Britannia Industries Ltd. is a leading Indian food company that was founded 123 years ago in Kolkata by a British baker. It has since grown to become the largest biscuit and bakery company in India, with over Rs. 6000 crores in annual revenues. Britannia produces a wide range of bakery products including biscuits, bread, cakes, and dairy products. It has a strong brand and distribution network across India, reaching over half the population through 3.5 million retail outlets. The document provides details on Britannia's history, product portfolio, financial performance, business strategies, and SWOT analysis.

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Britannia Industries Ltd.

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Company Profile
123 years ago, in a small house in central Calcutta (now Kolkata) an intrepid baker made a
batch of delicious, golden brown biscuits. These were meant for officers of the British Raj
and their families, people used to the exacting standards of English tea-time snacking. From
the paeans of ecstasy for that first batch of aromatic, flavour-some biscuits was born a long
traditionof delectable baking - and its Indian custodian, Britannia.
Over the last century and a quarter, Britannia has been serving the Indian consumer with a
range of fresh, nutritious and flavour-rich products. We take pride in our food making
traditions and in our innovations, in equal measure. We demand the best of ingredients and
package their natural goodness in our products, without compromise. We deliver a complete
sensoryexperience, inevery product, every time.
Today, Britannia is a leading food company in India with over Rs. 6000 Crores in revenues,
delivering products in over 5 categories through 3.5 million retail outlets to more than half
the Indian population. Our core emphasis across portfolios is on healthy, fresh and delicious
food and we are the First Zero Trans-fat Company in India. 50% of our product portfolio is
enriched with micro-nutrients. Our products are also delivered through the Britannia
NutritionFoundationto combat malnutritionamong underprivileged children.
Britannia Dairy had its beginnings in 1997. Britannia was one of the first companies in India
to pioneer category defining innovations like Cream Cheese and introducing a host of
international flavors for its cubes & spreads in India. Today Britannia Dairy products
contribute close to 10% of the company’s revenue. Britannia markets its dairy portfolio on
the back of a well integrated cold chain logistics network and reaches 3 million outlets across
the length& breadth of this country.
Britannia's plants are located in the 4 major metro cities namely Kolkata, Mumbai, Delhi,
and Chennai. A large part of products are also outsourced from third party producers.

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Dairy products are out sourced from three producers - Dynamic Dairy based in Baramati,
Maharashtra, and Modern Dairy at Karnal in Haryana and Thacker Dairy Products at Howrah
in West Bengal. Britannia had spent 0.1 million US$ to hire Paris based designer Shombit
Sen Gupta to create a logo and packaging design. The logo had three objectives:
 Give consumer reassurance that it was a trustedand familiar brand.
 Britannia has the ability to change.
 It had to be appropriate to the business the company was in.
The logo consists of the company’s name and slogan, ³Eat Healthy Think Better´. The Hindi
rendition is ³Swastha Khao, Tan Man Jagao´. The corporate statement ³Eat Healthy Think
Better´captures the Indian concept of the unity of mind and body.
The logo has three colours red, white, and green each having its own significance.
Colour Red denotes Energy and Vitality. White denotes purity. Green stands for Nutrition
andFreshness. The strike communicates Innovation and Futuristic Power of Britannia.Today,
Britannia is the largest biscuit and bakery company in the country with the dailysales
turnover of over Rs. 8478 million. It is the market leader in the 1.3-million tonne
Indian biscuits industry with a 60% share. It has maintained market leadership with a 48%
value market share in the organized sector. Britannia core businesses constitute of Bakery
and Dairy products. Bakery products account for 90% of the revenues and include Biscuits,
Bread and Cake & Rusk. Dairy products contribute to 10% of Britannia’s annual turnover of
Rs13.38bn. Throughout its existence, Britannia has operated on the principles of providing
products to the consumers that are healthy and tasty. This is brought about by the use of high
quality ingredients with a strong focus on naturalness and modern manufacturing practices.
The company today has a wide range of bakery products in the biscuit, bread and cake
segment. It has trimmed down its wide product portfolio by reducing the products from 35 to
around 25 and began to focus onvalue-added instead of low-margin products.

