Nirma
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COMPANY REPORT OF NIRMA LIMITED
Acknowledgement…. Before starting with the flow of this project I would like to thanks IBS team and especially to Mr.Pravin Patil sir, as he provided the opportunity and vital encouragement and support to prepare this report……..
Flow of Report…….. I. II.
Introduction Heritage
III.
Man behind the success of Nirma
IV.
Today’s picture of Nirma
V.
Vision,Mision and Philosophy
VI. VII. VIII. IX. X. XI.
Major plants Product range Sound results of Nirma Corporate social responsibility SWOT analysis Compititors
XII.
My understanding of company profile
NIRMA Nirma is one of the few names-which is instantly recognized as a true Indian company which took on mighty multinationals and rewrote the marketing rules to win the heart of princess, i.e. the consumers. Nirma, the proverbial “Rags to Riches” saga of Dr.Karsanbhai patel,is a classic example of success of Indian companies in the face of stiff compitition.startin as a one man operation in 1969,today,it has about 14,000 employee base turnover is above 25,00 corers. India is one of the largest consumer economy, with burgeoning middle class in such a case Nirma aptly concentrated all its effective tools towards creating and building a strong preference towards its ‘value money ‘product.
HERITAGE In scorching heat of 1969 a son of small-time farmer was trying to mix soda with few other intermediaries, to make a detergent produce. He was a qualified graduate and was working as a junior chemist in government laboratory. As a moon lighting activity he was making detergent in 100 sq.ft back yard home, using bare hands and bucket. Once the mixture is ready. He used to put it in polythene bag and was selling door to door…….Gradually, the product became accepted in consumer community, and the rest is known to one and all……… In short span, he captured the domestic market, with a quality product. He crafted low-to-medium consumer pockets-a whole new consumer segment detergent category. He took on mighty multi nationals and rewrote the market rules. In true sense, he spearheaded the market revolution by offering innovative ‘value for money ‘products, and changed the cloth-washing habit of Indian people-the revolution called -NIRMA……… From initial days, Nirma believed in value-for-money equation, in creating and maintaining long lasting relationships. It has always remained committed to better products, at better value, for better living…
Man Behind The Success Of
NIRMA
The man behind success of Nirma phenomenon-Dr.karsanbhai k. Patel is awarded for various achievements.
He has been bestowed with various awards: Udyog Ratna by Federation of Association of small scale industries of New Delhi.
Outstanding industrialist of Eighties by Gujarat chamber of commerce of industries, Ahmedabad (in 1990).
Gujarat Businessman Award in 1998 by Gujarat chamber of Commerce and Industry, Ahmedabad.
Excellence
in
corporate
governance
Award
by
Rotary
international club 2000. A&M Hall of Fame._____.
Shri Karsanbhai has been awarded an Honorary Doctorate by Florida Atlantic Florida, USA in the year 2001 in recognition of his exceptional accomplishment as a philanthropist and businessman. This word has also recognized his ability, acumen and wisdom and
in
recognizing
service
rendered
by
him
in
various
capacities.Dr.Karsanbhai Patel has worked as a chairman for two terms to the Government of India’s Development council for soaps and detergent.
Nirma Today………… One of the world’s largest and most integrated manufacturer of
detergent and toiletries.
Largest player of Indians detergent market with a share of 38%.
2nd largest toilet soap market in the country with a share of 20%.
Business strategy…… … Value for money
Market creation
Backward integration
Marketing and distribution
Marketing and Distribution…. Principal channel…..
Lowest cost system in India.
Speed in distribution. Flexibility.
Nirma (8 location)-----Distributors(400 exclusive)----wholesaler---Retailer(2mn)----400mn.
Vision, Mision and Philosophy….
Nirma is a customer focused company committed to consistently offer better products and services that maximize value to the customer.
This customer centric philosophy has been well emphasizes at Nirma through:
Continuously exploring and developing new products and processes.
Laying emphasis on cost effectiveness. Maintaining effective Quality Management System.
Complying with safety, environment and social obligations.
Imparting training to all involved on a continuous basis. Teamwork and active participation all around.
Demonstrating belonging nests and exemplary behavior towards organization goals and objectives.
Major plants……. Soda Ash……….
