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PROJECT REPORT ON Consumer product limited PRESENTED BY 1

Project report on goodrej

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Page 1: Project   report on goodrej

PROJECT REPORT ON

Consumer product limited

PRESENTED BY 23 Lavkush Mehra30 Neharika Khattar26 Mahendra Mali25 madhumendre

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Lakshya “A goal to be achieved”

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CONTENTS

Introduction to FMCG

History of FMCG products

Major players internationally

Major players Indian

Sector profile

Company profile

Vision and Mission

Current events

Financial Overview

Marketing Strategy

HR policy

Market Share

Swot analysis

Awards and recognition

CSR (Corporate Social Responsibility)

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Recommendations

Our overview

ACKNOWLEDGEMENT

Our deep sense of gratitude to all our seniors and for their support and guidance. Thanks and appreciation to the helpful people at INDIRA INSTITUTE OF MANAGEMENT PUNE, for their support.We would also like to thank my Institution and my faculty members without whom this project would have been a distant reality. I also extend our heartfelt thanks to our all well wishers.

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INTRODUCTION OF FMCG

Fast Moving Consumer Goods (FMCG) are products that are sold quickly at relatively low cost Examples include non-durable goods such as soft drinks, toiletries, grocery items etc. Though the absolute profit made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products can be large.

SCOPE

The term FMCG refers to those retail goods that are generally replaced or fully used up over a short period of days, weeks, or months, and within one year. This contrasts with durable goods or major appliances such as kitchen appliances, which are generally replaced over a period of several years.

FMCGs have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGs – such as meat, fruits and vegetables, dairy products and baked goods – are highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks and cleaning products have high turnover rates.

The following are the typical characteristics of FMCGs

From the consumers' perspective:

Frequent purchase

Low involvement (little or no effort to choose the item -- products with strong brand loyalty are exceptions to this rule)

Low price

From the marketers' angle:

High volumes

Low margins

Extensive distribution networks

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High stock turnover

SECTOR PROFILE

The Indian FMCG sector is the fourth largest in the economy and has a market size of US$13.1 billion. Well-established distribution networks, as well as intense competition between the organized and unorganized segments are the characteristics of this sector. FMCG in India has a strong and competitive MNC presence across the entire value chain. It has been predicted that the FMCG market will reach to US$ 33.4 billion in 2015 from US $ billion 11.6 in 2003. The middle class and the rural segments of the Indian population are the most promising market for FMCG, and give brand makers the opportunity to convert them to branded products. Most of the product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per capita consumption as well as low penetration level, but the potential for growth is huge.

The Indian Economy is surging ahead by leaps and bounds, keeping pace with rapid urbanization, increased literacy levels, and rising per capita income.

The big firms are growing bigger and small-time companies are catching up as well. According to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs, and the balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are owned by Hindustan Lever. Pepsi is at number three followed by Thums Up. Britannia takes the fifth place, followed by Colgate (6), Nirma (7), Coca-Cola (8) and Parle (9). These are figures the soft drink and cigarette companies have always shied away from revealing. Personal care, cigarettes, and soft drinks are the three biggest categories in FMCG. Between them, they account for 35 of the top 100 brands.

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THE TOP 10 COMPANIES IN FMCG SECTOR

S. NO. Companies1. Hindustan Unilever Ltd.2. ITC (Indian Tobacco Company)3. Nestlé India4. GCMMF (AMUL)5. Dabur India6. Asian Paints (India)7. Cadbury India8. Britannia Industries9. Procter & Gamble Hygiene and Health Care10. Marico Industries

The companies mentioned above, are the leaders in their respective sectors. The personal care category has the largest number of brands, inclusive of Lux, Lifebuoy, Fair and Lovely, Vicks, and Ponds.  There are 11 HLL brands in the 21, aggregating Rs. 3,799 crore or 54% of the personal care category. Cigarettes account for 17% of the top 100 FMCG sales, and just below the personal care category. ITC alone accounts for 60% volume market share and 70% by value of all filter cigarettes in India.

The foods category in FMCG is gaining popularity with a swing of launches by HLL, ITC, Godrej, and others. This category has 18 major brands, aggregating Rs. 4,637 crore. Nestle and Amul slug it out in the powders segment. The food category has also seen innovations like softies in ice creams, chapattis by HLL, ready to eat rice by HLL and pizzas by both GCMMF and Godrej Pillsbury. This category seems to have faster development than the stagnating personal care category. Amul, India's largest foods company, has a good presence in the food category with its ice-creams, curd, milk, butter, cheese, and so on. Britannia also ranks in the top 100 FMCG brands, dominates the biscuits category and has launched a series of products at various prices.

