A Report on Information Systems of Hindustan Unilever Limited (HUL) and

Anand Milk Union Limited (AMUL)

Submitted by

VIMAL SHARMA - 2127629

ADITI MISHRA - 2127634

BETHU MEDHINI - 2127639

KEERTHANA G - 2127644

NEOLA CLEO REGO - 2127649

Under the Guidance of

Prof. VERTIKA VERMA

MBA PROGRAMME
SCHOOL OF BUSINESS AND MANAGEMENT
CHRIST (DEEMED TO BE UNIVERSITY), BANGALORE
 JUNE 2021
Introduction to IT:

Information Technology is a subgroup of Information Systems. IT refers to dividing the work based on
management and processing of information using technology through databases and computer technology.
Information systems entail utilizing information technology to create products, services, and capabilities that
give a corporation a significant competitive advantage over its global competitors.
Basic Strategies of IT used in the business:
1. Lowers cost of business processes
2. Developing IT features to differentiate products and services
3. Develop unique new markets with the help of IT
4. Using IT to manage regional and global business expansion
5. Develops alliances

Introduction to IS:
Information system touches everything that has to do with this constantly connected digital world. There is a lot
of information in the world, and it needs to be stored, categorized, and sorted. Here, Information Systems
comes into the picture to manage this massive increase in data storage. IS helps in create, store, find and access
this information. Information systems are a set of computer-based tools for collecting, storing, and processing
data. Businesses and other organizations rely on information systems for proper functioning, introducing new
products or services, creating a competitive advantage, customer and supplier intimacy, and many more. All the
online services and social networking are provided and operated by information systems. (Marakas)

Components of IS
1. People
2. Networks
3. Software
4. Hardware
5. Data

Importance of IS in Business:
1. Operational Excellence
2. New product services and business models
3. Customer and Supplier intimacy
4. Improved decision making
 5. Competitive advantage
6. Day to day survival

Introduction to AMUL:
AMUL is an Indian dairy corporative society formed in 1946. AMUL is managed by a corporative body,
Gujarat Co-operative Milk Marketing Federation Ltd (GCMMFL). AMUL’s advertisement, adaptability, unity,
and supply chain are factors that led to AMUL’s success. 

AMUL started implementing ERP in phases. Automatic milk collection system units (AMCUS) at village
society were installed in the first phase to automate milk production logistics. Enterprise-wise integrated
application systems (EIAS), GIS, VSATs are implemented as well. The rural people are getting benefitted much
by the IT initiatives. 

Introduction to HUL:
The Lever Brothers was a British soap-making company. They introduced sunlight soap in the 1890s. On the
other side, a company named ‘Margarine Unie’ was formed in 1927. This company sold Margarine. In 1930,
the Lever Brothers merged with Margarine Unie. They came up with the name “Unilever.” From teas to
pepsodent, the company got into different segments. They have three major elements:
1. Home care products
2. Personal care products
3. Food products
Unilever’s flexible pricing, marketing, and expertise in distribution channels have led to its emergence in
different countries worldwide. Today HUL is one of the world’s largest consumer goods companies.

HUL leverages technology and data-led decision-making for growth. The C4G program has led to faster
decision-making, localized and swifter innovation, and increased market speed, driving business performance.
Thrust on technology and intelligent analytics at the backend has helped the company deliver better on-shelf
availability in stores to its universe of seven million stores.
Outline of Hindustan Unilever Limited

In Hindustan Unilever, Information System is all about management, development, and use of computer-based
systems to make a better decision for the growth of the organization.

Hindustan Unilever’s production of products and selling them is highly dependent on the IT infrastructure. To
estimate the demand, preference of demand, supplier side contact, distribution network, & employee
management is all dependent on IT.

Enterprise System

To meet all sorts of demands and to stay ahead of the competition, HUL parent company made a system known
as “ONE UNILEVER” to improve its products and service and make an ecosystem, where all the internal work
can be on one platform and can be accessed by management and employees for planning, forecasting, improve
supply chains, better delivery, improvement of process and easy traceability of fault. It uses Software’s to buy
everything and saves a considerable amount of money,

HUL has about 1 Lakh computers and 10k servers, all of which collect data and the data is cleaned and audited
to make a better decision. It also uses Global Universal Software Library.

