Patrizio Ricci Italian 13 yrs with P&G in Brussels & Cincinnati & many extended stay across EMEA Engineering Associate Director WE Fabric Care & Global Process Breakthrough –Dry Laundry ( Ariel / Daz / Bolt ) –Laundry Liquids (Ariel, Bold, Dash, Dreft) –Fabric Enhancers (Lenor, Downy) –Laundry Unit Dose ( Ariel tabs ) –Bleach (Ace) –Hand Dish (Fairy, Dreft) 8 Fluids Plants around the world
Topics P&G Engineering Process Breakthrough A changing environment Sustainability Connect and Develop
Some more facts 138,000 employees Operating in over 80 countries worldwide Active in every market in Western Europe Our European headquarters in Geneva, Switzerland. Several European Technical Centers In Brussel Innovation Center : >800 R&D, > 100 Engineers, > 30 nationalities.
PROCESS BREAKTHROUGH We want to explore uncharted territory, find breakthrough process solutions, and with our partners, develop discontinuous technologies that meet our customers & consumers needs and provide competitive advantage for our Company.
THE 1992 EFFECT A Fast Moving Consumer Good Company In a fast Moving World
Mr Proper Bathroom Production Sites 1992 Amiens Gattatico (I) Worms Plant Alizol (F) - contractor Global R&D Surface Care Manchester
Key changes in 1992 Elimination of intra EU Custom Cabotage: Full truck loads in both directions –Decrease of intra EU Road Transport cost
Mr Proper Bathroom Production Sites 2008 Gattatico (I) Global R&D Surface Care
Advantages of central Sourcing Economies of scale on Capital Expenditure & Operating Cost Easier Product & Technology Standardization (one plant -> one technology platform -> one product for the whole of Europe) Concentrate R&D – Engineering – Supply Chain Management effort Faster Continental Roll-outs
The World is Changing Fast! How Far on $500 Worth of Diesel? 1999 2001 2004 2007 2008
What else is changing ? More product customization Faster response to local market demands Globalization of the market Higher cost pressure Focus on Sustainability … And on top we want More Flexible unit – Easy to relocate Less capital…..
Changing world “We need to anticipate the game, be ready with our engineers to solve the challenges that are not defined yet, using technologies that haven’t yet been invented in order to solve problems we don’t even know are problems yet.”
1998 2000 2002 2005 2006 2007 2003 Pace of Innovation
Sustainability on Leadership Agenda “We are committed to helping solve the world’s sustainability challenges. We do this through product innovations, reducing the environmental footprint of our operations and through our contributions to help children live, learn and thrive. Companies like P&G can be a force for good in the world. This is a responsibility and an opportunity that we embrace.” A. G. Lafley, Chairman of the Board and Chief Executive
Defining Sustainability “Sustainable development is a very simple idea. It is about ensuring a better quality of life for everyone, now and for generations to come.” Department of the Environment, Transport and the Regions, London, UK. February ‘98
Sustainability The synergy between Economic Development, Environmental Protection and Social Responsibility.
History of Sustainability at P&G P&G pioneered environmental reporting (1970’s) Environmental Quality Policy; EQ Reporting (1992) One of the first companies to form a “corporate sustainability department” and publish a sustainability report (1999) Introduced global corporate cause – Live, Learn and Thrive (2005) External recognition for our work on sustainability: –P&G ranked as sector leader in the DJSI 7 out of 9 years –Listed on the FTSE4Good ever since the index was devised –#1 among household and personal product companies by Fortune (02/06) –America’s Second Harvest Donor of the Year (2006 AND 2007)
Built Into P&G’s Purpose and Values P&G Purpose: We provide branded products and services of superior quality and value that improve the lives of the world’s consumers, now and for generations to come. Principles: We incorporate sustainability into our products, packaging and operations.
P&G Sustainability Matrix Opportunity Responsibility Social PVP Environmental Values and Policies Worldwide Business Conduct Manual Supplier sustainability guidelines & compliance Community programs Disaster Relief & Preparedness Worker Health & Safety Eco-efficiency – cost savings Sustainable Forestry Environmental Quality policy & management system Product Safety assessment tools (Risk Assessment, LCA, PSAT, etc) Product Safety Policy Older population products Child Development Products for lower income consumers Retailer Sustainability Tide Cold Water Ariel Cool clean Future Friendly Innovative Distribution
P&G’s Sustainability 2012 Goals Develop and market at least $20 billion dollars of “sustainable innovation” products. Complete a decade-long program of reducing the greenhouse gas emissions, disposed waste, and energy and water consumption of our own operations by at least 10% each. Improve the lives of hundreds of millions of children in need around the world through our global Cause program - Live, Learn and Thrive.
Open Innovation or C&D P&G’s innovation business model to leverage external innovation assets. Finding innovative products, packaging, technologies, processes and commercial connections from anywhere in the world.
Disruptive Technologies Plasma technology to modify interior surface of bottles to get the “last drop out”. Cooked Technologies Reapplication of electro-static spray technology from car painting to makeup application. Ready To Go Product Ideas Swiffer Dusters from Unicharm. We also leveraged their production lines and advertising. Commercial Connection Partnership with Clorox/Glad. Examples from the C+D Focus Areas
$5 Billion/yr New Sales 8,000 P&G Researchers The C+D Concept >Two Millions More than 2,000,000 researchers worldwide in science areas of interest to P&G.
This is why we are here Let us innovate together