Gigabit Magazine – June 2019 by Technology Magazine

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JUNE 2019

A TECHNOLOGY TRAILBLAZER

Business and technology transformation in the Czech Republic CTO Jan Hruska on the telcoâ&#x20AC;&#x2122;s journey to simplification and digitalisation

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elcome to the June issue of Gigabit Magazine! For many customer-facing technology companies, marrying the commercial and IT sides of their

and money, all thanks to the power of data. “Data is at the heart of everything we do,” enthuses Clive Gilson, VP of Technology. Natalie Jakomis, Group Director of Data, echoes this message.

business can be an arduous task – but “It’s about helping people everywhere not for O2 Czech Republic. The telco save time and money, with SaveStack has undergone a mammoth digital playing a crucial role.” transformation which has Elsewhere, we travelled to seen it implement a new Alibaba Cloud’s London CRM system, customer headquarters to learn how portal, product the Chinese juggernaut is catalogue and more. redefining the way we Jan Hruska, In this month’s cover think about cloud CTO, O2 Czech Republic feature, CTO Jan technology. Hruska sat down with Harry Menear to explain how the business has achieved this, all whilst keeping the commercial and IT departments aligned. “Every year we deliver another step in this IT and network transformation which means better support for our commercial activities,” says Hruska. Elsewhere, we examine how GoCo Group is helping customers save time

We’ve also investigated the top 10 smart cities in the world and must-see industry events. Don’t forget to check out our other exclusive features on Coca-Cola Hellenic Bottling Company, Deloitte and more. Enjoy the issue! Laura Mullan. laura.mullan@bizclikmedia.com

w w w. g i g a b i t m a g a z i n e . c o m

innovation in practice Sprint and Amdocs have been key partners for over two decades, delivering together innovative solutions to make Sprint the success it is today. Our joint accomplishments include modernizing billing support systems, introducing a groundbreaking customer care system, providing cost-effective payments processing and the optimization of current and future network capabilities. This strong Sprint-Amdocs partnership has won widespread industry recognition, including the 2017 Global Telecoms Business Award for Consumer Service Innovation. Visit www.amdocs.com to learn more about how you can partner with Amdocs to innovate successfully.

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CONTENTS

HOW MOLESKINE IS READYING ITSELF FOR THE DIGITAL ERA WITH A CLOUD-BASED TRANSFORMATION

12 The commercial and IT transformation of O2 Czech Republic

30 NOT YOUR TYPICAL CLOUD COMPANY

Hitachi Vantara: Unleashing the power of intelligent innovation

44 74 LETTING HUMANS BE HUMANS WITH ROBOTIC PROCESS AUTOMATION

TOP 10 SMART CITIES IN THE WORLD

90 EVENTS

Coca-Cola Hellenic Bottling Company

130

GoCo group

116

Applus+

144

SPX Transformer Solutions

164

Logix Federal Credit Union

178

Foodstuffs North Island

192

Alterna

228

Okada Manila

210

Deloitte

The commercial a IT transformati O2 Czech Repub WRITTEN BY

HARRY MENEAR PRODUCED BY

JAMES PEPPER

JUNE 2019

and ion of blic

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O2 CZECH REPUBLIC

Jan Hruska, CTO at O2 Czech Republic, discusses the company’s ongoing digital transformation of both its technology and commercial functions

challenge often faced by customer-facing tech companies is the internal conflict between marketing and IT. After more

than a decade working on the commercial side of telecommunications, O2 Czech Republic’s new 14

CTO, Jan Hruska – a mathematics and computer science graduate from the Charles University in Prague – has the unique advantage of seeing the country’s largest telecommunications provider from both sides of the equation. “I’m lucky to be one of the few people who are able to understand and know the company from every perspective,” he explains. “Because I spent over 10 years in different positions on the commercial side of the business, I can apply a deep understanding of its marketing, commercial and distribution issues, programs and challenges to my technical role. At almost every company there’s a tension between the technicians and the commercial guys. I see my current mission as not only mitigating this tension, but bringing the two halves of the company together to establish a creative dialog that helps us progress, and strengthens both JUNE 2019

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O2 CZECH REPUBLIC

our technological market leadership and our commercial position. I can talk to the commercial side and explain technologies using language the commercial guys understand, and along with this, promote achievements, projects and excellent people we have in Technology.” Hruska’s new role has included overseeing the completion of a fouryear digital transformation of O2 Czech Republic’s customer relationship management (CRM) strategy, business support systems (BSS), and practices 16

ranging from billing systems to product catalogues. “We call it Simple Online Company. The aim was a radical simplification that would enable future digitisation,” Hruska says. Never a company to stand still, O2 Czech Republic is also now embarking on another ongoing personnel-focused transformation. “We are now implementing agile scrum methodology for change delivery, that covers about 300 people and connects with the Simple Online Company transformation, because we created the enabler for digitisation and now we need to transform the way we deliver new services and changes,” Hruska adds. From a technological JUNE 2019

“ Our advantage lies in the fact we are able to offer the full range of telco products” — Jan Hruska, CTO, O2 Czech Republic

CLICK TO WATCH : ‘O2 SMART BOX: O2 SMART BOOSTER’ 17 point of view, the company is also

Founded in 2006 after rebranding

implementing significant changes to its

from the amalgamation of Czech

network architecture. Hruska elabo-

Telecom and Eurotel, O2 Czech Republic

rates: “We’re introducing some sign-

is the largest integrated telecommunica-

ificant product improvements, one of

tions provider in the Czech market,

which is that we are complementing

operating approximately 7mn mobile and

traditional copper DSL lines with house-

fixed accesses in the region. In 2012,

hold internet that is based on LTE

the company was the first in the region

connectivity, so called Fixed Wireless

to open its network to virtual operators.

Access.” We spoke to Hruska about

Operating the only Tier III certified

O2 Czech Republic’s ever-advancing

data centres in Central Europe, O2 is

evolution, its past, present and future

a regional leader in hosting, cloud and

transformations, and the collaborative

managed services.

expertise he is bringing to the company’s CTO role.

“Our advantage lies in the fact we are able to offer the full range of telco w w w.gi ga bi t ma ga z in e. com

Rewrite the Rules of Photography Leica Quad Camera | 10x Hybrid Zoom*

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O2 CZECH REPUBLIC

products,” says Hruska. “We originated

Republic, as well as Czech national

from a merger between fixed and mobile

football and ice hockey leagues –

operators, so we have fully integrated

a huge majority of important matches

suite of products. We were the first

you can’t see without O2 TV service.”

operator here that started an IP television

For a company with such an extensive

service, which adds a new dimension

and diverse portfolio of offerings,

to our fixed internet service.” O2 also

ensuring its customers have an intuitive

produces its own content for television.

and accessible customer experience is

“We have a daughter company that pro-

a top priority. The Simple Online

duces three sports channels, and we

Company, which launched in October

own some exclusive rights to content

2018, involved the launch of a new CRM

like the Champions League in Czech

system and a new customer portal, as

JUNE 2019

21 E XE CU T I VE PRO FI LE

Jan Hruska Jan Hruska graduated in Computer Science at Charles University in Prague in 1994. After 8 years in management consulting, he moved to Telefónica O2 Czech Republic. Within his 15 years with Telefónica, and later O2 Czech Republic, Jan went through many positions, mainly Fixed-Mobile convergence program manager, E-shop manager, Director for distribution strategy and sales performance, Fixed services marketing director, to his current role of CTO, covering responsibility for IT, Network, and Product management areas. Jan’s latest focus is fixed wireless internet, network function virtualisation, simplification of product portfolio and customer serving processes, agile change delivery.

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Experienced software alchemists turn your bare-metal into gold. Emeldi Product Engineers have realized a vision enabling service providers to deploy a platform allowing fast & flexible introduction of digital experience services across any and all channels.

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Way forward – in a digital service world The challenge: Migrating and unifying legacy systems running in separate silos is an expensive, time-consuming and risky endeavour. Yet end-customers demand a true omnichannel user experience, an unparalleled level of customer experience, and a unified provision of service throughout all touchpoints in a seamlessly consolidated manner. Ultimately, this has taken service providers down the path of arming their engagement channels with the tools to evolve from a mere sales role into a fully encompassing and comprehensive customer care apparatus. UX expectations have progressed to such an extent that the classical customer journey has matured from a simple path of guided sales to a state of perpetual motion among channels affected by the principles of “anytime, anywhere, anyhow”. The solution: To satiate the constantly growing demands of improved customer experience and keep ahead of customer expectations, there are essentially three different approaches available to CSPs in addressing their channel strategies: • Legacy plumbing: maintaining existing legacy heterogeneous silos and building meshed pipes to connect them together. This approach pretends to solve the problem, however, is merely cosmetic window dressing where the end product risks doing more harm than good. • Silos modernisation: replacing disparate legacy silos with a set of new disparate applications, thus again preserving multiple data masters into the channel architecture. A typical implementation of this approach would be the introduction and deployment of new ecommerce, CRM and POS applications into the existing integration architecture. The resulting solution retains multiple product catalogues, customer data stores and

LEARN MORE

business processes, all stitched together through a complex latticework of integration points. Such solutions require orchestration of multiple “hearts and brains” using sophisticated conductor solutions. TCO and long time to market issues still persist, magnified by restricted agility. • True Omni-channel: replacing all silos with a unified “one heart and one brain” solution of consolidated & unified commerce and CRM business functions. This singular solution inherently does not require sophisticated orchestration capabilities - the customer experiences a smooth journey across their entire brand engagement, and across all channels. In practice, empirical industry measurements have shown that adopters of this approach are generously rewarded with substantially lower TCO and time-to-market enhancements, leading to dominant business agility to meet new customer requirements resulting in overall improvements of net promoter scores across their brand. About Emeldi Commerce® Emeldi Commerce® is a ready-made, unified true Omni-channel commerce & CRM application specifically designed for the service provider industry vertical, supporting all products, services & customer-engagement processes. A solution tailored to be your “one heart and one brain”. With software alchemists in Canada, UK, Czech Republic and Slovakia, Emeldi has built a formidable reputation as an innovative and disruptive solution provider for CRM & Digital Commerce Platforms and is continuously recognized by Gartner as sitting on the cutting-edge in the area of digitalization of the customer experience in the service provider industry.

Trusted Partner of O2 & Telco Sector Key competencies in Telco Sector

We connect internal processes and systems with digital products and services for our clients and help them succeed in a digital world.

Enterprise Economic Systems & SAP Services Portal & Digital Commerce

SPC Provisioning

Prepaid billing

Projects for O2

eCommerce CI/CD solution architecture

DWH & BI Billing / Operations Service Support

Ness, strategic partner for a complex digital transformation

Provisioning

z Understanding your business processes and needs z Exploiting strong market related know-how to achieve your objectives

Custom Application Development

z Delivering flexible & agile solutions to increase your efficiency

Printing Solutions

More information on www.ness.cz

z Unleashing the potential of innovative technologies for your growth

EUROPE London, Munich, Prague, Bratislava, Iasi, Timisoara, Kosice, Brno, Ostrava, Budapest N OR T H A MER IC A Teaneck (HQ), San Jose, Pittsburgh, Albany, Toronto M ID D LE E AST Tel Aviv A S IA Bangalore, Mumbai, Hyderabad, Chennai, Singapore

well as a new product catalogue, network

“Emeldi is a key partner that we picked

inventory system, provisioning system

because of their flexibility. We are able

and a complete revamp of the billing

to influence the product and get any so-

system. “Our aim was to radically

lution we need. Putting their technology

simplify,” says Hruska. “We reworked

in the middle of our CRM is definitely

our product catalogue from thousands

strengthening our partnership.”

of services to a couple of hundred. We

Even though the technical side of the

also switched from our legacy CRM to

transformation is up and running, Hruska

a new system we built ourselves based

maintains the work is far from over.

on Emeldi Commerce Core.” Emeldi is

“This is an ongoing process. We need

a long-term partner of O2 Czech

to keep it simple and make sure any

Republic. The company’s Commerce

additions and modifications we make

Core provides the core functionality

aren’t creating extra complexity, which

for O2 Czech Republic’s new CRM. “It’s

is an extremely tough exercise.” The

the heart of our CRM,” says Hruska.

transformation has also allowed O2

JUNE 2019

“ I spent over 10 years in different positions on the commercial side of the business, and I can apply that deep understanding to my technical role” — Jan Hruska, CTO, O2 Czech Republic

25 Czech Republic to take the next step

er’s mobile and access the system

on its journey towards digitisation.

alongside them. It’s true assisted

“Previously, our store set up had

self-care.”

a legacy system that typically required

If Emeldi is the heart of O2 Czech

four employees behind the counter,

Republic’s new CRM, then Ness is its

working on a main computer, and only

face. “They’re an important IT vendor,

allowed for one on the floor greeting

providing us with portal solutions; our

customers,” says Hruska. “Now, we

new Moje O2 portal, developed by Ness,

have a new system running on all our

is what the customers and internal staff

devices, not just the store computer,

see from their side,” says Hruska. The

but with no reduction in functionality.

new face of O2 Czech Republic’s IT is

We can have four guys on the floor in

allowing the company to pursue strategic

any setup you can imagine. They can

change in the way it manages its

talk with the customer; they can take

employees and hiring practices. “It’s

their own mobile or even the custom-

enabling us to look for a different w w w.gi ga bi t ma ga z in e. com

O2 CZECH REPUBLIC

£1.5bn Approximate revenue

2006

Year founded

4,500

Approximate number of employees

profile when hiring people in our stores

they can focus on their conversation

and call centres. Previously, the ability

with the customer.”

to work with the complex system was

In addition to reworking the customer-

a priority. Up to 30% of store consultants

facing side of the business, O2 Czech

were leaving the company within the

Republic’s behind the scenes technical

first three months. Now, after launching

infrastructure is also undergoing a trans-

this system, we can focus on hiring

formation to ensure that the company’s

people who enjoy serving our customers,

services remain at the highest possible

who have more sales skills than technical

level of quality. “We are lucky to be in

skills – and that exit rate has dropped

a business with huge demand - a dem-

to almost zero immediately. Our employ-

and for data that shows double digit

ees are able to work naturally with the

annual growth rates. This requires us

new CRM and portal, which means

to significantly change our network

JUNE 2019

frequency band of 3.7GHz and LTE TDD to provide home and business internet connectivity for locations not covered well by fibre or DSL infrastructure,” Hruska explains. “This is allowing us to offer speeds of 100 megabit per second and higher, which is something that you cannot guarantee on a standard LTE network. This, connected with the O2 Smart Box – the premium WiFi router that we have in households and SMEs – complements the unique ecosystem of our fixed broadband service.” Chinese tech giant Huawei is a key partner in O2 Czech Republic’s journey to ensure the tier one quality of its network architecture. “Huawei is one of the architecture in

important vendors to the network side

order to sustain quality

of the business,” says Hruska. “Our

and profitability,” Hruska adds.

fixed wireless service that runs on the

“We’re in the middle of virtualising our

dedicated 3.7GHz band is based on

core network systems, as well as

Huawei radio technology. It was one of

introducing a number of product

the key projects that we implemented

improvements.” The company is

with them last year.” Huawei’s Fusion-

implementing Huawei 5G ready radio

Sphere technology is also powering the

access technology to complement its

company’s virtual core network infra-

new, ultrafast LTE broadband service.

structure, part of O2 Czech Republic’s

“Last year, we launched a second

ongoing virtualisation initiative. “Huawei

generation of our fixed wireless broad-

is helping us to prepare for extreme

band service. We use dedicated

data usage growth that we expect to w w w.gi ga bi t ma ga z in e. com

O2 CZECH REPUBLIC

“ Our employees are able to work naturally with the new CRM and portal, which means they can focus on their conversation with the customer” — Jan Hruska, CTO, O2 Czech Republic 28

JUNE 2019

continue but is hard to predict precisely. Network function virtualised infrastructure, together with virtual evolved packet core, is granting us practically unlimited scalability with a sustainable profit margin.” Looking to the future, Hruska is confident in the ongoing transformation of O2 Czech Republic, powered by the symbiotic relationship between the business’ commercial and technology divisions. “We need to shorten the delivery time for new features and functionalities; we need sufficient capacity in our network to support the huge global demand for data, as well as providing a service with sustainable profitability.” He concludes: “My vision is that every year we deliver a significant piece of our IT and network transformation which immediately translates to improved value proposition and customer experience, eventually allowing for constant growth of our market share, revenues, and profit.”

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D I G I TA L S T R AT E G Y

NOT YOUR TYPICAL CLOUD COMPANY 30

JUNE 2019

In Alibaba Cloudâ&#x20AC;&#x2122;s dynamic office in London, Gigabit spoke with Yeming Wang, General Manager for EMEA, to learn how the Chinese juggernaut is redefining the way we think about cloud technology WRITTEN BY

L AUR A MULL AN

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D I G I TA L S T R AT E G Y

rappling with some of the largest bemouths in the cloud computing

industry, in China it’s Alibaba Cloud

which reigns king. The cloud computing arm of Alibaba Group has quickly earned its stripes as China’s largest public cloud service provider and has the third largest share of the cloud computing market globally, according

to Gartner. Now keen to extend its reach further afield, the company has its eyes set firmly on a new horizon: the EMEA market. One man at the heart of this strategy is Yeming Wang, General Manager for the 32

EMEA region. Well-versed in the technology space, Wang has previously worked for Huawei, managing its operations in Italy, France, Thailand, Indonesia and abroad. This gave him the perfect springboard to drive Alibaba Cloud’s EMEA expansion, a goal which he says is central to the firm’s strategy moving forward. “Alibaba Group has a very strong presence in the Asia-Pacific and we aim to be number one in this region,” observes Wang, pointing to the group’s global businesses like e-commerce firm Lazada. “Besides the Asia-Pacific, we view regions like Europe as very strategic because of its size and maturity. In the Asia-Pacific region, people are still talking about migrating to cloud, whereas in Europe the discussion is JUNE 2019

MORE AND MORE PEOPLE ARE REALISING THAT ALIBABA ISN’T JUST AN E-COMMERCE OR A CLOUD COMPANY, IT’S A DIGITAL TRANSFORMATION ENABLER — Yeming Wang, General Manager for EMEA, Alibaba Cloud w w w.gi ga bi t ma ga z in e. com

D I G I TA L S T R AT E G Y

ALIBABA HAS A RANGE OF BUSINESSES IN SECTORS SUCH AS RETAIL, FINANCE AND LOGISTICS AND WE ALSO UNDERSTAND HOW TO CREATE A DATA-DRIVEN USERCENTRIC EXPERIENCE 34

— Yeming Wang, General Manager for EMEA, Alibaba Cloud

now about the digital journey and how to use artificial intelligence (AI) or Big Data to drive business value.” Alibaba Cloud’s gleaming office in the heart of London is perhaps a testament to its global ambitions. Reclining confidently in his chair, Wang contends that, although there may be stiff competition, Alibaba Cloud is creating a distinguished cloud experience like no other in the region. This is not only because it understands the intricacies of the cloud environment, but also because it also understands the highstakes business world. “When selecting cloud providers, customers are looking for value, stability, security and cost-efficiency. But at the very top it’s different: businesses are looking to see how they can use our vertical expertise to make their business better. So, for instance, how can they use data or machines to better their business? It’s a totally different game,” he says. “Alibaba has a range of businesses in sectors such as retail, finance and logistics and so we understand how to create a data-driven user-centric experiences. We fully believe we can help our clients deliver this too.”

