Submitted To: Submitted By:
Prof. Archana Shrivastav Group 2(SEN Hall) PROTON business school Aradhna
Singh Nikhil Sukhlecha Pradeep Gupta Rohit Agrawal Subodh Sahu TABLE OF CONTENT
. Company Overview . History . Brief Profile of the Business . Company s Brand . Vision . Core Values . Strength of Organization and Culture . Company s Strategy . Organizational structure . Perception . Teambuilding . Conflict . Power & Politics . Conclusion ACKNOWLEDGEMENT
We would like to thank Prof. Archana Shrivastav of OBOD subject for their support and cooperation throughout our project. We also express our thanks to her for guiding us right from the inception till the successful completion of the project. I sincerely acknowledge her for extending her valuable guidance, support she provided us throughout all stages of report preparation. Lastly we wish to express our thanks to Mr. Shishir Dushad Territory Sales Incharge (TSI) of Reckitt Benckiser Jaipur, who enabled us to prepare this report. Group-2 SEN Hall COMPANY OVERVIEW
Reckitt Benckiser is a global force in household, health and personal care products, delivering ever better solution to consumers. The company has the sales of over 6 billion pounds consistently going ahead of the industry due to its leading brands, its operation in over 60 countries and sales in 180, and its highly motivated multinational management. Reckitt Benckiser Group Plc. (Reckitt Benckiser) is principally engaged in the manufacturing and marketing of household, cleaning, health and personal care products. The company manufactures products related to several categories which include dishwashing, fabric care, surface care, health care, home care, personal care products and food. The company operates through 60 operating companies across 180 countries. The company has 13 directly held subsidiaries which include Propack, Reckitt Benckiser (Australia) Pty Limited, Reckitt Benckiser (Brazil) Limited, Reckitt Benckiser (Canada) Inc. Reckitt Benckiser Deutschland GmbH, Reckitt Benckiser Health care (UK) Limited, Reckitt Benckiser Inc., Reckitt Benckiser (India) Limited, Reckitt Benckiser Italia and Reckitt Benckiser (UK) Limited. The company is headquartered in the UK. The company reported revenues of (British Pounds) GBP 6,563.00 million during the fiscal year ended 2009, an increase of 24.56% over 2008. The operating profit of the company was GBP 1,505.00 million during the fiscal year 2009, an increase of 22.06% over 2008. The net profit of the company was GBP 1,120.00 million during the fiscal year 2009, an increase of 19.40% over 2008. In 2008, the BBC broadcast an investigation into the methods Reckitt Benckiser used to maintain the market share of the Gaviscon power brand. The company held Platinum status in 2005, 2006, 2007, and 2008 in the Business. HISTORY
Reckitt & Colman Colman's was founded in 1814 when Jeremiah Colman began milling flour and mustard in Norwich, England. Reckitt & Sons started in 1840 when Isaac Reckitt rented a starch mill in Hull, England. He diversified into other household products and in due course passed on his business to his four sons. Reckitt & Sons was first listed on the London Stock Exchange in 1888. In 1938 Reckitt & Sons merged with J&J Colman to become Reckitt & Colman Ltd. Reckitt & Colman sold the Colman's food business in 1995 but still has some food brands. Benckiser Johann A. Benckiser founded a business in Germany in 1823. Its main products were industrial chemicals. Benckiser went public in 1997. Merger and subsequent developments The company was formed by a merger between Britain's Reckitt & Colman and the Dutch company Benckiser NV in December of 1999. Bart Becht became CEO of this new company and has been credited for its transformation, focusing on core brands and improving efficiency in the supply chain. The new management team s strategy of innovation marketing A combination of increased marketing spend and product innovation, focusing on consumer needs has been linked to the company s ongoing success . For example, in 2008, the company s rapid succession of well publicized new product variants was credited for helping them to capture shoppers' imagination Business week has also noted that 40% of Reckitt Benckiser's $10.5 billion in 2007 revenues came from products launched within the previous three years. BRIEF PROFILE OF THE BUSINESS
