A

REPORT ON

SUMMER INTERNSHIP/ PROJECT WORK

STUDY
OF
“ HUMAN RESOURCE INFORMATION SYSTEM”
AT
AMUL ANAND
Submitted to

INDUKAKA IPCOWALA INSTITUTE OF MANAGEMENT (I2IM)

CHAROTAR UNIVERSITY OF SCIENCE AND TECHNOLOGY
(CHARUSAT)
CHANGA

Prepared by
PATEL .SNEHA .P
ID No.: 09MBA58
M.B.A. First Year

Under the Guidance of

PROF . SUJATA KRISHNAMURTHY

JULY 2010

1
 PREFACE

Summer Internship Programme is a part of MBA Programme, which is very

helpful in getting practical knowledge in this globalization world. Now-a-days only
theoretical knowledge is not enough to success in life but most important we
must have practical knowledge. With the help of this training, I came to know how
to apply theoretical knowledge in practice.

Main purpose of this training is to have awareness about industrial environment

and to know about function of different functions of an organization like Human
resource, Finance., Production and Marketing.

I got an opportunity in KAIRA DISTRICT CO-OPERATIVE MILK UNION

LIMITED, Anand, Gujarat to undergo Summer Internship Programme as a part of
MBA Programme. I consider myself privileged that I got a chance to work with
reputed company and can upgrade my knowledge related to practical aspect of
business world which is very helpful in my career building.

.
- Patel Sneha

2
 ACKNOWLEDGEMENT

I would like to express my heartfelt gratitude toward Mr. Mr. J. K. Joshi [G. M.]
the chairman of the AMUL, who gave me permission to do my Summer Training
Project in AMUL. Also I would like to convey my sincere thanks to Mr. Mr. Cyril
parmar (Training in charge)who supported me in acquiring practical knowledge
throughout guiding me in my project.

I am deeply thankful to Prof. G. K. Krishnamurthi, Principal, Indukaka Ipcowala

Institute of Management for permitting me to do Summer Training Project and
encouraging me to complete successfully. I would also like to thank my faculty
guide Mrs Sujatha Krishnamurthy, for her keen interest, valuable guidance,
inspiration, immense zeal for hard work and positive outlook towards the subject.
Her intellect, persuasiveness and insistence on a good work were a guiding light
in the darkness of my ignorance.

I would also like to express my sincere thanks to the other faculty members and
administrative personnel who have helped me in carrying out my summer
training. Lastly, I would like thank all the persons who have helped me directly or
indirectly in completing my project successfully.

3
 DECLARATION

I , ____________________________, student of the FIRST-year

MBA programme at Indukaka Ipcowala Institute of Management
(I2IM) hereby declare that the report on summer training and
project work entitled “___________________________________”
is the result of my own work. I also acknowledge the other works /
publications cited in the report.

(Signature)
Place: Changa
Date: (Name of the student )

4
 INDEX

Sr.No. PARTICULARS Page

No.
1 PREFACE 2

2 ACKNOWLEGEMENT 3

3 PART – A 6
INTRODUCTION
4 COMPANY PROFILE 9

5 MARKETING MANAGEMENT 20

6 PRODUCTION &OPERATION MANAGEMENT 27

7 SUPPLY CHAIN MANAGEMENT 41

8 HUMAN RESOURCE MANAGEMENT 43

9 FINANCE MANAGEMENT 52

PART – B

CASE STUDY ON HUMAN RESOURCE 65

INFORMATION SYSTEM OF AMUL
10 ANNEXURE 70

11 BIBILOGRAPHY 71

5
Executive summary

AMUL is a co-operative sector. It is the institution of the farmers, for the farmers and
from the farmers. The AMUL gives pleasure to the farmer to charge the own price, which
was not possible in earlier years. This union was born on 14th December 1946. The union
provides facilities to its members like more return, satisfactory price, insemination, first
aid, group Insurance, cattle food at confessional price etc.

I have done case analysis on HRIS of AMUL and from that I have come to know how
organization operates and how the functions have been carried in the organization . From
this is case I have come to know how a wide organization like AMUL manages its
Human resource .

AMUL dairy has five main departments like finance, personnel, commercial, milk
procurement and production. The finance department does the clerical work and takes
care of inflow and outflows of the cash. The other work of finance Department is to audit
of annual work.

The personnel department handles the work regarding personnel like appointment,
recruitment, promotion, transfer, dismissal, demotion, performance appraisal etc.

6
 PART - A

ORGANSATION PROFILE

7
8
 Symbol of Amul is a ring of four hands, which are coordinated each other .The
actual meaning of this symbol is coordination of hand of different people by
whom this union is now at top.

 First hand is for the farmers (producers), without whom the organization
would do not existed. Farmers are the inspiration of the AMUL – the taste of
India.
 Second hand is for the representatives of processors by whom the raw milk
processed into different finished products.

 Third hand is for marketers without whom the product would have not be able to
reached to the customer.

 Fourth hand is for customers without whom the organization could not carry on
because they are the people who consume the product. The union of Amul would not
have been the second biggest successful company in the world without the
coordination of the above four hand.

9
ORGANIZATION PROFILE

 NAME : KAIRA DISTRICT CO- OPERATIVE

MILK PRODUCERS’ UNION LIMITED,
ANAND.
 FORM : Co-operative sector under the co- operative
Society Act.
 REG.OFFICE : Kaira District Co-operative Milk producers
Union ltd, Anand -3881001.
Gujarat, India.
 PROMOTERS (1) SHRI TRIBHUVANDAS PATEL
(2) SHRI MORARJI DESAI
(3) SHRI VALLABH BHAI PATEL
(4) Dr. VARGHESE KURIEN
 BANKERS : 1. Kaira District Co-operative Bank.
2. Axis Bank.
3. State Bank of India.
4. Bank of Maharastra.
5. Corporation Bank.
6. Bank of Baroda.
7. Bank of Saurastra.

 AUDITORS : Special Auditors (Milk), Milk Audit Office

Anand.
 SOCITIES : 1113.
 MEMBERS : 6, 31,333.
 OFFICE TIME : 1O:00 A.M TO 06:00 P.M.
 PREMISES : 49.55 Acres.
 REGISTRATION : 14th December, 1946.

10
The Amul – Meaning
AMUL means “ priceless “ in Sanskrit . A quality control expert in Anand suggested the
brand name “AMUL” from the Sanskrit word “Amoolya” variants, all meaning
“priceless” are found in several Indian languages. Amul products have been used in
millions of home since 1946 .
 Amul butter
 Amul milk powder
 Amul ghee
 Amulspray
 Amul cheese
 Amul chocolates
 Amul Ice- cream
Today Amul is a symbol of many things . of high – quality products sold at reasonable
prices . F triumph of indigenous technology . Of the marketing savvy of a farmers
organization . And proven model for dairy development .

MOTTO, VISION, AND QUALITY POLICY

MOTTO
The main motto of AMUL is to help farmers. Farmers were the foundation stone of
AMUL. The system works only for farmers and for consumers, not for profit. The main
of AMUL is to provide quality products to the consumers at minimum cost. The goal of
AMUL is to provide maximum profit in terms of money to the farmers.

VISION

Vision of AMUL is to provide and vanish the problems of farmers (milk producers). The
AMUL apparition was to run the organization with co-operative of four main parties, the
farmers, the representatives, the marketers, and the consumers.