JUNE 2019

CLICK TO WATCH : ‘ALIBABA CLOUD: MORE THAN JUST CLOUD’ 35

In many ways, you would be hard-

US dollars every year and 60-70% of

pressed to find an industry vertical

this business is managed on the cloud.

where Alibaba Group isn’t within reach.

Recently we’ve made a strong

Whether you’re interested in retail,

commitment that we will migrate 100%

hospitality, IT, or fintech, the Chinese

to the cloud over the next couple of

conglomerate is omnipresent. By

years.” With over $39.9bn in revenue

leveraging its tried-and-test

bagged in its last fiscal year, this is

experience in these fields, Wang

no mean feat. With this in mind,

contends that Alibaba Cloud can show,

Alibaba Cloud doesn’t just support the

not just tell, its customers how to

Group’s business, it serves as a clear

digitally transform their industries. “At

demonstration to its customers of what

an infrastructure level, we can prove

its technology can do.

we’re reliable,” explains Wang. “Today, Alibaba Group manages more than 1trn

Overlooking the bustling streets of Covent Garden, it seems that Alibaba w w w.gi ga bi t ma ga z in e. com

D I G I TA L S T R AT E G Y

Cloud is not just making its mark on the

enabler, offering data and service

London skyline, it’s also leaving a

platforms too. “Once they’ve adopted

lasting impression on the city’s

cloud, businesses can prepare for the

burgeoning cloud industry. However,

second stage where they derive value

it’s important to recognise that, in many

from AI or Big Data,” explains Wang.

ways, Alibaba Cloud is much more than

“Then they can focus on the real

just a cloud company. As the

business outcomes.”

technology and business worlds

Having touched every industry

become ever more intertwined,

imaginable, Wang contends that

Alibaba Cloud has tried to position

customers can leverage the cloud

itself as a digital transformation

company’s insights and expertise to

IT’S IMPORTANT TO RECOGNISE THAT, IN MANY WAYS, ALIBABA CLOUD IS MUCH MORE THAN JUST A CLOUD COMPANY — Yeming Wang, General Manager for EMEA, Alibaba Cloud

JUNE 2019

disrupt their own verticals. “Our

The reason we do this is because we

consumers often ask how we run

don’t just want to run a hotel, we want

Alibaba. So, for example, a hotel

to show people the possibilities of what

company may ask how Alibaba Group

we can do,” Wang says. Hotel giants

manages its hotel, Flyzoo. In this hotel

like InterContinental Hotel Group (IHG)

in Hangzhou, China, everything is

have already benefited from Alibaba

automated. There are no people;

Cloud’s expertise. With more than 350

customers use self check-in and are

hotels in Greater China, the hotel group

served by robots. When you get into a

has joined forces with Alibaba Cloud

room you use voice control. If you need

to develop a scalable and robust IT

room service, a robot will get it for you.

infrastructure that will support its

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D I G I TA L S T R AT E G Y

long-term growth goals. In doing so, it hopes to blend best-in-class technology with first-rate hospitality. Alibaba Cloud has not just disrupted the hotel market though, it’s also left a lasting impression in the retail market too. Jack Ma, one of the founders of Alibaba Group, is often credited for coining the term ‘New Retail’, a new omnichannel way of thinking where the lines between offline and online commerce are becoming infinitely blurred. With its parent group standing as one of the largest and most valuable 38

e-commerce companies in the world, Alibaba Cloud is well-equipped to offer sage advice and digitally disruptive technologies in this space. “Today, everyone in retail understands the importance of omnichannel offers and user-centric experiences,” highlights Wang, pointing how Alibaba’s collaboration and communication platform DingTalk could be a valuable solution to connect employees, for instance. Indeed, one retail titan that’s working alongside the cloud computing business is Spain’s El Corte Inglés, the biggest department store in Europe by sales. Joining forces with Alibaba Cloud, the Madrid-based JUNE 2019

department store is leveraging tools including big data analytics, artificial intelligence and more to deliver more personalised experiences to its customers today. Verticals such as finance and smart cities have also been identified as key target markets for Alibaba Cloud but, regardless of the sector, one thing is for certain: digital transformation is set to be at the heart of the company’s business strategy moving forward. “We’ve seen that for almost every company today, especially in Europe, CIOs and CTOs don’t have any doubts about digital transformation,” Wang adds. “A could of years ago they were deliberating about whether to use cloud, but now they’re asking whether they will use Big Data or Artificial Intelligence. They have digital transformation strategies and are looking towards digital platforms because they want to change the rules. They want to be a game changer.” This has offered a window of opportunity for Alibaba Cloud, with Wang noting how customers are keen to develop intelligence-based partnerships with “agile w w w.gi ga bi t ma ga z in e. com

D I G I TA L S T R AT E G Y

ALIBABA GROUP MANAGES MORE THAN ONE TRILLION US DOLLARS EVERY YEAR AND 60-70% OF THIS BUSINESS IS MANAGED ON THE CLOUD â&#x20AC;&#x201D; Yeming Wang, General Manager for EMEA, Alibaba Cloud JUNE 2019

companies like Alibaba Cloud who have strong internet DNA”. Indeed, the cloud computing giant has established partnerships and attracted 2.3mncustomers worldwide, including over 1mn paying customers. Yet, when asked what he has been most proud of during his tenure, Wang cites the company’s growing brand awareness, pointing out how it’s much more than your typical technology firm. “More and more, people are realising that Alibaba isn’t just an e-commerce or a cloud company, it’s a digital transformation enabler,” says Wang, noting how, looking forward, the firm plans to deepen its partnerships with industry experts like KPMG and Deloitte. “We want to deliver our Asian digital success story to the western market” he concludes. “It’s not just about cloud, it’s about business and digital transformation.”

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D I G I TA L D I S R U P T I O N

LETTING HUMANS BE HUMANS WITH ROBOTIC PROCESS AUTOMATION The world of work is filled with too many mundane, repetitive tasks. Automation Anywhere wants to remove the robotic parts of most peopleâ&#x20AC;&#x2122;s daily jobs with RPA WRITTEN BY

L AUR A MULL AN

JUNE 2019

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D I G I TA L D I S R U P T I O N

magine your most tedious or

Touting itself as the world’s most widely

mundane rule task at work: then

deployed RPA platform, the firm aims

imagine a robot could do it for you.

to help companies achieve unprec-

This is the magic behind the emerging

edented levels of productivity and

technology practice of Robotic

efficiency by liberating employees from

Process Automation (RPA). With RPA,

mundane, repetitive tasks. Today it

businesses can automate dull, rules-

seems that, in many ways, the Califor-

based business processes, like data

nia-headquartered firm has all the

entry, allowing employees to focus on

hallmarks of being an RPA titan: in

the bigger picture – serving customers

November 2019, the firm accrued a

or other value-adding work.

valuation of US$2.6bn after nabbing

One firm that’s quickly becoming

$300mn in funding from Japanese

synonymous with RPA is California-

conglomerate Softbank, and the firm’s

headquartered Automation Anywhere.

bots are currently used by leading

JUNE 2019

“ It was obvious to me that RPA was going to be a hugely powerful ubiquitous tool” — James Dening VP & European RPA Evangelist, Automation Anywhere 47

industry giants including Unilever,

thought how we could easily automate

Google, LinkedIn and Cisco.

some of the mundane work using the

Not only has the firm brought big

platform so that they could focus on

name clients on board, it’s also man-

value-adding jobs,” he recalls. “It was

aged to convince many tech experts of

obvious to me that RPA was going to

the power of RPA. Take James Dening,

be a hugely powerful ubiquitous tool.”

VP and European RPA Evangelist at

Dening quickly joined the Automation

Automation Anywhere, for example.

Anywhere team as their first European

Whilst making his mark at firms such as

hire and the rest was history.

Amazon, Red Gate Software and XLN,

As a so-called RPA evangelist,

Dening stumbled onto Automation

Dening is keen to proselytize the

Anywhere’s RPA platform and immedi-

benefits of the technology but, for him,

ately was hooked. “I looked at my job

it’s not just about the digital side of

and the work we were doing and I

things, it’s also about the people. w w w.gi ga bi t ma ga z in e. com

D I G I TA L D I S R U P T I O N

“ At Automation Anywhere we talk about ‘taking the robot out of the human’, so taking those jobs that humans are doing which are repetitive, dull and rules-based and giving them to a bot or digital worker” — James Dening VP & European RPA Evangelist, Automation Anywhere

“RPA is just a part of it; we’re looking at the future of work,” he enthuses. “At Automation Anywhere we talk about ‘taking the robot out of the human’ – so taking those jobs that humans are doing which are repetitive, dull and rules-based and giving them to a bot or digital worker.” RPA is just one tool available in Automation Anywhere’s portfolio. Establishing what it describes as ‘digital workers’, the firm has created a technology which weaves together RPA, artificial intelligence (AI) and machine learning (ML) to introduce a virtual employee. Whilst typical software robots (or bots) are task-centric, these digital workers are built to augment human workers by performing business functions from start to finish. For instance, a digital worker could regularly submit invoices through a system from start to finish. “Augmenting human workers not only brings advantages to businesses around productivity and finances, but it also helps to free up people’s time so they can focus on the things that only humans can do – the creative tasks, leadership projects and group discussions with other people.”

JUNE 2019

CLICK TO WATCH : ‘AUTOMATION ANYWHERE ROCKS THE RPA WORLD!’ 49

From financial services and insur-

treatments, the burden of accurate

ance industries to healthcare and

reporting is a massive one. Some of

manufacturing, RPA could be a faithful

the largest pharmaceutical companies

tool for a variety of industries and tasks.

in the world are using our product to

“It could complete necessary financial

deliver that reporting far more accu-

functions like procure to pay or record

rately than they would if they had

to report,” suggests Dening. “We also

humans in the loop.”

do a lot of work for pharmaceutical

For industries such as these,

companies, particularly around

adopting technologies that have a

pharmacovigilance. This process

high-grade level of security is of the

makes sure you dot all the I’s and cross

utmost importance. This is something

the T’s when it comes to regulatory

which Dening is all too aware of. “A big

requirements around researching new

bank, pharma or any other large-scale

drugs, for instance. When creating new

company will simply not use your w w w.gi ga bi t ma ga z in e. com

D I G I TA L D I S R U P T I O N

product unless they are confident about the security, so making sure you're using the right level of encryption, both for dynamic and static data is really important. Additionally, if you look at how an RPA solution works, our bots sit where a human user would have sat and they interface with the same systems the human user would

Global locations

1,400

Approximate number of employees

have used. Therefore, all the security the business has in place to stop human users being bad actors or making mistakes is still in place.” As more businesses make the leap 50

towards cloud technology, Automation Anywhere has also followed. In fact, last year, the firm announced that its flagship Automation Anywhere Enterprise is now one of the only Digital Workforce Platforms to support all of the world’s four major cloud providers: Amazon Web Services (AWS), Google Cloud, IBM Cloud and Microsoft Azure. “Our view is very simple,” Dening proposes. “It’s not for us to tell our customers what technologies or platforms they should or shouldn't be using, whether its cloud, on-premise or web applications. Our job is to provide a platform that works across their entire technology stack. JUNE 2019

1mn+

Bots (and counting!)

Whatever platform choice the customer makes, we want to make sure we support that.” This customer-first approach has served the company well. Founded just 14 years ago, the California-headquartered firm has expanded across the pond, creating a presence in 20 global locations. The firm has also quickly mushroomed from a small startup to a 1,400-strong team and, for Dening, onboarding the right people has been as crucial as the technology itself. “I think the internal quality of the team is really important,” he notes. “We have hired people from across the globe and we have a wide range of gender and ethnic diversity. This brings a different perspective to the company and it’s something I’m very proud of.” Automation Anywhere also has a low attrition rate according to Dening, which he claims is a testament to the company’s dynamic culture. He believes his team are a part of something different, that they’re completely changing the game. “When you talk to any leader in our organization, from the CEO down, you find that everyone really cares,” he muses. “There’s a genuine feeling that we’re doing w w w.gi ga bi t ma ga z in e. com

D I G I TA L D I S R U P T I O N

“ There’s a genuine feeling that we're doing something remarkable, that if you join us you will have a ringside seat of what I think will go down in history as one of the great software companies” — James Dening VP & European RPA Evangelist, Automation Anywhere

JUNE 2019

something remarkable, that if you join us you will have a ringside seat of what I think will go down in history as one of the great software companies. I think that’s helped us hire people who not only have the right skills but the right attitude.” The technology sphere, perhaps more so than any other sector, is constantly in hyperdrive and this is particularly true when you look at RPA. In fact, in 2018, Gartner projected that global spending on robotic process automation (RPA) software would reach an estimated $680mn, an increase of 57% year over year. Dening suggests that although we may be “still in the foothills” when it comes to the potential of RPA, Automation Anywhere is in a strong position to take advantage of its inevitable boom.

w w w.gi ga bi t ma ga z in e. com

CLOUD COMPUTING

Best note known f b or i read ooks, Mole ts icon ying i era s with itself kine is c base f d di an impr or the now We s g e peak ital t ssive digita l ra c Dire ctor to Pete nsform loudat M atio r Je oles of Dig n n. s en, ital kine , to I find nnovati out o more n

JUNE 2019

w w w.gi ga bi t ma ga z in e. com

CLOUD COMPUTING

hy has digital transformation become imperative for your business?

Moleskine is a globally recognised brand,

with a recognisable presence on major high streets around the world. It needs to keep pace in a dynamic business environment, where customer tastes are constantly shifting as digital technology disrupts and reinvents entire markets. The brand is known primarily for its premium notebooks and paper-based products, but these changing 56

demands have created new business imperatives. People are increasingly using a host of mobile devices in their day-to-day working lives to take notes, tapping away on tablets and smartphones in addition to scribbling in notepads. To remain competitive, Moleskine needed to address this consumer demand, creating digital products and tools to complement the physical objects that lie at the root of peoples love for the brand. What internal obstacles stood in the way of your digital transformation? Innovation works best when businesses can bring a variety of perspectives to the process, and to develop the digital product portfolio that would best enable it to serve its audience, JUNE 2019

1997

Year founded

550

Approximate number of employees

Milan, Italy 57

Moleskine needed to harness the creativity, insight, and technical capabilities of its entire innovation team. Moreover, it needed to move fast â&#x20AC;&#x201C; not only to ship new products to an evolving market place, but also to quickly iterate on ideas. Yet in a global brand with people spread across wildly different locations that is easier said than done. The team initially struggled to collaborate, as different time zones and locations made it tough for the innovation team to align on product w w w.gi ga bi t ma ga z in e. com

CLOUD COMPUTING

“ Innovation works best when businesses can bring a variety of perspectives to the process” — Peter Jensen, Director of Digital Innovation, Moleskine

ideas, developments and designs. As Moleskine grew the innovation team to adapt to the scale of its ambitions, so the collaboration challenge became more difficult as projects required input from teams dispersed across Europe, Asia, and America. The team was relying on email to fuel the design process, and with everyone working at different times of the day and with various versions of documents flying around, a disconnect developed. The innovation process felt sluggish and muddled, and people struggled to bring their full creativity to the process of

adapting Moleskine to the digital age. How did you go about solving the collaboration challenge, and what impact did cloud-based tools have on your ways of working? It became clear that the team needed one central place where everyone on the team could access and edit documents, upload design templates, and collaborate with others on ideas – whether they were in a video, text, or image format. After assessing various services from a number of providers, the team alighted on Dropbox’s content collaboration platform. What was JUNE 2019

CLICK TO WATCH : ‘MOLESKINE SMARTWRITING SYSTEM’ 59

particularly attractive about this option

As a result of adopting Dropbox, the

was Dropbox Paper, a new type of

team has been able to improve its

collaborative workspace. The simplic-

global collaboration. Teams can quickly

ity of the tool was appealing, offering

throw ideas together, discuss them,

the flexibility of a physical piece of

gather feedback, find solutions, and

paper in the digital world – a place

optimise the idea – all in a single place.

where anyone can take notes, pull in

This not only reduces the back-and-

pictures, scribble in the margins, and

forth associated with emails, but also

thrash out ideas. Moreover, Dropbox’s

reduces admin time as people can

integrations with a variety of other

contribute directly to projects regard-

creative tools such as Adobe made

less of where they are, what time it is,

it an attractive option for an interconti-

or what device they are on. A happy

nental team working across a variety

side-effect of this is that by making it

of mediums.

easier to contribute to projects, the w w w.gi ga bi t ma ga z in e. com

CLOUD COMPUTING

change has democratised the innovation process and opened it up to more people. Around the world, Moleskine employees have become more engaged with these projects as they can refer to one living document to see, in real-time, how ideas evolve and how their own voice is contributing to the final product. What impact has this new collaboration approach had on your digital transformation? 60

This new approach to collaboration and flexible working has transformed Moleskine’s capacity to develop new tools that will enable it to serve the 21st century consumer. By centralising global product development in several ‘living documents’, the team has been able to shave entire weeks off development time. When required, the team has even been able to turn around designs in a tight 24-hour cycle, which simply was not possible before when most work was done in a cumbersome manner over email and distant time zones. This enables Moleskine to get digital products into the field faster, which in turn helps them to quickly JUNE 2019

“ Beyond speed, this new approach to collaboration has also liberated the innovation team to put their best ideas forward” — Peter Jensen, Director of Digital Innovation, Moleskine 61 assess where they might need adjustments to best serve the needs of the market. But beyond speed, this new approach to collaboration has also liberated the innovation team to put their best ideas forward – and as a result, they’re developing even better ideas that push the Moleskine brand into the digitally-fuelled future.

Moleskine and Dropbox have an active promotional partnership w w w.gi ga bi t ma ga z in e. com

Hitachi Vantara: Unleashing the power of intelligent innovation Wael Elrifai, VP for Solution Engineering, Big Data, Analytics & IoT, discusses how Hitachi Vantara is cutting through the noise by merging operational and informational experience WRITTEN BY

JUNE 2019

L AUR A MULL AN

w w w.gi ga bi t ma ga z in e. com

f you want to deploy a new technology it’s best to think of a pain point you want to solve or a business outcome you want to achieve and

work backwards,” advises Wael Elrifai, VP for solution engineering, Big Data, analytics & IoT at Hitachi Vantara. He’s well-equipped to offer this guidance; Hitachi Group has been revolutionising industries across

the globe for over a century. In fact, Elrifai contends that no other company has such a trusted trackrecord in both information technology (IT) and operations technology (OT). “Our competitors in the industry tend to be either IT companies or OT 64

companies but what makes us unique is that we have in-depth experience with technologies like big data, artificial intelligence and machine learning as well as in specific verticals,” he says. Now applying its unique skills to the world of the Internet of Things (IoT), the group has created Hitachi Vantara, a subsidiary which aims to unify the business’ efforts in IT, OT and IoT. Bringing together three different firms – Pentaho, Hitachi Insight Group and Hitachi Data Centres – 2017 marked the genesis of the California subsidiary, and it’s been on an upward ascent ever since. “I’m involved in solution engineering whereby we speak with companies who may not necessarily know how to attack a problem; they may think that big data or artificial intelligence can help but they may not know how to approach it,” explains Elrifai. JUNE 2019

w w w.gi ga bi t ma ga z in e. com

“ What makes us unique is that we have in-depth experience with technologies like Big Data,AI and machine learning as well as in specific verticals” 66

— Wael Elrifai, VP, Solution Engineering, Big Data, Analytics and IoT, Hitachi Vantara

“We help them understand how technology could help and prototype solutions for them.” In the railway sector, for instance, Elrifai highlights how industrial IoT (IIoT) can help businesses predict when maintenance will be needed so that downtime is reduced. This has massive consequences for businesses and citizens alike. “When a train fails it's detrimental because people may be stuck on the train and you've also taken this billion-dollar asset offline,” he says. “It has knock-on effects on the country and its citizens.” “Today, around 10% of global GDP is related to logistics and, in some cases, poor logistics chains may cause your milk to go up by 10p, for instance. This may not impact you if you’re living in an affluent area but if you’re living in a developing region then this could mean you have less money to spend on food, textbooks, hospitals and building materials. It can really impact people living on the edge,” he explains. “The use of technologies like IoT, artificial intelligence, and machine learning can help to reduce downtime and cost of delivery whilst dramatically impacting people’s lives.”

