LVMH Course

Module 1 : The world of LVMH

From 1987

- More than 75 Maisons

- 6 business sectors (only group present in the 6 mayor sectors of the
luxury market : wines and spirits, fashion and leather goods,
perfumes and cosmetics, washes and jewelry, selective relailing and
other activities)
- Over 213000 employees across 80 countries
- More than 6000 stores

The values of LVMH :

- Being creative and innovative

- Delivering excellence
- Cultivating an entrepreneurial spirit
- Being committed to positive impact

What sets LVMH Maisons appart is their balance between the past, present
and future

Focus on Wine and Spirits

- 27 Maisons ( Ao Yun, Ardbeg, Armand de Brignac , Belvedere,

Bodega Numanthia, Chandon, Château D’Esclans, Château
Galoupet, Cheval des Andes, Cloudy Bay, Cravan, Dom Pérignon,
Eminente, Glenmorangie, Hennessy, Joseph Phelps, Krug, Mercier,
Minuty, Moët & Chandon, Newton Vineyard, Ruinart, Sirdavis,
Terrazas de los Andes, Veuve Clicquot, Volcan de mi tierra,
Woodinville)
- 6,602 M€ sales in 2023
- Oldest Maison Ruinart founded in 1729
- Newest Maison Sirdavis founded in 2024

The leading division is Moët Hennessy and all the vineyards owned by said
division have had a sustainable winegrowing certification since 2017.

Major strategy points for the following months :

- Value-enhancing strategy
- Sustainable growth
- Direct sales to end-customers
- Efficiency of distribution
- Protect the environment
Focus on Fashion & Leather Goods
Maisons that combine creativity with timelessness.
Faithful to their roots and heritage, the Maisons continually reinvent themselves to
resonate with contemporary aspirations, embodying vibrant creativity and timeless
appeal. Iconic Maisons and more recent brands alike design exceptional products and
experiences. Respecting their distinctive identities and unique savoir-faire, the Group
supports their development thanks to shared resources.

Focus on Perfumes & Cosmetics

Brands that cultivate excellence.
The LVMH Maisons that are part of the Perfumes & Cosmetics sector benefit
from exceptional dynamism that relies on both the longevity and development of key
lines, and on the boldness of new creations.

These brands cultivate what makes them unique and this guarantees they stand out
to their devotees in a highly competitive global market. The success of the Perfumes
& Cosmetics division depends on finding the right balance between major historic
Maisons such as Parfums Christian Dior, Parfums Givenchy and Guerlain, and younger
brands with strong potential like Benefit Cosmetics, Fresh, Make Up For Ever…
Yet, these brands are driven by the same values: a quest for excellence, creativity,
innovation and perfect mastery of their image.

All brands are accelerating the implementation of their online sales platforms and
stepping up their digital content initiatives. Excellence in retailing is key, requiring
expertise and attentiveness from beauty consultants, as well as innovation at points of
sale. Our brands are actively incorporating digital tools to enhance the customer
experience and attract new consumers.
 Focus on Selective Retailing
Our customer-focused strategy.

The Selective Retailing Maisons in the LVMH Group share the same objective: to transform
shopping into a unique experience. Specialist product selection, upgrading of stores and
services, constant innovation, digitalization and personalization of relationships, these are the
key drivers for their daily activities.

Operating in Europe, the Americas, Asia and the Middle East, our Maisons are active in two
spheres:
- retail designed for international traveler customers (travel retail), with DFS and Miami
Cruiseline;
- and selective retailing concepts represented by Sephora, the most innovative name in the
world of beauty, and Le Bon Marché Rive Gauche, the department store with a unique
atmosphere located in Paris.

Focus on Other Activities

 Houses which represent a certain art de vivre.

In this business group, LVMH brings together people who share a passion for lifestyle, culture
and the arts.
Being ambassadors for culture and a certain “art de vivre” is the raison d’être for the Maisons in
this area of our business. They all benefit from a vertical integration system, in order to offer high
quality products and services to their customers.

This approach is part of the quest for excellence pursued by each of these Maisons: from the
Les Echos group, which includes key titles from the economic and cultural press to Royal Van
Lent, which markets custom-designed yachts under the name of Feadship; and Cheval Blanc
which is developing a collection of exceptional hotels.

Operating Model

anchored by 6 pillars

PILLAR 1: Decentralized Organization

Promoting risk-taking and perseverance

LVMH’s organization is agile and decentralized, which

encourages efficiency and responsiveness. Our specific structure and operating principles
ensure that each Maison can be autonomous and responsive at all times – something that helps
us to get close to our customers, and ensures that rapid, effective and
appropriate decisions can be made.

We entrust all our employees with significant responsibilities, which stimulates individual
initiatives, and motivates teams by encouraging them to show true entrepreneurial spirit.

By promoting pragmatic thinking and the ability to motivate teams, we challenge ourselves and
our talents to achieve, continuously push the boundaries and never shy away from risk-taking
and perseverance - and our decentralized organization approach promotes this.

PILLAR 2: Vertical Integration

Fostering excellence both upstream and downstream
Vertical integration allows us to control every link in the value chain, from sourcing and
production to selective retailing, which means that the image of our Maisons is carefully
controlled.

Our Business Model is anchored in this meticulous control, making LVMH the only global
Luxury Group to offer such a vast and diversified array of professional opportunities around
the world, all the way from when a product is created to when it is handed into clients’ hands.

PILLAR 3: Sustaining Savoir-faire

The past lives within us and inspires us, but what motivates us is the future

To pursue our long-term vision, we strive to preserve our Maisons’ distinctive identities and
excellence. We do this by developing forward-thinking initiatives to transmit savoir-faire and
ensure that craftsmanship and creative métiers are valued by future generations.

We constantly endeavour to cultivate the expertise upon which our Maisons have built their
legacies. This means we hire and train thousands of new employees each year. The past lives
within us and inspires us, but what motivates us is the future: the next generations to whom
we have a duty to pass on the torch of excellence. Our role is to equip them with the tools and
skills they need to attain it.

PILLAR 4: Organic Growth

Sustaining our success for the long term

Organic growth is a key priority for LVMH, and we commit significant resources to help develop
our Maisons, and encourage and protect creativity.

We know that our employees are the key to this approach, which is why we support
their career growth and encourage them to exceed their potential.

Over time, and guided by our long-term vision, we have reaped the rewards of ambitious
choices, investments and patient developments, often years in the making. It’s this enduring
commitment that sets us apart from the rest.
It gives Maisons and employees the time they need to fully express their potential and talent. It
drives our ability to adapt and respond to unexpected external challenges. It underpins the
powerful resilienceof our Group, which as always, has risen (and continues to rise) to the
challenge.

PILLAR 5: Creating Synergies

Sharing resources to be stronger

The sharing of resources on a Group scale is part of our DNA. It creates intelligent
synergies while respecting the individual identities and autonomy of our Maisons. It means that
the combined strength of the LVMH Group is leveraged to benefit each of its Maisons.

On the ground, this translates to sharing best practices. It helps us harness expertise and
optimize the Maisons’ processes to boost their potential.

One way we facilitate this is by connecting our talents to one of the world’s most creative
and innovative communities. We connect through themes, places, moments and channels to
come together, share and grow. We create collective moments and communities of interest to
allow our talents to share ideas and best practices within or across the different professions and
geographic areas.

PILLAR 6: Balance across business segments and

geographies
Withstanding the impact of shifting economic factors

Our Group has the resources to sustain regular growth thanks to the balance across its
business activities and a well-distributed geographic footprint. This balance means that we
are well-positioned to withstand the impact of shifting economic factors.

Here are some figures:

81 countries and more than 6,000 stores . Revenue of 86.2 billion euros in 2023 (+9% compared
to 2022), distributed across geographies: Asia (excl. Japan) 31%, Japan 7%, United States 25% ,
Europe (excl. France) 17% , France 8% and Other Markets 12% .

People make the difference

The LVMH Talents are the key asset for the success of
LVMH.

What makes LVMH successful on a long-term basis is the expertise and the passion of our
talents.
We are proud to have over 213 000 employees around the world, representing 4 generations at
work in more than 500 métiers. On top of that LVMH is a unique community with more than
190 nationalities working together.

1. What are the main characteristics of the Luxury Industry, and what makes this sector
unique?

Rarity, quality and price

Symbolises high quality and prestigious items that are expensive and exclusive
 2. According to you, what are the three most important factors influencing the future of
Luxury?*

- Evolving consumer preferences

- Technological advances
- Sustainability

How to define luxury?

Luxury is a matter of perspective, a very personal element

Luxury is defined by the extraordinary, the expection, that differ from person to person

Luxury being such an elusive concept, how do you know that something is luxury?

Economic definition: expensive products or services prices above their functional value

The conception of luxury constantly redefines itself

7 characteristics:
- Quality
- Scarcity
- Delivering experiential rewards
- Signed by brands
- Controlled channels
- Personnalisée services
- Price

Deep dive into key figures and trends of the luxury industry

How to define luxury?

The overall luxury market comprises 9 categories: cars, personal luxury goods, hospitality, fine
wines and spirits, gourmet foods, fourniture, art, private jets, cruises

1,4 trillion euros in retail sales in 2022 – 20% more than the previous year

Personal luxury goods are the core of the core . It has been growing 6% annually in the last 20
years. Up unti 2019 when the pandemic caused a retraction of the market. However v shape
rebalance and 27% annual growth between 2020 and 2022.
How can brands enhance authentic consumer pride,
while preserving their signaling potential?
Normal market :

- Clients place greater value on customised products

Luxury market :

- Brand needs to preserve brand identity

- Uniqueness is a strong driver of luxury consumption
- Self consummisation enhances clients pride

 There needs to be a proper balance between self customisation and

luxury products recognisability

Strategy to attenuate backfiring effects of customisation :

- Explicit displays of brand logos

Sustainable nuance of customisation :

We can find a juxtaposition with fast fashion

- Demand is well established prior to consumption therefore there is

less waste
- Product more valued and therefore extended usage
- Strategy to fight to counterfeiting phenomenon

Another key stake: Innovation

Reasons:

- Uphold creativity and savoir faire

- Share brand history with the clients in a new way

Means:

- Acting on every level of value chain

- Mixed reality technology

5 levers of client loyalty:

 - Reward
- Ownership
- Recognition
- Empowerement
- Connection

Digital transformation

- Omnichannel is a client-centric approach aimed at providing a

consistent, qualitative, and seamless customer experience across
all channels and geographies.

