Individual Report: Value Proposition Proposal for Procter & Gamble

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This report analyzes the value proposition of Procter & Gamble (P&G) within the context of sustainable business development. It begins with an executive summary and table of contents, followed by an introduction outlining the report's purpose and scope. The discussion section delves into P&G's business model, value proposition development, business operations, supply chain, financial value capture, competitive advantage, and strategic fit. The report identifies and assesses assumptions and uncertainties, proposing a phased development plan to address them. It then explores various innovation tools and techniques, including SWOT analysis and opportunity mapping. A candid self-analysis is conducted, and recommendations are made, primarily focusing on the use of biodegradable packaging. The report concludes with references and appendices, including stakeholder mapping, value proposition canvas, and entrepreneurship canvas, providing a comprehensive overview of P&G's approach to sustainable business practices.
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Running Head: Sustainable Business Development
Sustainable Business Development
Name of the Student:
Name of the University:
Author’s Note
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1SUSTAINABLE BUSINESS DEVELOPMENT
EXECUTIVE SUMMARY
The following assignment is based on the value proposition of the chosen company.
The aim of the report is to develop innovative tool and technique that will foster the
establishment of better ways of manufacturing and production. The chosen company for this
report is Procter & Gamble which is one of the leading producer in the American Market and
supplies its product worldwide. With the help of different models of innovation the report
will discuss in relation with the organisation. Later the assignment will constitute the business
model description for Procter & Gamble Company is eminent in providing the consumer
goods in a branded package form of goods to all the consumer who can get accessed to the
product throughout the world. On the other hand the business operation development is
determined as the decision of the organisation with regard to determining the productivity of
the organisation and its capacity to respond to the business model needs.
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2SUSTAINABLE BUSINESS DEVELOPMENT
Table of Contents
Introduction............................................................................................................................2
Discussion..............................................................................................................................3
Business model description....................................................................................................3
Value proposition development.........................................................................................4
Business operations development......................................................................................4
Supply chain development.................................................................................................4
Financial value capture......................................................................................................5
Competitive advantage.......................................................................................................5
Strategic fit.........................................................................................................................5
Identification and assessment of assumptions and uncertainties.......................................6
Phased development plan to address uncertainties............................................................6
Selection of innovation tools and techniques.....................................................................7
Candid and critical self-analysis........................................................................................7
Recommendation................................................................................................................7
Conclusion..............................................................................................................................7
Reference................................................................................................................................7
Appendices.............................................................................................................................7
Introduction
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3SUSTAINABLE BUSINESS DEVELOPMENT
The following report is based on the value proposition in the development of the
business. The organisation selected for this particular report is Porter and Gamble. With the
help of different models of innovation the report will discuss in relation with the organisation.
The aim of the report is to explain the different models of the value proposition that is
comprised of different canvas. The key vital part of the report is to find the contact of
sustainability trends on the value proposal for the selected organization Proctor and Gamble
(P&G), an American multinational consumer goods company (Davenport, Iansiti & Serels,
2013). The organization of Procter and Gamble was developed in the year 1937. There are
various small firms are incorporated in Procter and Gamble which comprises the generation
of value proposition. It is considered to be the most important aspect to be connected with the
customers. The factors determine the efficiency of marketing and segment the product
according to different target audience. The American based organization is the highest
producer of largest company and seller of the consumer based product (Gamble et al., 2015).
Discussion
Business model description
The business model description for Procter & Gamble Company is eminent in
providing the consumer goods in a branded package form of goods to all the consumer who
can get accessed to the product throughout the world. The company is operating practically in
five segment that is in Beauty; Grooming; Health Care; Fabric & Home Care, and Baby,
Feminine &Family Care (Brea, Casadesus & Grifell‐Tatjé, 2015).
The key partners of Procter & Gamble under the brands are Mach3, Venus, Dawn,
Mr. Clean, Head and Shoulder, Charmin.
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4SUSTAINABLE BUSINESS DEVELOPMENT
P&G connects in development of the program that can be collaborated in the development
and innovative technique from the inventor of the brand where are 500 small different
companies. The key partners of the business are the ad agency, Procter and Gamble
Entertainment, suppliers, manufactures, Media, retailers, distributors, acquisition,
sponsorship and investors.
Key activities
Marketing.
Advertising.
Branding.
Research and Development.
Design.
Manufacturing.
Production and distribution.
Licensing.
Quality Control.
International expansion.
Entertainment productions.
