributed 100% milk and marketing of milk is increaseing by every year. Milk

product and Aqua is distributed in Maharashtra, Karnataka, Gujarat and Goa

states. Following chart shows the milk distribution amount in favor of Rajhans

Packing Milk, Mahananda Dairy and Government.

Sr. No Year Rajhans Packing Milk

Mahananda Dairy

Govt. Total

1 2005-06 7,29,57,501 5,39,557 26,02,722 7,60,99,780 2 2006-07 7,48,65,436 1,67,106 8,76,577 7,59,09,119 3 2007-08 7,97,20,354 2,54,228 18,46,976 8,18,21,558 4 2008-09 8,02,34,236 12,04,894 48,07,777 8,62,46,907 5 2009-10 8,12,22,527 38,67,317 34,31,140 8,85,20,984

Table5.26 Rajhans Milk Distribution

165


Due to effective implementation of this program, income generated from Dairy

business tuned to 193.47 Crores annually in this area, thereby creating self-

employments to about10,050 rural families within this taluka. Following chart

shows the Turnover, share capital, Asset, Budgetary provision, Profit, and Fixed

Deposit (in Crores) for last five years

Table5.27 Share Capital of Rajhans Dairy

Products:

Following is the range of milk products

Rajhans Milk Rajhans Flavored Milk

Rajhans Paneer Lassi

Rajhans Ghee Rajhans Shrikhand

Rajhans Dahi Rajhans Chhas

Rajhans Pedha Rajhans Lassi

Rajhans Gulabjamun Mineral Water

Sr. No

Particulars 03-04 04-05 05-06 06-07 07-08 08-09 09-10

1 Ghee (MT) 50.13 49.35 61.00 88.04 53.78 70.33 60.11

2 Pedha (MT) 5.40 6.59 8.74 13.89 22.41 31.40 34.47

3 Shrikhand (MT) 4.29 8.39 19.36 33.55 50.03 82.64 138.0

4 Lassi (Ltr.) 46576 19273 30.03 62.60 120959 141013 190081

5 Paneer (MT) 4.01 11.31 18.80 29.69 49.16 75.89 121.37

6 Chhas(Ltr.) 6684 39853 314997 737356 2156845 5047587 7864723

Sr. No Financial Year

Turnover in Crores

Share Capital in Crores

Asset in Crores

Budgetary provision in Crores

Profit in Crores

Fixed Deposit in Crores

1 2005-06 94.81 9.81 21.8 12.67 4.13 12.37

2 2006-07 109.36 10.99 29.58 15.55 5.22 13.03

3 2007-08 134.29 12.28 31.7 18.56 5.84 13.04

4 2008-09 161.14 14.17 35.88 22.3 6.67 22.01

5 2009-10 177.68 16.15 37.83 23.92 6.71 28.15

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7 Masala Chhas (Ltr.) -- -- -- -- -- -- 122509

8 Curd (MT) 1.68 6.72 15.53 30.97 94.08 205.13 322.37

9 Flavored Milk (Btl) 99772 67775 104418 260474 536763 772881 524139

10 Khoya(MT) -- -- 1.27 5.93 19.40 31.61 45.75

11 Ambrakhand(MT) -- -- 161 4.99 9.82 14.20 23.85

12 Gulabjamun(MT) -- -- -- 0.32 6.39 9.90 16.33

13 Sonpapadi (KG) -- -- -- -- -- -- 54

14 Rasgulla(KG) -- -- -- -- -- -- 53

Table 5.28 Milk Product Production of Rajhans Dairy

Rajhans Aqua: Table 5.31 shows the production and sales of Rajhans Aqua


Production Liters

Sales Liters

1 2005-06 4,11,880 4,11,880 2 2006-07 57,14,823 57,16,462 3 2007-08 1,04,39,854 98,67,479 4 2008-09 82,10,490 84,13,965 5 2009-10 68,11,820 69,87,278

Table5.29 Production and Sales of Rajhans Aqua


Workforce is divided into four categories which are mentioned below.

In all 750 regular work Employees (Permanent and Temporary).

Associated more than 10,050 milk producers in and around Ahmednagar district.

Covers more than 75 villages.

224 Primary Dairy Co-operative Societies (PDCS) on 19 milk routes in Morning and evening for Milk procurement every day.

From the year 2009-10 Animal Husbandry Dept. provided following services

Table5.30 Workforceof Rajhans Dairy

Particular Counter 09-10 Mobile Veterinary clinics 55 No of A.I. centers 82 No of A.I. cases 71,060 No of calves Born by A.I 22,009 Vaccination for insect fever 2,355 Worm eradication Camp 11 Camp for cattle infertility 6588

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Sr. No Center / Branch Address

1 Rajhans Milk Sangamner Dairy itself

Table5.31 Chilling Center and Branches of Rajhans Dairy


Following are the Objectives of Dairy for extension and training programmes.

Cattle services by sanction of grant basis.

Dairy Cooperatives provide tools like chaff cutters, local made knives,

fodder seeds, funding to purchase cattle without interest, supply of grant,

milk testing apparatus to societies, automatic milk collection computer unit.

All these schemes have been implemented by the dairy union to make the

members prosperous.

Artificial Insemination Schemes

Vaccination for Insect Fever Scheme

Subsidies and Extension Program

Milk Day Program

Grassland Development

Green Revolution Scheme.

Labor Development Scheme.

