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Hindustan Uni Lever

Hindustan Uni Lever

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Published by: anusingh1234 on Aug 02, 2010
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project report on HUL

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Introduction to HUL
Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods Company, touching the lives of two out of three Indians with over 20 distinct categories in Home & Personal Care Products and Foods & Beverages. The company¶s Turnover is Rs. 17,523 crores (for the financial year 2009 - 2010) 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 about ¼40 billion in 2009 Unilever has about 52% shareholding in HUL. Hindustan Unilever was recently rated among the top four companies globally in the list of ³Global Top Companies for Leaders´ by a study sponsored by Hewitt Associates, in partnership with Fortune magazine and the RBL Group. The company was ranked number one in the Asia-Pacific region and in India. The mission that inspires HUL's more than 15,000 employees, including over 1,400 managers, is to 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. It is a mission HUL shares with its parent company, Unilever, which holds about 52 % of the equity.

Hindustan Unilever Limited is India's largest fast moving consumer goods company, touching the lives of two out of three Indians with over 20 distinct categories in home & personal care products and food & beverages. They endow the company with a scale of combined volumes of about 4 million tonnes and sales of over Rs. 13,000 crores[citation needed]. HUL is also one of the country's largest exporters; it has been recognised as a Golden Super Star Trading House by the Government of India. HUL was formed in 1933 as Lever Brothers India Limited and came into being in 1956 as Hindustan Lever Limited through a merger of Lever Brothers, Hindustan Vanaspati Mfg. Co. Ltd. and United Traders Ltd.. It is headquartered in Mumbai, India and has an employee strength of over 15,000 employees and contributes for indirect employment of over 52,000 people. The company was renamed in June 2007 to ³Hindustan Unilever Limited´.
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In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25 years by Businessworld, one of India¶s leading business magazines.[2] The rating was based on a compilation of the magazines annual survey of India¶s Most Reputed Companies over the past 25 years. HUL is the market leader in Indian consumer products with presence in over 20 consumer categories such as soaps, tea, detergents and shampoos amongst others with over 700 million Indian consumers using its products. It has over 35 brands. Sixteen of HUL¶s brands featured in the ACNielsen Brand Equity list of 100 Most Trusted Brands Annual Survey (2008).[3] According to Brand Equity, HUL has the largest number of brands in the Most Trusted Brands List. It¶s a company that has consistently had the largest number of brands in the Top 50 and in the Top 10 (with 4 brands). Hindustan Unilever's distribution covers over 1 million retails outlets across India directly and its products are available in over 6.3 million outlets in India, i.e., nearly 80% of the retail outlets in India. It has 39 factories in the country. Two out of three Indians use the company¶s products and HUL products have the largest consumer reach being available in over 80 per cent of consumer homes across India. The Anglo-Dutch company Unilever owns a majority stake (52%) in Hindustan Unilever Limited. HUL was one of the eight Indian companies to be featured on the Forbes list of World¶s Most Reputed companies in 2007.

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000 direct & indirect employees Unilever Plc www.57 crore (US$ 4.45 billion) (2008-2009) [1] Over 65.co. India Key people Products Revenue Employees Parent Website 4|P ag e . Water Purifier Rs 20.hul.Hindustan Unilever Limited Type Industry Founded Public company BSE:HUL Fast Moving Consumer Goods FMCG) 1933 Harish Manwani (Chairman).in Headquarters Mumbai.869. Foods. Nitin Paranjpe (CEO and Managing Director) Home & Personal Care.

