Joanne Louis     NathaniaAaron Naisbitt   Ouwen GuRoss Simons      Matt Marrazzo
Presentation Outline    • Company Overview*   • Company Tour    • Introduce problem*    •Discuss Social Network Analysis* ...
What is ABI?       Anheuser-Busch       InBev            Mission:       “ To Be the Best       Beer Company          In a ...
“The best beer company…”            114,000 employees       23 countries around the world    Top 2 market position in 19 c...
“…in a better world”Responsible Drinking                       Environment  Community                   Our people
C oTourm p a n y
Budweiser Brewing Process                     Milling      Beachwood                    Mashing       Lagering     Ferment...
InBev Acquisition of 2008      InBev         AB
Problems     - Merger Conflicts     - Communication     - Informal Relationships     - Employee Satisfaction     - Lack of...
Management ConflictAnheuser Busch Values:   InBev Values:• Brand                  • Increasing Profits• All American Compa...
Transparency                            Jackie Hamel                            “…they are trying to be                   ...
Jeffrey Sonnenfeld“Companies must take at leastas much time as they spendwith financial analysts andspend it with their em...
Geert Hofstede Cultural Dimensions        United States vs. Belgium/Brazil
Current Communication System   Lacks variety of   communication channels   Rigid structure of   communication   Multiple p...
Problem: Communication         -Rigid Structure         -Multiple Platforms         -Loss of informal         relationships
Solution: Enterprise 2.0
The evolution of business
In Numbers
A culture, united
Not Management, separated
not heirarchy
Collaboration
Case Study: Cisco               • $772mil return on $82mil               • Increased margins by $142 milQuantitative   • R...
MSFT      LyncSNA                Other      Enterprise         2.0
Social Network Analysis
2. Analyze/Map   3. Create1. Conduct       informal  Surveys        network      Solutions
Formal vs. Informal Networks
BusinessDevelopmentR&D                                                International                                       ...
Terrible communication
bottlenecksDisintegration
SNA as TOM-Information = Inventory-Pull System-Degrees of Separation=process steps
Case Study: ABIRelationship   • 1,400 salaried workers fired    Map        • 1000 employees took buyouts               • "...
“ Lync is changing the way we   communicate today, but it will   change the way our business tools   work in the future.  ...
“   The Skill Search feature in Lync    and SharePoint will be easy to    use. Employees can view presence    information ...
“ Problem resolution through IM   70% of time   Help desk call times down from 5   calls per issue to .3 calls   Lowered l...
Benefits                                             Costs                  *(Over 3 Years)                               ...
“   Managers spend 2 hours/day    looking for information    50% of the information found is of    no value               ...
“   Respondents reported benefits    that included better access to    knowledge and internal experts,    greater employee...
“   The magnitude of the gains was    striking    20%=innovation rates    to    35% (access to internal experts).         ...
Add/Drop Analysis      Assumption: Scalability to Anheuser-Busch Inbev
Balanced Scorecard             Strategy                             MetricFinancial    - Zero-Based Budgeting             ...
Presentation Summary     • Company Overview *   • Company Tour     • Introduced problem *     •Discussed Social Network An...
Thank You!!!
Costs                    Initial      Year 1      Year 2     Year 3        TOTALSoftware licenses and assurance   $677,695...
Ref.        Metric          Calculation          Year 1         Year 2       Year 3        TotalA       No. of Workers    ...
Testimonials:•Nikon Corp.    -“With Lync, communication is much more efficient because people do not    have to switch pro...
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
AB-Inbev -- Problem identification and solution
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AB-Inbev -- Problem identification and solution

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  • Source: Forrester, assuming 5000 employees
  • AB-Inbev -- Problem identification and solution

    1. 1. Joanne Louis NathaniaAaron Naisbitt Ouwen GuRoss Simons Matt Marrazzo
    2. 2. Presentation Outline • Company Overview* • Company Tour • Introduce problem* •Discuss Social Network Analysis* •Introduce Microsoft Lync
    3. 3. What is ABI? Anheuser-Busch InBev Mission: “ To Be the Best Beer Company In a Better World”””
    4. 4. “The best beer company…” 114,000 employees 23 countries around the world Top 2 market position in 19 countries
    5. 5. “…in a better world”Responsible Drinking Environment Community Our people
    6. 6. C oTourm p a n y
    7. 7. Budweiser Brewing Process Milling Beachwood Mashing Lagering Fermentation Straining Brew- kettle
    8. 8. InBev Acquisition of 2008 InBev AB
    9. 9. Problems - Merger Conflicts - Communication - Informal Relationships - Employee Satisfaction - Lack of Mentorship
    10. 10. Management ConflictAnheuser Busch Values: InBev Values:• Brand • Increasing Profits• All American Company • Global Leader• Long Term Image • Cost Cutting• Tradition • Production Efficiency
    11. 11. Transparency Jackie Hamel “…they are trying to be more transparent. Not easy with 120,000 employees.”Jackie Hamel“InBev sets targets whichare out of reach and asksyou to make them. Weperpetually have gaps wecan hit…”
    12. 12. Jeffrey Sonnenfeld“Companies must take at leastas much time as they spendwith financial analysts andspend it with their employees.People care about where theywork. " Anheuser-Busch Employee “If you are young and have some sort of degree, you will like the campus like office with no professors to teach and guide you.”
