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COMPANY PROFILE INTRODUCTION Mother Dairy was set up in 1974 under the Operation Flood Programme. A wholly owned company of the National Dairy Development Board (NDDB). Mother Dairy manufactures, markets & sells milk and milk products under the Mother Dairy brand (Milk, Cultured Products, Ice Creams, Paneer and Ghee), Dhara range of edible oils, Safal range of fresh Fruit & vegetables, Frozen Vegetables, Processed Fruit & Vegetable Products, Fruit Pulps & Concentrates in bulk aseptic packaging and fruit juices at a national level through its sales and distribution networks for marketing food items.

Mother Dairy sources significant part of its requirement of liquid milk from dairy cooperatives. Similarly, Mother Dairy sources fruits and vegetables from farmers / growers associations. Mother Dairy also contributes to the cause of oilseeds grower cooperatives that manufacture/ pack the Dhara range of edible oils by undertaking to nationally market all Dhara products. It is Mother Dairys constant endeavour to ensure that milk producers and farmers regularly and continually receive market prices by offering quality milk, milk products and other food products to consumers at competitive prices and uphold institutional structures that empower milk producers and farmers through processes that are equitable. At Mother Dairy, processing of milk is controlled by process automation whereby state-ofthe-art microprocessor technology is adopted to integrate and completely automate all functions of the milk processing areas to ensure high product quality/ reliability and safety. Mother Dairy is an ISO 9001:2008 (QMS), ISO 22000:2005 (FSMS) and ISO 14001:2004 (EMS) certified organization. Mother Dairy has Certificate of Approval from Export Inspection Council of India also. Moreover, its Quality Assurance Laboratory is certified by National Accreditation Board for Testing and Calibration Laboratory (NABL)-Department of Science and Technology, Government of India.

Mother Dairy markets approximately 3.2 million litres of milk daily in the markets of Delhi, Mumbai, Saurashtra and Hyderabad. Mother Dairy milk has a market share of 66% in the branded sector in Delhi where it sells 2.5 million litres of milk daily and undertakes its marketing operations through around 1400 retail outlets and over 1000 exclusive outlets of Mother Dairy.

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The company derives significant competitive advantage from its unique distribution network of bulk vending milk booths, retail outlets and mobile units. Mother Dairy ice creams launched in the year 1995 have shown continuous growth over the years and today boasts of approximately 62% market share in Delhi and NCR. Mother Dairy also manufactures and markets a wide range of dairy products that include Butter, Mishti Doi, Paneer, Dahi, Ghee, Cheese, UHT Milk, Probiotic Products, Lassi & Flavoured Milk and most of these products are available across the country.

Safal is the market leader in the organized fruit & vegetable retail business in Delhi NCR where it sells an average of 300 MT/day through a network of 350+ exclusive retail outlets under brand name Safal/ Safal Pure Veg, supported by a state-of-the-art large and ultramodern Central Distribution Facility located in Delhi with an annual capacity to handle and process 2,00,000 MT of fresh fruits and vegetables. Safal today operates the largest number of F&V Stores in Delhi NCR and has further expansion plans in place. Retail Outlets are also present in Bangalore under the brand name Safal Daily Fresh.

Safal has a prominent presence in Export market spread across 40 countries viz., USA, Europe, Russia, Middle East, Asia and Africa and exports Fresh Fruits & Vegetables (Grapes, Banana, Gherkin, Onion, etc.), Fruit Pulp & Concentrate, Frozen Fruits & Vegetables, etc. A state-of-the-art fruit processing plant of fruit handling capacity of 15,000 MT annually, setup in 1996 at Mumbai supplies quality products in the international market. With increasing demand another state-of-the-art fruit processing plant has been set up at Bangalore with fruit handling capacity of around 50,000 MT annually.

The Dhara range of edible oils is marketed by Mother dairy. Today it is one of the leading brand of edible oils and is available across the country in over 2, 00,000 outlets. The brand is known for its PURITY and focuses on the indigenous oil. The brand is currently available in the following variants: Refined Vegetable Oil , Refined Soybean Oil, Refined Sunflower Oil, Refined Rice Bran Oil, Kachi Ghani Mustard Oil and Filtered Groundnut Oil. Mother Dairy has over the past 3 decades, harnessed the power of farmer cooperatives to deliver a range of delicious products and bring a sMother Dairy has over the past 3 decades, harnessed the power of farmer cooperatives to deliver a range of delicious products and bring a smile on your face.mile on your face.

