Pune Institute of Business Management

Godrej Consumer Products (Ezee)

Name: Mohini Yemulwar

Class : MBA 2
Roll NO. : 55
 Content
​

A) ASPECT COVERED – SECTORAL INFORMATION

Sectorial information.(FMCG)

1. Worldwide sectorial Contribution to the World Economy (GWP)

2. GDP % Contribution to the Indian Economy

3. Historical Growth/De-growth Pattern observed in the last 5 years

4. Reasons for the Growth/Degrowth pattern observed in the sector.

5. Porter’s Five Forces Model

B) ASPECT COVERED – COMPANY INFORMATION

1 .Promoters of the Company and company snapshot

2. Market Share of the company (Pie-Chart)

3. Product/Services Profile & Target Market

4. Competitor Analysis

5. News

C)ASPECT COVERED – MARKETING STRATEGY

1.SWOT analysis of company

2.STP and market planning of company

3.Map of products/services of the company in BCG matrix and plot of PLC

4.Comparison of sales of company for past 3 years

5.Marketing and promotional strategy of the company

D) ASPECT COVERED – BUSINESS FINANCE

1. Financial statements in detail – I/S, B/S, CFS

2. Direct and indirect costs of the company

3. Fixed assets added during the year

4. Working Capital requirement for the year

5. Ratios – liquidity, solvency, turnover, profitability, ROCE and ROIC

E) ASPECT COVERED – HUMAN RESOURCE MANAGEMENT

1. Organization Structure ( hierarchy)

2. Analysis of JDs and Job Specifications

3. Training needs of the company

4. Organization culture

E) CONCLUSION

F) BIBLIOGRAPHY

A .Sectorial Information
FMCG Sector:

1. Worldwide sectorial Contribution to the World Economy (GWP) :

Fast Moving Consumer Goods (FMCG) goods, popularly named as consumer packaged goods,
play a vital role as a necessity and as an inelastic product. Rural India accounts for 70% of
India’s population, 56% of National Income, 64% of total expenditure and one third of the total
savings. The Indian FMCG sector is the fourth largest sector the economy with a total market
size of Rs.167,100crs.

2. GDP % Contribution to the Indian Economy:

GDP% contribution to the Indian Economy is 2%.

3. Historical Growth/De-growth Pattern observed in the last 5 years:

4.​ ​Reasons for the Growth pattern observed in the sector:

FMCG in India has a strong and competitive MNC presence across the entire value chain. It has
been predicted that the FMCG market will reach $33.4 billion in 2015 from $11.6 billion in
2003. The middle class and the rural segments of the Indian population are the most promising
market for FMCG, and give brand makers the opportunity to convert them to branded
products. The Indian economy is surging ahead by leaps and bounds, keeping pace with rapid
urbanization, increased literacy levels and rising per capita income. The FMCG sector consists of
consumer non-durable products, which broadly include personal care, household care and food
and beverages. It is largely classified into organized and unorganized segments. The sector is
buoyed by intense competition between these two segments. Besides competition, it is marked
by a robust distribution network coupled with increasing influx of MNCs across the entire value
chain. The sector continues to remain highly fragmented.India’s FMCG sector creates
employment for more than three million people in downstream activities.

The total FMCG market is in excess of Rs 850 billion. It is currently growing at double-digit rate
and is expected to maintain a high growth rate.

5.Porter’s Five Forces Model:

b.​ ​COMPANY INFORMATION: (Godrej Ezee)

1.Promoters of the Company:

Name Holding Sep 2018 No of holders Indian/Foreign History

% shares

Individuals/Hindu undivided Family 2.64 27,003,747 11 Indian

Navroze Jamshyd Godrej 0.47 4,820,427 1 Indian

Nisaba Adi Godrej 0.31 3,213,183 1 Indian

Pirojsha Adi Godrej 0.31 3,213,225 1 Indian

Tanya Arvind Dubash 0.31 3,213,162 1 Indian

Hormazd Nadir Godrej 0.30 3,086,184 1 Indian

Nyrika Holkar 0.28 2,901,264 1 Indian

Nadir Barjorji Godrej 0.27 2,752,362 1 Indian

Burjis Nadir Godrej 0.19 1,901,172 1 Indian

Sohrab Nadir Godrej 0.19 1,901,184 1 Indian

Rishad Kaikhushru Naoroji 0.00 72 1 Indian

Adi Barjorji Godrej 0.00 1,512 1 Indian

Any Other 60.32 616,583,229 5 Indian

Company Snapshot:

Godrej Consumer Products Limited (GCPL) is an Indian consumer goods company based in
Mumbai, India. GCPL's products include soap, hair colourants, toiletries and liquid detergents.
Its brands include 'Cinthol', 'Godrej Fair Glow', 'Godrej No.1' and 'Godrej Shikakai' in soaps,
'Godrej Powder Hair Dye', 'Renew', 'ColourSoft' in hair colourants and 'Ezee' liquid detergent.
GCPL operates several manufacturing facilities in India spread over seven locations and grouped
into four operating clusters at Malanpur (Madhya Pradesh), Guwahati (Assam), Baddi- Thana
(Himachal Pradesh), Baddi- Katha (Himachal Pradesh), Pondicherry, Chennai and Sikkim. The
consumer products business was part of the erstwhile Godrej Soaps Limited (GSL) and was
demerged into Godrej Consumer Products Limited in April 2001, pursuant to a scheme of
demerger approved by the Honorable High Court of Judicature, Mumbai, dated 14 March 2001.
Market Share of the company:

Product/Services Profile & Target Market:

Godrej & Boyce Mfg. Co. Ltd: Mainly consists of products in the field of Appliances, Locks,
Furniture, Electrical & Electronics, etc

Godrej Industries: Mainly consists of business in the field Oleo Chemicals, Gourmet foods and
beverages, Edible oils, Vanaspati and Bakery fats

Godrej Properties: Mainly in the field of real estate i.e residential, commercial and township
development

Godrej Consumer Products Limited (GCPL): - Mainly consists of products in the field of personal
wash, hair care, household care and air care segments

Godrej Agrovet Limited (GAVL): Mainly consists of products in the field of animal feed, oil palm,
agro chemicals and poultry
Competitor Analysis:

News(Last 6/12 month) incl. corporate announcement:

● Godrej Consumer Consolidated September 2018 Net Sales at Rs 2,659.18 crore, Up

6.09%
● Q-o-Q.
● Godrej Consumer Standalone September 2018 Net Sales at Rs 1,507.61 crore, up 10.55%
Q-o-Q
● GCPL Q2 PAT seen up 12.3% YoY to Rs. 420 cr: HDFC Securities
● Accumulate Godrej Consumer Products; target of Rs 1521: KR Choksey
● Accumulate Godrej Consumer Products ; target of Rs 1388: Dolat Capital
C)ASPECT COVERED – MARKETING STRATEGY:

SWOT analysis:

Godrej Consumer Products limited (GCPL) is one of the leading FMCG companies in India. It
offers products in soap, toiletries, cosmetics, household care, hair care and fabric care
categories. GCPL operates in more than 60 countries in Asia, Africa, Europe, Middle East and
Latin America. GCPL has been recording strong growth in revenues (8.9% in FY2015) and
operating margins (18.6% in FY2015). GCPL is headquartered in Mumbai, India.

Strengths in the SWOT Analysis of Godrej Consumer Products Limited :

Strong Brand Portfolio: GCPL is one of the largest FMCG companies in India with a broad brand
portfolio and the wide range of customers. According to company estimates, over 600 million
people use a Godrej product every day. The company has been able to create a strong brand
portfolio which enables it to reach to various different consumer segments.

Strong market positions in multiple categories: GCPL has leading market positions in categories
such as hair colours, household insecticides and liquid detergents. It has also maintained a
strong position in the soap category.

Ability to create a strong brand: GCPL has been able to create strong brands in various
segments such as Good Knight, Godrej No.1 and Cinthol etc. With strong marketing and
distribution, GCPL products are popular and enjoy high brand awareness.

