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2. BOARD OF DIRECTORS
5. ENHANCING LIVELIHOODS
9. SAVING ENVIRONMENT
11. OTHERS
12. CONCLUSION
About HINDUSTAN UNILEVER LTD.
NINE OUT OF TEN INDIAN HOUSEHOLDS USE OUR
PRODUCTS EVERYDAY TO FEEL GOO D, LOOK GOO D AND
GET MORE OUT OF LIFE.
OUR CATEGORIES AND BRANDS
Each of our categories - Home Care, Personal Care, Foods and
Refreshments, includes a portfolio of brands that aim to deliver
consistent, competitive, profitable and responsible growth. Our
endeavour is supported by consistent investment in product
innovation and marketing activities. With over 35 brands spanning
20 distinct categories including soaps, detergents, shampoos, skin
care, toothpastes, deodorants, cosmetics, tea, coffee, packaged
foods, ice cream, frozen desserts and water purifiers, the Company is
a part of the everyday life of millions of consumers across India. Our
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 Wall’s and Pureit.
WHERE WE OPERATE
Hindustan Unilever Limited operates across the length and breadth
of India. We have over 18,000 employees working across our
factories and offices. Conducting our operations with integrity and
respect for the many people, organisations and the environment
that our business touches, has always been at the heart of our
corporate responsibility.
₹1,000 CRORE + BRANDS
1. Lux
2. Dove
3. Clinic Plus
4. Pond’s
5. Vim
₹2,000 CRORE + BRANDS
1. Surf excel
2. Brooke Bond
3. Wheel
4. Rin
5. Lifebuoy
6. Fair & Lovely
BOARD OF DIRECTORS
Mr.Sanjiv Mehta
Managing Director and Chief Executive Officer
Mr. P. B. Balaji
Executive Director, Finance & IT and Chief Financial Officer
Mr. Pradeep Banerjee
Executive Director, Supply Chain
Mr.DevBajpai
Executive Director, Legal & Corporate Affairs and Company Secretary
Ms.GeetuVerma
Executive Director, Foods
Mr. B. P. Biddappa
Executive Director, Human Resources
Ms.Priya Nair
Executive Director, Home Care
Mr. Sandeep Kohli
Executive Director, Personal Care
Mr.SudhirSitapati
Executive Director, Refreshments
Mr.SrinandanSundaram
Executive Director, Sales and Customer Development
Management Committee
Mr.Sanjiv Mehta
Managing Director and Chief Executive Officer
Mr. P. B. Balaji
Executive Director, Finance & IT and Chief Financial Officer
Mr. Pradeep Banerjee
Executive Director, Supply Chain
Mr.DevBajpai
Executive Director, Legal & Corporate Affairs and Company Secretary
Mr. Aditya Narayan
Independent Director
Mr. S. Ramadorai
Independent Director
Mr. O. P. Bhatt
Independent Director
Dr.SanjivMisra
Independent Director
Ms.KalpanaMorparia
Independent Director
INNOVATION
Our innovations use insights and technologies to deliver brand-led
benefits which meet the latest trends. Our innovation is increasingly
responsive to local needs, landing results faster into the market.
SOURCING
Our procurement teams are responsible for purchasing goods and
services. They are central to driving efficiencies to enhance
profitability, delivering savings, and also implementing our USLP.
MANUFACTURING
HUL operates 30 factories across the country. Your Company’s
Supply Chain agenda is centered on five core areas - Customer
Service Excellence, Creating Consumer Delight by dedicated end-to-
end Quality Focus, Creating Value through cost savings programme,
Sustainability and Supplier Partner to Win Programme.
LOGISTICS
Our Logistics Team is responsible for moving the goods produced at
our factories and delivering them to our customers. We are now
investing in automation and modernisation of our warehouses. Our
centralised Ultra control tower is now fully operational to manage
our logistics operations which will help in optimisation of cost,
improve service, conserve cash and reduce our carbon footprint.
Given the vast distribution and Supply Chain network, Goods and
Services Tax (GST) is likely to unlock huge value potential and
hence, as a first phase, we are fully ready with the logistics road
map to optimise warehousing and inventory carrying cost.
MARKETING
We have been mapping consumers’ purchase journeys in the digital
world, using data to delve deeper and segment consumers more
accurately. This enables us to deliver more relevant, authentic and
effective marketing content in real-time using the full range of
digital communications.
