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Procter & Gamble

In: Business and Management

Submitted By priyu04
Words 2995
Pages 12
| | | |
| | |Microsoft Exchange Server 2007 |
| | |Customer Solution Case Study |
| | | |
| | | |Procter & Gamble Switches to Microsoft to Improve Productivity and Reduce Costs |
| |[pic] | | |
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|Overview | | |“With the Microsoft solution, we were able to improve collaboration and reduce costs at the same |
|Country or Region: United States | | |time.” |
|Industry: Manufacturing—Consumer goods | | |Jeff Nicolai, Service Manager for eMail and Web Content, P&G |
| | | | |
|Customer Profile | | | |
|Procter & Gamble is the world’s leading | | | |
|consumer products organization. The company | | | |
|has more than 138,000 employees and provides | | | |
|products to more than 180 countries. | | | |
| | | | |
|Business Situation | | | |
|Faced with an upcoming Lotus Notes upgrade, | | | |
|P&G decided to look for another | | | |
|communications and collaboration solution | | | |
|that could increase employee productivity and| | | |
|reduce costs. | | | |
| | | | |
|Solution | | | |
|P&G migrated 130,000 users to a Microsoft® | | | |
|solution based on Exchange Server 2003, | | | |
|Office Live Communications Server 2005, and | | | |
|Windows® SharePoint® Services. | | | |
| | | | |
|Benefits | | | |
|Improved employee productivity by 14 minutes | | | |
|per day | | | |
|Reduced costs | | | |
|Improved e-mail service options | | | |
|Improved operational effectiveness | | | |
| | | |Procter & Gamble (P&G) competes successfully because it focuses on productivity and collaboration, |
| | | |enabling the production of innovative products at competitive prices. P&G’s IT organization, part of |
| | | |its Global Business Services (GBS) unit, is chartered with delivering a full set of shared services |
| | | |to all 138,000 P&G employees. When GBS faced a complex and expensive Lotus Notes upgrade in 2005, the|
| | | |organization saw a chance to improve productivity and reduce costs by migrating to a Microsoft® |
| | | |communications and collaboration solution. P&G chose the fully integrated Microsoft solution for |
| | | |e-mail, instant messaging, presence, collaboration, and document management, requiring little to no |
| | | |customization. With excellent project planning and support from HP and Microsoft, P&G deployed the |
| | | |solution to 130,000 employees over 18 months while maintaining all service level agreements. Through |
| | | |extensive surveys, P&G determined employees saved an average of 14 minutes per day. |
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| | | |[pic] |
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The Procter & Gamble (P&G) community consists of more than 138,000 employees working to provide products and services to consumers in more than 180 countries. P&G produces well-known brands such as Tide, Gillette, Pringles, and Pampers.

Operating in competitive consumer products categories, P&G is very concerned with the productivity of its people and operations. The Global Business Services (GBS) group must facilitate employee productivity through applications that improve business processes and enable effective communications and collaboration. To meet employees’ needs, GBS traditionally selected technology based on a “best-of-breed” approach, meaning it selected the best supplier for each individual technology and then customized each product or wrote additional software to integrate the products.

The company decided to deploy Lotus Notes as its primary e-mail application in 1995 and invested heavily in a custom solution to meet the organization’s needs and maximize productivity. By 2005 the solution had grown extremely complex. It included SameTime for instant messaging and presence and more than 7,000 applications developed on the Lotus platform. The Notes environment was highly decentralized with more than 275 mailbox servers in 70 locations serving 110,000 users.

P&G also used a separate e-mail service, Sun iPlanet, for plant workers, which provided basic e-mail through a Web browser. P&G implemented iPlanet because the organization felt iNotes, the Web browser interface for Lotus Notes, used too many hardware resources and was too expensive as a primary mail service for a large number of employees.

Facing a Notes upgrade, the organization began to search for a better way to collaborate. P&G wanted to take advantage of the Internet and make corporate content available through Web browsers as much as possible. The intent was to enable key stakeholders, such as employees, retirees, and partners to connect, find, and share information, and perform self-services. Fulfilling this effort using Lotus Notes technologies was cost prohibitive and required the Notes client, which was difficult to provide to external stakeholders.