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Business Objectives
Britannia Industries has decided to focus on seven core brands in the biscuits and bakery
category. The brands included Good Day, Tiger, 50-50, Snax, and the Cream Treat brands,
among others.. With the launch of Tiger brand, it has taken a plunge in the low-end category,
taking competition head on with Parle, which is the leader in this segment. The company has
also diversified within dairy and bakery products to enter the butter, cheese and ghee
markets. The portfolio was expanded with the launch of butter, pure flavored milk in tetra
packs and UHT milk. Britannia has built an enviable retail distribution network, which
services 400,000 retail outlets in 2,200 towns with the help of 2,500 distributors. The
company is aggressively expanding its network with a bias towards the rural markets
Recently, in the ethnic food segment, the company introduced a new range of traditional
‘namkeens’ in Mumbai called
Britannia Snax. The new range includes seven varieties of traditional namkeens like 'Bikaner
ki Bhujia' and 'Rajasthani Alu Bhujia' in a price range of between Rs 5 and Rs 20.The
company isin the process of setting up a Greenfield Biscuit Project in Uttaranchal to augment
its production capacity, entailing an investment of about Rs 55.2 crore. This plant will have
capacity to produce over 45,000 tonnes of two or three varieties of biscuit per annum. So
after over seven decades of being inseparable part of life in India, Britannia is now set to
usher its customers into ahealthier and tastier future.
In the 21st Century, Britannia strode as one of India's biggest brands and the pre-eminent
food brand of the country. It was also equally recognized for its Innovative approach
to products and marketing.
BIL is the leading player in Bakery Products (Biscuits, Bread, Rusk and Cake),
jointly promoted by French food major Danone and Nusli Wadia. It enjoys market leadership
in Biscuits with 39 % market share in terms of value. It owns key brands like Tiger, Good
Day and Marie Gold.

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There are six brands contributing to 90% of its sales. Each of these brands generate sales
exceeding Rs.1 billion and these brands include Good Day, Tiger, 50:50,Treat, Milk Bikis,
andMarie Gold. The company wants to give a special thrust on these brands for better
margin. New variants in these brands, attractive packaging formats and introduction of small
SKUs are expected to give volume growth in the domestic market. In the last year these
brands achieved double-digit growth.BIL enjoys market leadership in all the sub-categories
of biscuits, except in the Glucose category where Parle is the leader. A recent strategic
acquisition of 50% stake in Bangalore based Daily Bread gives footholds in premium
breads, cakes and high end ready to eat foods and snacks. BIL is looking forward to
increasing its stake in it from current stake of 50%.Britannia is playing aggressively in the
out of home consumption market, which has enormous potential. The low unit products help
in broadening the customer base. Small and convenient SKUs attract more consumers to
consume these, while they are outside the home.
Chota tiger has been launched at Rs.2/- for 50 gms similarly Marie gold has been launched at
Rs.5/- for 75 gms, 25 gms of Little Heart at Rs.4/-.We believe that OOH category will
contributes about 7-8% of total sales innext two to three years.

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Short-term Objective:
 To improve image to shareholders.
 To improve internal processes andcontrols.
 To increase NSV and ROI.
Long-term Objective :
 To be the lowest-cost producer inthe market.
 To become largest volume player in the bakery industry.
Quality Objectives:
 Reductionin customer complaints
 To start documentationof market returns dealer wise
 To empower the workmen on individual work area to ensure that only quality product
are passedon the next page of production.
 Continuous training for the development of human resources.
 To minimize the accident level.
As part of the growth strategy, the company always tries to build on the values of brand
"Britannia" by aggressively pursuing tasty yet healthy offerings of mass appeal and also
launching a host of affordable products, which would help rejuvenate the mother brand and
drive categoryconsumption.

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Vision and Mission
Vision
To dominate the food and beverage market in India with a distinctive range of “Tasty Yet
Healthy” Britannia brands.
Mission
To dominate the food and beverage market in India through a profitable range of “Tasty yet
Healthy” products by making every Indian a Britannia consumer. “We want to be part of our
consumer- at home, out of home, a natural part of his life”.
On the operations front, the company was making equally dynamic strides. In 1992, it
celebrated its Platinum Jubilee. In 1997, the company unveiled its new corporate identity -
"Eat Healthy, Think Better"- and made its first foray into the dairy products market. In 1999,
the "Britannia Khao, World Cup Jao" promotion further fortified the affinity consumers had
with 'Brand Britannia'.
Britannia strode into the 21st Century as one of India's biggest brands and the pre-eminent
food brand of the country. It was equally recognised for its innovative approach to products
and marketing: the Lagaan Match was voted India's most successful promotional activity of
the year 2001 while the delicious Britannia 50-50 Maska-Chaska became India's most
successful product launch. In 2002, Britannia's New Business Division formed a joint
venture with Fonterra, the world's second largest Dairy Company, and Britannia New
Zealand Foods Pvt. Ltd. was born. In recognition of its vision and accelerating graph, Forbes
Global rated Britannia 'One amongst the Top 200 Small Companies of the World', and The
Economic Times pegged Britannia India's 2nd Most Trusted Brand.

