unilever management project

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1 Dedicated This Project to the Person, who told us how to do Business in Righteous Way, Our Holy Prophet HAZRAT MUHAMMAD (Peace Be Upon Him) & To The Role Model for All businessmen Hazrat Usman-e-Ghani Shaheed (May Allah Pleased With Him)

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Page 1: Unilever Management Project

1

Dedicated This Project to the Person, who

told us how to do Business in Righteous

Way,

Our Holy Prophet HAZRAT MUHAMMAD

(Peace Be Upon Him)

&

To The Role Model for All businessmen

Hazrat Usman-e-Ghani Shaheed

(May Allah Pleased With Him)

Page 2: Unilever Management Project

2

AACCKKNNOOWWLLEEDDGGMMEENNTTSS

All praise to Almighty Allah,

The most merciful and Compassionate,

With the willingness of whom we are able to

Do a project like this and

Without whom we are nothing!

We are very thankful to Our Teacher Mr. KASHIF AMMAR.

He kept our morale high by his suggestion and

appreciation

He was available to us whenever and for what

ever we consulted from him

Without his precious guidance and help we would never be able to develop this project.

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Introducing Unilever

150 million times a day, someone somewhere chooses a Unilever product. From feeding

your family to keeping your home clean and fresh, our brands are part of everyday life.

Life partner

With 400 brands spanning 14 categories of home, personal care and

foods products, no other company touches so many people's lives in so

many different ways.

Our brand portfolio has made us leaders in every field in which we work. It ranges from

much-loved world favorites including Lipton, Knorr, Dove and Omo, to trusted local

brands such as Blue Band and Suave.

From comforting soups to warm a winter's day, to sensuous soaps that make you feel

fabulous, our products help people get more out of life.

We're constantly enhancing our brands to deliver more intense, rewarding product

experiences. We invest €1 billion every year in cutting edge research and development,

and have five laboratories around the world that explore new thinking and techniques to

help develop our products.

Continuous development

Consumer research plays a vital role in our brands' development. We're constantly

developing new products and developing tried and tested brands to meet changing tastes,

lifestyles and expectations. And our strong roots in local markets also mean we can

respond to consumers at a local level.

By helping improve people's diets and daily lives, we can help them keep healthier for

longer, look good and give their children the best start in life.

We also believe that the very business of conducting business in a responsible way has a

positive social impact. We create and share wealth, invest in local economies and develop

people's skills – both inside our organization and in the communities around us.

Today Unilever employs 179 000 people in 100 countries worldwide, and supports the

jobs of many thousands of distributors, contractors and suppliers. Health & personal care

First launched in France in 1983, our leading male grooming brand, Axe, now

gives guys the edge in the mating game in over 60 countries

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Our oral care brands Mentadent, Peposodent and Signal have teamed up with the

world's largest dental federation, the FDI, which represents over 750 000 dentists

around the world

Lux became the first mass-marketed soap when it launched in 1924. Today it

achieves annual global sales of over €1 billion

Domestos is a best-selling brand in nine of the 35 countries in which it's sold

Hindustan Lever in India has launched a hand-wash product, Surf Excel Quick

Wash, with a low foaming formulation, reducing the amount of water needed for

rinsing by up to two buckets per wash

Recent breakthroughs at Rexona include Rexona Crystal, a deodorant that

eliminates unsightly white deposits on dark garments

Foods

Knorr is our biggest food brand with a strong presence in over 80 countries and a

product range including soups, sauces, bouillons, noodles and complete meals

We're the world's largest ice cream manufacturer, thanks to the success of our

Heartbrand which includes Magnum, Cornetto, Carte d'Or and Solero, and Ben &

Jerry's and Breyers in the US

Lipton's tea-based drinks include the international Lipton Iced Tea range, the

Lipton range in North America and Lipton Yellow Label, the world's favourite tea

brand

Becel/Flora pro.activ products have been recognized as the most significant

advancement in the dietary management of cholesterol in 40 years

In the mid 1990s we led the industry with our programme to eliminate almost all

trans fat from our margarine

AdEs, our soy-based fruit drink, has been growing at the impressive rate of 35%

since its launch in 1997 in Latin America

Unilever Pakistan at a glance

Unilever Pakistan (67% Unilever equity) is the largest FMCG company in Pakistan, as

well as one of the largest multinationals operating in the country.

Introducing Unilever Pakistan

The company had a turnover of Rs. 18.2 bn (Euro 329 mn) in 2004,

and enjoys a leading position in most of its core Home and Personal

Care and Foods categories, e.g. Personal Wash, Personal Care,

Laundry, Beverages (Tea) and Ice Cream.

The company operates through 4 regional offices, as well as 4

wholly owned and 6 third party manufacturing sites across Pakistan.

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Accountable to our stakeholders

Since the time Unilever Pakistan began its operations in 1948, the Company has been

closely connected to the Pakistani people and its brands have been an integral feature in

their daily lives. In fact, the nature of our business enables our brands to be the pulse and

heartbeat of the 155 million people in Pakistan.

