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DABUR INDIA LIMITED
Submited By: ARPIT SINGH SAWAI
1402025
PGDIM- 2014-16
NOVEMBER 16, 2014
PGDIM: 2014-16
National Institute of Industrial Engineering
1 | P a g e
CONTENTS
1. Background 2
2. Values 2
3. History 3
4. Milestones 5
5. Mergers & Acquisitions 11
6. Products 12
7. Financials Of Dabur India 18
8. Progress and Future plans 20
9. Opinion on Future plans 24
10.Supply Chain of Dabur India 26
11.Distribution Network 28
12.Opinion on supply Chain 29
13.References 32
2 | P a g e
DABUR India L
Dabur India Ltd is one of India’s leading FMCG Companies with Revenues of over Rs 7,073 Crore
& Market Capitalization of US $5 Billion. Building on a legacy of quality and experience of over 130
years, Dabur is today India’s most trusted name and the world’s largest Ayurvedic and Natural Health
Care Company.
Dabur today operates in key consumer products categories like Hair Care, Oral Care, Health Care,
Skin Care, Home Care and Foods. The company has a wide distribution network, covering over 5.8
million retail outlets with a high penetration in both urban and rural markets. Dabur India is also a
world leader in Ayurveda with a portfolio of over 250 Herbal/Ayurvedic products. Dabur's FMCG
portfolio today includes five flagship brands with distinct brand identities -- Dabur as the master brand
for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, Réal for
fruit juices and beverages and Fem for fairness bleaches and skin care products. Dabur's products also
have a huge presence in the overseas markets and are today available in over 60 countries across the
globe. Its brands are highly popular in the Middle East, SAARC countries, Africa, US, Europe and
Russia. Dabur's overseas revenue today accounts for over 30% of the total turnover.
Dabur today operates in key consumer products categories like Hair Care, Oral Care, Health Care,
Skin Care, Home Care and Foods. The company has a wide distribution network, covering over 5.8
million retail outlets with a high penetration in both urban and rural markets. Dabur India is also a
world leader in Ayurveda with a portfolio of over 250 Herbal/Ayurvedic products. Dabur's FMCG
portfolio today includes five flagship brands with distinct brandidentities -- Dabur as the master brand
for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, Réal for
fruit juices and beverages and Fem for fairness bleaches and skin care products.
In April 2009, the Hon'ble High Court of Judicature at Delhi has sanctioned the Scheme of
Amalgamation of Fem Care Pharma with Dabur India. In July 2010, the Company's wholly owned
subsidiary Dabur International entered into an agreement to acquire 100% stake in leading personal
care Company in Turkey i.e. Hobi Group firms– Hobi Kozmetik, Zeki Plastik and Ra Pazarlama at a
total consideration of US$ 69 million.
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In 1884, Dabur was established by Dr. S K Burman at Kolkata and established first production unit
at Garhia in 1896. In early 1900, Dabur identified nature based Ayurvedic medicines as their area of
specialization and became the first company to provide health care through scientifically tested and
automated production of formulations based on our traditional science. In 1940, Dabur introduces
Indian consumers to personal care through Ayurveda, with the launch of Dabur Amla Hair Oil. So
popular is the product that it becomes the largest selling hair oil brand in India. In 1949, Dabur
launched Dabur Chyawanprash in tin pack widening the popularity and usage of traditional
Ayurvedic products. The ancient restorative Chyawanprash is launched in packaged form, and
becomes the first branded Chyawanprash in India. The company initiated computerization of its
operations in 1957. They entered Oral Care & Digestives segment in 1970 addressing rural markets
4 | P a g e
where homemade oral care is more popular than multinational brands, Dabur introduces Lal Dant
Manjan.
With this a conveniently packaged herbal toothpowder is made available at affordable costs to the
masses. In 1972 they shifted their base from Calcutta to Delhi. In 1978, Launched Hajmola tablet,
they continued to make innovative products based on traditional formulations that can provide holistic
care in our daily life. An Ayurvedic medicine used as a digestive aid is branded and launched as the
popular Hajmola tablet and setting up research foundation in 1979. After completing 100 years in
1984, they launched pharmaceuticals medicines in 1988. In 1989 they made an innovative move with
the launch of Hajmola Candy, a curative product is converted to a confectionary item for wider
usage. A new range of coconut oil under the brand name `Anmol' was launched in 1992. The company
developed Dab 10, an intermediate for anti-cancer drug namely Taxol.
The company entered into a joint venture agreement with M/s. Guldenhorst BV Netherland to form
a company for manufacture and marketing of all types of bubble gum, chewing gum, toffees, chocolate
and cocoa related products, sugar based spreading creams etc. The launch of new products like
`Dentacare,' Vatika and Lactonic were well received by the market in 1994. At the same time a joint
venture in technical collaboration with Shikobo Ltd., Japan to extend the range of natural gum
products into specialty products. In the same year Company floated two companies a manufacturing
unit in Egypt in the name of Dabur Egypt Ltd. and Dabur International Ltd. The company entered
into a joint venture with Seprache International Ltd. in the name of `Innova' Inc for manufacturing
of anticancer drug namely `Paclitaxel'. The company signed a MOU with Osein International Ltd. for
manufacture of biscuits, snack, foods & other products in India.
In 1995 a unit was being set up at Baddi for manufacturing Chywanprash Janma Ghunti, Lal Tail,
Dashmularishta and Ashokarishta. Semi synthetic pacitaxel and Docetaxel and various front line
anticancer drugs were being produced both for domestic as well as export market. The company
proposed to double the volume of the Katni plant and introduce modern technology in processing
Amla with high productivity and improved quality. In the same year company started exporting
products like like an improved version of Chyawanprash (with more honey and less pungency) liquid
form of Chyawanprash an aqueous based, hair vitalizer Melatonin etc.
Entering into the snacks category Dabur India launched a range of extruded snack foods, ready-to-
use cooking paste and sauces. As a part of its strategy to establish a strong presence in the personal
care sector, Dabur India is negotiating with Antonio Puig of Spain, to set up joint ventures in the
country. The Company set up a new manufacturing unit with a high degree of automation at Baddi
(H.P.), to produce company's well known brands viz. Chyawanprash, Janma Ghunti, Ayurvedic oils
and Asva-Arishtas. A modern air conditioned packing line was commissioned at Sahibabad for
homemade brands of ethnic pastes and line juices. The company extended its range of real fruit juice
by offering mixed fruit juice and tomato juice. Its veterinary division launched `mastilep' for curing
mastitis in cattle. To attract customers Dabur India Ltd is launching a new communication campaign
this month to reposition its oldest brand Pudinhara.
In 1998, Dabur India Ltd has launched a range of ayurvedic health care products for dogs under the
umbrella brand name Ayupet. They tied up with Godrej Foods for the manufacture and packaging of
its `Real' range of fruit juices and fruit drinks in tetrapacks. In 1999, Dabur India Ltd entered into an
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agreement with its Spanish partner Agrolimen to offload its 49 per cent stake in the joint venture
company General De Confiteria India Ltd in favour of an Agrolimen group company. Dabur
Pharmaceuticals Limited (DPL) has set up its first overseas arm in Britain with a $5 million investment
commitment and is considering similar ventures in Russia as well as South African countries.
In 1994, Dabur raised its first IPO. In 1998, day to day running of the company was handed over to
professionals. In 2000, Dabur achieved a turnover of Rs 1000 crores. In 2005, Dabur acquired Balsara.
Dabur crossed $ 2 billion market cap in 2006.
In 2000, three domestic pharma companies - Cadila Pharmaceuticals, Shantha Biotech and Dabur
India have signed an agreement with the department of biotechnology (DBT) for developing and
marketing basic molecules in leprosy, hepatitis and tumor disease segments. Dabur India's ayurvedic
specialties division has launched plain isabgol husk under the brand name Nature Care. In 2003, The
fourth Largest FMCG, Dabur India Ltd has tied with Free Markets Inc. for using leading edge
technologies to execute online markets for its procurement needs. CRISIL assigned "CRISIL GVC
LEVEL 2" rating for governance and value creation practices of the company. Dabur has sued
Pharmaceutical major Ranbaxy for telecasting the comparative commercial of "Pepfiz". Continuing
its growth Dabur set to acquire Egyptian hair oil brand Touch, Dabur India gets Tetra Pak award,
Dabur India inks pact with Accenture for outsourcing. They Implemented `Spend visibility solution'
software provided by FreeMarkets Inc to control costs and strengthen the company's procurement
process. Dabur ties up Uttarnachal for cancer drug. Dabur India has acquired a Nigerian company
African Consumer Care Ltd, a step precursor to its plans to go on-shore for manufacturing in the
country and Dabur join hands with DLF for healthcare hub.
In 2008, Dabur India acquires Fem Care Pharma, a leading player in the women's skin care market.
Besides an entry into the high-growth skin care market with an established brand name FEM, this
transaction also offers Dabur a strong platform to enter newer product categories and markets. Dabur
India launched their first retail Store by Subsidiary Company.
In 2009, Dabur launched Odomos Naturals, a range of personal application mosquito repellents
packed with Aloe Vera and Citronella with two options, cream and lotion. Dabur Red Toothpaste
becomes the Dabur's ninth Billion Rupee brand. Dabur Red Toothpaste crosses the billion rupee
turnover mark within five years of its launch.
Dabur India Ltd. made its beginnings with a small pharmacy, but has continued to learn and grow to
a commanding status in the industry. The Company has come a long way in popularising and making
easily available a whole range of products based on the traditional science of Ayurveda. And Dabur
has set very high standards in developing products and processes that meet stringent quality norms.
As it grows even further, Dabur will continue to mark up on major milestones along the way, setting
the road for others to follow-
1884 - Established by Dr. S K Burman at Kolkata
1896 – Dabur established its first production unit established at Garhia
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1919 - Dabur established its first R&D unit
Early 1900s - Dabur identifies nature-based Ayurvedic medicines as its area of specialization. It is the
first Company to provide health care through scientifically tested and automated production of
formulations based on our traditional science.
1930 - Automation and up gradation of Ayurvedic products manufacturing initiated
1936 - Dabur (Dr. S K Burman) Pvt. Ltd. Incorporated
1940 -Dabur introduces Indian consumers to personal care through Ayurveda, with the launch of
Dabur Amla Hair Oil. So popular is the product that it becomes the largest selling hair oil brand in
India.
1949 -Widening the popularity and usage of traditional Ayurvedic products continues. The ancient
restorative Chyawanprash is launched in packaged form, and becomes the first branded Chyawanprash
in India.
1957 - Computerisation of operations initiated
1970 - Addressing rural markets where homemade oral care is more popular than multinational brands,
Dabur introduces Lal Dant Manjan. With this a conveniently packaged herbal toothpowder is made
available at affordable costs to the masses.
1972 - Shifts base to Delhi from Calcutta
1978 - Dabur continues to make innovative products based on traditional formulations that can
provide holistic care in our daily life. An Ayurvedic medicine used as a digestive aid is branded and
launched as the popular Hajmola tablet.
1979 - Dabur Research & Development Centre (DRDC) set up
1979 - Commercial production starts at Sahibabad, the most modern herbal medicines plant at that
time
1984 - Dabur completes 100 years
1988 - Launches pharmaceutical medicines
1989 - Care with fun-The Ayurvedic digestive formulation is converted into a children's fun product
with the launch of Hajmola Candy. In an innovative move, a curative product is converted to a
confectionary item for wider usage.
1994 - Comes out with first public issue
Enters oncology segment
Leadership in health care
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Dabur establishes its leadership in health care as one of only two companies worldwide to launch the
anti-cancer drug Intaxel (Paclitaxel). Dabur Research & Development Centre (DRDC) develops an
eco-friendly process to extract the drug from its plant source
1996 - Enters foods business with the launch of Real Fruit Juice
1996 - Dabur captures the imagination of young Indian consumers with the launch of Real Fruit Juices
- a new concept in the Indian foods market. The first local brand of 100% pure natural fruit juices
made to international standards, Real becomes the fastest growing and largest selling brand in the
country.
1998 - Burman family hands over management of the company to professionals
2000 - The 1,000 crore mark-Dabur establishes its market leadership status by staging a turnover of
Rs.1,000 crores. Across a span of over a 100 years, Dabur has grown from a small beginning based on
traditional health care. To a commanding position amongst an august league of large corporate
businesses.
2001 - Super specialty drugs-With the setting up of Dabur Oncology's sterile cytotoxic facility, the
Company gains entry into the highly specialised area of cancer therapy. The state-of-the-art plant and
laboratory in the UK have approval from the MCA of UK. They follow FDA guidelines for
production of drugs specifically for European and American markets.
