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An Organization Study on Hindustan Unilever Ltd

CHAPTER 1

INTRODUCTION TO INTENSHIP

Internship mainly focus on organization study and customer availability and market

demand and how to work in present and future to study, internship leads to interns

individual development through challenging occupational coursework, a typical and worthy

extra-curricular activity that helps develop credentials for their semester, it is designed and

planning though consultation with the college or university so as to fill into the

undergraduate practice.

It builds upon the association of any academy institute or university with has

employees, it, it mainly victories when the intern the college the employee all share

conscientiousness in making it a valuable practice.Professional linked occurrence has a lot

names in the college or university in additional to internship.

The project report contains six chapters, which begins require for the study of

industry profile objectives resources analysis and scope of the learn of research method

used etc...The second chapter it covers organization profile background of organization

vision, mission, quality policy, Achievements and Awards, future growth and Prospects,

nature of business etc… The third chapter covers theoretical background of the study it

includes McKinsey 7s Framework Strategy, structure, style, skill, system, staff, shared

value to particularly organization.

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INDUSTRY PROFILE

Hindustan Unilever Limited is rated as best 3Ci Company which is registered with

National Industrial Classification Code 15140 Pond's Talcum Powder's packaging

innovation has secured a Silver Award at the prestigious 24th DuPont Global Packaging

Award, in May 2012. The brand was recognized for cost and waste reduction.

In May 2012, HUL & Star Bazaar received the silver award for 'Creating Consumer

Value through Joint Promotional and Event Forecasting' at the 13th ECR Efficient

Consumer Response Asia Pacific Conference.In 2011, HUL was named the most innovative

company in India by Forbes and ranked 6th in the top 10 list of most innovative companies

in the world.

Hindustan Unilever Ltd received the National Award for Excellence in Corporate

Governance 2011 of the Institute of Company Secretaries of India (ICSI) for excellence in

corporate governance.

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In 2012, Hindustan Unilever emerged as the No. 1 employer of choice for B-School

students who will graduate in 2012. In addition, HUL also retained the 'Dream Employer'

status for the 3rd year running.

Hindustan Unilever ranked No. 2 in Fortune India's Most Admired Companies list,

which was released by Fortune India in partnership with the Hay Group. The company

received the highest scores for endurance and financial soundness.

Fast-moving consumer goods (FMCG) sector is India’s fourth largest sector with

household and personal care accounting for 50 per cent of FMCG sales in India. Growing

awareness, easier access and changing lifestyles have been the key growth drivers for the

sector. The urban segment (accounts for a revenue share of around 55 per cent) is the largest

contributor to the overall revenue generated by the FMCG sector in India. However, in the

last few years, the FMCG market has grown at a faster pace in rural India compared to

urban India. Semi-urban and rural segments are growing at a rapid pace and FMCG

products account for 50 per cent of the total rural spending.

The Government has allowed 100 per cent Foreign Direct Investment (FDI) in food

processing and single-brand retail and 51 per cent in multi-brand retail. This would bolster

employment, supply chain and high visibility for FMCG brands across organised retail

markets thereby bolstering consumer spending and encouraging more product launches. The

sector witnessed healthy FDI inflow of US$ 16.28 billion during April 2000-March 2020.

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Some of the recent developments in the FMCG sector are as follows:

 In May 2020, Tata Consumer Products Limited (TCPL) acquired PepsiCo’s stake in

NourishCo Beverages Limited.

 In March 2020, Hindustan Unilever Limited (HUL) signed an agreement with Glenmark

Pharmaceuticals Ltd to acquire its intimate hygiene brand VWash.

 In March 2020, Venture Catalysts made an investment in OM Bhakti, an organised brand in

the puja cotton-wicks market during its seed-funding round.

 In November 2019, ITC Ltd acquired 33.42 per cent stake in Delectable Technologies,

which is a vending machine start-up.

 Nestle plans to invest Rs 700 crore (US$ 100.16 million) to open a new plant in Sanand for

Maggi.

 ITC to invest Rs 700 crore (US$ 100 million) in food park in Madhya Pradesh.

