ABC Lanka brands overview

ABC is one of the most successful multi-national dairy companies and a leader in dairy ingredients and consumer business. ABC is built on rich heritage of dairy expertise and passion. Today, ABC is world’s largest exporter of dairy products, largest company in New Zealand which is unlisted and is a Co-operative group owned and controlled by 11600 dairy farmers in New Zealand. Their business is based on sourcing secure, high quality milk and unlocking its natural goodness in ways that add real value to our customers and consumers around the world.

History – ABC Lanka brands Global

ABC was formed in 2001 from the merger of the two largest cooperatives; New Zealand Dairy Group and Kiwi Cooperative Dairies – together with the New Zealand Dairy Board, which had been the marketing and export agent for all the cooperatives. ABC effectively has monopoly control of the New Zealand domestic and export dairy industry. The merger was supported by the New Zealand Government with subsequent legislation deregulating the dairy industry allowing for the export of dairy products to be undertaken by any companies.

History – ABC Lanka brandsLanka (Pvt) Limited

ABC Brands Lanka (Pvt) Limited (FBL) is the Sri Lanka’s largest milk processing and milk powder packaging company and a subsidiary of ABC Co-operative group. The market share of ABC is approximately 50% of total dairy market in Sri Lanka.


The natural source of dairy nutrition for everybody, everywhere, every day.


Delighting consumers through dairy products that are nutritious, innovative and taste.

Values of the company

  • Co-operative spirit
  • Do what’s right
  • Challenge boundaries
  • Make it happen

Organizational chart of ABC Brands Lanka (Pvt) Ltd

Major role of the operations is to manufacturing high quality product for minimum cost. All the supporting and key functions, Milk procurement, Production, Quality Assurance, Supply Chain and Engineering and Maintenance are grouped together under the division.



Human Resource Management (HRM)

Human Resource has evolved from many terms and functions such as human capital, laborers, personnel and currently human resources. The few changes in these terms also mean changes in the way human resource managers plan their strategies in managing employees. The evolution of Human Resource Management has progressed through the ages from times when people were abused in slavery working conditions to the modern environment where people are valued and respected and viewed as strategic partners to business.

Human resources is a term with which many organizations describe as the combination of traditionally administrative personnel functions with performance, employee relations and resource planning. Human Resource Management (HRM) are the policies and practices involved in carrying out the “people” of human resource aspects of managing position, including recruiting, screening, training, rewarding and appraising.

HRM Planning

Job description (JD)

A job description (JD) is a detailed definition of the duties and requirements of a particular Job.

Shift Lead (Powder Plant) – Sri Lanka-25966


Our Operations Team is looking for a Shift Lead to support the Powder Plant operation to strengthen our effort in providing the best dairy nutrition to Sri Lankan consumers.

Job Profile

  • Effectively handling powder blending & repacking process
  • Managing entire shift effectively to achieve set KPI
  • Preparing daily documents, update KPI & conduct RCA when required
  • Fulfilling H&S, quality & productivity requirements
  • Working closely with relevant stakeholders to maintain smooth operation
  • Looking for continuous improvements opportunities within the plant

• Engaging & motivating shop-floor employees in order to get maximum output

Fonterra job descreption

Most of the job descriptions are directed towards the collective effort and team work, progressive improvement of the employee’s career path, effectiveness and soft skills needed for the particular job. As the job descriptions address and attract a particular group of people who are having the abilities mentioned in JD would be engage in the recruitment and selection process of the job. Whoever the succeeded will be competent in achieving production goals efficiently, will inculcate organizational cultures within person and will succeed as he reaches higher levels of his career path.


Job specification (JS)

Qualifications for Shift Lead (Powder plant)

  • Diploma in Engineering/ Science/ Operations Management
  • 3+ years’ experience at a supervisory level in a manufacturing facility
  • Eager to learn & develop with fast learning ability
  • Good leadership, communication, presentation & analytical skills
  • Willingness to drive Operations Excellence & Continuous Improvement activities
  • Fluencyin English language & MS office software

Job specification describes the knowledge, skills, education, experience and abilities that are essential to perform a job.