2002 - Dabur record sales of Rs 1163.19 crore on a net profit of Rs 64.4 crore
2003 - Dabur demerges Pharmaceuticals business-Dabur India approved the demerger of its
pharmaceuticals business from the FMCG business into a separate company as part of plans to
provider greater focus to both the businesses. With this, Dabur India now largely comprises of the
FMCG business that include personal care products, healthcare products and Ayurvedic Specialities,
while the Pharmaceuticals business would include Allopathic, Oncology formulations and Bulk Drugs.
Dabur Oncology Plc, a subsidiary of Dabur India, would also be part of the Pharmaceutical business.
Maintaining global standards,As a reflection of its constant efforts at achieving superior quality
standards, Dabur became the first Ayurvedic products company to get ISO 9002 certification. Science
for nature. Reinforcing its commitment to nature and its conservation, Dabur Nepal, a subsidiary of
Dabur India, has set up fully automated greenhouses in Nepal. This scientific landmark helps to
produce saplings of rare medicinal plants that are under threat of extinction due to ecological
degradation.
2005 - Dabur aquires Balsara-As part of its inorganic growth strategy, Dabur India acquires Balsara's
Hygiene and Home products businesses, a leading provider of Oral Care and Household Care
products in the Indian market, in a Rs 143-crore all-cash deal.
2005 - Dabur announces bonus after 12 years-Dabur India announced issue of 1:1 Bonus share to the
shareholders of the company, i.e. one share for every one share held. The Board also proposed an
increase in the authorized share capital of the company from existing Rs 50 crore to Rs 125 crore.
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2006 - Dabur crosses $2 bln market cap, adopts US GAAP.-Dabur India crosses the $2-billion mark
in market capitalisation. The company also adopted US GAAP in line with its commitment to follow
global best practices and adopt highest standards of transparency and governance.
2006 - Approves FCCB/GDR/ADR up to $200 million-Moving forward on the inorganic growth
path, Dabur India decides to raise up to $200 million from the international market through Bonds,
FCCBs, GDR, ADR, QIPs or any other securities.The capital raised will be used to fund Dabur's
aggressive growth ambitions and acquisition plans in India and abroad.
2007 - Celebrating 10 years of Real-Dabur Foods unveiled the new packaging and design for Real at
the completion of 10 years of the brand. The new refined modern look depicts the natural goodness
of the juice from freshly plucked fruits.
2007 - Foray into organised retail-Dabur India announced its foray into the organised retail business
through a wholly-owned subsidiary, H&B Stores Ltd. Dabur will invest Rs 140 crores by 2010 to
establish its presence in the retail market in India with a chain of stores on the Health & Beauty format.
2007 - Dabur Foods merged with Dabur India-Dabur India decides to merge its wholly-owned
subsidiary Dabur Foods Limited with itself to extract synergies and unlock operational efficiencies.
The integration will also help Dabur sharpen focus on the high growth business of foods and
beverages, and enter newer product categories in this space.
2008 - Acquires Fem Care Pharma-Dabur India acquires Fem Care Pharma, a leading player in the
women's skin care market. Besides an entry into the high-growth skin care market with an established
9 | P a g e
brand name FEM, this transaction also offers Dabur a strong platform to enter newer product
categories and markets.
2009 - Dabur Red Toothpaste joins 'Billion Rupee Brands' club-Dabur Red Toothpaste becomes the
Dabur's ninth Billion Rupee brand. Dabur Red Toothpaste crosses the billion rupee turnover mark
within five years of its launch.
2010 - Dabur makes its first overseas acquisition-Dabur makes its first overseas acquisition, buying
Hobi Kozmetik Kozmetik Group, a leading personal care products company in Turkey, for $69
million.
2010 - Dabur acquired 100% equity in Namaste Lab
Dabur acquired 100% equity in Namasté Laboratories LLC of the US for $100 million. This marks
Dabur’s entry into the fast-growing ethnic hair care products market in U.S., Europe and Africa.
2010 - Dabur Chyawanprash Launched Orange & Mango Flavours
Dabur launches India’s first fruit-flavoured Chyawanprash. Dabur Chyawanprash was launched in
Orange and Mango flavoured variants.
2010 - Dabur Amla Hair Oils enters Limca Book of Records-Dabur Amla Hair Oils enters Limca
Book of Records for achieving a record feat of hosting the longest ever non-stop head massage
marathon.
2011 - Dabur enters professional skin care market-Dabur enters professional skin care market with
the launch of OxyLife Professional Facial Kit, created exclusively for professional use.
2011 - Dabur launches its first-ever online shopping portal-Dabur India Ltd. launches its first-ever
online shopping portal www.daburuveda.com With this, Dabur is the first Indian FMCG company to
launch a dedicated online shopping portal for its beauty products range. The portal will be the online
gateway for consumers to know, understand, buy and gift the exclusive Dabur Uveda range of skincare
products.
2011 - Dabur India acquires 30-Plus from Ajanta Pharma
Dabur India Ltd acquired Ajanta Pharma’s over-the-counter energizer brand ’30-Plus’.
2011 - Dabur to enter Sri Lanka.Dabur India Ltdsets up new subsidiary in Sri Lanka – Dabur Lanka
(Pvt.) Ltd. The company will establish a new export-oriented manufacturing facility for producing a
range of fruit-based beverages in Gampaha, north of Colombo.
2011 - Dabur enters Almond Hair Oil market-Dabur India Ltd launches Dabur Almond Hair Oil, a
one-of-its-kind product that offers superior nourishment for 100% damage-free hair.
2012 - Dabur crosses Billion-Dollar turnover mark-Dabur India Ltd surpassed the Billion-Dollar
Turnover mark during the 2011-12 fiscal to end the year with Net Sales of Rs 5,283.17 Crore.
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In the 90s, Dabur biggest and fastest growing brand was the Dabur Red Toothpowder. But in the first
few years of the century, company found that market was declining, because cheap and varied
toothpastes were suddenly available in abundance. Dabur gradually changed the product to a paste
format and gradually phased out the powder altogether.
In 2003, to focus more on its FMCG business, Dabur demerged its pharmaceutical and oncology
business from the parent company. Out of the total asset base of Rs. 521 crore, the company
transferred assets worth Rs. 214 crore of the pharma business to Dabur Pharma Ltd. as part of the
demerger. Transaction will enhance Dabur's profitability, increase stakeholder value and add
substantially to its presence in India. The Namaste group has a complimentary product mix that can
be easily integrated with Dabur .Post the demerger, Dabur started to focus in its core business
interests, i.e., personal care, health care and ayurvedic products.
In January 2005, Dabur announced its decision to acquire an Indian FMCG –Balsara India, a loss
making company. Dabur believed that Balsara's product basket fits well with Dabur’s own portfolio.
The Balsara brands - which have been stagnating since the late 1990s were rejuvenated by Dabur.
Dabur had overhauled its operations and purchasing strategy operations. Contrary to expectations,
Dabur was successful in turning Balsara around in eight months. With the Balsara acquisition, Dabur
added brands like Promise, Babool, Meswak in its oral care segment and entered into the homecare
sector with Odonil, Odomos, Odopic and Sani Fresh. These changes in the company were part of
their four-year ‘Vision Plan,’ which Dabur had started charting out with suggestions from consulting
firm Accenture. Thereby, the company was no longer just a herbal specialist brand. As a result, its
topline grew from Rs. 1,285 crore in 2002-03 to Rs. 1,756 crore at the end of this first ‘Vision Plan’ in
2005-06.
Further, in 2008-09 Dabur bought Fem Pharma, for Rs. 257 crore. They wanted
to grow into high growth areas and skin care was definitely one of them.
Acquisitions provided them a good and convenient platform to do that.
Company could have done that on its own, but it would have taken it much
longer and there would have been considerable risk given the high failure rates for new products in
India.
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In 2010, Dabur made its first overseas acquisition, buying Hobi Kozmetik Kozmetik Group, a
leading personal care products company in Turkey, for $69 million. The completion of this acquisition
represents a significant step for Dabur in their strategy to accelerate growth in the international market.
The acquisition further enabled consolidating and expanded Dabur's already substantial presence in
the Middle East and North African region. Hobi Kozmetik was a leading manufacturer of personal
care products in Turkey. It sold a range of hair care and skin care products under the 'Hobby' and
'New Era' brands across 35 countries, including the Middle East and North Africa.
Dabur acquired 100% equity in Namasté Laboratories LLC of the US for $100 million. This marks
Dabur’s entry into the fast-growing ethnic hair care products market in U.S., Europe and Africa.
Namaste's hair straightening lotions and hair oils were hugely popular with African Americans in the
US and sells well in Africa and Nigeria too. Namaste Laboratories was founded in 1996 to cater to the
special hair care needs of women of African descent. It reported annual revenues of $90 million in
calendar 2009, of which the US accounted for 70% and the rest mainly came from Africa. Pre-tax
profit stood at $12.5 million. Namaste made a portfolio of products for hair loss, damaged hair,
thinning and drying and itchy scalp under the brand Organic Root Stimulator. And its products are
available in the mass, retail, beauty stores and salons.
In 2011, Dabur India Ltd acquired Ajanta Pharma’s '30-Plus' over-the-counter energizer brand ’30-
Plus’. The acquisition of '30-Plus' is part of an aggressive strategy to build capability on the over-the-
counter (OTC) health care business and Company was confident that this transaction will helps them
in their endeavor to further strengthen our portfolio in this category. Launched in 1990 as an herbal
energiser capsule, 30-Plus was a key brand for Ajanta Pharmaceuticals. Launched in 1990 as an herbal
energiser capsule, 30-Plus was a key brand for Ajanta Pharmaceuticals.
In January same year, the company had acquired US-based personal care firm Namaste Group for
USD 100 million (about Rs 451 crore) and in September last year it had completed acquisition of
Turkish personal care firm Hobi Kozmetik Group for USD 69 million (about Rs 324 crore).
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Consumer Care Products:
 Hair Care Products: Dabur's range of natural Hair Oils have an array of specilised products
that offer you problem-free hair, making your crowning glory grow healthy, lustrous and full
of life.
1. Dabur Amla Hair Oil:
Dabur Amla Hair oil is India's trusted hair oil. Packed with the natural goodness of
Amla (Indian gooseberry), Dabur Amla Hair Oil enriches your hair, making them
strong from inside and beautiful outside to keep you looking absolutely gorgeous all
day long.
Dabur Amla Hair Oil is today the largest hair oil brand in the country with over 35
million consumers. Dabur Amla Hair Oil has constantly evolved as the epitome of
beauty for Indian women.
2. Dabur Almond Hair Oil:
It is one-of-its-kind product that offers superior nourishment for 100% damage-free
hair. Dabur has combined the goodness of nature and scientific research to introduce
Dabur Almond Hair Oil, a product that has twice the amount of Vitamin E as
compared to well known almond hair oils and Almond Protein -- vital nutrients known
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for hair health. Dabur Almond Hair Oil is, in fact, the only product in the almond hair
oil category with Almond Protein.
Extensive consumer research has shown that Dabur Almond Hair Oil keeps hair silky,
strong and 100% damage free. The oil penetrates deep into the hair instantly, providing
intensive care without leaving a greasy feel.
3. Dabur Vatika Enriched Almond Hair Oil:
As compared to ordinary almond hair oils, Vatika Enriched Almond Hair Oil has
superior nourishment properties that make your hair 2X stronger and 30% thicker. It
also fights dandruff with its two active natural ingredients and keeps your hair smooth
& silky.
It is available in two SKUs:
100ml (Rs 40)
200ml (Rs 70)
4. Dabur Vatika Shampoo
Vatika Heena & Olive Shampoo is a natural shampoo that conditions from deep
within, while gently cleansing and nourishing your hair. Its offers the gentle & caring
touch of nature that leave your hair soft, silky and radiant.
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It has the perfect balance of natural ingredients like Henna, Green Almonds and
Shikakai that turn your dull & lifeless hair into smooth & silky without damaging them.
 Oral Care Products:
1. ToothPastes:
Dabur Lal tooth Paste
Babool:
Meswak:
2. Tooth Powders:
Dabur Lal Tooth powder
 Skin Care Products:
1. Fem
2. Gulabari
3. Uveda
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HEALTH CARE PRODUCTS:
Offers a range of classical Ayurvedic medicines and Ayurvedic OTC products that deliver the age-old
benefits of Ayurveda in modern ready-to-use formats. Has more than 300 products sold through
prescriptions as well as over the counter
Major categories in traditional formulations include:
 Health supplement
1. Chaywanprash
2. Glucose-d
3. Dabur honey
 digestive
1. Pudin hara
2. Hajmola
3. Hingoli
 otc healthcare
1. Active antacid
2. Honitus
3. Shilajit gold
4. Active blood purifier
5. Dabur balm
6. Lal tail
7. Badam oil
8. Shankhpushpi syrup
FOOD PRODUCTS:
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 REAL
 ACTIV
 BURRST
 HOMMEMADE
 LEMONEEZ
 CAPSICO
Dabur Chyawanprash the largest selling Ayurvedic medicine with over 65% market share. Vatika has been
the fastest growing hair care brand in the Middle East. Hajmola tablets in command with 60% market
share of digestive tablets category. About 2.5 crore Hajmola tablets are consumed in India every
day.Leader in herbal digestives with 90% market share.Consumer Health Division (CHD) offers a range of
classical Ayurvedic medicines and Ayurvedic OTC products that deliver the age-old benefits of Ayurveda
in modern ready-to-use formats Has more than 300 products sold through prescriptions as well as over
the counter. Division also works for promotion of Ayurveda through organised community of traditional
practitioners and developing fresh batches of students
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India’s macroeconomic environment continues to remain challenging with deceleration in GDP growth rates.
