Supply Chain Strategy & Processes for Unilever's Personal and Beauty Products Group

SUPPLY CHAIN
STRATEGY & PROCESSES

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Unilever and its personal and beauty products group..................................................................3
Operations performance objective as cost...................................................................................7
Describing the global supply chain of Unilever Company and identifying its supply chain
members.......................................................................................................................................8
Critically analyse costs of Unilever and compare it with one of its competitors:....................10
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15
Unilever Full Year Results 2021, 2022 available through <https://www.unilever.com/news/press-
and-media/press-releases/2022/unilever-full-year-results-2021/>................................................16

INTRODUCTION
Supply chain is a process which is use by organization to transfers goods and services to
the end users. Supply chain managements includes flow of products and information between the
supply chain level to improve profitability. Its planning helps organization to match demand of
customer with products supply. Unilever is a company deal in consumers goods industry.
Company offers personal care, health, beauty products, packaged food and many more.
Company trust in positive beauty, for the planet and people. Unilever believe in culture of
performance. This organization is the biggest leading in consumer goods, producing and selling
all over 400+ brands in many countries.
This report includes one product group that is personal and beauty products of Unilever,
and one of the operational performance objective such as cost. This report also highlights the
concept of supply chain management and members like suppliers and intermediaries. And
critically analyse the operational objective (cost) with comparison to its competitors.
MAIN BODY
Unilever and its personal and beauty products group
Unilever is a multinational company, headquartered located in London, UK. They trade
in consumers goods. Company cover different brands with great turnover . They follow values
like responsibilities, integrity, pioneering and respect. Focus is on quality improvement.
Company offer food and refreshment, home care, personal and beauty care products. Unilever
provides benefits to employees like insurance, holidays, professional support, financial and
retirement plan, health care, perks, work from h Critically analyse costs of Unilever and compare
it with one of its competitors:
Unilever held vast market of beauty and personal care products as it is formed in 1929 as
a soap maker company. It has some strategies, one of the most efficient strategy is Unilever's BL
(Business level) Strategies helps an organization to achieve its goal at every level, mainly it
keeps focus on satisfying the customer needs and what customer prefer to and how that product
should be as in quality over price which add value to the customer's living standard at a low cost
basis (Alshamsi and Al Kahlout, 2022). Sticking with low cost how to improve the services and
quality of the individual product. This market is fully customer oriented market so what
customer makes demand for; company should provide to them otherwise their will be no name

and fame of the company in market. Ultimately company should provide ultimate satisfaction to
the customer by keeping cost low and with good product.
There are some models which helps to minimize the cost are :
 Rivalry
 Customers
 Suppliers
 entrants
 Substitutes
Advertising and marketing:
Making the product is different thing but bringing to the market to the buyer is another
level of task which marketing team does. Entering the market with the new launches; needs
investment to make it happen, that is known as marketing cost.
As company adopt cost leadership style in which there will be increase in chances of
competitiveness as lowering the certain price or by putting the lowest price possible (Dimyati
and et.al., 2021). Achieving target sales by lowering cost makes company more profitable rather
than keep product price high. Company has already achieved the level of trust among the
customers. For the companies like Unilever doesn't need much cost to launch the new product to
the market but general cost putting like marketing cost, delivering cost, storing cost have to pay.
Keeping current scenario in the view price of certain products are had taken hike like of
dove and lux soap, ponds talcum powder and many more has hiked in price. Company has to
take multiple rounds to make the price hike of the product remembering the cost of crude oil
increasing, inflation is pressuring the companies. There are certain products in which company
use the natural items like vegetable oil in the products for skin cleansing and hair care (Reza,
2020).
 It is great new for Unilever that even there was pandemic the sale was towards growth of
4.5%.
 It was the fastest growth in nine years 4.5%, having 2.9% as a price and 1.6
% as the volume of the product.
 Even there was negative impact in the country because of Covid-19 its total turnover
increased up-to 3.4% (Unilever Full Year Results 2021, 2022)