HINDUSTAN UNILEVER LIMITED
Presentation brought to you by:
SOHIT JAISWAL
SUKAMAL DE
SAUMYASREE GHOSAL
TRIPTI MONDAL
SABYASACHI HALDER
SOUVIK DE
SUBHADEEP MONDAL
RITU HALDER
INTRODUCTION
Hindustan Unilever Limited(HUL) is India’s largest Fast Moving
Consumer Goods Company with a heritage of over 75 years in India and
touches the lives of two out of three Indians.
HUL works to create a better future everyday and helps people feel
good, look good and get more out of life with brands and services that
are good for them and good for others.
Hindustan Unilever Limited, formerly Hindustan Lever Limited, is
India’s largest consumer products company and was formed in 1933 as
Lever Brothers India Ltd. Its current headquarter is in Mumbai, India
and its 41000 employees are headed by Harish Manwani, the non-
executive chairman of the board. HUL is the market leader in Indian
products such as tea, soaps, detergents as its products have become
daily household name in India. The Anglo-Dutch company,Unilever,
owns a stake in HUL.
The company was later renamed in June 2007 as “ Hindustan Unilever
Limited”.
Some of the products of
Hindustan Unilever Limited
MISSION
HUL’s mission is to add vitality of life. They meet
everyday needs for nutrition, hygiene and personal
care with brands that help people feel good, look
good and get more out of life.
VISION
To earn the love and respect of India, by making a
real difference to every individual.
Area of specialization
HUL specializes in Consumer products as we can see in the
figure.
Organization Structure of
Hindustan Unilever Limited
Chairman
Director Director Director Director Director HR
Finance Marketing Exports Research Technical
Director, Legal Director Director Director Director
& Secretarial Beverages Personal Detergent ICFD
FINANCIAL
RECORDS
Hindustan Unilever Limited is 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 Rs 27,408 crores in the year 2013-
14 with a net profit of Rs 3,867 crores.
Net Profit and Expected Profit Of HUL
INNOVATIONS
Skin lotion: Delivering moisture where it’s needed. Moisturisers
help to replenish dry skin. The key ingredient – Glycerine. Unilever
set about developing a moisturiser too for this. The result was
Stratys-3, a combination of three special ingredients. One of which
is Glycerol Quat, a new molecule which closely resembles Glycerol,
but binds four times more water within the cells of the skin’s top
layer.
Clean clothes, less water: HUL was asked if they could improve
Surf Excel so less rinsing is needed, while still getting clothes as
clean as before. We knew we could cut the number of rinses by
adding on a number of anti-foam ingredients commonly used in
detergents. That would make the lather rinse more quickly. This is
how new Surf Excel Quick Wash delivered a good lather at the
washing stage, and reduced the need for rinsing – saving two
buckets of water per wash.
Cool ice cream innovations: Less fat, more fruit. The new
ingredient is called ‘ice structuring protein’. This protein allows
us to make ice cream and ice lollies which are lower in fat, sugar
and calories and at the same time include more fruit.
Knorr: a revolution in stock- Knorr is now launching the biggest
innovation in stocks and bouillon for nearly 100 years: a little pot
with an authentic bouillon: Knorr Stock Pot. By interacting
closely with consumers, we realised that the jelly format of
Knorr Stock Pot is very close to home-made bouillon in how it
looks and smells and how you use it.
CORPORATE SOCIAL RESPONSIBILITY
The company has reduced the water usage in manufacturing
operations from 21.5% to 10.1%.Rainwater harvesting has also been
started in more than 50% of the units. HUL has also been working
for more than a decade in the area of water conservation in
locations which face acute water shortage.
HUL started a three-month campaign called "Go Recycle" to
promote plastic recycling among consumers .
HUL also creates financial inclusion. The company joined forces
with the State Bank of India (SBI) to introduce banking services to
people from low-income groups in rural areas.
HUL also renders services to the community, focusing on health &
hygiene education, empowerment of women, and water
management. It is also involved in education and rehabilitation of
underprivileged children, care for the destitute and HIV-positive,
and rural development.