In 2006, after an extensive analysis of available options, the company decided to switch to a Microsoft® communications and collaboration solution consisting of Microsoft Exchange Server 2003, Microsoft Office Live Communications Server 2005, Microsoft Office Live Meeting, and Windows® SharePoint® Services. “For end-users there is nothing more intrusive than switching the e-mail client,” explains Jeff Nicolai, Service Manager for eMail and Web content at P&G. “We had to think long and hard before switching, but we felt that this change would enable employees to collaborate faster, easier, and with more personal control.”

P&G felt Microsoft offered a more robust solution with a clear roadmap for the future. “The integration is the real power of the Microsoft solution,” notes Nicolai. “You can drag-and-drop files from Windows into Office Outlook, the e-mail editor is the same word processor you are already using for documents, and you can use Active Directory for all of the services.”
The move to Microsoft presented an opportunity to provide a better user experience and simplify the environment at the same time. P&G was also attracted to the fact that Microsoft provides an out-of-the-box solution requiring no customization or additional work to integrate the various capabilities.

After the decision was made, P&G began planning the move. This process involved a partnership between P&G, Microsoft, and HP. HP operates the IT environment at P&G and provided operations support for the migration. Microsoft aided in planning and execution by bringing in subject matter experts from the Microsoft Notes Compete and Business Strategy Consulting teams. These experts also helped to integrate best practices from other Lotus Notes migrations and recommended tools and training to use during the process.

The planning process had two sides, technical readiness and user readiness. The technical side dealt with the major concerns of the migration such as:

• Networking – P&G was moving from a decentralized environment to a centralized architecture using only three datacenters. P&G had to ensure the networking capabilities were in place to maintain message delivery times. P&G estimated the network traffic between each office and its associated datacenter, and then made the necessary upgrades prior to migration.
• Call center training – P&G had to ensure its call center could handle the initial surge of questions about the new solution. The company handled this issue with extensive training prior to the start of the migration.
• E-mail enabled applications – P&G had many applications tied to the Lotus Notes e-mail application. P&G could not afford to break applications that depended on a specific e-mail format, so it had to identify all of the applications and modify them to ensure they would work with Exchange Server.
• Coexistence – During the migration users would need to e-mail between the two systems. P&G decided not to install any add-on connectors to facilitate data transfer but instead relied on SMTP mail. This choice meant users could not access calendars and might experience fidelity issues. To address this challenge, P&G planned to migrate teams of users together instead of migrating users by location.
• Data Migration – Data migration can slow e-mail migration and if done improperly can cause user backlash. Rather than automatically migrating data, P&G decided to allow individual users to initiate the process.

On the user readiness side, P&G wanted to ensure users understood the changes taking place and how they could benefit from them. “We did not try to tell the business that this would be seamless,” explains Stephen Peterson, the Initiative Manager for the Outlook Migration. “Users have to know that something is different if they are going to achieve benefits, and we wanted them to see this move as a chance to improve their work processes.” P&G runs IT as a business with users as the customers and a mantra that the “consumer is boss.”

Users had to be convinced to choose the new solution, much the same way P&G convinces customers in a supermarket to try new products. P&G ensured user readiness by running extensive pilot programs, producing how-to guides in all required languages, and preparing detailed communications and training plans.

While Exchange planning and migration was underway, P&G began the move to the Microsoft platform by deploying Office Live Communications Server 2005 for its instant messaging and presence capabilities and Office Live Meeting for Web conferencing. Live Communications Server replaced the Lotus SameTime solution. This deployment provided instant messaging and presence capabilities to all employees through the Microsoft Office Communicator client. Having Live Communications Server in place meant that its presence capabilities would be integrated into e-mail messages and applications. Live Meeting also provides integration with the Microsoft Office Outlook® messaging and collaboration client to schedule Web conferences directly from employees’ calendars.

