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A STUDY REPORT ON
WOMEN'S CO-OPERATIVE SHRI MAHILA
GRIHA UDYOG LIJJAT PAPAD
Dilip Karnavat (201513003)
Ram Naresh Kumar V (201121004)
• History of the organization
• Success Formula and Philosophy
• Organizational Structure and Management
• Accounts, Rewards and Quality
• Distribution and Export System
• Products and diversification
• Awards and Recognition
• Contribution to Social Services
• Shri Mahila Griha Udyog Lijjat Papad (SMGULP) , know as Lijjat
• Aim: empowering women by providing them employment opportunities
• Started in the year 1959 with a seed capital of Rs. 80
• Production turnover:
• Around Rs. 6.50 billion with Rs 290 million in export (2010)
• It provides employment to around 47,000 women (2015)
• It’s headquarter located in Mumbai and has 84 branches and 40 divisions
all over India
• SMGULP is registered under The Khadi & Village Industries Commission
History of the organization
• Started by seven Gujarati women from Mumbai
• Theyborrowed Rs 80 from Chhaganlal Karamsi Parekh, who is a social worker
• They took over a loss-making papad venture from Laxmidasbhai
• On 15 March 1959, they started with the production of 4 packets of papads.
• Chaganlal Karamsi Parekh and Dattanibappa became their guide and help them
to market their products
• They advised women to make a standard papad and asked them never to
compromise on quality
• Within three months there were about 25 women making papads
• In the first year, the organization’s annual sales were Rs. 6196.47
• By the end of the third year it had more than 300 members
• In 1962, the name Lijjat was chosen by the group for its products
• In July 1966, Lijjat registered itself as a society under the Societies
Registration Act 1860
• In the same year this organization was recognized by KVIC Act
• In 1968, first branch outside Maharashtra was established at Valod,
• In 1988, Lijjat entered the soap market with SASA detergent and soap
• It started to advertise its products through the newspapers, television
• In 1996, Lijjat started to export its products through merchant
Success Formula and Philosophy
• The vision and principles of SMGULP are based on the ideals of
• The basic principles underlying the philosophy of the organization are :
• It is a voluntary organization.
• It never accepts charity or grants.
• It believes in running the business wisely.
• The organization is neither for the poor sisters nor for the rich ones.
• It is like a family and the sisters run it as if they all belonged to the same family.
• It is like a revered place of worship.
• No one can change these basic thoughts of the organization
• Shri Mahila Griha Udyog Papad is synthesis of following three
• The Concept of Business
• The Concept of Family
• The Concept of Devotion
• All the branches of SMGULP follow these three golden rules
• All the rights of the institution must belong to sister members only
• There must be maintenance of Lijjat quality at any cost.
• There must be clean and time bounding accounting system
• It is functional type of structure
• Lijjat believes in the philosophy of sarvodaya and collective ownership
• The members are co-owners of the organization and referred to as "sisters"
• Decisions are based on consensus and any member-sister has the right to veto a
• The organization has managing committee of twenty-one members, including the
President, the Vice-President, two secretaries, and two treasures
• Sanchalikas are in-charge of various branches and divisions.
• For every three years, managing committee and sanchalikas are elected
• The authority was decentralized in terms of work and sharing of profits at the branch
• All the branches follow the same set of instructions and have similar accounting
• Area meetings of the various branches are held regularly in the concern state
• Currently, Lijjat has branches in seventeen states of India
Accounts, Rewards and Quality
• Books of accounts are easily accessible to all the member-sisters, ensuring
• Profits and losses are shared equally among the members of a given branch
• The member-sisters are also rewarded for extra efforts
• On frequently failures of a branch, the central committee reduces the daily
wages of its members by 1 rupee
• To maintain standard quality of the final product papad, the Head office
purchases and distributes all ingredients to all centers
• The committee often makes surprise visits to various branches to assure that
production conditions are hygienic
• To avoid any inconsistencies the final products are tested in Lijjat's laboratory
Products and diversification
• It manufactures several products, of which the papad is the most
famous (14 flavours)
• Other manufactured products are
• Gehu Atta,
• Bakary products,
• SASA Detergent Powder and Cake,
• SASA Liquid Detergent,
• Vadi, etc.
Awards and Recognition
• Pujya Dattanibapa Scholarship - 2014 18 Aug 2014, Pujya Dattanibapa Scholarship given to 449 children of sister -
member who achieved success in 10th & 12th Board of Exam of March 2014.
• Best Village Industries Institution 2012-13, Lijjat received National Award as 'Best Village Industries Institution for
2012-13' on 1st March 2014 at Vigyan Bhavan, New Delhi.
• Outstanding Service Organization Award 2012” was conferred to Smt Swati R. Paradkar, President of Shree Mahila
Griha Udyog Lijjat Papad by National Institution for Quality and Reliability (NIQR), Chennai. The award was given
by His Excellency, the Government of Tamil Nadu Dr. K.Rossaiah on 21st April 2012.
• Khambatta Life Time Award for 2010 was conferred to Smt. Swati Paradkar, President of Shree Mahil Griha Udyog
Lijjat Papad by All India Food Processors Association, New Delhi. The award was given by Shree Harish Rawat,
Hon’ble Minister of state for Agriculture and food Processing Industries, Government of India on 16th December
2011 at New Delhi.
• Lijjat Papad has been chosen as a power brand of 2010-11 by the Indian Consumers and received the award on
4th February 2011 at New Delhi.
• On 21st December 2005, the institution has received “The Brand Equity Award” at the hands of Hon’ble President
of India Dr. A.P.J.Abdul Kalam at New Delhi.
• In January 2003, the institution received the award for “Best Village Industries” at the hand of Hon’ble Prime
Minister Shri Atal Bihari Vajapayee at New Delhi.
• On 6thDecember 2002 the institution has received the Economic Times award of “Business Women of the year
2001-02 for Corporate Excellence”
• The institution has received an award from Khadi and Village Industries Commission as a “Best Village Industry”
for the period 1998-99 to 2000-01
Contribution to Social Services
• Undertaken different social service activities such as
• distributing nutritious food for poor children,
• donating money for conducting community marriages,
• instituting prize-money for spread of primary education,
• undertaking blood donation camps,
• organizing health camps,
• plantation drives
• donations to Government bodies.
• Members made a policy of returning a little of their income to the
institution for the welfare of the community either in the cash or kind
• http://www.lijjat.com/Organisation/TheBeginning.aspx (accessed on 30 Jan
(accessed on 30 Jan 2016)
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Leadership%20and%20Entrepreneurship.htm (accessed on 13 Feb 2016)
201.pdf (accessed on 13 Feb 2016)