JUNE 2019

CLICK TO WATCH : ‘HITACHI VANTARA: PATH TO INNOVATION’ 67

Data and IoT could also be adopted

and we are about to see that again,”

widely by the agricultural sector to

asserts Elrifai. “Today, IoT and machine

make a big difference, contends Elrifai.

learning can help optimise agricultural

Take Meat & Livestock Australia (MLA),

land usage based on the weather and it

for instance, who were recently

can also help us use the optimum

awarded the first annual Hitachi

amount of pesticides or water, for

Transformation Award. Partnering with

example. There is a social and moral

Hitachi Vantara, the public authority

imperative to use technology in the

used data analytics and IoT-led

sector and therefore, we call it social

decision-making to drive productivity

innovation: the idea that there’s a

and enhance the profitability of the

financial bottom line and there’s also a

Australian red meat and livestock

corporate social responsibility (CSR)

industry. “We saw a sea change in

bottom line.” Indeed, social innovation

agricultural production in the 1900s

is a well-versed mantra at the group w w w.gi ga bi t ma ga z in e. com

JUNE 2019

“ We talk a lot about disruption but most companies want an evolution” — Wael Elrifai, VP, Solution Engineering, Big Data, Analytics and IoT, Hitachi Vantara

w w w.gi ga bi t ma ga z in e. com

“ We build solutions for power plants, transportation and more – it impacts people’s everyday lives” — Wael Elrifai, VP, Solution Engineering, Big Data, Analytics and IoT, Hitachi Vantara 70

and this hasn’t gone unnoticed by the

But, for companies wanting to take

international community either with

the first step on their IoT-led digital

the firm recently being placed on the

transformation, where should they

Thomson Reuters ‘Top 100 Global

begin? “A good place to start is to look

Innovators’ list.

for a business process which you

Hitachi Vantara has etched a unique

already do like managing a fleet or

path in the IT and OT space, paying

restocking shelves and find a way to do

particular attention to the rise of IoT.

it better through prediction,” Elrifai

The benefits of the technology are well-

suggests. “We talk a lot about disruption

documented: in fact, recent research

but most companies want an evolution.”

from Forbes Insights found that 45%

From manufacturing and supply

of executives surveyed identified IoT-

chain, to energy and healthcare, IoT

enabled manufacturing as a high or

is set to up-end all our preconceived

very high priority for their enterprises.

notions of how to run a business,

JUNE 2019

unlocking a new level of productivity.

manufacturing, as well as around 60

Hitachi Vantara may be only three

years in information technology which

years’ old but with a rich roster of

puts us in a unique place,” he says.

clients under its wing, it’s proving to

“We build solutions for power plants,

be a frontrunner in the space. Elrifai

transportation and more – it impacts

contends that this is all down to the

people’s everyday lives.”

business’ practical industry expertise, it’s unprecedented data analytic capabilities as well as it’s cutting-edge technologies like its IoT platform Lumada. “Hitachi has a background in building real-life solutions in the real world. We have a 110-year pedigree in operational technologies and w w w.gi ga bi t ma ga z in e. com

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T O P 10

JUNE 2019

TOP 10

smart cities 75

From smart transportation services to greener buildings, smart cities are quickly revolutionising the way we think about urban liv ing. We examine the top 10 smart cities from across the world, according to the IESE Cities in Motion Index WRITTEN BY

LAURA MULLAN

w w w.gi ga bi t ma ga z in e. com

T O P 10

Amsterdam Netherlands

Amsterdam was rated the 10th best smart city in the world and the fourth best in Western Europe, according to the IESCE Cities in Motion Index. In particular, the Dutch capital was commended for being the third best city for technology, the sixth best city for international outreach and the 13th best city for urban planning. The Amsterdam Smart City (ASC) project is already showing promise. In one partnership, the city worked with local businesses and corporations to test sustainable solutions on Utrechtsestraat, a major shopping avenue in the city. The â&#x20AC;&#x2DC;Climate Streetâ&#x20AC;&#x2122; initiatives included energy-efficient lighting, waste reduction and recyclable tram stops, helping to cut energy use on Utrechtsestraat by 10%.

JUNE 2019

Hong Kong SAR China

Hong Kong has also gained a top spot on the leaderboard as the 9th best smart city in the world. The city was highlighted for its technological efforts, with the IESE noting: â&#x20AC;&#x153;this city has a high innovation index, almost 100% of its population have mobile telephones, and it has a high number of wireless access points globally. It also stands out for the number of social media users and the number of mobile phones per capita.â&#x20AC;? As part of its smart city plans, Hong Kong has also implemented a new electronic ID (e-ID) system, for instance.

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T O P 10

Toronto Canada

Gaining the eighth spot on the leaderboard, the Canadian city of Toronto has also made significant strides with its smart city efforts. The city was particularly applauded by the IESE for its strong governance and urban planning. As part of its smart city endeavours, Sidewalk Labs (which is owned by Googleâ&#x20AC;&#x2122;s parent company Alphabet Inc.) and the Canadian government agency, Waterside Toronto, are working together to create a smart waterfront development known as Quayside. The firms say that the development will â&#x20AC;&#x153;combine forward-thinking urban design and new digital technology to create people-centred neighbourhoods that achieve precedent-setting levels of sustainability, affordability, mobility,

and economic opportunity.â&#x20AC;?

JUNE 2019

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T O P 10

Seoul

South Korea

The South Korean capital of Seoul has been named by the IESE as the seventh best smart city in the world. In March, the Seoul Metropolitan Government announced that it will install 50,000 Internet of Things (IoT) smart sensors throughout the capital by 2020 to collect information on fine dust, traffic and other issues related to citizensâ&#x20AC;&#x2122; lives, according to reports by Yonhap News Agency. Additionally, this year, the city also plans to introduce a shared parking service which uses IoT sensors to allow citizens check the availability of public parking.

JUNE 2019

Singapore Singapore

Gaining recognition for its efforts surrounding technology, governance, international outreach and the environment, Singapore was classified as the sixth best smart city in the world by the IESE. As part of its smart efforts, the city implemented a transportation system called One Monitoring, a comprehensive portal whereby citizens can access traffic information collected from surveillance cameras installed on roads and taxi vehicles using GPS. Additionally, Singapore has also implemented a Parking Guidance System which provides drivers with real-time information on parking availability. In 2015, the city also introduced smart bins as part of a smart waste management programme. 81

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T O P 10

Reykjavik Iceland

The Icelandic capital of Reykjavik stands out in fifth position in the smart city ranking. The city was particularly commended for its environmental smart city initiatives, gaining the top spot in this category. Â For example, the city recently promoted a public transportation app for city buses in the greater ReykjavĂk area called StraetĂł. The app has been downloaded 85,000 times and has encouraged citizens to use buses more frequently. The Icelandic capital has tried to involve the public in its plans through Better Reykjavik, an online consultation forum where citizens can present their ideas on the services and operations of the city.

JUNE 2019

T O P 10

Tokyo Japan

Not only is Tokyo the highest-ranking smart city in the Asia-Pacific region, itâ&#x20AC;&#x2122;s also the fourth best smart city in the world, according to the IESE index. As one of the most popular metropolitan areas in the world with a high rate of labour productivity, the city particularly stood out in the ranking for its economy and human capital. Set to host the Olympic Games in 2020, Tokyo will facial face recognition technology to improve security whilst driverless taxis are expected to ferry athletes and tourists from place to place.

JUNE 2019

©Richez et Associés 85

Paris France

Claiming the third spot on the ranking is the French capital of Paris. The report shone a spotlight on the city’s efforts in international outreach as well as mobility and transportation. For instance, the city is currently in the midst of developing the Grand Paris Express which will feature 127 miles of fully-automated metro lines and 68 new stations. By 2050, the city will also replace the entire 4,500-bus fleet of the RATP (the Paris Region’s primary public transport operator) with electric or natural gas vehicles (NGVs).

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T O P 10

London England

Standing as the highest-ranking European city, London was also highlighted as the second-best smart city in the world by the IESE. The city is the capital and most

populous city in the United Kingdom and is a nerve centre in areas such as the arts, commerce, education, entertainment, fashion, finance, media, research, tourism, and transportation. The report underlined London as the city best placed when it comes to human capital, and it was also recognised for its mobility and transportation, international outreach, economy, governance, technology and urban planning.

JUNE 2019

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T O P 10

New York City USA

For the second year in a row, New York City topped the leaderboard as one of the most developed smart cities in the world. With a population sitting above 8.5mn,

New York City uses 1bn gallons of water each day. As part of its smart city plan, the city’s Department of Environmental Protection is deploying a large-scale Automated Meter Reading (AMR) system to get a better snapshot of water consumption, while giving customers a useful tool to check their water use each day. The city has also turned to Bigbelly solar powered “smart” bins which monitor trash levels and ensures waste pick-up is scheduled regularly.

JUNE 2019

w w w.gi ga bi t ma ga z in e. com

EVENTS & A S S O C I AT I O N S

We round up the biggest and best technology events and conferences from around the world… EDITED BY LAURA MULLAN

03–06 JUNE 2019 Gartner IT Symposium/ Xpo 2019

25–26 JUNE 2019 Women of Silicon Roundabout

[ TORONTO, CANADA ]

Through inspirational

Zeroing in on leader-

keynotes, panel discus-

MoneyLIVE Digital Banking 2019

ship in the technology

sions, technical classes

sector, the Gartner IT

and more, the Women

Symposium/Xpo de-

of Silicon Roundabout

[ LONDON, UK ]

scribes itself as “the

aims to promote gender

MoneyLIVE Digital

world’s most important

diversity and inclusion in

Banking is the leading

gathering of CIO and

the technology sector.

digital banking confer-

IT Executives.” Bring-

In 2018, the event saw

ence for innovators

ing together a mix of

speakers from compa-

across the industry. With

Gartner analysts, indus-

nies such as Google,

over 11 hours of con-

try experts and solution

Groupon, SAP, and eBay

tent from more than 40

providers, the event

take the stage, attract-

speakers, 2018’s event

promises to explore the

ing more than 6,000

tackled the most press-

trends and technologies

attendees. Spanning two

ing questions facing the

which are driving digi-

days, the event hopes

banking industry today.

tal transformation and

to inspire tech leaders

The 2019 event is set to

redefining the future of

and help them super-

be one not to miss.

IT and business.

charge their careers.

25-26 JUNE 2019

JUNE 2019

[ EXCEL LONDON, UK ]

25–26 JUNE 2019 AWS re:Inforce

[ BERLIN, GERMANY ]

12 SEPT 2019 Tech Leaders Summit

The IFA (or Internation-

[ LONDON, UK ]

[ BOSTON, USA ]

ale Funkausstellung

Promising to be the UK’

Hosted at the Boston

Berlin) is one of the

largest summit for tech

Convention and Exhibi-

oldest industrial exhibi-

leaders, Tech Leaders

tion Centre, AWS rein-

tions in Germany. It’s

Summit will bring

force will provide two

also known as one of

together over 40 speak-

days of security, identity

the world’s leading trade

ers and 500 senior IT

and compliance learning

shows for consumer

executives. The summit

and community building.

electronics and home

plans to explore four

At the event, attendees

appliances. At the event,

key streams: Cloud and

will learn how AWS can

more than 1,800 ex-

IT Strategy; Data and

help their businesses

hibitors are expected to

Security; Diversity, Re-

remain secure in the

showcase the latest de-

cruitment and Staffing;

cloud. Additionally,

velopments in consumer

and AI and Technologi-

attendees will be able to

electronics and home

cal Innovation. In doing

attend hundreds of

appliances. Therefore,

so, it hopes to offers a

sessions, meet cloud

visitors can get a close

360-degree view of the

security experts and

look at some of the lat-

technologies and trends

connect with the cloud

est devices long before

shaking up businesses

security community.

they hit the shelves.

across the globe.

06-11 SEPT 2019 IFA BERLIN

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EVENTS & A S S O C I AT I O N S

28–31 OCT 2019

04–08 NOV 2019

Cisco Live Cancun

GITEX Technology Week

[ CANCUN, MEXICO ]

[ DUBAI, UAE ]

Cisco’s annual customer and partner

Claiming to be one of the biggest

conference, Cisco Live, aims to help

technology shows in the MENA and

businesses prepare for their digital

South Asia region, GITEX Technology

transformation journeys. Attendees

Week plans to investigate the latest

will be able to immerse themselves in

technology trends, present high calibre

five days of sessions, hands-on train-

speakers and showcase product

ing and 1:1 meetings. Additionally, at-

innovations from across the globe.

tendees will be able to learn about

Over 111,000 visitors and 4,800

Cisco’s products, technologies and

exhibitors attended the five-day show

services which could help them grow

last year, making it a must-attend

their business.

event for any technology professional.

JUNE 2019

04–07 NOV 2019

VMworld 2019 Europe [ BARCELONA, SPAIN, ]

04–08 NOV 2019

Microsoft Ignite 2019

Touting itself as “the preeminent digital infrastructure event of the year”,

[ ORLANDO, FLORIDA, USA ]

VMworld is a global conference for vir-

Microsoft Ignite is Microsoft’s annual

tualization and cloud computing hosted

meeting created for enterprise

by VMware. Attendees will learn from

professionals, services and products.

top VMware and industry experts about

Offering everything from deep product

what’s coming next in IT. Additionally,

dives to hands-on labs and immersive

attendees will be able to network with

experiences, Microsoft Ignite will cover

peers, make new connects, get direct

a wide range of topics such as deploy-

experience and training with hands-on

ment, development, architecture security

labs and discover new product break-

as well as operations and management.

throughs. Last year, 13,000 attendees

At last year’s event, the keynote speaker

and 3,500+ companies from across the

was Microsoft CEO Satya Nadella.

globe gathered to attend the event.

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Coca-Cola Hellenic Bottling Company Driving the top line and connected experiences through digital transformation WRITTEN BY

MARCUS LAWRENCE PRODUCED BY

LEWIS VAUGHAN

JUNE 2019

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oca-Cola Hellenic Bottling Company (CCHBC), a leading global FMCG business and strategic partner to The Coca-Cola

Company across its 28 market group, has made great strides in its digital transformation journey since we sat down with the business in January 2018. “Two things that have happened over the past 12 to 18 months are acceleration and fine-tuning,” says Group CIO Alain Brouhard at CCHBC’s corporate 96

headquarters in Zug, Switzerland. A consummate professional with an active role at both Gartner and Singularity University, Brouhard has been leading CCHBC’s digital transformation as Group CIO for the past three years. The key advancements of the journey since we last spoke are encapsulated in the expanded deployment of its innovative smart cooler fleet as well as continual, data-driven revolutions of efficiency in both its internal operations and relationships with vendors and consumers. “Digital transformation, for us, is to drive the topline growth as well as the bottom-line through efficiency and cost leadership: one of the most critical elements of that is in connecting experiences between our customers, our consumers and our business developers.”

JUNE 2019

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“

Digital transformation, for us, is to drive the top-line growth as well as the bottomline through efficiency and cost leadership

”

Alain Brouhard, Group CIO, Coca-Cola Hellenic Bottling Company

markets by the end of 2019. “Our coolers talk to the consumer,” says Brouhard. “If you have a third-party smartphone app, such as ShopFully in Italy with whom we’re now live, a push notification is sent to your phone when you pass close to one of the coolers.” Not only does the push notification alert the consumer to the fact a cooler is nearby, it can also provide exclusive offers to encourage them to make a purchase. “This is an example of proximity marketing, and it’s elevating the performance of our promotions to a significantly better level: we have a return rate of promotion of 7-10% compared to traditional returns of 2-3%,” says Brouhard. The impact that the coolers have

CONNECTING THE EXPERIENCE

through communicating directly with

The aforementioned smart coolers

potential consumers is augmented with

enable CCHBC to tick every box on

the data-driven efficiency they enable.

this agenda. The beacon-enhanced

“The cooler, just to make it clear, is not

coolers, which deliver push notifica-

a vending machine,” clarifies Brouhard.

tions to nearby consumers with special

“With a vending machine, you know

promotions, totalled around 120,000

exactly what has been bought and

in January 2018. That number has

you have a record of each purchase.

tripled in just over a year, and Brouhard

This device has an open door, and we

affirms that CCHBC will have deployed

don’t have a record of how many bever-

500,000 across its 28 operational

ages have been sold from it. With the

JUNE 2019

CLICK TO WATCH : ‘CCHBC – PARTNERS’ 99

beacons we have put in place we

to a high-performing one, and the im-

can track how often the door opens,

pact of that is around a 12% increase

and we know that around 80% of

in sales,” Brouhard enthuses.

door openings indicate a sale. We can therefore assess the performance of

DATA-DRIVEN EFFICIENCY

each cooler; by knowing the perfor-

Brouhard earmarks the company’s

mance, we can improve the location of

accelerated use of data-driven insights

the product so, if it is not performing

as another big step forward during the

in a particular location, we can move it

past year. “I believe the critical progress

to somewhere where it might be more

has been our focused and exponential

successful.” If a minor adjustment of

deployment of Big Data and Advanced

placement is unsuccessful, CCHBC

Analytics,” says Brouhard. The breadth

relocates the device entirely. “We move

of this advancement is significant, en-

the cooler from a low-performing store

compassing its segmented execution w w w.gi ga bi t ma ga z in e. com

ABOUT OTE OTE Group is the largest technology company in Greece and a member of Deutsche Telekom AG. It offers the full range of telecommunications services: from fixed-line and mobile telephony, broadband services, to pay television and integrated ICT solutions. COSMOTE is the unified commercial brand for all the products and services of the Group and its key message is “a better world, for all”. Its mission is to bring technological capabilities to all, so that everyone can live and enjoy at the fullest all possibilities offered now, while also building on them for a better tomorrow. OTE Group invests heavily in New Generation Networks, creating infrastructure which will boost the Greek economy and create growth potential. It is the largest investor in new technologies and infrastructure in Greece, having invested over €2bn over the past six years. OTE Group implements a €2 bn. investment plan until 2022, to offer even higher speeds and wider coverage in fixed and mobile telephony. In the field of System Integration, OTE Group has developed diverse capabilities and constitutes a leading partner of choice for businesses seeking innovative solutions in the fields of Data Centers, Cloud, Information Security, Networking, Big Data and Internet of Things technologies. Leveraging strategic partnerships with IT Market Leaders and due to its large IT & Network workforce, OTE Group has delivered large scale and complex ICT projects offering managed services to customers in Europe.