Sustainability is an integral part of our brand strategies. We want all
ofour top brands to be Sustainable Living brands, which combine a
strongpurpose delivering a social or environmental benefit, with
products contributing to at least one of our USLP goals.
Customer Development
Our Customer Development eco-system encompasses capturing the
demand, fulfilment of demand and generation of demand. As far as
demand capturing is concerned, our focus has been on driving
quality of coverage and increasing the assortment using data centric
and analytical approach. With respect to demand fulfilment,
process and technology interventions have been used for improving
service and efficiencies. For demand-generation, our strategy
encompasses winning in traditional trade in both open and closed
formats, winning in ‘route to market’ as well as winning in emerging
channels like Modern Trade and e-commerce. We work closely with
retailers, online through e-commerce and in stores. Our teams
ensure our brands are always available, properly displayed and in
the right recommended price bracket. We strive to be supplier of
choice for customers and trade partners, through strong joint
business planning and in-store execution applying our Perfect Store
programme. We have derived the benefits of tailor-made consumer
and customer plans across categories as part of ‘Winning in Many
Indias’ agenda due to strengthened connect with customers,
consumers and shoppers. This will continue to be our source of
competitive advantage.
Our performance
THE BENEFITS THAT OUR VISION AND STRATEGY DELIVERS,
TRANSLATE INTO GROWTH ORIENTED PERFORMANCE FOR
SHAREHOLDERS AND SOCIETY AT LARGEEGMENT PERFORMANCE
FINA
NCIAL
NET REVENUE
2016-17 (EBITDA) improved by 38 bps
EPS (basic)
₹34,487 2016-17
crores
The Domestic Consumer ₹ 20.75
business grew by 4% with 1% Last year basic EPS: ` 19.12
underlying volume growth in a per share
challenging environment
Cash from Operations
EBITDA 2016-17
2016-17
₹6,500+
₹6,047 crores
crores Cash from operations was up
EarningBefore Interest Tax ` 1079 crores over the previous
Depreciation and Amortisation year
NON-FINANCIAL
MANUFACTURING
2016
49%
Reduction in CO2 emissions (kg/tonne of production) in our
manufacturing operations compared to 2008 baseline
2016
53%
Reduction in water consumption (m3/ tonne of production) in our
manufacturing operations compared to 2008 baseline
2016
45%
Reduction in total waste (kg/tonne of production) generated from
factories compared to 2008 baseline
BETTER LIVELIHOODS
2016
72,000
Shakti Entrepreneurs empowered
SUSTAINABLE SOURCING
2016
100%
Tomatoes used in Kissan ketchup sourced sustainably
ENHANCING LIVELIHOODS
By 2020, Unilever will enhance the livelihoods of millions
of people as it grows its business.
WASTE
TARGET
Halve the waste associated
with the disposal of Unilever’s
products by 2020.
PERFORMANCE
COMPANIES GRAPHS BASED ON FACTS
Improving Health and Well-being
World Health Organization
states that the provision of safe
• Handwashing water alone will reduce
Behaviour Change diarrhoeal diseases by up to
50%. Your Company’s Pureit
Programme:Every year, in
India, 1.3 million children die
before they reach the age of
five, many due to preventable water purifiers have been
infections.Handwashing with working towards making safe
soap has been cited as one of water accessible and
the most cost-effective affordable to millions. Pureit’s
solutions to address this most affordable range of
challenge1. A review of several purifiers provide safe drinking
studies show that the simple water at a running cost of just
act of hand washing in 30 paisa per litre without the
institutions, such as primary hassles of boiling, or need of
schools and day care centres, electricity or a continuous tap
reduces the incidence of water supply. In India, Pureit
diarrhoeal diseases by an has provided over 74 billion
average of 30 per cent. litres of safe drinking water till
Lifebuoy hand washing date.
behaviour change initiatives of
your Company, helps in
promoting the benefits of hand • Domex Toilet Academy
washingwith soap at key times (DTA): Domex ToiletAcademy
during the day and
(DTA) is a unique market-
encouraging people to sustain
based entrepreneurial model
good hand washing
launched by your Company in
behaviours. Till date, your
2014. Currently operational in
Company has reached over 63
Bihar, the DTA programme
million people in India.
trains entrepreneurs and
masons to help build and
• Safe Drinking Water:In maintain toilets; provides
the developing world, 80% access to micro-financing and
diseases are water-related. The creates demand for sanitation
in low-income households. community members thereby
Since its inception, the DTA has positively impacting rural
trained more than 500 micro- communities. Your Company
entrepreneurs. has successfully reached over
To date, over a lakh of toilets 30 lakh people since inception
have been built, benefiting through this programme.
over six lakh people.
