Danone - Key Issues Essay

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Dax Foley – 10520701
Groupe Danone is a world leader in the production of diary products being one of the largest dairy food and water produces in the world. With 90,000 employees in 120 countries of the world the company is very much knowledge-intensive and innovation-driven. Growing to become one of the most successful food and beverage companies in the world has not been without its challenges, primarily for Danone this has been successful knowledge management through all levels of the business. Danone’s success lies in the company’s innovativeness when it comes to new and creative ways of transferring knowledge throughout the company coupled with a clear strategy for future growth. Frank
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Employees did not take well to a formalised structure of routines on how to perform their tasks, and as a result the program proved difficult to implement. This system had been trialled and proven in numerous other multi-national firms, however it was not the best way for Danone to operate. Danone employees did not use portals to share information and felt most comfortable talking to each other. “Systems and processes slowed down the business” (Edmondson et al, 2008 p.8) Each company has its own culture, consisting of shared beliefs, values, ideologies and norms, that is shaped around the company’s strategy, structure and internal and external environments (Soo, 2008). It is critical for management to understand the company’s culture in order to successfully develop a system of knowledge sharing, especially in a company that operates in 120 different countries.
It was vital for Danone to develop a framework through which the sharing of knowledge was enjoyed and beneficial to the company’s long term growth prospects. Sharing knowledge is ever so important in the increasingly competitive environment that multinational firms operate in. These days it is common for employees to change jobs and work for new companies in search of new and exciting projects. The top level staff at Danone will not be around for ever, thus it is vital for them to share the knowledge they have gained from working in the industry with their colleagues. Without a sufficient knowledge
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