* This is a compilation of quotes sourced from the internet
Alan George “A.G.” Lafley is the Chairman of the Board, President, and Chief Executive Officer of Procter & Gamble. Originally retired in 2010, he rejoined the Company on May 23, 2013. A.G. will become Procter & Gamble’s Executive Chairman, effective November 1, 2015.
On Making Good Choices | To make good choices, you need to make sense of the complexity of your environment. The strategy logic flow can point you to the key areas of analysis necessary to generate sustainable competitive advantage. First, look to understand the industry in which you play (or will play), its distinct segments and their relative attractiveness. Without this step, it is all too easy to assume that your map of the world is the only possible map, that the world is unchanging, and that no better possibilities exist. Next, turn to customers.
What do channel and end consumers truly want, need, and value-and how do those needs fit with your current or potential offerings? To answer this question, you will have to dig deep-engaging in joint value creation with channel partners and seeking a new understanding of end consumers. After customers, the lens turns inward: what are your capabilities and costs relative to the competition? Can you be a differentiator or a cost leader? If not, you will need to rethink your choices. Finally, consider competition; what will your competitors do in the face of your actions? Throughout the thinking process, be open to recasting previous analyses in light of what you learn in a subsequent box. The basic direction of the process is from left to right, but it also has interdependencies that require a more flexible path through it.
On Aspirations | Aspirations can be refined and revised over time. However, aspirations shouldn’t change day to day; they exist to consistently align activities within the firm, so should be designed to last for some time.
On The Recipe For Success | Where to play selects the playing field; how to win defines the choices for winning on that field. It is the recipe for success in the chosen segments, categories, channels, geographies, and so on. The how-to-win choice is intimately tied to the where-to-play choice. Remember, it is not how to win generally, but how to win within the chosen where-to-play domains.
On How Strategy Works | Young had to change the game-by literally giving his software away via free download-to achieve dominant market share and become credible to corporate information technology (IT) departments. In that case, Young decided where to play and how to win, and then built the rest of his strategy (earning revenue from service rather than software sales) around these two choices. The result was a billion dollar company with a thriving enterprise business.
Strategy can seem mystical and mysterious. It isn’t. It is easily defined. It is a set of choices about winning. Again, it is an integrated set of choices that uniquely positions the firm in its industry so as to create sustainable advantage and superior value relative to the competition. Specifically, strategy is the answer to these five interrelated questions.
On Consumption Per Capitain | Consumption per capitan in our categories in developing markets is about one-third that of developed markets.
On Developing Leaders | We develop and grow leaders. P&G people are given the opportunity – the assignments, experiences, and coaching – to become the strongest leaders they can be
On The Companies Goals | When a company sets out to participate, rather than win, it will inevitably fail to make the tough choices and the significant investments that would make winning even a remote possibility
On Winning | Winning is what matters—and it is the ultimate criterion of a successful strategy.