Services in Dairy

Sr. No

Financial Year

PDCS Milko Meters

Electrical Weight and Computer

Software Completed

1 2005-06 207 269 090 42 2 2006-07 203 288 137 42 3 2007-08 205 298 138 44 4 2008-09 201 310 143 50 5 2009-10 201 320 140 58

Table 5.32 Services of Rajhans Dairy

5.4.9 Critical issues of ICT Implementation handled at Rajhans Dairy

1. Feasibility Study (Cost Analysis): In Rajhans dairy, foundation of SAP

implementation is based on feasibility study. IT department conducted the

feasibility study for cost effective, technology effective and for effectiveness of

168

operational level in the dairy. On the basis of costs and benefits of SAP

implementation, management approved the SAP implementation plan and it is

working effectively.

2. Software Evaluation, development and Problem Analysis: Rajhans dairy was the

first Dairy Cooperatives in India which implemented SAP, so they had to face the

problems regarding issues like what to develop and how it is to be developed. To

get the maximum benefit out of it is still a challenge. The management and team

heads had to struggle to get software which can be successful in the current

working environment. SAP teams also had to work hard to understand the needs

of the dairy and apply them in the current scenario.

3. Software Implementation, Testing, Maintenance and Monitoring: As per the need

of Dairy Cooperatives the business processes are developed. Maintaining and

updating the same is one of the major issues.


Compatibility (Reengineering): Before implementation of SAP, dairy had P-III

Computers but for the implementation of ICT the dairy purchased 40 new PCs

and 10 laptops. Technology upgradation was a challenge and needed a great deal

of investments and efforts.

5. Legal software issues: SAP itself is a licensed software. It can only be installed on

licensed OS.

6. Networking Issues : Departments were spread across 12 acres of land.

Therefore networking of all the departments was a major issue. Hence, wireless

network was used for internal connectivity.

7. Backup and Security Issues: The security and backup issues are taken care by the

SAP itself. Dairy purchased only the quick heal antivirus software. Management

of the Dairy was interested only on the result and not on the regular work so that

was the major risk but it was automatically resolved due to successful

implementation of SAP.

8. Local language Support to software and Websites: Support of regional language

Marathi is very essential for any Dairy Cooperative as the literacy level of

farmers, drivers and some of the older employees is very low. SAP is an

169

International package which is not supporting the Marathi language. Rajhans

worked one year to resolve the problem. Finally they succeeded in tackling the

issue.

9. Underestimating IT skills (Providing specialized training): The initial reaction of

people about ICT implementation was not very positive. They were rigid and

were not very receptive to change. It was made possible due to management’s

initiative and support towards imparting training and giving enough time to learn.

Management appointed a separate team for implementation of SAP and

simultaneously other staff was trained on routine basis. Number of training

programmes were conducted to create awareness among the stakeholders about

ICT.


Support): The management of Rajhans dairy is very dynamic in nature. They

made separate financial provisions for implementation of SAP in their dairy. The

huge investment was seen initially as burden and the fruits of this investment

were far away. No loans were taken from any Govt. or private institution. It was

the belief of management and the trust over the Cooperatives which made it

possible. Internal trained resource was developed by assigning responsibilities to

team heads who used to attend the resource person from SAP and used to get

various insights into the system. These self-driven team-heads later on used to

train other team members. Separate well-equipped computer room, server room

and essential needs were established at the time of SAP implementation.

11. Resources Management (Technical, Skilled manpower, Planning): To spread the

importance and necessity of SAP and also to increase the confidence regarding

the job security towards the employees was the major issue handled by the

management of Rajhans dairy. The management was successful to build the trust

and the relationship among the employee and stakeholders of the dairy. The

management had given the flexibility in regular work in the dairy while

implementation of the SAP was being done.


Dairy union is using SAP ERP from last three years. The management has taken

170

this decision to improve the efficiency and performance of the business in every

aspect which will definitely end up with great returns on investment with larger

profit margins and big market share. SAP implementation is first kind of

innovation in the Cooperative dairies in all over India. Pune based Flink

Technologies (I) Pvt. Ltd is working as a implementation partner with Rajhans to

create history in the Cooperatives dairy segment. Some of the dairy essential

issues of Computerization are listed below

IT Designation available in Dairy co-operative: MIS Officer (14 Year

Experience), IT Manager, Data Entry Operator

Dairy Co-operative has switched over to computerization and having more

than five years’ of experience in Computerization

Departments those are computerized are:

Partialy Computerized : Marketing

Completely Computerized : Processing Department, Quality

Department, Packing Department, Milk Procurement, Dispatch Section,

Accounts Department, Admin Department, Finance Department

Conducted Feasibility study before system design: Technical Feasibility,


Type of software: Tailor made

Name of the Software Developer : Flink Technology India Pvt. Ltd.

Address of Company : F. C. Road Pune

E-mail :[email protected]

Website : http://www.flink.in

Servers : IBM and HP Servers

Network Technology Used : Bus Topology and Star Topology

Present status of computer system:


Number of Computers having P-III or fewer configurations : 0

Number of Computers having P-III or high configuration : 40

Operating System used: Windows 98, Windows XP and Windows-7

License Software : Yes

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Front End Software :Visual Basic/MS-Visual Studio, Power Builder

Data Base Software :Oracle, Access, SQL Server

Application Software :MS Office, ERP Package and Department Wise

Modules

Utilities :Antivirus

Licensed Antivirus used: Kaspersky, MyCafe

Securities provided to software?


Physical Security: Hardware Lock, Security Guard, Card Reader,

Biometric, Fire wall


Upgrade your Computer or Software done on regular basis :Yes









Mobile, By Post, Person to person.