Focus on Innovation: GCPL has been focusing on innovation and expanding its product portfolio
through brand extensions and new product launches. This is supported by company’s robust
R&D facilities which enable it to improvements in product quality, cost savings, improvements
in packaging and higher efficiency.
Increasing presence in a Global market: GCPL is on the look forward to expand itself globally
especially in the emerging nations. In FY 2015, GCPL’s share of revenue from international
market was 47.5% of its total revenue. The company is present in more than 60 countries like
Sri Lanka, Bangladesh, South Africa, Argentina and Kenya etc.

Weaknesses in the SWOT Analysis of Godrej Consumer Products Limited​ :

Lack of scale: Even after building a strong brand portfolio and distribution, GCPL lacks scale like
ITC or HUL which are its competitors in various FMCG segments. These companies have the
financial strength to diversify in different business and invest higher in more products. This
affects GCPL’s competitiveness to these companies.

Stiff competition affects market share: India has various players in many of the categories in the
FMCG industry. This ensures stiff competition in the market and hence limits the market share
for GCPL. The entry of Patanjali has also reduced the market share of the FMCG giants in many
categories.

Opportunities in the SWOT Analysis of Godrej Consumer Products Limited ​:

Inorganic Expansion: GCPL has transformed itself from a domestic company to a multi-national
company having a presence in over 60 countries. GCPL has been expanding in emerging nations
by acquiring some of the local brands to set up in those countries, for instance, acquisition of
Frika Hair in South Africa and Canon Chemicals in Kenya. This helps the company to improve
market penetration in such countries.

Rapidly growing rural market: The Indian rural market is rapidly growing as technology-driven
distribution enables the companies to maintain the demand and supply and hence the
increasing rural demand is capitalised. With improving penetration of FMCG products in the
rural market, GCPL can improve its bottom line.

Growing Personal care market: With increasing purchasing power and improving the lifestyle of
people, demand in personal care products is expected to grow. GCPL is set to benefit from the
increase in demand for personal care products, which represents about 22% of the FMCG
industry.

Threats in the SWOT Analysis of Godrej Consumer Products Limited​ :

The abundance of counterfeit products: The presence of counterfeit products affects the image
of a brand and also affects revenues of a company. In India, counterfeit products affect a major
portion of the FMCG industry sales.Intense competition from recognised companies: FMCG
industry has intense competition with a presence of various MNCs as well as domestic players.
GCPL faces competition from companies like HUL, ITC, Marico, Dabur and Patanjali etc. Intense
competition also gives fire to aggressive price competition which is a threat to the whole
industry.

BCG Matrix of Godrej:

Godrej Consumer Products (GCPL) is a pioneer among India’s Fast Moving Consumer Goods
(FMCG) organizations, with driving Household and Personal Care Products like Good Knight,
Cinthol, Godrej No. 1, Expert, Hit, Jet, Fair shine, Ezee, Protekt and Snuggy. It is one of the
biggest advertisers of latrine cleansers in the nation and is likewise leaders in hair hues and
family unit bug sprays. Every organization has a few SBU’s, divisions and industrial facilities.
They are in a matter of seconds sending out their items to 30 nations. Godrej is producing
consumers’ products, natural basket, and Godrej chemicals, Godrej Agrovet, Godrej & Boyce
and Godrej InfoTech. Godrej products can be divided over stars, cash cows, question marks and
dogs as follows. (Rathi, 2015)

Stars
Stars, which produce high salary additionally devours a lot of organization money. In the event
that a star can remain a market pioneer, it in the end turns into cash cows when the market’s
general development rate decays.

Comparing the different services that are offered by the Godrej, the one which falls in the
category of stars are Godrej consumers products (GCPL). GCPL’s items incorporate cleanser,
hair colorants, toiletries and fluid cleansers. Its brands incorporate ‘Cinthol’, ‘Godrej Fair Glow’,
‘Godrej No.1’ and ‘Godrej Shikakai’ in cleansers, ‘Godrej Powder Hair Dye’, ‘Recharge’,
“ColourSoft” in hair colorants and “Ezee” fluid cleanser. GCPL works a few assembling offices in
India spread more than seven areas and gathered into four working bunches at Malanpur
(Madhya Pradesh), Guwahati (Assam), Baddi-Thana (Himachal Pradesh), Baddi-Katha (Himachal
Pradesh), Pondicherry, Chennai and Sikkim.

