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it's gonna cost ten times more money
and blah blah blah I reference that
personal experience and I know that
some of its sticky because sometimes
we'll get a couple hundred likes and
there's appeal and and that that's the
digital opportunity gives us the
opportunity to get early early proof
points to leverage the power feedback
loops to kinda give us a sense the
weather were moving ahead and again the
role of entrepreneurs are to kind of
make a company more like this service
startup is to really give that that
that confidence in this is something
that I've been doing ever since I've
been it nicely so again the work life
advantage now on the second area that I
wanted to talk about is the issue of
managing tension a lot of times when we
talk about digital it gets way too
technical it gets into do you know
search do you know how to do online
video. Um you know and and what I
remind everybody that the the critical
skill is to you know to lead in a
destructive environment is to manage
not resolve tension the digital space
is loaded with tension points that we
need to understand and manage and I've
kind of call these I call them digital
dualism as and I've written a fair
amount if you wanna take a you know
look it up and you know and then in
double you can find some of the
articles are written but I want to give
you a sense of what I'm talking about
so here's here's the big one that I
think we all deal with every day I'm
sure all of you have had debates on
this you know the first one is like
this notion of integration versus
stimulation should digital be stand
alone or should it be integrated into
everything and the answer is yes. And
yes it all depends on context to kinda
drive an organisation for you need to
get comfortable in that grey zone and
to understand where you dial things up
or down things out. So giving good
example so one of the things that
attracted me to nicely is they have a
that outstanding brand building. And
foundation called brand building the
nest leeway. And you know it's divided
into a number of rooms in within each
room there's winning actions and and
these all sound pretty basic it's kind
of these are free digital truths or
principles and in one reason why I
think we've been able to move
relatively fast it nicely is by
reference seen the foundations. And and
this kind of speak integration
principles so you know the way you know
I think about you know something like
Reading engaging brand experience
that's a pretty digital concept but we
know the digital world really really
ignites the power of it you know online
communities service apps you know
interactive video so your ability to
drive engaging this is is is huge and
again the the the the the opportunity
for leaders is to understand where to
drive stimulation "'cause" sometimes
you do need a kick in the pants you
need that you know that push but you
also need to integrate across the
organisation sometimes I remind the
managers at work from as they don't go
for the digital job go for the CMO job
because ultimately everything's gonna
be digital in fact I I can't imagine CM
most of the future getting hired
without having strong digital
credentials. But in that early stage
you may need the rock the boat because
it's hard to give it a large
organisation so you really need to know
how to play that play that tension
another good one is are alive verses
intuition you know I've now work for
two very very large companies I've also
ran a startup and you know we need data
to justify big investments that's the
responsible thing to do but we can also
leverage intuition more aggressively in
the digital space which is why product
that really point about about kind of
the work life advantage you know we're
processing a lotta numbers more more
thinking about how many likes or shares
we're gonna get on or face per page and
we can make certain leaps of a and it's
not one of the other it's managing that
you what I generally found as I thought
about the leaders that are really
gotten ahead it nicely couple more
right in front of me they understand
that tension they can know the space
intuitively they don't need a million
proof points they know when to use data
shrewdly but it's at balancing act in
it's not one or the other. Here's
another one this is a this is a big one
at necessarily. It's probably the one
that I've that's most captivated me you
know a hundred fifty year old company
is the balance between formal and
informal power you know large companies
can be very hierarchical there are
rules of admission and there are
there's protocols and yet here comes
the digital space that like it or not
is kind of and power in lower levels
millennial that know how to use a lot
of the communication tools are kinda
gaining leverage in communication in
ways that sometimes challenges upper
management at the same time the more
progressive managers realise that
that's an opportunity. And I think the
leader needs to really understand how
to work the system yes you gotta bring
something you're exactly the boarding
get that finding but there's also
informal ways of driving influence what
I've tried to do is is play both sides.
And I think the leaders they get ahead
very effectively play both sides and
you have to really think about a lot of
just old fashioned powered influence
but I do believe that the digital space
has really opened up the informal power
area. And I'll get I'll come back to
that in a moment when I give an example
of what we're doing through Nestle
these internal social network this is a
big one enabler versus a gatekeeper you
know is leaders we have a fiduciary
responsibility to drive compliance to
enforce privacy and there are some non
negotiable do's and don'ts at the same
time and then there's often very good
reason to say no at the same time if
you're trying to make an organisation
more like a start up you have to be an
enabler you have to encourage you have
to like push then the take that leap
and it's not one of the other you gotta
walk that that that that that that kind
of tension when I first took my job it
nicely you know a lot of people were
kind of afraid to call the centre yeah
they're afraid we would say no you
can't do that you know "'cause" it's a
very decentralised network we have over
a hundred markets. And and there are
some areas where I wouldn't tell
markets no but generally I try to
encourage a lot of experimentation you
have to test like crazy to get ahead in
the digital space you need also say
when when the testing needs to and but
this is a super super important tension
and then the last one I call out not
all come to provide more details on
this later on but this whole
collaboration versus chaos you know we
all talk about the power of
collaboration you know managing and
social media but I can quickly digress
in the chaos. And you really need to
manage it super carefully in the
leaders that when here are incredibly
attentive to that to that to that
tension line and I know I'm sure in
some broad concepts here but you know
I've I've seen a lot of leaders get
ahead and I've seen a lot of leaders
inspired your organisation to think
bigger. I've seen a lot of leaders that
have become like mentors to top
executives. And I've concluded it's not
because they know all the digital
vocabulary words of buzzwords it's
"'cause" they understand the tension
you know lean and a all tell
environment how to work that okay. So
now let's get into some of the
necessarily some and nasty things going
on so I wanna focus on the innovation
side that let me kind of first talk
about what we're trying to accomplish.
