Proctor and Gamble - Research Paper Example

Proctor and Gamble The company I am interested in working in is Proctor and Gamble Corporation. It a large multinationalcompany headquartered in Cincinnati, in the United States of America. It mainly trades in pet foods, cleaning agents and personal care products in over one hundred and eighty countries. The company was also known to trade in foods and beverages, but due to specification in the job market and subsequent rebranding, it no longer does this. It sold this aspect of itself to Kellog Company, which is a food manufacturing company. Proctor and Gamble is a recognized multinational consumer goods provider the world over and it continues to grow in brand and stature due to its superior product quality, ethical standards and efficiency (P. a. Company, Proctor and Gamble Annual Report). History and Milestones The history of the company stretches back to October 31, 1837 when the company was first formed by two emigrants, James Gamble and William Procter, from Ireland and England who emigrated into Cincinnati. Their products were soap and candles. They grew in stature and in the period between 1858 and 1859, they amassed $ 1,000,000 in sales. They got contracts during the American Civil war and supplied soap and candles to the Union Army. They launched a new soap, Ivory, that could float in water in the 1880’s. This worked to increase their sales mainly to the soldiers who had started using their products as a result of their interaction with the company during the American Civil War (P. a. Company, All Brands). It incorporated the company’s workforce into its profit sharing program in this period because they believed that this would work to motivate the workers to work more, they were right as the workers’ productivity increased. The company expanded both in stature and in its product line beyond Cincinnati so that it could be able to its meet market demands. In 1911, they introduced Crisco, which is a shortening made of vegetable oils as opposed to animal fats. This was in response to the company’s desire to be able to produce organic products that were not harmful to animals. The company took advantage of radio and decided to brand itself in this avenue via several radio programs. The company through time branched into laundry detergents, shampoos, toothpaste, toilet paper, pampers, pharmaceuticals and Gillette razors in 2006. The company’s superior brand market has enabled it to survive in markets that have seen others fail. This can be exemplified through its sponsorship of 180 athletes during the London 2012 Olympics. This continually ensures that they remain a leader in the world market in every field it decides to go into (P. a. Company, All Brands). Through time, the company has grown to be a force to reckon with in the global market, producing products that are utilized by 4.6 billion of the 7 billion people in the planet today. It currently produces an assortment of beauty products and household items that are recognized globally for their superior quality (P. a. Company, Proctor and Gamble Annual Report). Financials Current Financial Conditions: The Company has managed to stay afloat in markets that have seen its competitors declare bankruptcy. This is due to several factors among which is its superior branding abilities and market specialization. The company prides itself in possessing a superior business model that enables it to respond to consumer needs in a timely and efficient manner. They currently boast of $84 billion in sales and $10 billion in net earnings. Over time, its share capitalization in the stock exchanges has consistently increased, which is a feat that is not claimable by many companies the world over. The Company continues to grow in developing markets as opposed to developed markets due to their untapped potential. This is currently its main source of income. Developed markets are experiencing slow but consistent growth in a market where companies are losing businesses due to the company’s superior time-tested model (P. a. Company, Proctor and Gamble Annual Report). Stock Analysis: The Company’s core earnings per share for 2012 were $3.85 which is 1% below the prior year level. This is because of the company’s foray into developing markets attracting higher raw material costs, a geographical quotient and a higher tax rate. Free cash flow during this period was $9.3 billion and the adjusted cash flow productivity was 90% consistent with their target. The Company has increased its dividend by 7% which has seen it return $10 billion to shareholders through $6 billion dividends and $4 billion in share repurchases (P. a. Company, Proctor and Gamble Annual Report). People and Leaders The Company employs a business model that focuses on innovation and market productivity. This is through researching and analyzing its markets needs and desires and striving to meet the same in a time conscious manner enabling it to always be a leader in the world market. The business model has enabled the company deliver consistent growth through time. Despite its legal shortfalls that it is embroiled in, the company always comes out the better off, seeking to maximize on its profits to offset any loss that might have been occasioned by any eventuality as a result of market fluctuations (Gamble, P&G Corporate Newsroom). Perceptions