omfed report

8/17/2019 Omfed Report

1/45

GROUP- 24 Study of OMFED’s Supply Chain Page

OMFED (OrissaState CooperativeMilk Producers'Federation Limited)

!naly"ing Supply Chain #ssues fa$ed%y OMFED in &hu%anes'a( $i($le

Submitted by: Group 2

Su)alyan Das *U++2+,.Sundeep P(adhan *U++2+,/.Su(end(a Singh *U++2+,,.

0o1 &a%u *U++2+,.3 a)shana *U++2+,5.3ineet &hat *U++2+.Sh(eya &hatta$hya *U++2++.


2/45

!a"le o# Contents+6#70RODUC0#O7666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666668

O&9EC0#3E OF 0:E S0UD;666666666666666666666666666666666666666666666666666666666666666666666666666666666666666 8

S0!0EME70 OF 0:E PRO&EM6666666666666666666666666666666666666666666666666666666666666666666666666666666668#M#0!0#O7S6666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666664

COMP!7; PROF#E66666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666 4

O3ER3#E#S0#7G D#S0R#&U0#O7 PROCESS OF OMFED666666666666666666666666666666666666666666666666666666+

D#S0R#&U0#O7 ROU0E !7!;S#S6666666666666666666666666666666666666666666666666666666666666666666666666666666+/

S0UD; OF E>#S0#7G D#S0R#&U0#O7 ROU0E OF OMFED666666666666666666666666666666666666666666+/

3E:#CE FEE0 SC:EDU#7G666666666666666666666666666666666666666666666666666666666666666666666666666666668

3isual Method66666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666 8+

Dist(i%ution (oute 1ini1i"ation of OMFED using ?isual 1ethod66666666666666666666666666668+

F#7D#7GS OF 0:E RESE!RC:666666666666666666666666666666666666666666666666666666666666666666666666666666666668,

SUGGES0#O7S !7D RECOMME7D!0#O7S66666666666666666666666666666666666666666666666666666666666666666 8

Esta%lish1ent i@uid Mil) 3ending Ma$hines666666666666666666666666666666666666666666666666666666668

P(o?iding Se(?i$e of i@uid Mil) 3ending 3an666666666666666666666666666666666666666666666666666666664

:o1e Deli?e(y fo( Custo1e(s66666666666666666666666666666666666666666666666666666666666666666666666666666664+

CO7CUS#O7666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666 42

&#OGR!P:;666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666666648


3/45

EXECUTIVE SUMMARY

The first part of our project involved the study of existing distribution channel of OMFEDand Identification of problem areas. For this e used the intervie method and interact

ith the Mar!eting head of OMFED.

The second part of our project as the study of minimi"ing the routes of distribution and

the cost minimi"ation of supply chain process. For this e conducted a detailed study of

vehicle utili"ation by OMFED by intervie method along ith some previous data

related to no. of vehicles used for transportation and its capacity ith the no. of routes.

OMFED must ta!e initiative in aggressive mar!eting by applying various product

distribution policies li!e#

Distribution route merging

Establishment li$uid mil! vending machines

%iving service of li$uid mil! vending van

&ome Delivery for customers

GROUP- 24 Study of OMFED’s Supply Chain Page 2


4/45

$%&!ODC!&O

$%$ O*+EC!&,E OF !-E S!D.

The objectives of the study are mentioned belo'

(. To study the distribution channel in the retail chain of OMFED in )hubanesar

city.*. To find out the alternative ay of distribution of OMFED products.+. To find out the ay of minimi"ing transportation cost.,. To identify the issues related to OMFED retailers.

$%2 S!/!EME! OF !-E PO*LEMThe problem of OMFED survey in )hubanesar mar!et on li$uid Mil! shos a dramatic

change- in the means of demand and supply hich ignores to develop in its selling

process starting from manufacturing till end up to reaching consumers hand.

ssociating ith proper environmental scanning- the OMFED products fail to meet

customer/s level of expectation.

The company is not dealing ith any social and political factors.

The company is not associated ith any local issue and local demand of theproduct.

The customers are not interested to ma!e the product suitable in the mar!et- so

that it is not satisfying the customer level of satisfaction. The company faces a lot of problems in rotation of tendered vehicles used for

distribution of products.



