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Tuesday, June 14, 2011

HINDUSTAN UNILEVER LIMITED

ORGANIZATIONAL DESIGN FOR EXCELLENCE
Organizations are created by people keeping in mind the pursuit of some specific purpose. They have a formal structure to achieve their objectives. They have formally identified roles, such as that of chairman, marketing manager, industrial engineer etc.

They have formally designated departments, such as of personnel and administrative, finance, manufacturing, research and development. They have a clearly established hierarchy one or a few persons are known as the boss or bosses.

Organizational Excellence:
Excellence ::
Surpassing or outstanding achievement.
It is important to society because it sets an example.
Human excellence.
Individual or team excellence.
It is a matter of promoting individual and group level excellence.
Forms of organizational excellence

Just as human excellence takes many forms, so does organizational excellence, for the organization is after all an entity of humans, for humans and managed by humans.

Following are the forms of organizational excellences :
Competitive organizational excellence.
Rejuvenatory organizational excellence.
Institutionalised organizational excellence.
Creative organizational excellence.
Missionary organizational excellence.
Versatile organizational excellence.

Competitive organizational excellence:
The chief characteristic of this form of excellence is being outstanding within a fired of competitors vis-à-vis a clear cut criterion or a few reasonably clear cut criterion of performance.
The company with the best or outstanding return on investment and / or the fastest growth rate within an industry in a given year is a typical example of this sort of excellence.
To be able to best competitors, the champion organization must have a clear cut goal and strong management commitment to excel at this goal or these goals.

It must have tight control over operations and co-ordination of activities through team work.

Rejuvenatory organizational excellence :
The chief characteristic of this form of excellence in vast improvement over previous performance. Many organizational turn arounds from sickness or decline exhibit this form of excellence. The sort of management that may be needed for this form of excellence is distinctive a strong, high energy leadership that galvanizes the organization and leads from personal example; quick pay-off actions that restore faith in the ability of the organization to tackle problems and solve them successfully; a great deal of internal communication to mobilise the rank-and bile bar the great effort needed to rejuvenate the organization; negotiations with external stake holders like financial institutions, suppliers, and government for their support to the rejuvenation effort; a culture of getting things don’t, quick fixes, improvisations, resourcefulness, extensive participation of lower level staff in evolving a turn around strategy and implementing it, etc.
Et. Thermax

Institutional organizational excellence:
The chief characteristic of this form of excellence is sustained high achievement over a long period of time on important performance parameters even when there is little pressure, by way of competition, for excellence.

Such sustained high performance may require the institutionalisation of good management practices and a high order of professional management.

It may need top management continuity and orderly succession through carefully selected successor chief executives were acquainted with the organization’s excellent traditions and norms of excellence.

Also needed may be widespread commitment of the staff to a vision of excellence and to core values related to this vision, an elite community or clan culture, and a concern with long term excellence rather than current expediencies.
Eg. Bajaj Auto

Creative organizational excellence:
The chief trait of this type of excellence is the commitment to pioneering, innovation experimentation, discovery and dynamic change. The organization is in a constant state of flux, modifying current activities, practices and products and adopting new ones. There is much impatience with the status quo.

A leadership rooted in expertise, competence and creativity rather then in formal position is likely.

A culture of the creativity and innovation is likely to prevail.

Missionary organizational excellence:
The chief feature of this form of excellence is the dedication to some social mission a ideal sand the ability to make outstanding progress in achieving this mission or ideal.

Example:
Blind Men’s Association, whose mission has been dignity and self-reliance for the blind and handicapped.
SEWA (Self Employed Women’s Association) with the mission of uniting and uplifting poor women.

To achieve this form of excellence, the organisation may need to attract dedicated professionals who do not mind meager salaries and poor perks.
The organisational’s leadership may have to be idealistic.

Versatile organizational excellence:
The chief feature of this form of excellence is the desire and ability to meet the expectations of all the significant stake holders of the organization – owners, staff, suppliers, customers, government, bankers and unions etc.
Management tends to think of itself as a trustee for the benefit of these stakeholders.

Organisation has multiple goals, comes pounding to the diversity of expectations the organisation is trying to meet.

Eg. It may seek reasonable profitability to keep its owners happy; a good growth rate to create opportunities for growth for its staff and managers: a reputation for social responsibility to please the government; good customer service and cordial industrial relations to keep the unions happy.

The most sophisticate organizational arrangement brings to bear four basic competencies on a world wide basis. These competencies are as follows:

Geographic Knowledge: An understanding of the basic economic, social, cultural, political and governmental market and competitive dimensions of a country is essential. The country subsidiary is the major structural devices employed today to enable the corporation ot acquire geographic knowledge.


