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2016-2017
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II Year
CHAPTER 1
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
CHAPTER 2
INTRODUCTION
INTRODUCTION
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. 20, 239 crores (for the 15 month period – January
suppliers of fast moving consumer goods with strong local roots in more than 100
countries across the globe with annual sales of €40.5 billion in 2008. Unilever has
about 52% shareholding in HUL. Hindustan Unilever was recently rated among the
top four companies globally in the list of “Global Top Companies for Leaders” by
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 “add vitality to life". The company meets everyday needs for
nutrition, hygiene, and personal care, with brands that help people feel good, look
good and get more out of life. It is a mission HUL shares with its parent company,
HUL’s heritage dates back to 1888, when the first Unilever product, Sunlight, was
Lever Limited (The company was renamed Hindustan Unilever Limited on June
25, 2007). The company created history when it offered equity to Indian
shareholders, becoming the first foreign subsidiary company to do so. Today, the
HUL’s brands -- like Lifebuoy, Lux, Surf Excel, Rin, Wheel, Fair & Lovely,
Annapurna, Kwality-Walls - are household names across the country and span
many categories - soaps, detergents, personal products, tea, coffee, branded staples,
ice cream and culinary products. They are manufactured in over 35 factories,
several of them in backward areas of the country. The operations involve over
2,000 suppliers and associates. HUL's distribution network covers 6.3 million retail
HUL has traditionally been a company, which incorporates latest technology in all
its operations. The Hindustan Lever Research Centre (now Hindustan Unilever
HUL believes that an organisation’s worth is also in the service it renders to the
and rehabilitation of special or underprivileged children, care for the destitute and
HIV-positive, and rural development. HUL has also responded in case of national
recent being the relief and rehabilitation of the people affected by the Tsunami
disaster, in India.
HUL’s Project Shakti is a rural initiative that targets small villages populated by
opportunities for rural women, thereby improving their livelihood and the standard
of living in rural communities. Shakti also provides health and hygiene education
through the Shakti Vani programme.The program now covers 15 states in India
and has over 45,000 women entrepreneurs in its fold, reaching out to 100,000
HUL also runs a rural health programme, Lifebuoy Swasthya Chetana. The
single-minded in identifying itself with Indian aspirations and needs in every walk
of life.
CHAPTER 3
ORGANIZATION STRUCTURE
ORGANIZATION STRUCTURE
History of HUL
In the summer of 1888, visitors to the Kolkata harbour noticed crates full of
England by Lever Brothers". With it, began an era of marketing branded Fast
Soon after followed Lifebuoy in 1895 and other famous brands like Pears, Lux and
Vim. Vanaspati was launched in 1918 and the famous Dalda brand came to the
market in 1937.
United Traders Limited (1935). These three companies merged to form HUL in
November 1956; HUL offered 10% of its equity to the Indian public, being the first
among the foreign subsidiaries to do so. Unilever now holds 52.10% equity in the
company had launched Red Label tea in the country. In 1912, Brooke Bond & Co.
India Limited was formed. Brooke Bond joined the Unilever fold in 1984 through
an international acquisition. The erstwhile Lipton's links with India were forged in
1898. Unilever acquired Lipton in 1972 and in 1977 Lipton Tea (India) Limited
was incorporated.
Pond's (India) Limited had been present in India since 1947. It joined the
1986.
Since the very early years, HUL has vigorously responded to the stimulus of
in HUL's and the Group's growth curve. Removal of the regulatory framework
allowed the company to explore every single product and opportunity segment,
of the most visible and talked about events of India's corporate history, the
erstwhile Tata Oil Mills Company (TOMCO) merged with HUL, effective from
April 1, 1993. In 1996, HUL and yet another Tata company, Lakme Limited,
formed a 50:50 joint venture, Lakme Unilever Limited, to market Lakme's market-
Subsequently in 1998, Lakme Limited sold its brands to HUL and divested its 50%
HUL formed a 50-50 joint venture with the US-based Kimberly Clark Corporation
in 1994, Kimberly-Clark Lever Ltd, which markets Huggies Diapers and Kotex
Sanitary Pads. HUL has also set up a subsidiary in Nepal, Unilever Nepal Limited
(UNL), and its factory represents the largest manufacturing investment in the
Himalayan kingdom. The UNL factory manufactures HUL's products like Soaps,
Detergents and Personal Products both for the domestic market and exports to
India.
