Episode 277

In this episode of the Unscripted podcast, host Sarah Nicastro welcomes Alban Cambournac, VP of Consulting and Digital Services at Schneider Electric, to discuss the company’s digital journey and how it is taking its lessons learned and best practices and helping its customers achieve success as well. Alban shares his lessons learned in a global career, Schneider’s being named the most sustainable company of 2024 by TIME magazine, and what he thinks of all of the AI buzz.

With over 25 years of experience in digital power, buildings, and energy management, Alban is an experienced leader at Schneider Electric, driving growth and innovation. He leverages his strong background in product marketing, strategy, and engineering to lead the US Consulting and Digital Services team, delivering value-added solutions through connected services. Alban holds an MSEE from SUPELEC and an EMBA from Vanderbilt University.

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The Show Notes

Alban - 00:00:00:

I think Schneider Electric has always been a pioneer in the adoption of digital technologies in the domain of energy management and industrial automation. We're very focused in our strategy and applications areas. So really our future is actually focused on the adoption of these technologies and making sure that these are making an impact for every business and every people around the world, right? To make the most of the energy, our energy, to make the most of our resources.

Sarah - 00:00:35:

Hello, welcome to the UNSCRIPTED Podcast, where you'll find discussions on what matters most in service, leadership, and business transformation. I'm your host, Sarah Nicastro. Let's jump in. Welcome to the UNSCRIPTED Podcast. I'm your host, Sarah Nicastro. Today, we're going to be taking an inside look into Schneider Electric's digital journey, talking about how to avoid common woes, amplify wins, and what that journey looks like, not only today, but into the future. I'm excited to welcome to the podcast today, Alban Cambournac, who is the Vice President of Consulting and Digital Services at Schneider. And notably, Schneider was just named this year by Time Magazine, the world's most sustainable company of 2024, which is an incredible acknowledgment. So welcome to the podcast, Alban, and thank you for being here.

Alban - 00:01:30:

Thank you for having me, Sarah. Hello to every listener.

Sarah - 00:01:33:

Yeah, and some of them may be familiar with you. You do your fair share of speaking at different industry events, and I've personally always enjoyed your sessions and looking forward to our chat today. So before we get into everything we have to cover, just tell everyone a little bit more about yourself and anything you'd like to share about your role, about Schneider, etc.

Alban - 00:01:55:

Yes, thank you so much. To get started, where is home for me? Home is in Nashville, Tennessee. Actually, I'm in our Nashville hub office. So I've lived in Nashville for about 25 years with my wife and my two sons who are now grown up and in college now. And I've worked with Schneider Electric for 25 years. I lead the consulting and digital services business. I was very, very fortunate 25 years ago when I moved to the U.S., to join a very fast-growing business focused on the digital transformation of electrical systems. And this is where my digital journey started. And I had a career both on the engineering side, but also on the global business development side with an opportunity really to travel all over the world and do business in over 50 countries. So really very, very interesting career. And on a more personal basis, I'm passionate about, a little bit some of the extreme sports a little bit, but I do quite a bit of skiing, scuba diving, started kite surfing.

Sarah - 00:02:51:

That's really fun. Yeah. The kite surfing part, I don't know. I don't know about that. I don't know. Now, I was going to say, we can see in your background that you're in Nashville, but you don't have that traditional Nashville twang. So can you just sort of talk a little bit about, I know you said you've been there 25 years, but where did your journey begin and how did you land in Nashville and end up calling that home?

Alban - 00:03:13:

Yes, yes, for sure. And this is my typical opening in keynotes that I do is I talk about the fact that I don't have that Nashville twang. Yeah, so my wife and I are actual first-generation immigrants to the U.S. we're from France originally. My hometown, for those who know a little bit about France, is Lyon. And I went to college in the Paris region. And my background, original background, is electrical engineering. The interesting story here was we were looking to move to China, actually, with my wife. And the Schneider Electric called me back and said there was a great opportunity for me in Nashville, Tennessee. And not knowing where Nashville, was on the map, we actually said, hey, this sounds like a great opportunity. And 25 years later, here we are. We never looked back and are very happy.

Sarah - 00:03:54:

That's wonderful. China, Nashville, a little different, but I'm glad that you're happy with where you ended up and have enjoyed making a home there. I've been to Nashville myself. It's a great city, but also a beautiful part of the country. When you think about doing a lot of the outdoor activities that you said you like to do, there's some great options nature-wise within a bit of a road trip from where you are. So that's really nice as well.

Alban - 00:04:18:

Absolutely.

