Women and Entrepreneurship

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Products were marketed on an area wise basis. Each branch was individually responsible for marketing its products in the area allotted to it. SMGULP's wide network of dealers and the goodwill it enjoyed made the marketing of products easy. No supplier was asked for credit and none was extended. The papads, produced everyday, were taken to SMGULP's depots. The distributors and exporters picked up their respective stock of products daily against immediate payment. To ensure consistent quality, the head office supplied the most important raw materials to all its branches. Apart from supplying the raw materials, the head office did not involve itself with the different branches. SMGULP's products were advertised in print (vernacular newspapers) and electronic media. The cooperative also sponsored some TV programs and gave gifts to winners of certain shows. The cost of advertising was borne by all the branches and divisions of SMGULP through an ingenious method. The money for advertisements was spent by the Polypropylene Division, which recovered the same by increasing the price of the bags that it supplied to all the branches and divisions of SMGULP throughout India. Thus all of them shared the cost of advertisements in an equitable manner, according to their individual production capacity.

SMGULP had a managing committee (which had the highest decision-making powers) consisting of 21 members, a president, a vice president, two secretaries and two treasurers. They were chosen by the sisters (from among the member-sisters) once every three years. Any member-sister could become a managing committee member through a selection process. The members of each branch could elect a branch committee, consisting of eleven sisters. The managing committee could unilaterally terminate or appoint any member in the branch committee. Its decisions could even supersede those of the branch committee. The various branches situated all over the country were managed in a decentralized manner. The Sanchalikas or directors of the branches were selected by the members of the concerned branch every three years. They were responsible for managing the day-today-activities of a particular branch or division. They could be transferred to other branches also. Meetings were also held at regular intervals on a branch, area and countrywide basis. Open meetings were also held at the head office regularly, to encourage participation by all members. As all the members were equal owners and shared profits equally at the end of the year, they were directly responsible for the profitable functioning of the branch they worked in. Mismanagement or loss due to negligence would lead to the dismissal of the concerned Sanchalika or other member-sisters from SMGULP. In one particular case where losses were reported due to a fall in quality standards, the member-sisters lowered their daily wages by Re. 1 per kilogram of papads, to compensate for the loss. When a particular branch performed well financially, the member-sisters increased their wages and also gave themselves additional incentives. Irene Almeida, spokesperson of SMGULP, said "The system is self sustaining. Each member works to improve efficiency and reduce wastage. They know that profits and losses have to be borne by them."²⁵ SMGULP took part in several trade fairs and exhibitions held in various parts of India. This not only increased its sales but also made the brand name Lijjat famous. In addition, participation in such activities encouraged the numerous member-sisters to become active agents in the functioning of their institution, thus indirectly increasing their self-confidence.Many organizations in India took a leaf out of SMGULP's book tried to emulate its model of working. It seemed to be a good option for rural or semi-skilled women, who were not qualified for other types of jobs, as it provided them with a livelihood without demanding high skills and instilled in them a sense of self-worth and self-reliance.

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25] Business Today, January 19, 2003.

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