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SWOT Analysis of Britannia
STRENGTH WEAKNESS
OPPORTUNITIES THREATS
Recommendations
 The manufacturer should understand the consumer behaviour to beat the competition.
 Britannia should adopt a Push strategy of marketing in order generate more sales and
giving more margins to the retailers.
 The company should try to get associated with the Government initiatives as Mid-day
meal, Sarva Shiksha Abhiyan, National Rural Health Missions
 Introduce new flavours in their product range.
 They can open dedicated Britannia stores as of Amul for more market share and
differentiating from others in the industry.
 Extensive distribution network
 Providing a wide range of biscuits
 Innovative advertisement
 Widely accepted in all generations
 Easily available in various form
 Depends on stores and retailers
 Low penetration in rural area
 Not an extensive overseas market
 Increases the cost of food products
 Increasing demand for diet and
sugar free biscuit
 Retaining loyal retailers and
wholesalers
 Targeting interior area of India
 Generate employment opportunity
 Local bakery products limitation
 New entrants like Cadbury Oreo,
Sunfeast Dark fantasy
 Margin war among the major brands
 Unable to utilise all the resources
efficiently

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Business Strategies
Strategic Management & StrategyFormulation
Framing MissionandObjectives:-
In the step Britannia Company Forms its mission and objective, which has been decided by
toplevel management mainly by Mrs. Nusali wadia and Ms. Vinita Bali and Varun Berry.
Analysis of the Internal Environment:- In this part Britannia company analyze its strength,
weakness , opportunity, and threat which I have already shown you before, this is also
decidedby the top level management or build up automaticallyas company progressedup.
Analysis ofthe External Environment:-
In this part company done external analysis i.e. PEST analysis. In market Briatannia is a big
name so politically he is strong, Chairman Nasali wadia is engaged in many Indian
government and political society.
Gap Analysis:-
Britannia biscuits is the most selling biscuits brand across the globe, Britannia biscuits are
healthy, efficient, powerful, standardized, segmented according to categories and cheap in
price. So all together customer gets what they need, sometime there is gap between their
expectations and companies deliveryof product.
Choice ofStrategy:-
Britannia’s first choice shop they kept Britannia contest to attract customer. They can think
differentiationas their alternate choice.

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StrategyImplementation
Formulationof
Plans: -
The strategy planned by top level management. But the implementation part has done by
Business level and function level. The plan that how can they achieved the target. For this
they divided the big work into small work. After that they implement small work.
Programs andprojects:-
After acquiring the biggest share in the market they are preparing their company for the next
step to achieve its goal. Their management is trained by the training program to make them
familiar with the Britannia family.
Resource Allocation:-
To develop Britannia Biscuits market Britannia company is using various resources such as
physical resources, financial resources andhuman resources.
Structural Implementation:-
There is need for organizational structure to implement strategies Britannia companies
structure is the frameworkthrough which an organization operates.
Functional Implementation:-
A manager can also change activity of the sales person. The manager that is head of the
department of the Britannia company take all roles and responsibilities to get the work done
from others. the decisions takenby them are implemented by all the workers or employees.
Behavioral Implementation:-
Britannia is very much employee oriented organization themarketing departments have given
the performance bonus & they have beensend to the fatoryto demonstratebiscuits.

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StrategyEvaluation
Setting ofStandards:-
In this level manager set target to his sales person, generally every departments work on
target basis.
Measurement ofPerformance:-
Now in this case manager analyze that whatever the target had given to the sales peoples has
done or not.
ComparisonofActual Performancewithstandards:-
Now theycheck the actual performance of the sales people andanalyze the performance.
Finding out deviations:-
In this case they check why the sales people not able to achieve the target, whatever the
target had given to the sales people where was the deviation.
Analyzing
Deviations: -
After that the manager and toplevel management checkthat deviation.
Taking Corrective measures:-
After that manger tries to solve those deviation. Basically the sales people will again send to
the training fieldreview and on jobtraining, this is the method Britannia adopts quite often.