 Patanjali will spend US$743.72 million in various food parks in Maharashtra, Madhya

Pradesh, Assam, Andhra Pradesh and Uttar Pradesh.

The services sector is not only the dominant sector in India’s GDP, but has also

attracted significant foreign investment, has contributed significantly to export and has

provided large-scale employment. India’s services sector covers a wide variety of activities

such as trade, hotel and restaurants, transport, storage and communication, financing,

insurance, real estate, business services, community, social and personal services, and

services associated with construction.

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CHAPTER 2

COMPANY PROFILE

Managing Director of Hindustan Unilever Limited. He also leads Unilever’s South

Asia business as President, Unilever, South Asia and is a member of the Unilever

Leadership

Executive Sanjiv Mehta is the Chairman and Managing Director of HUL since 30th

June, 2018. He has been leading Unilever’s business in India and South Asia since October

2013 as CEO and Managing Director, HUL and Executive Vice President, Unilever, South

Asia. Sanjiv was appointed as President, Unilever, South Asia and member of the Unilever

Leadership Executive, effective May 2019.

Sanjiv has been with Unilever for 26 years and during the last 17 years has led

businesses in different parts of the world. He has been the Chairman and Managing Director

of Unilever Bangladesh Limited (2002-06), Chairman and CEO of Unilever Philippines Inc.

(2007-08) and Chairman of Unilever - North Africa & Middle East (2008 – September

2013).

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Sanjiv chairs the FMCG Committee of FICCI as well as the national committee on

MNCs of CII. Sanjiv also chairs Xynteo's 'India 2022', a purpose-driven business coalition

of top Indian and MNC companies formed with an intention to solve some of the intractable

environmental and social issues, and is working to create a new model of growth.

He co-chairs the Advisory Network to the High Level Panel for a Sustainable Ocean

Economy. Sanjiv is a member of the India Advisory Board of Harvard Business School and

is a Director on the Board of The Indian School of Business. He is also a member of the

Board of Directors of Breach Candy Hospital Trust, Mumbai.Sanjiv is a Chartered

Accountant from The Institute of Chartered Accountants of India. He has also completed

the Advanced Management Program at Harvard Business School.

HUL as established in the year 1933 under the partnership of three leaders namely Lever brothers,

With boundless determination and perseverance of the above three the company has trudged the tortuous

path to glorification.

Company Name Hindhustanunilever ltd


Date of establishment 1933
Type of Company Public
Type of Business Manufacturing
Nature of Business Foods

 Cleaning agent parson care

product

 Water purifiers

Address Hindustan unalive limited,

Unilever house,

B.D.Sawantmarg,
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Chakala,andhgeri (E),

Mumbai-400099.
State Mumbai
Phone 02250433000
Email Mediacentre.hul@unilever.com
Total area 5acres
Bankers SBI, HDFC
Customers Automobiles based units and

electrical units
Competitive advantages  Use quality tested raw materials

 Use state of the art machinery

 Efficient quality management

system
Certified and Governed by ISO, 9001:2008

NATURE OF THE BUSINESS

The government has issued clarification and explanations on definition of ancillaries

from time to time. These are as follows.

Unit producing intermediates will be recognized as ancillary if units

Units providing servicing facilities e.g. sand blasting machining, pressure cleaning

and grinding will get recognized as ancillary also.

The concept of parent units will also include small scale industries also thus one

small industry function as ancillary to another.

FLOW CHART OF MANUFACTURING PROCESS:

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1 FUTURE GROWTH AND PROSPECTS

The future of Nestles research and development is firmly set on the path of the nutrition,

health and wellness. The innovations and product renovations of the coming years will be

driven by nutrition foods that are tailored to better and meet the needs to the company

consumers. These needs may be defined by the company genes. the metabolites that they

body creates or by the way the brain perceives foods at the same time nestles research and

development is committed to continuous improvement in consumer insights and translating

these into innovative products and packaging to meet consumer needs and performances. In

that future growth and prospects and the performances. In the future growth and prospects

and the commitments of the Nestle India Limited

2. NUTRITION, HEALTH AND WELLNESS:

 Launch more nutrition’s food and beverages especially for children’s.

