Hindustan Unilever
Hindustan Unilever
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Type
Public company
Traded as
BSE: 500696
BSE SENSEX Constituent
Industry
Consumer goods
Founded
1932
Headquarters
Key people
Products
Revenue
Net income
Employees
16,500 (2011)
Parent
Website
www.hul.co.in
Hindustan Unilever Limited (HUL) is an Indian consumer goods company based in Mumbai,
Maharashtra. It is owned by Anglo-Dutch company Unilever which owns a 52% controlling share in
HUL. HUL's products include foods, beverages, cleaning agents andpersonal care products.
HUL was established in 1933 as Lever Brothers India Limited and, in 1956, became known as
Hindustan Lever Limited, as a result of a merger between Lever Brothers, Hindustan Vanaspati Mfg.
Co. Ltd. and United Traders Ltd. It is headquartered in Mumbai, India and employs over 16,500
workers,[2] whilst also indirectly helping to facilitate the employment of over 65,000 people.[3] The
company was renamed in June 2007[dubious discuss] as "Hindustan Unilever Limited".[clarification needed]
Hindustan Unilever's distribution covers over 2 million retail outlets across India directly and its
products are available in over 6.4 million outlets in the country. As per Nielsen market research data,
two out of three Indians use HUL products.[4]
Contents
[hide]
1 Brands
2 Leadership
3 Awards
4 Research facilities
5 Sustainable living
6 Headquarters
7 Direct Selling Division
8 Controversy
o 8.1 Mercury pollution
o 8.2 Skin lightening creams
o 8.3 Triclosan
9 Notes
10 External links
Brands[edit]
HUL is the market leader in Indian consumer products with presence in over 20 consumer
categories such as soaps, tea, detergents and shampoos amongst others with over 700 million
Indian consumers using its products. Eighteen of HUL's brands featured in the ACNielsen Brand
Equity list of 100 Most Trusted Brands Annual Survey (2012), carried out by Brand Equity, a
supplement of The Economic Times.[5]
The "most trusted brands" from HUL in the top 100 list (their rankings in brackets) are: Clinic Plus
(4), Lifebuoy (10), Fair & Lovely (11), Rin (12), Surf Excel (13), Lux (14), Pepsodent (17), Closeup
(19), Pond's (20), Sunsilk (26), Dove (37), Vim (43), Pears (79), Lakme (81), Vaseline (86), Wheel
(87), Hamam (95) and Rexona (96).[5]
The latest launches for Hindustan Unilever include: Surf Excel Easywash; Lakm eyeconic range;
Vim Anti Germ bar;Pureit Marvella UV with Advance Alert System; TRESemm: For Salon style hair
at home everyday; Clinic Plus: Milk Protein Formula A++; Comfort 1 Rinse; Bru Exotica Guatemala;
Closeup: Deep Action; Dove Hair Fall Rescue Treatment; Taaza: Taazgi bhari chaai, dimaag khul
jaaye.[6]
The company has a distribution channel of 6.3 million outlets and owns 35 major Indian brands.[7] Its
brands include:
Food brands:
Homecare Brands[9]
Leadership[edit]
HUL has produced many business leaders for corporate India, including Harish Manwani,[14] the nonexecutive chairman of HUL and currently the chief operating officer of Unilever. He is also a member
of Unilever Leadership Executive team (ULE), which comprises the company's top management and
is responsible for managing Unilever's profit and loss, and delivering growth across its regions,
categories and functions.[15] Sanjiv Mehta was appointed as the Managing Director and Chief
Executive Officer of HUL with effect from 10 October 2013. He has also been appointed as
Executive vice-president, South Asia, Unilever and is also the executive head of the South Asia
cluster for Unilever.[16]
HUL was ranked 4th in the Hewitt Global Leadership Survey 2007 with
only GE, P&G and Nokia ranking ahead of HUL in the ability to produce leaders.[17][18][19] A study
conducted by Aon Hewitt, The RBL Group and Fortune in 2011, ranked the company number six in
