Danone and London Business School Leading Edgeexecutiveeducation.london.edu/biz-impact/uploads/news/id14/Danone... · London Business School Danone Leading Edge Programme 2013 marks

Programme

Danone and London Business School

LeadingEdge

A Leadership Odyssey

London Business School Danone Leading Edge Programme 2

10 years

2012 Hyderabad and Bangalore

2005 Cape Town

2005 Mumbai

2006 Istanbul

2008 Boston

London 2009/11

2004 Amsterdam

2013 Rio de Janeiro

Executive summary

The challenge

The commitment

The learning anddevelopment initiative

The impact

Concluding remarks

The challenge

London Business School Danone Leading Edge Programme

2013 marks the ten year anniversary of the adventurous Leading Edge Programme and the successful partnership between Danone and London Business School (LBS).

Pioneering ‘discovery learning’, a highly innovative concept in 2003, Leading Edge arose from Danone’s courage to take a very different approach to senior leadership development.

Aligned with Danone’s emergent strategy of personal development and corporate growth, this flagship Programme has delivered deep impact over its history, in both anticipated and unexpected ways.

Sustainable impact has been delivered at multiple levels; individual, organisational and societal.

The Programme’s success is the result of a strong cultural fit and deep understanding between Danone and LBS, leading to unusually high levels of trust and a collective desire to explore new territory.

It is also the result of a dynamic and collaborative approach to design, which ensures that the Programme is strategically aligned and as relevant to Danone today as it was in 2004.

Jules Goddard, Academic Director, and Thierry Bonetto, Director of Learning and Development, describe the Programme’s essence:

‘In business, it is very easy to get too close to the trees, and not see the forest. Sometimes it helps to step back, take a broader view, but the frenetic pace of business and the short-term pressures, make reflection difficult.

A powerful way to renew one’s perspective is to immerse oneself in another world, one that operates to a different set of values. In seeking to understand this world, managers have the opportunity to ‘get out of their skin’ and to see themselves and their work in a new light.

Senior managers are unlikely to be short of ideas, or lacking in knowledge or skills; they are more likely to need a new source of inspiration, a new angle on business, a re-discovery of a purpose worth serving... as well as peers with whom to share ideas.

Many outcomes are possible: the Programme relies on – and fosters – a spirit of entrepreneurship and re-invention, by creating rich environments in which participants can set their own goals and collectively bring their energy to bear on the most important challenges that they and their companies face.’

Visit goo.gl/QdXX7to view a short film summarising the ethos of Leading Edge

2003 Danone identifies a need for senior leadership development

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Executive summary

The challenge

The commitment


The impact

Concluding remarks

Executive summary

‘Leading Edge was the most inspiring, memorable management Programme I’ve ever been on. Why? Because it took a completely different approach. Its design was to really challenge our thinking. I was impacted by the visits to totally different organisations – not business organisations; I started to realise that there’s a whole world out there of highly motivated, successful people in completely different domains, driven by the belief in what they do.

That’s why, in my current job, reinforcing consistently this sense of mission is so important. I really believe it contributes hugely to the high engagement scores we have in the division.’

Flemming MorganEVP, Medical Nutrition, LE 2004 (Amsterdam)

http://www.youtube.com/watch?v=LjV2AcmQNDk&feature=youtu.be


Years of partnership... between Danone and London Business School

Leading Edge Programmes... delivered so far

Special edition... of the Programme dedicated to Comex, the Danone Executive Board

Executives... have participated in the experience

Cities visited... as part of the discovery experience – Amsterdam, Cape Town, Mumbai, Istanbul, Boston, London, Hyderabad, Bangalore and Rio de Janeiro

Of these executives... have been promoted since their participation, of which...

Creative encounters... with social and commercial ventures, numerous conversations with students, community leaders and entrepreneurs

Have been appointed to Comex

10 1

174 100+ 9

64

4

9Leadership experiments...

30+

2004 Danone appoints London Business School

4

Executive summary

The challenge

The commitment


The impact

Concluding remarks

A statistical snapshot of Leading Edge


The urgent need for leadership development

A 2003 Danone survey highlighted a lack of personal development amongst its senior cadre of executives as a cause for concern.

For the first time in the company’s history, there was a feeling of vulnerability amongst top management and doubt as to whether the firm was offering a sufficiently exciting and challenging workplace for its most senior people.

The Danone Executive Board (Comex) concluded that there was an urgent need for a high-level management development programme specifically for the organisation’s top 150 executives.

This would be dedicated to developing and motivating the organisation’s existing talent in an attempt to improve their loyalty – a move which aims to help achieve Danone’s ambitious growth targets of +7-9% each year.

Franck Riboud’s ownership of the challenge

As owner and champion of the initiative, CEO Franck Riboud felt strongly that this crucial programme should not, in any way, represent ‘business as usual’.

He did not want to institute anything that resembled what his competitors were doing or that could be considered conventional, fashionable or safe. He wanted to rock the boat, confident that if his senior people were placed in a situation that inspired them to think more openly, more imaginatively, and more bravely, the outcome would be beneficial.

He remains profoundly sceptical that management development should be imprisoned in the managerialist language of targets, measures and key performance indicators (KPIs). He simply wanted to ‘invest in different ways of thinking and being’. He believed ‘if we get the approach right, good outcomes will follow – we don’t need to try and predict them.’

His view was that, because Danone’s competitors were bigger and wealthier, they had no option but to be more creative and courageous in everything they did, particularly in differentiating themselves from the likes of Nestlé, Unilever and Coca-Cola.

Danone did not have the luxury of ‘emulating best practice’ or ‘adopting the latest management fashion’ as their winning formula. Their ‘challenger’ status meant that they needed to be adventurous, pioneering and rule-breaking, inventing their own proprietary theories and methods.

For Riboud, ‘playing it safe’ or ‘doing what others are doing’ was a recipe for disaster. He was looking for a ground-breaking initiative that would test Danone’s own assumptions as to how things ought to be done.

2004 Discovery learning agreed as learning method

Franck Riboud, CEO, Danone

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Executive summary

The challenge

The commitment

The learning anddevelopment Initiative

The impact

Concluding remarks

The challenge


Stakeholder involvement

There was board level (Comex) involvement from the onset as well as a steering group drawn from the target market, thus ensuring a ‘top down and bottom up’ process to the initiative.

