Keeping an Open Mind
Because innovation has been a core component of Kellogg Company's business strategy since its inception, CGTrelished the opportunity to interview Silvia Uribe-Saucedo, who works in Research, Quality and Technology as part of the Technology Pipeline Group of Kellogg Company.
This group actively works on identifying, evaluating and adopting the implementation of new or improved tools, processes, guidelines and industry best practices to bring into the company. Uribe-Saucedo also works on identifying novel technology ingredients and potential partners for collaborations, joint development, etc.
In the Q&A that follows, Uribe- Saucedo details Kellogg's approach to open innovation and how NineSigma has helped to enrich that process.
What role does innovation play at Kellogg Company?
URIBE-SAUCEDO: Kellogg Company has a long history of developing innovative products, some of which represent entirely new concepts or categories, such as Corn Flakes, Pop- Tarts and Nutri-Grain bars. In 2006, 17 percent of our sales came from new product innovations launched in the last three years.
URIBE-SAUCEDO: Kellogg Company has a long history of developing innovative products, some of which represent entirely new concepts or categories, such as Corn Flakes, Pop- Tarts and Nutri-Grain bars. In 2006, 17 percent of our sales came from new product innovations launched in the last three years.
As employees of Kellogg, we're all vested in nurturing innovation. It takes commitment and focus from all functions within our company --from sales and marketing to manufacturing and logistics. Our primary focus is our food --- it has to taste great and deliver against consumer expectations.
We also recently announced the expansion of our W.K. Kellogg Institute for Food and Nutrition Research (WKKI) in order to continue to meet business needs and to achieve continued growth. The expansion further demonstrates our company's commitment to innovation.
Why did Kellogg pursue an open innovation strategy?
URIBE-SAUCEDO: We looked to an open innovation strategy for two reasons. First, our focus on innovation has increased. Second, it made sense to formalize and improve our efficiency in using external resources. We're always using and applying research and technology generated outside the company to help ideate and develop products to meet our consumer needs. An open innovation strategy allows us to do this in a more efficient and resourceful manner.
URIBE-SAUCEDO: We looked to an open innovation strategy for two reasons. First, our focus on innovation has increased. Second, it made sense to formalize and improve our efficiency in using external resources. We're always using and applying research and technology generated outside the company to help ideate and develop products to meet our consumer needs. An open innovation strategy allows us to do this in a more efficient and resourceful manner.
A partnership with NineSigma became a key part of Kellogg's open innovation strategy in 2006. Can you provide some examples of success?
URIBE-SAUCEDO: In working with NineSigma, we began work to modify some of our processes and policies in several areas, such as the intellectual assets management processes and procedures as well as risk management and tolerance to risk.
URIBE-SAUCEDO: In working with NineSigma, we began work to modify some of our processes and policies in several areas, such as the intellectual assets management processes and procedures as well as risk management and tolerance to risk.
We've had success in several areas, including expanding our network of research and technology providers and finding solutions to specific technological problems in areas where our expertise may be limited or in adjacent technology areas.
What are next steps for Kellogg in the area of product and process innovation?
URIBE-SAUCEDO: Innovation is our lifeblood, and the only thing we expect to change about how Kellogg innovates is that we'll keep learning how to do it even better.
URIBE-SAUCEDO: Innovation is our lifeblood, and the only thing we expect to change about how Kellogg innovates is that we'll keep learning how to do it even better.
We plan to continue to grow our existing brands, while also exploring strategic growth with new product offerings. CG