the list of 'Top Companies for Leaders 2011 Study Results'.[20] The company was awarded the CIIPrize for Leadership in HR Excellence at the 2nd CII National HR Conclave 2011 held on October
2011.[21]
Awards[edit]
Hindustan Unilever Limited was recognised as the 'Conscious Capitalist of the Year' at the 2013
Forbes India Leadership Awards.[22]
HUL won 12 awards overall with 4 Golds, 4 Silvers and 4 Bronzes at the 2013 Emvies Awards.[23]
HUL ranks number two on the on Fortune India's 2013 '50 Most Admired Companies list'.[24]
Hindustan Unilever Limited has emerged as the No. 4 'Most Respected Company in India' in a
survey conducted by Business World in 2013.[25]
As per the latest Nielsen Campus Track-business school survey released in February 2013,
Hindustan Unilever has emerged as the No.1 employer of choice for B-school students who will
graduate in 2013, across functions. HUL also retained the 'Dream Employer' status for the 4th year
running and continues to be the top company considered for application by B-School student in
India.[26][27][28][29][30]
In 2012, HUL was recognised as one of the world's most innovative companies by Forbes. With a
ranking of number 6, it was the highest ranked FMCG company.[31]
Hindustan Unilever Limited (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.[32]
Hindustan Unilever Limited won 13 awards at the Emvies 2012 Media Awards organised by the
Advertising Club Bombay in September 2012.[33]
The company bagged four awards at the Spikes Asia Awards 2012, held in September. The awards
included one Grand Prix one Gold Award and two Silver Awards.[34]
HUL's Chhindwara Unit won the National Safety Award for outstanding performance in Industrial
Safety. These awards were instituted by the Union Ministry of Labour and Employment in 1965.[35]
HUL was one of the eight Indian companies to be featured on the Forbes list of World's Most
Reputed companies in 2007.[36]
In July 2012 Hindustan Unilever Limited won the Golden Peacock Occupational Health and Safety
Award for 2012 in the FMCG category for its safety and health initiatives and continuous
improvement on key metrics.[37]
Pond's Talcum Powder's packaging innovation has bagged a Silver Award at the prestigious 24th
DuPont Global Packaging Award, in May 2012.The brand was recognised for cost and waste
reduction.[38]
In May 2012, HUL & Star Bazaar bagged the silver award for 'Creating Consumer Value through
Joint Promotional and Event Forecasting' at the 13th ECR Efficient Consumer Response Asia Pacific
Conference.[39]
In 2011, HUL was named the most innovative company in India by Forbes and ranked 6th in the top
10 list of most innovative companies in the world.[40]
Hindustan Unilever Ltd received the National Award for Excellence in Corporate Governance 2011
of the Institute of Company Secretaries of India (ICSI) for excellence in corporate governance[41]
In 2012, Hindustan Unilever emerged as the No. 1 employer of choice for B-School students who will
graduate in 2012. In addition, HUL also retained the 'Dream Employer' status for the 3rd year
running[42]
Hindustan Unilever ranked No. 2 in Fortune India's Most Admired Companies list, which was
released by Fortune India in partnership with the Hay Group. The company received the highest
scores for endurance and financial soundness[43]
HUL was ranked 39th in The Brand Trust Report (2011) published by Trust Research
Advisory.[44] Seven HUL brands also featured in the list: Lux, Pond's, Dove, Lakme, Axe, Sunsilk and
Pepsodent.[45][46]
HUL emerged as the top 'Dream Employer' as well as the top company considered for application in
the annual B-School Survey conducted by Nielsen in November 2010. This was the second
successive year that HUL has been rated as the top 'Dream Employer' in India.[47] HUL has also
emerged as the top employer of choice among the top six Indian Institutes of Management (IIMA, B,
C, L, K and I).