The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on
the Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired
acquired the Kissan business from the UB Group and the Dollops Ice-cream
plantation companies of Unilever, were merged with Brooke Bond. Then in 1994,
Brooke Bond India and Lipton India merged to form Brooke Bond Lipton India
Limited (BBLIL), enabling greater focus and ensuring synergy in the traditional
Beverages business. 1994 witnessed BBLIL launching the Wall's range of Frozen
Desserts. By the end of the year, the company entered into a strategic alliance with
the Kwality Ice-cream Group families and in 1995 the Milk-food 100% Ice-cream
Finally, BBLIL merged with HUL, with effect from January 1, 1996. The internal
restructuring culminated in the merger of Pond's (India) Limited (PIL) with HUL
system since 1993 for Personal Products. The two also had a common management
pool and a technology base. The amalgamation was done to ensure for the Group,
benefits from scale economies both in domestic and export markets and enable it
In January 2000, in a historic step, the government decided to award 74 per cent
equity in public sector undertakings (PSU) to private sector partners. HUL's entry
into Bread is a strategic extension of the company's wheat business. In 2002, HUL
exports.
HUL launched a slew of new business initiatives in the early part of 2000’s.
Project Shakti was started in 2001. It is a rural initiative that targets small villages
catalyses rural affluence even as it benefits business. Currently, there are over
45,000 Shakti entrepreneurs covering over 100,000 villages across 15 states and
In 2002 In 2002, HUL made its foray into Ayurvedic health & beauty centre
category with the Ayush product range and Ayush Therapy Centr es. Hindustan
Unilever Network, Direct to home business was launched in 2003 and this was
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 1,000 crore sales mark the
same year followed by Wheel which crossed the Rs.2,000 crore sales milestone in
2008.
PRODUCT RANGE
PRODUCT RANGE
Surf Excel was introduced in 1959. It is apioneer in the Indian detergent powder
market, Surf Excel has constantly upgraded itself over the years, to answer the
constantly changing washing needs of the Indian homemaker. Today Surf Excel
offers outstanding stain removal ability on a wide range of stains. Surf Excel quick
and time taken for rinsing by 50%. It is a significant benefit, given the acute water
VIM BAR
Created in 1885, the Vim brand is still innovating and using the magic of natural
Vim was the original hand dishwashing brand: so we invented the whole category!
Vim is sold in four continents, is the leading hand dishwashing brand in twenty
countries, and is available to more than 2 billion people around the world.
Vim began life as a soap (both in England, and in Thailand, where King Rama V
asked Unilever to supply his household with soap), but is now available as a
Cif- The World’s leading cream cleaner which gives you the power to deal with
Russia.
Food brands
HUL is one of India’s leading food companies. Our passion for understanding what
people want and need from their food - and what they love about it - makes our
coffee segment launching Deluxe Green Label. 1968 gave birth to the first
Key Facts
Enjoys a rich heritage, came into existence in 1962 under the brand name Deluxe
Green Label
Consistently offering better and newer products to the consumer through improved
Heartbrand.
Heartbrand products are sold in more than 40 countries worldwide and has an
Also sold as Algida in Italy & Turkey, Langnese in Germany, Kibon in Brazil,
TAJ MAHAL
Taj Mahal is the most premium brand of tea in the Indian market.
It was the first brand to launch tea bags and is the only tea brand in India to be sold
Our personal care brands, including Axe, Dove, Lux, Pond's, Rexona and Sunsilk,
are recognised and love by consumers across India. They help consumers to look
good and feel good – and in turn get more out of life.
Launched first in the US in 1957; is one of the leading brands of Unilever globally.
Dove has its footprint in 80 countries worldwide with a range of superior products
LAKME
Lakme was the first major beauty brand in India and takes pride in being the expert
products and extending to beauty services through the network of Lakme Beauty
Salons.
Its bond with beauty and fashion is manifested through the Lakme Fashion Week,
which is now the largest fashion event of its kind in the country.
