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Welcome you all
for PhD Public Viva-Voce Examination
Date : 11-03-2014
A Study of Computer Application in the
Management of ‘AAVIN’ Dairy Cooperatives
in Tiruchy Union
Under the Guidance of
Dr. P.M Meera Mohiadeen
Head of the Department,
Department of Commerce,
Jamal Mohamed College, Trichy
Candidate
L. Ramkumar
External Examiner
Dr. M Balasundaram
Principal,
Government Arts College,
Melur, Madurai District
 Center for Cooperatives defined Cooperative as a
“private business organization that is owned and
controlled by the people who use its products,
supplies or services”
Introduction – Co-operatives
 Roles include
 augmenting the milk production and thereby increasing
the per capita availability
 supplying quality milk to the urban consumers at
reasonable rates
 have to improve the rural economy by increasing the
quality of milch animals, average milk yield and enable
milk production as an economic venture.
Dairy Cooperatives
 To know the Profile of Dairy Cooperatives in India and
Tamil Nadu in particular
 To know the Computer Applications practiced in Kaira
District Anand Milk Union Limited (AMUL) in Gujarat.
 To understand the present status of Computer
Applications in “AAVIN”s Dairy Cooperative in
Tiruchirappalli Union.
Objectives of the Study
 To explore the possibility of introducing the Total
Computer Application systems in the AAVIN Dairy
Cooperatives.
 To make the Cost and Benefit analysis for
implementing the total computer applications in
AAVIN Dairy Cooperatives.
Objectives of the Study
-cont.
Usage of computers in
Milk Producers
Cooperative Societies
and their expectations
Research Sampling Approach
Out of 465 active Milk Producers Cooperative
Society in AAVIN, 90 of them are
computerized, among them 83 cooperative
societies (secretary of the society ) gave
response for the questionnaire
Out of 220 employees in AAVIN, 40 are
administrative staff, out of 40 staff 27 of
them answered the questionnaire
Members are randomly selected from
Computerized Milk Producers Cooperative
Society, out of 150 requests 101 gave
response for the questionnaire
AAVIN Federation
Computer Knowledge
and its Usage among the
Members of AAVIN Milk
Producers Cooperative
Society
Computer Knowledge
and its Application
among Employees of
AAVIN Tiruchy Union
AMUL
Interview approach for the understanding
of the existing setup and availability of the
Computer System
Commissioner for Milk Production and
Dairy Development Department
Deputy Milk
Commissioner (Co-
operative)
Deputy Registrar
(Head Quarters)
4 Sections at
Chennai Head
Quarters
23 Deputy
Registrars
(Dairying) in 23
Districts
Thiruvallur
Kancheepuram
Vellore
Thiruvannamalai
Dharmapuri Salem
Erode Coimbatore
Ooty Namakkal
Trichy Tiruvarur -
Nagapattinam
Thanjavur Madurai
Theni Virudhunagar
Manamadurai
Nagercoil
Tirunelveli
Cuddalore
Villupuram Dindigul
Perambalur
Executive Engineer
(Civil)
Junior Engineers
Dairy Officer
Asst. Dairy Officer
Accounts Officer
Asst. Accounts
Officer
3 Sections at
Chennai Head
Office
Agricultural Officer
Deputy Agricultural
Officer
Milk Procurement
Teams
Mobile Vety. Units
Organisation Chart
Tiruchy
Milk
Producers
Cooperative
Societies
The review has been organised under the following headings.
 Performance evaluation of cooperatives in general
 Performance evaluation of dairy cooperatives in particular
 Cost return structure
 Impact of dairy cooperatives in Global Economy
 Review of Basic Issues concerning Computer Applications
 Empirical Studies on the Computer Application in the Dairy
Cooperatives
Review of Literature
 Computerization and computer applications are becoming the
central to manage the business efficiently in the dairy cooperatives.
In the dairy cooperative sector there has been a long tradition of
development assistance investments in public-research systems.
Yet there is growing recognition that while dairy cooperative
research with usage of technology like computers and computer
application is necessary. Fresh direction, however is coming from
recent insights that recognize the computer process involves not
only research, but also a wide range of other activities, and the
relationship associated with the creation and transmission of
information and its productive use. As a framework for applying
these insights, the concept of a computer system is emerging a
potentially valuable tool to help rethink the role and contribution of
dairy cooperative research.
Hall, A.J., M.V.K. Sivamohan, N. Clark, S. Taylor and G. Bockett, “Innovation Theory: Institutional
Arrangements and Implications for Developing New Technology for the poor. World Development”
29(5):2001, pp.783-797.
Review of Basic Issues concerning Computer Applications
 Armonk N.Y. GCMMF (Amul), India's largest food products
marketing organization, has approved a deal by the Board of
GCMMF stating that IBM (NYSE: IBM) will help transform the
Information Technology landscape of GCMMF and the Milk
Unions to enable and support their accelerated growth plans.
The 10-year strategic outsourcing deal is worth over Rs. 80
crores, and underscores GCMMF's rapid growth path and
vision to ensure its Information Technology services are state-
of-the-art.
http://www-03.ibm.com/press/us/en/pressrelease/27928.wss
Empirical Studies on the
Computer Application in the Dairy Cooperatives
 The research studies reviewed had laid down focus on
one or other dimensions of Dairy Cooperatives.
However, no worthwhile study has so far been made
exclusively on the computer application in the
management of cooperatives Dairy Industry. This
study, therefore, concentrates on AAVIN Dairy in
Tiruchy Union.
Why Study of Computer Applications
based on the Review of Literature ?
Profile of the Dairy
Cooperatives in India
 For 8 five year periods, from 1970 to 2010, It is
heartening to note that India's percentage share in
total world milk production has kept upward trend,
competing with USA for top position.
 India held the First rank in the production of milk to
the tune of 70.88 million tons in the year 1997.
 India overtook the United States in milk production in
the year 1997 and thereafter it become the world’s
largest milk producer
Profile of Dairy Cooperatives in India
 The first large scale and systematic break-through in
dairy co-operatives in India was made in 1948 by the
Kaira District Co- operative Milk Producers Union at
(KDCMPU) Anand,
 The union came to be known as the Anand Milk Union
Limited, abbreviated to "Amul" which in vernacular
means 'highly valuable' or 'beyond all prices'.
Amul
 The Dairy Development Department was established
in 1958 in Tamilnadu.
 With the adoption of 'Anand pattern' in the State
of Tamilnadu, Tamilnadu Co-operative Milk Producers'
Federation Limited was registered in the State on 1st
February 1981.
 At present 17 district cooperative milk producers’
unions are functioning under TCMPF in the Tamil
Nadu State.
Dairy Sector in Tamilnadu
 Tiruchy Milk Producers Cooperative Union was
registered on 26.09.1980. AAVIN, Tiruchi started
functioning in a new premises on 09.06.1995.
 The Capacity of AAVIN, Trichy is 1.50 Lakh litre per
day. The jurisdictions of operation are Trichy, Karur,
Perambalur, Ariyalur Districts. Additionaly
Puddukkottai district is also under the control of
AAVIN, Trichy.
TIRUCHY DISTRIST COOPERATIVE MILK
PRODUCERS’ UNION LIMITED
Computer Applications in AMUL
 “Computers were not created to solve the problems
of poverty; hence it is futile to expect that the world
will be a better place if we all had access to
computers and the Internet. But information is power
and it stands to reason that if this power is shared
equitably, all will benefit.” There is no better example
than Amul to prove this fact.