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 Increase Vegetables, fiber – rich grains, pulses, nuts and seeds in company food and

beverages.

 Simplify their ingredient list and remove the artificial color.

 To promote healthy cooking foods, eating and lifestyle.

3. RURAL DEVELOPMENT

 Improve farm economies among the farmers who supply the company

.  Improve food availability in rural places.

 Implement responsible sourcing in company supply chain and promote welfare.

 Continuously improve company’s green coffee supply chain.

4. WATER

 In future work to achieve water efficiency and sustainability across company operation

.  Advocate for effective water policies and stewardship. “A Study on various factors of

Employee Engagement with special reference to

 They treated the water discharge effectively.

 Raise awareness on water conservation and improve access to water and the sanitation

across the company value chain.

5. ENVIRONMENTAL SUSTAINABILITY

 Provide climate change leadership.

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 Promote transparency and proactive, long – term engagement in climate policy.

 Reduce food loss and water.

 Improve the environmental performance of company packaging.

 Assess and optimize the environmental impact of their products.

 Provide meaningful and accurate environmental information and dialogue.

 Preserve national capital, including forests company people and compliance.

 Improve worker’s livelihoods and protect supply chain.

 Enhance a culture of integrity across the organization.

 Ensure that all Nestle employees are covered by a certified safety and health.

6 . MANAGEMENT SAFETY

 Enhance gender balance in company workforce and mower women across the entire value

chain.

 Provide effective grievance mechanisms to employees and stake holders.

 Provide training and development, business principles, nutrition and the environmental

sustainability.

 Create healthy workplaces to the employees.

7 AWARDS AND ACHIVEMENTS

 Kit Kat adjudged master brand by the world brand congress.

 Safe boiler operations (second place in Karnataka)

 Green tech environment award.

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 Best safety industry award.

 Golden peacock environment management award in 2009 at the golden convention on

climate change.

 The edge billion-ringgit club corporate award 2016.

 Asia recruitment award 2016.

 World panel most chosen brand award.

 Graduate employees award.

SAVING WATER

Nestle as an environmentally conscious company tries to cut down a water consumption as

much as possible. during the last decade nestle Indians’ volume of production has shot up

by more than 100% for the entire portfolio and through continuous improvement, company

water consumption has increased by just 25%. The water withdrawals per ton of product has

red

VISION

Our vision is to grow our business, while decoupling our environmental footprint from our

growth and increasing our positive social impact.

MISSION

Our mission is to add Vitality to life. We meet everyday needs for nutrition, hygiene and

personal care with brands that help people feel good, look good and get more out of life.

QUALITY POLICIES

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HUL is the foundation of the company and fully embedded in the company health and

wellness promise. every product on the self every customer and the consumers contact

helped to shape their trust. A hul brand name on a product is a promise that it constantly

meets company high standards of quality. each and every HUL employees are involved in

dedicating to achieve high quality standards for the company consumers and customers

through the application of the HUL quality management system. In that quality policy there

are.

 FOOD SAFETY ABD FULL COMPLIANCE

Guarantee food safety and full compliance by respecting company policies principals and

standards with full transparency.

 PREFERENCE AND CONSISTENCY

Ensure preferences and consistency to delight consumers and the customers by valuing

what they value and by offering products, systems and services in that always meet or

exceed their expectations. “A Study on various factors of Employee Engagement with

special reference to.

EVERYBODYS COMMITMENT

It across company complete value chain and it all levels of company to build organization

value and the quality culture. the nestle quality policy which applies across the complete

organization and which in complemented by unit specific quality policies is achieved

through the implementation.

