Project

Management

Institute of business and information technology

Walls guaranteed Halal - Statement

14/09/2007: Karachi: Walls guaranteed Halal

All Walls’ ice creams produced by Unilever Pakistan are guaranteed “Halal”

Unilever is the biggest branded ice cream manufacturer around the world, selling millions of ice creams every day in more than 40 countries. Ice creams produced by Unilever vary from country to country, since recipes are tailored to domestic demand, based on taste, legal and religious requirements. We therefore do not necessarily use the same ingredients everywhere.

Unilever Pakistan guarantees that all Wall’s ice creams produced and marketed by it in Pakistan are in total conformance with the requirements of Halal products and are perfectly safe for consumption by Muslims. All elements in the products, including raw materials, trace ingredients, packaging and production processes used in our factory strictly conform to local legislation, religious and cultural requirements. We are very conscious about the need in particular to ensure strict compliance with Halal guidelines. A “Halal” mark is printed on all wrappers in confirmation of this.

Unilever has been operating in Pakistan for 60 years. Over this period, our brands in Home Care, Personal Care, Foods, Beverages and Ice Cream have become market leaders. Millions of people use them daily because they conform to the highest standards and provide value for money. As a multinational multi local company, we are committed to adding vitality to consumers and the community in a responsible and locally appropriate manner.

Pakistan:

Unilever Pakistan Limited

Avari Plaza

Fatimah Jinnah Road

Executive summary

In this short report we completed the management project on the company unilever and preferably mention its one SBU that is wall’s. the main features of our projects are ;

0INTRODUCTION

0WALL’S

0 Key facts about Wall’s:

0VISSION

0PHILOPHOPHY OF THE COMPANY

0CULTURE

0PURPOSE AND PRINCIPLES

0OUR PRIORITIES

0ORGANIZATIONAL STRUCTURE

Key elements of structure:

  • Work specialization
  • Departmentalization
  • Chain of command
  • Span of control
  • Centralization and decentralization
  • Formalization
  • Social responsibility

Unilever is the world’s largest manufacturer of ice cream; in fact Unilever holds almost 18% of the global market share, vs. 14% for Nestle, the closest competitor

Wall’s is ranked as # 24 in Newsweek’s list of Asia’s top brands

Globally Unilever is moving towards making ice creams even healthier treats, by reducing fat content, introducing lower calorie ice creams and beefing up other treats with calcium and other nutrients.Wall’s is the largest player in the Pakistan ice cream market and holds the lion’s share of the market.

‘Unilever's mission is to add vitality to life. We meet everyday needs with brands that help people feel good, look good and get more out of life”

Their culture is;We are honest, transparent and ethical in our dealings at all times.We deliver what we promise.We believe in trust, truth and outstanding teamwork.We value a creative and fun environment.We care about and actively contribute to the community in which we live.

We are honest, transparent and ethical in our dealings at all times.Our corporate purpose states that to succeed requires "the highest standards of corporate behavior towards everyone we work with, the communities Unilever touch, and the environment on which Unilever have an impact.

Unilever is also committed to continuously improving the way Unilever manage our environmental impacts and are working towards our longer-term goal of developing a sustainable business

The formal pattern of how people and jobs are grouped in an organization.

The structure embedded in Walls is organic structure. The structure is flat because of large span of control. Employees have significant authority to participate in decision making and little formalization.

The basis by which jobs are grouped together is called departmentalization.

Departmentalization can be done on following basic.Functional departmentalizationGeographic departmentalizationProduct departmentalization Process departmentalizationCustomer departmentalization.

There is a unity of command that means each employee within the company is responsible to report only one individual above him in hierarchy.

The company pursues the Activist Approach (Dark Green). The company has various projects in the way of social responsibility. Following are some of the undertaken projects by the company

Wall’s- Unilever

Company board of directors

Board of directors

Mr. Ehsan A. Malik

Chairman and CEO

Mr. Peter Harvey

Director and CFO

Mr. M. QayserAlam

Director

Mr. Syed Baber Ali

Director

Mr. Omar H.KARIM

Director

Mr. Zaffar A. Khan

Director

Mr. ZarrarHaider

Director

Mr. NoemanShirazi

Director

Mr. AmarNaseer

Director and Company Secretary

Audit COMMITTEE

Mr. Zaffar A. Khan

Chairman

Mr. Omar H. Karim

Member

Mr. M. QayserAlam

Member

Mr. QanitKhalil

Head of internal Audit and Secretary

AUDITORS

A.F. Ferguson & Co.

Chartered Accountants

State Life Building No. 1-C

I.I Chundrigar Road

Karachi.

REGISTERED OFFICE

Avari Plaza

Fatima Jinnah Road

Karachi-75530

Telephones: + 92-21-5660062-9

Facsimile: + 92-21-5681705

SHARE REGISTERATION OFFICE

C/o Ferguson Associates (Pvt.) Ltd.

State Life Building No.1-A

I.I. Chundrigar Road

Karachi.