- Described by Dr V Kurien, chairman, GCMMF
Computer Applications in AMUL
 Computer application has played a critical role in the
development of the Amul brand.
 The logistics behind the co-ordination of
approximately six million litres of milk per day from
about 10,675 separate village co-operative societies
throughout Gujarat, and storing, processing and
producing of milk products at the 12 district dairy
societies, is carried out with military-like precision.
Role of Computer Application
 The installation of over 3,000 Automatic Milk Collection
System Units (AMCUS) at village societies to capture
member information, milk fat content, volume collected,
and amount payable to each member, has proved
invaluable in ensuring fairness and transparency
throughout the entire organisation.
 The role of Computer application in Amul is best summed
up by B M Vyas, Chief Executive Officer, Amul (GCMMF)
when he says,
“Amul is not a food company,
It is an IT company in the food business.”
Role of Computer Application
A Study of Computer Applications in the Management of Aavin Dairy Cooperatives in Tiruchy Union
 Accordingly, Amul assigned the ERP software
development project named as Enterprise-wide Integrated
Application System (EIAS), on a turnkey basis to Tata
Consultancy Services.
 At present, the EIAS system covers a plethora of
operations like market planning, advertising and
promotion, distribution network planning, stock control,
sales and accounting, budgetary control, quality control
management and co-operative service management.
 Amul has also connected all its zonal offices, regional
offices and members dairies through VSATs for seamless
exchange of information.
Enterprise-wide Integrated
Application System
 Uses automated milk collection system units for collection
of milk
 Implemented a customized ERP system which is used in
conjunction with GIS
 Uses data analysis software for forecasting milk
production and increasing productivity
 Has connected all zonal, regional and member dairies
through VSAT
 One of the first five Indian organizations to have a Web
presence
 Has made IT education compulsory for all its employees
 Opted for the .coop domain to position its brand in a
distinct way Worldwide.
Salient Features
Computer Applications in
AAVIN
 AAVIN had a tie up with REIL (Rajasthan Electronics &
Instruments Ltd.) for its computerization initiative.
 REIL offers services to the following areas
 Dairy Herd Management
 Dairy Farm Management
 Milk Analysis Management
 Management of Hygiene Quality of milk and milk
products
Computer Applications in AAVIN
S. No Product Applications
1. Electronic Milk Tester For measurement of % Fat content in Milk at Village Milk
Cooperative Societies.
2. Milko Scan Total Milk quality parameter analysis for Dairies
3. Automatic Milk Collection
Station
For fair & prompt payment to farmers at Village Milk
Cooperative Societies
4. DP-EMT Low Cost version of Milk Collection Station for small
village Milk Cooperatives Societies
5. PC-MCS Personal Computer based version of Milk Collection
Station with accounting facility
6. Smart Card based PC Milk
Collection Station
For fair & prompt payment to farmers at Village Milk
Cooperative Societies
7. Raw Milk Reception Dock
Network Automation
Process Automation of Raw Milk Reception Docks at
Dairies
8. Raw Milk Reception Dock
Sample Automation
Milk sample collection and movement automation at
Raw Milk Reception Dock
REIL PRODUCT SPECIFICATIONS
Si. No Product Applications Implemented in AAVIN
1. Electronic Milk Tester Used for testing in most of the societies
2. Milko Scan Used for testing in societies who are providing rates
based on testing
3. Automatic Milk Collection
Station
Installed but not properly utilized.
4. DP-EMT Not Installed in none of the societies
5. PC-MCS Installed but not fully functional
6. Smart Card based PC Milk
Collection Station
Not Implemented
7. Raw Milk Reception Dock
Network Automation
Exclusively for testing in Dairies, most of the features are
not used.
8. Raw Milk Reception Dock
Sample Automation
Functions are partially used. Mainly for testing the milk,
most of the features are not used.
REIL PRODUCTS AND AAVIN
IMPLEMENTATION
Details Availability and present scenario
Computers Available and are installed with Linux OS
Printers Dot Matrix Printers are available
Software Licensing Societies are not aware of Licensing
Weighing Units Available and not integrated with computers
Testing Units Available and not integrated with computers
Software Development No Standardised software application is available.
Networking Not Available
Internet Connectivity Not used because of delay in approval from union
Backup Power Backup is available in some of the societies and
data backup is not in existence.
INFRASTRUCTURE IN MILK
PRODUCERS COOPERATIVE SOCIETY
MPCS Chilling Centers
Milk Procurement
System
Partially computerized Not computerized
Accounts Not computerized Not computerized
Stores Not computerized Not computerized
Purchase Not computerized Not computerized
HR Not computerized Not computerized
DETAILS OF STATUS OF COMPUTERIZATION IN MILK
PRODUCERS COOPERATIVE SOCIETY
Comparative Study
AAVIN AMUL
Milk Procurement System Partially computerized Fully computerized that includes
integration with quality testing,
weighing and milk accounting
systems.
Accounts Not computerized Fully computerized using customized
software. But some manual systems
are being followed for purposes of
audit
Stores Not computerized Fully computerized, but not integrated
with accounts. Interface between
stores and accounts is through manual
systems.
Purchase Not computerized Integrated with the stores information
system and most of the process are
computerized.
HR Not computerized Payroll which is a part of accounts is
computerized, other activities do not
use computers
COMPARATIVE STUDY BETWEEN THE
MILK PRODUCERS COOPERATIVE SOCIETY OF AMUL AND
AAVIN
AAVIN AMUL
Milk Procurement
System
Partially computerized and not
integrated with any testing
measures.
Fully computerized that includes integration with
quality testing, weighing and milk accounting
systems.
Accounts Partially computerized and not
integrated with any module
Fully computerized using customized software. But
some manual systems are being followed for
purposes of audit
Stores Partially computerized and not
integrated with any module
Fully computerized, but not integrated with
accounts. Interface between stores and accounts is
through manual systems.
Purchase Not computerized Integrated with the stores information system and
most of the process are computerized.
HR Payroll is handled by the computer
application
Payroll which is a part of accounts is computerized,
other activities do not use computers
Veterinary Visit
Booking
Computers are not used for this
service
Computers are used extensively in capturing data,
allocating doctors for the visit and for generating
billing
Cattle Feed Plant Data is not integrated with the union. Fully computerized – computing facilities used in
production planning, purchase and other activities.
Input supply module is also computerized in the
chilling centres.
THE COMPARATIVE STUDY ON COMPUTERIZATION OF MPCS
UNION TRICHY AND AMUL
Details Availability
Server Not Available
Printer Available
Software Licensing Not Available
Desktop Machine Old Machines are available and not up graded for
some years
Testing Units Available and not integrated with any computer
applications
Software Development Trial was executed for standarisation and are not
successfully implemented
Networking No Networking and is not practiced
Backup Facility Power Backup is available and data backup is not
available.
Present Scenarios in AAVIN, Tiruchy
TCMPF GCMPF
Production Planning and
Management
Not computerized Integrated with the stores information
system and most of the process are
computerized.
