GLOBAL K

NOWLE

DGE

MANAGEMENT AT

DANONE

Group 1:M9901004 程永真M9901005 黃曼欣M9901009 曾云杉M9901206 曾郁雯

ABOUT BSN

ABOUT DANONE

ABOUT DANONE (FROM1970S~1996)

DANONE’S VISION

FRANCK RIBOUD’S CONTRIBUTION

He directed to company’s focus towards health and nutrition

He turned a Western European company into an international organization

He changed how the organization was managed

FRANCK RIBOUD’S CONTRIBUTION

DANONE’S POSITION

Global leader in fresh dairy products and was tied with Nestle in beverages

Danone was second only to Kraft Foods in biscuits and cereal products

Danone had revenues of €14 billion (14.98billion, 2009), compared with Nestle with revenues of €60 billion, and Kraft Foods with revenues of €25 billion

4 main blockbuster products:

In 2008, Danone reorganized into 4 business lines: Fresh Dairy Products, Water and Beverages, Baby Food, and Clinical Nutrition.

DANONE’S BUSINESS LINE

GLOBAL LOCATIONS OF GROUPE DANONE FACTORIES

MANAGING K

NOWLE

DGE

FOR C

OMPETI

TIVE

ADVANTA

GE

MANAGING KNOWLEDGE FOR COMPETITIVE ADVANTAGE Challenge: Making product, customer, and

operational information available Question:

a tension between a more efficient top-down approach and local managers’ desire for autonomy.

the role of information technology in managing knowledge

Topic:Local markets(地方市場 )Decentralization and Integration(分權與整合 )Prior Approaches to Knowledge Management(KM的前處理 )

The Human Connection(人與人之間的聯繫 )

LOCAL MARKETS

Danone’s strategy: decentralizationClose to customerGet new product earlier Nestle V.S Danone

DECENTRALIZATION AND INTEGRATION

Being decentralized could be confusing for frontline managers:

Lack clear directions from headquarters and didn’t know whom to turn for advice(垂直 )

there’s little horizontal communication among the larger divisions.(水平 )

No a lot of quantified organizational expertise. No library with a bunch of files. There’s a little incentive to formally categorize

things into database.

CBU=Country Business Units

DECENTRALIZATION AND INTEGRATION(CON’T) The top-down to re-prioritize and re-

concentrate The bottom-up to nourish-to listen to the

market , the latest ingredients, the latest innovations , to know what works with the competition

PRIOR APPROACHES TO KNOWLEDGE MANAGEMENT

THE GROWTH PROGRAM

In the late 1990s, Jacques Vincent, had initiated the Growth Program to foster growth through sharing brand assets among the CBUs to develop blockbuster brands.

Jacques Vincent wanted us to use our CBUs to leverage practices rather than to use consultants.

GROWTH TOO

Goal: accelerate growth by identifying, analyzing, and formalizing good practices in the 70 CBUs to ensure that these good practices were adopted by all CBUs.

e.g. The diamond- a hexagon charting six key parameters of a brand used to measure a brand’s effectiveness and progress

ACCELERATION UNITS

international working groups:

Specialized in a particular concept or brand. An Acceleration Unit might have between 4 and 40 high-level members from a single function or from multiple functions

THEMIS

They want build a model that was a continuous improvement process and we came up with the Danone Operating Model, a list of 144 formalized best practices, using a tool called THEMIS

THEMIS : Danone’s group-wide SAP (business software) system

THE HUMAN CONNECTION

The traditional knowledge managementUsing technology, uploading files, building databases

It was not the optimal path for Danone:Most people didn’t use the portalFeel most comfortable talking to each otherSystems and processes also slowed down the

business Sharing wasn’t a natural thing->

find a way to encourage people to share

THE HUMAN CONNECTION

THE N

ETWORKIN

G

ATTI

TUDE

THE NETWORKING ATTITUDE

In 2002, The Networking Attitude was launched as a new way of communication to enable and encourage staffs in different work sites to share knowledge and good practices in the enterprise.

To circulate good practices and make people in units far from each other share knowledge.

It’s a way to work transversally and to break the silos, to absorb and combine talents and knowledge coming from different places within and outside the organization.

