This report states all the main issues Kimberly Clark faced and benefits they got from the merger with Scott Company. An analysis has been performed about the importance of this merger in consumer care product line and recommendations on how to improve on its decision making process and efficient planning are mentioned
A detail analysis was performed on the external factors which affected this merger. Legal/political, technological and economical factors are a few to mention. These factors played a crucial role in the strategic changes and decision process brought about by Kimberly Clark. This report also highlights internal environment including reduction of staff, closing down of underperforming production unit, restructuring of product classification which affected the company. The internal and external environment in turn affects the performance of the company and plays an integral part in the organisation strategy and decision making process.
Advantages such as increased supply chain, brand equity, expanded production units, assumptions and wrong organisation models implied by Kimberly Clark are also mentioned in the report. Measures taken to improve the performance of the company, strategic approaches, and limitations of the company are mentioned about in this report
Finally, this report gives an overall conclusion of factors leading to the merger of Kimberly Clark along with their assumptions and strategic decision, which hindered the company to gain competitive advantage after its merger with Scott.
Recommendation
➢ Kimberly Clark should give high consideration of external factors for efficient planning. External environment demonstrate crucial understanding of factors to develop a competitive edge. It helps in developing right strategic planning process considering new entrants, existing competitors maintaining position in the market from quality and price
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