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Internal and External Analysis of Britannia Industries
Bakery industry in India today has an important place in the industrial map of the country. With
rapid growth, improvement in standard of living, westernization, increase in spending power,
changing eating habits of people and increased transition from the unorganized sector to
organized sector, bakery products have gained immense popularity among masses.
Industry Structure
The bakery industry is mainly popular in the southern part of India like the states of Andhra
Pradesh, Maharashtra, West Bengal, Karnataka, Tamil Nadu and Kerala. Around 60% of
production takes place in the unorganized sector. There are around 2 million unorganized
bakeries in the country, comprising small bakery units, cottage and household type
manufacturing. The organized sector consists of large, medium and small-scale manufacturers
producing bread and biscuits. The market size for the industry in India is expected to reach 47
billion by 2015 with a growth of 50 to 60 % per annum.
Industry Segments
Bread: About 50% of this segment is organized and is growing at a rapid rate of 14-15% per
year. The estimated size of the organized bread industry is about 50 billion.
Biscuit: The biscuit market in India is estimated to be $100 billion and the industry is also
gearing up to aggressively tap the medium and premium segment within the country. Biscuit
industry in India in the organized sector produces around 60% of the total production, the
balance 40% being contributed by the unorganized bakeries. Mainly in rural India the biscuit
consumed by consumer is from unorganised sector.
PORTER'S FIVE FORCES MODEL:
Competitor Rivalry:

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BIL has a market share of 38% and has been growing at 27%, compared to the industry growth
rate of 20% Battle-scarred Britannia on expansion spree, Business Standard and has many
competitors based on the nature of product. Parle and ITC (Sunfeast) pose a great competition to
BIL. BIL earning major of its income from the biscuits, and Parle and ITC are the other major
players in biscuit market. BIL is also into the production of dairy products, where the two major
players in market are Amul and Nestle. Amul is the leader in the dairy industry. There is also a
high level of competition from the unorganized baking sector. Overall rivalry is high.
Threat of New Entrants:
The entry on a small scale dairy industry and in the unorganized baking sector is easy. But on the
other hand to enter the large scale dairy industry and organized baking sector a huge amount of
investment is required in terms acquiring assets and to establish supply and distribution chains.
Government regulations pertaining to food norms and others may also seem to be unattractive.
Looking at the latest trends, the bakery industry is expected to earn huge revenues which might
attract new entrants. So the threat of new entrants is moderate.
Threat of Substitutes:
Savoury snacks, crisps, cereals, fruits and other fast food can be substituted for biscuits. Dairy
products are dubious to be replacing with other products as they key ingredients of majority of
people’s diet. So the threat is a very moderate threat of substitutes.
Buyer’s Power:
The buyer’s of these products could be a retailer or the consumer. Both the dairy and bakery
industry are price sensitive, so a little increase in price might lead the consumer to shift other
brand or product. So the buyer’s power is calculated to be very strong.
Supplier’s Power:
The major supplies for a bakery industry include wheat, sugar and other agriculture products.
And the major supplies for dairy products are milk. It’s difficult to bargain with the suppliers of
the above mentioned inputs as the price of these inputs is majorly influenced by the production
5

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of these inputs. The prices tend to be high as the demand for these products is rising at much
faster rate than supply.
The secondary supplies include the packaging material. The secondary supplies can be easily
substituted with the low-cost ones to save on cost. Overall the supplier’s power is assessed to be
moderate.
Conclusion of Five Forces Analysis:
There is an existence of major players in the market with a moderate level of threat of new
entrants and substitutes. The supplier’s power is moderate but the buyer’s power is measured to
be strong. So the rivalry is suggested to be high.
PESTEL ANALYSIS
Political:
Exemption on Customs Duty on Sugar Raw Material Import: Due to the shortage in the
production of sugar the deadline for the exemption on customs duty on raw sugar imports has
been extended. Exemption on customs duty will help in purchasing sugar at lower cost, which in
turn will control the cost of production.
VAT on Biscuits: The VAT of 12.5% on Biscuits. Price of the biscuits might need to be
increased due to the high VAT rates which may result in switch of brands due to the highly
competitive market.
Removal of Import Duty on Dairy Products: The whole-sale price based inflation indicates that
the milk prices have moved up by 14.73% over the last year. The imports at cheaper rate would
help in reduce the cost factor for dairy products.
Incentives to Build Cold Storage Facilities: Wastage of food items due to lack of cold storage
facilities lead to a loss of Rs. 500 billion every year. The government announces schemes and
incentives to attract investments in cold storage warehousing would help in preserving products
better and reduce the wastage cost.
6

