A

PROJECT REPORT
ON

Auditing in shyam corporate

SUBMITTED TO

MANAV RACHNA UNIVERSITY

FARIDABAD

IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE

OF (2015-2017)
MASTER OF BUSINESS ADMINISTRATION

Under the Guidance:-

Submited By:-

BINDU AGRAWAL

ARNAV AGRAWAL

ASSOCIATE HOD
(Department of Bachelor of Business Administration)

(2K15MCPN01003)

CERTIFICATE

This is to certify that the project entitled AUDITING IN SHYAM CORPORATE is a

bonafied. Work done by ARNAV AGRAWAL (2K15MCPN01003) student of MBA III sem.
(Batch no.2015-2017) in partial fulfillment of MBA Degree and has been certified out under
my supervision and guidance.

To the best of my knowledge this project is genuine.

Signature

Deptt. Of MANAGEMENT & HUMANITIES

MANAV RACHNA UNIVERSITY, FARIDABAD

ACKNOWLEDGEMENT

Achievement is finding out what you would be then doing, what you have to do. The higher the
summit, the harder is the climb. The goal was fixed and we began with a determined resolved
and put in ceaseless sustained hard work. Greater challenge, greater was our effort to overcome
it. This project work, which is my first step in the field of professionalization, has been
successfully accomplished only because of my timely support of well-wishers.
I want to convey my sincere thanks to my college guide, BINDU AGRAWAL (ASSOCIATE
HOD), MANAV RACHAN UNIVERSITY, FARIDABAD .for their constant guidance, advice
and help which enabled me to finish this project report properly in time.
Last but not the least; I would like to forward my gratitude to my friends & other faculty
members of MANAV RACHAN UNIVERSITY who always endured me and stood with me
and without whom I could not completed the project.

ARNAV AGRAWAL

TABLE OF CONTENTS
CHAPTER
NUMBER
I

CHAPTER NAME
INTRODUCTION TO THE

CONTENTS

PAGE

INTRODUCTION

NUMBER
6

CONSUMER

STUDY
PREFERENCE
SCOPE OF THE STUDY
II

OBJECTIVES OF THE
STUDY

III

COMPANYS PROFILE

IV

RESEARCH & DESIGN

9
10

AMULS PROFILE

11
14

METHODOLOGY
V

DATA COLLECTION

15

VI

SWOT

16

VII

LIMIATATION OF THE

17

VIII

STUDY
DATA ANALYSIS

18

IX

FINDINGS & ANALYSIS

X
XI

CONCLUSION
SUGGESTIONS AND

FINDINGS

37
38
39

RECOMENDETATIONS
XII

BIBLIOGRAPHY

XIII

ANNEXURE

40
QUESTIONNAIRE

41

INTRODUCTION
Since the turn of 19th century, Cooperatives have existed as dominant forms of organization in
the dairy industry around the world. Sometimes they have played the role of developing infant
industry while at other times they have been used to strengthen weak production bases in an
environment where market failures tend to be higher for marginal producers. In some other
cases, a network of small producers have organized themselves to better market their products.
Management of these cooperatives have also led to some interesting managerial insights for
managers in emerging as well as developed economies.

Large emerging economies, e.g., India

and China, have complexities that range from development of markets

(where the largest

segment of population is the one which has low purchasing power) to integration of low cost
suppliers who are predominantly very small.

For firms that aspire to conduct substantial

business in such markets, such complexities have to be recognized and then overcome. The
challenge is to understand the linkages between markets and the society. This would also require
development of a new business model that helps a firm grow in such environments. This paper is
about one such successful model. The Kaira District Milk Cooperative Union or AMUL in India
is an example of how to develop a network of firms in order to overcome the complexities of a
large yet fragmented market like those in emerging economies by creating value for suppliers as
well as the customers. AMUL has led the milk dairy revolution in India that has now emerged as
one of the largest milk producers in the world. In this article we will describe the breakthrough
vision that led to the simultaneous development of the market and supply side through a process
of social development and education at AMUL. Clearly, implementation of this vision in a
competitive environment and maintaining sustained growth and profitability requires
development of competitiveness on several dimensions and operational effectiveness. This article
provides insights into management of very large supply chains by adapting and integrating a
variety of strategies and techniques. This includes building networks, developing trust & values
in the network, developing fair mechanisms for sharing benefits across the supply chain,
coordination for operational effectiveness, innovation and new technology for gaining
competitiveness.
There is noteworthy that these successes were achieved within the framework of a network of
6

