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Innovation for
Country Transformation

Nitin Kawale
President, Cisco Canada
June 2012




© 2010 Cisco and/or its affiliates. All rights reserved.   Cisco Confidential   1
The time is right – Government recognizes global decline in
innovation as major challenge
– 14th in innovation. 18th in using ICT for business benefit


“PM, Finance and Industry to make innovation a top policy priority in
2012”
– Headline from The Hill Times Online, March 20, 2012



John Chambers says:
“Canada gets it”
“Canada is the #1 country to do business in”



© 2010 Cisco and/or its affiliates. All rights reserved.                Cisco Confidential   2
What can we do
                                                            for Canada


© 2010 Cisco and/or its affiliates. All rights reserved.                    Cisco Confidential   3
"For too long, we as a country depended on a lower dollar, we used it as a
crutch. We've got to get over that, and live with a dollar at par, or close to it, and
find more innovative ways to do things."
- Harry Hall, president, Aberfoyle Metal Treaters Ltd. of Guelph, Ont.




"Canada's recovery is progressing, but it is relying heavily on sweat and
toil, and not on brains and innovation."
- Douglas Porter, Bank of Montreal economist




© 2010 Cisco and/or its affiliates. All rights reserved.                                 Cisco Confidential   4
• Declining productivity means we’re missing opportunities
            Productivity investment per Canadian worker is 60% of US levels
            14th among OECD nations for innovation performance and productivity

• Canada’s capacity for innovation and ability to absorb
      and deploy technology ranked 18th in the world
• Canada labour productivity growth is declining:
            1.9% annual average each year during the 1990s
            0.7% annual average from 2000-2009

• Canada needs 4X current rate of productivity
      and sustain it for 15 years to close to Canada-US gap

                                              A global problem. Other nations are likewise challenged

© 2010 Cisco and/or its affiliates. All rights reserved.                                                Cisco Confidential   5
100%


                                                               Standard of Living Doubles
                                                   5%          in 14 Years
          75%


                                                                           Standard of Living Doubles
          50%
                                                                   3%      in 24 Years

                                                                                            Standard of Living Doubles
          25%
                                                                                    1%      in 72 Years


                         0                                 9      18       27       36      45          54   63               72
                        Source: Net Impact Study                                 Years
© 2010 Cisco and/or its affiliates. All rights reserved.                                                          Cisco Confidential   6
We Need to Innovate
                                                           in Order to Accelerate


© 2010 Cisco and/or its affiliates. All rights reserved.                            Cisco Confidential   7
External sources of ideas and innovation
                                                                       Business partners

                                                                               Customers

                                                                              Consultants

                                                                             Competitors

                                                           Associations, trade shows, etc.

                                                                               Academia

                                                                                         0%   5%   10%   15%   20%   25%   30%   35%   40%


                        Internal sources of ideas and innovation
                                                           Employees (general population)

                                                                    Sales or service units

                                                                             Internal R&D

                                                                                         0%   5%   10%   15%   20%   25%   30%   35%   40%

© 2010 Cisco and/or its affiliates. All rights reserved.                                                                                     Cisco Confidential   8
How                                        Who We      When we work   Where       What tools
                   we work                                     Work With                  we work      we use




                                                           Collaboration is more critical than ever



© 2010 Cisco and/or its affiliates. All rights reserved.                                                   Cisco Confidential   9
• 70% use social media

• Canadians among the busiest users of social media

• LinkedIn has more than 2 million Canadian
     members
• 16 million Canadians on Facebook

• 47% use Twitter

• 58% of Canadians say they have blogged

• 61% of businesses track what’s being said about
     them online

 But business is NOT ready. We want to help
© 2010 Cisco and/or its affiliates. All rights reserved.   Cisco Confidential   10
Our Guiding Principles:
• Impact local innovation & productivity to
      change the trajectory of the nation
• Influence the economic development of the
      unique geographies of Canada
• Elevate our relationships –
      politicians, families, companies, communitie
      s – appeal to their passions for their
      geography
• Become the #1 IT brand in Canada
• Set a bar that no competitor can reach                                        11
© 2010 Cisco and/or its affiliates. All rights reserved.   Cisco Confidential
Governments


                                                                     NGOs                           Universities &
                                                                                                    Innovation Centres


                                                                               Compete on
                                                     Corporate Social                                   R&D
                                                                                a different             Acquisitions
                                                     Responsibility
                                                                                   level

                                                                                                    Employee
                                                           Brand Awareness                          Engagement


                                                                             Partners & Customers

© 2010 Cisco and/or its affiliates. All rights reserved.                                                                 Cisco Confidential   12
Accomplishments:
• Advisor to Federal, Provincial and City Governments
• Nationally recognized thought leaders
• 300 new R&D jobs in Canada facilitated by $25M grant from the Province
      of Ontario – just the start
• Top 3 “Best Company to Work For” in Canada over the last 3 years
• #3 Country in Cisco
• A culture of firsts and innovation (Bigger, Bolder, Faster)
• Employee’s have a higher purpose

© 2010 Cisco and/or its affiliates. All rights reserved.             Cisco Confidential   13
What’s Next for Canada?