WE EMPOWER. YOU LEAD Focusing on continuously developing innovative solutions and building strategic partnerships with global IT leaders, OTE Group stands out to be a trusted technology partner for large business customers. By modernizing its IT infrastructure, as well as maintaining operational and people excellence, OTE Group delivers and supports sophisticated tailor-made projects. The state-of-the-art services and solutions offered by OTE Group enable businesses dynamically to the new digital era and ensure their business continuity. The strategic partnership with Coca-Cola HBC acts as an accelerator of the company’s digital transformation journey through a robust technology strategy. Coca-Cola HBC’s roadmap to the digital edge started with the implementation of a new Data Center, one of the 3 largest Data Centers in the EMEA region. • Operational applications, such as ERP and CRM, and Databases were migrated within the set timeframes, with zero disruption to operations. • The highly specialized personnel of OTE Group has been assigned to manage, operate and support data center facilities, systems and data network infrastructure on a 24 x 7 x 365 basis in 13 different time zones. • The Tier 3 certified Data Center and its Disaster Recovery support the operation of 36,000 employees in 28 countries across the EMEA region. The close collaboration between the two Groups and the disruptive approach has led to the realization of one of the largest SAP HANA installations in Europe. • The Data Center infrastructure has been upgraded to accommodate the installation and operation of the SAP HANA environment. • Being a pioneer in infrastructure and managed IT services, OTE Group undertook the operation, management as well as technical support of the SAP HANA environment. • Adopting the latest technologies, Coca-Cola HBC has significantly optimized internal processes as well as ensured a faster and more flexible reporting model.

www.cosmote.gr

Expanding the partnership and its capabilities OTE implemented and operates the IT service desk of Coca Cola Hellenic. Under an 8 moths successful transition OTE provides First Level IT Support Services to 19 countries in 16 local languages. This is a large scale complex service that is provided 24x7 to Coca Cola Hellenic users and proves the ability of OTE Group to deliver and operate large scale Service Desks. Furthermore OTE provides to CCH Security Operation Center services and protect CCH critical information systems infrastructure so as to get immediate information in case of an attack event. OTE Group Security Operations Center is operating 24 hours a day, 365 days a year, and having as its main duty to continuously monitor and analyze CCH selected data, so as to identify in time potential attacks. In any indication of a possible security event, both for IT and OT environment, problem in the information flow, unauthorized access or any other malfunction, the qualified and certified engineers of SOC take immediate action in order to analyze the incident, to inform CCH and to propose the necessary measures for the handling of the situation. Finally OTE assures the protection of CCH critical systems form DDoS attacks, by using the most modern integrated security platform that only providers of telecom services, such as OTE, may provide.

Looking at Coca-Cola HBC operations in a holistic manner, the purpose of OTE Group is to empower our customer’s vision to be the undisputed leading beverage company in every country where they do business.

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102

strategy, optimisation of its manufactur-

sets with consumer household panel

ing processes and more. Segmented

and weather data We are developing

execution is the process in which CCH-

algorithms to autonomously analyse

BC leverages data to ascertain the most

the data in this lake and assist us with

effective manner to display its product

better product segmentation at the

range depending on the location, local

point of sale,” Brouhard explains.

demographics and the context of the

On the manufacturing side, Brou-

store’s own layout. “In our pilot projects

hard highlights CCHBC’s partnership

in countries such as Nigeria, we have

with analytics specialist Trilobyte that

put together a single data lake – pow-

is driving a new level of quality control.

ered by Microsoft Azure – to collate

“One of the prerequisites of the

social media and internal customer data.

manufacturing process is the quality

We will be expanding soon our data

standard,” says Brouhard, noting the

JUNE 2019

importance of ensuring quality as

THE RIGHT PARTNERS

it manufactures Coca-Cola’s prod-

Trilobyte and Atos have not been the only

uct portfolio. “Trilobyte and French

key partners for CCHBC’s continued

digital transformation expert Atos have

digital transformation efforts. Through

contributed to developing our statis-

its relationship with Microsoft, CCHBC

tical process control tool. This has

is launching a unified communication

enabled us to analyse manufacturing

platform, Microsoft Teams, that will

data points to anticipate quality con-

radically upgrade a range of processes

cerns and subsequently take actions

deep within the organisation. “We are

for continuous improvement of our

deploying Microsoft Teams extremely

final product’s quality. We have been

rapidly to enhance Office365 and to

developing those insights across more

replace Skype for Business. We have

of our manufacturing plants, and that’s

found the platform to be extremely

something we will be reinforcing with

efficient and viable for enhancing col-

additional technology in the future.”

laboration within teams at every level

E XE CU T I VE PRO FI LE

Alain Brouhard, Group CIO Alain Brouhard began his career with Procter & Gamble, working in four different countries and in a variety of commercial and management roles. Becoming Global Customer Team Leader in 2001, he oversaw the global account management of Delhaize and the European management of new channels, including discounters (such as Aldi, Lidl and Dia) and convenience retailing. From 2002 to 2010, Brouhard held positions at Adidas including Managing Director, Italy and Southeast Europe, from 2007 until he joined the Group in 2010. Prior to that, he was VP for Commercial Operations, EMEA, from 2002 to 2005, and, from 2005, took the role of Managing Director, Iberia with responsibility for Spain and Portugal.

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103

Coca-Cola Hellenic Bottling Company:

Digitalization of Delivery Processes Quenches Changing Customer Demand

“We have a suite of digital solutions creating a connected commerce environment. With one integrated infrastructure and integrated applications, all our ERP and CRM systems are on SAP across 28 countries in an absolutely consistent way, all backed up by one single data center.” – Alain Brouhard, Group CIO, Coca-Cola HBC

SAP Integrated Delivery Framework

Your Deployment of SAP S/4HANA

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Join the SAP S/4HANA Movement As one of the world’s top three bottlers of Coca-Cola brands, Coca-Cola Hellenic Bottling Company (Coca-Cola HBC) sells more than two billion cases annually of carbonated colas, as well as water, juice, ready-to-drink tea, and energy drinks. Yet, the secret to Coca-Cola HBC’s market leadership goes beyond offering a vast range of products. “We are also working hard to move from data to insights, and we are developing and translating that data into insights, which will drive the business faster and in a more efficient way,” says Alain Brouhard, group CIO of Coca-Cola HBC. With the help of SAP technology and expertise, Coca-Cola HBC is applying large volumes of data generated from a substantial footprint that is connected to consumers 24x7 through a wide variety of brick-and-mortar and online sales channels. And by making this information easily accessible, the bottler can immediately pinpoint and address signs of economic challenges, growth potential, and readiness and foster for new-product introduction. A refreshing new approach to ERP To take the first step towards this strategic vision, Coca-Cola HBC implemented SAP Customer Experience solutions to create a central customer Web portal that allows both sides of the commerce interaction to stay connected day and night. Plus, with the addition of SAP Integrated Business Planning, the production planning process became more integrated and responsive to changing needs. The bottler then collaborated with SAP to deploy SAP S/4HANA as its digital core of data intelligence. By eliminating technology hurdles such as information redundancies and error-prone data, the next-generation ERP suite is helping Coca-Cola HBC to reduce the cost of innovation and focus limited resources on more strategic initiatives that improve the customer experiences and consumer outcomes. In return, every employee can make

faster, more precise decisions by accessing information captured business-wide in real time and act on that information immediately. Expertise and support that revives, inspires, and sustains To help Coca-Cola HBC realize the full potential of SAP S/4HANA, the SAP Digital Business Services organization provides clear guidance and support throughout the planning, implementation, and operation phases. The SAP DBS approach is designed to drive faster implementation and adoption with reduced complexity, increased automation, and greater ease of use. For example, the SAP Value Assurance service offers the bottler access to delivery and technical expertise, methodologies, templated business scenarios, and tailored service. This industrialized implementation support is accessible and being applied through the deployment lifecycle – from planning and safeguarding to technical implementation, functional realization, and innovation. Additionally, the services provide the baseline for an Integrated Delivery Framework that complements design authority of SAP. Led by SAP Digital Business Services, this approach carefully aligns and integrates delivery roles, methodologies, and services with potential system integrators – making the deployment of SAP S/4HANA faster, smoother, and less risky. The feeling of consumer satisfaction through innovation With the combination of SAP S/4HANA, SAP Customer Experience solutions, and technical and functional expertise, Coca-Cola HBC is ready to serve a market that has fully embraced a world that is highly digital, proactively responsive, and tremendously fast. Every touchpoint across the business and commerce experience is now simplified, optimized, and connected – ensuring that the right beverages are available when and where consumers want them.

Active Transformation with Atos

As one of the largest bottlers of The Coca-Cola Company, active transformation is key to sustainability and success for Coca-Cola HBC. With Atos as their digital transformation partner, they are writing the future for soft drinks distribution. • Connected coolers engage personally with customers • Data analytics deliver insights and continuously optimize CCHBC’s business model • Comprehensive SAP and cloud-based solutions ensure secure and agile operation • End-to-end application services drive innovation Atos is a global leader in digital transformation with approximately 120,000 employees in 73 countries and annual revenue of around € 13 billion.

CLICK TO WATCH : ‘CCHBC – SMART COOLERS’ 107 of the organisation. We are even using

increased agility, simplicity and reliabil-

Teams as one of the ways to com-

ity afforded by S/4HANA as being the

municate and collaborate among the

key factors driving the move, fostering

Executive Committee,” says Brouhard.

an advancement of the Agile method-

Elsewhere, CCHBC’s historic rela-

ology that CCHBC has been ingraining

tionship with SAP has continued to

into its operations. SAP Digital Business

deepen. “Over the next three years

Services and Atos is facilitating the

we are progressively migrating to

transition to S4/HANA, joining with

S/4HANA,” explains Brouhard. “We

the work of CCHBC’s application

have already completed the migration

maintenance support partner based

of our business warehouse to SAP BW

in Sofia, Bulgaria.

on HANA, and we’re now progressively

CCHBC has also expanded its

moving more of our functionalities

relationship with Greek telecommuni-

and applications over to in-memory

cations leader OTE, a Deutsche Tel-

processing.” Brouhard highlights the

ekom subsidiary. “We have a long-term w w w.gi ga bi t ma ga z in e. com

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JUNE 2019

â&#x201A;Ź6.5mn+ Approximate revenue

1969

Year founded

28,884

Approximate number of direct employees

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109

Designing more efficient analytical tools to get more value from data than usual With QCExpert® Enterprise, DARWin® (Data Analysis Robot) TriloByte Statistical Software focuses on leveraging the power of consistent mathematical methods and algorithms in applications like quality improvement and monitoring, manufacturing, product development and efficiency metrics. TriloByte’s flagship software products QCExpert® and DARWin® serve in research and industries ranging from pharmaceutical and food, polymers, oil, nuclear power, textiles, pulp&paper, automotive to financial markets and government. TriloByte’s portfolio includes training and graduate education at TriloByte Statistical Academy. We are proud supporters and scientific contributors of world-wide organizations like International Society for Business and Industrial Statistics (ISBIS) or Quality and Productivity section of The American Statistical Society (ASA). With Coca-Cola HBC, TriloByte developed and deployed a unique consistent scalable quality metric with feedback, evaluation and decission support system including predictive modelling, multivariate statistical methods or Quality Improvement Potential Factor (QIPF). These solutions help to motivate, provide insight and arguments at all levels and allow to optimize global distribution of resources.

Karel Kupka, PhD., CEO; kupka@trilobyte.cz Marcela Salficka, CFO salficka@trilobyte.cz

www.trilobyte.cz 300 Stare Hradiste, 53352 Czech Republic

contract with OTE as the provider of our main Private Cloud for all our businesses across the 28 countries,” says Brouhard. “They are also becoming our strategic partner for helpdesk both on and off-site, and that also complements our strategic partnership with them.” A striking new aspect of this relationship is in OTE’s fresh support for CCHBC’s cybersecurity practices. The firm has now signed a contract with CCHBC to manage its Security Operations Centre (SOC), providing around the clock log monitoring for each of the company’s 28 operational countries.

“

I believe the critical progress has been our focused and exponential deployment of Big Data and advanced analytics

”

Alain Brouhard, Group CIO, Coca-Cola Hellenic Bottling Company

BATTLING CYBERCRIME “Our work with OTE is complementing our whole cyber infrastructure,” says Brouhard as he details the success CCHBC has enjoyed in the accelera-

with the SOC’s work. An example

tion of its cybersecurity methodologies

would be in a dormant computer that

and technologies. The SOC, he says,

had a virus, and when the computer

enables the company to monitor IT and

was reactivated it was immediately

OT (operational technology) devices

picked up and isolated by the SOC to

across its network, with algorithmic

prevent the virus’s expansion. That

checks notifying the security team of

single log, out of millions of logs that

any deviation that could signal a threat.

the SOC scans every day, prevented

“We have been able to stop viruses

us from potentially experiencing

from spreading through the operation

significant issues.” w w w.gi ga bi t ma ga z in e. com

111

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112

CCHBC has also risen to the task

journey that led to the appointment of

set by the European Union’s new

CCHBC’s first CISO. “A fundamental

GDPR legislation, appointing a Chief

piece of work through 2018 had to do

Information Security Officer (CISO)

with GDPR, and I believe we are happy

in the wake of concerns across the

to announce that we have achieved

tech world of increased risk to con-

GDPR compliance.” Brouhard is quick

sumer and enterprise data. “We built

to add that both he and the company

a new team because we needed to

remain vigilant in all aspects of cyber-

increase our knowledge and capability

security, noting that overconfidence

internally,” Brouhard says of the

is not a wise route to take with such

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113

risks. Part of the continued efforts to

the whole idea of protecting our cyber

instil a strong security ethos within the

environments by equipping the user at

company comes down to appreciating

the forefront of the protection with the

that individuals can pose the biggest

skills and awareness that they need.”

risk to a company’s data security, and that education in this area is absolutely

DRIVING FUTURE SUCCESS

vital. “One of the elements I want to high-

CCHBC’s digital transformation journey

light is an awareness campaign that’s

is set to continue for the foreseeable

based on thinking before clicking,”

future, but Brouhard stresses the

says Brouhard. “The campaign pushes

importance of the company seizing w w w.gi ga bi t ma ga z in e. com

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“ that “We know

114

cybercrime is out there, and what I believe to be absolutely critical is that, when we leverage and enhance these technologies, we need to be very vigilant to the fact that we are opening the door to increased risk”

”

Alain Brouhard, Group CIO, Coca-Cola Hellenic Bottling Company

upon the opportunities presented by the technologies and solutions it has implemented thus far. “Before engaging with more technological challenges and opportunities, I want to make sure that we are properly deploying and using what we have in place,” he says, adding that maintaining the right pace is vital to effective change management. “The connected coolers are a good example: by the end of the year we will have deployed 500,000 coolers, and the ultimate goal is to have a fully connected fleet of 1.2mn.” Of technologies beyond those already engaged at CCHBC, Brouhard is excited by the potential of 5G and the continued development of Internet of Things (IoT) solutions. “Within the next one or two years we want to continue the transformation by using what I call ‘exponential technologies’. I see a huge opportunity to leverage IoT as we move into 5G technology, and we are planning to pilot some solutions of this kind with network companies. Voice recognition is another thing that we want to leverage internally and externally with our consumers in some form.” The third technology in Brouhard’s sights

JUNE 2019

CLICK TO WATCH : ‘CCHBC – FUTURE PLANS AND EMERGING MARKETS’ 115

is blockchain, which CCHBC is cur-

leverage and enhance these technolo-

rently piloting for use in supply chain

gies, we need to be very vigilant to the

management. “We want to be able to

fact that we are opening the door to

communicate and provide supply chain

increased risk.” CCHBC’s laudable

visibility to the end consumer,” he says.

advancements with digital transforma-

The critical element to CCHBC’s

tion are certainly compounded by this

entire journey is the focus on driving

awareness, as both Brouhard’s and the

top-line growth through technology,

company’s tireless focus on cybersecu-

never forgetting the importance of

rity ensures it is ready for anything.

remaining cautious to the risks that such technologies can pose. “We know that cybercrime is out there,” concludes Brouhard, “and what I believe to be absolutely critical is that, when we w w w.gi ga bi t ma ga z in e. com

UILDING A ROCUREMENT EPARTMENT ROM THE ROUND UP WRITTEN BY

HARRY MENEAR PRODUCED BY

JUSTIN BRAND

116

117

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APPLUS+

MONTSE EMPEZ, CHIEF PURCHASING OFFICER AT APPLUS+, TELLS THE STORY OF BUILDING THE COMPANY’S PROCUREMENT DEPARTMENT FROM THE GROUND UP, AND OF THE DIGITAL TRANSFORMATION OF ITS SUPPLY CHAIN

decade ago, the role of a procurement department and its Chief Purchasing Officer (if the role existed at all) was often

relegated to a monthly meeting of the accounting 118

department in order to briefly discuss the cheapest possible way to acquire products and services. Today, the business community has “moved on from the idea that procurement is just a cost cutting department. Now, it’s a department that adds value to the company and is capable of driving change inside the organisation,” says Montse Empez, Chief Purchasing Officer at Applus+. Founded in 1996 and headquartered in Madrid, Applus+ is one of the world’s leading testing, inspection and certification companies. It provides solutions for customers in multiple industries to ensure that their assets and products meet health and safety, quality and environmental standards and regulations. Applus+ operates in more than 70 countries and employs 22,800 people.

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APPLUS+

“ IT’S THE HOT TOPIC RIGHT NOW. EVERYONE IS TALKING ABOUT PROCUREMENT DIGITAL TRANSFORMATION” — Montse Empez, CPO, Applus+

Joining the company in 2011, Empez was tasked with a unique and engaging challenge: building Applus+’ procurement department from the ground up. “Since I joined the company, I have seen tremendous change in the perception of procurement and the involvement that we now have in strategic decisions. It has not been an easy path; we have had to show we’re adding value to gain that confidence,” Empez recalls. Touching on the long-term digital transformation of Applus+ procurement department, Empez discusses her journey so far,

120

how the growing importance of the procurement department has led to increased challenges, and the ways in which digital transformation is instrumental in overcoming them. The pervasive digital transformation of the business landscape is, Empez asserts, the touchstone by which every procurement department will be judged by history. “It’s the hot topic right now. Everyone is talking about procurement digital transformation,” she notes. “We are trying to integrate all the companies to access data via either API or web services, so that we can gain access to information JUNE 2019

CLICK TO WATCH : ‘APPLUS+ BRANDCLIP VIDEO’ 121 incredibly quickly. That sort of imple-

made was to internalise that function,”

mentation will hopefully allow us to

Empez recounts.

be proactive rather than reactive.”

Outside of Spain, she quickly

Gathering data from the 70 countries

discovered that Applus+ operations in

across which Applus+ operates has

most countries lacked a procurement

been no mean feat for Empez, who

process, and those that did have one

faced initial challenges at home and

weren’t standardised. “We had no

abroad. “When I joined Applus+, the

spend visibility and no global deal or

first thing I found out was that there

agreement in place for our fleet.

were no procurement specialists in

Applus+ has over 5,000 vehicles,

Spain. The company had an external

which represent one of the most

procurement department that was just

important requests for proposal (RFPs)

processing local purchase orders and

in the company, so that was the first

invoices, not doing any procurement as

thing I tackled,” says Empez. After

such. So, one of the first decisions I

reworking Applus+ fleet management, w w w.gi ga bi t ma ga z in e. com

APPLUS+

122

“ I’D LIKE APPLUS TO BE AHEAD OF THE MARKET, NO MATTER WHAT KIND OF CHANGES ARISE” — Montse Empez, CPO, Applus+

JUNE 2019

123

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FlexoFORM™ Scanner

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www.olympus-ims.com/scanners/flexoform/ Olympus is a registered trademark, and FlexoFORM is a trademark of Olympus Corporation.