Sarah - 00:04:19:

Done. Okay. So you mentioned that you've had the opportunity in your career to work through a lot of different countries. So you've been in a global role for about a decade. And so I'm wondering if you can just share any notable observations, I guess, one on how do you feel like having the opportunity to be in a global role has impacted you in your career and in your life? And then two, are there any observations when it comes to digitalization on commonalities, major differences? What comes to mind when you think about the global ecosystem?

Alban - 00:04:56:

Yeah, perfect. And it's a great question. And actually, I did not mention, but I spent four years in India. Very fortunate to be there with my family. And at the time, I had a chance to manage the whole Asia Pacific business development and spend actually the time in China that we wanted to spend among other countries. So this was great. One of the key benefits and understanding that I got from this experience is really an understanding of cross-cultural communications and then also how to collaborate in very diverse teams. And this is useful, of course, when you manage global businesses and global teams, but also just here in the U.S., we always work with very diverse teams. I like your question on commonalities, because what you hear often, and I hear it from business leaders or from marketers, is they think that there's like U.S., has unique needs that nobody else in the world has or China has unique needs that nobody else in the world has. And while this is true in some respect, the fact is that there are underlying common requirements that we see from the market, that we see from our customers that are pretty much global. And one of those is really around the trends around digitization that you're mentioning or sustainability as well. And the need for having reliable resilience type of business operations. All these are really common kind of themes. And you can pull a lot from these commonalities.

Sarah - 00:06:21:

Yeah, I love that because we talk a lot on this podcast about, I think we have far more in common than we do differences. Yes, there are those unique layers that are from region to region or industry to industry, but there are these common set of not only challenges, but objectives. And I just think as human beings, we have more in common than we do our differences. And I think it's really cool that you've had the opportunity throughout your career at Schneider to work in all of those different places because you learn so much. And I also think I mentioned to you when we were prepping to do this podcast together that I've had quite a few folks from Schneider on the podcast. Many of them have really good tenure with the company. And I always say that to me is evidence. Anytime someone has been... In a business today for 10, 15 plus years, it's indicative of an organization that is giving people the opportunity to grow and evolve and innovate within the business instead of feeling like they need to go somewhere else to do that. So I love that you've had those opportunities in your role. Okay. When we think about the digital landscape today, can you just start by talking a little bit about your view of what are the biggest opportunities?

Alban - 00:07:41:

Yeah, at Schneider Electric, we see two major trends around the world. And it's the need for electrification on one side and the need for digitization on the other side. And this is to help overcome some of the world's biggest challenges today around climate change, around energy transitions, where people, but also and especially businesses, need way more energy than they needed before. And there's also a global equilibrium shift that we've seen since COVID with really the need to simplify supply chains, have more local and regional kind of presence. And so these are really areas of key opportunities with the underlying also need to accelerate decarbonization. You see all these pledges for front end zero. And you mentioned the Time magazine like ranking as well. So these are very important. And we see this cross segments in the market. It's infrastructure, it's data centers, it's commercial buildings, even residentials. They're all experiencing the same disruption that is brought up by the need for more energy, but also for cleaner energy and more reliable energy. If I use one example, it's in where we see most of this is in the data center world, where the need for capacity that is linked to the explosion of generative AI and so forth is really leading to a big expansion in this area. Also, you can find in the news several. And we're building plants very close to this trend to make sure that we are building the right level of modular prefabricated type of infrastructure to help sustain this type of energy transition and doing this in a very standard way and also in a very digital way. So these require quite a bit of disruptive methods, if you were to be able to handle the uptime of these data centers, but also make them more energy efficient.

Sarah - 00:09:36:

I'm just thinking about when it comes to the customer perspective, what are some of the expectations that they have of Schneider as a digital business?

Alban - 00:09:48:

Yes, it's both in terms of being able to deliver, of course, on time these technologies, but it's also ensuring that we have a very strong foundation for cybersecurity, for data security. These are always top of mind when it comes to those expectations.

Sarah - 00:10:07:

It's interesting how within Schneider, there's this intersection of some of these major trends and themes, right? So we talked about the sustainability piece and the time recognition. We talked about electrification. We're talking about digitalization. And then obviously our focus is service as well. And there's a huge aspect of that really interesting and exciting time to be a part of the business. That being said, it's never just about the excitement or the opportunity, right? There's always hurdles and challenges that come along with modernizing the business, keeping pace with customer needs and with external situations and really having that culture of continual innovation. Can you talk a little bit about some of the challenges or hurdles and how you and the business are working through those?

