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Power of ICT & Success Story of SUMUL

- Satyen Naik, Manager (IT), Sumul Dairy, Surat

SUMUL’S VISION STATEMENT

“WE ARE SOCIALLY RESPONSIBLE ORGANISATION WITH COMMITMENT TO CONSUMER DELIGHT AND RESPECT FOR ALL. WE BELIEVE IN GROWTH AND CONTINUOUS IMPROVEMENT THROUGH TEAMWORK, TRUST & EXCELLENCE, WITHOUT COMPROMISING OUR HONESTY AND INTEGRITY”.

OBJECTIVES OF SUMUL

The Sumul Dairy was established with the following objectives :

  • To provide guaranteed remunerative milk market round the year for    surplus milk to milk producers in Districts.
  • To provide maximum return to milk producers in Districts.
  • To Provide good quality Milk and Milk Product to consumers
  • To increase milk productivity at most economic rate by providing technical    input services to the producers

SUMUL PERFORMANCE
PRODUCTS OF SUMUL

IT VISION

  • Provide an access to requisite information at the nearest point of work area to all associated with Sumul through integrated network

  • We will specially work to provide the facility to rural areas so that they are not deprived of latest art of information technology and make them use this information for their socio-economic development, growth and better quality of life.

Key Strategic Objectives behind Implementing the IT project

  • Rural economical and social upliftment
  • Financial freedom to rural women
  • Village social development
  • Use of latest technology at villages
  • Transparency of business to the village society
  • More realization of milk to the society member (farmer)
  • GIS (Geographic Information System) helps management for various analysis and future predictions
  • A variety of MIS reports for efficient, effective and timely decision making
  • Timely payment to farmers, retailers and vendors
  • Avoids duplication of data, saving of man power and more accuracy in data
  • Recovery is fast since outstanding available on day-to-day basis
  • Reduction in inventory cost
  • Provide the best quality of the products to our customers in time
  • Immediate resolvement of internal and external customer complaints

INFORMATION TECHNOLOGY USAGE

  • Village Level
  • Organization Level
  • Customer Level

IT USAGE AT VILLAGE LEVEL
VILLAGE SOCIETY ACCOUNTING SOFTWARE
VILLAGE SOCIETY ACCOUNTING SOFTWARE
VILLAGE CONNECTIVITY
IT USAGE AT ORGANISATION LEVEL
ONLINE INTEGRATED COMPUTERIZED SYSTEMS (OICS)
Milk Procurement System

Marketing System
MIS Report

• Cattle Feed Management :
– Raw material rate offer, confirmation and purchase of Raw material
– Goods receipt at weight bridge (Data captured at source)
– Lab analysis and quality statement
– Computerized cattle feed plant online -(batching, bagging and plant status)
– Finished product order and dispatch
– Raw material and Finished product stock available online at HO
– MIS reports

• Materials Management :
– Inventory control and purchases
– Online indent, indent approval, enquiry, quotation, quotation comparative, purchase order, material receipt and issue
– Enquiries and purchase orders can be directly sent to the vendors using E-mail
– Integrated with Financial accounting system

Cattle Feed Plant (Fully Computerized plant)

• Human Resource (HR) :

– Centralized Address Directory
• Central source for address requirement in any system
• Grouping of addresses
• Data retrieval using multi-dimensional search criteria

– Time Attendance System
• Tracking employee attendance data using biometric device (finger based)
• Same data used in payroll for salary processing

– Personnel Information System & Payroll Accounting System
• Basic information about each employee
• Supports unlimited earning & deduction parameters
• Salary Processing & Pay slip generation
• Bonus / Ex-gratia calculation
• PF & SAS passbook
• Payroll data used for Income Tax calculation

– Income Tax System
• User defined formulas
• Provisional/Estimated Income Tax statement
• Form 16, Form 24 & SARAL

Personnel Information
USAGE OF BIOMETRY

• Financial Accounting System :
– Integrated with all modules
– Automatically journal vouchers are generated from various modules like Payroll, Milk procurement, Sales and Material management systems
– Balance sheet is on-line and available to concerned users
– Online payment register
– Budget Control and Budget Vs Actual Expenditure statements, Income / Expenditure statement and Balance Sheet (as per the annual report format in English & Gujarati versions)
– Contractors E-TDS, form 16A, form 26 and various MIS reports
– Online cash collection (VPN)
– Online Payment Cycle

• Document Management System :
– Tracks all inward and outward documents
– Ease of retrieval using various search criteria
– User defined document types, dispatch modes, receipt modes, simultaneous operations on different documents and online inward and outward register maintenance
– Online Postage expenditure reports
– Bill Entry with amount