- The key to obtaining this synchronicity is cross-functional

collaboration and full integration of each Maison’s assets (including
inventory, capabilities, tools & systems, data, processes,…)

1. The omnichannel as a vision in the organization

Change starts with a common ambition. At LVMH, we seek to offer the best-in-class client
experience, and further grow, master, and lead its enhancement. To achieve this ambitious goal,
we need to create an organizational approach that is client-centric at heart. The notion of client-
centricity has to be incorporated in the vision of the brand and occupy an important role across
all the company’s strategies. This requires fundamental changes at the core of the company.

To push forward an omnichannel initiative, we need a relevant leadership role, a relevant

transversal committee that will oversee program implementation across the organization, and,
lastly, relevant ways to incentivise the people in the organisation to adopt the mindset.

2. Enhancing the 360° omnichannel experience

The consumer always stays at the core of our strategy, so we need to consider the smallest
details of the consumer journey and experience, predict and outline them. The omnichannel
approach allows for a smooth transition between all touchpoints where the client comes in
contact with the brand.

 Re-enchanting product discovery

Product purchase is an essential moment in the customer lifecycle and a key driver for business.
Today, customers expect equally excellent service online and as in-store. In order to help the
customer discover the same physical product in new engaging ways, we can use consistent and
quality content, features that support product discovery, and more memorable and emotional
experiences.

Apart from editorials, videos, and attractive visuals, the use of enhanced content has become the
most popular trend recently, especially with the use of high technologies such as 3D animation
and modelling, augmented reality (AR), and virtual reality (VR). These extensions help the client
interact with the product directly whenever and wherever, while also becoming immersed in the
brand’s creative universe. Effectively, this further enhances the “storytelling” of the brand,
making it more attractive and engaging for the client.

 Enabling clients to choose their own Luxury journey

Today, the customer can personalize their journey to suit their needs, whether in-store, online, or
remotely. This process has to be as simple and natural as possible.

Customers now have options to purchase an item easily and from anywhere, further decide how
they prefer to receive their item, and, in case of dissatisfaction, return or exchange it in the way
that suits them best. This abundance of choices aims at making the customer experience smooth
and stressless for any possible circumstances. Some of the most notable practices include pre-
ordering, ‘find in store’, ‘click & collect’, e-reservations, and scheduled or even ‘same-day
deliveries’. As you can see, the process has not only become flexible and easily adaptable to
the lifestyle of the customer, but it is highly responsive and faster than ever before.

 Evolving from a unique selling ceremony to a unique service ceremony

Customer experience does not end with one purchase - it signals the beginning for potential
long-term relationship between the brand and the client. So, we need to be there for our
customers every step of the way. We have to anticipate their expectations and respond to all
their demands.

Since the pandemic, remote communication options have gained momentum, such as streaming
selling sessions or video chatting directly with a consultant. Apart from easy communication, we
also need to efficiently respond to any arising concerns after the product purchase, for example
repair assistance (remote diagnostics and provision of product care guides) or offering product
maintenance service (cleaning and repairs).

3. Revamping the value chain to secure the execution of the strategy

One of the key omnichannel enablers is securing cross-functional collaboration and full
integration of the Maisons’ assets. All operations, from order allocation and warehouses to
stores, delivery and after-sales - all activities have to be optimized. Solutions must also be
implemented to support this collaborative initiative. This collaboration requires a high degree of
flexibility, so the Maisons’ ecosystem has to work in unison and not silo-by-silo. With all the tools
we have, we need to generate an in-store transformation. This is an important step as Luxury
business is a retail business. The changes have to affect the store and the talents working at
these locations. This touches upon all the activities, including inventory, store design, processes,
roles and responsibilities, hiring and training, store routine, and relevant KPIs.

4. Measuring success and the impact

Now that the new strategy, mindset, and processes are set in stone, we need to monitor the new
client journeys. At this stage, it is important to let go of the notion that offline and online
businesses are two separate entities, as now they are a united front. Thus, the key vector of the
omnichannel is based on client satisfaction and performance. Simply put, we prioritize the
client’s happiness through their experiences. In turn, a satisfied and content client is a loyal and
involved client, who will continue making purchases, contributing to a boost in our sales and
profits.

Key elements:

1. Aligning the organization and its people under one collective goal.
2. Ensuring better collaboration across a range of operations and activities.
3. Reviewing all tools and instruments to be client-centric and not set up exclusively silo-by-
silo.
4. Achieving a complete store transformation.

Focus on China: A key market for Luxury

The 1990s put China on the agenda of Western companies, as the country stopped issuing
foreign exchange certificates and allowed the purchase of imported products with the Yuan. This
is when many Western Luxury brands opened their first Chinese stores.

Thirty years later, China is today a key market for Luxury brands, and the prestigious
reputation of Luxury brands stimulates a strong demand in Chinese consumers.

Andrew Wu, Group President of LVMH China, looks back over the last 30 years of LVMH’s
presence in the region and reveals the ongoing importance of high-end retail as a crucial pillar
to succeed in the market and gain consumers’ loyalty.

Module 2 : Luxury and society

Past, Present and Future: The Luxury Formula

« Luxury is a cultural expression beyond immediate needs »

Luxury is defined by:

- Quality
- Identity
- Use
- Price
- Scarcity
- Desire

Focus on time:

Luxury combines individual and social representation > temporal

mutability of luxury

« If luxury évolues with society its values are lasting »

Paradox: between being of our time and be timeless

Luxury and past:

Luxury shoudnt convey nostalgia but heritage

Vocabulary of luxury:

- Crafts
- Myths
- Icons
 - Excellence

Luxury and present:

What makes a brand be relevant nowadays?

- Aesthetic

Modern society values:

- Authenticity
- Treansparency
- Sustainability
- Inclusitivy

Luxury and future:

How will brands stay relevant:

- « The craft, the myth and the design make a product durable »
- Personal emotion
- Qualaity beyond aesthetic, legacy beyond desire, emotion beyond
ownership, creactivity beyond trends

Brands and society

Focus on:

- Commitment to the environment with LIFE 360

- Social commitment with the 2025 CSR ROADMAP
- Commitment to the arts and culture
Life 360 four pillars: Creative Circularity, Biodiversity, Climate, and Traceability &
Transparency.

LVMH and impact on society :

LVMH & Social Responsibility

LVMH believes its heritage and Maisons’ success are

anchored in their respect for society and communities.

At LVMH, we are driven by a strong sense of responsibility towards society.

As a leading group, at LVMH we have the responsibility to stay in touch with the world around us
because we are driven by the belief that people – whether those employed by the Group or
those with whom it works – make the difference.

Our social responsibility is rooted in the fundamental principle of respect for people and their
individuality. We believe our heritage, as well as the success of our Maisons, is anchored in our
respect for society and communities.

Our long-term commitments yield tangible benefits for society. LVMH views social responsibility
as not simply an obligation, but an imperative and a source of competitiveness. Together, we are
committed to making excellence a lever for social and professional inclusion in solidarity
with our host regions and communities as we strive to cascade the positive social impact of our
activities.

The four pillars of social responsibility are as follows:

1. Respecting the uniqueness of our employees: we endeavour to build an inclusive

organization that celebrates what makes each employee and each candidate special.

2. Passing on and developing savoir-faire: the preservation of artisan crafts and design is a
fundamental concern, as it guarantees excellence for our Maisons and safeguards our reputation
throughout the world.

3. Supporting our employees by improving their safety and well-being: employee well-being
requires action in all areas directly and indirectly related to health and safety.

4. Empowering local communities: As a leading company in the global economy, at LVMH we

feel a strong sense of responsibility towards the regions in which we operate.

Preserving unique savoir faire

Overview of the 5 Métiers d’Excellence initiatives in detail:

1- Excellent!, a program to build awareness to new generations and awaken vocations in

France, Italy, Spain and USA. The LVMH Maisons, through their Human Resources teams and
experts, thus engage students in middle schools by leading practical workshops and show that
these métiers offer wonderful career opportunities.

2- The You & ME tour is a vocational guidance and recruiting fair dedicated to the LVMH
Group’s array of specialized métiers. This event occurs every year in France and Italy in various
cities. It aims to provide professional opportunities to all types of audiences to let them discover
and try different Métiers d’Excellence.

3- The Métiers d’Excellence Institute is the first vocational training program in the Luxury
Industry with a work-study format, committed to protect and pass on to new generations or
people seeking reskilling opportunities the unique heritage of savoir-faire and craftmanship skills
that make the success of each Maison in the Group.
The Métiers d’Excellence Institute currently offers different courses in Creative, Craft, and Client
Experience professions in France, Switzerland, Italy, Spain, Japan, Germany and USA. In each
training track, students take both technical and theoretical courses at recognised partner schools
and universities, combined with on-the-job experience at LVMH Maisons through paid
apprenticeship or professional training programs.
The Métiers d’Excellence Institute offers unique Master Classes to their students (discovery,
métier, cross-disciplinary, culture) to discover the Maisons and exchange views with experts in
the field. In this podcast, Frederic Bodenes, Artistic and Image Director at Le Bon Marché, and
Emilie Labarussias, newly promoted Première Main Qualifiée at Atelier Christian Dior Haute
Couture Flou, share their experience holding a Masterclass and taking part in the Métiers
d’Excellence Institute program, respectively.