In the household care category (like mosquito repellents), Godrej and Reckitt are two players. Good knight from Godrej, is worth above Rs 217

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crore, followed by Reckitt's Mortein at Rs 149 crore. In the shampoo category, HLL's Clinic and Sunsilk make it to the top 100, although P&G's Head and Shoulders and Pantene are also trying hard to be positioned on top. Clinic is nearly double the size of Sunsilk.

Dabur is among the top five FMCG companies in India and is a herbal specialist. With a turnover of Rs. 19 billion (approx. US$ 420 million) in 2005-2006, Dabur has brands like Dabur Amla, Dabur Chyawanprash, Vatika, Hajmola and Real. Asian Paints is enjoying a formidable presence in the Indian sub-continent, Southeast Asia, Far East, Middle East, South Pacific, Caribbean, Africa and Europe. Asian Paints is India's largest paint company, with a turnover of Rs.22.6 billion (around USD 513 million). Forbes Global magazine, USA, ranked Asian Paints among the 200 Best Small Companies in the World.

Cadbury India is the market leader in the chocolate confectionery market with a 70% market share and is ranked number two in the total food drinks market. Its popular brands include Cadbury's Dairy Milk, 5 Star, Eclairs, and Gems. The Rs.15.6 billion (USD 380 Million) Marico is a leading Indian group in consumer products and services in the Global Beauty and Wellness space.

The main segments of this sector are personal care (oral care, hair care, soaps, cosmetics, toiletries), household care (fabric wash and household cleaners), branded and packaged food, beverages (health beverages, soft drinks, staples, cereals, dairy products, chocolates, bakery products) and tobacco. The Indian FMCG sector is an important contributor to the country's GDP. It is the fourth largest sector in the economy and is responsible for 5% of the total factory employment in India. The industry also creates employment for 3 m people in downstream activities, much of which is disbursed in small towns and rural India. This industry has witnessed strong growth in the past decade. This has been due to liberalization, urbanization, increase in the disposable incomes and altered lifestyle. Furthermore, the boom has also been fuelled by the reduction in excise duties, de-reservation from the small-scale sector and the concerted efforts of personal care companies to attract the burgeoning affluent segment in the middle-class through product and packaging innovations.

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The Indian FMCG sector is the fourth largest sector in the economy with a total market size in excess of US$ 13.1 billion. The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class.

OUTLOOK

There is a huge growth potential for all the FMCG companies as the per capita consumption of almost all products in the country is amongst the lowest in the world. Again the demand or prospect could be increased further if these companies can change the consumer's mindset and offer new generation products. Earlier, Indian consumers were using non-branded apparel, but today, clothes of different brands are available and the same consumers are willing to pay more for branded quality clothes. It's the quality, promotion and innovation of products, which can drive many sectors.

HISTORY OF FMCG

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In India, companies like ITC, HLL, Colgate, Cadbury and Nestle have been a dominant force in the FMCG sector well supported by relatively less competition and high entry barriers (import duty was high). These companieswere, therefore, able to charge a premium for their products. In this context, the margins were also on the higher side. With the gradual opening up of theeconomy over the last decade, FMCG companies have been forced to fight for a market share. In the process, margins have been compromised, more so in the last six years (FMCG sector witnessed decline in demand).

COMPANY PROFILE

Godrej Group

The Godrej Group is an Indian conglomerate founded by Ardeshir and Pirojsha Godrej in 1897, Lalbaug, Mumbai. Established in 1897, the Godrej group has grown in India from the days of the charkha to nights at the call centres. Our founder, Ardeshir Godrej, lawyer-turned-locksmith, was a persistent inventor and a strong visionary who could see the spark in the future. His inventions, manufactured by his brother Pirojsha Godrej, were the foundation of today’s Godrej empire. One of India’s most trusted brands, Godrej enjoys the patronage and trust of over 400 million Indians every single day. Our customers mean the world to us. We are happy only when we see a delighted customer smile.