This is a huge commitment, which makes us responsible and accountable to all our

stakeholders and society as a whole and strengthens our resolve to:

Make a positive difference to the lives of low income consumers

Create new opportunities for growth

Improve the overall quality of life in Pakistan, by promoting education, nutrition,

health and hygiene.

History

Unilever's corporate mission – to add vitality to life – shows how clearly the

business understands 21st century-consumers and their lives. But the spirit of this mission

forms a thread that runs throughout our history

Helping people get more out of life

In the 1890s, William Hesketh Lever, founder of Lever Bros, wrote down his

ideas for Sunlight Soap – his revolutionary new product that helped popularize

cleanliness and hygiene in Victorian England. It was 'to make cleanliness commonplace;

to lessen work for women; to foster health and contribute to personal attractiveness, that

life may be more enjoyable and rewarding for the people who use our products'.

This was long before the phrase 'Corporate Mission' had been invented, but these

ideas have stayed at the heart of our business. Even if their language - and the notion of

only women doing housework – has become outdated. In a history that now crosses three

centuries, Unilever's success has been influenced by the major events of the day –

economic boom, depression, world wars, changing consumer lifestyles and advances in

technology. And throughout we've created products that help people get more out of

life – cutting the time spent on household chores, improving nutrition, enabling people to

enjoy food and take care of their homes, their clothes and themselves.

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Balancing profit with responsible corporate behavior

In the late 19th century the businesses that would later become Unilever were

among the most philanthropic of their time. They set up projects to improve the lot of

their workers and created products with a positive social impact, making hygiene and

personal care commonplace and improving nutrition through adding vitamins to foods

that were already daily staples. Today, Unilever still believes that success means acting

with 'the highest standards of corporate behavior towards our employees, consumers and

the societies and world in which we live'. Over the years we've launched or participated

in an ever-growing range of initiatives to source sustainable supplies of raw materials,

protect environments, support local communities and much more.

Through this timeline you'll see how our brand portfolio has evolved. At the

beginning of the 21st century, our Path to Growth strategy focused us on global high-

potential brands and our Vitality mission is taking us into a new phase of development.

More than ever, our brands are helping people 'feel good, look good and get more out of

life' – a sentiment close to Lord Leverhulme's heart over a hundred years ago.

2000s

The 21st century starts with the launch of Path to Growth – a strategy to transform the

represent 93% of sales.

At the beginning of the century we open the Unilever Health Institute (UHI) – a

centre of excellence in nutrition, health and Vitality. UHI quickly plays a leading role in

creating nutrition-based foods and providing evidence to support the nutritional health

claims of our brands. Environmental issues remain a high priority and in 2002 we launch

the Sustainable Agriculture Initiative in partnership with Danone and Nestlé, to promote

sustainable agriculture practices.

Our new mission 'to meet everyday needs for nutrition, hygiene, and personal care

with brands that help people feel good, look good, and get more out of life' was launched

in 2004. Focusing the business on 'bringing Vitality to life' provides new opportunities to

grow by meeting consumer needs for a healthy lifestyle, convenience and occasional

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indulgence. Launching the new mission with the new Unilever brand helps clarify what

Unilever stands for around the world.

Highlights

2000

Best foods are acquired in the second-largest cash acquisition in history. Other

acquisitions include Slim. Fast Foods, Ben & Jerry's and the Amora-Maille culinary

business in France. Becel/Flora proactive spreads with cholesterol-lowering plant sterols

are launched and become the first functional food to win FDA and EU approval. The

Unilever Health Institute – a centre of excellence in nutrition, health and Vitality – is

launched. Unilever screens the first interactive advertisement: it‟s broadcast on Sky's

Open channel and promotes Chicken Tonight

2001

By 2001 Unilever has cut its brands from 1,600 to 900. Diversely Lever,

Elizabeth Arden and Unipath are sold. Unilever Best foods establish its Global Nutrition

and Health Network. Unilever screens the first interactive TV commercial on a

mainstream terrestrial channel in the UK; it promotes Colman's and Olivio

2002

The portfolio is reshaped and enhanced through acquisitions and the sale of 87

businesses without acceptable growth or margin potential, generating €6.3 billion of sale

proceeds. The Skin, Hair and Deodorant businesses grow by nearly 11%, partly through

the continuing success of Rexona, Lux and Dove. Dove sales are well in excess of €2

billion and its extension into the hair category is rolled out across Europe and Latin

America. Unilever Australia wins a Cannes Media Lion Grand Prix award in recognition

of excellence in advertising for Magnum's Seven Deadly Sins campaign. The successful

launch of Becel/Flora proactive continues.

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2003

Unilever Health Institute opens regional centers in Bangkok and Accra, Ghana.

