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Managing With Analytics at Procter & Gamble Case Solution & Answer

Managing With Analytics at Procter & Gamble Case Solution

Introduction:

Procter & Gamble was found by William Procter and James Gamble in 1837 (P&G). The company initially produced soaps and candles using the fat and oil from the meat packing center. Over the time, the company expanded its range of products and started flourishing, so much so that ti became one of the leading manufacturers of consumer goods. P&G has been catering in all types of products including, beauty, health, household etc.

The company has been directly targeting customers in advertisements. These products are being advertised in around 180 countries and have been targeting all sorts of people. The company has been generating billions of dollar by just a handsome of famous products. The company restructured to reach a larger market on global level.

Problem Statement:

The company distributed its workers in to four different categories to expand its global reach and effect the market on a global level. These units consisted of;

  • Global business units: These employees were responsible for drafting strategies, brand building, product manufacturing, profit generation and dealing with competitors.
  • Market Development Organization: This group was responsible for the market research and they used to track the changing trends and lifestyle of people. They provided the knowledge of changing demands and local’s preferences.
  • Global business service: These employees handled all the basic business operations like salaries, sales, supply chain and human resource etc.
  • Corporate Functions: These are the functions that are mostly handled by the corporate level employees, these functions include; law enforcements, legal procedures, accounting, communications etc.

Implementation of Data analytics:

Data analytics was implemented by a group called Information and Decision solutions (IDS). IDS was a supporting group for the employees and they used to help management make important decisions. The group held a significant role in the business. Later they implemented the business analytics, this was a kind of integrated software that could be used by P&G around the globe. This helped the employees to access information of P&G and derive demand or do other analysis using one single software. Prior to this people used to do analysis on their own and every area had a different way of doing it. Data analytics served as a centralized platform where all the information would be available for decision making. IDS introduced dashboards for all the employees where they got the latest information on the changing trends or competitor’s actions. They were also provided with the latest information with reasoning to make a decision on time.

For management teams, IDS developed a business meeting room named Business Sphere, this was highly equipped with technology and they had all the access to all the information that they’d need. They held important meetings and analyzed the important business aspects by using pictorial presentations that were easy to use and understand.

Effectiveness:

The company had a great cultural change due to the implementation of these analytics. Everyone’s performance could be viewed by everyone and the managers did not get a chance to plan their strategies before being assessed in the meetings. The company became a lot more transparent due to the new IT software and the structure of the organization became flat in a way. They reduced the levels of management when they did not feel the need of a few managers. On the other hand, the managers who were a part of the company got trainings to understand the new technology and to learn how to use the information to make real-time decisions. They were taught to value the system as they can make quick decisions and excel in their regions with higher organic sales………

 

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