Lakme has a foot print of over 1200 assisted sales outlets, which is the largest span
Lifebuoy, an undisputed market leader for 112 years, has a compelling vision “to
make 5 billion people across the world, feel safe and secure by meeting their
Key facts
Undisputed Leader in the soaps market of India, with 18.4% share.
The iconic jingle of Lifebuoy – “tandrusti ki raksha…..” is almost like the health
Recent Awards:Voted in the top 10 most trusted brands in India in the “Brand
Pureit is the world’s most advanced in-home water purifier. Pureit, a breakthrough
Pureit’s unique Germkill Battery technology kills all harmful viruses and bacteria
and removes parasites and pesticide impurities, giving you water that is "as safe as
boiled water". It assures your family 100% protection from all water-borne
diseases like jaundice, diarrhea, typhoid and cholera. What’s more, it doesn’t need
Pureit not only renders water micro-biologically safe, but also makes the water
clear, odourless and good-tasting. Pureit does not leave any residual chlorine in
the output water The output water from Pureit meets stringent criteria for
microbiologically safe drinking water, from one of the toughest regulatory
PLANT LOCATION
PLANT LOCATION
CHAPTER 6
MARKET SHARE
MARKET SHARE
MUMBAI: India is washing its dirty linen all right, but is increasingly less public about it.
In 2016, listed laundry behemoths Hindustan Unilever and Procter & Gamble either lost market
share to regional and local brands or showed signs of fatigue: From the standpoint of market-
share gains, the year wasn’t the very best either for NirmaBSE 0.06 % — the original local
MARKETING STRATEGIES
MARKETING STRATEGIES
After having fought a bitter price battle for market share with its rivals, Hindustan
Unilever Ltd (HUL), Indian subsidiary of the Anglo- Dutch consumer goods
company Unilever Plc, is now working on a new growth strategy for its laundry
business.
“Price cut or hike is not a long-term growth strategy. Pricing, in fact, is now
passe,” insists Sudhanshu Vats, category head, home care. “Our strategy for
growth, now is focused on product innovation, new consumer and retail trends and
This comes even as Unilever is scouting for a potential buyer for its laundry
HUL says it is quite upbeat about the segment and says the laundry segment is one
of its “key growth areas. “We have done key innovations across the product
portfolio and it is working for us,” says Vats. “We successfully migrated from Rin
Supreme to Surf Excel and Wheel Smart Srimati—which was rolled out in 2006—
ended June from 35.5% in the same period last year, according the market research
firm ACNielsen. However, this time, the increase was not at the expense of price
war with its multinational rival Procter & Gamble Co. P&G also gained 0.5
manufacturer, however, saw its market share dip by 1.7% percentage points to
13.5%.
Wheel, a value brand that, according to Vats contributes around 50% of HUL’s
laundry segment revenues, increased its market share by 2 percentage points in the
According to ACNielsen, the laundry industry in India was worth Rs7,908 crore in
2006 and rose 8.4% over 2005. HUL doesn’t report its laundry revenues separately
In 2006, HUL’s soaps and detergents segment contributed around Rs5,596 crore to
the company’s total sales of Rs12,103 crore. “Laundry has been an attractive
segment in the past and is likely to keep growing in the near future. The recent
price war between companies led to erosion in their profitability but now, the
here.
According to Vats, the laundry business is witnessing a surge in demand from
cities and HUL is focusing on Tier I and II cities to tap that demand.
2)SUSTAINABILITY STRATEGY
We have a long-standing set of values and principles that guides our behaviour.
We have always been a business driven by a strong set of values. Today those
values are as important as ever. We now know that the well-being of society and
Unilever’s vision is to double the size of its business while reducing the overall
impact on environment. This new vision recognises that the world is changing,
populations are growing and the rise in incomes is fuelling a growth in the demand
for consumer products. Products like ours rely on an increasingly constrained set of
customers, employees, the environment and the society that we operate in.
Today, India is battling multiple issues like water scarcity, poverty, and problems
arising out of low awareness of health, hygiene, and nutrition. If these issues are
not addressed soon, they will create insurmountable barriers to business growth.