Um you know I think one of the first
things. You you need to do to move an
organisation forties you just have to
set a high ambition I don't need to
tell you this but you know I think I
you know when I got the Nestle and I
kinda said let's declare it is a goal
that will be the leader and the number
one player and leveraging digital and
social media build brands in the like
consumers they probably thought I was a
little bit knots but we can develop
that I but I no a she's like kind of
like land out there because you know
I'd run a start up and start up folks
tend to be a little bit naive about you
know you know what's possible and so
you know but everyone kinda rally
behind that and and we really believe
and I think we've now gone through
several road maps and I think there's a
really strong conviction that we have
the potential to leave but you have to
kinda declare that ambition even if it
may be may seem unattainable initially
so what we've tried to do is you know
kind of again you know this is from our
most recent roadmap we just share this
with our investors not leveraging
digitally commerce to enhance lives.
And that ties to our NHW addition build
brands and accelerate profitable growth
and there's gonna to building blocks of
that on one that speaks heavily to RRRE
commerce agenda is sustainable and
profitable online market sure about
offline on and then significant
increase in online content quality and
media efficiency notice I didn't use a
lot of digital buzzwords I mean it's
kind of just like basic marketing but
we know that digital is bringing is is
is opening up incredible opportunity to
make things happen on that front and
then I think our vision is kind of
powered by data you know automation. Um
scalability and of course obviously
great people talent. And now there's a
lot of building blocks there but I'd
say that's kind of the but part of what
we're trying to accomplish we have
something that we called E business
flywheel we'll get into the details
there but it serves as a a very helpful
compass of our work but if I had a boil
it down to like two critical things
that I think about everyday it's like
you know more impact will content more
receptive audiences and there's a lot
of work to do under those areas you
know and you think about all these
different channels that are merging how
do I make video work on face but how do
we make it work on to enter what about
spot a five and you know it's kind of
the same question you had with TV it's
just that it's much more fragmented.
And it's right richer in many respects.
And this guy gets into the whole target
you know yeah no we made some good
progress a you know I think one of the
benefits of kinda declaring an ambition
so we I do you think that you know one
of the one thing one of the one of the
roles I've kind of rules of thumb. And
is that if you declare in addition to
be a leader you know vendors tend to
run twice as fast to you and sometimes
at a discount because they know that by
co investing with you everybody wins
and so we've we've really made an
effort to not just play catch up but to
kind of be one of the first companies
that S these new ad formats. So if you
look at a lot of the areas that Nestle
the face book is unveiling instead
around here you know waiter we want to
be the first to test even if we you
know we aren't sure if it's gonna work
you know the key is they have good
methodologies to know when to pull back
on the spend but we're making good
progress more in taking pride in the
fact that some of our some of our
managers are starting to get
recognition which is really important
that we wanna recruit the best talent.
And the folks are thinking about doing
a startup are going to one of our peers
you know we wanna remind them that you
Nestle actually is you know move a lot
faster than you think in these things
are really important. You know these
are the things that you know I think
really you know nurture that startup
candy mentality I won't get into all
this except to say that you know these
are just some data that supports you
know the the the tangible progress for
making you know are are are media
investment as a percentage of working
media is over indexing the industry or
you know we're getting some good
recognition on creative quality not
just on digital but across the whole
canvas of creative we just got awarded
a couple months ago by the F T.'s and
and relative to some of our peers in
the food industry I'm particularly
proud of this area you know we probably
done more testing on platforms like
face puck and were over indexing the
industry. Now you have to be very
humble about these things because the
ad formats are changing constantly you
know so obviously you know in the last
few years everything on face focused
gone the mobile we're doing very well
there but now it's moving the to video.
And so we still have quite a bit alert
learning but you know we're using the
metrics to kind of you know guide you
know guide are working more pretty
we're pretty happy with the progress
but you can't rest on your laurels and
and this and that I think that's one
that's one characteristic of a startup
that big companies always need to
embrace which is that you know the bar
just keeps going up and oftentimes the
environment keeps moving faster. Um one
one big area that you know you probably
hear more you know we I I don't like
the term see a ram it kinda reminds me
of like yesterday's communal legacy
marketing so the term or using is
called PCE which stands for personalise
consumer experience we're trying to
build some really smart discipline in
this area you know and PCE applies to
only as much as paid media like how do
you really do targeting we sin where we
see the big opportunity is you know and
you for this all the time but I do
think worded tipping point in the
opportunity you know Taylor the right
message at the right time to the right
consumer you know where we think
there's opportunity for us is bringing
more buyers in the franchise usability
of using the internet to find unknown
consumers as a massive opportunity you
know obviously more spend per buyer.