4- The Métiers d’Excellence Academy is the LVMH Group’s career-long learning organization
through in-house academies and schools at our Maisons which pass on and develop employee
skills in Métiers d’Excellence.
5- The virtuosos, a community of people whose exceptional savoir-faire are practiced at LVMH
Maisons around the world. They endorse this status as a recognition of their expertise and
emblematic career path within the Group. This recognition enables them to take part in Métiers
d’Excellence multidisciplinary trainings and activities but also to pass and promote their
profession, transmit their savoir-faire, develop themselves, and gain visibility by becoming an
ambassador of their profession and Maison.

LVMH & Art

Our commitment to culture & creativity.

As the world's leading luxury group, LVMH has a role to play to create exceptional products and
share artists’ outstanding works, celebrate culture and offer it to the world, inspire dreams, stir up
emotions and raise awareness among all people.

Supporting art and heritage

From the beginning of its history, LVMH has demonstrated a unique commitment to philanthropy.
The Group and its Maisons support community-oriented initiatives in France and around the
world, promoting and maximizing access to art, cultural heritage, fashion and arts
education.

LVMH is a major supporter of initiatives aimed at preserving France’s historic heritage. Thanks to
LVMH’s exclusive support, Boating Party – painted by Gustave Caillebotte between 1877 and
1878 – has been added to the Musée d’Orsay’s permanent collection. The painting – a major
work of the artist and of the Impressionist movement as a whole – was recognized as a National
Treasure by France’s Ministry of Culture in 2020. Its acquisition enriches the Musée d’Orsay’s
collection of Impressionist paintings with a masterpiece without equal in France’s public
collections.

Fondation Louis Vuitton : A haven for art and culture

Since it was opened in 2014, the Fondation Louis Vuitton has become one of the world’s leading
institutions on the international arts scene. In ten years, it has already welcomed nearly 11
million visitors, reflecting its immense success with French and international museum-goers.

The Fondation Louis Vuitton’s core missions are supporting artists and building dialogue
between key figures in modern art, leading lights of the international contemporary art scene and
a wide audience, especially young people.

Module 3 : Creation and Luxury

Creativity in the Fashion Industry

What is creativity? How to foster it?
 Focus on the Creative Process
A must-have for Designers

- Fashion industry justifies legitimacy of designers by creative genius

- A clear creative process is the best tool a designer can have
- Creative process can by divided in 3 :

- Inspiration : other human beings (muses), childhood memories,

particular attention to gesture or movement, artistic fields
(architecture, music), social events, historical moments,

Collecting :

Experimenting :
Making :

Creative Design and the ASCEND

Framework
Learn about the common path to creativity with Thomaï
Serdari, Professor of Luxury Marketing, NYU Stern School
of Business.

Thomaï Serdari has been studying the Luxury markets since 2008, although her earlier career in
design and art was the foundation of her academic work. She maintains that the
most successful Luxury companies uphold their advantage in the market because
creativity is in the core of their strategic planning. Her academic work stems from the
analysis of several of these companies and, based on her research, she designed a framework
that organises our understanding of creativity.

Her analysis of both historical and contemporary examples of groundbreaking designs, whether
in fashion or any other creative field or Luxury Industry, showed a very interesting process that
takes place consciously, but mostly subconsciously, and that allows the designer to overcome
the challenge of breaking out of the restrictions that come with the tradition of a particular
design field. Thomaï gives a work example of the celebrated historical designer, Charles
James (1906-1978), an Anglo-Saxon who was dedicated to haute couture and craftsmanship
and was much praised by the most renowned names of his time, such as Paul Poiret (1879-
1944), Elsa Schiaparelli (1890-1973), Coco Chanel (1883-1971) and Christian Dior (1905-1957).

For Thomaï Serdari, all creatives can take their designs to the next level of innovation by
focusing the beginning of their design process on the field of the Arts, where abstract and
philosophical ideas offer an unlimited potential of applied solutions and brand differentiation.

Rather than looking at the work of competitors, she recommends to delve deep into an area of
research that interests you and follow the scientific and engineering developments that
influence design. This is how one gets to the next big idea that can be translated into original
solutions to old problems.
 Your immersion into Creation and
Design at LVMH
Discover how creation is at the heart of our Maisons' daily
activities.

From Design to Creation with

Bvlgari
Behind the scenes of a Bvlgari watch

Hublot's modern reinvention of

traditional watchmaking
From ideation and prototyping to manufacturing

Watchmaking enthusiasts will agree that a timepiece contains a universe of miniaturization and
precision. Hublot’s “manufacture movement” channels the many know-hows within the
Maison. It is entirely designed, produced and assembled in-house and most of the components
and cases are produced on-site.
Far from the age-old image of the lonely watchmaker tinkering away in his workshop, a regular
day at Hublot involves interacting with many different colleagues

The design and laboratory units reflect the watchmaking process: from ideation and
prototyping to function optimization, product approval and manufacturing. The two teams are
responsible for every single Hublot watch that comes to life.

How to tackle the challenges of modern watchmaking

Quality and continuous improvement are at the forefront of Hublot's mission. A large part
of fine watchmaking revolves around efficiency and optimization. The laboratory evaluates each
design for functionality and longevity. However, the real test happens once the watch reaches
its owner’s wrist, this phase of live observation is an integral part of product development.
There are many parameters to balance in the product development process, and each
stakeholder holds a different perspective.

Hublot is a verticalized Maison where all the essential trades of watchmaking are brought
together under one roof. This means that collaboration is key and that each team member
typically juggles several projects at once. Hublot is always working on multiple different
designs while striving to improve on the existing models. This is reflected in the responsibilities
for each role, which Patrick Cibien describes as a trifecta of skills:

When heritage meets innovative ambition

At only 42 years old, Hublot holds an unfettered dynamism and seeks to reinterpret technical
watchmaking in a modern way, always looking towards the future.

Hublot’s range of watches combines technical feats, efficient production processes and
desirability. The Maison constantly strives to develop a coherent yet innovative product
line. So, it is a case of striking an ideal balance between a feasible product and an attractive
one.

One or two years of preparation are necessary to create a mechanical movement, from the draft
to the production process. This relatively quick turn-around time in the art of watchmaking is due
to the Maison’s youth. “It is an art, a craft that has existed for 350 years and is constantly
changing,” summarizes Emmanuel Missillier.

Why pursue a career in watchmaking?

“I love the creative and technical side of design, doing different things, pushing innovation and
the fact that we are different,” explains Patrick Cibien who was born in a family of watchmakers.
He considers being a watchmaker a big part of his life’s balance.

Watchmaking is a career that is not often considered but is intensely in demand. Working with
hand-made products carries a romantic aspect in comparison to a typical desk job and the
necessary skills to become successful in this trade are some that many possess. Soft skills
such as problem-solving, patience and discipline paired with being creative and curious
are beneficial for aspiring watchmakers. It is essential to think outside of the box and envision
the future of a centuries-old profession. As a seasoned watchmaker, Emmanuel Missillier
showcases these skills through his passion for mechanical techniques. He considers the
Maison’s mission of taking watchmaking into the future as a unique asset:
 Creation of windows, events and
runway shows at Louis Vuitton

The Visual Image Studio is responsible for all of Louis Vuitton’s store windows worldwide; there
are currently 460 Louis Vuitton network windows all over the world and 14 Maisons or flagship
stores. The Studio also ideates, creates and produces other three-dimensional projects, including
brand elements such as exhibitions, runway shows, temporary spaces, digital projects,
and facades.

Our process starts with collaboration and creative freedom: we are really fortunate for not
having rules regarding the creative process, so we approach all of our projects in different ways.
For example, an idea may originate from something we find in a flea market or bookstore. We
travel a lot [when we can], and we work closely with our communications, product, marketing and
digital as well as the local store teams along the design process, as this can enable projects to
develop in a wider variety of directions.
Ultimately, we aim to deliver work that is consistent and extremely sharp in its outcome so that,
no matter where a client travels in the world, they have a qualitative and exciting experience with
the brand.

We work in a variety of ways that stimulate the creative and development process.
Whether that is through the use of mood boards, which is a great way to move away from a blank
page, through to modelling, illustration and rapid prototyping. Sometimes we will work three-
dimensionally and occasionally move straight to a digital means of development, although
ultimately, concepts are developed through discussions with our team.

We always tend to think of the most recent [or whatever we are currently working on] as the most
exciting! However, thinking of past schemes, one of them has to be a scheme we produced in
conjunction with Frank Gehry a few years ago.

Gehry is someone who we had always admired and was incredibly collaborative and very
generous with his time, enthusiastic about the project and welcomed us with open arms. We
spent a lot of time in his studio in Santa Monica in Los Angeles, which was the most inspiring and
amazing place to be.

We usually work about a year in advance of installation. Some schemes take a bit more time
to develop, and others happen quite quickly. We find, some projects take a little more time to
develop, and other projects will go on hold until it is the right time for the brand. Timing is
everything for a brand such as Louis Vuitton, although we are quite intuitive when it comes to
knowing when a project feels right for us. Being a fashion company rather than purely Leather
goods, we have to be a little more reactionary, therefore Fashion shows, which happen in
October, will lead to a scheme for the following February, so the turnaround is only three months.
Hence, we have to react to the themes of the shows twice a year.

Not every brand or design studio has the opportunity to work with such incredible Artists and
Designers. We have, of course worked with famous Artists such as Yayoi Kusama, Jeff Koons
and Sol Lewitt who have incredible background stories. We do also work with much younger
Artists and Designers too. It is so important for us to engage with external partners across the
Arts, as it helps to inject a different kind of ‘feel’ to the brand.
I think we have been trying to design our way in and out of the windows. We know that they are
important as windows are wonderful places to showcase emotions, to engage clients and
to make the city a bit more of an interesting place to be. We do play with them, we push the
boundaries, and we love to dare!

Every store is drawn digitally, and all of our designers work three-dimensionally with Computer
Aided Design drawings, so that all of our stores are modelled as a digital space.

