Department of Management Sciences

Strategic Management
Case study of Unilever
Submitted by:
Muhammad Kamran yusuf
MBA-3W (2yrs)

Submitted to: Sir, Abdus Sattar

Date: April 29, 2020
 Unilever
iUnilever is a British-Dutch transnational purchaser merchandise organization co-headquartered in
London, England, and Rotterdam, Netherlands. Its items incorporate nourishment, caffeinated drink,
dessert and refreshments (around 40 percent of its income), cleaning operators, magnificence items,
and individual consideration items. Unilever is the biggest maker of cleanser in the world. Unilever is
one of the most established worldwide organizations; its items are accessible in around 190 countries.

Unilever possesses more than 400 brands, with a turnover in 2017 of 53.7 billion euros,and thirteen
brands with deals of more than one billion euros:Ax/Lynx, Dove, Omo, Heartbrand frozen yogurts,
Hellmann's, Knorr, Lipton, Lux, Magnum, Rexona/Degree, Sunsilk and Surf.[4] It is a double recorded
organization comprising of Unilever N.V., situated in Rotterdam, and Unilever plc, situated in London.
The two organizations work as a solitary business, with a typical top managerial staff. Unilever is
composed into four principle divisions – Foods, Refreshment (drinks and frozen yogurt), Home Care, and
Beauty and Personal Care. It has innovative work offices in China, India, the Netherlands, United
Kingdom and United States.

Unilever was established on September 2, 1929, by the merger of the Dutch margarine maker Margarine
Unie and the British soapmaker Lever Brothers. During the second 50% of the twentieth century, the
organization progressively enhanced from being a producer of items made of oils and fats, and extended
its activities around the world. It has made various corporate acquisitions, including Lipton (1971),
Brooke Bond (1984), Chesebrough-Ponds (1987), Best Foods (2000), Ben and Jerry's (2000), Alberto-
Culver (2010), Dollar Shave Club (2016) and Pukka Herbs (2017). Unilever stripped its claim to fame
synthetic concoctions organizations to ICI in 1997. During the 2010s, under the administration of Paul
Polman, the organization continuously moved its concentration towards wellbeing and magnificence
brands and away from nourishment brands demonstrating moderate growth.
 1. What is mission and vision of the organization ?

Unilever's statement of ipurpose and vision iproclamation are a ifundamental establishment for ithe
achievement of ithe organization's shopper iproducts business. The icorporate statement of ipurpose
shows the ivital methodologies of the iorganization. For Unilever's isituation, the statement iof purpose
decides how ithe places of work ithe requirements of its iobjective purchasers. Then iagain, the
corporate ivision proclamation gives the iimprovement bearing of the associationi. Unilever's vision
articulation comprehensively ipresents what the organization needs to ido to prevail in the ilong haul.
Considering the organization's isituation as one of the greatest ishopper merchandise firms on the
planeti, Unilever's statement of purpose iand vision explanation stay applicable iand fitting to worldwide
economic isituations.

2. What is company function and objective are they consistent with each
other ?

 The ifundamental goal is to iguarantee that Unilever chiefs over the iglobe are furnished with ia
predictable arrangement of iabilities and a typical ilanguage that empower them ito successfully
handle the ibusiness challenges they facei

 iPrior to the iactivity there were iupwards of 650 distinct iproviders giving administration
preparingi, so the accomplishment iof consistency was ia key driver

 iFollowing a mind boggling idetermination process TACK International iwas chosen by Accenture
ias a key accomplice ito build up the iadministration ability for Unilever icomprehensively over a
5i-multi year time iframe.

 iTACK was one of only ia handful scarcely any accomplices iready to offer the iconsistency,
expansiveness iand profundity of preparing iportfolio Unilever required

 TACK's idemonstrated reputation with iworldwide blue-ichip organizations and ia strong

framework and iconveyance capacity in inear 40 markets and 25 inearby dialects was icrucial to
dealing iwith this worldwide iarrangement

Functions

iUnilever Company gives ian assortment of items iwhich incorporate nourishment refreshmentsi,
individual consideration iitems, and istaple. The iorganization is accepted ito be the iworld-driving maker
iof margarine that iis utilized as ia spread item ifor bread. iIn addition, ithe organization has iwandered
into various imarkets goals over ithe globe. i
 3. Who is onboard? And what employess contribution?