Investment of Rs.1,140 corers. CAPACITY: 650,000 TPA. 770 m3/hr capacity sea water plant 40 MSW captive co-generation. 10000 MT solid handling.
Energy efficient technology from Netherlands.
Soaps…………….
Investment of Rs.200 corers.
30,00,000 soap pieces sold per day.
Annual sales of Rs.500 corers.
20% market share.
Second largest soap manufacturer.
Four lines of 500 soaps per minute.
Edible salt……………………
Asia’s largest salt works. Spread over 30,000 acres. Edible salt capacity of 288,000 TPA.
Detergents………..
50,00,000 pieces sold per day. 38% market share.
Largest detergent manufacturer.
Industrial Salt………..
Asia’s largest salt works. Spread over 30,000 acres. Industrial salt capacity of 15,00,000K.
PRODUCT RANGE
Industrial Products.
i.
ii. Consumer Products: Soaps Detergents Edible salt
Scorching products
1) Industrial Product:
LAB(linear alkyl benzene)
AOS(Alfa olefin suffocate)
Sulfuric Acid. Glycerin. Soda ash Pure salt SSP(single super phosphate)
2) Consumer products……..
Soaps………..
Nirma Bath soap… Nirma entered this market with the launch of ‘Nirma Bath soap. Although the carbolic soap segment is on decline, Nirma Bath has generated larger volumes each year.
Nirma Lime Fresh soap……… This product had created a sensational marketing history in the Indian Toilet soap market, when it was launched in 1997.
Nima Rose…………
The remarkable
market response received with in two months from launch of this soap.
Nima sandal………….
This Toilet soap has 80% TFM content exotic fragrance.it promise benefits of sandal oil and Turmeric powder.It is a product of Nirma stable and is available in 100g and 150g packs.
Nirma beauty soap……… products,Better Beauty soap.
With its promise to give “Better living”,Nirma introduced Nirma
Detergents……
Nirma washing powder.. Nirma Detergent cake..
Nirma Popular Det ergent Powder…..
Nirma Clean Dish Wash Bar….
Nirma Bartan Bar……….
Super Nirma Detergent Cake…..
Nirma popular Detergent Cake………
Edible Salt……
Nirma shudh lodized
Sound Results of Nirma……….
Gross sales over RS.24oo core.
ROCE of 24% and RONW of 22%.
8 Manufacturing Locations.
Amongst Top 10 Indian brands.
Nation Wide distributions reach.
2500 distributors.
20, 00,000 Retailers.
40 depots.
Strong Human Resource Base…. 15,000 employees.
500 professionals.
Corporate Social Responsibilities…….. Apart from profit making companies Nirma has opened up following institutes and foundation… Nirma education and research foundation Institute of Management Institute of Technology Institute of Diploma studies Institute of Pharmaceutical sciences NirmaLabs Nirma Memorial Trust and Nirma Foundation Chanasma Ruppur Gram Vikas Trust.
SWOT Analysis….
Strengths:
Strong brand equity. Nirma is a Rs.17 billion umbrella brand offering consumers a broad portfolio of products at multiple price points in the Detergents, soaps and personal care market.
Produce a range of industrial chemical products which primarily serve as raw material or intermediates for soaps and detergent business. Market leadership in detergent market and fabric wash industry player in toilet soap industry. Wide distribution network.
Weaknesses:
High intrest burden
Less presence in premium segment.
Lack global tie ups and thus lacking in export market.
Opportunities: Exports Acquisition for strengthening its distribution tie ups.
Entry into other categories like shampoos, toothpastes and fabric whiteners.
Threats: MNCs coming to India particularly in Toilet and Soap industry.
Emergence of small but strong regional players.
Competition……
In this era of competition Nirma is facing competition from many companies of India as well as MNCs.Still because of customer satisfaction and product reliability it is able to stand in the market with higher profitability. In order to stand in the market while doing advertisement Nirma takes the help of the medium like television, news paper and various other mediums………
My understanding of company profile: As I have prepared this report I come to know many things about this company.In this era and in era of globalization most of
companies believe in profit making in such a situation Nirma is that company which takes into consideration customer satisfaction above all aspects.Because of this reason Nirma is able to capture more and more customer market and with that able to increase its profit. Apart from only producing FMCG products Nirma also opened up education institutes by doing this Nirma also contribute in building the strong future of India.which will be benefitial to India in many ways thus contributing to corporate social responsibility……..