Through this process, it was discovered that two schools of thought existed for the aims and style of the initiative; one focussed on a series of short, rapid-fire sessions relevant to the immediate business challenges, versus a longer-term strategic view, which as it would be more extensive, profound and reflective, would better address their concerns.

Desired impact

Danone’s philosophy is to rely upon the agile and adaptive quality of its culture to exploit emergent opportunities for enhanced performance.

For this reason, Comex deliberately chose not to use financial or non-financial targets, metrics or KPIs to shape either the design of the programme or to tie to participants’ learning. They felt that by having a limitless approach, learning would be unrestrictive, and unimaginable results could be achieved.

Additionally, Danone’s philosophy was to create the conditions for participants to learn, possibly not all the same things, but to stimulate deep insights and offer them the opportunity to experience personal ‘wow’ moments.

The group needed a partner capable of understanding the culture of Danone and the nature of its challenge in order to co-create a programme to deliver on its ‘intermediary variables’:

2004 First Leading Edge Programme, Amsterdam

Intermediary variables• Beingcourageousand

making creativity contagious

• Buildingthecorporatenetwork

• Takingownershipofchangeand innovation

• Actingfromgreaterconfidenceand self-knowledge

• Creatingleaders,notfollowers

• Settinggoodexamplesfor Danone values

The first group of Leading Edge participants in Amsterdam (2004)

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Executive summary

The challenge

The commitment


The impact

Concluding remarks

The challenge


Partnership with London Business School

Danone therefore ran acompetitive tender processinvolving six of the world’sleading business schools. Inits proposal, LBS presenteda framework that includedthe innovative and ‘edgy’concept of discovery learning,which would not necessarilyoffer predictable results.

Thierry Bonetto, Learning and Development Director, explains why Danone chose LBS.

This marked the beginning of a highly successful partnership, characterised by a spirit of openness, collaboration, challenge and exploration.

Understanding DanoneJules Goddard and Julie Brennan set about gaining a better understanding of Danone’s aims by conducting a series of in-depth interviews with members of Comex and the steering group. See Appendix 1.

The output was an ‘idea map’, which acted as the core foundation for the Programme design:

The spirit of the brief encouraged the team to be courageous in the Programme’s design

2005 Leading Edge, Cape Town

Executive summary

The challenge

The commitment


The impact

Concluding remarks

The commitment

Idea map

‘LBS gave us a versatility that no one else offered. Our key reason for selecting them was their ability to offer both the ‘classical’ approach, with high quality faculty, the best benchmarks and leading edge thinking and also a ‘non-classical’ approach, which involved creative encounters without predictable results that would challenge us.

Additionally, it was very important that our partner ‘fit’ with the Danone style and flexibility, and we felt we had this with LBS.’


Co-creating the design

In February 2004, after in-depth collaboration, agreement was reached on the approach, broad objectives and way forward to a pilot launch.

1. Approach Jules Goddard and Franck Riboud were united in their belief that the Programme could in no way represent ‘business as usual’ and that the design needed to reflect Danone culture - one which has ‘an overall belief in empowering people in the business.’

The team therefore proposed a highly experiential and edgy Programme design, developing further its original proposal of discovery learning.

This approach was highly innovative, and required no small amount of courage to adopt. This applies equally today, as the team has continually pushed the boundaries of the Programme year upon year. The final parameter which has remained constant is to ensure cost effectiveness and value for investment (time and money).

Founded on the notion that adults learn most when their expectations are confounded, when their assumptions are challenged, or when they feel compelled to interrogate their own belief system, discovery learning employs a catalytic element of surprise or disorientation.

Discovery learning involves the crossing of various kinds of boundaries: geographical, cultural, organisational, functional, conceptual, disciplinary and methodological — all of which would generate curiosity, fresh business and participant insights.

2005 Leading Edge, Mumbai

‘At first, I was wondering what the heck are we doing here; it was quite mobilising for me to discover that there is a wall around you that sometimes you don’t pay attention to it; that there are things outside our box; it was a lesson of humbleness and mobilisation of personal feelings.’

Felix MartinExecutive Vice President, Baby Nutrition, LE 2004 (Amsterdam)

Franck Riboud, CEO remarked:

‘Firstly, the Programme is a catalyst of the Danone culture, and could not be run with this model, if it was not resonating as much with Danone culture’; in particular: ‘the level of autonomy and decentralised accountability of General Managers translates into the freedom, during the Programme, to reflect on themes that they find relevant, and create ad hoc workgroups to propose ideas.’

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Executive summary

The challenge

The commitment


The impact

Concluding remarks

The commitment


2. Programme objectivesLook at business in a new way – broaden leadership horizons and re-invent the way we do business• ‘Listentothefuture’inall

‘compartiments du jeu’ (markets, consumption, competition, environment)

• Getoutof‘businessasusual’,challenge and be challenged, ‘frottement’, creativity

• Challengecurrentassumptionsand change the rules of the game.

Discover and experiment with new levers for growth• Organisationalcapabilities,

transversal/agile organisations

• Managementbehaviours.

Build and reinforce personal leadership capabilities• Leadthebusinessand

conduct change

• Motivateanddeveloppeople

• Increaseco-operations and teamwork.

3. Way forward

Complete stakeholder interviews

Virtual Learning Environment

Module 1 Launch

Choose location

Steering Comm. Meeting: agree critical issues to be addressed through learning process

Market Programme

Distribute materials

Finish testing with key stakeholders22 MARCH

12 APRIL

20 JUNE

1 MARCH

13 FEB

15 MARCH

24 MAY

5 APRIL

2005 Dedicated Comex edition of Leading Edge in London, attended by CEO Franck Riboud

Agree faculty and delivery dates

FEB/MAR

Executive summary

The challenge

The commitment


The impact

Concluding remarks

The commitment


The learning and development initiative

• LEistheflagshipProgrammeinDanone’s leadership and talent management framework

• Participantsarecarefullyselected from Danone’s global Top 200 leaders and groups are a balanced representation of business lines, geographies, functions, gender and nationalities

• Comexisdirectlyinvolved through the sponsoring of each individual participant

• LE’sfitwithinDanone’soverall talent strategy can be seen in Appendix 3

The design is a highly integrated balance of: • Disruptiveexperientiallearning

and ‘creative encounters’

• Guideddebriefingandreflection processes

• Role-playandstorytellingtoshare meanings of experiences

• Thoughtleadershipfacultyinputs and social and business guest speakers (including Danone executives)

• Groupcoachingsessions,aswell as peer coaching and 1:1s

• Participant-owned,inter-modular group experiments

2006 Leading Edge, Istanbul

‘Leading Edge’s philosophy is not to teach people, but to provide them with inspiration from both their colleagues and the world around them, in order for them to challenge assumptions and make new choices on what should be done. It’s a more powerful and sustainable way of enhancing learning and growth.’

