OUR JOURNEY TOWARDS BUSINESS CREATION CAPABILITIES – ROLE OF TALENT AND TRAINING @FrankHatzack

Business Innovation

Sept262013

CAUTION!THE HISTORIAN IS HIGHLY BIASED!

HIS SOURCES

-MEMORIES (!)

-LUNA, dozens of slidedecksquoted ‘as is’

-INTERVIEWS

EBIT 24.4%6100 employees worldwide

2 bn USD

OUR JOURNEY TOWARDS BUSINESS CREATION CAPABILITIES 2005 - 2013

<Insert title in View -> Header and Footer> • 13-04-2023

Slide No. 7

Deliver performance through

innovation and partnerships

Gear the organisation for growth

Maximise benefits of being global

Ensure capacity and resources

for growth opportunitie

s

Build new buisn

ess in pharm

a

and pharmarelated areas

Ensure support to our use of biotech

Excellence in execution

Branding the broader scope

Build new business in new industries

Radically change our

enzyme project

portfolio

Enhance ca

pabilities

for radica

l innovatio

n

Su

stain

able

gro

wth

10 in 10

EXTERNALCHALLENGES

EXTERNALSUPPORTS

2005 AMBITION

10-in-10

2005: ASSESSING NEEDS & READINESS

AXEL ROSENØ

2005: NEW BUSINESS DEVELOPMENT CREATED – CLEAR MISSION, CLEAR KPI’S

NBD PORTFOLIO: ABOUT 20% OF PROJECTS ARE STILL ONGOING AND SOME HAVE BECOME STRATEGIC GROWTH PLATFORMS

2006: BUILDING TEAM COMPETENCIES IN NBD

2006: BUILDING TEAM COMPETENCIES IN NBD

PROCESS & TOOLS

NBD PROJECTHANDBOOK2008

ONE LANGUAGE OF INNOVATION= GREAT ASSET!

Market

Technology

Resources

Organization

Learning about market drivers, value creation and business viability

Definition

How should NZ position itself the value chain?

Who are NZ’s direct competitors?

Examples

Understanding technology drivers, value and economic feasibility as well as the IPR situation

Is the enzyme as stable as needed?

Do we have room to manoeuvre from an IPR perspective

Accessing funding, people and organizational competencies (internal/external)

Do we have the capabilities needed?

Is a partnership the best approach?

Gaining and maintaining organizational legitimacy as well as regulatory compliance

Does the new business fit with current NZ strategy?

What are the regulatory blockers?

Categories

Note: The category selection is based on a study by Radical Innovation Group

ONE LANGUAGE OF INNOVATION

Market

Technology

Resources

Organization

Learning about market drivers, value creation and business viability

Definition

How should NZ position itself the value chain?

Who are NZ’s direct competitors?

Examples

Understanding technology drivers, value and economic feasibility as well as the IPR situation

Is the enzyme as stable as needed?

Do we have room to manoeuvre from an IPR perspective

Accessing funding, people and organizational competencies (internal/external)

Do we have the capabilities needed?

Is a partnership the best approach?

Gaining and maintaining organizational legitimacy as well as regulatory compliance

Does the new business fit with current NZ strategy?

What are the regulatory blockers?

Categories

Note: The category selection is based on a study by Radical Innovation Group

TOWER OF BABEL ANALOGYNo common language-> No progress

ORGANIZATIONAL CHANGE! – KEEP TRUE NORTH!

2005 - 2009 2009 - 2013 2013 - …10-in-10 ambition Divisionalisation New CEO

New unified structureradical innnovation capabilities

buildingEnzymeBusiness

BioBusiness

CONTINOUS MATURATION OF A FAIRLY CONSTANT GROWTH BET PORTFOLIO

TIME

DISCONTINUITY: RELATIVELY FAST PACE OF ORGANIZATIONAL CHANGE

IMPACTS FOCUS, DIRECTION, MAKE-UP OF BI-DEPARTMENTS

2005 - 2009 2009 - 2013 2013 - …10-in-10 ambition Divisionalisation New CEO

New unified structureradical innnovation capabilities

buildingEnzymeBusiness

BioBusiness

CONTINOUS MATURATION OF A FAIRLY CONSTANT GROWTH BET PORTFOLIO

TIME

RELATIVELY FAST PACE OF ORGANIZATIONAL CHANGE

IMPACTS FOCUS, DIRECTION, MAKE-UP OF BI-DEPARTMENTS

Business Creation

BioAg

Animal H&N

Biomass Conversion

Biopharma

Household Care

Food & Bev.

Biofuel

Technical Industries

Growth Platforms Operational ‘BU’s

= roots in NBD / BDA

2005 – 2012: DISCOVERY & INCUBATION

2013 and onwards: ACELLERATION

MINDSET CHANGES

BACK THEN

DOES IT ALWAYS HAVE TO BE MOON ROCKETS?

BACK THEN

DOES IT ALWAYS HAVE TO BE MOON ROCKETS?

DOES IT ALWAYS HAVE TO BE MOON ROCKETS?

TODAY

”He who wants to climb the mountain must take the first step.”

FOSTERING TALENT BY ENGAGEMENT

DREAM DARE DO (2007, 2008)

Five teams competing:BioDiet (DK): China Persistence (CN): UK OK (UK): Novo Style (NC): Wild Cards (US, CH, DK):

Playground for intrapreneurs

Networking across organization

and sites

Innovative thinkingLearning plans

Potential new business ideas

Exposure to ExM and NZ

Show ExM as risk willingFinal

August 25th

Winner of DDD 2008

DOUBLE CONTENT HOLDER 2Edit: Click on the icons in Content Holder to insert, tables, charts, smart art, pictures, clipart and movies. Or add simple text.

RIC Team

RIC Core

Scoped

Idea

Idea

Report

Summary

Recommendations

Findings

recruit

mid-term

Assessm

ent

Line of Business

Sponsor

kick-off

final

& support transferto NLor partner

AnchorCOACH

MarketTechnologyOrganizationResources

RIC - RADICAL INNOVATION CATALYSTSVOLUNTEER DRIVEN INNOVATION 2008 - 2012

Typical composition1 bus dev2 scientists1 other

RIC – NEW LEAD HIT RATE

NBD/BDA ROLE IN FORGING TODAY’S LEADERS

THE ‘TALENT FORGE’

New Business Development Business Dev. & Acquisitions

THE ‘TALENT FORGE’

New Business Development Business Dev. & Acquisitions

DEVELOPING PEOPLE IS A CULTURE – NOT A SYSTEM

1. Invest in one language of innovation and spread it

2. Quantitative goals and metrics ensure legitimacy

3. Think staircases not moon rockets

4. Balance ‘radical’ & ‘adjacent’, focus on synergies

5. Don’t overengineer your processes and tools

6. Maintain organizational memory because organizational change outpaces development timelines

7. Investing in New Biz Creation = Investing In People

7 TAKE AWAYS

THANKS