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Informist, Tuesday, Jun. 30, 2026

By Avishek Rakshit

KOLKATA – Hindustan Unilever Ltd. is taking a five-fold approach--embedding AI across the enterprise, science-led innovation, resilient and flexible supply chains, understanding the fast-evolving consumer, and, sustainability--which it views will define its long-term competitiveness in the fast moving consumer goods industry in India. 

"Business resilience today, is about building better systems - supply chains that can shift when a route is disrupted; data that senses change before it appears in reported sales; factories that can switch faster; sourcing models that reduce dependence on any single material or geography; and organisations whose people can work alongside technology and adapt at speed," the company's Chairman Nitin Paranjpe told shareholders Tuesday at the company's 93rd Annual General Meeting.

Paranjpe said that compared with the past, the operating environment for businesses today is markedly different. "Businesses cannot afford to simply be efficient, they must be agile, anticipatory, and deeply connected to the ecosystems in which they operate," he said. 

The company's top official said that HUL was building an interconnected ecosystemn that brings together consumers, its channel partners, and its operations spaces with data, technology, and analytics. Its AI-powered platform 'Sangam' uses market-mix modelling to optimise media campaigns. Its business-to-business platform, 'Shikhar' enables the kirana stores to place orders directly, which accounts for more than a third of the company's total sales and giving HUL real-time visibility into demand patterns across millions of retail touchpoints. 

The company is now managing warehousing and deliveries directly in the metro cities leveraging on the AI-powered 'Samadhan' platform which has reduced the delivery times to less than a day from the previous delivery time of three days. 

"In our supply chain, the Nano DC initiative launched this year, introduces compact, channel-focused distribution units that enable high-frequency replenishment for fast-growing channels like quick commerce, using RFID tracking and GPS-enabled controls for real-time visibility," Paranjpe said. 

HUL is stressing on modern science-backed research and development of its products which may de-risk the company from volatility in commodity inflation. 

"When a company depends heavily on a narrow set of inputs, whether palm oil, fossil-fuel-derived chemicals, or imported minerals, every price spike or supply disruption becomes a risk for both the business and the consumer," he said. "Science can help reduce that dependence. Companies that invest in this capability today will be less exposed to commodity cycles tomorrow."

As an illustration to this effect, Paranjpe said that HUL has developed skincare technology 'Stratos' which reduces the company's reliance on imported oils, and at the same time, delivers superior sensorial and skin benefits. It also comes with other sustainability benefits as well. 

Talking about building a flexible supply chain, he said that while HUL was sourcing a majority of its raw materials locally, it is redesigning its sourcing network for proximity and speed. "Businesses must learn to listen to, understand, and respond to the rapidly changing Indian consumer. India's consumer landscape is undergoing a structural transformation," he said adding that HUL was continuing its premiumisation journey with value offerings across categories.

"We are investing in new channels with dedicated focus. In India's high-density urban areas, we are witnessing the rise of affluent, time-poor consumers moving from traditional scheduled shopping to instant gratification," Paranjpe said. "To win in quick commerce, we have set up a dedicated unit to match the pace and intensity of the channel."

However, the top official of the country's largest pure-play consumer goods company said that macro-economic conditions in India are volatile and the country is navigating a difficult external environment which has moderated growth expectations. 

For the March quarter, HUL had reported net profit of INR 29.30 billion on revenue of INR 157.33 billion. Tuesday, shares of the company closed 1.5% lower at INR 2,118.20 on the National Stock Exchange.  End

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Edited by Akul Nishant Akhoury

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