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TERM PAPER
on
HINDUSTAN UNILEVER Ltd
BY
Pallavi.L
MBA 1st Sem
01FM14MBA109
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OVERVIEW OF THE COMPANY INCORPORATED: 1933
INDUSTRY: CONSUMER GOODS
HEADQUARTERS: MUMBAI ,MAHARASHTRA.
KEY PEOPLE: HARISH MANWANI(CHARIMAN)
SANJIV MEHTA(MD & CEO)
TURNOVER: INR 27,486 CRS (2013-2014)
PEOPLE: 16000 EMPLOYEES INCLUDING 1500MANAGERS.
REACH: 6.4 MILLION RETAIL OUTLETS.
R&D CENTRES: MUMBAI & BANGALORE, INDIA.
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• 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 threeIndians everyday
It is owned by Anglo-Dutch company Unilever
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• HUL was established during 1956,as a result of a merger
between Lever Brothers, Hindustan Vanaspati Mfg. Co. Ltd.
and United Traders Ltd
HISTORY
FOUNDERS OF HUL
William and James Lever
The brothers had invested in and
promoted a new soap making processinvented by chemist William Hough
Watson. It was a huge success.
In 1930, Lever Brothers merged
with Margarine Unie to form Unilever.
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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
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FOOD AND BEVERAGES BRAND
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Sales and Distribution Channels of HUL
Manufacturing Unit
Carrying and Forwarding
Agent
Redistribution
Stockists
WholesalersRural
Retailers
Urban
Retailers
Consumers
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Organization structure of
Hindustan Unilever Limited
Chairman
Director
finance
Director
marketing
Director
exportsDirector
research
Director
HR
technical
Director,legal &
secretarial
Directorbeverages
Director
Personal
Care
products
Director
soaps and
detergent
Director salesand customer
development
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Board Of Directors
Mr.Harish Manwani Non-Executive Chairman
Mr. Sanjiv MehtaManaging Director andChief Executive Officer
Mr. Sridhar RamamurthyExecutive Director, Finance& IT and Chief FinancialOfficer
Mr. Pradeep BanerjeeExecutive Director,Supply Chain
ORGANISATION STRUCTURE
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Principles of the Quality Policy
• HUL have stringent mandatory Quality standards in placeagainst which compliance is verified through regular auditsand 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
• Unilever’s 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.
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• 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.
HUL believes that Quality is a shared responsibility between
the employees and the customers
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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
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BEST HR PRACTICES
• Performance Appraisal and Competency Enhancementsystem (PACE)
- performance appraisal software, Fully-configurablecloud-based employee performance managementsolution that focuses on goal setting and real timesocial feedback
• Performance Development and Planning system (PDP)
- It helps in keeping track of the performance theemployees. The process enables each staff person tounderstand their true value-added to the organization
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•'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 toan individual? How satisfied are they with it?
• Customized Salary packageIf the company does well in meeting its goals,
Hul’s 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.
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Motivational Initiatives
• Task Force on Employee Recognition
- Awards and recognitions given to the part-time 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 ofcomplaints and with most speedy delivery
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HUL’s 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 11:00 am to 11:15am
Lunch BreakDuration: 30mins 01:00 pm to 1:30 pm
Evening tea breaks
Duration: 15mins 04:00 pm to 4:15 pm
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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
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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 benefitslike –
Medical Aid for self (100%) and for family (75%)
Petrol allowance
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Swot analysis:
• Strengths : HUL is a part of the Unilever group, hencestrong 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 internationalbrands
CONCLUSION