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Economical
Shortage of Milk: Even though the milk production has risen by 4.6% compound annual average
growth rate, it still cannot match up with the increasing demand. Price of milk increased by
12.6% to 13.6% . This can cause an increase in the input cost for the dairy products and which in
turn can lead to hike in price or lower profit margins.
Globalization: Globalization a universal phenomenon is affecting each and every industry. This
can serve as an opportunity to expand the business to a global level but on the other hand there is
a threat of new entrants from international market.
Requirements for Logistics: Logistics in India suffer due to the poor infrastructure and other
limitations. Sophisticated third party logistics system will help in proper supply chain
management and on time delivery of goods, which help in maintaining the shelf life of goods on
meeting the demand on time.
Social:
Need for Healthy Eating Habits: Studies say that Indians are more prone to Coronary Artery
Disease (CAD), which is the major independent risk factor causing Cardiovascular diseases, due
to the smaller calibred arteries found in Indians. This suggests that Indians should move towards
more healthy food and diet. This could be a new area to explore for Britannia with its new health
associated products like Nuti-Choice biscuits and Actimind flavoured milk.
Problems with Cloned Livestock: Cloned animals are supposed to be suffering from large-
offspring syndrome. The mother cows face a problem in giving birth to the cloned animals as
they are larger than normal. Also these cloned animals suffer from health which might make
unsafe to consume the produce from them.
Technological:
Cloning of Livestock: India, a late entrant in cloning research, is now moving with a great pace
in cloning technology. ‘Hand guided cloning technique’, a technique very different from the
conservative cloning practice has been a successful venture.

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New Age Packaging: The new packaging systems help in protecting food from micro-organisms
by creating shelter layer. It uses new technologies like oxygen scavenging function, atmosphere
control, biodegrability etc. and is low cost.
Environmental:
Change in the Climatic Conditions: Climate plays an important role in the agriculture process.
The change in the rainfall pattern has been a matter of concern now in India. The agriculture
sector in areas which are monsoon dependent suffered badly due to the change in the rainfall
pattern. The sector suffered a huge loss in terms of total output. The loss in crop will affect the
input supply and this might delay or cause problems in the production. So the industry might not
be able to meet the demands resulting in the loss of customers.
Legal:
Raising the Norms for the Probiotic Food: There is a need for setting the standards for probiotic
food. Clinical tests should be conducted on the probiotic foods before they could reach the
market for sale. The Indian Council of Medical and Research has submitted the proposal for the
same to the government. Strict norms will help in raising the quality standards but on the other
hand the cost and time of production might subsequently increase.
7

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Identifying key success factors
WHAT DO
CUSTOMERS
WANT? (Analysis of
demand)
HOW DO FIRMS
SURVIVE
COMPETITION?
(Analysis of
competition)
KEY SUCCESS
FACTORS
BISCUITS Low price, variety,
quality, quantity,
flavours, availability
at convenient stores,
discounts, offers,
packaging, taste,
healthy, wheat
instead of refined
flour, health
conscious.
Markets localized,
extension of product
line, managing
supplier and
distributors network
for availability of
products, launching
promotional offers,
R&D in tastes and
flavours, introducing
more dietary and
healthy product
range.
Convenient locations,
competitive price
challenge, wide
variety of offerings,
new product launch,
quality parameters.

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Corporate Restructuring
Food products company Britannia Industries Ltd is revamping its go-to-market strategy as
part of an overall top management restructuring.
The company, which earlier had 'category directors' for its biscuits business, each under
Health & Wellness and Delight & Lifestyle, has now done away with the two and has said
one director-marketing will spearhead both the categories. Shalini Degan, who was the
category-director for Delight & Lifesytle has quit the company, while Anuradha
Narasimham, who was the category director-Health & Wellness, is now made director-
marketing.
The move to revamp the channels it uses to connect with customers started early in January,
when Varun Berry was brought in as the chief operating officer (COO), replacing the then
COO and vice-president-marketing Neeraj Chandra. Chandra was then moved as vice-
president of strategy and new business development, the position which he has since quit.
Recently, Britannia announced that its Managing Director Vinita Bali would now focus on
global operations and new business development, while Berry would lead the Indian
operations. The move to integrate the two categories may be the first key step which Berry
must be associated with, at a time when Britannia is facing intense heat from the likes of ITC
Foods and Parle.
Britannia, which controls around 33 per cent in the biscuits market, almost similar to the
share held by Parle, has been trying to reduce its dependence on the plain vanilla glucose
biscuits and to innovate aggressively on the value-added front. Bali has been championing
this cause aggressively for the past five years and as a result of which, the share of the
glucose biscuits has dropped to 19 per cent from 40 per cent in 2007. Even as Britannia has
been driving value in this segment, Bali has also brought about a change in the dependence

