CultivatingInnovation              March 2010
Rimma Driscoll               Global BusinessInsert photo   Development               INNOCOS               November 27, 20...
For Discussion . . .1. About P&G2. C+D: What is it and why is it   important?3. Examples: C+D at work
About P&G . . .• 300 brands; sales 180+  countries• Operations in ~75 global  markets• Built on Partnerships• Driven by In...
Our Brands . . .• Among the Most Trusted in the World• 25 Billion-Dollar Brands
Our Values . . .  P&G’s Brands and   People Improve   the Lives of the       Worlds’     Consumers.
What Drive Us . . .  We are        The        Innovation  Purpose-      Consumer   is Our  Driven and    is Boss.   Lifebl...
Our History . . .                           James Gamble    William Procter                      We are a company founded ...
For Discussion . . .1. About P&G2. C+D: What is it and why is it   important?3. Examples: C+D at work
Innovation has always         been our Lifeblood
Innovation is how we’ve grown . . .  List of Firsts:  1879    IVORY     white soap equal in quality to imported castiles  ...
Strengthening OurInnovationProgram andPipelineTo consistently win with consumersaround the world across price tiersand pre...
How to get there . . .  We can’t be everywhere. Think of everything.  And we certainly can’t be first and the best by  thi...
Tap the innovative powerof the world   > 8,000 R&D                      2 MILLION                  Scientists/Engineers
Toward that Aim . . .• We started Connect + Develop just over 10 years  ago.• It began as an area within P&G that brought ...
• >70 C+D Leaders Worldwide• 11 Regional C+D Hubs     NA, LA, Europe, Israel, India, China, Japan• 1,000s of networks• 100...
GBD “Village”                                                          Internal P&G                                       ...
Collaborating Internally….
And Externally…With our partners, we’ve delivered game-changingproducts, designs, packaging, processesand go-to-market sol...
And a few more…
Core               Traditional   Alternative               Capabilities          P&G               Technology        R&DP&...
Business Model Examples at P&G                                          Build & Extract Value                             ...
Types of Activities     • Products “in” & “out”     • Technologies “in” & “out”     • Capabilities/Know-how “in” & “out”  ...
For Discussion . . .1. About P&G2. C+D: What is it and why is it   important?3. Examples : C+D at work
Connect + Develop Examples:    Packaging Solutions
Olay® RegeneristAnti-Aging Eye Roller• Micro-rollers massage in hydrating  anti-aging treatment• #2 selling Olay product g...
Innovation in PackagingPartnered with the Waste and Resources ActionProgram (WRAP) in UK to deliver innovation thatenables...
•Sustainable Packaging Company•Based in California
Renewable Materials                   • Supplier partnership: sustainable innovation                   • Braskem, SA, of B...
A Few More Examples
Olay® Regenerist                   • In-licensing technology agreement with                     small French SME, Sederma ...
Oral-B® Pulsonic®                       Toothbrush                       • Development sourcing relationship with         ...
Questions ?Discussion . . .
Cultivating innovation by improving internal cross-departmental interaction (Rimma Driscoll - Proctor & Gamble)
Cultivating innovation by improving internal cross-departmental interaction (Rimma Driscoll - Proctor & Gamble)
Cultivating innovation by improving internal cross-departmental interaction (Rimma Driscoll - Proctor & Gamble)
Cultivating innovation by improving internal cross-departmental interaction (Rimma Driscoll - Proctor & Gamble)
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Cultivating innovation by improving internal cross-departmental interaction (Rimma Driscoll - Proctor & Gamble)

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- Encouraging creativity and communication between all departments, from R&D and Formulations to Marketing and Branding
- Uncovering new ways of doing things, evaluating innovation processes and generating packaging ideas by working together
- Finding packaging solutions from others and together through collaborative problem solving
- Embracing new ways of interacting across departments to change and innovate your business model
Presentation by Rimma Driscoll - Associate Director EMEA Global Business Development - Proctor & Gamble

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  • Two brothers-in-law, competing for the same raw materials. Their joint venture to negotiate better supplier pricing, led to the creation of the Procter & Gamble Company in 1837.
  • We have recently reaffirmed our commitment to innovation: strengthening our innovation program and pipeline is a top priority at P&G. Tide PODS is just one example of P&G innovation that obsoletes existing products or creates entirely new product categories.