Jean-Philippe ParéExecutive Vice President, Research and Development, LE 2005 (Mumbai)

Learning objectivesAt the start of each Programme, participants are briefed on the following learning objectives:

• Emotional: experiences that you will find yourselves talking about to friends, family and colleagues

• Intellectual: ideas, initiatives and experiments that you will want to try in your business

• Psychological: journey of self-discovery in which you will see yourself in a new light

• Relational: enlarged network of colleagues that you like, admire and with whom you want to work with more

Achieving the learning objectivesThe creative environment stimulates and fosters the learning process, and both the Programme team and participants take joint accountability for the learning, as participants ‘cross the threshold’ as the Odyssey begins.

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Executive summary

The challenge

The commitment


The impact

Concluding remarks



2007 Danone sells its biscuits division and acquiresmedical nutrition company, Numico

The big picture

Leading Edge Executive Programme:

2-4 weeks prior to course

Invitation

Pre-reading

Psychometrics

Outputs • Making courage and creativity contagious

• Building the corporate network

• Taking ownership of change and innovation

• Acting from greater self-knowledge and confidence

• Creating leaders not followers

• Setting good examples for Danone

The Virtual Learning Environment (VLE)

Preparation Module 1

4-6 months

Inter-modular experiments

Experimentation

4 days

Pioneering the new organisation

•Modelsofleadership•Personalleadership•Linkedwith360and

self development•Organisational

effectiveness•CEOdialogue

Evian Alumni Event

6-8 months

Implement and measure chart•Individualprocess

review Personal Development Review

•Actionsbuiltin Individual Development Plan

•Tracking,sharingand promoting successes, changes, best practices

•Sharinglearningwith team

•ImplementBusinessExperiments

Module 2 Post ProgrammeImplementation

5 days

Charting new possibilities

•Futurescenarios•Strategicinnovation•Creativeencounters•Opendialogue•Topicalinsights

Executive summary

The challenge

The commitment


The impact

Concluding remarks


Pull

Module 1: Charting New Possibilities Module 2: Pioneering the New Organisation

Push

Values Team working

Networks

Enterprise

Responsibility

Activism

Society

Lessons from the future

Globalisation Competition

Levers of growth

PerformanceLeadership skills Leading change

Experimentation

Differentiation

Innovation premium

Invention

Markets

Me

Danone

ExternalWorld

Me

ExternalWorld

Danone

2008 Leading Edge, Boston


Executive summary

The challenge

The commitment


The impact

Concluding remarks


Open minds, future, creativity, leadership/change, networking, organisational effectiveness, teams, topical

Outside-In, Inside-Out


Module 1 ‘Outside-In: Charting new possibilities’

Disruptive experiential learning in an unfamiliar environment through a series of ‘creative encounters’ at a range of social and commercial enterprises, engages at an emotional and cognitive level.

Some of the most memorable and evocative encounters to date have taken place at:

• Ahighsecurityprisonoutside Boston

• Aschoolforautisticchildrenin North London

• Anurbanmonasteryin Amsterdam

• Apoliticalthink-tankinIstanbul

• Anexperimentalschoolin a favela in Rio de Janeiro

See Appendix 4 for a complete list of discovery visits and locations.

Therefore, the debriefing process following these ‘creative encounters’ is critical in helping participants to make sense of the experience, challenge their assumptions and realise their own potential.

Having gained new perspectives, participants are now in a position to bring the outside in to Danone where they start to discuss and debate new ideas, approaches to business challenges with faculty and themselves.

The participants then self-select and work on inter-modular group business experiments.

2009 Leading Edge, London

Executive summary

The challenge

The commitment


The impact

Concluding remarks


Franck Riboud, CEO, reminds us:

‘...we must not stop at what Leading Edge appears to be on the surface; its true purpose is not to arrange extraordinary encounters, but to provide an opportunity for people to open their minds, listen without judging, share experiences, experience amazement and be filled with a burning desire to learn and innovate.’

‘We visited a school for autistic children. There I realised something that may seem pretty obvious in retrospect, but some things become much clearer when you actually experience them. Management manuals tell you to set objectives that are challenging, yet attainable, to keep people from losing hope and giving up. What a mistake! That really struck me as I watched a teacher become ecstatic when one of his pupils managed to move a pen a few inches for the first time. The teacher was nowhere near curing this child, as reaching this ultimate objective on his own would have been inconceivable, but he still had all the motivation in the world to do his part.’

Franck Riboud CEO, Danone Group, Comex LE 2005 (London)


Module 2: ‘Inside-Out: Pioneering the new organisation’

• Buildsonthemind-set-shifts from Module 1

• EmpowersDanone’sleadersto develop their own initiatives across groups, businesses and society

• Facultyinputsfocusonleadership, change, innovation and organisational effectiveness

• Participantsfocusontheirowndevelopment through small-group-coaching, using LBS’ signature methodology and Danone’s360°feedback.Workingwith coaches in a group process fosters and accelerates trust;

• CatharticexperiencesfromModule 1 deepen the impact of these sessions

A sustainable peer-mentoring/peer-coaching system, remains in place well beyond the duration of the Programme, creating future cross-functional collaboration.

Dialogue with the CEO for every Programme:

• Thegroupshares‘after-actions’arising from their intra-modular strategic business experiments and has a provocative dialogue on challenges and newly gained insights, thus bringing intra-preneurship to Danone

• Thisdialogueservesasasounding board and a talent-spotting process for the CEO, for future Comex pipelines.

2011Leading Edge, London

‘I remember this exercise very well; I felt almost naked in front of my colleagues, but I learned that the more open you are, the more open others became, and the more our relationships deepened and we could really help one another.’

Felix Martin Executive Vice President, Baby Nutrition, LE 2004 (Amsterdam)

‘This Programme has created a strong community of senior executives and increased collaborations across the business. Very strong in-depth relationships are nurtured due to the design of the Programme and also the LBS peer-coaching process, which is very effective.’