Management Information System

Hindustan Unilever uses Software to stack the Shelves.

HUL uses Kalido’s Master Data Management and Dynamic Information System to analyze the data and
decision regarding the supply chain management is made bases on data collected and produced by this
Software.

SAP

Unilever, the parent company of Hindustan Unilever, signed an agreement with SAP in 2006 for a strategic
partnership for a long term for a customized IT infrastructure for the needs of FMCG company. SAP provides
solutions for companies based on their needs.

CRM

RABTA is used by HUL to record the details of all the clients, business partners.
Human Resource Information System (HRIS) - Peoplesoft

HUL uses the HRIS to take the attendance of employees, employee details, salary, recruitment, resume filter,
and any updated information that can be passed by HRIS(Peoplesoft). Being a Non-IT company, IT plays a
dominating role in making decisions in HR Department.

Sales & Distribution System

ULTRA is an inventory management software and provides and exchanges information between its warehouse
and distribution points in the country. This Software produces the data, which will alert the manufacturer,
distribution partner, warehouses. If any distributor has less inventory, the system will generate alerts to all
stakeholders, and the manufacturer can make more of the product to meet any sort of increased demand. All
sorts of data are analyzed and monitored by top management for the decision is remove the product line if the
demand is less of the product.

Geographic Information Systems (GIS)

GDSN

Global Data Synchronization Network is a system to connect both buyer and seller of manufacturing firm and
data is pooled in a centralized system, which helps in tracking the orders, no excess production.

Private Exchange

HUL parent company Unilever has a private exchange for faster communication with all its stakeholders. A
private exchange is built by IBM to fulfill the basic needs of UNILEVER, which operates worldwide. It helps in
Business-to-Business Collaboration and maintains a world-class supply chain.
ARIBA

ARIBA provides a supply chain solution. It helps HUL to place orders with raw material suppliers and can
bargain on the price and quantity easily.

How all system works together

All the information flows together from different participants in the process, and the management takes the
decision.
Hardware

 Smart Fill – To reduce plastic, it gave an option to consumers to refill products from HUL brands and
can be used as a smart refiller.
 PPE – Device used equipment with Software to detect employees using software equipment or not
 Automated Guided Vehicle – used for lifting of heavy products loading and unloading
 Robotics Case Packer – Are used to pack the products more efficiently than humans.
 Conveyor – It is used in the process to manufacture the product where the product is used to pass the
product from one section to another

Future of IT in HUL

HUL is constantly thriving to implement automation and upgrade its IT infrastructure depending upon the
trend. It has replaced a lot of Software in the past and added new Software’s in the system to become highly
efficient, to be ahead of its competitors.
AMUL DAIRY
Components of IS:
Hardware
Tubular battery:
For lengthy power backup demands, a tubular battery for the inverter is better fitted and has a longer service
life. This best inverter battery necessitates fewer water refills. Tubular batteries have a more extended warranty
period than flat plate batteries.
Digital Indicator:
Digital indicators are adaptable devices that can be utilized in various settings, including industry and research,
and also for a wide range of measurement tasks. Temperature, humidity, vibration, normalized signals, and
other factors can be displayed using digital indicators.
Weighing Scale:
Weighing scales are a type of scale used to determine the weight or mass of an object. The name scales is
coined from the pair of scales or dishes in which the things to be measured are placed and the weights/masses
against which they are to be weighed.
Digital Lactometer:
A lactometer is a tiny glass instrument used to determine the purity of milk. It is based on Archimede’s
Principle (the specific gravity of milk). It determines the density of milk concerning water.
Milk Analyzer:
The Milk Analyzer can analyze fat and SNF, Protein, Lactose, Density, Added Water, Solids, and
Temperature. Milk Analyzer is also known as Ultrasonic Milk Analyzer since it works on the concept of
Ultrasonic waves.