Unilever is consulted by the WHO regarding the development of a Global Strategy on

Diet, Physical Activity and Health (published May 2004). Our Nutrition Policy and

Nutrition and Health Academy are launched. Unilever leads a UK cross-industry

initiative to reduce salt levels in soups and meal sauces and the Healthy Heart Brand

signs a three-year sponsorship deal with the World Heart Federation. By the end of 2003

the business is buying half its fish from sustainable sources and water consumption per

tonne of production is down by 13%.

2004

The Vitality mission is launched and the new Unilever brand rolled out, including

the new logo which represents the diversity of Unilever, our products and our people. At

the end of Q3, Unilever revises its earnings guidance for the year to low single-digit

earnings per share growth (beia) and announces that the development of leading brands is

likely to be lower in Q3 than Q2.A variety of factors have led to this, including further

decline in Home & Personal Care markets in Western Europe and competition remaining

intense in Laundry and Hair in Asia. Unilever‟s popular weight management system,

Slim. Fast, is also hit by huge new consumer interest in low-carbohydrate diets,

particularly in the US. Simplification and cost-saving activities proceed and Unilever

chairmen Antony Burgmans and Niall Fits. Gerald comment that “We are stepping up our

marketplace activity, including putting additional A&P funds behind a number of high

priority marketplace initiatives.” Axe Touch is launched with great success in the US and

Sunsilk is rolled out in Europe.

2005

In February, Unilever announces a series of changes to streamline its management

and leadership. Antony Burgmans becomes non-executive chairman of both Unilever

N.V. and Unilever PLC while Patrick Cescau takes on the new role of group chief

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executive, responsible for all operations. A review of the Group structure is also

announced. The changes are designed to provide greater clarity of leadership and a

platform for Unilever to focus on the needs of customers and consumers, and so reignite

growth. In May, Unilever sells its global prestige fragrance business, Unilever Cosmetics

International (UCI), to Coty Inc, of the US. The sale is in line with Unilever‟s strategy to

focus on core categories. The Nutrition Enhancement Programmed is completed, through

which 16,000 products have been assessed for levels of trans fats, saturated fats, sodium

and sugars, and where necessary, action taken.

Unilever Pakistan history

In the world of consumer products Unilever Pakistan has created an indelible name for

itself with brands such as Lifebuoy, Lux, Surf and Walls.

Unilever Pakistan Limited needs no introduction

By far the largest consumer products company in Pakistan, UPL is a part of the consumer

products giant Unilever.

UPL was established some fifty years ago in the then newly created Pakistan. The town

of Rahim Yar Khan was the site chosen for setting up a vegetable oil factory in 1958 and

that is where the first UPL manufacturing facility developed.

Now a force to be reckoned with

Today, Unilever Pakistan is a force to reckon with. Its contribution to Pakistan's

economic development cannot be overestimated. Now operating six factories at different

locations around the country, the company contributes a significant proportion of the

country's taxes. It employs a large number of local managers and workers. It provides a

pool of well-trained and highly motivated manpower to other segments and has

introduced new and innovative technologies into the country.

The UPL Head Office was shifted to Karachi from the Rahim Yar Khan site in the mid

60's. By this time the once dusty and sleepy village was the hub of activities for UPL. A

residential estate situated near the factory is the home of UPL employees at Rahim Yar

Khan.

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Our mission

Our mission is to add Vitality to life. We meet everyday needs for nutrition, hygiene and

personal care with brands that help people look good, feel good and get more out of life.

Enthused with Vitality

Vitality is at the heart of everything we do. It's in our brands, our people and our values.

Vitality means different things to different people. Some see it as energy, others view it

more broadly as a healthy state of body and mind – of feeling alive.

Whatever their personal definition, millions of people around the world use our products

daily to add Vitality to their lives - whether that's through feeling great because they've

got shiny hair and a brilliant smile, keeping their homes fresh and clean, or by enjoying a

great cup of tea, satisfying meal or healthy snack.

Ever since the 19th Century when William Hesketh Lever stated that the company's

mission was "to make cleanliness commonplace; to lessen work for women; to foster

health and contribute to personal attractiveness, that life may be more enjoyable and

rewarding for the people who use our products," Vitality has been at the heart of our

business.

Vitality defines what we stand for: our values, what makes us different, and how we

contribute to society. It's the common thread that links our brands and it‟s central to the

unique way we operate around the world.

Health & nutrition

Our Vitality mission commits us to growing our business by addressing health and

nutrition issues. We focus on priorities including children and family nutrition,

cardiovascular health and weight management.

Inside & out

Our culture also embodies Vitality. Adding Vitality to life requires the highest standards

of behavior towards everyone we work with, the communities we touch and the

environments on which we have an impact.

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The growing demand for more Vitality in life provides us with a huge opportunity for

growth. The way we work and the products we develop are shaped by consumer trends,

along with the need to help raise health and hygiene standards in both the developing and

industrialized regions of the world.

