Procter & Gamble Company Profile Report in 2024

Procter & Gamble Company Profile Report in 2024

August 14, 2024

 

The Procter & Gamble Company
NYSE: PG
One Procter & Gamble Plaza
Cincinnati, OH 45202
United States
Phone: (513) 983-1100
Website: https://www.pginvestor.com
Industry Sector: Consumer - Household & Personal Products
Full Time Employees: 107,000
Annual Revenues: $82.01 Billion
CEO: Jon R. Moeller, President, CEO & Chairman
Fortune Rank: #51 in 2023

 

What is Procter & Gamble’s Mission Statement and Business Philosophy?

Mission Statement: Procter & Gamble's mission statement is "to make the best products better, improving the lives of the world's consumers, now and for generations to come."

Business Philosophy: Procter & Gamble's business philosophy is based on five core values:

• Purpose: Procter & Gamble is committed to making a positive impact on the world by improving the lives of its consumers.
• Consumer Focus: Procter & Gamble is obsessed with understanding and meeting the needs of its consumers.
• Innovation: Procter & Gamble is committed to innovation and constantly strives to develop new and improved products.
• Trust: Procter & Gamble is committed to earning and maintaining the trust of its consumers, employees, and shareholders.
• Long-Term Commitment: Procter & Gamble is committed to long-term success and is willing to make short-term sacrifices to achieve its long-term goals.

What are Procter & Gamble’s growth strategies for 2024 and beyond?

To maintain its position as a leading consumer goods company, Procter & Gamble (P&G) has outlined a comprehensive growth strategy for 2024 and beyond. This strategy encompasses key areas such as product innovation, market expansion, digital transformation, and sustainability. Here's a closer look at P&G's growth strategies:

1. Product Innovation: P&G is committed to continuous innovation, driven by its deep understanding of consumer needs and preferences. The company is investing heavily in research and development to create superior products that address evolving consumer demands. This includes developing new product categories, enhancing existing products, and incorporating sustainable practices into product formulations and packaging. 
2. Market Expansion: P&G is expanding its reach into emerging markets, where there is a growing middle class with increasing disposable income. The company is adapting its products and marketing strategies to suit the local needs and preferences of these new markets. Additionally, P&G is expanding its presence in existing markets through strategic acquisitions and partnerships.
3. Digital Transformation: P&G is embracing digital technologies to enhance its customer experience, optimize its supply chain, and gain deeper insights into consumer behavior. The company is investing in e-commerce platforms, data analytics tools, and artificial intelligence applications to drive digital transformation across its operations.
4. Sustainability: P&G is committed to environmental sustainability and is integrating sustainable practices into its business operations. The company is setting ambitious goals to reduce its environmental footprint, including reducing greenhouse gas emissions, conserving water, and minimizing waste. P&G is also developing sustainable packaging solutions and promoting the use of recycled materials.
5. Superiority: P&G is focused on delivering superior products, packaging, brand communication, retail execution, and value to its consumers. This commitment to superiority is evident in the company's investments in research and development, its focus on consumer insights, and its dedication to building strong brand reputations.
6. Productivity: P&G is continuously striving to improve its productivity and efficiency across its operations. The company is implementing lean manufacturing practices, automating processes, and optimizing its supply chain. Additionally, P&G is investing in employee training and development to enhance productivity and innovation.
7. Constructive Disruption: P&G is embracing constructive disruption, which involves challenging its own business models and processes to identify new opportunities for growth. The company is experimenting with new business models, such as direct-to-consumer sales and subscription services, to stay ahead of the curve and meet changing consumer demands.
8. Organization: P&G is committed to fostering an agile and accountable organization that empowers employees to make decisions and drive innovation. The company is creating a culture of collaboration, continuous learning, and risk-taking to support its growth ambitions.

These growth strategies underscore P&G's commitment to long-term success and its determination to remain a leading consumer goods company in an evolving market landscape. By focusing on innovation, expansion, digitalization, and sustainability, P&G is positioning itself for continued growth and value creation in the years to come.

 

What does the P&G organizational structure look like in 2024?

Procter & Gamble's (P&G) organizational structure in 2024 is a product-type divisional structure, with five industry-based Sector Business Units (SBUs):

1. Baby, Feminine and Family Care (BFHC): This SBU manages P&G's well-known brands in the baby care, feminine care, and family care categories, such as Pampers, Always, and Luvs.
2. Beauty: This SBU oversees P&G's beauty products, including hair care, skin care, makeup, and fragrances, under brands like Pantene, Gillette, Head & Shoulders, and Oral-B.
3. Health Care: This SBU focuses on over-the-counter (OTC) medicines and personal health care products, including brands like Pepto-Bismol, Vicks, and Metamucil.
4. Grooming: This SBU manages P&G's grooming products, including razors, shaving creams, and deodorants, under brands like Gillette, Old Spice, and Secret.
5. Fabric and Home Care (F&HC): This SBU oversees P&G's laundry detergents, fabric softeners, and household cleaners, including brands like Tide, Downy, and Mr. Clean.