5/45

$%0 L&M&!/!&OS

1. 0ac! of environmental support2. 0ess sample si"e3. )asically based on secondary data

4. 1hort time duration5. 2estricted areas6. 0ac! of retailer support

$% COMP/. POF&LE

OMFED : The Odisha 1tate 3o4operative Mil! 5roducers

Federation 0td.

Installed Caa!"t# : 67-777 liters per day

$%&'e!t E(e!)ted *# : 8ational Dairy Development )oard

In"t"al $%&'e!t C&st : 2s. *.9 crores

F)n!t"&ned F&%+ : 6th December (:9;

E(ans"&n : (.*; la!h liters per day

Ann)al T)%n&,e% : 2s. ,7 crores

E+lee St%en-t : (;77


6/45

The Odisha 1tate 3o4operative Mil! 5roducers/ Federation 0td. nion and hundreds of

village Mil! 5roducers 3o4operative 1ocieties provide a three tier co4operative

organi"ational setup for mil! enlarge scale.

OMFED is organi"ing mar!eting facilities for hatever mil! is produced in villages

and hence to give the farmers and incentive to produce more mil!. The price paid to the

farmer producer is on the basis of $uality of mil!- that is to axis mil! pricing structure

based on fat nder the brand AOMFEDA these dairies are involved in processing of mil!

products in various pac!ing si"es for mar!eting the same inside and outside the state of

Orissa.

Thus its effectiveness as a co4operative organi"ation in handling rural mil!

procurement- processing and mar!eting has been proved beyond doubt in the state of

Orissa. OMFED is providing good- fresh pasteuri"ed- homogeni"ed and vitamin clean

mil! both toned and double toned in hygienic polythene sachets of half liter and one liter

to the consumer at reasonable price from their modern hygienic dairy plants.

OMFED is practicing high ethical standards in its business. OMFED mil! and mil!

products are very nutritious- tasty- delicious- digestive- and adds to satiety. It is seet

and appeti"ing and can be consumed directly. The chilled OMFED mil! helps in

prevention of stomach disorders- hyper acidity and eye ailments. lso it is good for

brain development of groing children.

GROUP- 24 Study of OMFED’s Supply Chain Page


7/45

2%$ OMFEDS ,&S&O

To be a leading mil! producing organi"ation at international level of efficiency ith

idest and satisfied customer base- maximi"ing ealth of sta!e holders and

contributing to the state economy.

2%2 OMFEDS M&SS&O

dvancement of dairying by encouraging and educating people through mutual

participation. 3ontinuous endeavor to increase productivity and per capita consumption.

To promote clean mil! production and distribution ith state of art technology.

3ustomer satisfaction ith reliable- uninterrupted services and $uality products.

To foster a performance oriented culture encouraging innovation.

To promote a congenial or! climate encouraging employees to participate and

contribute for organi"ational groth. To be a learning organi"ation and responsive to changing environment.

3ontinuous up4gradation of s!ills and competence of employees and their career

advancement. To enrich $uality of life of people and preserve ecological balance.

GROUP- 24 Study of OMFED’s Supply Chain Page /


8/45

2%0 PODC! POF&LE

/"0)"d M"l


9/45


10/45

2% F!E POSPEC!S /D PL/S OF OMFED

Expansion of )hubanesar Dairy from (.*; la!h 05D to * la!h 05D.

Establishment of (7 MT poder plant at )hubanesar dairy ith %ovt. of India

assistance.


11/45

0% M&L3 M/3E!&G & &D&/

Dairy farming is a source of supplementary income for millions of smallmarginal

farmers and landless laborers in India. Mar!et oriented smallholder dairying providessignificant scope for diversification and thus helps in enhancing income and generating

employment for the farmers. &o profitable a dairy enterprise is depends upon cost

structure and the price. Mil! is procured- processed and sold by various agents involved

in the dairy business from the point of production to consumption either as fresh li$uid

mil! or processed mil! products. These agents engaged in mil! mar!eting have been

classified into ‘Organized or Formal’ and ‘Unorganized or Informal’ although a clear

definition of organi"ed and unorgani"ed does not exist.