11
QUALITY POLICY

We the motivated and devoted work force of AMUL are committed to produce whole
some and safe foods of excellent quality to remain market leaders through deployment of
quality management system, state of art technology innovation and eco- friendly
delightment of customer and betterment of milk producer

HISTORY

In early 1940’s a farmer in Kaira district, as elsewhere in India, derived his income
almost entirely from seasonal crops. The income from milk was paltry and could not be
depended upon. The main buyers were milk traders of Polson Ltd.-a privately owned
company that enjoyed monopoly for supply of milk from Kaira to the Government Milk
Scheme Bombay. The system leads to exploitation of poor and illiterate farmers by the
private traders.

12
However, when the exploitation became intolerable, the farmers were frustrated. They
collectively appealed to Sardar Vallabhbhai Patel, who was a leading activist in the
freedom movement. Sardar Patel advised the farmers to sell the milk on their own by
establishing a cooperative union, instated of supplying milk to private traders. Sardar
Patel sent the farmer to Shri Morarji Dasai in order to gain his Co-operation and help.
Shri Dasai held a meeting at ‘Samrkha’ village near Anand, on January 4, 1946. He
advised the farmers to from a society for collection of the milk.These village societies
would collect the milk themselves and also decided prices for that which would be
profitable for them. The district union was also from to collect the milk from such village
cooperative societies and to sell them. It was also resolved that the government should
asked to buy milk from the union.

However, the government did not seem to help farmer by any means. It gave the negative
response by turning down the demand for the milk. To respond to this action of
government, farmer of Kaira district went on a milk strike. For 15 days not a single drop
of milk was sold to the traders. As a result the Bombay milk scheme was severely
affected. The milk commissioner of Bombay then visited Anand to assess the situation.
Finely he decided to fulfill the farmers demand.

Thus their cooperative unions were forced at village and district level to collect and sell
milk on a cooperative basis, without the intervention of government. Mr. Verghese
Kurien had main interest in establishing union who was supported by Shri Tribhuvandas
Patel who convinced farmers in forming the cooperative unions at thevillage level. ‘The
Kaira District Co-operative Milk Producers’ Union’ was thus established in Anand and
was registered formally under section 10 of Bombay Act VII of 1925 on December 14,
1946. Since then farmers are selling all the milk in Anand through cooperative union. In
1955 it was commonly decided the sell milk under the brand name ‘Amul’

At the initial stage only 250 liters of milk was collected everyday. But with the growing
awareness of the benefits of the co-operative-ness the collection of milk increased. Today
Amul collect 50, 00,000 liters of milk everyday. As the milk is perishable commodity it
became difficult to preserve milk for a longer period. Besides when the milk was to be

13
collected from the far places there was a fear of spoiling of milk. To over come this
problem the union thought to develop the chilling unit at various junctions, which would
collect the milk and could chill so as preserve it a for a longer period. Thus, today Amul
has more than 168 chilling centers in various villages. Milk is collected from almost 1097
societies.

With the financial help from UNICEF, assistance from the government of New Zealand
under the Colombo plan, of Rs. 50 million for factory to manufactory milk powder and
butter. Dr. Rajendara Prasad, the president of India laid the foundation on November 50,
1954. Shri Pandit Jawaharlal Nehru, the prim minister of India declared it open at Amul
dairy on November 20, 1955.

A plant to manufacture balanced cattle feed was formally commissioned on October 31,
1964 by Shri Lalbahadur Shastri, the Prime Minister of India. At the request of the
government of India, a new dairy with a capacity to manufacture 40 tons of milk powder
and 20 tons of butter a day was completed in 1963. This was meant to meet the
requirement of India’s defense forces. The dairy was declared open by ShriMorarji Desai
in April, 1965. in 1974, the Kaira Union setup a plant to manufacture high-protein
weaning food, chocolate and malted food at Mogar, about 8 km south of Anand.

In September, 1981, the second cattle feed plant at ‘Kanjari’ were started. The succesion
of the co-generation project on September 11, 1985, marked a milestone on the energy
front when two gas turbine generators of 1.5 MW each based on natural gas, were
commissioned. On October 31, 1992, Dr. V. Kurien chairman, National Dairy
Development Board, laid the foundation of Kaira Union’s third dairy with a processing
capacity of 6.5 lakh liters of milk a day. Work on the third dairy and cheese plant at
‘Khatraj’ with capacity for 20 Metric Ton of cheese per day, began in February, 1994.
Also in 1994, Kaira Union put up bread spread plant at ‘Mogar’ with the assistance from
National Dairy Development Board.

14
THE AMUL BUTTER GIRL STORY

Amul Butter Girl: The moppet who put Amul on India's breakfast table.

50 years after it was first launched, Amul's sale figures have jumped from 1000 tones a
year in 1966 to over 25,000 tones a year in 1997. No other brand comes even close to it.
All because a thumb-sized girl climbed on to the hoardings and put a spell on the masses.

Bombay: Summer of 1967. A Charni Road flat. Mrs. Sheela Mane, a 28-year-old
housewife is out in the balcony drying clothes. From her second floor flat she can see her
neighbors on the road. There are other people too. The crowd seems to be growing larger
by the minute. Unable to curb her curiosity Sheela Mane hurries down to see what all the
commotion is about. She expects the worst but can see no signs of an accident. It is her
four-year-old girl who draws her attention to the hoarding that has come up overnight.
Round eyed, chubby cheeked, winking at you, from strategically placed hoardings. She is
the Amul moppet everyone loves to love

For 30 odd years the Utterly Butterly girl has managed to keep her fan following intact.
So much so that the ads are now ready to enter the Guinness Book of World Records for
being the longest running campaign ever. The ultimate compliment to the butter came
when a British company launched butter and called it Utterly Butterly.

15
It all began in 1966 when Sylvester daCunha, then the managing director of the
advertising agency, ASP, clinched the account for Amul butter. The butter, which had
been launched in 1945, had a staid, boring image, primarily because the earlier
advertising agency which was in charge of the account preferred to stick to routine,
corporate ads.

The Amul girl who lends herself so completely to Amul butter, created as a rival to the
Polson butter girl. This one was, village belle, clothed in a tantalizing choli all but
covering her upper regions. "Eustace Fernandez (the art director) and I decided that we
needed a girl who would worm her way into a housewife's heart. And who better than a
little girl?" says Sylvester daCunha. And so it came about that the famous Amul moppet
was born.

16
ORGANISATION STRUCTURE OF AMUL
Board of Director

CHAIRMAN

MANAGING CHAIRMAN

GENERAL MANAGER

ASSISTANT GENERAL MANAGER

MANAGER

DEPUTY MANAGER

ASSISTANT MANAGER

SENIOR EXECUTIVE

SENIOR OFFICER

SENIOR ASSITANT

WORKERS

Grade ( Ato E)
.

17
18
INTRODUCTION – MARKETING MANAGEMENT
Every organization that produces one or more products requires marketing of the products sell
them in the market. It is only through marketing that people know about a company's products.
Hence marketing is considered as a key activity of organization. The organization requires sound
marketing structure to carry on its marketing activities.

However the concept of marketing is not confined only to selling of goods and services to
customers. Instead the company tries to create and maintain the customer base through marketing.
The marketing thus focus on the customer needs and wants in the market and emphasis on
producing and selling only those goods, which have higher demand in market. The company
mainly markets its products through advertising. Marketing uses various sales promotional tools
to boost the sales of the company. The marketing department thus should have sound distribution
channel and promotional system to make the marketing activities sound.