As ABC holds a popular brand name, there is a high demand for ABC jobs. Since the demand was high ABC also demands higher educational skills for their jobs while similar jobs in other companies’ demands lower than them. Though they are capable of recruiting exceptional employees as their working environment, wages and other rewards are attractive for the employees.

Job Evaluation (JE)

Job evaluation is a systemic method used to determine the monetary value of jobs. ABC uses the market rate/ Going rate method to evaluate jobs. They get use of the hired and independent salary survey companies’ data. Then they evaluate the levels of jobs and duties each position handles in ABC. A comparison was made with the same level jobs in competitive firms and salaries are compared accordingly. Thereby they decide the monetary value of the relevant job. Sometimes they offer higher wages to obtain outstanding employees.

Recruitment and Selection

There are 05 interviews before recruit the person in to a ABC family. Mostly they are considered to fill gaps with their employees if not be sure to calling outsiders and interviewing them before selection. The process of searching for prospective employees in to FBL and stimulating them to apply for jobs in the ABC Brand Lanka PVT Ltd. Objective of this recruitment develop and maintain adequate manpower resources in the FBL, with the required skill, upon which the organization can depend when it needs personnel.

As internal: This includes personnel already on the pay-roll of the organization. All of members who are in same positions are graded according to their talents. All of them to be prepared to not only being appreciated but also being reluctant by upper level of the company.

Employee branding is done by Employee relations unit. Naming the top employer.

There are some special practices which can be cause to encourage the employees such as:

  • Promotion

Person who is reliable to an upper level than current working position then that person will be get this opportunity while encouraging a trust bond with the organization.

  • Transfer

Person who can be better work in another division or unit than current position after realizing those employees are applied to other potential positions.

As external: This refers to prospective candidates outside the enterprise. Organize a career day in universities. Giving permission to held discussions with university students’ relevant subject related programs. Arranging the plant visit programs for school children as well as higher education/ University students.

FBL used some external sources as recruitment such as:

  • Advertising
  • Employment agencies (manpower)
  • Educational recommendations
  • Government basis: Universities, National Vocational Qualification institute etc.
  • Private basis: SLLIT, NIBM, Aquianas, NSBM ect.

Process of the recruitment and selection

Looking job descriptions in to particular person specifications with required skills.

Advertising the job in websites and news-papers.

Organizing ‘career day’ for selecting persons as mid-career level.Facilitate the in-plant training and internship programs while giving some money to encourage their skills further.

Assess the effectiveness of the recruitment process while encouraging prospective candidates to apply.


  • Receiving application forms and CV’s of them.
  • Interviewing of applicants.
  • Persons are selected to the FBL family through several interviews.
  • Medical examination.
  • Reference checks.
  • Offer of employment.
  • Contract basis until permanent in to a position.

Compensation and Reward Management

Compensation can be defined as all of the rewards earned by employees in return for their labor.

‘Hire to Retire’ concept is run under this practice. ABC family members can be resignation after 55years of their age with ETF and EPF according to government acts.

Performance Management of Employees

Performance of employees is managed under several units in Department of Human Resource Management. The managers of Employee Relation unit, Business Partnering unit are responsible for mange the performance of employees.

Employee Relation manager in the human resource department in the company who closely work with employees, discuss with them about their task and the matters which they have to face when do the job. Then help to solve that matters leads to smooth work flow. Manger of the Business partnering unit helps to combine the other departments in the company with human resource department to improve the performance in the company. Therefore they can identify the problems as well as progress of those departments. According to their needs set training programs for them by the Organization development manager.

Here performances review bi-annually and annually. Other than that they arrange monthly review meetings as well. The employees who perform well, they are appreciated in the monthly meeting. When employees have problems they advert for counseling. They have counselors in the company and according to need they may advert employees to professional counselors in the outside as well. Consider about the need company provide coaching for employees. And monitor the progress in the monthly meeting.

Due to the harvesting time in the New Zealand set their financial year. It starts in 1st of August and year end in 31st of July.

