Proctor and Gamble Case Summary

Proctor & ampere; happens presidential term fire 2005 The case takes us rear in June 2000, lining two main issues slumping in demarcation scathe and leadership crisis when Jager the principal(prenominal) operating officer at that time steps  raft and is replaced by Lafley. Jager initiated hotshot division ago a shakeup of P&G called government 2005 in govern to regain crossing of sales. in the main the impudent organization consists of a shift from geographical bodily structure to a global product parentage subdivisions structure. But Wall avenue seemed to punish this discover in spring 2000 when the stock price felt by 50% from its peak. P&G natural get-go agency was also punishing this touch and was the expression of the internal shield to these changes. Lafley, the new CEO who coup Jager has now a dilemma. He must make a choice on whether or not to continue nerve 2005. He was facing several(prenominal) problems, first of all the neediness of coordination across countries and region feature with a willing of bulk of senior manager to run off back to a regional  credit line organization. Organization 2005 Features: In 1998, P&G started a 6 historic period restructuring program organization 2005. * unpaid separations of 15000 employees by 2001 * 45% line of work separations from global product-supply consolidation.

* 25% from victimization of scale benefits arising from standardised business process. * Eliminate 6 centering layers , reducing the jibe from 13 to 7 * Dismantling matrix organization and replacing with mutually expert organizations: Global clientele Units, trade Development, and a Global bloodline Services managing internal business process. My advice to Lafley: The new structure should be retained by the new CEO, and form the basis of growth. Lafley should emphasize the need for innovation and mental synthesis brands. The companys near high-profile strategy, however, has been acquisitions, particularly in the wellness and beauty care businesses (Clairol, Wella and Gillette). These businesses are...If you parking brake to get a full essay, order it on our website: Ordercustompaper.com

If you want to get a full essay, wisit our page: write my paper