Concept
The marketing concept holds the key to achieving its organizational goals consists of the
company being more effective than competitors in creating , delivering and communicating
customer value to its chosen target markets . marketing starts with the determination of
consumer wants and ends with the satisfaction of those wants. The concept says that any
business should be organization around the marketing function, aningticipating and
stimulating and meeting customers need . The marketing concept rests on four pillars and
they Are
1. Target market
2. Customer needs
3. Integrated marketing

19
4. Profitability

AMUL has also its own marketing concept . AMUL targets all type of customers like
babies , children , young customers and old age customers etc . Amul try best for
satisfying needs by providing good quality products.
Marketing Mix
The marketing mix , which is set of four elements or four “ P” of marketing are as
follow
1. Product
2. Price
3. Place
4. Promotion
Same as four “P” there is also four “ C” of marketing.
1. Customer solution
2. Cost
3. Convenience
4. Communication

 PRODUCT :
A product is anything that satisfies a needs or wants and can be offered to the market for
exchange. A product can be a goods , services without product there is no marketing .
This includes product variety ,product design , packaging , quality , brand name, size etc.

AMUL produces and sell i.e. Milk , It has to plan Its product very carefully so that the
consumer gets only good quality products. There are various products marketed by
GCMMF

List of products marketed

Bread spread
Amul butter
Amul Lite Low bread spread
Amul cooking butter

20
Cheese range
Amul Malai panner ( cottage cheese)
Amul pasteurized processed cheese
Amul pizza cheese
Amul Emmiatial cheese

UHI Milk Range

Amul shakti 3% fat milk
Amul Taaza 1.5% fat milk
Amul Gold 4.5% fat milk
Amul fresh Toned milk
Amul snowcap soft milk.

Pure ghee
Amul pure ghee
Amul cow ghee
Sagar pure ghee

Infant milk Range

Amul infant milk formula (0.6 millions)
Amul infant milk formular
Amul spray infant milk food
Milk powder
Amul full cream milk powder .

Curd products
Yogi sweetened flavored dahi
Amul Lassee
Amul masti Dahi

 Price :-

21
The prices of products of Amul are also decided by the GCMMF. The GCMMF conducts
the market survey to check the validity and feasibility of prices in the market and
accordingly decides the prices of Amul products.
The price of the products of Amul are also decided by the Gcmmf .The Gcmmf
conducts the market survey to check the validity and feasibility of prices in the market
and accordingly decides the price of Amul products . However , the price is inclusive of
several elements like:
• Cost of milk
• Labour cost
• Processing cost
• Packaging cost
• Advertising cost
• Transportation cost
• Sales promotion cost
• Taxes etc.
The GCMMF considers all this cost . aspects and set them up in pricing structure to
decide the selling price of milk and milk products.

 Promotion
IT includes a variety of techniques including advertisement , sale promotion,
public relations and personal selling that are used to communicate with customers and
potential customers . Television is the best media for advertising in the local areas .
Hoardings designed on the creative basis attract the customers more .

 Place
Place refers to marketing activities that make products available to consumers at the
right time in a convenient location . place refers as distribution Channels .IT is the
process of moving products from the producer the consumer.

22
 Amul has developed federation and Amul parlours located in several parts of country
.Amul have managed to create more than 2300. Amul have identified certain potential
locations such as Railway , Airports , universities , and shopping malls . The GCMMF
handles the workers relating to Managing of stocks and distributors to in the country.
Thus GCMMF looks offer the disbursement of products to the various Marketing
channels.

Market segmentation : -

Any commodity has not a single Market. But it has a composite Market which can be
divided on the basis of age, gender , preferences etc . The process of dividing a market
into disticnt groups of buyers is called market segmentation . Market segmentation may
be defined as a process of dividing a Market into different sub- markets on the basis of
some definite criteria .

At Amul, since marketing activities are handle by the GCMMF , market segmentation
is also decided by Gcmmf . Generally , Milk products like Butter , cheese are also
popular in the all age group. Hence they are segments at the national level. Milk products
like chocolates and milk powder are segmented on the basis of age . The GCMMF
conduct the market survey to know demand for the products of Amul in the Market and
then accordingly determines the market segments, defines the target market .

MARKETING &GCMMF
GCMMF is India’s largest exporter of dairy products . It has been awarded as a
“Trading House” status . GCMMF has received the APEDA award from the government
of India for Excellence in dairy products Exports for the last 11 years . Gcmmf is India’s
largest food products Marketing Organization . It is a state level apex body of milk co-
operatives in the Gujarat which aims to provide remunerative returns to farmers and also
serve the interest of consumers by providing quality products which are good value for
money

23
The major export products :- The products of Amul is being exported in the 40
countries of the world . Many of the products are now available in the U.S.A , Gulf
countries and Singapore. Amul products are being exported to the Singapore since last
three decades . undoubtedly , Amul is the preferred taste of Indians in the Gulf countries.

Consumer packs:-
 Amul pure Ghee
 Amul Butter
 Amul Shrikhand
 Amul Mithaee Gulabjamun
 Nutramul Brown Beverages
 Amul cheese
 Amul malai panner
 Amul Gold Milk
 Amul UHT Milk ( Long Life)
 Amul Taaza Double Toned Milk
 Amul Life slim and trim Milk
 Amul fresh cream

BULK PACKS
 Amul Skimmed Milk powder
 Amul Full Cream Milk powder

The following Amul products are available in the Gulf Markets :-

 Amul / Sagar pure Ghee

 Amul cheese Tin and Slices
 Amul Shrikhand
 Amul Butter
 Amul Gold milk

24
  Amul – cool chocolate Milk.

Marketing Research : -
“ Marketing Research is the systematic design collection , analysis and reporting of
data and findings relevant to a specific marketing situation of the company .

Amul performs the marketing research mainly to launch a new products in the
market. The purpose is of checking the validity of the new products in the market for the
local new . Amul conducts the market survey by appointing business administration
students for conducting the market survey . Extending policy of the new producted
launched , Amul has recently launched the energy drink named “ STAMINA” specially
targeted to the people who are playing sports daily .

25
PRODUCTION &OPERATION DEPARTMENT

INTRODUCTION
Production management is refers to the process of correction of past mistakes catching up
with the new techniques, taking up steps with developing techniques and taking measures
for the production of goods at competitive cost.”

The basic philosophy of production management is to launch a frontal attack on

direct costs and effective use the availability manpower weaving new techniques in to the
whole to keep the production unit efficient and developing production management is the
process of planning, organizing, directing and controlling.

The Amul is started with only 250 liters of milk per day. But now Amul collect
average 9 lakhs of liters milk per day. At the initial stage, Amul has not any problem
regarding milk, but in the winter season there was excess supply of milk. So, Amul has to
sell out that excess milk at the low price or Amul has to face loss. To removing these
problems Amul take decision to set up a plant to process the surplus milk butter and milk
powder.

Today the Amul has three plants Known as Amul 1, 2 & 3 all three plant work 24
hours a day continuously. The all manufacturing process is done automatically. The
production is done in the special machines. These machines and the technology are
import-id from the TRFTA PEAK Company. There is also facility of chilling of milk, so
that the milk remains usable.

Today three plant of AMUL perform different function.

1. AMUL – 1 presently it is use as a go down for storing raw materials.

2. AMUL – 2 Today in this unit, the production process of Ghee and packings are
running .

26
 3. AMUL – 3 This unit is producing AMUL butter, AMUL spray powder, and
flavored milk.

