Organisational Analysis Of Gillette Marketing Essay

Organisational analysis is to understand the structure, system and culture of an organisation. In order to ease the difficulty of any new strategies the organisation adopted. Now the resources are limited and any company which want to compete and succeed, must have a specific culture, system and culture within its organisation, Otherwise the organisation might will fall behind its competitors.

Gillette is a multinational leading and competing company in the organisation of razor, electronic and manual toothbrush and male and female grooming products since 1901.gillette has 61 facilities in 25 countries and employees 40,000 people. Now a day a Gillette has a dominating improvement and that is because of disciplined planning, system and culture to supportable strategy. Gillette’s main focus is the strategy of ‘total brand value’ throughout its history. Because of this strategy Gillette’s designed to align its future as an innovator and value creator. On Apr, 1998 the company introduced the first triple blades razor and sell this razor until the launched of a new razor Mach 3. In organisational analysis. The internal factors involved are management, finance, marketing, R&D and manufacturing and all these factors are examined by swot analysis.

SWOT ANALYSIS Gillette is a leading company in the industry of razors and male and female grooming products. Although it is a leading company it has some weakness and threats as well .we will discuss these in this paragraph. The main strength of Gillette is high brand and premium prices and is a market leader. With this it makes the Gillette aggressive and portfolio ranges. Demand of high and new technology, demographic changes is a main opportunities of Gillette. The main weaknesses of Gillette are long development cycles, expensive brand maintenance and heavy dependence on high retail outlets. The threats to Gillette are the entrance of new competitors in a market like ‘Bic’ and Wilkinson sword products which are cheaper and nearly of same quality to Gillette. Increasing of buyer power and economic downturn is also coming threats to Gillette in a future.

GLOBAL STRATEGY. The global strategy of Gillette is to give a customer a new and high

High quality product. That’s why the Gillette is leading company. The corporate objective of

Gillette is to focus on global consumer products not any particular individual. The Gillette is

Also a global competitive advantage in quality, value function and use and care of products.

Gillette is also participating in all the major competing markets like Europe, japan and

Amercia.Thats why it is a global market leader in male and female grooming

Products. Gillette is very aggressive in research and advertising of their products in order to

Dominate the whole market. Gillette has a very strong portfolio to maximise e-commerce

opportunities.

MARKET STRATEGY OF GILLETTE:

Gillette achieve a well-integrated programme of marketing mix elements. Gillette is eager to

enter into the market in any way ,that’s why they start selling via the

internet. They are present in the UK as a strategy for European common market. They are

the leadership in men’s shaving products.

7’S OF GILLETTE

The 7’s strategy is first happened in Japanese art of management in 1981.the main purpose

Of 7’s strategy is to look in to the company that what make the company successful and

Excellent the Gillette is a leading company in global environment. The Gillette is successfully

Following the 7’s strategy in their organisation. ACCORDING TO 7’S STRUCTURE THE

Organisation is consist of seven strategies, which are

Structure

Strategy

Systems

Skills

Staff

Style

Shared values

We will discuss each of this strategy in the shadow of Gillette strategies.

STRATEGY: The main strategy of Gillette is to drive it profitability, for this reason they spend a lot on marketing and research and development too stay high in market. Gillette launch its five bladed fusion in 2006 with a 40% price premium over mach 3. Although fusion is also profit making but Gillette has to launch new product for their customers. Gillette also foucs on a strategy of better usage. To increase the consumer usage of brand has been a positive point for profitability.

STRUCTURE: The Gillette company has a head office in Bolton USA but it has divided its roots in all parts of world and allocated its each industry into a specific division. The Gillette is allocated into five major groups

GILLETTE NORTH AMERCIA(EUROPE AND NORTH AMERCIA)

GILLETTE NORTH ATLANTIC(US AND CANADA )

EUROPE(WET-SHAVING AND PERSONAL CARE PRODUCTS)

GILLETTE STATIONARY PRODUCTS GROUP(STATIONARY)

STATIONARY PRODUCTS DIVISON

WATERMAN SA

STATIONARY PRODUCTS DIVISION

3. GILLETTE INTERNATIONAL(REST OF WORLD)

LATIN AMERCIA

AFRICA, MIDDLE EAST,EAST EUROPE

ASIA PACIFIC

4. DIVERSIFIED PRODUCTS

BRAUN AG(ELECTRIC SHAVERS AND SMALL APPLIANCES)

ORAL-B LABORTORIES(ORAL CARE)

JAFRA COSMETICS

5. CORPORATE

ADMINISTRATION

PUBLIC RELATIONS

LEGAL

RESEARCHA DN DEVELOPMENT

FINACE

BUSINESS DEVELOPMENT

RESOURCE DEVELOPMENT

SYSTEMS: Formal and informal procedures that support the strategy and structure. System is more important than any other strategy. Due to the system of research and development, Gillette has a superior technology that brings real solutions to men’s and women’s skin care. Gillette has a history of a century, and always Gillette continues to advancements in their each product. However the unique benefit of Gillette is the combination of engineering and advancements working together to deliver incredible comfort and an exceptional shaving experience.

SKILLS STYLE AND STAFF: Gillette always achieve comfortable shave and skin care that brings the confidence to consumers. Staff is the main asset to any organisation and Gillette staff is the highly experienced and well trained to maintain the standard of century old good reputed company. That give the style to each product of Gillette, with their skills. Each product is designed by the specialist designers and expertise in skin care science.

SHARED VALUES: Guiding concepts, fundamental ideas around which a business is built – must be simple. The main idea in which Gillette was made is to deliver a best and tremendous advances in shaving and men’s and women’s grooming technology. That’s how Gillette achieve a market leadership in the industry of grooming and razors.

ACCOUNTING SIDE OF GILLETTES

Due to high profile in market Gillette always enjoy a profit, in the initial days of formation of Gillette, Gillette traders deal with us army for 3.5 million razors and 36 million blades which give a positive edge to Gillette which provide a revenue and profit to grow and stable the company. In 1950 Gillette spend $6billion for TV rights to baseball world series, in order to promote its products. In 1973 Gillette’s net sales exceed $1billion and that lead to$2billion in 1980. In 2001 Gillette expand in to 25 countries and have employees of 40,000. In 1999-2000 sales of razors and blades up by 8%

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