cooperatives organized in a hierarchical manner. There are many lessons in AMULs success not
only for the cooperative sector but also for firms who intend to do business in emerging markets.
The AMUL Story The Kaira District Cooperative Milk Producers Union Limited was
established on December 14, 1946 as a response to exploitation of marginal milk producers in
the city of Anand (in Kaira district of the western state of Gujarat in India) by traders or agents of
existing dairies. Producers had to travel long distances to deliver milk to the only dairy, the
Polson Dairy in Anand often milk went sour, especially in the summer season, as producers
had to physically carry milk in individual containers. These agents decided the prices and the offtake from the farmers by the season. Milk is a commodity that has to be collected twice a day
from each cow/buffalo. In winter, the producer was either left with surplus unsold milk or had to
sell it at very low prices. Moreover, the government at that time had given monopoly rights to
Polson Dairy (around that time Polson was the most well known butter brand in the country) to
collect milk from Anand and supply to Bombay city in turn (about 400 kilometers away). India
ranked nowhere amongst milk producing countries in the world in 1946. The producers of Kaira
district took advice of the nationalist leaders, Sardar Vallabhbhai Patel (who later became the
first Home Minister of free India) and Morarji Desai (who later become the Prime Minister of
India). They advised the farmers to form a cooperative and supply directly to the Bombay Milk
Scheme instead of selling it to Polson (who did the same but gave low prices to the producers).
Thus the Kaira District Cooperative was established to collect and process milk in the district of
Kaira. Milk collection was also decentralized, as most producers were marginal farmers who
would deliver 1-2 litres of milk per day. Village level cooperatives were established to organize
the marginal milk producers in each of these villages. The first modern dairy of the Kaira Union
was established at Anand (which popularly came to be known as AMUL dairy after its brand
name). The new plant had the capacity to pasteurise 300,000 pounds of milk per day,
manufacture 10,000 pounds of butter per day, 12,500 pounds of milk powder per day and 1,200
pounds of casein per day. Indigenous R&D and technology development at the Cooperative had
led to the successful production of skimmed milk powder from buffalo milk the first time on a
commercial scale anywhere in the world. The foundations of a modern dairy industry in India
had just been laid as India had one of the largest buffalo populations in the world.

CONSUMER PREFERENCE
All marketing starts with the consumer. So consumer is a very important person to a marketer.
Consumer decides what to purchase, for whom to purchase, why to purchase, from where to
purchase, and how much to purchase. In order to become a successful marketer, he must know
the liking or disliking of the customers. He must also know the time and the quantity of goods
and services, a consumer may purchase, so that he may store the goods or provide the services
according to the likings of the consumers. Gone are the days when the concept of market was let
the buyers beware or when the market was mainly the sellers market. Now the whole concept
of consumers sovereignty prevails. The manufacturers produce and the sellers sell whatever the
consumer likes. In this sense, consumer is the supreme in the market.
As consumers, we play a very vital role in the health of the economy local, national or
international. The decision we make concerning our consumption behavior affect the demand for
the basic raw materials, for the transportation, for the banking, for the production; they effect the
employment of workers and deployment of resources and success of some industries and failures
of others. Thus marketer must understand this.
The study of the consumer preference not only focuses on how and why consumers make buying
decision, but also focuses on how and why consumers make choice of the goods they buy and
their evaluation of these goods after use. So for success of any company or product promotion it
is very necessary to depart its concentration towards consumer preference.