Jean-Philippe Paré Executive Vice President, Research and Development, LE 2005 (Mumbai)

Franck Riboud, CEO, states that:

‘Leading Edge is not a top-down training, aiming at sharing direction from the top, but a ‘place for expression and vivid debates’, including the way the Danone Group is working; a place of evolution. The Programme is a tool to ‘shape the Group, help steer the boat’: ‘their questions, ideas, help me make decisions, reflect on managerial options... it’s a guide for action.’

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Executive summary

The challenge

The commitment


The impact

Concluding remarks



Programme governance

Since 2003, the design team remains unchanged, a testament to the collaboration’s success and shared sense of ownership.

The Programme team is committed to continuous annual review and innovation of the Programme, even with the selection of the city, which is chosen to support the Programme objectives or a market area of interest to Danone. Through extensive stakeholder engagement, the Programme remains relevant to Danone’s evolving strategic and organisational objectives and challenges. The design philosophy itself remains constant.

2012Leading Edge, Hyderabad and Bangalore

Thierry Bonetto Director of Learning and Development, Groupe Danone

Linda IrwinClient Director, LBS

Pascal Desbourdes Vice President Executive Development, Groupe Danone

Jules Goddard Academic Director, LBS

Julie Brennan Programme Director, LBS

SeeAppendix6forfurther information.

Executive summary

The challenge

The commitment


The impact

Concluding remarks


‘As one of the first participants and as the leader of the initiative, the Programme gives me a great deal of pride.

From the very beginning, Leading Edge has been the flagship Programme for Danone with unique annual editions. It captures the essence of leadership we are keen to develop and nurture in order to make a difference in the market: personal impact, emotional experiences, courage, and a global network of general managers operating across boundaries. Each Programme is unique and designed around the business issues Danone faces in the short, mid and long term; no two Programmes are ever the same!’

Pascal Desbourdes Vice President Executive Development


Programme objectives: impact, looking at business in a new way

Examining our ten year partnership, we wanted to review long-term and sustainable impact, so we surveyed all alumni. This provided us with a wealth of impact evidence based on Kirkpatrick Level 4.

• LongevityisanindicatoroftheProgramme’s significant impact

• LEreceivedsomuchacclaim,itinspired Comex to undertake their own version, a further testimony to its impact

Strategic shiftsParticipating in the 2005 London programme inspired CEO Franck Riboud's thinking, leading to the launch of the Dream project, which aims to give the largest possible number of people access to food that will make them healthier.

This strategic shift has contributed to Danone’s mission of ‘bringing health through nutrition’.

This saw Danone sell its biscuit division in 2007 and acquire Numico, a Dutch company specialising in baby and medical nutrition.

2013

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Executive summary

The challenge

The commitment


The impact

Concluding remarks

Leading Edge, Rio de Janeiro and Leading Edge 10th Anniversary

The impact

‘After the Programme, I worked hard on simplifying our business model, which comprised two separate brands... I decided to focus 80% of the marketing and sales resources and energy of my teams on one brand, challenging the status quo of trying to fuel the two equally.

This bold new strategy returned the business to growth. After a few years of zero growth in a flat market, we gained 300 basis points of market share in just two years, achieving double digit growth on Brand One, and over 4% growth in the total business.’

Ludovic Galand General Manager, Baby Nutrition, LE 2009 (London)


Behavioural shifts

Danone today has a much more entrepreneurial culture than in 2003, with a greater emphasis on innovation, not just in relation to its operations and products, but also in relation to its business models and its managerial philosophy.

For example, the Amsterdam Programme demonstrates the type of entrepreneurial/innovative initiatives generated:

Withtheemphasison‘bringingoutside thinking into Danone’, the company has become less introspective, increasingly global and more confident in challenging its own orthodoxies.

‘Step by step it helped me to gain self-confidence, and to pursue ideas, particularly disruptive ideas, that I would not have allowed myself to do previously.’

Florence Jeantet LE2006(Istanbul)

Chosen Themes of the Experiments

Strengthening the Innovation Processes in Danone

Growing a new Service Business in Danone

Enhancing Organisational Learning within Danone

Adding in Incubator to the Structure of Danone

Synergies to be captured

Workingacrossfunctional boundaries, particularly R&D and marketing

Workingacrossactivity boundaries – particularly products/services

Workingacrossgeographical boundaries, particularly Asia and Europe

Workingacrossbusiness boundaries – into ‘white space opportunities’

Locus of Change Danone’s processes

Danone’s business model

Danone’s corporate culture

Danone’s structure

Concept of Value Managing against the grain of the structure

Deepening and broadening the customer relationship

Exchanging leading internal practices

Growing Danone’s ‘innovation premium’ in the capital markets

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2013

Executive summary

The challenge

The commitment


The impact

Concluding remarks

Many participants report a greater sense of purpose and empowerment as a result of attendance, for example:

‘With the ‘I am Nutricia’ initiative, I was able to transform the leadership culture in Russia from a ‘Top-Down Crisis Management Culture’ to a ‘Bottom-Up Empowered Culture’. The Programme helped me make the shift from managing the business in crisis mode (which is where it was when I took over) to a post-crisis leadership mode of empowerment, which is not common in Russia.’

Christian Stammkoetter GM, LE 2011 (London)


The impact


Discover and experiment with new levers for growth

The sense of empowerment and fresh perspectives participants have gained from Leading Edge has generated multiple initiatives resulting in both business growth and increased social impact.

Organisational initiatives

The programme has led directly to a number of organisational initiatives aimed at broadening leadership horizons throughout Danone, including:

Alumni conventionEvery year, the Top 200 executives in Danone gather for three days at Evian, their ‘spiritual headquarters’, to exchange ideas and consider future options. Since 2004, a day has been added for Leading Edge alumni to re-assemble and, in the company of a thought leader recommended by LBS, further push their thinking.

Cascading Leading Edge: Jaguar ProgrameAn early alumnus, Francisco Camacho, EVP, Danone Waters,launchedtheJaguarProgramme, for recent graduates in his region, in order to ‘expose others to the same kind of rich experience, to think differently and to challenge the status quo.’

‘Following the Programme, we set up a ‘virtual investment fund’ for a project in India that our colleague had found difficult to sell internally, since it didn’t directly link with Danone KPIs. Based on the trust we all had in this project, Danone decided to make the total investment on behalf of the company.’

