Godrej Consumer Products Limited - Implementing EVA
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Case Details:
Case Code : FINC034
Case Length : 14 Pages
Period : 1997 - 2004
Pub. Date : 2004
Teaching Note :Not Available
Organization : Godrej Consumer Products Limited
Industry : FMCG
Countries : India
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FINC034) click on the button below, and select the case from the list of available cases:
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Background Note
Ardeshir Godrej (Ardeshir), a lawyer, founded the Godrej group in 1897. He gave up law and started a locks manufacturing venture.
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Soon, he expanded his business by manufacturing safes and security equipments and also ventured into toilet soaps business.
After Ardeshir, his brother Pirojsha Godrej led the venture towards becoming a vibrant, multi-business company. The company was incorporated with limited liability5 in 1932, under the Indian Companies Act, 1913. By 2003, the Godrej group had emerged as one of the largest privately held diversified industrial corporations in India.
GCPL came into existence after the demerger6 of the consumer products division of the erstwhile Godrej Soaps Limited (GSL) on April 01, 2001.
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GCPL was a major player in the Indian fast-moving consumer goods (FMCG) market with a significant presence in personal care, household, and fabric care segments (Refer Table I).
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As on March 31, 2003, GCPL had a workforce of 950 people and had three manufacturing facilities at Malanpur (state of Madhya Pradesh), Guwahati (state of Assam) and Silvassa (Union Territory). Headed by Adi, the company had a strong management team.
However, GCPL lacked a good distribution network. GCPL was more urban centric and had weak presence in the fast growing rural market as compared to its competitors. Hoshedar K. Press (Press), Executive Director and President of GCPL admitted in an interview to indiainfoline.com (May 26, 2003) that the company was comparatively more urban... |
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