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OWNERSHIP PATTERN

HINDUSTAN UNILEVER Limited the name says that the word “Limited” at the end of

the company name it is called as a Public Company. The HUL as a companies act 1956 and

the amendment act 2013. its register having the document of memorandum of association

and the articles of association. the HUL having a maximum number of members and having

an approximately 8 directors including executive and non-executive to direction and control

the company concern. in that the company listed in stock market or stock exchange of

Bombay stock exchange and national stock exchange. hul publicly traded company issues

share and the securities to the public to run the business. hul have a share warrant in that

when the share is fully paid up the company can issue the share warrants to the concerned

people. So, in that hul was truly public company because of only the public companies can

having a share warrants. Share holding pattern. Category of shareholding In percentage

Promoter and promoter group 62.76% Public

 Mutual fund

 Foreign portfolio investors

 Financial institutions / banks

 Insurance company

 Central / State government 37.24%

Board of Directors NAME DECIGNATION Mr. Adithya Narayanan Chairman

and Managing Director Mr. Ashish Sharad Executive Director – Technical Mr. Sanju

Mehta Independent Non-Executive Director MS. Priya Independent Non -Executive

Director MS Kalpana Independent Non-Executive Director Mr. Srinandan Sundaram

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Independent Non-Executive Director Dr. Swati A. Piramal Independent Non -Executive

Director .

HUL company objectives: Ensuring supply at a competitive cost to support growth.

Be brilliant at basics to ensure compliance. Develop and retain people for future growth.

HUL company vision: Our ambition is to be leading Nutrition, Health and Wellness

company with sustainable financial performance.

HUL company mission

Achieve business goal, delight customers through quality people and quality product.

Product Profile

HUL has some 8000brands, with an extensive variety of products across some of market,

along with coffee, bottled water, milkshakes and other beverages, breakfast cereals, infant

foods, performance and health nutrition, seasoning, soups and sauces,soap,shampoo, frozen

and refrigerated ingredients and pet meals. Quality and dietary value are the critical

components in all of its manufacturers.

Introduction to Human Resource Management: Human Resource Management is a

strategic technique to the purchase, EMPLOYEE ENGAGEMENT, improvement and

control of the organizations human resource. It is a specialized field that tries to develop the

ideal company sub – culture and do something like recruiting, paying or training humans, or

dealing with employee relation issues as they arise. The strategies for the application of

HRM will encompass many acquainted capabilities of employee’s manager, together with

manpower planning, selecting, overall performance appraisal, income administration, and

training and development programs. HRM is involved with the effective use of people to

acquire organization and individual objective. Its far a manner of merging human at work,

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in order that supply their exceptional to the business enterprise is the art of procuring,

developing and maintaining workforce to acquire the goal of an enterprise in an effective

and efficient manner.

Definition of HRM

According to Edwin Filippo define HRM as “planning, organizing, directing,

controlling of procurement, development, compensation, integration, maintenance and

separation of human resource to the end that individual, organization and social objectives

are achieved”. According to Carter Mc Namara, “Human Resource Management is based on

the ideas and techniques development to ensure worker employee engagement, productivity

and performance”.

Objectives of HRM

To help the business enterprise to reach its purpose. To employ the abilities and

abilities of the staff efficiently. To offer the employer with properly educated and properly

– encouraged employees. To boom to the fullest, the employee process pride and self-

actualization. To increases and keep a fine of work life. To communicate HR guidelines to

all employees.

Employee Engagement

Employee engagement is a fundamental concept in the effort to understand and

descried, both qualitative and quantitative, the nature of relationship among an organization

and its employee. An “engaged employee” is defined as one who is fully absorbed by and

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passionate about their work and so takes positive action to future the organization and its

objectives.

Definition

William Kahn provided the first formal definition of personal engagement as “the

harnessing of organization members” selves to their work roles, in engagement, people

employee and express themselves physically, cognitively, and emotionally during role

performance”.

Drivers of employee Engagement: Idea work/job role: Employees have to see a link

among their function and the larger organizational purpose. Knowledge this linking presents

an intrinsic motivation and improved engagement. Maximum employees will come to work

on time without possessing that feel success on finishing touch of task.

However, an employee that sees a clear linking on how his/her function contributes

to the organization will cross the extra mile and facilitates to create organizational wealth.

Work Environment/Organization Culture: The bond between an employee and the

corporation is cemented whilst the employee identifies with the subculture of the

organization.

