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Meeting OUR customers’ needs
               Martin Herrington
      Associate Director, Logistics Purchases
       Procter...
• P&G – who are we?

• Who are our customers?

• What do they need?

• How can the 3PL industry help us meet
  our custome...
Who are we?




              William Procter
              Candle Maker



                                James Gamble
 ...
What is our purpose?
“We provide
 branded products
 and services of
 superior quality
 and value that
 improve the lives o...
Procter & Gamble today

Sales                $83.5 Billion
# Brands             ~300
# Billion-$ brands   24
# of employee...
That’s a lot of logistics

• 2 Million truckload
  shipments a year
• 3 Million miles of over-
  the-road shipments a
  da...
Intense Competition…
                                                                     Auchan                          ...
How do we make
   logistics a
  competitive
  advantage?
   (Something our
 customers will buy?)
The First Moment of Truth

“Thirty million times a day,
  P&G products face their
  first moment of truth
  when consumers...
If the product isn’t on the shelf….



…it is of no value…
          …to us
          …to the retailer
          …to the c...
What do our customers want from us?

• On Time In Full

• Lower inventory

• Promotions

• Increasing customisation

• Sus...
How can the 3PL industry help?


TELL US WHAT
 YOU ARE BEST AT
How can the 3PL industry help?




ACT AS ONE           COMPANY
How can the 3PL industry help?




SEND US THE                  TEAM
How can the 3PL industry help?

  TELL US SOMETHING


   WE DON’T ALREADY
        KNOW
External collaboration plays a key role in nearly 50
per cent of P&G’s products. We’ve collaborated
with outside partners ...
Thank you for listening
            Martin Herrington
   Associate Director, Logistics Purchases
Martin Herrington from Procter & Gamble on '3PLs Maximising Customer Service Levels'
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Martin Herrington from Procter & Gamble on '3PLs Maximising Customer Service Levels'

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Martin Herrington, Associate Director - Logistics Purchases, Procter & Gamble speak in a session on how 3PLs can better satisfy their customers, 'Maximising Customer Service Levels', at the 7th European 3PL Summit in Brussels, November 25th 2009.

To download all of the slides from the conference for free visit www.3PLsummit.com/eu_2009ppts

Published in: Business, Education
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Martin Herrington from Procter & Gamble on '3PLs Maximising Customer Service Levels'

  1. 1. Meeting OUR customers’ needs Martin Herrington Associate Director, Logistics Purchases Procter & Gamble, Western Europe
  2. 2. • P&G – who are we? • Who are our customers? • What do they need? • How can the 3PL industry help us meet our customers’ needs?
  3. 3. Who are we? William Procter Candle Maker James Gamble Soap Maker
  4. 4. What is our purpose? “We provide branded products and services of superior quality and value that improve the lives of William Procter the world's Candle Maker consumers, now and for generations James Gamble Soap Maker to come.”
  5. 5. Procter & Gamble today Sales $83.5 Billion # Brands ~300 # Billion-$ brands 24 # of employees: 138,000 in 80 countries Consumers Approx 4 billion
  6. 6. That’s a lot of logistics • 2 Million truckload shipments a year • 3 Million miles of over- the-road shipments a day • Worldwide shipments across 3,600 sea freight lanes
  7. 7. Intense Competition… Auchan Wal- Wal-Mart Tesco 2 Costco Sainsbury Nestle SCA 1.5 SC Hayat Johnson Hengan Unicharm Pepsico 1 Carrefour K- C Henkel Edeka Kao Kraft TZMO Baby/ Diaopai Family0.5 Clorox S&C Corona Reckitt Phillips F&HC Nirma Rayovac Gillette P&G 1 1.5 2 -2 -1.5 -1 -0.5 0.5 Energizer Unilever Metro BJ’s Health GSK Beauty L'Oreal Alicorp Colgate Pfizer Savital Estee -1 Lauder J&J Shisheido Avon Walgreens Safeway Wyeth -1.5 Beiersdorf Merck -2 Kmart Global Manufacturers Albertsons Local/Low Cost Manufacturers Ahold Kroger Retailers
  8. 8. How do we make logistics a competitive advantage? (Something our customers will buy?)
  9. 9. The First Moment of Truth “Thirty million times a day, P&G products face their first moment of truth when consumers stand in front of a store shelf, and decide whether to buy a P&G brand or a competing product”. AG Lafley, 2002
  10. 10. If the product isn’t on the shelf…. …it is of no value… …to us …to the retailer …to the consumer
  11. 11. What do our customers want from us? • On Time In Full • Lower inventory • Promotions • Increasing customisation • Sustainability
  12. 12. How can the 3PL industry help? TELL US WHAT YOU ARE BEST AT
  13. 13. How can the 3PL industry help? ACT AS ONE COMPANY
  14. 14. How can the 3PL industry help? SEND US THE TEAM
  15. 15. How can the 3PL industry help? TELL US SOMETHING WE DON’T ALREADY KNOW
  16. 16. External collaboration plays a key role in nearly 50 per cent of P&G’s products. We’ve collaborated with outside partners for generations but the importance of these alliances has never been greater. We want P&G to be known as the company that collaborates better than any other company in the world. Chairman of the Board and Chief Executive Officer
  17. 17. Thank you for listening Martin Herrington Associate Director, Logistics Purchases

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