That's a timeless principle of loyalty
but I think in in the internet age
where you can convert consumers to E
commerce buyers is lots of opportunity
and then this one's huge and this goes
back to pete's planet feedback passion
you know more media per buyer. So if we
really can tailor content services
messaging the consumers and do it in a
way that's sensitised to their
preference not interactive they're
gonna love us morn they're gonna talk
more and that will lower cost of
marketing because we know earn media's
a lot more affected than paid media
okay but you have to do a lot of work
there so that's a big that's a big
focus hopefully next time we talk
together a lot more to share on it but
that's a very central piece of our
roadmap okay so I kept that part really
short we could talk for hours about a
lot of different case examples but
there's a lot of there's a lot of work
going on on the basic marketing
capability what I wanted to cover now
is this whole area of innovation and I
kind of put it into this notion of like
all the the innovation try faq a these
are all areas I play a either a leading
role or a pretty active you know
ownership role one is is very internal
innovation the second is extra all and
the third is open innovation and I want
to start with the internal peace which
I suspect some of your further than we
have at least one alumni of the program
in the frame the front of the audience
so here's the story. Um you know if you
wanna move a large organisation you
have to find points of inspiration to
kinda motivate and maybe even scare
management in fact I I I like to use
the term constructive paranoia I in one
of the first things that we did when we
got to you know as part of our strategy
we bought a bunch of executives out to
the silicone valley. And you know only
takes a few minutes in the valley to
feel a little bit insecure if you
little restless in even I when I go out
there and I talk to my friends and
business school I kind of feel a little
bit like an impostor like oh my gosh
they're just moving too fast and it's
good it's a very healthy tension and
you know we went out there we kinda saw
the packets on culture and you know we
were quite inspired we love the I think
we've got the notion that you know
Google would come up with the product
and then face but would lock the
engineers in a room and they come out
the next morning with some type of
alternative and that's just a different
speed of execution then you see in
large companies so it inspired us to
think about a different type of model
like could we bring you're not gonna be
able that you know press a press a
press a button and expect all of nicely
to be doing that. But we doctors of
what if we what if we created a program
where we invited some of our best
talent to park themselves in a kind of
a startup environment right above are
exactly this we for eight months at a
time. And that led to this program that
we call the digital acceleration team
and rather than embellish it I want to
show a video that I think really brings
the concept to like every we've
graduated we're back to graduate or
seven class every class kinda creates
their own video and this is their story
let's run the video think it is to
avoid the problem with the different
everything just wanted and we need to
do some work radiation simple maybe I
think if we had more intuitive your
work so it's hard to say but like
everything we do here next week no I
don't think that's lead people
recognise continued either leveraging
digital any covers all this to do the
consumers and slides great friends and
to make it affordable it is with other
right. T in R estimate curious always I
got the profitability occasionally
challenge that positive here. And we we
see that as a strong focus a rapid
prototyping of this response at that's
a circle value innovation outputs a
that happened on this area that that
leadership program is routed review
fundamentals listening engaging and
transforming little a we see the final
more yeah lots of or happy hour holder
to address extraordinary challenges and
opportunities Nasa we participate in
fighting monthly jewel training program
that's read it in print only the
nothing like an E commerce principles.
So your program that innovation things.
So parameters that and it's an
opportunity to work with you know what
I media partners set asked me year. And
it's what we what their markets I
peeled a long lasting relationship with
the little is something that we can use
to help yeah markets actually digit as
you can see technology continues to I
say probably have on your means a lot
command of the fabric. So so not online
E commerce is not just a channel it's a
business is into corners we something
is we need to be three one two usually
three and so that you know it was
system disrupts everything we do have
from the way we operands to the basket
projects that that that was not very
sit on the sidelines over what steadily
looking at the construct of the show
the fact that remarked women and there
are at least me optimised yeah that's
true. That's about it encompassed by
first of all the great that we've got I
think to be better the problem that's
the most important number one benefit
is actually right from the word. But we
are at the how to third very well. And
number to benefit is actually bring to
the company if you to use the method
you know with that so is that hopefully
it is the racy that's so we have no
control over we use the following his
school obviously stakeholder. It's time
to read this and there is increasingly.
I think nothing and always wondered
anywhere I suppose to get it so that we
as consumers like you know because
there is an heart of everything we do a
lot of what some might be less no
visitors to the consumer. This is a
black star Amazon after basically are
that number is expected device that
integrated in encounters I think it's
incredible channels you on the one hand
embrace acceleration Everything is
changing in the digital world. staying
rounded the fundamentals of time with
the link I think in that sense this
that number so three oh what a and a
great story talent time. And that that
we need to raise the bypass that for
that at all oh yeah I can get it just
wasn't real time data or insights into
how aggressive leaders and markets
celebrity converse design social yeah
this one's five recriminations parties
and most importantly that that
leadership program has extended
eighteen different markets with several
more to be launched nobody next year.
We're investment the less risky that
bring them to display okay well
including the landscape and overall.
