New Models for Institutionalizing Innovation at Colgate-Palmolive

Mack Institute, 20 November 2015

Innovation Success = External Collaboration

Consumer Innovation Centres

New YorkKansas

Mexico City

Paris

Rome

Basel

Moscow

Istanbul

Mumbai

Guangzhou

Bangkok

Global R&D Centres

New JerseyKansas

Mexico City

Basel

Mumbai

Guangzhou

Sao Paulo

Truly global supply chain

Existing Innovation

Teams

Focus on Core & Incremental Innovation

Core Innovation

Changes to increase consumer’s perception of value

Incremental Innovation

Extension of Protex brand, targeting male consumers

Strategic Innovation

& Technology

Alliances“SITA”

Focus on Breakthrough

Innovation

Existing Innovation

Teams

Focus on Core & Incremental Innovation

Breakthrough Innovation

Solutions consumers believe solve an unmet need or deliver a radical improvement versus current

offers.

Expand the market and rapidly capture a dominant market share.

Our Team

Experience

+Networks

+ Open Mind, Enthusiasm to Explore

Chemists

MicrobiologistsBusiness

Development

Marketing

Packaging & Delivery Systems

Legal / IP

Consumer Insights

Explore

Incubate

Develop Commercialise

Focus Area

Our (unofficial) Motto

We’ll do anything,but only if no one else can do it

Corporate and Category Strategies

Innovation Grids

Emerging opportunities,

consumer unarticulated

need

Consumer articulated

need, solution unknown

Core & Incremental Innovation

Breakthrough Innovation

Technical Feasibility

Business Viability

Unmet Consumer Need

Proof of Principle

Strategic Partnerships & Technology Alliances

Academic Scouting

Technology Incubation

Strategic Suppliers

Technology Scouting

Academic Scouting

• Access to core expertise / key thought leaders and early technology

• Inspired by how they innovate

• Specific project collaborations

Technology Scouting

• Identify and assess technology opportunities for business consideration and action

Technology Incubation

• Nurture for Colgate applications

• Common characteristics:– Private entrepreneur or small to mid-sized corporations

with core expertise– Under-funded in R&D; limited scale– Delicate intellectual property ownership negotiations

Strategic Suppliers

• Transparent and deeper relationship with limited number of core suppliers to mine technology portfolio and align on big prizes

• Competitive process/technology advantages in our fields of interest• Intellectual property

alignment, shared values and risk tolerance, similar long term growth objectives

Building Organisational Capability

• Methods and Processes to build superior solutions

Building Organisational Capability

• Expand Thinking

Strategic Innovation & Technology Alliances- SITA -

Keys to success:• Defined purpose• Broad range of expertise• Internal partnerships• Diverse range of projects / programs

New Models for Institutionalizing Innovation at Colgate-Palmolive

Mack Institute, 20 November 2015