Our people

In many respects, we think of Unilever as a community, rather than an organization. This

community is shaped and led by its people, who operate creatively within a framework of

shared values and business goals.

Central to our business

Because our people are fundamental to the way we do business, they‟re at the centre of

everything we do. Their professional fulfillments, their work/life balance, their ability to

contribute equally as part of a diverse workforce… these are all issues to which we give

priority.

We grow as a company by growing our people. This insight is behind all our efforts to

keep our people fulfilled and committed. It‟s also why we stay connected with – and

connect together – our employees around the world, conducting surveys and „pulse

checks‟ which then feed into the future direction of our business

Purpose & principles

Our corporate purpose states that to succeed requires "the highest standards of corporate

behavior towards everyone we work with, the communities we touch, and the

environment on which we have an impact."

Always working with integrity

Conducting our operations with integrity and with respect for the many people,

organizations and environments our business touches has always been at the heart of our

corporate responsibility.

Positive impact

We aim to make a positive impact in many ways: through our brands, our commercial

operations and relationships, through voluntary contributions, and through the various

other ways in which we engage with society.

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Continuous commitment

We're also committed to continuously improving the way we manage our environmental

impacts and are working towards our longer-term goal of developing a sustainable

business.

Setting out our aspirations

Our corporate purpose sets out our aspirations in running our business. It's underpinned

by our code of business Principles which describes the operational standards that

everyone at Unilever follows, wherever they are in the world. The code also supports our

approach to governance and corporate responsibility.

Working with others

We want to work with suppliers who have values similar to our own and work to the same standards we do. Our Business partner code, aligned to our own Code of business principles, comprises ten principles covering business integrity and responsibilities relating to employees, consumers and the environment

Our purpose

At the heart of the corporate purpose, which guides us in our approach to doing business,

is the drive to serve consumers in a unique and effective way. This purpose has been

communicated to all employees worldwide.

A vitality mentality

Unilever's mission is to add Vitality to life. We meet everyday needs for nutrit ion,

hygiene and personal care with brands that help people feel good, look good and get more

out of life.

Our deep roots in local cultures and markets around the world give us our strong

relationship with consumers and are the foundation for our future growth. We will bring

our wealth of knowledge and international expertise to the service of local consumers – a

truly multi-local multinational.

Our long-term success requires a total commitment to exceptional standards of

performance and productivity, to working together effectively, and to a willingness to

embrace new ideas and learn continuously.

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To succeed also requires, we believe, the highest standards of corporate behavior towards

everyone we work with, the communities we touch, and the environment on which we

have an impact.

This is our road to sustainable, profitable growth, creating long-term value for our

shareholders, our people, and our business partners.

Our principles

Our code of business principles describes the operational standards that everyone at

Unilever follows, wherever they are in the world. It also supports our approach to

governance and corporate responsibility.

Code of business principles

Standard of conduct

We conduct our operations with honesty, integrity and openness, and with respect for the

human rights and interests of our employees. We shall similarly respect the legitimate

interests of those with whom we have relationships.

Obeying the law

Unilever companies and our employees are required to comply with the laws and

regulations of the countries in which we operate.

Employees

Unilever is committed to diversity in a working environment where there is mutual trust

and respect and where everyone feels responsible for the performance and reputation of

our company. We will recruit, employ and promote employees on the sole basis of the

qualifications and abilities needed for the work to be performed. We are committed to

safe and healthy working conditions for all employees. We will not use any form of

forced, compulsory or child labor. We are committed to working with employees to

develop and enhance each individual‟s skills and capabilities. We respect the dignity of

the individual and the right of employees to freedom of association. We will maintain

good communications with employees through company based information and

consultation procedures.

Consumers

Unilever is committed to providing branded products and services which consistently

offer value in terms of price and quality, and which are safe for their intended use.

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Products and services will be accurately and properly labeled, advertised and

communicated.

Shareholders

Unilever will conduct its operations in accordance with internationally accepted

principles of good corporate governance. We will provide timely, regular and reliable

information on our activities, structure, financial situation and performance to all

shareholders.

Business partners

Unilever is committed to establishing mutually beneficial relations with our suppliers,

customers and business partners. In our business dealings we expect our partners to

adhere to business principles consistent with our own.

Community involvement

Unilever strives to be a trusted corporate citizen and, as an integral part of society, to

fulfill our responsibilities to the societies and communities in which we operate.

Public activities

Unilever companies are encouraged to promote and defend their legitimate business

interests. Unilever will co-operate with governments and other organizations, both

directly and through bodies such as trade associations, in the development of proposed

legislation and other regulations which may affect legitimate business interests. Unilever

neither supports political parties nor contributes to the funds of groups whose activities

are calculated to promote party interests.

The environment

Unilever is committed to making continuous improvements in the management of our

environmental impact and to the longer-term goal of developing a sustainable business.