In this paper- an Ginformal/ pathay is defined as here some or all the actors

involved in the hole mil! supply chain operate outside the sector that is regulated and

here in practice- taxes and subsidies are applicable. )roadly- the dairy cooperatives-

mil! producing units run by %overnment and large private dairies such as 8estle-

1mith?line- and &eritage are classified as GFormal/ sector here as village vendors-

local halais- tea shops- curd shops- small4scale private dairies and contractors are

classified as GInformal/ segment. Despite the steady increase in the share of organi"ed

mar!et over the last four decades- a very large proportion of mar!eted mil! in the

country is still accounted for in the informal sector.

The !ey factor that sustains informal mar!et in India is the poor illingness of the

customers to pay the extra costs for formal processing and pac!aging. >sually these

costs are not incurred by the informal sector agents and hence the mar!et margins

beteen farmer and consumer ould logically be smaller. This means that the informal

mar!et can offer higher prices to farmers and loer retail prices to consumers. 1mall4

scale processors


12/45

processors incur expenditures not only on $uality control and pac!aging but also on

trade taxes. This ma!es them capable of catering to the urban segment only. The share

in total mar!etable surplus of different agencies- from various parts of the country is

presented belo.

F"-)%e 1: Ma'&% M"l Ma%et"n- Cannel "n Ind"a

GROUP- 24 Study of OMFED’s Supply Chain Page ++

Producer

CooperativesVillage

Vendor

Hotel/

Restaurants

Private

Dairies

Local Village

Sho s

DistributorsProcessors

Marketing Agencies/

Wholesalers

Retail Shops/

Milk ooths

Consu!er


13/45

0%$ /,/&L/*LE M/3E!&G C-/ELS

5roducer 3onsumer

5roducer illage tradervendor 3onsumer

5roducer &alai3onsumer

5roducer &otels and 2estaurants3onsumer

5roducer 3ooperatives3onsumer

5roducer 3ooperatives 2etailer 3onsumer

5roducer illage tradervendor &alais3onsumers

5roducer illage tradervendor 3ooperatives3onsumers

5roducer 3ooperatives&otels and 2estaurants3onsumers

5roducer illage tradervendors3ontractor 5rocessor 3onsumers

5roducer illage tradermil! vendor 5rivate Mil! )ooth3onsumers

5roducer Mini trader 3ooperatives&otels and 2estaurants3onsumers

5roducer 5rivate DairiesDistributorsprivate mil! booth3onsumers

0%2 OMFED M/3E!&G C-/EL

OMFED follos the folloing channel for mar!eting of mil!#

$%&d)!e% C&&e%at",esReta"le%C&ns)+e%

GROUP- 24 Study of OMFED’s Supply Chain Page +2


14/45

Mil) P(odu$e(

OMFED

:otelA Restau(ants o$al 3illage ShopsRetail ShopsA Mil) &ooths3illage 3endo(

Consu1e(

% POCEME! POCESS OF OMFED

OMFED follos three tier system procurement process for li$uid mil! collection- hich

stated is stated belo diagrammatically for better understanding.

F"-)%e 2: $%&!)%e+ent $%&!ess & OMFED

The Odisha 1tate 3o4operative Mil! 5roducers Federation 0td.nion and hundreds of village Mil! 5roducers

3o4operative 1ocieties provide a +4tier 3o4operative organi"ational setup for mil!

production- procurement and mar!eting of mil! and mil! products in a large scale.

Minimum of ;( mil! producers in the village are combined to form the primary Mil!

5roducers 3o4operative 1ociety in the village level. arious village mil! 5roducers 3o4

operative 1ocieties are joined to form district co4operative mil! 5roducers >nion and

again various District 3o4operative Mil! 5roducers >nion combine ith each other

to form the Orissa 1tate 3o4operative Federation 0td. Mil! 5roducers.


Primary Village Milk Producers

Co-Operative Society

Milk Producer

District Co-Operative

Milk Producer Union

The Odisha State

Co-Operative

Milk Producer

Federation td!

"OMF#D$


15/45

F"-)%e 3: OMFED D"st%")t"&n Cannel

4% PODC! D&S!&*!&O OF OMFED

Distribution is the process of ma!ing a product or service available for use or

consumption by a consumer or business user- using direct means- other indirect meansith intermediaries. 5roducts are distributed through channels hich are sets of

interdependent organi"ations


16/45

4%2 E7&S!&G D&S!&*!&O POCESS OF OMFED

For the smoother distribution of OMFED products- company divided

)hubanesar region into *; major routes. The retail points are coded li!e G)(77/

for G2oute4(/. There are ,( dedicated vehicles used for distribution of products from production

unit to retailer points. *; vehicles engaged during morning hours.

