Operations management: Procter n Gamble

OPERATIONS MANAGEMENT: 2008

Submitted to: Dr. Dr. Hayat Mohammad Moha mmad Awan

OPERATIONS MANAGEMENT

:TERM PAPER: PROCTOR N GAMBLE COMPANY

Submitted by :

Mahwish Malik MBA- I 3rd semester

Page 1

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I DEDECATE THIS REPORT TO ALL OF MY

FAMILY

MEMBERS WHO SUPPORTED ME IN EVERY WAY OF LIFE AND DID NOT LET ME DOWN

& ’































ACKNOWLEDGEMENT I have the only pearl of eyes to admire the blessing of the Compassionate and Omnipotent because the words are bound, knowledge is limited and time is short to express His dignity. All thanks are due only to Almighty Allah, most gracious, the most merciful, who gave me the strength to do this job. My special praise for Holy Prophet Muhammad (Peace Be Upon Him) who is, for even humanity as a whole. It is a matter of great honor and pleasure for me to express my ineffable gratitude

Dr.. and profound indebtedness to my venerable supervisor and Head of IMS Dr Hayat Mohammad Awan , for his kind supervision, valuable suggestion and sympathetic attitude through my research. I am much impressed of his intellectual activities, inexhaustible energy to steer forth the student. His sympathetic and sincerest attitude is highly qualified experience.
















Executive Summary The boundaries that define competition are subject to environmental changes such as technological advances or evolving consumer preferences (Day, Shocker and Srivastava 1979). As comp compet etit itiv ivee bo boun unda dari ries es fluc fluctu tuat ate, e, comp compet etit itor or can can emer emerge ge from from new new or unanticipated product categories. The world of today as becomes global village, changes travel instantly from one part of globe to the other due to technical advancement and state of the art technology like computer, internet, etc. The businessmen of today have to confront with multifarious challenges and coop with hyper competitive environment with ever increasing threats from unknown directions. To survive in this environment we have to come up with new products with attributes compatible or superior to that of the competitor. For becoming market leader they would require extra ordinary marketing & management skills. They will have to maintain their brand image and ensure that customers remain hardcore loyal to their brand, for this purpose they should add extra value and more satisfaction with reasonable cost. In order to capture more and more market share they should conduct extensive research of the market and spend handsome amou amount nt on deve develo lopi ping ng inno innova vati tive ve and and qu qual alit ity y prod produc ucts ts.. Also Also enha enhanc nces es competitive advantage and capture maximum market share. For capturing sand maintaining maximum market share and to remain market lead leader er the the mark market etin ing g mana manage gerr shou should ld have have a very very effi effici cien entt supp supply ly chai chain n management system. Marketing mix strategy should be reviewed periodically to remain abreast with latest trend, changes, and consumer preferences prevailing in the market. They should devise effective messages, communication channel, and allot suitable promotion budget. As the customer trends are changing components of promotion mix should be selected carefully and focus on sales promotion rather than advertising. advertising. Marketers Marketers should not aim on one time profit rather they should plan for maintaining strong loyal customer’s base. This will result in repeat sales.

































Procter & Gamble

Q: How many times has Procter & Gamble touched YOU ?


















HISTORY: Established in 1837, The Procter & Gamble Company began as a small, family operat operated ed soap soap and candle candle compan company y in Cincin Cincinnat nati, i, Ohio, Ohio, USA. USA. Today oday, P&G markets almost 300 products to more than five billion consumers in 140 countries, Pakistan being one of them.

1837

BrothersBrothe rs-in-l in-law aw Willi William am Proct Procter er and James James Gamble start a partnership, making and selling candles and soap in Cincinnati.

Neither Neither William William Procter Procter nor James James Gamble Gamble ever intended to settle settle in Cincinnati Cincinnati.. Although the city was a busy center of commerce and industry in the early nineteenth century, William, emigrating from England, and James, arriving from Ireland, were headed farther west. Despite their intentions, however, both men ended their travels when they arrived at the Queen City of the West—William took care of his ailing wife, Martha, who soon died, and James sought medical attention for himself. William Procter quickly established himself as a candle maker. James Gamble apprenticed himself to a soap maker. The two might never have met had they not married sisters, Olivia and Elizabeth Norris, whose father convinced his new sonsin-law to become business partners. In 1837, as a result of Alexander Norris' suggestion, a bold new enterprise was born: Procter & Gamble.


















1924 P&G is one of the first to create a market research department to study consumer preferences and buying habits

1955 Crest , the first first toothp toothpast astee with with fluori fluoride de clini clinical cally ly proven proven to fight fight caviti cavities, es, is introduced

1961 Pampers is introduced and eventually replaces cloth diapers

1980 Sales reach $10 billion

2003 P&G operates in 80 countries worldwide, employing 98,000. Have 13 billion dollar brands in its portfolio: Charmin, Tide, Pantene, Iams, Folgers, Crest, Olay, Always, Ariel, Bounty, Downy, Pringles, and Pampers $43.3 billion in net sales in 2003.

2004 P&G's Safe Drinking Water Program wins the World Business Award from the United Nations Development Program & International Chamber of Commerce in support of the UN's Millennium Development goals.


