Alban - 00:10:59:

Yeah, I think one of the biggest hurdles around digitization is having all the layers of a business organization, understand the importance of this digital transformation, not only at their core business process, because typically we see the first adoption of digital and AI is going to be around their core business process. But it's also looking at it from their building infrastructure or their plant infrastructure and looking at the needs here for digitization and giving the impact that they are looking for also from a sustainability standpoint. Some of these hurdles come often from a lack of information. So that's one thing that we work a lot on is on the thought leadership, of course, but it's also one to one with our customers around these conversations and then also addressing concerns about cybersecurity and data security.

Sarah - 00:11:52:

Yeah, that's probably a piece that at least in some of the events that we've attended together or that sort of thing, it isn't maybe talked about as much as it needs to be. Is that concern of in this digital world, if you want to be able to leverage the technologies that exist to provide uptime or to add value to the customer experience, it requires that connectivity and there can be some valid concerns in that regard. So how are you at Schneider kind of working through those concerns with your customers to put them at ease and to make sure that you can progress forward?

Alban - 00:12:30:

Yeah, and a lot of it sometimes is to draw parallels with their current business processes and what is the environment of cybersecurity and data security for their standard business processes. Everybody in their HR function, for example, is using some kind of a connected and online tool. And it's really showing, drawing those parallels and showing that pretty much from a building infrastructure basis, we're pretty much using the same type of technologies and approaches to cybersecurity and data security. This goes a long way in terms of addressing these concerns.

Sarah - 00:13:03:

Okay, that makes sense. Yes, it's a different application within their business, but it isn't necessarily a different world than what they're used to entirely.

Alban - 00:13:12:

Exactly.

Sarah - 00:13:13:

Okay. Now, what about the other thing that I want to talk a little bit about is the need we have as the digital transformation continues or becomes more and more refined or more and more intelligent to upskill employees to be able to navigate that world, embrace digital, and even the need for maybe different roles than we've had in the business before, that sort of thing. So when you think about that gap that can exist between how fast the digital world is moving and then how we need to keep up as businesses from a talent perspective, how do we keep pace with that? And what are some of the changes that you think companies need to consider?

Alban - 00:13:55:

Yeah, and this is a topic, we call it the digital gap. This is a topic I feel very passionate about. And because unfortunately, we really see that actually all generations, it's not a generational aspect, but all generations to some extent struggle with the digital transformation and the evolutions there. And sometimes it really starts with very simple challenges with efficiently using software applications or new technologies and new software technologies. It reminds me of very early on in my career, I was a software engineer and I read a book which was called The Inmates Are Running the Asylum by Alan Cooper. And it's a very interesting book kind of explaining why people are struggling so much with using software or using new technologies, because in the end, the people who have been designing those have not thought too much of the users they're looking at, right? And not everybody is an expert. There's a definite digital gap. And it comes also by sometimes having a lack of access to learning or even sometimes the motivation to learn about these critical new skills, be it digital, be it AI, be it cybersecurity. So one thing we do at Schneider Electric, for example, we're very fortunate to have excellent learning platforms that we use, both internal and external learning platforms, and where we put really programs towards digital upskilling. And now not only about... And all topics are digital, right? And we cover cybersecurity. Of course, we cover all the type of AI and other types of key, also ethical conducts. It's very important in this environment. So we have a full digital citizenship program and we call it Digital Boost. And we're really looking at what is our baseline of competencies here and what is the digital gap and then getting... And our goal is to get over 90% of all our employees worldwide to really undergo this digital upskilling. And this is actually something that we report on Schneider sustainability impact. So it's available externally as well. And it's part of that program to have the digital upskilling. So there's a real motivation and excitement that goes with this and is an example on how to address this digital gap.

Sarah - 00:16:07:

I was just thinking as you were explaining some of the things that program covers, there's, depending on the role within the business you're talking about, there's areas where an employee is really going to need to learn to use a new tool, right? They're going to need to have a fundamental change to how they perform their role. But then there are these other topics that they might not need to be personally firsthand involvement in, but they need to have an acumen about. So cybersecurity, you might have, if we just think about a field service engineer, they might not be directly involved in anything related to how Schneider puts its cybersecurity practices in place and all of that. But if they're on site and a customer says, but what are you doing from a cybersecurity perspective? And they just say, I mean, that's not going to give the impression you want to give of having at least that baseline knowledge and that acumen to be able to understand. The concepts and understand the approach, even if it is outside of their core role. So I think that whole idea of providing actual upskilling in skill where it's needed, but also providing context and knowledge beyond that person's role is really important to help them understand that bigger picture and to help them engage appropriately with customers as well.

Alban - 00:17:30:

And for us, it's an essential knowledge for everybody in the company. And it includes our field service people. It also includes our executives, right? We call it essentials training. Everybody goes through this every year with a very big focus around this topic.

