Professional Documents
Culture Documents
Prepared by :Group 2
F014 Mayur Dadia
F016 Smruti Ranjan
F032 Tania Mallik
F038 Yash Mukhi
F042 Aastha Narayan
F046 Prathap P S
F060 Sohil Singh
F065 Shantanu Tammewar
U.S DIVISIONAL
STRUCTURE
Headquarters: Cincinnati, OH
Market: Homogeneous market driven initially by brand
and product division management
The US organizational structure for P & G was
developed in two dimensions: 1) function
2) brand
P & G began expanding globally after World War II. In
US, it created individual operating divisions to manage
growing line of products
Brand managers focused on matching company
strategy with product-category dynamics.
Brand managers in the same product division shared
access to strong divisional functions
Initial Model
Product Centric
Outcome
Outcome
EUROPEAN STRUCTURE
Western Europe represented a lions share of P&Gs
overseas divisions
Headquarters: Brussels
Market: Heterogeneous with different languages, cultures
and law.
The Europe organizational structure for P & G was
developed in three dimensions: 1)country,
2) function, and
3) brand.
P & G began expanding globally after World War II. But
the company was creating mini -Uses in each country
P&G took substantial steps to appropriately respond to
local tastes and norms.
A portfolio of self sufficient subsidiaries were led by
country general managers who adapted P&G technology &
marketing expertise to local markets
In 1963, the European Technical Centre (ETC) in Brussels
was inaugurated to house a European corporate R&D and
process-engineering function.
Initial Model
Geographic Centric
Outcome
European functional
organizations were embedded
in country silos and European
corporate functions were also
completely disconnected from
the US operations
Outcome
Eliminated needless product
variations, co-ordinated
marketing communications,
prioritized product launches
Promoted cross-border
cooperation across functions
Europe was fully restructured
around product categories
Leaders were given secondary
responsibilities for coordinating
particular product categories
across the entire continent
Continent-wide divisional profitand-loss responsibility entrusted
to VP
Objections:
Typecasting of European Customers
Neglecting Local preferences of the
customers
1990s structure
Add content
Organization 2005
Market Development
Organization