Producer Institution Building

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Producer Institution Building (PIB)

PIB strengthens the business through better governance and a member-centric approach. The efforts are directed to increase active membership resulting in a better economy of scale.

The PIB activities differentiate the Producer Company from the other players in the dairy sector mainly through its open and transparent governance systems and member equity equivalent to their patronage. The emphasis is to make members aware to get their milk payment directly through their bank accounts for transparency in transactions and timely milk payments apart from inculcating the habit of savings.

MPCs Core Design Principles:

  • Business only with members.
  • Active user membership & their participation in business and governance.
  • Member equity in proportion to patronage.
  • Patronage based member classes and member class representation on the Board to ensure inclusiveness in governance.
  • Appropriate mechanism for member communication and grievance redressal.
  • Professionally managed business operations and economy of a scale sufficient to ensure viability and self-sustenance at the earliest.
  • Building an efficient value chain management for maximizing returns to members.
  • Leveraging technology for information and data management to ensure transparency and deliver need based services.

Strengthening Member Relations:

The Village Contact Groups (VCG) and Member Relations Groups (MRG) are formed, from among the members of the company who are consistent in pouring milk to the MPC and have given consent to be part of these groups voluntarily.

These groups facilitate an effective two-way channel for communication between members and MPC. The aim is to build relations, resolve grievances of members, and create a sense of responsibility and belongingness among the members towards the MPC. VCG and MRG members meet to discuss and review the progress of the Milk Pooling Point (MPP) and share developments with the members. These meetings are also attended by the Company’s employees from the procurement and PIB department to facilitate interaction.

Training & Capacity Building Programs:

Members are imparted training on various awareness programs related to dairying so that they understand their roles and responsibilities.

The training programs from time to time are also organized covering potential members, women, school children, rural youths, MRGs and VCGs. Major training programs conducted since inception till 31st March 2021 are mentioned in the table below:

S.N. Training Programmes No of Participants Trained
1 Producer Awareness Programme 100581
2 Quality & Clean Milk Production 72860
3 Women Awareness Programme 45375
4 Gall-Baat (Village level training) 8473
5 MRG orientation Programme 4127
6 VCG Orientation Programme 12986
7 Leadership Development Programme for MRG 192
8 Rural Youth Awareness Programme 3074
9 Rural School Children Awareness Programme 4648
10 Trainers Training Programme 238
12 Board of Directors Training Programme 69
13 Board of Directors Exposure Visit 38

Women Empowerment:

Baani MPC has entrusted upon itself responsibility to create an environment for making rural women aware of their role in general and dairying in particular. The following interventions have been initiated to achieve the larger objective of women empowerment:

  • Women awareness programme has been started where participants are informed about their contribution in dairying and enhancing quality milk production resulting in regular income for the family
  • Women are encouraged to become members and their milk payment is transferred to their bank accounts. This may lead to enhanced decision making ability and self-dependence.
  • The company communicates about the role of women in every meeting and forum to emphasize the importance of women in dairy sector
  • Women get equal opportunities to become a part of Village Contact Group (VCG) and Member Relation Group (MRG) at the MPP (Milk Pooling Point) level.
  • Women members who consistently pour quality milk in required quantity to the MPP of the company, while fulfilling other criteria of continuing membership, have better chance than male members to induct themselves into the Board of Directors of the company. Board meetings give them excellent opportunity to learn management and governance.
  • Currently five directors of the board of MPC are women.