The Exchange migration began with a pilot that grew to 5,000 users by March of 2007. Peterson explains, “We had much more demand for the pilot than we could supply, so that was a good indication that our communications plan was working.” The pilot enabled P&G to test hardware configurations and plan networking changes the centralized deployment required.

After testing was completed during the pilot phase, P&G deployed the Exchange Servers to three datacenters around the world and improved the network to handle the e-mail traffic. It also worked with HP to develop a tool to migrate user data. P&G chose to use Transend Migrator to move user data to the new Exchange accounts. Transend Migrator is an excellent tool for migrating data, but P&G felt it was too complicated for end-users to use on their own. To solve this issue, HP wrote a custom application to simplify the process. Users simply entered their account passwords, enabling P&G to follow their plan for a self-service data migration.

With all of the tools and infrastructure in place, P&G began the user migration. GBS deployed Outlook and the data migration tool to user desktops over 18 months. When Outlook was deployed, users’ e-mail accounts were already fully functional. They could migrate their data at their leisure, or they could choose to receive assistance if they needed it. At the same time, plant workers were also moved onto Exchange Server 2003. These users accessed their accounts using Outlook Web Access, which provided a much richer experience.

During the migration, P&G completed the acquisition of Gillette and Wella. These additional users were integrated into the migration plan. By the end of 2007, about 100,000 users were migrated, with about 4,000 users per week being moved at the peak. The remaining users were migrated in the first half of 2008, and the final user count was 130,000, including the additional users from the acquired companies.

Also during the migration, P&G worked with HP to keep all three e-mail systems operating with minimal disruption to the user community. There were no e-mail outages during the migration, and GBS maintained all of their Service Level Agreements (SLA) despite a 500 percent increase in e-mail traffic over the duration of the move. “We did have speed bumps along the way, but we completely exceeded everyone’s expectations in the amount of issues we faced,” explains Nicolai. He credits the project planning, the open communications between GBS and the business during the move, and the technical expertise HP supplied as major factors in the success of the project.

The final step of the move to a Microsoft solution is migrating applications off the Notes platform. This process is currently underway, with P&G, Microsoft, and HP working together to identify required applications and move them to the Microsoft solution. Most of the 7,000 Notes applications were basic team sites that were moved to Windows SharePoint Services using automated tools. Other applications are more complicated and are being redeployed to other technologies, including .NET and Microsoft Office SharePoint Server.

P&G is also currently upgrading to Exchange Server 2007 and Office Communications Server 2007 R2, which will enable P&G to provide additional services to users. Exchange Server 2007 enables Unified Messaging and new high-availability service options to users. Office Communications Server 2007 R2 improves the integration of presence information with Exchange and SharePoint and enables additional conferencing and telephony services.

The move from Lotus Notes to a Microsoft solution has provided numerous benefits to P&G.
Employees report they are more productive and can more easily connect with external partners. In addition to improved service to users, GBS was able to diminish costs. “With the Microsoft solution, we were able to improve collaboration and reduce costs at the same time,” confirms Nicolai.

Improved Productivity and Collaboration
P&G conducted extensive surveys during and after the rollout to measure the migration’s impact on employee work habits. Based on these surveys, P&G concluded the move saved employees 14 minutes per day on average. “We attribute more than 500 million minutes saved to the migration based on our user feedback,” notes Peterson. “These time savings largely come from the integration of the solution.”

The integration of Microsoft products in the solution makes it easier to find people and information and complete tasks from within a single application. Users can improve collaboration because they have presence information and multiple communications options built into their most frequently used applications, whether they are part of Microsoft Office, Windows SharePoint Services sites, or custom applications.

Users also reported that they like using Outlook Web Access and the flexibility it provides to work from a home or a borrowed computer.

With the Microsoft platform, P&G now offers users many additional service choices. Users can select multiple mailbox sizes, different mobile phone options, and to use Outlook Web Access as the mail client. Replacing iPlanet with Exchange accounts provided these users with full e-mail accounts including calendars and contacts rather than the basic e-mail they had before. In the future, P&G plans to offer users different levels of availability guarantees and backup protection.
Improved Operational Excellence
No major Exchange Server outages have occurred at P&G. GBS has maintained its SLAs for message delivery and uptime. The move to Exchange also enabled significant server consolidation, with e-mail servers going from 275 Notes mailbox servers at 70 locations to 35 Exchange mailbox servers at three locations. “We had a tremendous simplification of our e-mail infrastructure,” explains Nicolai. “We went from two platforms to one and were able to get all of the servers into datacenters where they can be managed more efficiently.”

