Procter & Gamble 's Organizational Structure

1150 WordsJun 29, 20155 Pages
Organizational Structure Matthew Boecker XMGT/230 June 28, 2015 Jason Yager Organizational Structure Proctor & Gamble is a major consumer goods manufacturing company that is a global corporation. Whereas, they manufacture products such as paper towels, diapers, laundry and dish detergents, soaps and shampoos, and cosmetics such as make-up. With such an array of different products and sheer size, from top to bottom Proctor & Gamble’s organizational structure is huge. Thus, there is a multitude of factors that determine the organizational structure at Proctor & Gamble. In the following, Proctor & Gamble’s organizational structure will be described and compared to other organizational structures. Also, organizational functions will be examined, and organizational design will be explained to show the influences that determine Proctor & Gamble’s organizational structure. First, Proctor & Gamble’s organization is structured as a divisional organization. According to Bateman & Snell (2011), “divisional organization…Departmentalization that groups units around products, customers, or geographic regions” (pg. 289). According to P&G (2014), “P&G 'S four industry-based sectors are focused on common consumer benefits, share common technologies, and face common competitors” (para. 1). These four sectors or divisions are; Baby, Feminine, and Family Care; Beauty, Hair, and Personal Care; Fabric and Home Care; and Health and Grooming. Since, Proctor & Gamble is a global

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