Proctor and Gamble 2000 Annual Report Download - page 5

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is enabling us to get valuable experience in both Internet marketing and mass customization
of products.
>We led the formation of a consortium of more than 50 companies to create a consumer products
industry marketplace called Transora.This business-to-business portal will enable companies in our
industry to buy and sell more than $200 billion of supplies and services annually, and will result in
substantial savings for P&G.
What we hope you see from these examples is that P&G – through the men and women who make
up our Company – is more than ever an industry innovator and leader.
RIGHT ORGANIZATION DESIGN
To gain even more value from our basic strengths, we have changed the way we’re organized and the
way we work. Our goals were to make it easy for innovation to flow across the enterprise and around
the world; to learn directly from consumers as early as possible; and to profitably commercialize the
best ideas and inventions quickly.
We’re doing all that. Global Business Units flow product innovations across categories and geographic
markets. Market Development Organizations get initiatives to local markets faster, more creatively, at
less cost.And our Global Business Services organization leverages our size to deliver better-quality
services internally at significantly lower cost to the Company.
We designed our new organization to be global and local at the same time – a paradoxical challenge
that we believe is key to our future success.
OUR ACTION PLAN FOR PROFITABLE GROWTH
We have learned a lot from our experience over the past year, and have applied this learning to a
four-point plan to drive both sales and profit growth.
First, we are focusing sharply on building our biggest, strongest global brands, the core of our business.
We need to be sure we are consistently growing our
market share on these brands.
Second, we are makingtougher choices about investing in new
products and new businesses. We’ll use fast-cycle learning tech-
niques to get rapid consumer validation of our biggest ideas,
and commercialize those ideas more quickly worldwide.
Third, we are working hard to get even more value from our
strong customer relationships. We’ll build on this strength by
collaborating more closely with customers.The result will
be even more innovative marketing programs for new and
established brands alike. >>>
P&G’S ACTION PLAN FOR GROWTH
BUILD BIG BRANDS
INVEST IN INNOVATION
DEEPEN CUSTOMER PARTNERSHIPS
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03
04 REDUCE COSTS AND IMPROVE
CASH MANAGEMENT