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Knowledge-Intensive
Growth at DuPont
By
Robert Cooper, Planning Director,
Knowledge Intensive University, DuPont
 DuPont’s
new leadership development program is intended to assist the company’s
goal of sharply enhancing earnings growth and reducing capital intensity.
In mid-1999, we faced three challenges for jump-starting our
growth:
1) Because of our intense
focus on productivity in recent years, we had not built a strong culture
of growth.
2 ) To foster
productivity and execution broadly, we had introduced a formal program –
“Six Sigma” – but we had no comparable program for fostering growth.
3) We were asking our
divisions to change fundamentally their business models and methods of
doing business, but we had not yet provided them with the models and tools
for doing so.
We
therefore launched a program for “knowledge intensive” growth to drive
value creation through a basic knowledge of our customers, markets, and
intellectual property. We are
transitioning from our traditional product-centric business model to a
customer-centric model in order to promote top-line driven earnings growth
and reduce our historically high capital intensity.
Our approach was
first to identify a process for driving growth with a proven record, and
then to create a management “experience” for kick-starting that
process.
For
driving growth, we have adopted McKinsey and Co.’s “hypothesis driven
strategy process,” and for driving the program we have created the
Knowledge Intensity University (KIU).
The latter is a partnership with McKinsey and the Wharton School,
and it is intended to foster a sense of passion and energy for the growth
initiative.
We have built two
KIU programs. One is for the
top management of product divisions and global businesses.
This program helps our most senior people develop an understanding
of how to establish the best places to grow; the importance of creating a
sense of urgency; and how to allocate resources among the business teams
that must execute the agenda. The
second program is for the business teams themselves.
That program is intended to help our business teams identify, test,
and implement their best
“growth engines.”
Both programs are
intensive, often running 18 hours per day.
McKinsey consultants, drawing on their practical experience with
growth companies, work with DuPont’s internal consultants to orchestrate
and lead the week-long learning events.
Wharton faculty, building on their research experience with growth
companies, structure classroom discussions of strategic alliances,
e-business, change leadership, and related topics.
We are also extending our programs internationally, with a group of
top DuPont managers in Latin America coming together for a week in Brazil.
To build and sustain
the programs, we consulted with DuPont’s chief executive and other key
leaders. We have also
consulted frequently with DuPont’s senior officers for new technology
and e-business, and we have even briefed the company board.
Since their
inception in late 1999, the programs of the Knowledge Intensive University
have created a number of growth initiatives at Dupont and the beginnings
of a company-wide culture that celebrates growth.
Note:
Robert Cooper is Planning
Director, Knowledge Intensive University, Corporate Plans, Dupont
Corporation, and he can be reached at <robert.a.cooper@usa.dupont.com>. |