19. 19
of the biscuits to a lot extent, by leveraging on dairy, bread, rusks and cakes. The dependence
of biscuits is now at 81 per cent from the earlier close to 90 per cent.
"Sales of innovations has increased by 1.5 times in the past two years. Realisation on these
products is two-five times than the normal variants, while the cake, bread and biscuits range
is growing at a CAGR (compound annual growth rate) of 25 per cent," said Amnish
Aggarwal, senior vice-president-Research, Prabhudas Lilladher.
In addition, the dairy business is expected to emerge as the next growth driver. "This
business has seen 22 per cent CAGR in sales with margin expansion due to huge potential in
dairy and focus on higher margin niches," he added.
Backed by these key strategic moves and helped by cooling-down inflation, Britannia
reported a 13.5 per cent growth in sales for the March quarter. Its profit jumped 65.6 per cent
to Rs 87.85 crore during the quarter, while the operating margin at 7.8 per cent.
"Britannia remains one of our top mid-cap picks as an improving product mix drives top line
and margin growth, and reasonable valuations (of the stock price) offers sizeable upside,"
said Gaurang Kakkad, an analyst with Religare Institutional Research.
Britannia Industries has kicked off an organisational restructuring by changing executive
portfolios andreportingstructure inthe last six weeks.
In a marked departure from the past, sales managers and purchase managers of branches
across the country will now report directly to the concerned national managers at the FMCG
major's corporate headquarters inBangalore.

20. 20
Till recently, all the managerial functions were under the direct scanner of zonal general
managers. Britannia had a policy of having four independent business units — Mumbai,
Chennai, Kolkata and Delhi zones — headed by a general manager.
Under the new dispensation, zonal general managers report to the head (industrial strategy)
for industrial strategy and cost reduction activities. For all other matters, they report to the
chief operatingofficerNikhil Sen.
V Kaul, the company's technical head till a few days ago, has now been designated as head
of technical and industrial strategy. The buzz is that zonal general managers will be
redesignatedas regional industrial managers.
While the branch purchase managers report to the national purchase manager on purchases of
key items like fat and sugar, they are still accountable to zonal mangers for local purchases.
All branch sales managers will now directlyreport to the national sales manger.
While GS Arora and V Tiwari are the general managers for the Mumbai and Delhi zones,
respectively, Saroj Chakravarthy is the GM for the Calcutta zone. R Wakhle, who was the
general manger for the Chennai zone, was recentlyput in charge of product development.
According to sources, Mr Ramani is expected to replace Mr Wakhle as the head of the
Chennai zone.
Mr Sen did not respond to a questionnaire on the organisational recast. His office said that he
couldnot respondas he was busy in meetings.
Another major change that took place recently is the bifurcation of the post of national sales
and marketing manager. Satish Mane, who recently left to join the Chennai-based
CavinKare, had beenhandling the sales and marketing portfolios for alongtime.
Post-bifurcation, Naveen Chopra is the new national marketing manager and A Mukherjee is
the national sales manager. S Pendharkar is expected to manage the quality brand. He was
earlier looking after the snacking division. N Shridhar, who had been roped in from Coca-

21. 21
Cola, is directly reporting to the company chairman Nusli Wadia. Wadia group sources said
that the chairman himself conducts monthlyoperational meetings.
Brand managers, who were only looking after advertising & promotions, are understood to
have been made responsible for the profitability of the brand. In some important cases,
Britannia has issuedcirculars for employees to get ataste of these changes.
Sources said that the restructuring will enable the corporate headquarters to have direct
control on all the major functions. "Recent restructuring is aimed at improving the
performance of the employees,"said an industry source closeto the company.
The restructuring comes shortly after the departure of around 20 people from the
organisation, including six senior people and eight middle-level executives. Prominent
among the executives who left the organisation are Satish Mane, Harikrishna and Ravi
Mannath.
While Harikrishna, who was the GM, human resources, has joined Banglaore-based Arvind
Brands, Ravi Mannath, the former company secretary, is now with MRF. G Sarkar, who used
to be a general manager in the finance department, has also quit the reorganisation.