SCOPE OF THE STUDY

As learning is a human activity and is as natural, as breathing. Despite of the fact that learning is
all pervasive in our lives, psychologists do not agree on how learning takes place. How
individuals learn is a matter of interest to marketers. They want to teach consumers in their roles
as their roles as consumers. They want consumers to learn about their products, product
attributes, potential consumers benefit, how to use, maintain or even dispose of the product and
new ways of behaving that will satisfy not only the consumers needs, but the marketers
objectives.
The scope of my study restricts itself to the analysis of consumer preferences, perception and
consumption of Amul Milk. There are many other brands of milks available but my study is
limited to two major players of milks leaving behind the others. The scope of my study is also
restricts itself to Delhi region only.

OBJECTIVES OF
THE STUDY

10

OBJECTIVES OF THE STUDY

This project is based on the comparative study consumer behavior towards Amul Milk.
Objectives of the study are:

The other objective is to know about the customer satisfaction level associated with the
product and the customer preference level.

To increase customer satisfaction and recapture the market share by fulfilling the
customer needs.

To analysis the operation strategy of Amul Milk.

To get an insight into the production and distribution process of Amul.

To increase sales of Amul Milk.

11

COMPANY
PROFILE:

12

COMPANY PROFILE
The GCMMF is the largest food products marketing organisation of India. It is the apex
organisation of the dairy cooperatives of Gujarat. It is the exclusive marketing organisation for
products under the brand name of Amul and Sagar. Over the last five and a half decades, dairy
cooperatives in Gujarat have created an economic network that links more than 3.1 million
village milk products with millions of consumers in India. The daily milk procurement of
GCMMF is around 13 million liters per day. It collects milk from about 16914 village milk
cooperative societies, 17 member unions and 24 districts covering about 3.18 million milk
producer members. More than 70% of the members are small or marginal farmers and landless
labourers including a sizeable population of tribal folk and people belonging to the scheduled
castes.
The AMUL Story The Kaira District Cooperative Milk Producers Union Limited was
established on December 14, 1946 as a response to exploitation of marginal milk producers in
the city of Anand (in Kaira district of the western state of Gujarat in India) by traders or agents of
existing dairies. Producers had to travel long distances to deliver milk to the only dairy, the
Polson Dairy in Anand often milk went sour, especially in the summer season, as producers
had to physically carry milk in individual containers. These agents decided the prices and the offtake from the farmers by the season. Milk is a commodity that has to be collected twice a day
from each cow/buffalo. In winter, the producer was either left with surplus unsold milk or had to
sell it at very low prices. Moreover, the government at that time had given monopoly rights to
Polson Dairy (around that time Polson was the most well known butter brand in the country) to
collect milk from Anand and supply to Bombay city in turn (about 400 kilometers away). India
ranked nowhere amongst milk producing countries in the world in 1946. The producers of Kaira
district took advice of the nationalist leaders, Sardar Vallabhbhai Patel (who later became the
first Home Minister of free India) and Morarji Desai (who later become the Prime Minister of
India). They advised the farmers to form a cooperative and supply directly to the Bombay Milk
Scheme instead of selling it to Polson (who did the same but gave low prices to the producers).
Thus the Kaira District Cooperative was established to collect and process milk in the district of
Kaira.

13

Milk collection was also decentralized, as most producers were marginal farmers who would
deliver 1-2 litres of milk per day. Village level cooperatives were established to organize the
marginal milk producers in each of these villages. The first modern dairy of the Kaira Union was
established at Anand (which popularly came to be known as AMUL dairy after its brand name).
The new plant had the capacity to pasteurise 300,000 pounds of milk per day, manufacture
10,000 pounds of butter per day, 12,500 pounds of milk powder per day and 1,200 pounds of
casein per day. Indigenous R&D and technology development at the Cooperative had led to the
successful production of skimmed milk powder from buffalo milk the first time on a
commercial scale anywhere in the world. The foundations of a modern dairy industry in India
had just been laid as India had one of the largest buffalo populations in the world.