Godrej Group is one of the largest conglomerates based in Mumbai, India, involved in various industries that include appliances, precision equipment, machine tools, furniture, healthcare, interior solutions, office equipment, food-processing, security, materials handling and industrial storage solutions, construction and information technology. Its products include security Systems and Safes, Typewriters and Word processors, Rocket Launchers, Refrigerators and Furniture, Outsourcing Services, Machine Tools and Process Equipment, Cosmetics and Detergents, Engineering Workstations, Medical Diagnostics and Aerospace Equipment, Edible Oils and Chemical, Mosquito Repellents, Car perfumes, Chicken and Agri-products, Material Handling Equipments Like FORKLIFT Trucks, Stackers,

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Tyre handlers, Sweeping machines, access equipments etc. The Group is headed by Adi Godrej and Jamshyd Godrej .

Traditionally, Vikhroli, a suburb to the Northeast of Mumbai has been Godrej's manufacturing base, but increasingly the group have moved significant production facilities away from Mumbai. The Godrej group also owns vast land in Vikhroli, occupying 3500 acres (14 sq km) of land on both sides of the Vikhroli section of the LBS marg. That makes the Godrej group the biggest private land owner in Mumbai by far. Such vast land can, in theory, be used to create at least 1500 acres of residential floor space, which, at very modest rates (Rs.10000/sq ft), can be sold for USD 16 billion . Thus, the Godrej group is sitting on an invisible cash pile that is envy of other Indian conglomerates.

Godrej Consumer Products Ltd

M.D -Mahendram

2001 - Godrej Consumer Products Ltd (GCPL) is setting up a parallel board of directors known as the Young Executive Board.

2002 -Godrej Consumer Products Ltd has informed BSE that it would buyback its own fully paid up equity shares of face value of Rs.4 each from the open market.

-GCPL has entered into the deodorants category with the launch of Cinthol International Perfumed deodrant.

-Godrej has entered the traditional powdered 'henna' market with the launch of powdered henna under the brand 'Nupur', which is priced at Rs.12 for an 80gm pack.

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-Whirlpool of India and Godrej Appliances have filed complaints with MRTPC against LG Electronics India alleging that company was over-claiming the liter-capacity of its frost-free refrigerators.

-GCPL has relaunched Godrej Fair Glow, India's first and largest selling fairness soap, with an improved product blend.

-GCPL has classified its business into two groups: soaps and personal care.

-As per ORG-GFK figures, Whirlpool and Godrej are in the top 2 positions among refrigerator brands during the festival season.

2003 -ICRA has assigned SVG2 & CGR2 ratings to Godrej consumer products Ltd.

-Godrej Consumer Products Ltd test-launched for the Southern region a new soap under its Rs.80cr Fair Glow brand, the Fair Glow Saffron Toilet soap.

-Contract Advertising's Mumbai office has won the creative duties for Godrej Shaving cream and Godrej Shaving gel.

-GCPL has entered into an agreement with Shogun Diapers Ltd. for acquisition of trademark and copyright relating to the brand 'snuggy'.

-Godrej consumer products has re launched its shaving cream range and introduced four new variants including Rich Foam, Lime fresh, Menthol Mist and Protect plus.

-GCPl has unveiled new Ayurvedic soap in Kerala under the Godrej No.1 Brand.

-Godrej Consumer Products has launched Godrej Ezee Silk Liquid detergent in Kerala, which is specially formulated liquid detergent with a new pH balance technology.

-Received intimation from Citibank NA on March 03, 2004 that their client RBS Stewart Ivory Asia Pacific was holding 31,82,811 shares of the company and the same has been transferred to a new entity, First State Asia Pacific Fund. The date of acquisition is February 26, 2004 and the mode of acquisition is by way of : Off market transaction. The shareholding of First State Asia Pacific Fund after the said acquisition is 31,82,811 shares amounting to 5.593% of the total paid up capital of Godrej Consumer Products Limited.

-Dlist from the Ahmedabad Stock Exchange (ASE) with effect from October 15, 2004.

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2004 -GCPL launches 'Cinthol Deo Soap'

-Godrej Consumer mulls to buy-back equity shares from open market

-GCPL to tap rural market with brand new soap 'Nimin'

2005 -Delist equity shares from The Calcutta Stock Exchange Association Ltd (CSE) w.e.f. March 30,

2005. - Godrej Consumer Products Ltd (GCPL), ropes in Mona Singh of Jassi Jaissi Koi Nahin (a popular serial on the Sony channel) to be the brand ambassador for Godrej No.1 soaps.

