Indian Management
Wed, 01 Feb-12
Pg# :87
Size : 1602 sq.cm.
INCLUSIVE
P
GROWTH
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
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-
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
SH AKTI ENTREPRENEUR EA R N S
^ 700-^ 1,000 A MONTH
to villages ading the respective Shakti village
tributors in rural markets. This m icro-enterprise
the Project Shakti network) across the country now.
offers low risks and high returns. The products
The revenue earned by the Shaktimaan further aug
distributed are some o f the country's most trusted
ments the household income o f the 'Shakti' fam
brands o f consumer goods, and include a range
ily. Shaktimaans covering about five to six villages
o f mass-market products especially relevant to
ading the Shakti village.The revenue earned by
rural consumers.
the Shaktimaan further augments the household
Moreover, HUL invests its resources in training
income o f the respective 'Shakti' family.
the entrepreneurs, helping them become confident,
Through Project Shakti and Shaktimaan, HUL
business-sawy professionals capable o f running
reaches over 100,000 villages across 15 states in
their own enterprise.The SE is also called as 'Shakti
India and over 3 m illion households every month.
Amma' — 'Shakti' means 'power/empowered' and
HUL works closely w ith various NGOs, banks and
'Amma' means 'mother' inTelugu the language spo
both state and local governm ent departm ents,
ken in Andhra Pradesh where Project Shakti was
who recognise the potential for econom ic growth
first piloted in 2000. Project Shakti has proved to
by encouraging women to becom e entrepreneurs.
be a great success fo r HUL and for rural im p ov
On an average, a SE earns ?700-?l ,000 a month,
erished women in India. The project started in a
and since most o f them live below the poverty line,
few pilot villages in Andhra Pradesh in 2000. In
this earning is sign ifican t, often doubling the
2002 it expanded to tw o states and by the end o f
household income. With the roll out o f Shaktimaan
2004 had grow n to over 13,000 Shakti women en
initiative, Shakti fam ilies have an opportunity to
trepreneurs in 12 states. Today there are about
further augment their income. HUL is also eval
45,000 Shakti Ammas across 15 states in India. In 2010, HUL rolled out the Shaktiman in itia
uating various opportunities to further strengthen the income o f Shakti Ammas.
tive through Project Shakti. Through the Shakti
HUL has continuously endeavoured to augment
maan initiative, men in the Shakti Amma fam ilies
the income o f its Shakti Ammas. In 2011, HUL part
distribute HUL products to villages ading the
nered with the State Bank o f India to bring bank
respective Shakti village. Through the G eograph
ing services to low-incom e people in small Indian
ica l In fo rm a tio n System , v illa g e s around the
villages through the Shakti Ammas.The Shakti A m
'Shakti' fam ilies are tracked and based on this they
mas are already trusted by local communities and
are allotted five to six villages. They go to these
make them a friendly and accessible way to pro
villages and sell HUL products. The Shaktimaan
mote access to banking in rural communities and
have also been given bicycles to ensure smooth
thus promote financial inclusion.
im
travelling between villages. HUL now has over 26,000 Shaktimaans (through
TO SUBSCRIBE TO INDIAN MANAGEMENT-SMS 'IMM’ TO 57007
Contributed by Hindustan Unilever.
INDIAN
MANAGEMENT-
FEBRUARY
2012
89