The Fresh Scent of a New Association Structure
IFRA, founded in 1973 and based in Brussels, is comprised of the various national and regional associations of the fragrance industry whose members include fragrance ingredient and compound manufacturers and suppliers, together with the multinational fragrance companies Firmenich, Givaudan, IFF, Robertet, Symrise and Takasago International.
Kellen was retained by IFRA to analyze and restructure the global fragrance industry association landscape. The objective was to develop a global, unified, effective and sustainable fragrance industry association. Perhaps no industry represents a greater example of economic globalization than the fragrance industry. By 2009, much of the fragrance industry had consolidated into 6 companies representing more than 50% of the global market share. Concurrently, IFRA (International Fragrance Association) was ostensibly the umbrella association for myriad fragrance associations including Fragrance Materials Association-USA, Research Institute for Fragrance Materials, European Flavour & Fragrance Association and Japanese Flavour & Fragrance Association.
Kellen analyzed the fragrance industry landscape, giving special attention to maintaining the integrity of the international scientific standards. It was vital that Kellen manage various industry activities such as advocacy and communications as well as maintain the local and regional presence of many stakeholders. Kellen approached the project in three phases: Research and Recommendations; Plan Development; and Execution.
During the research phase, Kellen examined the existing organizational structure of the associations including membership, governance, and dues structure. Research and modelling was conducted for several potential global stuctures for the new fragrance association landscape. In other words, if we were building the organization from the ground up, how would it look and operate?
Next, Kellen created the roadmap to implementing the chosen model. We reviewed legal records such as by-laws and incorporation documents, created new committee and board structure, prepared the proposed financial model, including dues structure and money flow. Additionally, we prepared the plan to dissolve or merge the affected organizations.
Finally, Kellen helped execute the aforementioned plans to their successful conclusions. Some activities and approaches required a hands-on approach by Kellen, while others called for a more consultative approach.
Ultimately, Kellen constructed an association framework that resulted in more cost effective and efficient associations designed to provide a coordinated approach to the challenges and opportunities facing the worldwide industry. Essentially, funding of all associations that members of IFRA belong to was centralized through IFRA. Organizationally we dissolved the ancillary sections of regional associations and established a European Affairs Desk at IFRA for fragrance issues, developed regional committees for North American, Europe, Asia and Latin America and created a funding mechanism for the regional committees, as well as special recognition for scientific research, for funding from IFRA based upon significant issues and priority needs. Kellen completed this reorganization within a time frame of one year.