FMP Conference

Trevor Routledge

Global Real Estate Leader – Mondelez International15th October 2015

What does Property do for your Business?

• Understanding current and future business needs

• Optimising the role of property to meet objectives

• Implementing an effective real estate strategy

Who is Mondelez International?• Oreo• Belvita• Chips Ahoy• Cadbury• Milka• Toblerone• Trident• Halls

• 100,000 employees• Supplying 165 countries• No 1 in biscuits, chocolate

and candy• No 2 in gum

Narrow Dog to Carcassonne – Terry Darlington

To prevail in life:• psychological preparation is required• a winner’s attitude• new ideas• a goodnight’s sleep• the right materials• delicacy of touch• rest periods• cleanliness• scrupulous attention to detail

Spice Girls – simplified things

• 1996• Wannabe

– Tell me what you want, what you really, really want– I’ll tell you what I want what I really, really want

Question 1• Is there a shared understanding in your company of what

you do?• Are you happy with the implications of that

understanding?• How many would you describe yourself:

– Captain of the ship?– Conductor?– Handy man?– Air traffic controller?

For me making a difference – that lasts

Recognised improvement:• Quantitative• Qualitative

Proud of:• Success• Achievement

Real Estate Journey• A train journey

– Foreign country– Not know destination– People get in– Some speak your

language, some don’t– Some you talk to, some

don’t– People get out– The train keeps going– Eventually you get out but

the train goes on

Nobody has all the answers

Johann Wolfgang von Goethe Tip - Things which matter most must never be at the mercy of things which matter least

What matters most?• On training courses we discuss:

– Urgent – Important– Priorities– Goals

• Goethe 200 years ago said things which were most important should not be at the mercy of things that are less important

• Work, relationships, life generally – things deteriorate when long-term we get this principle wrong

• There is a Goethe society in UK – run from Glasgow!

Have Confidence in your Contribution

We usually have more power than we think!

Everybody else new you ever meet, and this continues throughout life, is stronger than you are, knows the systems better and sees right through to the back of your brain and finds what they see there to be wholly inadequate….

Go Prospecting• Assets• Liabilities• Opportunities• Risks• Chance meetings• Share ideas• Be open to ideas• Off the wall & grounded

HomeworkThink of people you have met:• First impressions• Warmed to• Relationships matured• ‘Chance meetings have changed your life’

– We meet everyone for the first time, – Spot an opportunity – Things change

Question – • Is my prospecting up to scratch? • What may I may have missed?

Alignment

People Purpose

Timing

Mission IGoals IStrategies IOutcomes IValues

Thinking about ‘how to align’• People

– Seats at the table– Multi-disciplinary – Reviews:

• Timing– M&A – being part of the plan– Integration – refining the plan– Business change - keeps you

there

Big Break 1 – ‘Implement strategy’

European Beverages got on ‘the train’ Tasked with:• Acquiring:

– Orangina– La Casera

• Integration

• Opportunity:– Day to day– Future planning– Strategy– Acquisition & disposal

• Relationships:– Supply chain– Finance and Legal– Environment– Risk– M&A team

Vision - Paris MetroWe: • Had a dream of being ‘air traffic

controllers’ for property• Agonised over what this meant

and the words• Created a new vocabulary:

– Core – Hold – Exit

• Through collaboration we designated all our biggest sites as ‘core’ or ‘exit’

• Created a plan supported by policy and process

Big Break 2 – ‘Understand business needs’

CEEMEA leadership team joined the train:

• $100m+ from property in 3 years

• Access to leadership

• Alignment of purpose, people and timing

• Country support

• Result -$134m in a year

Real Estate were on the team:

• Smashed the target

• Tidied up the database

• Set up regular meetings and strategic reviews

A virtuous circle:

• Developing Markets Leader:– APAC and Latin America

• Celebrate:– Friendship and new advocate

– 4 of 5 regions using the same principles

• Closer collaboration:

Big Break 3 – ‘Optimise the role of property’

Reporting to Enterprise Business Services:

• A hunger for:– Repetitive process– Non-core departments– ‘Randomers’

• A desire to introduce:– Controls– Process– Governance

• Mandate to implement RE/FM reform:– Brought RE&FM together– Centrally led, locally delivered– Consistent global approach

Results I xxxxxx I Strategy I xxxxxx I xxxxxx I Metrics I People

What is possible?

Delivering a plan Chinese Style!

Doing it

Done

My Tips Results I xxxxxx I Strategy I xxxxxx I xxxxxx I Metrics I PeopleMission

IGoals IStrategies IOutcomes IValues

Tick the ones property can best do for your Business today:

• Understand the current and future business needs

• Optimise the role of property to meet objectives

• Implement an effective real estate strategy

Keep moving forward

High

Lonely

Steep

Stunning

Fun