HISTORY SO FAR IN PAKISTAN: Procter & Gamble started its operations in Pakistan in 1991 with the goal of becoming the finest global local consumer goods company operating in Pakistan. It has first launched Camay and Head & Shoulders. With commitment came growth, and in 1994 we acquired a soap-manufacturing soap-manufacturing facility, facility, a sprawling 7-acre land at Hub, Balochistan. Over the past nine years, the plant achieved state-of-art manufa manufactu cturin ring g techn technolo ologie giess and qualit quality y assur assuranc ancee proces processes ses.. With a recent recent strategic investment of 5 million dollars, the bar soap production capacity jumped three-fold. As a company we have always believed in the potential Pakistan has as a country and a nation to develop and excel. No wonder P&G Pakistan, within the last 12 years, has reinvested over $100 million in Pakistan and has contributed close to seven billion rupees to the Pakistani government's revenues over the last 5 years in the form of sales tax, customs and excise duties. That is also why 99% of the jobs that P&G Pakistan creates in Pakistan are held by Pakistanis. All this makes P&G a more locally involved company than many companies actually headquartered in Pakistan. Since the inception of P&G Pakistan, we have always committed ourselves to business growth, consumer satisfaction and community development. Thanks to our committed base of employees, customers, vendors, stakeholders, and above all, consumers, today we are one of the most thriving operations in Pakistan. We proudly celebrate being a part of the Pakistani way of life.

P&G BACKGROUND:


















owned company with publicly traded shares, currently owned by over one million shareholders from around the globe. P&G P&G empl employ oyss ov over er 10 100, 0,00 000 0 peop people le from from all all ov over er the the worl world, d, spre spread ad even evenly ly between between 1-USA, 1-USA, 2-Europe/M 2-Europe/Middle iddle East and Africa and 3-Latin 3-Latin America/Asi America/Asia. a. P&G hires and respects individuals regardless of race, color, religion, gender, age, national origin, citizenship or disability, and actively promotes diversity within its organization as well as in its business operations.

P&G GOALS: P&G's goal is simple - "To create the most successful global brands in every category everywhere we compete. And we have the strength to do it"

PURPOSE, VALUES & PRINCIPLES: Our core values and principles guide us in everything we do. Learn more about what drives our purpose of providing products and services of superior quality and value to the world's consumers.




















GLOBAL BUSINESS: The P&G community consists of nearly 98,000 people working in almost 80 countries worldwide. What began as a small, family-operated soap and Candle Company now provides products and services of superior quality and value to consumers in 140 countries.

STRONG BRANDS: Our company has one of the largest and strongest portfolios of trusted brands, includ including ing Pam Tide Ariel, Ariel, Alw Pan Bou Fol Pringl Pringl


















ORGANIZA ORGANI ZATION TION HIERARCHY HIERARC HY MULT MULTAN:

PRODUCT LINE


















New Ariel delivers against one of the key Pakistani consumer needs: a detergent that could give spotless cleaning to both colored and white clothes. This is because new Ariel contains a unique double action system, which gets fully dissolved unlike bar soap. The green speckles penetrate deep into the fabric to help remove tough stains. The blue speckles give shine to your whites and brightness to your colored clothes.


















Cons Consum umer er rese resear arch ch show showss the the foll follow owin ing g hier hierar arch chy y of need needss for for mens menstr trua uall protection: 1. Protection and reliability 2. Comfort and discretion 3. Convenience 4. Economy


















In 1926, the world was introduced to the finest and most sophisticated of luxuries Camay; and in 1994, the pleasure was brought to Pakistan. Different in its very essence, defining beauty in a totally different way from other soaps, Camay stands apart in a league of its own. Camay is not just soap; it is a feeling - of beauty from within. In a world short of time, Camay is about finding time and pampering yourself. The person person that resides inside inside needs importance importance and attention. Camay is for spoiling you, because "you" are the most important person in your life.




















Dandruff and Related Scalp Conditions There's really no need to feel uneasy about having dandruff - all you need is the right solution. Head & Shoulders® has been providing that solution for more than 35 years, as well as leaving hair manageable and looking great. We've offered some some inform informati ation on here here on dandru dandruff ff and relat related ed scalp scalp condit condition ionss to help help you understand them better.



































Laboratory and use tests confirm that Pampers provides an outstanding level of dryn drynes esss and and is sign signif ific ican antl tly y supe superi rior or to clot cloth h and and othe otherr diap diaper erss un unde derr all all conditions. Consumer research shows that Pampers has made considerable head way in generating trial and conversion amongst cloth using mothers, who feel that Pampers has helped in bringing about a difference in her babies life and also her


















Variant: Smooth and Silky Label Color: Green Benefit: Shine for dull hair

Variant: Extra-Treatment Label Color: Dark Blue


















Variant: Golden Protection Color: Gold Benefit: Intensive care for dry/damaged hair





































Salt and Vinegar




















































For Normal to Oily Hair Reduce the build-up on your hair with the conditioning of Herbal Essences Clarifying/Residue Removal Shampoo. Made with Jasmine



























































































































































































Operations management: Procter n Gamble

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