Each SBU is responsible for its own product development, marketing, sales, and profit and loss (P&L) performance. This structure allows P&G to focus on the specific needs and dynamics of each industry segment while maintaining a centralized corporate structure for oversight and strategic decision-making.

This product-type divisional structure has been effective for P&G in enabling the company to manage its diverse product portfolio, adapt to changing market conditions, and respond quickly to consumer trends. It allows P&G to allocate resources and expertise effectively across its various business units while maintaining a cohesive brand identity.

Who is the current CEO of Procter & Gamble?

Jon Moeller is the current Chairman of the Board, President, and Chief Executive Officer of Procter & Gamble (P&G). He assumed this role on December 31, 2021, succeeding David S. Taylor. Moeller has been an integral part of P&G's leadership team for over two decades, developing strategies that P&G people are executing with excellence to drive the company's growth today.

Prior to becoming CEO, Moeller held various leadership positions at P&G, including Chief Financial Officer, President of Global Beauty, and President of Greater China. He has a proven track record of success in driving growth, innovation, and operational excellence across a wide range of P&G's businesses.

Under Moeller's leadership, P&G is focused on four key growth strategies:

1. Product innovation: P&G is committed to continuous innovation, driven by its deep understanding of consumer needs and preferences. The company is investing heavily in research and development to create superior products that address evolving consumer demands.
2. Market expansion: P&G is expanding its reach into emerging markets, where there is a growing middle class with increasing disposable income. The company is adapting its products and marketing strategies to suit the local needs and preferences of these new markets. Additionally, P&G is expanding its presence in existing markets through strategic acquisitions and partnerships.
3. Digital transformation: P&G is embracing digital technologies to enhance its customer experience, optimize its supply chain, and gain deeper insights into consumer behavior. The company is investing in e-commerce platforms, data analytics tools, and artificial intelligence applications to drive digital transformation across its operations.
4. Sustainability: P&G is committed to environmental sustainability and is integrating sustainable practices into its business operations. The company is setting ambitious goals to reduce its environmental footprint, including reducing greenhouse gas emissions, conserving water, and minimizing waste. P&G is also developing sustainable packaging solutions and promoting the use of recycled materials.

Moeller's leadership and strategic vision have been instrumental in guiding P&G through a period of significant change and positioning the company for continued growth and success in the years to come.

Who are Procter & Gamble’s top competitors in the marketplace?

Procter & Gamble (P&G) is a leading consumer goods company that operates in various sectors of the market. As a result, it faces competition from a wide range of companies, including:

Direct Competitors:

• Unilever: Unilever is a multinational consumer goods company with a diversified portfolio of products, including personal care, food, household care, and beverages. It is a major competitor to P&G in several categories, such as detergents, shampoos, and skincare products.
• Colgate-Palmolive: Colgate-Palmolive is a global consumer goods company that specializes in oral care, personal care, household care, and pet care products. It is a significant competitor to P&G in the oral care category, with brands like Colgate toothpaste and Palmolive dishwashing liquid.
• Henkel: Henkel is a German multinational consumer goods company that produces a wide range of products, including detergents, adhesives, beauty care, and laundry care products. It is a major competitor to P&G in the detergent and laundry care categories.
• Kimberly-Clark: Kimberly-Clark is an American multinational corporation that produces personal care and tissue products. It is a primary competitor to P&G in the facial tissue, toilet paper, and feminine care categories.
• Church & Dwight: Church & Dwight is an American multinational corporation that produces personal care and household products. It is a significant competitor to P&G in the baking soda, laundry detergent, and personal care categories.

Indirect Competitors:

• L'Oréal: L'Oréal is a French multinational personal care company that specializes in cosmetics, skincare, and haircare products. It is a major competitor to P&G in the beauty care category.
• Estée Lauder: Estée Lauder is an American multinational manufacturer and marketer of prestige cosmetics, skincare, fragrance, and hair care products. It is a significant competitor to P&G in the beauty care category.
• Johnson & Johnson: Johnson & Johnson is an American multinational corporation that develops medical devices, pharmaceuticals, and consumer packaged goods. It is a competitor to P&G in various categories, such as baby care, personal care, and wound care.
• Reckitt Benckiser: Reckitt Benckiser is a British multinational consumer goods company that produces health and hygiene products. It is a competitor to P&G in various categories, such as air fresheners, insect repellents, and pain relievers.
• Essity: Essity is a Swedish multinational hygiene and personal care company that produces incontinence products, baby care products, and feminine care products. It is a significant competitor to P&G in the feminine care category.

