Operations Management
Describe the organization (Proctor and Gamble)
What is the product or service?
Proctor and Gamble (P&G) is a U.S. based multinational consumer Products Company. It offers products such as cleaning agents, pet foods, and personal care items. Before selling Pringles to Kellogg Company, P&G offered products in the line of food and beverages.
What is the ownership structure?
The ownership structure of P&G is multi-divisional because simple structures are used in small companies where the owner works as the management and makes all the big decisions for the organization. In such a case, the owner and the manager must be in the workplace every day. P&G is a relative giant company, with businesses spread across the world; therefore, the company uses a multidivisional structure. This structure entails operating divisions, where single divisions represent independent businesses where the top manager assigns responsibilities of daily operations. Every division signifies a different, self-contained business with an independent functional hierarchy (Mitchell & Coles, 2003). Active supervision of performance through this structure increased the chances that managerial decisions in individual units are in the best interest of shareholders. The adoption of this structure was intended to attain three key benefits for the company:
To enable managers to supervise the performance of each division accurately, hence simplify the problem of control
To facilitate comparisons between, thus improve the process of allocating resources
To stimulate managers in poorly performing divisions to look for strategies of improving performance
What are its competitive advantages?
Diversity and inclusion are the core priorities for P&G. Exceeding equality and the idea of doing the right thing is their business imperative and a competitive advantage for the company. Therefore, diversity and inclusion assume the central place at the top of talent management, human resources, and recruitment strategies. Diversity and inclusion are crucial enablers for P&G in becoming an "employer of choice," that recruits, develops, engages, and retains the best talent of all faiths, ethnicities, and backgrounds. The company's global leadership has established a strong vision for diversity and inclusion (Cooper, 2006).
What are its operations competitive advantages?
P&G has invested in market research like no other company in the world. The company...
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