• Keep experimenting
• Execute on government MOUs
• “Connected North”
• Reverse Mentoring
• Vertical Rainmakers
• Create a truly “social business”
• Enable the “future of work”


                                                           Our focus on innovation needs to continue
© 2010 Cisco and/or its affiliates. All rights reserved.                                               Cisco Confidential   14
© 2010 Cisco and/or its affiliates. All rights reserved.   Cisco Confidential   15
Thank you.

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Innovation for Country Transformation

  • 1. Innovation for Country Transformation Nitin Kawale President, Cisco Canada June 2012 © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 1
  • 2. The time is right – Government recognizes global decline in innovation as major challenge – 14th in innovation. 18th in using ICT for business benefit “PM, Finance and Industry to make innovation a top policy priority in 2012” – Headline from The Hill Times Online, March 20, 2012 John Chambers says: “Canada gets it” “Canada is the #1 country to do business in” © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 2
  • 3. What can we do for Canada © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 3
  • 4. "For too long, we as a country depended on a lower dollar, we used it as a crutch. We've got to get over that, and live with a dollar at par, or close to it, and find more innovative ways to do things." - Harry Hall, president, Aberfoyle Metal Treaters Ltd. of Guelph, Ont. "Canada's recovery is progressing, but it is relying heavily on sweat and toil, and not on brains and innovation." - Douglas Porter, Bank of Montreal economist © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 4
  • 5. • Declining productivity means we’re missing opportunities Productivity investment per Canadian worker is 60% of US levels 14th among OECD nations for innovation performance and productivity • Canada’s capacity for innovation and ability to absorb and deploy technology ranked 18th in the world • Canada labour productivity growth is declining: 1.9% annual average each year during the 1990s 0.7% annual average from 2000-2009 • Canada needs 4X current rate of productivity and sustain it for 15 years to close to Canada-US gap A global problem. Other nations are likewise challenged © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 5
  • 6. 100% Standard of Living Doubles 5% in 14 Years 75% Standard of Living Doubles 50% 3% in 24 Years Standard of Living Doubles 25% 1% in 72 Years 0 9 18 27 36 45 54 63 72 Source: Net Impact Study Years © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 6
  • 7. We Need to Innovate in Order to Accelerate © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 7
  • 8. External sources of ideas and innovation Business partners Customers Consultants Competitors Associations, trade shows, etc. Academia 0% 5% 10% 15% 20% 25% 30% 35% 40% Internal sources of ideas and innovation Employees (general population) Sales or service units Internal R&D 0% 5% 10% 15% 20% 25% 30% 35% 40% © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 8
  • 9. How Who We When we work Where What tools we work Work With we work we use Collaboration is more critical than ever © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 9
  • 10. • 70% use social media • Canadians among the busiest users of social media • LinkedIn has more than 2 million Canadian members • 16 million Canadians on Facebook • 47% use Twitter • 58% of Canadians say they have blogged • 61% of businesses track what’s being said about them online But business is NOT ready. We want to help © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 10
  • 11. Our Guiding Principles: • Impact local innovation & productivity to change the trajectory of the nation • Influence the economic development of the unique geographies of Canada • Elevate our relationships – politicians, families, companies, communitie s – appeal to their passions for their geography • Become the #1 IT brand in Canada • Set a bar that no competitor can reach 11 © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential
  • 12. Governments NGOs Universities & Innovation Centres Compete on Corporate Social R&D a different Acquisitions Responsibility level Employee Brand Awareness Engagement Partners & Customers © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 12
  • 13. Accomplishments: • Advisor to Federal, Provincial and City Governments • Nationally recognized thought leaders • 300 new R&D jobs in Canada facilitated by $25M grant from the Province of Ontario – just the start • Top 3 “Best Company to Work For” in Canada over the last 3 years • #3 Country in Cisco • A culture of firsts and innovation (Bigger, Bolder, Faster) • Employee’s have a higher purpose © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 13
  • 14. What’s Next for Canada? • Keep experimenting • Execute on government MOUs • “Connected North” • Reverse Mentoring • Vertical Rainmakers • Create a truly “social business” • Enable the “future of work” Our focus on innovation needs to continue © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 14
  • 15. © 2010 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 15