Case Study - 3M

Story -
Questions 3M History
Meeting conducted to discuss
suggestion from SS to develop a Immediate - Improvement
of systems and 1902 - Founded in
new security product for the natural Minnesota
resource industry. processes.
2011 - 65 countries
Short Term - What more operations and products in
Systems and Processes that 200.
supported innovation in India. can be done at 3M India?

Long Term - How to 35 businesses units into 6

In India for India - Plan Discussion. businesses.
entrench 3M innovation
First Product - Protect high end silk culture?
Philosophy of
sarees - Product withdrawn due to decentralization - 300
environment standards but an expats
example of how tech and know how Key
could be accessed. Players Hired local.
Raja Krishnamurthi
Encourage Innovation -
40,000 Patents.
Support for Head R&D - 3M India Encourage initiative with
considerable tolerance.
Innovation Abhijeet Saungikar
Organization structure evolved to 1988 - 3M India (Ashok
VP - Technical
support innovation - Birla and 3M)
Small size of each business or Shashi Shekhar
2002 - Name change to 3M
admin unit. GM Security Systems Division India.
R&D for each unit.
Ajay Nanvati
Organizational roles to support 20 years of growth 3M only
innovation. CEO India
contributed only 1% of
DJ Balaji Rao global revenues.
3M sidestepped benefits of
Chairman
economies of scale for innovation New targets for India
Process
Organizational process that
facilitated innovation.
15% of time developing products
(not core) - grants and then New
Business Ventures.
Norms for team formation - Multi-
Disciplinary Team.
Full time through cycle.
Peer reviews and feedbacks.
Extensive patenting process.
Celebrated Heroes.
Salaries and promotions linked to
successful working of new products.
1 in 2 products a failure however no
downside being a part of that team.
3M India
knowledge sharing for products
across geography.
Value for Money and Localization for
India - Key points.
Products to suit India.
Innovation
Structure - Global matrix structure
to support.
Emphasis on check and balance but
not on control.
Processes - Feel at Home, Induction
Program, training on Business
Conduct Policies and Ethical
Training Program, Global Mentorship
Program, 15% innovation norms.
Entrenching 3M
Innovation Culture
in 3M India
1) India adopted many 3M
Practices like 15% time and dual
ladder career.
Questions?
Would scientists in India become
inventive if given 15%?
Would they be able to exploit the
intrapreneurial opportunities?
How many of them would prefer a
technical ladder to managerial
ladder?

Hire and retain people who think
differently.
Loyalty. Low Turnover. Dual Ladder
career for research, marketing,
engineering.
Rewards - No explicit rewards for Difficulties in innovation culture
innovation. Path Finder Awards, implementation.
Employee of the Quarter.
Can more be done?
People - Hire suitable to culture.
Freedom to implement ideas
without fear.
Diversity in experience.
Informal Culture.