-Godrej Consumer acquires FMCG company Keyline Brands Ltd, U.K.

2006 -GCPL acquires hair-colour biz in S. Africa

-GCPL rolls out EVITA age control soap

-GCPL joins other FMCG majors for overseas acquisitions

2007 -Godrej Consumer - Acquisition of 100% ownership interest in Godrej Global Mideast FZE, Sharjah

-Godrej joins hand with Swedish co

-GCPL & SCA Hygiene Products AB, Sweden form 50:50 joint venture

2008 -The company has issued rights in the ratio of 1:7 at a premium of Rs.122/-Per Share.

GCPL is an Indian FMCG company. Growing at a fast rate. The Market leader in Hair colours and the second biggest company in Toilet soaps category with brands like Godrej No 1, Cinthol and Fairglow. Godrej No 1 is the 3rd largest selling soap brand in the country, a market leader in North and in the states of Punjab, Haryana and UP.Branch Offices in Mumbai, Delhi, Kolkata and Chennai ensure pan-India coverage, while factories located at Malanpur (Madhya Pradesh), Thana (Himachal Pradesh), Katha (Himachal Pradesh), Guwahati (Assam) and Sikkim cater to the diverse requirements of our product portfolio.With the acquisition of Keyline Brands in the United Kingdom, Rapidol and Kinky Group, South Africa and Godrej Global Mideast FZE, a 100% subsidiary of Godrej International, GCPL now owns international brands and trademarks in Europe, Australia, Canada, Africa and the Middle East.At GCPL, we are driven by our mission to continuously enhance the quality of life of consumers in high-growth markets with superior-quality and affordable personal care and hygiene products.

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VISION

Our vision is to be a leader in the Indian Food and beverage space by breaking into the exclusive league of top ten FMCG food companies in India. Godrej in Every Home and Work place

MISSION

Godrej Mission is to operate in existing and new businesses which capitalize on the Godrej brand and corporate image of reliability and integrity.

Godrej objective is to delight it’s customer both in India and abroad.

Godrej shall strive for excellence by nurturing, developing and empowering it’s employees and suppliers.

Godrej encourage’s an open atmosphere, conducive to learning and team work

Godrej mission is to do sales of Rs. 1000 Crores by 2012, profitably at margins that are best in class in FMCG goods. We will achieve it through unparalleled business innovations and consumer satisfaction.

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GODREJ PRODUCT

Godrej Consumer Products, leading FMCG major has reported a handsome growth of 78% in its net profit for the first quarter ended June 30, 2009.During the reporting period, the company has recorded a net profit of Rs 69 crore.

In a communiqué to Bombay Stock Exchange (BSE), the company said that it has clocked a much higher profit in the latest quarter compared to a net profit of Rs 39 crore in the same period last year

GODREJ CONSUMER PRODUCTS LTD has launched Cinthol Deo Soap-Sport, which is said to offer the user benefit of a deodorant with the convenience of soap. It is available at Rs 13 (75g) and Rs 20 (125g), with an offer of `Buy 3 Get 1 Free.'

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CONSUMER PROFILE

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MAJOR PLAYERS INTERNATIONAL

1. Unilever

2. Colgate & Palmolive

3. Cadbury

4. Gillette

5. Nestle

6. Dabur India

7. General mills

8. Reckitt Benckiser's

9. Parle

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MAJOR PLAYERS DOMESTIC

1.Hindustan Unilever L.T.D.

2. ITC

3. Nestle india

4. GCMMF (Amul)

5. Dabur India ltd

6. Asian Paints

7. Cadbury

8. Britannia Industries

9. Marico Industries ltd

10.Nirma ltd

11.Rasna ltd

12.Modi Revlon

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MARKET SHARE

GCPL eyeing 25% market share in hand sanitizer segment. FMCG major Godrej Consumer Products (GCPL) is targeting a 25 per cent market share in the hand sanitizer segment this fiscal, a top company official said. The company has launched several products, including sanitizers, wet-wipes and hand-wash under its brand Protekt, with an aim to get a grip on the hand hygiene market. "The sanitizer market is over Rs 25 crore...We are eyeing a 25 per cent share in this fiscal," GCPL's Executive Vice-President Marketing Tarun Arora told reporters here today, after launching 'Freedom to Touch' campaign for its product.