Existing Software are Flexible and fulfill all the requirement of Rajhans Dairy

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5.5 “Krishna Milk”, Rajarambapu Patil Sahakari Dudh Sangh Maryadit,

Islampur

5.5.1 Introduction

Rajarambapu Patil Sahakari Dudh Sangh Maryadit, Islampur was a far sighted

dream of Shree Rajarambapu Patil which turned in to reality in the year 1975. It

was specifically designed to have 100% involvement of the farmers, generate best

remuneration for their milk supply, boost milk production and give the region the

most wanted economic development. Rajarambapu Patil milk union is a co-

operative engaged in milk production in enhancement milk procurement,

processing and marketing. This union is founded in 1975 by Late. Rajarambapu

Patil with the prime objective to bring white revaluation by paying attractive rate

to the milk producers and to provide more employment opportunities to the rural

people.

Initially milk was procured only from Walwa Taluka .Today union is procuring

milk also from adjoining Talukas present average milk procurement is 2.00 Lakh

Liters/day. The Union has constructed a new building of 7.0 Crores having the

latest processing and milk production technology. Technical and financial

assistance required for this project was extended by NDDB, Anand.

In 1993, open market system came into existence, there by it started operations in

the cities like Mumbai, Pune and thus helped in improving the economic status of

the union and in turn returning the same to the farmers, primary milk producers

and members. The milk union today has a turnover of over 250 crore rupees.

The new “State of the art” hi-tech plant was constructed in 2003 with the design

and financial assistance by NDDB, Anand. Today the plant has a processing

capacity of 3.00 TLPD (thousand liters per day) with modern processing and

production machinery assisted by skilled manpower. The total project cost is

around 8.00 crores. In Mumbai, processing plant has been hired since 1992 to

supply milk of 1000 TLPD

173

Logo of Krishna:

Diagram 5.5 Logo of Krishna Milk

Working Area of Krishna

Map 5.5 Map of working area of Krishna Milk


Recently the Union has been certified ISO 9001-2008 for quality management

system & Hazard Analytical Control Point HACCP for food safety system by

DNV Norway.To reduce the cost of milk production at the farm level Union is

providing technical guidance & services to the induction of high yielding by milk

animal from other states. Netherlands and unique management systems in place

which is RVA certified in Feb. 2004.

5.5.2 Objectives of Krishna Dairy

To serve Quality, Farm-fresh Milk & Milk products to Customers.

174

To provide remunerative prices and essential inputs to Milk Producers.

To take care of Employees.

To strive for growth in their Net value.

Production of milk economically at farm level

Vibrant management of primary dairy co-operative society.

Utilization of ideal manpower and resources for rural development.

To achieve these objectives, union has worked out a planned curriculam which

comprises of planned activities like educating, training and demonstration

sessions to the rural milk producers, farmers and staff members.

5.5.3 Members of Krishna Sangh:

Krishna Milk Union has 175 Primary Dairy Co-operative societies and 3801

Individual Cooperatives members. The registered Primary Dairy Co-operative

societies supply regular milk to Dudh Sangh and have been enrolled as

members in the region of their area of operation. Member society is a main unit

who plays an important role in Dudh Sangh’s activities and development. These

members are also involved in Dudh Sangh’s Board of Directors representatives.

They carry a definite plan for economic development and amount primary milk

co-operative societies as well as milk producers. They are involved in Dudh

Sangh’s AGM as a representative of primary milk co-operative societies and put

up the problems as well as raises positive questions. The Dudh

Sangh’s management helps to sort out their problems and queries. The Dudh

Sangh collects 0.5 paise per litre as development fund and distribute the dividend

12% per year per hundred to the primary societies.


Rajarambapu Patil Sahakari Dudh Sangh Ltd., has been determined and

committed to produce and serve the quality of milk and milk products to its

customers. The Dudh Sangh has commercialized the number of business

activities. Milk Procurement is growing at a rate of 15 – 25 % per annum. In year

2009-10 the total milk procured was 2,00,000 litres per day.

175

Sr. No

Year Cow Milk Procurement

Buffalo Milk Procurement

Total Milk Procurement

Average Procurement

1 2003-04 221.14 199.04 420.18 1.15 2 2004-05 252.12 241.96 493.08 1.35 3 2005-06 316.62 355.60 672.22 1.84 4 2006-07 360.63 380.11 740.74 2.03 5 2007-08 382.52 391.70 774.22 2.12 6 2008-09 388.14 460.59 848.73 2.33

Table 5.33 Milk Production of Krishna Milk

Milk Distributions

The milk is marketed under the brand “Krishna”. The milk is marketed in

far away areas of Mumbai, Pune, Kolhapur, Satara, Sangli and Kokan region of

Maharashtra state through efficient distribution and marketing network.


The present turnover of Dudh Sangh is 250 Cores.

Sr. No Financial Year Turnover in crore 1 2006-07 1,23,26,450 2 2007-08 1,35,28,950 3 2008-09 1,46,73,450 4 2009-10 1,54,63,450

Table 5.34 Turnover of Krishna Milk

5.5.6 Products:

The union is processing & selling in the market milk & milk products, viz. Milk,

Ghee, Shrikhand, Sterilized Flavored Milk, Basundi, Dahi, Pedha, Paneer, Lassi,

Butter, Amrakhand and other indigenous milk product by the brand name

‘Krishna’. Major marketing is done in Mumbai, Pune, Kokan and Western

Maharashtra cities and towns. The plant has milk handling capacity of 2, 75,000

litres per day, of which 80% is sold as liquid milk and remaining goes for by-

products manufacturing. The Dudh Sangh received the prize for the best

performance in productivity achievement from National Productivity Council,

New Delhi for the year 2005-06 in May 2007 by Ministry of Agricultural and co-

operation department. The total produce of the Dudh Sangh has 80% milk sold in

pouches and 20% sold as indigenous byproducts’ like Butter, Ghee, Curd, Lassi,

176

Basundi, Paneer, Shrikhand, Butter Milk, Pedha and Flavored Milk. The total

sales performance of dairy products in year 2009-10 is Shrikhand 173.55 MT,

Amrakhand 42.12, Ghee 403 MT, Curd 199, Lassi 102, Butter Milk 34.5, Flavor

Milk 76.46, Paneer 66.71, Basundi 14.37 MT. Following figures are in Lakh

Sr. No

Particulars 03-04 04-05 05-06 06-07 07-08 08-09 09-10

1 Cattle Feed 2.81 2.97 2.90 3.18 3.55 3.98 2 Packed Milk 264.42 361.47 479.63 649.24 552.31 547.91

Table 5.35 Milk Product of Krishna Milk


Workforce is divided in to four categories which are mentioned below.

