Indian Management

Wed, 01 Feb-12

Pg# :87

Size : 1602 sq.cm.

INCLUSIVE

GROWTH

w in -w in in itiative that catalyses rural affluence even as it benefits business. Project Shakti benefits business by s ig n ifi cantly enhancing HUL's direct rural reach, and by enabling HUL's brands to communicate effectively in m edia-dark regions. It also im pacts society by creating liv e li hood o p p o r tu n itie s fo r u n d e r p rivileg ed rural wom en. Project Shakti impacts society in two ways the Shakti Entrepreneur p ro gram me creates livelih ood op p or tunities fo r underprivileged rural women. The Shakti EntreDreneur (SE) program m e recognises that w hile m icro-credit plays a key role in a l leviating poverty, its ability to do so depends on the availab ility o f investm ent opportunities. Shakti contributes by creating profitable micro-enterprise opportunities for rural women. Armed with m icro credit, rural women become Shakti entrepreneurs: Direct-to-home dis-

roject Shakti is a rural distribution in itia tive o f Hindustan Unilever Lim ited (HUL) that targets sm all villa g es populated by less than 5,000 individuals. It is a unique

Hindustan Unilever's Project Shakti shows how economic development can be brought about through micro enterprise
TO SUBSCRIBE TO INDIAN MANAGEMENT-SMS 'IMM' TO 57007
INDIAN M A N A G E M E N T -F E B R U A R Y

2012

87

INCLUSIVE

GROWTH

Through the' Shaktimaan initiative, men in the Shakti Amma families distribute HUL products to villages adjoining the respective Shakti village
SH AKTI ENTREPRENEUR EA R N S

^ 700-^ 1,000
A MONTH

tributors in rural markets. This m icro-enterprise offers low risks and high returns. The products distributed are some o f the country's most trusted brands o f consumer goods, and include a range o f mass-market products especially relevant to rural consumers. Moreover, HUL invests its resources in training the entrepreneurs, helping them become confident, business-sawy professionals capable o f running their own enterprise.The SE is also called as 'Shakti Amma' 'Shakti' means 'power/empowered' and 'Amma' means 'mother' inTelugu the language spo ken in Andhra Pradesh where Project Shakti was first piloted in 2000. Project Shakti has proved to be a great success fo r HUL and for rural im p ov erished women in India. The project started in a few pilot villages in Andhra Pradesh in 2000. In 2002 it expanded to tw o states and by the end o f 2004 had grow n to over 13,000 Shakti women en trepreneurs in 12 states. Today there are about 45,000 Shakti Ammas across 15 states in India. In 2010, HUL rolled out the Shaktiman in itia tive through Project Shakti. Through the Shakti maan initiative, men in the Shakti Amma fam ilies distribute HUL products to villages adjoining the respective Shakti village. Through the G eograph ica l In fo rm a tio n System , v illa g e s around the 'Shakti' fam ilies are tracked and based on this they are allotted five to six villages. They go to these villages and sell HUL products. The Shaktimaan have also been given bicycles to ensure smooth travelling between villages. HUL now has over 26,000 Shaktimaans (through

the Project Shakti network) across the country now. The revenue earned by the Shaktimaan further aug ments the household income o f the 'Shakti' fam ily. Shaktimaans covering about five to six villages adjoining the Shakti village.The revenue earned by the Shaktimaan further augments the household income o f the respective 'Shakti' family. Through Project Shakti and Shaktimaan, HUL reaches over 100,000 villages across 15 states in India and over 3 m illion households every month. HUL works closely w ith various NGOs, banks and both state and local governm ent departm ents, who recognise the potential for econom ic growth by encouraging women to becom e entrepreneurs. On an average, a SE earns ?700-?l ,000 a month, and since most o f them live below the poverty line, this earning is sign ifican t, often doubling the household income. With the roll out o f Shaktimaan initiative, Shakti fam ilies have an opportunity to further augment their income. HUL is also eval uating various opportunities to further strengthen the income o f Shakti Ammas. HUL has continuously endeavoured to augment the income o f its Shakti Ammas. In 2011, HUL part nered with the State Bank o f India to bring bank ing services to low-incom e people in small Indian villages through the Shakti Ammas.The Shakti A m mas are already trusted by local communities and make them a friendly and accessible way to pro mote access to banking in rural communities and thus promote financial inclusion. Contributed by Hindustan Unilever.
im

TO SUBSCRIBE TO INDIAN MANAGEMENT-SMS 'IMM TO 57007

INDIAN

MANAGEMENT-

FEBRUARY

2012

89