Godrej Consumer Products Ltd (GCPL) had organized an analyst meet to discuss FY08 results and its future strategies. The key highlights of the meet are listed below:

GCPL - the second largest toilet soap player in the country, recorded 15.9% yoy growth in net sales at Rs11bn during FY08, driven by strong 19.8% yoy growth in toilet soaps and 21.4% in hair color segment. About 25% of the company's turnover is from international business, which includes its past acquisitions, exports, and joint venture - Godrej SCA Hygiene Ltd.

Segmental break-up

SegmentsQ4

FY08Q4

FY07yoy (%)

FY08

FY07

yoy (%)

Soaps 1,260 1,179 6.95,69

04,75

119.8

Hair Colour 697 535 30.42,51

82,07

421.4

Toiletries 624 612 1.92,23

02,14

93.8

Liquid Detergents

67 53 26 385 388 -1

Godrej Brands

2,648 2,379 11.310,8

239,36

215.6

By products 70 39 80.6 203 153 32.9

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sale

Total 2,718 2,418 12.411,0

269,51

515.9

Changing revenue mix  

1. Operating margins expanded by 60bps to 19.5% aided by drop in raw material cost (160bps). GCPL mitigated the impact of higher raw material prices by increasing soap prices and better procurement management. The company had received an extraordinary income of Rs99mn during FY07 (tax adjustment of Rs48.1mn and profit of Rs50.7mn from sale of Snuggy brand to Godrej SCA Hygiene Ltd.) Adjusted net profit for the year rose by 10.6% yoy to Rs1.6bn.

GCPL had taken a price hike of 5-8% in its soap brands during Q1 FY08 and Q3 FY08 to mitigate the impact of firm vegetable oil prices. GCPL is likely to undertake one more price hike in the soap category if vegetable oil prices continue to rise. The company has no plans to undertake price hike in any other category.

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The management expects its add spend to be higher by ~50% (from ~6-7% of net sales to ~9% of net sales) on yoy basis in the first and second quarter of current fiscal.

During FY08, GCPL relaunched its powder hair dye as Godrej Expert Hair Dye with perfume and conditioner. It has also introduced Renew Powder Hair Colour and relaunched flagship brand Cinthol in a range of soaps, talc and deo sprays.

GCPL has incurred a capex of Rs1.1bn for capacity expansions during FY07 and FY08. GCPL?s Katha plant became operational from December 2006, while Sikkim facility became operational from March 2007. GCPL?s Malanpur plant (fatty acid and soap noodles) has commenced operations from May 2008.

Of distributing Godrej FMCG products in the Middle East.

GCPL is soaps shipments registered a strong 19.3% growth well ahead of category growth of 9.6% during FY08. GCPL has achieved a 9.1% market share in the domestic soap market and its Godrej No. 1 soap has become the largest selling Grade 1 soap in the country.

SOAPS: VALUE GROWTH

Source: Company, India Infoline Research

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GCPL is hair colour segment grew by 12% while the category grew by 13.3% during FY08. GCPL is the market leader in the hair colour market with a strong 35.1% market share. Powder hair colour accounts for 54% of volumes in this category.

Hair Colorants: value growth 

Source: Company, India Infoline Research

Exports currently account for ~25% of GCPL?s total revenues. GCPL has added four new countries ? Curacao, Liberia, Libya and Tanzania during the year. The company now exports to 38 countries. During the year, GCPL has made its first shipment of its products to Keyline Brands Ltd (powder hair dye in bottles and FairGlow soap) and Rapidol Pty. Ltd (Godrej No. 1 soap, Renew hair colour).

Trend in exports

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Source: Company, India Infoline Research

Performance of Keyline Brands Ltd

(Rs mn) FY08 FY07 yoy (%)

Total income 1,680 1,675 0.3

PBIT 181 237 (23.6)

Interest 39 39 -

PBT 142 199 (28.6)

Tax 49 59 (16.9)

PAT 93 139 (33.1)

EVA* 0.5          32.0 -

Source: Company, India Infoline Research. (Date of acquisition - September 01, 2006)

During April 2008, GCPL acquired 100% stake in the Kinky Group (Proprietary) Ltd, South Africa (Kinky) for ~265mn South African Rand. Kinky offers a variety of products like hair, hair braids, hair pieces, wigs, wefted pieces and hair accessories like styling gels, hair sprays and oil free shampoo. Kinky has a market share of 10% in the South African market. Kinky recorded revenues of 85-90mn South African rand in FY08 with a profit-to-sales ratio at 30-35%. Kinky has been growing by 20%+ and has a higher growth potential. GCPL expects the Kinky brand to register strong growth post expansion to more geographies with its portfolio of natural and artificial hair products. GCPL is strengthening its hair care product portfolio and is looking to buy such companies overseas.