(* vehicles engaged during evening hours.

+ mobile vans used for distribution.

( vehicle used for bac!up supply.

There is a hole day long mil! distribution functional for )hubanesar region.

Morning OMFED mil! delivery starts from *.+7 am to +.+7 am. OMFED mil! delivery starts from (7.+7 am through Mobile van.

Evening OMFED mil! delivery starts from *.+7 pm to +.+7 pm.

GROUP- 24 Study of OMFED’s Supply Chain Page +

E!/&LESOMFED

CS!OME


17/45

8% D&S!&*!&O O!E //L.S&SDistribution route analysis includes a detail study of the existing route designed for

supply chain of OMFED products.

For the smoother distribution of OMFED products- company divided

)hubanesar region into *; major routes. The retail points are coded li!e G)(77/ for G2oute4(/.

There are (7( retail points available in )hubanesar for selling of OMFED mil!

products. There are ,( dedicated vehicles used for distribution of products from production

unit to retailer points.

8%$ S!D. OF E7&S!&G D&S!&*!&O O!E OF OMFED

detailed report based on secondary data given by OMFED about the available route

of OMFED is given belo#

ROUTE1

R&)te 7&.

*&&t

C&desSta%t 8 End

T&tal

M"l*&&ts

R&)te Ma'&% $&"nts 9/and Ma%s D"stan!e 9+.

T&tal

Indent9/t%s.

( )(7( )(: ;;3.1pur

8e . %3olony

3apital&ospita

l

5alaspali

)himaTangi

++ *:9,

GROUP- 24 Study of OMFED’s Supply Chain Page +/


18/45

ROUTE2

R&)te

7&.

*&&tC&des

Sta%t 8 End

T&talM"l

*&&ts

R&)te Ma'&% $&"nts 9/and Ma%sD"stan!e

9+.

T&talIndent

9/t%s.

* )*7* )*9+ +9

3.

1

pur

chary

aihar

ani

ihar

1ahee

d

8agar

8e

Mario

n

&otel

%ang

a

8agar

* (:9*

ROUTE 3

R&)te7&.

*&&tC&des

Sta%t 8 End

T&talM"l

*&&ts


9+.

T&talIndent9/t%s.

+ )+7( )+:: ;,

3.

1

pur

0axmi1

agar

@har

apad

a

@ail

2oad)omi!hal

2asu

l%arh+( *:9+

GROUP- 24 Study of OMFED’s Supply Chain Page +,


19/45

ROUTE; 4

R&)te7&.

*&&t C&de

T&tal

M"l*&&t

s

R&)te Ma'&% $&"nts 9/and Ma%s D"stan!e9+.

T&talIndent9/t%s.

,),7(

),: ;:3.1pur

1aini!1chool

charyaihar

>nit4:I. %.5ar!

*, *+*,

ROUTE5

R&)te7&.

*&&t C&de

T&talM"l

*&&ts

R&)te Ma'&% $&"nts 9/and Ma%sD"stan!e 9+.

T&talIndent9/t%s.

; );7( );:: 6:3.1

pur

2uchi!a

Mar!et

)aram

unda

?hnda

giri%hati!ia

+, (((

GROUP- 24 Study of OMFED’s Supply Chain Page +


20/45

ROUTE6

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


9+.

T&talIndent

9/t%s.

6 )67* )6:: 693.1

pur

Daman

a

1$uare

Infocit

y

5atia

2aila

y

1taion

8andan

?anan *6 *(97

ROUTE<

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


9+.

T&talIndent9/t%s.

)7+ ) ,73.1

pur

?alpan

a

1$uare

)@)

8agar

5antha

8ivas

1isupala

%arh + (9*:



21/45

ROUTE=

R&)te

7&. *&&t C&de

T&talM"l

*&&ts

R&)te Ma'&% $&"nts 9/and Ma%s

D"stan!e

9+.

T&tal

Indent9/t%s.