“ WITH THE NEW SYSTEM, I STARTED GETTING INFORMATION THAT MEANT WE COULD MAKE SMARTER DECISIONS AND ENSURE COMPLIANCE” — Montse Empez, CPO, Applus+

ensure compliance.” Now, Applus+ is in the process of migrating its procurement department again, this time to SAP Ariba’s service. “Ariba is a much more robust system than our previous deployment,” Empez explains. “It gives us additional advantages with regards to our procure-to-pay process, and it allows us to implement rules with procurement to be more consistently compliant. We are very satisfied with the Ariba deployment and what we can get out of the system.” Empez maintains that, regardless of the solutions in use, one of the greatest challenges of the digital transformation of procurement is an increased focus

Empez worked on developing procure-

on compliance. “Procurement is

ment policies to demonstrate which

coming under more and more scrutiny,”

software solutions system would best

she says. “There are increased controls

suit the company’s needs. “A year after

and compliance standards on the

I joined the company, I raised the

procurement process now, especially

department’s needs with the board of

relating to things like Corporate Social

directors, and they agreed to launch an

Responsibility (CSR). Procurement is

RFP. I’m proud to say that six years

something that can, if done poorly,

after the first implementation, we now

really hurt a company’s reputation.”

have 13 countries using it. It’s not

Sustainable practice across the

complete, but it’s a great start,” says

procurement department is another

Empez. “With the new system, I started

avenue through which responsibility

getting information that meant we

increases alongside importance.

could make smarter decisions and

“Sustainability in the supply chain w w w.gi ga bi t ma ga z in e. com

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APPLUS+

126

is taken much more seriously than 10 years ago,” says Empez. “We’re doing a lot of things: we want to make sure that we work with suppliers that are

€1,676mn Approximate revenue

sustainable in the way they operate, so we have a pretty strict evaluation and qualification process. The same goes for our products.” Looking to the future, Empez sees emerging technologies like Big Data, prescriptive analytics and the Internet of Things (IoT) as key to overcoming the challenges facing procurement departments. However, she observes, JUNE 2019

1996

Year founded

22,800 Approximate number of employees

APPLUS+ DIVISIONS

•E NERGY & INDUSTRY DIVISION: leading global provider of non-destructive testing, inspection, quality assurance and quality control, project management, vendor surveillance, certification, asset integrity services and technical staffing services. •L ABORATORIES DIVISION: testing, certification and engineering services to improve product competitiveness and promote innovation. The Division operates a network of multidisciplinary laboratories in Europe, Asia and North America •A UTOMOTIVE DIVISION: global leading provider of statutory vehicle inspection services in several markets in which the periodic vehicle inspection is mandatory for the compliance of safety and environmental standards.

•D IADA DIVISION: IDIADA A.T. (80% owned by Applus+ and 20% by the Generalitat of Catalonia) has since 1999 been operating under an exclusive contract at the 331-hectare technology centre near Barcelona (owned by the Generalitat of Catalonia), which includes the most comprehensive independent proving ground, testing laboratories and vehicle development centre for motor vehicles in Europe. The contract runs until 2024 and is renewable until 2049. The Division provides services to the world’s leading vehicle manufacturers for new product development activities in design, engineering, testing and homologation.

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127

APPLUS+

128

“ ARIBA GIVES US ADDITIONAL ADVANTAGES WITH REGARDS TO OUR PROCURE-TO-PAY PROCESS” — Montse Empez, CPO, Applus+

while the majority of companies are, in some way, adopting artificial intelligence (AI) and predictive analytics, this investment is not being seen enough in the supply chain and procurement departments. “These technologies will play a significant role in procurement. My question is ‘when?’ I don’t think the market is ready yet. Applus+ has implemented AI tools in its systems for checking things like the procure-to-pay process. But the reality is that only maybe 1% of our suppliers are ready for

JUNE 2019

129

an AI integration.” This is something

transformation. Of course, there will

that Applus+ is putting a great deal

always be new things,” she laughs.

of emphasis on going forward. “In all

“I’d like Applus+ to be ahead of the

our new RFPs we’re looking for digital

market, no matter what kind of changes

players,” Empez explains. “Through this

arise. By next year, I hope we have a

intelligence, we can definitely improve

consolidated structure and are ready to

efficiency and cost.”

take on new challenges and projects.”

Empez relishes the ongoing challenge and dynamic nature of her role. “Right now is a fantastic time, because my role and department are changing the organisation. By 2020, I hope we will finish our department’s digital w w w.gi ga bi t ma ga z in e. com

130

UNLOCKING THE POWER OF DATA WRITTEN BY

LAURA MULLAN PRODUCED BY

JAMES PEPPER

JUNE 2019

131

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GOCO GROUP

Whether you’re looking to find the right insurance policy or energy tariff, GoCo Group has the answer – and it’s all thanks to data

hen you first think of GoCo Group you might recall the catchy jingles and attention-grabbing adverts of one of its

businesses – GoCompare. But behind the scenes it’s clear that the company’s technology prowess has been the key driver of its fame. Recognising that consumers were having a 132

hard time finding insurance deals, GoCompare was launched in 2006, and it was the first comparison website to focus on product features as well as price. It’s proven to be a stellar strategy for success. Since it started, the firm has gone public, diversified into new areas, and is now home to four popular and well-regarded brands including GoCompare, MyVoucherCodes, weflip and Energylinx. A lot can happen over a decade and GoCompare is living proof of that, explains Clive Gilson, Vice President of Technology: “GoCompare started at the kitchen table in 2006 and since then it has grown to become a 300-people strong group with a market capitalisation of almost £400mn,” he enthuses. “It’s been a major journey. We hope to maintain our startup ethos to drive the business forward, even as we become a significant player in JUNE 2019

CLICK TO WATCH : ‘VP OF TECHNOLOGY AT GOCOMPARE: START UP ETHOS/BEING MORE THAN A PRICE COMPARISON WEBSITE’ 133

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GOCO GROUP

“ They don’t just want to see us once a year to renew their car insurance; they want to find a partner who can help them save money regularly” 134

— Clive Gilson VP of Technology, GoCo Group

the financial sector and move beyond price comparison.” GoCompare carved a unique path in the comparison space, quickly becoming a household name in the UK. In the early days, GoCompare “championed consumer saving by giving people an option regarding price and product features”, according to Gilson, and it was a winning strategy. However, the landscape is changing swiftly. “Our consumers are maturing,” observes Gilson. “One of the reasons why we diversified from home and car insur-

E XECU T I VE PRO FI LE

Clive Gilson Clive Gilson has substantial experience as a senior technology leader, having worked on major web, mobile, digital software and transformation programmes for nearly 20 years. Gilson has specialised in implementing and developing Agile thought, delivery models and environments at scale in both the commercial and public sectors. He has broad commercial experience having worked with broadcast and media organisations, mobile telcos, in the public sector and government organisations, and most recently in the fintech workspace.

JUNE 2019

CLICK TO WATCH : ‘VP OF TECHNOLOGY AND GROUP DIRECTOR OF DATA AT GOCOMPARE: THE IMPORTANCE OF PARTNERSHIPS’ 135

ance is that we believe our customers

money in lots of different areas. “Data

want a complete service. They don’t

is at the heart of everything we do,”

just want to see us once a year to switch

adds Gilson. “It allows us to under-

their car insurance; they want to find

stand our customers and actively offer

a partner who can help them save

savings rather than waiting for them to

money every day.”

come and see us. It’s definitely more of

Therefore, while price comparison is

a personalised, data-driven strategy.”

a cornerstone of its business, GoCo

The firm’s proprietary technology

Group is also keen to create a more

platform, SaveStack, is the backbone

personalised, data-driven experience

of this strategy. “Ten years ago, we

which it aptly describes as ‘Savings-as-

wrote the code to create a car insur-

a-Service’. Essentially, this means

ance comparison service and then

creating a concierge type relationship

used that to create comparison services

with people and helping them save

for other products like home insurance. w w w.gi ga bi t ma ga z in e. com

GOCO GROUP

136

JUNE 2019

By doing this process multiple times it

with our customers on any given

meant that these pieces of software

channel that they choose.”

were messy – we describe it as

GoCo Group’s head office in

spaghetti code,” Gilson explains.

Newport, Wales, perfectly captures the

“SaveStack essentially simplifies this.

firm’s tech-savvy ethos. Just a stone’s

It gives us a data platform where we

throw away from the Welsh capital of

have an event model that allows compo-

Cardiff, the space is humming with

nents (either external or internal) to

activity as both data and technology

interact with each other and to serve

teams work side by side. This is no

the consumer journey on any channel.

mean feat: around 150 people (or just

It’s a reflection of the fact that in the

under 50% of the workforce) work in

2020s no one will rely on just website

the technology and data space. As

journeys. We need to be able to work

Natalie Jakomis, Group Director of 137

E XE CU T I VE PRO FI LE

Natalie Jakomis Natalie Jakomis has over 10 years’ experience leading the establishment of data-driven organisations, strategies, programmes and initiatives. As Group Director of Data at GoCo Group, Jakomis oversees the Group data engineering, data science, data intelligence and web analytics teams and leads on the data strategy for the business, engineering the organising of data, as an activity, a business function and a capability. Jakomis is passionate about unlocking the power in data, to see connections, find patterns, learn new things and bust myths to deliver results and add value. She enjoys working with brilliant and talented individuals, adopting data-first methodologies to make a real difference. w w w.gi ga bi t ma ga z in e. com

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CLICK TO WATCH : ‘GROUP DATA DIRECTOR AT GOCOMPARE: DRIVING INNOVATION WITH DATA’ 139 Data, walks through the office, she

they experiment, gather more data and

outlines how the firm’s 1Tech Vision

embrace it as a learning lesson.

has been a unifying force. “The 1Tech

With a wealth of information at its

Vision essentially describes how data

fingertips, it’s clear that data is

and technology come under one

everything at GoCo Group. “It’s not an

umbrella and how we’re one single unit,”

all-knowing crystal ball but it’s probably

she explains. “It sends out the mes-

as close as you can get,” laughs Jakomis.

sage that data is the core of the business.” “We can use data science techniques It also makes it easier for the business

to find correlations and patterns in the

to create a unifying set of core values

data which can help us make decisions

and principles: for instance, Jakomis

about sales, marketing and our perfor-

points out how the firm aims to be one

mance, for example.” As such, data is

“where innovative failure is encour-

at the forefront of the firm’s strategy.

aged”, meaning that it’s OK if employ-

Today, GoCo Group has a data function

ees make the odd mistake so long as

that consists of four teams, says Jakomis: w w w.gi ga bi t ma ga z in e. com

GOCO GROUP

140

a data engineering team which is

on the website”. On top of this, the

“responsible for the key architectures

company also has a Group Data

within the business, so primarily the

platform which draws upon data from its

firm’s data warehouse and key sys-

several companies including GoCom-

tems”; a data intelligence team which

pare, MyVoucherCodes, Energylinx

“provides insight to the business”; a

and weflip. “The platform is helping us

data science team which is a “combi-

understand our customer base and

nation of data engineers and data

use cases, and so data excellence is

scientists who help the business

key,” she says. “If we want to cultivate

overcome complicated problems”; as

a more data-driven culture, we need

well as a web analytics business which

to make sure we have the right data

“ensures web optimisation and helps

literacy, data confidence, and

to understand customers’ behaviour

ultimately, a high-quality robust data

JUNE 2019

set that’s accessible to everyone in the business.” Many businesses like GoCo Group have identified data as the next great frontier, and this means that data literacy is a highly coveted skill. Wanting to attract and retain a strong level of expertise, the company has created the GoFurther Academy, which offers opportunities including sponsored degrees, internships, work placements and more. “It gives people the opportunity to flourish in the data space,” adds Jakomis, noting that the company has also worked hard to increase diversity across the workforce whether through hiring, improved communication or events which celebrate diversity. While GoCo Group has sought to

“ The platform is helping us understand our customer base and use cases” — Natalie Jakomis Group Director of Data, GoCo Group

nurture an innovative and collaborative culture internally, it’s also looking beyond its walls for inspiration. Kieron Nolan, Group Director of Technology, points to the firm’s long-lasting partnership with Certus, which was recently acquired by SysGroup. “Certus has been a key technology partner of ours for several years now. They are our hosting partner for all our back-office estate, and they have also assisted us with the upgrades w w w.gi ga bi t ma ga z in e. com

141

GOCO GROUP

of core office infrastructure and end-user devices,” he says. “Their values match ours, making it easy to overcome the challenges that technology presents from time to time.” Elsewhere, Jakomis discusses the firm’s fintech community development project, Machine Learning for Fintech. Recognising that artificial intelligence (AI) and machine learning are the future of the financial service market, Goco Group has forged meaningful relationships with players like Money 142

Dashboard. “It’s been a really exciting project,” enthuses Jakomis. “Working together, we’ve built an API that categorises consumer spend by merchant and purpose, aligning with Money Dashboard’s vision of helping people understand their finances, and helping us to accelerate into the fintech community.” GoCo Group has swiftly moved up the ranks to become a leading technology player and make no mistake: it’s there to stay. On the road ahead, Gilson asserts that GoCo Group aims to make its services “ubiquitous”. “We’re really looking forward to the next few years,” he says. “There’s a lot of JUNE 2019

143

“It’s about helping people everywhere save time and money, with SaveStack playing a crucial role”

exciting opportunities like open banking. That’s the real thrill behind this.” Jakomis agrees, reiterating the firm’s core mission: “It’s about helping people everywhere save time and money, with SaveStack playing a crucial role.”

— Natalie Jakomis Group Director of Data, GoCo Group w w w.gi ga bi t ma ga z in e. com

144

USING SOURCING EXCELLENCE FR AMEWORK TO DRIVE OPER ATIONS FORWARD WRITTEN BY

SOPHIE CHAPMAN PRODUCED BY

DENITRA PRICE

JUNE 2019

145

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S P X C O R P O R AT I O N

FOR SPX TRANSFORMER SOLUTIONS, SCM STRATEGY IS ABOUT IMPLEMENTING SOURCING EXCELLENCE FRAMEWORK AND DIGITIZATION TO IMPROVE SPEND VISIBILITY AND OPERATIONAL EFFICIENCY

A 146

s a key aspect of the SPX Corporation’s value creation roadmap, strategic sourcing is expanding from a back-office function

to an integral efficiency improvement operation. “SPX Transformer Solutions’ value creation roadmaps target operational excellence and margin expansions through continuous improvements and excellence initiatives in Engineering, Sourcing and Manufacturing,” notes Sandeep Arora, Vice President of Global Sourcing and Strategy at SPX Transformer Solutions. “In that way, strategic sourcing and supply chain management remains one of the core functions of transformer business and thereby becomes a part of the value creation roadmap for SPX Corporation as a whole.” SPX Transformer Solutions operates medium and large power transformer manufacturing plants in Waukesha, WI and Goldsboro, NC as well as components division manufacturing Transformer Health Products® in Dallas, TX. JUNE 2019

147

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S P X C O R P O R AT I O N

Arora joined SPX Transformer Solutions in 2014 and has more than 25 years of transformer and switchgear industry experience in the Transmission and Distribution energy sector. Arora has held positions as Managing Director at Schneider Electricâ&#x20AC;&#x2122;s Distribution Transformer business in the India Region, as well as VP of Business Development and Supply Chain at Schneider Electricâ&#x20AC;&#x2122;s US-based Distribution Transformer division. Arora has also held the position of Plant Manager at CG Power within the Medium 148

Power Transformer business in the

E X ECU T I VE P RO FI LE

Sandeep Arora Sandeep joined SPX in 2014 as VP of Global Sourcing and Strategy. From 2008 Sandeep spent 5 years with Schneider Electric, India as the Managing Director of Transformers (India region) and in 2012 moved to Schneider Electric, USA as the VP of Supply Chain & Business Development. Prior to 2008, Sandeep worked with CG Power in India and the USA for over 15 years in various roles within manufacturing, supply chain, project management, business development, M&A and Information Technology. During his 25+ years of business and operational excellence expertise he has set up and strategically grown global organization in Asia, Europe and the US region with Supply chain optimization and business development. Sandeep earned his Bachelor of Electrical Engineering and an MBA in Marketing from Nagpur University, India.

JUNE 2019

“THE SCM STRATEGY IS DRIVING OUR SUPPLY CHAIN TO BE SMOOTH AND EFFECTIVE” — Sandeep Arora, VP Global Sourcing & Strategy, SPX Transformer Solutions

149

E XE CU T I VE PRO FI LE

Brian Mason Brian joined SPX in 2015 and was appointed as an Executive Officer in 2017. Brian spent 14 years with Emerson Electric, most recently as the President of Emerson Connectivity Solutions. He started his career with General Electric and graduated from its Manufacturing Management Program. He worked in multiple businesses with roles in engineering, operations and product leadership. Brian has obtained expertise in global manufacturing, operational excellence, M&A and business turnarounds through 25+ years of leadership experience across multiple continents and industries. Brian earned his MBA from Northwestern University and his B.S. in Electrical Engineering from Michigan Technological University.

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S P X C O R P O R AT I O N

“ I WORK CLOSELY WITH THE BUSINESS FUNCTIONS TO CREATE A CULTURE OF EXECUTING CUSTOMER SATISFACTION” — Sandeep Arora, VP Global Sourcing & Strategy, SPX Transformer Solutions

US and Deputy General Manager of Operations, Supply Chain and Projects at the same firm, working in the Large Power Transformers unit in India. He is a proven international leader skilled in flexing global operations to meet changes in customer cost and spend requirements. Arora explains “My role is essentially to work closely with the business functions to create a culture of executing customer satisfaction, focused on cost, efficiency improvements, and supplier performance.” Arora adds, “one key step for me as a supply chain and

150

JUNE 2019

CLICK TO WATCH : ‘SPX TRANSFORMER SOLUTIONS OVERVIEW’ 151

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departments and suppliers to identify

STRATEGIC SOURCING: WHAT DOES GOOD LOOK LIKE?

the pain points and improve opera-

The Sourcing Excellence Framework

tional efficiency.” He further states that

(SEF) helps the business drive opera-

by having open conversations with key

tional efficiency and margin stability

suppliers and partners, the company

when price volatility and supply chain

has turned its supply chain into a net-

risk on commodities exist. For example,

work where information is shared in

commodities like steel and aluminum

trust to have a win-win strategy.

– mainly driven by section 232 tariffs –

sourcing leader is to meet with internal

Since 2015, the SPX Transformer Solu-

continue to be unfavorable to trans-

tions team has driven the supply chain

former original equipment manufactur-

methodology using sourcing excellence

ers (OEMs) in the US.

framework which is now well established and followed within the business.