Product Knowledge and know-how: Produce managers with a worldwide responsibility can achieve this level of competence on a global basis. Another way of achieving global product competence is simply to duplicate product management organizations is domestic and international divisions, achieving high competence in both organizational units.


Functional competence in such fields as finance production, and especially marketing: Corporate functional staff with worldwide responsibility contributes toward the development of functional competence on a global basis. In a handful of companies, the appointment of country subsidiary functional managers is reviewed by the corporate functional manager who is responsible for the development of his or her functional activity in the organization on a global basis.

For example, in marketing research, unless there is coordination of research design and activity, the international headquarters is unable to compare one market with another. If line management instead of recognizing the potential contribution of an integrated world wide staff wishes to operate as autonomously as possible, the influence of corporate staff is perceived as undesirable. In such a situation the “stronger” party wins. This can be avoided if the level of management to which both line and staff report creates a climate and structure that expects and requires the cooperation of line and staff, and recognizes that each has responsibility for important aspects of the management of international markets.

A knowledge of the customer or industry and its needs. In certain large and very sophisticated international companies, staff with a responsibility for serving industries on a global basis exists to assist the line managers in the country organizations in their efforts to penetrate specific customer markets.

The key to successful matrix management is the extent to which managers in the organisation are able to resolve conflicts and achieve integration of organization programs and plans. Thus, the mere adoption of a matrix design or structure does not create a matrix organization. The matrix organization requires a fundamental change in management behavior, organizational culture, and technical systems. In a matrix, influence is based on technical competence and interpersonal sensitivity, not on formal authority. In a matrix culture, managers, recognize the absolute need to resolve issues and choices at the lowest possible level and do not-rely upon higher authority.

The potential conflict in a matrix is accepted as inherent in the structure rather than as the consequence of poor management. Finally, a matrix requires a substantial investment in control systems – dual accounting, transfer pricing, corporate budgets, and so on.


HINDUSTAN UNILEVER LIMITED
Vision:
“TO EARN THE LOVE AND RESPECT OF INDIA BY MAKING REAL DIFFERENCE TO EVERY INDIAN LIFE”.

Goals:
Increase our market share.
Improve Profitability.
Delight the Customers.

Accelerators to Growth:
Execution excellence in
Coverage
Activation
Quality of RSSM
Customer Service

Beliefs:
What is good for INDIA is good for HUL.
We need to make a real difference in everything we do.
Every interaction must be WIN-WIN situation.
What is right for HUL is right for ME.

The Edge – Our People:
Internally Aligned.
Externally Focuses.


The Main Products of HUL are,
RIN
SURF
WHEEL

HUL Products :
RIN ADV Mogra
RIN ADV PDR
RIN ADV BAR
RIN ADV PDR (Lottery Offer)
RIN A POW MOGRA
RIN SURF XL
SURF EXL BLUE
SURF XL BAR
SURF XL
WHEEL ACT PWD
WHEEL ACTIVE
WHEEL BAR BLUE
WHEEL BAR GREEL
WHEEL LMN FRESH
WHEEL LMN FRESH BAR

FAST MOVING CONSUMER GOODS :
Detergents
Soaps
Tooth Pastes

Detergents:
The detergents are the cleaning agents which are used in removing the dirt’s and stains from the clothes.

There are different types of detergents available in the market. They are available in different quantities and in different prices.

Some of the products are;
Rin Powder and Bar
Surf XL Powder & Bar

Wheel products:
Wheel active powder.
Wheel bar blue
Wheel bar green
Wheel LMN Fresh.

Nirma green detergent powder and cake.
More light powder.
Super more light white cake.
Chek Detergent
Sasa Cake and Powder
Mayur cake
Mr.White cake and powder
Kite detergent powder.
Tide detergent powder
Nirma detergent powder
Arial detergent powder
Trishul detergent powder

RIN :
Launched in 1969, RIN with the power of its thunderous lightening flash has become a household name synonymous with dazzling white clothes, for millions across the length and breadth of the country.

Hindustan Unilever Limited :
Started in the year 1933
Hq: Mumbai, India
Products: Tea, Soap, Detergents.
Employees: 41,000
Renamed as “Hindustan Unilever Limited” from “Hindustan Lever Limited”.

The Wholesale Distributor for GULBARGA MARKET:
“Sri Ganesh Agencies”
Prop: MALLINATH G. ANAKAL
Opp: G.D. Anakal Petrol Pump,
Nehru Gunj, Gulbarga 585103.

The Regional Sales Officer for Gulbarga Market is Md.Shaik
The Dealers are the Wholesalers in Gulbarga Market

Profit Margin:
Distributor : 4%
Retailers : 8%

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