Moreover, GDP forecasts have been lowered with the Reserve Bank of India surveyors now forecasting a GDP
growth rate of 4.8% for fiscal 2013-14. Other macroeconomic headwinds such as high inflation and adverse
currency movement still persist, though the pressure on INR has somewhat moderated recently. But, inflation
continues unabated with Consumer Price Index (CPI) based inflation at nearly 10% during H1 2013-14.
 Dabur Performance Overview:
Dabur continued to perform well with Net Sales growing by 13.9% to Rs. 3,399.9 crores in H1 2013-
14, largely driven by volumes. Material costs to sales ratio was lower at 47.5% in H1 2013-14 as
compared to 49.7% in H1 2012-13. Strong investments behind our brands continued with
Advertisement & Publicity as percentage of sales increasing to 14.2% in H1 2013-14 as compared to
13.7% in H1 2012-13. Driven by lower material costs to sales ratio, EBITDA margins expanded to
18.3% in H1 2013-14 as compared to 17.4% in H1 2012-13. Profit After Tax (PAT) grew by 23.9% to
Rs. 435.7 crores in H1 2013-14.
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 Consumer Care Business:
The Consumer Care business in India which contributes to half of consolidated sales grew by 12.4%
in H1 2013-14 driven by strong growth in Health Supplements, Digestives, OTC & Ethicals, Home
Care, Oral Care and Skin Care. Some of the key launches in H1 2013-14 were Hajmola Anardana
variant, OxyLife Gel bleach, Vatika Enriched Coconut Hair Oil with Hibiscus and OxyLife bleach for
men.
 Foods
Foods continued on the strong growth trajectory and grew by 20.2% during H1 2013-14, largely driven
strong volume growth in Real Fuit Juices. New products such as Drinking Yoghurts in Banana and
Strawberry variants under the brand Activ and Supafruits in Goji Berry-Pink Guava and Strawberry-Plum
under the brand Real were launched in H1 2013-14. International Business Dabur’s International Business,
which comprises around one third of our consolidated sales grew by 21.7% in H1 2013-14. The key growth
markets were the GCC (Gulf Co-operative Council), North Africa and Turkey. Namaste business posted
double digit growth in H1 2013-14. Some of the key products launched during H1 2013-14 in the
International Business were Vatika Hair Mayonnaise, Vatika Crème Hair Colors and a range of Shampoos
and Conditioners under Amla. Sales & Distribution. As part of our rural distribution enhancement initiative
– Project Double – we have expanded our direct coverage in terms ofvillages stood at 36,196 villages as on
September 2013 as compared to 14,865 villages as on March 2011. The initiative is has enhancing our
presence in the hinterland and we are witnessing improved momentum in sales.
 Manufacturing
Our manufacturing plant in Sri Lanka commenced production during H1 2013-14. This will help us cater
to the Southern India markets for juices more efficiently. In addition, we are nearing completion of our
manufacturing facility in Bangladesh to cater to the local market there. We continue to undertake initiatives
to improve sustainability, encompassing energy and water conservation aspects. Some of these have been
commissioning of Bio Briqutte boilers and reuse of ETP treated water in cooling towers at our plants.
Overall we were able to manage the challenges of inflation, adverse currency movements and deceleration
in growth rates in the FMCG sector in H1 2013-14 and reported double digit revenue and profit growth.
19 | P a g e
Continued investments behind brand building and strengthening of our distribution network should enable
us to perform well going ahead.
20 | P a g e
 commitment to Environment- Ancient wisdom of conservation:
From times immemorial, Indian sages and men of wisdom have understood and appreciated
the value of nature and its conservation. Our ancestors recognized that if we grabbed from
nature beyond what was healthy, it would lead to all round degradation, and even the extinction
of humanity. That is why nature was sanctified and worshipped in the form of gods and
goddesses.
At Dabur, environment and nature is the lifeline of our business. With a portfolio of Ayurvedic
and nature-based products, conservation of nature & natural resources is deep rooted in our
organizational DNA, and in every aspect of our ever-growing business. We, at Dabur, have
not merely incorporated the concept of sustainability into the core of our business but have,
in fact, expanded it to encompass our aspirations and responsibilities to the society and to the
environment. It is this concept that inspires us to optimize our business performance to tackle
the new and growing challenges of environment and technology.It is a concept on which we
aspire to build an organization that will continue to increase value for all our stakeholders for
generations to come, through intensive focus on Conservation of Energy and Technology
Absorption, along with Health, Safety and Environment Protection.
We have set up the "Plants for Life" project in the mountainous regions of the Himalayas.
Under the project, a high-tech greenhouse facility has been set up for developing saplings of
rare and endangered medicinal plants. Fully computer-controlled and monitored, this
greenhouse maintains the highly critical environmental parameters required for their survival.
We are also developing quality saplings of more than 20 herbs, 8 of them endangered, through
micro propagation.
In addition, satellite nurseries spread across mountain villages and contract cultivation of
medicinal herbs helps in maintaining the ecological balance. These measures have also helped
provide local cultivators the scientific knowledge for harvesting herbs and a steady source of
income. So that they are not forced to exploit the environment to earn a livelihood.
 Conservation of energy:
Dabur has been undertaking a host of energy conservation measures. Successful
implementation of various energy conservation projects have resulted in a 13.8% reduction in
the Company’s energy bill in the 2008-09 fiscal alone. What was noteworthy was the fact that
this reduction has come despite an 8-9% volume increase in manufacturing, and an average
11.7% increase in cost of key input fuels.
The host of measures – key among them being use of bio-fuels in boilers, generation of biogas
and installation of energy efficient equipment – helped lower the cost of production, besides
reduce effluent and improve hygiene conditions & productivity
21 | P a g e
 Technology Absorption:
At Dabur India Limited, knowledge and technology are key resources which have helped the
Company achieve higher levels of excellence and efficiency. Towards this overall goal of
technology-driven performance, Dabur is utilizing Information Technology in a big way. This
will help in integrating a vast distribution system spread all over India and across the world. It
will also cut down costs and increase profitability.
Dabur has also made continuous efforts towards technology absorption and innovation, which
have contributed towards preserving natural resources. These efforts include:
 Minimum use of water in process by pre-concentration of herbal extract and reduction
in concentration time
 Uniform heating in VTDs by hot water as against steam earlier, resulting in 30%
reduction in bulk wastage by using non-stick coating and formulation change
 Improvement in water treatment plant through introduction of RO (Reverse Osmosis)
system for DM water, reutilization of waste water from pump seal cooling and RO
reject waste-water management
 Introduction of water efficient CIP system with recycling of water in fruit juice
manufacturing
 Development of in-house technology to convert fruit waste into organic manure by
using the culture Lactobacilus burchi
The Company has achieved a host of significant benefits in terms of product improvement,
cost reduction, product development, import substitution, cleaner environment and waste
disposal, amongst others.
22 | P a g e
 Sustainability Report:
At Dabur, environment and nature is the lifeline of our business. With a portfolio of Ayurveda
and nature-based products, conservation of nature & natural resources is deep rooted in our
organizational DNA, and in every aspect of our ever-growing business. We, at Dabur, have
not merely incorporated the concept of sustainability into the core of our business but have,
in fact, expanded it to encompass our aspirations and responsibilities to the society and to the
environment. It is this concept that inspires us to optimize our business performance to tackle
the new and growing challenges of environment and technology.
It is a concept on which we aspire to build an organization that will continue to increase value
for all our stakeholders for generations to come, through intensive focus on Conservation of
Energy and Technology Absorption, along with Health, Safety and Environment Protection.
 IT Initiatives:
At Dabur India Limited, knowledge and technology are key resources which have helped the
Company achieve higher levels of excellence and efficiency. Towards this overall goal of
technology-driven performance, Dabur is utilizing Information Technology in a big way. This
will help in integrating a vast distribution system spread all over India and across the world. It
will also cut down costs and increase profitability.
Dabur implemented SAP ERP system from April 2006 for all its business units, a more
advanced ERP system than the earlier Baan and Mfg ERP system.
1. Installed a country wide WAN infrastructure for running centralized ERP system.
2. They opened up their new data centre at KCO head office.
3. Extension of reach system to distributors for capturing secondary sales data.
4. Some of the future plans for Dabur are mainly focused on SAP ERP system.
5. Integration with distributors and stockists using SAP
6. Backward integration of SAP with suppliers.
7. Implementation of SAP HR and pay roll.
 SAP-A Boost to Dabur India
A study conducted by Accenture states that high performance business invest in the state of
art IT like ERP software are the most important in order to be able to leverage it for strategic
cost management and effective collaborations with the customers. Dabur has linked its
corporate headquarters, 12 manufacturing units and 30 distribution centers with SAP ERP
system. They had a three phase ERP improvement model-
Correcting the transactional and management information systems.
23 | P a g e
Conducting change management and synchronizing its business processes with reliaties in an
ERP context.
Developing value realization project.
The use of SAP ERP system was immense such that they even developed a web based demand
planning and trade promotion forecasting tools and installed point of sale software at select
retail outputs. This helped Dabur to integrate with the customers into its IT network and
gather real time market information that would result in better sales.
Dabur has been immensely successful in implementing strategic and operational changes
which have led to much higher amount of performance. The shoot up of their annual sales
was noteworthy. Their profits too increased by a considerable amount. It even developed a
new sales force structure which has enhanced productivity. These initiatives are slowly
allowing Dabur to leverage IT as a strategic asset and are ensuring a constant availability of IT
talent regardless of business demands. It is to be noted that all of these efforts are aimed at
achieving operational excellence and performance.
SAP has helped Dabur in identifying opportunities based on consumer needs, tailoring
product for that people and expanding with the segment, retaining its overall leadership
position.
Dabur India has tied up with Country’s leading IT provider Accenture, both these companies
are designing an application outsourcing approach thus transforming application development
and maintenance to help themselves to achieve performance.
By implementing a SAP ERP system, Dabur India has helped itself in retaining the position
as a growing leader in the fast moving consumer goods section (FMCG). Its move to disable
the baan and Mfg ERP was seen as a highly innovative move. This has also enabled them for
better sales forecasting and improvement in their sales after the implementation of SAP raised
several eye brows. The move to make this system available for all the employees starting from
the top management to the bottom strata has what made Dabur distinguish itself from the
other companies in the FMCG sector. With the implementation of MYSAP, Dabur has been
able to make some very important strategic decisions and thus increasing its productivity.
24 | P a g e
 Business challenge
Consumer packaged goods companies operate in a global marketplace that is highly
competitive and commoditized. These organizations need to work smarter, perform better
and make faster, wiser decisions than ever before. Dabur is no exception. Nearly five years
ago, Dabur clearly identified these challenges and set out to outpace its peers in the industry
in terms of revenue and profitability growth. To build a competitive edge, the company asked
Accenture to help identify specific opportunities that would lead to short term advantage and
long-term growth. Accenture was well suited for the task. In addition to its highly respected
business consulting skills and deep industry insights, Accenture brought a solid understanding
of what companies need to do to achieve high performance in the consumer products sector.
This understanding is based not just on Accenture’s global experience, but also on its ongoing
research into the characteristics of high-performance businesses. Accenture’s research
indicates that high performance businesses relentlessly pursue operational excellence.
 Future Plans
schemes based on secondary volumes will help control secondary pipelines and
sales. Primary sales will therefore come from a resultant 'pull' from secondary
replenishments.
Sales order servicing can be further improved by taking orders through the Internet,
and by setting stocking norms and replenishing stocks to improve ROI of stockists.
Sales officers' targets can be set against a measure of secondary sales and pipelines
to further improve control and avoid stuffing of CFAs to meet targets.
MY OPINION:
Dabur should focus on the following key strategies:
 Acquire
1. Acquisitions critical for building scale in existing categories & markets
Should be synergistic and make a good strategic fit
2. Target opportunities in our focus markets
 Expand
1. Strengthening presence in existing categories and markets as well entering new
geographies
2. Maintain dominant share in categories where we are category builders like Health
Supplements, Honey etc.