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VISION AND MISSION Vision: Provide quality food and beverages to consumers at affordable prices while ensuring fair returns to the producers. Mission: Mother Dairys heritage is intrinsically linked to the cooperative movement in India. With determination & pride we will continue to serve our farmers, rural India & our consumers. Our values reflect who we are & what we firmly believe in.

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PRODUCTS OF MOTHER DAIRY

Milk

Ice cream

Edible oils

Juices, Energy Drinks, Fruit Beverages

Processed Food

Grocery

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Frozen

Fruits

Vegetables

Dairy products

Dahi

Lassi

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PLANTS AT MOTHER DAIRY

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PLANT LOCATION MEANING AND DEFINITION Plant location may be understood as the function of determining where the plant should be located for maximum operating economy and effectiveness. The selection of a place for locating a plant is one of the problems, perhaps the most important, which is faced by an entrepreneur while launching a new enterprise. A selection on pure economic considerations will ensure an easy and regular supply of raw materials, labour force, efficient plant layout, proper utilization of production capacity and reduced cost of production. An ideal location may not, by itself, guarantee success; but it certainly contributes to the smooth and efficient working of an organization. A bad location, on the other hand, is a severe handicap for any enterprise and it finally bankrupts it. It is, therefore, very essential that utmost care should be exercised in the initial stages to select a proper place.

NEED FOR SELECTION OF LOCATION The need for the selection of the location may arise under any of the following conditions: When the business is newly started; The existing business unit has outgrown its original facilities and expansion is not possible; hence a new location has to be found; The volume of business or the extent of market necessitates the establishment of branches; A lease expires and the landlord does not renew the lease; and Other social or economic reasons; for instance, inadequate labor supply, shifting of the market etc.

FACTORS AFFECTING LOCATION Raw materials availability

The source of raw materials is one of the most important factors influencing the selection of a plant site. This is particularly true for the sulphuric acid plant because large volumes of sulfur are consumed in the process which will result in the reduction of the transportation and storage charges. Attention should be given to the purchased price of the raw materials, distance from the source of supply, freight and transportation expenses, availability and reliability of supply, purity of raw materials and storage requirements.

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Location

The location of markets or intermediate distribution centres affects the cost of product distribution and time required for shipping. Proximity to the major markets is an important consideration in the selection of the plant site, because the buyer usually finds advantageous to purchase from near-by sources. In case of sulphuric acid plant, the major consumers are fertilizer industries and hence the plant should be erected in close proximity to those units.

Availability of suitable land

The characteristics of the land at the proposed plant site should be examined carefully. The topography of the tract of land structure must be considered, since either or both may have a pronounced effect on the construction costs. The cost of the land is important, as well as local building costs and living conditions. Future changes may make it desirable or necessary to expand the plant facilities. The land should be ideally flat, well drained and have load-bearing characteristics. A full site evaluation should be made to determine the need for piling or other special foundations.

Transport

The transport of materials and products to and from plant will be an overriding consideration in site selection. If practicable, a site should be selected so that it is close to at least two major forms of transport: road, rail, waterway or a seaport. Road transport is being increasingly used, and is suitable for local distribution from a central warehouse. Rail transport will be cheaper for the long-distance transport. If possible the plant site should have access to all three types of transportation. There is usually need for convenient rail and air transportation facilities between the plant and the main company head quarters, and the effective transportation facilities for the plant personnel are necessary.

Availability of labours

Labours will be needed for construction of the plant and its operation. Skilled construction workers will usually be brought in from outside the site, but there should be an adequate pool of unskilled labours available locally; and labours suitable for training to operate the plant. Skilled tradesmen will be needed for plant maintenance. Local trade union customs and

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restrictive practices will have to be considered when assessing the availability and suitability of the labours for recruitment and training. Availability of utilities The word utilities is generally used for the ancillary services needed in the operation of any production process. These services will normally be supplied from a central facility and includes Water, Fuel and Electricity which are briefly described as follows:

1. Water The water is required for large industrial as well as general purposes, starting with water for cooling, washing, steam generation and as a raw material in the production of sulphuric acid. The plant therefore must be located where a dependable water supply is available namely lakes, rivers, wells, seas. If the water supply shows seasonal fluctuations, its desirable to construct a reservoir or to drill several standby wells. The temperature, mineral content, slit and sand content, bacteriological content, and cost for supply and purification treatment must also be considered when choosing a water supply. Demineralised water, from which all the minerals have been removed is used where pure water is needed for the process use, in boiler feed. Natural and forced draft cooling towers are generally used to provide the cooling water required on site.