A work is engaged and encouraged to stretch past the decision of duty if she/he

reveals the work surroundings allowing and supportive. Rewards and recognitions: The

bottom line is that people working to earn which helps fulfil goals. Equitable pay coupled

with rewards and recognition programs enhances motivation and ends in commitment and

engment

Learning and Training Opportunities: As lawyer (2006) put it – “people revel in

studying,” This is especially true in the case of today’s millennial workforce that constantly

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seems at improving understanding and ability. Skill imparting a learning way of life is

crucial for companies to stay applicable inside the constantly converting commercial

enterprise panorama. Performance Management: A power performance control system

contributes

Positively to employee performance and timely, rational remarks are crucial factors

in creating a bond between the employee and his / her company.

Leadership

It is a properly recorded truth that most resignations take place due to the fact the

worker isn’t pleased together with his/her ‘boss’. An organization that spends time and

effort in grooming leaders who are aligned to its goals, culture and people invests well. New

age industries have a young and dynamic workforce that looks for autonomy in choice

making, expanded responsibility and accountabilities.

Other factors

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Clear and open communication, high quality of interplay with groups, collaboration,

business enterprise coverage, organization overall performance is all contributing elements

to employee engagement. HUL works to create a better future every day and helps people

feel good, look good and get more out of life with brands and services that are good for

them and good for others. With over 35 brands spanning 20 distinct categories such as

soaps, detergents, shampoos, skin care, toothpastes, deodorants, cosmetics, tea, coffee,

packaged foods, ice cream, and water purifiers, the Company is a part of the everyday life

of millions of consumers across India. Its portfolio includes leading household brands such

as Lux, Lifebuoy, Surf Excel, Rin, Wheel, Fair & Lovely, Pond’s, Vaseline, Lakmé, Dove,

Clinic Plus, Sunsilk, Pepsodent, Closeup, Axe, Brooke Bond, Bru, Knorr, Kissan, Kwality

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CHAPTER-3
McKinsyes’s 7S FRAMEWORK

DEFINATION

McKinsey 7s model is a tool that analyzes firm‟s organizational design by looking at 7

key internal elements: strategy, structure, systems, shared values, style, staff and skills, in

order to identify if they are effectively aligned and allow organization to achieve its

objective.

The Seven Elements:

Hard elements Soft elements


Strategy Shared values
Structure Skills
Systems Style
Staff

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Hard’ elements are easier to defi ne or identify and management can directly influence
them: These are strategy statements: organization charts and reporting lines: and formal
processes and ITsystems.
‘Soft’ elements, on the other hand, can be more difficult to describe, and are less tangible

and more influenced by culture. However, these soft elements are as important as the

hard elements if the organization is going to be successful.

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Board of directors

Managing directors

Productmanager Generalmanager

Refineries Package Boilers Sales Administration


Finance

1 2 3 1 2 3 1 2 3 1 2 3 1 2 3 1 2
3

Supervisor Supervisor Dealer Clerk Accountants

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STRATEGY

Strategy is a plan developed by a TRIDENT AUTOMOBILES PVT LTD., to achieve

sustained competitive advantage and successfully compete in the market.

Identification of product basket. Selection of target markets. Assessment of market demand.

Backward linkage to processing unit. Consortium of processors.

Collaboration with corporative marketing federations. Use of potentials of advances

in information technology. Common outlets for products promoted by commodity

boards. Product promotion.

STRUCTURE

Structure represents the way business divisions and units are organized and includes

the information of swho is accountable to whom. We believe that a flat structure helps

us in being more responsive to the environment while providing enriched roles for our

members. Out structure defines clear roles and supporting relationships but is by no

means rigid. Keeping in mind the fast and ever changing business environs, structure

is dynamic and constantly evolving.

Level of management Top levelmanagement

1. Middle levelmanagement

2. Bottom levelmanagement

3. Top level management

It consists of Managers, Senior Managers, General Managers and Directors.

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Middle level management

It consist of Assistant Managers, Production Managers, Chief Security and Vigilance

officer, Customer and control officer, DeputyManagers.

Bottom level management

It consists of Engineers, Assistants, Senior Engineers, and Senior Chemist etc...

SYSTEMS:

Systems are the processes and procedures of the TRIDENT AUTOMOBILES

PVT.LTD, which reveal business daily activities and how decisions are made, and

procedures that staff members engage in to the jobdone.