    13. 13. Geert Hofstede Cultural Dimensions United States vs. Belgium/Brazil
    14. 14. Current Communication System Lacks variety of communication channels Rigid structure of communication Multiple platforms and software Collaborates with all Microsoft office functions One training program company wide One program serves all
    15. 15. Problem: Communication -Rigid Structure -Multiple Platforms -Loss of informal relationships
    16. 16. Solution: Enterprise 2.0
    17. 17. The evolution of business
    18. 18. In Numbers
    19. 19. A culture, united
    20. 20. Not Management, separated
    21. 21. not heirarchy
    22. 22. Collaboration
    23. 23. Case Study: Cisco • $772mil return on $82mil • Increased margins by $142 milQuantitative • Reduced costs by $251 mil • Employee time savings: $380mil • Increased remote collaborationQualitative • Better usage of employee skills • Quicker access to knowledge Source: Mckinsey/Cisco
    24. 24. MSFT LyncSNA Other Enterprise 2.0
    25. 25. Social Network Analysis
    26. 26. 2. Analyze/Map 3. Create1. Conduct informal Surveys network Solutions
    27. 27. Formal vs. Informal Networks
    28. 28. BusinessDevelopmentR&D International Business Strategic Business Unit Other
    29. 29. Terrible communication
    30. 30. bottlenecksDisintegration
    31. 31. SNA as TOM-Information = Inventory-Pull System-Degrees of Separation=process steps
    32. 32. Case Study: ABIRelationship • 1,400 salaried workers fired Map • 1000 employees took buyouts • "They wasted no time," says Juli Niemann, executive vice president of Smith, Moore & Co., a Clayton-based Executive financial advisory firm. "They delivered exactly what they promised. They demolished the executive suite." • ABI 14-person executive committeeManagement • Zero people from old AB
    33. 33. “ Lync is changing the way we communicate today, but it will change the way our business tools work in the future. ”
    34. 34. “ The Skill Search feature in Lync and SharePoint will be easy to use. Employees can view presence information and immediately contact the person they are searching for with one click Source: Forrester/ATKearney ”
    35. 35. “ Problem resolution through IM 70% of time Help desk call times down from 5 calls per issue to .3 calls Lowered labor costs and showed an 80% improvement in customer response times Source: Forrester/Global Crossing
    36. 36. Benefits Costs *(Over 3 Years) *(Over 3 Years) Replacing private telephone systems - $500,000* Software Licenses and Assurance Costs - $1,200,000*Direct Cost Savings from Web and Teleconferencing - $1,000,000* Server Hardware - <$60,000 Reduced IT and Telephony Labor - $1,000,000 Voice Terminal Equipment - $364,000 Fewer calls to the Help Desk - $190,000 Internal Labor for Testing - Increased User Productivity - $24,000 >$12,000,000* Travel Costs and Carbon Footprint Reduction - Internal Training Labor Opportunity Cost - $3,800,000 $1,300,000
    37. 37. “ Managers spend 2 hours/day looking for information 50% of the information found is of no value ” Source: Accenture
    38. 38. “ Respondents reported benefits that included better access to knowledge and internal experts, greater employee and customer satisfaction, and higher rates of innovation. ” Source: Mckinsey
    39. 39. “ The magnitude of the gains was striking 20%=innovation rates to 35% (access to internal experts). ” Source: Mckinsey
    40. 40. Add/Drop Analysis Assumption: Scalability to Anheuser-Busch Inbev
    41. 41. Balanced Scorecard Strategy MetricFinancial - Zero-Based Budgeting - Number and size of budget - Cutting Costs requests per project. - COGS as a % of revenue targets.Customer - Customer Retention Program - % increase in sales by - Brand Equity distributor. - % market share.Internal - Voyager Plant Optimization - Comparison of cycle time - Implementation of Microsoft Lync and capacity utilization byProcess facility. - Degree of separationLearning - Overseas Growth - % of revenue earned - Prioritization of Focus Brands overseas by region.and Growth - % of marketing dollars spent on key brands (Budweiser, Stella Artois, Becks)
    42. 42. Presentation Summary • Company Overview * • Company Tour • Introduced problem * •Discussed Social Network Analysis * •Introduced Microsoft Lync
    43. 43. Thank You!!!
    44. 44. Costs Initial Year 1 Year 2 Year 3 TOTALSoftware licenses and assurance $677,695 $169,424 $169,424 $169,424 $1,185,967 Hardware and Maintenance $56,000 $945 $945 $945 $58,853 Voice Terminal Equipment $364,000 $364,000 Pilot and Testing: Internal $24,000 $24,000 Labor Implementation Costs: Third $90,000 $90,000 PartyTraining Cost: Internal Labor $1,300,000 $1,300,000 TOTAL $2,511,695 $170,369 $170,369 $170,369 $3,022,802
    45. 45. Ref. Metric Calculation Year 1 Year 2 Year 3 TotalA No. of Workers 5000B Hourly Rate $48.00C Number of ~70 min per 1.17 Hours Saved Per week WeekD Weeks 50E Percent 50% CapturedF Rollout of Lync 25% 50% 100%Total Incremental A*B*C*D*E*F $1,700,000 $3,500,000 $7,000,000 $12,250,000 Output per Worker
    46. 46. Testimonials:•Nikon Corp. -“With Lync, communication is much more efficient because people do not have to switch programs to make a call or join a meeting.” -- Michiko Noborisaka General Manager of Information System Planning Department, Nikon Corporation•ATKearney -“The Skill Search feature in Lync and SharePoint will be easy to use. Employees can view presence information and immediately -contact the person they are searching for with one click.” - Kevin Rice Global Network Architect, A.T. Kearney•Global Crossing -Problem resolution through IM 70% of time -Help desk call times down from 5 calls per issue to .3 calls -Lowered labor costs and showed an 80% improvement in customer response times•Fortek -Developed emergency response system -Average response times down from 7 mins to < 2 mins
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