Niek Van Exel GM, LE 2012 (India)

‘I’ve applied those principles in my division; we have an Innovation Leadership Team and it’s completely cross-functional and all the functions at the executive level are represented; I think that’s helped us drive innovation in our division.’

Flemming Morgan LE 2004 (Amsterdam)

‘During the Programme, we visited several senior managers that run charity organisations. They taught me the value of having a purposeful mission. Before this I was focusing my attention on driving the financial and market KPIs.

After the training I started to focus much more on communicating our mission, the social purpose of our organisation, and the role each employee can play in achieving that mission. This has increased the level of engagement and commitment in the organisation.

Three years on, our organisation is still outperforming the market on financial and market share KPIs, and it has become number one in the CSR ranking in Poland.’

Harry Klompe GM, LE 2009 (London)

‘The Programme helped me to challenge myself. Consequently I have looked at trying to pioneer things like e-tailing within the baby division, delivering a business in excess of 100 million euros over the last two years.’

James MayerGM, LE 2009 (London)

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2013Leading Edge, Rio de Janeiro and Leading Edge 10th Anniversary

Executive summary

The challenge

The commitment


The impact

Concluding remarks

The impact


Building and reinforcing personal leadership capabilities

A 2013 Danone-LBS survey of LE alumni reported that:• 93%saidLEcaused

them to reflect upon their personal leadership style quite a bit or a great deal

• 100%saidthatitcausedthem to make lasting changes to their leadership style

• 100%saidthatitenabledthemto be more effective at work

• 96%foundittobeextremelyor very valuable

• 89%saidthatithadbeenquite, very, or extremely beneficial to their career

‘I have noticed that there is a bonding that takes place with the people who go on Leading Edge and I felt that bond with quite a number of people. People come out of it genuinely saying, ‘I’ve completely reassessed my view of certain people in the organisation as a result and I’ve built a deeper relationship...’ ‘All of that, I think helps mitigate a little bit the tendency for the four divisions to be quite separate. This is one forum where people are genuinely spending time together with people from the other divisions and understanding them better.’

Flemming Morgan LE 2004 (Amsterdam)

‘The Programme enabled me to adapt my leadership style... I became much more effective and revolutionised many meetings to deliver better and more tangible output; I also came back with plenty of new ideas to drive the business.’

Tom Albold LE 2011 (London)

‘We were visiting a South African hospital and we met a woman with AIDS. She had a very special job: to keep up the mood of women who had just been informed that they had the virus. I was struck by the positive energy, the passion for life and the convincing power of this woman. I see her as my role model for leading a group of people through difficult times.’

Bernard Ducros LE 2005 (Cape Town)

The impact

2013

Increased confidence to leadAt the close of every Leading Edge Programme, each participant, working in co-coaching triads with their colleagues, creates a ‘Personal Action Plan’ (PAP).

The successful execution of these PAPs has been a key indicator of the Programme’s impact.

Increased co-operation and enhanced networksParticipants have reported numerous examples of increased co-operation and effective networks across organisational boundaries as a result of LE.

Enhanced leadership capability – external validationA2011TowersWatsonsurveyof all LE alumni showed that 94% of participants had found the Programme ‘valuable for my performance and for my development’. See Appendix 2 for further information.


Executive summary

The challenge

The commitment


The impact

Concluding remarks


Talent retention

‘The Programme was so inspirational that it fired in me the willingness to act immediately after, to apply what we learnt and discovered.’

Enrique Bermejo LE2008(Boston)

‘This Programme was very innovative through a great mix of learning expeditions and insightful concepts, shared and co-built with a great team of facilitators and participants. I came out with a lot of new insights about business and myself... and the energy to use it starting the next week.’

Ludovic Galand LE 2009 (London)

‘I really think that, after the acquisition of Numico, I am still with Danone because of Leading Edge. I made this decision at the end of Module 1.’

Jean-Marc Magnaudet LE 2009 (London)

Key impact evidence:• ImpactedCEOandchange

of strategic direction towards health and nutrition

• ThesocietalimpactofDanone worldwide based on its deep belief of business as a force for good

• Buildingatopcadreofleaders within Danone with a common language and enhanced capability

• Increasedtalentretentionand building of leadership bench strength for Executive team and Comex

• Assistedculturalintegrationand talent retention following acquisition

• Sustainabilityandcascadeof discovery process throughout the organisation and integration into learning and development process

• Enhancedbusinessperformance and growth

20


64 executives have been promoted since their participation in LE, of which four have been appointed to Comex itself.

The Programme has also contributed to an enhanced ‘esprit de corps’ amongst executives. The2008BostonProgramme,inparticular, fulfilled an important role in integrating Numico leaders in Danone following the acquisition.

The impact

Executive summary

The challenge

The commitment


The impact

Concluding remarks


Leading Edge has been a profound experience for participants and the Programme team alike.

Reflecting on its long-term impact has served as a reminder of the importance of having the courage to do things differently and to embark on a journey into the unknown. It has also reinforced the significance of trust, collaboration and a shared sense of ownership to a successful learning partnership.

Chief Programme Architect, Jules Goddard, counts the fact that everyone involved continues to learn from one another as further evidence of success.

Both Danone and LBS remain committed to the Programme and confident of its ability to continue to add value to the business.

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Franck Riboud sums up the power of LE as this:

‘...to help executives grow as leaders who are at the genesis of breakthrough ideas, help them to make brave decisions, and empower themselves to realise them. The spirit of the Programme is the opposite of finding and adopting the latest management practices, but rather to challenge the status quo, be adventurers, pioneers and rule-breakers, inventing distinctive and powerful methods and practices for Danone now and in the future.’

The relationship is summarised by Francisco Camacho, EVP, Waters,LE2004(Amsterdam):

‘It’s viewed as a very strong partnership because of the energy, commitment and friendship between London Business School and Danone. It’s because of this that I am here now doing what I always wanted to do.’

Concluding remarks

Executive summary

The challenge

The commitment


The impact

Concluding remarks

Appendices


Appendices


Leading Edge alumni survey results

Stories of personal learning

We were visiting a South African hospital and met a woman with aids. She had a very special job - to keep the mood up of women who had just been informed they too had the virus. I was struck by her positive energy, the passion for life and the convincing power of this woman. I see her as my role model for leading a group of people through difficult times.

Companies normally organise many trainings but I have never heard of any training like this one. Professionally and personally it was incredibly ‘breakthrough’ on the way in which you can think about your professional and private life for the future. I’m still keeping the energy of the Programme.