TRIDENT AUTOMOBILES has the following

departments:

 Department of finance Personal department

 Research and development department

Quality control department Material department Stores department Electrical

department

SKILLS

Skills are the abilities that firm‟s employees perform very well. They also include

capabilities and competences.

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STAFF

Staff element is concerned with what type and how many employees an organisation

will need and how they will be recruited, trained, motivated andrewarded.

In Hyundai company pvt.ltd there are 174 employees are working in this particular

organisation. In this 15 members are office staff and remaining 159 members are

working in manufacturing sector.

Our staff is a vital tool in securing the success that we enjoy in the competitive market.

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Chapter4
SWOT ANALYSIS OF NESTLE:
STRENGTH

 Strong and well differentiated brands with leading market shares.

 Brand image.

 General license agreement which gives access to the HUL groups. 5000 peoples involved

in Research and Development as well as corporate venture funds. It has 21 research

centers globally.

 Skilled labor

 Quality products.

 High quality and safe food products at affordable price and trust in HUL.

 Product innovation and renovation, based consumes insights.

 Well diversified product portfolio.

 Responsive organization structure and strong management team.

 Efficient distribution networks throughout the country.

 Highly skilled human resources.

 Participation in global business excellence.

WEAKNESS

 Complex supply chain configuration

 Competitive environment with diverse platers  Legal and consumer issues.

 Strong competition by others brands.

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OPPORTUNITES

 Potential for future expansion is smaller town and other geographies.

 Healthy breakfast biscuit oats and other such healthy breakfast alternatives have a big

time future as most breakfast alternatives are heavy and people are becoming more health

conscious.

 Growing demand for premium products.  Growing trend for “Out of Home”

consumption.

 Leverages HUL technology to develop more products that provide nutrition, and wellness

at affordable prices.

 Increasing demand for healthier food products.

THREATS

 Price volatility of raw materials and fuels.

 Price and fuel.

 Growth of private label’s.

 Availability of agro based commodities

 Food inflation.

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CHAPTER 5

BALANCESHEET

BALANCE SHEET AS ON 2019-2020


Rupees in Crores

PROFIT AND LOSS ACCOUNT FOR THE YEAR 2019-2020

PARTICULARS 31/03/2019(RS) 31/03/2020(RS)


INCOME

Revenue from operations 5,385.28 5,981.61


[GROSS]

Less: Excise duty 0.00 0.00

Revenue from operations 5,385.28 5,981.61


[NET]

Total operating revenues 5,397.65 5,992.52

Other Income 104.70 128.71

Total Revenue 5,502.35 6,121.23


EXPENSES

Cost of materials consumed 2,969.70 3243.75

Operating and direct expenses 0.00 0.00

Employee benefit expenses 493.05 589.63

Finance costs 9.09 19.85

Depreciation and 111.31 129.32


Amortization Expenses

Other Expenses 887.90 1,079.64

TOTAL EXPENSES 4,875.88 5,468.34

PROFIT/LOSS BEFORE 626.47 652.89


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EXCEPTIONAL,
EXTRAORDINARY
ITEMS AND TAX

Exceptional items 0.00 0.00


PROFIT/LOSS BEFORE
626.47 652.89
TAX

TAX EXPENSES
CONTINUED
OPERATIONS

Current tax 223.20 181.16

Less: MAT credit entitlement 0.00 0.00

Deferred tax -3.72 -2.29

Other direct taxes 0.00 0.00


TOTAL TAX EXPENSES
219.42 176.60
PROFIT / LOSS AFTER
407.05 476.29
TAX & BEFORE
EXTRAORDINARY ITEMS
PROFIT / LOSS FROM
407.05 476.29
CONTINUING
OPERATIONS
PROFIT / LOSS FOR THE
407.05 476.29
PERIOD

Minority interest 0.00 0.00

CONSOLIDATED PROFIT / 409.74 490.19


LOSS AFTER MI &
ASSOCIATES

OTHER ADDITIONAL
INFORMATION
EARNINGS PER SHARE

DEPT OF MANAGEMENT STUDIES(MBA)


BGSIT, ADICHUNUCHANAGIRI UNIVERSITY Page 28
An Organization Study on Hindustan Unilever Ltd

