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

4.
Nimble, resilient
and innovative
130years

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

7.
7
GE/General Mills
Outcomes Matter

8.
technology-led
innovation
market-led
innovation
What is innovation at GE?
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

10.
10
X50!

11.
11
GE/General Mills
VALUE &
INNOVATION
Marketing’s Role:

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

17.
17
GE/General Mills
Opening up & collaborating

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.
22
GE Title or job number
3/21/2014
1. Know Who You Are
Strengths
?

21.
2. Know Where You Are
Find the balance.
“Culture eats strategy for lunch”
Internal
Environment
External
Focus

22.
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:

23.
On my wall…
What’s on
yours ??