Procter & Gamble Company ( PG ) gets to deepen its ties with Siemens AG ( SI ), as the latter confirmed the extension of providing a wide array of software to the leading fast moving consumer goods manufacturer.
It will be Siemens Industry Automation Division's business unit, Siemens PLM Software, who will provide the software to Procter & Gamble. Siemens PLM Software is a leading global provider of product lifecycle management ( PLM ) software and services.
The company will also provide a bundle of software to 'Comos', Siemens' leading software solution for holistically designing and managing the plants and machinery's assets throughout their lifecycle.
Procter & Gamble has been using Siemens software since 1980. Thousands of users across P&G are presently using the software in the company's engineering and packaging departments. The software is also used for information gathering and viewing the company's note booking project.
Siemens had also provided another premier portfolio for lifecycle engineering for complex industries called 'Comos' which P&G had been using since 2009.
P&G has always given great importance to its research and development. Its technologists have been responsible for several historic "firsts" that revolutionized their product categories.
Siemens' software was very useful to P&G, as it helped the retail giant to share workflow between many individual laboratories, or groups of labs that comprised P&G's Research and development division. The PLM software helped to link labs together to standardize processes or share information.
P&G and Siemens PLM Software were jointly honored, and it bagged the award for the "Best Product Lifecycle Management System for Process R&D and Manufacturing" at the ELNs (Electronic Laboratory Notebooks) and Laboratory Informatics 2006 conference in London.
Procter & Gamble Co. reported modest results for the first quarter 2012, with net earnings from continuing operations inching up 1.0% year over year to $1.03 a share, which were in line with the Zacks Consensus Estimate. Profits were driven by efforts to enhance productivity and cost-saving initiatives.
Currently, we prefer to be Neutral on P&G's stock. Furthermore, P&G holds a Zacks #3 Rank, which translates into a short-term 'Hold' rating.