9 )97( )9:: ;73.1

pur

@aydev

ihar

8ayap

ali

2)I

3olony

2ental

3olony

31 pur *7 *(96

ROUTE>

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


9+.

T&talIndent9/t%s.

: ):7( ):67 +73.1

pur

@aydev

ihar

2aj

Mahal1

$yare

Old

Ton

Mahata

b 2oad +7 *,++



22/45

ROUTE 1?

R&)te

7&.

*&&t

C&de

T&talM"l

*&&ts


9+.

T&talIndent

9/t%s.

(7)

(77;

)(7:7

,93.1

pur

?alpan

a

1$uare

)@)

8agar

)adag

ada

0axi1ag

ar *: *,+(

ROUTE 11

R&)te7&.

*&&t C&deT&talM"l

*&&tsR&)te Ma'&% $&"nts 9/and Ma%s

D"stan!e9+.

T&talIndent9/t%s.

(()

((7*)

((:76*

3.1

pur

Daman

a1$ure

ditya

3are

8iladri

ihar

1ailasri

ihar (7 *,+9

GROUP- 24 Study of OMFED’s Supply Chain Page 2+


23/45

ROUTE 12

R&)te7&.

*&&t C&de T&talM"l*&&ts

R&)te Ma'&% $&"nts 9/and Ma%s D"stan!e9+.

T&talIndent9/t%s.

(*)

(*7()

(*;,:

3.1

pur

1aliasa

hi

)ara

mund

a

>nit491iripur3

ho! *+ *+6,

ROUTE 13

R&)te7&.

*&&t C&deT&talM"l


D"stan!e9+.

T&talIndent9/t%s.

(+ )(+7(

)(+9+

, 3.1

pur

ani

ihar

Metro

Toer

2amadevi

3ollege

chary

aihar

*7 *(:



24/45

2oad

ROUTE 14

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


9+.

T&talIndent9/t%s.

(,)

(,7,)

(,6++9

3.1

pur

2udrap

ur

2asu

l%arh)omi!hal

Manche

sar +, (;+9

ROUTE 15



25/45

R&)te7&.

*&&t C&deT&talM"l


D"stan!e

9+.

T&talIndent9/t%s.

(;)

(;7+

)(;,9

*;3.1

pur

)apuji

8agar

1isu)ha

ban

ir5ort

2oad

5o!haripu

t +, (696

ROUTE 16

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


T&talIndent9/t%s.

(6)

(67(

)

(6+;*

3.1

pur

?eshari

Tal!ies>nit4:

5M%

1$uar

e

)udhesari

3olony ** *((6

ROUTE ; 1<



26/45

R&)te7&.

*&&t C&de

T&talM"l*&&t

s


T&talIndent9/t%s.

()

(7()

(+7*

3.1

pur

anii

har

2upali

1$uare

1atya

8agar

?haravela

8agar ** (:77

ROUTE ; 1=

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


T&talIndent9/t%s.

(9)

(97()

(9:+,

3.1

pur

@agama

ra

@adupu

r Dumuduma

5atra

pada ,9 (;*

ROUTE ; 1>



27/45

R&)te7&.

*&&tC&de

T&talM"l

*&&ts


T&talIndent9/t%s.

(:)

(:7(

)(:*9

(3.1

5ur

2asul

%arh5alasuni &anspal

%autam

8agar +, (,9;

ROUTE ; 2?

R&)te 7&.

*&&tC&de

T&talM"l

*&&ts


T&talIndent9/t%s.

*7)

*77(

)*7;;

,(

3.

1

5ur

5ati

a

Fortune

Toer

I23

illag

e

)ara

mund

a

@agama

ra +6 *;*

ROUTE ; 21

GROUP- 24 Study of OMFED’s Supply Chain Page 2/


28/45

R&)te7&.

*&&tC&de

T&talM"l

*&&ts


T&talIndent9/t%s.

*()

*(7(

)*(,9

,;3.1

5ur

1ali1a

hi

?handa

%iri

@agamar

a

5o!haripu

t +9 *(*;

ROUTE ; 22

R&)te7&.

*&&tC&de

T&talM"l

*&&ts


T&talIndent9/t%s.