Unilever will work in partnership with others to promote environmental care, increase

understanding of environmental issues and disseminate good practice.

Innovation

In our scientific innovation to meet consumer needs we will respect the concerns of our

consumers and of society. We will work on the basis of sound science, applying rigorous

standards of product safety.

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Competition

Unilever believes in vigorous yet fair competition and supports the development of

appropriate competition laws. Unilever companies and employees will conduct their

operations in accordance with the principles of fair competition and all applicable

regulations.

Business integrity

Unilever does not give or receive, whether directly or indirectly, bribes or other improper

advantages for business or financial gain. No employee may offer, give or receive any

gift or payment which is, or may be construed as being, a bribe. Any demand for, or offer

of, a bribe must be rejected immediately and reported to management. Unilever

accounting records and supporting documents must accurately describe and reflect the

nature of the underlying transactions. No undisclosed or unrecorded account, fund or

asset will be established or maintained.

Conflicts of interests

All Unilever employees are expected to avoid personal activities and financial interests

which could conflict with their responsibilities to the company. Unilever employees must

not seek gain for themselves or others through misuse of their positions.

Compliance - monitoring - reporting

Compliance with these principles is an essential element in our business success. The

Unilever board is responsible for ensuring these principles are communicated to, and

understood and observed by, all employees. Day to day responsibility is delegated to all

senior management of the categories, functions, regions and operating companies. They

are responsible for implementing these principles, if necessary through more detailed

guidance tailored to local needs. Assurance of compliance is given and monitored each

year. Compliance with the code is subject to review by the board supported by the audit

committee of the board and the Unilever executive committee. Any breaches of the code

must be reported in accordance with the procedures specified by the joint secretaries. The

board of Unilever will not criticize management for any loss of business resulting from

adherence to these principles and other mandatory policies and instructions. The board of

Unilever expects employees to bring to their attention, or to that of senior management,

any breach or suspected breach of these principles. Provision has been made for

employees to be able to report in confidence and no employee will suffer as a

consequence of doing so.

In this code the expressions 'Unilever' and 'Unilever companies' are used for convenience

and mean the Unilever group of companies comprising Unilever N.V., Unilever PLC and

their respective subsidiary companies. The board of Unilever means the directors of

Unilever N.V. and Unilever PLC.

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Our brands

From sumptuous soups to sensuous soaps, our products all have one thing in common.

They help you get more out of life.

Cooking & eating

Let our culinary experts bring pleasure to your palate.

Healthy living

Let us make the healthy choice your easy choice.

Beauty & style

We want to help you feel good about yourself.

Around the house

Hints to make your household chores that little more manageable.

Foods

Unilever is one of the world's leading food companies. Our passion for

understanding what people want and need from their food - and what they love about it -

makes our brands a popular choice.

Blue Band

Blue Band is a world renowned brand name.

Brook Bond Supreme

Brooke Bond Supreme is part of life for the Pakistani consumer, bringing families closer

together with its rich taste and traditions

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Brooke Bond A1

Brook Bond A1 is the strong cup of tea that gives the strength to face challenges and

stand up for what you believe in.

Lipton

Lipton is Tea – Tea is Lipton.

Pearl Dust

Lipton Pearl Dust is the Sindhi soul that imbues intimacy and warmth in a couple‟s

relationship

Unilever Food solutions

Your partners for success.

Wall's

Mention frozen desserts and most people think of Wall‟s.

Home care

In many parts of the world we lead the home care market, with brands such as

Omo, Surf, Comfort and Cif. It's more than just hygiene – with homes and clothes that

are clean and cared for, we help you get more out of life.

Comfort

Comfort was launched in Pakistan in July 2007 and is available in 3 variants: Comfort

Floral Pink, Comfort Classic Blue and Comfort Pure White.

Surf excel

Remember when you were a child? How you were free to explore, returning home

covered in dirt and other stains that you wore like the badges of an intrepid discoverer?

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Wheel

Wheel knows that you are most confident when your clothes look, feel, and smell great.

Personal care

Our personal care brands, including Axe, Dove, Lux, Pond's, Rexona and Sunsilk,

are recognized and respected around the world. They help consumers to look good and

feel good – and in turn get more out of life.

Clear

Clear spells confidence for the young Pakistanis of today.

Close Up

Our mouths are our gateway to life. We use them to eat, drink, talk, laugh, smile and

what not!

Fair & Lovely

Asia‟s leading fairness brand.

Lifebuoy shampoo

Providing healthy hair to all Pakistani consumers.

Lifebuoy soap

Lifebuoy's goal is to provide affordable and accessible hygiene and health solutions.

Lux

Lux brings out the star in you!

Pond's

Making a real difference to women's skin and the way they live their lives.

Rexona

With Rexona you know your deodorant won‟t let you down.

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Sunsilk

Sunsilk provides real solutions to women's everyday hair needs everywhere.

