2021 Annaul Report
A Productivity Mindset
Productivity
Extending our levels of superiority, creating the financial flexibility to manage through increased external volatility, and an ongoing need to drive balanced top- and bottom-line growth requires productivity up and down the income statement and across the balance sheet.
We’re delivering significant cost and cash efficiency with many more opportunities ahead. We’re discovering lower-cost ways of working with fewer resources — today’s necessity giving rise to the productivity inventions of tomorrow. New digital tools are being brought to the forefront, providing another productivity driver — in our labs, in the office environment and on the factory floor.
Productivity is now as integral to our culture as innovation; it’s part of our DNA
For example, our Product Supply organization has successfully leveraged automation solutions to fuel productivity and accelerate our journey toward an End-to-End Synchronized Supply Network. Investments like this have enabled significant savings over the past 10 years, with more ahead.
In Brand Building, data & analytics and digital technology are reinventing how we work. We’ve already seen significant savings in agency fees and production costs, with further savings ahead.
These are just two examples. Over the last 10 years, we’ve fully embedded a productivity mindset into our operations and activity system. It is part of our DNA; now as integral to our culture as innovation. Productivity work never ends and will remain a significant part of our focus.
2025
As we look forward to fiscal 2025, we expect to deliver strong organic sales growth, EPS growth and free cash flow productivity – each in-line with our long-term growth algorithm. We remain committed to our integrated strategy – a focused product portfolio of daily use categories where performance drives brand choice, superiority (of product performance, packaging, brand communication, retail execution and consumer and customer value), productivity, constructive disruption and an agile and accountable organization – all aimed at delivering sustainable, balanced growth and value creation.”
JON MOELLER
P&G CHAIRMAN OF THE BOARD, PRESIDENT & CEO
Our strategy has enabled us to build and sustain strong momentum, and remains the right strategy to deliver balanced growth and value creation. The model is dynamic and sustainable. It adapts to the changing needs of consumers and society and is focused on growing markets – creating versus taking business – the most sustainable and most profitable way to grow.
Focused
PORTFOLIO
in 10 categories—daily use products where performance drives brand choice.
Extending our margin of competitive
SUPERIORITY
Product, package, brand communication, retail execution, and value.
We’re driving
PRODUCTIVITY
improvements in cost and cash to fund these investments and improve profitability.
We’re leading the
CONSTRUCTIVE DISRUPTION
across the value chain in our industry in order to meet challenges
More focused, agile, accountable
ORGANIZATION
operating at the speed of market.
6/4/2025
Innovation at Scale: How P&G Transforms Business Through Technology
At P&G, technology isn’t just a supporting function — it’s a strategic enabler for growth, innovation and consumer satisfaction. In a recent interview with Forbes, our Chief Information Officer, Seth Cohen, shared how P&G is leveraging cutting-edge technologies like AI, automation and data analytics to transform operations and deliver superior value to people worldwide. Technology use also emphasizes our “maniacal focus on understanding the wants and needs of the consumer.”
By embedding the latest emerging technologies into every aspect of our business, we’re not only improving efficiency, but also creating new opportunities to further innovate at scale.
To continue growing our business and better serve our consumers and employees, we’re focusing on five key areas where technology is driving impact and advancing our operations:
Key Decision-Making
P&G's AI-driven insights have helped us better understand and anticipate your needs, reducing out-of-stock rates by 15% so products are available when and where you need them.
End-to-End Supply Chain Visibility
Tools like the Pampers Club, a consumer loyalty app, provide real-time insights that enhance our supply chain performance and ensure essential products are always within reach for families.
Upskilling Our Workforce
In partnership with Harvard Business School and Boston Consulting Group, we're helping employees learn how to use emerging technology. In fact, a recent study showed this is helping our employees come up with the most innovative solutions to some of your biggest challenges — from getting dishes clean to ensuring your clothes smell fresh.
AI as a Productivity Amplifier
Tools alone do not drive transformation. People do. AI is enhancing productivity — much like how spreadsheets revolutionized work decades ago, AI is becoming an indispensable tool for modern professionals.
Looking Ahead
Technology will be integral to the future of P&G. We’re continuing to explore the latest technologies, including reasoning models and agentic AI, which may ultimately further help automate workflow and optimize supply chains and operations on an unprecedented scale.
So how do we make this happen? By beginning with a review of our business goals and capabilities, we then outline what technology is needed to enable innovation across the organization. This ensures that we’re building an environment that is not solely focused on operational improvements, but on delivering better experiences to individuals all over the world and empowering our teams.
P&G Details Cost-Cutting Productivity Enhancements Across Supply Chain, R&D, and Marketing
Liz Dominguez
5/15/2024
https://consumergoods.com/pg-details-cost-cutting-productivity-enhancements-across-supply-chain-rd-and-marketing
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