Administration Payroll is handled by
the computer
application
Payroll which is a part of accounts is
computerized, other activities do not use
computers
Veterinary Visit Booking Computers are not
used for this service
Computers are used extensively in
capturing data, allocating doctors for the
visit and for generating billing
Cattle Feed Plant Data is not integrated
with the union.
Fully computerized – computing facilities
used in production planning, purchase and
other activities. Input supply module is also
computerized in the chilling centres.
Showing the Comparison of the
Tamilnadu and Gujarat Federations
Cost and Practical Difficulties in
Total Integration
Details REIL (AAVIN)
Windows
Operating System
Akashganga
(AMUL)
Windows
Operating
System
Open Source
(KERALA Dairy)
Linux Operating
System
Cost (in Indian Rupees)
Computers 45,000 45000 45000
Printers 12,000 12000 12000
Desktop Software
Licensing
35,000 35000 0
Weighing Units 15,000 20000 15000
Testing Units 40,000 45000 40000
Software Development 20,000 30000 25000
Networking 3,000 3000 3000
170,000 1,90,000 1,40,000
Implementation Cost Per PMCS
Implementation Model Cost (in Rupees) for
465 Active Societies
REIL 7,90,50,000
Akashganga 8,83,50,000
Open Source(Lypsaa) 6,51,00,000
Implementation Cost for all PMCS
Details Windows
Cost (in Indian
Rupees)
Linux
Cost (in Indian
Rupees)
Server 1,50,000 1,50,000
Printer 12,000 12,000
Software
Licensing(Server
Operating System)
4,00,000 0
Desktop Machine (1 unit) 45,000 45,000
Testing Units 1,50,000 1,50,000
Networking 30,000 30,000
7,87,000 3,87,000
Cost of Milk Producers Cooperative
Union Integration
Model for Total computerization
Cloud Computing
Capital Expenditures
Capital Expenditure on infrastructure ₹ 0.00
Operational expenditures
Annual Operational Expenditure (Platform) ₹ 1,10,000.00
Incidental costs ₹ 10,000.00
Development (incremental) ₹ 20,000.00
Actual Cash Outflow (IT) ₹ 1,40,000.00
ESTIMATED EXPENDITURES FOR
INTEGRATION AT FEDERATION
Findings, Suggestions and
Conclusions
 The Amul has taken up the Computer Application
initiative in the year 1994 with the introduction of
‘Akashganga’ and other software in the Milk
Collection System.
 The Amul has done extensive usage of IT, which
includes a B2C ordering portal, an ERP based supply
chain planning system for the flow of material in the
network
Major Findings in AMUL
 Milk Collection information from more than 10,000
villages is available to all dairies (or Unions) to enable
them make faster decisions.
 Network is linked with information at all 45
distribution offices and 3900 distributors.
Major Findings
– cont. . .
Findings
Computer Application in AAVIN
 The Producers Milk Cooperative Societies are
unaware of software licensing and there is no
internet connectivity, data back up and the data are
not transferred to either the union and federation.
 The Accounts, HR, Stores, Purchase departments and
chilling units are not computerized and Milk
Procurement System is partially computerized.
Computer Applications in AAVIN
 In the case of Union, Milk Procurement System,
Accounts and Stores are partially computerized and
the data are not integrated with the federation and
milk producers cooperative societies. These sections
in Amul are fully computerized and the data are
integrated.
Computer Applications in AAVIN
- cont.
 Milk Procurement System, Accounts and stores are
partially computerized and not integrated with any
testing measures. The purchase, veterinary activities
are not computerized and payroll accounting alone
partially computerized in human resource
management.
Computer Applications in AAVIN
- cont.
 In the AAVIN Tiruchy Union, Server, Legal Software
and Network Connectivity are not available.
 Desktop with old configuration which is not updated
and a printer are available and there is not data
backup facility.
 In the case of Federation, Production and
Maintenance, Veterinary visits, Artificial insemination
and Cattle Feed Plant activities are not computerized.
Computer Applications in AAVIN
- cont.
 When compare to the per capita availability of milk
between the Gujarat and Tamil Nadu there is a large
variation in the years 1991 – 2011.
 The concentration of the business by the Tamil Nadu
dairy cooperatives is not on par with the
development of the Gujarat dairy cooperatives.
Computer Applications in AAVIN
- cont.
 One among the reasons for slow growth of per capita
availability of milk is due to lesser utilization of
computerization
 Recording the details of Artificial insemination using
computers and other measures were not taken up to
increase the milk production
Computer Applications in AAVIN
- cont.
Evaluation Result from Members of
Milk Producers Cooperative
Societies
 The earnings of the members from the Milk
Producers Cooperative Society is Very Low . The mean
average earning of a member is Rs. 7100 per month
 Majority (78.2%) of the members are having 1-3
animals. They are managing dairy as a part time
occupation only
Evaluation Result from the
Members of MPCS
 A major section of (77.2 per cent) the members are
holding membership in the range of 7 to 20 years.
 Majority (76.23 per cent) of the members are
supporting 3-5 of their family members based on their
earnings.
 A vast majority of the respondents (86.1 and 89.11 %
regarding FAT and SNF respectively) are unaware of
the quality factors such as FAT and SNF in Milk.
Evaluation Result - Members of MPCS
- cont.
 Most of the members (75.25 %) have insured their
milch animals.
 Members availing the medical facility of the society
are 80.20 per cent.
 A vast majority (88.12 %) of the members are
purchasing fodder from the society.
 Almost all the members of the MPCS (99%) are
interested in making total computerization.
Evaluation Result - Members of MPCS
- cont.
 Except a few all the members of the society (94.1%)
have said that the society providing necessary
suggestions then and there for the improvement of
the quality of the milk.
 Sixty six per cent of the members have undergone
training on milking methods, but the members are
not using the new technologies as stated by the
society in the training and they were used the
conventional method of milking.
Evaluation Result - Members of MPCS
- cont.
 70.3 per cent of the members are unaware of the
artificial insemination. 79 per cent of the members
vouched that proper amount of feeding shall improve
the quality of milk.
 Seventy per cent of the members have recorded that
improper medication certainly affect the quality of
milk.
Evaluation Result - Members of MPCS
- cont.
Evaluation Results of Employees of
AAVIN Tiruchy Union
 Only 3.7 percent of the employees are Post- Graduate
and 48.1 percent of the employees are Graduates.
 A vast majority (77.8%) of the employees age falls
with the range of 46 to 65 years.
 Majority (70%) of the employees experience is within
the range of 21 to 35 years.
 Out of the 24 employees, 81.5 percent are using
computers.
Evaluation Results of Employees of
AAVIN Tiruchy Union
 In the Union office, 40.7 percent of the computers’
configuration of central processing unit is Pentium V.
Most of the employees used the computers in Union
as the replacement for the typewriter.
 Out of 24 employees in the Union office, 54.5 per cent
of the employees are using computers for more than
2 hours and less than 5 hours per day
Evaluation Results of Employees of
AAVIN Tiruchy Union
- cont.
 68 % of the employees are facing with problem by
using the computers in the range of 1 to 3 months.
 Nearly 52 per cent of the employees have not
attended any training for using the Milk Procurement
machines.
 A vast majority (77%) of the employees are not given
any training in computers either by the AAVIN
Federation or the Union.
Evaluation Results of Employees
of AAVIN Tiruchy Union – cont..
 Nearly 51 per cent of the respondents agreed that the
information from the procurement register is
adequate.