3. Calibrated international expansion –local manufacturing and supply chain to enhance
flexibility / reduce response time to change in market demands
 Innovate
25 | P a g e
1. Strong focus on innovation. Have rolled out new variants & products which have
contributed to around 5-6% of our growth p.a.
2. Renovation of existing products to respond to changing demands (Toothpowder to
Toothpaste)Three pronged Growth Strategy
Dabur the leading personal and healthcare company among the four FMCG giants in India
is managing the Oldest Supply Chain in India. Dabur is over 125 years old and deals with the
diversified product range in ‘Natural and Herbal’ which leads to the EBITDA –quarter growth
of 27.8% and consolidated Q1 net Profit up 19.6% at `127.74 Cr with Revenue surges 31.6%
to `1216.24 Cr, for the Q1 2011-12. Building on a legacy of Quality and Experience, Dabur is
at present India’s trusted name and world’s largest Ayurvedic and Natural Helath Care
Company having distinct brand identities such as Dabur master brand for the natural health
care product, Vatika for premium personal care, Hajmola for digestives, Real for fruit juices
and beverages & Fem for fairness bleaches and skin care products.
Dabur procures raw materials worth around `500 Cr from a wide base of vendors. The
Company has wide and integrated distribution network for its around 600 SKU delivering to
around 2100 stockiest, further connecting to the thousands of retail outlets covering every
small and remote part to organized stores of India. Dabur has improved distribution system
through its unique Retails Excellence program, “DARE” (Driving Achievement of Retail
Excellence). the Program covers a major objective as a channel focus, activating key customer,
improving rural focus, rewarding distribution efficiency, maximizing brand impact and
building information capabilities.
Dabur has used Direct Shipment Strategy which was implemented in order to bypass
warehouses and distribution centers. Thus Dabur delivers products directly to the
retailers/consumer through the Institutions & Modern Trade System. Advantages of
implementing strategy are –
 The retailer avoids the expense of operating a distribution center
 Reducing lead time
Thus, Dabur has achieved cost reduction in the transportation process which overall adds to
the reduction in price of the product. By this strategy Dabur has reduced the lead time,
bringing Dabur and other elements in the Supply Chain closer which improves overall
efficiency of the supply chain as shown in following figure. Reduction in lead time has added
in reduction in Bullwhip Effect of the Supply Chain. Dabur has managed to minimize the
Inventory-Transportation cost Trade-off. By elimination of the warehouse in supply chain,
26 | P a g e
the company has reduced the inventory carrying cost and Implementing ‘Milk run’ system by
the small truck loads Dabur has managed the increased transportation cost in the chain.
 Dabur tackles the secondary supply chain
In 2001, Dabur decided to tackle its extended supply chain f over 30 factories, six key
warehouses, and 52 stocking points distributing over 1,000 SKUs to 10,000 stockists
countrywide. The company needed a system to accurately control distribution and sales
forecasting to reduce inventory in the pipeline.
Dabur went ahead and built a system using Visual Basic and ASP with SQL Server 2000 as
the database. It decided not to use a packaged SCM solution due to the high cost and
relative lack of complications in its supply chain.
 The initiative
An in-house developed, easy-to-use, Intranet based data-warehouse displays as-of-yesterday
sales, stock, receivables, banking, and other MIS. Over 5,000 ASP pages meet almost all
reporting requirements and make this a single source of MIS for all levels of decision
makers.
27 | P a g e
This success paved the ground for the company's supply chain initiative. Fifty-five Ku Band TDMA
VSATs were used to link primary distributors to the system. Factories were hooked up using PAMA
(Permanent Assigned Multiple Access) VSATs. At some locations VPNs had to be used because it
was not possible to set up a dish. The zonal offices in Mumbai were hooked up in a similar manner.
The hardware is mostly owned by the primary CFA (Carry and Forward Agent) except for the
networking equipment, which is owned by Dabur. In the case of the secondary systems, stockists
wholly own the hardware.
The primary rollout began in April 2001 and took 16 months. The first six months were used to
create a business model common to all divisions (family products, healthcare, ayurvedic products,
and pharmaceuticals), and testing and piloting the same.
 The Innovation
The integrated primary and secondary system has a number of unique features. The features like
tight integration of schemes, stockists credit limit control, automated banking of cheques, and
online cheque reconciliation have obvious advantages in the primary distribution. These are
basically extensions to the MFG/PRO ERP system and not core customizations.
Dabur's stockists supply to 1.5 million retailers. Seventy percent of the sales are accounted for by
the top 500 stockists. The incorporation of these top stockists into its supply chain is a first for
any FMCG company in India. The average sale of each stockist and the current stock are the
two parameters.
Details are collected from stockists on a weekly basis. In case of primary distribution points, an
incremental backup is sent to the central location when the CFA closes operations for the day.
These are computed at night in a process called ‘cubing’. And when managers come into office
in the morning the information is ready for them. The integrated system allows each Area
Manager to plan for the month's sales forecasts, stockists performance, and sales officers'
performance. The integration allows better control on pipelines in primaries and secondaries,
brings down inventories, and offers better control on production and sales against a confirmed
forecast.
The company has added an SMS interface that lets authorized phones query the system for
aspects like stock status, credit limits, and current outstanding, and division-wide sales. An access
control list of mobile phone numbers is used to restrict access to the system. Salespeople can get
responses to their queries in a minute with this system.
Tackling with Secondary Supplychain
In 2001, Dabur decided to tackle its extended supply chain of over 30 factories, six key
warehouses, and 52 stocking points distributing over 1,000 SKUs to 10,000 stockists
28 | P a g e
countrywide. The company needed a system to accurately control distribution and sales
forecasting to reduce inventory in the pipeline. Dabur went ahead and built a system using
Visual Basic and ASP with SQL Server 2000 as the database. It decided not to use a packaged
SCM solution due to the high cost and relative lack of complications in its supply chain. The
initiative
An in-house developed, easy-to-use, Intranet based data-warehouse displays as-of-yesterday
sales, stock, receivables, banking, and other MIS. Over 5,000 ASP pages meet almost all
reporting requirements and make this a single source of MIS for all levels of decision makers.
This success paved the ground for the company's supply chain initiative. Fifty-five Ku Band
TDMA VSATs were used to link primary distributors to the system. Factories were hooked up
using PAMA (Permanent Assigned Multiple Access) VSATs. At some locations VPNs had to be
used because it was not possible to set up a dish. The zonal offices in Mumbai were hooked up
in a similar manner. The hardware is mostly owned by the primary CFA (Carry and Forward
Agent) except for the networking equipment, which is owned by Dabur. In the case of the
secondary systems, stockists wholly own the hardware. The primary rollout began in April 2001
and took 16 months. The first six months were used to create a business model common to all
divisions (family products, healthcare, ayurvedic products, and pharmaceuticals), and testing and
piloting the same.
DISTRIBUTION NETWORK
Manufacturing plant
company ware house
Regional ware house
Regional stockist
Super stockist
Stockist
Distributor
Retailer
29 | P a g e
Now this channel depends on the complexity of the product, if it is a product like pen, soap etc.
then the entire channel might be there, as the complexity of the product goes up the channel size
comes down.
Dabur gets about 75 of its sales from rural areas. So the chain can get long in this condition. Sales
around 50 countries of the world
Accenture proposed that Dabur improve its supply chain management, sales and distribution
capabilities and use IT as a strategic enabler for its business strategy. From an IT perspective,
Accenture recommended a two-pronged strategy: migration to a nimbler outsourcing model that
would generate value through agility and support business initiatives and maintenance of its SAP
enterprise resource planning(ERP) system. To bring these initiatives to life, Accenture assembled a
team of highly skilled industry experts, as well as professionals with extensive SAP design and
implementation experience. Working closely with Dabur, the Accenture team initiated a number of
high-impactprojects, including:
 Implementing a new sales and distribution strategy.
Accenture helped develop a comprehensive retail strategy that marked Dabur’s first significant
effort to identify key customer segments in urban and rural markets, customize sales programs
for key accounts and reorganize. Dabur’s sales teams by one of fourtrade channels (modern
trade, rural, “mom-and-pop” and drugstores).Accenture supported this businessstrategy with
a cost-effective IT solution, developed in-house over several platforms, which captured
actionable information across the national footprint of nearly 500 distributors. In the area of
productdistribution, the team focused on bolstering efficiencies and rural market penetration
and designed a channel-specific strategy for grocers, chemists, modern trade, wholesalers and
convenience stores. In developing a more effective sales
program, Accenture paid special attention to how Dabur might improve service to Indian
mega retailers, which are expected to account for more than 15 percent of consumer product
sales by 2010. For this group of customers, the team established a new operating model that
included a pricing architecture framework to aid negotiations, an activation strategy to guide
tactical initiatives, and revised roles and responsibilities for all members of the trade field force.
In devising this strategy, the Accenture and Dabur team optimized the company’s internal
logistics and distribution processes for mega retail customers, and put metrics and incentives
in place to drive specific goals such as consistency of sales in grocery stores, improved service
to drug stores and increased sales via wholesale channels.
 Developing a new supply chain management capability:
Research into the characteristics of high-performance businesses has shown that leading
organizations reorient their supply chains based on capability building for revenue enhancing
opportunities. For Dabur, Accenture proposed strengthening demand forecasting capabilities,
which would result in greater operational efficiencies and lower inventory costs. The team also
30 | P a g e
focused on bringing a market-driven perspective to the new supply chain and building
collaboration skills, which are vital for engaging partners across functional areas throughout
the company and across the supply chain. Accenture helped Dabur create capabilities to
facilitate the launch of new initiatives, products and trade promotions. This effort entailed
putting complex metrics into place via the IT landscape. Accenture then instituted a plan to
leverage SAP by automating Dabur’s material resource planning processes across the complex
manufacturing arena. The new approach allowed employees to shift their focus from simple
transactions to more strategic procurement efforts such as cost management.
 Optimizing Dabur’s ERP capabilities:
Research indicates that high-performance businesses invest in state-of-the-art information
technology infrastructure, especially ERP software, and are, more importantly, able to leverage
it for strategic cost management and collaboration with customers and suppliers. While Dabur
had deployed a SAP ERP system to link its corporate headquarters, 12 manufacturing plants
and more than 30 distribution centers, the company was not using the system to its maximum
potential. Accenture launched a three-phase ERP improvement program that involved:
---- Correcting the transactional and anagement information systems.
— Conducting change management and synchronizing Dabur’s business processes with
realities in an ERP context.
— Developing value realization projects.
Once the system was collecting accurate and timely data, Accentureidentified key performance
indicators and created management dashboards to improve and speed executive decision
making.
 Leveraging IT for business initiatives:
In addition to revitalizing Dabur’s ERP system, Accenture applied its deep technical skills to
create entirely new IT capabilities. For example, Accenture designed a Web-based demand
planning and trade promotion forecasting tool, and installed point-of-sale software at select
retail and wholesale sites. This latter initiative allowed Dabur to integrate key customers into
its IT network and gather real-time market information that would drive better sales and
distribution decisions.
 Outsourcing IT operations:
Dabur realized the significant commitment of resources and time that the ongoing
management of its IT operations, including its core ERP system would entail. Given the
success of Accenture’s strategy and implementation efforts to date, coupled with the strong
reputation Accenture has achieved in the application and infrastructure outsourcing markets,
the company decided to outsource its IT management to Accenture for 10 years—marking
one of the first IT outsourcing agreements to be forged by an Indian company. In its capacity
as IT outsourcing provider, Accenture delivered industrialized and cost-effective skills that
31 | P a g e
would allow Dabur to remain at the leading edge of IT delivery. Plus, Dabur gained the
flexibility of being able to focus on its core capabilities while realizing increased value and
lower costs through improved performance.
In addition to managing the client’s information technologies, Accenture continues to be
involved in helping Dabur achieve operational excellence in a number of areas. The two
companies are collaborating to extend ERP implementations in new geographies to support
international growth. They are jointly examining strategic opportunities such as mergers and
acquisitions. And they are working together to explore the creation of even greater value
through the development of business cases and diagnostic capability assessments.