HUL won three awards at the 'CNBC Awaaz Storyboard Consumer Awards' in 2011 Most
Recommended FMCG Company of the Year; Most Consumer Conscious Company of the Year and
Digital Marketer of the Year.[48]
The company was felicitated in April 2010 for receiving the highest number of patents in the year
2009 at Annual Intellectual Property Awards 2010.[49][50]
In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25 years
by Businessworld, one of India's leading business magazines.[51] The rating was based on a
compilation of the magazine's annual survey of India's most reputed companies over the past 25
years.
HUL is one of the country's largest exporters; it has been recognised as a Golden Super Star
Trading House by the Government of India.[52][53]
Research facilities[edit]
The Hindustan Unilever Research Centre (HURC) was set up in 1967 in Mumbai, and Unilever
Research India in Bangalore in 1997. Staff at these centres developed many innovations in products
and manufacturing processes. In 2006, the company's research facilities were brought together at a
single site in Bangalore.[54]
Sustainable living[edit]
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it by rewriting promotional content from a neutral point of view and removing
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Unilever launched Sustainable Living Plan in on 15 November 2010 at London, Rotterdam, New
York and New Delhi simultaneously.[55]
The Unilever Sustainable Living Plan[56] has three major goals, which Unilever aims to achieve by
2020:
Help more than one billion people improve their health and well-being
Halve the environmental impact of their products
Source 100% of their agricultural raw materials sustainably
The plan also sets out over 50 social, economic and environmental targets.[57]
In 2012 Hindustan Unilever featured in BSE's Greenex India's first environmental friendly equity
index the first environmental friendly equity index, which will enable investors take more informed
decisions in the green theme of India.[58]
Water
The company has reduced water usage in manufacturing operations by 10.1% when compared with
2010 and by 21.5% compared to 2008 baseline. Rainwater harvesting has been implemented in
more than 50% of units. More than 75% of the company's manufacturing sites are zero discharge.
HUL has also been working for more than a decade in the area of water conservation in locations
which face acute water shortage. By 2015, the Company expects hundred billion litres of water to be
harvested through the projects they have undertaken. One million people in 180 villages across India
will benefit. Most projects are expected to see a 50% rise in crop production.[59]
India Water Body
In May 2011, the company launched the India Water Body, an initiative aimed to address the
challenge of water scarcity in India.[60][61] HUL has been working in the area of water conservation for
more than a decade and has initiated projects in several states across India with the aim to create
capacity towards conserving more than 50 billion litres of water in the next four years (by
2015).Water conservation has been a focus area for the company across its value chain. The
company has not only reduced water consumption in its operations but also developed product
innovations such as Surf Excel quick-wash[62] that helps consumers use less water while washing
clothes.
Plastic recycling project
In July 2011, HUL and Bharti Retail started a three-month campaign called "Go Recycle"[63] to
promote plastic recycling among consumers in the National Capital Region (NCR) in 2011.
Consumers were encouraged to bring empty plastic bottles and pouches, for which they were given
discount coupons in return.
Creating 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.[64] The project was piloted in the states
of Maharashtra and Karnataka.
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.
Health and hygiene
Lifebuoy took handwashing messages to remote areas, reaching out to 30million people directly in
201011 through HUL's rural outreach programme,Khushiyon Ki Doli' (Caravan of Happiness). The
Company entered into a partnership with UNICEF and Department of Rural Development,
Government of Madhya Pradesh, to implement hygiene awareness programmes in over
5,000schools in 2012. This will further strengthen the Lifebuoy handwash programme in India and
contribute to the global target of reaching one billion consumers by 2015 across Asia, Africa and
Latin America.[65]
As many as 30 million people in India have gained access to safe drinking water from Pureit, inhome purifier which provides water 'as safe as boiled water', without needing electricity, or running
water. Pureit is affordable with an upfront cost starting at Rs. 900, and an ongoing cost that
provides approximately four litres of safe drinking water for about one rupee. Globally, Unilever aims
to reach 500 million people through Pureit by 2020.[66]
Nutrition
The company's food and beverage brand labels carry information on energy, protein carbohydrate,
sugars, fat, and where relevant, on saturated fat, fibre and sodium. HUL also participates in 'The
Choices Programme.' It is a front-of-pack labelling programme aimed to help consumers make a
healthier choice. Around 60% of our major food and beverage brands comply with the guidelines as
against the global target of 100% by 2015.[67][68]
Greenhouse gases
The Company is on track to meet the global 2012 target, which is to reformulate the products to
reduce GHG emissions by 15%. The process of reformulating products started in 2009. A significant
reduction has been achieved with the reduction in detergent powders of Sodium Tri Poly Phosphate,
an ingredient that neutralises the impact of water hardness.[69]
In 2011, the Company reduced C02 emissions per tonne of production in India by 9.9% compared to
2010 and by 14.7% compared to the 2008 baseline. This was achieved due to the installation of
biomass[70] boilers to reduce CO2 emissions at Chiplun, Puducherry, Goa, Nasik and Mysore
factories. The biggest challenge was to deliver reduction in CO2 emissions from transport despite
significant volume increase. In 2011, the Company delivered 17.8% improvement in CO2 efficiency
in logistics over 2010.