 Nearly 51 per cent of the respondents have agreed
that the output of milk analyzer is accurate.
 43 per cent have agreed that the information
collected should be transferred on real time basis to
the Union records so that milk procurement price will
be paid daily
Evaluation of MPCS –
Computer perspective
 64 percent of the staff of the milk producers
cooperative society are able to understand the
software and utilize all the features provided in the
software and also comment that they are in need of
additional features to improve the software.
 29 percent of the respondents have strongly agreed
that the reports generated from the software are
useful for the milk producers cooperative society.
Evaluation of MPCS –
Computer perspective
-cont..
 41 percent of the members of MPCS has agreed that
the functionality of the society has improved because
of using the computers.
 56 percent of the respondents have agreed that the
administrative work got minimized because of the
usage of the computer applications.
 Majority (86 %) of the employees in Milk Producers
Cooperative Society have agreed that the members’
trust has increased because of using the computers.
Evaluation of MPCS –
Computer perspective
-cont..
 Majority (93%) of the respondents have agreed that
fraud and tampering of data got reduced because of
the computer applications.
 93 percent of the respondents have agreed that they
were able to calculate payments and dispatch details
faster because of the computers.
 29 percent of the respondents have agreed that they
are having frequent problems because of the
operating systems.
Evaluation of MPCS –
Computer perspective
-cont.
 29 percent of the respondents have agreed that they
are having frequent hardware problems in their
computers
 79 percent of the respondents have agreed that they
are getting frequent software problems.
 Majority (86%) of the respondents have opined that
there is a need for total computerization
Evaluation of MPCS –
Computer perspective
-cont.
 The employees in Milk Producers Cooperative Society
are having less awareness on the new improvements
in the computer technology but at the same time,
nearly 15 percent of the employees are interested to
use internet and email.
 Only 22 percent of the respondents agreed for their
interest towards GIS.
Evaluation of MPCS –
Computer perspective
-cont.
Total Integration of Computers
with Federation , Union and MPCS.
 As of 732 Primary Milk Producers Cooperative Society,
465 are Active in Business with the Tiruchy Union, but
83 societies alone make use of computers that too
very limited level of operations. The Union also not
fully utilized the existing computer application
systems. The federation is also not fully making use of
the existing computerization
Total Integration of Computers with
Federation , Union and MPCS.
 The existing level of computerization in AAVIN have
not reached the members at the grass root level and
even there is no integration of data with the Milk
Producers Cooperative Societies, Union and
Federation and also there is no transfer of data
among the MPCS, the Union and the Federation.
Total Integration of Computers with
Federation , Union and MPCS.
-cont..
 At present the financial position of the AAVIN will not
allow to make sufficient infrastructure facilities for the
integration.
 As per the existing organization structure of AAVIN, there
is no separate department for maintenance of computer.
Further, there are neither computer savvy officials nor
computer trained staff members to make computerization
in AAVIN like AMUL.
 AAVIN have not appointed Computer Professionals in the
management team so far.
Total Integration of Computers with
Federation , Union and MPCS.
- cont.
 Electrical power supplies are unreliable or erratic, as
of date (during the evaluation)
 After the computerization AMUL is able to disperse
the milk procurement price to the members every
day. But in AAVIN, due to lack of computerization in
the milk testing and bulk cooling system they disperse
milk procurement price monthly three times.
Total Integration of Computers with
Federation , Union and MPCS.
- cont.
 Unreliable Fixed Line Telephone system is used and
the communication through optical fibre transmission
is not reached to the rural areas in Tamil Nadu.
 Local internet service providers are too expensive and
the service is also not proper. There is a resistance of
AAVIN employees to make changes in the existing
manual system because of the fear that
computerization will replace the Human Resources
Total Integration of Computers with
Federation , Union and MPCS.
- cont.
 The Akashganga implementation cost per MPCS is 11%
higher than the REIL implementation.
 The open source implementation cost per MPCS is 17%
lower than the REIL implementation. The open source
implementation cost per MPCS is 27 % lower than the
Akashganga Implementation.
 AAVIN can utilize latest technology like cloud
computing and should invest time and efforts
towards the total computerization at a low cost.
Total Integration of Computers with
Federation , Union and MPCS.
- cont.
 Members are having less awareness about the
adulteration, and it is important for the staff of
societies to educate them.
 The distance between the member’s farm and the
collection point of MPCS may be reduced by creating
additional collection centers or mobile cooling van to
collect the milk from the member’s residence or farm.
Suggestions
 Labour problem can be managed by means of introducing
the technological replacements like using the fodder
cutting machine, milking machine, cleaning machine etc.,
 It is on the part of the society’s responsibility to create
awareness about the quality factors such as FAT and SNF in
the minds of the members because the milk procurement
price is based on these factors. Further, the success of the
computerization depends upon the members’ knowledge
about these quality factors in the milk.
Suggestions – cont.
 It is suggested that the society may educate the members
about the Artificial Insemination (AI) because the NDDB
has spent lot money for development of cross breed
animal and try to increase the quantity of milk in the 12th
planning period.
 AAVIN may introduce the plastic card or smart card just like
the Amul, which may be used in the ATM to draw the cost
of milk and other details through the arrangement with
Core Banking System of the Nationalized Banks.
Suggestions – cont.
 The Milk Producers Cooperative Society should pay
the milk procurement price to the members every day
as done by the Amul.
 The Milk Producers Cooperative Societies should
enhance the number of employees and should have
policy to appoint new employees with computer
knowledge.
 Investment should be made in the computer systems
Suggestions
-cont.
 Training should be given to the existing employees
how to utilize computers for their dairy operations
other than simple document typing.
 To rectify the hardware and software problems, the
AAVIN has to appoint a team of computer experts
and should plan for the annual maintenance contract.
 To reduce the investment in total computerization,
AAVIN may choose Open Source Computer
Application as done by the Kerala Dairy Cooperatives.
Suggestions
-cont.
 Installation of the centralized server either through
the cloud technologies or licensed system.
 Customization of the software based on the
requirements of the AAVIN dairy.
 The existing staff members of AAVIN should be
motivated to learn and train in computer expertise.
Suggestions
-cont.
 Expansion of the Bulk Cooler and Automatic
Collection System to all the areas of the AAVIN and
installation of the required number of computers and
integration of all the Milk Producers Cooperative
Societies with the Union and the Union should be
integrated with the AAVIN database.
Suggestions
-cont.
 Try to tap the resources from the NDDB and
Tamilnadu State Government for developing the
infrastructure facilities in Computer Applications.
 AAVIN should create a new IT department and
appoint the computer professionals to look after and
maintain the AAVIN computer application
requirement.
Suggestions
-cont.
 The Government of Tamilnadu should conduct the
election for the office bearers of Producers Milk
Cooperative Societies and empower the members to
conduct the dairy on cooperative lines.
 AAVIN should develop a computer software which is
user friendly and it should be in Tamil by making the
necessary arrangement with the server provider or
create own computer professionals for that purpose.
Suggestions
-cont.
 AAVIN should take necessary steps to provide
continuous on-job training to employees in
Federation and Union to enhance the computer
knowledge of the existing staff as well as organize
orientation programme to MPCS members to make
use of the computer and internet efficiently.
Suggestions
-cont.