P&G found that the move also made integrating with external partners easier. When communicating with partners, P&G finds it easier to implement encryption based on Microsoft certificate authority than it was with the Notes proprietary encryption methods. When organizations cannot provide the necessary encryption, P&G can easily give them an e-mail account that they can access with Outlook Web Access.

Reduced Costs
Consolidating the e-mail environment led to lower operating and maintenance costs and will reduce the cost of future upgrades. Microsoft also provides an out-of-the-box solution that requires very little customization, reducing development costs. When applications are developed to run in the environment, developing in the .NET environment is less expensive than in the Notes environment because resources are readily available.

Following the Roadmap
The organization expects numerous benefits from the upgrade to Exchange Server 2007 and Office Communications Server 2007 R2. The move to a 64-bit platform provides for a more robust environment. The move will also enable GBS to deploy additional options to users such as Windows Mobile® 6.5 phone devices, high availability options using Clustered Continuous Replication, and additional conferencing services.

Microsoft Server Product Portfolio
For more information about the Microsoft server product portfolio, go to: For more information about Microsoft Exchange Server, go to: -----------------------
|“For end-users there is nothing more intrusive|
|than switching the |
|e-mail client. We had to think long and hard |
|before switching, but we felt that this change|
|would enable employees to collaborate faster, |
|easier, and with more personal control.” |
|Jeff Nicolai, Service Manager for eMail and |
|Web Content, P&G |

|“We did not try to tell the business that this|
|would be seamless. Users have to know that |
|something is different if they are going to |
|achieve benefits, and we wanted them to see |
|this move as a chance to improve their work |
|processes.” |
|Stephen Peterson, Initiative Manager for the |
|Outlook Migration, P&G |

|“We attribute more than 500 million minutes |
|saved to the migration based on our user |
|feedback. These time savings largely come from|
|the integration of the solution.” |
|Stephen Peterson, Initiative Manager for the |
|Outlook Migration, P&G |

|“We had a tremendous simplification of our |
|e-mail infrastructure. We went from two |
|platforms to one and were able to get all of |
|the servers into datacenters where they can be|
|managed more efficiently.” |
|Jeff Nicolai, Service Manager for eMail and |
|Web Content, P&G |

| |
|Software and Services |Technologies |
|Microsoft Server Product Portfolio |Windows SharePoint Services |
|Microsoft Exchange Server 2003 | |
|Microsoft Office Live Communications Server 2003| |

|This case study is for informational purposes | |
| | |
|Document published August 2009 | |

For More Information
For more information about Microsoft products and services, call the Microsoft Sales Information Center at (800) 426-9400. In Canada, call the Microsoft Canada Information Centre at (877) 568-2495. Customers who are deaf or hard-of-hearing can reach Microsoft text telephone (TTY/TDD) services at (800) 892-5234 in the United States or (905) 568-9641 in Canada. Outside the 50 United States and Canada, please contact your local Microsoft subsidiary. To access information using the World Wide Web, go to: For more information about Procter & Gamble products and services, call or visit the Web site at:

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..."The consumer is boss," Procter & Gamble Chief Executive A. G. Lafley says simply of the business mantra he endlessly repeated to his employees. These four words speak volumes about his keep-it-simple strategy for leading the world's largest consumer products company: Find out what the consumer wants, and give it to her. (Drucker: What the people in the business think they know about customer and market is more likely to be wrong than right. There is only one person who really knows: the customer. Only by asking the customer, by watching him, by trying to understand his behavior can one find out who he is, what he does, how he buys, how he uses what he buys, what he expects, what he values, and so on, pg. 113) ( There are two types of research that Procter and Gamble (P&G) employed to gather information from consumers on their needs and product feedback: qualitative and quantitative. Qualitative Research Qualitative research is used to generate ideas. It involves small groups of people, and requires in-depth interaction between the researcher and the participants. Focus Group Discussions: A relatively small group of people (6 - 12) is brought together and asked to talk about certain topics for exploring ideas and making initial evaluations. The advantage of the group interaction is that people can build on one another's ideas and comments. ......

