Procter & Gamble Procter & Gamble (P & G), a company that has a lifespan of more than 150

years, is known as one of the major companies in the consumer marketing. P & G products have become the market leader for decades. P & G's corporate culture emphasizes rigor, market testing, and ethical conduct to new employees through a unique recruitment and socialization practices that combine internal competition and internal promotions. History and Background P&G was founded in Cincinnati in 1837 by William Procter and James Gamble. Their mission was to produce relatively inexpensive household products, technically superior to the competition, that were quickly consumed and were an integral part of their customer life style. Companies rely on research and emphasizes the objectivity of the assessment. Research conducted a focus on: development of a "technically superior product" and ways of development and innovative ways to advertise and market. Several organizational innovation, known as a mark of P&G style. The first is direct retail sales. The company succeeded in drastically changing patterns of consumer marketing and reduce the turbulence associated with selling through a wholesale broker.The second innovation is the evolution of the the brand management system of the P & G. Brand management system to create a separate organization for each brand and ensure that the development of new brands will not be hindered by the attention to the more established products. P & G management find the ways to work together with employees. Some ways to do such as: profit sharing for employees, employees of the conference committee, where employees have the opportunity to question the leadership on a regular basis, shortened working hours, and guarantee that each regular employee will be guaranteed 48 weeks of permanent jobs. The Procter & Gamble Culture Procter & Gamble has a strong culture which based on simple values, well understood throughout the organization, and socialization processes that are well designed. The results of this system is minimize the individual identity. To work successfully, the system requires a tremendous adjustment. Being a procedural right is often more important than being right. The advantage of this compliance is thorough and methodical approach to doing business. P & G culture of others is, P & G's approach in creating a product, based on research, which is technically superior to the competition and will win consistently. In addition, P & G emphasizes written than oral communication in order to communicate facts and remove individual judgement. Thoroughness is also a part of P & G culture. The emphasis on the thoroughness of product characteristics and customer preferences, to ensure that rational decisions can be made. Hiring system, was designed to preserve P & G and how to develop a set of highly motivated employees and new talent into the new cohort of P & G managers. And the last element of P & G culture is a high level of confidentiality. Management Practice Several distinctive approach to the management practices of P & G. The most distinctive management practices in P & G is its policy of only promoting from within. Developing and mentoring young managers is a highly regarded management skills. This creates a homogeneous group leadership with a large number of common experience and a strong set of shared assumptions.

The second distinctive aspect of P & G management system is the delegation of of responsibility to workers at a lower level within the company. As they entered, they get a challenging project assignments and an extensive period of formal training of new employees. The third distinctive aspect of P & G innovation management is a system of brand management. This system has become the archetype for consumer marketing business. Brands are competing for internal resources, doing their own advertising and marketing, and an independent cost center. Innovative approach to management also extends to the manufacturing side of the organization. Effectiveness The effectiveness of the P & G means a long period of growth and market dominance of the selected mass. P & G will not enter the market unless it has an excellent product. Effectiveness was defined as their market dominance. Other effectiveness of P & G, is the recruitment and socialization. The "in and out" system means that P & G serves a training ground for the consumer products industry, and provides competitors with well trained and experienced managers. Culture and Effectiveness Model Involvement. P & G has become a high involvement organization. P & G has successfully developed a system where individual goals and objectives of the organization can be a common goal. The company's long tradition of making the interests of employees and has contributed to high levels of involvement. Consistency. The most distinctive cultural characteristics of P & G is its consistency. The high level of consistency comes from the values that emphasize thoroughness, objectivity, and efficiency related to the mass market. Tradition, the emphasis on form, memo, and proctocol, and socialization processes all contribute to a very consistent approach to managing and organization. Adaptibility. P & G culture has made the the company a high level in the consumer goods market adaptibility mass. Company's ability to respond very well to market research and product research and combine the two forms of technical knowledge to introduce competitive objective, wellpositioned product. Mission. The mission P & G is very suitable for mass market and led to a culture that overadapted for the mass market. Complementary missions and methods of improving its ability to compete in traditional areas, but limit its ability to diversify beyond those areas. Lesson Learned from the Procter & Gamble Culture The P&G culture is very distinctive and closely intertwined with the performance and capabilites of the organization. The dynamics of the Internal Labor Market. The strength and uniqueness of the organizational culture is a direct function of the impermeable nature of organizational boundaries. When an internal labor market exists, a high level of consistency and a strong sense of direction is much easier to achieve. Conversely, when the internal labor market does not exist, an organization has a much harder time creating a unique culture and sense of mission. Beliefs about the "right way" to do business is strengthened by the success of the company . Selecting Performance Target. Organizations to determine their own targets, it is difficult to measure the performance of the company. P & G believes that rather than "maximizing profits" in the conventional sense, the target for P & G over the steady growth and moderate profitability