Dabur has implemented strategic and operational changes that have led to a much higher level
of performance. Dabur is now one of India’s fastest-growing companies. Annual sales are up
by 17 percent. Year over- year profits have increased by 40 percent. The company’s new sales
force structure has significantly enhanced channel throughput and productivity
32 | P a g e
1. www.in.reuters.com/finance/stocks/overview?symbol=DABU.NS
2. http://www.dabur.com/en/Investors1/Dabur-Investor-Presentation-UBS-sep-
13.pdf
3. http://euroland.com/pdf/IN-500096/Q2_ENG_2013_2014_1.pdf
4. www.dabur.com/Annual-Reports-2012-13
5. www.dabur.com/Investors%20Relation-Reports
6. www.money.rediff.com/companies/Dabur-India-Ltd/12540103/balance-sheet
opepiimraipur.blogspot.com/.../dabur-odest-supply-chain-in-india.html
www.networkmagazineindia.com/200312/events05.shtml
www.informationweek.in/.../news.../dabur-transformed-supply-chain
www.livemint.com/.../Dabur-strategy-yields-higher-sales-growth.html

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Dabur india 2014

  • 1. DABUR INDIA LIMITED Submited By: ARPIT SINGH SAWAI 1402025 PGDIM- 2014-16 NOVEMBER 16, 2014 PGDIM: 2014-16 National Institute of Industrial Engineering
  • 2. 1 | P a g e CONTENTS 1. Background 2 2. Values 2 3. History 3 4. Milestones 5 5. Mergers & Acquisitions 11 6. Products 12 7. Financials Of Dabur India 18 8. Progress and Future plans 20 9. Opinion on Future plans 24 10.Supply Chain of Dabur India 26 11.Distribution Network 28 12.Opinion on supply Chain 29 13.References 32
  • 3. 2 | P a g e DABUR India L Dabur India Ltd is one of India’s leading FMCG Companies with Revenues of over Rs 7,073 Crore & Market Capitalization of US $5 Billion. Building on a legacy of quality and experience of over 130 years, Dabur is today India’s most trusted name and the world’s largest Ayurvedic and Natural Health Care Company. Dabur today operates in key consumer products categories like Hair Care, Oral Care, Health Care, Skin Care, Home Care and Foods. The company has a wide distribution network, covering over 5.8 million retail outlets with a high penetration in both urban and rural markets. Dabur India is also a world leader in Ayurveda with a portfolio of over 250 Herbal/Ayurvedic products. Dabur's FMCG portfolio today includes five flagship brands with distinct brand identities -- Dabur as the master brand for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, Réal for fruit juices and beverages and Fem for fairness bleaches and skin care products. Dabur's products also have a huge presence in the overseas markets and are today available in over 60 countries across the globe. Its brands are highly popular in the Middle East, SAARC countries, Africa, US, Europe and Russia. Dabur's overseas revenue today accounts for over 30% of the total turnover. Dabur today operates in key consumer products categories like Hair Care, Oral Care, Health Care, Skin Care, Home Care and Foods. The company has a wide distribution network, covering over 5.8 million retail outlets with a high penetration in both urban and rural markets. Dabur India is also a world leader in Ayurveda with a portfolio of over 250 Herbal/Ayurvedic products. Dabur's FMCG portfolio today includes five flagship brands with distinct brandidentities -- Dabur as the master brand for natural healthcare products, Vatika for premium personal care, Hajmola for digestives, Réal for fruit juices and beverages and Fem for fairness bleaches and skin care products. In April 2009, the Hon'ble High Court of Judicature at Delhi has sanctioned the Scheme of Amalgamation of Fem Care Pharma with Dabur India. In July 2010, the Company's wholly owned subsidiary Dabur International entered into an agreement to acquire 100% stake in leading personal care Company in Turkey i.e. Hobi Group firms– Hobi Kozmetik, Zeki Plastik and Ra Pazarlama at a total consideration of US$ 69 million.
  • 4. 3 | P a g e In 1884, Dabur was established by Dr. S K Burman at Kolkata and established first production unit at Garhia in 1896. In early 1900, Dabur identified nature based Ayurvedic medicines as their area of specialization and became the first company to provide health care through scientifically tested and automated production of formulations based on our traditional science. In 1940, Dabur introduces Indian consumers to personal care through Ayurveda, with the launch of Dabur Amla Hair Oil. So popular is the product that it becomes the largest selling hair oil brand in India. In 1949, Dabur launched Dabur Chyawanprash in tin pack widening the popularity and usage of traditional Ayurvedic products. The ancient restorative Chyawanprash is launched in packaged form, and becomes the first branded Chyawanprash in India. The company initiated computerization of its operations in 1957. They entered Oral Care & Digestives segment in 1970 addressing rural markets
  • 5. 4 | P a g e where homemade oral care is more popular than multinational brands, Dabur introduces Lal Dant Manjan. With this a conveniently packaged herbal toothpowder is made available at affordable costs to the masses. In 1972 they shifted their base from Calcutta to Delhi. In 1978, Launched Hajmola tablet, they continued to make innovative products based on traditional formulations that can provide holistic care in our daily life. An Ayurvedic medicine used as a digestive aid is branded and launched as the popular Hajmola tablet and setting up research foundation in 1979. After completing 100 years in 1984, they launched pharmaceuticals medicines in 1988. In 1989 they made an innovative move with the launch of Hajmola Candy, a curative product is converted to a confectionary item for wider usage. A new range of coconut oil under the brand name `Anmol' was launched in 1992. The company developed Dab 10, an intermediate for anti-cancer drug namely Taxol. The company entered into a joint venture agreement with M/s. Guldenhorst BV Netherland to form a company for manufacture and marketing of all types of bubble gum, chewing gum, toffees, chocolate and cocoa related products, sugar based spreading creams etc. The launch of new products like `Dentacare,' Vatika and Lactonic were well received by the market in 1994. At the same time a joint venture in technical collaboration with Shikobo Ltd., Japan to extend the range of natural gum products into specialty products. In the same year Company floated two companies a manufacturing unit in Egypt in the name of Dabur Egypt Ltd. and Dabur International Ltd. The company entered into a joint venture with Seprache International Ltd. in the name of `Innova' Inc for manufacturing of anticancer drug namely `Paclitaxel'. The company signed a MOU with Osein International Ltd. for manufacture of biscuits, snack, foods & other products in India. In 1995 a unit was being set up at Baddi for manufacturing Chywanprash Janma Ghunti, Lal Tail, Dashmularishta and Ashokarishta. Semi synthetic pacitaxel and Docetaxel and various front line anticancer drugs were being produced both for domestic as well as export market. The company proposed to double the volume of the Katni plant and introduce modern technology in processing Amla with high productivity and improved quality. In the same year company started exporting products like like an improved version of Chyawanprash (with more honey and less pungency) liquid form of Chyawanprash an aqueous based, hair vitalizer Melatonin etc. Entering into the snacks category Dabur India launched a range of extruded snack foods, ready-to- use cooking paste and sauces. As a part of its strategy to establish a strong presence in the personal care sector, Dabur India is negotiating with Antonio Puig of Spain, to set up joint ventures in the country. The Company set up a new manufacturing unit with a high degree of automation at Baddi (H.P.), to produce company's well known brands viz. Chyawanprash, Janma Ghunti, Ayurvedic oils and Asva-Arishtas. A modern air conditioned packing line was commissioned at Sahibabad for homemade brands of ethnic pastes and line juices. The company extended its range of real fruit juice by offering mixed fruit juice and tomato juice. Its veterinary division launched `mastilep' for curing mastitis in cattle. To attract customers Dabur India Ltd is launching a new communication campaign this month to reposition its oldest brand Pudinhara. In 1998, Dabur India Ltd has launched a range of ayurvedic health care products for dogs under the umbrella brand name Ayupet. They tied up with Godrej Foods for the manufacture and packaging of its `Real' range of fruit juices and fruit drinks in tetrapacks. In 1999, Dabur India Ltd entered into an
  • 6. 5 | P a g e agreement with its Spanish partner Agrolimen to offload its 49 per cent stake in the joint venture company General De Confiteria India Ltd in favour of an Agrolimen group company. Dabur Pharmaceuticals Limited (DPL) has set up its first overseas arm in Britain with a $5 million investment commitment and is considering similar ventures in Russia as well as South African countries. In 1994, Dabur raised its first IPO. In 1998, day to day running of the company was handed over to professionals. In 2000, Dabur achieved a turnover of Rs 1000 crores. In 2005, Dabur acquired Balsara. Dabur crossed $ 2 billion market cap in 2006. In 2000, three domestic pharma companies - Cadila Pharmaceuticals, Shantha Biotech and Dabur India have signed an agreement with the department of biotechnology (DBT) for developing and marketing basic molecules in leprosy, hepatitis and tumor disease segments. Dabur India's ayurvedic specialties division has launched plain isabgol husk under the brand name Nature Care. In 2003, The fourth Largest FMCG, Dabur India Ltd has tied with Free Markets Inc. for using leading edge technologies to execute online markets for its procurement needs. CRISIL assigned "CRISIL GVC LEVEL 2" rating for governance and value creation practices of the company. Dabur has sued Pharmaceutical major Ranbaxy for telecasting the comparative commercial of "Pepfiz". Continuing its growth Dabur set to acquire Egyptian hair oil brand Touch, Dabur India gets Tetra Pak award, Dabur India inks pact with Accenture for outsourcing. They Implemented `Spend visibility solution' software provided by FreeMarkets Inc to control costs and strengthen the company's procurement process. Dabur ties up Uttarnachal for cancer drug. Dabur India has acquired a Nigerian company African Consumer Care Ltd, a step precursor to its plans to go on-shore for manufacturing in the country and Dabur join hands with DLF for healthcare hub. In 2008, Dabur India acquires Fem Care Pharma, a leading player in the women's skin care market. Besides an entry into the high-growth skin care market with an established brand name FEM, this transaction also offers Dabur a strong platform to enter newer product categories and markets. Dabur India launched their first retail Store by Subsidiary Company. In 2009, Dabur launched Odomos Naturals, a range of personal application mosquito repellents packed with Aloe Vera and Citronella with two options, cream and lotion. Dabur Red Toothpaste becomes the Dabur's ninth Billion Rupee brand. Dabur Red Toothpaste crosses the billion rupee turnover mark within five years of its launch. Dabur India Ltd. made its beginnings with a small pharmacy, but has continued to learn and grow to a commanding status in the industry. The Company has come a long way in popularising and making easily available a whole range of products based on the traditional science of Ayurveda. And Dabur has set very high standards in developing products and processes that meet stringent quality norms. As it grows even further, Dabur will continue to mark up on major milestones along the way, setting the road for others to follow- 1884 - Established by Dr. S K Burman at Kolkata 1896 – Dabur established its first production unit established at Garhia
  • 7. 6 | P a g e 1919 - Dabur established its first R&D unit Early 1900s - Dabur identifies nature-based Ayurvedic medicines as its area of specialization. It is the first Company to provide health care through scientifically tested and automated production of formulations based on our traditional science. 1930 - Automation and up gradation of Ayurvedic products manufacturing initiated 1936 - Dabur (Dr. S K Burman) Pvt. Ltd. Incorporated 1940 -Dabur introduces Indian consumers to personal care through Ayurveda, with the launch of Dabur Amla Hair Oil. So popular is the product that it becomes the largest selling hair oil brand in India. 1949 -Widening the popularity and usage of traditional Ayurvedic products continues. The ancient restorative Chyawanprash is launched in packaged form, and becomes the first branded Chyawanprash in India. 1957 - Computerisation of operations initiated 1970 - Addressing rural markets where homemade oral care is more popular than multinational brands, Dabur introduces Lal Dant Manjan. With this a conveniently packaged herbal toothpowder is made available at affordable costs to the masses. 1972 - Shifts base to Delhi from Calcutta 1978 - Dabur continues to make innovative products based on traditional formulations that can provide holistic care in our daily life. An Ayurvedic medicine used as a digestive aid is branded and launched as the popular Hajmola tablet. 1979 - Dabur Research & Development Centre (DRDC) set up 1979 - Commercial production starts at Sahibabad, the most modern herbal medicines plant at that time 1984 - Dabur completes 100 years 1988 - Launches pharmaceutical medicines 1989 - Care with fun-The Ayurvedic digestive formulation is converted into a children's fun product with the launch of Hajmola Candy. In an innovative move, a curative product is converted to a confectionary item for wider usage. 1994 - Comes out with first public issue Enters oncology segment Leadership in health care
  • 8. 7 | P a g e Dabur establishes its leadership in health care as one of only two companies worldwide to launch the anti-cancer drug Intaxel (Paclitaxel). Dabur Research & Development Centre (DRDC) develops an eco-friendly process to extract the drug from its plant source 1996 - Enters foods business with the launch of Real Fruit Juice 1996 - Dabur captures the imagination of young Indian consumers with the launch of Real Fruit Juices - a new concept in the Indian foods market. The first local brand of 100% pure natural fruit juices made to international standards, Real becomes the fastest growing and largest selling brand in the country. 1998 - Burman family hands over management of the company to professionals 2000 - The 1,000 crore mark-Dabur establishes its market leadership status by staging a turnover of Rs.1,000 crores. Across a span of over a 100 years, Dabur has grown from a small beginning based on traditional health care. To a commanding position amongst an august league of large corporate businesses. 2001 - Super specialty drugs-With the setting up of Dabur Oncology's sterile cytotoxic facility, the Company gains entry into the highly specialised area of cancer therapy. The state-of-the-art plant and laboratory in the UK have approval from the MCA of UK. They follow FDA guidelines for production of drugs specifically for European and American markets. 2002 - Dabur record sales of Rs 1163.19 crore on a net profit of Rs 64.4 crore 2003 - Dabur demerges Pharmaceuticals business-Dabur India approved the demerger of its pharmaceuticals business from the FMCG business into a separate company as part of plans to provider greater focus to both the businesses. With this, Dabur India now largely comprises of the FMCG business that include personal care products, healthcare products and Ayurvedic Specialities, while the Pharmaceuticals business would include Allopathic, Oncology formulations and Bulk Drugs. Dabur Oncology Plc, a subsidiary of Dabur India, would also be part of the Pharmaceutical business. Maintaining global standards,As a reflection of its constant efforts at achieving superior quality standards, Dabur became the first Ayurvedic products company to get ISO 9002 certification. Science for nature. Reinforcing its commitment to nature and its conservation, Dabur Nepal, a subsidiary of Dabur India, has set up fully automated greenhouses in Nepal. This scientific landmark helps to produce saplings of rare medicinal plants that are under threat of extinction due to ecological degradation. 2005 - Dabur aquires Balsara-As part of its inorganic growth strategy, Dabur India acquires Balsara's Hygiene and Home products businesses, a leading provider of Oral Care and Household Care products in the Indian market, in a Rs 143-crore all-cash deal. 2005 - Dabur announces bonus after 12 years-Dabur India announced issue of 1:1 Bonus share to the shareholders of the company, i.e. one share for every one share held. The Board also proposed an increase in the authorized share capital of the company from existing Rs 50 crore to Rs 125 crore.
