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Abstract

In 2008, the Anglo-Dutch conglomerate Unilever Group (Unilever) was facing spectre of depression and underperformance. The investors too were in despair as the company failed to increase the sales and profit margins. Several restructuring and transformation plans under successive managements to shrug off the bureaucratic attitude of managers and laggard image failed to derive the desired results. Amidst all this misery and chaos, Unilever decided to appoint an outsider, Paul Polman (Polman) as its CEO to bring some semblance to the house. Polman had been at the helm of affairs at P&G and Nestle for 26 years. Polman survived for eight years at Unilever despite taking few unpopular initiatives with regard to investor's interests and living his dream of making Unilever shepherd Earth's future. However, the gloomy economic condition had slowed down the progress of Polman's ambitious Sustainable Living Plan. To step up the pace and to make Unilever agile and resilient, Polman introduced several steps such as Zero-Based Budgeting, Net Revenue Management and Connect 4 Growth, besides innovations and Premiumisation. However, analysts were wondering whether Unilever would be able to secure its own revenues and profits while continuing the legacy of social activism at the same time.
Location:
Industry:
Other setting(s):
2009-16

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Abstract

In 2008, the Anglo-Dutch conglomerate Unilever Group (Unilever) was facing spectre of depression and underperformance. The investors too were in despair as the company failed to increase the sales and profit margins. Several restructuring and transformation plans under successive managements to shrug off the bureaucratic attitude of managers and laggard image failed to derive the desired results. Amidst all this misery and chaos, Unilever decided to appoint an outsider, Paul Polman (Polman) as its CEO to bring some semblance to the house. Polman had been at the helm of affairs at P&G and Nestle for 26 years. Polman survived for eight years at Unilever despite taking few unpopular initiatives with regard to investor's interests and living his dream of making Unilever shepherd Earth's future. However, the gloomy economic condition had slowed down the progress of Polman's ambitious Sustainable Living Plan. To step up the pace and to make Unilever agile and resilient, Polman introduced several steps such as Zero-Based Budgeting, Net Revenue Management and Connect 4 Growth, besides innovations and Premiumisation. However, analysts were wondering whether Unilever would be able to secure its own revenues and profits while continuing the legacy of social activism at the same time.

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Location:
Industry:
Other setting(s):
2009-16

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