Since the very early years. In 1931.675 individual shareholders and financial institutions. By 1903. and in 1977 Lipton Tea (India) Limited was incorporated. 5|P ag e . embossed with the words "Made in England by Lever Brothers". Vanaspati was launched in 1918 and the famous Dalda brand came to the market in 1937.10% equity in the company. With it. The erstwhile Lipton's links with India were forged in 1898. India Limited was formed. The rest of the shareholding is distributed among about 360.History In the summer of 1888. In 1912. began an era of marketing branded Fast Moving Consumer Goods (FMCG). Hindustan Vanaspati Manufacturing Company. Unilever acquired Lipton in 1972. HUL has vigorously responded to the stimulus of economic growth. being the first among the foreign subsidiaries to do so. It joined the Unilever fold through an international acquisition of Chesebrough Pond's USA in 1986. the company had launched Red Label tea in the country. always in line with Indian opinions and aspirations. The erstwhile Brooke Bond's presence in India dates back to 1900. The growth process has been accompanied by judicious diversification. Pond's (India) Limited had been present in India since 1947. followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). Brooke Bond joined the Unilever fold in 1984 through an international acquisition. Unilever now holds 52. Soon after followed Lifebuoy in 1895 and other famous brands like Pears. Unilever set up its first Indian subsidiary. HUL offered 10% of its equity to the Indian public. These three companies merged to form HUL in November 1956. visitors to the Kolkata harbour noticed crates full of Sunlight soap bars. Brooke Bond & Co. Lux and Vim.

The UNL factory manufactures HUL's products like Soaps. In 1993. Brooke Bond India and Lipton India merged to form Brooke Bond Lipton India Limited (BBLIL). the erstwhile Brooke Bond acquired Kothari General Foods. In 1996. with effect from January 1. 1994 witnessed BBLIL launching the Wall's range of Frozen Desserts. the erstwhile Tata Oil Mills Company (TOMCO) merged with HUL. started in 1991. Then in 1994. acquisitions and alliances on the Foods and Beverages front. The internal restructuring culminated in the merger of Pond's (India) Limited (PIL) with HUL 6|P ag e . In 1992. HUL has also set up a subsidiary in Nepal. it acquired the Kissan business from the UB Group and the Dollops Icecream business from Cadbury India. 1996. Lakme Limited sold its brands to HUL and divested its 50% stake in the joint venture to the company. effective from April 1. Unilever Nepal Limited (UNL). Finally. Simultaneously. enabling greater focus and ensuring synergy in the traditional Beverages business. two plantation companies of Unilever. to market Lakme's marketleading cosmetics and other appropriate products of both the companies. HUL formed a 50:50 joint venture with the US-based Kimberly Clark Corporation in 1994. the company entered into a strategic alliance with the Kwality Icecream Group families and in 1995 the Milkfood 100% Icecream marketing and distribution rights too were acquired. The 1990s also witnessed a string of crucial mergers. with significant interests in Instant Coffee. Lakme Unilever Limited. 1993. clearly marked an inflexion in HUL's and the Group's growth curve. By the end of the year. which markets Huggies Diapers and Kotex Sanitary Pads. HUL and yet another Tata company. acquisitions and mergers. Lakme Limited. In one of the most visible and talked about events of India's corporate history. without any constraints on production capacity. deregulation permitted alliances. were merged with Brooke Bond. Subsequently in 1998. formed a 50:50 joint venture. Removal of the regulatory framework allowed the company to explore every single product and opportunity segment. Detergents and Personal Products both for the domestic market and exports to India. As a measure of backward integration. Tea Estates and Doom Dooma. Kimberly-Clark Lever Ltd. BBLIL merged with HUL.The liberalisation of the Indian economy. and its factory represents the largest manufacturing investment in the Himalayan kingdom.

a leader in value added Marine Products exports.000 crore sales mark the same year followed by Wheel which crossed the Rs. The amalgamation was done to ensure for the Group. HUL made its foray into Ayurvedic health & beauty centre category with the Ayush product range and Ayush Therapy Centres. Project Shakti was started in 2001. there are over 45. the government decided to award 74 per cent equity in Modern Foods to HUL. In January 2000. HUL acquired the government's remaining stake in Modern Foods.000 Shakti entrepreneurs covering over 100. Currently. HUL's entry into Bread is a strategic extension of the company's wheat business.2. On 17th October 2008 . 7|P ag e . Speciality Chemicals and Exports businesses. HUL completed 75 years of corporate existence in India. The two also had a common management pool and a technology base. Direct to home business was launched in 2003 and this was followed by the launch of µPureit¶ water purifier in 2004. besides a common distribution system since 1993 for Personal Products. In 2002. Hindustan Unilever Network. benefits from scale economies both in domestic and export markets and enable it to fund investments required for aggressively building new categories. HUL launched a slew of new business initiatives in the early part of 2000¶s. In 2003.000 crore sales milestone in 2008. thereby beginning the divestment of government equity in public sector undertakings (PSU) to private sector partners. It is a rural initiative that targets small villages populated by less than 5000 individuals. The two companies had significant overlaps in Personal Products. in a historic step. It is a unique win-win initiative that catalyses rural affluence even as it benefits business.000 villages across 15 states and reaching to over 3 million homes.in 1998. In 2007. the Company name was formally changed to Hindustan Unilever Limited after receiving the approval of share holders during the 74th AGM on 18 May 2007. Brooke Bond and Surf Excel breached the the Rs 1. In 2002. HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the Amalgam Group of Companies.