  • 9. 8 | P a g e 2006 - Dabur crosses $2 bln market cap, adopts US GAAP.-Dabur India crosses the $2-billion mark in market capitalisation. The company also adopted US GAAP in line with its commitment to follow global best practices and adopt highest standards of transparency and governance. 2006 - Approves FCCB/GDR/ADR up to $200 million-Moving forward on the inorganic growth path, Dabur India decides to raise up to $200 million from the international market through Bonds, FCCBs, GDR, ADR, QIPs or any other securities.The capital raised will be used to fund Dabur's aggressive growth ambitions and acquisition plans in India and abroad. 2007 - Celebrating 10 years of Real-Dabur Foods unveiled the new packaging and design for Real at the completion of 10 years of the brand. The new refined modern look depicts the natural goodness of the juice from freshly plucked fruits. 2007 - Foray into organised retail-Dabur India announced its foray into the organised retail business through a wholly-owned subsidiary, H&B Stores Ltd. Dabur will invest Rs 140 crores by 2010 to establish its presence in the retail market in India with a chain of stores on the Health & Beauty format. 2007 - Dabur Foods merged with Dabur India-Dabur India decides to merge its wholly-owned subsidiary Dabur Foods Limited with itself to extract synergies and unlock operational efficiencies. The integration will also help Dabur sharpen focus on the high growth business of foods and beverages, and enter newer product categories in this space. 2008 - Acquires Fem Care Pharma-Dabur India acquires Fem Care Pharma, a leading player in the women's skin care market. Besides an entry into the high-growth skin care market with an established
  • 10. 9 | P a g e brand name FEM, this transaction also offers Dabur a strong platform to enter newer product categories and markets. 2009 - Dabur Red Toothpaste joins 'Billion Rupee Brands' club-Dabur Red Toothpaste becomes the Dabur's ninth Billion Rupee brand. Dabur Red Toothpaste crosses the billion rupee turnover mark within five years of its launch. 2010 - Dabur makes its first overseas acquisition-Dabur makes its first overseas acquisition, buying Hobi Kozmetik Kozmetik Group, a leading personal care products company in Turkey, for $69 million. 2010 - Dabur acquired 100% equity in Namaste Lab Dabur acquired 100% equity in Namasté Laboratories LLC of the US for $100 million. This marks Dabur’s entry into the fast-growing ethnic hair care products market in U.S., Europe and Africa. 2010 - Dabur Chyawanprash Launched Orange & Mango Flavours Dabur launches India’s first fruit-flavoured Chyawanprash. Dabur Chyawanprash was launched in Orange and Mango flavoured variants. 2010 - Dabur Amla Hair Oils enters Limca Book of Records-Dabur Amla Hair Oils enters Limca Book of Records for achieving a record feat of hosting the longest ever non-stop head massage marathon. 2011 - Dabur enters professional skin care market-Dabur enters professional skin care market with the launch of OxyLife Professional Facial Kit, created exclusively for professional use. 2011 - Dabur launches its first-ever online shopping portal-Dabur India Ltd. launches its first-ever online shopping portal www.daburuveda.com With this, Dabur is the first Indian FMCG company to launch a dedicated online shopping portal for its beauty products range. The portal will be the online gateway for consumers to know, understand, buy and gift the exclusive Dabur Uveda range of skincare products. 2011 - Dabur India acquires 30-Plus from Ajanta Pharma Dabur India Ltd acquired Ajanta Pharma’s over-the-counter energizer brand ’30-Plus’. 2011 - Dabur to enter Sri Lanka.Dabur India Ltdsets up new subsidiary in Sri Lanka – Dabur Lanka (Pvt.) Ltd. The company will establish a new export-oriented manufacturing facility for producing a range of fruit-based beverages in Gampaha, north of Colombo. 2011 - Dabur enters Almond Hair Oil market-Dabur India Ltd launches Dabur Almond Hair Oil, a one-of-its-kind product that offers superior nourishment for 100% damage-free hair. 2012 - Dabur crosses Billion-Dollar turnover mark-Dabur India Ltd surpassed the Billion-Dollar Turnover mark during the 2011-12 fiscal to end the year with Net Sales of Rs 5,283.17 Crore.
  • 11. 10 | P a g e In the 90s, Dabur biggest and fastest growing brand was the Dabur Red Toothpowder. But in the first few years of the century, company found that market was declining, because cheap and varied toothpastes were suddenly available in abundance. Dabur gradually changed the product to a paste format and gradually phased out the powder altogether. In 2003, to focus more on its FMCG business, Dabur demerged its pharmaceutical and oncology business from the parent company. Out of the total asset base of Rs. 521 crore, the company transferred assets worth Rs. 214 crore of the pharma business to Dabur Pharma Ltd. as part of the demerger. Transaction will enhance Dabur's profitability, increase stakeholder value and add substantially to its presence in India. The Namaste group has a complimentary product mix that can be easily integrated with Dabur .Post the demerger, Dabur started to focus in its core business interests, i.e., personal care, health care and ayurvedic products. In January 2005, Dabur announced its decision to acquire an Indian FMCG –Balsara India, a loss making company. Dabur believed that Balsara's product basket fits well with Dabur’s own portfolio. The Balsara brands - which have been stagnating since the late 1990s were rejuvenated by Dabur. Dabur had overhauled its operations and purchasing strategy operations. Contrary to expectations, Dabur was successful in turning Balsara around in eight months. With the Balsara acquisition, Dabur added brands like Promise, Babool, Meswak in its oral care segment and entered into the homecare sector with Odonil, Odomos, Odopic and Sani Fresh. These changes in the company were part of their four-year ‘Vision Plan,’ which Dabur had started charting out with suggestions from consulting firm Accenture. Thereby, the company was no longer just a herbal specialist brand. As a result, its topline grew from Rs. 1,285 crore in 2002-03 to Rs. 1,756 crore at the end of this first ‘Vision Plan’ in 2005-06. Further, in 2008-09 Dabur bought Fem Pharma, for Rs. 257 crore. They wanted to grow into high growth areas and skin care was definitely one of them. Acquisitions provided them a good and convenient platform to do that. Company could have done that on its own, but it would have taken it much longer and there would have been considerable risk given the high failure rates for new products in India.
  • 12. 11 | P a g e In 2010, Dabur made its first overseas acquisition, buying Hobi Kozmetik Kozmetik Group, a leading personal care products company in Turkey, for $69 million. The completion of this acquisition represents a significant step for Dabur in their strategy to accelerate growth in the international market. The acquisition further enabled consolidating and expanded Dabur's already substantial presence in the Middle East and North African region. Hobi Kozmetik was a leading manufacturer of personal care products in Turkey. It sold a range of hair care and skin care products under the 'Hobby' and 'New Era' brands across 35 countries, including the Middle East and North Africa. Dabur acquired 100% equity in Namasté Laboratories LLC of the US for $100 million. This marks Dabur’s entry into the fast-growing ethnic hair care products market in U.S., Europe and Africa. Namaste's hair straightening lotions and hair oils were hugely popular with African Americans in the US and sells well in Africa and Nigeria too. Namaste Laboratories was founded in 1996 to cater to the special hair care needs of women of African descent. It reported annual revenues of $90 million in calendar 2009, of which the US accounted for 70% and the rest mainly came from Africa. Pre-tax profit stood at $12.5 million. Namaste made a portfolio of products for hair loss, damaged hair, thinning and drying and itchy scalp under the brand Organic Root Stimulator. And its products are available in the mass, retail, beauty stores and salons. In 2011, Dabur India Ltd acquired Ajanta Pharma’s '30-Plus' over-the-counter energizer brand ’30- Plus’. The acquisition of '30-Plus' is part of an aggressive strategy to build capability on the over-the- counter (OTC) health care business and Company was confident that this transaction will helps them in their endeavor to further strengthen our portfolio in this category. Launched in 1990 as an herbal energiser capsule, 30-Plus was a key brand for Ajanta Pharmaceuticals. Launched in 1990 as an herbal energiser capsule, 30-Plus was a key brand for Ajanta Pharmaceuticals. In January same year, the company had acquired US-based personal care firm Namaste Group for USD 100 million (about Rs 451 crore) and in September last year it had completed acquisition of Turkish personal care firm Hobi Kozmetik Group for USD 69 million (about Rs 324 crore).
  • 13. 12 | P a g e Consumer Care Products:  Hair Care Products: Dabur's range of natural Hair Oils have an array of specilised products that offer you problem-free hair, making your crowning glory grow healthy, lustrous and full of life. 1. Dabur Amla Hair Oil: Dabur Amla Hair oil is India's trusted hair oil. Packed with the natural goodness of Amla (Indian gooseberry), Dabur Amla Hair Oil enriches your hair, making them strong from inside and beautiful outside to keep you looking absolutely gorgeous all day long. Dabur Amla Hair Oil is today the largest hair oil brand in the country with over 35 million consumers. Dabur Amla Hair Oil has constantly evolved as the epitome of beauty for Indian women. 2. Dabur Almond Hair Oil: It is one-of-its-kind product that offers superior nourishment for 100% damage-free hair. Dabur has combined the goodness of nature and scientific research to introduce Dabur Almond Hair Oil, a product that has twice the amount of Vitamin E as compared to well known almond hair oils and Almond Protein -- vital nutrients known
  • 14. 13 | P a g e for hair health. Dabur Almond Hair Oil is, in fact, the only product in the almond hair oil category with Almond Protein. Extensive consumer research has shown that Dabur Almond Hair Oil keeps hair silky, strong and 100% damage free. The oil penetrates deep into the hair instantly, providing intensive care without leaving a greasy feel. 3. Dabur Vatika Enriched Almond Hair Oil: As compared to ordinary almond hair oils, Vatika Enriched Almond Hair Oil has superior nourishment properties that make your hair 2X stronger and 30% thicker. It also fights dandruff with its two active natural ingredients and keeps your hair smooth & silky. It is available in two SKUs: 100ml (Rs 40) 200ml (Rs 70) 4. Dabur Vatika Shampoo Vatika Heena & Olive Shampoo is a natural shampoo that conditions from deep within, while gently cleansing and nourishing your hair. Its offers the gentle & caring touch of nature that leave your hair soft, silky and radiant.
