Innovation Management Study at Havaiannas.pptx
Management at Havaianas
smu ri- e ----Shehzeen
Diego Mendes Varun
Sandipan F i n a n
0 1 .
Company C o n text
Leadership and Strategy
2. Innovation Man ag emen t
3. Innovation Breakthroughs Results
, F in a l Wo rd s on H avaianas
9 I n n o v a t i o n
• Havaianas Today
Company Context 14
( History )
' 7 2 0 0 6.
Espaco Havaianas Store :First store in Brazil
2 0 0 8 w i t h complete range of Havaianas products
International Expansion III: more in Europe: Madrid, Ole
International Expansion II :Havaianas Introduced in US
Havaianas Slim targeting female segment
Havalanas H.Stern featured 18 karat gold & diamondlewelry flip flop"
' 7 2000
International Expansion I :Hawaii, Australia, France
1 9 9 7 H a v a i a n a s Brazil featured Brazilian flag to celebrate World Cup
1 9 9 4 C r e a t i o n of Havaianas Baby
Havaianas Top - Havaianas begain to offer more choices and more colors
The birth of Havaianas
- Design inspired by Japanese Sandal Zori d u e to the trend that turned the original Havaianas upside down
•Leadership & S trategy
Innovation is singied out and deeply embedded in the Vision and Values of the leadership team.
Alpargatas' Mission, holder of the Havaianas brand:
'Develop and commercialize i n n o vat i ve products of high perceived value, with quality
and rentability, world dass and value creation for its shareholders, employees,
p Its 5 Values
alliks, I n n o v a t i o n , Consumer satisfaction, Respect f or people, and Commitment.
Leadership team at Havaianas is hands an with innovation and acting as the catalyst
to the creation of innovation-friendly environment.
Listen, Support, Inspire, Empower
• Senior Leadership Team at Havaianas manages the Research and Development team, who
is directly responsible for all the innovation work.
• SLI also manages the Portfolio and Pipeline management processes
• The most critical contribution of Leadership to the innovation at Havaianas is the creation
of a liberated innovation-friendly environment, where employees and partner across the
company's value chain are given the license to innovatel
0t 1e i l d
By innovating in an explored space and always surprising the consumers with its
breakthroughs in innovation, Havaianas is clearly a Pathfinder.
Evolution of Innovation Strategy at Havalanas
• Constant Product Innovation:
• 1 Product Line
• Value Prop:
"Good, Cheap Product"
Add more calorful
only in south America to over 80
• Partnership:Swaroski, H.Stern,Gap,
• 4 Pillar of international
• Revolutionarv Communication:
using tv ads, ans._
Shift from Product focus to User focus:
Oscar, Celebrities, Fashion Show, Vogue,
Artist, Virtual Store...
( i st Wave r a 1994 ) ( 2 n d Wave
• Internationalization: from
Havainas Floral, Top, Fashion, Kid, Slim,
Baby, Surf, Brazil...
• People: internal team&distributor
• Press&PR Coverage
Heavy Investment in Research and Development Team and High Involvement from Leadership Team
Jet teed tiq
Havaianas has an extremely high innovation capability due to its unusually open
approach to ideas and its dynamic ideas management System.
Process & System:
•Ideation: there are usually 3 main sources of innovation ideas at Havaianas:
+R&D Team: travel around the giobe researching, studying, and collecting societal and fashion trends
+Partners: constant communication is established for collecting ideas from suppliers or distributors...
+Employees: Thousands of employees are involved in the ideation process every year.
+ A t Havaianas, thousands of ideas for new designstproducts normally presented at the beginning
+As the ideas move through the pipeline they are focused more and more on trends in line with what
discovered by Havaianas R and D
wiideas that align with the strategy will last longer through the pipeline
+As final concepts mature, initial plans for product launch and full Implementation begins
Its unique core competences leveraged by its strategic partnership and supported by
the liberated organizational structure forester endless Innovation.