and Axe deosprays. HUL is referred to as a 'CEO Factory' in the Indian press for this reasonIt's leadership building potential was recognized when it was ranked 4th in the Hewitt Global Leadership Survey 2007 with only GE. Kissan squashes and jams. Pepsodent and Close Up toothpaste and brushes. Vaseline lotions. Lakmé beauty products. Domex disinfectant. one of these. Pureit water purifier. Hamam and Moti soaps. Pond's talcs and creams. Annapurna salt and atta. 8|P ag e . Brooke Bond tea. and Surf. Knorr soups & meal makers. Sunsilk and Dove shampoos. Manvinder Singh Banga has become a member of Unilever's Executive (UEx). Some of its brands include Kwality Wall's ice cream. Mission Unilever's mission is to add Vitality to life. Bru coffee.3 million outlets and owns 35 major Indian brands. Fair and Lovely creams. Clinic Plus. Ala bleach. Vim dishwash. Lipton tea.Brands Wheel Detergent ad in rural Nepal area. Rexona. The company has a distribution channel of 6. Lux. Clinic All Clear. Rexona. Lifebuoy. Modern Bread. Breeze. Rin and Wheel laundry detergents. Leadership HUL has produced many business leaders for corporate India. Liril. P&G and Nokia ranking ahead of HUL in the ability to produce leaders with such regularity.

care for the destitute and HIV-positive. Lifebuoy Swasthya Chetana. HUL is also one of the country's largest exporters. it has been recognised as a Golden Super Star Trading House by the Government of India. which now covers 15 states in India with over 45.000 villages. touching the lives of over 600 million people. So far it has reached 120 million people in over 50. through which it creates micro-enterprises for rural women. In 2001. empowerment of women. for instance with relief and rehabilitation after the 2004 tsunami caused devastation in South India. HUL has also responded to national calamities. many with postdoctoral experience acquired in the US and Europe.000 women entrepreneurs in 135.[citation needed] The Hindustan Unilever Research Centre (HURC) was set up in 1958. The programme endeavours to induce adoption of hygienic practices among rural Indians and aims to bring down the incidence of diarrhoea. the company embarked on a programme called Shakti.000 villages. It is also involved in education and rehabilitation of underprivileged children. and estimates that two out of three Indians use its products. focusing on health & hygiene education. or selling it on to scrap merchants unable to deal with it appropriately. Shakti also includes health and hygiene education through the Shakti Vani Programme.000 Shakti entrepreneurs covering 500. It has over 42 factories across India. Controversy mercury pollution In 2001 a thermometer factory in Kodaikanal run by Hindustan Unilever was accused of dumping glass contaminated with mercury in municipal dumps. and water management. HUL also renders services to the community. 9|P ag e . Shakti aims to have 100. and now has facilities in Mumbai and Bangalore. HURC and the Global Technology Centres in India have over 200 highly qualified scientists and technologists. By the end of 2010.000 villages. HUL is also running a rural health programme.Present Stature Hindustan Unilever Limited (HUL) is India's largest fast moving consumer goods company. and rural development.