**)

**(7

)**;

*,3.1

5ur

0axmi

ihar &anspal

0axmi1a

gar

)udha

8agar ,9 (9*

ROUTE ; 23

GROUP- 24 Study of OMFED’s Supply Chain Page 2,


29/45

R&)te7&.

*&&tC&de

T&tal

M"l*&&ts


T&talIndent9/t%s.

*+)

*+7

(

)*+*

9

*73.1

5ur

?IIT

1$uare

Damana

1$uare

?handa%

iri5atrapada

,* **,(

ROUTE ; 24

R&)te7&.

*&&tC&de

T&talM"l

*&&ts


T&talIndent9/t%s.

*,)

*,7

(

)*,*

+

*+3.1

5ur

11

8agar

Manches

ar

Mausim

a 3ha!a

@harapad

a +* (9*,

ROUTE ; 25



30/45

R&)te7&.

*&&tC&de

T&talM"l

*&&ts


T&talIndent9/t%s.

*;)

*;7(

)*;+:

,(3.1

5ur

I23

illage?olathia

5atrapad

a

?alinga

ihar ;* *(+*


Detailedlist o i.uid Milk Distri%ution o OFM#D in (hu%anes/ar City


31/45

8%2 ,E-&CLE FLEE! SC-EDL&G

The ehicle Fleet 1cheduling problem is to obtain a simple method hich ill determine

a near optimum set of routes by means of hich the vehicles at a depot might supply

the customers ith their respective loads. 1ince e are concerned ith the decision

rules to be applied and the relative merits of different sets but not the lesser practical

details e shall assume that the problem can be described as follos.

There are k customers P 1,P 2 ..., P k to be supplied from depot P 0 ith one type of goods.

He assume that customer P i re$uires $uantity Qi and is situated at location (x i , y i ). t the

depot there is an unlimited supply of vehicles of capacity Q- hich is therefore the

maximum total load for any route to be formed. mileage alloance may be made for

each call and the total mileage of any route must not exceed a stated maximum. In all

cases the optimum solution ill be regarded as that hich minimi"es the number of

routes


32/45

8%0 ,isual Met9od

The method is termed @V"s)al@ because the routes have been obtained by visual

inspection of customer locations on a map. 1o far as one can judge- the routes obtained

are the optimum set in each case. great deal more time than ould normally be

alloed as used to find these solutions. The logics of this method are not easy to

explain and are subjective and flexible in nature. Most planners ould agree to start

ith customers at extreme points in the area to avoid long journeys to single customers-

and to minimi"e added mileage as each customer is allocated. 1imultaneous

assessment of a number of routes is also a feature.

)y applying visual method e can also able to#

M"n"+"e te !&st

M"n"+"e t&tal d"stan!e t%a,eled

Ma("+"e te %&"t

8% Distri"ution route minimi:ation o# OMFED usin; visual

met9od

)y the research and use of road map it seems that there are several distribution routescover same retail point repeatedly. )y using road map of )hubanesar city I found out

that some of the distribution routes might be merged ith one another. This process

results in covering more retail points ith minimum transportation cost. It helps to

reduce the use of available vehicles also.

These folloing routes might be merged#

R&)te n&. 5 and R&)te n&.1=

R&)te n&. = and R&)te n&. 11

R&)te n&.14 and R&)te n&. 1>

R&)te n&.15 and R&)te n&. 1<

R&)te n&.22 and R&)te n&. 24



33/45

These mergers of routes based upon the short amount of mil! distributed and the

distance of the route cover by the vehicle.

ROUTE 7O. 5 and ROUTE 7O.1=

R&)te 7&.

*&&t C&deT&talM"l

*&&ts


T&talIndent9/t%s.

; );7( );:: 6:3.1

pur

2uchi!

a

Mar!et

)aramu

nda

?hnd

agiri%hati!ia

+, (((

(9)

(97()

(9:+,

3.1

pur

@agamar

a

@adup

ur

Dumudum

a

5atra

pada ,9 (;*



34/45

Ate% R&)te Me%-"n-B

T&tal M"l*&&ts


T&talIndent9/t%s.

(,+3.1

pur

)aramund

a

%hati

!ia

?handa

%iri

@aga

mara

Dumu

duma

5atra

pada ,9 +,6+

ROUTE 7O. = and ROUTE 7O. 11

R&)te 7&.

*&&t C&de

T&talM"l

*&&ts


T&talIndent9/t%s.

