• AMUL’S every function involves huge human resources

Amul spread India’s White Revolution, which made the country the
world’s largest producer of milk and milk products. In the process Amul
became the largest food brand in India and has ventured into markets
overseas. There are 23.60 lakh primary milk producers human are
involved, 35,000 rural workmen appointed in more than 11,400 villages
and socities,12,000 workers are work in 15 dairy plants to produce milk
products, there are 750 marketing professionals. Total 10,500 salesmen in
involve in distribution network to distributethe product. There are
600,000 salesmen in retail network.Amul products are now available in
more than 60 countries in the world. The seeds of this unusual saga were
sown more than 65 years back in Anand, a small town in the state of
Gujarat in Western India.
• Business philosophy of the GCMMF -
professional selling skills by making the distributors and their salesmen
aware of latest sales management tools and techniques; enhance their
knowledge of products; positioning and segmentation strategies for
various products. Under Amul Yatra the distributors and their salesmen
are taken on a visit to Anand . During this visit they are shown dairy
plants, their upkeep, international standards of hygiene and quality; the
practices adopted for clean milk production, and above all the cooperative
philosophy. Through one to one talk with the farmers, the distributors and
salesmen realise AMUL is a large business of small farmers. The visit
leaves an everlasting impression on their minds that by selling AMUL
products, they are discharging a social responsibility towards a large
number of poor farmers whose livelihood depends upon their skill and
integrity. They feel proud that they are participants in development of
rural society and thus in nation building .
• Thus profit of the GCMMF is very low. The net profit (PADT) of the
GCMMF during 2003-04 was Rs 7.31 crore against a turnover of Rs 2,947
crore, a meagre 0.25%. Further out of the net profit of Rs 7.31 crore, Rs 4
crore was given as share dividend to the co-operatives. To fulfill its
corporate social responsibility towards its milk producers and co-
operatives the GCMMF works on razor thin profits and retention of funds.
• The GCMMF has identified the distributors and retailers are its important
link in its vendor supply chain. Through surveys the GCMMF found that
90% of the distributors do not get any opportunity of exposure to latest
management practices. The GCMMF realised that it was a corporate social
responsibility to strengthen the core business processes of its distributors
so as to keep them in mainstream business and compete with those with
formal training in management. The GCMMF has developed and trained
all its distributors through Value-Mission-Strategy Workshops,
competence building, Amul Yatra, Amul Quality Circle meetings,
computerisation, and electronic commerce activities.