14

RESEARCH
METHODOLY

15

16

RESEARCH METHODOLY
This chapter describes the methodology of the study. This project is based on information
collected from primary sources. After the detailed study, an attempt has been made to present
comprehensive analysis of consumption of Amul Milk consumed by the people. The data had
been used to cover various aspects like consumption, consumers preference and customers
satisfaction regarding Amul Milk. In collecting requisite data and information regarding the topic
selected, I went to the residents of Ludhiana and collected the data.
Survey design:
The study is a cross sectional study because the data were collected at a single point of time. For
the purpose of present study a related sample of population was selected on the basis of
convenience.
Sample Size and Design:
A sample of 30 people was taken on the basis of convenience. The actual consumers were
contacted on the basis of random sampling.
Research Period:
Research work is only carried for 2 or 3 weeks.
Research Instrument:
This work is carried out through self-administered questionnaires. The questions included were
open ended, dichotomous and offered multiple choices

17

DATA
COLLECTION:

18

DATA COLLECTION:
The data, which is collected for the purpose of study, is divided into 2 bases:
Primary Source: The primary data comprises information survey of Comparative study of
consumer behavior towards Amul Milk. The data has been collected directly from respondent
with the help of structured questionnaires.
Secondary Source: The secondary data was collected from internet, References from Library.

Data Sources
News Papers
Magazines
Internet
Press articles on Adidas
And Other Related Sources.

19

SWOT
ANALYSIS:

20

SWOT ANALYSIS:
Strengths

High advertising spend creates high brand loyalty as well as barriers to entry.
High brand recognition due to effective Have a break slogan.
Its position in 2 different markets (2-finger and 4-finger) gives it double the retail
Space which results in diversification of risk for the brand as well as sales potential.
Market leader in the 2-finger product; as the price-setter it enjoys high margins in a
market that has low price sensitivity
Cannibalization of 2-finger and 4-finger products avoided through two different, targeted
marketing and pricing strategies.
Different packaging for grocers and independent sector diminishes the power for multiple
grocers to negotiate for higher profits, since consumers cant directly compare products.

Weakness

Production already at capacity, which means profitability is impacted, particularly in 4finger market where there is little opportunity to increase prices to control demand.
Current focus on physicality & packaging does not offer core product benefits (like taste).
High advertising costs are not bringing ROI; consumers cannot tell the difference despite
positioning and segmentation strategies.
Special foil packaging is expensive and not a sales driver. From a competitor perspective,
it is no longer necessary.
Brand space is undefined in consumer mind due to position between snack, indulgence.

Opportunities

In the 4-finger market, can build on 3rd place position as a market challenger.
Build on the success of past product extensions to meet competitors head-on.
Leverage growth of multiple grocers by investing further in building relationships with
them to claim optimal retail space and as a result, increase sales.
Capitalize on growing confectionary snack market (20% growth over the last five years).

Threats

Milk market is saturated and stable with maturing growth which may have cost
implications due to the need for higher adaptation.

Due to increasing crossover between milk count line and CBCL, competitors like Amul
are finding market entry easier Competitors can take advantage of Milk capacity issues
and fill the market void.
21

22

DATA
ANALYSIS

23

DATA ANALYSIS

The above pie chart showing the market share of different milk brands in my area. In which
it is clear that the sale of Mother Dairy milk is highest among other milk brands.
Followed by Amul , Paras, Parag and so on.
1. Which types of Amul customers do you have?
A. Permanent

20

B. Temporary

C. Both

28

24

.
There are three main types of Amul customers including Permanent, Temporary and Both.
So result comes that 35% of the total populations is permanent.
29% is the temporary and 36% is the mixture of both types of the customers.
So it can be concluded that a mix variant of the Permanent and temporary is more involved
than a permanent or temporary types of customers.

