STRATEGIC PLANNING

Strategic Planning

Strategic Planning

Introduction

This report is related to the strategic planning of Procter & Gamble. This report discusses the strategic management and proposed planning for the company. Procter & Gamble belongs to the Fast-Moving-Consumer-Goods industry. The purpose of this conceptual report is to evaluate the current and proposed the appropriate strategies to the company. The report also discusses various management tools and techniques with the analysis of competitors.

Part 1- External Factors affecting P&G strategy

Political Factors

P&G is governed by the Political Action Committee (P&G PAC) which is a non-partisan and voluntary political action committee. PAC is registered with the state offices which have allowed the company's employees to support the candidates at local, state and federal level. The candidates will be helped through individual, voluntary financial contributions. This will, in turn, support the important issues faced by businesses and improve the community's quality of life. The operations of PG PAC are complied with the applicable laws of the country. A set of laws govern the PAC where the supervision is done by the diverse board of the senior managers of the organization, the Government Relations personnel and the Legal Counsel. The issues of the company have an impact on the support provided by the candidates. This also helps in maintaining constituent relationships. With the political factors, both the company and consumers are protected (Price 2003, 183).

Economic Factors

Economic factors have a direct impact on the company's strategies and operations. Business grows with the economy. With the growing economy, consumers have an increased purchasing power. P&G is affected by the global economic impact. The company is required to conduct monitoring of every economy wherever the company is operating on an international level. The most important economic factors having an impact on P&G are inflation rate, exchange rates, interest rates and economic growth. The market has become more competitive with time. Macro environment factors have a huge impact on the micro environment. Because of the current economic tide, consumers are avoiding expensive purchases. Recession has brought adverse effects on the global economy; yet, the purchase of some of the products has increased.

Social factors

The leaders of P&G have to construct an inclusive work environment which adopts diversity easily. Diversity refers to a working environment where the employees are comfortable with each other irrespective of any unusual differences and distinctive characteristics. Each person involved with P&G is provided an equal access to learn, grow, gain opportunities and maximize distinctive contribution. To reinforce the diverse culture, the employees are trained, and related policies are constructed. The leaders value the differences in styles of leadership, experiences and decision-making processes (Price 2003, p. 183).

Technological factors

P&G promotes healthy working environment by advising and assisting its management and employees to adopt safe and certain ways. With technology advancement, the laws are followed, technology is implemented in protecting the brand integrity, emerging technologies are accepted to speed the market and employee productivity is optimized. Technological advancement paves way for the company to have efficiency and effectiveness in its operations (Stoney 2001, ...