Unilever's USLP Strategic Transformation Analysis
by Aditya Kirti
1. Problem Statement
1.1. Solutions apparent only in the long term
1.2. Requires significant upfront investment
1.3. Shift to sustainable practices makes meeting bottom lines for business units difficult
1.4. Skepticism about the efficiency of USLP
1.4.1. Continued off-track key metrics
1.4.1.1. Failed alternative product manufacture
1.4.1.2. Failed campaigns
1.5. Low global economic performance
1.5.1. "More headwinds than tailwinds"
1.6. Lack of clarity for many over their roles in the USLP strategy
2. Uncertainty Over Future Course of Action
2.1. How to finetune USLP
2.2. How to create impactful campaigns for the two off-mark key metrics
3. Sustainability Goals
3.1. Improve the health of a billion people
3.2. Reduce the environmental footprint
3.3. Enhance the livelihood of those in the supply chain
4. Aligning the OpCos with the Sustainability Strategy
4.1. Employing sustainability as a core strategy
4.2. Implementing this strategy across the supply and value chain
5. Results and Shortfalls
5.1. Improvement across 5 out of 7 pillars
5.2. GHG and Water Consumption increased because of consumers
5.2.1. Due to use of hot and excessive water, consumption increased
5.3. Improved the sustainable sourcing across all business units
5.3.1. Knorr Soups experiment saw sustainable sourcing rise from 10% to 48%
6. Results from USLP
6.1. Improved bottom line performance
6.2. More sustainable sourcing and identification
6.3. Decreased environmental footprint
6.4. Meeting the highest nutritional standards
6.5. Better workplaces
7. UN Global Impact Summit
7.1. 7 pillars expanded to 9
7.1.1. Scope widened to include diversity, fairness, workplace inclusion, and other measures
7.1.2. USLP practices split into two to accommodate for different deliverables
8. Partnerships to Achieve Objectives
8.1. Partnered with NGOs, Governments and suppliers to execute contracts
9. Championing Causes
9.1. Eliminate deforestration
9.2. Improve sustainable agriculture
9.3. Improve the livelihood of smallholder farmers
9.4. Improving the health and hygiene of a billion people
10. Crafting Brands for Life
10.1. Improved Brand Association
10.1.1. Aligning business activities to USLP goals
10.1.2. Improving recall, association, and sustainable development