• Suvidha, the
• Swachh Aadat Swachh Community Hygiene
Bharat:Your Company’s Centre: Your Company has
‘Swachh Aadat, built a first-of-its-kind urban
Swachh Bharat’ (SASB) water, hygiene and sanitation
programme is in line with community centre named
Government of India’s Swachh ’Suvidha’ in Azad Nagar,
Bharat Abhiyan to promote Ghatkopar, one of the largest
good health and hygiene slums in Mumbai. The
practices. In 2016, the community centre provides
programme continued to stress water, sanitation, hand
upon the need to adopt three washing, shower facilities and
simple good habits (‘Swachh laundry services at significantly
Aadat’) – lower costs than market rates.
i. Washing hands five times a Suvidha uses circular economy
day, principles to reduce water use.
ii. Using a toilet for defecation Fresh water is first used for
and keeping it clean, and brushing teeth, bathing, hand
ii. Adopting safe drinking washing and laundry. The
water practices. waste water from these
•SwachhataDoot (Messenger activities becomes the input for
of Cleanliness): This is a mobile- flushing toilets. Your Company
led rural behaviour change built the Centre in 2016 with its
communication model, partners, the Municipal
wherein the factory workers Corporation of Greater
become agents of behaviour Mumbai and
change in their villages. They PrathaSamajikSanstha, a
share two-minute audio stories community-based
on clean habits through their organisation. The project was
mobile phones. They reach out devised, developed and built in
to school children, parents and close consultation with the local
community. The community service camp ‘Sanjeevani’ for
centre caters to over 1,500 the local community
people. nearDoom Doomafactory in
Assam. There are two mobile
vans dedicated to the project,
• Asha Daan:Asha Daan is a each vehicle has one male and
home in Mumbai for one female doctor, two nurses,
abandoned and differently- a medical attendant and a
abled children, the HIV- driver. The vans are equipped
positive people and the with basic kits such as
destitute. Since the inception of diagnostic kit, blood pressure
Asha Daan in 1976, measuring unit, medicines and
you’reCompanymhas been a mobile stretcher. More than
looking after the maintenance 3,10,000 patients have been
of the premises. Your treated in these service
Company takes care of over campssince its inception in
400 infants, destitute men and 2003. In 2016 alone, nearly
women and HIV-positive 20,000 patientwere treated
patients at Asha Daan. through this programme.
Better Living
• Improving livelihoods tomatoes on 7,000 acres of
land.
of smallholder
• Project Shakti:Project
farmers:Your Company has Shakti is your Company’s
been associated with a number initiative to financially
of smallholder farmers through empower rural women and
its supplier partners, training create livelihood opportunities
them on good agricultural for them. Project Shakti
practices like drip irrigation, provides livelihood-enhancing
nutrient management, pest opportunities to women micro-
and disease management to entrepreneurs across India.
improve their livelihood. A The Shakti Ammas are given
total of 10,000 smallholder training for familiarisation with
gherkin farmers in southern your Company’s products and
India have benefitted from basic tenets of distribution
Unilever’s innovative management. Your Company
Responsible Farming has a team of Rural Sales
Programme. The aim is to Promoters (RSP’s) who coach
increase productivity, develop and help Shakti Ammas in
best practices and improve managing their business. This
livelihoods. Smallholder includes help in business basics
farmers growing tomatoes for and troubleshooting as well as
your Company have also coaching in softer skills of
benefitted from similar training negotiation and
initiatives. Till date, your communication which enable
Company has reached out to them to run their business
over 8,000 smallholder farmers effectively.
who grew tomatoes on more In 2010, your Company
than 11,000 acres of land. In extended Project Shakti to
2016 alone, your Company include ‘Shaktimaans’.
reached out to 5,000 Shaktimaans are typically the
smallholder farmers who grew husbands or brothers of Shakti
Ammas. They sell products on edX’s online courses to provide
bicycle in surrounding villages, a holistic, career guidance-
covering a larger area than driven learning to enable
Shakti Ammas can cover on higher employability for young
foot. Today, Project Shakti has women.
