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Differentiate Through Innovation

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Presentation on theme: "Differentiate Through Innovation"— Presentation transcript:

1 Differentiate Through Innovation
Anticipate, Innovate, Execute Transformational and sustainable technologies leader CONFIDENTIAL AND OPERATIONALLY SENSITIVE MATERIAL This presentation contains non-public, proprietary information that must remain confidential 1 1

Vision Make USG the leader in construction product and system solutions through transformational and sustainable technologies.  Mission Align with USG corporate strategy to deliver science and technology based building solutions that create value and ensure USG leadership. Optimize current products Drive cost reduction efforts Anticipate, adapt to and act on building trends Pursue transformational research leading to innovative and profitable building solutions  USG CONFIDENTIAL

Moved in 1983 200,000 sq.ft. facility Lab bench to pilot plant capability In-house testing capabilities (acoustical, structural, fire)

4 ORGANIZATION Laboratories Gypsum Panels Ceilings Performance Surfaces
Performance Substrates Analytical Construction Systems USG CONFIDENTIAL

5 Innovation Through Collaboration
FOCUS AREAS P eople Invest in people, not just products I People creating value through the implementation of new ideas nnovation C Internal – Manufacturing & Marketing External ustomers Jim Intro Innovation Through Collaboration USG CONFIDENTIAL

6 PEOPLE Over 1,200+ years of cumulative experience
More than 50% of the staff have advanced degrees Physics Chemistry Coatings Materials Engineering Chemical Engineering Mechanical Engineering Civil Engineering Architecture Metallurgical Engineering Bio-engineering Physical Chemistry Over 1,200+ years of cumulative experience USG CONFIDENTIAL

Cement & Gypsum Chemistry Admixture Formulation Paper Chemistry Materials Science & Analysis Calcination Technology Computational Fluid Dynamics Building Science Industry Codes & Standards Fire Design & Test Acoustical Design & Test Structural Design & Test Life Cycle Analysis Building Moisture Management USG CONFIDENTIAL

Underwriters Labs ASTM International ASHRAE Gypsum Association American National Standards Institute US Green Building Council American Concrete Institute Technical Association of Pulp and Paper Industry UL & UL Environment Life safety, structural performance & sustainability ASTM International Standard specifications & test methods for the construction industry Board of Directors ASHRAE Building science, building energy & sustainability Gypsum Association ANSI Decide whether to keep on list US Green Building Council – founding member ACI – American Concrete Institute TAPPI – Technical Association of Pulp and Paper Industry USG CONFIDENTIAL

9 DECADES OF INNOVATION Inventors in Building Science
1900 Sheetrock® Sheetrock Gypsum Panels Pyrobar Gypsum Partition Tile 1960 Ultrawall® Structocore Structocore™ Wall System First Metal Stud Drywall System RC-1 Channel Sheetrock WR Gypsum Panels Chemically Hardening Joint Compound SW Gypsum Panels Blendtex Gypsum Panels Exterior Ceiling Board Ultrawall Relocatable Wall System USG Shaft Wall System Textone SW Gypsum Panels Area Separation Wall System Light Steel Framing 2000 HUMITEK® Levelrock® Next Generation Gypsum Panels Levelrock Floor Underlayment System USG™ Decorative Interior Finish System Geometrix™ Metal Ceiling Panels Astro™ ClimaPlus™ Ceiling Panels Translucents™ Luminous Panels Topo™ 3-D Ceiling Panels HUMITEK Gypsum Panels SECUROCK® Roof Board Sheetrock® All Purpose Joint Compound with Dust Control Sheetrock® Mold-Tough panels Zero-emitting ceiling tiles High Recycled Content Suspension Systems True Wood Ceiling Panels SECUROCK® Glass-Mat Sheathing SECUROCK® Glass-Mat Liner Panels 1920 ACOUSTONE® Rocklath® Gyplap® Gypsum Sheathing Rocklath Gypsum Lath ACOUSTONE Ceiling Tiles Perf-A-Tape® Joint Reinforcement 1980 DUROCK® FIBEROCK® Structocore Security System DUROCK® Cement Board SHEETROCK® Plus 3™ Joint Compound X-Technology Ceiling Panels Firecode® Compound 3/4" Ultracode® Core Gypsum Panels Compässo™ Suspension Trim Quick Release II Clip Cuvatura™3-D System Radar™ ClimaPlus™ Ceiling Panels FIBEROCK® Panels USG Drywall Suspension System 1940 Pyrofill® Firecode® Structo-Gauge® Gauging Plaster Pyrofill® Poured Gypsum Roof Deck Water Repellent Wallboard Structo-Lite Perlited Plaster Sheetrock Firecode Core (Type X) Tapered Edge Panels Ready-Mixed Joint Compound 2" Solid Gypsum Wall Board System 2010 Sheetrock® Brand UltraLight Panel SECUROCK® Glass-Mat Roof Board 2000 – 2009 1000+ Patents

Category Category Category 3 Supporting Operations / Heritage BU Initiatives Exploratory Essential Support Of Existing Products & Operations Product & Process Extensions Platform Technology Development Exploratory Projects Transitioning to the work done by CIC & OI (you all have seen this before) 3 categories: Heritage (Activities that supports ongoing business), Business Unit initiatives on new product and process extensions, and work being done on big ideas that lay the groundwork for our future growth. The 2011 allocation of the $10 MM spend on these categories is shown here. Note that the total spend of $13MM includes the overhead cost of maintaining Libertyville. As you know there are robust processes within the company (Single point of contact for mfg, PPMT, and Business Teams) that manage and ensure alignment of the first two categories.. The return on this investment is …. USG CONFIDENTIAL

11 Universities and National Labs Engineering and Tech Services
The lab is our world The world is our lab OPEN INNOVATION Plants Customers Research Universities and National Labs INNOVATION Engineering and Tech Services Suppliers Marketing Innovation Brokers USG CONFIDENTIAL

12 INNOVATION METRICS R&D Yield Patents Filed Value Of Project Portfolio
(Total Cost Savings & Total Gross Profit) / R&D Budget Patents Filed Annualized Number Of Patent Filings From R&D Value Of Project Portfolio Total 5 Year Estimated Gross Profit & Costs Savings For Projects On The Portfolio Number Of New Platforms Number Of Cross-product Development Initiatives Funded For Exploration


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