22. 22
Corporate Governance
The Britannia Steam Ship Insurance Association Limited (Britannia or the Association) is a
mutual insurance association, otherwise known as a P&I Club, which provides protection and
indemnity and freight, demurrage and defence cover for ship owners and charterers (called
Members of the Association). It is a private company limited by guarantee and incorporated
in the UK. As a company limited by guarantee it has no shareholders. Instead each Member
agrees to pay a nominal sum in the event that the company is wound-up.
The Articles of Association (Statutes) of the Association set out the terms under which
Britannia operates, with its mutual status defined by the provisions in the Articles together
with the Association’s Rules.
Britannia is a member of the International Group of P&I Clubs and a signatory to the
International Group Agreement.
Britannia has appointed Tindall Riley & Co Limited, through its wholly owned subsidiary
Tindall Riley (Britannia) Limited, as the Managers, who manage its day to day business.
Tindall Riley & Co Limited is paid a management fee for these services which is disclosed in
the annual report and accounts.
Corporate governance is the system of rules, practices and processes by which a company is
directed and controlled. Corporate governance essentially involves balancing the interests of
the many stakeholders in a company - these include its shareholders, management,
customers, suppliers, financiers, government and the community. Since corporate
governance also provides the framework for attaining a company's objectives, it
encompasses practically every sphere of management, from action plans and internal
controls to performancemeasurement and corporate disclosure.
Britannia considers good Corporate Governance a pre-requisite for meeting the needs and
aspirations of its shareholders and other stakeholders in the Company and firmly believes
that the same could be achieved by maintaining transparency in its dealings, creating robust
policies and practices for key processes and systems with clear accountability, integrity,

23. 23
transparent governance practices and the highest standard of regulatory compliance. The
Board is headed by a Non-Executive Chairman and comprises eminent persons with high
credentials of considerable professional experience and expertise in diverse fields who
actively contribute in the deliberations of the Board, covering all strategic policy matters and
decisions.
As on close of business hours of 31 March 2015, the Board comprised of Twelve (12)
Directors consists of Eleven (11) Non-Executive Directors of which Seven (7) Independent
Directors constituting more than 50% of the Board strength. During the year 2014-15, eight
(8) Board Meetings were held. The maximum gap between any two Board Meetings held
during the year was not more than four (4) months.
The Company has laid down a Code of Conduct for the members of the Board as well as for
all employees of the Company. The code has also been posted on the Company’s website -
www.britannia.co.in. The Managing Director has confirmed and declared that all members of
the Board and Senior Management have affirmed compliance with the Code of Conduct.
The financial statements in accordance with the applicable accounting principles in India, the
mandatory Accounting Standards (‘AS’) prescribed by the Companies (Accounting
Standard) Rules, 2006, the relevant provisions of the Companies Act, 1956 (‘the Act’), the
guidelines issued by the Securities and Exchange Board of India (‘SEBI’) and the Companies
Act, 2013 to the extent relevant. The Board has constituted the following Committees of
Directors:
1) Audit Committee:
2)Remuneration / Compensation Committee:
3) Nomination Committee

24. 24
C.S.R
Corporate Social Responsibility (CSR) is defined as the voluntary activities undertaken by a
company to operate in an economic, social and environmentally sustainable manner. In India
,many firms have taken the initiatives of CSR practices which have met with varying needs of
the society. The present study has made an attempt to understand the status and progress and
initiatives made by large firms of India in context to CSR policy framing and
implementationCorporate Social Responsibility (CSR) embodies the various initiatives and
programs of Britannia Industries Limited (“Company”)in the communities and environment in
which the Company operates. The Board of Directors of the Company has constitute a CSR
Committee of Directors comprising of four directors with three being Independent Directors.
It represents the continuing commitment and actions of the Company to contribute towards
economic and social development and growth. In 1997 Britannia underwent a re-branding of
sorts and adopted the corporate mantra 'Eat Healthy, Think Better', and correspondingly cut out
all transfats from the formulation of all its biscuits. It was the first company in India to do this
and was therefore the front-runner in acknowledging the health problems associated with a diet
high in transfats. They were also the first company to reduce sodium and sugar levels in their
products. Apart from these, Britannia is also actively involved in all aspects of CSR. This is
something that Bali is very insistent upon and believes that strategic CSR can act to improve
socio-economic conditions the world over.
She is particularly involved in using CSR as a powerful tool to increase awareness of childhood
malnutrition and formulates her products to cater to this. Bali has steered Britannia on the
Health and Nutrition course with focus on launching Better for You and Fortified products as
well as driving advocacy and awareness. Britannia is engaged with GAIN (Global Alliance for
Improved Nutrition), UNWFP (United Nations World Food Program), CGI (Clinton Global
Initiative) as well as grassroot initiatives. Britannia, as the company has two insights – one with
commercial sales of the nutritious fortified biscuits in the market and the other by serving the
malnourished children with fortified nutritious biscuit through public private partnership with
NGOs.

