OUTSOURCING IN UNILEVER

UNILEVER AND THE INDUSTRY

• Fast Moving Consumer Goods Company (FMCG)

• €51bn global turnover

• Products sold in 190 countries

• Foods, homecare and personal care

• 400 brands

• Competition - Proctor and Gamble (P&G), Nestle

http://www.unilever.co.uk/Images/6550_Unilever_MBY_24ppMainBro_AW_v15_tcm28-365245.pdf

SERVICES OUTSOURCED BY UNILEVER TYPICALLY WITHIN THE INDUSTRY

• Accenture – Human Resources (2006)

• Deloitte – Facilitating the sales of two shared services (2009)

• IBM – Finance and procurement outsourcing deal (Jan 2013)

• Capgemini – Finance and accounting service partner. (Jan 2013)

http://www.deloitte.com/view/en_US/us/Insights/Browse-by-Content-Type/Case-Studies/456a12f0c1798210VgnVCM200000bb42f00aRCRD.htmhttp://outsourcemagazine.co.uk/unilever-signs-up-accenture-for-hro/http://www.supplymanagement.com/news/2012/unilever-in-108-million-outsourcing-deal-with-ibm/

Partnership outsourcing approach

Core activity.Do not outsource!

Transactional outsourcing Decision based on financial considerations

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HOW CAN OUTSOURCING DECISIONS BE IMPROVED IN THE SUPPLY CHAIN?

• Unilever’s market value and sales revenue lower than the competition

• Accenture and P&G Win ‘Most Innovative’ Outsourcing Excellence Award For Commercial Services Collaboration

• Unilever may need to focus on more innovative collaborations with their outsourcing partners

• Improve their integration and relationships

http://newsroom.accenture.com/news/accenture-and-p-g-win-most-innovative-outsourcing-excellence-award-for-commercial-services-collaboration.htmhttp://www.mbaskool.com/fun-corner/top-brand-lists/7769-top-10-fmcg-companies-in-the-world-2013.html?start=8

http://www.sharedserviceslink.com/news/unilever-signs-100-million-outsourcing-deal-with-capgemini

RISKS?

• Unilever believe that outsourcing to service providers results in lower risk

• Proven track record

• Innovative technology and processes

• Understand the challenges of change management

• Expertise in large scale business transformations

http://public.dhe.ibm.com/common/ssi/ecm/en/gtc03035usen/GTC03035USEN.PDF

ANY QUESTIONS?