  • One way GBD has helped boost internal collaboration is through our review of submissions. www.pgconnectdevelop.com is our externally facing website, where anyone can submit innovations for consideration. These are reviewed by people in the relevant business units / functions who best know if these innovations will be of interest or a strategic fit for the Company. These submissions can be shared across different business units, which encourages internal collaboration and discussion of potential solutions and opportunities.
  • We don’t just look for upstream technologies…we look for packaging, processes, fully cooked projects..a wide range of opportunities.
  • Video runs
  • As ongoing partners, P&G shared with Brazilian company, Braskem SA, P&G’s sustainability goals and vision. Braskem one day offered a renewable, sustainable, sugarcane-derived plastic. Introduced with Pantene Nature Fusion products in 2012. Work is now underway on additional brands. The new material is being made in an innovative process that transforms sustainably harvested sugarcane into a high-density polyethylene plastic – that is 100% recyclable.
  • P&G Skin Care was looking both internally and externally for anti-wrinkle technology options for next-generation Olay products. At a technical conference in Europe, P&G first learned of a new peptide technology and met members of a small French cosmetics company, Sederma, who had developed an exclusive version of Peptide. With the resulting partnership, Sederma’s work became a key component in the blockbuster product, Olay Regenerist, which quickly became a global market leader, beating $350 boutique creams.
  • P&G Oral Care was looking for a strategic expansion of its dental care line. A pulsating toothbrush was on the drawing board, but still had up to 5 years in development. Through C+D, the company found a Japanese firm with a product matching P&G’s vision. The partnership, coupled with additional P&G R&D, resulted in the Oral-B Pulsonic Toothbrush. It launched in less than a year.
  • Cultivating innovation by improving internal cross-departmental interaction (Rimma Driscoll - Proctor & Gamble)

    1. 1. CultivatingInnovation March 2010
    2. 2. Rimma Driscoll Global BusinessInsert photo Development INNOCOS November 27, 2012 © P&G 2010
    3. 3. For Discussion . . .1. About P&G2. C+D: What is it and why is it important?3. Examples: C+D at work
    4. 4. About P&G . . .• 300 brands; sales 180+ countries• Operations in ~75 global markets• Built on Partnerships• Driven by Innovation• Global Advertising Leader• Established: 1837• HQ: Cincinnati• Sales: $83.7 Billion• Largest CPG Company in the World
    5. 5. Our Brands . . .• Among the Most Trusted in the World• 25 Billion-Dollar Brands
    6. 6. Our Values . . . P&G’s Brands and People Improve the Lives of the Worlds’ Consumers.
    7. 7. What Drive Us . . . We are The Innovation Purpose- Consumer is Our Driven and is Boss. Lifeblood. Values-Led.
    8. 8. Our History . . . James Gamble William Procter We are a company founded in and grown by partnerships. It’s in our DNA. It’s who we are. How we work.
    9. 9. For Discussion . . .1. About P&G2. C+D: What is it and why is it important?3. Examples: C+D at work
    10. 10. Innovation has always been our Lifeblood
    11. 11. Innovation is how we’ve grown . . . List of Firsts: 1879 IVORY white soap equal in quality to imported castiles 1911 CRISCO all-vegetable shortening 1933 DREFT synthetic household detergent 1946 TIDE heavy-duty laundry detergent 1955 CREST toothpaste to prevent tooth decay 1960 DOWNY rinse add fabric softener 1961 HEAD & SHOULDERS anti dandruff shampoo 1961 PAMPERS affordable, mass-marketed disposable diaper And the list goes on…. 2003 MR. CLEAN MAGIC ERASER unique scrubbing sponge 2005 TIDE COLD WATER superior cleaning in cold water 2007 BRAUN PULSONIC first self cleaning electric razor 2008 ALWAYS INFINITY absorbs 10X its weight 2012 TIDEPODS 3-in-1 laundry product
    12. 12. Strengthening OurInnovationProgram andPipelineTo consistently win with consumersaround the world across price tiersand preferences, and to consistentlywin versus our best competitors, eachP&G product category must have afull portfolio of innovation.This is a top priority at P&G.