Conclusion
 The AAVIN has introduced the computerization in the
dairying activities very recently and it has to adapt
methods from the AMUL and reaps the benefits of
fully computerized dairying in AAVIN.
 The success of the AMUL mainly depends on the
members’ cooperation and full support in the
computerization and empowerment of the members
through the participation in the dairy management.
Conclusion – cont.
 In the case of AAVIN it is not run with strict
cooperative principles and members not having any
say in the management of the affairs of the AAVIN.
 The computerization of dairying activities provides
immense benefits to the AAVIN.
Conclusion – cont.
Questions ?
Thank You!

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A Study of Computer Applications in the Management of Aavin Dairy Cooperatives in Tiruchy Union

  • 1. Welcome you all for PhD Public Viva-Voce Examination Date : 11-03-2014
  • 2. A Study of Computer Application in the Management of ‘AAVIN’ Dairy Cooperatives in Tiruchy Union Under the Guidance of Dr. P.M Meera Mohiadeen Head of the Department, Department of Commerce, Jamal Mohamed College, Trichy Candidate L. Ramkumar External Examiner Dr. M Balasundaram Principal, Government Arts College, Melur, Madurai District
  • 3.  Center for Cooperatives defined Cooperative as a “private business organization that is owned and controlled by the people who use its products, supplies or services” Introduction – Co-operatives
  • 4.  Roles include  augmenting the milk production and thereby increasing the per capita availability  supplying quality milk to the urban consumers at reasonable rates  have to improve the rural economy by increasing the quality of milch animals, average milk yield and enable milk production as an economic venture. Dairy Cooperatives
  • 5.  To know the Profile of Dairy Cooperatives in India and Tamil Nadu in particular  To know the Computer Applications practiced in Kaira District Anand Milk Union Limited (AMUL) in Gujarat.  To understand the present status of Computer Applications in “AAVIN”s Dairy Cooperative in Tiruchirappalli Union. Objectives of the Study
  • 6.  To explore the possibility of introducing the Total Computer Application systems in the AAVIN Dairy Cooperatives.  To make the Cost and Benefit analysis for implementing the total computer applications in AAVIN Dairy Cooperatives. Objectives of the Study -cont.
  • 7. Usage of computers in Milk Producers Cooperative Societies and their expectations Research Sampling Approach Out of 465 active Milk Producers Cooperative Society in AAVIN, 90 of them are computerized, among them 83 cooperative societies (secretary of the society ) gave response for the questionnaire Out of 220 employees in AAVIN, 40 are administrative staff, out of 40 staff 27 of them answered the questionnaire Members are randomly selected from Computerized Milk Producers Cooperative Society, out of 150 requests 101 gave response for the questionnaire AAVIN Federation Computer Knowledge and its Usage among the Members of AAVIN Milk Producers Cooperative Society Computer Knowledge and its Application among Employees of AAVIN Tiruchy Union AMUL Interview approach for the understanding of the existing setup and availability of the Computer System
  • 8. Commissioner for Milk Production and Dairy Development Department Deputy Milk Commissioner (Co- operative) Deputy Registrar (Head Quarters) 4 Sections at Chennai Head Quarters 23 Deputy Registrars (Dairying) in 23 Districts Thiruvallur Kancheepuram Vellore Thiruvannamalai Dharmapuri Salem Erode Coimbatore Ooty Namakkal Trichy Tiruvarur - Nagapattinam Thanjavur Madurai Theni Virudhunagar Manamadurai Nagercoil Tirunelveli Cuddalore Villupuram Dindigul Perambalur Executive Engineer (Civil) Junior Engineers Dairy Officer Asst. Dairy Officer Accounts Officer Asst. Accounts Officer 3 Sections at Chennai Head Office Agricultural Officer Deputy Agricultural Officer Milk Procurement Teams Mobile Vety. Units Organisation Chart Tiruchy Milk Producers Cooperative Societies
  • 9. The review has been organised under the following headings.  Performance evaluation of cooperatives in general  Performance evaluation of dairy cooperatives in particular  Cost return structure  Impact of dairy cooperatives in Global Economy  Review of Basic Issues concerning Computer Applications  Empirical Studies on the Computer Application in the Dairy Cooperatives Review of Literature
  • 10.  Computerization and computer applications are becoming the central to manage the business efficiently in the dairy cooperatives. In the dairy cooperative sector there has been a long tradition of development assistance investments in public-research systems. Yet there is growing recognition that while dairy cooperative research with usage of technology like computers and computer application is necessary. Fresh direction, however is coming from recent insights that recognize the computer process involves not only research, but also a wide range of other activities, and the relationship associated with the creation and transmission of information and its productive use. As a framework for applying these insights, the concept of a computer system is emerging a potentially valuable tool to help rethink the role and contribution of dairy cooperative research. Hall, A.J., M.V.K. Sivamohan, N. Clark, S. Taylor and G. Bockett, “Innovation Theory: Institutional Arrangements and Implications for Developing New Technology for the poor. World Development” 29(5):2001, pp.783-797. Review of Basic Issues concerning Computer Applications
  • 11.  Armonk N.Y. GCMMF (Amul), India's largest food products marketing organization, has approved a deal by the Board of GCMMF stating that IBM (NYSE: IBM) will help transform the Information Technology landscape of GCMMF and the Milk Unions to enable and support their accelerated growth plans. The 10-year strategic outsourcing deal is worth over Rs. 80 crores, and underscores GCMMF's rapid growth path and vision to ensure its Information Technology services are state- of-the-art. http://www-03.ibm.com/press/us/en/pressrelease/27928.wss Empirical Studies on the Computer Application in the Dairy Cooperatives
  • 12.  The research studies reviewed had laid down focus on one or other dimensions of Dairy Cooperatives. However, no worthwhile study has so far been made exclusively on the computer application in the management of cooperatives Dairy Industry. This study, therefore, concentrates on AAVIN Dairy in Tiruchy Union. Why Study of Computer Applications based on the Review of Literature ?
