TERM PAPER

on
HINDUSTAN UNILEVER Ltd
BY
Pallavi.L
MBA 1st Sem
01FM14MBA109

OVERVIEW OF THE COMPANY

INCORPORATED: 1933
INDUSTRY:

CONSUMER GOODS

HEADQUARTERS: MUMBAI ,MAHARASHTRA.

KEY PEOPLE:
TURNOVER:
PEOPLE:
REACH:
R&D CENTRES:

HARISH MANWANI(CHARIMAN)
SANJIV MEHTA(MD & CEO)
INR 27,486 CRS (2013-2014)
16000 EMPLOYEES INCLUDING 1500
MANAGERS.
6.4 MILLION RETAIL OUTLETS.
MUMBAI & BANGALORE, INDIA.

 Hindustan Unilever Limited (HUL) is : India's largest

Fast Moving Consumer Goods Company with a
heritage of over 80 years in India
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.
HUL touches the lives of two out of every three
Indians everyday
It is owned by Anglo-Dutch company Unilever

HISTORY
FOUNDERS OF HUL
William and James Lever
The brothers had invested in and
promoted a new soap making process
invented by chemist William Hough
Watson. It was a huge success.
In 1930, Lever Brothers merged
with Margarine Unie to form Unilever.

HUL was established during 1956,as a result of a merger

between Lever Brothers, Hindustan Vanaspati Mfg. Co. Ltd.
and United Traders Ltd

The company was renamed as Hindustan Unilever

Ltd during June 2007

VISION :
we work to create a better future everyday
We will inspire people to take small actions everyday that can add
up to big difference for the world
We will develop new ways of doing business with the aim of
doubling the size of our company while reducing our
environmental impact
MISSION :

TO ADD VITALITY TO LIFE

SERVICES

HUL is the market leader in Indian consumer products with

presence in over 20 consumer categories such as soaps, tea,
detergents and shampoos amongst others with over 700
million Indian consumers using its products
The company has a distribution channel of 6.4 million outlets
and owns 35 major Indian brands. Its brands include:
Food and Drink brand
Personal Care brand
Home Care brand
Water Purifier brand

FOOD AND BEVERAGES BRAND

PERSONAL CARE BRANDS

HOMECARE BRANDS

Sales and Distribution Channels of HUL

Manufacturing Unit
Carrying and Forwarding
Agent
Redistribution
Stockists

Rural
Retailers

Wholesalers

Consumers

Urban
Retailers

Organization structure of
Hindustan Unilever Limited
Chairman
Director
finance
Director,
legal &
secretarial

Director
marketing

Director
exports

Director
research

Director
HR
technical

Director
Director sales
Director Director
beverages Personal soaps and and customer
Care
detergent development
products

ORGANISATION STRUCTURE
Board Of Directors
Mr.Harish Manwani
Non-Executive Chairman

Mr. Sridhar Ramamurthy

Executive Director, Finance
& IT and Chief Financial
Officer

Mr. Sanjiv Mehta

Managing Director and
Chief Executive Officer

Mr. Pradeep Banerjee

Executive Director,
Supply Chain

Principles of the Quality Policy

Unilevers mission is to meet everyday needs for
nutrition, hygiene and personal care with brands that help
people feel good, look good and get more out of life. And
a key requirement is building in the quality expectations
of our consumers into our products.

HUL have stringent mandatory Quality standards in place

against which compliance is verified through regular audits
and self assessments
Efficient pack designs and innovative use of materials, by
eliminating unnecessary packaging.
HUL is using new technologies to lightweight packaging,
Vacuum evaporation
Working in partnership with industry, governments and NGOs,
HUL aim to increase recycling

HUL believes that Quality is a shared responsibility between

the employees and the customers
They eliminate PVC (polyvinyl chloride) from all packaging.

Thus Quality and safety throughout the whole value

chain is ensured, and they are setting a benchmark for
the business.
They provide appropriate training and resources, and will
ensure that they deliver the quality objectives and
targets. They regularly measure and improve the
performance using both internal and external measures.

Technology Used

SAP Solution Manager : Different SAP components such as ERP,

APO, BW
SAP Netweaver
PeopleSoft
- Hindustan unilever ltd uses PeopleSoft software to look after
human resource management and customer relationship
management
Legal Back-Office System
- There are, an average of a few hundred cases filed on or by HUL
every single day. This software is used to handle this magnitude
of Legal activities of HUL

BEST HR PRACTICES
Performance Appraisal and Competency Enhancement
system (PACE)
- performance appraisal software, Fully-configurable
cloud-based employee performance management
solution that focuses on goal setting and real time
social feedback
Performance Development and Planning system (PDP)
- It helps in keeping track of the performance the
employees. The process enables each staff person to
understand their true value-added to the organization

'Rate-my-Reward' through which HUL employees

can tell the co what they think of every aspect of
their package. How important is each element to
an individual? How satisfied are they with it?
Customized Salary package
If the company does well in meeting its goals,
Huls total pay should be around the
top quarter of the market.
That means that pay for highly rated
people making an exceptional contribution
will be towards the top of the market range.

Motivational Initiatives
Task Force on Employee Recognition
- Awards and recognitions given to the parttime and hourly-based working employees
other than regular employees
Star of the month
- given to first-level supervisors and officers
Customer-Delight Award
- given to employees with least number of
complaints and with most speedy delivery

HULs HR Policies:
Working Hours and Overtime: 8 hours (10 am to 6pm)
One hour before and after working hours
(9am in the morning, 7pm in the evening)
is counted as overtime.

Break and Lunch time:

Morning tea break
Duration:
15mins
Lunch Break
Duration:
30mins
Evening tea breaks
Duration:
15mins

11:00 am to 11:15am
01:00 pm to 1:30 pm
04:00 pm to 4:15 pm

Attendance Policy and Expectation: 90% attendance

expected on yearly basis
Absences and late coming is counted as points :
Each absent = 2points
1- hour delay = 1point
If an employee earns 6 points a
verbal warning is given
For 8 points a
written warning is given
Dress code: Business casuals

Leave policy:
Paid Holidays = 19 days
Privilege leave
(employees with more than 1 yr of experience ) = 3 days
Casual leave = 10 days

Sick leave = 5 days

Perquisites: Newspapers, Entertainment allowance,
House & Furniture Maintenance etc. 4,130/In addition, the officers are also entitled to other benefits
like
Medical Aid for self (100%) and for family (75%)
Petrol allowance

CONCLUSION
Swot analysis:
Strengths : HUL is a part of the Unilever group, hence
strong brand equity
Reach 6.4 million retail outlets which include direct
reach to over 1.5 million retail outlets
Weakness : Market share is limited due to presence of
other strong FMCG brands
Opportunities : Mergers and acquisitions to strengthen
the brand
Threats : FDI in retail thereby allowing international
brands