In all 276 regular workers.

Associated with around 3801 Individual Members in Walwa Thesil

Covers 104 villages.

Has 45 Milk Coolers.

175 Primary Dairy co-operative societies (PDCS)

From the year 2009-10 Animal Husbandry Dept. provided following services

Particular Counter Mobile Veterinary clinics 10 Villages covered 104 Primary Dairy Co-op Society covered 175 No of mobile A.I. centers 22 No of A.I. cases 29,487 No of calves Born by A.I 12,795

Table 5.36 Veterinary Services of Krishna Milk


Sr. No Center / Branch Sr. No Chilling Center

1 Mumbai 1 Karad

2 Vashi 2 Atpadi

3 Pune 3 Jat

4 KupwadCattlefeed Plant 4 Ranjni

Table 5.37 Chilling Center of Krishna Milk

177

5.5.8 Cattle Feed-

The Cattle feed is produced and marketed to member societies as well as in open

market under the supervision of state milk federation body, Mumbai. In the year

2009-10 a total cattle feed of 18426.860 MT in 330716 bags of 60 Kg. each was

produced and marketed.

Cattle Feed Plant, Islampur: In order to provide the best nutrition for the cattle

and to assist the producer in their overall development a 100 M.T. cattle feed

plant was erected in 1983. The plant is producing cattle feed in form of Pallet and

mash which operates at its 100% capacity and is credited with ISO 9002

certificate.

Cattle Feed Plant, Kupwad Miraj: In order to provide the best nutrition for the

cattle and to assist the producer in their overall development a 100 M.T. cattle

feed plant was erected in 2006. The plant is producing cattle feed in form of pallet

and mash which operates at its 100% capacity and is credited with ISO 9002

certificate.

5.5.9 Features of Krishna Cattlefeed:

The consumption of Krishna cattlefeed reduced the cost of feed and fodder by

nearly 30 % and enhanced the milk production with increased fat and SNF.

Krishna cattlefeed assures uniformity in quality of each pellet since it is

manufactured by computerized batching system.

Krishna cattle feed in pellet form has excellent nutritional value.

Uniform mixture of well programmed ration in the feed ensures uniform

fermentation in the rumen resulting in continuous availability of energy and

protein to enhance fat and SNF in the milk.

Pellet form of the feed eliminates free choice of feeding and selective feeding,

which results in balanced intake of dry matter to improve milk production.

178


Number of Bags Cattle Feed Sold (100 Kg.) (Jute)

Number of Bags Sold Mineral Mix (100 Kg.) (Jute)

1 2005-06 2,90,454 14,988 2 2006-07 3,19,200 14,302 3 2007-08 3,54,719 14,717 4 2008-09 3,99,111 21,600 5 2009-10 4,12,300 23,250

Table 5.38 Cattle feed Production of Krishna Milk

Training and Resource Development Programs:

Dudh Sangh has been trying to give better facilities to their member to become

economically sound. The various facilities offered to primary milk co-operative

societies are enlisted as follows:

Cattle services on the basis of sanction of grant basis.

Dairy Cooperatives provides tools like chaff cutters, local made knives,

fodder seeds, funding to purchase cattle without interest, supply of grant,

milk testing apparatus to societies, automatic milk collection computer unit.

All these schemes have been implemented by the Dudh Sangh to make the

members prosperity.

Artificial Insemination Schemes

Vaccination for Insect Fever Scheme

Subsidies and Extension Program

Women leadership Development

Milk Day Program

Grassland Development

Green Revolution Scheme

Labor Development Scheme

179

5.5.10 Resource Development

Sr. No

Financial Year

Artificial Insemination Animals

Diagnosed Animal

Vaccination for insect fever

Operations Special Visits

1 2005-06 26,899 1,065 33,699 182 9,686 2 2006-07 34,730 2,169 38,544 151 9,101 3 2007-08 28,970 3,228 45,737 191 10,524 4 2008-09 31,415 2,736 61,700 217 11,539 5 2009-10 31,650 3,130 55,690 197 10,980

Table 5.39 Veterinary Services of Krishna Milk

5.5.11 Critical issues of ICT Implimentation handled at Krishna Dairy

1. Feasibility Study (Cost Analysis) : Krishna dairy conducted a feasibility study

to find the ICT feasibility and estimated the project scope to identify risks and

benefits to the dairy. On the basis of feasibility study Krishna dairy developed the

skilled manpower in their organization. IT department was capable to handle the

responsibilities and technology related issues of the IT services. The management

was keen to invest for betterment of the dairy. Finally, as per the need of dairy,

management implemented the ERP system.

2. Software Evaluation, development and Problem Analysis: The Dairy

Cooperatives is successfully working under Computerized ERP system.

Implementing changes into issues like milk machines, artificial incrimination

services, fodder development, cattle feed, mineral mixture, computerization of

village dairy co-operative milk testing machine, necessary education and training

program to milk producers deceased staff, and rural women is still a challenge,

although ERP has provided some solutions.