We believe that helping society prosper and ensuring a sustainable future for the
planet goes hand in hand with our goal of ensuring growth that is competitive,
Our contributions have to be substantial and sustainable, which is why we are not
just banking on our philanthropic programmes, but are transforming our core
business practices as well. Even the seemingly small innovations in our brands and
business processes can lead to a big difference in society as we touch the lives of
For example, if one household uses Surf Excel detergent, it can conserve two
buckets of water per wash. A million Indian households using Surf Excel can save
enough water for meeting the basic hygiene needs of many Indians. Thus, small
individual actions multiplied with our large consumer base will make a big
framework which integrates the social, economic, and environmental agenda with
enjoying goodwill in the communities we operate in, and building trust and an
innovation at the category, brand, and marketing plan level. We have a very strong
and trusted position in India and we can leverage this to our competitive
advantage.
and petrochemicals, we must plan now for a future in which water could be scarce,
agriculture could be under pressure, and fuels will be expensive. Our consumers
add up to two-thirds of the Indian population, hence addressing sustainability
CR is one of the key components of reputation and trust. A good reputation can be
a major competitive advantage and can build employer brand and consumer
loyalty.
Listening to others and learning from our stakeholders informs our decision-
regarding issues that matter to them. These expectations were similar to the areas
While the issues are many, it is necessary to address them in a systematic manner
to make a real difference. Instead of spreading thin across all issues, we have
These areas have been arrived at using the output from our stakeholder
engagement process and areas which we are poised to address through our
business.
‘Target. Allocate resources. Achieve those targets. This is more critical than
- ‘We feel that some Indian companies can be leaders in their respective sectors.
- ‘Invest for your markets – don't do social work, it isn't your ballgame.’
- ‘Please make money out of it. When you make money out of it, things are going
to change.’
4)Governance
We aim to have strong governance structures in place to manage our social and
Committee (MC) of the company. The MC governs the sustainability strategy with
a view of key strategic approaches and seeks reports on impacts and efforts against
clear targets.
Each of the nine cells (in the daigram shown in Sustainability strategy section) is
functions.
progress
The role of the SGC is formalised, with a clear mandate and terms of reference
systems.
External commentary
We shared our sustainability strategy with leading external experts from diverse
backgrounds. Below you can read their comments on our sustainability strategy.
View of leading external experts on HUL’s sustainability strategy
‘We are happy with the focus on linking the business processes with corporate
‘The tying up of your strategic threads is excellent. Ensure that you carry it
through action!’
5)COMPETATIVE STRATEGY
Affluent Shoppers With Global Brands Like Dove, While Cooking Up Its Foods
Biz
The middle-aged Briton strolling the aisles and checking out the products doesn’t
attract much notice from other shoppers in Mumbai’s Hypercity, the India
hypermarket chain. That’s how Douglas Baillie likes it. Baillie, the managing
wants to see how his products are stocked, what consumers are buying, and how
shoppers are reacting to competitive brands. It’s primary market research at its
corner stores to retail its products. But India’s recent retail boom has created large
stores and malls, so the company wants to make sure it’s in with the new
marketing crowd. Hence Baillie’s Hypercity visits, and the calls he makes on the
This is quite a change for Hindustan Unilever, whose executives used to have
any head from Lever House ever visiting other company offices like this,” says an
6)OTHER STRATEGY
COMPETITOR
COMPETITORS
Emami Ltd.
CHAPTER 9
DATA ANALYSIS
DATA ANALYSIS
Yes No
85 5
Interpretation:
Most of the consumers are using Hindustan Unilever ltd and very few use detergent cake.
2. Which brand comes in your mind when you think of Hindustan Unilever ltd?
Nirma 30
Tide 15
Surf-excel 32
Rin 10
Any other 3
3
10
30
Ariel
Tide
Surf-excel
Rin
Any other
32
15
Interpretation:
Surf-excel is the most popular Hindustan Unilever ltd followed by NirmaHindustan Unilever ltd.
Quality 32
Price 26
Packaging 12
Quantity 20
20
32
Quality
Price
Packaging
12 Quantity
26
Interpretation:
Quality is the most important factor which influences a consumer to buy a particular Hindustan
Unilever ltd followed by price. Company therefore should always enhance the quality.