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Procter and Gamble

...“Companies like P&G are a force in the world. Our market capitalization is greater than the GDP of many countries, and we serve consumers in more than 180 countries. With this stature comes both responsibility and opportunity. Our responsibility is to be an ethical corporate citizen—but our opportunity is something far greater, and is embodied in our Purpose.” Procter & Gamble (P&G) is an American multinational corporation headquartered in downtown Cincinnati, Ohio and manufactures a wide range of consumer goods. Operating in Russia since 1991, P&G Russia is one of the fastest developing subsidiaries of the Procter & Gamble Company. It has in Russia a solid portfolio of over 70 P&G brands, the key of them are Ariel, Tide, Fairy, Blend-a-med, Pampers, Always, Pantene, Head & Shoulders, Wella, Gillette and possesses leading market shares in 3/4 of the categories where it operates, esp. detergents, shampoos and diapers. Strategic problem How P&G Russia can progress and have a bigger penetration into the market? They want to develop market further, but problems come from neighbor countries, because the chairman of each region is different, and has his own strategy to maximize the market. P&G needs to develop market share and enforce the sales, but there are competitors, that distract a lot. Tactical problem P&G Russia haven’t studies the Russian consumers properly, their behavior, way of thinking and the way they spend money. Russian`s consumer behavior is very......

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Procter and Gamble

...Hervé-Alykhan Ladak Marketing Management Geneva, the 11.11.2011 Procter and Gamble: Always Russia Introduction The Procter & Gamble Company was founded in 1837 and is based in Cincinnati, Ohio. The Company provides consumer packaged goods in the United States and internationally. With 1.6 million shareholders around the globe, P&G operates in more than 160 countries and employs around 135,000 (including the Gillette business). Operating in Russia since 1991, P&G Russia is now one of the fastest developing subsidiaries of the Procter & Gamble Company. It has in Russia a solid portfolio of over 70 P&G brands, the key of them are Ariel, Tide and many other brand such as Pampers, Pantene. In this case study, we will focus on Always, a leading brand of feminine protection disposal pads launched in 1995, which is part of the paper division, trying to expand its brand and gain a maximum market share and enhance its market penetration. Strategic and Tactical Problems Always was the world-leading brand of feminine protection disposal pads, a market worth some USD 7 billion at retail in 1997, of which P&G hold 25% worldwide. This market has been growing steadily at 5%-10% in the previous decade. In order to increase its market share (by increasing usage) and expand its market penetration, P&G should establish some analysis such as identifying the issues. 1. Macro-economic situation: The economic situation in Russia, after the......

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Procter and Gamble

...PROCTER AND GAMBLE. INC SCOPE ( MOUTH-WASH BRAND IN CANADA) Procter & Gamble is one of the most successful consumer goods companies in the world. There are many brand names found under the name of P&G INC . Scope, a mouth-wash brand, is a part of P&G. Scope was introduced as part of oral hygiene industry in the year 1967, in Canada. Scope had the highest market growth in Canada. 1. What significant changes have occurred in the Canadian mouthwash market in the past three years? The most important change occurred in the Canadian market in the past three years was the introduction of Plax , a pre-brush mouth-wash. Plax quickly gained 10% of mouth-wash market shares which in turn slightly reduced the market share value of Scope. Apart from that, following are the competitive changes that occurred in the Canadian mouth-wash market:- Listerine, which was marketed as a bad breath strategy, introduced the claim fight plaque and helping prevent the inflamed gums caused by plaque in 1988. Listermint downplayed fluoride and removed the seal from the Canadian Dental Association that they added in 1983. In early 1987, flavors were introduced by many brands including Scope, Listermint and Various store brands. This greatly expanded the market but did not affect ......

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