3. Software Implementation, Testing, Maintenance and Monitoring: IT department

developed a separate module and tested it with the manual system. During the

period of implementation, IT department was very much dependent on the dairy

staff.


Compatibility (Reengineering) : Krishna dairy purchased about 90 desktop new

computers in three phases for regular work. Technology upgradation was a

challenge and needed a great deal of investments and efforts.

180

5. Legal software issues: Dairy tried number of antivirus software, but found Quick

Heal antivirus adequate and suitable for their needs. Dairy had Microsoft license

for operating system and office. IT department succeeded to get approval from the

management regarding purchase of front end and back end licensed software.

6. Networking Issues : Departments were spread across 11 acres of land.

Therefore networking of all the departments was a major issue. Wired network is

used for internal connectivity. Fiber optics cable is spread over 1.5 KM in the

dairy.

7. Local language Support to software and Websites: All the major reports which

are essential to farmers and the dairy staff are generated in the regional language

Marathi only. At the initial phase of the implementation, dairy had a biggest

problem of font support. Dairy purchased the Krutidev and Akruti font and the

problem was resolved.

8. Underestimating IT skills (Providing specialized training): A number of training

programs were conducted on hardware and software training to make the user

confident and spreading the awareness among the dairy employees about ICT.

There is need to provide more training to utilize their skills. The top management

and IT head had to struggle a lot to get a software developer which can be

successful in the dairy working environment and at the same time be economical.

The teams also had to work hard to understand the needs of the dairy and apply

them in current scenario. The team visited some other dairies to get acquitted

about the standardization of the process. Managing Director of the dairy had

swapped the responsibilities of employee at the time of ERP implementation.


Support): The management of Krishna dairy never hesitated for allocation or

sanctioning of the required budget for the ERP implementation. People of the

dairy were rigid and were not very receptive to the change. They felt it quite risky

to handle or operate the system. It was made possible due to IT department

initiative and support towards imparting training and giving enough confidence to

operate the same. Management had taken the risk for huge investment at initial

level because they saw the fruits of ICT investment at global level. Loans were

181

taken from NDDB and some provision was made in their budget itself. IT

department believed that Implementation of ICT was made possible only due to

the management initiatives and faith. Separate well-equipped computer room,

server room were established at the time of ERP implementation.

10. Resources Management (Technical, Skilled manpower, Planning): Management

of the Dairy was very supportive towards the ERP implementation but the

employees of the dairy were reluctant to change due to the unawareness and threat

for job security. After the implementation of SAP they felt very comfortable. Now

they are demanding some changes in existing system and asking about new

developed modules. To spread the importance and necessity of dairy

computerization, Managing Director and the Chairman held separate meetings

and passed the proposal of dairy computerization and also increased the

confidence regarding the job security towards the dairy employees. Management

succeeded to build the trust and relationship among the employees and

stakeholders of the dairy regarding ICT implementation.


The Dudh Sangh is working under Computerized ERP system successfully. It

includes milk machines, artificial incrimination services, fodder development,

cattle feed, mineral mixture, computerization of village dairy co-operative milk

testing machine, Generator set and necessary education & training program to

milk producers deceased staff rural women are all carried out with help of IT

technology. Some of the dairy essential issues of Computerization are listed

below:

IT Designation available: MIS Officer (12 Year Experience), Programmer(12

Year Experience) (Two Number), Data Entry Operator (1 for each

Department)

Dairy Co-operative has switched over to computerization and having more

than five years’ (Three Audit Report) of experience in Computerization

Department those are computerized are:

Partialy Computerized : Cattle Feed

182

Completely Computerized : Marketing Department, Processing

Department, Quality Department, Packing Department, Milk Procurement,

Dispatch Section, Accounts Department, Admin Department, Finance

Department

Dairy conducted Feasibility study before system design: Technical Feasibility,

Operational Feasibility, Economic Feasibilityand Social Feasibility

Type of software: Tailor made (As per Requirement)

Name of the Software Developer : 3i Infotech Ltd.

Address of Company : 3i Infotech Ltd. Tower # 5, 3rd to 6th Floors

International Infotech Park, Vashi Navi Mumbai-3


Website : http://www.3i-infotech.com/

Jalgaon Jilha Sahakari Dudh Utpadak Sangh Maryadit Jalgaon is also using

the same software

Server: IBM (11 servers) where 4 IBM PC are converted to Server

Network Technology Used : Star Topology CAT 5 cables using for

Networking and main extensions are 1. Dairy Office, 2. Head Office, 3. Gate,

4. Store and other Departments

Present status of computer systems:




Operating System used: Windows 98, Windows XP and Windows-7and

Linux is used for Server.


Front End Software : Visual Basic/MS-Visual Studio, D2k, ASP. Net

Data Base Software : Oracle 10g, Access, SQL Server

Application Software : MS Office, Lotus 123, ERP Package and

Department Wise Modules

Utilities : Antivirus, Shree Lipi, ISAM, Server Management

Utilities, KrutiDev Fonts

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Securities provided to software:


Physical Security: Hardware Lock, Security Guard, Card Reader,

Biometric, Fire wall






Printer and Other devices Cost : 10.0 lakh



Mobile, By Post, Person to person

Existing Software is Flexible and fulfill all the requirements of Krishna Dairy

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5.6 “Katraj Milk”, Pune Zillha Sahakari Dudh Utpadak Sangh Maryadit, Pune

5.6.1 Introduction

Pune Zillaha Sahakari Dudh Utpadak Sangh Maryadit, popularly known as 'Katraj

Dairy' is the local and branded as "Katraj", a district level co-operative

organization registered in 1960, is involved in processing milk and milk products.