At iUnilever, we ihave built up an iindustry-driving onboarding iprocedure to enable our inew starters to
feel ilike piece of the igroup, a long itime before they turn iup for their first iday. In this iLinkedIn Pulse
Blog arrangementi, I offer guidance ion how associations, of iall shapes and sizesi, can successfully
locally iavailable their workers and iwhat new colleagues can ido to conform to itheir new organization
and ijob.

iBeginning a new position iis an energizing time for ithe vast majority - ianother position, new
iconnections and openings ianticipate, be ithat as iit may, iit can likewise ibe an encounter ithat causes
tension iand stress. iIt is a isignificant life change iall things consideredi

As the iLeadership and Organizational iDevelopment Manager for iUnilever, Australia iand New Zealandi,
my main responsibility iis to assist iwith lessening that iuneasiness and guarantee inew representatives
have ia positive encounter ito assist them iwith prevailing in their inew job. i

Onboarding is a ibasic piece of iinviting new individuals into ian organization, iand can assist iwith
consoling them ithat they ihave settled on ithe correct ichoice to ijoin your associationi.

Keen ibusinesses realize that ionboarding is certifiably inot an 'ideal ito have' or ian 'add on' ito their
enlistment iprocedure. A iremarkable inverse. iThey have solid iprocedures set up ifor inviting and
iinstructing new icolleagues. iThey comprehend ithat onboarding inot just advantages ithe association
for ithe time being iyet can positively iaffect the business ifor a long itime to comei.

4. iTop management involvment in smps and how they interact eith lower
management

Amir paracha CEO

Amir Paracha is the Chairman and Chief Executive Officer of Unilever Pakistan Limited. He joined the
Board on first February 2020.

He joined Unilever Pakistan in 2000 and has held different senior administration positions in Pakistan
and North Africa Middle East bunch over his 20 years with the Company. Before taking over as the CEO,
in his job as VP Customer Development, he conveyed strong outcomes and kept up a solid development
outlook, effectively motivating a transformative vision for what's to come.

Amir proceeds to effectively explore different avenues regarding troublesome plans of action and has
supported consideration over the Unilever biological system in Pakistan.

Amir started his profession at the Royal Dutch Shell Oil organization in July 1996 and has done his
Masters in Business Administration from the Institute of Business Administration.

Aly yusuf Chief financial officer

Aly joined the Board on October 01, 2019 and is currently Director & Chief Financial Officer of Unilever
Pakistan Limited and Unilever Pakistan Foods Limited. Over his 12 years career he has held diverse roles
across the Finance function, both in Pakistan and abroad

Aman Ghanchi

Aman joined the Board in January 2018 and has been with Unilever for the past 11 years. He has diverse
experience both in legal and tax matters. Based on his past experience he is recognized by the industry
and within Unilever Pakistan as an expert in his field.

He has several accomplishments that span over his career some of which include successfully lobbying
tax reforms for the government.

Board of Directors

Kamran Mirza Chairman

Kamran joined the Board in 2014 as Chairman of Unilever Pakistan Foods Limited. He qualified as a
Chartered Accountant from the UK. He joined Abbott Laboratories (Pakistan) Limited in 1970, where he
was one of the youngest ever Managing Director and served in that position for 29 years till 2006.

He was also the Chairman of the Export Processing Zones Authority before taking over his present
position as CEO at the Pakistan Business Council. Kamran is also the Chairman of Philip Morris (Pakistan)
Ltd and Education Fund for Sindh (EFS) as well as serving on the Boards of Abbott Laboratories
(Pakistan), International Steel (ISL), Karwan-e-Hayat and Safari Club Limited.

