The maker of Tide detergent and Oral-B toothpaste said the new divisions – fabric and home care, baby and feminine care, family care and new ventures, grooming, health care, and beauty care – will have their own chief executive officers who will report to CEO David Taylor.

P&G’s move comes after billionaire investor Nelson Peltz was appointed to the company’s board in March.

Peltz has been pushing for a simpler organisational structure with three business units.

“We are accelerating the pace of change and stepping up execution to meet the challenges of today’s dynamic world,” Taylor said in a statement.

P&G also said Chief Financial Officer Jon Moeller will expand his role to assume the duties of chief operating officer, a role that has been left vacant since 2009, following the appointment of then-COO Bob McDonald to the top job.

McDonald left the company in 2013 and was succeeded by AG Lafley.

Shares of the company were up marginally at US$91.65 (RM381.68) in extended trading.