Procter & Gamble Overhauls Operations with Data-Driven Strategy
Procter & Gamble (NYSE: PG) is revamping its operations to improve execution, accelerate growth, and strengthen productivity. According to CFO Andre Schulten, the company's strategy remains centered on understanding consumers, delivering superior products in everyday-use categories, and using productivity gains to fund innovation.
The focus now is on changing 'every piece of wiring under the hood' to diagnose performance issues faster and respond with greater agility. This overhaul includes the use of data, automation, and artificial intelligence (AI) to improve decision-making, innovation, and operations.
Schulten emphasized that growth is still 12 to 18 months away despite continued headwinds such as slower category growth, commodity costs, and higher transportation costs. However, he expressed optimism about the company's turnaround efforts in China, where P&G has gained share and posted five consecutive quarters of growth.
The company has also taken targeted pricing and promotional actions to regain share in certain categories and improve competitiveness. Additionally, P&G is shifting media spending from longer-term awareness advertising toward more activation-oriented social media efforts.