About Unilever Presentation_tcm96-227455

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ABOUT UNILEVER

Transcript of About Unilever Presentation_tcm96-227455

Page 1: About Unilever Presentation_tcm96-227455

ABOUT UNILEVER

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About Unilever

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Unilever is one of the world’s leading suppliers of fast-moving consumer

goods. We aim to provide people the world over with products that are

good for them and good for others.

Creating a better future every day

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Our vision

● We work to create a better future every day.

● We help people feel good, look good and get more out of life with brands and services that are good for them and good for others.

● We will inspire people to take small everyday actions that can add up to a big difference for the world.

● We will develop new ways of doing business that will allow us to double the size of our company while reducing our environmental impact.

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Fast facts - 2009

163,000 employees at the end of the year

20 nationalities among our top tier managers

More than 170 countries in which our products are sold

264 manufacturing sites worldwide€891 million invested

in R&D worldwide

€89 million invested in community programmes worldwide

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People are the heart of our business.

Our people

● We aim to create an environment in which all employees can fulfil their potential.

● Unilever is one of the world’s most culturally diverse companies. Our Board is made up of six nationalities and the nine members of the Unilever Executive come from six different countries.

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Performance

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Scale and geographic reach

The Americas €13 billion turnover4.2% underlying salesgrowth32.3% of group turnover

AAC€15 billion turnover7.7% underlying salesgrowth37.4% of group turnover

Western Europe €12 billion turnover -1.9% underlying salesgrowth30.3% of group turnover

2009 turnover €39.8 billion

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● Good broad-based underlying sales growth of 3.5%

● Underlying volume growth of 2.3% – accelerating through the year

● Increased investment behind our brands

● Return to strategic acquisitions including TIGI and Baltimor

● Named International Supplier of the Year by Tesco for the fourth year running

Operational achievements in 2009

Sales growth 3.5%

Volume growth 2.3%

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Savoury, dressings and spreads

● Turnover of €13,256 million

● Underlying sales growth of -0.1%

Category highlights in 2009

Personal care

● Turnover of €11,846 million

● Underlying sales growth of 5.3%

Ice cream and beverages

● Turnover of €7,753 million

● Underlying sales growth of 4.0%

Homecare & other

● Turnover of €6,968 million

● Underlying sales growth of 7.1%

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Unilever financial performance

* Continuing operations

* Restructuring, disposals and one-off items** Continuing operations

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Strategic Focus

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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.

To succeed also requires, we believe, the highest standards of corporate behaviour 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 corporate purpose

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Our ambition is to win share and grow volume in every

category and country.

Unilever’s growth priorities

Winning with brands and innovation

● Deliver superior products, design, branding and marketing

● Bigger, better, faster innovations● Appeal to more consumers across

needs and price points

Winning in the marketplace● Lead market development● Win with winning customers● Be an execution powerhouse

Winning through continuous improvement

● Lean, responsive and consumer-led value chain

● Drive return on brand support● Agile, cost-competitive organisation

Winning with people● Organisation and diverse talent

pipeline ready to match our growth ambitions

● Performance culture which respects our values

● Leverage our operating framework for competitive advantage

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Our deep roots and early engagement in D&E markets give us invaluable consumer insight:● Understanding of the local

consumer● Brands and products across a

wide range of income levels● Critical mass on the ground● Corporate reputation with local

stakeholders and talent pool

Leveraging our scale brings us advantages over local competition:● Global portfolio of brands and

categories● Dedicated R&D investment● Shared values and standards

of behaviour

Local roots with global scale

LOCAL ROOTS GLOBAL SCALE

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Of the 6.8 billion people in the world today, 5.9 billion live in developing and emerging markets – countries such as Brazil, India and Indonesia

where Unilever has deep roots and a wide presence. We already reach many more

consumers than our competitors in these markets.

The D&E opportunity

% 2004 Sales

% 2009 Sales

North America

23%

Western Europe

38%

D&E 36%

Other developed

3%

North America

16%

Western Europe

30%

D&E 50%

Other developed

4%

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Categories, Brands and Regions

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Unilever’s portfolio of categories

Leading category positions

Ice Cream & Beverages

Personal Care

Homecare

Savoury, Dressings & Spreads

Strong category positions

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Top 25 brands = almost 75% of Unilever’s sales*.

* As at end 2009

Big global brands

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CategoriesDeliver global platforms

Responsible for:● Brand development● Innovation● Research and development

Accountable for:● Medium/long-term market

share● Brand health● Innovation metrics● Category value creation

RegionsExecute on the ground

Responsible for:● Managing the business● Deploying brands and

innovations● Customer management

Accountable for:● Short-term market shares ● Growth● Profit● Cash flows

Clear, distinct, complementary roles.

Regions and categories

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Unilever Foodsolutions is one of the world’s leading foodservice businesses.

● Works closely with customers, including caterers, restaurateurs and major hotel and fast-food chains, to create food solutions that help grow their business.

● Operates in 68 countries worldwide, employing 4,700 people, including 230 chefs.

● Holds leading positions in bouillons/bases, seasonings, sauces, soups, dressings, tea and desserts.