Sarah - 00:17:47:

Yeah. Now, are there any roles that you see on the rise that as the business evolves throughout its digital journey, are there new roles that are becoming more prominent or that you're thinking about how the business will need to hire for those things, etc.?

Alban - 00:18:04:

The more we have roles at the intersection of the business application, but also a very strong understanding of the IT environment. And it's able to bring these two elements together is an area that we're looking for. Connectivity, cybersecurity on one side, and then also data analytics and AI on the other side. These are some of the two critical type of roles that for our digital connected services, we're really looking to strengthen.

Sarah - 00:18:34:

Yeah, you didn't necessarily say it this way, but just to sort of paraphrase, you made mention of the fact that digital transformation is not just an IT initiative. It's a business initiative, right? And so to your point, we have to bring those worlds together in a way that everyone can get on the same page and find the path to what's most valuable, etc. So that makes sense. Okay, so when you think of the big wins at Schneider, so stories of connected customers that you feel the company has executed very well, what stands out from those stories in terms of is there a common through line or is there a common approach? Like what helps take all of these things we're talking about conceptually and make it a success in reality?

Alban - 00:19:28:

Yes, at Schneider Electric and in our business, we manage millions of assets worldwide with connected customers in the U.S. and in the rest of the world. There's a few common elements to winning and to having a great relationship. And first, it comes from really having a known sponsor in our customer organization who's really getting it and is able to transmit this vision and is helping the digital transformation at our customer company. The second one, and we mentioned it, is really having both the business contact and business relationship, but also the buy-in and working very closely with the IT department. So that both on the business side and the IT side, we have a strong understanding of what is the vision, what are we trying to achieve. And when you have this recipe of sponsorship and then putting at the same table the business and the IT, then you are able to... Overcome those hurdles that we talked about. And now you are able to really have some very, very nice stories. And for us, it's all about ensuring reliability and resilience of an infrastructure. And so we have plenty of success stories there where we have remote engineers, remote agents looking and identifying changes in the patterns and behaviors of, for example, an electrical system. And it's able to quickly contact the facility and the customer and say, hey, we have noticed a change. And we're able to dispatch, for example, our field service representatives before it becomes an issue. And an issue can be a power outage, which causes big business impact and lost revenue. But it can be worse and it can some situations can lead to fire and all this, with much bigger consequences there. So really, we have plenty of stories from these assets that we manage around the world of being able to really anticipate and then predict some type of behaviors and address these concerns.

Sarah - 00:21:27:

Yeah, yeah. No, that's great. And I think understanding what that recipe looks like for success in any business is really important to being able to not only replicate it, but recreate it as circumstances change in the technology that is accessible or what the customer needs are, etc. When we hear stories of digital gone wrong, I've heard plenty of these at some of the events we've both been at. Do you feel like there are any common missteps or mistakes that companies are making today with the approach they're taking to digital transformation?

Alban - 00:22:06:

Yeah, you can pretty much take the opposite of the win characteristic I just mentioned. And things go wrong typically when there's a lack of understanding and a lack of adoption of those digital technologies, taking too much of a weight attitude, which can have some consequences, and also the lack of planning around IT and cybersecurity. So that's where things can go wrong a little bit. And I think one story I had mentioned in one of my keynotes was the story we have of working with a facility manager in Mexico and introducing these technologies to be able to do continuous type of thermal monitoring, for example, where you monitor the temperature of equipment or electrical infrastructure. And unfortunately, that site didn't adopt the technology fast enough. And there was a big event, right, where with power outages and major business revenue loss and all this, and really this resulted, I mean, just the business, the power outage and not having the revenue, but also it cost a job to this facility manager and for not having adopted and having the technology in place to be able to prevent this type of things from happening, that's areas where taking a wait and see type of attitude can be problematic versus the success stories we talked about earlier.

Sarah - 00:23:22:

Yeah. No, it's interesting the idea of, I totally agree with you, the wait and see approach can be detrimental. At the same time, the other thing I see companies do is they want to race so quickly to get to the most sophisticated use cases of the technology without getting some of the fundamentals in place. And that can be problematic as well. And I think a lot of that stems from the point you brought up, which is, are the stakeholders aligned? Is everyone on the same page about what the digital journey needs to look like and how the company is going to achieve those objectives? Because if we're looking at it as just an IT initiative, it's going to fail. We have to be thinking about it as that overall view.

Alban - 00:24:06:

Can we see, if I can complement what you're saying, we really work on our relationship with our customers to really be those trusted partners, right? And we go over this setting up these foundations to be able to have success in the adoption of these technologies.