Every project we work on, whether a window or a façade, for example, has been produced
digitally in advance, as not all stores are architecturally the same size and shape. Furthermore,
we aim at working closely with local markets and we do our best to source the producers with
the right know-how to produce our schemes locally. This network is growing constantly, yet we
do have very high standards and, as we produce everything digitally in 3-D, there is no margin of
error.

We also split the stores into what we call Network stores and Maisons. The network stores are
the smaller stores and the Maisons are the sites such as the ones on the Champs Elysées Paris,
5th Avenue, New York, Plaza 66, Shanghai, New Bond Street, London and Rodeo Drive, Beverly
Hills and then we have our store in Paris at Place Vendome which we treat slightly differently.
This one is where we test ideas, where we might add a scheme to be tried out.

Louis Vuitton products are designed to last. At every stage of the creative process, we analyse
the environmental impact of our creations throughout their entire life-cycle, constantly
challenging ourselves to find creative solutions.
We do this in a variety of ways: by reusing existing materials for the creation of window
schemes, by re-using previous schemes in new incarnations and by constantly questioning
materials and production techniques.

To give you some examples, in the last two years we have created a scheme which was inspired
by, and re-used elements from the Ready-to-wear show; another that used surplus Leather from
the patrimoine; for our Shoal of Fish window we worked with Parley for The Oceans to use
sustainably sourced materials for production in China, and 100% recycled material and ‘green’
chrome finish for the European production. We have re-used bespoke window creatives in
stores from London to Saint Tropez and then from Sydney to California. And our Virgil Abloh
mannequins have had their lives extended far beyond a single season by being resprayed, re-
purposed and even sold to collectors as art pieces.

Committed to circular creativity, we imagine innovative creative circularities in order to further

extend the sustainability of our products. By 2025, 100% of our event and window materials will
be reused or recycled.

What advice would you give to someone who would like to

join your studio?
Be open to inspiration, even in unexpected places. Focus on telling great stories in
an engaging way. Do not limit yourself in your creative process. Whatever you do, do it
with joy and authenticity.

Creation of a Perfume at Guerlain

The nose behind Guerlain's perfumes.
As chief “nose” for Guerlain's perfumes, Thierry Wasser talks about his passion for fragrances
and explains the perfume-making process, from his inspiration to the pursuit of finding
exceptional raw materials.

[INTERVIEW TRANSCRIPTS OVERVIEW]

LOUISE (interviewer): His name is Wasser, Thierry Wasser, and he’s been the nose of Guerlain
since 2008. He is a charming man with astonishing old-factory abilities, who’s also known to be
down to earth, a guy who loves meeting authentic human beings, and I am lucky enough to be
sitting right opposite him. Hello, Thierry, how are you?

THIERRY WASSER: I am good, I am the lucky one.

L: Thank you very much, I am feeling great already, this is starting nicely. What fragrance are
you wearing today?

T: I wear Habit Rouge, eau de toilette, since I’m 13.

L: And why?

T: Oh, that’s a long story.

L: Oh, come on, tell us a little bit about that story.

T: Alright… So, when I was 13, at school all my little comrades had little mustaches and little hair
on the chin, and I haven’t. And, you know, kids at that age, or kids generally speaking, are not
forgiving. I wasn’t exactly bullied, but, you know, I was marked and pointed out and sorted out
because of my baby face. And a friend of my mom, who was a very strong masculine figure for
me, was wearing this cologne. And I stole it. And, believe it or not, but my attitude
changed. And eventually my perception changed. I didn’t grow any hair in any way, but I was
that little man!

L: You still had a baby face but you actually completely changed your attitude.

T: Yeah, but, today – if you have a school reunion with all those ugly kids: they are bald, they
have a belly – so that’s my revenge. But, at the time, my answer to that was obvious.

L: Okay, and you’ve stayed with that perfume all the way through?

T: It worked at the time.

L: So it’s still working today, right?

T: I do believe so.

L: So I believe you get to travel the world, meeting the most incredible people, producers of all
sorts of the different raw materials – absolutely incredible. Would you say you have the best job
in the world?

T: Yeah, I strongly believe that.

L: Maybe you can tell us a little bit, to start with, about some of the amazing people that you’ve
met along your way?

T: Louise, there are so many.

L: I don’t know where to start!

T: Yeah, because each trip – it is its own experience. And when you do go back year after
year, to the same places… you have friends everywhere. And it’s very difficult to sort out which
friends you like better, but experiences are basically extensively human. Because you don’t
buy jasmine rose or sandalwood, you buy jasmine rose and sandalwood from somebody. And if
you do love that somebody, you cannot believe how easy it is to conduct business and to have
exactly what your wishes are. I am sure we buy the best sandalwood in the world. I am sure that
we have the most beautiful rose in the world because of those relationships. Examples?
Well, there is, in the North Australia, where sandalwood’s growing, big, giant man who I call
‘Santa Claus’, because he’s bearded, he’s big, he’s loud, and he’s… Santa Claus. And every
time I go there, it’s like 40 degrees Celsius, the humidity is around a 100 percent or even more, if
it exists. And he rolls his own cigarettes. And he said: “Oi mate!”

L: That’s a good accent!

T: “You want one?” And he’s got such a huge tongue with so much saliva, it’s disgusting – that
cigarette! But you take it and you smoke it, because he’s your friend. And every time I smell
sandalwood…

L: “I think of him!”

T: I’ve got a picture of Santa Claus with this handmade cigarette. Anyway, I don’t know, but these
human trip, which is constant, it could be in-sourcing trips. But it is in my factory outside Paris,
too! You have those characters and that’s what makes you believe in what you’re doing. So
that’s… okay, Santa Claus – I mean, I don’t know, do they seem stupid, those stories?

L: No, I love it!

T: To me, they matter.

L: They do matter, and I think they matter to anybody who’s listening as well. So, let’s talk about
the creation process: when you actually embark on the creation process, where do you start? I
mean, where does the inspiration come from?

T: It comes from everywhere and anywhere. I think, as a perfume designer, or creator, I’m not
keen about “creator”. It’s “designer”, or whatever… “perfumer”…

L: Why does it bother you, that word, then?

T: Well, I had once met mister Lagerfeld, who was in front of a crowd, and one person asked him
about his way of looking at creation, as a creator. And his answer was: “Only God is the Creator,
I’m just, you know, designing things on paper”. And I do believe the same! So, I would say
“designer”, I would say “perfumer”, but…

L: Okay, so, when you are designing…

T: Inspiration is, for a designer, about feelings you want to share. To me, it is
a communication tool: you write a formula like you write a story. Then, if you write a story, it is
always a little bit, more or less, personal. And if you are not engaged in the moment, if you are
not engaged in your life – you live next to your own shoes. How do you want to remember those
moments? So, I think creation comes from little details, little experiences, that you will be
able - when you are back with your creative hat - to recall. And it could be a landscape, it could
be Santa Claus, and these cigarettes - it could be a lot of little things which makes you, or
triggers in you, the imagination to get the story started. And after it’s easy.
L: Okay. Can we maybe take an example – La Petite Robe Noire? In all of our minds, the little
black dress is the thing that, like, all women must have in their wardrobe – I mean, it’s classy, it’s
beautiful, it’s black. How do you start? I mean, do you sit together as a team and talk about it,
or…

T: Well, first of all, you have to understand where the concept comes from. And, obviously, I
didn’t come out with a concept as such. Even in my wildest dreams I don’t wear little black
dresses, right?

L: I don’t know, but yes, I think. Just joking, of course.

T: Me too. Because I do! But, so, this concept came out of Ann-Caroline Prazan’s, the marketing
director for fragrance, head. And, frankly, you say: “Can we invent a fragrance around the
concept of the little black dress?” Frankly, you don’t get it, you think that marketing people are
insane, et cetera, et cetera. But if you think twice, you say: “Huh!”, and that’s a detail which
triggers your imagination. How funny is it for a beauty house to hijack a fashion icon and design a
fragrance out of it. And this is, I think, where the sparkle was, and really started the whole
process, or the train of thoughts leading to it. Very easy – you said it! Little black dress is black,
okay, so what does smell “black”? Go ahead!

L: What smells “black”? I don’t know… something with a deep, dark scent to it? Something… I
don’t know, I am not very specialized in this subject, but a dark…

T: Louise, don’t think too much. Alright, I’m going to help you out.

L: Yes, help me out, yes.

T: Black cherry, black tea, liquorice – for example. They are black, and, I mean, obviously – as a
material, liquorice is black. It’s kind of easy but that’s how I function - I’m not a very complicated
man. So, you take cherry, tea, liquorice… then, eventually, something dark, like patchouli, or
tonka bean – well, you’ve got 5 raw materials which gives you exactly the skeleton of what
it is.

L: I see.

T: And after, as I said before: you need to recall a memory or you need that sparkle, and
after it goes so easy! And those 5 materials defining the little black dress are what makes Petite
Robe Noire.

L: When you are designing, because I am not going to use the word “creating” anymore, but
when you are designing, I mean, are there specific rules, things that don’t really go together?

T: Now that’s the marvel of that trade – that there is no rules. And that makes it also very
complicated. It is not scientific, there is no alphabet, there are no rules. Not only there is no
alphabet, there are no grammars, so you tell a story with words that you know, but there is no
grammar.

L: Can we get lost though?

T: Yes, indeed. And I spend days being lost.

L: What do you do when you are lost?

T: Well, you don’t even know you are lost. That’s the thing – somebody else tells you: “Hey! What
are you doing here? You are lost!”

L: What’s the “Wasser touch”? Is there a “Wasser touch”?

T: Well, it’s not for me to say because I don’t know it. I mean, if there is, somebody else who
knows my work would say: “Well, well, this is Wasser’s” blah blah, but I don’t know.

L: Do you know what people say about you though?

T: No.

L: You are not interested in that?

T: It’s not that I am not interested, it’s just that I don’t know. I mean, people don’t come out to you
and say: “Oh well, you are this or you are that, and I love you for this”. Sometimes, yes, “I love
you for this and that”, but basically you don’t know what kind of image you project on people’s
mind.

