The background of this research is to understand the operation process, which is the main goal of developing the process model. This model is often used for operator training, process design, safety system analysis, or control system design. The dynamic model of the milk cooling process from 36˚C to 4˚C using chilled water available at 2˚C was performed. Chilled water was maintained at a constant temperature by using a refrigerant unit. The process being investigated was a Packo brand milk cooling tank belonging to KUD SAE Pujon (Malang -Indonesia). A fundamental heat balance method was used to derive the model, leading to a first-order transfer function process. For a 2-hr cooling process, the gain and time constant values are 1.00 and 42.3548 mins, respectively. Heat balance was then extended to continuous processes so that its transfer function could also be obtained. This study simulated and investigated the behavior of batch and continuous processes. Process Identification via input-output data was also introduced for continuous process. The process model obtained from the system identification toolbox was very useful in control, such as for determining tuning parameters via the Ziegler-Nichol method for Proportional-Integral control. However, a small delay was required to be introduced to the system as the first order process without time Ziegler Nichol method cannot be implemented. Further research may include other system identification methods, such as ARX, ARMAX, Output-Error, Box Jenkins etc., or implementing advanced process control for milk cooling.