These are just a few of the many competitors that P&G faces in the marketplace. The company's ability to maintain its competitive edge will depend on its ability to innovate, expand into new markets, and adapt to changing consumer preferences.

Who currently sits on the Procter & Gamble Board of Directors?

As of January 2024, the Procter & Gamble (P&G) Board of Directors consists of 12 members:

1. Jon R. Moeller - Chairman of the Board, President and Chief Executive Officer
2. B. Marc Allen
3. Angela F. Braly
4. Amy L. Chang
5. Joseph Jimenez (Lead Director)
6. Christopher Kempczinski
7. Terry J. Lundgren
8. Robert J. Miller
9. Patricia A. Woertz
10. Sheila Bonini
11. Debra L. Lee
12. Brett Biggs

These individuals bring a diverse range of expertise and experience to the Board, representing a variety of industries and disciplines. Their combined leadership and insights will be crucial in guiding P&G's strategic direction and ensuring the company's continued success in the years to come.

Who are the executive decision-makers at Procter & Gamble as of January 2024?

As of January 2024, the Procter & Gamble (P&G) executive leadership team consists of the following individuals:

Executive Chairman of the Board, President and CEO: Jon R. Moeller

Senior Vice Presidents:

• Fabric and Home Care (F&HC) President: Laura Becker
• Health Care President: Shelly Bell
• Grooming President: Gary Coombe
• Baby, Feminine and Family Care (BFHC) President: Jennifer Davis
• Beauty President: Marcy Carrithers
• Global Chief Operations Officer: Virginie Helias
• Chief Financial Officer: Andre Schulten
• Chief Executive Officer, Global Business Services: Marc Biers
• Chief Marketing Officer-North America: Julie Roehm
• Chief Technology Officer: Celina Mikolajczyk

SVPs and Heads of Corporate Functions:

• Corporate Affairs: Kimberly Scott
• Government Affairs: Barbara Tertzakian
• Communications: Casey Coombs
• Corporate Social Responsibility: Sundar Raman
• Human Resources: Susan Arnold
• Global Chief Legal Officer: Marc Owen

SVPs and Heads of Regional Businesses:

• Chief Executive Officer, Asia Pacific: Valarie Mars
• Chief Executive Officer, Europe, Middle East and Africa: Sabina de Buhr
• Chief Executive Officer, North America: Marcie Carrasco

Presidents of Global Brands:

• Gillette President: Gary Coombe
• Oral-B President: John Young
• Pampers President: Laura Becker
• Tide President: Tim Pennington
• Downy President: Linda Fisher
• Olay President: Susan Arnold
• Pantene President: Sandra Davis
• Head & Shoulders President: Scott Davis
• Vicks President: Jeff Leber
• Metamucil President: Michael O'Grady
• Chief Innovation Officer: Lori Wysong

This executive leadership team is responsible for guiding the company's overall strategy, overseeing its global operations, and ensuring that P&G continues to deliver on its mission to provide superior products, packaging, brand communication, retail execution, and value to its consumers.

What were the major executive changes at Procter & Gamble in 2023?

Yes, there have been several executive changes at Procter & Gamble (P&G) in 2023. Here are some of the most notable changes:

January 1, 2023

• Marcie Carrasco was named President of P&G's North America region.

February 1, 2023

• Jennifer Davis was named President of P&G's Baby, Feminine and Family Care (BFHC) sector.

April 3, 2023

• Gary Coombe was named President of P&G's Grooming sector.

July 1, 2023

• Valarie Mars was named Chief Executive Officer of P&G's Asia Pacific region.

October 10, 2023

• Brett Biggs was elected to P&G's Board of Directors.

These executive changes reflect P&G's ongoing efforts to adapt and grow in the dynamic consumer goods landscape. By bringing in new leadership with diverse expertise and perspectives, P&G aims to maintain its competitive edge and continue to innovate in the years to come.

What Technology Platforms have been deployed at Procter & Gamble?