SWOT Analysis

SWOT analysis is a simple framework for generating strategic alternatives from a

situation analysis. It is applicable to either the corporate level or the business unit level

and frequently appears in marketing plans. SWOT (sometimes referred to as TOWS)

stands for Strengths, Weaknesses, Opportunities, and Threats. The SWOT framework

was described in the late 1960's by Edmund P. Learned, C. Roland Christiansen, Kenneth

Andrews, and William D. Guth in Business Policy, Text and Cases (Homewood, IL:

Irwin, 1969). The General Electric Growth Council used this form of analysis in the

1980's. Because it concentrates on the issues that potentially have the most impact, the

SWOT analysis is useful when a very limited amount of time is available to address a

complex strategic situation.

The following diagram shows how a SWOT analysis fits into a strategic situation

analysis.

Situation Analysis

/ \

Internal Analysis External Analysis

/ \ / \

Strengths Weaknesses Opportunities Threats

|

SWOT Profile

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The internal and external situation analysis can produce a large amount of

information, much of which may not be highly relevant. The SWOT analysis can serve as

an interpretative filter to reduce the information to a manageable quantity of key issues.

The SWOT analysis classifies the internal aspects of the company as strengths or

weaknesses and the external situational factors as opportunities or threats. Strengths can

serve as a foundation for building a competitive advantage, and weaknesses may hinder

it. By understanding these four aspects of its situation, a firm can better leverage its

strengths, correct its weaknesses, capitalize on golden opportunities, and deter potentially

devastating threats.

Internal Analysis

The internal analysis is a comprehensive evaluation of the internal environment's

potential strengths and weaknesses. Factors should be evaluated across the organization

in areas such as:

Company culture

Company image

Organizational structure

Key staff

Access to natural resources

Position on the experience curve

Operational efficiency

Operational capacity

Brand awareness

Market share

Financial resources

Exclusive contracts

Patents and trade secrets

The SWOT analysis summarizes the internal factors of the firm as a list of strengths and

weaknesses.

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External Analysis

An opportunity is the chance to introduce a new product or service that can

generate superior returns. Opportunities can arise when changes occur in the external

environment. Many of these changes can be perceived as threats to the market position of

existing products and may necessitate a change in product specifications or the

development of new products in order for the firm to remain competitive. Changes in the

external environment may be related to:

Customers

Competitors

Market trends

Suppliers

Partners

Social changes

New technology

Economic environment

Political and regulatory environment

The last four items in the above list are macro-environmental variables, and are addressed

in a PEST analysis.

The SWOT analysis summarizes the external environmental factors as a list of

opportunities and threats.

Nature of organizational structure

Models for delivering advising services may be categorized as one of three organizational

structures:

Centralized: where professional and advisors are housed in one academic or

administrative unit;

Decentralized: where professional or advisors are located in their respective academic

departments;

Shared: organizational structure is that in which both centralized and decentralized

structures are adopted.

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In case of Unilever Pakistan the organizational structure is almost shared structure in

nature. As it is a multinational organization and almost all such type of organizations

have decentralized structure. Unilever has also decentralized structure in mostly

departments but in almost departments there is a shared structure which is the

combination of decentralized and centralized structure.

Human Resources (HR) Policies:

Human Resources (HR) is about creating a winning organization: generating outstanding

business performance through the development of people and teams.

An eye on the future

Our culture is about empowering you, both to contribute to our business objectives and to

achieve your own personal and career goals. We also keep an eye on the future, with our

'leadership behaviors' initiative aiming to identify the next generation of leaders.

HR's overall function is to devise and implement strategies and policies to ensure that we

have the right people with the right skills. Within that, there are numerous options for

you. For example, it could be covering culture change, leadership development, strategic

talent management, coaching and skills development or alignment of reward with

performance.

For human resources you need:

Strong interpersonal and leadership skills.

The ability to see the big picture while delivering on day-to-day goals.

A real interest in how people drive business.

The strength and integrity to make tough decisions.

Interest in coaching and developing people

Creating a winning organization:

Working in HR is high profile, rewarding and demands the ability to take tough,

insightful decisions - and translate them into action.

Unilever's success depends on the performance of all our people. HR promotes the

capabilities needed to turn strategy into business results. We achieve this through

developing the leadership qualities, skills and workplace culture that enable every

individual and team to give their very best performance.

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An Investing in people:

We strive to be at the forefront of recruitment and development and are committed to

creating an environment in which people realize their potential and apply their passion.

We believe in investing in the personal and professional growth of all Unilever people,

facilitating the development of their skills and competencies.

We're transforming the way HR delivers value to the business and have created a shared

services organization in the UK - Unilever PeopleLink - which delivers HR services such

as payroll, employee benefits and recruitment. Unilever PeopleLink also contains

Expertise Teams that provide expert advice to HR professionals within the business units

on talent management, learning, and employment policy & reward. In Unilever Pakistan,

HR has also pioneered an internal HR shared service system called 'Me and U' that allows

members to access HR services from any Unilever location across the country.