Sustainable Sourcing
In 2011, 60% of tomatoes used in Kissan Ketchup in India were from sustainable sources. The
Company is working with a select group of tomato farmers to help reduce water usage through drip
irrigation and at the same time reduce the use of fertiliser and pesticides while improving yields.[71]
More than 16% of the tea sourced from India for Unilever's brands was from sustainable sources in
2011 About 800 smallholder farmers in India are growing gherkins for Unilever's Amora and Maille
brands using drip irrigation. Trials have produced average water saving of 40%. Unilever now aims
to help up to 1,000 gherkin farmers transition to drip irrigation by 2015.Unilever also focuses on
helping farmers use composting to cut water use. By 2020, we will source 100% of the raw materials
sustainably.[72]
Enhancing Livelihoods[73][74]
Project Shakti, a unique initiative by the Company to build and support a network of women
entrepreneurs in small villages was strengthened in 201011 with the Shaktimaan initiative, under
which men from Shakti households were given a bicycle to cover a cluster of villages in their vicinity.
There are now 30,000 Shaktimaans across India.
The company's Kwality Wall's mobile vending operations provide entrepreneurship opportunities to
over 6,500 migrant labourers across India.
Headquarters[edit]
Hindustan Unilever's corporate headquarters are located at Andheri (E), Mumbai. The campus is
spread over 12.5 acres of land and houses over 1,600 employees. Some of the facilities available for
the employees include a convenience store, a food court, an occupational health centre, a gym, a
sports & recreation centre and a day care centre.[75]
The campus received a certification from LEED (Leadership in Energy and Environmental
Design)[76] Gold in 'New Construction' category, by Indian Green Building Council(IGBC), Hyderabad,
under license from the United States Green Building Council (USGBC)
The company's previous headquarters was located at Backbay Reclamation, Mumbai at the Lever
House, where it was housed for over 46 years.[50]
Controversy[edit]
Mercury pollution[edit]
Main article: Kodaikanal Mercury_pollution
In 2001 a thermometer factory in Kodaikanal run by Hindustan Unilever was accused of dumping
glass contaminated with mercury in municipal dumps, or selling it on to scrap merchants unable to
deal with it appropriately.[77][78][79]
finding new boyfriends and glamorous careers after the cream had lightened their skin.[81] In 2008
Hindustan Unilever made former Miss World Priyanka Chopra a brand ambassador
for Pond's,[82] and she then appeared in a mini-series of television commercials for another skin
lightening product, 'White Beauty', alongside Saif Ali Khan and Neha Dhupia; these advertisements,
showing Priyanka's face with a clearly darker complexion against the visibly fairer Neha Dhupia,
were widely criticised for perpetuating racism[83] and lowering the self-esteem of women and girls
throughout India who were misled by HUNL to believe that they needed to be white to be beautiful.
Triclosan[edit]
Several academic papers have pointed out the firm's continued use of
the antibacterial agent Triclosan ('Active B') in India because it is under review by the American Food
and Drug Administration (US FDA).[84]