It was an enriching journey to rethink what you want to achieve in life and how to ensure the right balance. We all had a passion for the mission of Danone, but felt we needed to be more disruptive to achieve it.

It was the first real time in a professional ‘training’ context where I allowed myself, and was actually encouraged, to think about ‘ME’. What makes me feel good and act good. An eye opener! I started much more systematically to reflect and ask myself what is in for me...

Stories of personal leadership

After LE, I am now having an ‘Exchange moment’ with my direct reports every month for one hour. One hour totally dedicated to them and they drive the agenda, I am just listening and reflecting.

I started giving much more attention to bringing the ‘outside in’ and the ‘inside out’. As leaders in our category, I felt that we needed to learn much more from leaders in other areas of business. We started working with more people outside our usual business environment.

The Leading Edge Programme helped me to understand and see concrete examples of Inspirational Leadership. I took the commitment to empower my management teams more on operational plans and now dedicate more time to inspire and energise the teams to achieve higher results.

One week after the last session in London, I directly applied some learnings on culture in a strategic session with the Austrian Management Team. It was a turning point in their approach to the business and gave them more clarity. It helped build a stronger team, one which I am fully part of and has helped move the business forward.

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Appendices

Appendices


Leading Edge alumni survey results

Stories of corporate initiatives

After the training, we took the initiative to talk to our President and ask to review our Divisional strategies in order to transition our business model and transform our organisation.

Following LE I started www.dancommunity.com because we believe that nobody else, other than ‘Danoners’, can talk about Danone. It’s a big success, and is used as a recruitment tool.

Based on the learnings from the training, we started experimenting with crowdsourcing and multi-logue communication via the net. The organisation I was working for until recently was ahead of the competition in this area.

The programme helped me to challenge myself to think more broadly about business development. Consequently I have looked at trying to pioneer things like e-tailing within the baby division and more broadly across Danone. In baby alone this has delivered a business in excess of 100 million euros over the last two years.

An initiative was born in Istanbul to link our actual way of being inside the company to the corporate mission. This meant more focus on employee health in terms of food, working hours, exercise opportunities and became a corporate program in some CBUs.

Great to see how this triggered the UHT milk development business in India. An initiative we collectively as a team supported to India Dairy GM in 2012.

Stories of overall impact

Attending the programme is a recognition of your role and potential. As such, you build confidence and the ability to step back from burning operations. It’s a great networking place too.

The greatest impact for me was the insight that ‘openness to new and other directions’ is one of the biggest values for a GM to stay ahead of the competition.

It helped me to shift from managing the business in crisis mode (where it was when I took over) to a post crisis leadership mode of empowerment - which is not too common in Russia.

What can I or my company do to improve the world around us? Thinking about this answer is the greatest impact.

A unique experience also to bond with my colleagues and develop a sense of community. So important when you start developing yourself as an Executive.

The programme was so inspirational that it fired in me the willingness to act immediately after, to apply what we learnt and discovered.

It created a crucial bonding network amongst a big group of future top leaders of the company. A cross-functional, multinational group of managers that gained a unique experience they will never forget.

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Appendices

Appendices


Appendix 1: Summarised views of Comex and steering group members from 2004 stakeholder interview sessions

Franck Riboud’s observations• Lameilleureformationestle

frottement. L’important est l’esprit du programme: sortir du « business as usual », penser différemment, être confrontés à des problématiques larges (enjeux sociétaux, réseaux de consommation: tribus,...)

• Formerdesgensquiontducourage, qui sont créatifs, qui doutent («bénéfice du doute »), qui aient de la vision

• Organiserlamixitédesgroupes=> créativité

Key suggestions from Comex:• 'Exploitallleversofgrowth’–

‘absolutely NOT ‘business as usual’ – ‘invest in new methods’

• ‘Improveorganisationaleffectiveness’ – ‘greater cross-functional working’ – ‘increase per capita consumption of Danone products’ – ‘anticipate environmental change’

• ‘Biggerdreams’–‘takea broader view’ – ‘challenge the way we do business’

• ‘Shortandfocused’–‘emphasison management and leadership’

• ‘Criticalshorttermissues’

• ‘Breakthroughthinking’–‘gettingbeyond incremental thinking’

Key criteria of steering group: • Doesitchallengethe

participants to think beyond the status quo – to ‘go fearwards’ and not just forwards?

• Doesitpushparticipantstogo beyond diagnostics and to prescribe some original solutions, whether in the form of action plans, business initiatives or experimental designs and prototypes?

• Doesitgiverisetosomeeureka experiences for each participant individually?

• Istheexperienceoneoffacilitatedlearning – and not simply one of ‘delegates’ listening to ‘packaged expertise’ from professors?


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Appendices

Appendices


Appendix 1a: Danone CEO’s views on the spirit of Leading Edge

Franck Riboud, the Chief Executive of Danone, takes a strong view that the Leading Edge Programme is ‘not a training’ and does not represent business as usual.

Firstly, the programme is a catalyst of the Danone culture and ‘could not be run with this model, if it did not resonate as much with Danone culture’, in particular:

• thelevelofautonomyanddecentralised accountability of General Managers, which translates into the freedom, during the programme, for them to reflect on themes that they find relevant, or to create workgroups on certain topics;

• thelibertyofspeechandtheimportance of networking at Danone is reflected by the desire to share, exchange and build in-depth relationships;

• thewillingnesstocrossbordersand explore the ecosystem as well as to explore new horizons, empowers the inspiration from outside, to be impacted by other contexts.

Franck Riboud sees a clear value for each participant, in terms of their exposure to other realities, sometimes bringing similar challenges or opportunities. This enables them to step back, think more openly, more imaginatively, and more bravely.

Withitscompetitorsbeingmuchbigger, Danone’s challenge – and one of the expectations for the programme - is to ‘shape the mindsets’, for investing in different ways of thinking and being, for leveraging the ‘benefit of doubt’ and to make bolder, ‘out-of-the-box’ decisions.

Franck Riboud also states that Leading Edge is not a top-down training, aimed at sharing direction from the top, but instead, is a ‘place for expression and vivid debate’. This includes debate on the way the Danone Group itself is working; it is a place of evolution.

Franck Riboud sees his presence in the second module as a tool to ‘shape the Group’ and to ‘help steer the boat’…’their questions and ideas help me make decisions, reflect on managerial options... it’s a guide for action’.