I'd be like in like ho to you I mean it
will need to convince I wanted after
eight Munster in reader to our
respective markets just health and
surgery into cell. And be faster over
there and this one hundred bits you're
all company is looking to develop the
capabilities to build sustain that
marketing sales individuals were the
only mine are for the actual nutrition
help them well and we want to raise the
bar operation knowledge sharing and
addition it online raw offline I okay
we did this is an experiment we didn't
really know words in it where was gonna
go we we had no idea that twenty twenty
three markets would embrace the model
and it reminds me I always I always
tell people never underestimate the
power of organisational virology good
ideas really do fly and sometimes the
markets will raise the bar in their own
way I was just an hour France market a
couple a couple weeks ago and there
that was incredibly inspiring and a had
sections in the room for phase bucking
Google and weirder and some of the
local vendors and it was just really
really powerful and we're trying to
build this ecosystem. And I I didn't
you know we knew that the hack at times
we're gonna be really powerful but we
didn't quite realise what a big impact
that they would have and you know this
notion of fast problem solving all give
a good example we one of the one my
favourite projects last year's that
they came up with this model took
almost great like and number of nest
lee kitchens nicely has all these
kitchens across the nest lean at work
and you know we're trying to figure out
how do we create more content how do we
win with recipes and we thought well
why can't we create a model where the
US wants a a mexican recipe or turkish
recipe they just kind of call another
market they might have an employee
gotta be the content creator a local
you tube star but the idea of kind of
thinking about you know digital
principles of excess cap asset
utilisation that was the dad idea. They
also developed a mobile activation
program and central west Africa so in
just you know be then obviously that
the you know in a lot of money on
employees bring a certain mobile by
design mindset in that opens up a lot
of possibilities. And for those of you
in management the question is like how
do you open up the door to that type of
thinking and do it in a way that
doesn't go too far again it's that it's
that managing intention but it's really
surprise that's in a lot of ways and
and and the best part and I can I
didn't anticipate this either but you
know exactly is are really embraced it
sometimes all walk and they're all see
our chairman our RCEO or one of our top
executives you know spending time we've
now reverse meant toward about a
hundred exactly this and they to bring
a lot of humility which is like what
can I learn from the digit variety or
the line deals we just had a bulky in
that that just a few days ago and you
know sometimes they'll use the group as
a sounding board but of course
obviously these these leaders can
benefit so much from you know spending
time with the top executives so we get
one of the opportunities for all of use
it how do you you know how you about
how you mix and match the formal and
the informal power. So that's the data
so you know how you any back more like
a startup you kind of Ukraine a little
bit of a started out those and see what
happens on the second part is you know
it's one thing to you know try to
emulate a startup in a three and forty
thousand person company B it's also
really important to be in the
environment that is moving fast and so
the other thing that we've done which
isn't necessarily an original idea a
lot of companies are doing this but I
think our approach is is is is quite
unique we are we have a silicon valley
innovation outpost that we established
just a couple years ago it kind of
started is a bit of an experiment where
one of our employees a swiss employee
Stephanie in the galley she was gonna
be in the united states on a and she
said I'd love to test LB nicely gets
closer to start ups and I said why not
and literally in a matter of you know
about a short period of time less than
a year she had established amazing
relationships with these see young
entrepreneurs from entrepreneurs think
tanks and I was like oh my gosh if one
person can do that imagine if we build
it up an hour board enthusiastically
agreed we added a few more people and
now we have a a big strategy around you
know how do we get ahead in somebody's
critical areas like nutrition infant
solutions you know it's it's a fast
moving space and yeah we have our own
already approaches but we also need to
be extra tall and there's a lot of
activity taking place and market places
like San Francisco Burrell and you know
change high and you know we're trying
to you know what we have a physical
presence in the valley were trying to
be close all these innovation hub so so
kind of the three areas were putting a
lot of attention on our kind of
nutrition and food solutions and hands
brand experiences a lot that gets in
the internet of things as big data
areas and of course there's a ton of
startups in that area a lot more fail
but that's okay that's okay you're most
of the bring a venture capitalist
approach to this that you know one in
five will hit it begin an early
relationship with them will pay
dividends and then obviously there's so
much going on and what we call
everywhere commerce especially on the
delivery side you know and then we're
doing a lot of pilots within the ins
the cards the and you you name it and
and we're trying to develop very very
smart one you can see L or you know we
might you know we might identify thirty
solutions in we'll try to me gave maybe
a third of them to scale and we're just
building this out this is on but it
also sitter ties is really well with
that that program you know here's some
examples where we've been doing some
work you know big focus for infant
nutrition is around the whole notion of
start healthy stay healthy and how do
we you know partner with players that
are providing very important service
utilities to parents and kidnap serve
as a service layer in fact one of my
big challenges is to think about what
are the service layers it sit on top of
brands. Um and I'll give you a good
example of this or milo brand which is
primarily an hour you know kind of a
lay markets you know Asia Africa in the
like you know they had then you know
they historically it had a really
strong foothold with a lot of offline
sporting events and train in advance
and marathons and Philippines and the
like but you know but there's a lot of
competition. And they've been trying to
figure out how to differentiate so they
actually came up with that nutrition
tracker an activity tracker and all
that this video walkthrough but it's
pretty amazing what they're doing and
we just this this program this latest
iteration just launched in Australia a
couple months ago a couple weeks later
of Philippines and we're rolling it out
across a bunch of markets let's let's
roll the video the money champions that
includes a health fitness and activity
track a design to help to make the most
of every once the have is download.