Harish Manwani .CEO and Managing Director Mr. Mr. after obtaining a degree in BE (Mechanical) and MBA in Marketing (JBIMS) from Mumbai. four whole time Directors and five Independent Non ± Executive Directors. joined the Company as a management trainee in 1987.Executive Chairman. assumed charge as the Non-Executive Chairman of the Company with effect from 1st July. 2005. Nitin Paranjpe . 10 | P a g e . knowledge and experience. The Board of the Company represents the optimum mix of professionalism. Mr. Harish Manwani (55). Nitin Paranjpe (46). This Apex body comprises of a Non.Board of Directors The Board of Directors as repositories of the corporate powers act as a guardian to the Company as also the protectors of shareholder¶s interest.Chairman Mr.

Executive Director. Vittal has 18 years experience in Marketing & Sales in FMCG market including Skin Care. completed his MBA from IIM. Gopal Vittal (42). an alumnus of Madras Christian College.Mr. Sridhar . Calcutta.Executive Director. Sridhar Ramamurthy (45) is a Chartered Accountant (Gold Medallist) as well as a Cost Accountant and Company Secretary. R.Chief Financial Officer Mr. Home & Personal Care Mr. Mr. Gopal Vittal . Mr. 11 | P a g e . Mr Pradeep Banerjee . Supply Chain Mr Pradeep Banerjee (51) joined HUL as a Management Trainee in 1980. Soaps and Laundry.

Independent Director Mr. A.Com graduate and holds a FCA degree from England and Wales. Parekh has held senior positions in Grindlays and Chase Manhattan. S. Narayan . Ramadorai . Narayan (57). S. is a B.Mr. Parekh (64). Mr. Parekh . S. is the Chief Executive Officer and Managing Director of Tata Consultancy Services Limited. Chairman of Tata Technologies Limited and Chairman of CMC Limited. A. Mr. Mr. D. Ramadorai (64). joined ICI India as a Management Trainee in 1973 and grew through diverse functions and businesses before being appointed as the Managing Director of ICI India in 1996. D.Independent Director Mr. 12 | P a g e .Independent Director Mr. S.

R. Mashelkar . 13 | P a g e . Mashelkar (66). A.Independent Director Dr. a network of publicly funded R&D institutes from Asia-Pacific Europe and USA. is presently the President of Global Research Alliance.Dr. R. A.

joined the Company as a management trainee in 1987.CEO and Managing Director Mr. The Management Committee is headed by Mr. Mr. Nitin Paranjpe and has functional heads as its members representing various functions of the Company Mr. Sridhar . after obtaining a degree in BE (Mechanical) and MBA in Marketing (JBIMS) from Mumbai. Nitin Paranjpe (46). 14 | P a g e . Nitin Paranjpe .Management Committee The day-to-day management of affairs of the Company is vested with the Management Committee which is subjected to the overall superintendence and control of the Board.Chief Financial Officer Mr. R. Sridhar Ramamurthy (45) is a Chartered Accountant (Gold Medallist) as well as a Cost Accountant and Company Secretary.

Gopal Vittal (42). Calcutta. Sales Management and Project Management. Gopal Vittal . Mr. 15 | P a g e . Brand & Services Development. Shreejit Mishra (44). Marketing Innovation and Activation.Executive Director.Executive Director. Vittal has 18 years experience in Marketing & Sales in FMCG market including Skin Care.Mr. His 20 year experience in the company comprises of stints in General Management. joined HUL on June 1st 1987. Foods Mr. Home & Personal Care Mr. completed his MBA from IIM. Mr. Soaps and Laundry. Shreejit Mishra . an alumnus of Madras Christian College.

Jamshedpur. Leena (40) is an Electronic Engineer who discovered her passion for people and HR and switched lanes.Executive Director.Executive Director.Executive Director Mr. Hemant Bakshi . Mr Pradeep Banerjee . HR Ms. Supply Chain Mr Pradeep Banerjee (51) joined HUL as a Management Trainee in 1980. Hemanth Bakshi (44) joined the Company in June 1989 and has worked in various sales and marketing assignments spanning across Personal Products and Home Care categories. 16 | P a g e . Leena Nair . Ms. She is a gold medalist and MBA in HR from XLRI.Mr.

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