Acknowledgement…. Before starting with the flow of this project I would like to thanks IBS team and especially to Mr.Pravin Patil sir, as he provided the opportunity and vital encouragement and support to prepare this report……..
Flow of Report…….. I. II.
Introduction Heritage
III.
Man behind the success of Nirma
IV.
Today’s picture of Nirma
V.
Vision,Mision and Philosophy
VI. VII. VIII. IX. X. XI.
Major plants Product range Sound results of Nirma Corporate social responsibility SWOT analysis Compititors
XII.
My understanding of company profile
NIRMA Nirma is one of the few names-which is instantly recognized as a true Indian company which took on mighty multinationals and rewrote the marketing rules to win the heart of princess, i.e. the consumers. Nirma, the proverbial “Rags to Riches” saga of Dr.Karsanbhai patel,is a classic example of success of Indian companies in the face of stiff compitition.startin as a one man operation in 1969,today,it has about 14,000 employee base turnover is above 25,00 corers. India is one of the largest consumer economy, with burgeoning middle class in such a case Nirma aptly concentrated all its effective tools towards creating and building a strong preference towards its ‘value money ‘product.
HERITAGE In scorching heat of 1969 a son of small-time farmer was trying to mix soda with few other intermediaries, to make a detergent produce. He was a qualified graduate and was working as a junior chemist in government laboratory. As a moon lighting activity he was making detergent in 100 sq.ft back yard home, using bare hands and bucket. Once the mixture is ready. He used to put it in polythene bag and was selling door to door…….Gradually, the product became accepted in consumer community, and the rest is known to one and all……… In short span, he captured the domestic market, with a quality product. He crafted low-to-medium consumer pockets-a whole new consumer segment detergent category. He took on mighty multi nationals and rewrote the market rules. In true sense, he spearheaded the market revolution by offering innovative ‘value for money ‘products, and changed the cloth-washing habit of Indian people-the revolution called -NIRMA……… From initial days, Nirma believed in value-for-money equation, in creating and maintaining long lasting relationships. It has always remained committed to better products, at better value, for better living…
Man Behind The Success Of
NIRMA
The man behind success of Nirma phenomenon-Dr.karsanbhai k. Patel is awarded for various achievements.
He has been bestowed with various awards: Udyog Ratna by Federation of Association of small scale industries of New Delhi.
Outstanding industrialist of Eighties by Gujarat chamber of commerce of industries, Ahmedabad (in 1990).
Gujarat Businessman Award in 1998 by Gujarat chamber of Commerce and Industry, Ahmedabad.
Excellence
in
corporate
governance
Award
by
Rotary
international club 2000. A&M Hall of Fame._____.
Shri Karsanbhai has been awarded an Honorary Doctorate by Florida Atlantic Florida, USA in the year 2001 in recognition of his exceptional accomplishment as a philanthropist and businessman. This word has also recognized his ability, acumen and wisdom and
in
recognizing
service
rendered
by
him
in
various
capacities.Dr.Karsanbhai Patel has worked as a chairman for two terms to the Government of India’s Development council for soaps and detergent.
Nirma Today………… One of the world’s largest and most integrated manufacturer of
detergent and toiletries.
Largest player of Indians detergent market with a share of 38%.
2nd largest toilet soap market in the country with a share of 20%.
Business strategy…… … Value for money
Market creation
Backward integration
Marketing and distribution
Marketing and Distribution…. Principal channel…..
Lowest cost system in India.
Speed in distribution. Flexibility.
Nirma (8 location)-----Distributors(400 exclusive)----wholesaler---Retailer(2mn)----400mn.
Vision, Mision and Philosophy….
Nirma is a customer focused company committed to consistently offer better products and services that maximize value to the customer.
This customer centric philosophy has been well emphasizes at Nirma through:
Continuously exploring and developing new products and processes.
Laying emphasis on cost effectiveness. Maintaining effective Quality Management System.
Complying with safety, environment and social obligations.
Imparting training to all involved on a continuous basis. Teamwork and active participation all around.
Demonstrating belonging nests and exemplary behavior towards organization goals and objectives.
Major plants……. Soda Ash……….
Investment of Rs.1,140 corers. CAPACITY: 650,000 TPA. 770 m3/hr capacity sea water plant 40 MSW captive co-generation. 10000 MT solid handling.