WEBSITE ADDRESS

INTRODUCTION

Unilever is the biggest ice cream manufacturer around the world, selling millions of ice creams daily in more than 40 countries, since recipes are tailored to domestic demand, based on taste, legal and religious requirements. The company therefore does not use the same ingredients everywhere.

Ice creams produced by company vary from country to country. Though Unilever has been selling ice cream globally for years, the Heartbrand was launched globally in 1999. The Heartbrand logo is common worldwide and has come to be synonymous with quality treats.

In Pakistan the Heart brand is called Wall’s and it is one of the most active players in the market and is striving to offer lighter, healthier products as well as providing old favorites, hence catering to a variety of diverse tastes. Company has been claiming it for years. And now scientists have caught up and confirmed it – ice cream really does make you happy.

  • Unilever is the world’s largest manufacturer of ice cream; in fact Unilever holds almost 18% of the global market share, vs. 14% for Nestle, the closest competitor
  • Wall’s is ranked as # 24 in Newsweek’s list of Asia’s top brands
  • Globally Unilever is moving towards making ice creams even healthier treats, by reducing fat content, introducing lower calorie ice creams and beefing up other treats with calcium and other nutrients
  • Ice cream has been scientifically proven to bring a smile to your face!

The Wall’s factory is located on Multan Road near MANGA MANDI in Lahore and is fully equipped with a state of the art innovation pilot plant. This makes Pakistan one of the few countries in the region to have their own innovation pilot plant – making it possible for Wall’s to launch exciting new products every year.

Key facts about Wall’s:

  • Wall’s is the largest player in the Pakistan ice cream market and holds the lion’s share of the market
  • All Walls’ products are hall and are made with halal ingredients in a halal compliant manner.

So we selected Wall’s as the company for our Project. For this purpose, we personally visited the company branch in Lahore and meet Mr. Muhammad Farukh and gather the following information.

Company’sVision

‘Unilever's mission is to add vitality to life. We meet everyday needs with brands that help people feel good, look good and get more out of life”

PHILOPHOPHY OF THE COMPANY

  • Care Your Customer
  • Make World Better
  • Quality Does Matter

Culture

Core values of culture:

Impeccable integrity

  • We are honest, transparent and ethical in our dealings at all times.

Demonstrating a passion for winning

  • We deliver what we promise.

Wowing our consumers& customers

  • We win the hearts and minds of our consumers and customers.

Bringing out the best in all of us

  • We are empowered leaders who are inspired by new challenges and have a bias for action.

Living an enterprise culture

We believe in trust, truth and outstanding teamwork.
We value a creative and fun environment.

Making a better world

We care about and actively contribute to the community in which we live

PURPOSE AND PRINCIPLES

Our corporate purpose states that to succeed requires "the highest standards of corporate behavior towards everyone we work with, the communities Unilever touch, and the environment on which Unilever 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

Unilever 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 Unilever engage with society.

  • Continuous commitment

Unilever is also committed to continuously improving the way Unilever 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

Unilever want to work with suppliers who have values similar to our own and work to the same standards Unilever 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 PRIORITIES

  • Health and Nutrition
  • Quality
  • Growth Insight
  • Environment Care

ORGANIZATIONAL STRUCTURE

What is Organizational Structure?

The formal pattern of how people and jobs are grouped in an organization.

The structure embedded in Walls is organic structure. The structure is flat because of large span of control. Employees have significant authority to participate in decision making and little formalization.

Key elements of structure:

Work specialization

Departmentalization

Chain of command

Span of control

Centralization and decentralization

Formalization

Work Specialization:

All the workers in the company are highly specialized. Tasks are divided into separate jobs. But to reduce with employee boredom and absentees tasks and to increase motivation managers have design the job in following manners

Job enlargement

It means the horizontal expansion of job to increase the job scope.

Job enrichment

It means the vertical expansion of job by adding planning and evaluating responsibilities.

DEPARTMENTALIZATION

The basis by which jobs are grouped together is called departmentalization.

Departmentalization can be done on following basic

  • Functional departmentalization
  • Geographic departmentalization
  • Product departmentalization
  • Process departmentalization
  • Customer departmentalization

Walls Company has functional departmentalization because jobs are grouped according to the functions performed

Chain of command:

There is a unity of command that means each employee within the company is responsible to report only one individual above him in hierarchy. Also all the managers and head of departments have been given authority, responsibility and are accountable for the desired outcome from their departments to achieve the ultimate goal of the company defined by high level management.

Span of control:

Span of control is large because of many employees are reporting to one manager because they have been given significant authority of make decisions.

Flat organizational structure:

The company has flat organizational structure because of less hierarchal levels and large span of control.

Decentralization:

In walls there is decentralization because lower level employees also participate in decision making. Rather they are encouraged to participate in all types of decision making.

Formalization:

There is a little formalization in the company. No written documentation is made to direct and control employees within the company but there are rules and procedures governing the duties and responsibilities of each employee at each hierarchal level.