It's a simple two clicks to get started
here you can try to challenge
nutritional intake along with the
physical activity trying to find that
among the champions that stock by
having the meeting plan for you one
child for that day a week or selected
them from the top. And time on buttons
from button choose a meal category
breakfast lunch or dinner selected to
do time and have to check button to add
this to your child from plan and
algorithmic search this is consumers
with funding from quickly and easily
you can also choose the portion size in
order to sign the contract in sacred
which I which feeds into the energy
balance landing page parents control
for the children for being a little
champion and encourage them to keep up
the good work by sending them at with
personal message or yeah when child
start using yeah we can customise the
three D have it's a life changing
features such as hair outfit design and
accessories like tapping on the feature
they want to change and selecting from
a range of options the challenge called
proponents kids in the program with the
one to interact with their friends
using the the double feature oh you
meant to reality module enables
consumers to use money the packaging as
a form of media channel just a mansion
selected among the packs to access will
cost sports coaching tips striding
series we want to start or source for
skills and strengths volunteers just I
I I saw it. I while it shape I task
what skills has been okay top I in
college know well that extra. I enjoy
oh yes oh yes. the virtual out reality
players one of the ones that the
outpost you know identified after quite
a bit of adding but you know I think
about the possibilities that opens up
to grant me nicely sells you know one
point two billion products every day
and you know if you think about would
digital can deal I can you know almost
like your packaging becomes a form of
of media where you can enhance the
consumer experience and this is what
the digital leader need to think about
how do you add additional value on top
of the physical product in fact I
daresay I think it's gonna become a new
price of entry I'm not sure physical
product alone will be the huge
competitive advantage so this is one
area that are out is really thinking
about like what are those what are
those service layers that sit on top or
brands. So those are a couple examples
of the of extra no innovation kinda
parking yourself in the valley getting
close to it I gotta find service models
the third area which I'll just give you
some headlines on but we're about we're
gonna and now we're gonna we're gonna
officially unveil this probably and
sometime in July that we're launching
an open innovation platform and I'm
crazy excited about this one because
this is the whole idea of you know
imagine an online platform or nest we
might put business challenges like were
trying to figure out some dimension of
nutrition health and wellness or were
trying to figure out the next
generation of sustainability for an
espresso and you kind of put it out
there to the crowd. And businesses
large and small but hopefully a lot of
small entrepreneurs will kind of we'll
cool kind of pitch their ideas and
we'll have a a model in place to kind
of you know make sure that their IP is
protected and like so they feel
comfortable you know working with this
but also puts pressure on us you know
once you kind of put that promise out
there that we wanna work with small
companies then we also have to meet
their expectation and so I'll give a
good example and and we decided to
branded Henry to get to give it more of
a personal touch but also and you know
this is the hundred fiftieth
anniversary of of necessarily and we
thought it would be appropriate to kind
of a tie it to our original you know
our original kind of startup
entrepreneur Henry nicely so I'll give
an example of how this looks to be just
like one the video just about sixty
seconds all here but we thought a lot
about how to make this super super
mobile friendly very very accessible
easy for the entrepreneur to get case
studies you know super easy to you can
see where you can find out how many
days are left in the challenge you know
we're gonna make it very very simple to
sign out on any business can basically
create an account on the platform you
know how executive testimonials and the
like you know all the roles guy there
might be a could be half a dozen
projects open at any given time and of
course any entrepreneur that you know
set certain keywords they will be
alerted if a new challenge gets but in
this gene Kelly you can see like the
personal element status of the
application and you know in in very a
very entrepreneurial friendly and we'll
probably learn a lot is we do this in
terms of what what really collects what
does it with the with the community but
we're gonna be launching this I'm
giving a speech icon next week and all
probably have a better video to share
based on the fact that it further
develop but I think sometime in July
but this is a really important part of
the innovation try fact it's not just
about the physical location like
silicone valley it's also creating a
digital context for entrepreneurs in
businesses to kind of get access to you
know opportunities and it also opens up
are thinking that you know we don't
have to do everything internally
there's actually a lot of great ways of
of there's different ways of partnering
with extra more contributors so so
that's coming around the corner. Now
the last point I wanted to highlight so
you get innovation for a fact that you
know internal extra external. And open.
But I think one of the really important
issues is how do you connect the dots.
So I mentioned earlier has six a
radically decentralise network which is
both the opportunity and the challenge.
And I've constantly had to think about
I and my team you know how do we get
you know the folks in the outpost the
talk to the guy to interact with the
you know the open innovation platform
and you know one if you look at the
nicely leadership principles you know
one of the things that's almost a
pretty digital concept is this notion
of collaborating internally. And this
is an area where digital and social
media changes everything if you manage
it well and I'm a big believer in on
what they call one of the top thinkers
in the in the future space a gunny bob
your hands any calls the reciprocity
advantage how do you create a
marketplace of sharing within a large
company where people feel and send it
to share "'cause" they know they're
gonna get benefits and so one of the
things that he's been particularly
successful for my agenda it necessarily
has been building an internal social
