Proctor and Gamble 2015 Annual Report Download - page 6

meaningful product innovation. Early examples include Pampers Swaddlers and
Pants, Tide and Ariel PODS, Downy Unstopables, Pantene conditioners with
advanced Pro-V science, Gillette FlexBall and Venus Swirl, and Oral-B Powerbrush.
Each of these product innovations is building or is expected to build its category
and brand sales
— and there are more to come.
Innovation is our lifeblood, but what has changed is the realization that we cannot
deliver consistent and reliable growth and value creation without continuous
improvement in productivity. We are implementing the biggest supply chain
redesign in the Company’s history. We are moving to fewer categories, brands,
initiatives, product lines and SKUs. We are consolidating to fewer plants, agencies,
suppliers and organizations. We are focusing on fewer priorities and activities.
This is leading to lower costs in overhead, cost-of-goods-sold, marketing and
trade spending. In turn, this is driving more focus and more savings to reinvest in
accelerating growth of the leading brands, the most significant product innovations,
and the countries and customers with the highest potential for sales, profit and
cash growth.
Better Execution
We are rededicating ourselves to the power of execution. We are raising our
standards to be the best at execution. We are renewing focus on gaining trial
among consumers at the point of market entry. We are recommitting to superior
advertising to create awareness and sampling clearly superior-performing products
to attract consumers to our brands. We are investing in our sales force to build
profitable distribution and shelf assortment. We are investing in a more agile,
flexible and faster distribution network to reduce out-of-stocks and optimize
inventory. And we are renewing our manufacturing operations to improve quality
and to accelerate innovation at lower cash, capital and operating costs. Execution
is the only strategy a consumer sees, and we intend to be the best.
Better Balance
P&G is a company that needs balance to win. Whenever we get out of balance,
we underperform. We win when we deliver balanced sales growth and profit
growth. We win when we leverage both innovation and productivity. We win
when we have clear strategies and execute with excellence. Consumers and
shareowners expect balance from P&G. We are making changes to achieve this
balance, to deliver consistent and reliable growth and value creation for the
short-, mid- and long-term.
Stronger Ownership
Personal leadership, accountability and ownership have always been core values
for P&G people. But as a company becomes bigger, more global and more complex,
it can become more difficult for individuals to feel strong personal ownership
in their connection to business unit success. We have simplified the organization
to bring a higher level of business ownership to each business leader and to
We extended Gillette FlexBall innovation to
the market-leading women’s razor brand, with
Venus Swirl. We’ve sold over 2.5 million
Venus Swirl razors in the U.S., and Venus’ U.S.
share of women’s system razors has grown
over four points to 64% since Venus Swirl’s
January 2015 launch.
Unstopables has expanded from in-wash
scent beads to a collection of products
delivering sophisticated scent experiences
for homes. With breakthrough fragrance
technology and long-lasting, high-quality
perfumes, sales of the Unstopables collection
have grown to nearly $300 million globally.
4 The Procter & Gamble Company