  • 13. Profile of the Dairy Cooperatives in India
  • 14.  For 8 five year periods, from 1970 to 2010, It is heartening to note that India's percentage share in total world milk production has kept upward trend, competing with USA for top position.  India held the First rank in the production of milk to the tune of 70.88 million tons in the year 1997.  India overtook the United States in milk production in the year 1997 and thereafter it become the world’s largest milk producer Profile of Dairy Cooperatives in India
  • 15.  The first large scale and systematic break-through in dairy co-operatives in India was made in 1948 by the Kaira District Co- operative Milk Producers Union at (KDCMPU) Anand,  The union came to be known as the Anand Milk Union Limited, abbreviated to "Amul" which in vernacular means 'highly valuable' or 'beyond all prices'. Amul
  • 16.  The Dairy Development Department was established in 1958 in Tamilnadu.  With the adoption of 'Anand pattern' in the State of Tamilnadu, Tamilnadu Co-operative Milk Producers' Federation Limited was registered in the State on 1st February 1981.  At present 17 district cooperative milk producers’ unions are functioning under TCMPF in the Tamil Nadu State. Dairy Sector in Tamilnadu
  • 17.  Tiruchy Milk Producers Cooperative Union was registered on 26.09.1980. AAVIN, Tiruchi started functioning in a new premises on 09.06.1995.  The Capacity of AAVIN, Trichy is 1.50 Lakh litre per day. The jurisdictions of operation are Trichy, Karur, Perambalur, Ariyalur Districts. Additionaly Puddukkottai district is also under the control of AAVIN, Trichy. TIRUCHY DISTRIST COOPERATIVE MILK PRODUCERS’ UNION LIMITED
  • 19.  “Computers were not created to solve the problems of poverty; hence it is futile to expect that the world will be a better place if we all had access to computers and the Internet. But information is power and it stands to reason that if this power is shared equitably, all will benefit.” There is no better example than Amul to prove this fact. - Described by Dr V Kurien, chairman, GCMMF Computer Applications in AMUL
  • 20.  Computer application has played a critical role in the development of the Amul brand.  The logistics behind the co-ordination of approximately six million litres of milk per day from about 10,675 separate village co-operative societies throughout Gujarat, and storing, processing and producing of milk products at the 12 district dairy societies, is carried out with military-like precision. Role of Computer Application
  • 21.  The installation of over 3,000 Automatic Milk Collection System Units (AMCUS) at village societies to capture member information, milk fat content, volume collected, and amount payable to each member, has proved invaluable in ensuring fairness and transparency throughout the entire organisation.  The role of Computer application in Amul is best summed up by B M Vyas, Chief Executive Officer, Amul (GCMMF) when he says, “Amul is not a food company, It is an IT company in the food business.” Role of Computer Application
  • 23.  Accordingly, Amul assigned the ERP software development project named as Enterprise-wide Integrated Application System (EIAS), on a turnkey basis to Tata Consultancy Services.  At present, the EIAS system covers a plethora of operations like market planning, advertising and promotion, distribution network planning, stock control, sales and accounting, budgetary control, quality control management and co-operative service management.  Amul has also connected all its zonal offices, regional offices and members dairies through VSATs for seamless exchange of information. Enterprise-wide Integrated Application System
  • 24.  Uses automated milk collection system units for collection of milk  Implemented a customized ERP system which is used in conjunction with GIS  Uses data analysis software for forecasting milk production and increasing productivity  Has connected all zonal, regional and member dairies through VSAT  One of the first five Indian organizations to have a Web presence  Has made IT education compulsory for all its employees  Opted for the .coop domain to position its brand in a distinct way Worldwide. Salient Features
  • 26.  AAVIN had a tie up with REIL (Rajasthan Electronics & Instruments Ltd.) for its computerization initiative.  REIL offers services to the following areas  Dairy Herd Management  Dairy Farm Management  Milk Analysis Management  Management of Hygiene Quality of milk and milk products Computer Applications in AAVIN
  • 27. S. No Product Applications 1. Electronic Milk Tester For measurement of % Fat content in Milk at Village Milk Cooperative Societies. 2. Milko Scan Total Milk quality parameter analysis for Dairies 3. Automatic Milk Collection Station For fair & prompt payment to farmers at Village Milk Cooperative Societies 4. DP-EMT Low Cost version of Milk Collection Station for small village Milk Cooperatives Societies 5. PC-MCS Personal Computer based version of Milk Collection Station with accounting facility 6. Smart Card based PC Milk Collection Station For fair & prompt payment to farmers at Village Milk Cooperative Societies 7. Raw Milk Reception Dock Network Automation Process Automation of Raw Milk Reception Docks at Dairies 8. Raw Milk Reception Dock Sample Automation Milk sample collection and movement automation at Raw Milk Reception Dock REIL PRODUCT SPECIFICATIONS
  • 28. Si. No Product Applications Implemented in AAVIN 1. Electronic Milk Tester Used for testing in most of the societies 2. Milko Scan Used for testing in societies who are providing rates based on testing 3. Automatic Milk Collection Station Installed but not properly utilized. 4. DP-EMT Not Installed in none of the societies 5. PC-MCS Installed but not fully functional 6. Smart Card based PC Milk Collection Station Not Implemented 7. Raw Milk Reception Dock Network Automation Exclusively for testing in Dairies, most of the features are not used. 8. Raw Milk Reception Dock Sample Automation Functions are partially used. Mainly for testing the milk, most of the features are not used. REIL PRODUCTS AND AAVIN IMPLEMENTATION
  • 29. Details Availability and present scenario Computers Available and are installed with Linux OS Printers Dot Matrix Printers are available Software Licensing Societies are not aware of Licensing Weighing Units Available and not integrated with computers Testing Units Available and not integrated with computers Software Development No Standardised software application is available. Networking Not Available Internet Connectivity Not used because of delay in approval from union Backup Power Backup is available in some of the societies and data backup is not in existence. INFRASTRUCTURE IN MILK PRODUCERS COOPERATIVE SOCIETY
  • 30. MPCS Chilling Centers Milk Procurement System Partially computerized Not computerized Accounts Not computerized Not computerized Stores Not computerized Not computerized Purchase Not computerized Not computerized HR Not computerized Not computerized DETAILS OF STATUS OF COMPUTERIZATION IN MILK PRODUCERS COOPERATIVE SOCIETY
  • 32. AAVIN AMUL Milk Procurement System Partially computerized Fully computerized that includes integration with quality testing, weighing and milk accounting systems. Accounts Not computerized Fully computerized using customized software. But some manual systems are being followed for purposes of audit Stores Not computerized Fully computerized, but not integrated with accounts. Interface between stores and accounts is through manual systems. Purchase Not computerized Integrated with the stores information system and most of the process are computerized. HR Not computerized Payroll which is a part of accounts is computerized, other activities do not use computers COMPARATIVE STUDY BETWEEN THE MILK PRODUCERS COOPERATIVE SOCIETY OF AMUL AND AAVIN
  • 33. AAVIN AMUL Milk Procurement System Partially computerized and not integrated with any testing measures. Fully computerized that includes integration with quality testing, weighing and milk accounting systems. Accounts Partially computerized and not integrated with any module Fully computerized using customized software. But some manual systems are being followed for purposes of audit Stores Partially computerized and not integrated with any module Fully computerized, but not integrated with accounts. Interface between stores and accounts is through manual systems. Purchase Not computerized Integrated with the stores information system and most of the process are computerized. HR Payroll is handled by the computer application Payroll which is a part of accounts is computerized, other activities do not use computers Veterinary Visit Booking Computers are not used for this service Computers are used extensively in capturing data, allocating doctors for the visit and for generating billing Cattle Feed Plant Data is not integrated with the union. Fully computerized – computing facilities used in production planning, purchase and other activities. Input supply module is also computerized in the chilling centres. THE COMPARATIVE STUDY ON COMPUTERIZATION OF MPCS UNION TRICHY AND AMUL
