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small Actions, BIG Difference
80 years of Independence
Contents
Evolution of the Company 1
Performance of the Industry 2
Present Status3
Human Resources4
Competitors5
PEST Analysis 6
SWOT Analysis7
INTRODUCTION
Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company with a heritage of over 80 years in India and touches the lives of two out of three Indians.
With over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos, skin care, toothpastes, deodorants etc..The Company is a part of the everyday life of millions of consumers across India.
The Company has over 16,000 employees and has an annual turnover of around Rs.25,206 crores (financial year 2012 - 2013).
HUL is a subsidiary of Unilever, one of the world’s leading suppliers of fast moving consumer goods with strong local roots in more than 100 countries across the globe with annual sales of €51 billion in 2012.
Unilever has about 67% shareholding in HUL.
HISTORY OF HUL
HISTORY OF HUL• 1888- Lever brothers came to India
Sunlight soap introduced in India
• 1895-Lifebuoy soap launched
• 1902-Pears soap introduced in India
• 1905-Lux soap and Lux flakes introduced
• 1913-Vim scouring powder introduced
• 1930-Unilever is formed on January 1st through merger of Lever
Brothers and Margarine Unie
• 1931-Company registered on November 27th; Sewri factory site
bought
• 1932-Hindustan Vanaspati Manufacturing Vanaspati manufacture
starts at Sewri
• 1947-Pond's Cold Cream launched
HISTORY OF HUL 1959-Surf launched
1969-Rin bar launched; Bru coffee launched
1971- Clinic shampoo launched
1978-Fair & Lovely skin cream launched
1993-The erstwhile Brooke Bond India acquires
the Kissan brand from the United Breweries
Group, giving HLL an entry into the foods business
1994-Tata Oil Mills Company merges with HLL, the largest merger
in Indian corporate history then
1994-Brooke Bond India and Lipton India merged to form Brooke
Bond Lipton India Limited
1994-Wall's frozen desserts launched, name changed to Kwality
Wall's
HISTORY OF HUL 1995- Kissan Annapurna salt is launched 1996-Brooke Bond Lipton India Limited merges with HLL 1996-Lakmé Lever Limited, a joint venture with Lakmé
Limited is formed 1998-Pond's India Limited merges with HLL 1998-HLL acquires 100% shareholding of Lakmé in Lakmé
Lever Limited 2001-HLL identifies 35 ‘Power’ brands, from a total of 110
brands, to be pushed for higher growth 2002-Modern becomes a wholly owned subsidiary of HLL
2007-Name formally changed to Hindustan Unilever Limited
17th October 2008-HUL completed 75 years of corporate existence in India.
October 2013-Mr. Sanjiv Mehta (53) joined the Board of the Company
October 17th – HUL Completed 80 years
The four pillars of HUL’s vision set out the long term direction for the company – “where we want to go and how we are going to get there”:
We work to create a better future every day
We help people feel good, look good and get more out of life with brands and services that are good for them and good for others.
We will inspire people to take small everyday actions that can add up to a big difference for the world.
We will develop new ways of doing business with the aim of doubling the size of our company while reducing our environmental impact.
HUL’s MISSION STATES THAT:
Our corporate purpose states that to succeed requires "the highest
standards of corporate behaviour towards everyone we work with, the
communities we touch, and the environment on which we have an
impact.“
•Always working with integrity
•Positive impact
•Continuous commitment
•Setting out our aspirations
• Working with others
MARKETING USING 4 P’s
PRODUCT MIX
FOOD & DRINKS
BEVERAGES
PERSONAL CARE –PERSONAL WASH
PERSONAL CARE- ORAL CARE
PERSONAL CARE- HAIR CARE
PERSONAL CARE- COSMETICS
HOME CARE
HEADQUARTERS
Hindustan UnileverLTd,
Unilever House, B. D. Sawant Marg,
Chakala, Andheri (E), Mumbai - 400 099.
PLACE OF OPERATIONS
Organisational Structure
BUSINESS MODEL OF HUL
BOARD OF DIRECTORS
(MR.HARISH MANWANI)
CHAIRMANMr. Harish Manwani (60) assumed charge as the Non-Executive Chairman of the Company in 2005. He is a member of the Nomination & Remuneration Committee of the Company.
(MR.SANJIV MEHTA)
CEO & MANAGING DIRECTORMr. Sanjiv Mehta (53) joined the Board of the Company in October 2013. He is a member of the Nomination & Remuneration Committee, Stakeholder Relationship Committee and Corporate Social Responsibility Committee of the Company.
(MR. R.SRIDHAR)
CHIEF FINANCIAL OFFICERMr. Sridhar Ramamurthy (48) joined the Board of the Company in June 2009. He is a member of the Stakeholder Relationship Committee and Corporate Social Responsibility Committee of the Company.
OTHER EXECUTIVE DIRECTORS ARE :
MR. HEMANT BAKSHI Executive Director, Home & Personal Care
MR.DEVBAJPAI Executive Director, Legal and Company Secretary
MR. MANISH TIWARY - Executive Director, Sales and Customer Development
MS. GEETU VERMA, Executive Director, Foods
MR. BP BIDDAPPA -Executive Director, HR
FINANCIAL PERFORMANCE OF HUL
BALANCE SHEET
Shareholder Categories
SALES CONTIRIBUTION BY DIFFERENT SECTORS
SOAPS & DETERGENTS
49%
PERSONAL PRODUCTS
31%
BEVERAGES18%
OTHERS2%
NET REVENUE Rs. 25,810 crores PROFIT FOR THE YEAR Rs. 3,797 crores EPS (BASIC) Rs. 17.56
AWARDS & RECOGONITIONS
WINNING WITH BRAND INNOVATION:
HUL ranked 12th in The World’s Most Innovative Companies “The Super 50” list by Forbes. Eighteen HUL brands featured in the ‘100 Most Trusted Brands’ list by Brand Equity.