Organization Structure
Managing Director

General Manager

Dairy Plant Asstt. G. M.

Manager Manager Officer A.M.

(Production) (Eng.) (Eng.)

Dy. Manager Workers Officers

(Eng.)

A.M. Technicians
(Eng.)
Eng. Workers
Officers

Technicians

Eng. Worker

27
Milk Collection Cycle
The success of each and every dairy industry is the getting the milk from the
farmers and making that milk in use as soon as possible before that milk get spoiled
because the milk is the perishable product. For the smooth running the business of dairy
industry the industry must concentrate on the milk collection cycle. Amul dairy is very
conscious about the milk collection cycle because the base of the success of the Amul is
milk collection cycle.

Production capacity of Amul

 Butter 50 to 60 Tones

 Powder plant 70 tones

 Powder plant 60 tones

 Flavour milk 40000 bottles

About Machinery
In AMUL – 3 production of powder, Butter and Milk are being done
continuously. These productions are done by latest machineries equipped with
computer system and it is handled by one technicians.

- The Milk pasteurizer machines belong to Alfa level company of Pune

- Powder plant machineries belong to L & T Larson and Turbo company

of India

- Butter production machineries belong to S.G.company of switrzland and

other

28
 - Butter manufacturing production machineries belong to Simon Feres
com.of France

Amul – 2 Raw Reception Dock

Reception dock is the very first department of any dairy where milk is unloaded and
simultaneously tested . Amul-2 has a well designed RMRD , situated in the west wing of
dairy . Raw milk at Amul- 2 is received mainly through cans . There are 2 reception lines
for unloading milk cans in Amul – 2 . About 60 % of reception is of buffalo milk and
remaining 40% is cow milk .

Flow chart of Amul-2 process

Unloading of cans

Chain conveyer

Removal of cans lid

Physically inception of milk

Transfer of milk to dump tank ( 12-13cans/ min)

Filter

Weighing

Raw milk collection tank – Amul -3

29
 Pasteurization ( At 80 C for 15 seconds)

Standardization

Processed milk silo

Sent to different production section milk pouch packing

section

Butter section
The utterly Butterly Delicious butter of the Amul is one of the most popular product of
Amul dairy along with the famous butter girl . The butter section is located in Amul -3
which manufactures Table Butter , white butter and renduced salt butter . The section is
completely computer controlled and is equipped with most modern imported
equipments .Butter section very important as it handles fat, which is the costliest
constituent . The cream obtained from process section is fully utilized for butter making .
Amul white and table Butter is exported to USA and various Middle Eastern countries .

OPERATION
The cream for manufacturing Butter is receiving from Amul-3 process section while
standardization of milk . In Amul -3 the milk fat will be separated at above 60 Celsius ,
the centrifugal separators inline with Milk pasteurizer separate this as cream . The cream
thus separated is pasteurized and then pumped to the cream buffer tanks and to cream silo
.After ageing at 8 Celsius for 24 hrs , cream is pumped to cream chilling unit in the
butter section . there the temperature of cream is adjusted to the required churning
temperature of continuous Butter Making Machine.

Flow chart of Butter processing

Raw cream

30
 Pasteurizer (90 to 95 C )

Cooling (8-9 C)

Ageing(8-9 C/ 24hours)

Cream Balance tank

PHE ( for temperature adjustment at 6-8 C)

Churning (speed 500- 1200rpm)

Butter Grains butter Milk

Washing with butter milk

Working ( 30- 70rpm )

2nd washing with butter milk
silo
working

white butter addition salt (@2%) &color

15 kg packing
Blending

( 25-30 rpm
&vacuum )

export
ghee butter section

packaging lines

9.1g blister pack 100g refill pack 100g refill pack 400tin
(Army)

31
 Air pack (2gm)

Packing materials used :

• Delocalize market

Double laminated is used for export

• Tin – used for 400g Army pack

• Card board box- used for tertiary packing

3ply for 9.1 g weight package

5ply for normal & export

Powder plant
F-35 plant is situated in Amul -2 near to the railway siding . The plant is a single stage
drying plant having a capacity of 35 TDP. The plant is not in regular use and mainly used
for the manufacturing of cheese whey powder .
F-35 CONDENSING PLANT DETAILS
Make : SSP ,Faridabad
Type : Falling film vertical tube type
No of Pre heater : 5
No of calendria : 7
No of vapor separators : 5
Process Flow chart ( F-35)

Cheese Whey & Ingredients

Balance tank

preHeater

32
 low heat pasteurizer

high heat pasteurizer

ccp
hot well

calendria 1st ( 77 c)

calendria 2A &2B ( 72 c)

calendria 3 ( 70 c)

calendria 4A & 4B

calendria 5 ( 58 c)

finisher
Atmospheric air
Concentrate tank
Air filter

Atomizer ( nozzle)

(212 -217 c ) Exhaust air

Spray drier
Cyclones bulk packing
Bulk packing ( 25 kg )

33
OPERATION DETAIL
PRODUCT USE AND CHARACTERISTICS

MILK
One of the most versatile food consumed by us. All children start their with mother’s
milk and continue to use it in one other throughout their life. It is the secretion from the
mammary glands of a lactating mammal. The white fluid, know as milk, is made up of
milk fat and other milk solids.

AMUL ICE CREAM

Amul ice cream is made up from fresh milk.
Ice cream are rich in protein, calcium, dairy cream and vitamins.
Ice cream are a complete food, easy to digest and full of energy.

MANUFACTURING PROCESS FOR ICE CREAM

Amul ice cream is made up from milk, milk products, sugar, stabilizers and emulsifiers.

Composition

• Milk Fat 13.5% to 14.5%

• Total Solids 40% to 41%
• Sugar 15% Approx.

34
 • Acidity 0.17% to 0.19%
• Protein 3.9% to 4.1%

Food Energy Value

Calories per 100 ml -196.7 kcal

Flavors

VANILA , Strawberry, Pineapple, Orange, Rose, Mango, Chocolate, Honey-Dew-

Melon, Tutee Fruity, Litchi, Kesar Pista, Kaju Draksh, Butterscotch, Chocó chips,
Rajbhog and Cashew Break.

Packaging

50 ml cup, 100 ml cup, 500 ml pack,1 litre pack, 4 litre pack, Chocobar, Ice candies,
Cones and Kulfies .

MANUFACTURING PROCESS FOR MILK

MILK PROCUREMENT
Total milk procurement by our Member Unions during the year 2006-07 averaged 67.25
lakh kilograms (6.7 million kg) per day, representing a growth of 4.5 per cent over 64.38
lakh kilograms (6.4 million kg) per day achieved during 2005-06. The highest
procurement as usual was recorded during January 2007 at 84.09 lakh kilograms (8.4
million kg) per day. This increase in milk procurement is very impressive, keeping in
mind the massive loss suffered by our farmers due to
floods during the monsoon season, specially in Surat district.

MILK PROCESSING
1 Homogenization: - Milk must then be homogenized. Without homogenization, the
milk fat would separate from the milk and rise to the top. Milk fat is what gives milk its

35
rich and creamy taste. In this process Milk is transferred to a piece of equipment called a
homogenizer. In this machine the milk fat is forced, under high pressure through tiny
holes.