media network and and I don't wanna
pick favourites in the lot of them out
there there's EM or fate you know
Microsoft you face books getting into
it we happen to be using the sales
force chatter platform you know but
they all build on some more social
media sharing principles. And in one of
my one of my big my big beliefs is that
internal mastery drive extra mastery if
we're gonna win with consumers if we're
really gonna the light consumers and
speak to their mobile expectations. Now
we gotta get through employees first
and employees are top audience. I mean
they are so they have attention span a
lovely there often stressed out you
know they kind of if they feel like
you're pushing the line or you know
exaggerating they'll know it faster
than anyone so you know you have to
really think about how to create really
good internal contents all give an
example just play this video just a
good example of how I manage in an
internal digital context so on this is
this is the feed from within thusly I
publish constant content constantly you
know so for example john to tell with
dizziness I put them in the data studio
films him talking about certain things
on never have a video more than you
know a certain appearing time this was
unusual usually there like five minutes
this was about eighteen but you have a
lot of good things they share and it's
mobile friendly you can access to idiot
you mobile people can give comments I
came up with the video format called
the sixty second consumer this is my
most popular content because employees
can only handle minute of instruction
you know if you really want their
engagements like face but you gotta do
it in three seconds and so you learn
how to get concepts across really
quickly there's an example of a other
profile member on my team you actually
can quantify their social quotient
which is really important. I
deliberately higher people with higher
high social conscience if if my readers
can't share I'm not getting value
across my market. Here's an example of
how I organise my team every team
member has to post updates before my
team meetings. So I know that they've
and they have to like everybody's
update so I know that they're ready for
offline meetings we also use our
vendors we put our vendors inside are
internal network so this is actually a
face but employee and she actually has
one of the highest influence scores
within nicely which means. She's adding
that undervalued to net to face book as
easy she's answering questions
constantly and then I can meet or the
vendor to find out whether in fact
they're adding meaningful value. So
social media yeah digital and social me
is is much an operating principle as it
is a communication channel and all the
efficiencies that we realise in our
personal lives multitasking can be
applied internally the key thing is you
have to be a really strong leader it's
not about flipping on a switch. And all
say with complete humility that my
first attempt attempt to create a
social network at it PNGI trade I
started the cycle marketing village
with a total failure. And I kind of
thought the technology would do the
trick. And it's not you have to have a
plan you have to vision you have to
nurture it's it's just like building
the team offline but if you do that
right you can make a lotta magic occur
and like you know I you know because
we're decentralise we don't have a lot
of money or bodies in in the centre
here in Switzerland so you have to you
know to entrepreneurs always have to
treat their challenges as
opportunities. So I've been very
obsessed with internal social media
because I don't have a lot of people
and so I had to think creatively about
how do I get markets to share my
favourite expression is stealing scale
so good Mexico maybe doing amazing
thing with video on face but and then
all kind of bottle up the knowledge put
it on the social network and try to
disseminate it quickly across the
organisation in this really helps when
the silicon valley those finds a great
entrepreneur or or start up a kind of
put it on the network. Um in this stuff
really makes a very big difference I'll
give one last example the last video
example I love this because it had such
an impact on behaviour so so here's the
context. I've been trying to get all of
our brand builders to be more mobile
friendly you know make your websites
more mobile phone we do all these
audience. And then we'd send out memos
from the top saying here's your score
you gotta be more mobile mobile centric
you know on the pace was super slow and
I kinda realise you know this notion of
just like sending the memo even if you
the dude in the top it only works to a
point. So that yeah team decided okay
we're gonna create a show called mobile
or not we're gonna put it on the
internet okay and we're gonna do some
friendly shaming let's just run the
video give unit I just a short clip
from it just and they did this like
every couple of every every week they
would do another episode of mobile or
not the side feature if you it it's
very easy to navigate through Reading
engaging one thing the presented on the
side the one income let me see is
search. But despite these side is
mobile ready yeah I think could be
about okay yes yes summary everyone's
evaluation it'd usually right now what
you see this and here's the it's it's
important in large organisations to
understand how power and influence
really really works. And social media
is huge motivator. And we know I I mean
if someone's posting something negative
that nicely I mean it's you you take it
seriously. So you've got these these
kind of millennial entrepreneur skip
from the dad that are kind of have
decided to go visual with their mobile
scorecard I kid you not I had C on
those across our market calling me up
begging me not to be featured in mobile
or not whereas I'm sending them out out
the written memos and like you know
people are just a in and I think the
key is like you know how can the
digital tools how can the insights from
you know how can at work life advantage
on bring insights and how we persuade
everything is about motivating persuade
Enid inspiring the organisation that's
what startups do they envisioned
possibilities they get really creative
and I wanna suggest we've cracked the
code but we made some good progress.
Now a couple final pieces of advice on
you know for the road ahead the first
is keep things really simple I had the
incredible honour of in on the
innovation injury for con last year was
the best experience my life I have to
tell you but you know in we analyse you
know a hundred fifty submissions and
there was great technology but honestly
the stuff that one was crazy simple.
