Leveraging Global Networks

Luis Garza

Copyright © 2014 CEMEX Research Group AG

CEMEX produces, distribute, and sell cement, ready-mix concrete, aggregates, and related building materials in more than 50 countries

CEMEX is a global building materials company that provides high quality products and reliable service to customers and communities around the world

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Delivering Building Solutions

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The Challenges

Recession Stabilization Recovery

201320122011201020092008 Mid-term…2014

• Operation in more than 50 countries

• Growth through acquisitions

• Expertise spread out worldwide

• Downturn in construction

• Be a truly globally integrated company

• Prepare for growth during recovery

• Leverage global knowledge

• Look for new products and services

From To

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Our Bet on Innovation

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The Global Networks Model

CooperationGovernance

Knowledge

Set strategic priorities that move the needle and

accountability for targets

Seek and provide support to achieve

targets

Codify best practicesto facilitate replication

People

Manage talent to develop expertise

and promote sharing

CooperationStrategy

Knowledge

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Global Networks Evolution

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Networks Manifesto

They are are about:

Extracting value of a global company

Creating a culture of knowledge sharing and innovation

Being simple and smart

They are NOT:

x A new matrix structure

x Changing accountability

x About bureaucracy

It is a change on the operating model, to...

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Six Global Networks

Aggregates Network

Cement Operations Network

Ready Mix Network

Cement Commercial Network

Logistics Network

Grow the Pie Network

Cooperation

Fun

ctio

nal

Net

wo

rks

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How do the networks work?

• Global Coordination• Policy Making

New Elements

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Deliverables from the Networks

Knowledge

KnowledgeRepository

ToolkitDevelopment

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Platforms to Collaborate

I want to provide input?

We want to share

deliverables?

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CEMEXpedia Vision

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Continuous Adoption CampaignsNew Features On-going Tips Network Challenges

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Networks Business Results

Initial Results

• Leader in alternative fuels substitution

• From 5-7% in 2005 to 25-27% today

Recent Results

• Use of innovative channels like Serious Games

• Incorporated as the business as usual and integrated into another network

Alternative Fuels

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Networks Business Results

Initial Results

Introduced the first global brands

Reduced time to market in one third

Recent Results

Shared a global KPI to find market opportunities

Increased sales of value added products from 8.5% in 2006 to 33% 2013

Value Added Products

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Networks Business Results

New Results

• Recent network aimed to create new products and services

• New Pavements and Housing Solutions, over 300 paving projects in the past year

Pavements Solutions

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Collaboration Tools Roadmap

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Lessons Learned

• Keep tools out of the conversation• Use simple success stories as references• Link communuities to business metrics• Leaders need to promote by example• Keep communication flowing• Give visibility of what is coming

Copyright © 2014 CEMEX Research Group AG

What Lies Ahead

Six Global Networks to prove business results

New common tracks and networks under

evaluation

Leader roles and members to be

rotated

Upgrade technology

platform

Improve mobile and external access to

communities

Consolidate CXpedia

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Thank You

Luis Garza@lc_garza

Innovation ManagerCEMEX

Mexico - Switzerland

luiscarlos.garza@cemex.comhttp://shiftevolution.cemexlabs.com

http://www.cemex.com

Copyright © 2014 CEMEX Research Group AG