Proctor & Gamble has a corporate social responsibility philosophy that focuses on sustainability, treating employees and suppliers fairly, and improving lives through initiatives like education and disaster relief programs. They aim to meet environmental goals by 2020, including ending deforestation and using 100% renewable energy. While some issues have arisen, P&G has had successes through diversity programs, ethics practices, and global community contributions.

1. DMBA 610
Asad Zaman
25 April 2015

2. Proctor & Gamble Corporate Social
Responsibility (CSR) Overview
 CSR Case Study Introduction
 CSR Defined
 Beginnings
 Purpose & Mission
 CSR Philosophy
 CSR Initiatives
 Issues & Challenges
 Successes
 Conclusion

3. Proctor & Gamble: A CSR Case Study
Introduction
 Modern business methods require new strategies
serving to satisfy stakeholders
 Today’s businesses implement cost effectiveness to
increase profitability in a globalized market
 Globalization results in more collaborative business
methods; “industry, commerce, communication, travel,
and culture,” and by virtue of globalized competition,
has induced a panacea for itself (McConnell & Brue,
2008, p. 99)
 This strategy directly translates to correlations between
profitability, cost cutting, and risking acceptable CSR
norms

4. Corporate Social Responsibility (CSR)
Defined
 CSR is defined as part of a business process which
establishes and determines ethical thinking, values, and
decides right from wrong
 Businesses lacking good CSR or not adhering to
perceived societal norms concerning CSR, risk
negatively impacting all stakeholders with lowered
profits
 Socially responsible firms are likely to deliver superior
financial performance

5. Corporate Social Responsibility (CSR)
Defined (Cont’d)
 There is a positive correlation between good corporate
social responsibility acts and the businesses profitability
 Surveys indicate a company’s reputation for good CSR
also increases brand loyalty and decreases price
sensitivity

6. Proctor & Gamble: The Beginning
 Proctor and Gamble formed in 1837 as a result of a
partnership between two men manufacturing the same
product (soap)
 James Gamble was mentored for eight years by William
Bell in the soap factory business until Gamble began his
own business
 William Proctor owned a similar soap company
business manufacturing a competitive product when
Gamble was operating his business

7. Proctor & Gamble: The Beginning (Cont’d)
 Both Proctor and Gamble married sisters and became
“family” of those sisters
 The father in-law recommended that both Proctor and
Gamble form a single business, and in 1837, Proctor &
Gamble, came into existence
 Proctor and Gamble has evolved into a multibillion-
dollar global corporation with presence in many
countries
 Proctor and Gamble is a publicly traded Fortune 500
company with approximately $83 billion dollars in
fiscal year 2014 sales

8. Proctor and Gamble: Purpose and
Mission
 Proctor and Gamble’s mission is to provide products
with brand recognition and “services of superior quality
and value that improve the lives of the world’s
consumers, now and for generations to come” (Proctor
& Gamble, 2015)
 Proctor and Gamble strives to increase value and sales
to enable all stakeholders and communities to live and
work better; while at the same time, prospering
 Proctor and Gamble’s business strategy is to take into
account the health of the environment, employees, and
population, in order to ensure a healthy work-life
balance

9. Proctor & Gamble: Purpose and Mission
(Cont’d)
 Proctor and Gamble also claims that it develops
“sustainable products” and operates “responsibility”
within the “supply chain” and that P&G strives at
“treating our employees fairly” (Proctor & Gamble,
2015)
 Proctor and Gamble provides an education program for
children around the world which includes best hygiene
and health practices and is able to respond “to natural
disasters” (Proctor & Gamble, 2015)

10. Proctor & Gamble
Corporate Social Responsibility (CSR)
 Business strategy taking into account the health of the
environment, employees, and populations where the
company operates
 Exercises social responsibility throughout the supply
chain
 Views CSR as an opportunity to do the right thing and
create change
 Focuses on sustainability of the environment,
decreasing manufacturing footprint, and renewable
resources
 Exercises rigorous supply chain monitoring &
accountability practices

11. Proctor & Gamble
Corporate Social Responsibility (CSR)
 Initiatives
 Seeks to meet environmental sustainment goals by
the year 2020
 No more deforestation
 Continued reduction of carbon footprint
 100% renewable energy sources
 End of life product renewability and zero
environmental impact
 Preventing human rights violations
 No inadvertent contribution to Mineral Conflict

12. Proctor & Gamble
Corporate Social Responsibility (CSR)
 Proctor & Gamble’s brand names are active in global
humanitarian assistance
 “Pampers” Mobile Clinic Program
 “Safegaurds” Clean Hands Campaign
 “Always” Feminine Hygiene & Health
 Alternative testing sciences
 Children’s Safe Drinking Water
 Child Vaccination
 Global responder & contributor when disaster strikes

13. Issues & Challenges
 Recent incident of Pampers product toxicity attributed
to supply chain failure causing diaper rashes on infants
 Palm Oil industry deforestation within supply chain
 Vicks Nasal Spray tainted with bacteria
 Consumer privacy violation traced to tracking devices
concealed in Max Factor lipstick to study consumer
purchase rates
 Economic age discrimination to remove higher waged
older employees and replace them with younger and
less costly workers
 Strategizing corporate and consumer law in over 180
countries

14. Proctor & Gamble Successes
 Workforce Empowerment & Diversity
 P&G empowers their employees with the “Me and
my Mentor” program creating a framework of
guidance from trusted, experienced and skilled
mentors
 P&G encourages workforce diversity exampled when
P&G launched a network program in Pakistan
encouraging skills development in women
 Views diversity as a responsibility and ethical matter

15. Proctor & Gamble Successes
 Ethics, Sustainability & Community Outreach
 Ethical & Honorable Global Works with business
practices and worldwide socio-economic
enhancement programs
 Numerous domestic community contributions
exampled by $1 million to Cincinnati Parks
Foundation
 Global sustainment leaders for their 2020 “Zero
Deforestation” Goal
 International leader in corporate humanitarian
assistance

16. Conclusion
 Research findings indicate P&G works relentlessly
towards improving their CSR initiatives through a
culture dedicated to environmental sustainment and
global leadership in both energy preservation and
renewal
 P&G succeeds as global leaders guided by their
ultimate goal to improve the lives and living conditions
for all customers and stakeholders worldwide