2 . Pasteurization:- Pasteurization is the process that purifies milk and helps it stay
fresher, longer. Milk is pasteurized by heating it to 72°C for 16 seconds then
quickly cooling it to 4°C. Pasteurization is named after Louis Pasteur, the famous
scientist.

3 .Adding Vitamins; - Before homogenization, vitamin D is added to all milk.

Vitamin D combined with the calcium that naturally exists in milk help gives us strong
bones and teeth. Dairies also add Vitamin A to skim, 1% and 2% milk. Vitamin A is good
for our eyesight.

36
4.Packaging Milk: - Milk is now ready to be packaged. Milk is pumped through
automatic filling machines direct into bags, cartons and jugs. The machines are carefully
sanitized and packages are filled and sealed without human hands. During the entire time
that milk is at the dairy, it is kept at 1° - 2°C. This prevents the development of extra
bacteria and keeps the milk it’s freshest.

5.Storing:- Milk is delivered to grocery stores, convenience stores and restaurants in

refrigerated trucks that keep milk cooled to 1° - 4°C. The stores take their milk and
immediately place it in their refrigerated storage area. Because fresh milk is so important
to our diets, dairies, and our health.

37
Supply chain management of AMUL

SUPPLIERS

GCMMF’S SUPPLY CHAIN

38
Processing :

After the union received the milk, it was tested and if it was found to be of good quality,
it was sent for processing. If the milk was found to have high acidity, it was used to make
buttermilk. Raw milk was sent through a filter and clarifier and was pasteurized. For
pasteurization, milk was treated at high temperatures for a specified.

This helped in destroying the pathogens and in maintaining the quality. After
pasteurization, the milk was sent through a separation machine. Here the cream was
separated and skimmed milk was obtained. According to the demand, the unions packed
the milk after it was pasteurized and sent for distribution. The cream was marketed as
Amul Fresh cream .

Distribution
GCMMF coordinated with various unions to get a regular supply of milk and dairy
products. The processed milk and dairy products were procured from district dairy unions
and distributed through third party distributors. To ensure quality and timely deliveries,
GCMMF and the district unions had several mechanisms in place. The VCS constantly
monitored the deliveries of the milk collected and ensured that the milk was picked up on
time. The unions monitored the supplies of milk and the distribution of finished products.

WARE HOUSING: Amul products are available in over 500,000 retail outlets across
India through its network of over 3,500 distributors. There are 47 depots with dry and
cold warehouses to buffer inventory of the entire range of products. GCMMF transacts on
an advance demand draft basis from its wholesale dealers instead of the cheque system
adopted by other major FMCG companies. This practice is consistent with GCMMF's
philosophy of maintaining cash transactions throughout the supply chain and it also
minimizes dumping. Wholesale dealers carry inventory that is just adequate to take care
of the transit time from the branch warehouse to their premises. This just-in-time
inventory strategy improves dealers' return on investment (ROI). All GCMMF branches
engage in route scheduling and have dedicated vehicle operation .

39
MILK PROCESSING BLOCK

40
SUPPLY CHAIN EXPLANATION WITH DIAGRAME

41
DEFINITION OF VALUE CHAIN

As per the above diagram there are the first components is raw material:

In our company the raw materials are milk, powder for ice creams manufacturing,
different types of flavors for ice creams, packaging material, sugar etc. required by the
company for manufacturing. In this step GCMMF play a very important role it procures
milk from villages and for this it develops three types of system and that is societies at
villge level, district level and state level.

42
Second component is suppliers are the farmers and other raw material for manufacturing
the ice creams are provided by MAHAN PROTEINS LTD., IDEAL ICE CREAMS and
BHARAT ESSENCE.
This component is manufacturing process which is describe above. In milk process there
are mainly five steps are required and i.e. homogenization, pasteurization, adding
vitamins, packaging, storing. In this process there are also requirement of warehouse for
storing the product which already made and also for the raw material.

The next step is the distribution channel in which GCMMF plays very important role in
that. It handle all the marketing for AMUL products. GCMMF's products were marketed
through 50 sales offices located across India to 4,000 stockists. These stockists supplied
the products to more than 500,000 retail outlets.

The next step is the customers in this category there are restaurants includes. Also the
retail shops and whole sellers are included.

The last step is the consumer in which the actual hose hold are included in this category.

43
HUMAN RESOURCE DEPARTMENT

Introduction : According to SCOOT CLOTHIER AND SPRIGGEL Human resource

management as the branch of management which is responsible on a staff basis for
concentrating on those aspects of relationship of management to employees and
employees to employees and with the development of the individual and the group. The
objective is to attain maximum individual between employer and employees and effective
moulding of human resources as contrasted with physical resources.

Personal (Human resource) management plays a very important role for any organization.
The firm having all types of resources like machines, materials, money, information etc.
will not be success in business without effective manpower. Human capital is the greatest
assets of business enterprise and manpower management is the most important and
crucial job because the managing group is the heart of the company.

Human resource department plays most important role in establishing good relation and
harmony among all.

TOTAL EMPLOYEES IN AMUL

44
 AUTHORITY NO. OF EMPLOYEES/WORKERS

Manager 48

Assistant 101

Officers 180

Workers 846

Total 1175

 NO.OF SHIFT:

• 1st shift time: 08:30 A.M to 04:30 P.M

• 2nd shift time: 04:30 P.M to 12:30 A.M

• 3rd shift time: 12:30 A.M to 08:30 A.M

45
MAJOR FUNCTION OF HUMAN RESOURCE DEPATMENT

1. RECRUITMENT AND SELECTION

2. TRAINING AND DEVLOPMEN
3. PERFORMANCE APPRAISAL
4. SALARY AND WAGE ADMINISTION
5. EMPLOYEE TURNOVER
6. COMPENSATION
7. INDUSTRIAL RELATION
8. FACTORE ACT
9. INDUSTRIAL DISPUTE ACT
10. HUMAN RESOURCE INFORMATION SYSTEM (HRIS)

Organization structure
Managing Director

General Manager

46
 Assistant General Manager

Officers

Clerk

Peons
RECRUITMENT AND SELECTION

RECRUITMENT:
 There are two types of Recruitment sources followed by Amul:
 EXTERNAL SOURCE
 INTERNAL SOURCES

 INTERNAL SOURCES:
Internal sources include personnel already on the payroll of the organization.
 Present Permanent Employees.
 Employee Referrals
 Former Employee

 EXTERNAL SOURCES :
These sources lie outside the organization In Amul they consider following
sources for recruitment:
 Campus Interview
 Unsolicited Application

47
  Application Blank
 Placement Agencies

RECRUTMENT POLICY OF AMUL

Entry level qualification :-

Below officers cadres :-

1. S.S.C / H,S.C Attendant Operator – Dairy (AOD) – G Gr.Worker

Taken as apprentice under trade apprentice Act 1961 2/3 yrs Apprenticeship,
then based on their appraisal report, selected as tempory worker. After total 5
yrs of work ,may be selected as G-Grade Worker.]

2. Professional Qualification E/F Grade Worker (Boiler Attendant)

3. BA / B.COM / M.COM / M.A (general) MSW / MRM /MRS M.E_Biz of

Gujarat Vidyapeeth and C Grade Worker similar non – University
Institutions.

4. B.Sc / M.Sc / Diploma Engineers B Grade Workers. Apprenticesship

Labassistant for 1yr 3 months for B.SC & M.SC ;1yr for Diploma Engg.
Then 2/3 yrs as trainee technician,than based on appraisal Appointed as
Technician B Grade.