and Current News Proctor and Gamble’s Appearance in the World: In 2012, the Company celebrated its 175th anniversary. While this is no small feat, what is most impressive is its ability to discover meaningful insights their customer needs and wants, translating the same into superior products based on those needs. The company advertises vigorously to its clientele through claims, performance demonstrations and benefit visuals. The products are valued at a range ensuring that the customer gets value for their money at all times. This ensures higher sales at lower costs capitalizing on the principle of economies of scale. This has seen the Company become a world leader in their market translating into consistent market growth through time and a consistent profit turnover in every financial cycle. This plays to the general public as they want to be associated with successful companies that are meeting their needs (H. A. Company). Proctor and Gamble’s Appearance to Its Workers: Proctor and Gamble Company is a Fortune 500 company employing thousands of employees. The Company prides itself in having over 129,000 employees who are all efficient in their various job descriptions possessing impressive skill sets leading to the Company’s efficiency and superior productivity. The employees are subjected to impressive pay packages that include market shares which ensures that the employees are constantly motivated to continually have positive outputs (Fortune). Proctor and Gamble in the News: The Company continues to make strides within its market, even expanding beyond its market share due to its continued innovation and superior idea execution. On April 9, 2013, the Company gave back to the community of Miami with help from Hispanicize 2013 Conference attendees. The Company aims to provide the people of Miami with goods that they need in their daily lives. The Company always seeks to partner with other market players to ensure that it is all inclusive in its interaction with the market. The Company has also introduced a new bar soap for men who are after a strong masculine scent (Gamble, The Power of Purpose). The Competition The Consumer industry is a highly competitive job market that requires its market players to continually reinvent themselves if they seek to survive. Competition for the existing market is thorough, with companies like Johnson and Johnson, Kimberly-Clark Corporation and Unilever fighting for a share of the market. This makes thing interesting as it a consumer driven market, with each company aiming to provide the best products and services that will best meet the needs of the market. Proctor and Gamble has succeeded in this avenue as the company always rebrands itself through the incorporation of new products and service delivery to its customers. This is what has made it the best consumer oriented Company the world over (H. A. Company). The Future of Proctor and Gamble Proctor and Gamble Company continually seeks to meet its market needs through its continued innovation. This has led to it becoming a leader in the consumer market as far as its products are concerned. It continually dabbles in new markets always seeking to diversify its portfolio. As the company unveils more products, it is consistently exhibiting consistent growth through its market share turnover which entails consistent profits (P. a. Company, Procter & Gamble Gives Back to Miami with Help from Hispanicize 2013 Conference Attendees). Employment Prospects Current Postings: Proctor and Gamble provides its employees with an opportunity to grow and develop their skills. It thrives on its employee specificity in task execution. This can only be achieved in a situation where its employees have superior skill sets. These are the type of people that the Company attracts and retains as it seeks to remain a world leader in its market. The employee base is from a diverse pool attracting innovativeness and experience which is essential to the employee pool of any organization (P. a. Company, Procter & Gamble Gives Back to Miami with Help from Hispanicize 2013 Conference Attendees). Salary and Benefit Packages: The Company provides one of the best salary and compensation packages in the United States of America. It provides its employees with healthcare benefits, wellness programs, retirement benefits, tuition reimbursement and time off in the form of vacations and holidays (Gamble, Benefits for Life). My Connection I can see myself working in one of the branches of Proctor and Gamble Company. This is because the Company has set itself apart as a world leader in its market through hard work and determination from its market players which I identify with. I believe that I will be a welcome addition into the Company, bringing with me my determination to excel which is the hallmark of this Company. Works Cited Company, Hoovers: A D& B. The Procter & Gamble Company Competition. 12 April 2013 . Company, Proctor and Gamble. All Brands. 13 April 2013 . —. Procter & Gamble Gives Back to Miami with Help from Hispanicize 2013 Conference Attendees. 13 April 2013 . —. "Proctor and Gamble Annual Report." 2012. Fortune, CNN Money:. Global 500. 23 July 2012. 13 April 2013 . Gamble, Proctor and. Benefits for Life. 13 April 2013 . —. P&G Corporate Newsroom. 13 April 2013 . —. The Power of Purpose. 13 April 2013 . Read More