FMCG (Fast Moving Consumer Goods) conglomerate CavinKare on Monday, August 30 announced plans to restructure its business and introduce four new divisions viz. FMCG, E-Commerce, Retail and Innovation. Founder & Chairman CK Ranganathan’s son and daughter will join the CavinKare leadership team. Daughter Amudha Ranganathan will head the E-Commerce division, while son Manuranjith Ranganathan will be in charge of Retail. Venkatesh Vijayaraghavan, who is Director & CEO, FMCG will take over as the Group CEO.
Speaking about the changes, CK Ranganathan (CKR) said, “We would like to bring in a far more growth oriented structure that brings in sharp focus for CavinKare 2.0. At a time when the market is clearly demanding and with e-commerce taking over traditional trade, the future of competition is going to be different. We have to adapt ourselves to effectively compete in the market. I think it's time for the next generation to drive the growth in the company.”
CavinKare 2.0 intends to focus on innovation, e-commerce and combined synergies among multiple divisions, said CKR. "FMCG vertical is consolidated and will be led by Venkatesh Vijayaraghavan. He has demonstrated very clear growth, has introduced many processes, built a strong team for personal care which is growing at a healthy rate. Now he will be taking charge as the group CEO. Naturally, e-commerce will also come under him with a special thrust from Amudhavalli Ranganathan,” CKR added.
CKR said Retail will be led by Manuranjith Ranganathan post his successful stint with CK Bakery, and it is time to consolidate Retail. “He will also head the growth of our animal hospital - SANCHU - which is now under our retail division,” CK Ranganathan added.
The Chennai-based company is also placing a special thrust on its dairy segment which will also be led by Manuranjith. “Under the salons vertical - retail will be led by Manuranjith and products will be led by Venkatesh Vijayaraghavan. Venkatesh will also lead digital practices - IoT, Robotic process, AI etc., considering AI led analytics is going to rule the roost. We believe that the new structure will bring in phenomenal business,” CKR said.
Venkatesh Vijayaraghavan said that from an organisation perspective, the organisation is being split into two opportunities - retail led and FMCG led opportunities. “The FMCG space today as we see it is witnessing phenomenal opportunities of growth, both across traditional channels and e-commerce channels as well. Underlying this is digital focus,” he said.
Some of the brands owned by CavinKare include: Hair Care brands CHIK, Nyle; Hair Colour brand Indica; Dairy brand Cavin’s; Food & Snacks brand Ruchi, Bhima. CK Ranganathan set up Chik India in 1983 and Chik Shampoo was the first product. The company was renamed as Beauty Cosmetics Pvt. Ltd. in 1990 and was later rechristened as CavinKare Pvt. Ltd. in 1998.
Manuranjith, Director - Retail said, “With the success of my first venture CK Bakery, I'm planning to implement the strategy for the brands in CavinKare. CK Bakery is a group company, we are planning to expand aggressively with a mix of company owned and franchise.”
Amudhavalli, who is currently Director of New Initiatives, said that she has been into the education sector for a few years and will now be stepping into mainstream business. “After COVID, e-commerce growth is increasing, so CavinKare is coming up with exciting and new launches which will be path breaking for each and every category. We are launching e-commerce specific brands /products and before December, you will see a slew of products,” she said.