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Differentiate Through Innovation
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Anticipate, Innovate, ExecuteTransformational and sustainable technologies leader
CONFIDENTIAL AND OPERATIONALLY SENSITIVE MATERIALThis presentation contains non-public, proprietary information that must remain confidential
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CORPORATE INNOVATION CENTER (CIC)
Vision• Make USG the leader in construction
product and system solutions through transformational and sustainable technologies.
Mission• Align with USG corporate strategy to
deliver science and technology based building solutions that create value and ensure USG leadership.
− Optimize current products− Drive cost reduction efforts− Anticipate, adapt to and act on building trends− Pursue transformational research leading to
innovative and profitable building solutions USG CONFIDENTIAL
3USG CONFIDENTIAL
INNOVATION CENTER OVERVIEW
Moved in 1983
200,000 sq.ft. facility
Lab bench to pilot plant capability
In-house testing capabilities (acoustical, structural, fire)
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ORGANIZATION
Laboratories
• Gypsum Panels
• Ceilings
• Performance Surfaces
• Performance Substrates
• Analytical
• Construction SystemsUSG CONFIDENTIAL
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FOCUS AREAS
Innovation Through Collaboration
Invest in people, not just productseopleP People creating value through the
implementation of new ideasI nnovation
Internal – Manufacturing & Marketing ExternalCustomers
USG CONFIDENTIAL
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PEOPLE
Over 1,200+ years of cumulative experience
Physics
Chemistry
Coatings
Materials Engineering
Chemical Engineering
Mechanical Engineering
More than 50% of the staff have advanced degrees
Civil Engineering
Architecture
Metallurgical Engineering
Bio-engineering
Physical Chemistry
USG CONFIDENTIAL
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COMPETENCIES AND CAPABILITIES
• Cement & Gypsum Chemistry
• Admixture Formulation
• Paper Chemistry
• Materials Science & Analysis
• Calcination Technology
• Computational Fluid Dynamics
• Building Science
• Industry Codes & Standards
• Fire Design & Test
• Acoustical Design & Test
• Structural Design & Test
• Life Cycle Analysis
• Building Moisture Management
USG CONFIDENTIAL
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LEADING AND SHAPING INDUSTRY STANDARDS
• Underwriters Labs
• ASTM International
• ASHRAE
• Gypsum Association
• American National Standards Institute
• US Green Building Council
• American Concrete Institute
• Technical Association of Pulp and Paper IndustryUSG CONFIDENTIAL
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2010Sheetrock® Brand UltraLight Panel SECUROCK® Glass-MatRoof Board
DECADES OF INNOVATIONInventors in Building Science
1900Sheetrock®Sheetrock Gypsum PanelsPyrobar Gypsum Partition Tile
1940Pyrofill®Firecode®Structo-Gauge® Gauging PlasterPyrofill® Poured Gypsum Roof DeckWater Repellent WallboardStructo-Lite Perlited PlasterSheetrock Firecode Core (Type X)Tapered Edge PanelsReady-Mixed Joint Compound2" Solid Gypsum Wall Board System
1960Ultrawall®StructocoreStructocore™ Wall SystemFirst Metal Stud Drywall SystemRC-1 ChannelSheetrock WR Gypsum PanelsChemically Hardening Joint CompoundSW Gypsum PanelsBlendtex Gypsum PanelsExterior Ceiling BoardUltrawall Relocatable Wall SystemUSG Shaft Wall SystemTextone SW Gypsum PanelsArea Separation Wall SystemLight Steel Framing
2000HUMITEK®Levelrock®Next Generation Gypsum PanelsLevelrock Floor Underlayment SystemUSG™ Decorative Interior Finish SystemGeometrix™ Metal Ceiling PanelsAstro™ ClimaPlus™ Ceiling PanelsTranslucents™ Luminous PanelsTopo™ 3-D Ceiling PanelsHUMITEK Gypsum PanelsSECUROCK® Roof BoardSheetrock® All Purpose Joint Compound with Dust ControlSheetrock® Mold-Tough panelsZero-emitting ceiling tiles High Recycled Content Suspension SystemsTrue Wood Ceiling PanelsSECUROCK® Glass-Mat SheathingSECUROCK® Glass-Mat Liner Panels
1980DUROCK®FIBEROCK®Structocore Security SystemDUROCK® Cement BoardSHEETROCK® Plus 3™ Joint CompoundX-Technology Ceiling PanelsFirecode® Compound3/4" Ultracode® Core Gypsum PanelsCompässo™ Suspension TrimQuick Release II ClipCuvatura™3-D SystemRadar™ ClimaPlus™ Ceiling PanelsFIBEROCK® PanelsUSG Drywall Suspension System
1920ACOUSTONE®Rocklath®Gyplap® Gypsum SheathingRocklath Gypsum LathACOUSTONE Ceiling TilesPerf-A-Tape® Joint Reinforcement
2000 – 2009 1000+ Patents
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• Essential Support Of Existing Products & Operations
• Platform Technology Development
• Exploratory Projects
INNOVATION CATEGORIES
Supporting Operations / Heritage
BU Initiatives
• Product & Process Extensions
Exploratory
Category 1 Category 2 Category 3
USG CONFIDENTIAL
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INNOVATION
Customers
Innovation Brokers
Universities and
National Labs
Suppliers
Plants
Marketing
Research
Engineering and Tech
Services
The world is our lab OPEN INNOVATIONThe lab is our world
USG CONFIDENTIAL
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INNOVATION METRICS
R&D Yield (Total Cost Savings & Total Gross Profit) / R&D Budget
Patents Filed Annualized Number Of Patent Filings From R&D
Value Of Project Portfolio Total 5 Year Estimated Gross Profit & Costs Savings For Projects On The Portfolio
Number Of New Platforms Number Of Cross-product Development Initiatives Funded For Exploration
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