Leadership Essay Example | Topics and Well Written Essays - 4500 words

Leadership - Essay Example In the financial year of 2012, the company recorded sales of $ 83.7 billion, the total equity of the company stands at $ 63.4 billion while the assets are to the tune of $ 132.2 billion. P&G Company changed the structure of their business in 2011 and formed two ‘Global Business Units’ that were further sub divided into ‘Business Segments’. From the new structuring, the company came up with the following segments; Baby care and Family Home Care, Snacks and Pet Care, Grooming, Fabric Care and Home Care, and Beauty Care (Baucus, 2011, p.18). This new structuring was proposed for easier channelling of the products to the market for marketing enhancement purposes, considering the management of P&G and the staff, the board of directors comprise of eleven members that manages the company with the CEO, chairperson and the President of the company being A.G Lafley. The company is one of the 500 fortune companies and was in 2008 considered top one hundred employers in Canada, the Company is also a member of the U.S. Global Leadership Coalition (Watt 1998, p.13), this company operates in most of the continents including manufacturing operations are based in Africa, China among others (Canedy 2012, p.17). Company’s Analysis As indicated in the introductory part, P&G also is an American multinational company spread in many countries including UK. As such, the company faces several challenges that it has to handle and this needs leadership management for efficient delivery of the required solution (Penford 2005, p.22). There are many challenges facing businesses all over the world and there has to be a strong leadership management at the helm, a leadership that is result oriented comes and can navigate the challenges fort the business keep track in the right direction of productivity. Considering this, analyses is done for P&G Company in the United Kingdom to understand the key challenges confronting the business, the model that has been used in this case is PEST analysis (Vinwood 2001, p.19). PEST model is a useful tool that is mostly engaged to understand the market growth or decline that may be experienced by a company, in this regard, the analysis that is accrued from PEST can be conveniently used to project on critical factors in an organization like potential, direction as well as the position. It is thus important to do a PEST analysis of a company occasionally to understand the critical factors that may be bedevilling its performance (Hardesty, 2008). Political Factors As it is known that P&G Company mainly deals on the personal cleaning and laundry products as their mainstream products, there are several political challenges that have been found to be affecting the company in UK. The indigenous companies in the country like Hospec Company are favoured by the tax legislations enacted in the country; this is away from the funding and grant given to the companies by the government. The taxation policies given to P &G are making their products very high not to favourably compete with the domestic products in the country in terms of costs (Crick 2012, p.21). In this regard, one of the challenges facing the company in UK is balancing the cost of their products so that they can be the same with the indigenous products; the Company has to balance this for adequate competition with other local companies in the UK. If the company