Sarah - 00:24:22:

Yeah, for sure. Now, one of the areas I think companies are either racing ahead to or rolling their eyes at is AI. It's coming up everywhere, headlines, podcasts, events, a lot of hype. I'm curious your perspective on the topic of AI and is it worthy of all the buzz? Is it overhyped in any way? What is your take?

Alban - 00:24:45:

Yeah, and as anybody, I'm sure, you know, I'm spending a lot of time these days learning more about AI and also like using it on a daily basis pretty much. It's an interesting question. I would draw maybe a parallel and maybe I'm going to date myself here, but to the internet, right? End of the 1990s, you had a foundation, a technical foundation, right, of the emergence of the Internet and all this. And a lot of hype around all the applications that you could have on this. And there were a lot of startup companies and all this and a few ended up thriving and then but many ended up not continuing. And I think it's sort of the same thing with AI, right? You have a baseline of technology and the disruption that this technology is bringing to the market. And then on top of that very sound foundation that is here to stay, of course, you have a lot of different experiments of different startups applying AI to different areas. And then figuring out what is going to work and what is not going to work. So I think we're going to see a little bit of this, but it's a revolution. It's a foundational technological that change that just like the Internet is going to be the basis for every transactions in the future.

Sarah - 00:25:57:

Yeah, no, that makes sense. I agree. So when you think about what the next five years might hold, what do you envision for Schneider's digital journey?

Alban - 00:26:07:

This has been really some of the great experiences that I've had, like joining Schneider Electric 25 years ago. And I think Schneider Electric has always been a pioneer in the adoption of digital technologies in the domain of energy management and industrial automation. We're very focused in our strategy and applications areas. So really, our future is actually focused on the adoption of these technologies and making sure that these are making an impact for every business and every people around the world. To make the most of the energy, our energy, to make the most of our resources. That's what we're very excited about. And that's why I'm very excited about to work at Schneider Electric and with our customers to really leverage digital AI applied to energy management, applied to industrial automation and improving sustainability and efficiency overall.

Sarah - 00:26:59:

And you have that TIME magazine recognition that you have to uphold and continue to defend. So that's important work to do, though. And you can feel good about coming to work every day and making an impact.

Alban - 00:27:11:

A lot of it comes from doing this inside Schneider Electric and applying these principles of sustainability inside Schneider Electric, but also helping our customers and helping the societies apply the same things that we're also applying internally. So it's kind of this combination of things that makes Schneider Electric pretty unique.

Sarah - 00:27:31:

Yeah, yeah. 25 years with the company, and we talked about some of the different roles that you've held, a lot of the different places that you've had the opportunity to work. What would you say is the biggest lesson you've learned over your career thus far?

Alban - 00:27:48:

Yeah, and actually our conversation around the adoption, right, of digital technology and the wait and see. I think one of my biggest carolists and maybe a summarize in a quote I always use from Michael Jordan. He says, some people want it to happen. Some people wish it would happen. And then others make it happen. You always want to be on the side of those who make it happen and building a reputation for service excellence while forking the talk. So that's really has been the focus of my career is to really understand what people wish or want to happen. And then really applying myself and my teams and my businesses to making these strategies and visions happen. Now, I have also a more personal example is my wife and I have learned to leverage the power of two. So we've led parallel careers our entire life. Together, we've accumulated like 50 years of professional career. And so we have supported each other through the ups and downs of having two, ever challenging roles and also building a family. So that's another aspect of more personal of the career lessons.

Sarah - 00:28:51:

The power of two. I like that. Yeah. As someone who is still in the thick of it, and my kids are almost eight and nine right now. So it's we're still doing all of that. And you definitely need that support. It makes a huge difference.

Alban - 00:29:03:

Absolutely.

Sarah - 00:29:05:

Alban, thank you so much for coming on and sharing. I really like the Michael Jordan quote, and I think it is really important today to walk the talk, like you said. There's always going to be challenges and hurdles, but the companies that use those as excuses, consciously or subconsciously, to stand still, are very, very quickly falling critically behind. So there's ever more reason to take action, like you said, and work through the challenges and figure it out. So I love that perspective and appreciate you coming on and sharing.

Alban - 00:29:39:

No, and really appreciate our conversation. And thanks again for having me. And I really love your podcast. So congratulations on running a very, very successful podcast.

Sarah - 00:29:49:

Thank you so much. I appreciate it. And it was a pleasure. You can find more by visiting the home of the UNSCRIPTED podcast at www.futureoffieldservice.com. The podcast is published in partnership with IFS. You can learn more at ifs.com. As always, thank you for listening.