Moving forward, his expectations for the programme are to help executives who are at the genesis of breakthrough ideas to grow as leaders, to make bold decisions, and to empower themselves to realise these.

The spirit of the programme is the opposite of finding and adopting the latest management practices, but rather, is to challenge the status quo, to be adventurers, pioneers and rule-breakers and to invent distinctive and powerful methods and practices for Danone.


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Appendices

Appendices


Appendix 2: Towers Watson survey

Pleasenote,notall187surveyparticipantshadattendedLeadingEdge.

The Odyssey Leading Edge training Programme that I participated in has been valuable for my performance and for my development.

Totally favourable Questionable

2004 Danone appoints London Business School

27

Appendices

Appendices


As an organisation which is committed to achieving business transformation through the development of its people, Danone seeks to gain competitive advantage through learning.

As such, it has a strong focus on developing the learning programmes necessary to serve the strategic needs of each function and also on building a distinctive leadership culture.

The Danone learning portfolio comprises a range of programmes, which form the core of its leadership development strategy and which are based on the Danone Leadership CODE (Committed, Open, Doer, Empowered).

As can be seen from the diagram, Leading Edge represents the pinnacle of Danone’s learning journey:

CODE/DLC Journey

Danone’s learning journey

2004 Discovery learning agreed as learning method

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Appendix 3: Leading Edge’s fit within Danone’s overall talent strategyAppendices

Appendices

MGTFoundations

New GenLeaders

Lead Ahead GM StarterPack

Odyssey Leading Edge

CAT

Codi Accelerated

Track

Lions Too


Appendix 4: Sample ofcreative encounters on theLeading Edge Programme

• Theintricacyandcomplexityof the world’s largest flower market and auction

• Thedynamic,just-in-timevalue chain operations of ‘coffee houses’

• Theleadershipandmanagement of an Amsterdam professional football club

• Thepoliciesandpracticesof a leading environmental pressure group

• Thechallengeofhelpingchildrendevelop holistically to their fullest potential using modern and innovative methods

• Aleadingartschoolthatspecialises in the education and development of disabled artists

• Asupportgroupofferinglegal advice and protection of human rights for prostitutes in the red light district

• Anentrepreneurlaunchingthefirst brand in the world to combine home and body cosmetics

Amsterdam

2004 First Leading Edge Programme, Amsterdam

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Appendices

Appendices



• Aneyehospitalthat provides affordable solutions to the less fortunate without sacrificing quality

• Aschoolandpressuregroupdedicated to the abolition of child labour

• Amaternityhospitalusinginnovative solutions to provide quality care to the most vulnerable in society

• Apioneeringradiostationrunby young, versatile and highly creative entrepreneurs

• Womeninthecommunitywhoare borrowing funds to build businesses

• Communitieswhohavedeveloped projects to address food and water issues

• Socialentrepreneurswhoareworking with communities on sustainable food projects (circumventing government)

• Anunconventionaldirectorofhighly original films working in Bollywood

• Anorganisationtacklingtheproblem of runaway girls and homeless adolescents

• Thepoliciesandpracticesof India’s largest retail and commercial bank

• India’spreeminent‘designer’ofmixed-use communities through new housing developments

• AnNGOdedicatedtoensuringbasic rights for underprivileged Indian children

• Anorganisationcommittedtoliteracy by ensuring that every child is in school

India

2005 Leading Edge, Cape Town

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Appendices

Appendices


• Anorganisationfocussedonpromoting education amongst school children

• AninnovativeTurkishTV station that has built an enviable brand by taking the risk of challenging orthodoxy

• ApoliticalthinktankdedicatedtobridgingtheEast-Westdivideinthe New Europe

• AtraditionalTurkishjewelleroperating in the bazaar and adapting successfully in a fast-moving market

• Amodernjewellerydesignerand manufacturer building an international brand

• AnNGOservingorthopedically disabled people throughout Turkey

• Afamilybusiness successfully designing and manufacturing textiles

• AnegalitarianNGOchallenging contemporary mores by supporting the liberal education of girls

• ATurkishconglomerateexemplifying globalisation and rapid international growth

Istanbul

Leading Edge, Mumbai2005

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Appendices

Appendices



• Aninnovative‘anthropological’firm using online communities to discover consumer insights

• Acommunityleader,onceagangleader and prison inmate, but now a celebrated social worker

• Anorganisationthatdesignsinnovative platforms for handling threatening business disruptions

• Thestrategiesandunconventionalworking methods of one of the world’s first biotechnology firms

• Adigitalpublisherand leading global provider of cloud content services

• Anorganisationcommittedto discovering and delivering transformative therapies for patients with rare needs

Boston

2005 Dedicated Comex edition of Leading Edge in London, attended by CEO Franck Riboud

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Appendices

Appendices



• A school addressing kids with severe autism by using evidence-based teaching and motivational techniques

• A school that develops social entrepreneurs by using action learning and experiential teaching methods

• An educational academy for 7-11 year olds that creates an aspirational, secure and inclusive learning environment

• A voluntary organisation that uses undercover investigation to minimise the abuse of natural resources

• An award-winning specialist in social analytics which helps firms predict changes in attitude and lifestyle

• The newsroom of a celebrated broadcasting company, including the discussions amongst editors and newscasters

• A creative, edgy marketing design agency that specialises in rejuvenating tired brands

• A charity dedicated to empowering teenagers by giving them responsibility for leading and implementing community projects

London

2006 Leading Edge, Istanbul

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Appendices

Appendices


• A project for teaching people in the favelas how to rebuild their homes, grow organic food, and educate their children

• An artist/social entrepreneur whose goal is to narrow class divisions through educating children in the favelas

• A captivating social entrepreneur who is providing social inclusion through digital technology and communication

• A physician who developed a way to break the poverty/ill health loop by addressing family issues holistically

• A school that uses football leadership skills and culture to educate children who are socially excluded

• A creative communications agency that lives its deep-rooted values of fun, community and hard work

• A declining 150 year old family firm that has turned itself around by returning to its roots – but in an utterly modern manner

• A sports media group that, in its first five years, has become the only firm to offer sports programmes on all digital platforms

Rio de Janeiro

2007 Danone sells its biscuits division and acquiresmedical nutrition company, Numico

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Appendices

Appendices


• A hospital that through its kangaroo mother care programme, has proven successfully to improve their newborns’ health faster and cheaper than other means