You'll benefit from broad exposure to the business and will typically gain experience in

culture change, leadership development, talent management, employee relations and the

alignment of reward with performance

Nature of organizational structure

Models for delivering advising services may be categorized as one of three

organizational structures:

Centralized: where professional and advisors are housed in one academic or

administrative unit;

Decentralized: where professional or advisors are located in their respective

academic departments;

Shared: organizational structure is that in which both centralized and

decentralized structures are adopted.

In case of Unilever Pakistan the organizational structure is almost shared structure in

nature. As it is a multinational organization and almost all such type of organizations

have decentralized structure. Unilever has also decentralized structure in mostly

departments but in almost departments there is a shared structure which is the

combination of decentralized and centralized structure.

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DEPATMENTALIZATION

UNILEVER has three branches of Business.

1) HPC Business

2) Foods Business (Beverages and Best Foods – UPFL)

3) Ice Cream Business (Walls Business)

Customers and Channel Development (C & CD)

Supply chain Department (Production – Factories)

Finance Department

Human Resource department

Category Management

A category is a portfolio of products irrespective of brand, for example, the

hair-care category includes all our shampoos and conditioners. Some aspects of category

management are Marketing's responsibility, but C&CD Management also plays a vital

role by working with customers and being responsible for:

FINANCE

Finance is at the heart of our company. It provides an objective measure of performance

and the analysis to support decision-making. Choose this function and you'll gain a

unique insight into how a major international business works, contribute to value creation

in all areas and enjoy a wide range of career opportunities in Pakistan and overseas.

Our finance professionals play a vital part in all key business activities, from helping

develop major brands like Lux, Magnum or Lipton, to providing insightful product and

market analysis.

As a finance manager, you'll play a pivotal role in implementing strategy and act as a

business partner in driving growth. In broad terms, you'll aim to increase profitability by

calculating the financial impact of business issues - from securing the best deal on raw

materials to developing strategies for e-business. And you'll need to react quickly, as

Unilever operates in an environment where market conditions are constantly changing.

Manufacturing

Manufacturing takes place in either our own or third-party factories and has two sub-

processes: processing and packaging. We have a great reputation in manufacturing with

some of our factories considered the best in their country. Your challenge here will be to

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ensure products and packaging is made as efficiently as possible and helps factories adapt

to changing consumer needs. You'll be responsible for teams running production lines

focusing on quality, output and costs and might also spend time in Engineering, where

you'll be responsible for designing, building and maintaining high-speed production lines.

Marketing

Careers in Marketing don't get any better than this. Unilever continues to rewrite the

marketing rulebook, developing some of the world's biggest brands, creating

groundbreaking campaigns and finding new ways of Marketing requires an expert

knowledge of your brand, the people who use it and how to communicate with them. So

as a marketer, you need to develop a sound understanding of our business goals, spend

time with consumers learning about their needs, preferences and lifestyles, and absorb

and analyse a wealth of information concerning market and consumer trends.

You'll focus on identifying opportunities to grow your brand, which will involve working

closely with professionals from a number of different areas. Externally, you'll team up

with agencies specialising in PR, advertising, package design, in-store theatre and

consumer activation as well as with retailers throughout Pakistan. Internally, you'll be in

constant contact with our Brand Innovation Centres across the world, Supply Chain and,

to ensure implementation runs smoothly, Customer Management teams.

In everything you do you'll need to be passionate about your brand and be able to inspire

people around you. You'll need a clear vision of where you want your brand to go and the

ability to create plans based on a combination of sound analysis and gut instinct. And

while you won't need to write advertisements or design in-store merchandise, you'll need

to be able to judge creative work - so lateral and creative thinking is absolutely vital.

Human Resources Management

HR plays Important role to delivery of business Targets. HR strategies definitely play

a major role in the success of a business. HR manages the most important asset of your

organization, that is, the people. Every organization succeeds or fails because of the

people working there. Take example of any successful organizations and observe what

type of people they have. It is actually the employees of an organization that take the

organization from one end to another not the building, furniture or equipment. Primary

responsibility of HR is to have satisfied and motivated employees, which in turn will

produce the best for the organization.

Logistics

Planning links all the other sub processes together and consists of Demand Planning and

Supply.

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Supply Management

Sourcing is the front end of the Supply Chain. It is concerned with both raw and

packaging materials. Astute sourcing of materials and goods can greatly reduce costs.

Here you'll be responsible for managing the interface between our suppliers and our

business, including contributing to the rollout of new product innovations.

