{"id":8579,"date":"2026-06-22T15:11:38","date_gmt":"2026-06-22T15:11:38","guid":{"rendered":"https:\/\/www.fintechpulse8.com\/?p=8579"},"modified":"2026-06-22T15:11:38","modified_gmt":"2026-06-22T15:11:38","slug":"forget-speed-loreals-innovation-chief-says-ai-rewards-companies-with-history","status":"publish","type":"post","link":"https:\/\/www.fintechpulse8.com\/?p=8579","title":{"rendered":"Forget speed: L\u2019Or\u00e9al\u2019s innovation chief says AI rewards companies with history"},"content":{"rendered":"

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When it comes to AI, much has been made of its democratizing potential. Many proponents believe that access to affordable models will act as a leveler, allowing smaller enterprises to innovate, test, and gain insights in ways previously\u00a0that were previously much more challenging.\u00a0\u00a0<\/p>\n

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But, according to Delphine\u00a0Viguier-Hovasse, chief innovation and prospective officer at L\u2019Or\u00e9al, the\u00a0reality\u00a0may be more complicated. \u201cWe operate in a buoyant beauty market because it has never been easier to create a new brand,\u201d she says. \u201cYou have AI inventing images and brand names, vendors providing formulas and molecules at\u00a0a very fast\u00a0pace\u2014but you also have a lot of brands dying. Every two years you have a new brand and then it disappears.\u201d\u00a0\u00a0<\/p>\n

Contrary to the prevailing wisdom, Viguier-Hovasse says, \u201cAI is fantastic for old companies.\u201d As the executive responsible for innovation at a company which has been defining and redefining the beauty market for\u00a0nearly 120\u00a0years, she knows what\u00a0she\u2019s\u00a0talking about.\u00a0\u00a0<\/p>\n

Innovation is a system, not a mindset<\/strong>\u00a0<\/h2>\n

Despite its age, L\u2019Or\u00e9al is routinely celebrated for its groundbreaking innovations\u2014it\u00a0has registered 725 patents and\u00a0placed sixth on\u00a0Fortune\u2019s 2026 list of Europe\u2019s Most Innovative Companies.\u00a0This ability to consistently innovate relies less on speed and more on the\u00a0decades of accumulated knowledge\u00a0and the organizational structure\u00a0to\u00a0turn these\u00a0insights\u00a0into innovations\u00a0customers\u00a0want.\u00a0\u00a0<\/p>\n

L\u2019Or\u00e9al\u2019s\u00a0organization is structured in\u00a0a matrix. In practice, this means having cross-functional departments which include both technical and non-technical disciplines. Every employee has two managers\u2014one who is concerned with brand strategy and one who takes care of function or region-specific operations.\u00a0Collaboration\u00a0between departments is strongly encouraged.\u00a0\u00a0<\/p>\n

\u201cWe are a company where we talk a lot and we challenge each other,\u201d says Viguier-Hovasse. \u201cSo,\u00a0the\u00a0R&I\u00a0[research and innovation]\u00a0team will\u00a0come up with\u00a0a\u00a0new\u00a0formula, this\u00a0is challenged by the business and legal divisions, and then you go back and rework the formula. We really are all working together.\u201d\u00a0<\/p>\n

Viguier-Hovasse\u2019s own innovation team\u00a0comprises\u00a0scientists, who create the products,\u00a0and marketers, who can tell the story behind\u00a0the science\u00a0in a clear and compelling way. \u201cGoing back to the beginning of L\u2019Or\u00e9al, we have always been strong on advertising and explaining what products can do,\u201d she says. \u201cWe\u2019re storytellers and we talk to the consumer in their own language.\u201d<\/p>\n

This culture of innovation is further supported by having a clear goal for the organization to focus on. \u201cWe have one KPI at L\u2019Or\u00e9al,\u201d\u00a0she\u00a0says,\u00a0\u201cgaining market share with new products.\u00a0It\u2019s\u00a0very simple\u00a0for everyone to follow.\u201d\u00a0\u00a0<\/p>\n