  • 34. Details Availability Server Not Available Printer Available Software Licensing Not Available Desktop Machine Old Machines are available and not up graded for some years Testing Units Available and not integrated with any computer applications Software Development Trial was executed for standarisation and are not successfully implemented Networking No Networking and is not practiced Backup Facility Power Backup is available and data backup is not available. Present Scenarios in AAVIN, Tiruchy
  • 35. TCMPF GCMPF Production Planning and Management Not computerized Integrated with the stores information system and most of the process are computerized. Administration Payroll is handled by the computer application Payroll which is a part of accounts is computerized, other activities do not use computers Veterinary Visit Booking Computers are not used for this service Computers are used extensively in capturing data, allocating doctors for the visit and for generating billing Cattle Feed Plant Data is not integrated with the union. Fully computerized – computing facilities used in production planning, purchase and other activities. Input supply module is also computerized in the chilling centres. Showing the Comparison of the Tamilnadu and Gujarat Federations
  • 36. Cost and Practical Difficulties in Total Integration
  • 37. Details REIL (AAVIN) Windows Operating System Akashganga (AMUL) Windows Operating System Open Source (KERALA Dairy) Linux Operating System Cost (in Indian Rupees) Computers 45,000 45000 45000 Printers 12,000 12000 12000 Desktop Software Licensing 35,000 35000 0 Weighing Units 15,000 20000 15000 Testing Units 40,000 45000 40000 Software Development 20,000 30000 25000 Networking 3,000 3000 3000 170,000 1,90,000 1,40,000 Implementation Cost Per PMCS
  • 38. Implementation Model Cost (in Rupees) for 465 Active Societies REIL 7,90,50,000 Akashganga 8,83,50,000 Open Source(Lypsaa) 6,51,00,000 Implementation Cost for all PMCS
  • 39. Details Windows Cost (in Indian Rupees) Linux Cost (in Indian Rupees) Server 1,50,000 1,50,000 Printer 12,000 12,000 Software Licensing(Server Operating System) 4,00,000 0 Desktop Machine (1 unit) 45,000 45,000 Testing Units 1,50,000 1,50,000 Networking 30,000 30,000 7,87,000 3,87,000 Cost of Milk Producers Cooperative Union Integration
  • 40. Model for Total computerization
  • 42. Capital Expenditures Capital Expenditure on infrastructure ₹ 0.00 Operational expenditures Annual Operational Expenditure (Platform) ₹ 1,10,000.00 Incidental costs ₹ 10,000.00 Development (incremental) ₹ 20,000.00 Actual Cash Outflow (IT) ₹ 1,40,000.00 ESTIMATED EXPENDITURES FOR INTEGRATION AT FEDERATION
  • 44.  The Amul has taken up the Computer Application initiative in the year 1994 with the introduction of ‘Akashganga’ and other software in the Milk Collection System.  The Amul has done extensive usage of IT, which includes a B2C ordering portal, an ERP based supply chain planning system for the flow of material in the network Major Findings in AMUL
  • 45.  Milk Collection information from more than 10,000 villages is available to all dairies (or Unions) to enable them make faster decisions.  Network is linked with information at all 45 distribution offices and 3900 distributors. Major Findings – cont. . .
  • 47.  The Producers Milk Cooperative Societies are unaware of software licensing and there is no internet connectivity, data back up and the data are not transferred to either the union and federation.  The Accounts, HR, Stores, Purchase departments and chilling units are not computerized and Milk Procurement System is partially computerized. Computer Applications in AAVIN
  • 48.  In the case of Union, Milk Procurement System, Accounts and Stores are partially computerized and the data are not integrated with the federation and milk producers cooperative societies. These sections in Amul are fully computerized and the data are integrated. Computer Applications in AAVIN - cont.
  • 49.  Milk Procurement System, Accounts and stores are partially computerized and not integrated with any testing measures. The purchase, veterinary activities are not computerized and payroll accounting alone partially computerized in human resource management. Computer Applications in AAVIN - cont.
  • 50.  In the AAVIN Tiruchy Union, Server, Legal Software and Network Connectivity are not available.  Desktop with old configuration which is not updated and a printer are available and there is not data backup facility.  In the case of Federation, Production and Maintenance, Veterinary visits, Artificial insemination and Cattle Feed Plant activities are not computerized. Computer Applications in AAVIN - cont.
  • 51.  When compare to the per capita availability of milk between the Gujarat and Tamil Nadu there is a large variation in the years 1991 – 2011.  The concentration of the business by the Tamil Nadu dairy cooperatives is not on par with the development of the Gujarat dairy cooperatives. Computer Applications in AAVIN - cont.
  • 52.  One among the reasons for slow growth of per capita availability of milk is due to lesser utilization of computerization  Recording the details of Artificial insemination using computers and other measures were not taken up to increase the milk production Computer Applications in AAVIN - cont.
  • 53. Evaluation Result from Members of Milk Producers Cooperative Societies
  • 54.  The earnings of the members from the Milk Producers Cooperative Society is Very Low . The mean average earning of a member is Rs. 7100 per month  Majority (78.2%) of the members are having 1-3 animals. They are managing dairy as a part time occupation only Evaluation Result from the Members of MPCS
  • 55.  A major section of (77.2 per cent) the members are holding membership in the range of 7 to 20 years.  Majority (76.23 per cent) of the members are supporting 3-5 of their family members based on their earnings.  A vast majority of the respondents (86.1 and 89.11 % regarding FAT and SNF respectively) are unaware of the quality factors such as FAT and SNF in Milk. Evaluation Result - Members of MPCS - cont.
  • 56.  Most of the members (75.25 %) have insured their milch animals.  Members availing the medical facility of the society are 80.20 per cent.  A vast majority (88.12 %) of the members are purchasing fodder from the society.  Almost all the members of the MPCS (99%) are interested in making total computerization. Evaluation Result - Members of MPCS - cont.
  • 57.  Except a few all the members of the society (94.1%) have said that the society providing necessary suggestions then and there for the improvement of the quality of the milk.  Sixty six per cent of the members have undergone training on milking methods, but the members are not using the new technologies as stated by the society in the training and they were used the conventional method of milking. Evaluation Result - Members of MPCS - cont.
  • 58.  70.3 per cent of the members are unaware of the artificial insemination. 79 per cent of the members vouched that proper amount of feeding shall improve the quality of milk.  Seventy per cent of the members have recorded that improper medication certainly affect the quality of milk. Evaluation Result - Members of MPCS - cont.
  • 59. Evaluation Results of Employees of AAVIN Tiruchy Union
  • 60.  Only 3.7 percent of the employees are Post- Graduate and 48.1 percent of the employees are Graduates.  A vast majority (77.8%) of the employees age falls with the range of 46 to 65 years.  Majority (70%) of the employees experience is within the range of 21 to 35 years.  Out of the 24 employees, 81.5 percent are using computers. Evaluation Results of Employees of AAVIN Tiruchy Union
  • 61.  In the Union office, 40.7 percent of the computers’ configuration of central processing unit is Pentium V. Most of the employees used the computers in Union as the replacement for the typewriter.  Out of 24 employees in the Union office, 54.5 per cent of the employees are using computers for more than 2 hours and less than 5 hours per day Evaluation Results of Employees of AAVIN Tiruchy Union - cont.
  • 62.  68 % of the employees are facing with problem by using the computers in the range of 1 to 3 months.  Nearly 52 per cent of the employees have not attended any training for using the Milk Procurement machines.  A vast majority (77%) of the employees are not given any training in computers either by the AAVIN Federation or the Union. Evaluation Results of Employees of AAVIN Tiruchy Union – cont..
  • 63.  Nearly 51 per cent of the respondents agreed that the information from the procurement register is adequate.  Nearly 51 per cent of the respondents have agreed that the output of milk analyzer is accurate.  43 per cent have agreed that the information collected should be transferred on real time basis to the Union records so that milk procurement price will be paid daily Evaluation of MPCS – Computer perspective
  • 64.  64 percent of the staff of the milk producers cooperative society are able to understand the software and utilize all the features provided in the software and also comment that they are in need of additional features to improve the software.  29 percent of the respondents have strongly agreed that the reports generated from the software are useful for the milk producers cooperative society. Evaluation of MPCS – Computer perspective -cont..
