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hll

hll

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Published by: amitdhote on Mar 14, 2011
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10/21/2012

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HINDUSTAN LEVER LIMITED
INTRODUCTION
HINDUSTAN LEVER LIMITED (HLL) is India's largest fast moving consumer goodscompany, with leadership in Home & Personal Care Products and Foods & Beverages.HLL's brands, spread across 20 distinct consumer categories, touch the lives of two out of three Indians. They endow the company with a scale of combined volumes of about 4million tonnes and sales of Rs.10, 000 crores.
The leading business magazine,
Forbes Global 
, has rated HLL as the best consumerhousehold products company.
Far Eastern Economic Review
has rated HLL asIndia’s most respected company.
Asiamoney
has rated HLL as one of India’s bestmanaged companies. Leading national publications, like
The Economic Times,Business World 
, and
Business Today
have also rated HLL as one of India’s mostrespected companies and the number one in Market Value Added and EVA.
The vision that inspires HLL's 32,400 employees (40,000 including GroupCompanies), including about 1,425 managers, is to “meet everyday needs of people everywhere - to anticipate the aspirations of our consumers and customersand to respond creatively and competitively with branded products and serviceswhich raise the quality of life.”
This objective is achieved through the brands that the company markets.It is an ethos HLL shares with its parent company, Unilever, which holds 51.55% of theequity. A Fortune 500 transnational, Unilever sells Foods and Home and Personal Carebrands through 300 subsidiary companies in about 100 countries worldwide withproducts on sale in a further 50.
BUSINESS NATURE
HLL is India's largest marketer of Soaps, Detergents and Home Care products. It has thecountry’s largest Personal Products business, leading in Shampoos, Skin Care Products,Colour Cosmetics, and Deodorants. HLL is also the market leader in Tea, ProcessedCoffee, branded Wheat Flour, Tomato Products, Ice cream, Soups, Jams and Squashes.HLL is also one of the country's biggest exporters and has been recognised as a GoldenSuper Star Trading House by the Government of India; it is a net foreign exchangeearner. HLL is India's
 
Largest exporter of branded fast moving consumer goods. The company's Exportsportfolio includes HLL's brands of Soaps and Detergents, Personal Products, Home CareProducts, Tea and Coffee. HLL is also driving exports in chosen areas where India has acompetitive advantage – Marine Products, Basmati Rice, Castor Oil and its Derivatives.It is India's largest exporter of Marine Products, and one of the largest global players incastor.
MARKET LEADING BRANDS
HLL’s brands have become household names. The company’s strategy is to concentrateits resources on 30 national power brands, and 10 other brands which are strong in certainregions. The top five brands together account for sales of over Rs.3000 crores. Each of these mega brands has a potential scale of Rs.1000 crores in the foreseeable future.Some of the big brands in Soaps and Detergents are Lifebuoy, Lux, Liril, Hamam,Breeze, Dove, (all soaps) surf excel,surf , Rin, Wheel (the number one detergent brand inIndia, and HLL's
 
largest), 501, Sunlight (all detergents). HLL also markets the Vim andDomex range of Home Care Products. In the Personal Products business, HLL's HairCare franchises are Clinic, Sunsilk and Lux shampoos; the company markets Nihar oil. InOral Care, the portfolio comprises Close-up and Pepsodent toothpastes and toothbrushes.In Skin Care, HLL markets Fair & Lovely Skin Cream and Lotion, the largest sellingSkin Care Product in India; a brand developed in India, it is now exported to over 30countries. It has been extended as an Ayurvedic cream, an under-eye cream, a soap and atalc, in line with the strategy to take brands across relevant categories. The other majorSkin Care Franchises are Pond’s, Vaseline, Lakme and Pears. In Colour Cosmetics, HLLmarkets the Lakme and Elle-18 ranges. In Deodorants, the key brands are Rexona, Axe,Denim and Pond's, while the Talc brands are Pond's, Liril, Fair & Lovely, Vaseline andLifebuoy. Axe and Denim are HLL’s franchises for Men’s toiletries.HLL has recently launched Lever Ayush Ayurvedic Health & Personal Care Products.Health Care is among the new businesses HLL has chosen to enter. The product rangecomprises Cough Naashak Syrup, Headache Naashak Roll-on, Dandruff Naashak Shampoo, Hair Rakshak Oil and Body Rakshak Soap. The purity of the Ayurvedicingredients in Lever Ayush is endorsed by the renowned Arya Vaidya Pharmacy (AVP)of Coimbatore.
PRODUCT & QUALITY STRATEGIES:
It is for the first time that rigorous Testing procedures of the pharmaceutical industryhave been applied to Ayurvedic products. That is why the brand seal is ‘Truth of Ayurveda; Proof of Science’.HLL has started franchised Lakme Beauty Salons, offeringstandardised services, in line with the strategy to add a service dimension to relevantbrands.
 
HLL and Pepsi have formed an alliance to distribute a full range of tea and coffee andsoft beverages through vending machines; HLL already has a base of around 15000 suchmachines. The coffee business comprises Bru Instant Coffee and Deluxe Green LabelRoast & GroundCoffee.The Kissan and Knorr Foods range comprises Spreads & Jams, Biscuit Sticks, Soups,Squashes, Tomato Ketchup, Sauces, Puree, and Cooking Aids.Popular Foods, like Wheat Flour and Iodized Edible Salt, under the Knorr Annapurnabrand name, have met with remarkable success.
The range has been expanded with 
:
 
Ready-to-eat 10-second chapatis.
The innovative offerings are changing consumer habits into using processed,hygienic, healthy and convenient products.
The Kwality-Wall's Ice Cream range comprises exotic Sundaes, ViennettaDesserts, popular ‘Impulse’ segment products like Max, Cornetto and Feast, andCornetto Ripple Softies.
Max was extended in 2001 as sugar confectioneries, because children are a keyconsumer segment in confectioneries too.
The new businesses HLL has chosen to enter
.HLL has acquired Modern Food Industries (India) LIMITED, entering the bread market.Modern Foods was the first Public Sector Undertaking to be disinvested. Besidesupgrading the existing Modern products, HLL has launched new products, among thembiscuits. HLL is liberating its brands from their existing category mindset. Historically,brands originated and stayed within a category format. HLL sees it’s Power Brands asbeing able to occupy a unique position in the consumer's mind and therefore being able tostretch into other product formats and categories. All such initiatives have had apromising start, and there are more to come.
NATIONWIDE MANUFACTURING FACILITIES
This diverse product range is manufactured in over 100 factories, located across thelength and breadth of India. The operations involve 2,000 suppliers and associates. About28 factories are situated in backward areas. In fact, all major investments of HLL, inrecent years, have been either in A-Category backward areas or No-Industry Districts.These include factories in Khamgaon and Yavatmal (Maharashtra), Chhindwara (MadhyaPradesh), Orai, Sumerpur and Khalilabad (Uttar Pradesh), Haldia (West Bengal), Silvassa(Dadra & Nagar Haveli), Pondicherry, Goa and Doom Dooma (Assam). In 2001 itself,HLL set up seven new factories in backward areas.
PROCESS STRATEGIES

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