Value proposition development
The key value proposition that the company owns and operates around twenty
manufacturing site that is currently located in 20 cities in United States (Edvardsson et al.,
2014). The distribution channel is operating in more than 100 manufacturing site around 40
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countries with leading portfolio at 65 main brands that earns 95% of the company revenue,
distribution and facilities.
Business operations development
The business operation development is determined as the decision of the organisation
with regard to determining the productivity of the organisation and its capacity to respond to
the business model needs (Shenkar, Luo & Chi, 2014).The needs of the organisation is
catering to the changes that is set according to the consumer goods and services which is
conditioned to respond to the organizational condition. P&G is the operating manager that is
implementing the strategic decision accordingly.
Supply chain development
The strategic decision that is set to be operated in the area of management has the
objective that is aligned to the effective system of the supply chain management that supports
Procter and Gamble’s consumer god business. The condition that is inclined to the supply
chain which determines the capabilities of the organisation in area of capacity and
productivity. With regard to the company’s operation the manger prioritize the internal and
the external factors that is significant to influence the supply chain (Narasimhan &
Narayanan, 2013). The organisation aims to minimize the negative operation that affects the
factor of production. Further in the report the factors of SWOT and PESTLE Analysis will
give an illustration of the company’s ecological factors. The company takes the help of the
external data along with the internal condition which is addressed to such challenges. This
will fulfill the operation according to the objectives in this area of strategic decision.
Financial value capture
The financial value that is captured by the organisation is catering to the consumers
goods that are used on a daily basis by the people. These generate the revenue proposition for
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the firm and assist in the recovering the losses faced. Most of the value is generated by the
organisation is through its sales in different retail outlets (Aspara & Tikkanen, 2013).
Competitive advantage
The major competitor of Procter and Gamble is Unilever. The organisation Unilever
is a similar manufacturing and producing body that caters to consumer goods (Chang, 2013).
The major product that stands as a competitor of the organisation is Colgate-Palmolive,
Unilever. On the other hand Avon is a major competitor to Procter & Gamble along with
Inter Perfumes Inc (Ford & Mouzas, 2013).
Strategic fit
Articulate concerns or opportunities about the strategic fit between Procter &
Gamble's capabilities, management and organizational structure. The alteration in Proctor and
Gamble through usage of eco-friendly materials in case of packaging can give the company a
probable competitive gain in the market thereby alleviating its position. This is considered to
be the best in accordance with the present competitors in the market. The procedure was
planned before to be adopted just to recover its position from regular downfall.
Identification and assessment of assumptions and uncertainties
The factor of uncertainty is depended in the area of customer desirability, technical
feasibility and financial viability. In case of financial viabilityP&G has a standard revenue
and adequate brand value in the international market. Hence the organisation is planning to
use biodegradable packaging and associate the system of discount policy. On the other hand
the factor of customer desirability the innovative strategy to attain sustainability bears the
capacity to resolve the pertinent issues for meeting the desirability of the customers
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(McCauley& Christiansen, 2013). It will create an awareness within the consumers to use
ecofriendly products and save the environment. Lastly, technical feasibilityit is important to
keep in mind the innovative strategy and reform the technology being used keeping in mind
the sustainability.
Phased development plan to address uncertainties
The phase of development plan can be made to address the uncertainties of the
organisation. The first consideration can be made by the organisation is to focus on the
supply of quality product and foster quality management. The quality management’s plan can
be set according to the objectives that can be implemented to raise the standard of quality
which is based on the expectation of the customers. Procter & Gamble Company’s goal is
based on the strategic decision area that is set on raising the quality standard. The standards
set raise the business leadership in the particular industry (Gamble, 2013). Besides raising the
quality of the product the other area it can transform is the design of the goods and services.
The use of biodegradable packaging system is the key aim of the organisation. It becomes the
essential area to be severed because it creates an impact within the customers and urgency to
make a purchase. The system also facilitates the promotion to save the earth. The use of
ecofriendly packaging will bring the customers in accordance with environment eco-friendly
approach.
Selection of innovation tools and techniques
The innovative tools and technique selected for the particular organisation is as follows:
SWOT analysis- the SWOT Analysis of the organisation will help to signify the strength,
weakness, opportunity and threat. If the strength of the organisation is clear in the
prospect of the managers then it becomes easy to deal with the threats. The area of
weakness of P&G is production of similar goods like its competitors. The major strength
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of the organisation is over all supply of its goods and services throughout the world (Jha&
Banerjee, 2013).