over 72,000 micro- • Prabhat: ‘Prabhat’is a
entrepreneurs supported by USLP-linked programme
48,000 Shaktimaans. which contributesmto the
• Fair & Lovely development of local
Foundation:The Foundation communities around your
identifies academically Company’s manufacturing
exceptional girls from locations. The key areas of
financially challenged ‘Prabhat’ programme are -
backgroundsand offers Enhancing Livelihoods, Water
scholarships to deserving Conservation and Health and
candidates. To maintain Hygiene. From its launch in
integrity and fairness, the December 2013 in eight
selection is done by a panel of locations, project Prabhat is
eminent personalities from now live in over 30 locations
diverse fields. During the year, across the country and has
the Foundation awarded directly impacted over six and
scholarships to over 200 a half lakh people.
deserving girl students. Till • Rin Career Ready
date, over 1,400 girl students Academy:Rin Career Ready
have been awarded Academy aims to inspire,
scholarships. educate and equip the youth
Fair & Lovely Foundation has from modest backgrounds with
partnered with edX.org, a non- skills in English training, office
profit Massive Open Online dressing and interviewing. In
Course Platform founded by 2016, your Company re-
Harvard University and MIT, launched the academy with
NIIT and English Edge to two key new initiatives:
launch a mobile education Introduction of the ‘Tele-
programme for women. This Conferencing’ module where
partnership will enable your students can speak to a
Company, via Fair & Lovely teacher instead of an
Foundation, to leverage automated voice and second is
aweb course available on
www.rin.in. So far, over three differently-abled children at
and half lakh people have Doom Dooma in Assam. Ankur
been reached through this provided educational,
programme. In 2016 alone, vocational and recreational
nearly two lakh people activities to 33 differently-
benefited from this abled children.
programme.
• Ankur: Ankur was set up in
1993 as a centre by your
Company’s Plantations Division
for special education for
Others
• Relief Funds - Donation:Your Company has always been at
the forefront in responding to the call for national duty and has
contributed generous amounts for upliftment of communities hit by
natural disasters.
Your Company’s work over the last several years has paved the way
for setting out clear targets that the Company is committed to
meet.
However, to scale up your Company’s initiatives, partnerships are
crucial to make a meaningful difference. Your Company is working
in partnership with Governments, NGOs, suppliers and others to help
forge alliances and address big societal challenges. Your Company
has shared progress on the sustainability initiatives and partnerships
in the Business Responsibility Report in line with the key principles
enunciated in the ‘National Voluntary Guidelines on Social,
Environmental and Economic Responsibilities of
Business’ framed by the Ministry of Corporate Affairs. This year the
Business Responsibility Report is integrated with the Annual Report.
CONCLUSION
So, as from the above data interpretation we got to know that
the Hindustan Unilever LTD has a very good marketing strategy,
based on consumer satisfaction, through the implementation of
the charitable programs. I like the company personally. It’s not the
thing that I have seen it from my childhood, but I like it’s product
as it fulfils its commitment given by the Company.
We all know that Hindustan Unilever LTD has made a very big
and a very fabulous reputation in the market, we can’t relate it
with any other company. The Company has actually in a period of
time has converted the brand name’s reputation into a different
level. It is the brand having all types of products in it. Hindustan
Unilever LTD manufactures practically everything required by a
person on daily basis. The objective of the company is that a
person can depend upon only one company for everything
required to get for a daily basis needs.
The company has gained this great reputation and respect
by doing everything for its customers. It has made its name to
such a level that at this time no company can even dare to think of
going to that level.
Hindustan Unilever LTD has also made its reputation by
conducting charitable programs for its valuable consumers.
Hindustan Unilever LTD also uses the technique of giving gifts to
some lucky consumers so it is a type of ideal marketing strategy
that is shown up by Hindustan Unilever LTD for it consumers, who
will surely come forward to purchase its products again and
again.
So, at last I want to say that Hindustan Unilever LTDis my
ideal company on the basis of the marketing strategy it applies to
get new customers and hold its old customers in position. The
charitable program that Hindustan Unilever LTDdo are also ideal,
and yet far more better and different than the programs done by
any other Companies.