2. Electricity Power and steam requirements are high in most industrial plants and fuel is ordinarily required to supply these utilities. Power, fuel and steam are required for running the various equipments like generators, motors, turbines, plant lightings and general use and thus be considered as one major factor is choice of plant site.

Environmental impact and effluent disposal Facilities must be provided for the effective disposal of the effluent without any public nuisance. In choosing a plant site, the permissible tolerance levels for various effluents should be considered and attention should be given to potential requirements for additional waste treatment facilities. As all industrial processes produce waste products, full consideration must be given to the difficulties and coat of their disposal. The disposal of toxic and harmful effluents will be covered by local regulations, and the appropriate

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authorities must be consulted during the initial site survey to determine the standards that must be met.

Local community considerations The proposed plant must fit in with and be acceptable to the local community. Full consideration must be given to the safe location of the plant so that it does not impose a significant additional risk to the community.

Climate Adverse climatic conditions at site will increase costs. Extremes of low temperatures will require the provision of additional insulation and special heating for equipment and piping. Similarly, excessive humidity and hot temperatures pose serious problems and must be considered for selecting a site for the plant. Stronger structures will be needed at locations subject to high wind loads or earthquakes.

Political and strategic considerations Capital grants, tax concessions, and other inducements are often given by governments to direct new investment to preferred locations such as areas of high unemployment. The availability of such grants can be the overriding consideration in site selection.

Taxation and legal restrictions: State and local tax rates on property income, unemployment insurance, and similar items vary from one location to another. Similarly, local regulations on zoning, building codes, nuisance aspects and others facilities can have a major influence on the final choice of the plant site.

SELECTION OF THE LOCATION FOR MOTHER DAIRY The main objective of the selection of the Mother dairy location is to receive the raw and excess milk from farmers and unions. So that all the excess milk can be processed and used for the all other purposes. As this site is situated in Ahmedabad and Gandhinagar Highway it has access to rail road and air as well. As one of the objective is to export the excess milk to other countries.
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As any industry will require water and electricity for the efficient functioning of the industry, Mother Dairy has its own recourses of water supply as well as electricity supply.

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PLANT LAYOUT MEANING AND DEFINITION Plant layout refers to the arrangement of physical facilities such as machines, equipment, tools, furniture etc. in such a manner so as to have quickest flow of material at the lowest cost and with the least amount of handling in processing the product from the receipt of raw material to the delivery of the final product.

OBJECTIVES OF GOOD PLANT LAYOUT A well designed plant layout is one that can be beneficial in achieving the following objectives: Proper and efficient utilization of available floor space Transportation of work from one point to another point without any delay Proper utilization of production capacity. Reduce material handling costs. Utilize labor efficiently Reduce accidents Provide for volume and product flexibility Provide ease of supervision and control Provide for employee safety and health Allow easy maintenance of machines and plant. Improve productivity

TYPES OF LAYOUT There are mainly four types of plant layout: Product or line layout Process or functional layout Combined or group layout Fixed position or location layout

(1) PRODUCT OR LINE LAYOUT In this type of layout the machines and equipment are arranged in one line depending upon the sequence of operations required for the product. It is also called as line layout. The material moves to another machine sequentially without any backtracking or deviation i.e. the

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output of one machine becomes input of the next machine. It requires a very little material handling. It is used for mass production of standardized products.

ADVANTAGES OF PRODUCT LAYOUT Low cost of material handling, due to straight and short route and absence of backtracking Smooth and continuous operations Continuous flow of work Less inventory and work in progress Optimum use of floor space Simple and effective inspection of work and simplified production control Lower manufacturing cost per unit

DISADVANTAGES OF PRODUCT LAYOUT Higher initial capital investment in special purpose machine (SPM) High overhead charges Breakdown of one machine will disturb the production process. Lesser flexibility of physical resources.