• Spending an afternoon with leaders within a township who are making an impact: one woman provides lunch to all the school kids in her area, another is an entrepreneur who makes objects out of branded products, and teachers, where participants sang and conversed with the school children

• An organisation dedicating 37 years to improving lives for people with intellectual disabilities and their families through education, training, care, counselling and support

• Afamily-run innovative supermarket demonstrating what drives the organisation

• A visit with city police force and the community school and homes to understand the dangers they face and how the police are making a difference in the community

• Conversations with school children about their life in South Africa and what they think of business leaders

• An old family wholesale business whose Christian and family values have provided the foundation for all of their entrepreneurial actions and interests

South Africa


2008 Leading Edge, Boston

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Appendices

Appendices


Appendix 5: Introduction to Danone

• Danone’spurposeis‘bringinghealth through food to the maximum number of people’

• Itscorevaluesare:openness, enthusiasm, humanism and proximity

• Withglobalsalesof €20 billion and a market value of €30 billion, Danone is the world leader in fresh dairy products, the European leader in medical nutrition, and the world’s second largest producer of bottled waters and baby nutrition

• HeadquarteredinPariswitha decentralised structure to promote autonomy and entrepreneurship, it employs more than 100,000 people globally

2009 Leading Edge, London

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Appendices

Appendices


Appendix 5: Introduction to London Business School

• LondonBusinessSchool’svisionis to have a profound impact on the way the world does business

• Thisisunderpinnedbyitsvalues;communal, eclectic, courageous, ambitious and engaged

• Oneoftheworld’sleading,research-based business schools, LBS teaches over 2,000 degree students from over 130 countries and delivers Executive Educationtomorethan8,000participants globally each year

Leading Edge, London 2011

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Appendices

Appendices


Appendix 6: Biographical notes

Pascal Desbourdes Pascal has a Masters in HR from Sciences-Po Paris, a BA in Sociology and a BS in Demography.

His career in Human Resources hasbeenwithPhilips,Whirlpooland Danone, and includes a broad international experience in the USA and Italy.

Pascal joined Danone in 2001 and became VP Executive Development, C&B and International Mobility. Reporting directly to Muriel Penicaud, EVP HR Danone, he is in charge of the staffing, talent development, career and performance management of the Top 200 leaders of Danone globally.

Thierry Bonetto Thierry Bonetto joined Danone Group after 11 years of consulting experience in Organisational Development, Human Resources Strategy, and Change Management.

As part of Danone HR corporate, he has led global initiatives such as the design and implementation of the people evaluation and development process, and a worldwide programme to attract and develop talent, including the launch of toolssuchas360°,coachingand leadership development programmes. More recently, he led the design of the new leadership model for Danone, and the programme to develop 15,000 team leaders based on this model.

Today, he is Head of Learning and Development for Danone worldwide, and runs the Danone corporate university and its distinctive model named Danone Campus. He also oversees leadership and management development programmes.

Dr Jules GoddardJules is a Fellow of London Business School and a Member of the Academic Committee of Centre Européen d’Education Permanente at INSEAD. Jules works with a diverse range of global clients across a number of industries in the area of strategy, innovation and transformation.

Formerly he was Gresham Professor of Commerce and Mercers School Memorial Professor at City University, as well as Visiting Professor of Marketing at the École National des Ponts et Chaussées in Paris.

He is co-author of ‘Uncommon Sense,CommonNonsense:Whysome organisations consistently outperform others’ (Profile 2012).

2012Leading Edge, Hyderabad and Bangalore

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Appendices

Appendices


Appendix 6: Biographical notes

Julie BrennanJulie is Programme Director at London Business School where she specialises in designing and delivering executive development programmes, focussing on creating unique learning experiences and global expeditions (branded ‘discovery’). For the last five years, she has also been the Programme Director of the Global Business Consortium, the longest running business school consortium in the world.

Julie has delivered discovery type experiences in Silicon Valley, India, China, Africa, Brazil, Korea and the UK. She works with a variety of large global companies on leadership programmes and is Managing Director of Quest Executive Development.

Previously, she was an Account Director at London Business School, Strategy Management Consultant at A.T. Kearney, Director of an Energy Derivatives Consultancy, a Sigma Board winner and Manager at General Electric Medical Systems. She holds MBA and Biomedical Engineering degrees.

Linda IrwinLinda is a Client Director at London Business School where she is responsible for the overall client relationship, and leads the team that designs, delivers and evaluates the programme. Linda is also a qualified Executive Coach with a Certificate in Executive Coaching. Linda has spent the last ten years working with a wide range of organisations to develop individual and organisational capability to ensure sustainable competitive advantage. Previously, Linda was a member of the Senior Leadership Team at Henley Business School.

During her eight years in that role, Linda worked with clients across a range of sectors to interpret their business challenges in order to develop them into high impact learning interventions. Prior to joining the executive education sector, Linda held several senior roles at Habitat, the European household furnishings retailer, where she reported into the Executive Board.

Appendices

39


Appendices

Appendix 7: Other Leading Edge faculty and contributors

• GarethJones• NirmalyaKumar• CostasMarkides• NigelNicholson,whoseearly

involvement in the Programme’s leadership methodology and development was instrumental to its success

• KamaliniRamdas• DonSull• NaderTavassoli

London Business School Coaches • PeterDanby• HannahGreenwood• SallyJackson• KateKing• KateNg•MariePillai• JulieSimpson

London Business School Programme Managers • KatieByrne• BriceGentilhomme• KimJoynes• RebeccaKinahan

In addition to the many inspiring people the Programme Team has worked with in creative encounters across the globe, the success of Leading Edge over ten years would not have been possible without the involvement of numerous other talented contributors from London Business School and Danone, including:

Danone • JeanPierreDeffis• EmmanuelFaber• MarcGosselin• BernardHours• ThomasKunz•MarianoLozano• FranckMougin• FranckRiboud• NicolasRiom• EricSoubeiran

London Business School Faculty and Contributors• JulianBirkinshaw• DanCable• RajeshChandy•MichaelHay• PatriciaHodgins• RichardJolly

London Business SchoolRegent’s ParkLondonNW14SAUnited KingdomTel: +44 (0)20 7000 7000Fax: +44 (0)20 7000 7001www.london.eduA Graduate School of the University of London

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