Basic EPS(RS) 32.00 39.00

Diluted EPS(RS) 32.00 39.00


DIVIDEND & DIVIDEND
PERCENTAGE

Equity share dividend 50.76 63.44

Tax on dividend 10.43 13.04

BALANCE SHEET FOR TWO YEARS 2019 & 2020

LIABILITIES
31/03/2019 31/03/2020

Share holders fund

Equity share capital 126.87 126.87

TOTAL SHARE CAPITAL 126.87 126.87

Reserves & surplus 2,018.51 2,436.61

TOTAL RESERVES & 2,018.51 2,436.61


SURPLUS
TOTAL SHAREHOLDERS
2,145.38 2,563.48
FUNDS

Minority interest 0.00 0.00

NON- CURRENT
LIABILITIES

Long term borrowings 0.00 0.00

Deferred tax liabilities [NET] 0.00 0.00

Other long term liabilities 12.54 21.72

Long term provisions 186.36 207.38


TOTAL NON CURRENT
198.90 229.10
LIABILITIES

CURRENT LIABILITIES

Short term borrowings 0.00 0.00


DEPT OF MANAGEMENT STUDIES(MBA)
BGSIT, ADICHUNUCHANAGIRI UNIVERSITY Page 29
An Organization Study on Hindustan Unilever Ltd

Trade payables 1,236.22 1,429.15

Other current liabilities 97.74 100.87

Short term provisions 33.51 37.67

TOTAL CURRENT 1,367.47 1,567.69


LIABILITIES
TOTAL CAPITAL &
3,711.75 4,360.27
LIABILITIES

ASSETS

NON CURRENT ASSETS

Tangible assets 503.19 703.48

Intangible assets 5.02 5.43

Capital work in progress 43.33 44.08

FIXED ASSETS 551.54 752.99

Non- current investments 520.71 188.82

Deferred tax assets [NET] 34.40 37.49

Long term loans & advances 18.15 18.12

Other non- current assets 123.24 81.13

TOTAL NON- CURRENT 1,248.04 1,078.55


ASSETS
CURRENT ASSETS

Current investments 138.33 378.33

Inventories 888.60 1,198.89

Trade receivables 255.62 281.60

Cash & cash equivalents 1,061.00 1,284.01

Short term loans & advances 2.63 6.74

Other current assets 117.53 132.15


TOTAL CURRENT ASSETS
2,463.71 3,281.72

DEPT OF MANAGEMENT STUDIES(MBA)


BGSIT, ADICHUNUCHANAGIRI UNIVERSITY Page 30
An Organization Study on Hindustan Unilever Ltd

TOTAL ASSETS
3,711.75 4,360.27
OTHER ADDITIONAL
INFORMATION

CONTINGENT LIABILITIES

Contingent liabilities 1,541.64 1,585.79

BONUS DETAILS

Bonus equity share capital 10.80 10.80

NON-CURRENT
INVESTMENTS

Non-current investments quoted 0.00 0.00


market value

Non-current investments 520.71 0.00


unquoted book value
CURRENT INVESTMENTS

Current investments quoted 0.00 0.00


market value

Current investments 138.33 378.33


unquoted
book value

RATIO ANALYSIS

1. Calculation of current ratio

Calculation of current ratio for the year 2019

DEPT OF MANAGEMENT STUDIES(MBA)


BGSIT, ADICHUNUCHANAGIRI UNIVERSITY Page 31
An Organization Study on Hindustan Unilever Ltd

Current ratio = current assets / current liabilities

= 2,463.71/1,367.47

= 1.80%

Calculation of current ratio for the year 2020

Current ratio = current assets / current liabilities

= 3,281.72/ 1,567.69

= 2.09%

Interpretation: Current ratio in the year 2019 value is 1.80 & the year 2020 value is 2.09.
Comparing to these two years 2020 current ratio is higher.