9)97

()9:: ;7

3.1

pur

@aydev

ihar

8ayap

ali

2)I

3olony

2ental

3olony-

31 pur *7 *(96

(()

((7*)

((:76*

3.1

pur

Daman

a1$ure

ditya

3are

8iladri

ihar

1ailasri

ihar (7 *,+9



35/45

Ate% R&)te Me%-"n- B

T&tal M"l*&&ts


T&talIndent9/t%s.

((*

3.

1

pur

8iladri

ihar

@ayde

vihar

8ayapalli

3)I

3olon

y

2ental

3olony

1ailashre

eihar ** ,6*,

ROUTE 7O.14 and ROUTE 7O. 1>

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


9+.

T&talIndent9/t%s.

(,)

(,7,)

(,6++9

3.1

pur

2udrap

ur

2asu

l%arh)omi!hal

Manch

esar +, (;+9

(:)

(:7()

(:*9(

3.1

5ur

2asul

%arh5alasuni &anspal

%auta

m

8agar +, (,9;



36/45

Ate% R&)te Me%-"n-B

T&talM"l


D"stan!e 9+.

T&talIndent9/t%s.

;;

3.1

5ur

2udrapu

r

5alasu

ni

2asulgar

h

Manch

esar

)omi!ha

l

%autam

8agar ,6 +7*+

ROUTE 7O.15 and ROUTE 7O. 1<

R&)te7&.

*&&t C&de

T&talM"l

*&&ts


T&talIndent9/t%s.

(;)

(;7+)

(;,9*;

3.1

pur

)apuji

8agar

1isu)h

aban

ir5ort

2oad5o!hariput

+, (696

()

(7()

(+7*

3.1

pur

anii

har

2upali

1$uare

1atya

8agar

?haravela

8agar ** (:77



37/45

Ate% R&)te Me%-"n- B

T&tal M"l*&&ts


T&talIndent9/t%s.

;*3.1

5ur

aniih

ar

2upali

1$uar

e

1atya

8aga

r

?haravel

a 8agar

)apuji

8agar

ir

5ort

5o!hari

put + +;96

ROUTE 7O.22 and ROUTE 7O. 24

R&)te7&.

*&&tC&de

T&talM"l

*&&t

s


T&talIndent9/t%s.

**)

**(7

)**;

*,3.1

5ur

0axmi

ihar &anspal

0axmi1aga

r

)udha

8agar ,9 (9*

*,)

*,7(

)*,*+

*+3.1

5ur

11

8agar

Manches

ar

Mausim

a 3ha!a

@harapad

a +* (9*,

GROUP- 24 Study of OMFED’s Supply Chain Page 8/


38/45

Ate% R&)te +e%-"n- B

T&talM"l

*&&ts


9+.

T&talIndent9/t%s.

,3.1

5ur

0axmi

ihar

11

8agar

Manches

ar &anspal

@harapad

a

Mausima

3ha!a +; +6:6


39/45

There are several routes or retail points hich are repeated in the distribution

routes.

There are no alternate ays available for the distribution of mil! and mil!

products direct to the consumer.

1ome of the distribution routes cover very less distance- hich causes a lo

profit generating routes for the company.

3ustomer must leave home to buy and come to the retail points for their need.

There is no facility available for customer to get the product at their door step.

OMFED does not give emphasis about the promotion of the products.

5resence of strong competitors li!e a+aden) M"l# M&& A+)l 7a,a

ee,an $%","%a' are the greatest threat for OMFED.



40/45

=% SGGES!&OS /D ECOMMED/!&OS

In order to survive in todays mar!et environment- companies should ma!e sure that

their products reach the mar!et effectively at minimal cost. 1ingle method of distribution

of a companys products is not self4sufficient to survive in the mar!et.

