Is the Oreo cookie a thriving brand?

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Sales approaching 4 billion dollars annually, and the smiles that break across faces when offered an Oreo product, would suggest so.

A Systematic Approach to Innovation

When Jean Spence, former EVP of R&D at Kraft and Mondelez, maker of Oreo products, learned the Third Angle Way of Thriving Method™, it resonated with her deeply, and she remarked that we had made what great leaders and innovators do explicit and systematic. It described the way Jean and her team worked to bring to market various versions of Oreo Cookie Crumbs.  What’s more, the product idea emerged from what many inside the company saw as a manufacturing problem.

Turning Problems into Opportunities

The story in brief: The volume of breakage as Oreos went through the manufacturing process caused consternation for leaders inside Kraft. Think of all the waste and cost. They came to Jean to get R&D’s help in fixing the problem, and also with ideas that included reworking the manufacturing process and machinery and changing the recipe of the cookie so they were less prone to breakage. Jean knew changing the recipe was a non-starter. But before jumping into an overhaul of the process, Jean and her team looked at the situation and asked if there was any possible value in the broken cookies. 

Innovative Thinking: Learning from Other Industries

One of Jean’s team members, a person who had a knack for learning from analogy and transferring principles from one industry to another recognized the similarities to a story he had heard from concrete engineers who came up with a way to reuse pieces of concrete that fell to the side during the process of pouring. Jean and her team, and colleagues from marketing, combined that know-how with data from the market that suggested fast food chains and other places that had begun to offer items with Oreos mixed in would provide a great first target market for the pieces. They set the new line extension into motion, and today even you and I can buy bags of Oreo Cookie Crumbs and other variations, to go into our ice cream, cakes, and other desserts. 

The Third Angle Way of Thriving Method™

This story aligns with the three parts of the Third Angle Way of Thriving Method™: the Way of Seeing, the Way of Weaving, and the Way of Embodying. 

I’ll provide a deeper dive into each of the three ways in my next three blogs, but let this one introduce you to the highlights.

The Way of Seeing: Spotting Opportunities

The key word for the Way of Seeing is more – seeing beyond the immediate problem to find new opportunities. Strategies like asking a good framing question and knowing what is at the core of the value your customers/consumers/colleagues value is key. Jean’s team did this by seeing value in the broken cookies rather than just waste.

The Way of Weaving: Connecting Ideas

The key word for the Way of Weaving is connect. You can come up with great ideas all day long, but to make them work, you need to connect them with needs, practices, and value already occurring in the external market and the internal market (the company’s mindset, business model, operations, and culture) In this case, repurposing broken cookies was simpler and more effective than revamping the manufacturing process. It connected R&D, manufacturing, marketing, sales, customers (and us!) to create a win for everyone.

The Way of Embodying: Leading by Example

The key phrase for the Way of Embodying is show em. Innovation and collaboration involve modeling learning and teaching. Highlighting the value of established icons, like the Oreo cookie, makes new products desirable. Reminding people of the value of icons (e.g., the Oreo cookie) and things affiliated with it makes something new not only acceptable but desirable. Measuring success along the way, and giving the new thing time to grow, is important.. Oreo Cookie Crumbs started with sales to fast food chains and are now available to consumers, demonstrating the power of this approach.

By embracing these methods, leaders and innovators can continue to thrive and ask, "What’s next?"

Conclusion

The Oreo cookie, with its innovative variations, exemplifies a thriving brand. Jean Spence's application of the Third Angle Way of Thriving Method™ has been instrumental in turning manufacturing challenges into opportunities for growth. By embracing a broader perspective, connecting ideas with market needs, and leading by example, the Oreo team has continually expanded the brand's success.

Stay tuned for a deeper dive into each of these three methods—The Way of Seeing, The Way of Weaving, and The Way of Embodying—as I explore how they can be applied to drive innovation and growth in any industry.

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