2. Calculation of working capital ratio

Calculation of working capital ratio for the year 2019

Working capital ratio = current assets / current liabilities

= 2,463.71/ 1,367.47

= 1.80%

Calculation of working capital ratio for the year 2020

Working capital ratio = current assets / current liabilities

=3,281.72/1,567.69

= 2.09%

DEPT OF MANAGEMENT STUDIES(MBA)


BGSIT, ADICHUNUCHANAGIRI UNIVERSITY Page 32
An Organization Study on Hindustan Unilever Ltd

Interpretation: Working capital ratio in the year 2019 value is 1.80 & the year 2020 value is
2.09. Comparing to these two years 2020 working capital ratio is higher.

3. Calculation of solvency ratio

Calculation of solvency ratio for the year 2019

Solvency ratio = Total assets/ Total liability

= 3711.75/1,367.47

= 2.71%

Calculation of solvency ratio for the year 2020

Solvency ratio = Total assets/ Total liability

= 4,360.27/1,567.69

= 2.78%

Interpretation: Solvency ratio in the year 2019 value is 2.71 & the year 2020 value is 2.78.
Comparing to these two years 2020 solvency ratio is higher.

4. Calculation of cash ratio

Calculation of cash ratio for the year 2019

Cash ratio = Cash & cash equivalent/ Total current assets

= 1,061.00/3,711.75

= 0.28%

Calculation of cash ratio for the year 2020

Cash ratio = Cash & cash equivalent/ Total current assets

= 1,284.01/3,281.72
= 0.39

DEPT OF MANAGEMENT STUDIES(MBA)


BGSIT, ADICHUNUCHANAGIRI UNIVERSITY Page 33
ORGANISATION STUDY ON HINDUSTAN UNILEVER LIMITED

Interpretation: Cash ratio in the year 2019 value is 0.28 & the year 2020 value is 0.39. Comparing
to these two years 2020 cash ratio is higher.

5. Calculation of net working capital ratio

Calculation of net working capital ratio for the year 2019

Net working capital ratio = Current assets – Current liability

= 2,463.71-1,367.47

=1,096.24

Calculation of net working capital ratio for the year 2020

Net working capital ratio = Current assets – Current liability

= 3,281.72-1,567.69

= 1,714.03

Interpretation: Net working capital ratio in the year 2019 value is 1,096.24 & the year 2020
value is 1,714.03. Comparing to these two years 2020 net working capital ratio is higher.

Page 34
DEPARTMENT OF MANAGEMENT STUDIES (MBA)
BGSIT, ADICHUNCHANAGIRI UNIVERSITY
ORGANISATION STUDY ON HINDUSTAN UNILEVER LIMITED

CHAPTER-6

LEARNING EXPERIENCE

My learning experience in the company was very pleasant. The response and support I

got from the management and staffs were appreciable. This training helped me to know

practicalities. I learned about management from practical perspective and I learnt about

organizations to how it works in management aspects and the policies and procedures totally it

was a highly useful training for me in the company.

During the first week. It was new experience entering into the organization. The training was

very informative and useful as it enables us to have a corporate look over the functioning of

each and every department of the company apart from the theoretical knowledge. During the

month of my internship for the period of one month at HINDUSTAN UNILEVER

MANUFACTURER LTD. I have understood how the industryfunctioning.

 I have observed and understand the professional environment which has helped me to improve

my knowledge andskills.

 Since, the working experience in the purchase deportment has imparted me with the

knowledge about its working andfunctions.

In company they give the information about all the plants and they give a chance to attend an

employee meeting and GST class, do a work in the finance and HR deportment. To conclude,

this project has given me practical exposure in the study of organization. It was a great

experience working. Where I learnt many things about the functioning of the organization in

accordance with the present market trends. The main purpose of the organization study is to

make student acquainted with the practical knowledge the overall functioning of the

organization.

Page 35
DEPARTMENT OF MANAGEMENT STUDIES (MBA)
BGSIT, ADICHUNCHANAGIRI UNIVERSITY
ORGANISATION STUDY ON HINDUSTAN UNILEVER LIMITED

BIBILIOGRAPHY

 www.hul.com
 www.moneycontrol.com
 www.capitalmarket.com

Page 36
DEPARTMENT OF MANAGEMENT STUDIES (MBA)
BGSIT, ADICHUNCHANAGIRI UNIVERSITY

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