25. 25
Sustainability and public health relevance are key issues for all CSR activities at Britannia. The
Britannia Nutrition Foundation works towards the control and prevention of malnutrition. BNF is
an independent, autonomous, non-profit entity that leverages the strengths of Britannia’s wide
stakeholder network to address the issue of child nutrition. The Navjyoti project was launched to
fight iron malnutrition through the supplementation of biscuits with iron. These biscuits are
distributed to many mid-day meal schemes in Andhra Pradesh that
reach underprivileged children. This program has been recognized by GAIN.
Apart from this Bali has a special interest in women's rights, health and hygiene education and
has incorporated these ideas into Britannia's strategic CSR model. The large portfolio in biscuits
and dairy products provides health and nutrition to both children and women. Many brands in
have been fortified with vitamins and minerals in addition to iron.
In their dairy portfolio they make available products like milk and yogurt which are low in fat
and are always exploring the introduction of healthy food across all segments. For example, they
were one of the first companies to introduce sugar-free and digestive whole-grain biscuits.
During the recession, the company adopted various other CSR measures to cut costs and improve
productivity. Bali says that focusing on reducing energy requirements and cutting wastes through
better use of energy was an essential part of revenue management.
Britannia Industries Ltd exports its products to over 55 countries around the world and profits
have shown exponential increase since Bali has taken over at the helm and introduced various
CSR initiatives. This is a testament that CSR can act as a value-add for many companies which
enhances market share and profits.
The rotart club conferred the “Corporate Social Responsibility (CSR) Award” on Britannia
Industries Ltd. The award was given in recognition of the good work done by the Britannia
Nutrition Foundation. In order that the award serves as a catalyst for a lasting service initiative,
the Club launched the “Rotary Club of Madras-Britannia Nutrition Initiative” on the occasion.
Britannia has agreed to partner with the Club by providing specially made iron fortified biscuits
free of charge as the first phase of the initiative. The biscuits will be distributed as part of the
Club's Nutritious Meals Programmes.

26. 26
Conclusion
Britannia Industries limited is the India's largest manufacturing company covering all sectors of
bakery products and diversifying into dairy products market. Developing and generating trust
amongst its consumer base and delivering quality products had made it success
for Britannia. Britannia will surely be able to fulfil its desired mission of making every third
person the consumer of Britannia if it follows the path of innovation and diversification.
Britannia Industries Limited is an Indian food-products corporation based in Kolkata. • It is one
of India’s best known brands and also one of the most admired Food Brand in the country. • It is
the largest company
in the food processing industry whose product range also includes breads and cakes. • Britannia
has a basketful of goodies with biscuits like – NiceTime, Tiger, Marie Gold, 50 50, Maska
Chaska, Milk
Bikis. Today, Britannia is a leading food company in India with over Rs. 6000 Crores in
revenues, delivering products in over 5 categories through 3.5 million retail outlets to more than
half the Indian
population. Britannia was one of the first companies in India to pioneer category defining
innovations like Cream Cheese and introducing a host of international flavors for its cubes &
spreads in India. Today Britannia
Dairy products contribute close to 10% of the company’s revenue. Britannia markets its dairy
portfolio on the back of a well integrated cold chain logistics network and reaches 3 million
outlets across the length & breadth of this country. Britannia is recognized as one of the most
trusted, valuable and popular brands among Indian consumers in various reputed surveys.
Britannia Industries Ltd. has a number of awards and accolades in its
name like :
 Forbes Global rated Britannia 'One amongst the Top 200 Small Companies of the World'.
 The Economic Times pegged Britannia India's 2nd Most Trusted Brand.

27. 27
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