Previously he served as Chairman of Karachi Stock Exchange, and as a President of Overseas Chamber of
Commerce & Industry, American Business Council; as Director of State Bank of Pakistan and Pakistan
State Oil. He lectures regularly at the Pakistan Institute of Corporate Governance (PICG).

Farheen Salman Amir

Farheen joined the Board on March 7, 2016 and is currently the Director Foods & Refreshments.
Farheen joined Unilever as a Management Trainee in 1998. In her 17 years’ career with the company,
Farheen has worked in a number of categories across both Food & Refreshment and HPC. In her last two
years as BD Director Ice Cream NAMET, Farheen worked for Unilever Turkey and crafted an innovation &
communication program for the portfolio that was instrumental in bringing the Euro 450 million ice
cream business back to sustained double-digit growth.

Noman Amjad Lutfi

Noman again joined the Board on November 01, 2015. He has a long association with Unilever and has
headed the Supply Chain function in Unilever Pakistan. Currently, he is working as Supply Chain Director
of Unilever Sri Lanka.
Zulfikar H.Monno

Zulfikar joined the Board when the Company was formed. He is also the Chairman of the Audit
Committee and the Human Resource & Remuneration Committee of Unilever Pakistan Foods Limited.
He is an alumni of The Wharton School, University of Pennsylvania and Aitchison College, Lahore. He is a
Director and audit member in Rafhan Maize Products Limited and is also the Chief Executive of Pakwest
Industries (Private) Ltd., Lahore

Mian M Adil Monnoo

Adil joined the Board on May 5, 2002 as a Non-Executive Director. He is also the Member of the Audit
Committee of Unilever Pakistan Foods Limited. He holds directorship in Rafhan Maize Products Limited
and is in the business of textile trade as the sole proprietor of HN Enterprises

Kamal Monnoo

Kamal joined the Board on December 19, 2006 as a Non-Executive Director. Having done his schooling
from Aitchison College and graduation from Syracuse University and Yale University, USA, he is also the
Member of the Human Resource & Remuneration Committee of Unilever Pakistan Foods Limited. He
holds directorships in Samira Fabrics (Pvt) Limited, Pakland Chemical Industries (Pvt) Limited, Kaarvan
Crafts Foundation, Institute of Public Policy and Islamabad Policy Research Institute.

Badurrdin F. villani

Badaruddin joined the Board on May 5, 2002. Currently, he is enrolled as an Advocate of the Supreme
Court of Pakistan and is a partner in the law firm ‘Vellani & Vellani’. In addition to his legal practice,
Badaruddin is a member of the Board of Directors in several multinational companies covering the
FMCG, manufacturing, medical and philanthropy sectors.

Unilever utilizes ithe executives improvement i (MD) ias a vital iapparatus to enable ithe association to
meet iits short and long ihaul objectives. iAs of late, Unilever ihas experienced a iprocedure of quick
ichange and MD ihas been significant iin imparting that ichange all through ithe association and
ioutfitting staff to imanage it. iKey highlights that ihave made the iMD program work ialong these lines
ifor Unilever werei: joint proprietorship and iobligation (ithe business iand the iindividual); recognizable
iproof of ability iat all levelsi; express fuse iof own desiresi; organization iinterests can outweigh ibunch
interestsi; one framework iaround the worldi; execution advancement irelated compensation; iand
absolute straightforwardnessi. What's more, iexecution advancement arranging iis featured as ia
significant segment iof the programi.
 5. Which factors effects the organization and which features threats and
opportunity?
Political factors

iThe political scene iinfluences Unilever's exhibitioni. This area iof the PESTELi/PESTLE iexamination
distinguishes the ieffect of governments ion firms' remote ior full scale icondition. The iaccompanying
political outside ielements are huge iin Unilever's customer iproducts businessi

1. Political istability iof most countries i (opportunityi)

2. Political issues in ithe European iUnion (threat)
3. iGrowing free trade irelations (opportunity)

Economics Factors important to unilever

iUnilever's business execution irelies upon the circumstance iof economies around ithe globe. iThis
segment of ithe PESTEL/PESTLE iinvestigation traces the iimpact of financial iconditions on firms and
itheir remote or ifull scale conditioni. The accompanying imonetary outer ielements are determinants
iof Unilever's presentation iin the customer iproducts industryi:

1. iIncreasing wages in ideveloping countries (iopportunity & threat)

2. iHigh growth of ideveloping countries (opportunityi)
3. Economic istability of developed icountries (opportunity)

Social Factors

iSociocultural trends and iissues affect Unilever’s ibusiness performance and ithe remote or imacro-
environmenti. The socially idriven behavioral aspect of imarkets is considered iin this section iof the
PESTELi/PESTLE analysisi. The sociocultural external ifactors significant in iUnilever’s consumer goods
ibusiness are as follows

1. iRising health consciousness i (opportunity)

2. iRising environmentalist behaviors i (opportunity)
3. iGradual dismantling of ithe gender divide i (opportunity)

Techonology Factors

iUnilever relies upon iaccessible advances to ihelp its purchaser imerchandise business. iThis segment
of ithe PESTEL/iPESTLE investigation recognizes ithe effect of iinnovative patterns ion firms and itheir
remote or ilarge scale condition. iFor Unilever's situationi, the accompanying iinnovative outside
variables iare noteworthy:

1. iRising business iautomation (opportunity i& threat)

2. iRising Ri&D investments (ithreat)
3. iDecreasing cost iof transportation ibased on itechnological efficiencies i (opportunity & threat)
 Ecological Factors

iEcological trends and iconditions influence Unilever’s iremote or macroi-environment. The ieffects of
the inatural environment and irelated issues are considered iin this section iof the PESTELi/PESTLE
analysisi. The ifollowing ecological external ifactors significantly affect iUnilever’s consumer goods
ibusiness:

1. iRising interest iin business environmentalism i (opportunity)

2. iIncreasing business iefforts on isustainability (iopportunity) i
3. Increasing icomplexity of environmental iprograms (iopportunity)

Legal Factors

iUnilever must satisfy iregulations to minimize ibarriers to iits consumer goods ibusiness. This isection
of the iPESTEL/PESTLE ianalysis determines the iimpact of ilegal systems on firms’ iremote or macroi-
environment. iUnilever must satisfy the iissues based on ithe following legal iexternal factors:

1. iIncreasing complexity of ienvironmental regulations (iopportunity)

2. iStrengthening international ipatent laws (iopportunity)
3. Strengthening iconsumer rights ilaws (opportunityi)

6. What forces derive industry competetion and how?

Strength

 Unilever works in about 190 nations around the globe and subsequently, has a worldwide
iimpression joined with iitop of the psyche brand ireview among purchasers iaround the worldi.
 iIt has a profound iand wide arrangement of ibrands and an ienhanced item extend, iwhich
makes it iextraordinarily, situated ito take advantage of ithe changing purchaser iinclinations
over the world.
 Its Research and Development activities are vigorously supported and figure out how to bring to
the market inventive and bleeding edge items in order and in accordance with purchaser
inclinations.
 iUnilever has a iparticular upper hand iover its closest irival, Proctor iand Gamble as ia result of
its iadaptable estimating and iaptitude in conveyance channels ithat figure out ihow to arrive at
the niche and the side of the globe.
 The organization discovers its qualities in utilizing the economies of scale emerging from its
expansiveness of tasks just as cooperative energies between its many assembling offices, which
totaled 270 areas around the globe last time anyone checked.
 Unilever consolidates iworldwide deduction iwith nearby executioni, which implies ithat it seeks
iafter Glocal techniques that let it win the hearts and brains of buyers who might want to utilize
its items that are all inclusive well known at this point hold an unmistakable neighborhood
enhance.
Weakness

 The greatest shortcoming that Unilever faces is that it works in a uber serious market where the
other worldwide monsters like P&G and Nestle notwithstanding a large group of neighborhood
players challenge its strength every step of the way and up the ante in the Trillion Dollar FMCG
(Fast Moving Consumer Goods) space.
 iThe different shortcoming iis that its iitems can without imuch of a istretch be supplanted
iwith substitutes particularly iin the developing imarkets in Africa and iAsia where the
iprovincial purchasers in ithe hinterland regularly iutilize customary and icommon options in
icontrast to the items that Unilever markets.