And the technology was totally didn't
think that looks just very and and
there was a brilliance to the
simplicity and this is something I also
keep reminding our brand builders we
all have the temptation to load up too
much content I probably have twenty
percent more content than I needed to
my slides to make my point in the world
we have to radically simplified but you
know everyone you got the big awards
last year it was a very very simple
concept and and we have to challenge
ourselves to do this and the other
pieces that the old still informs the
new like it's funny people don't
believe me when I say this but like all
the stuff I do in internal social media
it nicely. I'm stealing from Aristotle
that was but there are startles
rhetoric was my favourite book in
college any talks about ethos Dawson
path loss and you read it it's like a
so it's like a digital play Bach you
know how do you influence the crap out
how you you know inspired you
organisation and or or everybody's
talking about ED test dean and you know
you know if you're into that go read
the nineteen thirties books scientific
advertising this guy mastered the
headlines you know in the and the and
the in the pull through rates on
newspapers and even a lot of stuff from
crazy don draper still helpful but I
think it kinda goes back to that
integration stimulation you know yeah
talk about the new but don't forget a
lot of it has already been established
digital just create a different context
and things move a lot faster and if you
want to move the organisation fast a
lot the old stuff will help people move
faster "'cause" they're not get a
bargain with you entirely on the new
you're gonna have to convince and they
were already there you already believe
in this you just don't know what you've
already partners I I kid you not it's
very important. Um and then the last
thing I just want to say that I've I've
got a on my if you've sent an email to
mean you get a response I have a five
four words at the top string or share
and simplify. They're not even like
digital concepts there just but they
apply to the digital world more than
anything else in the world of mobile we
have to shrink everything in a world of
digital we have to think about service
models on to kinda get more media
efficiency and benefiting create more
value we have to share we gotta get
consumers to share our stuff we need to
share with one another so that we're
not doing the same thing which creates
additional cost and then we need to
radically simplify everything that we
do and which kinda goes in hand hand in
hand with all those areas. So that's my
presentation I'd be delighted to take
any questions or even complain since on
the the do the planet feedback I think
that at all I had to put my olympic
moment. There's a dialectic I well my
closest thing going over big moment I
By the clicker that's thank you very
much for the honour of being here and
thanks to all my friends for being in
the audience I a lot of what I'm a talk
about many the people here who have
then amazing inspirational partners. Um
so I'm gonna talk about you know can a
hundred fifty sure hope company act
like a startup phenomena attempt to
convince you that the answers a big
yes. And by the way if in my American
way I kind of start talking really fast
it's okay to just slow me down I get
that advice all the time. So so here's
what I thought I would cover that it
talk about a concept that is very close
to my operating philosophy I call it
the the work life advantage. And I
think that will kind of become clear in
just a moment when I give you some
examples on the talk about you know I
spent a lotta time men terrain and we
dean younger are leaders in general and
sleep to manage in a period of
disruptive change. And I'm not about it
you of any jean tension as a success
criterion leadership in this new
environment I'm going to share or
something that I recently talked about
at the nicely investor conference just
a couple weeks ago I call it the
innovation try fact there's a number of
different things that we're pushing
that I think are all kind of showing
signs of be more like a startup but are
also very central to how we grow our
business an opportunity at necessarily
and that's the internal innovation the
extra no innovation. And then what
we're about to soon announce around
open innovation and then a few tips
that's pretty much it to sound okay
okay let's jump right it already so the
work live. Um we always talk about work
life balance but I want you to think
about the work life advantage because
in the digital space so much of what
were doing in our personal lives has
very unique value to what we're trying
to do on the business right and for me
you know having bin in the digital
space for all of my career it's been a
very important success criteria don't
want you to really think about how that
can work to your advantage so you know
as you can see I'm I'm pretty obsessed
with digitally kind of pervades my life
these are you know the the the fire
hydrant kinda describes my job you know
trying to keep up with the digital
world is like trick you know the fire
hydrant but I do a lot of things in my
personal life. I you know and get this
kinda gives you a sense of like what's
on the the the latest snapshot of my
you know my mobile phone. And you can
see that I'm a pretty active content
greater you know I really like all of
the different channels you know from
zap chat to you to to you know face
book of course modified alike and all
of these are teaching you something
really valuable lessons about how to
get ahead in this S yes some of them
have the risk of distraction. But the
world that were working in about trying
to reach consumers across the
fragmented landscape presents a lotta
challenges we have a need to dig in
ourselves now we can give an example of
one of my favourite phrases it nicely
is trust your inner consumer and
sometimes when folks get overly acted
and mac or wanna for a lot of numbers
have me I try to read balance by
encouraging them to trust your consumer
so he here's a really good example so
I've been in Switzerland about five
years well over five years. And I had
some amazing experiences and I've
learned a lot about what clicks and
what does it just based on my own
social me activity so for example I
have learned that you know if I have a
photo that I post on face book. Um and
it has a swiss icon behind it like the
matter horn that's probably worth you
know hundred likes. Um if I add a
little kid it's easily another hundred
likes on top of that and if you add the
dog you know you're probably adding
another fifty likes of also learn if
you add dad you have this abstract
about a hundred likes to the effects.
But my but the point is that the you
learn a lot by doing test tomorrow and
and your personal life and I'm what I'm
constantly challenge to do it nicely
you know we have two thousand brands
three thousand only media properties
we're trying to figure out what rising
gauge meant and you know we obviously
need to apply traditional research
methods but we also need look like a
lot of common sense and I use a lot of
the the personal experience as a
reference point maybe sometimes as a
confidence boost. Um you know can work
and of course we're now moving into
marketing world that's heavily orient
around visual communication small
screen visual communication. Um now I
wanted to make a confession about a my
first brandy an experience for those
things when I first got the nest in
semester I'm like oh my gosh I tell
people this I'm probably gonna get
fired they're gonna think it's so crazy
but I've always loved business since I
was a kid my first business I actually
sold avocados at the age of fifteen in
southern California but my first real
real business for a lot about branding
I was an undergraduate at the
university of California santa Cruz and
I helped design the logo for are very
the cure your if not iconoclastic mouse
got a banana slug and the design was so
popular I kind of help pay my way
through college my first trip to
europe. And well I was getting deep in
student get in my first year at a
Harvard business school I got a call
from the university who told me that
there is a director that wanted to use
my teacher for a film it turned out to
be quite carotene known you wanted to
put it on john travolta and half in and
a portion of like pulp fiction. And it
was an interesting the polyphony for me
because I was a a first your business
school student kind of panic that I was
probably gonna flunk out. And didn't
have a lot of time to manage all these
media queries that we're suddenly
coming to me. So I decided to create a
website called you know slow well it's
like that dot com in this is back in
nineteen ninety four now I should have
called the Amazon five been really
smart but but we would kind of put the
information about the business and you
know we moved a decent amount the short
sales online but I learned a lot you
know we all have our awakenings are
tiffany's and this was one of the ones
I was like oh my gosh the internet is a
really big idea you know I could
actually visualise my brand in this is
this is right around the time that the
mosaic browser first came out you know
mark entries and and it really inspired
a lot of my thinking and and and still
to this day because the space continues
to unfold I think when when mark soccer
Burke says where only one or two
percent complete I really believe that
I think there's still a incredible
innovation curve and for those of you
that feel like you've been late too
late or maybe too early for some
marriages know that there's still a lot
of opportunity on my other big Epiphany
was I'm kind of obsessed with feedback
and I was a Proctor and gamble for
about you know let the first digital
marketing team at Proctor relatively
young age and which should give all
this Compton it's never never be and
never be I you know never be afraid to
write the memo what always help me was
just you know right in the memo saying
if you're ready for someone to lead in
the digital space read. And people do
remember that and I was very fortunate
and we we made a lot of progress in a
shorter period time but the reason why
left is that I I had another Epiphany
which was that the internet was
fundamentally about feedback loops. And
we see social media this is back in two
thousand but this notion of consumers
sharing their opinion positive or
negative and so I you know left Proctor
at a time when the market was
incredibly generous to entrepreneurs.
