The business against case revolution. An interview with Nestlé's Peter Brabeck. Interview by Sue Wetlaufer.
One of the world's most enduring companies, Nestle epitomizes everything that today's high-flying, headline-grabbing companies are not. It respects technology but doesn't consider it central to strategy. It values growth but prefers it controlled. It seeks talented professionals but wants only those who are modest in word and deed. Nestle CEO Peter Brabeck is skeptical of the relentless push for radical transformation heard from every quarter. He believes, instead, in continuous improvement through slow and steady change. Big, dramatic change is fine for a crisis, Brabeck says, but not every company is in crisis all the time. Many companies are like Nestle--performing well, growing and innovating, without frenzy, without bloodshed. While he acknowledges that every company must change in order to compete in today's turbulent marketplace, Brabeck makes the focus of his work identifying and strengthening those aspects of Nestle that should stay the same. For example, Nestle eschews the noise and energy swirling around technology. Many companies make technology the focal point of strategy, Brabeck says, but Nestle is about people, products, and brands. The company uses technology to create better products but keeps it in its right place--the background. Brabeck also talks candidly about how to fight complacency in a successful company, how to institutionalize collaboration in a decentralized organization, and how to resist pressure from analysts and money managers and focus on long-term, sustainable and profitable growth--in short, how to win the war without the revolution.
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D003132:Commerce / Q000191:economics / Q000458:organization & administration*; D015279:Organizational Culture; D009936:Organizational Innovation; D011357:Product Line Management; D013557:Switzerland; D013672:Technology; D017749:Total Quality Management