Reckitt & Benckiser Plc, UK, promote Reckitt & Benckiser of India Ltd (Reckitt & Benckiser). The company has business interests in household products, personal care and pharmaceuticals. Key brands include Dettol, Cherry Blossom, Harpic, Robin liquid blue and Mortein. Around 40% of the company ´s sales come from its flagship product Dettol. Dettol`s market share hovers around 85% and its product portfolio comprises toilet soaps, anti germ liquids and talcum powder. The remaining divisions, namely fabric care, shoe care and floor care contribute approximately 15% to the total turnover. Within the household products and the personal care segments, Reckitt & Benckiser is mainly into insecticides, lavatory care, surface care, shoe care and air fresheners. Insecticides contribute over 50% to Reckitt & Benckiser s household business and 26% to its total sales. The company has a strong brand Mortein in the insect repellent market with a total market share of 45% (coil 12% and mats 33%). In the relatively small lavatory care market (Rs320m), Reckitt & Benckiser s Harpic enjoys a 79.6% market share. Its brand Cherry enjoys a 79% market share in the Indian shoe care industry. The Indian air freshener market is estimated at Rs120m with Balsara Hygiene s Odonil leading the market with an 80% share. Reckitt & Benckiser has positioned its Haze brand at the premium end of the market. Regarding the wash-segment, Reckitt & Benckiser is currently present only in the post- wash segment with its flagship brand Robin Blue, which is in existence since 1984. Robin Blue powder market share is around 20%. The company has entered into a joint venture, operational from March 1998, with pharmaceutical major Nicholas Piramal; a company having a strong distribution reaches with chemists. The UK parent and Nicholas Piramal hold 40% stake each while the balance is with Reckitt & Benckiser. The joint venture, Reckitt venture, Reckitt Piramal, is the largest over the counter (OTC) pharmaceutical company in the country. The joint venture, besides improving sales of its flagship product Dettol, which currently contributes to over 80% of the joint venture s sales, would also help in pushing other products like Dispirin and Gelora. COMPANY S BRAND
Reckitt Benckiser has four core categories:
Surface Care -Disinfectant cleaners both clean and disinfect surfaces, killing 99.9% of germs. All purpose cleaners are ideal for many household surfaces, particularly in the bathroom and kitchen. Lavatory cleaners offer specialized cleaning and disinfecting for the toilet bowl and cistern. Specialty cleaners are designed for specific tasks from cleaning ovens to removing lime scale. Finally, Polishes & Waxes clean and shine hard surfaces such as furniture and floors. Key Brands · Lysol · Dettol · Easy of Bang · Harpic Fabric Care -This category consists of five product groups used for cleaning and treating all fabrics. It covers products used before, during or after the main laundry wash cycle. Fabric Treatment products remove stains from clothes, carpets and upholstery. Garment Care products are specially formulated for washing delicate fabrics. Water Softeners protect the machine and laundry against the build-up of lime scale and other deposits. Fabric Softeners are used for softening and freshening fabrics and ironing aids help make ironing more convenient. Laundry Detergents clean fabrics in washing machines. Key Brands · Calgon · Vanish Health and Personal Care -Products that relieve common personal or health problems. Antiseptics protect against infection and deliver germ kill. Analgesics, Cold/Flu/Sore Throat and Gastro-Intestinal are generally over the counter medications for common ailments like pain, fever, cold, flu, sore throat or heartburn. Suboxone is the Company s prescription drug against opioid dependence. Veet, their Depilatory product, removes hair leaving beautiful smooth skin. Their skin care range consists of products like Clearasil to fight spots and break-outs for visibly clearer skin and products like E45 for dry skin. Denture Care consists of both denture fixatives and cleaners. Key Brands · Veet · Dettol · Clearsil · Strepsils Home Care -Consists of three categories. Air Care products remove odours and add fragrance to the air to create an ambience. Various formats include: auto sprays, electrical plug-ins, aerosols, gels and candles. Pest Control products offer solutions to domestic infestation. The category includes insecticide and rodenticide products in formats such as coils, mats, baits, traps, vapourisers and sprays to prevent infestation and to kill pests. Shoe Care cleans and protects shoes. Key Brands Airwick Mortein VISION
Reckitt Benckiser delivers better solutions in household, health and personal care to consumers, wherever they may be. Company does it through constant innovation. They look at the little things that drive people made in their everyday life. Then they deliver brilliant, fast-acting solutions that hel p make life better and easier -and create outstanding shareholder value in the process. CORE VALUES
Four key values:
1. Achievement -Achievement makes them who they are. They don t just aim high, their aim to achieve beyond expectation -to outperform. And they develop and support their people to outperform so they can all achieve results wherever they focus, be it products, profits or CSR. 2. Entrepreneurship -They encourage bold thinking and commercial drive. They allow daring ideas to thrive and value the passion that people bring in turning ideas into great execution. 3. Teamwork -They pull together to succeed. As individuals they are competitive high-achievers, but they bring their strengths together when needed to work as one united by common principles and attitudes, not rules and processes, to drive success. 4. Commitment -For them, the buck stops here . They take personal responsibility for their areas of accountability and take the initiative in doing what s needed. They aren t slaves to process or spoon-fed. Their people are given the latitude to do what they think is right within a framework for success. Leaders at all levels select people against this attitude and develop it further to ensure the sustainability of the business. STRENGTH OF ORGANIZATION AND CULTURE
The Reckitt Benckiser culture lies at the heart of their success. Led by a strong management team, who are heavily incentivized to achieve performance, their people are entrepreneurial and take it upon them to own and create initiatives and deliver great execution. They are driven and dynamic, and want to make their mark. They enjoy constructive conflict with each other and their partners, and like to take calculated risks to gain advantage in some of the most competitive markets in the world. They keep the organization slim, streamlined and unbureaucratic. In this way they can have fast decision-making, be spontaneous and respond rapidly to changing consumer needs and market conditions. Their commitment to performance is total, whether it is financial results or impacting upon climate change and helping those more vulnerable in society. To tackle the total carbon footprint of their products, from cradle-tog rave, in 2008 they progressed their Carbon 20 initiative and developed detailed plans and measurements for working with consumers to achieve their commitment to reduce their total carbon footprint by 20% by 2020. This year they also delivered on the last part of their commitment to save 150,000 lives through working with Save the Children across the world. They are now working with them on a new program, which will see their commitment have even more impact in the future. COMPANY S STRATEGY
Their clear and consistent strategy is to drive above industry growth and returns through: . A disproportionate focus on driving their Power brands, global leaders in categories with high growth potential, and completing their international roll-out. . High levels of media and marketing investment, and continuous innovation. . Transforming net revenue growth into even better profit and strong cash flow. ORGANIZATIONAL STRUCTURE An organizational structure is a mainly hierarchical concept of subordination of entities that collaborate and contribute to serve one common aim. Organizations are a variant of clustered entities. An organization can be structured in many different ways and styles, depending on their objectives and ambiance. The structure of an organization will determine the modes in which it operates and performs. Organizational structure allows the expressed allocation of responsibilities for different functions and processes to different entities such as the branch, department, workgroup and individual. Individuals in an organizational structure are normally hired under time-limited work contracts or work orders, or under permanent employment contracts or program orders. Types of organizational structure 1. Functional Structure -The functional structure groups employees together based upon the functions of specific jobs within the organization. 2. Divisional Structure -The divisional structure is broken down into three areas: product, market, and geographic. . Product Structure -Product structure groups employees together based upon specific products produced by the company. An example of this would be a company that produces three distinct products, "product a", "product b", and "product c". This company would have a separate division for each product. . Market Structure -Market structure groups employees together based upon specific markets in which the company sells. . Geographic Structure -Geographic structure groups employees together based upon specific geographic location. This is often used by large companies that operate in many areas throughout the United States or in both the U.S. and overseas. 