Cash Cows

Cash cows, in the lower left quadrant, are commonly driving items in business sectors that are
develop. By and large, these items create gives back that are higher than the market’s
development rate and maintain themselves from an income point of view. These items ought to
be exploited for whatever length of time that conceivable. The estimation of cash cows can be
effortlessly ascertained since their income examples are profoundly unsurprising.This category
is occupied by Godrej & Boyce and Godrej Chemicals. Godrej and Boyce is both the holding
organization of the Godrej Group to a working organization with nearness crosswise over 14
different organizations. (Sangvekar, 2013) Its excursion started in 1897 with the make of
excellent locks, then stretching out to different durables (coolers, clothes washers, aeration and
cooling systems, home security frameworks and safes, furniture), items for foundations (office
furniture, varying media arrangements, get to control frameworks, edge security arrangements,
bank security arrangements, drink candy machines, inside arrangements, doctor’s facility and
research center furniture) and modern items (prepare gear, materials taking care of hardware,
mechanical stockpiling arrangements, tooling, accuracy gear). Godrej Industries is an Indian
maker of oleo-chemicals for use in over different enterprises. It additionally produces
consumable oils, vanaspati and bread shop fats. What’s more, it works land.

Comparison of sales of company for past 3 years:

Marketing has always been one of the most important and decisive tool indetermining the sales
and success of a particular company. Marketing does notonly include advertising and
publicizing about a particular product or service, butalso means keeping up with the changing
trends in the market and customer tastes and preferences. Thus, it includes the 4 P’s of
marketing namelyPRODUCT, PRICING, PROMOTION and PLACE (DISTRIBUTION)

This project is based on the marketing strategies adopted by Godrej Companywith reference to
Godrej Interio & Godrej Consumer Products Ltd (GCPL). GodrejInterio is the largest company in
the Rs 3000 crore organized furniture market. Ithas been upgrading its products to match the
consumer’s tastes and preferences. GCPL became the first company in the world to develop
thetechnology to manufacture soap with vegetable oils; that spirit of innovation hascontinued
throughout the organization's history. Today Godrej is deliveringconsumers exciting innovations
across a spectrum of businesses.

D) ASPECT COVERED – BUSINESS FINANCE:

Understanding the financial statements in detail – I/S :

Understanding the financial statements in detailB/S:
Liquidity:

Investment March 18 March 17 March 16 March 15 March 14

Valuation Ratios

Current Ratio 0.68 0.66 1.01 0.90 0.73

0.68

0.66

1.01

0.90

0.73

0.68

0.66

1.01
Profitability Ratio:

Investment March18 March 17 March 16 March 15 March 14

valuation
ratios
Net Profit 19.00 17.85 15.37 14.77 13.84
Margin %

ASPECT COVERED – HUMAN RESOURCE MANAGEMENT:

