PROCTER & GAMBLE

Procter & Gamble

Procter & Gamble

Introduction

The Procter & Gamble Company (P&G or 'the company') is one of the world's largest consumer goods companies. It markets branded products in the beauty, health, fabric, home, baby, family, and personal care product categories. The company operates in the Americas, Europe and Asia. It is headquartered in Cincinnati, Ohio, and employs about 127,000 people. The company recorded revenues of $78,938 million during the financial year ended June 2010 (FY2010), an increase of 2.9% over 2009. The operating profit of the company was $16,021 million in FY2010, an increase of 4.2% over 2009. The net profit was $12,736 million in FY2010, decrease of 5.2% over 2009 (Brian, 2008).

Business Description

The Procter & Gamble Company (P&G or 'the company') is a global manufacturer and marketer of branded consumer products. The company markets its products in over 180 countries spanning Americas, Europe, the Middle East and Africa (EMEA), and Asian region. The company's reportable segments are classified into six divisions, namely: beauty, grooming, health care, snacks and pet care, fabric care and home care, and baby care and family care. Additionally, the company's organizational structure is comprised of four divisions; Global Business Units (GBUs), Global Operations, Global Business Services (GBS) and Corporate Functions (CF). GBUs of P&G mainly focus on consumers, brands and innovations around the world. It is further organized into three sub-units; Beauty, Health and Well-Being, and Household Care. The Beauty GBU includes the beauty and the grooming businesses. The beauty business is comprised of cosmetics, deodorants, prestige fragrances, hair care, personal cleansing and skin care. The grooming business includes blades and razors, face and shave products, beauty electronics, and small home appliances. The Health and Well-Being GBU includes the health care, and the snacks and pet care businesses. The health care business includes feminine care, oral care and personal health care. The snacks and pet care business includes pet food and snacks. The Household Care GBU includes the fabric care and home care, and the baby care and family care businesses.

The fabric care and home care business includes air care, batteries, dish care, fabric care and surface care. The baby care and family care business includes baby wipes, bath tissue, diapers, facial tissue and paper towels. Global Operations is comprised of P&G's Market Development Organization (MDO). MDO is responsible for developing go-to-market plans at the local level. The MDO includes dedicated retail customer, trade channel and country-specific teams. It is organized along five geographic units: North America, Western Europe, Central & Eastern Europe/Middle East/Africa (CEEMEA), Latin America and Asia which comprises Japan, Greater China and ASEAN/Australia/India/ Korea (AAIK). GBS provides technology, processes and standard data tools to enable the GBUs and the MDO to better understand the business and better serve consumers and customers. CF provides the company-level strategy and portfolio analysis, corporate accounting, treasury, external relations, governance, human resources and legal, as well as other centralized functional support.

History

William Procter and James Gamble established The Procter & Gamble Company (P&G or 'the ...