Corporate Strategy followed by HUL:

• Restricted in two Division

Food and Home/Personal care products
Each of the division includes a portfolio of brands that serves consumers across the length
and breadth of India. With over 40 brands spanning 20 distinct categories including soaps,
detergents, shampoos, skincare, toothpastes, deodorants, cosmetics, tea, coffee, packaged
foods, ice cream, frozen desserts, water and air purifiers, the Company is part of the daily
life of millions of consumers.
Nearly 900 suppliers work with their supply chain that spans 28 of company’s own factories
and several others that manufacture on their behalf.
HUL has around 18,000 employees working across 28 factories and 9 offices and creates
employment opportunities for several thousand more across its value chain – from
smallholder farmers, who provide raw materials to the distribution partners who take the
products to customers and consumers.

• Improvement in Portfolio Products: The company invests a good amount of its fund in the
research and development to continuously improve their existing products and come up
with something new that will provide more value to the customers.

• Manufacturing reorganised in regional networks : The company increased the renewable

energy share in their manufacturing to 36% with a clear objective of improving it even
further through increased utilisation of traditional biofuels like agricultural waste

The company continue to lead the digital transformation with significant investments in
advanced data analytics, automation, robotics and artificial intelligence across the whole
value chain. They are collaborating with experts, cultivating an entrepreneurial mindset in
their employees and driving transformative experiments to unlock value in their journey
from mass marketing to massive customisation.

Change in job management structure and capacity building : Apart from physical and
mental health, the Company focuses on continuous learning and building organisational
capabilities of its people:
Sparkle: It is a technology tool designed for capability management of shop-floor Blue
collar employees.
Unilever Future Leaders Programme (UFLP): Your Company identifies talent early and
invests to build capability through this flagship programme.
70:20:10 Capability Building: Your Company follows the 70:20:10 capability building
approach with 70% capability built on the job through live assignments, 20% through
coaching, short-term projects and exposures and 10% through classroom, virtual and e-
learning.
People Planning Processes: Leaders at each level review and assess talent on both, the
“What” and the “How’” of performance through an objective process. Capability building
and career plans for talent form an integral part of this process.
Growth through Diversity of Experience: Job rotation and diversity of experiences are
integrated at all stages of the employee career.
 Develop deep level expertise: Job rotation and diversity of experiences are integrated at all
stages of the individual’s career.

• Building Market and Building brand

• Launch Brand when innovation pipeline is full
• To Deliver sustainable performance by looking long term

Business strategy of HUL:

The Company has a clear and compelling strategy that focuses on Winning with Brands and
Innovation, Winning in the Marketplace, Winning through Continuous Improvement and Winning
with People. This is underpinned by the Unilever Sustainable Living Plan (USLP) that sets company’s
vision to increase the size of the business, whilst decoupling it with our environmental footprint and
increasing our positive social impact. Over the years, HUL has been driving the virtuous cycle of
growth, which has been resulting in consistent, competitive, profitable and responsible growth for
the company.

Winning with Brands and Innovation :

Consumer preferences are changing. They are taking newer paths for purchasing brands and
increasingly seeking brands that are purpose-driven and which they can trust. HUL Sustainable Living
brands are a key differentiator in this regard. The company is continuously building brands with
purpose. It is constantly innovating across its portfolio to address the unmet needs of the
consumers. HUL is focused on strengthening the core, entering new segments and speeding up
innovation cycles. With rapid digitisation and changing consumer preferences, it is customising
brand messages for different communication channels – traditional and digital. HUL is developing
new markets for its brands through on-ground sampling as well as marketing their ‘trial packs’. To
capitalise on the growing trend of ‘naturals’, they have built a strong portfolio of brands and
products. HUL is constantly evaluating and innovating its ‘naturals’ portfolio to win in the future.

Winning in the Marketplace:

To win in the marketplace, HUL has a robust Customer Development agenda. It works with
customers to understand consumer demand, focus on fulfilling the demand and tirelessly create new
demand through market development. This is driven by the ‘Winning In Many Indias’ (WiMi) strategy
that allows it to get closer to customers and consumers by providing tailor-made products across
categories and geographies. As far as demand capture is concerned, its focus has been on driving
quality of coverage and increasing the assortment using data-centric and analytical approach. With
respect to demand fulfilment, process and technology interventions have been used for improving
service and efficiencies. For demand-generation, HUL strategy encompasses winning in traditional
trade, winning in ‘route-to-market’ as well as winning in emerging channels like modern trade and e-
commerce.

Winning through Continuous Improvement:

HUL is constantly aligning its products, processes and strategies to the changing market conditions
to stay ahead of competition. Its focus on business competitiveness through consumer and customer
centricity, a robust savings programme and service excellence to ensure availability of our products.
The company tries to improve on-shelf consumer relevant quality standards, thereby enhancing
overall consumer experience. ‘Delighting consumers everyday’ is central to how it drives quality in
its products. Through sharper financial discipline governing overhead spending, and its zero-based
budgeting approach, HUL is reducing cost as well as uncovering new and innovative ways of working.
The company has an enterprise-wide savings programme, driven through cross-functional teams of
brand building, R&D, supply chain and finance. HUL is focusing on improving the capability of its
distributors so that service to the retail trade can be improved.

Winning with People:

The workforce of the company is their biggest strength. They are driven by purpose and are fully
empowered to excel in our fast-changing market. The company continuously strive to develop the
right capabilities and skills needed for different ways of working and new entrepreneurial leadership
qualities.

The success of HUL depends largely on their ability to attract and retain the most talented
individuals. They motivate and inspire them with a mission and a purpose that resonates with the
long-term aims and the values of the Company. HUL retained the 'No. 1 Employer of Choice'
amongst key business schools for the seventh year in a row. HUL has been driving employee well-
being through several initiatives focused on the four aspects of well-being – Physical, Mental,
Emotional and Purposeful. The employee agenda focuses on creating a balanced and inclusive
workforce. This focus not only underpins the Company’s longstanding values, especially tolerance
and respect, but also guarantees the diversity of thought and ideas on which our business depends
 TOWS MATRIX

STRENGTH WEAKNESS

INTERNAL  Market leader in consumer  Decreasing Market

goods share
FACTORS
 Innovative FMCG Company  Large number of brands
EXTERNAL  Extensive & integrated in different product
distribution system categories
FACTORS  Financial position
OPPORTUNITY  The company can enhance  The company can lay
its rural distribution network much emphasis on
 Increase in income to cater to the growing cost reduction to
level due to DBT demand of the rural acquire market share
 Expanding to population. targeting the rural
 Being the largest exporter in population
untapped rural
the country the company can  Company can export
market launch innovative products some of its brands
 Budget 2019 that have the potential to which are not able to
 A friendly Foreign sustain in the global market. perform domestically
Trade policy for but may have potential
exporters in the foreign market.

THREATS  The company can continuously  The company can

focus on its research and target the customers
 Competitive development to come up with where the potential is
advanced or improved products high and make
environment
that provide value to the products that the
 Relaxation of import customers, hence providing an
restrictions customers can
upper edge over the
associate value with
 Inclination of competitors.
 The company can initiate a and also focus on an
customers toward aggressive sales
fresh product line of Ayurvedic
Ayurvedic products products and take leverage of strategy to regain the
its brand name to position the market share.
product well in the market.