25

2. Avg. Sales of Milk (per week)

Milk Brands

Sales (In %)

A. Amul

30%

B. Mother Dairy

33%

C. Parag

7%

D. Paras

19%

E. Ramlal

7%

F. Others

4%

26

As it is transparent from the above graph that Mother Dairy is the Mother in the milk market
but as far as Amul is concerned Amul is growing very hazardly leaving all other brands like
Parag, Ramlal and other local brands and giving Amul a very healthy competition by
boosting its sales 30% of the total sales and is far away from Mother Dairy by only by 3%
and expected to cover that distance very soon.

27

28

3.Do you like AMUL milk ?

Yes
No
S. NO

Response

NO. od Response

% of Response

A
B

YES
NO

26
4

87%
13%

Likes

Yes
No

29

4.Have you seen the ads of amul milk ?

Yes
No
S. NO

Response

NO. od Response

% of Response

A
B

YES
NO

26
4

90%
10%

Seen the Ads.

Yes
No

30

5.Do you think that price of amul milk are high ?

Yes
No
S. NO

Response

NO. od Response

% of Response

A
B

YES
NO

26
4

60%
40%

Price high

Yes
No

31

6.Is the brand name visible ?

Yes
No
S. NO
A
B

Response

NO. od Response

yes
No

27
3

% of Response
90%
10%

Brand Visibility

Yes
No

32

7.Do you think amul should use the brand ambassador or it should stick with the
amul girl ?
Yes
No
S. NO
A
B

Response
Amul girl
Brand ambassador

NO. od Response
21
9

% of Response
70%
30%

Amul Girl Vs Brand Ambassador

Amul Girl
Brand Ambassador

33

8.Would you prefer amul milk in a less-sugary base ?

Yes
No
S. NO
A
B

Response
Sugar base
No sugar base

NO. od Response
12
18

% of Response
40%
60%

Preference on Sugar Base

Yes
No

34

9.Do you still prefer amul milk after the worm controversy?
Yes
No
S. NO
A
B

Response

NO. od Response

yes
no

27
3

% of Response
90%
10%

Preference after warm-Contravercy

Yes
No

35

10.From where do you came to know about the amul milk ?

a. News paper
b. Advertising
c. Radio
d. Hoardings
S. NO

Response

NO. od Response

% of Response

A
B
C
D

newspaper
advertising
radio
hoarding

5
24
3
1

17%
80%
10%
3%

Media

News paper
Advertising
Radio
Hoardings

36

11.Would you prefer a low calories milk even if it is priced high?

Yes
No

Preferece over low Calories milk if Price high

Yes
No

37

12.Are you satisfied with the amul milk ?

Yes
No

Satisfaction

Yes
No

38

13.Any other suggestion ?

Suggestion

Yes
No

39

FINDINGS:

40

FINDINGS:
CONSUMER RESEARCH:
Consumer research deals with consumer and their problems and solution to the problems. In this
I came to know about the consumers need and expectation levels regarding products and
ascertainable levels of consumer satisfaction.
PRODUCT RESEARCH:
Under product research I came to know about the modification which consumers wants as to the
quality, packing, shape, color, and quantity etc of their favorite milk.
PRICING RESEARCH:
This includes ability to consume, to pay for the product, how much a person can spend on his/her
favorite milk. In this I have tried to find out consumers price expectations and reactions.
ADVERTISING RESEARCH:
Under this I have concluded that whether the advertisement appeals the consumers or not. This
also includes evaluating and selecting the proper media-mix and measuring advertising
effectiveness.

41

LIMITATIONS OF
THE STUDY

42

LIMITATIONS OF THE STUDY

In attempt to make this project authentic and reliable, every possible aspect of the topic was kept
in mind. Nevertheless, despite of fact constraints were at play during the formulation of this
project. The main limitations are as follows:

Due to limitation of time only few people were selected for the study. So the sample of
consumers was not enough to generalize the findings of the study.