5. BBA Management Trainee for 1yrs .Jr. Assistant

48
 (a) M.SC ( Agriculture ) /MRS /MRM /MSW /MLW/

MBA/ B.Tech (DT ) / MCA / M.E –Biz. ( From recognized University )

1 yr as a trainee then appointed as senior officer.

(b) Inter CA /Inter ICWA / BE

1 yr as training period, then appointed as Dy. Sup. Deputy Superintendent

(c) CA/ICWA
Superintendent

NO training period,direct appointment. However, in case of fresh recruitment

of candidates with exceptional qulificational form reputed Institutions such as
IIM/IIT/IRMA o Central Institution, considerstion for appointment to Higher
Grade be given due weightage, not withstanding the above minimal requirements.

SELECTION:

Selection procedure is concerned with securing relevant information about the

applicant. The main objective of selection process is to determine whether an
applicant meets the qualification for a specific job and choose the application that
is most likely to perform well in the job. The Selection process in AMUL is as
under

Vacancy in any department


Approval from M.D

Advertisement


49
 Collection of application

Securitize the application

Interview

Medical checkups

Selection

After selection, the employees generally have probation period. In AMUL

probation period is different for different type of employees.

Probation period for officers is 12 months, 6 months for clerical employees and 3
month for workers.

TRAINING AND DEVLOPMENT

Definition: is a subsystem of an organization. It ensures that randomness is reduced and

learning or behavioral change takes place in structured format.

Training is the process where the work related knowledge, skills and attitude are given to
new employees. By which they aware the policies rules and increase technical and
manual efficiency and create of responsibility.

AMUL has accepted three methods for the training

. TRAINING PROCEDURE IN AMUL

50
 Identification of need of Training

Module Preparation

Selection of Employee for the Training

Training

Feedback

AMUL HAS ACCEPTED THE 3 METODS OF TRAINING,

1. On the job method

2. Off the job method

3. In house training

4 out house training

PERFORMANCE APPRAISAL
Performance appraisal is the process of evaluating the performance and qualification of
employees in terms of the requirement of the jobs for which they are employed. It is highly useful

Promotion Period Appraisal For

1 year Managers

3 year Officers

1 year Workers

1.5 year 51 Temporary workers

in making decision regarding the promotion, transfer, wage and salary administration etc. The
AMUL adopts the following appraisal system

Final confirmation with the recommendation by the divisional heads comes from the MD
on annual basis. His work is evaluated by Check list Method of Performance Appraisal.
These are a various method used to appraise the performance of an employee. In Amul
the following methods are used
Self appraisal

If individuals understand the objectives they are expected to achieve the standards by
which they are to be evaluated they are to a great extent in the best position to appraise
their own performance .in this method employee himself.

Manager’s Appraisal

The general practice is superiors appraise the performance of their subordinate. Other
supervisors ,who have close contact with employee ‘s work may also appraise with a
view to provide additional information.

52
 A higher – level manager appraise the employees for their performance.

In Amul various attributes consider for the appraisal of employee.

• Job knowledge

• Work output

• Quality of work

• Interest in work

• Initiatives

• Past records

• Seniority

This appraisal is also the rating scale. Method appraiser also appraised employee by
following .

 Outstanding

 Good

 Satisfactory

 Poor

The overall assessment is done through above rating and also the comment of reviewing
officer is included. Apart form this the performance in liked allowance is provided in
relation with performance that is ,

 25%

53
  50%

 100%

 Not allowed

This is provided by and under knowledge of under Managing Director

Generally in Amul on base of performance appraisal employee of managerial level gets

specials allowance. While for workers they get promotions

WAGES AND SALARY

 A common method is followed for the wage and salary administration

according to “Muster roll “.
 Timekeeper sends that muster roll to the account department for attendance of
each and every employee. This will analyze and entered in the computer.
 After this salary is calculated for each employee through computer according
to that they prepare salary sleep of employees.

WAGE STRUCTURE (Approx)

POST GRADE PAYSCALE

Managing Director Manager 21000-28000

General Manager Manager 15000

-21000
Assistant General Manager Manager 7000-15000

Assistant Clerical 2500-7500

Senior clerk Worker 2000-5000

54
INTRODUCTION: Finance Management
Sound working capital management has become a necessity in era of information
technology for a company to succeed. The best example to support this argument is the
performance of Dell computers as reported in one of the recent Fortune article. A perusal
of the article will give us an insight into how Dell could use technology for improving
the performance of components of working capital.
• Use of internet as a tool for reducing costs of linking manufacture with their supplier
and dealers.
• Outsourcing operations if the firm’s core competence does not permit the
performance of the operation effectively.
• Train the employees to accept change.
• Introduction of internet business.
• Releasing Capital by reduction in investment in inventory for improving the
profitability of operating capital.

A financial manager spends a large part of his time in managing working capital.
There are two important elements of working capital management.
• Decision on the amount of current assets to be held by a firm for efficient operations
of its business.
• Decision on financing working capital requirement.
Inadequacy or mismanagement of WORKING CAPITAL is the leading cause of many
business failures. Working capital is that portion of asset of a business which are used in

55
current operations. They are used in the operating cycle of the firm. It is defined as the
excess of Current Assets over Current Liabilities and provisions.

Objective of Working Capital Management:

The basic objective of financial management is maximizing the Net wealth of

shareholders. A firm must earn sufficient return from its operations to ensure the
realization of this objective. There exists a positive correlation between sales and firm’s
return on its investment. The amount of earnings that a firm’s earns depends upon the
volume of sales achieved. There is the need to ensure adequate investment in current
assets, keeping pace with accelerating sales volume. Firm’s makes sales on credit. There
is always a time gap between sale of goods on credit and the realization of proceeds of
sales from the firm’s customers. Finance manager of a firm is required to finance the
operation during the time gap. Therefore, objective of Working Capital Management is to
ensure smooth functioning of the normal business operations of a firm. The firm has to
decide on the amount of Working Capital to be employed.

The firm may have a conservative policy of holding large quantum of current assets to
ensure large market share and to prevent the competitors from snatching any markets for
their products. But such a policy will affect the firm’s return on its investment. The firm
will have higher than the required amount of investment on current assets. This excess
funds locked in current assets will reduce the firm’s profitability on operating capital.

NEED FOR WORKING CAPITAL:

The need for working capital arises on account of two reasons:

56
  To finance operations during the time gap between sale of goods on credit and
realization of money from customer of the firm.
 To finance investments in current assets for achieving the growth targets in sales.
Therefore finance the operations in operating cycle of a firm working capital is required.

COMPONENTS OF WORKING MANAGEMENT

There are two main components are given below:

1. Current Assets and

2. Current Liabilities.
Current Assets are:
 Inventories
 Sundry Debtors
 Bills Receivables
 Cash and Bank Balances
 Short term investment
 Advances such as advances for purchase of raw materials, components
and consumable stores, prepaid expenses etc.
Current Liabilities are:
 Sundry Creditors
 Bills Payable
 Creditors for outstanding expenses
 Provision for tax
 Other provisions against the liabilities payable within a period of 12
months.