(2) PROCESS LAYOUT In this type of layout the machines of a similar type are arranged together at one place. This type of layout is used for batch production. It is preferred when the product is not standardized and the quantity produced is very small.

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ADVANTAGES OF PROCESS LAYOUT Lower initial capital investment is required. There is high degree of machine utilization, as a machine is not blocked for a single product. Overhead costs are relatively low Breakdown of one machine does not disturb the production process. Supervision can be more effective and specialized. Greater flexibility of resources.

DISADVANTAGES OF PROCESS LAYOUT Material handling costs are high due to backtracking More skilled labor is required resulting in higher cost. Work in progress inventory is high needing greater storage space More frequent inspection is needed which results in costly supervision

(3) COMBINED LAYOUT A combination of process & product layout is known as combined layout. Manufacturing concerns where several products are produced in repeated numbers with no likelihood of continuous production, combined layout is followed

(4) FIXED POSITION OR LOCATION LAYOUT Fixed position layout involves the movement of manpower and machines to the product which remainsstationary. The movement of men and machines is advisable as the cost of moving them would be lesser. This type of layout is preferred where the size of the job is bulky and heavy. Example of such type of layout islocomotives, ships, boilers, generators, wagon building, aircraft manufacturing, etc.

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ADVANTAGES OF FIXED POSITION LAYOUT Investment on layout is very small. Layout is flexible as change in job design and operation sequence can be easily incorporated. Adjustments can be made to meet shortage of materials or absence of workers by changing thesequence of operations.

DISADVANTAGES OF FIXED POSITION LAYOUT As the production period being very long so the capital investment is very high. Very large space is required for storage of material and equipment near the product. As several operations are often carried out simultaneously so there is possibility of confusion and conflicts among different workgroups.

PLANT LAY OUT OF MOTHER DAIRY In mother dairy there are six plants of six products located in the same location. Plant layout of mother dairy is Product Lay out, as all the products are manufactured in different cells. The all six products have different assembly lines. Starting from Raw material to packaging of product the entire production process is fully automated with art of state machinery imported from Italy, Sweden, and China. So it has its own advantages and disadvantages.

ADVANTAGES Low cost of material handling, due to straight and short route and absence of backtracking

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Smooth and continuous operations Continuous flow of work Less inventory and work in progress Optimum use of floor space Simple and effective inspection of work and simplified production control Lower manufacturing cost per unit

DISADVANTAGES Higher initial capital investment in special purpose machine (SPM) High overhead charges Breakdown of one machine will disturb the production process. Lesser flexibility of physical resources.

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PROCESSING OF ICE-CREAM AND TETRAPACKED MILK

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Selection of Ingredients Toned Milk SMP When Protein Concentrate Sugar Figuring the mix Fat Protein Stabilizer Sugar Making the mix mix transfer pump Duplex Filter Homogenization of mix I stage 1500PSI II stage 500PSI Mix Heater Inlet temp. 65 70C Outlet temp. 85 5C Holding tube 25 sec. Chiller Inlet temp. 85+-5C, outlet temp. <9C. Ageing At < 9C for 4 to 6 hours. Flavor tank Continuous Freezer At -4 to -5C. Fruit Feeder machine

Packaging & Storage( at -25 to -5C)

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(1) ICE-CREAM FLOW CHART OF ICE CREAM High fat from milk process The process of ice cream starts with converting raw milk into a high fat milk. Raw milk is a milk which is directly collected from farmers and is supplied to mother dairy. High fat milk is a milk which is considered as mandatory for producing a better quality of ice cream and if high fat milk is not maintained than it would affect the quality of ice cream and even its taste.

Storage in a cream storage tank The high fat milk is stored in a cream storage tank which has a temperature of less than or equal to 10 c.If the temperature is not maintained than it would affect the milk which would results in less fat and even it would be no as per the quality required.

Pre-heating After it is being stored in a tank then it has to be pre heated before doing any further activity at a temperature of 60-70 c which benefits in destroying bacteria to a great extent. As the bacteria should be destroyed, because if it is not destroyed then it would result in health of consumers and even it would spoil the reputation of the company.

