Proctor & Gamble is centralizing 20 to 30 percent of its research efforts in a new corporate-level business creation and innovation unit. They believe that this will assist them only with developing incremental innovations that will help the overall bottom line.

Question

Quizplus · Accepted Answer

Having a corporate effort at innovation separates the budget for product development from divisional profit numbers, enhancing willingness of the firm to invest in long-term product development efforts. Also, the corporate unit will be able to foster collaboration between units to develop blockbuster products.

Proctor & Gamble Is Centralizing 20 to 30 Percent of Its