L: So then, what are your tastes, I guess? What do you like?

T: I am very versatile, I mean, that’s also maybe why it’s difficult to eventually figure out the
style. Because I change, I enjoy, I don’t think too much. So, it’s easy to get lost that way, but it’s
also very easy to have different horizons.

L: Of course. What’s the most challenging of your perfumes up until now? What was, maybe, the
perfume that gave you the most headaches? Or the most joy?

T: Joy… Every fragrance is a baby of yours, so it gives you joy. But indeed, there are times of
labor which are more or less difficult.

L: Each pregnancy is different, yeah.

T: Indeed, I guess. I mean, how would I know, but yes. So, we are back to being lost. It’s difficult
when you have an idea, since there are no rules in what you are doing, to get to the point where
what is physically in a bottle matches your idea. So, it can be years, and years, and years of
trials and errors to get to that point where you are happy. And also – when do you stop? When
are you happy? I mean a 100 percent happy, so happy from this piece of heart that you
managed to create, alright? It is very difficult. Ask a painter, when, especially in abstract art –
when is it over? When is it done? When are you happy? Here, it’s the same thing. But
fortunately, you have the business who tells you, you know, by May 15th, 2019, we have to
launch that fragrance. So, obviously, it’s like the painter again who says: “Well, there is a grand
opening at a gallery, and I need to have some painting ready for that opening”. So, it helps you to
make or to take some decisions, but it’s always difficult.

L: We need deadlines.

T: We all do. Otherwise, you can procrastinate, or you can find excuses, and you say: “It’s just
not cooked yet!” Well, come on.

L: In your personality, in the way you work, are you a loner, or you need to be with your team
often? How do you work?

T: Both. The creative process is lonely. And Lord, my load is heavy! [laughs] I hate that, because
it’s not in my nature to enjoy today’s loneliness. And you need an outside eye with a perspective
to give you a sense of what you are doing, and eventually a horizon. If you are too much into
what you are doing, you cannot see very far. And eventually, guess what? You get lost.

L: Yes, of course.
T: So, I have strong opinions. The design is not a democracy, at all. So, yes, it is lonely. But
look – I am 58 and I started at age 21, so I’ve been around for a while. I am no spring chicken no
more. And the older you grow, and you trade is your “it is”, because more than anything, what
helps you is your experience.

L: Of course.

T: And it becomes for me, strangely enough, easier and easier by the year, to express myself.

L: That’s great! Thank you very much Thierry, and we’ll continue talking about creation and
emotion in another episode.

Fostering Creation & Design

through Innovation
Focus on Tiffany & Co.

Now that you have learnt more about Creation & Design in various sectors and Maisons,
discover how an innovative spirit can foster creativity even more.

Dana Naberezny, Chief Innovation Officer for Jewelry at Tiffany &Co., unveils how the
Maison accelerates innovation at the service of creativity and highlights the importance
of having a diverse team.

Your immersion into Luxury Brand

Management
Building iconic and desirable brands

About Brand DNA

The essence of a Luxury Brand.
 Brand Codes
Great assets to build a brand.
 Product superiority: an asset for
branding
Product superiority can originate from multiple facets: from raw material to craftsmanship to
resulting comfort, refinement in design, etc…It is also essential to acknowledge that a Luxury
product aims at reaching perfection, but on selected dimensions. For instance, a watch may
have an exceptional complication but be heavy, which could be seen as a disadvantage by
some. A sports car will aim for performance in terms of speed, but may be perceived as noisy.

Let’s now look at features of product superiority that became so iconic to brands to be
perceived as key elements of recognition for brands today.

 The most obvious one would be exceptional design. At Porsche, for instance, the
Panamera or Cayenne models borrow design elements from the emblematic 911 as a
way to establish proprietary“Porscheness” in different categories such as SUVs. The
same goes for the Louis Vuitton iconic trunk, whose exceptional design has
been expressed in another category with the mini-trunk.

 Craftsmanship at its finest can also become iconic in itself. For instance, the Berluti
patina that beautifies Berluti shoes in a unique and proprietary way, allowing endless
latitude for variety, provides Berluti with a signature, often copied but never
equaled because of the authentic skills behind it.

 Exceptional raw material can become iconic. Think about Loro Piana's reliance on the
vicuna, which became almost proprietary to the brand thanks to their efforts in
protecting this camelids species.

 Developing exceptional usage value can also translate into iconic assets. Louis
Vuitton's trunks are an excellent example of the exceptional usage value: the “library
trunk” is designed for the specific needs of writers and bibliophiles, including Ernest
Hemingway himself who got his ideal trunk designed with secret drawers and snug
shelves. More generally, Louis Vuitton bags are designed for exceptional usage: for
instance, the steamer bag is a small handbag designed to fit inside steamer trunks on
boats.

 Finally, exceptional performance can also ignite brand recognition. Louis Vuitton again,
revolutionised luggage locks with a unique and ingenious locking system that
transforms travel trunks into real treasure chests. The Vuitton lock is hence iconic of the
brand, alongside the coated canvas which conveys lightness yet resistance to the bags.

In a nutshell, over time, elements of product superiority, proprietary to the brand,

may become iconic features making its products recognisable across categories. They thus
progressively become key branding elements.
 Brand relevance via collaborations
and curations
How and why do brands collaborate?

Many Luxury brands have been able to stay relevant via two main strategies - one being
collaborations and the second one is evolving as we speak, and it's only implemented by the
most innovative companies in the Luxury Industry – this is the strategy of providing curation
above and beyond the brand.

Collaborations can involve two brands collaborating together on a capsule collection; they
can involve a brand collaborating with an event (these are usually referred to as
sponsorships), a brand collaborating with an artist, an influencer or a brand collaborating
with an institution (like a museum). The possibilities are endless. Collaborations have been a
great way for brands to explore new aesthetics and bring together customer bases.
Collaborations are also a fantastic way to refresh a brand. Reports from McKinsey show that
collaborations are the most effective way to recruit new customers into the brand… Most of the
first time purchases for millennials include collaborations.

Probably the most successful collaboration to date took place between Louis Vuitton and
Supreme.
It was released in a series of exclusive drops and the Supreme signature red colour was on full
display with a series of monogram bags, shoes and accessories. Despite occupying opposite
ends of the industry spectrum, Luxury and streetwear, the collection seamlessly merged DNA
of both brands and still today boasts a very high resale rate. After this first iconic collaboration,
Supreme has continued to be a brand of choice when it comes to collaborations for several other
LVMH Brands, Rimowa in 2018 and then Tiffany and Co. in 2021. The success of the
collaboration between these two brands is evident in how strongly the consumers desire the
collection – the Supreme X Rimowa red and black suitcase EU drop sold out in less than 30
seconds! Rimowa has reenergized their brand and acquired an entire new customer base of
Luxury and fashion enthusiasts via many exciting collaborations which include Off-White, Anti
Social Social Club and Fendi.

For Tiffany and Co. the collaboration with Supreme, named “Return to Tiffany®” was inspired by
original designs from the 1960s and engraved with the iconic “Please Return To” but instead of
the Tiffany & Co. New York code, it now says Supreme. The purpose of this collaboration is for
Tiffany & Co. to tap into the youth market and give the brand a more contemporary and fresh
feel.

Another great example is the collaboration between Dior and Nike. Dior Homme teamed up with
Nike to unveil the highly sought-after Air Jordan Dior sneaker, even though they had to postpone
their international online draw by a few months due to the coronavirus pandemic. 5,000,000
people registered on the micro site set up for the launch, even though the brand only produced
13,000 pairs of sneakers with 5000 pairs offered to top clients. These sneakers were priced at
around $2000 for the low top versions, a much higher price point than the original Air Jordans.

What is important to remember is that Luxury brands no longer sell just their brand. In a new
era of consumer expectation for shared values, brands are curating platforms to function as
tastemakers to extend their own brand halo into the wider cultural world. Consumers are
interested in discovering new brands, unique storytelling and in cultivating tastes. So what you
find is that brands are taking a step forward in how they are engaging their customers by
offering not just their brand curation but a wider curation that fits within their brand
universe.

For example, Stella McCartney reopened its London flagship store in April 2021, with a space
that they called StellaCommunity friends, with the purpose to host a different local business each
week, featuring beauty, art, music, food, live-streamed talks with special guests and skincare
treatments from Dr Barbara Sturm and Face Gym, among others. The initiative was the start of a
new global rollout, with the goal of turning its stores around the world into a hub for local
businesses and consumers. Brands like Gentle Monster recently opened a new flagship store in
Seoul, featuring products from other brands alongside its eyewear. This has resulted in their
quickly becoming a local influencer hotspot.

Extending your brand to include new products only works if there is a synergy and it adds
value. Unlike Alibaba or Amazon, which sell everything, a Luxury brand will have to be careful
about the brands that they bring on. A curated assortment is crucial!

Experiences as a key lever to

engage customers
Consumers used to let brands do the driving. They would get into the back-seat, and let the
brands lead the way. Each brand had a story to tell, and by choosing one over another,
consumers were effectively buying into one brand’s narrative and letting it speak on their behalf.
A purchase was a form of self-expression. One might say you were what you bought.

Today’s consumers, however, want to take the wheel. With a wealth of knowledge at their
fingertips and the world at their feet, they are telling brands where they want to go and how they
want to get there. Of course, Luxury consumers are still looking for craftsmanship, functionality
and design. But, more than ever before, they are also looking for a shared experience with
their favorite brands.

This shift, as consumers spend less money on tangible things and more on experiences,
represents a critical challenge for Luxury brands. Their consumers are expecting more than
just the best quality, so Luxury brands will need to give them the experience they are looking for,
whether online or in stores. In other words, what we call ‘experiential marketing’ has become a
must.

So here are the three keys to engaging today’s Luxury consumers through experiential
marketing.

Speak to their hearts: delight them!