The representatives of milk producing farmers are based in rural areas,

encompassing almost the entire Pune District, manage this organization on behalf

of the milk producers for their socio-economic growth. Katraj Dairy was

incorporated with an intension of providing an organized facility of milk

collection at the village level farmers situated in Pune district. Katraj Dairy started

with milk collection of about 0.30 lakh (30,000) liters per day in the first year of

operation and today, has steadily grown to over 2.00 lakh (0.02 million) litres per

day.

Katraj products have been in use in thousands of homes in Pune since 1961.

Katraj Milk, Katraj Ghee, Katraj Shrikhand, Katraj Amrakhand, Katraj Lassi,

Katraj Jeeratak (buttermilk) , Katraj cream have made Katraj a leading food brand

in Western Maharashtra. Today Katraj is a symbol of high-quality milk products

sold at reasonable prices, the genesis of a vast co-operative network triumph of

indigenous technology, the marketing savvy of a farmers' organization.

The Dairy has 2 lakh litre handling capacity at Katraj. In addition there are 8 milk

cooling centers and 12 bulk coolers in the district. The society has a share capital

of 5.25 corers. The society has already bagged the ISO-hasap-agmark FPO

standard certificate.The organization has a unique advantage of its strategic

location as it is based in Pune city, a place with historic and cultural importance

and a major district place in Maharashtra, India with a sound educational and

industrial infrastructure, located about 180 kilometers from Mumbai.

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Working Area of Katraj:

Map 5.6: Map of working area of Katraj Dairy

Logo of Katraj:

Diagram 5.6 Logo of Katraj Dairy


The objective of the parlour is to produce good, clean and high quality milk. It

also plans to implement modern technology machines to develop a high-tech,

milk dairy. Katraj Dairy has achieved ISO 9001:2000 and HACCP certification

from DNV in Oct. 2006 & maintained. In Oct. 2009 Dairy has achieved ISO

9001:2008 & HACCP 2006 Dutch Standard from Det Norskey Veritus.

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Objectives of Katraj Dairy

The main objective of Katraj is to build a value chain of farmers to source milk at

an organized level, manufacture products with high standards and sale these

products in the competitive open market place. This objective is supported by the

following objectives.

To be a leading brand in implementing modern technologies and benchmark

practices by the year 2012

Extending sale of products across India by 2012

To enhance the standard of living the farmers by encouraging them for dairy

farming by partnering with them on various fronts.

To implement best dairy farm management systems by adopting loose housing

barns method thus ensuring healthy animals resulting in lowering of

production cost and increase in productivity.

5.6.2 Katraj Infrastructure

Katraj Dairy with its eight chilling plants and 12 BMC spread almost all over the

district has an installed milk handling capacity of over 5 lakh (0.50 million) liters

per day. The main plant of Katraj is equipped with modern Pasteurizer,

homogenizer, Cream separator, Ghee processing, automatic packing of milk and

milk products and other quality testing devices and with well equipped labs.

Katraj Dairy has an installed processing capacity of 2 lakh (0.2 million) litres per

day. All these products are available at Katraj owned parlors at various locations

in Pune city and through appointed distributors and retailing circuits. Very soon,

Katraj plans to introduce an online ordering system for its distributors/ retailers

and consumers.

Milk Parlour

The milk parlour has provided, curd for sales through DVS culture in small

packets of 100, 200 & 400 gms.

Paneer, Ghee is being supplied in stand-by pack with a new design.

The milk parlour has started producing hard ice-cream, sterilized flavored milk in

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bottles in the Golden Jubilee year.

The work is on for the installing the 10,000 /lit capacity homogenizer machine of

new Terapak company.

To store the hot water collected from the solar water heater, the arrangement of

new insulated storage tank is in progress.

In Katraj Dairy a new pasteurizer for a new 5 HP capacity air compressor and

refrigeration dryer has been made and installed.

5.6.3 Members of Katraj Sangh:

Sr. No

Year Member Society’s

1 2000-01 909 2 2001-02 1046 3 2002-03 1046 4 2003-04 1002 5 2004-05 948 6 2005-06 883 7 2006-07 883 8 2007-08 983 9 2008-09 835 10 2009-10 865 Table 5.40 Member Societies of Katraj Dairy

It is observed that there is decrease in Dairy Member Society’s in Katraj Dairy.


The Procurement covers 11 talukas (Bhor, Varwand, Kondhapuri, Otur, Aawsri,

Wada, Pait, Naygaon) Coling centers similarly Katraj to Mumbai-worli, Katraj-

Parag & Katraj to Dynamics. The society has 11 bulk milk coolers at Kalwadi,

Najare, Jawalarjun, Pargaon, Mandavgan Farats, Karandi, Nimgaon Sawa,

Mangrur, Jadhavwadi and Paud. The milk is transported by pick-up tempos,

insulated vans and tankers. In the report years, two insulated vehicles have been

purchased & developed, put in service for the routes such as Pune-Solapur Rd,

Pune Satara Rd, Pune-Nashik Rd. and Pune-Mumbai Rd. The milk parlors have

been started at various places and supplied with milk products through insulated

vehicles. The society has a plan to purchase two small tankers of 5000 lts capacity

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for transporting milk to the bulk cooler and other cooling centers.

Sr. No Year Number DCS Yearly Milk Procurement (lts.)

