Harish Manwani unveils sustainability agenda for HUL in its 75th year

The company’s strategy is to integrate its social, economic and environmental agenda with the company’s brands, people and its operations. “We have made specific choices which are based on the needs of the nation and the capabilities and skills we can bring to bear on these. We have identified five key platforms and have articulated goals, both short term and long term goals, stretching to 2015,” Mr Manwani said.

Speaking about the five key platforms, he said that the company would work in areas of health & nutrition & women empowerment on the social front, the economic agenda would be to enhance livelihoods and the environmental agenda would focus on water conservation and cutting green house gases.

Making a real difference:

Mr Manwani articulated the specific initiatives that the company is taking up in these areas in 2008, in the 75^th year of its existence in India. On the social front, the company will endeavour to enhance livelihoods of 75,000 women in a sustainable manner. On the economic front, the company’s leading food brand, Kissan, is targeting to source agricultural raw materials from primary producers. The company would pass on the entire economic benefits of this backward integration back to the farmers. In the environmental area the company will initiate rain water harvesting activities around 10 of its manufacturing units.

Mr Manwani spoke about the significant progress made by the company on the environment front over the past few years. Since 2002, the company has reduced water usage per tonne by more than 50% in its manufacturing operations. The energy consumption per unit of production since 2004 has also come down by 32%. The company aims to become water positive across all its operations by 2015.

HUL has also embraced Unilever’s ambitious target of 25% reduction in CO2 from energy in manufacturing operations per tonne of production by 2012, against a baseline of 2004. HUL has recently developed a new process of manufacturing soap based on ‘Plough Share Mixer’ technology which eliminates the need for steam in soap making. The new technology cuts carbon emissions by 15,000 tons per year and HUL has been awarded carbon credits for this under the Clean Development Mechanism scheme operated by the United Nations Framework Convention on Climate Change.

Mr Manwani also spoke about the commitment made by the employees to volunteer one hour for everyday that Hindustan Unilever has been in the country as a commemoration of the company’s 75^th year. This amounts to 27, 375 hours of voluntary work. “It is ultimately the commitment of our people to ‘doing well and doing good’ that will earn us the love and respect of India and guarantee the success of the company and its continued relevance for the next 75 years and beyond, ” he said.

If it’s good for India, it’s good for us:

Earlier in his speech, Mr Manwani spoke about the special significance of this year (2008) in the company’s history. “This is a special year for us. We complete 75 years of corporate existence in India. A milestone such as this is rare even in the lifetime of a company,” he said.

He spoke about how the company has since its inception, in 1933, always lived by a single belief that 'What is good for India is good for HUL.'  Mr Manwani elaborated how the company through out its history embraced the needs of the country as its own. He spoke about how the company diversified its manufacturing operations to remote and rural areas as a means to catalyzing development of backward regions in response to the national need for more balanced economic development. “Today, we have over 40 factories across India from Doom Dooma in the East to Dapada in the West and Pondicherry in the South to our most recent ones at Baddi and Uttaranchal in the North,” he said.

Mr Manwani spoke about how the company, through its technological prowess, was able to respond to various issues of national interest from import substitution in the 1960s to counter the balance of payments crisis to its latest innovation of Pureit, the most advanced in-home water purification system in the world, which makes safe drinking water within the reach of every Indian home.

Talent is key:

Mr Harish Manwani spoke about the company’s commitment to its people. He spoke about the company efforts, starting in the 1930s, to grooming local talent. He spoke about how this agenda was pursued relentlessly through various initiatives such as the management training scheme which the company started in 1955. The company currently has more than 10% of its managers working for Unilever globally, including senior management roles.

Mr Manwani spoke the important role of its people in the company’s progress. “People are at the heart of our business. At the heart of our success and our progress. Harnessing, developing and rewarding their skills, energy and commitment is our priority,” he said.

Organizing to Win:

Mr Harish Manwani also spoke about the company’s long-term growth strategy. “Our value creating-model is simple – to serve our vast and diverse consumer base and in the process achieve consitent, competitive and profitable growth,” he said.

He spoke about how global scale and know-how were key to winning in an iincreasingly globalised and competitive landscape. “HUL being part of Unilever, a $55 billion global company with operations in 100 countries, has a distinct advantage. In 2005, Unilever embarked on a new business model – 'One Unilever'that leverages our lobal scale with sharper strategic clarity and focus on operational excellence.“ he said.

One of the key priorities for Unilever is the fast growing Developing and Emerging (D&E) markets like India. The center of economic gravity is moving towards the D&&E world and Unilever is well poised to leverage this opportunity through its unique global-local model. “Our global scale gives us the ability to leverage brands, technologies, research and development across countries and regions and bring the scale and ight of a global organization into every market that we operate in,“ Mr Manwani added.

Mr Manwani spoke about the strong growth opportunity in the Indian market and how competing for non-consumption itself would drive huge growth for HUL.

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’s mission is to “add vitality to life” through its presence in over 20 distinct categories in Home & Personal Care Products and Foods & Beverages.  The company meets everyday needs for nutrition, hygiene, and personal care, with brands that help people feel good, look good and get more out of life.