Procter and Gamble Mission and Vision Statements
P&G is an American consumer goods company with its headquarters in Cincinnati, Ohio. The brand has a strong and streamlined portfolio in ten categories. In 2017, it undertook a major transformation to make its brand stronger and in a position to win. In the last two years, it has either divested or discontinued or consolidated 105 of its brands. The brand is leading across the ten product categories and that provides a strong leverage to its core strengths. From grooming products to feminine care and skin and hair care, the brand has brought several leading products to the market and is continuously investing in strengthening its brands to make its position stronger.
The dynamics of the retail market are changing and there are various factors that are making the situation challenging for the customers. This is an analysis of the mission and vision statements of P&G. These two statements have an important role in organizational strategy and therefore are important to understanding a business’ current position and its future direction. The mission statement states the purpose that a company stands for and the vision statement is a course to the future. However, while P&G has a vision statement, instead of a mission statement it uses a purpose statement. Read more about Procter and Gamble’s mission and vision statements.
Vision Statement of P&G:
Be, and be recognized as, the best consumer products and services company in the world.
A vision statement is like a course to the future and spells out the kind of future that a company is trying to achieve. It lays out a path to the future and while every company wants to be successful, there is also a need for a clear strategy to find a straight road to success. In this way, a vision statement also spells out what kind of success matters for a company and how much it values its future. In case of P&G, its vision statement does not talk of financial success but to be recognized as best consumer products and services company. This is not a very clear vision of the future and the statement is generic. Being the best is every company’s dream and there is nothing distinct or unique about such statements. Financial success is also a key focus of any business brand and they are just as much required to generate financial value for the shareholders as they are expected to gain popularity. Vision and mission statements must be specific because they are a part of an organization’s business strategy. They also play a useful role in day to day decision making and resource allocation and guide the managers with their actions and decisions. Companies must not underestimate the role of these statements and while these statements must be specific, they must also be broad enough to leave scope for future changes.
We will provide branded products and services of superior quality and value that improve the lives of the world’s consumers. As a result, consumers will reward us with leadership sales, profit and value creation, allowing our people, our shareholders, and the communities in which we live and work to prosper.
This is how the purpose statement of P&G spells out. There are five things at the centre of this statement – products, consumers, employees, shareholders and community. However, like its vision statement, its mission/purpose statement too misses on being specific. It does not clearly lay out how the brand is investing in a better financial future. It talks of sales, profits and value creation for all the important stakeholders including the community. It talks of prosperity for all but does not clearly lay out its current or future financial position. Financial value is an important part of a brand’s strategy and apart from social value, it is important that brands focus on creating financial value for their shareholders. So, the purpose statement of P&G can be more specific because the mission/purpose statement plays an important role in aiding the business managers with decision making and resource allocation.
The mission and vision statements of P&G lack specificity and it can add factors like market position, competition and financial strength to make it more specific. These statements are a little too broad and can be narrowed down further to help with decision making and resource allocation in daily scenarios.