In the last couple of weeks, I’ve been thinking a lot about how to best define innovation : I googled a lot but also took time to discuss with friends, family members or colleagues.
And it was quite interesting to note how diverse are the definitions for breakthrough innovations but in general, some companies are immediately identified as truly innovative : Apple, General Electrics, 3M, Nike, Disney, MacDonalds ,etc .
But there's one company constantly coming back as a reference and it's Procter& Gamble .
Of course everybody knows P&G most famous brands : Dash, Tide, Gillette, Mr Clean, Pampers, Oral B or Crest but what interessed me the most it's their impressive innovation success rate : between 50% and 60% of their new products launches are successful , which is for a 70 billion company a quite impressive result . The second aspect that I found interesting is that , like Panasonic, P&G has to deal with many different categories targeting many different consumers across many different geographies .
And it was quite interesting to note how diverse are the definitions for breakthrough innovations but in general, some companies are immediately identified as truly innovative : Apple, General Electrics, 3M, Nike, Disney, MacDonalds ,etc .
But there's one company constantly coming back as a reference and it's Procter& Gamble .
Of course everybody knows P&G most famous brands : Dash, Tide, Gillette, Mr Clean, Pampers, Oral B or Crest but what interessed me the most it's their impressive innovation success rate : between 50% and 60% of their new products launches are successful , which is for a 70 billion company a quite impressive result . The second aspect that I found interesting is that , like Panasonic, P&G has to deal with many different categories targeting many different consumers across many different geographies .
What inspired me in P&G model ? : If I have to focus on one thing it's the way P&G is integrating innovation at the center of the business model .That way, it becomes an ongoing process allowing a company, a team or an individual to constantly re invent the way they approach consumers . By doing that a consumer goods company would be much better prepared to answer consumer needs in such a volatile environment.
That's why as an angle for my preparation, I decided to analyze why did P&G decided to put innovation at the center of it's business model but also how they concretely made it happen.
I identified 4 areas that I found very inspiring for other companies .
I identified 4 areas that I found very inspiring for other companies .
- From Research and Development to Connect and Development
- Consumer is Boss approach illustrated by P&G consumer centric program
- Innovation through acquisition : Gillette integration
- From Consumer to Shopper focus
I agree on the point that P&G appears not only an innovative company but as a company who CONSTANTLY displays innovation (which is much more difficult)
ReplyDeleteGreat blog! Well structured, good analysis, lot's of things which inspired me and I think is very attractive to study further and find ways to link inside our organisation.
ReplyDelete- Thomas