People used to experience the world in superficial ways. Travel was about seeing many
countries for short stays and getting snapshots of the top attractions. Luxury travelers tended to
stay in five-star hotels that offered rather uniform, European-style service, regardless of the
location. Shopping abroad often meant going into the same European boutiques found in most
major metropolies around the globe.

Today, millennials are driving major changes in the travel and retail arenas. They are searching
for authenticity: a local, in-depth experience outside the beaten path. What we were seeing in
pre-Covid travel is that millennials were more likely to stay at an Airbnb to experience the city like
a local and search out foods, wines and unique products made by local artisans. They want to be
immersed in an experience that they will carry in their hearts for a lifetime… and the pandemic
has contributed to accelerate this trend even further.

How does this translate to Luxury retail?

The DFS Department Store in Venice, Italy, offers us a striking example of experiential
marketing that helps brands speak to consumers' hearts. In the restored and revitalized T
Fondaco dei Tedeschi, one of the largest buildings in Venice, architects Rem Koolhaas and
Jamie Fobert have meticulously respected Venice’s unique heritage while integrating touches of
modernity. With an entire floor dedicated to exhibitions and events open to the public, they have
created a new cultural hub for Venetians and tourists alike.
You do not just go there to shop, you go to be immersed in an experience. In 2021, with the
paradigm shift due to the pandemic, the Fondaco has also reinvented itself via online channels
that complement and, if necessary, replace the physical retail experience: in this way, customers
can be delighted through new technologies that allow consultation and shopping experiences
close to the physical ones.

Art speaks to observers on an emotional level. Studies have found that exposure to art can
even reduce stress! Art piques curiosity too: today’s consumer wants to learn and understand the
artistic process. Art offers a powerful axis through which to speak to the hearts of
consumers. Some brands have launched dedicated museums, like the Louis Vuitton Foundation
in Paris, for example, which makes art an integral part of Louis Vuitton's brand storytelling. The
Christian Dior Exhibit at the Musée des Arts Décoratifs offers another striking example of art
taking a central place in a brand’s ecosystem and helps legitimize the founder as an artist in his
own right.
Chaumet launched an exhibition within their own beautifully restored salons at 12 Place
Vendome in Paris. The exhibition was titled ‘Joséphine et Napoléon, une histoire
(extra)ordinaire’, and was set to celebrate their life together and to mark the bicentenary of the
Emperor's death in 1821. The exhibition featured 150 pieces of jewelry, paintings, works of art,
correspondence and illustrated documents between the two lovers, who were known to write
exquisite love letters to one another, yet again immersing us in the story of the Maison.

But the Luxury-art union also unravels through other forms of collaboration and
creation that go beyond museum exhibitions. Dior has repeatedly brought its own creations to
ballet, such as those for Philip Glass-composed ballet in Rome.

Guerlain, on the other hand, inaugurated a few years ago a women's solidarity project that
speaks through images, those of photography. ‘Femmes en regard’, in the series in May 2021,
was a dialogue between conferences and photography exhibitions staged at their boutique on
avenue des Champs-Élysées in Paris, meant to give voice to the exhibited artists. All examples
that reinforce the idea that art and Luxury go hand-in-hand.

Speak to their minds – Entertain them!

Storytelling is one of the best ways to engage consumers. Today’s consumers are hungry to
learn about the history of each brand, their creative processes, and their artistic inspirations.
They want to be engaged on an intellectual level but also entertained, both in-stores and
online. This growing desire translates to a burgeoning “content craze”. Content is indeed
key; however, it also needs to be credible, authentic, unique, and fun to fully involve
customers.

Visual storytelling is particularly powerful. Images, for example, offer a shortcut to the
brain: images are processed by the human brain 60,000 times faster than words and are more
readily memorised. Videos are even more effective: people tend to spend five times more time
looking at videos than static images. Plus, when you show a video, studies show that there is
much better recall of the brand. Even very short video content can be incredibly effective.
Storytelling takes consumers on a journey of discovery, even if that journey was only a few
seconds long.

This immersive experience can be created through numerous tools. Christian Dior, for
example, has experimented it with the presentation of Haute Couture by creating short films that
have the ability to engage the viewer and take them into another dimension. With ‘Le Mythe Dior’
(2020) or ‘Le Château du Tarot’ (2021), the clothes from the catwalks blend into a different
universe, where the scenery absorbs and immerses the viewer completely, who is taken into the
world of the Maison.

Tied even more closely to the theme of entertainment, the Maison launched Dior Talks, a series
of podcasts that explore the creative imaginations behind the brand's success and that give a
voice to female artists, athletes, and actresses who have inspired Maria Grazia Chiuri with their
courage, passion and talent, their embodiment of the bold empowerment Dior admires and who
are linked to the Maison through collaborations and projects. In the wake of infotainment, the
public is involved, entertained and captured by a new dimension that opens the door to the brain
behind the myth.

The same can be said for the phenomenon of gamification in a market that is growing by 20%
annually, a phenomenon to which LVMH has responded promptly with the alliance between
Louis Vuitton and Riot Games, where they partnered in the League of Legends game with
branded collections for the characters. A branded entertainment for Luxury consumers - a
segment of consumers constantly looking for a new and fresh kind of experience.

Speak to their senses- Immerse them!

Finally, engaging today’s Luxury consumers means stimulating all five senses. During a
shopping experience, consumers should be invited to see the intricate detailing and feel the
textures of fabrics. Smells and sounds are equally, if not more important. In fact, with all of the
senses like sight, taste, hearing, and touch, people tend to think before they feel the relevant
emotion. With scent, on the other hand, our brain tends to respond automatically, on a
subconscious level. A hint of Dior J’adore parfume can bring the entire Dior brand identity to
mind, and the effect is even more powerful when combined with a visual cue like a logo or
signature product like an iconic handbag.

A real innovation in this area comes from Guerlain, that developed Mindscent, a fragrance finder
powered by emotion sensors. With the help of technology including neuronal headset and visual
interfaces, customers are invited to a three-minute interactive experience guided by a beauty
consultant. They get to find out which of the Maison’s 110 fragrances is their favorite, the
perfume that brings them the most positive emotional reaction and best matches their
personality.

Several senses can also be combined at the same time for a 360° stimulation, to create
references and associations with sensory spheres that are not directly linked to the type of
product, but that are meant to amplify the consumer's experience. Some of the brands like
Fendi have been experimenting with permanent cafes or pop-up spaces serving cappuccinos
and cocktails in brand- inspired interiors. In a world where everything becomes more experiential,
a dinner or a coffee becomes an expression of the self.
Places can satisfy high-end consumers' senses, making Luxury brands true lifestyle brands.
Beneath all of this is science: research published in the scientific journal shows that people
remember about 35% of what they smell or taste, compared to 5% of what they see, 2% of what
they hear and 1% of what they touch.

This type of sensory marketing should take its place within a seamless, omni-
channeI experience: in physical stores, within online ecosystems, using a mobile app, or
browsing through a catalog or on social media, clients should feel engaged with the brand
identity on multiple levels. An excellent example of this is Sephora, which for years has been
integrating technologies that are typically online with offline and vice versa. Just one recent
example is Color IQ, which uses scientifically accurate scanning of skin colors to suggest
suitable products for specific skin tones; or the app implemented in 2018, which uses augmented
reality to digitally recreate your own face and try out products. Sephora is also experimenting
with shops that are smaller in size and physical offering, but with staff equipped with
smartphones so customers can choose among a bigger range of products and pay directly.

Each piece of the consumer’s experience should be consistent, complementary,

and streamlined. Today, many aspects of our lives have been programmed, streamlined and
systematised. Luxury retailers need therefore to focus on bringing spontaneity back into the
retail environments both online and offline by encouraging their consumers to explore and
inviting them on a journey of discovery.

Branding at LVMH

Discover Brand Management at

Parfums Christian Dior
Join Nina Cooper, International Marketing Director for the Makeup Category at Parfums
Christian Dior. She unveils her role, from defining the strategy and positioning of the Makeup
category, to building strong innovation plans and omnichannel activations.

Discover Brand Management at

Veuve Clicquot
Identity, Legacy, Commitment and Creativity.

Developing Luxury experiences at

Moët Hennessy North America
Focus on Branding & Experiences

Now that you had an insight of brand management on a global scale with Carole, watch this
video and learn more about brand activations in markets.

Hear from Nelson Gillum, Brand Activations & Experiences Director at Moët Hennessy North
America, how to translate Branding of iconic brands into Luxury experiences that engage your
targeted audience while communicating the brands' story.
 Branding strategy at Tiffany & Co.
Let's focus now on the Jewelry sector

As you previously saw, branding is key in order to create a distinct and unique identity for a
Maison in the minds of clients and consumers.

Watch this video from Sage Klapper, Global Marketing Director at Tiffany & Co., and learn more
about Tiffany & Co.'s “Inspire, Elevate, and Educate” framework used to develop their
branding strategy.

Module 4 : Operations and Supply Chain

First things first: A 360° view of

Operations
What do we mean by Operations? Which teams are
involved? What are the stakes?

How to define Operations and Supply Chain ?

Operations refer to all the activities that transform raw materials,

components and packaging into finished goods and then distribute those
products to the final customer.

This chain of activities is referred to as the Supply Chain.

3 important decisions for Operations and Supply Chain :

All these operations descriptions must be taken with the goal of optimizing
the end-to-end supply chain (which can be expressed as providing the
best service to customers while achieving a sustainable performance.

What do we mean by sustainable performance ?

3 pilars :

What makes Operations and Supply Chain special in the luxury market ?

Collaboration and agilit : 2 key drivers of a high performing supply chain

The new drivers of operations and supply chain :

 Focus on Fashion Supply Chain
management
Get the basics of Supply Chain management in Fashion
and understand the challenges to come.

What is Supply Chain Management ?

It means all resources, all methodologies, all tools aiming at :

It covers 2 kinds of practices

Classical : logistics, everything that is physical (supply chain execution)

Unknown : planning, everything that is more intellectual

History of Logistics and Supply Chain :

- Beginning of 19th century

- With the element of « Art of war », a book

What is the role of supply chain management ?