57
 CALCULATION OF GROSS WORKING CAPITAL OF AMUL.

PARTICULARS 200 2008-09

2006-07 7-08
Current assets:
Stock:
Trading stock 6952.79 13476.86 16334.50
Stores 2125.11 2261.02 3106.47
(A)Total stock 9077.90 15737.87 19440.97

Current Assets:
Deposits 169.25 214.05 277.29
Due from societies 0.06 0.11 5.06
Advances 417.25 777.80 960.91
Trade Debtors 6015.61 8458.69 4435.10
Sundry Debtors 372.62 404.62 534.52
Income – Tax Deposits 93.41 91.53 131.68
Society Loans- BMC project - - 1036.45
(B) Total Current Assets 7068.19 9946.80 7380.01

Cash & Bank:

Bank Current Account 224.31 159.84 583.65
NDDC BMC Project A/c 0.00 501.63 128.00
F. D in Bank 3503.19 2649.03 1340.76
Cash on hand 0.62 0.71 1.00
(C) Total Cash & Bank 3728.11 3311.22 2053.41
GROSS WORKING CAPITAL (A+B+C) 19874.2 28995.89 28674.39

58
In AMUL, Current Assets are made up of stock (both trading and stores), Advances
and Debtors (deposits, due from societies, advances, trade debtors, sundry
debtors etc.) and cash and bank balances.

Percentage change in investment in Current Assets

FINANCIAL YEAR G. W. C. % INCREASE

2005-06 18990.94 -
2006-07 19874.20 4.42 %
2007-08 28995.89 45.90 %
2008-09 28674.39 -1.11 %

Net Working Capital:

Net Working Capital is the excess of current assets over current liabilities and provisions.
Net Working Capital is positive when Current Assets exceed current liabilities, and
negative when current liabilities exceed current assets. This concept has been following
practical relevance.
1. It indicates the ability of the firm to effectively use the spontaneous
finance in managing the firm’s Working Capital requirements.
2. A firm’s short term solvency is measured through the Net Working
Capital position it commands.

59
 CALCULATION OF NET WORKING CAPITAL OF AMUL:

PARTICULARS 20
2006-07 2007-08 08-09
(A) Total Current Assets 19774.20 28995.89 28674.39

Less: Total Current Liabilities

Deposits 380.71 168.24 232.99
Due to Societies 6264.11 7223.31 12017.60
Outstanding against Expenses 1076.90 1423.59 1828.48
Outstanding against purchase 3373.85 4298.31 3058.15
Sundry Creditors 337.14 459.06 336.56
Total (B) 11432.71 13572.51 17473.79
Net Working Capital (A-B) 8441.49 15423.38 11200.60

Source: Balance sheet’s of last 3 years)

Efficient Working Capital Management requires that the firm’s should operate with the
amount of Net Working Capital. The data of last three years shows the margins by which
Current assets over the short term obligations and such margins were more in 2007-08 as
compared to past years. The portion of current which can be financed through long-term
assets has decreased in 2008-09 as the portion of current liabilities has proportionately
increased and hence the Net Working Capital is low in 2008-09.

60
 PART – 2
STUDY ON HUMAN RESOURCE INFORMATION SYSTEM
OF

61
STUDY OBJECTIVES :

• To understand , how human resource being managed by the organization.

• To study the maintenance of the records of their employees.
• To study if organization is using ICT for HR functions and to maintain
database.
• To study the users perception about HRIS

Definition:
“A Human Resources Information System, is a system that lets you keep track of all
your employees and information about them. It is usually done in a database or, more
often, in a series of inter-related databases “
Human Resources is an organizational function that deals with issues such as recruitment
and selection, training, appraisal, compensation and performance management of the
employee.

Information System :
A system, whether automated or manual, that comprises people, machines, and/or
methods organized to collect, process, transmit, and disseminate data that represent user
information .
HRIS
Human Resource Information System (HRIS) is a systematic way of storing data
and information for each individual employee to aid planning, decision making, and
submitting of return and reports to the external agencies .

• It merges HRM as a discipline and in particular its basic HR activities and processes
with the information technology field.
• It can be used to maintain details such as employee profiles, absence reports, salary
administration and various kinds of reports.

62
INTRODUCTION :
An information system is an inter-related set of procedures and processes to provide
information for decisions. Information is data that have been processed so that they are
meaningful. It adds to the representation of an idea. It corrects and confirms previous
information. It tells us something which we did not know. Many organisations have
computer-assisted information systems. Thus HRIS is a system that enables storing of
information of Human Resource in every aspect such as Personal, Academic,
Qualification, Family, Medical, Career and Performance Evaluation, Training &
Development & Wage and Salary of individuals. Unlike manual systems the HRIS
enables availability of all such information in a single screen. Reports on various
parameters can be generated with ease. Moreover reliability of such records is assured.

• An information system especially developed for human resource management is

referred to as HRIS – a human resource information system.
• Human resource management, when it doesn’t include the human resource planning
function, requires only a basic HRIS. If this basic HRIS is computer-supported, it is
likely to include transition processing system or management information system.
• An information system provides for the accumulation by gathering, processing by
deleting extraneous information, deciding among divergent information and putting
the information in a logical arrangement that promotes its understanding.
• Finally, the information is stored in a readily accessible configuration.

HR Information System Includes :

This system include the employee name and contact information and all or some of the
following:
• Department

• Job Title

63
 • Grade

• Salary

• Salary History

• Position History

• Employee details (Personal & Professional)

• Employee Posting information on appointment /transfer

• Employee promotion/ appointment information

• Employee Service verification details

• Employee Leave Information including(Leave available , leave availed,)

• Employee confidential report information

• Employee Training information

Needs Of HR Information System

• Human resource manager requires considerable amount of data for planning and
control of human resources and for this there is a strong need of a sound
information system.

• Efficiently storing each employee information and data for reference- personal
data management, pay roll accounting, benefits management and planning.

• Enabling informed decision making in day-to-day personnel issues, planning,

budgeting, implementing and monitoring Human Resource function.

64
 • Facilitating decision making in areas like promotion, transfer, nomination, settling
employees provident funds, retirement, gratuity, LTC, and earned leave
compensation

• Cutting costs.

• Improving accuracy

Advantages Of HR Information System

• Reduction in the amount and cost of stored human resource data.

• Availability of timely and accurate information about human assets.

• Developing of performance standards for the human resource division.

• More meaningful career planning and counselling.

EFFECTIVENESS OF HRIS

The key to the effective planning of manpower and improvement of people productivity
is an effective HRIS. However, in order to be effective an information system must take
into account the following :

Adequacy of information: Too much or too little information, both lead to defective
decision-making. Therefore, there must be some understanding regarding what
information and in how much detail and covering what periods should be maintained.

Specificity: Even where it is not possible to quantify the information, the information
should be made as specific as possible.

Relevance: Information is to be managed in the light of the requirements of the

decision makers. Therefore, HRIS focus on the needs of the decision-makers and
stakeholders rather than on what is interesting or easily available or palatable to the

65
people. The system, therefore, must also have the built in capability for deletion and
updating of data.

Comprehensiveness: The information should be complete from the point of view of the
decision-maker giving details of who, what, how, when, where and why .

Reliability: Since the information is going to be the basis of critical decisions, it must
satisfy the requirements of validity and reliability. Moreover, to ensure effectiveness, not
only should the information provided be relevant and reliable but the delivery system
should also be the most satisfying and cost effective. A wealth of information but not
accessible when needed or available at an inhibiting personal cost in terms of energy and
time, is of hardly any use.