WINNING IN THE MARKET PLACE:HUL won the award for Best Audit Governance at the Asian Centre for Corporate Governance and Sustainability awards 2013.HUL & Star Bazaar bagged the “Silver” award at the 13th ECR Asia Pacific Conference.
WINNING WITH PEOPLE:HUL emerged the No. 1 Employer of Choice in India according to the Nielsen Campus Track B-School Survey 2013.
AWARDS & REGONITIONS
• HUL was named the Bloomberg Dream Employer of the Year 2013.
• Nitin Paranjpe received Forbes India’s Best CEO Award• Sridhar Ramamurthy recognized as the Best Performing CFO
at the CNBC-TV18 CFO Awards.• HUL was recognized for its ‘Best in Class Reward Practices’ by
Aon Hewitt.• HUL was declared the Top Indian FMCG company 2011 at the
Dun & Bradstreet Rolta Corporate Awards.• HUL was recognized for its Talent practices at the Thought
Leaders and Corporate Excellence Awards 2012.
SUSTAINABILITY AWARDS:• HUL factories in Amli and Haldia won at the Frost & Sullivan’s
Green Manufacturing Excellence Awards 2012.• HUL won the first prize at FICCI Water Awards 2012 under the
category of ‘community initiatives by industry’ for Gundar Basin Project, a water conservation initiative.
CORPORATE SOCIAL REPONISIBITY
HEALTH & HYGIENE:OUTSOURCINGRESOURCES
IMPROVING NUTRITION
GREEN HOUSE GASES
WASTE &PACKAGING
WATER USE
CSR
FUTURE GOALS OF THE COMPANY
HUMAN RESOURCES
Company’s Human Resource agenda for the year was focused
on strengthening four key areas: building a robust and diverse
talent pipeline, enhancing individual and organisational capabilities
for future readiness, driving greater employee engagement and strengthening
employee relations further through progressive people practices at the
shopfloor.
Company has also been voted as the No. 1 Employer for Mid Career
recruits in a survey conducted amongst active job candidates in the FMCG
sector
Company has a vision to improve its Gender Balance and the roadmap
involves a four pronged approach:
Increasing the number of female talent through proactive market mapping.
Staying connected with our stakeholders through digital recruitment campaigns.
HUMAN RESOURCES Creating a culture of inclusion.
Leveraging visible leadership role models.
Career by Choice’, a unique re-hire programme, provides a
platform for women looking for real opportunities to work
flexibly and part time for live business projects. With these
enablers and focused plans, your Company has witnessed 8%
shift in the Gender Balance Ratio over the last two years.
Company has developed Project Sunset which is an online
platform for speedy resolutions of issues within the Company
and has a satisfaction score of over 88% from internal
employees.
Over 41,600 e-learning registrations took place indicating
that the spirit of ‘learn where you are’ is imbibed in
employees of the Company
PEST ANALYSIS POLITICAL ANALYSIS:
Non conformance with legislative obligations can lead to
sanctions such as fines, adverse publicity and imprisonment.
Ineffective voluntary codes and practices will often lead to
governments introducing legislation to regulate the activities
covered by the codes and practices.
ECONOMIC ANALYSIS:
Affected by national and global economic Factors.
National and global interest rate and fiscal policy will be set
around economic conditions.
Inflation has affected HUL such that it lead to increase in raw
materials.
PEST ANALYSIS
SOCIAL ANALYSIS:
Population changes
Changes in the structure of a population.
Falling birth rates will result in decreased demand
Changing interest among individuals.
TECHNOLOGICAL ANALYSIS:
Technology infrastructure help them manage their business
transmit and record information.
Created a society which expects instant results
Increased the rate at which information is exchanged
between stakeholders.
A faster exchange of information can benefit businesses as
they are able to react quickly to changes.
SWOT ANALYSIS
SWOT ANALYSIS
Competitors -I
SOAPS
HUL
Lux
Rexona
Breeze
Lifebuoy
Pears
Dove
Hamam
Competitors
Santoor,Chandrika
Cinthol, Mysore Sandal
Godrej no. 1, Nirma
Dettol
Santoor,
Camay
Margo
Competitors -II
HAIR CARE
HUL
Sunsilk
Clinic Plus
Dove
Competitors
Pantene
Head & Shoulders
L’Oreal, Garnier
Competitors -III
ORAL CARE
HUL
Pepsodent
Close Up
Competitors
Colgate
Meswak
Dabur Red
Anchor
Competitors -IV
COSMETICS
HUL
Lakme
Ponds
Competitors
Revlon
Maybelline
L’Oreal
Nivea
Charmise
Competitors -V
LAUNDRY
HUL
Surf Excel
Wheel
Rin
Competitors
Ariel
Nirma
Tide
MARKET SHARE OF HUL IN FMCG SECTOR
MAKETING STRATEGIES
Distribution network(direct selling)
Brand extension strategy
Line extension strategy
Repositioning strategy
Promotional strategy-ads(Rs700-800 cr)
Segmentation strategy – (Differentiated marketing)
Premium brand
Affordable brand
Innovation strategy-introduction of sachet in shampoo
Customer driven strategy
HLL AD
CONCLUSION
HUL has given us “LEADERSHIP IN VUCA WORLD” concept
Which states the various mega trends,And how companies can win in the VUCA WORLD
and has rightly followed all that they have statedHUL’s MAIN STRATEGY
“THINK LOCAL, ACT GLOBAL”