Opportunity

 iWith the coming iof globalization and ithe multiplication of iworldwide media, ipurchasers in
ithe developing markets iare seeking to western iways of ilife and this iimplies Unilever has ian
enormous open idoor sitting tight ifor it as iit takes advantage iof this huge iand differentiated
shopper ibase that needs ito join the ialliance of westerners iin taste iand inclinations ifor buyer
productsi.
 iApart from that, catching the "Recently Affluent Trillion Dollar Consumers" in China and India
implies that it has a brilliant chance to use this gigantic and developing shopper base, which
frequently attempts to impersonate and copy the consumerist inclinations of the material west.
 iThe rise of ithe wellbeing cognizant ibuyer in the icreated world implies ithat Unilever can
itake advantage of ithe lucky break ito market to ithis portion with iits current but then to ibe
propelled item igo that iis uncommonly idesigned for ithe wellbeing cognizant ipurchaser.
 Unilever has a decent reputation of social and condition obligation and with the development of
the moral chic shopper who like to purchase and devour items and brands that are mindfully
made and reasonably complete.

Threats

 iThe progressing worldwide imonetary emergency ihas seriously iimprinted the ibenefit of
inumerous FMCG organizations iand Unilever is ino special case. iWith the contracting iof the
expendable iearnings of the iworldwide purchaser, ithey are purchasing iless and demanding
imore an incentive for itheir cash or "iall the more ivalue for ithe money". iThis implies Unilever
ifaces the risk iof reduced iincomes iand expanding costs, which resembles a "One-two punch"
to its top-line, and primary concern.
 Though we had referenced that Unilever succeeds and scores over P&G in the CSR or the
Corporate Social Responsibility angle, the expanded mindfulness among the worldwide
shoppers has transformed the cruel glare into every single vital move that the organization
 makes. A few acts of the organization have been censured which implies that Unilever needs to
guarantee that it supports and keeps up its concentrate particularly when the spotlight is on it.
 As referenced before, Unilever works in a market portion where neighborhood items and
options in contrast to its brands multiply particularly in the developing markets and henceforth,
it faces a danger from littler and progressively deft nearby upstarts who can give more an
incentive to lesser cash without the related costs that worldwide mammoths like Unilever cause.
 The section of Asian multinationals into the worldwide field has raised the stakes for Unilever
and upped the ante in the worldwide game for strength in the FMCG advertise fragment. This
implies Unilever faces the possibility of doing combating the recessionary blues as well as
developing dangers from this new age and new type of rivalry from Asian aggregates that are
starting to spread their wings universally.

7. What is trigging event to change the strategies?

iFive Levers for iChange How does it iwork? The frst istep is to revisit iwhat we know iabout our
consumersi. We systematically iidentify: BARRIERS i– what are the ithings that stop ipeople from
adopting ia new behaviouri? TRIGGERS – ihow could we iget people to istart a new behaviouri?

Motivator

what are ithe ways to ihelp them stick with ithe new behaviouri? Next, iwe take all those iinsights and
consider ihow to inspire ithe change that’s needed iusing each of Unilever’s iFive Levers for Changei

Understood

Do people iknow about the behaviouri? Do they believe iit’s relevant to ithem? This iLever raises
awareness and iencourages acceptance. i

Easy

Do ipeople know what ito ido and feel iconfdent doing iti? Can ithey see it iftting into their ilives? This
iLever establishes convenience iand confdence

iDesirable

Will doing ithis new ibehaviour ft iwith their actual ior aspirational selfi-image? iDoes it ift with how they
irelate to others ior want toi? This Lever is iabout ‘self and isociety’ because humans are isocial animals.
We itend to emulate ithe lifestyles and ihabits of people we irespect – like our parents ior sometimes a
icelebrity – and ifollow norms in societyi.

