Organization and sequencing of the merger activity of gillette and p&g;
The merger of Gillette and P&G was big therefore proper strategies had to be put in place before the merger could actually be started. The activities of the merger were organized in sequence to have a proper flow of all the available resources. At the start merger was done in Latin America. This way the sales were combined. After that mergers were started in Asia. Since Asia is big therefore almost 25% sales were combined through this merger which also included 5% of Latin American sales.
Two big continents North America and Europe followed these merger activities. After these mergers almost 75% of sales had combined. Later on all the other countries of Europe did the merger bringing the combined sales to 95%. The Europe merger was sort of distributed. At first only few countries did the merger. Later on all of them merge. This increased the sales combined to almost more than 95%.
The merger activities were organized and sequenced but only a few countries gave trouble during the mergers. The mergers were a big task therefore teams were formed to overcome problems and for the proper reporting of tasks.84 teams were given the task of reporting. They reported to seven teams. One for each region. Also control rooms were present at different locations to resolve issues that would arise in each region.
P&G also organized videoconferencing at a bi-weekly basis. This helped the regional leaders to interact with each other and share the common problems and solutions. Since a huge cultural change was involved therefore at times problems aroused regarding the cultural demands of a country and corporate demands of the company. Early sharing of information helped a lot in mergers. All the information that was shared was many times the solutions to the problems that were being faced by the other region. The cultural difference problems needed more advice and that was provided by some other regions through video conferencing.