TRENDSETTERS: Siemens CMO, Tom Haas, Describes How to Navigate Complexity
In the two decades that Tom Haas has spent at the Siemens Corporation, he has seen unprecedented change in the world. With operations in 190 countries, Haas would best characterize Siemens as a "multi-domestic" company. Known for innovation and solutions, the 160 year-old, Munich-based global giant, specializes in electronics and electrical engineering in the energy, healthcare and industrial sectors.
During his 9-year tenure as Chief Marketing Officer, Mr. Haas has experienced how new business complexities, combined with expanded notions of corporate transparency and responsibility, have affected brands.
He shared his thoughts about today's "New Normal," as well as his concerns about what's ahead, at the IAA-New York Chapter's Global Marketing Summit this week. According to Haas, a number of key issues are affecting how we do business around the world:
Urbanization. Half of the world’s population lives in cities, and this will grow to as much as 66% in the near future. Megacities of over 10 million—whether the likes of New York, Mumbai, Shanghai, Sao Paolo or Moscow—will experience both challenges and opportunities in the areas of water, energy, transportation, security and new means of communications.
Climate Change. With the highest CO2 levels in history, this continues to be a pressing issue that requires new thinking about alternative energy and other equipment for power generation.
Demographics. Baby Boomers may be aging as active adults, but all people are living longer. This requires more efficient healthcare—from early detection and treatment to the need for more personalized medical concepts and amalgamated digital records.
Globalization. Haas echoes Thomas Friedman's notion that the "world is flat." He sees this as causing customers to be more competitive, while also requiring that businesses become more efficient in their use of all resources.
New Markets. Although there is much discussion of the importance of the BRIC markets, Tom Haas believes that they as "fast growing," rather than "emerging." He adds, "The BRICS have already emerged and in many cases are becoming trading partners with each other." The next groups to watch are the N-11 and beyond.
Sustainablity. "Green is yesterday's news," says Haas. It is one element of sustainability. The larger issue is whether your process is sustainable and your resources are used wisely. Are you a sustainable supplier? In the aftermath of the Copenhagen Environmental Summit, it is clear that cities and corporations will drive sustainability.
So how should brands now navigate in this global environment?
- A brand must have a social conscience. It must stand for something beyond selling a product.
- A brand must have purpose. It must improve lives and serve people—not a market.
- Think global; act local. This remains true today. It continues to be necessary to build businesses locally while driving a global branding consistency.
- Walk in your customers’s shoes. Get a closer, deeper understanding of what’s important to them—then help them execute it.
- Be good listeners. This also means having a dialogue with customers.
- Be a genuine partner.
- Be an authentic brand. A brand people can trust.
- Emphasize compliance and ethics. Respond quickly when problems arise.
- For a brand to grow, it requires continuous improvement, innovation, new ways of doing things and constant monitoring .