Selection of ingredients as per formulation Now, as the milk is heated for ice cream then all types of ingredients are being selected which proves to be a necessary for making an flavoured ice creams. All ingredients are selected after they are being assured by its quality, all the ingredients are different for their different flavours. All procedure of adding ingredients is done computerized.

Mixing of ingredients The necessary ingredients are collected, and then as per the flavours of ice cream ingredients are being mixed. Such ingredients are mixed and flavour is maintained. Ingredients are most important for making any product because due to that only flavours are generated and is being liked by consumers.

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Balance Tank This is a smaller open top tank of un-sterile product that keeps the system full of product at all times. If the level in this tank drops, more product is piped in to keep the level up. Now as the ingredients are mixed they are kept in a balanced tank in which minimum units are to be there in a tank.

Filtration through Duplex filter The mix is then filtered using a duplex filter in order to make the mix completely freeof extraneous matter and give the mix a smooth consistency.

Homogenization Homogenization of the ice cream mix is essential. The main purpose of homogenization is to make a permanent and uniform suspension of fat by reducingthe size of the fat globules to a very small diameter, preferably not more than 2 microns. Advantages of homogenization are It prevents fat separation during ageing Produces more uniform ice cream with a smoother texture Improves whipping ability Decrease the risk of churning occurring in the freezer and Leads to the use of slightly less stabilizer Here a pressure of 1500 psi at first stage and 500 psi at second stage is applied. Pasteurization (Heating: min. 80c/25 sec. ,cooling<=10 c) Proper pasteurization destroys all pathogenic or disease producing bacteria, there by safeguarding the health of the consumer. The advantages of pasteurization are: It renders the mix completely free of pathogenic bacteria It dissolves and helps to blend the ingredients of the mix It improves flavour It improves keeping quality It produces a more uniform product

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Chilling (min. 5 hr at<=10 c) The mix is then chilled to about 7c to facilitate ageing and after which it is pumped over to ageing vat.

Aging the mix After cooling the mix the mix is pumped to ageing tanks and it should held in ageing tanks until used. Ageing refers to holding the mix at a low temperature for a definite time before freezing. Ageing produces the following results. It improves the body and texture of ice cream Improves whipping capacity of the mix Increased maximum overrun Increases melting resistance

The purpose of this step is to allow hydrocolloids to swell, the casein to become hydrated, the viscosity to increase, the texture to become finer, to increase the resistance to melting, the whip ability to improve, fats to crystallize out and aroma to develop uniformity throughout.

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Air Incorporation and Freezing Freezing of the mix is one of the most important operations in the making of ice cream. The freezing process may be divided into two parts. The mix is quickly frozen in the freezer while being agitated to incorporate air in such a way as to produce and control formation of small ice crystals so necessary to give smoothens in body and texture and When ice cream is partially frozen, it is drawn from the freezer into packages and quickly transferred to cold storage rooms where the freezing and hardening process is completed without agitation. Fast freezing is necessary to obtain the desired small crystals which means that efficient scraping off, large temperature differences, high rpm and high heat transfer coefficients are required. The mix enters the freezer at a temperature of just above 0 C after the amount of air necessary for the required over run has been added. The exits temperatures are-3.5C to -7C depending on the required consistency of the ice cream, which in turn depends on the subsequent requirements.

Addition of Fruits, Nuts, Ripple through Freezer After freezing there is input of some fruits and nuts to have a better taste. Even those fruits and nut which are being added are assured by the quality. To have a better taste and to have a better look of an ice cream than the ordinary ice cream, nuts are added.

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(2) APS/UHT The process of APS involves various steps which starts with pasteurization and ends with dispatch to intended location.

FLOWCHART OF APS Pasteurization The process of Tetrapacking which is known as Asceptic Packaging Station (APS) or Ultra High Treatment (UHT) starts with pasteurization of milk. Generally, the milk is heated at 75 c to 78 c. This temperature is used because all the pathogenic bacteria get killed at this temperature only. If the milk is heated at a higher temperature than this, the necessary nutrients contained in the milk get destroyed. Aftrer this, the milk is immediately cooled down at 2 c to 3 c. Hence, here the pasteurization process gets completed which prevents milk free from contamination. This pasteurized milk has a self life of 2 to 3 days. In UHT, the milk is heated at a very high temperature to extend its self life to 90 to 180 days.