4. While purchasing a Hindustan Unilever ltd, what quantity do you usually go for?
500 gm 32
200 gm 25
1 kg 10
Sachet 23
Interpretation:
Most of the consumer buys 500 gm pack of NirmaHindustan Unilever ltd followed by 200 gm
and sachet. This shows that consumers do not buy detergent in large packs. Also the students
prefer to buy sachet.
5. How frequently do you buy a Hindustan Unilever ltd?
Monthly 22
Weekly 38
Daily 10
Can’t say 20
Interpretation:
Large number of consumer buys Hindustan Unilever ltd on weekly basis followed by monthly
basis. Very few customers are there who buy detergent daily.
6. Can a good advertisement influence your buying decision?
Yes No
58 22
Interpretation:
Advertisement 32
Display 12
Any other 8
40
35
30
25
Advertisement
20 Offers and schemes
38
15 32 Display
Any other
10
5 12
8
0
Advertisement Offers and Display Any other
schemes
Interpretation:
Consumers are conscious of offer and scheme and look for extra benefit in the product after
that advertisement affects the most. Therefore the company should concentrate on offer and
schemes.
8. Have you seen any promotional campaign of Ariel?
Yes No
38 52
Interpretation:
From the above graph it is clear that many detergent users have not seen any promotional
campaign of Ariel. Therefore company should conduct campaigns to create awareness about
Nirmabrand.
9. Are you satisfied with staining action of NirmaHindustan Unilever ltd?
Satisfied 32
Very satisfied 26
Neutral 22
Dissatisfied 10
Interpretation :
Most of the consumers are satisfied with the staining action of NirmaHindustan Unilever ltd
and veery few are there who are dissstisfied.. this shows the good quality about the product.
10. If you get extra benefit and offer in other brand (other than Ariel) would you like to switch
over ?
Yes 42
No 38
Can’t say 10
10
yes
42
No
can't say
38
Interpretation:
Many consumers say that they will switch to other brand if they will get extra benefit in some
other brand.
CHAPTER 10
FINDINGS
FINDINGS
In terms of timely delivery Hindustan Unilever ltd prefer most of the dealers because it
has own company depot. As a result timely delivery is possible.
In spontaneously all the consumer knows about the Hindustan Unilever ltd. With it
there other companies like; wheel, Ghadi, Arial, etc.
It was great to see the plant and machinery operating automatically. The management
and working environment of this unit is favorable.
In the category of top of mind Hindustan Unilever ltd got the rank in top five in
detergent production companies.
Company should increase its production strength because there is more demand in the
market for Hindustan Unilever ltd soap and detergent.
Company should launch more attractive shaped soaps and different colored detergent.
So consumer can not switch to other company.
CHAPTER 11
LIMITATIONS
LIMITATION
Lack of time (i.e. two months) it was not possible to reach all respondents.
As it is obvious from the study the products of HUL have approached the
high water mark of sale in the global consumer market. However, there are
genuine reasons to observe that they have yet to attain the cutting edge status
summed up as follows:
efficient and better equipped resource base. This task can be accomplished
channel for various products so that even those sections of consumers who
building.
The price structure for various products should be more within the limit of
should notbe ignored. Here, the policy of loco-centric rather than uniform
image buildings.
CONCLUSION
CONCLUSION
In recent years, the FMCG sector declined due to downtrading. Also because of
presence of large number of companies trying to seize this opportunity, this force
the old HUL for the change and thus, their transformation has resulted in a new
HUL, which has successfully faced this challenge and reversed this trend. It has
has already begun to yield benefits and they are returning to growth. Volume
growth is being followed by value growth, which in turn is bringing profit growth.
India is one of the most exciting markets offering great potential.Over the next 10
years, the per capita income in India is likely to double. In FMCG, there is an
result, the FMCG market is expected to grow to over Rs.100,000 crores from its
The new Hindustan Lever see an exciting opportunity for growth. They have 35
powerful brands covering all segments, with leading market positions in most.
Today, these are stronger and more relevant to the consumer than ever. The people
are energized by the scale of the opportunity and determined to seize it. The scale
of the business and operations gives them the resources needed.They are delivering
good services and the changes they brought in the products are well taken by the
WEBSITES
www.hul.co.in
www.fmcg.com
www.google.com
www.economictimes.com
BOOKS