“Procter and Gamble”, Innovation, Business Strategy and Information Systems. How important is reduce the time and cost?

Procter & Gamble’s business strategy. 

P & G use some of the best and more useful business strategies. Firstly, P & G marketing department have done a good work by advertising and marketing new products. CEO of the company advertises using digital media because people use digital media widely in their lives and especially with the reputation of the company. Secondly, Cisco TelePresence conference room was very helpful for the company internally. TelePresence helps employees to communicate with each other and even with employees from other companies in other continents. P & G saves a lot of money by using this service and its one of the first company that starts using such systems for a conference. First of all as innovative company, it’s important to reduce the cost of traveling.

P & G is a strong trademark because of their effectiveness on collaboration and innovation. That’s why they create new ideas that lead to new products because their reputation does not allow them to create a similar or the same product with other companies. It’s a company that has to create innovative products in the market. The company spends a lot of money on research and development teams, this is very effective because 80 percent of their ideas lead to a successful product. A lot of money is invested in this field which turns out to be not very profitable for the company. The company trying to reduce research and development costs by trying to get information from outside the company. For example, they take feedback constantly from their customers if they are satisfied with the products or if they are not, in which way the product could be improved.  P&G learned from their mistake and discovered that getting sources from outside of the company and using them is more effective (Discipline of Innovation, 2012). Its business strategy is one of the most efficient in a business world and a company that knows how to create innovative products and services.

2. How is P & G using collaboration systems to execute its business model and business strategy? 

P & G uses some of the most effective collaborate systems for their business model and business strategy. They use internal and external factors for the collaboration of the company to get a better result.

The general collaboration of the company is researchers, marketers, and managers. These three main factors increase the company productivity.  The social networking that they collaborate with, is very helpful for their managers. It helps them to advertise and sell their products by using this social networking. People use the internet daily and more time than they even talk to other people. Managers have the consumers and they have to find a way to approach them, a company like P&G identify the most efficient way to do it. Also, Microsoft makes helpful services that companies use to communicate. This service helps to set schedules and meetings, for sharing data, having easier access to data and this helps to improve some data or create new data. This service helps the manager getting quicker and successful decisions. In addition, the company creates a new search product from startup connect beam. This service is like using a blog but, to helps the employees to share and tag content. Employees of the company seem to trust more and more the idea to share their ideas on this blog. Also, InnovationNet helps the research and documents of the company to be more organized. If they want to find an old document they search on the system and find the document they want, this collaboration also saves time. Finally, the collaboration that P & G made was with Cisco TelePresence, proved to be the most beneficial. The specific service helps the company save money, time and results in faster decision taking. Because they can have a conference anytime, with no costs and without wasting time traveling etc. What we can understand from P&G strategy is that reduce cost and time, is a significant strategy for creating innovation and create competitive advantage.

“How to deal with International culture issues in an organization” (Schein model)

International culture is a huge dilemma for every Human Resource Department which has an impact on every manager and every organization. In our case study, we are going to analyze how organizations can deal with different kind of cultures issues with the model of Schein.

To begin with, every country has its own beliefs, values, and their own culture.       According to Wilton, culture represents an organized system of values, attitudes, beliefs, assumptions and behavioral meaning that shape how members of a social group relate to each other and to outside. (Wilton, 2013). Nowadays most organizations include people from different countries and nationalities. Therefore, everyone has their own values, traditions, and beliefs. It’s important in every workplace, each employee respects the others belief and values.

The culture of each organization is built through the daily routine in a business through operations, procedures and more significant the environment of the firm (Mosby, 2001 p.7, in Markovic, 2012).  Kluckholn and Strodtbeck say: “It’s about their culture that member creates, how the other competitor will judge their culture and mainly what is the outside view of the organization” (Kluckholn and Strodtbeck,1961 in Wilton, 2013 p.113). Take for example Google, a company with a powerful organization culture and friendly employee environment. It’s one of the most efficient businesses in its industry because they invest on people’s strength. People enjoy feeling that they belong in a group, in another way to be equal in a society. This is why organizations with strong and powerful culture are more successfully.

 

International culture is concerning the Human Resource Department since they need to deal daily with people from different culture and background and to offer a safe and secured work environment for them.Also, religions are important for the culture of the organization and employees should respect different religions. For example, some cultures have a specific time to pray. A manager should know and deal with this kind of situation (Markovic, 2012).According to Heine one of saddest facts of human existence remains that people from a different culture are not all treated with equal respect. He continues that prejudice and discrimination have always been around particularly within a country where people of different ethnic backgrounds interacting (Heine, 2008). One successful theory is by Schein that advise to divide it into three different levels and analyze the development of the organization culture. Every organization needs to establish some stages or levels. Schein divided his stages to Level 1 which is called “Artifacts”, level 2 “Espoused Beliefs and Values” and the last stage which is level 3 it’s called “Basic Underlying Assumptions”. These three stages could show some solutions to problems that organizations face and build strong organization culture (Schein, 1985).

Artifact or level one is the beginning of every new organization that tries to create a culture. This part will be an opportunity to understand which person is more suitable to be a leader. They should understand how the organization works, and see the whole picture of the organization operation. Then people will start observing each other, the attitudes of their colleagues. This is a difficult stage because each individual perceives and judge differently. Many misunderstandings are arising from wrong judgment from people. As everyone knows from personal experiences, as individuals we are always “correct”.

Then the next level for the culture of the organization will be the “Espoused, Beliefs and Values”. It’s the time that people start to work as a group. They should already have an image for their colleagues and what they want to achieve in the organization. Also what ideas they have, difficulties they might have and try to solve it as a group. For example, an employee will be friendlier with their colleagues when they can solve efficient a task together. Those circumstances make people come closer in the organization, when they are working together and share their ideas. Most efficient innovative ideas come from the interactions of two or more minds and not from an individual.

 

Finally the last level of Schein theory for the culture it’s the “Basic Underlying Assumptions” which the organization start to have their culture. It’s the step that organization starts to solve many problems and learn the process of success. That it’s the point they start to create their own culture as an organization. For example, a manager has to build a group to create an advertisement. The manager should know each employee strong skills and weaknesses. These will help the manager to assess each one to the field that it’s more productive.

 

To conclude with, international culture is a big chapter in the segment of business. Human Resource Department faces daily issues with employees from different culture and backgrounds. HRD can create a friendly environment in an organization and solve any kind of problems. Every organization should put into practice different kind of models to improve their culture as organization and have satisfied employees who will increase the productive of the whole firm. (Schabrac, 2009).