IT SUPPORTED HRIS
In today’s enterprises, HRIS are typically Information Technology (IT) supported
systems. This is not to say that without IT HRIS cannot be introduced. But
information technology allows much greater effectiveness of HRIS than a manual
system. Some of the deficiencies of the Manual Systems which an IT based HRIS
overcomes to a considerable extent

Convenience: In IT enabled systems, data entry, update and retrieval are all
significantly faster. Redundant data may be easily replaced.

Integration: A computerized system can greatly reduce fragmentation and duplication of

data. All data can be stored in a single system to enable retrieval of complete picture of
each employee or of each defined parameter in a desired number of permutation and
combinations. Moreover, depending on the requirement, reports can be generated in
different ways that provide an accurate picture. Verification of data and error rectification
are also relatively easy in computerized systems.

Multi-user benefit
Different people can access the data simultaneously, which facilitates quick

66
dissemination across geographical and structural boundaries and facilitates faster
decision-making. Moreover, on-line data entry is possible that leads to automatic up-
dating of data resulting into better informed decisions. However, to obtain these
advantages, it is important that the knowledge and expertise is available to the
organization, internally or from outside, to develop and tailor- make the system to suit the
organization’s unique needs.

67
 HR PLANNING
HR PLANNING
AND ANALYSIS
AND ANALYSIS

EQUAL
EQUAL
EMPLOYMENT
EMPLOYMENT STAFFING
STAFFING

HRIS
HRIS
EMPLOYEES
EMPLOYEESAND
AND COMPENSATIONS
COMPENSATIONS
LABOUR
LABOUR AND
ANDBENEFIT
BENEFIT
RELATIONS
RELATIONS

HEALTH
HEALTHAND
AND
SECURITY
SECURITY DATABASE
DATABASE

68
A CASE STUDY OF HUMAN RESOURCE INFORMATION
SYSTEM AT AMUL
Human resource information system , that enables the organization in collecting ,
storing , maintaining ,retrieving and validating data needed about its human resource .

HR data are wide in their variety, and include job history (transfers, promotions,
etc.),current and historical pay details, inventories of skills and competencies, education
and training records, performance assessment details, absence, lateness, accident ,medical
and disciplinary records, warning and suspensions, holiday entitlements, pensions data
and termination records. An HRIS normally provides an electronic database for the
storage and retrieval of this data which is, at least potentially, available to anyone who
may want to access it.
The important issue however, is- how this IT system is actually used in carrying out the
HR tasks.

ERP is an information system to drive the business. It enables the organization to take
systematic decision in the area of planning , execution and control based on relevant and
current information .

HRIS - Vendors

• Automatic Data Processing Inc.

• SAP AG
• Restrac Web Hire
• ERP Oracle/PeopleSoft
• Human Resource Microsystems
• Business Computer Systems
• Lawson Software

This are the vendors who provides the different types of system to different
organisation . From the above various systems the AMUL uses the system named ERP
ORACLE – Enterprise resource planning . The areas of application of HRIS as follow.

1. Training management

69
 2. Turnover analysis

3. Succession planning

4. Attendance reporting

5. Accident reporting .

AMUL uses the system centrally in the organisation and over all the plants of the Amul
which is located in various area such as

• Mogar - chocolate plant

• Khatraj plant – cheese plant

• Kanjari plant – cattle feed plant .

The system operates in AMUL for different manner , and with the help of this system
different records are maintained with the help of ERP ORACLE . Types of record
maintained through HRIS .

• Personnel administration - It will encompass information about each employee,

such as name address, personal details etc.

• Salary administration - Salary review procedure are important function of HRM, a

good HRIS system must be able to perform what if analysis and present the
reports Of changes.

• Leave and absence recording — Essentially be able to provide comprehensive

method of controlling leave/absences.

• Skill inventory - It is also used to store record of acquired skills and monitor the
skill database both employee and organizational level.
• Performance appraisal — The system should record individual employee
performance, appraisal data, such as due date of appraisal, scores etc.

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• Human resource planning — HRIS should record details of the organizational
requirements in terms of positions

• Recruitment — Record details of recruitment activities such as cost and method

of recruitment and time to fill the position etc.

• Career planning - System must be able to provide with succession plans reports to
identify which employee have been earmarked for which position.

• Collective bargaining — A computer terminal can be positioned in the conference

room linked to database. This will expedite negotiations by readily providing up
to date data based on facts and figures and not feelings and fictions.

• Database – In database the system records the information of the previous

applicant , who is been not selected for the job this information is useful to the
organization for next recruitment procedure for inviting for job in this way the
cost is saved by the organization because there is no need of giving advertisement
for next recruitment.

• Service records – In service records all the details regarding promotion of an

employee , education detail of employees , personal details, in which it records
the employee No , employee working in which location etc .

• Employee summary – In employee summary the information regarding employee

is available according to grade wise , designation wise , skilled wise , and the total
information of manpower is available.

• Training – The training information of an each employee is being available

through this system because it records that when the employees is being given
training and when will be the next training is to be given to the employees .
• Time keeping : time keeping in Amul is decentralized , plant wise but with the
help of ERP system the record of absence and present record is can be available at
Amul’s head office Anand.
• Recruitment : this system is not used in any steps of recruitment process of the
Amul .

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In AMUL , the HRIS is not used for the recruitment process as it is done manually in the
organization the recruitment of the is carried in the following way

Vacancy in department

Advertisement

Receiving of application

Short listing of applicant

There is no role of HRIS ( ERP oracle ) in the recruitment process , after the short listing
of the application the application which are selected is called for an personal interview
with the general manager of the AMUL . After the candidate is selected for the
particular job , the role of HRIS starts by keeping different types of records of an
employee such as
a) Personal details
b) Previous organization details
c) Training details
d) Service records
e) Joining details
f) Retirement details

• HRIS is also useful in the turnover analysis of the Amul , it helps the organization to
know the number of time employees left the organization .

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• HRIS , is useful in keeping the Accident details of the employees , on the basis of
this reports employees are injured due accident are been given medical facility and
financial help .

• The time keeping process of Amul is decentralized , in the various plants of Amul

1. Mogar plant
2. Khatraj plant
3. Anand plant
4. Kanjari plant
if any information regarding any employee absence and present of other plant is needed
by the central head office at Anand , that it is available with the help of ERP ORACLE ,

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User’s perception

After interviewing the fifteen respondents from the organization I have come to know
that the organization is using the software named “ ERP ORACLE “ in HRIS and by
observing and interviewing the user of the system the following data is gathered .

• The users of the system is fully satisfied with the present system ERP ORACLE
• The AMUL is using this system since last thirteen years and they are trying to
bring change by implementing new system named SAP which is under the
progress .
• With help of HRIS the organization gets the following benefits such as
1. Time saving

2. Cost saving

3. Effective work

• HRIS helps to supports the following HR task of the Amul

1. HR development and workplace training
2. Communication
3. Career management(for employees)
4. Decision making

• The HRIS system of Amul is fully secured , so their no threat of linking of any
kind of data .

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Annexure

KAIRA DISTRICT CO-OPERATIVE MILK PROCEDURES’ UNUION

LTD

EMPLOYEE WISE TRAINNING DETAIL

Employee Id : Joining Date :

Employee Name : Department :

Designation :

Qualification

Training Details

Name of Training / conducted by Start Date/ End Date No

of Days

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 BIBILOGRAPHY

• WWW.amul.co.in
• WWW.GOOGLE.COM
• HUMAN RESOURCE MANAGEMENT – ASHWATHAPPA

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