3M CEO Highlights Progress on Operational Execution and Innovation

3M CEO Bill Brown highlighted progress on operational execution, product innovation, and structural transformation. He emphasized a 'back to basics' approach across operations, supply chain, innovation, and commercial execution over his approximately 2.5 years leading the company.

Brown mentioned improvements in on-time, in-full delivery (OTIF), which has risen from the low-80% range to about 90% consistently across the company. He stated that OTIF is one factor in retention, along with quality, performance, and price, and noted that improved service levels have reduced customer attrition.

Brown also discussed innovation efforts, including directing 80% of research-and-development spending toward priority verticals where it believes it has differentiated technology. He mentioned the success of its expanded beam optics (EBO) technology in data centers, citing a partnership with Microsoft and potential for $2 billion in addressable market within two years.