Training and Development

Training is defined as planned learning for the current job, when there is a performance gap in an employee below the expected level in a particular job. Development is defined as the planned learning to improve competencies for future growth and realization of a person’s potentials. These training and development processes provide learning and development opportunities to improve individual, team and organizational performances, developing people within a strategic framework and organization with quality people that are needed to run the business along with achieving the intended goals of the company. The training and development procedures can be carried out as individual level, group level and organizational level.

Since training and development possess more quality and productive employees within the company, allocating of money on that training and development procedures do not become a cost for the company. It is a must for a success and it is an investment activity for the progress of the company. The training of employee is somewhat a short-term approach which provides to learn specific behaviors while the development of employee is more progressive and more anticipated long term approach in order to produce well skilled and knowledgeable employees for the company.

A company that invests in training and development generally tends to have satisfied employees. However, the exercise has to be relevant to the employees and one from which they can learn and take back something. It will be futile if training and development become tedious and dull, and employees attend it merely because they have to. Different kinds of training methods can be applicable in order to convey the intended approach up to the employee by using some following procedures.

  1. Workshops
  2. Out-door training or in-door training
  3. Discussions
  4. Internships and apprenticeship
  5. Conferences and seminars
  6. In-plant training
  7. Coaching
  8. Role-play
  9. Online training
  10. Simulation
  11. Audio-visuals

And so on…..

Training and Development programs at ABC Lanka brands

Focus largely on internal sourcing

Basically they do not mostly depend upon the external sourcing of employees. If there is any requirement for a particular job opportunity, they advertise it on their available notice boards and allow internal employees to apply for that. The best matching employee/s will be selected.

NVQ Opportunities

Internal employees are benefited with NVQ level training programs. If a particular employee needs further opportunities, if the closely associated supervisor seeks that this employee should be trained or once the management identify that there is a gap between the company expected level of performance and the employee performance, employees are allowed for training programs in order to come up with satisfactory level of company expectation.

Training employees as groups

When the ongoing culture of the company is subjected to change, new technologies or machineries are adapted to the company, management of the ABC Company arranges their employees as groups and they are well informed and trained accordingly.


ABC provides internships for outsiders with a satisfactory payment. They are well trained according to the systems adapted within the company and then they are recruited as interns.

Safety precautions

As a processing company they largely focus on the safety of their employees. Employees are well equipped with appropriate safety trainings and sudden practices of alarming and warning systems are used to evaluate the progress of the safety programs for their employees.

Employee relations

There is a unit for the employer relation under department of human resource of ABC Brand Lanka (Pvt) Limited. There are some specific areas that are managed under the employer relation such as grievance handling, budget handling (conference, meeting etc) community build up and counseling.

Grievance handling is one of the most important management practice which is practiced under the employer relation unit. The grievance is a feeling of injustice. It may be real or imaginative. It is any discontent or a sense of injustice expressed or implied, felt by an employee in connection with his or her employment in the organization. There are various factors may be affected to the occurrence of the grievance. They are lack of communication, personal problems, organizational culture, poor rules and regulations, perception or the way of thinking.

According to the management of this company management minimize the occurrence of grievances as much as possible. In order to handle the grievance, identification of the grievances. Nevertheless most of the grievances are not directly expressed either verbally or in writing. They observe the behavioral patterns of each of the employees and build up their minds. In order to that the company management system, they motivate their employees for better performance to increase their employer-employees relationships. Therefore the probabilities for occurrence of the grievances are less. They provide better work environment for their employees.

The company has a system for grievance handling. According to that system grievances system grievant can complains or explains their grievances to their immediate supervisors. I it is not satisfied they can be taken up to the department of human resource of the company.

Although if is not satisfied there are facilities to contact the mother company in New Zealand through the telephone. For that the emergency telephone numbers are displayed in the company at different places. The employees can contact the particular management staff either in Sinhala or in English. Although it is a good opportunity for employees to minimize their grievances.

The management of the company always tries to build up the mind of employees. According to that they try to convince that company is the best place to work. Therefore they improve the working environment. Therefore it helps to minimize the occurring of the grievances.

