TABLE OF CONTENT S. No Content Page No
1. Executive Summary 2 2. Introduction to HUL 3 3. History of HUL 6 4. Corporate Governance in HUL 16 5. Corporate Social Responsibility 18 6. Company Structure 17 7. Brands for Life 21 8. Market Analysis 44 9. Performance Analysis 47 10. SWOT Analysis 50 11. Recommendations 55 12. Project Shakti 59 13. Conclusion 60 Page
14. Bibliography 61
Hindustan Unilever Limited is the Indian arm of the Anglo-Dutch company ±Unilever. Both Unilever and HUL have established themselves well in the Fast Moving Consumer Goods (FMCG) category. In India, the company offers many households brands like, Dove, Lifebuoy, Lipton, Lux, Pepsodent, Ponds, Rexona, Sunsilk, Surf, Vaseline etc. Some of its efforts were also rewarded when four of HUL brands found place in the µTop 10 brands¶ list for the year 2008 published in The Economic Times. Unilever was a result of the merger between the Dutch margarine company, Margarine Unie, and the British soap-maker, Lever Brothers, way back in 1930. For 70 years, Unilever was the undisputed market leader but now faces tough competition from Proctor & Gamble and Colgate-Palmolive. HUL is also known for its strong distribution network in India. In order to further strengthen its distribution in the rural areas and to empower the local women, HUL launched a Project Shakti in 2000 in a district in Andhra Pradesh. The idea behind this project was to create women entrepreneurs and provide them with micro-credit and training in enterprise management, which would enable them to create selfhelp groups and become direct-to-home distributors of HUL products. Today Project Shakti is present across 80,000 villages in 15 states and is helping many underprivileged women earn their livelihood. As the per-capita income of India is increasing along with the Indian population. So, the future for the FMCG Companies is bright. To analysis the past performance & the future demand of HUL, FMCG products we have considered following points: We have a listed the different FMCG product lines of HUL. We have done competitor¶s analysis in which the market share of top FMCG companies are analysed & the market share of HUL¶S different categories product are analysed with comparison to its competitors. Then performance analysis is made by taking 10 year financial data from 1998-2007. The profit & sales growth is analysed. Page We have done SWOT analysis to know the threat & opportunities of HUL in present market. The future opportunities for FMCG products are taken into consideration by analyzing the increased per capita income & increased disposable income to forecast the future demand of HUL.
Introduction to HUL
Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer 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 1, 2008 to March 31, 2009). HUL is a subsidiary of Unilever, one of the world¶s leading suppliers of fast moving consumer goods with strong local roots in more than 100 countries across the globe
with annual sales of ¼40.5 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 ³Global Top Companies for Leaders´ by a study sponsored by Hewitt Associates, in partnership with Fortune magazine and 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 ³add 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, Unilever, which holds about 52 % of the...