It’s a damper between the supply and demand

We have 2 levers to damper those 2 sides :

What are the key wording elements in supply chain management ?

3 different main moments of the supply chain :

In concrete terms what is part of a supply chain ?

The most important step is the raw material

What are the specifics of the fashion market ?

No view if market will purchase or not

Challenges in the fashion industry :

1. Multicycles in fashion
2. Global cross merchandising
3. Raw materials at front
4. Front to back/back to front philosophy and transparency

Operations & Sustainability

 A key challenge for Operations

- Environmental awareness is growing in the luxury industry

- Big turning point in 2018-2019 : from greenwash to genuine
performance

Pourquoi ?

- Consumers behaviour
- Increase in initiatives allowing the consumers to asses a products
impact
- Binding changes in legislation
- Covid Crisis leading to an acceleration of this awareness

The 3 challenges to improving environmental impact :

1. Minimise the environnemental impact of each product

2. Avoid the destruction of products

2 ways : customisation and agility

3. Maximise the lifetime of a product

Your immersion into Operations at

LVMH
Let’s focus on these various activities, crucial to LVMH
Maisons.
 360° overview of Operations at
LVMH
What are the main activities in Operations?

1. Defining Operations

Operations cover all steps to transform a creative design into a product

delivered to the final costumer.

Manufacturing :

Production :
 2. Opérations at LVMH (main challenges)

There are tree pillars to face this challenges :

3. Opérations : what sets LVMH appart ?

4. CSR and Operations

 5. Improving Operations at LVMH in the future

Opérations are at the heart of LVMH

Part 1
Let's deep dive into the first step.

The critical role of Manufacturing

at LVMH
Its definition and challenges

Manufacturing is more than just the transformation of raw materials into finished products
at LVMH. Indeed, all aspects of manufacturing reflect the Group's Values, Heritage and
Expertise.

As Group Manufacturing Leader at LVMH, I have three main missions:

 Attract new talents to the Group and develop LVMH Operations' teams with, for
example, our “Manufacturing and Supply Chain Academy". Through this academy, we
help managers growing new skills and/or increase their level of expertise in the
manufacturing and supply chain areas within the Group,
 Being a key “sparring partner” for each Maison to support their operations and help
them accelerate on transformation projects,
 Facilitate the sharing of best practices between our Maison. To foster the innovation
spirit, I am responsible for inspiring the Maisons’ team with external trends or
breakthrough initiatives.
Common Values & Shared Specificities: Our Strength
At LVMH, we have various business sectors with different industrial processes.
Making a lipstick, a leather bag, a bottle of wine or a watch involve different equipments,
processes and expertise.

Despite this variety, each Maison shares the same culture and follows three fundamental
principles when it comes to production:

First, Savoir-Faire.
Our Maisons are the custodians of an exceptional heritage of traditional craftsmanship and
creative skills. This savoir-faire is still very present in all our processes.

Second, Quality.
Quality is of fundamental importance to our work. Our talents rely on a continuous
improvement mindset to ensure the highest standards of product quality, industrial processes
and working conditions for our teams.

Last but not least, Agility.

In a company where creativity and innovation are core values, our manufacturing sites have to
be agile.
We define it as the ability of an organisation to respond quickly and effectively to expected
and unexpected changes in a fast, flexible, and cost-effective manner. It is nurtured in all areas
of operations, resulting in a sustainable long-term competitive advantage.

Challenges: Translating Innovation into Production

In today’s fast-changing world, there are major challenges to be tackled both within our Group
and across Maisons, as well as externally.

To sustain the growth of our Maisons, we need to be able to answer to increased

demand while maintaining each brand’s savoir-faire. For example, our manufacturing sites have
to strengthen their production capacities, thus we need new talents to whom it is key to transmit
our savoir-faire and expertise.

We have to adapt to changes in demand. For instance, fluctuation might occur if an influencer,
who has set his heart on a specific product, has provoked a peak in demand among customers.
On the other hand, with the pandemic situation in 2020, the question has suddenly been how to
cope with decreased demand in some regions and how to adapt production.

The Maisons within the Group are constantly innovating, with a continuous renewal of
products. Our job (and challenge!) is to manage industrially the complexity of large product
portfolios. Another challenge is the permanent effort to reduce time to market. We need to react
quickly so that the time between the idea of a new product and its delivery to the shops is kept to
a minimum.

We eventually deal with critical resources - rare and precious materials, and in our constant
quest of improving positively LVMH and its Maisons’ environmental footprint, we need to
continuously optimise our resources management and give consumers transparent
information.

Manufacturing at LVMH: The Opportunity to Work in a

Variety of Worlds
Working in the manufacturing field at LVMH is a unique experience. The Group is home to over
75 Maisons rooted in six different sectors, so it provides a rare opportunity to discover and work
within several different industrial processes.
Also, each of the Group’s brands maintains a strong focus on the exceptional quality of every
product, therefore it is an honour to participate in the process of making LVMH products.

The “value” of our products strongly relies on the exceptional work being done in our factories. In
terms of manufacturing jobs, the workers’ expertise has been gained through years of
experience, and this is something that is very noble. Being at the heart of the industrial process
allows you to work alongside with highly experienced people.

Technology & Savoir-faire

We are in the era of manufacturing 4.0, a technological transformation is currently occurring in
our factories. Data is now digitized to increase efficiency, improve quality and ease the work of
our operators.

However, technology must remain at the service of savoir-faire.

Therefore, technology will only be integrated where it is really needed and when we are
convinced that it will have a positive impact.

In a nutshell: we believe in Collective Intelligence before Artificial Intelligence.

Manufacturing and Production at

TAG Heuer
Learn about the innovations and challenges of a
watchmaking company.

How would you describe the manufacturing process at TAG Heuer?

The manufacturing process for watches at TAG Heuer involves a series of intricate and precise
steps:

1. Design of the watch

2. Creation of a prototype and the selection of materials
3. Production and assembling of components such as movement, dial, hands, and case by
highly skilled technicians
4. Quality control measures process to ensure that each watch meets the company's
exacting standards

In terms of the stakes, quality is of paramount importance. Customers expect their watches to be
reliable, accurate, and durable.

In a VUCA (volatile, uncertain, complex, and ambiguous) world, it's essential for companies to
be agile and adaptable. This means being able to quickly adjust production processes,
supply chain management, and other operations in response to changing market conditions.

Moreover, there are further innovations that need to be mentioned:

1. Smartwatches
One of the most significant innovations in recent years has been the development of
connected watches, also known as smartwatches. These watches are equipped with sensors
and other technologies that allow them to connect to the internet, track fitness metrics, provide
notifications, and perform other functions beyond simply telling time. Companies like Apple,
Samsung, and Garmin have been at the forefront of this trend.

2. Materials and techniques

Another area of innovation at TAG HEUER has been the use of new materials and
manufacturing techniques. For example, we have experimented with using carbon fiber,
ceramic, and other high-tech materials to create lighter and more durable watches. One very
interesting new material we are now using at TAG HEUER is Lab-grown diamonds. These
diamonds are created in a laboratory setting using advanced technology that replicates the
natural process of diamond formation. With these diamonds we are able to offer new shape and
texture that you can’t get with natural one and express new customized design to our clients.

3. Blockchain technology
Finally, a few numbers of watch companies have also been exploring the use of blockchain
technology to track the authenticity and ownership of their watches. By using blockchain,
companies can create a tamper-proof record of a watch's history, which can help to prevent
counterfeiting and improve transparency in the supply chain.
Looking towards the future, what are the next challenges?
Based on current trends in the high-end Swiss watch industry, here are some potential
challenges and opportunities that companies might face:

 Sustainability commitments: Consumers are increasingly concerned about the

environmental impact of their purchases, and high-end Swiss watch companies will need
to address this issue in order to stay competitive. This may involve using more
sustainable materials, reducing waste in the manufacturing process, or partnering
with environmental organizations to promote conservation efforts.
 Innovation as a key asset for the future: The high-end Swiss watch market is highly
competitive, with many established brands and new entrants vying for market share.
Companies will need to stay ahead of the competition by developing innovative new
products, improving their marketing strategies, and building strong relationships with
customers.
 Evolving consumer preferences: The preferences and priorities of high-end Swiss
watch consumers can shift rapidly, and companies need to stay attuned to these
changes in order to remain relevant. For example, there may be increased demand
for watches with more sustainable materials or those with advanced technological
features such as connected capabilities.
 E-commerce: The growth of e-commerce has disrupted traditional retail channels and
the high-end Swiss watch industry has been slow to adapt. However, with the rise of
online marketplaces and the convenience of e-commerce, companies will need to build
and improve their online presence to compete and grow their business.

Leather Goods' Production at

Celine
Agility of a production site

- 500K bags/year
- 400 collaborators
What is the biggest challenge for the industry?
 VUCA environment

Overview of Production in
Champagne
Main stakes of a Production Director in the Wines & Spirits
Division

You worked in other industries before joining LVMH and

the Wines & Spirits sector. Could you enhance the
specificity of working in Manufacturing for Champagne
Maisons?
Champagne production draws its added value from the ageing of time, whereas most other
industries are always looking to shorten production time. This drives us to implement operational
excellence programs specific to our production processes. And more than in any other industry,
we also invest over several years to improve the quality and the way we develop our products.

What are the key stakes for the future?

In our manufacturing process, major investments are regularly made to modernize our facilities,
to meet the new needs of our Maisons in terms of quality improvement, control of our processes
and efficiency.

Some of our installations, such as our traceability system or our auto guided trolleys, are truly at
the forefront of industry 4.0 facilities. Moreover, we have set up a single-bottle traceability system
using UV ink specially developed for printing on glass bottles.

Personally, when I joined the Group, I was positively surprised by the incredible balance between
historical “savoir-faire” and the modernity of some of our facilities. After working at the Group for
some years, I believe the key word for Production Managers at Moët & Chandon
is development.
Looking at the future, we not only need advanced specialists, as we highly value the curiosity
and interest that one shows in our products and practices. With new, fresh perspectives, together
we will be able to further develop the workforce, organizations, practices, and ultimately, our
business.