There are several suggestions given belo for the alternate ays off distributions#

1. Estal"s+ent /"0)"d M"l Vend"n- Ma!"nes.2. $%&,"d"n- Se%,"!e O /"0)"d M"l Vend"n- Van3. &+e Del",e%# F&% Re-)la% C)st&+e%s

=%$ Esta"lis9ment Li>uid Milk ,endin; Mac9ines

system of retailing pasteuri"ed mil! through automatic vending machines has been

introduced successfully in to countries- India C Mexico. It is a system hich does not

involve retail pac!aging by the mil! plant as the consumer provides his on container

and so eliminates one of the substantial items of cost in providing the consumer ith

pac!aged safe mil!. nother important characteristics tending to reduce cost are that

the mil! plant sells direct to the consumer and that the mil! is handled in bul! up to the

point of retail sale. This fresh mil! vending machine is ideal for city s$uares or locations

hich ould house this more permanent structure. It also helps to deduct the pac!aging

cost.

The system described and its features are as follos. In India- refrigerated and

pasteuri"ed mil! is delivered by tan!er to the vending station hich structure is shon

on next page.



41/45

A 3ustomers vessel

* 5ush4button panel

C Mil! tan!

D 3I5 vessel

E 2oom refrigeration unit

F Filling and 3I5 pump

G Measuring bea!er having a flo sitch control

1olenoid valve

*ene"ts :

(. Instant distribution*. 0o transportation expenses+. Increase brand aareness,. Increase availability of the product;. 2ound the cloc! service6. 0ess human effort


42/45

=%2 Providin; Service o# Li>uid Milk ,endin; ,an

The European mobile van as shon in the figure belo- has a fresh mil! vending

machine on the side- and can travel to different select destinations. It says AT%)e RaH

M"lA on the van/s side. It can be driven to 1treets- festivals- village mar!ets- and fairs

here consumers eagerly aait for its appearance. It can travel to events here people

ould love to have a fresh glass of enlivening ra mil! bursting ith friendly bacteria

and highly pri"ed en"ymes. In fact- these vans ill even ma!e most selling street

distributions.

*ene"ts :

(. Ensure supply of fresh and good product*. Hith less expense giving maximum efficiency+. Decreased distribution channel promises maximum profit,. ct as a mobile suggestion box;. 0ess expense in promotional activity6. 3ould be extended to other OMFED products in due time. Excellent cross selling opportunity



43/45

=%0 -ome Deliver? #or Customers

OMFED has retail points all over )hubanesar- but the booth does not deliver products

to consumers. 3onsumers have to go and buy the products from retailers. &ome

Delivery aims to provide the direct to home channel for OMFED mil! and mil! products.

5eople can sit at home and order from home instead of visiting the booths. The various

consumer- those are purchasing mil! for their family on daily basis they can get

benefited. lso by applying this techni$ues OMFED can able deduct retailer/s margin

and dependency on retailers ill also be decrease.

M&te% Da"%#- a holly oned subsidiary of 8ational Dairy Development )oard


44/45

@%COCLS&O

OMFED is one of the prominent organi"ations in cooperative sector in the state of

Odisha hich is running on profit year after year. The )hubanesar diary has proved

itself to be a profit ma!ing plant of OMFED. OMFED/s distribution of mil! and related

product is undoubtedly clear4cut to its !ind. The company is also ta!ing utmost care of

its various customers. The mil! and related products are highly accepted among the

consumers.

s OMFED is losing a considerable amount of retailers and customers to its

competitors- it has become imperative to sic! out alternate distribution channels. If

implemented successfully these alternate channels ould not only result in reducing

overall cost but also give OMFED a ne and improved edge in this cut throat

competition era.



45/45

*&*L&OG/P-.1. arke!ing anagemen!, P"illi# $o!ler , 1%!" &di!ion, Pear'on Pli*a!ion, anaging

+e!ailing, "ole'aling and -ogi'!i*'

2. +e'ear*" e!"odology, e!"od' and e*"ni/e' (e*ond +ei'ed &di!ion), . +.

$o!"ari, 3e4 5ge In!erna!ional Pli'"er.

6. Fndamen!al of ##ly "ain anagemen!,20117r.7a4eil89en!' Pli'"ing

5#'.

%. 9e"i*le Flee! *"edling #li'"ed y 7an!zig and +am'erl in 1:;:.

;. 9e"i*le Flee! *"edling #li'"ed y larke and rig"!2 in 1:>444.google.*o.in

"!!#'=>>ma#'.google.*o.in>ma#'?"l@en

"!!#=>>en.4iki#edia.org>4iki>Qali!a!ieAre'ear*"

"!!#=>>444.fao.org>do*re#>006>xB

omfed report

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