Supply chain

The Supply Chain process supplies the flow of products and services that generate

Unilever's sales revenue. It covers all the processes from the sourcing of materials and

services from our suppliers to the delivery of finished products to meet

customer/consumer demand. In a global company producing over one hundred million

branded items everyday, the supply chain makes a major impact on success. So a career

in Supply Chain offers a wide range of opportunities and a lot of responsibility. Our

Supply Chain manages all stages of the process known as 'plan, source, make and deliver'

- from sourcing raw materials to ensuring that products are delivered in time to keep

supermarket shelves and cabinets well stocked. Here are some of the roles you could play

What are Porter’s Five Forces for

“UNILEVER PAKISTAN?” Five forces looks at five key areas namely threat of new entry, power of buyers, power

of suppliers, threat of substitutes, and competitive rivalry.

2 The Five Competitive Forces

The Five Competitive Forces are typically described as follows Forces

Analysis; management can decide how to influence or to exploit particular

characteristics of their industry.

1) Competitive Rivalry

2) Power of suppliers

3) Power of buyers

4) Threats of substitutes

5) Threat of new entrants.

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:

1 Bargaining Power of Suppliers

The term 'suppliers' comprises all sources for inputs that are needed in order to provide

goods or services.

Supplier bargaining power is likely to be high when:

· The market is dominated by a few large suppliers rather than a fragmented source of

supply,

· There are no substitutes for the particular input,

· The suppliers customers are fragmented, so their bargaining power is low,

· The switching costs from one supplier to another are high,

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· There is the possibility of the supplier integrating forwards in order to obtain higher

prices and margins. This threat is especially high when

· The buying industry has a higher profitability than the supplying industry,

· Forward integration provides economies of scale for the supplier,

· The buying industry hinders the supplying industry in their development (e.g.

reluctance to accept new releases of products),

· The buying industry has low barriers to entry.

for the organization.

2.2 Bargaining Power of Customers

Similarly, the bargaining power of customers determines how much customers can

impose pressure on margins and volumes.

Customers bargaining power is likely to be high when

· They buy large volumes; there is a concentration of buyers,

· The supplying industry comprises a large number of small operators

· The supplying industry operates with high fixed costs,

· The product is undifferentiated and can be replaces by substitutes,

· Switching to an alternative product is relatively simple and is not related to high

costs,

· Customers have low margins and are price-sensitive,

· Customers could produce the product themselves,

· The product is not of strategically importance for the customer,

· The customer knows about the production costs of the product

· There is the possibility for the customer integrating backwards.

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2.3 Threat of New Entrants

The competition in an industry will be the higher, the easier it is for other companies to

enter this industry. In such a situation, new entrants could change major determinants of

the market environment (e.g. market shares, prices, customer loyalty) at any time. There

is always a latent pressure for reaction and adjustment for existing players in this

industry.

The threat of new entries will depend on the extent to which there are barriers to entry.

These are typically

· Economies of scale (minimum size requirements for profitable operations),

· High initial investments and fixed costs,

· Cost advantages of existing players due to experience curve effects of operation with

fully depreciated assets,

· Brand loyalty of customers

· Protected intellectual property like patents, licenses etc,

· Scarcity of important resources, e.g. qualified expert staff

· Access to raw materials is controlled by existing players,

· Distribution channels are controlled by existing players,

· Existing players have close customer relations, e.g. from long-term service

contracts,

· High switching costs for customers

· Legislation and government action

4 Threat of Substitutes

A threat from substitutes exists if there are alternative products with lower prices of better

performance parameters for the same purpose. They could potentially attract a significant

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proportion of market volume and hence reduce the potential sales volume for existing

players. This category also relates to complementary products.

Similarly to the threat of new entrants, the treat of substitutes is determined by factors

like

· Brand loyalty of customers,

· Close customer relationships,

· Switching costs for customers,

· The relative price for performance of substitutes,

· Current trends.

5 Competitive Rivalry between Existing Players

This force describes the intensity of competition between existing players (companies) in

an industry. High competitive pressure results in pressure on prices, margins, and hence,

on profitability for every single company in the industry.

Competition between existing players is likely to be high when

· There are many players of about the same size,

· Players have similar strategies

· There is not much differentiation between players and their products, hence, there is

much price competition

· Low market growth rates (growth of a particular company is possible only at the

expense of a competitor),

· Barriers for exit are high (e.g. expensive and highly specialized equipment).

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DECISION MAKING STYLE

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Chief Executive Officer

Executive Directors

Group Chief Executive

President

Non-Executive director

Chairpersons

Unilever executive (UEX)

Chief Financial Officers

Chief HR Officers

Group Chief Executive

President

Senior Corporate

Officer

Group Secretary

Chief AuditorDeputy Chief

Financial Officers

Group treasurer

Chief Legal Officer

Group General Counsel

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EEXXEECCUUTTIIVVEE SSUUMMMMAARRYY

We want to describe that our project of “Management policies

of a multi-national organization” will help us a lot in our

future management career. Purpose of this project is to build

our confidence and seek management activities practically. In

this project we focused on how an organization starts its

business. We also tried to explain how to control all other

management activities, management strategies future plans

other activities. For this purpose we survey a multinational

company.

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