DEPARTMENTS

  • PRODUCTION DEPARTMENT

Production department is responsible for

Purchasing raw material

Handling inventory

Production of ice cream

  • Finance and accounting department:

Fiancé and accounting departments are responsible for generating finance and to coordinate company affairs with creditors, debtors and other stake holders. Accounting department is responsible for accounting affairs and keeping the records of finance utilized in the company. It is also responsible for costing, budgeting and auditing.

  • MARKETING DEPARTMENT

Wall’s has a separate department for the promotion of its products. It combines the 4 P’s in a systematic way.

  • PRODUCT:

The wall’s has a variety of ice cream products ranging From affordable treats to premium indulgence, to hanging out with friends and sharing precious family moments; Wall’s adds to the simple pleasures in daily life.

  • PLACE:

Wall’s ensures that customers should have convenience to buy the products. For this purpose, the company focuses more where the demand for wall’s ice cream is high like in big cities like Lahore, Faisalabad, Karachi, Multan and Islamabad.

  • PRICE:

Wall’s is very much careful about its cost. Maximum effort is made to keep the prices of the products on a low level in order to ensure that it is beneficial for the company to maintain reasonable profit and also from the customer point of view the low Prices

  • PROMOTION:

Wall’s is very active in the promotion of its products. It advertises its products to make an effective communication with its customers. Company uses VERTICAL INTEGRATION approach to sell its products. Company distributes freezers, fridges and also cycles are used to provide the customer products at their door steps.

  • COLD CHAIN DEPARTMENT

Wall’s has a separate department for the maintenance of the freezers and refrigerators. It is also responsible for the maintenance of vehicles that supply Ice creams in the market. Audit is conducted on monthly basis to check the condition of the trucks.

HR DEPARTMET

Human resource management

Importance of HRM

All the managers are engage in some human resources management activities even if there is separate HRM department.

HR can be a significant source of competitive advantage.

Achieving the competitive success through people requires a fundamental change in how managers think about their employees and how they view the work relationship.

HR practices could increase the market values by as much as 30percent and gives the high performance work practices.

HR department is responsible for

Recruiting

Training and development

Performance appraisal

Compensations and benefits

Health and safety

Conflicts management

Downsizing

0Recruitment:

“Locating, identifying and attracting capable applicants.”

Sources:

Potential candidates can be found by using several sources.

1)Internet/ Company Web site

The process of recruitment is to be done by as follow:

0Internal edge

Employee referrals

0Out source

0external short listed candidates

0College recruiting

0Company web site

0Selection:

“Screening job applicants to ensure that the most appropriate candidates are hired.”

In case of walls:

The process of selection is based on management training program

  1. Interviews

7 interviews are to be taken for hiring an employee

  1. Education

Education is MBA

  1. Experience

Minimum experience is at least 1 year

0Orientation:

“Introducing a new employee to his or her job and the organization.”

Types of orientation:

There are two types of orientation.

  1. Work unit orientation
  2. Organization orientation
  • Orientation period is one month to tell about company know how.
  • It is normally called as the prohibition period
  • It may be takes 3 months to train an employee
  • If employee does not take any advantage than the prohibition period is extended up to 3-6 month.

Training

“The process of improving the skills and capabilities of employee.”

Types of training

There are two types of training

On the job training

Off the job training

In case of walls

Employee are trained by general type of training because organization

  • arranges Monthly Orientation
  • Provides hand books
  • Giving reading material which may be articles
  • Provide internationally training courses.
  • Employee are trained by on job training method
  • The duration of training is 3 months but training period can be extended up to 6 months.
  • daily issues based training is given

Formation of training calendar

According to training calendar duties are assigned to different managers like

  • Sales based duties are assigned to sales manager
  • Finance based duties are assigned to finance manager etc.

The trainers program

A training program is set for the junior and senior employee which is basically train the territory manager (TM) under the supervision of Area Manager (AM) and special training program is formed which known as train the trainers, in this program special trainers are come from foreign to train the area Manager. It is a two days training session and held in pc (Pearl Continental).

0Performance Appraisal

Wall’s Do Performance Appraisal of Employees through different Methods. Employees are informed about their performance after a specified interval of time. Wall’s evaluates employees after 3 and 6 Months in a year. In such Appraisals Employees are informed.

What is their Performance in the period for which evaluation is done

What is expecting from them about their performance

Where they should be in the Future

How to improve their Performance of Job

Company Does Performance Appraisals by

Company evaluates employee’s performance with the help of

Employees Strength

Employee’s Weakness

Past Performance

Efforts to correct problems

Walls use Graphic Rating ScaleMethod of Performance Appraisal. Different rates are given to employees on the basis of their Knowledge of job, overall behavior in company, cooperation,

Walls have a culture in which there is coordination and everyone is linked with one another. So this method is Very efficient in Wall’s. It also helps in the Promotion of Employees in the Company. 360- Degree Feedback is also used by the company i.e Feedback about a particular Employee is taken from supervisors, co-workers and employees.