  • 15. 14 | P a g e It has the perfect balance of natural ingredients like Henna, Green Almonds and Shikakai that turn your dull & lifeless hair into smooth & silky without damaging them.  Oral Care Products: 1. ToothPastes: Dabur Lal tooth Paste Babool: Meswak: 2. Tooth Powders: Dabur Lal Tooth powder  Skin Care Products: 1. Fem 2. Gulabari 3. Uveda
  • 16. 15 | P a g e HEALTH CARE PRODUCTS: Offers a range of classical Ayurvedic medicines and Ayurvedic OTC products that deliver the age-old benefits of Ayurveda in modern ready-to-use formats. Has more than 300 products sold through prescriptions as well as over the counter Major categories in traditional formulations include:  Health supplement 1. Chaywanprash 2. Glucose-d 3. Dabur honey  digestive 1. Pudin hara 2. Hajmola 3. Hingoli  otc healthcare 1. Active antacid 2. Honitus 3. Shilajit gold 4. Active blood purifier 5. Dabur balm 6. Lal tail 7. Badam oil 8. Shankhpushpi syrup FOOD PRODUCTS:
  • 17. 16 | P a g e  REAL  ACTIV  BURRST  HOMMEMADE  LEMONEEZ  CAPSICO Dabur Chyawanprash the largest selling Ayurvedic medicine with over 65% market share. Vatika has been the fastest growing hair care brand in the Middle East. Hajmola tablets in command with 60% market share of digestive tablets category. About 2.5 crore Hajmola tablets are consumed in India every day.Leader in herbal digestives with 90% market share.Consumer Health Division (CHD) offers a range of classical Ayurvedic medicines and Ayurvedic OTC products that deliver the age-old benefits of Ayurveda in modern ready-to-use formats Has more than 300 products sold through prescriptions as well as over the counter. Division also works for promotion of Ayurveda through organised community of traditional practitioners and developing fresh batches of students
  • 18. 17 | P a g e India’s macroeconomic environment continues to remain challenging with deceleration in GDP growth rates. Moreover, GDP forecasts have been lowered with the Reserve Bank of India surveyors now forecasting a GDP growth rate of 4.8% for fiscal 2013-14. Other macroeconomic headwinds such as high inflation and adverse currency movement still persist, though the pressure on INR has somewhat moderated recently. But, inflation continues unabated with Consumer Price Index (CPI) based inflation at nearly 10% during H1 2013-14.  Dabur Performance Overview: Dabur continued to perform well with Net Sales growing by 13.9% to Rs. 3,399.9 crores in H1 2013- 14, largely driven by volumes. Material costs to sales ratio was lower at 47.5% in H1 2013-14 as compared to 49.7% in H1 2012-13. Strong investments behind our brands continued with Advertisement & Publicity as percentage of sales increasing to 14.2% in H1 2013-14 as compared to 13.7% in H1 2012-13. Driven by lower material costs to sales ratio, EBITDA margins expanded to 18.3% in H1 2013-14 as compared to 17.4% in H1 2012-13. Profit After Tax (PAT) grew by 23.9% to Rs. 435.7 crores in H1 2013-14.
  • 19. 18 | P a g e  Consumer Care Business: The Consumer Care business in India which contributes to half of consolidated sales grew by 12.4% in H1 2013-14 driven by strong growth in Health Supplements, Digestives, OTC & Ethicals, Home Care, Oral Care and Skin Care. Some of the key launches in H1 2013-14 were Hajmola Anardana variant, OxyLife Gel bleach, Vatika Enriched Coconut Hair Oil with Hibiscus and OxyLife bleach for men.  Foods Foods continued on the strong growth trajectory and grew by 20.2% during H1 2013-14, largely driven strong volume growth in Real Fuit Juices. New products such as Drinking Yoghurts in Banana and Strawberry variants under the brand Activ and Supafruits in Goji Berry-Pink Guava and Strawberry-Plum under the brand Real were launched in H1 2013-14. International Business Dabur’s International Business, which comprises around one third of our consolidated sales grew by 21.7% in H1 2013-14. The key growth markets were the GCC (Gulf Co-operative Council), North Africa and Turkey. Namaste business posted double digit growth in H1 2013-14. Some of the key products launched during H1 2013-14 in the International Business were Vatika Hair Mayonnaise, Vatika Crème Hair Colors and a range of Shampoos and Conditioners under Amla. Sales & Distribution. As part of our rural distribution enhancement initiative – Project Double – we have expanded our direct coverage in terms ofvillages stood at 36,196 villages as on September 2013 as compared to 14,865 villages as on March 2011. The initiative is has enhancing our presence in the hinterland and we are witnessing improved momentum in sales.  Manufacturing Our manufacturing plant in Sri Lanka commenced production during H1 2013-14. This will help us cater to the Southern India markets for juices more efficiently. In addition, we are nearing completion of our manufacturing facility in Bangladesh to cater to the local market there. We continue to undertake initiatives to improve sustainability, encompassing energy and water conservation aspects. Some of these have been commissioning of Bio Briqutte boilers and reuse of ETP treated water in cooling towers at our plants. Overall we were able to manage the challenges of inflation, adverse currency movements and deceleration in growth rates in the FMCG sector in H1 2013-14 and reported double digit revenue and profit growth.
  • 20. 19 | P a g e Continued investments behind brand building and strengthening of our distribution network should enable us to perform well going ahead.
  • 21. 20 | P a g e  commitment to Environment- Ancient wisdom of conservation: From times immemorial, Indian sages and men of wisdom have understood and appreciated the value of nature and its conservation. Our ancestors recognized that if we grabbed from nature beyond what was healthy, it would lead to all round degradation, and even the extinction of humanity. That is why nature was sanctified and worshipped in the form of gods and goddesses. At Dabur, environment and nature is the lifeline of our business. With a portfolio of Ayurvedic and nature-based products, conservation of nature & natural resources is deep rooted in our organizational DNA, and in every aspect of our ever-growing business. We, at Dabur, have not merely incorporated the concept of sustainability into the core of our business but have, in fact, expanded it to encompass our aspirations and responsibilities to the society and to the environment. It is this concept that inspires us to optimize our business performance to tackle the new and growing challenges of environment and technology.It is a concept on which we aspire to build an organization that will continue to increase value for all our stakeholders for generations to come, through intensive focus on Conservation of Energy and Technology Absorption, along with Health, Safety and Environment Protection. We have set up the "Plants for Life" project in the mountainous regions of the Himalayas. Under the project, a high-tech greenhouse facility has been set up for developing saplings of rare and endangered medicinal plants. Fully computer-controlled and monitored, this greenhouse maintains the highly critical environmental parameters required for their survival. We are also developing quality saplings of more than 20 herbs, 8 of them endangered, through micro propagation. In addition, satellite nurseries spread across mountain villages and contract cultivation of medicinal herbs helps in maintaining the ecological balance. These measures have also helped provide local cultivators the scientific knowledge for harvesting herbs and a steady source of income. So that they are not forced to exploit the environment to earn a livelihood.  Conservation of energy: Dabur has been undertaking a host of energy conservation measures. Successful implementation of various energy conservation projects have resulted in a 13.8% reduction in the Company’s energy bill in the 2008-09 fiscal alone. What was noteworthy was the fact that this reduction has come despite an 8-9% volume increase in manufacturing, and an average 11.7% increase in cost of key input fuels. The host of measures – key among them being use of bio-fuels in boilers, generation of biogas and installation of energy efficient equipment – helped lower the cost of production, besides reduce effluent and improve hygiene conditions & productivity
  • 22. 21 | P a g e  Technology Absorption: At Dabur India Limited, knowledge and technology are key resources which have helped the Company achieve higher levels of excellence and efficiency. Towards this overall goal of technology-driven performance, Dabur is utilizing Information Technology in a big way. This will help in integrating a vast distribution system spread all over India and across the world. It will also cut down costs and increase profitability. Dabur has also made continuous efforts towards technology absorption and innovation, which have contributed towards preserving natural resources. These efforts include:  Minimum use of water in process by pre-concentration of herbal extract and reduction in concentration time  Uniform heating in VTDs by hot water as against steam earlier, resulting in 30% reduction in bulk wastage by using non-stick coating and formulation change  Improvement in water treatment plant through introduction of RO (Reverse Osmosis) system for DM water, reutilization of waste water from pump seal cooling and RO reject waste-water management  Introduction of water efficient CIP system with recycling of water in fruit juice manufacturing  Development of in-house technology to convert fruit waste into organic manure by using the culture Lactobacilus burchi The Company has achieved a host of significant benefits in terms of product improvement, cost reduction, product development, import substitution, cleaner environment and waste disposal, amongst others.
  • 23. 22 | P a g e  Sustainability Report: At Dabur, environment and nature is the lifeline of our business. With a portfolio of Ayurveda and nature-based products, conservation of nature & natural resources is deep rooted in our organizational DNA, and in every aspect of our ever-growing business. We, at Dabur, have not merely incorporated the concept of sustainability into the core of our business but have, in fact, expanded it to encompass our aspirations and responsibilities to the society and to the environment. It is this concept that inspires us to optimize our business performance to tackle the new and growing challenges of environment and technology. It is a concept on which we aspire to build an organization that will continue to increase value for all our stakeholders for generations to come, through intensive focus on Conservation of Energy and Technology Absorption, along with Health, Safety and Environment Protection.  IT Initiatives: At Dabur India Limited, knowledge and technology are key resources which have helped the Company achieve higher levels of excellence and efficiency. Towards this overall goal of technology-driven performance, Dabur is utilizing Information Technology in a big way. This will help in integrating a vast distribution system spread all over India and across the world. It will also cut down costs and increase profitability. Dabur implemented SAP ERP system from April 2006 for all its business units, a more advanced ERP system than the earlier Baan and Mfg ERP system. 1. Installed a country wide WAN infrastructure for running centralized ERP system. 2. They opened up their new data centre at KCO head office. 3. Extension of reach system to distributors for capturing secondary sales data. 4. Some of the future plans for Dabur are mainly focused on SAP ERP system. 5. Integration with distributors and stockists using SAP 6. Backward integration of SAP with suppliers. 7. Implementation of SAP HR and pay roll.  SAP-A Boost to Dabur India A study conducted by Accenture states that high performance business invest in the state of art IT like ERP software are the most important in order to be able to leverage it for strategic cost management and effective collaborations with the customers. Dabur has linked its corporate headquarters, 12 manufacturing units and 30 distribution centers with SAP ERP system. They had a three phase ERP improvement model- Correcting the transactional and management information systems.
  • 24. 23 | P a g e Conducting change management and synchronizing its business processes with reliaties in an ERP context. Developing value realization project. The use of SAP ERP system was immense such that they even developed a web based demand planning and trade promotion forecasting tools and installed point of sale software at select retail outputs. This helped Dabur to integrate with the customers into its IT network and gather real time market information that would result in better sales. Dabur has been immensely successful in implementing strategic and operational changes which have led to much higher amount of performance. The shoot up of their annual sales was noteworthy. Their profits too increased by a considerable amount. It even developed a new sales force structure which has enhanced productivity. These initiatives are slowly allowing Dabur to leverage IT as a strategic asset and are ensuring a constant availability of IT talent regardless of business demands. It is to be noted that all of these efforts are aimed at achieving operational excellence and performance. SAP has helped Dabur in identifying opportunities based on consumer needs, tailoring product for that people and expanding with the segment, retaining its overall leadership position. Dabur India has tied up with Country’s leading IT provider Accenture, both these companies are designing an application outsourcing approach thus transforming application development and maintenance to help themselves to achieve performance. By implementing a SAP ERP system, Dabur India has helped itself in retaining the position as a growing leader in the fast moving consumer goods section (FMCG). Its move to disable the baan and Mfg ERP was seen as a highly innovative move. This has also enabled them for better sales forecasting and improvement in their sales after the implementation of SAP raised several eye brows. The move to make this system available for all the employees starting from the top management to the bottom strata has what made Dabur distinguish itself from the other companies in the FMCG sector. With the implementation of MYSAP, Dabur has been able to make some very important strategic decisions and thus increasing its productivity.