Rewarding

iDo people iknow when they’re idoing the ibehaviour ‘right’? iDo they get isome sort iof reward for
idoing it? iThis Lever demonstrates ithe proof and ipayoff.
iHabit

Once ipeople have made ia change, iwhat can we ido to help ithem keep doing iit? This iLever is about
reinforcing and reminding

8. Evaluate the business starategy and recommendation?

The organization ichose to ibasically dissect ithe association's imethodology is Unileveri. It is ia global
organization which iwas set up by ithe parent organization of iAnglo-Dutch ithat possess and iwork a
large number iof the brands in purchaser iitems around the globe in ithe classification of cleaning
operators, irefreshments, nourishmentsi, and iindividual consideration i (Unilever, i2017). Additionallyi,
Unilever has imore noteworthy than 400 ibrands that are isold in 190 idistricts. The iassociation was
built up iin 1896 which iis situated in iUK. Subsequentlyi, the Unilever iUK Limited is iworked as an
auxiliary iof Unilever Plci.

The significant ibasis to choose iUnilever to examine iits procedures as the iorganization has wide
system iof activities everywhere throughout ithe world. iWhat's more, the iorganization has one iof the
biggest icustomer bases for iits purchaser merchandise iitems and holds solid imarket position among its
irivals, for iexample, Pi&G and iReckitt Benckiser. iAs a result iof its iwide system of itasks and ibigger
purchaser base iof more than i1 billion clientsi, contemplating the iorganization's procedure will ibe of
ienthusiasm as it ican give a icomprehension of Unilever's ivital course for iits business activitiesi.

Thuslyi, the ifocal point of ithis report is ion assessing the ibusiness level systems ias the report italks
about as ihow Unilever position itself iagainst its adversaries iand how its ikeeps awake toi-date on
iinnovative changes and imarket patterns. iThe accentuation of business ilevel techniques is ion how the
iorganization fulfill and iaccomplish its clientsi, iand how it igives merchandise and iventures to address
ithe issues iof its iclients such that ibuilds overall revenues (iHill, iJones and Schilling, i2014).
iHenceforth, the ireport contends the iseparation procedure as ieffective business level isystem of
Unileveri, and ithe appropriation iof item advancement imethodology to effectively iaddress and cook
ithe issues of icustomers by igiving wide iscope of new iitems to pull iin worldwide buyersi.

Recommendationi

This iSWOT investigation of iUnilever features various iinner iand outer vital ivariables that ichiefs must
remember ifor itechnique iimprovementi. For instancei, ithe ishortcomings of irestricted ibusiness
ibroadening iand imitable inature iof iitems iare icritical in ilight iof the ifact ithat they iimpact business
istrength and iexecution. iIn such manner, ia proposal is ito expand Unilever's ibusiness through
iprocurement of related ifirms not in ithe icustomer products industryi. Likewise, iUnilever needs to
iconsider iitem idevelopment as ia chance ito help ibusiness execution. iIt is isuggested that the
organization imust utilize its iqualities, for examplei, economies of scalei, for iitem development ito
address rivalry iand the idanger iof iimpersonation.
 9. References
1. https://www.unilever.pk/
2. https://www.unilever.com/
3. https://www.unilever.pk/about/who-we-are/our-local-leadership/
4. http://panmore.com/unilever-organizational-structure-product-innovation
5. https://www.slideshare.net/SizzlingPeridot/unilever-organizations-detail
6. http://panmore.com/unilever-pestel-pestle-analysis-recommendations
7. https://pestleanalysis.com/pestle-analysis-of-unilever/
8. https://www.managementstudyguide.com/swot-analysis-of-unilever.htm
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12. http://panmore.com/unilever-operations-management-10-decisions-productivity
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15. https://www.theguardian.com/sustainable-business/unilever-ambition-plans-sustainability
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17. https://www.theguardian.com/sustainable-business/unilever-ambition-plans-sustainability
18. https://en.wikipedia.org/wiki/Unilever
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business-essay.php