Procter & Gamble: Global Business Services Harvard Case Solution & Analysis

Question 01: What are the signs and signals that it is time to make a change in an organization?

The major signs and signals which indicated that the time to make change at P&G was inevitable because the company has been looking to expand its business by focusing on the core competency of the company. Moreover, in the year 2000, the management team at the company was considering the facts about the different options that the company should look to follow in the future. Furthermore, the company has been quite benefit ted with the induction of GBS within the company, P&G while moving forward in the future, wanted to utilize its resources on expanding the global reach and focus on the core competency of the company. As for now, a lot of investment and revenues have been spent upon the GBS which has been quite effective, but the core objective of GBS has been achieved. To further expand and grow in the market, the company should look to focus on other options also.

Along with this, as the case states, the global market has become increasingly competitive and the constant pressures from different corners of the industry have made P&G think about investing in the methods of innovation and expansion. Since GBS has been a project that was solely focused on cost saving methods and to ensure the quality of service, therefore, in the future the company has to shift its focus on other business opportunities for which the management cannot afford and carry the GBS system within the firm. It is necessary that the company shifts and transform its focus upon other business initiatives also.

As the case states, the company has been looking to move away its focus from GBS to other business initiatives where the company at the moment has been handling almost 5,700 employees. Once the company shall be able to find a permanent solution to the human resource which has been the major asset and a division within the company that is best regarded as the asset, hence, it is rather necessary for the company to find methods to find permanent solution to find better employment for the long serving employees.

Since the major objective of GBS has been achieved, the company moving forward in the future needs to move away its focus from the system and look to invest its energy, revenues upon finding new business, exploring new markets and altering the needs of the existing customers who have been a part of the firm for a long time. This shall help P&G increase its market share and it shall also help the management to overcome the threat of competition.

Question 02: What do you think of P&G’s plan for this change?

The plan of P&G to think over changing its focus or shifting its focus from GBS to other initiatives is a rather unnecessary one. The reason is simple; P&G is one of the largest firms that have been operating in global market. With the introduction of GBS, the company has been able to reduce cost and develop efficiency which has helped the company justify the 5,700 employees that have been a part of the organization for the past two years. The company should not look to change its focus and shift its direction from GBS. It should actually stay committed with the plan and also look for other plans that can help the firm stay competitive in the market. In the current situation, once the company finds new markets, new objectives, it shall once again require the services and efforts of GBS to provide the low cost element and improved quality. In order to achieve the future objectives the company should look to sustain with its plan and rather omit changing it and shifting the focus.Procter & Gamble Global Business Services Case Solution

Moreover, although the change in plan looks inevitable at the moment, but in the long run it is not a feasible one. The company needs to find solution to the problem by actually looking for other initiatives that can sustain the credibility of the firm in the market. Along with this, the company should not look to outsource it; in fact the plan should be such where the GBS employees can be used in other projects within the company. This can be a feasible solution to find competitiveness from them and can make them work on other projects also. The employees have to be given and provided the job security because the team of GBS employees has been one of the major driving forces in reducing cost. In the end, it can be said that the plan of changing GBS is a rather unnecessary and a short term solution to the current problem, where the management wants to focus on expansion...........................

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