Software:
ERP:
Enterprise-wide Integrated Application System (EIAS) is used to perform almost all the functions such as
distribution network planning, stock control, advertising and promotion, distribution networking planning.
Geographic Information Systems (GIS):
Amul’s GIS is used for collection-level business planning since it captures farmer-member census data,
including animal census data. This has helped Amul to understand information about milk output and animal
productivity in Gujarat by region.
Dairy Information System KIOSK:
A Dairy Portal (DP) and a Dairy Information Services Kiosk are two program components (DISK). The app
caters to providing timely instructions to farmers and educating them on how to care for their cattle to increase
the production of high-quality milk.
People:
State Federation District level chairperson, Registrar of Cooperative, NDDB
District Chairperson of Village, Dairy Cooperative Societies, BOD, MD
Village Milk Producers, Managing Committee

Process:
With the implementation of IT, Amul was able to process 10 million payments daily. This aided in improving
the transparency of the mechanism. Amul was able to collect more than six liters of milk per day. Time
consumption was significantly less as the process was being digitalized. Amul follows the six-sigma accuracy
for supply chain management. There’s an increase in demand due to online orders, and even the distributors
were able to place online orders. Amul has an international presence in West Asia, Africa, and the USA. At
first, the company supplies its products to the wholesaler or the franchise dealer and then to the retailer.
Customers get the products from the retailer.
Data:
The company fetches the data from the customers via the Amul website, and three apps, namely Amul Farmers
App - Milk Farmers, can verify their daily milk data with a click. Farmers App is a free Android application for
all milk producers. Amul milk union App- To keep Societies and Milk Farmers in the loop about what’s going
on, The Milk Union App is a free Android app available to all Milk Unions. The application displays the state
of the Milk Collection Units and Farm on a daily, monthly, and annual basis, allowing you to keep a close eye
on them. Amul online App – It is a mobile platform that will enable you to order an extensive range of Amul
items from the convenience of your own home or office, including fresh milk, curd, butter, chocolates, cheese,
cool beverages, candies, and more.
Application of Information System:

Management Information System (MIS)

 Amul has partnered with IBM, and they provide Enterprise Resource Planning services, application
management, and infrastructure provision for Gujarat Cooperative Milk Marketing Federation
(GCMMF).
 The Automated Milk Collection System Units (AMCUS) were deployed to automate the milk
production supply chain.
  It is a designed integrated unit that comprises of automatic milk analyzer, automatic weighing system,
and electronic milk testing to increase the operational efficiency and accuracy of fat testing in milk.
 Over 3,000 Automatic Milk Collection System Units have been deployed at village societies to fetch
milk fat content, the sum payable to the members, collect members’ information. This has proven to be
crucial in ensuring transparency with the organization.
 The production of about 6,000,000 liters of milk each day from around 10,675 different village
cooperative societies across Gujarat, and the storing, handling, and distributing of milk items at the 12
region dairy societies are done precisely.

Enterprise-wide Integrated Application System (EIAS):

 Tata Consultancy Services handles the ERP software development project called the Enterprise-wide
Integrated Application System (EIAS) on turnkey basis.
 The EIAS system offers umpteen operations like sales and accounting, market planning, distribution
network planning, stock control, advertising and promotion, distribution networking planning,
cooperative service management, budgetary control, and quality control management.
 For a seamless delivery of information, Amul has connected all of its zonal offices, regional offices, and
member dairies via VSATs.
 The customized ERP EIAS was created to be integrated with multiple supply chains and external
systems.