Resource and Competencies:
• Superior brand management: pricing, positioning, PR
• Distinctive Product Quality: well-kept secrete of rubber recipe
• Innovation-embedded cultures and team
• Access to a broad range of networks: fashion, celebrity, designers
• Brand Association: Swaroski, H.Stern, Oscar, Social Responsibility: IPE
• High-end, well reputed designers
Organization & Structure:
• Havaianas uses an open structure and share key innovation platform with its key
eartners, esecially in the areas that of expertises
3 V / i t h high trvel of interaction with and under direct supervision of the
Leadership Team, R&D team, which is officially responsible for Innovation at
Havaianas, is liberated to act quickly and enjoy full support
•1• N 1
Surprisingly, th e cul ture th at support
1 . 9I nnovati on Discipline at Havai anas is not
about restriction, b u t it is about rem aining stri ctl y open to n ew ideas!
• Open: No idea is a bad idea. Suggestions are always welcome. People have the gift of being wise,
and Havaianas is weicoming of using that glt.
• Growth: The compary wants to grow. The divisions wart to grow. Every person wants to grow.
Growth is a theme that walks across the company.
• Surprising Unusuai Combination: surprising products from an unusual combination of colors or
functionality. The unusually effective Havaianas Team do not usually have too much in common.
"Innovation is our cukures
Ms. Carla Schmitzberger,
Director of Sandals Business Strategy.
5 Values : Ethics, Innovation, Consumer satisfaction, Respect for people, and Commitment
Innovation: Foreseeing the trends and application of technologies on people management, pmcesses,
products, and sentices, focusing on modernity, creating high competitiveness and gaining market sharef
• / b: •
•• l i r ;
At H a v a ia na s , b o t h i n n o v a t i o n ' s input s a n d o u t p u t s a r e e qua lly i m p o r t a n t a n d
s tr ic tly m o n i t o r e d .
Innovation Metries at Havaianas•
• How much $ is invested in the Innovation process each year
• How many employees are involved directly involved in the innovation,
research and development teams
• Return on Investment Calculations
• Number of new products develooed and imolemented
(-) Threshold (+)
• Havaanas Doormat
• Havaianas Oscar
• Havaianas Swaroski
• Havaianas Marketing Campagns
Innovation Premium )
• The Company to Invest in
• A Great Place to Work
•The Brand to Buy
• The Partner of Choice
Myth or Truth?
Strong share price C o m p a n y of the year W o r l d Best Flip-f op Pa r tn e r s h i p with world brands
Havaianas Doormat )
1 y refl ect i ts ability to thi nk com pl etel y out
The l atest innovation from Havai ana trul
of the box.
Breakthrough Results* t e i l t
Oscar & Swarovski
The paradox positioning has been key to Havai anas success in th e recent years.
a l L
e i n
,vieäN#sku P AV E
Havai anas Campaign are general l y viral in nature.
•)1 ( 4 : • • 1 1 (
Discipline will be key to conti nue Havai anas success.
Final Words on Havaianas Innovation
•Stick to the cores: comfort, simplicity, fashion, vibrancy, fun,
outdoor, universality...and the Brazilianness!
•Develop new field of plays compati bl e with the cores:
Clothing? Surfing? Ou td o o r Sport?...
•Keep close look at new niches, but n o t get di stracted
"PechPlatinum" with crocodile flip-flops,"sports flip-flops,
"the most expensive f l i p
t h heel".
w o r l d "
Dana Marcu — Sales and Merchandise Manager for Havaianas in the Middle East
Agnes Varboki — Operations Manager for Havaianas in the Middie East
Carla Schmitzberger - Director of Sandals Operations for Corporate HQ in Brazil
http://www.alpargatas.combri - Annual Report
www.havalanas.corn.br—History and Marketing
http://www.skywalkencom.briartigosicorpo.php?id=41 — Strategy for success
http://www.terra.contbrilstoedinheiro/460/negoclosiesquadroes nacionals.htm VVhy is Havaianas Successful?
http://colunas.epocanegocios.globo.comibloglider/2008/091 - New Product Launches