The main source of data for the study was primary data with the help of self-administered
questionnaires. Hence, the chances of unbiased information are less.

People were hesitant to disclose the true facts.

The chance of biased response cant be eliminated though all necessary steps were taken
to avoid the same.

43

CONCLUSION:

44

CONCLUSION
A survey of the people has been conducted to know the liking pattern of the amul . It
is observed that overall people like to eat amul brand rather than parag. It is
concluded that mostly people preferred Milk of amul due to its flavor/taste, quality
and image and due to its hard form. Some people often like to have milk with good
flavor, quality.
It is thus concluded from the facts collected that mostly people refer to buy big pack
of their favorite , and sometimes some of them go for small and family pack.
Large confectionery companies meet customer requirements with a wide selection of
different types of milk products to meet a variety of tastes. A company like amul is
involved at every stage of the production chain. It gets to know as many people as
possible in the supply chain, providing growers with technical advice, advising
intermediaries about quality issues, and of course researching the market to find out
what the consumer wants.
Large organizations like amul are able to pass on to us the benefits of economies of
scale, coupled with their experience of producing high quality over many years. As a
result, we consumers are able to enjoy products built around beans from a small farm
and transformed by complex production processes into sophisticated products such as
Quality Street, Smarties, Aero, or many other forms of milk product.

45

46

SUGGESTIONS AND
RECOMMENDATIONS

47

SUGGESTIONS AND RECOMMENDATIONS

Company should concentrate more on television for advertisement, as mostly people get

attracted through television only.

For promotional offers, company should go for free gifts rather than going for other

ways.
amul company should concentrate on its packing as people are least satisfied with it while

amul should concentrate on the shape of a milk.

People are unsatisfied with the price and quantity of milk so companies should

concentrate in this regard also.

As the target market is a small segment of consumers, marketing communications are less

costly and more effective.

A new technique which could be jointly used by manufacturers of niche products is the

videocals.
These are video magazines which like periodicals carry special- interest stories on a

specific subject sandwiched with commercials of niche products and services.

The theme of the subject could vary depending on the products and services figuring in

the videocal.
A specific aspect of developing a niche should be that, the company should ensure that
the communications do not give rise to a confused positioning regarding the corporate
image of the company.

48

BIBLIOGRAPHY

49

BIBLIOGRAPHY

NEWSPAPER:

Economic Times

BOOKS:

Marketing Research by Ramanuj Majumdar

Consumer Behaviour by Gupta and Pal

Marketing Management by Philip Kotler

WEBSITES:

www.amul.com

wikipedia.org

50

ANNEXURE

51

QUESTIONAIRE
Survey on Amul Milk
Name: ___________________________
Gender: __________
Location: _______________________
Ph. No\Email id: ________________________________
Age: ________
Occupation: _______________________________________
1. What milk brand comes in your mind when you heard the word milk ?
a) Parag
b) Amul
c) Mother dairy
d) Veeta
e) Param
f) Other (please specify)
2. Do you like AMUL milk ?
Yes
No
3. Have you seen the ads of amul milk ?
Yes
No
4. Do you think that price of amul milk are high ?
Yes
No
5. Is the brand name visible ?
Yes
No
6. Do you like the packaging of the brand ?
Yes
No
7. Have you visit the amulparlour ?
Yes

No
52

8. Do you think amul should use the brand ambassador or it should stick with the
amulgirl ?
Amul GirlBrand Ambassador
9. Would you prefer amul milk in a less-sugary base ?
Yes
No
10.Do you still prefer amul milk after the worm controversy?
Yes
No
11.Do you think that amul has succeeded in all marketing strategies it has
undertaken to get the control of the confectionery market ?
Yes
No
12.From where do you came to know about the amul milk ?
i.

news paper

ii.

advertising

iii.

radio

iv.

hoardings

13.Would you prefer a low calories ice-creams even if it is priced high?

Yes
No
14.Are you satisfied with the amul milk ?
Yes
No
15.Any other suggestion ?

53

54

55