Quality assurance The quality assurance is done by checking samples of the prepared product at every stage of production. It is done by the experts in their in house laboratory. If the sample is found to be appropriate, it is sent for storage. If it is not upto the mark, Step 1 is repeated.

Storage Storage is done in silos which has temperature less than or equal to 10c. The silos are big containers each having capacity 1.50 lakh litre. Next, it is either sent for quality assurance or other optional steps are followed.

Pre heating This stage is optional. The aim is to make total quality management. As storage process may acquire unwanted contamination in milk, pre heating is required to make it pure and safe. By doing so, quality is maintained.

Addition of ingredients The pasteurization of milk in UHT removes essential nutrients from milk. So to make milk healthy, additional ingredients like vitamins are added.

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Pasteurization This is optional. If after addition of ingredients, the milk still contains contamination then it is pasteurized again. After this, it is cooled and stored in silos at less than or equal to 10c.

Quality assurance The quality assurance is done by checking samples of the prepared product at every stage of production. It is done by the experts in their in house laboratory. If the sample is found to be appropriate, it is sent for UHT Processing. If the quality is not as required then step 3 is repeated.

Tetra packing It is a process of packing milk in a container made of several layers. It is so made so that the milk can be stored at room temperature for longer period of upto 180 days.

Quality assurance Again the quality of the packed milk is checked. If found to be as required, then it is sent for tray packing.

Tray packing In this step, the carton containing 12 tetra packs is prepared. It is also fully automated process. If any carton is found torn or not sealed properly, a supervisor present opens it and sends it for tray packing once again. The quality at this stage is also checked.

Srink wrapping In this step, the cartons containing tetra packs are sealed all around with thin plastic. This makes it free from any type of leakage or other possible problems. It is also done because such cartons are exported also. Hence, quality is assured. This is automated as well but supervisors are there to monitor the process. After this, quality assurance is done again.

Storage at room temperature After the above steps are completed and quality is found to be upto the mark, the cartons are stored at room temperature. At this stage also, quality is checked.

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Dispatch The final step of APS is dispatching the cartons to the desired locations by using vehicles which are on contact basis.

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CIP PROCESS OF CIP Circulation of Cold water (soft)

Circulation of lye solution, 30min.

Circulation of hot water, 10min

Circulation of acid solution, 20 min

Circulation of hot water, 10 min.

Circulation of cold water.

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CRITICAL ANALYSIS Strength Mother Dairy does not have to depend on Municipal Corporation or any other Government body for the requirements of water and electricity as it has its own unit for the production of electricity. So there are very rare chances of shutdown. Mother Dairy has strategically selected location for its unit. As its products are perishable in nature so it needs very fast transportation services. It is located on Ahmadabad ,Gandhinagar Highway so all the transportation facilities like Rail, Road and Air are easily accessible to it. UHT tetra packs are the most important product in their product line. Lassi, Butter milk, Flavoured milk, Stamina drinks are packaged in tetra packs and exported to US, U.K., and all south east countries. Only 3 to3.5 kms away from Ahmedabad airport. All the processes of Mother Dairy are fully automated so it can maintain uniformity in all its products and problems related to labour are very less. The standards of quality control are high and it checks the quality at every stage of the production process. To maintain hygiene factor of the product the daily CIP process is conducted at regular intervals. Even though it takes 4-5 hours of production time to clean each and every machinery of the plant. As it follows product layout so breakdown in any one assembly line will not affect the production of other products. In winter the average capacity of receiving raw milk is 30-35lakh litres per day. So excess milk is used in production of milk powder that can be used in the production of ice cream in the summer that is lean season of milk. By this way it utilises its maximum capacity of the production plant.

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Weakness In all the products of Mother Dairy it requires processed milk as raw material and so it is processed in one part of the plant itself. So it is considered as heart of Mother Dairy. And any disruptions at this part of the plant will shut down the entire production of all products. Higher initial capital investment in special purpose machine (SPM). Mother Dairy has fully automated machinery so it has to invest a huge amount of Rs. 280crores in plant and machineries. Breakdown of the machinery at any one point of the overall production process will disturb the whole process. It takes too much time and money to make even a minor change in overall production process.

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