● Unrivalled combination of:

− Consumer insight

− Customer understanding

− Chefmanship® – culinary passion and expertise

− Well-known brands.

Foodsolutions

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The Supply Chain

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€15.3 billion spent on raw materials and packaging from over 10,000

suppliers in 2009.

Raw materials and ingredients

Our share of world volume:

Preliminary data pending audit.

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264 manufacturing sites.

Continuous improvement in eco-efficiency in factories (1995–2009):

● 41% reduction in CO2 from energy

● 65% reduction in water use● 73% reduction in total waste

Manufacturing

Preliminary data pending audit.

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Around one-fifth of Unilever’s sales are through ten major

retail chains.

Our products are sold in over 10 million small shops in

developing and emerging markets.

50% of sales from developing and emerging markets.

Distribution and retailing

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Unilever manages a number of partnerships globally.

Customer partnerships

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2 billion consumers use a Unilever product on any day.Top 13 brands with combined sales of €23 billion in 2009.€5.3 billion invested in advertising and promotion.€891 million invested in R&D.

Consumers

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Innovation

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Unilever is a world leader in research and development

(R&D).

Innovation driving growth 1

● €891 million invested in R&D in 2009

● At least 250 new patent applications filed each year

● A portfolio of more than 20,000 patents and patent applications

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Competitive advantage through an integrated R&D

programme.

Innovation driving growth 2

● More than 6,000 R&D professionals

● 6 strategic R&D laboratories delivering groundbreaking technologies

● 31 major development centres developing and implementing product innovations

● 92 locations around the globe with R&D teams implementing innovations in countries and factories

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Focused efforts that swiftly bring bigger innovations to

market.

Innovation driving growth 3

Knorr Stock Potrevolutionises bouillon

with a format that provides a more

authentic bouillon.

Small & Mightyis the industry’s first super-concentrated

liquid detergent, using one-third of the

packaging, one-third of the water and one-third

of the transport of dilute liquids.

Dove Body WashUses proprietary NutriumMoisture

technology, earning its scientifically-proven

claim to provide ‘effective natural

nourishment’.

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Social and Environment

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Helping society through our products and

programmes.

• 133 million people reached by Lifebuoy handwashing programmes since 2002

• 15 million people in 3 million households in India provided with safe drinking water through Pureit

• 44% of our products in line with internationally accepted guidelines for saturated and trans fats, sugar and salt

• Nearly 17 million school meals delivered to 80,000 children in 2009 through our partnership with the World Food Programme

• 45,000 women entrepreneurs reach 3 million consumers in 100,000 Indian villages selling Unilever products door to door

Social

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* Measured by tonne per production. Preliminary data pending audit.

• We are committed to sourcing all palm oil from certified sustainable sources by 2015

• 15% of the tea we use globally is sourced from Rainforest Alliance CertifiedTM farms

• Over the period 1995–2009 we have achieved reductions of:

• 41% in CO2 emissions*• 73% in total waste*• 65% in water usage*

Eleven years as sector leader of the Dow Jones Sustainability Indexes.

Our goal is to double the size of the business whilst at the same time reducing our environmental

footprint. This encompasses the whole value chain – from the sourcing of raw materials through to consumer use and disposal of our products.

Environmental

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Working in partnership is crucial in developing and delivering some of

our major sustainability commitments.

UN World Food Programme: to feed hungry children and improve their nutrition

World Heart Federation: to promote heart health

Global Alliance for Improved Nutrition: to co-create new approaches in food fortification to address malnutrition

FDI World Dental Federation: to improve oral health

Global Public-Private Partnership for Handwashing with soap: to promote good hygiene practice

UN Global Compact: to align business operations and strategies in the areas of human rights, labour, environment and anti-corruption

Our principal global partnerships are with:

Working with others

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Structure

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Unilever was formed in 1930 from two companies: Margarine Unie and Lever Brothers.

Legal structure and governance

Margarine Unie (Netherlands)

Lever Brothers (UK)

● It was a full business merger, operating as a single business entity.

● Two separate legal parent companies have been maintained:o Unilever NV (Netherlands) and

Unilever PLC (UK).● This works through an equalisation

agreement and other contracts between the two companies.

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A global management team

Sandy OggChief HR Officer

Geneviève BergerChief R&D Officer

Michael PolkPresident Global Foods, Home & Personal Care

Harish ManwaniPresident Asia, Africa and Central & Eastern Europe

Doug BailliePresident Western Europe

Dave LewisPresident AmericasPaul Polman

Chief Executive Officer

Pier Luigi SigismondiChief Supply Chain Officer

Jean-Marc HuëtChief Financial Officer

Keith WeedChief Marketing and Communications Officer

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Board of Directors

Chairman

Michael Treschow

Paul PolmanChief Executive Officer

Jean-Marc HuëtChief Financial Officer

Executive Directors

Non-Executive Directors

The Rt Hon The Lord Brittan of

Spennithorne QC, DL

Wim Dik Louise Fresco

Ann Fudge Charles Golden

Byron Grote

Narayana Murthy

Hixonia Nyasulu

Kees Storm Jeroen van der Veer

Paul Walsh

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