Energy efficient technology from Netherlands.
Soaps…………….
Investment of Rs.200 corers.
30,00,000 soap pieces sold per day.
Annual sales of Rs.500 corers.
20% market share.
Second largest soap manufacturer.
Four lines of 500 soaps per minute.
Edible salt……………………
Asia’s largest salt works. Spread over 30,000 acres. Edible salt capacity of 288,000 TPA.
Detergents………..
50,00,000 pieces sold per day. 38% market share.
Largest detergent manufacturer.
Industrial Salt………..
Asia’s largest salt works. Spread over 30,000 acres. Industrial salt capacity of 15,00,000K.
PRODUCT RANGE
Industrial Products.
i.
ii. Consumer Products: Soaps Detergents Edible salt
Scorching products
1) Industrial Product:
LAB(linear alkyl benzene)
AOS(Alfa olefin suffocate)
Sulfuric Acid. Glycerin. Soda ash Pure salt SSP(single super phosphate)
2) Consumer products……..
Soaps………..
Nirma Bath soap… Nirma entered this market with the launch of ‘Nirma Bath soap. Although the carbolic soap segment is on decline, Nirma Bath has generated larger volumes each year.
Nirma Lime Fresh soap……… This product had created a sensational marketing history in the Indian Toilet soap market, when it was launched in 1997.
Nima Rose…………
The remarkable
market response received with in two months from launch of this soap.
Nima sandal………….
This Toilet soap has 80% TFM content exotic fragrance.it promise benefits of sandal oil and Turmeric powder.It is a product of Nirma stable and is available in 100g and 150g packs.
Nirma beauty soap……… products,Better Beauty soap.
With its promise to give “Better living”,Nirma introduced Nirma
Detergents……
Nirma washing powder.. Nirma Detergent cake..
Nirma Popular Det ergent Powder…..
Nirma Clean Dish Wash Bar….
Nirma Bartan Bar……….
Super Nirma Detergent Cake…..
Nirma popular Detergent Cake………
Edible Salt……
Nirma shudh lodized
Sound Results of Nirma……….
Gross sales over RS.24oo core.
ROCE of 24% and RONW of 22%.
8 Manufacturing Locations.
Amongst Top 10 Indian brands.
Nation Wide distributions reach.
2500 distributors.
20, 00,000 Retailers.
40 depots.
Strong Human Resource Base…. 15,000 employees.
500 professionals.
Corporate Social Responsibilities…….. Apart from profit making companies Nirma has opened up following institutes and foundation… Nirma education and research foundation Institute of Management Institute of Technology Institute of Diploma studies Institute of Pharmaceutical sciences NirmaLabs Nirma Memorial Trust and Nirma Foundation Chanasma Ruppur Gram Vikas Trust.
SWOT Analysis….
Strengths:
Strong brand equity. Nirma is a Rs.17 billion umbrella brand offering consumers a broad portfolio of products at multiple price points in the Detergents, soaps and personal care market.
Produce a range of industrial chemical products which primarily serve as raw material or intermediates for soaps and detergent business. Market leadership in detergent market and fabric wash industry player in toilet soap industry. Wide distribution network.
Weaknesses:
High intrest burden
Less presence in premium segment.
Lack global tie ups and thus lacking in export market.
Opportunities: Exports Acquisition for strengthening its distribution tie ups.
Entry into other categories like shampoos, toothpastes and fabric whiteners.
Threats: MNCs coming to India particularly in Toilet and Soap industry.
Emergence of small but strong regional players.
Competition……
In this era of competition Nirma is facing competition from many companies of India as well as MNCs.Still because of customer satisfaction and product reliability it is able to stand in the market with higher profitability. In order to stand in the market while doing advertisement Nirma takes the help of the medium like television, news paper and various other mediums………
My understanding of company profile: As I have prepared this report I come to know many things about this company.In this era and in era of globalization most of
companies believe in profit making in such a situation Nirma is that company which takes into consideration customer satisfaction above all aspects.Because of this reason Nirma is able to capture more and more customer market and with that able to increase its profit. Apart from only producing FMCG products Nirma also opened up education institutes by doing this Nirma also contribute in building the strong future of India.which will be benefitial to India in many ways thus contributing to corporate social responsibility……..
