2 1

4 3
5 ORGANIZATIONAL
7 6 PROJECT REPORT
DESIGN
on
ORGANIZATIONAL
STRUCTURE OF HINDUSTAN
UNILEVER
Submitted to Submitted by
Prof Rameshwara Shivadas Ture Group 13
 2 Organizational Structure 1
4 3 Organizational Structure is a system which defines how the
activities are conducted in an organization, to achieve the
goals.

6 5 The structure of any organization is very important because

it's how the information travels in the company. It also

7 decides the core values of the organization and helps in

uniting the employees to achieve common goals. Having
proper Organizational structure in place helps the company
to work in an efficient manner and remain focused.

Need of Organizational Structure

a. Efficient governing and managing of workflow
b. Lays out path for information flow
c. Sets Hierarchy of functions
d. Sets reporting relationship in the organization
e. Avoids confusion and conflicts in the organization
 21
4 3 About the Company
Hindustan Unilever Limited (HUL), a subsidiary of Unilever (a British company), is an

5
Indian consumer goods company headquartered in Mumbai, India. It offers a wide
range of products including foods, beverages, personal care products, cleaning

7 6 agents, water purifiers and other fast-moving consumer goods.

HUL was established as Hindustan Vanaspati Manufacturing Co. in 1931 and after
merger with constituent groups in 1956, and after that it was renamed as Hindustan
Lever Limited. The company was renamed in June 2007 as Hindustan Unilever
Limited.
As of 2019 Hindustan Unilever's portfolio had 35 product brands in
20 categories. The company has 18,000 employees and clocked
sales of ₹34,619 crores in FY 2017–18.

Vision
HUL’s goal is to bring vitality to life. With products that make
individuals feel good, look good and get more out of life, fulfill
daily needs for wellness, grooming and personal care.
 Organizational Structure Followed
21
4
Product based Organizational Structure
Hindustan Unilever is the market leader in India, with its presence in more 3
5
than 20 consumer product categories under the product line of personal care,
food, home care, refreshments and  other fast moving consumer goods.

7 6 Hindustan Unilever follows a product based divisional structure on the core

level of its operations.
Each product line of HUL serves as a separate brand in itself and works as a
small separate organization.

Hindustan Unilever Limited

Food and Nutrition Personal Care Home Care

BRU Coffee Dove Domex

Knorr Vaseline Surf Excel
Horlicks Lakme Pure It
 Organizational Structure Followed
21
Geographical Divisional Organizational Structure
Unilever, parent company of HUL has multiple subsidiaries in different
43
6 5 countries working as an independent organization. These subsidiaries from
different geographical locations, work as a separate division under parent

7
company, few of them are Unilever United States, Unilever Australasia,
Unilever Nigeria, etc. Each geographical based division has a separate game
plan for product development, marketing and distribution of products, in
regard to customer values and culture of the location.

Unilever Group

Unilever Australasia Unilever Bangladesh Unilever Pakistan

Unilever Canada Hindustan Unilever Unilever Australasia

 Organisational Structure Followed
21
3
Matrix Organizational Structure

4
Matrix structure of any organization is formed from two or more different types
of organizational structure. Their frameworks when amalgamated together

6
gives a completely new structure which is derived from all of them and provides
an equilibrium to the structure of the company to give it a Matrix form. In this 5
7 each team is managed by two or more than two heads.
The organizational structure of the Unilever group is an amalgamation of two
different divisional structures. 
1.Product based Divisional Structure
2.Geographical based Divisional Structure

Taking Hindustan Unilever Limited into consideration, we can see that each
product line serves as a different entity having a separate division of its own on
the core level. All the separate entities or product divisions are governed by
HUL at the top. 
Also, the Unilever group is divided into geographical divisions as we talked
above and then each division works according to the culture of the region, they
are in. These geographical divisions govern their pre-existing product divisions.
 Matrix Structure Unilever Group
21
43
Geographical Hindustan Unilever
Other International
Groups
65
7
Food & Nutrition Personal Care Home Care
Product Based

BRU Coffee LAKME Domex

Brook Bond PONDS Pure it

Horlicks Dove Surf Excel

Lipton Sunsilk Cif

Benefits of HUL’s Organizational Structure 21
a. Enables Product Differentiation
43
b.
c.
Innovation, Research and Development
Room for adaptability for Stakeholders
65
7
d. Better Accountability
e. Avoids Overlapping of Functions
f. Prevents Deadlocks and Provides Operational Equilibrium

Hindrances of HUL’s Organizational Structure

a. Goal Misalignment
b. Competition between divisions
c. There can be a loss of middle authority
THANK
YOU
Presented by
Group 13
Christopher Domai Tholou MBA20298 christopher.mba20298@iimkashipur.ac.in
Dimpy Naik MBA20299 dimpy.mba20299@iimkashipur.ac.in
Mitesh Billore MBA20300 mitesh.mba20300@iimkashipur.ac.in
Mohammad Ali Siddiqui MBA20301 mohammad.mba20301@iimkashipur.ac.in
Siddharth Gupta MBA20303 siddharth.mba20303@iimkashipur.ac.in