HUL has also responded to national calamities, for instance with
relief and rehabilitation after the 2004 tsunami caused devastation
in South India.
The Company is on track to meet the global target, which is to
reformulate the products to reduce Greenhouse Gas emissions by
15%.
Project Shakti, a unique initiative by the Company to build and
support a network of women entrepreneurs in small villages was
strengthened in 2010–11 with the Shaktimaan initiative, under
which men from Shakti households were given a bicycle to cover a
cluster of villages in their vicinity.
Lifebuoy , a product of HUL took hand washing messages to remote
areas, reaching out to 30million people directly in 2010-11 through
HUL's rural outreach programme.
Project Sunlight is a project where every home has enough water to
drink and to wash, cook and clean and where everybody can enjoy
life today while protecting the planet for future generations.
Due to its tremendous contribution towards society and and huge profits, HUL
is one of the top organizations in India.
PRINCIPLES OF MANAGEMENT
HUL follows the basic principals of Management introduced by
Henry Fayol . Taking these into consideration we find that:
1) Division of Labour: Each & Every employee of the HUL are
recruited with specialized knowledge . So as a result of those the
efficiency of employees increases and the benefits of Specialization
can be enjoyed.
2)Authority & Accountability: The authority here are diversified.
There are about 365 managers in different levels of the
organization. The topmost is the Board of Directors, it comprises of
Non-executive Chairman, Directors, five independent Non-
executive and the Managers.
3) Discipline: In order to succeed there requires certain control of
authority which we can find that in every level there are managers
as well as good supervisor who take care of clear and fair agreement
and judicial applications.
Continued……..
4) Unity of Command: The direction of command flows from the
top level to the bottom level of the management.
5) Unity of Direction: Since it indicates that there should be one
head and one plan for the accomplishment of group activities, it is
not so relevant due because the individual employees contribution
are there.
6) Fair Remuneration and work environment: The motive of HUL is
to serve the society as well as the employees with best possible ways
by giving job appraisals, bonus and fair environment so that the
employees are motivated.
7) Stability of tenure & security: Since the organization is
diversified i.e., there is diversity in work, the employees are given
security and stability of tenure as it keeps on changing according to
the demand of customers.
Applications of the Principles of Management:
1) Planning : The first and foremost principles of management is
planning. It involves selecting missions and objectives and the
action to achieve them. So, here the mission is to add strength to
life and to meet everyday needs for nutrition, hygiene, personal
care with brands that help people feel good and look good and get
more out of line.
2) Organizing: Organizing involves establishing an intentional
structure of roles for people to fill in an organization. It is made
necessary to accomplish the goals. HUL follows that the right
person is allocated on right job. So efficiency grows and as a result
production increases. Beside this, the organization maintains
diversity in work environment as a result employees doesn’t get
bored rather acts as a flexibility which effects the individual
motivations of workers as a result there is a high productivity.
Apart from these the order or the authority travels from upper to
lower level and there is both formal and informal organization.
Continued……..
3) Decision making: The decision making is done by the Board of
Directors, as well as the non-executive chairman. Since there are
managers involved in different stages of the production, the
information flows in both ways i.e. either from upward to
downward or vice versa. So here we find the Double Loop
Learning.
4) Departmentation: It helps in grouping activities on the basis of
product or product lines. Since each department has individual
heads for example, Production Head, Sales Head, Accounting
Head, etc., it facilitates use of specialized capital, facilities, skills
& knowledge therefore helps is lesser disruption and permits
growth and diversity of products and services.
5)Organizational Culture: The organization maintains good
organization culture by providing hygiene factor, good
communication between authority and employees.
CONCLUSION
As almost all the management principles like Division of
labour , authority & accountability, Discipline, Unity Of
Command , Unity Of Direction have been effectively
applied in the organization and it not only makes bulk
profit every year but also shares it concerns for the society
as we have seen in the CSR of the organization. Hence,
HUL would be a perfect idol for other organizations in the
sense that the needs and welfare of the society can also be
taken care of very effectively even when an organization is
primarily a profit making organization.’