HINDUSTAN UNILEVER LIMITED (HUL)

Introduction
Hindustan Unilever Limited (HUL) is India's largest
Fast Moving
Consumer Goods Company with a heritage of over 80 years in India and
touches the lives of two out of three Indians.
With over 35 brands spanning 20 distinct categories such as soaps,
detergents, shampoos, skin care, toothpastes, deodorants etc..The
Company is a part of the everyday life of millions of consumers across
India.
The Company has over 16,000 employees and has an annual turnover of
around Rs.25,206 crores (financial year 2012 - 2013).
HUL is a subsidiary of Unilever, one of the worlds leading suppliers of
fast moving consumer goods with strong local roots in more than 100
countries across the globe with annual sales of 51 billion in 2012.
Unilever has about 67% shareholding in HUL.

Place of operations

Northern
Region

Eastern
Region

1.Himachal
pradesh

1.Assam

2.Punjab

3.Kolkatta

Southern

Western

Region

Region

1.Karnataka
2.Kerala

1. Madhya
pradesh

3.Uttarakhand

3.Tamil nadu

2.Maharastra

4.Uttar

4.Podicherry

3. Goa

Pradesh

2.West bengal

4.Dadra & nagar

havelii

Financial Performance of HUL

Balance Sheet

Shareholder categories

Sales Contribution by Different Sectors

OTHERS
2%

BEVERAGES
18%
SOAPS &
DETERGENTS
49%

PERSONAL
PRODUCTS
31%

Awards & Recognitions

Winning with brand innovation
HUL ranked 12th in The Worlds Most Innovative Companies The
Super 50 list by Forbes.
Eighteen HUL brands featured in the 100 Most Trusted Brands list by
Brand Equity.

Winning in the market place

HUL won the award for Best Audit Governance at the Asian Centre
for Corporate Governance and Sustainability awards 2013.
HUL & Star Bazaar bagged the Silver award at the 13th ECR Asia
Pacific Conference.

Winning with people

HUL emerged the No. 1 Employer of Choice in India according to the
Nielsen Campus Track B-School Survey 2013.
HUL was named the Bloomberg Dream Employer of the Year 2013.
Nitin Paranjpe received Forbes Indias Best CEO Award
Sridhar Ramamurthy recognized as the Best Performing CFO at the
CNBC-TV18 CFO Awards.
HUL was recognized for its Best in Class Reward Practices by Aon
Hewitt.
HUL was declared the Top Indian FMCG company 2011 at the Dun &
Bradstreet Rolta Corporate Awards.

HUL was recognized for its Talent practices at the Thought Leaders and
Corporate Excellence Awards 2012.

Sustainability awards
HUL factories in Amli and Haldia won at the Frost & Sullivans Green
Manufacturing Excellence Awards 2012.
HUL won the first prize at FICCI Water Awards 2012 under the category
of community initiatives by industry for Gundar Basin Project, a water
conservation initiative.

Corporate Social Responsibilities

Providing education on health and hygiene
Women empowerment
Water management
Rehabilitation of special or underprivileged children
Care for the destitute and HIV-positive
Rural development.
Plays active role in natural calamities

PEST ANALYSIS
Political analysis
Non conformance with legislative obligations can
sanctions such as fines, adverse publicity and imprisonment.

lead

to

Ineffective voluntary codes and practices will often lead to governments

introducing legislation to regulate the activities covered by the codes and
practices.

Economic analysis
Affected by national and global economic Factors.
National and global interest rate and fiscal policy will be set around
economic conditions.
Inflation has affected HUL such that it leads to increase in raw materials.

Social analysis
Population changes
Changes in the structure of a population.
Falling birth rates will result in decreased demand
Changing interest among individuals.

Technological analysis
Technology infrastructure help them manage their business transmit and
record information.
Created a society which expects instant results
Increased the rate at which information is exchanged between
stakeholders.
A faster exchange of information can benefit businesses as they are able
to react quickly to changes.

Marketing Strategies
Distribution network(direct selling)
Brand extension strategy
Line extension strategy
Repositioning strategy
Promotional strategy-ads(Rs700-800 cr)
Segmentation strategy (Differentiated marketing)
Premium brand
Affordable brand
Innovation strategy-introduction of sachet in shampoo
Customer driven strategy

Competitive Strategies of HUL

Expansion Strategies
Distribution Strategies
Innovation Strategies
Promotional Strategies
Pricing Strategies
Premium Strategies
Digital Strategies
Sustainable Growth Strategies

SWOT analysis
Strength
Strong brand portfolio, price, quantity & variety.
Innovative Aspects.
Presence of Established distribution networks in both urban and
rural areas.
Strong R&D of the company
Highly skilled human resource.
Corporate Social Responsibility(CSR)

Weakness
Strong Competitors.
Low exports level(at present).
Changing consumption pattern.
High advertising costs

Opportunities
Large domestic market over a billion population.
Changing Lifestyles & Rising income levels, i.e. increasing per
capita income of consumer

Threats
Large domestic market over a billion populations.
Increasing cost of raw material
FDI in retail