National Dairy Development Board

Prepared by :
Nidhi Trehan Prakash Singh Rahul Hora Rahul Yadav Rajveer Tyagi Rajesh Kr. Garg Vinay Kumar

GROUP 5
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IIFT Part Time 2009-12

AGENDA
1. 2.

CASE SUMMARY CASE HISTORY

   

Organization Structure Anand Model Operation Flood (White Revolution) Model Extension to Other Industry Sectors Managerial Analysis Managerial Challenges Managerial Thrust areas

3.

CONCLUSION
  

CASE DairyingSUMMARY is a major industry in India:

Over 70% of the country's rural households are engaged in it, making India the second largest milk producer in the world, next only to the United States of America. Milk is also one of the very important agricultural commodities in the country. Hence, the significance of the dairy sector in India's national economy can be accepted without much ado. It is in recognition of this significance that the central government has been making efforts to boost the sector.

      

CASE 1940Only private dairies SUMMARY

1945Formation of Bombay Milk Scheme at Anand 1946Kheda District Cooperative Milk Producer Union Ltd (KDCMPUL) was formed as the first cooperative society 1955KDCMPUL changed its name to Anand Milk Unit Ltd (AMUL) 1959Delhi Milk Scheme launched by Government in DELHI but it failed in 1960 1965Establishment of NDDB at Anand, headed by Dr. Verghese Kurien 1965-70Generated funds by selling European surplus dairy products through its cooperativesThus a serious threat to end the dairy development movement of Country was converted in to an opportunity 1970NDDB launched Operation Flood which is called White revolution 1987NDDB merged with IDC (Indian Dairy Cooperation), but retained the name NDDB.

 

NDDB
  

CASE HISTORY

A cooperative movement Unique model of Organization, innovation and development Effective and efficient human resource management Promote, finance and support producer-owned and controlled organizations. Strengthen farmer cooperatives Support national policies that are favorable to the growth of such institutions.

Strategic Goal:
  

ORGANIZATION STRUCTURE
Adopting Anand Model


Scientific and Professional Management of Vertically integrated structure

Distt. Milk Producers Union

State Cooperative Dairy Federation

Distt. Milk Producers Union

Disst. Milk Producers Union

Primary Village Cooperation

Primary Village Cooperation

Primary Village Cooperation

Primary Village Cooperation

ANAND MODEL
Features of Anand Model
  

Provide support to milk producers Ensuring the interests of small producer member Optimal use of human resources, material and M/Cs Generates Employment opportunity Women participation to increase household economy and increase in living standard of their families Increased percentage of children going to school Commitment to the Cooperative system Professional management Efficient and committed top management

Socio Economic Benefits

 

Successful due to
  

OPERATION FLOOD
Objective:
      

Capture a commendable share of its milk market. Increase share of milk price obtained by the producers Reduce the cost of milk for consumers Long term investment in dairying and cattle development Create a nationwide milk grid Increase milk production ("a flood of milk") Augment rural incomes

OPERATION FLOOD (contd)

PROCESS IMPLEMENTATION

PHASE-I (1970-1978)

PHASE-II(1978-1985)

PHASE-III(1985-1996)

OPERATION FLOOD (contd) 1 (1970-78) Phase Aid from Outside



Food aid (from European Economic Community countries) of 126,000 MT skimmed milk and 42,000 MT butter oil

Results of 1st Phase 

Milk production increased to 32 MT from 20 MT NDDB created 27 rural milk-sheds in 10 states

OPERATION FLOOD (contd) 2 (1978-85) Phase

Aid from Outside
 

150 million US $ from World bank Food aid (from EEC) of 216,584 MT skimmed milk and 62,402 MT butter oil. NDDB created 136 rural milk-sheds NDDB created urban milk centers in 22 states. NDDB established 43000 village cooperatives.

Results of 2nd Phase  

OPERATION FLOOD (contd) 3 (1985-96) Phase

Rs. 4.89 billion from its own pocket

Aid from Outside

 

365 million US $ from world bank Food aid (from EEC) of 75,000 MT skimmed milk and 25,000 MT butter oil. NDDB created 290 Urban milk markets covering 15 million population Established 6000 women-only cooperatives across India.

Results of 3rd Phase 

OPERATION FLOOD (contd)

Quote from World Bank

Operation Flood had clear benefits for the

poor and Women. Individually it has expanded the number of children attending school because of the high income elasticity of demand for education in Indian villages

Model Extension to Other Industry Sectors

 

 

1979-90Edible Oil DHARA brand 1986Forestry NWDB (National Wasteland and Development board), a tree growers cooperative 1987Salt Producing (Sabarmati Salt Farmer's Society) 1988Fruits and Vegetables Mother Dairy outlets in Delhi

CONCLUSION
The Dairy Board's programmes and activities seek to strengthen the functioning of Dairy Cooperatives, as producer-owned and controlled organizations. NDDB supports the development of dairy cooperatives by providing them financial assistance and technical expertise, ensuring a better future for India's farmers.

Macro Impact
Dairy cooperatives generate employment opportunities for farm families. Livestock contributes about 25.4 per cent to the GDP from agriculture.

MANAGERIAL ANALYSIS
STRENGTHS of NDDB
  

Sensitivity to events Problem solving and creativity Involvement of Women and Youth often among the poorest during both planning and implementation stages Innovation
  

Bulk-vending - saves money and the environment. Milk travels as far as 2,200 kilometers to deficit areas, carried by innovative rail and road milk tankers. Automatic Milk Collection Unit and Bulk Milk Cooler at grass root level preserve quality and reduce post-procurement losses.

MANAGERIAL CHALLENGE
Market opened to private sector
Coop ector ovt ector rivate sector

MANGERIAL THRUST AREAS

      

Strengthening the cooperative frame work Quality and plant management Productivity enhancement National information network. Balanced learning habits Relevant professional knowledge Acquire self-knowledge and mental agility

THANK YOU!