IMPROVING IP ORGANIZATION AND GOVERNANCE
IN A FAST-MOVING CONSUMER GOODS COMPANY
The client is a global, technology-intensive consumer goods company with >EUR 10 billion in yearly sales, >EUR 100 million in yearly R&D spend and >1 500 patent families. The client has a long history of value creating IP work but was suffering from a costly IP portfolio and fragmented use of IP without clear links to business priorities. As an effect of a re-organization, previous IP decision structures and groups had been organizationally disturbed. Due to the increasing importance of IP for the business, the client initiated a project together with Konsert Strategy & IP to increase the strength of the company's IP position and to ensure that the company fully can deliver to business strategies.
Konsert Strategy & IP helped the client to analyze the current state of the company’s IP management using our operating model framework for business-driven IP management and conducted a tailored benchmark study of IP management best practices with selected reference companies. Based on the insights gained, prioritized areas for improvement where identified covering strategy, governance, organization and processes. Together with the client, Konsert Strategy & IP designed the to-be state, set ambition levels for each improvement area and defined a concrete action plan for implementation.
Based on the analysis a strategic change program was set up to establish a new business-driven IP organization with effective cross-functional decision-making and reporting to top management. The change program also updated governance structures and operational frameworks ensuring cost-effective and transparent IP work flows and processes, including business strategy-aligned IP portfolio planning and maintenance.
The client’s IP management is now directly supporting the competitiveness of the company based on systematic use of the IP in line with strategic business objectives. This has had direct effects on the company’s product profitability, bargaining power in negotiations and IP licensing income. It has also decreased sourcing costs and lowered the IP spend as well as IP-related risk.