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The Strategic Role of Marketing
in Innovation
Charlotte BMA
March 19, 2014
Steve Liguori
Exec. Director Global Innovation
From Hot Dogs to Big Iron to
Innovation!
Corporate
Brands
Product
Brands
Business
“Not as
Usual”
Examples
Powering, Building, Moving, Curing
GE Energy $40B GE Capital $45B
Home & Business $6B
Solutions
Healthcare $20B
Aviation $20B
Transportation $5B
Energy Management
Oil & Gas
Power & Water
$150+B Revenue, $13B earnings
300,000 employees in 150 countries
Only current DJIA company in original
index
Nimble, resilient
and innovative
130years
The most advanced
technology on earth:
global R&D +
45,000 technologists
expanding what’s
possible
“I find out what the world needs,
then I proceed to invent it.”
– Thomas Edison
GE Innovation
7
GE/General Mills
Outcomes Matter
technology-led
innovation
market-led
innovation
What is innovation at GE?
GE Innovation
9
GE/General Mills
The nature of innovation is changing
From Invention To Solutions
& Innovation
Over the last 10 years, 2% of innovation
types have produced > 90% of value
10
X50!
11
GE/General Mills
VALUE &
INNOVATION
Marketing’s Role:
12
GE/General Mills
EXITMETRICS
EXITMETRICS
GE Simplification –”cultural imperative of
this generation”
Optimize and manage the business
ACTIVATE
CROSS THE
CHASM
SCALE THE
BUSINESS
RUN THE
BUSINESS
OPTIMIZE
THE
BUSINESS
1
2 3 4 5
EXITMETRICS
Innovate new products and business models
INCUBATE
GET TO
MARKET
INNOVATION WORKS
EXITMETRICS
TENX
• Fewer, bigger bets
13
GE/General Mills
Fast Works: the startup approach
GE & the Industrial Internet
Capturing a leadership
position for the “Other 50%”
of GDP!
Run my machine better
Run my fleet better
Run my industry better
15
Power of 1%
- Can you talk “Outcomes” in your space?
AVIATION POWER RAIL HEALTHCARE OIL & GAS
1% fuel
savings
1% fuel
savings
1% productivity
improvement
1% productivity
improvement
1% reduction
in Cap X
$30B $66B $27B $63B $90B
15 YEAR
SAVINGS
16
Leading the Industrail Internet!
GE PROPRIETARY & CONFIDENTIAL
Brilliant
Machines1 Advanced
Analytics
2
People at
Work3
17
GE/General Mills
Opening up & collaborating
3 Months
$40,000
697 New product designs
$10MM Fuel savings potential
40 Data sets
3,045 Algorithms
164 Countries
0 Aviation experience
$26MM Fuel & cost savings potential
134 New Product
Designs
139 Countries
4 Quests
5,757 Solutions
55 FTE Equivalent
2013 Quests
Open Innovation drives value
Cooking Up a
Business
Local Motors Made
the World’s 1st
Open-Source Car.
It’s Now Bringing Co-
creation to GE
The co-creative process is all about building
connected machines. That’s where the big change
happens.
What disruptions are YOU leading ?
22
GE Title or job number
3/21/2014
1. Know Who You Are
Strengths
?
2. Know Where You Are
Find the balance.
“Culture eats strategy for lunch”
Internal
Environment
External
Focus
3. The 70-20-10 Rule
“In addition to appointing an
Innovation Officer at Google,
employees are now asked to divide
their time in 3 parts: 70% core
business, 20% pursuits related to the
core, and 10% far out ideas.”
70% Core
20% Core-related innovation
10% Far out ideas
Best Practice:
On my wall…
What’s on
yours ??
Evangelizing and Leading the Strategic Role of Marketing in Innovation by Stephen Liguori

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Evangelizing and Leading the Strategic Role of Marketing in Innovation by Stephen Liguori

  • 1. The Strategic Role of Marketing in Innovation Charlotte BMA March 19, 2014 Steve Liguori Exec. Director Global Innovation
  • 2. From Hot Dogs to Big Iron to Innovation! Corporate Brands Product Brands Business “Not as Usual” Examples
  • 3. Powering, Building, Moving, Curing GE Energy $40B GE Capital $45B Home & Business $6B Solutions Healthcare $20B Aviation $20B Transportation $5B Energy Management Oil & Gas Power & Water $150+B Revenue, $13B earnings 300,000 employees in 150 countries Only current DJIA company in original index
  • 5. The most advanced technology on earth: global R&D + 45,000 technologists expanding what’s possible
  • 6. “I find out what the world needs, then I proceed to invent it.” – Thomas Edison GE Innovation
  • 9. 9 GE/General Mills The nature of innovation is changing From Invention To Solutions & Innovation Over the last 10 years, 2% of innovation types have produced > 90% of value
  • 12. 12 GE/General Mills EXITMETRICS EXITMETRICS GE Simplification –”cultural imperative of this generation” Optimize and manage the business ACTIVATE CROSS THE CHASM SCALE THE BUSINESS RUN THE BUSINESS OPTIMIZE THE BUSINESS 1 2 3 4 5 EXITMETRICS Innovate new products and business models INCUBATE GET TO MARKET INNOVATION WORKS EXITMETRICS TENX • Fewer, bigger bets
  • 13. 13 GE/General Mills Fast Works: the startup approach
  • 14. GE & the Industrial Internet Capturing a leadership position for the “Other 50%” of GDP! Run my machine better Run my fleet better Run my industry better
  • 15. 15 Power of 1% - Can you talk “Outcomes” in your space? AVIATION POWER RAIL HEALTHCARE OIL & GAS 1% fuel savings 1% fuel savings 1% productivity improvement 1% productivity improvement 1% reduction in Cap X $30B $66B $27B $63B $90B 15 YEAR SAVINGS
  • 16. 16 Leading the Industrail Internet! GE PROPRIETARY & CONFIDENTIAL Brilliant Machines1 Advanced Analytics 2 People at Work3
  • 18. 3 Months $40,000 697 New product designs $10MM Fuel savings potential 40 Data sets 3,045 Algorithms 164 Countries 0 Aviation experience $26MM Fuel & cost savings potential 134 New Product Designs 139 Countries 4 Quests 5,757 Solutions 55 FTE Equivalent 2013 Quests Open Innovation drives value
  • 19. Cooking Up a Business Local Motors Made the World’s 1st Open-Source Car. It’s Now Bringing Co- creation to GE The co-creative process is all about building connected machines. That’s where the big change happens. What disruptions are YOU leading ?
  • 20.
  • 21.
  • 22. 22 GE Title or job number 3/21/2014 1. Know Who You Are Strengths ?
  • 23. 2. Know Where You Are Find the balance. “Culture eats strategy for lunch” Internal Environment External Focus
  • 24. 3. The 70-20-10 Rule “In addition to appointing an Innovation Officer at Google, employees are now asked to divide their time in 3 parts: 70% core business, 20% pursuits related to the core, and 10% far out ideas.” 70% Core 20% Core-related innovation 10% Far out ideas Best Practice:
  • 25. On my wall… What’s on yours ??

Notas do Editor

  1. “One of the world’s first start-ups”
  2. Technology alone won’t be enough
  3. Ux interfaceb2b2c