  • 25. 24 | P a g e  Business challenge Consumer packaged goods companies operate in a global marketplace that is highly competitive and commoditized. These organizations need to work smarter, perform better and make faster, wiser decisions than ever before. Dabur is no exception. Nearly five years ago, Dabur clearly identified these challenges and set out to outpace its peers in the industry in terms of revenue and profitability growth. To build a competitive edge, the company asked Accenture to help identify specific opportunities that would lead to short term advantage and long-term growth. Accenture was well suited for the task. In addition to its highly respected business consulting skills and deep industry insights, Accenture brought a solid understanding of what companies need to do to achieve high performance in the consumer products sector. This understanding is based not just on Accenture’s global experience, but also on its ongoing research into the characteristics of high-performance businesses. Accenture’s research indicates that high performance businesses relentlessly pursue operational excellence.  Future Plans schemes based on secondary volumes will help control secondary pipelines and sales. Primary sales will therefore come from a resultant 'pull' from secondary replenishments. Sales order servicing can be further improved by taking orders through the Internet, and by setting stocking norms and replenishing stocks to improve ROI of stockists. Sales officers' targets can be set against a measure of secondary sales and pipelines to further improve control and avoid stuffing of CFAs to meet targets. MY OPINION: Dabur should focus on the following key strategies:  Acquire 1. Acquisitions critical for building scale in existing categories & markets Should be synergistic and make a good strategic fit 2. Target opportunities in our focus markets  Expand 1. Strengthening presence in existing categories and markets as well entering new geographies 2. Maintain dominant share in categories where we are category builders like Health Supplements, Honey etc. 3. Calibrated international expansion –local manufacturing and supply chain to enhance flexibility / reduce response time to change in market demands  Innovate
  • 26. 25 | P a g e 1. Strong focus on innovation. Have rolled out new variants & products which have contributed to around 5-6% of our growth p.a. 2. Renovation of existing products to respond to changing demands (Toothpowder to Toothpaste)Three pronged Growth Strategy Dabur the leading personal and healthcare company among the four FMCG giants in India is managing the Oldest Supply Chain in India. Dabur is over 125 years old and deals with the diversified product range in ‘Natural and Herbal’ which leads to the EBITDA –quarter growth of 27.8% and consolidated Q1 net Profit up 19.6% at `127.74 Cr with Revenue surges 31.6% to `1216.24 Cr, for the Q1 2011-12. Building on a legacy of Quality and Experience, Dabur is at present India’s trusted name and world’s largest Ayurvedic and Natural Helath Care Company having distinct brand identities such as Dabur master brand for the natural health care product, Vatika for premium personal care, Hajmola for digestives, Real for fruit juices and beverages & Fem for fairness bleaches and skin care products. Dabur procures raw materials worth around `500 Cr from a wide base of vendors. The Company has wide and integrated distribution network for its around 600 SKU delivering to around 2100 stockiest, further connecting to the thousands of retail outlets covering every small and remote part to organized stores of India. Dabur has improved distribution system through its unique Retails Excellence program, “DARE” (Driving Achievement of Retail Excellence). the Program covers a major objective as a channel focus, activating key customer, improving rural focus, rewarding distribution efficiency, maximizing brand impact and building information capabilities. Dabur has used Direct Shipment Strategy which was implemented in order to bypass warehouses and distribution centers. Thus Dabur delivers products directly to the retailers/consumer through the Institutions & Modern Trade System. Advantages of implementing strategy are –  The retailer avoids the expense of operating a distribution center  Reducing lead time Thus, Dabur has achieved cost reduction in the transportation process which overall adds to the reduction in price of the product. By this strategy Dabur has reduced the lead time, bringing Dabur and other elements in the Supply Chain closer which improves overall efficiency of the supply chain as shown in following figure. Reduction in lead time has added in reduction in Bullwhip Effect of the Supply Chain. Dabur has managed to minimize the Inventory-Transportation cost Trade-off. By elimination of the warehouse in supply chain,
  • 27. 26 | P a g e the company has reduced the inventory carrying cost and Implementing ‘Milk run’ system by the small truck loads Dabur has managed the increased transportation cost in the chain.  Dabur tackles the secondary supply chain In 2001, Dabur decided to tackle its extended supply chain f over 30 factories, six key warehouses, and 52 stocking points distributing over 1,000 SKUs to 10,000 stockists countrywide. The company needed a system to accurately control distribution and sales forecasting to reduce inventory in the pipeline. Dabur went ahead and built a system using Visual Basic and ASP with SQL Server 2000 as the database. It decided not to use a packaged SCM solution due to the high cost and relative lack of complications in its supply chain.  The initiative An in-house developed, easy-to-use, Intranet based data-warehouse displays as-of-yesterday sales, stock, receivables, banking, and other MIS. Over 5,000 ASP pages meet almost all reporting requirements and make this a single source of MIS for all levels of decision makers.
  • 28. 27 | P a g e This success paved the ground for the company's supply chain initiative. Fifty-five Ku Band TDMA VSATs were used to link primary distributors to the system. Factories were hooked up using PAMA (Permanent Assigned Multiple Access) VSATs. At some locations VPNs had to be used because it was not possible to set up a dish. The zonal offices in Mumbai were hooked up in a similar manner. The hardware is mostly owned by the primary CFA (Carry and Forward Agent) except for the networking equipment, which is owned by Dabur. In the case of the secondary systems, stockists wholly own the hardware. The primary rollout began in April 2001 and took 16 months. The first six months were used to create a business model common to all divisions (family products, healthcare, ayurvedic products, and pharmaceuticals), and testing and piloting the same.  The Innovation The integrated primary and secondary system has a number of unique features. The features like tight integration of schemes, stockists credit limit control, automated banking of cheques, and online cheque reconciliation have obvious advantages in the primary distribution. These are basically extensions to the MFG/PRO ERP system and not core customizations. Dabur's stockists supply to 1.5 million retailers. Seventy percent of the sales are accounted for by the top 500 stockists. The incorporation of these top stockists into its supply chain is a first for any FMCG company in India. The average sale of each stockist and the current stock are the two parameters. Details are collected from stockists on a weekly basis. In case of primary distribution points, an incremental backup is sent to the central location when the CFA closes operations for the day. These are computed at night in a process called ‘cubing’. And when managers come into office in the morning the information is ready for them. The integrated system allows each Area Manager to plan for the month's sales forecasts, stockists performance, and sales officers' performance. The integration allows better control on pipelines in primaries and secondaries, brings down inventories, and offers better control on production and sales against a confirmed forecast. The company has added an SMS interface that lets authorized phones query the system for aspects like stock status, credit limits, and current outstanding, and division-wide sales. An access control list of mobile phone numbers is used to restrict access to the system. Salespeople can get responses to their queries in a minute with this system. Tackling with Secondary Supplychain In 2001, Dabur decided to tackle its extended supply chain of over 30 factories, six key warehouses, and 52 stocking points distributing over 1,000 SKUs to 10,000 stockists
  • 29. 28 | P a g e countrywide. The company needed a system to accurately control distribution and sales forecasting to reduce inventory in the pipeline. Dabur went ahead and built a system using Visual Basic and ASP with SQL Server 2000 as the database. It decided not to use a packaged SCM solution due to the high cost and relative lack of complications in its supply chain. The initiative An in-house developed, easy-to-use, Intranet based data-warehouse displays as-of-yesterday sales, stock, receivables, banking, and other MIS. Over 5,000 ASP pages meet almost all reporting requirements and make this a single source of MIS for all levels of decision makers. This success paved the ground for the company's supply chain initiative. Fifty-five Ku Band TDMA VSATs were used to link primary distributors to the system. Factories were hooked up using PAMA (Permanent Assigned Multiple Access) VSATs. At some locations VPNs had to be used because it was not possible to set up a dish. The zonal offices in Mumbai were hooked up in a similar manner. The hardware is mostly owned by the primary CFA (Carry and Forward Agent) except for the networking equipment, which is owned by Dabur. In the case of the secondary systems, stockists wholly own the hardware. The primary rollout began in April 2001 and took 16 months. The first six months were used to create a business model common to all divisions (family products, healthcare, ayurvedic products, and pharmaceuticals), and testing and piloting the same. DISTRIBUTION NETWORK Manufacturing plant company ware house Regional ware house Regional stockist Super stockist Stockist Distributor Retailer
  • 30. 29 | P a g e Now this channel depends on the complexity of the product, if it is a product like pen, soap etc. then the entire channel might be there, as the complexity of the product goes up the channel size comes down. Dabur gets about 75 of its sales from rural areas. So the chain can get long in this condition. Sales around 50 countries of the world Accenture proposed that Dabur improve its supply chain management, sales and distribution capabilities and use IT as a strategic enabler for its business strategy. From an IT perspective, Accenture recommended a two-pronged strategy: migration to a nimbler outsourcing model that would generate value through agility and support business initiatives and maintenance of its SAP enterprise resource planning(ERP) system. To bring these initiatives to life, Accenture assembled a team of highly skilled industry experts, as well as professionals with extensive SAP design and implementation experience. Working closely with Dabur, the Accenture team initiated a number of high-impactprojects, including:  Implementing a new sales and distribution strategy. Accenture helped develop a comprehensive retail strategy that marked Dabur’s first significant effort to identify key customer segments in urban and rural markets, customize sales programs for key accounts and reorganize. Dabur’s sales teams by one of fourtrade channels (modern trade, rural, “mom-and-pop” and drugstores).Accenture supported this businessstrategy with a cost-effective IT solution, developed in-house over several platforms, which captured actionable information across the national footprint of nearly 500 distributors. In the area of productdistribution, the team focused on bolstering efficiencies and rural market penetration and designed a channel-specific strategy for grocers, chemists, modern trade, wholesalers and convenience stores. In developing a more effective sales program, Accenture paid special attention to how Dabur might improve service to Indian mega retailers, which are expected to account for more than 15 percent of consumer product sales by 2010. For this group of customers, the team established a new operating model that included a pricing architecture framework to aid negotiations, an activation strategy to guide tactical initiatives, and revised roles and responsibilities for all members of the trade field force. In devising this strategy, the Accenture and Dabur team optimized the company’s internal logistics and distribution processes for mega retail customers, and put metrics and incentives in place to drive specific goals such as consistency of sales in grocery stores, improved service to drug stores and increased sales via wholesale channels.  Developing a new supply chain management capability: Research into the characteristics of high-performance businesses has shown that leading organizations reorient their supply chains based on capability building for revenue enhancing opportunities. For Dabur, Accenture proposed strengthening demand forecasting capabilities, which would result in greater operational efficiencies and lower inventory costs. The team also
  • 31. 30 | P a g e focused on bringing a market-driven perspective to the new supply chain and building collaboration skills, which are vital for engaging partners across functional areas throughout the company and across the supply chain. Accenture helped Dabur create capabilities to facilitate the launch of new initiatives, products and trade promotions. This effort entailed putting complex metrics into place via the IT landscape. Accenture then instituted a plan to leverage SAP by automating Dabur’s material resource planning processes across the complex manufacturing arena. The new approach allowed employees to shift their focus from simple transactions to more strategic procurement efforts such as cost management.  Optimizing Dabur’s ERP capabilities: Research indicates that high-performance businesses invest in state-of-the-art information technology infrastructure, especially ERP software, and are, more importantly, able to leverage it for strategic cost management and collaboration with customers and suppliers. While Dabur had deployed a SAP ERP system to link its corporate headquarters, 12 manufacturing plants and more than 30 distribution centers, the company was not using the system to its maximum potential. Accenture launched a three-phase ERP improvement program that involved: ---- Correcting the transactional and anagement information systems. — Conducting change management and synchronizing Dabur’s business processes with realities in an ERP context. — Developing value realization projects. Once the system was collecting accurate and timely data, Accentureidentified key performance indicators and created management dashboards to improve and speed executive decision making.  Leveraging IT for business initiatives: In addition to revitalizing Dabur’s ERP system, Accenture applied its deep technical skills to create entirely new IT capabilities. For example, Accenture designed a Web-based demand planning and trade promotion forecasting tool, and installed point-of-sale software at select retail and wholesale sites. This latter initiative allowed Dabur to integrate key customers into its IT network and gather real-time market information that would drive better sales and distribution decisions.  Outsourcing IT operations: Dabur realized the significant commitment of resources and time that the ongoing management of its IT operations, including its core ERP system would entail. Given the success of Accenture’s strategy and implementation efforts to date, coupled with the strong reputation Accenture has achieved in the application and infrastructure outsourcing markets, the company decided to outsource its IT management to Accenture for 10 years—marking one of the first IT outsourcing agreements to be forged by an Indian company. In its capacity as IT outsourcing provider, Accenture delivered industrialized and cost-effective skills that
  • 32. 31 | P a g e would allow Dabur to remain at the leading edge of IT delivery. Plus, Dabur gained the flexibility of being able to focus on its core capabilities while realizing increased value and lower costs through improved performance. In addition to managing the client’s information technologies, Accenture continues to be involved in helping Dabur achieve operational excellence in a number of areas. The two companies are collaborating to extend ERP implementations in new geographies to support international growth. They are jointly examining strategic opportunities such as mergers and acquisitions. And they are working together to explore the creation of even greater value through the development of business cases and diagnostic capability assessments. Dabur has implemented strategic and operational changes that have led to a much higher level of performance. Dabur is now one of India’s fastest-growing companies. Annual sales are up by 17 percent. Year over- year profits have increased by 40 percent. The company’s new sales force structure has significantly enhanced channel throughput and productivity
  • 33. 32 | P a g e 1. www.in.reuters.com/finance/stocks/overview?symbol=DABU.NS 2. http://www.dabur.com/en/Investors1/Dabur-Investor-Presentation-UBS-sep- 13.pdf 3. http://euroland.com/pdf/IN-500096/Q2_ENG_2013_2014_1.pdf 4. www.dabur.com/Annual-Reports-2012-13 5. www.dabur.com/Investors%20Relation-Reports 6. www.money.rediff.com/companies/Dabur-India-Ltd/12540103/balance-sheet opepiimraipur.blogspot.com/.../dabur-odest-supply-chain-in-india.html www.networkmagazineindia.com/200312/events05.shtml www.informationweek.in/.../news.../dabur-transformed-supply-chain www.livemint.com/.../Dabur-strategy-yields-higher-sales-growth.html