1 2000-01 909 - 2 2001-02 1046 - 3 2002-03 1046 - 4 2003-04 1002 110171307 5 2004-05 948 102503249 6 2005-06 883 91455953 7 2006-07 883 83568329 8 2007-08 983 83186064 9 2008-09 835 70961674 10 2009-10 865 56289152 11 2010-11 878 51453288

Table 5.41 Member Societies and Milk Procurement of Katraj Dairy

New Dairy Plans

Katraj Milk and Milk Products look forward to enhance their capabilities with a

fully automated world class plant for milk processing and SMP production. This

new facility has a capacity of over 600,000 liters with fully centralized automatic

CIP system and should be operational soon.

Laden with state-of-the-art facilities like Deodorizer, Milk powder plant, and

machineries procured from leading international dairy manufacturers like Alfa

Laval, Tetra Pak and Stork, it would increase the production capacity manifolds

and reduce costs. Milk tanker cleaning system is also an additional feature in this

new plant. Very soon Katraj Dairy is starting Milk ATM at various places,

initially in Pune city.

4.6.5 Milk Distributions

The sale of milk in pouch packages started in the year 1961 with around 30,000

litres/day. The present sale is around 2 lakh litres per day. This growth is the

result of delivering the best quality at a reasonable cost. Katraj entered the

Karnataka and Goa market very successfully and has seen a steady growth since

then. Katraj milk products have also received a good response. Katraj dairy

provides milk to Pune, Mumbai, Solapur, Kokan, Karnataka and major dairy

federation in Maharashtra

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As on 31st March 2010, the share capital amounted to 477 lakh. Katraj Dairy

has a financial turnover of over 150 crores ( 1500 million / US$ 33 million) in

financial 2010-11 which was the highest in last 10 years.

Sr. No Financial Year Turnover in crore 1 2001-02 130 2 2002-03 116 3 2003-04 121 4 2004-05 112 5 2005-06 101 6 2006-07 110 7 2007-08 127 8 2008-09 123 9 2009-10 111 10 2010-11 150

Table 5.42 Turnover of Katraj Dairy

Budgetary provision:

Sr. No Financial Year Budgetary provision in crore

1 2001-02 10.69 2 2002-03 11.95 3 2003-04 14.17 4 2004-05 14.96 5 2005-06 14.45 6 2006-07 14.68 7 2007-08 22.91 8 2008-09 23.32 9 2009-10 23.20 10 2010-11 -

Table 5.43 Budgetary provision of Katraj Dairy

The funds of the budgetary provision showed a continuous increase in the same

time period.

4.6.7 Products of Katraj Dairy:

Katraj dairy manufactures / distributes milk and milk products like Pasteurized/

Homogenized-Cow milk, Toned milk, Double toned milk, Standardized Milk,

Full cream milk, Cow & Buffalo Cream and Ghee, Shrikhand, Amrakhand, Malai

Paneer, Dahi, Flavored Milk, Lassi, Jeera Tak, Table Butter, Milk Powder, Softy

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Ice cream, Pedha, Khoa and in the near future plans to introduce sterilized milk in

200ml bottle and hard ice-cream with different flavors in different pack sizes.

Various products are enlisted below:

Katraj Milk Katraj Flavored Milk

KatrajCreamPaneer Table Butter

Katraj Ghee Katraj Shrikhand

KatrajDahi KatrajChhas

Katraj Pedha Katraj Lassi

KatrajIce-cream Mineral Water

Sr. No

Particulars 07-08 08-09 09-10

1 Packed Milk 1.46 LPD 1.28 LPD 1.14 LPD 2 Shrikhand 17 MT 20.0 MT 21.61 MT 3 Ambrakhand 11.7 MT - 21.00 MT 4 Pedha - 6.34 MT 13.36 MT 5 Milk Powder - 32.3 MT 28.1 MT 6 Paneer 54.5 MT 65.0 MT 73.83 MT 7 Ghee 137 MT 108 MT 186.2 MT 8 Khoya - 0.28 MT 1.86 MT 9 Lassi 103 MT 61.0 MT 77.78 MT 10 Chakka - 0.98 MT 1.44 MT 11 Sweet Curd - 24.2 MT 36.91 MT 12 Cheddar Cheese 171 MT 195 MT 113.6 MT 13 Table Butter 56.3 MT 46.5 MT 58.13 MT 14 Curd 8.9 MT 61.1 MT 108.4 MT 15 Flavored Milk 139 MT 130 MT 137.3 MT 16 Ice-Cream - 13.7 MT 14.1 MT

Table5.44 Bi-Product Procurement of Katraj Dairy


Workforce is divided in to four categories which are mentioned below.

In all 635 regular workers.

Associated with more than 43,800 milk producers in and around Pune district.

Covers more than 608 villages.

878 dairy co-operative societies (DCS) spread over 11 talukas

From the year 2009-10 Animal Husbandry Dept. has provided following

services

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Particular 06-07 07-08 08-09 09-10 Dairy Co-operative Society covered Under AI 425 425 425 35 No of A.I. centers 66 53 151 5 No of A.I. cases 39408 26887 3035 2562 No of calves Born by A.I 12074 13147 1652 1761 Vaccination for insect fever 1000 1000 1000 1200 Worm eradication Camp - - 4848 3750 Camp for cattle infertility 18 12 33 38 LSS Training Workshop - - 1 2

Table 5.45 Veterinary Services of Katraj Dairy

5.6.9 Chilling Centers and Branches:

Sr. No Chilling Centers Sr. No Address

Chilling Center

1 Otur Chilling Center 5 Naygaon Chilling Center

2 Wada Chilling Center 6 Kondhapuri Chilling Center

3 Pait Chilling Center 7 Bhor Chilling Center

4 Aawsari Chilling Center 8 Warwand Chilling Center

Bulk Coolers

1 Kalwadi 6 Pargaon

2 Najare 7 MandavganFarata

3 Jawalarjun 8 Karandi

4 Nimgaon Sawa 9 Mangrur

5 Jadhavwadi 10 Paud

Table 5.46 Chilling Center, Branches and Bulk Coolers of Katraj Dairy


Following are the objectives of Dairy Cooperatives in favor of extension and training programme. Blood donation camps