MAKE IT YOURS

As employee’s commitment is very important, several social tools were designed to make people enjoy the activity and see how knowledge exchange can benefit them. Such social tools include Marketplace, Message-in-a-bottle, T-shirts, Who’s Who, and Communities.

MARKETPLACE (1/4)

Marketplace is a two-hour activity held during other meetings or conference scheduled by the target group.

People were not invited specifically to a marketplace and were usually unaware.

MARKETPLACE (2/4)

Operate mode FacilitatorsFacilitators arranged and ran

marketplaces, acting as intermediaries to organize the exchange of practices.

Before the marketplace, the facilitators collected givers’ good practices and wrote them down in The Little Book of Good Practices.

GiversThe Giver is sharing the experience

of sorting out a practical problem encountered in her/his own CBU.

They offering good practices, or solutions to problems.

MARKETPLACE (3/4)

Operate mode (cont.) Takers The Taker is anyone who finds it useful

to use a solution proposed by the Givers.

Interest checks When approaching a giver

who had a good practice of interest to the taker, the latter would “pay” one of seven “interest checks” to the former, symbolizing the transaction.

MARKETPLACE (4/4)

Event’s theme is set up to build loosened-up environment with costumes, role-playing and lively music.

The Little Book of Good Practices

One book featured 33 summaries of transferred good practices in diverse functions.

MESSAGE-IN-A-BOTTLE

 In this activity encouraged bottom-up approach by bringing takers to a small group of givers who were willing to give them solutions and good practices and they would take their turns to be takers.

As it is important that people should feel free to ask for helps, there was no observation.

So far, about 115 message-in-a-bottle sessions had been organized involving more than 3,000 people.

T-SHIRTS

T-shirts session is held when the team doesn’t have enough time for longer activity.

Participants write good suggestions on the front of their T-shirts and write down their problems on the back. And then they all gather in a group in a learning session.

WHO’S WHO

All the employees have their own profile page, they can take part in sharing information of their interesting topics.

When having problems, they can search for some good solutions and people in the area where they need help.

COMMUNITIES

These communities (networks) were established to make sure that employees still keep sharing their knowledge even without marketplaces.

Within a network, there were 10-15 members with a leader.

Members posted questions and useful information to keep the network alive and they met up once in 6-18 months.

ASSES

SING T

HE NET

WORKIN

G

ACTIVIT

IES

ASSESSING THE NETWORKING ACTIVITIES Because of the Networking Attitude,

far more people know who to ask for help now.

Tangible results proved that people

from different divisions could benefit

from each other’s experiences.

ASSESSING THE NETWORKING ACTIVITIES You need the relation and exchange between

people. At Danone we foster games between people

during which they can exchange ideas. I see this as our competitive advantage.

ASSESSING THE NETWORKING ACTIVITIES

So what?It’s

good!It’s good!

Anglo-Saxons

Latin

Asia

ASSESSING THE NETWORKING ACTIVITIES

He sending e-mails to the 300 participants

ASSESSING THE NETWORKING ACTIVITIES Networking is a tool to improve your efficiency

in solving your key issues or priorities.

If it’s not focused on solving your key issues, it will not be very useful.

EXTENDING THE NETWORKING ATTITUDE Deeper: more employees

Wider: outside the company

Richer: for innovation

DEEPER: MORE EMPLOYEES

All 90,000 Danone employees could benefit from the Networking Attitude to share good practices.

We learned a lot from each other.

Now I can call them instead of trying to find a solution by myself.

WIDER: OUTSIDE THE COMPANY

Using tools to build external bridges to partners, suppliers, customers, and consumers.

Sharing practices with retailers such as Wal-Mart and Carrefour ( 家樂福 ).

When there is a shortage of our products on the shelf, Danone is penalized by the retailer for its loss of sales.

RICHER: FOR INNOVATION

Going a step further than sharing knowledge—to create new knowledge by inviting employees from various divisions.

Danone had conducted seven so-called co-building sessions getting richer

The good practices of today are not going to be the good practices of tomorrow.

THE FUTURE

Should they extend the concept to be deeper, wider, or richer?

Should they impose more structure, evaluation, or rewards on the Networking Attitude to make it more viable for the long term?

Should it remain as it was?

THANKS F

OR YOUR

LISTE

NING !