Organization Structure

Established in 1897, the Godrej group has grown in India from the days of thecharkha to nights
at the call centers. Our founder, Ardeshir Godrej, lawyer-turned-locksmith, was a persistent
inventor and a strong visionary who could see the spark in the future. His inventions,
manufactured by his brother PirojshaGodrej, were the foundation of today’s Godrej empire.
One of India’s most trusted brand, Godrej enjoys the patronage and trust of over 400 million
Indiansevery single day. Our customers mean the world to us. We are happy only whenwe see a
delighted customer smile.With 7 major companies with interests in real estate, FMCG,
industrial engineering, appliances, furniture, security and agri care ± to name a few ± our
turnover crosses 2.5 billion dollars. You think of Godrej as such an integral part of India ± like
the bhangara or the kurta ± that you may be surprised to know that 20% of our business is done
overseas. Our presence in more than 60 countries ensures that our customers are at home with
Godrej no matter wherethey go. With brands you can believe in, service excellence you can
count onand the promise of brighter living for every customer, Godrej knows what makesIndia
tick today.Today, we are at a point in Godrejs history when our amazing past is meeting up with
its spectacular future head on. Godrej is learning and relishing beingyoung again.History:In
1897, Ardeshir Godrej, the founder, learned the first lesson of success : FALIURE. Not one, but
two of his bussiness went bust. Then he set up a lock company. What followed is the stuff of
legend. Today, over 400 million indiansare keyed into his vision. Here was a man who did not
fall with his faliure. Over 100 years on, his preserverance is there’s Inspiration.In 1989, they
went against the tide of Raj, and launched the dirst soap in theworld to be made without
animal fat. They scored for not only ahimsa, but alsoswadeshi.In 1951, the Election Comissioner
asked Godrej to make ballot boxes for free india’s first elections. Within days, 1.7 million ballot
boxes were shipped out of there company to every corner of india.In 1958, Godrej made the
first refrigerators. In 1986, introduced the hair dyes,700,000 numbers of which are sold daily. In
1995, created the first independent Washing machines. In 2008 Godrej helped Indians go over
the moon, helped develop the launch vehicle and the lunar orbiter for Chandrayaan-1, India’s
first unmanned mission to the moon. Contributing to Nation’s Pride

Organization culture:

Organizational culture is an idea in the field of Organizational studiesand management which

describes the psychology, attitudes, experiences, beliefsand values (personal and cultural
values) of an organization. It has been defined as "the specific collection of values and norms
that are shared by people and groups in an organization and that control the way they interact
with each other and withstakeholdersoutside the organization."

High Values - High Performance´ is what defines the work culture atGodrej. A strong
commitment to our values and a high performance brings with it the rewards, be it your growth
or compensation in theorganization. Performance underwrites your growth. Our
compensationsystem makes room for us to suitably differentiate and rewardoutstanding
performance. We are strongly focused on Economic ValueAdded (EVA) as the metric for
measuring financial performance. Thishas improved capital efficiency and overall business
performance.Following the concept of EVA encourages greater owner - like andentrepreneurial
behavior. Our Collective bonus plan is linked to changesin EVA while individual bonuses are
linked to the goal setting andreview process. The best performers across the Group are
recognized inour grand annual award function. There are also schemes which promptly
recognize and motivate excellent work. This definition continues to explain organizational
values, also known as "beliefsand ideas about what kinds of goals members of an organization
should pursueand ideas about the appropriate kinds or standards of behavior organizational
members should use to achieve these goals. From organizational valuesdevelop organizational
norms, guidelines, or expectations that prescribe

appropriate kinds of behavior by employees in particular situations and control the behavior of
organizational members towards one another." Organizational culture is not the same as
corporate culture. It is wider and deeper concepts, something that an organization 'is' rather
than what it 'has'.Corporate culture is the total sum of the values, customs, traditions, and
meanings that make a Company unique. Corporate culture is often called "thecharacter of an
organization", since it embodies the vision of the companys founders. The values of a corporate
culture influence the ethical standardswithin a corporation, as well as managerial behavior.
Godrej industries bring out the best organization culture for its employee’s in customers across
the globe.

Appropriate kinds of behavior by employees in particular situations and control the behavior of
organizational members towards one another." Organizational culture is not the same as
corporate culture. It is wider and deeper concepts, something that an organization 'is' rather
than what it 'has'.Corporate culture is the total sum of the values, customs, traditions, and
meanings that make a Company unique. Corporate culture is often called "thecharacter of an
organization", since it embodies the vision of the company’s founders. The values of a
corporate culture influence the ethical standardswithin a corporation, as well as managerial
behavior. Godrej industries bring out the best organization culture for its employee’s in
customers across the globe.Motivational techniques: Almost all employees want to do
interesting work, secure a good salary and earn recognition for their contributions. But
motivating employee stakes more than money and an occasional ‘thank-you.´ It requires
astrategy tailored to each workers needs.

1. Ask what they want out of work:Just knowing that an HR manager or boss is interested in a
worker'sgoals will make many employees feel better about their jobs. It can bedifficult to get a
quick and accurate answer to this question. However,Some workers may say that they want to
work on a prestigious project,for example, only to discover once they have been assigned to the
project that it isn’t what they expected.It may help to ask a more specific question. Have
workers describe a previous project that they felt good about, then see what aspects of that
can be repeated.