Medicine Inventory & Veterinary System

www.sumul.coop
www.b2bsumul.com
www.coop

CRITICALITY OF IT USAGE

  • Supporting all the process systems
  • Milk receiving at village level in time
  • Timely dispatch to the milk agents
  • Timely payment to the farmers
  • Timely payment to the vendors
  • Timely payment to the employees
BUSINESS ADVANTAGES

– Rural upliftment: Due to transparency in the system, the management is in a position to take decisions advantageous to the farmers. Sumul Dairy is privilege to pay ruminative milk price to the milk producer and there by providing the rural pea sons, better quality of life, employment generation and there by improve the socio economical life in rural areas. It is important here to mention that if compared worldwide the Sumul dairy is paying one of the best price to the milk producer compared with any developed dairy

– Increase in profitability: Because of MIS, management is in a position to reduce the expenditure and plan for higher productivity and optimum resource utilization e.g. reduction in milk sourage, higher milk and cattle feed sales

– Higher market share: Higher market share is achieved through Customer Care database by timely resolving the customer complaints. Zone wise population analysis and timely dispatches also helped to increase the market share

QUANTIFIABLE / NON-QUANTIFIABLE BENEFITS

  • Customer satisfaction
  • Transparency in the business from village level to the customer level
  • Quality improvement
  • Action initiation from employees
  • Less Manpower
  • Saving in Transportation
  • Reduction in inventory cost

DIRECT / IN-DIRECT COST SAVINGS

  • Less amount of time to retrieve any information (data)
  • Less Manpower
  • Less sourage of milk
  • Less paper work
  • Reduction in inventory cost
  • No duplication of data
  • Weighing loss decreased

IMPROVEMENT IN CUSTOMER SERVICE

  • Immediate resolvement of customer complaints
  • Customer survey reports are used for improvement of quality and service
  • Cash deposit by retailers at nearest cash collection centre
  • Village level complaints / issues resolved through call management system
  • Order acceptance over telephone and through Mobile SMS
  • Timely dispatches, fast payments
  • Online shop through www.sumul.coop
  • Internal call management for handling internal customers

IMPACT ON QUALITY AND PRODUCTIVITY

  • Quality of product is improved with the help of Customer Feedback    System
  • Differentiation of cow and buffalo milk is made possible
  • Reduction in sourage of milk
  • Right weighing
  • ISO 9001:2000, ISO 14001, HACCP• TQM, TPM and Kaizen
IMPACT ON SOCIETY
  • Rural economical and social upliftment
  • Financial freedom to rural women
  • Village social development
  • The Village Society accounting package is very easy to operate even by    high school drop out. A banished dependence on professional accountant    mean net saving on book keeping and accountancy expenses
  • Introduction of Internet at village level
  • More realization of milk to the society member (farmer)
  • Use of latest technology at village

IT Awards

  • Manthan-AIF Award for india’s best e-content practices 2006 Award in   ‘E- Business’ Category (www.manthanaward.com)
  • CIO 100 Awards 2005 by CIO Magazine – The Prestigious International    Information Technology, Framingham, MA, USA (www.cio.com)
  • “Intelligent Enterprise Award 2004 for exemplary use of IT” by Indian    Express group at Sri-Lanka (www.networkmagazineindia.com).
  • Runners-up award for “CSI TCS Award for Best IT Usage 2003”.
    (www.csi-india.org).
  • IMC RAMKRISHNA BAJAJ NATIONAL QUALITY AWARD, 2002.

Extracts of the citation is quoted below :
“SUMUL has developed and implemented in house information system so well integrated that it compares favorably with the best of ERPs at a fraction of the cost. All information required for decision making an analysis is available in simple structure and is well disseminated and used effectively”.

FUTURE PLANS
– Access all milk producers through the network (Portal : www.sumul.coop)
– Provide information & services required at the door step of farmer
– Bring each & every milch animal/ producers’ under recording & monitoring
– Have disease free zones & health care prevention for animals
– Easy Information Access for all customers/ producers’ & other dairy unions
– Customer service & grievance control thro’ network customer education (Distance learning)
– Integrated income (banking facility for farmers) / nutrition/ development of other income of farmer through the portal
– Vehicle Tracking System
– Implementation of Disaster Recovery site

– Village Connectivity project:
– Sumul has taken an initiative of connecting all the 1036 village Co-operative societies using wireless and leased line technologies. Recently, Sumul has connected 10 nos. Village societies and provided facilities of kiosk (VOIP phone, Internet, E-mail and video conference facility) to the village farmers. We are likely to connect all the villages societies with above facilities by year 2007.

IT Scenario
• Present Scenario – IT helps in facilitating / controlling your business operations.

• Future Scenario – IT will drive your Business.

All right reserved 2006
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