Libby's philosophy is to look at every business, every project and every situation with fresh eyes and a holistic vantage. It was tedious and boring, but it was taken for granted that this was the right and only way to do things. Hundreds of distributors from around the world would listen over the phone. For three days, meeting hosts would sit at a long table, presenting information with projected spreadsheets and presentations. That was the ideal, but when Libby first arrived, the reality was that almost everyone at Herbalife dreaded these meetings. Leadership had a practice of conducting virtual global meetings with distributors from around the world aimed at bringing a dispersed workforce onto the same page and facilitating communication globally. In the beginning, Libby closely examined Herbalife's work culture. Shaking up the corporate culture with fresh ideas I choose to be a perpetual outsider." Rich Libby, CIO, Herbalife "I always try to remove myself from a situation and think about it differently. Adding on this secure content platform, he will soon be extending his tech stack with Microsoft Office 365 and Slack. Bringing in modern solutions like Box that offer native integration is part of Libby's best-of-breed strategy. These changes included adoption of Cloud Content Management by Box to encourage collaboration in bold new ways and replace non-mobile file shares and unsecure emailed documents with agile, secure content in the cloud. "We have to get better with data in order to optimize and understand." "There's a big opportunity for us to get smarter based on how we move, create and sell products through distributors," says Libby.
When Libby came on board with Herbalife, he examined the way that distributors were communicating and being communicated to, and set out to make some changes. The way distributors get information and stay connected to the company relies in large part upon the technology architecture. These independent distributors work under the Herbalife banner to provide products and coaching aimed at supporting health-conscious consumers. Herbalife's business model relies upon individual distributors from around the world to build the brand and sell products largely by word of mouth. "In order to go fast, and bring in new technology, and understand where we're spending dollars, we have to get a better workflow." Rich Libby, CIO, HerbalifeĬreating a digital workplace centered around collaboration For Libby, a major factor motivating Herbalife to transform is making sure workers have the content platform it needs to support business drivers. The company has since built manufacturing facilities around the world and gone from having 70% of products made by third parties to making 80% in Herbalife facilities.īut taking manufacturing in-house is just the start of Herbalife's internal disruption. It used to be that most products were manufactured by third parties, but Herbalife decided to bring manufacturing largely in-house to scrutinize the sourcing of raw materials such as soy and herbs, and to better oversee manufacturing, quality control and brand experience all the way to market. Creating new, better products and moving them through the manufacturing pipeline into customers' hands more quickly is a competitive driver. Like every industry, the nutrition industry is being disrupted. "They were all the right systems at one point in time, but are they still providing business value?" This was the question Libby was brought in to answer when he was hired as CIO, and it led to another: "I like to think about it this way: If we had to start all over, would these same systems still make sense?" from ten years ago," says Herbalife CIO Rich Libby.
Because of its history, Herbalife had a technology legacy in place that wasn't up to the task of facilitating the company's business processes. Founded in 1980, the company has over 8,000 employees worldwide, maintains a presence in over 70 countries and is traded on the New York Stock Exchange (NYSE: HLF). It's a culture where nutrition innovation and employee collaboration go hand in hand.īut as much as this global nutrition company is tapped into the current zeitgeist around healthy eating, Herbalife is in many ways an established, traditional organization. At Herbalife, it's not rare for employees to be invited into test kitchens to sample shakes, food bars and other cutting-edge health products.
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