 Amul’s offices are all linked through email, and they all send daily reports on sales and inventory to the
central system. The Software is platform-independent and can work on any operating system.
 Retail B2B
B2C Whole Sale Depots, Retailers, Direct consumer Base
Portal

EIAS
GIS Depots Depots
Internet
Zones Zones
SCM
HO

ERP
DISK Member Supplier Transport

Fig. Structure of the Information Systems

Geographic Information Systems (GIS):

 Amul has been experimenting with Geographic Information Systems (GIS). GIS is used in the
company’s headquarters and critical marketing offices.
 Using the Indian map in GIS, the corporation can plot zone/depot boundaries and a pointer for zone,
depot, and distributor locations, which are superimposed by product-wise sales data.
 Amul’s GIS is used for collection-level business planning since it captures farmer-member census data,
including animal census data.
 It helps Amul to understand information about milk output and animal productivity in Gujarat by region.
 This aids in projecting the milk production by region and, if necessary, provides solutions for areas with
lower milk production rates.
 This technology can also be used to monitor veterinary health and prevent disease outbreaks.
Dairy Information System KIOSK (DISK):
 The application was developed by IIM-Ahmedabad’s (IIMA) e-governance center. A Dairy Portal (DP)
and a Dairy Information Services Kiosk are two program components (DISK).
 The app caters to providing timely instructions to farmers and educating them on how to care for their
cattle to increase the production of high-quality milk.
 In addition to automating milk collection, the system will be used for data analysis and decision support
to improve milk collection.
  The KIOSK would also include an extensive database detailing the history of the farmers’ cattle. This
would include information such as the cattle’s medical history, reproductive cycle, and disease history.
 The framers will also access milk production information, including best practices in cattle breeding and
rearing.

Sale and Distribution system:

 The GCMFF uses Botree software for Salesforce Automation and Distribution Management Solutions.
 To automate the distribution to have greater visibility into secondary sales, stock, claims, scheme
spends, channels, beats, salesman productivity, salesmen coverage, and distributor service levels.
 The Sales Information System is part of the Logistic Information System (LIS), which includes various
other information systems such as Purchasing and Shop Floor.
 It can be used as a control and planning tool at many stages of the decision-making process, allowing
one to notice market developments and economic trends early on and take necessary action.
Comparison of Information System Between HUL And AMUL

Implementation of HUL AMUL

Information system
Enterprise One Unilever, where internal work is under Enterprise-Wide Integrated Application
Information System one platform and is easily accessible by the System (EIAS), a customized software
management and employees for planning, created to be integrated with multiple
forecasting, improving supply chains, supply chain and external systems. It
better delivery, improvement of process, performs all functions such as
and easy traceability of mistakes. distribution network planning, stock
control, advertising, and promoting.
Management All departments are connected through Automated Milk Collection System
Information System Intranet, and employees are given separate (AMCUS), deployed to automate the
login IDs. They can access only through a milk production supply chain.
department linkage like the user to Storage, handling, and distribution of
KANDLA SEZ, which is provided only to milk.
a specific class of employees.

Kalido’s Master Data Management and

Dynamic Information System help in
decision-making with the data collected
under the supply chain.
Sales & Distribution The company follows certain Software like
System
ULTRA (Unilever Trade Automation) for
inventory management to provide details
with regard to warehouse and distribution.
ARIBA relates to placing an order for raw
materials and provides intimation about
prices.
Botree software used for Salesforce
Automation and Distribution
Management Solution and also used as a
control and planning tool at many stages
of the decision-making process,
allowing to notice market trends early
and take necessary action.
Conclusion
As observed, HUL and AMUL are companies of two distinct nature, where one focuses on fast-moving
consumer goods ranging from skincare, haircare, oral care, etc. AMUL is a cooperative dairy society that
produces milk and milk products.
HUL uses hardware such as smart fill, automated guided vehicle, conveyor, and robotics case packer whereas,
AMUL uses milk production-specific hardware such as an automatic milk analyzer, automatic weighing system,
and electronic milk testing is used along with computers and servers to increase the operational efficiency and
accuracy at the company.

Based on the comparison that is made on HUL & AMUL, they exhibit similarities in terms of using Information
Systems like EIS, MIS, and Sales distribution systems.
The organizations are able to meet global challenges, grasp opportunities, link departments that are not similar,
and help the organization to compete in the market.

We can conclude that Information Systems are beneficial in terms of planning and control, data analysis, data
storage, improved decision making, and resulting in inefficient operations in the organization.
Hence, Information technology and information system are no more a luxury for any company rather it is a
mandatory implementation for survival.
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