  • 65.  41 percent of the members of MPCS has agreed that the functionality of the society has improved because of using the computers.  56 percent of the respondents have agreed that the administrative work got minimized because of the usage of the computer applications.  Majority (86 %) of the employees in Milk Producers Cooperative Society have agreed that the members’ trust has increased because of using the computers. Evaluation of MPCS – Computer perspective -cont..
  • 66.  Majority (93%) of the respondents have agreed that fraud and tampering of data got reduced because of the computer applications.  93 percent of the respondents have agreed that they were able to calculate payments and dispatch details faster because of the computers.  29 percent of the respondents have agreed that they are having frequent problems because of the operating systems. Evaluation of MPCS – Computer perspective -cont.
  • 67.  29 percent of the respondents have agreed that they are having frequent hardware problems in their computers  79 percent of the respondents have agreed that they are getting frequent software problems.  Majority (86%) of the respondents have opined that there is a need for total computerization Evaluation of MPCS – Computer perspective -cont.
  • 68.  The employees in Milk Producers Cooperative Society are having less awareness on the new improvements in the computer technology but at the same time, nearly 15 percent of the employees are interested to use internet and email.  Only 22 percent of the respondents agreed for their interest towards GIS. Evaluation of MPCS – Computer perspective -cont.
  • 69. Total Integration of Computers with Federation , Union and MPCS.
  • 70.  As of 732 Primary Milk Producers Cooperative Society, 465 are Active in Business with the Tiruchy Union, but 83 societies alone make use of computers that too very limited level of operations. The Union also not fully utilized the existing computer application systems. The federation is also not fully making use of the existing computerization Total Integration of Computers with Federation , Union and MPCS.
  • 71.  The existing level of computerization in AAVIN have not reached the members at the grass root level and even there is no integration of data with the Milk Producers Cooperative Societies, Union and Federation and also there is no transfer of data among the MPCS, the Union and the Federation. Total Integration of Computers with Federation , Union and MPCS. -cont..
  • 72.  At present the financial position of the AAVIN will not allow to make sufficient infrastructure facilities for the integration.  As per the existing organization structure of AAVIN, there is no separate department for maintenance of computer. Further, there are neither computer savvy officials nor computer trained staff members to make computerization in AAVIN like AMUL.  AAVIN have not appointed Computer Professionals in the management team so far. Total Integration of Computers with Federation , Union and MPCS. - cont.
  • 73.  Electrical power supplies are unreliable or erratic, as of date (during the evaluation)  After the computerization AMUL is able to disperse the milk procurement price to the members every day. But in AAVIN, due to lack of computerization in the milk testing and bulk cooling system they disperse milk procurement price monthly three times. Total Integration of Computers with Federation , Union and MPCS. - cont.
  • 74.  Unreliable Fixed Line Telephone system is used and the communication through optical fibre transmission is not reached to the rural areas in Tamil Nadu.  Local internet service providers are too expensive and the service is also not proper. There is a resistance of AAVIN employees to make changes in the existing manual system because of the fear that computerization will replace the Human Resources Total Integration of Computers with Federation , Union and MPCS. - cont.
  • 75.  The Akashganga implementation cost per MPCS is 11% higher than the REIL implementation.  The open source implementation cost per MPCS is 17% lower than the REIL implementation. The open source implementation cost per MPCS is 27 % lower than the Akashganga Implementation.  AAVIN can utilize latest technology like cloud computing and should invest time and efforts towards the total computerization at a low cost. Total Integration of Computers with Federation , Union and MPCS. - cont.
  • 76.  Members are having less awareness about the adulteration, and it is important for the staff of societies to educate them.  The distance between the member’s farm and the collection point of MPCS may be reduced by creating additional collection centers or mobile cooling van to collect the milk from the member’s residence or farm. Suggestions
  • 77.  Labour problem can be managed by means of introducing the technological replacements like using the fodder cutting machine, milking machine, cleaning machine etc.,  It is on the part of the society’s responsibility to create awareness about the quality factors such as FAT and SNF in the minds of the members because the milk procurement price is based on these factors. Further, the success of the computerization depends upon the members’ knowledge about these quality factors in the milk. Suggestions – cont.
  • 78.  It is suggested that the society may educate the members about the Artificial Insemination (AI) because the NDDB has spent lot money for development of cross breed animal and try to increase the quantity of milk in the 12th planning period.  AAVIN may introduce the plastic card or smart card just like the Amul, which may be used in the ATM to draw the cost of milk and other details through the arrangement with Core Banking System of the Nationalized Banks. Suggestions – cont.
  • 79.  The Milk Producers Cooperative Society should pay the milk procurement price to the members every day as done by the Amul.  The Milk Producers Cooperative Societies should enhance the number of employees and should have policy to appoint new employees with computer knowledge.  Investment should be made in the computer systems Suggestions -cont.
  • 80.  Training should be given to the existing employees how to utilize computers for their dairy operations other than simple document typing.  To rectify the hardware and software problems, the AAVIN has to appoint a team of computer experts and should plan for the annual maintenance contract.  To reduce the investment in total computerization, AAVIN may choose Open Source Computer Application as done by the Kerala Dairy Cooperatives. Suggestions -cont.
  • 81.  Installation of the centralized server either through the cloud technologies or licensed system.  Customization of the software based on the requirements of the AAVIN dairy.  The existing staff members of AAVIN should be motivated to learn and train in computer expertise. Suggestions -cont.
  • 82.  Expansion of the Bulk Cooler and Automatic Collection System to all the areas of the AAVIN and installation of the required number of computers and integration of all the Milk Producers Cooperative Societies with the Union and the Union should be integrated with the AAVIN database. Suggestions -cont.
  • 83.  Try to tap the resources from the NDDB and Tamilnadu State Government for developing the infrastructure facilities in Computer Applications.  AAVIN should create a new IT department and appoint the computer professionals to look after and maintain the AAVIN computer application requirement. Suggestions -cont.
  • 84.  The Government of Tamilnadu should conduct the election for the office bearers of Producers Milk Cooperative Societies and empower the members to conduct the dairy on cooperative lines.  AAVIN should develop a computer software which is user friendly and it should be in Tamil by making the necessary arrangement with the server provider or create own computer professionals for that purpose. Suggestions -cont.
  • 85.  AAVIN should take necessary steps to provide continuous on-job training to employees in Federation and Union to enhance the computer knowledge of the existing staff as well as organize orientation programme to MPCS members to make use of the computer and internet efficiently. Suggestions -cont.
  • 87.  The AAVIN has introduced the computerization in the dairying activities very recently and it has to adapt methods from the AMUL and reaps the benefits of fully computerized dairying in AAVIN.  The success of the AMUL mainly depends on the members’ cooperation and full support in the computerization and empowerment of the members through the participation in the dairy management. Conclusion – cont.
  • 88.  In the case of AAVIN it is not run with strict cooperative principles and members not having any say in the management of the affairs of the AAVIN.  The computerization of dairying activities provides immense benefits to the AAVIN. Conclusion – cont.