Sunday, December 03, 2006

Lijjat Papad : A Brand With A Cause

Brand: Lijjat papad
Company: Shri Mahila Griha Udyog Lijjat Papad

Brand Count: 171

Lijjat papad is a brand with a difference .This brand is a special one because it makes a difference in the livelihood of thousands of poor women in India. The brand from Shri MahilaGriha Udyog Lijjat Pappad was started 46 years ago in 1959 on a measly sum of Rs 80. Seven ladies started preparing Papad and from there this story of a movement starts. From that Rs 80, the brand has grown to become Rs 300 crore and more importantly many households was saved from the clutches of poverty. One of the senior member founder Ms JaswantibenPoppat was honored with Economic Times Corporate Excellence Award in 2002.

Pappad is a form of Indian crispy bread. The food is taken as a snack and also along with lunch and dinner. Lijjat has become an integral part of the Indian palette through sheer determination and hard work.
The most important factor that the made this brand a success was the careful operational planning that goes behind the brand. It would humble even the smartest management graduate when we realize that ordinary women run this entire company.

The Lijjat brand is built on certain core values that has been ingrained into the entire system. The values are
a.Make sure that the process runs smoothly
b.Ensure the highest quality standards
c. give the product at a good price
d. Good corporate governance and profit sharing.

It can be said that the organization derives its values from the father of the nation Mahatma Gandhi ‘s idea of Sarvodaya.The process works like this

Every morning the group of members go the the Lijjat office to Knead the dough. Another group goes to the office to collect the “quality checked “ dough for rolling. These women give the previous days papads for quality check. Another team packs the tested papads. Every member gets the rolling charge ( vanai) based on the productivity.
The quality check process is also rigorous. The members should take a quality pledge and ensure that the house is neat and clean and there is a separate place for this process. Every member is trained to make the perfect Lijjat papad. If any member is found not adhering to the quality standards, she will be given some other work like packing etc.If during the testing , any lot is found to be below standards, the entire lot is destroyed.

The entire organization is decentralized and managed by a committee of 21 members. All the members of the committee have veto power and this ensures that decisions are based on consensus. The committee decides on the sharing of profit and all the members of the society gets equal share of profit. The decentralization gives the branches the power to do the quality checks and the responsibility to maintain accounts.All the members ( called as Ben) are owners of this movement and this automatically ensures greater accountability.

The brand is having the strength of “ Consistently Good Quality” as its USP.Recently this brand is also facing competition from other players. Unlike other social brands, Lijjat was serious about advertising. The brand communicated its Crispness and quality through its ads.The ads features a Bunny ( mascot) and a very popular jingle ‘Khurram Kharram”. The positive word of mouth, the advertisement, the consistent good quality and the distribution made this brand highly successful.
The company has also diversified into detergent branded SASA and other food products. The brand is a unique success story. The story of a movement that changed the lives of more than 40000 poor women.

source: businessline,rediff.com,wwi.org