Industrial Relations

Industrial Relations can be simply defined as the collective relations among Employees, Employers and the Government. The term ‘Industrial Relations’ comprises of two terms: ‘Industry’ and ‘Relations’. “Industry” refers to “any productive activity in which an individual (or a group of individuals) is (are) engaged”. By “relations” we mean “the relationships that exist within the industry between the employer, employee and the government.”

Three main parties are directly involved in industrial relations. They are Employers, Employees and the Government. That is called as ‘Tripartism’. An Employer is a person or business that pays a wage or fixed payment to other person(s) in exchange for the services of such persons. Employee is a person who is hired by another person or business for a wage or fixed payment in exchange for personal services. That is an employee is any individual employed by an employer. Workers seek to improve the terms and conditions of their employment. They exchange views with management and voice their grievances. They also want to share decision making powers of management. Workers generally unite to form unions against management and get support from these unions. Government, the central and state government influences and regulates industrial relations through laws, rules, agreements, and awards of court. It also includes third parties and labor and tribunal courts.

In ABC, they maintain a very close relationship between the employers and the employees. There is a manager for every department and the employees of that department can meet and talk to them at any time regarding their problems or any other issues. Also they can meet managers of any other department, Directors or any other one at the managerial level without a special appointment to discuss their issues. Managers are also always ready to answer their problems and help them in every ways they can. Hence, it has led to better understanding between the employees and the employers. As well they are provided with benefits such as Salary increments, allowances, loans, rewards etc. to maintain this relationship.

Industrial relations also includes the processes through which these relationships are expressed (such as, collective bargaining, workers’ participation in decision-making, and grievance and dispute settlement), and the management of conflict between employers, workers and Trade unions, when it arises. In ABC, a very special thing is that they are running without a union. This is a result of maintaining a close relationship with the employees as mentioned above. As there are no conflicts arising between the employees and the employers such as Voluntary absenteeism, Habitual pilfering, Boycotts, Go slows, Strikes, Revolutionary activities etc. Need for a union has not been arisen so far.

A sound industrial relations system is one in which relationships between management and employees (and their representatives) on the one hand, and between them and the State on the other, are more harmonious and cooperative than conflictual and creates an environment conducive to economic efficiency and the motivation, productivity and development of the employee and generates employee loyalty and mutual trust. ABC as an organization maintains better industrial relations. They are going with the government acts following the rules and regulations in them-Industrial Dispute act No 43 of 1950. That is how they maintain a better relationship with the government.

The healthy industrial relations are key to the progress and success. Due to maintaining favorable industrial relations ABC has gained so many advantages such as uninterrupted production, Reduction in industrial disputes, High morale, reduced wastage etc.

Marketing Aspects of ABC Lanka brands

Leading ABC Lanka brandsin Sri Lanka

Milk powder Yoghurt Butter Pasteurize milk UHT milk Curd Cheese


As FBL is a mature player in the dairy market, most of their advertisements are designed to generate increased consumption of products through the creation and reinforcement of brand image and brand loyalty.

Television is the major medium that is used to communicate their message. Milk powders that are targeted at young and small generation (Anchor FCMP, Anchor 1+ and Anchor 3+) are prompted under the theme of “Proven Nutrition”. These advertisements are telecasted during popular teledramas in the peak hours, when their target customers, young mothers watch the TV.Advertisements that promote Newdale product range are directly target at their consumers, small children. Therefore they are telecast during popular children programmes such as cartoons and teen TV programmes.

Personal selling

Sales presentations, sales meetings, sales training and incentive programs, sampling are the main tools that are used by FBL. Sampling is used to promote GUMPs and Anlene through medical practitioners. Annual sales conference is the major incentive program that offers awards and other incentives admiring contribution of sales force.

And also they are using sales promotions as well as providing sponsorships to raise awareness of general public about ABC products.

Corporate Social Responsibility

ABC Brands Lanka is committed to supporting the Sri Lanka community. Their brands stand for the very best in nutrition and they are committed to helping improve local nutritional standards.

