Proctor and Gamble

Future Implication Strategy

New Version to open innovation Connect and Develop

Competitive internationally, benefits from economies of scale

“Transnational” global strategy

Adaptable to the dynamic changes of environment

Outsourcing of production

Increased efficiency of employees Soft approach towards employees

Future Implications

Unilever

Future Implication Strategy

Restructuring in overheads expenses and indirect functions

Continuous processes evaluation and improvement

Reduction in line and staff managers Corporate restructuring

Reduction of production locations per region and the concentration of production in fewer selected sites

Intra regional sourcing

Lack in Research & Development (focused on profit generation)

Innovation, Innovation, Innovation

High concentration on Developing and Emerging markets (D & E)

Concentration on Asian Giants

Enhanced accountability. Faster decision making

Reduction in no. of hierarchical levels.

Unilever Procter and Gamble

Biggest Brands Dove, Axe, Rexona, Vaseline, Lifebuoy, Signal, Lux, Sunsilk, Clear, Surf, OMO, CIF, Domestos, Comfort, Lipton and Knorr

Head & Shoulder, Olay, Pantene, Wella Braun, Gillette, Crest, Oral-B, Ariel, Duracell, Tide and Pampers.

Revenue (dollars) 56.84 billion 84.17 billion

Global Market share / activity Personal Care 39%Home care 7Foods 42Refreshment 12

Baby, feminine and family Care 19%fabric and home care 32%Beauty 24%Health and Grooming 25%

Marketplace (2012) 55% in emerging market 45% in developed markets

37% in emerging markets 63% in developed markets

Strategy First mover advantage R&D is first preferencecore competency is innovation.

Aggressive Innovation, market research undertaking, consumer understanding

Unilever vs Procter and Gamble

Unilever Procter and Gamble

Strengths Personal Care and foodEqual profit from almost all geographical regions

fabric and home care 32%Most effective in USA and Europe