And this commitment\u00a0is backed\u00a0by\u00a0investment\u20143% of\u00a0L\u2019Or\u00e9al\u2019s\u00a0turnover is reinvested into\u00a0research.\u00a0In 2025, this amounted to \u20ac1.3\u00a0million\u00a0of\u00a0investment.\u00a0Viguier-Hovasse says:\u00a0\u201cSometimes people question whether\u00a0it\u2019s\u00a0too much, but\u00a0that\u2019s\u00a0why this is\u00a0a great job. At L\u2019Or\u00e9al we really have the chance to invest a lot in research,\u00a0it\u2019s\u00a0one of our big strengths.\u201d\u00a0<\/p>\n

AI is changing the economics of experimentation<\/strong>\u00a0<\/h2>\n

AI\u00a0is also helping L\u2019Or\u00e9al to innovate at\u00a0pace.\u00a0Historically, testing new formulations was a slow and expensive process. \u201cTo test 20 molecules on hair used to take several years,\u201d says Viguier-Hovasse. \u201cWith AI, you can test a molecule in three months, so the cost of a mistake is\u00a0considerably\u00a0smaller\u00a0now. It allows us\u00a0to skim out the bad formulas much faster.\u201d\u00a0AI, she says, has given L\u2019Or\u00e9al\u2019s people the \u201cluxury to fail.\u201d\u00a0\u00a0<\/p>\n

Employees also have a dramatic head start on competitors due to the sheer levels of data the organization has built\u00a0over its long history. \u201cWe have\u00a0accumulated a lot\u00a0of data, not necessarily over the\u00a0past 120\u00a0years,\u00a0but over the\u00a0past 40 years,\u201d says Viguier-Hovasse. \u201cWe need AI to be able to read it and sort through it.\u201d\u00a0<\/p>\n

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\u201cWe have one KPI at L\u2019Or\u00e9al. Gaining market share with new products. It\u2019s very simple for everyone to follow\u201d<\/p>\n

Delphine\u00a0Viguier-Hovasse, chief innovation and prospective officer at L\u2019Or\u00e9al<\/cite><\/p><\/blockquote>\n<\/figure>\n

This data has been meticulously cleaned and de-duped to a point where L\u2019Or\u00e9al\u2019s scientists now have a database of the skin color of women all over the world, information on how hair reacts to different environments, and what Viguier-Hovasse describes as an \u201catlas on wrinkles.\u201d\u00a0\u00a0<\/p>\n

\u201cLast year, we\u00a0ran\u00a040,000 stability tests on our formulas.\u00a0We\u2019ve\u00a0done 44,000 tests on people\u2019s reaction to one skin cream,\u201d says Viguier-Hovasse. \u201cIf you don\u2019t have AI to organize all of this to show that a formula is safe, good, and efficient, you cannot manage at this scale.\u201d\u00a0<\/p>\n

Seizing\u00a0the moment<\/strong>\u00a0<\/h2>\n

Having these vast\u00a0quantities\u00a0of data means L\u2019Or\u00e9al can glean vital insights by looking backwards, but this becomes more powerful still when combined with a philosophy which has guided the company since its earliest days.\u00a0\u00a0<\/p>\n

\u201cSaisir\u00a0ce\u00a0qui commence<\/em>\u201d or \u201cseize\u00a0the moment\u201d was a motto coined by the brand\u2019s second CEO, Fran\u00e7ois Dalle, who\u00a0took over the company from L\u2019Or\u00e9al\u2019s\u00a0founder\u00a0in 1957.\u00a0\u00a0<\/p>\n

This motto\u00a0continues to underpin the\u00a0company\u2019s\u00a0approach to innovation today. Viguier-Hovasse explains that her team uses this to describe their approach to trend detection, relying not only on forecasting reports or big data but also paying attention to what she terms \u201cweak\u00a0signals.\u201d\u00a0\u00a0<\/p>\n