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On October 01, 2007, GCPL acquired Godrej global Mideast FZE, a 100% subsidiary of Godrej International Ltd. It was established in Sharjah with the objective.

FINACIAL OVERVIEW

Financials Rs (in Crores)

For the year

Operating Income

Net Profit

Net Worth

No. of Shares (in crore)

Adjusted EPS (Rs)

Book value per Share (Rs)

Dvdnd per Share (Rs)

Net Profit Margin (%)

Current Ratio

Lt Debt Equity

08/03

892

148

146

23

7

7

4

16

1

1

07/03

761

122

109

23

5

5

4

16

1

1

06/03

656

121

75

6

21

13

14

18

1

0

05/03

563

86

48

6

15

9

12

15

1

0

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HR POLICIES

Development/management of human resource policies of the company

Ensuring compliance of human resource policies of the company to relevant legislation applicable to the sphere;

Development of training programs for the personnel of the company;

Training of personnel;

Execution of HR management, including recruitment process, employment and further retention of personnel;

Development/management of compensation and benefits policies and schemes;

Development of salary policy and support to the accountant in payment processes;

Identification of the needs of the personnel and development of programs to meet the needs for ensuring higher efficiency;

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Reporting to the General Manager and provision of support in all HR related issue.

CURRENT EVENT

Business News Godrej-SCA JV

Hewitt Best Employers Award

Great Places to Work Award

Nupur Jagruti -A voice against Dowry

New Kochi Godown GCPL and SCA Hygiene Products AB, Sweden form 50:50 joint ventureGodrej Consumer Products Ranks 6th in ET-Hewitt Best Employers of India survey.

GCPL ranked 15th in Great Places to Work 2006 survey

GCPL: Back To ClassAT Godrej Consumer Products Ltd (GCPL), they make sure learning never stops. Three years ago, the company began a 20-month executive MBA programme for its employees, with 25 people on board. Today, the number is four times that. In addition, Web-based learning is made possible through GOLD (Godrej Organization for Learning and Development). It has signed up with UK-based NetG to distribute e-learning modules among its workforce. Godrej Nupur Jagruti -"A Voice Against Dowry"  launched in Mumbai

On the occasion of Women's Day on March 8th, Godrej Nupur, the Mehendi brand of Godrej Consumer Products Limited launched 'Nupur Jagruti-Dahej Ke Khilaf Ek Awaz' an initiative to Stand against Dowry. Citizens pledged their support to this anti-dowry campaign by forming a human chain in a bid to express their stance at the Gateway of India, Mumbai.

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 Ezee -Adjudged a Consumer Super brand by the Super brand Council

Godrej Ezee was conferred the Consumer Super brand award at a glittering function at Taj Lands End on April 12th 2007.

Product News

Launch of FairGlow in a brand new pack

Launch of Vigil Grade I health soap

GCPL launches ‘Vigil’, the first Grade 1 Health Soap in India

INTERNATIONAL MARKET

With the acquisition of Keyline Brands in the United Kingdom, Rapidol and Kinky Group, South Africa and Godrej Global Mideast FZE, a 100% subsidiary of Godrej International Ltd., GCPL now owns international brands and trademarks in Europe, Australia, Canada, Africa and the Middle East.

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SWOT ANALYSIS

STRENGTHS

1. The Company has got wide range of branches within the

country.

2. The Company has wide range of product line.

3. Godrej is having better Sales after services.

4. The Company has there respectable and believable brand

name.5. Company is having large number of customer with higher

satisfaction. 6. The management is trained and efficient & the network of service centers is good in all states.

WEAKNESS

1. The Company does not go for advertising, which is one of the biggest disadvantage of Godrej. 2. Its emphasis more on the advertising of office automation & prime division. 3. The company is focusing many security products at a same time.

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4. The effective selling schemes are not available like payment on installment.

