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P&G announces reorganization plan

June 6, 2013

Groups GBU's into four industry-based sectors; announces leadership roles

Procter & Gamble is grouping its Global Business Units into four industry-based sectors as part of the company’s ongoing plan to improve business performance. These changes support the company’s current growth strategies of strengthening developed market businesses, maintaining developing market momentum, building a strong innovation pipeline and driving productivity improvements.

“This sector organization and leadership team will help us operate more effectively and efficiently to continue momentum behind P&G’s growth strategies,” says A.G. Lafley, P&G chairman of the board, president and CEO. “These changes build on the productivity and organization design work led by Bob McDonald, and will help us get closer to consumers and become more agile with customers.”

The businesses in each sector are focused on common consumer benefits, share common technologies, and face common competitors. Each sector will be led by a group president. Martin Riant has been elected group president of Global Baby, Feminine and Family Care. This sector includes the following global categories: Baby Care, Family Care, and Feminine Care.Riant will lead the Sector in addition to his current responsibilities as Group President – Global Baby Care. Deborah Henretta has been elected group president of Global Beauty. This sector includes the following global categories: Beauty Care, Retail Hair Care and Color, Salon Professional, and Prestige. Henretta will lead the Sector in addition to her current responsibilities as Group President – Global Beauty Care.

David Taylor, currently group president – global home care, has been elected Group President of Global Health and Grooming. This Sector includes the following global categories: Shave Care, Braun, Oral Care, Health Care and Pet Care. In addition to leading the Sector, Taylor will assume additional responsibility for the Pet Care business, succeeding Jorge Mesquita who is leaving the company to pursue outside interests. Charles Pierce, currently group president – Global Oral Care, will also assume the additional responsibilities for new business creation and innovation currently held by Mesquita. Pierce will report to Taylor for Oral Care and to  Lafley for New Business Creation and Innovation.

Giovanni Ciserani has been elected group president of Global Fabric and Home Care including Fabric Care, Home Care, and Power.  In connection with this, George Tsourapas, currently vice president—fabric and home care, Central and Eastern Europe, Middle East and Africa, has been elected president-Global Home Care and P&G Professional, succeeding David Taylor.

“We expect this structure to facilitate faster global expansion of brand and product innovations to win with consumers,” Mr. Lafley says. “Sectors will also drive technical, commercial, financial and organizational synergies to improve results.”

Concurrent with these changes, P&G is also announcing that Dimitri Panayotopoulos, currently vice chairman, Global Business Units, has been elected vice chairman and advisor to the chairman and CEO effective July 1, 2013.

Also effective July 1, 2013, Melanie Healey, group president—North America and Global Hyper, Super and Mass Channel, will report to Lafley in addition to Werner Geissler, vice chairman, Global Operations. This change reflects the size and impact of the North America market to P&G’s business.

“This will strengthen our focus on go-to-market excellence in our core developed and developing markets,” Lafley says. “Taken together, these organization changes will help us operate better and faster as one unified team to win.”