“Since 2018, our proactive approach in implementing the Sourcing Excel-

SOURCING EXCELLENCE FRAMEWORK – “SIMPLIFY THE WAY WE WORK”

153

S P X C O R P O R AT I O N

C O M PA N Y FACT S

At SPX Transformer Solutions we strive to improve operational efficiencies and margins through • Continuous improvement • Strategic sourcing: Risk mitigation through dual sourcing, vendor consolidation and insourcing to leverage synergies across SPX businesses • Sustainability 154

JUNE 2019

$1.5bn+ Approximate revenue

1912

Year founded

5,000+

Approximate number of employees

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155

S P X C O R P O R AT I O N

Our ‘SANDWICH CABLES’ efficiently addresses DGA (GASSING) & PD (PARTIAL DISCHARGE) issues Contact us at www.gicinsuflex.com, e-mail marketing@gicinsuflex.com or our partners in the US info@transformercomponents.com

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JUNE 2019

157 lence Framework has helped us miti-

vendor consolidation we get better

gate some supply chain risks mainly

reliability and repeatability. Arora says:

driven by trade actions on steel and

“The sourcing excellence framework,

aluminum. This in large power trans-

as it is based on Total Cost of Owner-

formers has made US Transformer

ship (TCO), also addresses vendor

manufacturers non-competitive due

consolidation and in-sourcing, thereby

to imports coming from other regions,”

leveraging synergies across other

Arora notes.

SPX Corporation businesses. It has

The sourcing framework was put

also helped the procurement function

in place to ensure our supply chain is

to be “Future Proof” through “Balanced

smooth and effective, as it enables us to

Enforcement and Enablement”.

manage our top suppliers using 80/20

In SPX Transformer Solutions, the

rule. The 80/20 rule focuses on 80% of

latest transformation is the digitization

our overall direct spend which is man-

of its procurement operations. “With

aged by 20% of suppliers. By having

supplier spend data analytics, we’re

long-term dual sourcing contracts and

aiming to further improve supplier w w w.gi ga bi t ma ga z in e. com

S P X C O R P O R AT I O N

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JUNE 2019

159

performance on Quality, Cost and

former Solutions continuous improve-

Delivery (QCD) through digitization.

ment and performance management

We’re currently using the software

culture in terms of “what does good

interface-Qlik which talks to our

look like in sourcing” Arora collaborates

Enterprise Resource Planning (ERP)

with his peers and team members

system and other softwares for real-

by asking questions which helps the

time analysis of data. Along with

business to remain competitive:,

this, we have integrated a contract

• Do we have a long-term contract with

management tool to manage Master

our top suppliers to control 80% of

Procurement Agreements and drive

our total spend?

business process improvements” says

• Do we have a firm price contract

Arora. The mantra here is to “simplify

using the ‘should cost’ model to avoid

the way we work”.

price increase risks?

To further strengthen the SPX Trans-

• Do we have dual sourcing? w w w.gi ga bi t ma ga z in e. com

S P X C O R P O R AT I O N

• Do we have the right payment terms

elements to its approach other than

with our suppliers to support our

sourcing. “When we talk about the

operating working capital?

SCM strategy we start with sourcing,

• Do we have the right Incoterms® with our vendors?

which is made up of two parts:strategic, which includes risk mitigation

• Do we have the right inventory carrying

strategy through dual sourcing using

cost and turns ratio?

should cost model and operational,

The company’s tools address these

which includes transactional day-to-

uncertainties.

day buying,” states Arora.

The other major contributor towards our transformation is the Supply Chain

SUPPLY CHAIN MANAGEMENT STRATEGY

Management (SCM) strategy. The

“Besides sourcing, supplier manage-

SCM strategy has five intrinsic

ment is the other important piece of

160

SUPPLY CHAIN MANAGEMENT STRATEGY

“Master excellence thru repeatability” JUNE 2019

“ C ONTINUOUS IMPROVEMENT SHOULD BE EMBEDED IN THE CULTURE OF ORGANIZATION” — Sandeep Arora, VP Global Sourcing & Strategy, SPX Transformer Solutions

staff by providing carrier paths through functional development. Finally, we look at organization structure and business intelligence to get optimum benefits by aligning SCM strategy to our business strategy. For SPX Transformer Solutions, SCM strategy is more than just a buzz word – it’s a habit that defines the business’ culture and enables continuous improvement. According to Arora to drive sourcing excellence initiatives, “continuous improvement should be embeded in the culture of organization.”

SCM strategy, in which we assess

Ultimately, the business aims to

how we qualify, evaluate and classify

improve operational efficiency, which

our suppliers. We also ensure that we

Arora claims can be achieved within

have dual sourcing in place, so that we

these three functions in an organiza-

are not caught unaware when a single

tion: one is through redesign to cost,

source supplier is no longer viable on

which is led by engineering, the other

QCD” says Arora.

is productivity improvement, which is

Then we must talk about people –

driven by manufacturing and the final

to implement any strategy, we need

one is sourcing efficiencies driven

engagement of our employees. People

through a sourcing excellence frame-

can become a major challenge if not

work. In regards to the financial impact,

involved at the right time as before in-

as Cost Of Goods Sold (COGS) is

troducing new suppliers manufacturing

the largest contributor to transformer

employees need to be ready to accept

operational cost, and therefore the big-

and manage the change effectively.

gest opportunity to improve COGS lies

For achieving this, first and foremost

in the sourcing bucket.

we need to select and upskill the right

To implement a successful SCM w w w.gi ga bi t ma ga z in e. com

161

S P X C O R P O R AT I O N

162

JUNE 2019

strategy with highest value creation, the firm has aligned a sourcing excellence framework to internal manufacturing and engineering capabilities. Arora adds that the company’s supply chain transformation journey in 2015 would not have started without the support of suppliers and partners. “These long-term strategic partnerships encourage SPX Transformer Solutions team and its suppliers, to focus less on immediate fluctuations in the market and more on value creation types of opportunities together outside of the daily buyer and seller arrangement. Companies committed to one another are better positioned to share the impact of price fluctuations together resulting in more stability over the long run.” Arora concludes by echoing SPX Transformer Solutions’ President-Brian Mason’s belief, “As SPX puts its business system strategy using operational excellence in place, it aims to leverage synergies between its portfolio of products to drive company growth in an ‘efficient and organic’ way.”

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163

164

Logix Federal Credit Unionâ&#x20AC;&#x2122;s digital transformation driven by customer experience WRITTEN BY

HARRY MENEAR

JUNE 2019

PRODUCED BY

ANDY TURNER

165

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LOGIX FEDERAL CREDIT UNION

Logix Federal Credit Union is harnessing the power of digital transformation to make members feel welcomed, significant and engaged

or firms in the grips of nosediving profits, disgruntled customers and unsustainable business environments, the steps to

effect positive change would be as obvious and simple as flipping a switch. However, for a credit union, which has grown its member base by 89% 166

since 2011, has in excess of US$6bn in assets, and was named the number one credit union in California by Forbes Magazine, the next step might not be so obvious. For Logix Federal Credit Union though, an insightful and experienced leadership team, dedicated to intelligently implementing the latest technology while taking full advantage of a highly engaged workforce, is poised and ready for the future. “We are fortunate in that our members already love us,” says Edward Chuang, Executive Vice President and Chief Information Officer (CIO) at Logix. “The important thing is not to rest on our laurels, because we know that the banking industry is changing, and we know that consumer expectations are changing, too. So, ‘how do we stay number one?’ is really the challenge we’re facing.”

JUNE 2019

167

ÂŠ Photos Jennifer Kukawski w w w.gi ga bi t ma ga z in e. com

LOGIX FEDERAL CREDIT UNION

“We have an interesting problem to solve, which is that our members already love us” — Edward Chuang, EVP & CIO, Logix

168

In the constant race to stay relevant and with a desire to relentlessly pursue innovation, Logix is undergoing a top-to-bottom transformation. “Logix is going through a very exciting transformation right now, and that began with Ana Fonseca taking the helm as the new CEO of Logix in January of this year,” says Chuang. A veteran of the finance sector, with 27 years under her belt at Logix, Fonseca stepped into the role of the company’s President and CEO in January 2019. Striking an ever-present balance between the adoption of new JUNE 2019

CLICK TO WATCH : ‘HONORING THE PAST, LOOKING TO THE FUTURE.’ 169 technologies and managing the

transformation are a number of

experience of both members and

initiatives that are really poised to take

employees, Fonseca is excited to apply

us to a whole new level. We call it Logix

Logix’s award-winning customer

2.0 and it includes a brand new

service to its online presence. “We

headquarters building about 30 miles

already have a really great member

north of our current location, a

experience, especially in our branches,

state-of-the-art data center built from

and so we’re driven by wanting to make

the ground up, and taking one of our

our members feel welcomed, signifi-

core strategic principles – consistently

cant, and engaged,” she explains.

excellent member experience – to

“What we’re trying to do is take that

another level. We’re aiming to address

feeling and replicate it across other

all of the ways we serve our members

channels: on our website, within online

and make those interactions seamless

banking, and throughout our mobile app.”

and easy for them.”

Chuang adds, “Bundled in this

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2019: It’s a digital banking “now or never” Leaders of financial institutions are in the fight of their lives. Giant banks are investing hundreds of millions of dollars to perfect digital banking experiences and stealing market share. In short, the competitive pressures for customers and deposits are creating a “now or never” moment in digital banking. These moments have often produced some of the greatest innovations in American business. If played right, 2019 could be the year that smaller banks and credit unions reclaim their rightful leadership role as the default choice for financial transactions and services.

by their legacy core providers, giant banks and fintechs gained further ground by innovating and siphoning off customers. In summary, in 2019, make an honest appraisal of your offering. Determine if you have the expertise or bandwidth in-house for true digital transformation. Typically, it’s only the mega-banks that have their own fleet of engineers, but you can compete effectively by teaming up with proven outside experts with a track record of success in digital banking.

In particular, there are three key advantages that these ﬁnancial institutions can – and should – leverage in order to attract and retain customers through digital banking: personalized digital service, the power of partnerships, and organizational agility.

Choosing the right strategic partner is immediately accretive to your bottom line. You instantly ingest their capabilities and deploy their expertise as your own. The right choice can put you ahead of your competition, increase eﬃciency, and pay for itself with greater assets under management.

Be Number 1 in Personalized Digital Service

Leverage Agility and Your Unique Brand

30 years ago, local banks and credit unions dominated the market because of convenience, ease of access, and personal relationships. The local branch was the most convenient option at the time. But as technology ushered in new and faster alternatives, consumers gravitated to eﬃciency and convenience. Digital access gave mega banks and ﬁntechs the upper hand in terms of convenience and ease.

It’s not easy to transform a ﬁnancial institution into a technology company, but although multi-national banks have unlimited resources and access to talent, smaller organizations have a distinct advantage: They can more nimbly make decisions, test ideas, and execute changes.

For this and many other reasons, banks and credit unions must focus on digital transformation. The authentic human touch remains a fond memory for many consumers, and most Americans prefer to bank locally; they just want an efficient digital experience. Regional and mid-sized banks and credit unions should focus on amplifying their unique customer brand across all channels. A great example of deploying digital to create closer connections is the “go-to” solution by Umpqua Bank. Their mobile app allows customers to select a personal digital banker and have secure, one-to-one conversations with their banker at any time through a familiar chat-like interface. Your personal digital banker knows who you are, understands you as a consumer and stands ready to assist you through your financial journey in life. Don’t Out-Spend Fintech or Banking Giants, Out-Partner Them Consumer demand has put massive pressure on banks and credit unions to innovate. As financial institutions first began to evolve, the vast majority of them took the safe road into digital banking by choosing the pre-packaged solutions offered by core providers. Their apps looked identical to the competing banks, but it was the low-risk and cost-efficient choice at the time. The legacy core processing providers simply weren’t orientated to create differentiated solutions for each financial institutions; they were focused on the opposite model of creating a simple app they could easily copy and paste for every bank and credit union. As smaller financial institutions experimented with the product sold

There is another advantage to being a smaller bank or credit union: As the pace of innovation increases, there is a growing consumer hunger for brands that don’t innovate themselves into a brand drift. Successful financial institutions maintain their warmth, accessibility, and customer service throughout all channels. Digital banking should amplify your organization’s identity while delivering convenience and efficiency. True digital transformation is a corporate culture shift. Leadership must be firmly on board with both feet. Project engineers must remain focused on the end-user’s digital experience. Look at everything through this prism and audit your process to ensure it results in your organization becoming easier to transact with – without drifting away from the core brand that attracted your customers in the first place. As 2019 unfolds, follow the “digital banking hockey puck” to where it’s going, not where it is. Anticipate your customers’ needs and deliver solutions. Your customers’ digital banking experience will be directly tied to your organization’s overall performance.

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Union is the largest credit union in Los

closely tied to keeping the company

Angeles County and the seventh largest

abreast of the banking ecosystem’s

in the state. It provides banking services

development. “In the last 10 years,

to over 202,000 members, access to

digital banking has gone through

over 30,000 surcharge-free ATMs, and

multiple miniature evolutions as digital

operates 17 branches in Los Angeles

platforms have matured,” he says.

and Ventura counties. Logix has

“Last year we established a new data

outgrown its current headquarters build-

analytics and business intelligence

ing in Burbank as its employee count

department. That group is chartered

exceeds 725. “We offer nearly all of the

with pulling together numerous data

banking services that any large bank

sources, whether it’s mortgage lending

would, but we’re different. We’re here to

or payments transactions, and creating

help members thrive, not to increase

useful insights about our members and

shareholder profits,” says Chuang.

our employees.” Logix’s commitment

As Logix’s CIO, Chuang’s role is JUNE 2019

to harnessing the power of data is

enhanced by the construction of its

says Chuang. “They pump our data into

new data center. “We’re using some out

a number of AI or machine learning-

of the box products from key strategic

enabled products to derive useful

partners, but ultimately the data lake

reports of member behavior.”

we’re creating is specifically for us with

Adopting new technology to better

our own data and only for our usage,”

gather and utilize data is key to Logix

explains Chuang. Logix recently

improving its member experience even

implemented an Advanced Reporting

further. “It’s all about helping our

for Credit Unions (ARCU) system

members thrive,” reiterates Fonseca.

“We want to provide them with value and

create an advanced reporting data-

make sure we’re offering products that

base; we take a daily snapshot of all of

make sense for them. This data is going

our transaction data from our core and

to help us understand what life stage

the analytics team goes to town on it,”

they’re in and what products make

E XE CU T I VE PRO FI LE

Ana Fonseca, President & CEO Ana Fonseca is the President and Chief Executive Officer for Logix Federal Credit Union in Burbank, CA, which serves over 202,000 members and has $6.2bn in assets. Prior to becoming CEO, Ana served as the organization’s Chief Operating Officer and before that, served as its Chief Financial Officer. Ana holds an MBA from The Graziadio School of Business and Management at Pepperdine University and completed the Executive Program at Stanford University’s Graduate School of Business.

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173

LOGIX FEDERAL CREDIT UNION

E X ECU T I VE P RO FI LE

Edward Chuang, EVP & CIO Edward Chuang is a highly innovative and recognized senior technology executive and a veteran in leading technology teams and digital transformation for some of the largest financial institutions in the world. Edward currently serves as Chief Information Officer at Logix Federal Credit Union and is responsible for strategy and execution of the company’s information technology platform and project management office to support growth, innovation, and improving the member experience. Previously, Edward was head of Online and Mobile banking technology at Navy Federal Credit Union, the world’s largest credit union with over $103 billion in assets, where his team created award winning applications that serviced over 8 million members across the globe. Edward holds a Master’s degree and a Bachelor’s Degree with Honors from Carnegie Mellon University and a Post Master’s degree in Information Technology and Telecommunications from Johns Hopkins University.

174

“We truly aim to provide the best possible banking experience that our members can have”

JUNE 2019

CLICK TO WATCH : ‘THE NEW LOGIX MOBILE APP’ 175 sense for them. For example, if we see

Logix employs data gathering and

they’re shopping at a home improve-

analysis not only to provide its mem-

ment store, we might be able to offer

bers with a sublime member experi-

them a home equity line of credit,

ence, but also to help foster and

because they’re probably working on

maintain a positive internal atmos-

home improvements or maybe a major

phere. “Even though we’ve gone

remodel.” With the data landscape in

through a lot of changes, one thing

constant flux and exponential expan-

that’s very important to us is that we

sion, both Fonseca and Chuang

preserve the culture we’ve cultivated

recognize its importance to the

over the past several years. I would say

continued success of Logix. “Data will

that one of the things that’s really

be the key to winning, and if we don’t

noticeable about our culture to new

leverage it, that will be our downfall. This

employees is how fun it is to work here,”

realization is really informing how we’re

says Fonseca. “From dress-up days on

using data,” notes Chuang.

Halloween to annual award ceremow w w.gi ga bi t ma ga z in e. com

LOGIX FEDERAL CREDIT UNION

176

“ We’re driven by wanting to make our members feel welcomed, significant and engaged” — Ana Fonseca, President & CEO, Logix

nies at venues like the Los Angeles Zoo, Logix ensures that the happiness of its employees is maintained.” Logix’s leadership team also recognizes that maintaining positive and open relationships with its employees is a powerful tool for improving business strategy. “The other important aspect of our culture is that we foster open communication,” adds Fonseca. “Our employees have access to everyone on our senior management team, and they are encouraged to submit ideas for things

JUNE 2019

177

that we can do better for our members

from automation to intelligent ATMs

and for employees.”

and teller-less branches – and a

Looking to the future, Chuang is

continuing mission to make the

certain that the future of Logix is in

members of California’s leading credit

safe hands. “With the visionary

union continue to feel welcomed,

leadership of Ana, I think the willing-

significant and engaged. Chuang

ness to transform is something that no

concludes: “We truly aim to provide the

strategy can spell out on paper,” he

best possible banking experience that

says. Fonseca and the Logix team are

our members can have.”

ready to enter 2020 with a more seamless digital experience for their members, a constant dedication to enhancing Logix’s technological capabilities – with solutions ranging w w w.gi ga bi t ma ga z in e. com

Foodstuffs North Island 178

harvesting a fresh approach to data through digital transformation WRITTEN BY

DANIEL BRIGHTMORE PRODUCED BY

MIKE SADR

JUNE 2019

179

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FOODSTUFFS NORTH ISLAND

Foodstuffs North Island’s Acting CIO Ashley Colyer explains how the cooperative is overcoming the challenges of change management to harvest the benefits of a customer centric approach to data

oodstuffs North Island became one of New Zealand’s most successful brick and mortar grocery businesses thanks to

a string of market leading brands such as Four Square, PAK’nSAVE and New World. Established in 1922 along with sister co-operative Foodstuffs South Island, the cooperative’s owner/operator model has seen it become the country’s biggest 180

grocery distributor while remaining 100% Kiwi owned. The North Island co-operative strives to be: In tune with what customers, colleagues and communities need; In form to give customers what they want efficiently, sustainably and profitably; and In front – innovating to make sure New Zealanders get more of what matters most to them. Acting CIO Ashley Colyer recalls the fundamental strategic decision the co-operative made about the future role technology would play across the organisation: “Seven or eight years ago, IT was considered by many simply as a necessary cost of doing business, something we worked hard to control. However, our Board recognised IT was going to be the key enabler of our future success, leading to a seismic shift of our investment in technology.” JUNE 2019

181

Colyer explains that implementing SAP as the core ERP was at the heart of an IT transformation program which saw the replacement of all technology, from the network to data centres, applications and hardware. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a true digital transformation from back end core platforms to customer-centric digital technologies,â&#x20AC;? he says, emphasising the positive development of recently deployed e-commerce platforms. Alongside this recent focus on customer facing digital programmes, w w w.gi ga bi t ma ga z in e. com

FOODSTUFFS NORTH ISLAND

“ It’s a true digital transformation from back end core platforms to customer centric digital technologies” 182

— Ashley Colyer, Acting CIO, Foodstuffs North Island

Colyer explained that the second broad area of focus was around internal processes optimisation. “We asked, how will we operate more efficiently and effectively? How do we optimise our supply chain? How do we reduce the amount of manual effort associated with core business activities? For example, with support from EY, we deployed new transport management and warehouse management systems that have really underpinned our supply chain transformation. We’re also three years into a program of simplifying the internal user experience of some of our core applications – notably the SAP platform – and moving away from user interfaces that are hard to understand and easy to get wrong, to applications with very defined purposes, built with the end user in mind. This makes it easy for people to do their job with very little training, essentially replicating the consumer technology experience.” Colyer also notes that Foodstuffs North Island leads the charge in New Zealand with the adoption of Office 365 which has seen over 3mn documents moved to the cloud. “That’s

JUNE 2019

183 unleashed our people from their desks,

address this using their SD WAN

the office, the corporate network and

solutions to optimise the available

even the need for VPN in many instanc-

network to all our stores and we’re well

es,” he says. “We can now work on any

progressed with completing this

device, anywhere, anytime. It’s been

enabling programme.”

enormously successful for us allied

The company’s positive approach

with a flexi desk, activity-based

to change management is providing

working environment. Of course, with

a platform for everybody at Foodstuffs

more functions moving to the cloud,

North Island to get on board with new

reliable and performant network

ways of working. “We have really

connectivity only increases in impor-

matured our capability across all

tance and this can be challenging for

business units. We deliver a constant

our more remote stores who have

and heavy program of IT change, both

access to limited bandwidth. Working

within Support Centre and stores.

with Riverbed, we’ve been able to

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mobile platform for the organisation’s

with Adept Group, a local company

forays into retail e-commerce since

with fantastic Salesforce expertise,

2015. “It’s a really engaging mobile app:

to deploy the solution for our whole-

tactile, intuitive and with a great user

sale brand Gilmours. They were key

experience,” he adds.

to delivering a project that came in

Over the past year, Colyer highlights

on time and under budget. The impact

the hugely successful overhaul of

on the business was instant. Since

Foodstuffs North Island’s wholesale

we went live, sales growth has been

e-commerce platform, migrating to

dramatic for the business.”