OPPURTUNITIES:

1. Godrej has more opportunities to grow as it has earned good name in security sector. 2. Technical up gradation time to time is also one of the opportunities. 3. Godrej can focus on big project like construction. Where there is a great demand of security equipments

THREAT

The growing competition in the security sector is threat for allmanufacturing companies so it is also threat for Godrej to stand inthe market with the higher position.

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AWARDS & RECOGNITION

In 1897, Godrej Introduced the first lock with lever technology in India. In 1902, Godrej made the first Indian safe.

In 1955, Godrej produced India's first indigenous typewriter

In 1989, Godrej became the first company to introduce PUF ( Polyurethane Foam)

Introduced India's first and only 100% CFC, HCFC, HFC free refrigerators.

GCPL, the Highest Ranked Indian FMCG in Asia's Hot Growth Companies' List by Business Week 

Godrej Consumer Products Ltd. has been ranked 14th in The Best Companies to Work For study. This study was jointly conducted by Business Today, Mercer and Taylor Nelson Sofres (TNS) Godrej Consumer Products Ranks 6th in ET-Hewitt Best Employers of India survey 

GCPL ranked 15th in Great Places to Work 2006 survey The Corporate Citizen of the Year Award given by Economic Times.  Flagship brands Good knight, Cinthol and Ezee selected Superbrands by the Super brands Council

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Godrej Sara Lee, the JV between the Godrej Group and Sara lee Corporation, USA is acknowledged the World's largest mat manufacturers and South Asia's largest manufacturers of Coils.

Godrej Consumer Products Limited, adjudged as a Business Super brand by the Super Brands Council.The Return on Capital Employed and Return on Net Worth ratios of Godrej Consumer Products - the highest in corporate India. 

Godrej Consumer Products was awarded the "Best Managed Workforce" award given by Hewitt Associates and CNBC TV18.

Godrej Consumer Products features in the Top 25 list of Great Places to Work (survey conducted by GrowTalent in association with Business World) for four years in a row. 

Lifetime Achievement Award for Godrej Industries from CHEMEXCIL, the Basic Chemicals Pharmaceuticals and Cosmetics Exports Promotion Council.

CSR (CRPORATE SOCIAL REPORT)

They believe that environment, safety and health are important components of any well- run business and would like every member of the Godrej 'parivar', and the extended family, to inculcate these values. Godrej Company has a green image; the credit goes to Godrej founders. Until 1995 Godrej had not publicized their efforts. They were doing things for the joy it gave them. It was in 1996 that they adopted the System's approach and then the entire business was involved in changing processes and setting procedures to give due consideration to the mangroves. As a matter of fact, some of the businesses found that the conservation of mangroves actually helped them in strengthening business relationships with clients, government and customers. MANGROVE DEVELOPMENT: Mangroves are essential to the ecology of the coast and the island. They provide fertile ground for fish to feed and breed in and nurture a large variety of birds. Mangrove

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conservation has been the key focus of the Environment Cell. The Environment Cell has a broad mandate to mentor and monitor all their activities so as to ensure high standards. The residential township and community around the company is also a focus of their Environment Cell. (MANGROVE AREA VIKHROLI) BNHS and the Soonabai Phirojsha Godrej Foundation made efforts to replant mangroves in Vikhroli-Ghatkopar in the early 90's

RECOMMENDATIONS

The Company should advertise its Security equipment. Today Price based competition is skyrocketing so if it is possible that Company should cut down its security equipments price. Company should promote its security equipment through canopy. Company should do mall activities once in a week because it is necessary to promote the high involvement security product.

OUR OVERVIEWThe Godrej Group stands in a strong position today. With annual sales in

excess of $1 billion, a workforce of approximately 18,000, and a strong

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diversified portfolio, Godrej has proven its ability to deliver strong financial

performance.

The philanthropic activities by the chairman Mr.ADI GODREJ and other

family member seven before the word CSR was known has made the Godrej

group one of the most trusted business house in India. Today the group holds

an example of ethical and most transparent group of business who is

concerned not only to maximize shareholders value but at the same time

invests responsibly in social and environmental welfare.The Godrej Group is today one of the most accomplished and diversified business houses

in India. Godrej’s success has been driven by the company’s commitment to

delivering innovation and excellence. Through the consistent application of

this commitment and a century of ethical business conduct, Godrej has

earned an unparalleled reputation for trust and reliability

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