    13. 13. How to get there . . . We can’t be everywhere. Think of everything. And we certainly can’t be first and the best by thinking we can . . . Especially not at the speed with which the world now operates. To deliver what consumers’ need, in an efficient and cost effective way … that is still market leading … we need to tap the ideas of the world…
    14. 14. Tap the innovative powerof the world > 8,000 R&D 2 MILLION Scientists/Engineers
    15. 15. Toward that Aim . . .• We started Connect + Develop just over 10 years ago.• It began as an area within P&G that brought innovation in, and took it out• It’s become core to how we innovate, across all our brands, and across the company
    16. 16. • >70 C+D Leaders Worldwide• 11 Regional C+D Hubs NA, LA, Europe, Israel, India, China, Japan• 1,000s of networks• 100s of university partners globally
    17. 17. GBD “Village” Internal P&G External Resource • Oakland • EvaluserveConsultants/ • BeanstalkService Providers • E&Y BUs Regional EcoSystems • C&FS Strategic QA R&D Partnerships Data Sources• Labs • Mintel• Universities• Governments PS&RA GBD Acctg • Cap IQ • Euromonitor • Etc. Technical Infolytics Tax Bankers/ EcoSystems Legal Advisors
    18. 18. Collaborating Internally….
    19. 19. And Externally…With our partners, we’ve delivered game-changingproducts, designs, packaging, processesand go-to-market solutions. . .
    20. 20. And a few more…
    21. 21. Core Traditional Alternative Capabilities P&G Technology R&DP&G Product concept R&D Manufacturing PSBusiness Brand Equity MarketingModel: Marketing CMK/MktgDeconstruct Selling Sales Distribution Distributioninto Shared Services Back officecapabilities KEY P&G Partner
    22. 22. Business Model Examples at P&G Build & Extract Value Accelerate Innovation Technology In- Trademark In- Brand Lease Outsourcing Outlicense Traditional Trademark Product & Franchise License license P&GCapabilities JV JVTechnologyProduct conceptManufacture/ServiceBrand EquityMarketingSellingDistributionShared ServicesKey P&G Partner Both
    23. 23. Types of Activities • Products “in” & “out” • Technologies “in” & “out” • Capabilities/Know-how “in” & “out” • Non-standard/complicated • Trademarks “in” & “out”
    24. 24. For Discussion . . .1. About P&G2. C+D: What is it and why is it important?3. Examples : C+D at work
    25. 25. Connect + Develop Examples: Packaging Solutions
    26. 26. Olay® RegeneristAnti-Aging Eye Roller• Micro-rollers massage in hydrating anti-aging treatment• #2 selling Olay product globally• Content Manufacturing Agreement with Japanese company and Universal Packaging of California
    27. 27. Innovation in PackagingPartnered with the Waste and Resources ActionProgram (WRAP) in UK to deliver innovation thatenables packaging reduction without compromisingintegrity. 14% Less Plastic Before BOWS After BOWS 38.7 grams 33.2 grams Thicker Thinner
    28. 28. •Sustainable Packaging Company•Based in California
    29. 29. Renewable Materials • Supplier partnership: sustainable innovation • Braskem, SA, of Brazil • Introducing with Pantene Nature Fusion products in 2012Aiming to meet P&G’s sustainability needs, Braskem offered arenewable, sustainable, sugarcane-derived plastic.Pantene Nature Fusion launched in the new packaging in North Americain 2012; additional packaging innovation is underway.
    30. 30. A Few More Examples
    31. 31. Olay® Regenerist • In-licensing technology agreement with small French SME, Sederma • Category-changing anti-wrinkle cream • Additional upstream projects underwayAt a technical conference in Europe, P&G first learned of a new peptidetechnology and met members of a small French cosmetics company,Sederma.Sederma’s work became a key component in the blockbuster product,Olay Regenerist, which quickly became a global market leader, beating$350 boutique creams.
    32. 32. Oral-B® Pulsonic® Toothbrush • Development sourcing relationship with a Japanese company • Category-advancing product in one year • Ongoing, expanded relationship, including Master Joint Development AgreementsP&G Oral Care had a pulsating toothbrush on the drawing board, with fiveyears needed for development.The partnership, coupled with additional P&G R&D, resulted in the Oral-BPulsonic Toothbrush. It launched in less than a year.
    33. 33. Questions ?Discussion . . .

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