Dairy and Dairy Product Exhibition

Training / Education Programme

Competitions

Demonstrations

Melavas

Various Shows

Useful Seminars

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Regional Meetings

Interactions

5.6.11 Services provided to Primary Dairy Societies

Following are the facilities and equipments provided by Katraj dairy to their

primary dairy society or farmers

Milko Metter

Milk Cans

Ice Supply

Annual Tender System

Purchasing Through Quotation

Artificial insemination service

Medical stores facilities for the cattle

L.S.S Training

Milk Transport Facility

Cattle feed kutty machine

Milking machine

5.6.12 Critical issues of ICT implementation handled at Katraj Dairy

1. Feasibility Study (Cost Analysis) : IT experts of the Katraj dairy conducted an

analysis and also did an evaluation of ICT implementation to determine whether it is

technically feasible within the estimated cost and whether it will be profitable for

Katraj dairy. It was observed that, though it was feasible to the dairy but due to the

unavailability of skilled manpower the ICT implementation would not work.

Management of Katraj dairy decided to develop the required models in-house.

2. Software Evaluation, development and Problem Analysis: The IT department of the

Katraj dairy has a problem regarding how to assign the priority for development of

the modules. IT department does not believe whether the concerned departments will

support the computerization.

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3. Software Implementation, Testing, Maintenance and Monitoring: The ICT

implementation or software implementation is at a basic level and it is an in-house

development, this is the main reason of why Software Implementation, Testing,

Maintenance and Monitoring is at very poor stage.


Compatibility (Reengineering): Dairy Cooperatives have only 17 Pentium-IV

computers in the dairy. Due to the low level of ICT implementation, there is a very

less technology risk. In the current scenario Katraj dairy is not facing the technology

up gradation challenge due to their status of computerization.

5. Legal software issues: Katraj dairy has only AVG legal antivirus software and they

are not responding about other software licensing.

6. Networking Issues : Departments are connected by the cabled network which is not a

big problem.

7. Backup and Security Issues: AVG antivirus software is used for the security of the

desktop systems. Weakly backup logs are maintained on CD ROM.

8. Local language Support to software and Websites: Krutidev and Shree-Lipi fonts are

used for handling the language barrier. Very limited support of these fonts are

available for software developed by IT department but very good support is available

for letter drafting, presentation and excel related work.

9. Underestimating IT skills (Providing specialized training): Katraj dairy has only two

employees for the development of the dairy modules. Computerization of dairy is at a

very low level which is developed by these two employees. The employees of Katraj

were very rigid to change the business environment. They are stuck to the traditional

methodology of working environment, this is the main reason there is very limited

ICT implementation. Katraj dairy is located in the Pune city. Majority of computer

literate people do not prefer dairy job. Majority of the employees of the dairy are

more than 40 years old and these people are rigid to change their work culture. This is

the main reason, the management of Katraj dairy feels a risk to implement ICT

services.

10. Budgetary provision for Hardware software and Training (Management Support):

The management of Katraj dairy spends very less amount towards the ICT

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implementation even though it was established in 1960. IT department had provided

the hardware and software training to dairy employees. Dairy has also given the

annual maintenance contract to the private agency. Separate well-equipped computer

room, Server room and essential need were established in Katraj dairy. Management

is ready to spend whatever is required for the infrastructure, but they are not confident

about the usage.

11. Resources Management (Technical, Skilled manpower, Planning): Management of

Katraj dairy is interested in implementation of ERP in the dairy but availability of

skilled manpower is the main problem faced. Katraj dairy does not have proper

skilled manpower. Katraj dairy also provides training to the employee but the exit rate

of the younger staff is very high. The management of Katraj dairy is trying to

communicate importance and need of ICT implementation but is unable to reach

employees and convince them in a proper way. Management of Katraj dairy is facing

the problem of building trust and relationship.


Some of the dairy essential topics of Computerization are listed below

IT Designation available in Dairy co-operative: System Analyst cum Programmer

and Data entry Operator

Dairy Co-operative has switched over to computerization and having five years of

experience in Computerization

Departments those computerized are:

Partialy Computerized : Processing Department, Packing

Department, Marketing, Finance Department

Completely Computerized : Milk Procurement, Dispatch Section,

Accounts Department, Admin Department

Computerization Not Started : Quality Department

Dairy conducted Feasibility study before system design: Technical Feasibility,

Operational Feasibility, Economic Feasibilityand Social Feasibility

Type of software Dairy has: Tailor made (In-house Development)

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Name of the Software Developer : System Analyst and Operator of

Katraj Dairy

Address of Company : Katraj Dairy


Website : http://www.katrajdairy.com/


Present status of computer system:


Number of Computers having P-III or fewer configurations : 0

Number of Computers having P-III or high configuration : 17

Operating System : Windows XP and Windows Vista


Front End Software : Visual Basic/MS-Visual Studio

Data Base Software : Access, SQL Server, dBase III

Application Software : MS Office

Utilities : Antivirus, Shree Lipi,

Licensed Antivirus: Quick Heal

Securities provided to software?

Logical Security : Access right

Physical Security : No


Upgradation hardware and Software : On regular basis







Total Expenditure for Computerization : 13.8 2.0 lakh

ICT Services available : E-mail, Phone, SMS, Group Mobile, By Post,

Person to person

Documents

Case Studies of selected Dairy Co- operatives