Here some of their CSR activities are given below:

  • Free ANCHOR milk was provided to 65,000 school children in 300 schools in 2006 and 2007.
  • ANCHOR 1+ brand supported a series of health camps for over 3,000 Sri Lankan mothers who all received free consultation and medicines for their children.
  • ANCHOR Institute has provided a grant of US$25,000 to fund research into the prevalence of nutritional anaemia amongst Sri Lankan primary school children between the age of five and 10 years.
  • ANLENE brand provided more than 12,000 free bone scans to people across the country last year. These bone scans measured people’s bone density, helping to raise awareness of the risk of the crippling osteoporosis disease.
  • ABC also partnered the “Mother Sri Lanka Foundation”, a group led by the presidential secretariat, on a nationwide campaign to encourage and inspire school children to share their ideas on “Building a better Sri Lanka”. Their support of this project builds on the efforts the company has made to improve nutrition education of youth and families, and rebuild schools and orphanages in the Biyagama community
  • FBL Provides milk for Sunday school kids at Biyagama area.

Some welfare activities in FBL

Annual cricket match is organized by this unit.

It may help to further development of employ and employer relationships. There is a jym and well skillful persons are ready to guide improve the physical healthiness all of ABC members.

Celebrating seasonal functions

1st of January: Before start the works in a new year, All of ABC members together and celebrate that function specifically. ‘KIRI ITHIREEMA’ is done in specific places where they have been recognized in ABC premises. There are some programs held targeting employees’ children. Giving the selected topic and held an ‘Art competition’ focus on the employees’ children and then they are exhibited the selected arts with children and highly appreciate them while giving some prizes which are valuable to their studies.

As well as employees’ are appreciated relevant to their serviced time such as 5years’ 10years’ 15years’ 25 years and more than 30 years with gold coins. That is offered by special persons in the ABC Brand Lanka PVT Ltd.

Finally, all of them celebrate the New Year table as tea party with milk-rice, kokis, kewum, and banana as the members under a ABC flag. All of ABC members come there with family members and each of them are improve their relations as employee-employer relationships.

Before Sinhala Hindu New Year: 13th and 14th of April New Year days are holidays of them to celebrate the New Year. There are some special occasions other than the providing types of milk powder packets and butter twice a week in a subsided price such as, providing types of cheese(salted/non-salted) for all of ABC members.

Month of May: The places which employees and employers meet daily are decorated with Wesak lanterns.

  • Christmas party

This is held as a very special function due to Mother Company in New Zealand.

Annual party

All of ABC members gather in to a place and celebrate their achieved targets annually.

Annual trip

This is organized as large event. All of members participate with their families.

Birth day gift

The birthday celebrations in a month is celebrated in a monthly meeting giving them birthday gift while appreciating their service while relaxing the persons that they are valuable to company and they have worked correctly in a particular position to achieve tasks well.

SWOT Analysis


  • Owning a very Popular Brand
  • Sound Certification System
  • Sound Documentation Procedure
  • Effective way of Handling Non-Conforming Situation
  • Large Distribution Channel
  • Sound Quality Inspection Procedure
  • Location of the Establishment

  • Sensory Evaluation Facilities
  • Waste water sludge

  • Rapidly Expanding Fresh Milk Market
  • Product Diversification
  • Rapidly Increasing Demand for Biscuits
  • Establishment of dairy farms

  • New Emerging manufactures
  • Keeping Limited number of suppliers for Input Materials
  • Government taxes & policies


FBL, as the leading dairy company in Sri Lanka, is highly concerned about their consumer as well as the employees. It is a good opportunity to enroll such good company and gathering experiences, knowledge and skills.

The experiences which we recovered through our industrial visits are very valuable for us. From the very first step to the finished product all the processes which have been carried out by the factory is vital to the personnel in terms of gaining experience and knowledge visualy.

As a whole, in our visits we were able to gain a thorough theoretical and practical knowledge. It also gave us a chance to work as a team in even in that limited time period. We are really satisfied on our industrial visits at ABC brands Lanka (Pvt) Limited.


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