3. Matrix Structure -Matrix structure groups employees by both function and product. This structure can combine the best of both separate structures. An example would be a company that produces two products, "product a" and "product b". Using the matrix structure, this company would organize functions within the company as follows: "product a" sales department, "product a" customer service department, "product a" accounting, "product b" sales department, "product b" customer service department, "product b" accounting department. Matrix structure is the most complex of the different organizational structures. Structure of Reckitt benckiser Advantages of functional structure . Advantage of supervising similar tasks related to functions such as marketing, manufacturing, R&D etc. . Overall supervision is high and coordination can be easily achieved. . Since employees performing similar tasks are grouped together therefore overall learning from each other s skills is high. . Specialisation each department focuses on its own work . Accountability someone is responsible for the section . Clarity know your and others roles Disadvantages . Lesser interaction between the other departments and people belonging to other departments. . It is difficult to motivate employees under functional structure because of similar nature of tasks. . Closed communication could lead to lack of focus . Departments can become resistant to change . Coordination may take too long . Gap between top and bottom Reckitt Benchiser is following same type of structure for many years. PERCEPTION
In philosophy, and psychology/cognitive sciences, perception is the process of attaining awareness or understanding of sensory information. The word "perception" means "receiving, collecting, and action of taking possession, apprehension with the mind or senses." . Perception of employees . Perception of Customers Perception of employees Internal and external communications influence employees perception of organizational images, in turn influencing employees organizational identification and behaviors. In particular, it is argued that when there is discrepancy between perceived external images and internally perceived images that are held by employees, it can result in significant consequences in terms of employees behaviors. After joining Reckitt Benchiser and employees find plenty of drive and energy, and a direct and open style. It s a place they ll be given the freedom to make their mark very early in their career. They thrive on constant innovation and tangible results. And there s another thing that makes them truly distinctive: at Reckitt Benckiser they ll find a real passion to outperform.
From the very first day a employee join Reckitt Benchiser they make sure employee have a real job. Right from the start, they ll be expected to take ownership for the role one ve chosen and supported in it. Expect to be rewarded for success. Expect too, the freedom to enjoy a dynamic, international career in a business that values achievement and commitment, not rules and process. Consumer perception In short, they re like their brands -strong, fast-acting and highly effective. TEAMBUILDING
A team is an energetic group of people who are committed to achieving common objectives, who work together and enjoy doing so, and who produce high-quality results. A strategy that can help groups to develop into a real team is team building Objectives of games at Reckitt Benchiser . Teams compete to build a great team building game. . Each team presents their game to the group giving rational, rules and objectives. . Games are evaluated against how effective they are as a team builder. . The best game is played by the entire group Team building game in Reckitt Benchiser, India- Cricket 25 members in a team Only 11 players played but team leader had to divide work and responsibility among all 25 members. Learning- in practical field there are few people but in organization each and every person must get responsibility and contribute in company. This is duty of leader to divide work effectively among employees. Work together without controversy. Frog jumping - 2 members in a team In this game, feet of one person is bind with another person and they have to cover a particular distance. Learning It provides a sense of coordination. If one is not bothering about other than they can t achieve their goal. It means coordination is very important aspect to be succeed. This game also gives learning about balancing. CONFLICT
What is a Conflict? . A state of disharmony between incompatible or antithetical persons, ideas, or interests; a clash. . Opposition between characters or forces in a work of drama or fiction, especially opposition that motivates or shapes the action of the plot. . A psychic struggle between opposing or incompatible impulses, desires, or tendencies.
