Case 2 - HUL The Employer of Choice

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Case HUL is the No.

1 Employer of Choice in India

As per the latest Nielsen Campus Track-B School Survey, HUL is the No. 1 employer of choice
for B-School students who will graduate in 2012. In addition, HUL retains the 'Dream Employer'
status for the 3rd year running and continues to be the top company considered for application by
B-School students.

'Degree of independence at work and decision making', 'Compensation', 'Learning on the job' and
'Good growth prospects' are most critical factors claimed by the students that drive the choice of
an employer.

Also as per the survey, Fast Moving Consumer Goods (FMCG) sector has emerged as the industry
of choice for this year's management graduates. It is perceived by most of the students of the Batch
of 2012 as the 'Industry of Future.'

The Nielsen B-School Campus Track represents the views of 1100 students of the Class that will
graduate in 2012, from the top 35 Business Schools in India. This is the 11th year of the Nielsen
Campus Track B-school study.

Leadership development

In the list of 'Top Companies for Leaders 2011 Study Results' announced by Aon Hewitt, The RBL
Group and Fortune recently, HUL was ranked sixth globally. The Global Top Companies for
Leaders is the most comprehensive study of organizational leadership in the world. HUL is the
only Indian company that has been ranked in the 'global top 10' consistently since the 'Top
Companies for Leaders' global survey was first launched in 2007. HUL has improved its ranking
in the 2011 study to sixth position globally compared to 2009 when it was ranked 10th globally.
HUL is well-known for its talent pool and as a source of leadership talent. Not only does HUL
have formal processes for inculcating leadership, but it also provides a culture of coaching and
mentoring at every level in the organization.
The approach of identifying and grooming top talent has established the company as a source of
leadership talent both for Unilever globally and the industry in general. Over 200 managers of
HUL currently serve Unilever globally, which is about 13% of the HUL managerial strength. The
number of managers expatriated has been increasing steadily over the last few years. There are
several senior HUL managers working in leadership roles across markets and functions for
Unilever globally.

Grooming talent

HUL's philosophy of building leaders within has enabled it to establish strong systems and
processes that help to identify talent early, invest in them and build their skills. For example, the
Business Leadership Program of HUL provides an extensive cross functional experience within
15 months to young managerial recruits and prepares them for greater responsibilities very early
in their careers.

One of the most important factors is the line ownership for the processes and management time &
commitment to developing talent. HUL encourages reverse evaluation where management trainees
assess their coaches and tutors for the quality of inputs they get during their training period. The
good tutors and coaches get recognized while those who don't rate well are given feedback and
held accountable for grooming talent.

The company also encourages reverse mentoring. Senior Management team members often have
young managers mentoring them on a specific area such as digital media.

Driving performance culture

HUL performance management and reward processes are geared to building a 'Performance and
Execution' focused work culture. There are a number of tools and processes that drive transparency
and rigour in assessing and developing people. For example, employees are plotted on the
Leadership Differentiation Tool which not only evaluates the 'What' of their performance but also
he 'How' of their performance. Mechanisms like 360 degree feedback provide feedback from
superiors, peer groups and subordinates to provide holistic and objective evaluation of the
employees. The LDT position is communicated transparently with individual employees and
career paths are shared with them. The objective of the performance management and reward
process is to inspire employees to deliver to their best potential every day by setting audacious
goals and stretching themselves to deliver them.

About Hindustan Unilever Limited

Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods company
touching the lives of two out of three Indians. HUL works to create a better future every day. We
help people feel good, look good and get more out of life with brands and services that are good
for them and good for others.

Questions:

1) What is the Business Leadership program of the company?

2) How does HUL do to enhance the performance culture?

3) What are HUL initiative for talent grooming and talent development?

4) What additional practice do you suggest to the company to sustain as No1 employer of choice

in India?

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