Salesforce’s recently acquired

Colyer notes a huge shift in the

“CloudCraze”, a natively and purpose

digital expectations of customers,

built B2B e-commerce solution which

whether shopping online or in store,

had yet to be implemented in the

which is focusing the company’s

region,” he reveals. “We partnered

energies on building an integrated,

E XE CU T I VE PRO FI LE

Ashley Colyer, Acting CIO Before embarking on a career in IT, Ashley Colyer worked as a trader on the financial markets in London. He believes that data driven role, focused on being able to digest and analyse vast quantities of information, gives him an intuitive approach to the data wrangling solutions technology can offer. “The shift towards a data driven and customer centric approach at Foodstuffs North Island has felt very natural for me,” he says. “You’re really looking at what the data’s telling you and then figuring out what to do next, so my previous career experience has definitely shaped my approach towards leading in IT.” Never one to get overexcited by the latest hyped technology his first thought is: “How do we actually turn that into something that’s going to be useful and meaningful to the business and our customers?” w w w.gi ga bi t ma ga z in e. com

185

FOODSTUFFS NORTH ISLAND

$7.7bn Approximate store sales

1922

Year founded

22,000

186

Approximate number of employees

JUNE 2019

CLICK TO WATCH : ‘WELCOME TO FSNI’ 187

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Adept Group has market-leading experience of delivering successful Salesforce B2B Commerce implementations, and we are proud of the highly successful delivery of Foodstuffs Gilmours Online.

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“ We need to let what our customers’ data define how we operate” — Ashley Colyer, Acting CIO, Foodstuffs North Island

oped sophisticated AI models allowing our category managers to know what to promote and when to optimise the impact of our promotion and marketing activities.” Colyer adds that the fundamental shift currently being realised at Foodstuffs North Island is a customer driven approach to data core to the company’s strategy. “We need to let

change management with a team at

our customers’ data define how we

Support Centre whose raison d’être is

operate,” he says. “So instead of

to support delivery into the business

promoting something because our

across our 332 stores and help them

suppliers are giving us a special on it,

not just to adopt, but optimise the way

it’s promoting something because we

that technology is used. It’s a big

think it will resonate with our custom-

challenge with so many distributed

ers. Understanding that level of

users, so you need an efficient structure.”

granularity takes trillions of calculations

Colyer believes the grocery industry

so we need the sophistication of AI.”

is ripe for the application of automation,

For Foodstuffs North Island to

AI and machine learning as the vast

develop these capabilities, strong

majority of the business is data driven.

partnerships have been key. EY played

“Promotions, for example, knowing

an important role in the company’s

which to put on, when, how and to

ERP implementation and wider digital

whom. All of that can and should be

transformation, providing “intellectual

driven by data,” he explains. “Previous-

horsepower and capacity to help

ly there really wasn’t the capability

deliver critical large IT programmes,”

to process the volume of data to do

says Colyer of this important strategic

justice to that. Now we’re starting to

alliance. Allied to this, South America-

work with partners who have devel-

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189

FOODSTUFFS NORTH ISLAND

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customer-centric digital experience. “It’s about where they get their inspiration, how they create a shopping list and how we can make it easy for them to find products in store. It’s also about the online shopping experience and how we make that as simple and as engaging and as rewarding as possible.” Like many digitally forward businesses, Colyer predicts Foodstuffs North Island will continue to use AI to greater effect. “It will mean we can start moving our people into significantly more value-add activities. Working out what

191

to order and when is not something a person should be doing. It’s completely predictable to a level that’s as good as, if not somewhat better than, a human could do.” He sees the future focus for

Island is to leverage IT and data to

staff on building a better experience for

serve customers. Allied to that Colyer

customers. “Instore, that may lead to

stresses the exec level focus on

fewer staffed checkout lanes allowing

simplifying the business: “Our goal is

our people to be out helping and

to reduce duplication and streamline

inspiring customers – it’s a big shift away

processes leveraging automation

from ‘processing’ towards ‘customer

and AI to create the headroom in order

experience’,” pledges Colyer. “It’s

to progress many more customer

about adapting your systems and

centric initiatives.”

processes to accommodate that.” The ultimate goal, and number one strategic priority, for Foodstuffs North w w w.gi ga bi t ma ga z in e. com

192

ALTERNA: DIGITAL BANKING WITH A SOCIAL PURPOSE WRITTEN BY

OLIVIA MINNOCK PRODUCED BY

JAKE MEGEARY

JUNE 2019

193

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A LT E R N A

WITH A 110-YEAR HISTORY, ALTERNA HAS MOVED WITH THE TIMES TO TAKE ON BIG BANKING PLAYERS – CEO ROBERT PATERSON EXPLAINS HOW IT STILL RETAINS ITS COMMUNIT Y VALUES

escribing himself as a ‘career banker’, Rob Paterson has been in financial services for almost 30 years. From building a bank

in Vietnam to working for names such as JPMorgan 194

Chase and CIBC, his latest role is President and CEO at a Canadian Credit Union that is developing a truly digital experience from the foundations of a century old legacy. Founded in 1908, Alterna Savings offers services across a network of 35 branches in Ontario – not counting its digital offering, Alterna Bank, which is available nationwide. Alterna, Paterson believes, can be David taking on Goliath in the banking world, all thanks to digital transformation and disruption of the status quo. “I’ve grown up around the world,” Paterson comments. “I’ve always been looking at technology and the evolution of banking on a universal and global scale. At Alterna, it’s helped me take on this organization that’s 110 years old and use my knowledge and relationships around the world to start looking at the next 110 years. In the last three JUNE 2019

195

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A LT E R N A

“ I ’VE ALWAYS BEEN LOOKING AT TECHNOLOGY AND THE EVOLUTION OF BANKING ON A UNIVERSAL AND GLOBAL SCALE” 196

— Rob Paterson, CEO, Alterna Savings and Alterna Bank

years, we’ve shown we can reach every province. Canadians really resonate with our unique digital banking experience and our philosophy of being the ‘good in banking’. We’re very much focused on trying to help Canadians reach their home ownership and retirement needs, and doing it with a social conscience,” he adds. The bank’s ethos has been omnipresent through its digital journey, with Alterna leveraging the latest technology to create the best possible experience for the customers and communities it serves. “We wanted to see if we could take our cooperative background, modernize and transform it into the digital banking world.” Rather than tempting new customers in with teaser rates and gimmicks, Paterson is keen to highlight that Alterna maintains high rates on deposits and low rates on lending.

A FULLY DIGITALIZED EXPERIENCE A key achievement for Alterna has been delivering the first ever fully end-to-end digital mortgage in Canada. Paterson argues this didn’t happen in spite of Alterna’s relatively small size, but because of it. “As a unique small JUNE 2019

CLICK TO WATCH : ‘ALTERNA SAVINGS MYRECEIPTS™’ 197

institution, we were able to do some-

informed customer around how much

thing that none of the Big Five banks

debt you should take on, neighbor-

had been able to deliver: the ability to

hoods you want to live in, choosing a

purchase your home completely on

realtor and finding the home of your

mobile or tablet, without having to

dreams. That’s a win for us.” Keeping

come into a branch or even get on the

customers and communities informed

phone.” Throughout this process,

about their money is paramount to

Alterna applied its strong principles by

Paterson and to Alterna. “We’re trying

ensuring it was as informative as

to be stewards of what banking used to

possible, and only gathered necessary

be, which is something that helps

data from clients without overreaching.

promote the wellbeing of its customers

Even those who do not apply for a

and the communities they live in. A

mortgage are still offered useful

bank should be a catalyst to the growth

insights. “We can help you be a better

of Canadians and their communities.” w w w.gi ga bi t ma ga z in e. com

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A LT E R N A

200

CREATING JOBS FOR CANADIANS

banking: the Big Five could say no

With this community focused drive,

because they had other interests

Alterna took on the mantle as one of

globally or in the US. Three years later,

Canada’s only ‘cannabis banks’ – a

we’re proud of that. We’ve helped some

venture Paterson says none of the Big

of these companies grow into some of

Five would support. “The cannabis

the biggest Canadian corporations,

companies were licensed and legal,

creating employment in areas where it

right?” he argues. “We didn’t have the

was badly needed.” This is where, for

right to say no: these are organizations

Paterson, being a ‘David’ pays off yet

that will employ Canadians. It’s a

again. “We don’t have the SVPs and

growing sector of the economy. We

EVPs of ‘no, you can’t do that’. We don’t

really took it on as a cause because we

have all the politics and bureaucracy

felt this was what was wrong in

that goes with big corporations.”

JUNE 2019

GROWTH THROUGH PARTNERSHIP

“We realize it has to be a win-win and

As the bank grows to compete with

we don’t overcomplicate agreements.

the Big Five, Paterson is keenly aware

This allows us to get to market quickly

that Alterna can’t do everything by

on things that are going to create less

itself. Now, the bank is renowned for

friction in the banking experience.

its collaboration with startups as well

That has become a core strength.

as larger software giants. “We’ve built

For our staff, it’s fantastic to have

a tremendous reputation in the

the experience of working with other

industry with fintechs, both domesti-

agile, innovative companies,” Paterson

cally and globally,” he comments.

adds, noting that the company is

“They see that we are advocates for

approached proactively by fintechs

them. We’re not like the larger institu-

on a regular basis.

tions that say: ‘If you deal with us, you

A key partner for Alterna has been

can only deal with us exclusively in the

Backbase, one of the premier UX

Canadian marketplace.’

interfaces for mobile and web, with

E XE CU T I VE PRO FI LE

Robert Paterson Rob is President and Chief Executive Officer of Alterna Savings and Credit Union and Alterna Bank, positions he has held since April 2013. Prior to joining Alterna, Rob worked in financial services for over 25 years and has held executive positions within such companies as CIBC, JP Morgan CHASE, Aon Corp, and McKinsey & Company. He sits on the Board of Directors of the Co-Operators, Central 1, Alterna Bank and Enactus. Furthermore, Rob advises many Fintech start-ups across Canada.

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201

A LT E R N A

1908

Year founded

500+

Approximate number of employees

HQ Ottawa, Ontario, Canada

202

JUNE 2019

203

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A LT E R N A

which the company enjoys “a phenomenal relationship”. “Our partnership with Backbase has helped us to form an understanding of how to develop a more dynamic digital and online front-end,” says Paterson. Backbase’s widget concept provides a holistic digital channel platform that supports the evolution of specific products and services, and allows businesses to be part of an ecosystem that drives digital operability. Through the partnership, Alterna will deliver the first multi-tenanted instance of Backbase in Canada. 204 “Backbase really understands the importance of the cooperative system in Canada, and has really openly partnered with the credit union space here to allow us to accelerate our digital capabilities,” says Paterson. Meanwhile, Sensibill is a domestic Canadian fintech transforming the way businesses and consumers deal with receipts. “They’ve taken what a lot of people would view as a non-tech category and developed it into a real value-added solution.” Alterna has branded Sensibill’s solution for its own members as MyReceipts. “It allows you to keep track of your spending,” explains Paterson. “Whether you’re JUNE 2019

a small business owner or an individual consumer, you have the ability to digitally capture any receipt for any of

“ W E DON’T HAVE ALL THE POLITICS AND BUREAUCRACY THAT GOES WITH BIG CORPORATIONS” — Rob Paterson, CEO, Alterna Savings and Alterna Bank

your purchases through your smartphone’s camera.” Paterson enjoys a long-standing relationship with founder Corey Gross, who he came into contact with through various Money20/20 and Finovate conferences – together, the pair are working to evolve and develop Sensibill’s solutions. “Corey has worked with us on an endless cycle of feedback and support,” he comments. “We view him as a great Canadian success story.” Alongside innovative startups, reliable global organizations such as software provider Salesforce are also key in helping Alterna build scale. “The Salesforce ecosystem allows us to be bigger than we are,” Paterson explains. “It allows us to plug in partners at a much easier rate. When we developed Canada’s first digital mortgage, we tried to enrich our understanding and knowledge of our members and customers – Salesforce was a great agile partner with an endless series of tools.” In addition, Salesforce was able to help Alterna connect with other w w w.gi ga bi t ma ga z in e. com

205

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“ W E DON’T WANT YOU TO TAKE OUT THE BIGGEST MORTGAGE YOU QUALIFY FOR IF THAT MEANS YOU CAN’T TAKE THE FAMILY ON VACATION, CARE FOR A LOVED ONE OR BUY YOUR KIDS THEIR NEW BIKES” — Rob Paterson, CEO, Alterna Savings and Alterna Bank

A DIGITAL CULTURE “When we started talking about going digital and building out the bank globally, you naturally worry that people will be concerned about leaving the legacy business behind. Within our organization, there was actually extreme excitement,” Paterson reflects. “Our employees saw this as a great way to stay relevant.” Alterna has gone to great lengths to develop a positive and forward-thinking culture among its staff, celebrating such wins in 2019 as being named one of National Capital Region’s Top Employers (in Ottawa), and scooping the Platinum level status on the Aon Best Employer list.

companies. “We were able to have

Paterson is also keen to highlight the

conversations with those peers about

impact of technology in the office.

their digital journeys,” says Paterson.

“We’ve moved to digital training and

The relationship with Salesforce serves

education for all our staff – now, they

to highlight how businesses look for

can learn on a mobile device anywhere

more than just a piece of software from

at any time. We’ve changed the

their partners. “Technology in and of

physical aspects, moving people into

itself isn’t the end state. The ability to

open, tribe-like settings of working

get access to thought leaders, an

with their fellow team members,

ecosystem that will be co-developed

building in electronic desks so they can

by hundreds if not thousands of

elevate work surfaces at different

individuals across the globe, and to be

times of the day.” The CEO is also keen

able to see where they’re going in the

to highlight the positive impact social

future – you can’t put a price on that.”

media has had on his staff, making w w w.gi ga bi t ma ga z in e. com

207

A LT E R N A

208

himself available to answer questions

Alterna shows no signs of slowing

on Twitter – even on weekends. “It

down. Over the coming months and

makes everyone feel good that when

years, the bank will continue to

they have a question, they can ask it,

transform the way it serves its custom-

and they’re going to get an authentic,

ers. “The big focus for us going forward

honest response.”

is to really build out our CRM capability so we can create more intimacy. Then

BUILDING ON SUCCESS

we want to deliver better content. We

Having unlocked the cannabis market,

want to improve on the digital dialogue

developed the first digital mortgage

that can happen with the customer in

and scooped a plethora of awards,

terms of chat capability.”

JUNE 2019

“WE’VE MOVED TO DIGITAL TRAINING AND EDUCATION FOR ALL OUR STAFF” — Rob Paterson, CEO, Alterna Savings and Alterna Bank

The bank will also remain true to its

one or buy your kids their new bikes.”

strong principles throughout its

Despite – or perhaps because of –

journey, striving to have honest

technology transformation, this is

conversations with customers. “It’s not

something that won’t change.

so much how much debt you can

“We want to have that conversation

afford, but having the right amount of

with you digitally.”

debt so you can live your life,” Paterson emphasizes. “We don’t want you to take out the biggest mortgage you qualify for if that means you can’t take the family on vacation, care for a loved w w w.gi ga bi t ma ga z in e. com

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Deloitte: delivering strategic sourcing transformation empowered by digital analytics WRITTEN BY

OLIVIA MINNOCK

JUNE 2019

PRODUCED BY

ARRON RAMPLING

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DELOITTE

With procurement increasingly gaining a seat at the executive table, Deloitte consultant Natascha Schijven says having the right digital analytics and diverse talent in place is key to transforming sourcing operations

anagement consultant Natascha Schijven has witnessed the changing procurement landscape for around

two decades. Now a Partner for Supply Chain 212

& Manufacturing Operations at Deloitte, she began her career in manufacturing for a multinational packaging company in the Netherlands. Even though the local manufacturing environment was exciting, Natascha wanted to make use of a background in international business and language studies. â&#x20AC;&#x153;I wanted to make sure I would work on projects that were more complex, spanned geographies and leveraged my languages and international business background so I moved from manufacturing into strategic sourcing,â&#x20AC;? she recalls. Schijven sourced direct materials in packaging across Europe and indirects for a global specialty chemicals company, but started to feel her work lacked challenge. â&#x20AC;&#x153;At some point I got bored with the repetitive nature of my nine to five job and wanted to find something more challenging JUNE 2019

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DELOITTE

“ Next generation sourcing managers need to be trained in advanced analytics and be knowledgeable of the technologies empowering them”

214

— Natascha Schijven, Partner, Supply Chain & Manufacturing Operations, Deloitte

and versatile”, she says. Schijven moved into consultancy, first with A.T. Kearney and then for Deloitte. Having previously worked with consultants herself, she was ideally placed to understand the situation from both sides. “Having been on the receiving end, working with several consulting firms, allowed me to understand where the client is coming from. It’s a very different world as a client: you effectively have your own day job, plus then all of a sudden you need to manage a consultant coming in.” Assisting some of the world’s largest organizations in Fast Moving Consumer Goods, Retail, Pharmaceuticals and Industrial Products to transform the way they source and manage costs, Schijven argues that what makes Deloitte different is the way it works as a true partner for its clients. “We are there hands on from A to Z. We’re in the trenches with you – we’re not here to tell you how to do something and then leave you to go ahead and do it,” she explains. The global consultancy’s methodology, and indeed Schijven’s experience to put herself in the clients’ shoes, has proven to resonate well with clients the world over. “It comes down

JUNE 2019

NATASCHA SCHIJVEN, PARTNER SUPPLY CHAIN & MANUFACTURING OPERATIONS AT DELOITTE. ‘DELOITTE AS A PARTNER’

to being authentic and truthful, speak-

Indeed, Deloitte’s AI practice,

ing from one human to another. That

Deloitte Omnia, is armed with next

helps clients not to just see consultants

generation, disruptive solutions from

as guns for hire, or cyborgs coming

Internet of Things (IoT) to Deep

to take jobs away from them.”