Causes of Conflict at Reckitt Benchiser . Security . Inability to control self and others . Respect between parties . Limited Resources . Frustrations
Types of Conflict: 1. Intrasender Conflict originates in the sender who gives conflicting instructions 2. Intersender Arises when a person receives conflicting messages from one or more sources. 3. Interrole Occurs when a person belongs to more than one group. 4. Person-role Result of a discrepancies between internal and external role. 5. Interperson Between people whose positions require interaction with other persons who fill various roles in the same organization or other organizations. 6. Intragroup Occurs when a group faces new problem, when new values are imposed on the group from outside, or when one s extragroup role conflicts with one s intragroup role. 7. Intergroup Common when two groups have different goals and can only achieve their goals at the other s expense. 8. Role Ambiguity Condition where an individual do not know what is expected of them. 9. Role Overload Individuals cannot meet the expectations placed on them. Approaches to Conflict Resolution 1. ACCOMMODATING - The person neglects personal concerns to satisfythe concerns of others. It is cooperative but unassertive. 2. COMPROMISING The individual attempts to find mutually acceptable solutions that partially satisfy both parties in reflects assertiveness and cooperation. 3. COLLABORATING The individual attempts to work with others toward solutions that satisfy the work of both parties it is both assertive and cooperative. 4. COMPETING The person pursues personal concerns at another sexpense. It is a power oriented mode that is assertive butuncooperative. The competition is aggressive and pursues one s owngoals at another s expense. Tips which Reckitt Benchiser approach
. Meet in a quiet and comfortable environment. . Address each other by name, with respect and with sincerity. . Don t take it personally. Focus on the situation, not the person. . Let the person share his/her thoughts and feelings without interrupting. . Listen and pay attention to words and body language. . Maintain eye contact and be actively involved. . Remain cool, calm and collected. Take a break if necessary. . Ask questions and try to understand the situation and his/her concerns. . Take notes if appropriate. . Practice negotiation and compromise. . Take responsibility to help facilitate a solution. . Hold themselves accountable for their part in the situation. . End with an action plan and a thank you.
POWER AND POLITICS
Power - Emphasizes self-interest and the use of nonsanctioned means. Politics - Organizational politics is defined as the management of influence to obtain ends not sanctioned by the organization or to obtain sanctioned ends through nonsanctioned influence means. . Politics is a necessary function resulting from differences in the self- interests of individuals. . Politics is the art of creative compromise among competing interests. . Politics is the use of power to develop socially acceptable ends and means that balance individual and collective interests. At Reckitt Benchiser . Impression . Getting extra benefits . Promotion These types of politics occur in all companies. Employees do buttering for making impression. Because they want extra benefits and sometimes promotion. Due to this efficient people are not able to get promotion. CONCLUSION
After studying and a analyzing the results of our research on the various issues related to the organizational behavior within the organization that are affecting the performance of its management and particularly its employee, followed by several general and specific list of questions we asked and the interviews we conducted during our visit to manager. Reckitt Benchiser is a multi national company which is also operating in India. The organization behavior regarding goal setting for employees we have concluded that the management of Reckitt benchiser is effective in setting goals according to the competition in the FMCG sector in India. As the requirement of growing FMCG sector it is necessary to set challenging and effective goals so as to become market leaders. Despite of setting challenging goals the employees of Reckitt benchiser are satisfied with these challenging goals and performing well to achieve the goals which were provided to them. The management style in Reckitt benchiser is kind of participative management in which employees are given chance to share their ideas for decision making so the Reckitt benchiser is utilizing its employees by getting different ideas from different employees this provides greater chances for getting better and innovative ideas. Not only this but from this activity employees feel motivated because they think they also have the authority in decision making process and they are also a part of an organization. During the interview of an employee of Reckitt benchiser he told us All the employees here are given title of relationship officer rather than any other designation and at the beginning of each month the top level management visits every branch and arrange meeting with all the employees of the branch and discuss the problems faced by every employee and immediately tries to resolve the problem and this is the major motivating factor for us . As the motivation and reward systems are up to the expectation of the employees so the employees are very much satisfied and don t want to leave the organization. The leadership styles in Reckitt benchiser are mixture of both the task oriented and relationship oriented but it is little lien towards relationship oriented leadership style. Overall we concluded Reckitt benchiser inherits strong organizational culture having values for leaders and as well as for employees and the organization behavior is up to the mark for any company being in India.