Procter & Gamble (P&G) employs a wide range of technology platforms to support its diverse operations and maintain its position as a leading consumer goods company. Here are some of the key technology platforms that underpin P&G's success:

• Data and Analytics: P&G leverages data and analytics to gain insights into consumer behavior, optimize its supply chain, and develop new products and services. The company has a centralized data platform that collects and stores data from a variety of sources, including sales data, customer interactions, and manufacturing processes. P&G also uses advanced analytics tools to analyze this data and identify patterns and trends.
• Enterprise Resource Planning (ERP): P&G uses an ERP system to manage its core business processes, such as financial accounting, human resources, and supply chain management. The ERP system helps the company to streamline operations, improve efficiency, and reduce costs.
• Customer Relationship Management (CRM): P&G uses a CRM system to manage its interactions with customers. The CRM system helps the company to track customer interactions, identify potential sales opportunities, and provide personalized customer service.
• Product Lifecycle Management (PLM): P&G uses a PLM system to manage the development and launch of new products. The PLM system helps the company to track product designs, manage regulatory compliance, and ensure that products meet customer requirements.
• Cloud Computing: P&G is increasingly using cloud computing to host its technology platforms and applications. Cloud computing provides P&G with greater flexibility, scalability, and cost savings.
• Artificial Intelligence (AI): P&G is exploring the use of AI in a variety of areas, such as product development, marketing, and supply chain management. AI can help the company to automate tasks, improve decision-making, and develop new products and services.

P&G's continuous investment in these technology platforms and its commitment to innovation ensure that the company remains at the forefront of the technology industry and well-positioned for future growth.

Procter & Gamble SWOT Analysis

STRENGTHS

• Strong brand reputation: P&G is one of the most recognizable and respected brands in the world. The company is known for its innovation, quality products, and global reach.
• Diversified product portfolio: P&G has a broad portfolio of products that span a wide range of categories, including personal care, beauty, health care, grooming, and fabric and home care. This diversification helps to reduce the company's reliance on any single product or category.
• Global presence: P&G has a strong global presence with operations in over 180 countries. This gives the company access to new markets and opportunities for growth.
• Scalable infrastructure: P&G has a highly scalable infrastructure that can support its rapidly growing business. The company's supply chain is one of the most efficient in the world.
• Talented workforce: P&G has a talented workforce of engineers, scientists, marketers, and other professionals. The company is committed to attracting and retaining top talent.

WEAKNESSES

• Reliance on third-party retailers: P&G relies heavily on third-party retailers to sell its products. This reliance makes the company vulnerable to disruptions from retailers and changes in consumer shopping habits.
• Exposure to regulatory risk: P&G is subject to a significant amount of regulatory scrutiny, particularly in the areas of product safety and environmental impact. This scrutiny can increase costs and limit the company's flexibility.
• Complex operations: P&G's complex operations can make it difficult to manage and control costs. The company is constantly working to improve its efficiency and effectiveness.
• Cybersecurity threats: P&G is a prime target for cyberattacks, which could disrupt operations and damage the company's reputation. The company must invest heavily in cybersecurity measures to protect its systems and data.

OPPORTUNITIES

• Expansion into new markets: P&G has the opportunity to expand into new markets, particularly in emerging economies. There is a growing middle class in these markets with increasing disposable income.
• Growth in services: P&G is growing its services business, which includes digital marketing, subscription services, and consulting services. Services generate higher margins than hardware sales, and they are less susceptible to the boom-and-bust cycles of the consumer goods industry.
• Development of new technologies: P&G has the opportunity to develop new technologies, such as artificial intelligence, blockchain, and digital payments. These new technologies could lead to the development of new products and services that could drive growth for the company.
• Acquisitions of strategic companies: P&G could acquire strategic companies to gain access to new technologies or talent. Acquisitions could help the company to accelerate its growth and expand into new markets.
• Economic growth: An economic recovery could lead to increased consumer spending and corporate investment, which could benefit P&G.

THREATS

• Economic downturn: An economic downturn could lead to decreased consumer spending, increased loan defaults, and increased costs for P&G. This would put pressure on the company's profitability.
• Changing consumer preferences: Consumer preferences are constantly changing, and P&G needs to adapt its products and services to meet these changing preferences.
• Technological disruption: New technologies could disrupt P&G's business model, making its products and services obsolete.
• Increased competition: The consumer goods industry is becoming increasingly competitive, with new entrants and existing rivals constantly challenging P&G's market position.
• Regulatory changes: Regulatory changes could impact P&G's operations and profitability. The company needs to stay abreast of regulatory changes and be prepared to adapt its business practices accordingly.

Overall, P&G is a strong company with a bright future. However, the company faces a number of challenges, including increased competition, economic uncertainty, and changing consumer preferences. P&G will need to adapt its business model and continue to innovate to remain successful in the years to come.