“We need to take everybody on this journey”

How L’Oréal Australia is harnessing data analytics to transform its entire business – one team member at a time.

“The course manages to convey two years of content in a single year.”

Last November, a dozen of L’Oréal Australia’s top executives spent two days immersed in Melbourne Business School’s Data for Decision Makers program, kicking off the company’s wide-scale data analytics transformation. But the C-suite was just the beginning. By July, 60 L’Oréal leaders had completed the program, with more to come. “Ultimately, most of the company will have training in data analytics,” says Rodrigo Pizarro, L’Oréal’s managing director, Australia and New Zealand. He estimates “a couple of hundred” of his 900 employees will complete the program, thanks to a partnership with the Centre for Business Analytics at Melbourne Business School (MBS), and the rest will upskill through internal training. “We need to take everybody on this journey,” says Pizarro. “The world is more and more data-driven and the pace of change is accelerating dramatically. When you put both together, the only way to address it is by systematic use of data in all areas.” His vision is for the entire organisation to have a data-analytics mindset, using modelling to make better, faster decisions across all areas of the business – from forecasting sales and budgets to product development and media buying. “People will be happier because they’re not wasting time on things they don’t like doing. They will be more enabled and, ultimately, more creative and productive.” Although the transformation is led from the top, says Christelle Young, L’Oréal Australia’s chief strategy and analytics officer, it’s vital for the whole organisation to be on board. “Culture is one of the biggest barriers to making you analytically savvy and one of the best ways to move culture is to educate.” Young, who completed a Master of Business Analytics at MBS in 2016, is already noticing the impact. The most important change, she says, is the growth mindset of those who have done the program. “It’s really hard when you’ve always been successful to change the way you’re doing it. That was a key part of everyone’s journey – being more comfortable with change and understanding the value.” But she’s seeing change in action. After taking the course, a brand manager wrestling with a burning business decision told Young she would prepare a “box-and-arrow model” to map out all the data sets feeding into it. “This was a light-bulb moment where she knew how to turn her business problem into an analytics problem. Then we could join worlds beautifully, talk the one language and find a solution.” Ashleigh Hatzis, marketing manager for L’Oréal’s couture brands, completed the Data for Decision Makers program in June. She says the course has already changed her mindset and the conversations she’s having with her 16 team members. “I feel really excited about where I can go with my career

at L’Oréal, knowing that the company is on this transformation journey. It’s not about becoming a data scientist; it’s about framing a business case and asking the right questions to get the most out of data scientists.” “The course will equip all of us with the skills we need for the future,” adds Cara Riley, general manager of L’Oréal Professionnel. Working closely with MBS is also helping L’Oréal recruit new talent. Himansh Mishra joined as senior commercial analyst after completing a five-week internship at the company as part of his Master of Business Analytics degree at MBS. He met Young, a fellow graduate, at MBS networking events. “One of the main reasons I chose Melbourne Business School was its extensive alumni network,” says Mishra, who compared courses around Australia and Europe. “It’s also really strong in data and analytics and manages to convey two years of content in a single year.” It was the standout skill sets and futurereadiness of graduates like Mishra and Young that cemented Pizarro’s decision to partner with MBS on company-wide upskilling. “The people that have gone through MBS are extraordinary,” he says. “MBS is a guarantee of top talent in data analytics, not just in skills but also in its ability to understand the company’s needs. This talent is very difficult to find.”