2.Consider each employee’s age and life stage:There are exceptions to every generalization, of
course, but workersnearing the end of their careers are often less focused on the next
promotion than those who are just starting to climb the corporateladder. Younger workers may
also be less accustomed than older onesto waiting patiently in a job they don’t find interesting.

3.Match motivators to the company or department culture: Again, there are exceptions, but
engineers are likely to be motivated by working on cutting-edge projects. On the other hand,
sales professionals tend to use money as a way to measure how well they are doing.

4.Pinpoint each employee’s personality:Some people love public praise; others are mortified by
it and would much prefer a sincere, in-person ‘thank-you.´ Make sure you take this into account
if you are planning a ceremony to give awards or other recognition.

5.Put money in its place:How well does money motivate workers? The answer isn’t simple.
Anemployee who demands a raise might really be unhappy because hisor her suggestions are
being ignored.Money plays an important role in motivating the employees.

6.Offer help with career goals:When you ask workers what kind of work they enjoy, also find
out about what they are hoping to do in the future. Giving workersopportunities to build the
skills and make the connections they need toget ahead in their careers will build loyalty and
motivation.

7. Help employees learn: It’s very important for workers to keep learning new skills on the
job.With people changing jobs more often than they used to and companies no longer
promising long-term employment, younger workers in particular realize that continuing to learn
is the way to stay employable.

8.Recognize that motivation isn’t always the answer:If your motivation efforts arent working, it
may not be your fault. ³Not everyone can be motivated for that particular job´. If an
employeewould really rather be doing something else, it may be best toencourage him or her
to pursue something new.Performance Appraisal: A performance appraisal, employee
appraisal, performance review, or (career) development discussion is a method by which the
job performanceof anemployeeis evaluated (generally in terms of quality,quantity ,cost , and
time typically by the correspondingmanager or supervisor . A performance appraisal is a part of
guiding and managingcareer development . It is the process of obtaining, analyzing, and
recording information about the relative worth of an employee to theorganization.
Performance appraisal is an analysis of an employee'srecent successes and failures, personal
strengths and weaknesses,and suitability for promotion or further training. It is also the
judgement of an employee's performance in a job based on considerations other than
productivity alone.

E) CONCLUSION:

During these final presentation , a lot of experience, knowledge and exposure that I have handy
All disclosures were awaken myself in a boost of self-confidence to face life more challenging
now. Practical is a complement to the science or theory learned. This is clearly the concept of
science and charity, where they have learned without practice will be lost and will not give
anything - what effect. So if we do without the knowledge of course there will be problems in
terms of grip and stance ever - changing.

During my industrial study , there were many changes from the point of learning environments.
It can directly increase the dedication and rational attitude.However, there are still some
weaknesses that can be improved in the future. Therefore I conclude that the company report
program has provided many benefits to students even if there are minor flaws that are
somewhat disfiguring condition .

I can conclude that this company is through report I received a lot of exposure in the company
world.

F) BIBLIOGRAPHY:

https://www.moneycontrol.com/financials/godrejconsumerproducts/ratios/GCP
https://www.scribd.com/document/12751851/Godrej

https://www.google.co.in/search?safe=off&ei=eK3pW_vUEMmHvQSghIGwDg&q=godrej+consu
mer+product+Organization+Structure+hierarchy+&oq=godrej+consumer+product+Organization
+Structure+hierarchy+&gs_l=psy-ab.3...1972842.2017915.0.2018730.103.65.1.0.0.0.319.10105.
0j34j17j1.53.0....0...1.1j2.64.psy-ab..63.7.1593.6..33i21k1j33i160k1j35i39k1j0i30k1j0i8i30k1j0i8
i10i30k1j0i13i30k1j0i8i13i10i30k1j0i8i13i30k1j33i10k1.290.P-9kbN3Kta4

https://www.moneycontrol.com/india/stockpricequote/personal-care/godrejconsumerproduct
s/GCP

http://www.godrejcp.com/