Focus on Product Compliance at

Sephora
Excellence and quality first!

All products developed must be compliant with international regulations.

Noémie Saillon, Development Director at Sephora, talks about the importance of compliance in
the cosmetics world.

What is the specificity of working with cosmetics ?

- Heavily regulated sector

Part 2
Now, deep dive into Supply Chain!

What is the supply chain?

A supply chain refers to the management of the flow of products and services – namely
providing the right products and services, at the right time, with the best quality, with the right
quantity, and at the right cost. There are numerous elements to it, including strategic design of
the production and distribution network, demand forecasting, production and distribution
planning, stock sizing, transportation …

This is why Supply Chain is at the heart of the customer promise: having the right product
availability in stores or online, being able to deliver it in a seamless way to the client, by
respecting the delivery leadtime, with a frictionless return experience… This is definitively the key
to ensuring client satisfaction and loyalty.

But more recently, the supply chain has also been about embracing structural changes and
transformation to adapt to the VUCA (Volatile, Uncertain, Complex, & Ambiguous) world.

What are the key specificities of the LVMH Supply Chain?

First, there is not just one LVMH Supply Chain, but almost as many Supply Chains as we have
Maisons, since the LVMH group is very decentralized.

Nevertheless, all these Supply Chains share the same specificities:

  A worldwide distribution: products are distributed all over the world.
 A wide diversity of products: from limited edition of premium products (e.g. Chaumet
Tiara) to products being sold in hundreds of thousands quantities (e.g. bottles of Moët
champagne).
 A wide diversity of clients with a large variety expectations (in terms of products,
services, delivery leadtime, cultural differences…).
 A wide diversity of sales channels (Retail, Wholesale, e-commerce, marketplace…).
 With a lot of manufacturing and sourcing constraints: raw materials scarcity, limited
manufacturing capacity…
 But most importantly - with a high focus on Product Quality & Client Experience.

Coming from an engineering background, due to its complexity and diversity, the LVMH Supply
Chain is one of the most stimulating and challenging Supply Chains that I could have found as
a Supply Chain Expert.

How the Luxury Supply Chain has evolved in the past few
years?
Over the past few years, with the COVID crisis as well as the rise of e-commerce/Digital, the
spotlight has turned to the supply chain, which has become even more vital to ensure smooth
business processes.

Seen as a support function for the past 20 years, Supply Chain has now become a strategic
part of our Maisons' business. As Supply Chain experts, we were previously convinced deep
inside that this was the case, but, in the light of the previous years, we really have gained 10
years of transformational mindset about how sexy and important Supply Chain actually is!

Within LVMH, the Supply Chain transformation is based on 5 key pillars:

1. Sustainability and Corporate Social Responsibility: to make sure that our products
are not only beautiful, but also green. The LVMH Group committed to reducing
greenhouse gas emission, and improvements in supply chain activities, such as raw
material production and transportation contribute to this effort.

2. Agility: as we never know what we will need to deal with in the coming months or years.
Our only certainty is that something could happen and that the most agile and resilient
supply chains will come out on top.

For example, a few years ago, we couldn't have imagined that we would have to manage
a sanitary crisis, an Evergreen container ship stuck in the Suez canal, the Ukraine/Russia
war, an energy crisis… . And yet we were able to react quickly and efficiently!
During lockdown, for instance, Louis Vuitton has created a virtual showroom in record
time to allow teams across the world to see the latest collections and place orders.

3. E-commerce: to begin with, the Luxury sector didn’t adapt well to the e-commerce world
- largely because Luxury is based on the idea of rarity and exclusivity, which appears to
be in contradiction with the internet, where everything is accessible to everyone.
Moreover, the in-boutique experience has always been central to our client relationship.

Over the last decade, changes in consumer behaviour have driven Luxury Maisons to
include digital components, gradually incorporating technology into everything - from
customer service and product innovation to the end-to-end supply chain. In this way, the
digital allows us to serve our customers in the best way we possibly can.
 E-commerce will also represent 30%+ of the sector’s sales by 2030, if not more! In that
regards, supply chain is and will be a growing key success factor for brands.

The dichotomy between the digital and physical worlds has recently become no longer
relevant, with today’s customers often choosing to discover new collections online,
reserving products, then going to try them on in physical stores. It is about offering fluidity
between the online and offline worlds, while maintaining our standards of excellence.

4. Artificial Intelligence: the Supply Chain departments of the group's Maisons are
increasingly benefiting from the contribution of AI to improve their performance. For
example, sales forecasts - a pillar of the Supply Chain - can rely on machine learning
technology. But AI can also be used to optimize the distribution of stock in different stores
and warehouses or report operational alerts. Our teams are actively observing the
development of the AI to identify and test the next use cases.

5. People: behind successful Supply Chains, there are great people and teams, all around
the world. People make the difference. Therefore, we are convinced that we need to
attract and develop new supply chain talents to help us tackle these numerous but
incredibly interesting challenges.

What does the role of a Head of Supply Chain Excellence

within LVMH Holding entail?
To help all the LVMH Group Maisons address the key challenges of their Operations (growth,
agility, efficiency, quality, sustainability, etc.) while building the Operations of tomorrow, LVMH
has created a center of expertiseat the Holding level.

This Group Operations department brings together the following three areas of expertise: Supply
Chain, Manufacturing and Purchasing.

My role as Head of Supply Chain Excellence leader is to support the Maisons through all their
Supply Chain challenges through the following levers, all while respecting their autonomy:

 Attracting new talents to the Group and developping LVMH Supply Chain's
teams with, for example, our “Manufacturing and Supply Chain Academy". Through this
academy, we assist managers in growing new skills and/or increasing their level of
expertise in the manufacturing and supply chain areas within the Group.
 Being a key “sparring partner” or “internal consulting manager” for each Maison to
support their operations and help them accelerate on transformation projects.
 Facilitating the sharing of best practices between our Maisons. To foster the innovation
spirit, I am responsible for inspiring the Maisons’ team with external trends or
breakthrough initiatives.

What I can say for sure, is that the positioning of this team (on all supply chain issues, in concern
to strategic and operational aspects), as well as its transverse vision of the Supply Chain issues
of the Group's Maisons, is definitively unique and one of a kind!

Supply Chain at Louis Vuitton 1/2

 Learn more about Supply Chain & Logistics at Louis

Vuitton

1. Job Responsabilities in the Supply Chain of LV

#3

2. Specifics of the Supply Chain at LV

In order to follow this model we have some specifics :

- Agile (planning ahead 18 months but being able to change the data
within the day) ; production planned ready at the 7th day
- Strategic importance of logistics
- Long term relationship with providers

3. Supply Chain Challenges

 - Agility

4. Sustainability and the Supply Chain

- Importance of raw materials :

Actions that can be taken :

- Reduce inventory
- Repairs (for the next 20ys)
- Decarbonising transport

Conclusion

Supply Chain at Louis Vuitton 2/2

Focus on Inventory & Distribution

Missions :

Challenges :
 Supply Chain at Fendi
Crucial roles of the Supply Chain

3 demand flows :

Supply Chain at Sephora 1/2

Learn about Sephora’s Supply Chain performance factors.

Sephoras Supply Chain vision :

The most effective ommnichannel

Supply Chain Key Roles :

 Supply Chain at Sephora 2/2
What does a planner do ? How does a planner know how
much inventory to buy ?

Production and Shipping at

Hennessy
Can you explain your role as Director of Production and Shipping at Hennessy?
My role entails coordinating over 350 people, from the delivery of materials (bottles, stoppers,
boxes, labels) to our 10 packaging lines located on three sites, plus the storage and shipping of
the finished products across the world.

Most importantly, I make sure that I give every employee the means to grow at Hennessy,
so that each of them can give the best of themselves every day, in a safe environment, to
produce products that meet our standards in terms of food quality and aesthetics.

We have a broad range of products and activities. On the one hand, our volumes are driven by
the VS and VSOP age categories bottled on modern, automated, high-performance lines. On
the other hand, we produce exceptional XO-category cognac in decanters, including Baccarat
crystal decanters – unique objects that are shipped to customers by white glove delivery. This
wide spectrum calls for a broad range of skills and know-how blending modernity and fine
craftsmanship.

Operational excellence is our daily obsession. It leads us to surpass ourselves to stay ahead of
our peers while bearing in mind the values that guide our action: elegance in our relationships
with customers and partners, and a commitment to sustainable development.

How do you interact with other departments?

Within the Operations team, I collaborate on a day-to-day basis with:

 The quality team, to ensure constant and irreproachable quality. We talk about being
“Right First Time” at each step of production;
 The Supply Chain team, to convert market needs into shipping plans and production
schedules;
 The technical team, both for investment in new machines or sites and monitoring, and
technical maintenance of our existing facilities;
 The packaging development and purchasing teams, which help production teams and
suppliers develop marketing projects and,
  The continuous improvement team to deploy new collective initiatives in our search for
progress.

What challenges are you facing?

The world is changing fast and consumers are looking for new experiences.
Guided by long-cycle considerations, which are key to the exceptional quality of our cognacs, we
need to step up the pace of innovation in packaging and customer experience. This means
showcasing our know-how (calligraphy, use of decorative threads and personalization of our
exceptional decanters) while also developing the agility to produce limited editions on machines
that operate at 20,000 bottles an hour.

Sourcing at LVMH
Focus on sourcing in marketing and communication at
LVMH

Direct procurement :
Indirect procurement :

What did LVMH implement?

It is time to learn more about the project's
implementation.
 Part 3
Data at the service of Operations at LVMH

The importance of Data

Data is transforming Operations at LVMH.

Anca Marola, now Chief Data Officer at LVMH, speaks about the importance of Data &
Artificial Intelligence in transforming our Maisons' manufacturing and supply chain processes.

What is Data and Artificial Intelligence ?