Opportunity mapping- the concept of opportunity mapping is to research the tool that is
understanding the opportunity within the area it is operating. The main area that P&G
operates is in main 40 countries with leading portfolio at 65 main brands. The purpose of
mapping will illustrate the organisation in inculcating the opportunity that would be rich
in accessing the competitors and understand the needs that would help to raise the
opportunity for poor communities.
User and expert interview- the innovative tool for user and expert interview works in a
step by step process. Firstly the goals of the organisation should be set towards the
employee, study up on your subject and the agenda it will be discussed upon. An expert
must be selected and there must be open end question. The interview should always be
recorded and the interviewer of the question must not always wait for the next person to
speak.
Specification of technology- the adoption of new technologies is suitable for the
production and manufacturing of the goods. If the investment is made for planting of
recent technology then the output of the resources is resulted much more (Stone & Stone,
2013).
Designing matrix- the designing of the innovative matrix s useful for the organisation
because it comprises of innovative exercise and the need of smart people to work on the
designing technique. To succeed with many other competitors it will assist to create it
outside the organisation. The matrix simplifies the structure of te innovative management
and its strategy.
Observational research- there are three different methods that can be adopted for the
observational research that is:
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i. Participant observation.
ii. Structured observation.
iii. Field experiments.
Feedback-the feedback process also assist in the innovative technique of Procter and
Gamble. When the feedback is collected from the customer point of view and the working
employee, the new innovative technique will assist to raise the revenue of the
organisation (Tan, George & Comino, 2015).
Competition analysis statements- the competitive analysis of the organisation is to
complete with the attribute and the factors of the other rival firms. It is important to know
the strengths of the other firm so that the objectives of P&G can be set higher.
Candid and critical self-analysis
According to the analysis made by the following models the best innovative tool for
this organisation is Porters Five Force, SWOT analysis, disciplined entrepreneurship canvas
and Business model canvas.
Recommendation
The recommendation that can be made on the prospect of Procter and Gamble is
based on the usage of biodegradable packaging. It will promote and aware the customer to
look after the environment. The tag of ecofriendly use of product will assist the company to
ensure safety from all the dangerous chemicals and allows the consumer to avoid risky
additives that will cause such issues. The other recommendation that can be made is with the
consumer goods that produces toothpaste. The composition of the toothpaste should be at
least 1000 parts per million (ppm) fluoride so that the people of all ages can make use of it.
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There should be a description section on the package where it should advice the people to
brush their teeth twice a day.
Conclusion
Hence it can be concluded that the innovative tool will assist the organisation to make
changes in the managerial function. With the help of different models of innovation the report
will discuss in relation with the organisation. Later the assignment will constitute the business
model description for Procter & Gamble Company is eminent in providing the consumer
goods in a branded package form of goods to all the consumer who can get accessed to the
product throughout the world. The innovative tool that should be adopted by the organisation
is opportunity mapping where the area of mapping will illustrate the organisation in
inculcating the opportunity that would be rich in accessing the competitors and understand
the needs that would help to raise the opportunity for poor communities.
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11SUSTAINABLE BUSINESS DEVELOPMENT
Reference
Aspara, J., & Tikkanen, H. (2013). Creating novel consumer value vs. capturing value:
Strategic emphases and financial performance implications. Journal of Business
Research, 66(5), 593-602.
Brea‐Solís, H., Casadesus‐Masanell, R., & Grifell‐Tatjé, E. (2015). Business Model
Evaluation: Quantifying W almart's Sources of Advantage. Strategic
Entrepreneurship Journal, 9(1), 12-33.
Chang, S. J. (2013). Multinational firms in China: Entry strategies, competition, and firm
performance. OUP Oxford.
Davenport, T. H., Iansiti, M., & Serels, A. (2013). Managing with Analytics at Procter &
Gamble.
Edvardsson, B., Klaus, P., Payne, A., &Frow, P. (2014). Developing superior value
propositions: a strategic marketing imperative. Journal of Service Management.
Ford, D., & Mouzas, S. (2013). The theory and practice of business networking. Industrial
Marketing Management, 42(3), 433-442.
Gamble, L. J., Graham, D. J., Bluestein, B., Whitehead, N. P., Hockenbery, D., Morrish, F.,
& Porter, P. (2015). ToF-SIMS of tissues:“lessons learned” from mice and women.
Biointerphases, 10(1), 019008.
Gamble, V. N. (2013). Deluxe Jim Crow: Civil Rights and American Health Policy, 1935–
1954.
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