Proctor and Gamble 2005 Annual Report Download - page 13

We฀have฀also฀begun฀planning฀revenue฀synergies.฀Short฀term,฀
our฀focus฀is฀on฀expanding฀the฀distribution฀of฀Gillette฀brands฀
into฀channels฀and฀markets฀where฀they฀are฀not฀fully฀
represented฀today,฀such฀as฀China.฀At฀the฀same฀time,฀we฀want฀
to฀leverage฀Gillette’s฀strong฀in-store฀presence฀in฀channels฀and฀
with฀customers฀where฀P&G฀brands฀are฀not฀fully฀developed,฀
such฀as฀home฀improvement฀channels.฀
Mid-term,฀our฀focus฀will฀be฀on฀broadening฀Gillette’s฀brand฀
equities.฀We’re฀confident฀the฀Gillette฀brand฀can฀stand฀for฀
more฀than฀blades,฀razors,฀and฀pre-฀and฀post-shave฀products฀
in฀the฀hearts฀and฀minds฀of฀consumers.฀This฀is฀a฀great฀global฀
brand฀that฀can฀become฀an฀even฀bigger฀and฀broader฀platform฀
for฀innovation.
Mismatched฀cultures฀are฀frequently฀a฀reason฀big฀mergers฀or฀
acquisitions฀don’t฀work฀out.฀Are฀the฀cultures฀of฀Gillette฀and฀
P&G฀compatible?฀Absolutely.฀Our฀companies฀are฀more฀alike฀
than฀different.฀We’re฀both฀in฀the฀business฀of฀improving฀
consumers’฀lives฀every฀day.฀We฀both฀operate฀according฀to฀
similar฀values฀handed฀down฀over฀generations.฀We฀both฀have฀
the฀same฀belief฀in฀the฀power฀of฀brands฀and฀innovation.฀We฀
both฀are฀known฀for฀outstanding฀people฀at฀every฀level,฀in฀
every฀part฀of฀the฀business.฀We’re฀a฀great฀fit.
We฀did฀a฀culture฀survey฀with฀input฀from฀Gillette฀and฀P&G฀
management฀and฀employees.฀We฀looked฀at฀decision฀making,฀
recognition฀and฀reward฀systems,฀and฀a฀number฀of฀other฀
critical฀cultural฀behaviors฀and฀norms.฀The฀two฀companies฀
were฀very฀similar฀in฀the฀majority฀of฀areas.฀There฀were฀a฀few฀
differences฀–฀for฀example,฀in฀how฀each฀company฀defines฀
accountability฀and฀how฀we฀communicate฀internally฀–฀which฀
we฀see฀as฀opportunities฀to฀grow฀and฀to฀learn฀from฀each฀other.฀
The฀fit฀between฀our฀cultures฀is฀evident฀in฀the฀spirit฀of฀
collaboration฀with฀which฀people฀are฀working฀together.฀฀
The฀people฀on฀Gillette฀and฀P&G฀businesses฀are฀focused฀on฀
delivering฀their฀current฀business฀goals,฀while฀the฀integration฀
teams฀are฀completing฀transition฀and฀synergy฀plans.฀฀
We’re฀being฀open฀and฀transparent฀about฀every฀aspect฀of฀฀
the฀integration฀effort.฀We’re฀moving฀quickly฀and฀making฀
decisions฀collaboratively฀and฀promptly.฀And,฀we’re฀
communicating฀every฀step฀of฀the฀way฀to฀build฀credibility฀฀
and฀trust.฀Integrating฀the฀cultures฀and฀organizations฀of฀two฀
companies฀with฀histories฀as฀long฀and฀rich฀as฀P&G’s฀and฀
Gillette’s฀is฀a฀complex฀undertaking฀–฀but฀it’s฀a฀challenge฀our฀
people฀have฀taken฀on฀with฀a฀real฀commitment฀to฀excellence฀
and฀success.
What฀are฀you฀doing฀to฀attract฀and฀retain฀key฀Gillette฀talent?฀
Our฀strategy฀is฀to฀field฀the฀best฀team,฀drawing฀from฀both฀
Gillette฀and฀P&G.฀We’re฀focused฀on฀ensuring฀leadership฀
continuity฀on฀Gillette฀businesses฀and฀on฀assigning฀the฀right฀
Gillette฀and฀P&G฀people฀to฀critical฀roles.฀
We’ve฀had฀excellent฀success฀ensuring฀leadership฀continuity฀
on฀the฀Gillette฀businesses.฀Gillette฀CEO฀Jim฀Kilts฀will฀run฀the฀
new฀Blades฀and฀Razors,฀Duracell,฀and฀Braun฀global฀business฀
unit,฀and฀the฀vast฀majority฀of฀his฀leadership฀team฀has฀
committed฀to฀join฀P&G.
We’ve฀focused฀initially฀on฀continuity฀at฀the฀leadership฀level,฀
but฀we฀are฀committed฀to฀retaining฀top฀Gillette฀talent฀at฀
every฀level.฀We’re฀approaching฀this฀with฀the฀same฀mindset฀
and฀capability฀we฀bring฀to฀our฀recruiting฀efforts฀at฀top฀
universities฀and฀business฀schools:฀P&G฀leaders฀are฀personally฀
involved;฀we฀have฀an฀extensive฀on-boarding฀program฀
tailored฀to฀the฀needs฀of฀each฀individual;฀and฀we’re฀tracking฀
results฀to฀ensure฀we฀deliver฀retention฀and฀continuity฀goals.฀
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We’re฀combining฀
Gillette’s฀and฀P&G’s฀
healthy฀brand฀
franchises฀and฀core฀
strengths.฀We’re฀
coming฀together฀when฀
there฀are฀abundant฀
opportunities฀for฀
growth.