And raised a bunch of venture money for
a company called planet feedback dot
com and was kind of one of the first
early social media sites where we
empower consumers to give to send
letters you know positive or negative
to companies and then we kind of
analyse that data we sold about the
companies in the early days companies
didn't like us but then they realise it
was actually there's a massive amount
of value because what we were basically
saying is that feedback is currency for
relationship marketing something that I
think most companies today understand
and embrace and then the other thing
that was a big ah ha for me is that
there are very predictable talk drivers
they get people to talk positively or
negatively about companies. So we
process like you know millions of
pieces of feedback. Um one of the
things we learned in the fast food
industry was that the biggest negative
talk driver was hygiene. So the
bathrooms were grows everybody talked
about it on the internet on in the
retail industry it was a training of
employees. So if your employees were
well trained you got all sorts of word
of mouth multiples in the wireless
industry does anybody have any idea
what would be the biggest talk driver
it was a coverage close it was billing
if you mess with people's money they go
crazy they tell everyone. And this is
something that I you know with a big a
begins that we ended up the the
business model kind of morphed in the
vault and ultimately after a merger we
sold it to Nielsen which was a very
interesting experience for me but it
kind of left with me this this passion
around social media in feedback loops
and understanding like what are the top
drivers like what is it you know why do
people talk positively or negatively
about nicely sometimes it I like the ad
and now I'm gonna share it onto later
but a lot of times it's things like how
well the product performs the customer
service and this is really important to
understand because the internet is a
world of debits and credits and brands
get those debits and credits based on
their credibility wanna ultimately
wrote a book of go back. Um what
ultimately wrote a book called
satisfied customers tell three friends
angry customers tell three thousand it
was all based on that notion that the
most important thing in today's market
environment is a nurturing credibility
rang credibility that in a world of
transparency authenticity that really
matters. So that was something that
really you know this kind of fuelled a
lotta might thinking going into my my
most recent opportunity with no sleep I
love on on the person I I love one of
the things that I like to do is I
create a lot of media some of you may
consider to be a little bit goofy but
that's alright it's teaching me a lot
about you know if you're trying to
inspire a large organisation to move
faster then it thinks it can move
leading by example is really important
and so one of the the thousand I have
made. And it's not it's not a difficult
val "'cause" I love it you know I I
produce a lotta content one the roles
that I have with my kids as fit and
they they they'll probably will never
forgive me when they get older but you
know every time we go skiing in every
time we visit amusing am every time we
do an outing we create a video you know
and and again we learned a lot about
what gets engagement or not sometimes
you have to have a ski crash in the
first three seconds you know to try to
get follow but we've got a lot and I'll
get I'll give an example here's I was
just at the the nest we just open up
the nest. And we did a five minute
video I kinda take about "'em" in in a
minute they have to give you a sense of
like the type of content that were
creatine so let's let's run this clip
real quick Uh_huh Okay I know my focus
on the digital elements which I number
pretty I have in yeah that is cool I
know oh oh oh I know oh I guess. But so
yeah I that's the tag line for my my my
my dad brand so you know it's
interesting you know to my point about
the work life advantage I think I I I
probably stress out a lot of people it
nicely because all do these videos and
all cranked "'em" how often times in
the matter sometimes like print them
out within an hour sometimes you know
we'll it'll it might take it day but
this is an environment where yeah I
think about when I first started you
know Proctor and gamble like you know
you'd be lucky if you can crank out a
video from from from an agency in a
matter of months you know and suddenly
you've got this world of friction free
content creation were all the Powers in
our hands everything I create we create
is through a mobile phone but ninety
you know in that case that was through
the eye pad but I'd say ninety percent
of videos we do through just the I move
the activity in this is open you know a
lot of possibilities more people say no
no no P let me tell you how it really
works. It's gonna take a lot longer

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How to Disrupt a 150-Year-Old Swiss Company in a Digital World?
Pete Blackshaw, Nestlé global head of digital and social media
14 June 2016 · 7:28 p.m.