\u201cWe very often listen to what one consumer is saying,\u201d she says. \u201cEveryone is actively listening to the market at L\u2019Or\u00e9al. One of our strengths over the local or independent companies is that we are global\u2014you might have a weak signal coming out of the\u00a0U.S.\u00a0but our teams notice the same in China and in Korea and it starts mushrooming.\u201d\u00a0<\/p>\n

To illustrate, she uses\u00a0the\u00a0example of\u00a0longevity. \u201cWe started working on longevity a long time ago, before the field was hot.\u201d Her team noticed that, in the\u00a0U.S., there began an obsession with the concept of living longer, characterized by the increasing popularity of\u00a0hyperbaric\u00a0oxygen\u00a0therapy\u2014where\u00a0patients\u00a0breathe in pure oxygen\u00a0in a pressurized environment to promote cellular regeneration.\u00a0<\/p>\n

L\u2019Or\u00e9al is developing its own longevity treatments at\u00a0Episkin\u2014its Lyon-based innovation center. Scientists at the center\u00a0use reconstructed skin\u00a0to test products, improve its understanding of skin\u00a0biology, and accelerate innovation.\u00a0The techniques and technologies it\u00a0develops\u00a0have\u00a0also\u00a0been used to\u00a0help burn\u00a0victims.\u00a0<\/p>\n

\u201cWe\u00a0look to\u00a0seize on\u00a0trends\u00a0early,\u201d says Viguier-Hovasse. \u201cIt\u2019s accelerated by\u00a0AI\u00a0but we work on them for several years before issuing anything publicly.\u201d\u00a0<\/p>\n

Identifying\u00a0these trends is\u00a0only the first\u00a0step. Translating them\u00a0into meaningful commercial insights for the business requires a dedicated leader who can weave the various threads together.\u00a0\u00a0<\/p>\n

Although the role\u00a0of\u00a0innovation officer\u00a0is not a new one at L\u2019Or\u00e9al, its recent elevation to the executive committee\u00a0demonstrates\u00a0the company\u2019s continuing commitment to innovation as a strategic priority.\u00a0\u00a0<\/p>\n

\u201cInnovation is now really at the crossroads of tech, science, marketing, legal, safety, and sustainability,\u201d says Viguier-Hovasse. \u201cBeing on the\u00a0executive committee, I\u00a0am involved in\u00a0conversations\u00a0across all\u00a0functions.\u00a0It\u2019s\u00a0a way to make sure I\u00a0don\u2019t\u00a0have a blind spot on tech or sustainability.\u201d\u00a0<\/p>\n

By bringing together ideas and capabilities from across the organization, she believes she can\u00a0help L\u2019Or\u00e9al innovate faster than its competitors.\u00a0While the AI era may bring opportunities for startups, some of its greatest beneficiaries could be legacy companies with decades of accumulated knowledge.\u00a0\u00a0<\/p>\n

L\u2019Or\u00e9al\u2019s approach suggests that winners may not necessarily be those who move the\u00a0fastest,\u00a0but those who combine long-term investment with institutional memory and the ability to learn. Innovation may no longer be about simply creating something new, but about making better use of\u00a0the knowledge held within the organization.\u00a0<\/p>\n<\/div>\n

#Forget #speed #LOr\u00e9als #innovation #chief #rewards #companies #history<\/p>\n","protected":false},"excerpt":{"rendered":"

When it comes to AI, much has been made of its democratizing potential. Many proponents believe that access to affordable models will act as a leveler, allowing smaller enterprises to… <\/p>\n","protected":false},"author":1,"featured_media":8580,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[1244,1292,10104,1915,2142,2151,22,10673,5546,8633,10675,10674,9395,7639],"class_list":["post-8579","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance-news","tag-chief","tag-companies","tag-europes-most-innovative-companies","tag-forget","tag-history","tag-innovation","tag-investment","tag-loreal","tag-londonarticles","tag-longevity","tag-loreals","tag-research-and-development","tag-rewards","tag-speed"],"_links":{"self":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/posts\/8579","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=8579"}],"version-history":[{"count":0,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/posts\/8579\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/media\/8580"}],"wp:attachment":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=8579"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=8579"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=8579"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}