Dabur India Ltd., founded in 1884, is a leading FMCG company specializing in ayurvedic medicines and consumer products, with a significant shift in strategy amid market challenges. During the pandemic, Dabur implemented a turnaround management strategy, launching 40 new products, focusing on rural markets, and investing in healthcare, leading to substantial growth. The company's successful restructuring and international expansion, driven by CEO Sunil Duggal, has positioned it strongly in the global market, enhancing its brand image and revenue.

1. DABUR INDIA:
BREACHING BORDERS
Turnaround at Dabur

2. COMPANY INTRODUCTION
• Dabur India Ltd., derived from Da-ktar Bur-man
• Founded in 1884 by Dr. SK Burman
• Dabur holds the legacy for over 125 years
• Headquarter in Ghaziabad, Uttar Pradesh
• Business: Manufacturing ayurvedic medicines & consumer products
• In 2000,Dabur’s business has accounted to be worth Rs.10000 Crores
• Dabur is one of the leading FMCG company with revenue of Rs. 2337
Crores in FY 2020-21
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3. 3
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THE BURMAN GENERATION’S

4. 4
DABUR: DURING PANDEMIC
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• Amidst pandemic, Dabur climbed 14 spots to reach at 160th position under Fortune 500 company, 2020
• During FY 2020, Dabur growth status: 30% Urban & 29% Rural market
• Since March’21, Dabur launched 40 new products across segments
• April 2021, Surge in Chyawanprash, honey & immunity-building ayurvedic products
• 550 Cr investment in MP, manufacturing chyawanprash
• E-commerce platforms contributes 5-7 % to overall turnover, 2020
• Investment in healthcare- clinical trials on groups consuming chyawanprash, 40% reduction in covid instances
• Dabur’s Q4 (Jan-Mar) Growth: Healthcare (23%), Home & Personal Care (32.6%), Food & Beverages (28%)

5. CONCEPT: TURNAROUND
MANAGEMENT
• Slatter (1984), defined turnaround as sustainable recovery of
sick firms
• It is a process dedicated to corporate renewal
• It involves management review, root failure cause & SWOT
analysis
• It is slow, complex & difficult process in nature
• Turnaround need: Over diversification, Poor management
style, Market conditions, lack of operating controls, Poor
lender relations
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6. TECHNIQUES
OF
TURNAROUND
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Retrenchment
• Short term actions to reduce financial losses
Repositioning
• New innovations & changes in product profile
Replacement
• Assessing team & identifying employees fit for turnaround move
Renewal
• Long-term actions to conclude with successful managerial performance

7. THE CASE
• Post Liberalization, Global FMCG players gave tough competition to
Dabur
• Despite having huge demand for consumer products, Dabur was unable
to grow
• After a decade to LPG policy and Dabur’s struggle, they went for
turnaround strategy
• Initially, they outsourced their core business & entered into new market
• Dabur, expanded it’s target market to rural areas & overseas market
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Dabur entered new markets to grow again- Business News (businesstoday.in)- THE CASE

8. 8
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SWOT ANALYSIS- DABUR
Excellent product
diversification
Strong legacy &
brand image
s Stiff competition
from domestic &
international
brands
Fake products
sold under
brand name
w Tapping rural &
overseas markets
Growing
acceptance to
ayurvedic &
natural products
O FDI in retail,
allowing
international
brands
Intesne
competiton
among FMCG
players
T

9. CASE ANALYSIS
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MANAGEMENT CHANGE
• Sunil Duggal, The CEO
• An IIM- Calcutta Alumni
• Joined Dabur as General Manager-
Sales & Marketing
• Took over as CEO in 2002
• Diversified Ayurveda business to an
FMCG player: Beverages, Personal
care & Home care products
SITUATION ANALYSIS
• Year 2000, bought challenges for
Dabur
• LPG Policy boosts the FMCG Industry
in India
• Big MNCs captured the market
• Rise in consumer demand
• Dabur, despite a strong brand, facing
trouble cashing-in
• Turnaround: Changing customer
perspective toward Dabur

10. ACTIONS TAKEN
• Multipronged growth strategy
• Outsourcing core business like IT & demerged Pharma
Business
• Refurbishing product portfolio (skincare, packaged juice &
toothpaste)
• Packaging synced with 21st century customer needs
• Rural India- a key growth driver
• Inorganic Routes: Domestic- (Balsara Group-2005), (Fem Care
Pharma- 2008) & Overseas- (Hobi Kozmetik Group, Turkey-
2010), (Namaste Laboratories, USA- 2010)
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11. 11
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BUSINESS RESTRUCTURING
• Expanding horizons to overseas- a
game changer for Dabur
• Establishing factory abroad
• Dabur International, headquarters-
Dubai
• Venturing into Sub-Saharan Africa &
nearby markets like Turkey
RENEWED DABUR
• 30% turnover from overseas
market
• Vatika became a huge success
• Viewed as true Indian Multinational

12. CONCLUSION
• Dabur came as stronger brand after Turnaround
• Customer witnessed company with new perspective
• Retrenchment: Outsourcing business
• Repositioning: Refurbishing product portfolio
• Renewal: Expansions, Mergers & Acquisitions
• Replacement: Sunil Duggal (Burman’s owned Dabur
handover to Professional Experts)
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13. THANK YU
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