Learning, Machine Learning solutions

Deloitte, Schijven adds, is more than

and many more. “We can offer clients

just consulting. “We have a variety of

ways to take cost out through strategic

critical business lines. We have breadth

sourcing sustainably – to accelerate

and depth. We have a lot of technology

time to value and truly optimize on

empowering us and a bench strength

total cost of ownership for our clients

in advanced, digital analytics that I had

– across departmental silos. After

previously never come across. Deloitte

we’ve transformed an organization,

has a whole practice built around

Procurement is no longer just seen

digital and digital disruption.”

as a cost cutter.” w w w.gi ga bi t ma ga z in e. com

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DELOITTE

NATASCHA SCHIJVEN, PARTNER SUPPLY CHAIN & MANUFACTURING OPERATIONS AT DELOITTE ‘DIVERSITY OF THOUGHT’

216

PROCUREMENT CHANGES

been one of the best ways in which you

As industries become more competi-

can rapidly control costs,” Schijven

tive, the way procurement is viewed is

continues. “We’re seeing a shift from

indeed shifting, with businesses

not having to worry about cost to that

understanding a greater focus on cost

being the principle concern – there is

management is needed in order to

less flying below the radar in high-mar-

succeed: “Focus is very much shifting

gin environments, so you need to get it

in the CFO space toward cost control.

under control. The past decade or so

The world is rapidly becoming more

has seen the shift from procurement

competitive and there’s a lot of

being a back office, cost-cutting

disruption fueling mergers and

function, to a function that truly delivers

acquisitions. If you don’t get ahead

value cross-functionally and increas-

of that, you’re not going to be able

ingly has a seat at the C-level table.”

to monetize. You’ll miss the boat. “Strategic procurement has always JUNE 2019

As the function shifts however, there will inevitably be those organizations

which are further ahead, and the

WHAT IS DIGITAL?

landscape has yet to smooth out and

A key challenge Schijven sees procure-

catch up. “It’s a journey,” says Schijven.

ment professionals face is the shift to

“That’s what makes this space so

digital, with one simple question on

interesting. You’re always pushing the

their minds: “What is digital? What is

envelope because you’re working with

this all about? I’m hearing this buzzword

clients who are starting out in the

flying around, but I don’t have a clue

‘beginner’ phase, as well as clients who

what it is. I’m Googling it and getting

are absolute leaders in the space – you

around 400 definitions.” According to

have to have the exhaustive content

the consultant: “The key challenges are

and disruptive innovation capability to

really around how to capitalize on a

show both of them how to reach the

world where everything is connected

next level, and get the next double-

through different levels of technology,

digit cost reduction or multiple base

as well as understanding advanced

point value enhancement.”

analytics that allow you to harness

E XE CU T I VE PRO FI LE

Natascha Schijven is a senior leader with deep experience in large scale cost and strategic procurement transformation across food & beverage, retail, pharma, chemicals and oil & gas in Europe, North America and Asia. She was recently recognized by SCMA as one of Canada’s 100 Inf luential Women in Supply Chain. Schijven is considered a thought leader in analytics-empowered/digital cost transformation and is an experienced panelist and public speaker. She is passionate about enhancing workplace diversity, mentoring and advancing women leaders. Schijven currently leads the Direct Materials Management offering for Deloitte Canada.

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DELOITTE

218

JUNE 2019

$43.2bn Approximate revenue

1845

Year founded

286,200

Approximate number of employees

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219

“ Strategic procurement has always been one of the best ways in which you can rapidly control costs” — Natascha Schijven, Partner, Supply Chain & Manufacturing Operations, Deloitte

long-term sourcing decisions. This is how we help produce insights clients never dreamt were possible before, because all the data that was decentralized across hundreds of laptops, different enterprise systems and thousands of bits of paper is now in one centralized database or stack. That’s what it means to me.” Looking at strategic sourcing more specifically, digital means “having everything from your PDF material and artwork specs, through to your policies, contractual and operational procure-

and effectively deduce the core gist

ment data centralized”. “Putting

required for more accurate and

statistical, optimization and other

accelerated decision making. That’s

digital analytics to work within a

what’s needed to survive in the new

rigorous strategic sourcing process on

Industry 4.0 era.”

all that combined to rapidly produce

For Schijven, then, what does digital

exhaustive insights human intelligence

mean? “To me, it’s all about the

never could – that’s how I would explain

conversion of data into key ‘nuggets’ of

the benefits of analytics empowered

information, so inherently it’s all about

strategic sourcing to a CPO,” says

the analytics, harnessing the ability to

Schijven. In order to effectively

have everything that used to be on

capitalize on digital in strategic

paper digitized, empowering central-

sourcing, a key priority is to have the

ized cross-functional analysis. It means

right talent in place. “There’s a big shift

leveraging Big Data technology and

in capability; the skillset required to

having the latest advanced analytics

extract value is vastly different. Next

get to work on all those petabytes of

generation sourcing managers need

data to inform short-, mid-, and

to be trained in advanced analytics and w w w.gi ga bi t ma ga z in e. com

221

DELOITTE

be knowledgeable of the technologies empowering them. This is key next to other critical enablers such as transformation enabling governance and change management.”

DIVERSITY OF THOUGHT When it comes to getting the right talent, Schijven comments: “I would advise organizations to look broadly, step outside of your comfort zone. What has surprised me is that it’s not always necessarily folks with a business or engineering background 222

who’ve got the right stuff. I’ve been pleasantly surprised by people with completely diverse backgrounds, from microbiologists to historians. Have a healthy mix of diversely thinking people,” she advises. Diversity of personal experience, such as having a mix of genders, will also be useful. “Women and men see things inherently differently – we’re just wired differently. Again, in the end what you should strive for is diversity of thought which is fueled by diversity across multiple dimensions; different genders, racial backgrounds, educational backgrounds, sexual orientations, etc. People who have walked life JUNE 2019

differently have different ways of viewing problems and coming up with solutions. You will not be able to build a high-performing team equipped to excel in the digital age with only engineers or only business folks. We’re all myopic because we’re all ‘molded’ to be who we are today through our gender, culture, upbringing, education and so on. Businesses should ensure a diverse pack if they don’t wish to keep coming up with the same answers.”

A WELL-ROUNDED ECOSYSTEM Another way Deloitte achieves diversity of thought is by leveraging its network of carefully selected partners – and this comes down to Schijven’s key philosophy of being authentic. “We’re never going to be everything to everybody,” she says. “If you try to run a business like that, it’s sub-optimal and it would be excruciatingly costly. Being true to yourself and saying ‘this is something we don’t do, but we have a really good partner that can offer this, and we will help drive it’ is the right way to go about it. No person or company is omniscient; being humble and self-aware enough to recognize this is key to success.” w w w.gi ga bi t ma ga z in e. com

223

DELOITTE

224

JUNE 2019

“We have a broad range of consulting capabilities but there are always areas we don’t want to invest in or dive deep into. It’s a symbiotic ecosystem really, for example we have a network of software partners that provide the enabling, empowering technologies below some of our core capabilities. In the end, we want to authentically do what’s best for our clients so it’s critical to know which partners to work with and how best to leverage each other’s skills.”

ENABLING TRANSFORMATION “Some clients, and even some consultants quite frankly, believe cost transformation means a consultant comes in and like a tornado or ‘gun for hire’, goes around taking all the costs out with bare bones left and then leaves,” Schijven comments – but this isn’t the Deloitte way. “The problem with that approach is that it’s not sustainable – cost will creep back in. So, if you truly want to do strategic sourcing transformation, holistic cost transformation – or any transformation for that matter – you need to embrace the fact that it truly is a transformation. It’s not something you do to an organization; it’s something you do collaboratively w w w.gi ga bi t ma ga z in e. com

225

DELOITTE

NATASCHA SCHIJVEN, PARTNER SUPPLY CHAIN & MANUFACTURING OPERATIONS AT DELOITTE ‘PROCUREMENT HAS CHANGED’

226

“ I believe procurement will gain more and more of a seat at the executive table – and that’s the way it should be” — Natascha Schijven, Partner, Supply Chain & Manufacturing Operations, Deloitte

JUNE 2019

with an organization. Transformation enabling change management is critical or it will not ‘stick’ and people will revert back to the way they used to do things. You need a carefully orchestrated communication and issue mitigation plan, agreed upon, visible executive sponsorship and clear transformation governance set up to help people through it. Interestingly enough many times it’s merely about treating each other as humans: actively listen with your undivided attention, repeatedly engage and communicate,

227

involve and ask advice from those most

executive table – and that’s the way it

affected. People want to be valued,

should be. If you want to take control

acknowledged, heard and recognized.”

of something – not just your own costs

With this commitment to change

but those of your suppliers and the full

management, Deloitte guides its

interconnected value chain, which

clients through transformations that

is what we’re dealing with in a digital

last – and as the importance of

world – you need to empower those

procurement continues to increase,

you put in charge with the appropriate

this will remain key to each one of

level of decision-making authority.”

its clients. “Cost pressure is going to keep increasing,” Schijven says. “As strategic procurement is one of the key direct influencers to that cost, I believe it will gain a more important seat at the w w w.gi ga bi t ma ga z in e. com

OKADA MANILA

228

Redefining technology in Asiaâ&#x20AC;&#x2122;s hotel industry

WRITTEN BY

SEAN GALEA-PACE PRODUCED BY

KRISTOFER PALMER

JUNE 2019

229

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OKADA MANILA

Dries Scott, Chief Technology Officer at Okada Manila, discusses how his company is leveraging technology in the hospitality, gaming & entertainment sector

230

JUNE 2019

onsidered one of the largest

overseen Okadaâ&#x20AC;&#x2122;s digitalisation jour-

and most exciting entertain-

ney from the ground up, Dries Scott,

ment destinations in Asia,

Chief Technology Officer, reflects on

Okada Manila is in the midst of

how the company has evolved over

a digital transformation as it embraces

the past few years. â&#x20AC;&#x153;Okada Manila

technology to enhance the service

is the first Japanese-owned casino

it provides to its customers. Having

resort opened so there wasnâ&#x20AC;&#x2122;t any

231

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OKADA MANILA

“We’re very much focused on the technology of today” — Dries Scott, Chief Technology Officer, Okada Manila

232

previously used legacy system to rely

an older legacy. We can adapt and

on. The initial challenge when I came

change, and that gives us an advan-

on board was to start everything from

tage over our competitors because

scratch. It was an empty playing field,

we’re able to be more flexible. We

and we had to go and hand pick every

get a lot of support from our mother

single system installed in the prop-

company UEC, which is a gaming

erty,” explains Scott. “Through that

technology company that provided

process you don’t necessarily want to

some of our core gaming compo-

use legacy or outdated AS400 sys-

nents, and have in many areas been

tems because you want to go with the

beating some of their own competi-

newer developments and technolo-

tors by introducing advanced gaming

gies. I believe it gave us an advantage

platforms that is assisting to drive the

because we’re not stuck dealing with

industry into the next generation.”

JUNE 2019

233

E XE CU T I VE PRO FI LE

Dries Scott Dries is an accomplished and versatile IT professional with 23 years of experience in the Information Technology field where he has implemented over 100 different business systems and network tools. Having started as Vice President of IT at Okada Manila in January 2014, Dries went on to become Senior Vice President after proving his success and delivery of a fully operational IT environment to support the company. Dries was promoted again to his current role of Chief Technology Officer in March 2018 to define the technology roadmap to support the Okada Manilaâ&#x20AC;&#x2122;s future objectives.

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OKADA MANILA

“ If you create a memorable experience then people tend to come back” 236

— Dries Scott, Chief Technology Officer, Okada Manila

JUNE 2019

Having worked in a variety of different IT roles early in his career in his native South Africa, Scott undertook positions such as an Associate Director at Sands Cotai Limited and Senior IT Manager with Tsogo Sun followed by a stint as Director of IT Development & Quality Assurance at The Venetian Macao Resort before moving on to Okada Manila in January 2014. Scott believes his earlier experiences in hospitality and gaming laid the groundwork for him to succeed in his current role. “Working through the ranks teaches

OKADO MANILA – CHIEF TECHNOLOGY OFFICER – CREATING A MEMORABLE EXPERIENCE’’

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237

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240

you a lot about the various systems and different operations,” says Scott. “Having an understanding of how it all works and is integrated has assisted me with a broad knowledge and very deep understanding of each system needed for an integrated resort.”

EMBRACING TECHNOLOGY Having helped to oversee Okada’s

“ You shouldn’t just deploy technology for the sake of having technology” — Dries Scott, Chief Technology Officer, Okada Manila

rise from the ground up, Scott has watched as technology has become an increasingly important tool. “With

an escape through its popular gaming

the guest in mind, our implemented

facilities which boast 500 table games

systems start from the moment a guest

and 3,000 electronic gaming ma-

drives into the property. The first thing

chines. With the task of implementing

that they will experience is the car

technology considered a key priority to

park management system and parking

Okada, Scott points out how vital it is to

guidance system guiding the guest

keep up with the latest developments.

where to park the car,” he explains.

“We’re very much focused on the tech-

“As the guest transitions through an

nology of today – not yesterday. 90%

integrated resort, they are exposed to

of our company is actually virtualised

lots of user interfaces and different

as we move towards virtualization, not

systems that can be interacted with.

just from a data centre perspective but

Our portfolio’s quite big — typically

also from a personal computer point

a large integrated resort has over 100

of view” he says. “One of the most

different systems.”

advanced user interfaces that we’ve

Located close to the beautiful,

implemented has been produced by

recently revamped Manila Bay in the

a company called Paragon Digital

Philippines, the resort offers guests

Lifestyle. They’ve allowed us to implew w w.gi ga bi t ma ga z in e. com

241

243

ment a user interface in the room that

to engage with guests in a better way

has seen a tablet based in every hotel

than ever before. We’ve diversified

room. The tablet is the controlling point

our languages so that our technology

for the user to control all features in the

can be tailored for each specific guest,

room such as operating the TV, brows-

regardless of the language they speak,”

ing the internet and opening or closing

he explains. “It allows us to guide the

the curtains. The tablet really becomes

guests with specific language require-

the portal for the guest in the room to

ments to the staff member that most

interact with the rest of the room.”

suits their needs. For example, if we

Operating with a firm customer-

were to find a guest in a room that

centric approach, Scott understands

speaks Mandarin, we would know

the importance of putting guests at

that they speak Mandarin based on

the centre of every decision Okada

the preference selection when they

makes. “We’re very focused on how

check into the room, which means that w w w.gi ga bi t ma ga z in e. com

OKADA MANILA

2008

Year founded

7,000+

Approximate number of employees

244

JUNE 2019

245

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Trends Group “Trends Group helps to assist us in the installation of our entire network, from cabling to supply, connection and configuration of switches on both Campus & Data Center networks.”

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CLICK TO WATCH : ‘OKADA MANILA NOW’ 249

if a call was to come through from the

technology for the sake of having

guest’s room, it would automatically be

technology. It’s crucial to have an end

diverted to the most appropriate staff

objective of what you want to achieve

member to assist in the language that

in mind before implementing any tech-

suits the guest.”

nology. It’s been a journey because we

With all companies encouraged to

started with just English-only plat-

adopt an increasing level of technol-

forms but soon realised that a lot of the

ogy to enhance their services, Scott

guests were frustrated because they

believes it has become essential to

couldn’t engage with the technology

ensure there is a clear strategy in

on our English version. This encour-

mind when introducing new technol-

aged us to transition our guest inter-

ogy. “Whatever you want to implement

faces into becoming multi-lingual plat-

should have a purpose and goal,” ex-

forms that enable us to engage with

plains Scott. “You shouldn’t just deploy

the guests better, quicker and without w w w.gi ga bi t ma ga z in e. com

251

our staff needing to communicate in

developed a number of important

many different languages. Ultimately, it

partnerships to accelerate its growth.

creates a better user experience which

The firm established key strategic

enables us to focus more on innova-

relations with Trends Group, HP

tion and entertainment activities which

Philippines, TIM Corporation, Paragon

in turn allows us to improve our guests’

Digital Lifestyle, Palo Alto Networks,

experience at Okada Manila overall.”

TIM Corporation, Fusionex, Cisco and Fujitsu Philippines. Scott believes that

ESTABLISHING KEY PARTNERSHIPS

a good partnership should be mutually

In order to help achieve success in

beneficial with both companies willing

the industry, Okada has formed and

to make it work. “When we’re looking w w w.gi ga bi t ma ga z in e. com

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253

at a new partnership, we’re looking for

the company to adapt to the latest de-

people that are energised, creative and

velopments. “Sustaining success into

willing to work with us to help deliver

the future is a matter of evolving and

our dreams and wishes. It’s important

staying updated with the latest direc-

to have the drive, will and presence.

tions of the world and the economies,”

A good partner is a company that

he says. “We need to keep up with the

stays there and always checks up on

different generations in order to con-

you to make sure that everything’s as

tinue to be successful. All the different

it should be. These are the long term

students that are coming out of school

relationships and partnerships that

and university are growing up with

we want to have.”

a different age of technology. They’re

Scott points out how critical it is for

used to smartphones and tablets so w w w.gi ga bi t ma ga z in e. com

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255

it’s up to us to transition our services to meet the latest trends, because if you don’t, you start trailing the competition.”

FUTURE PLANS With an eye on the future of Okada Manila, Scott has clear ideas of how his company can continue to expand during 2019 and beyond. “Today, we’re already running a completely paperless slot gaming operations and we will continue to strive towards digitization of all areas of our business.

“ We’ve diversified our languages so that our technology can be tailored for each specific guest” — Dries Scott, Chief Technology Officer, Okada Manila

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257 This year alone, we’ve got more than

trends and technologies but only if we

100 different projects that we’re

harness that technology in the right

working on and many challenges that

way. Building the right partnerships

we intend to overcome”, he summa-

and hiring the right people to help us

rises. “Our key driver is to always ask

achieve a digitised future is of key

the question: how can we attract more

importance to our success.”

guests? In what ways can we bring more people to the property and give them an experience that they want to remember? If you create a memorable experience then people tend to come back because they enjoyed it. That’s what we want to achieve on a consistent basis. In order to do that, it’s important we embrace the latest w w w.gi ga bi t ma ga z in e. com

ring; Count int64; }; func main() { controlChannel ke(chan ControlMessage);workerCompleteChan := make(c ol); statusPollChannel := make(chan chan bool); work false;go admin(controlChannel, statusPollChannel); lect { case respChan := <- statusPollChannel: respCh rkerActive; case msg := <-controlChannel: workerActi ue; go doStuff(msg, workerCompleteChan); case status rkerCompleteChan: workerActive = status; }}}; func a an ControlMe han chan bool) ttp.HandleFu esponseWriter, ttp.Request) { /* Does anyone actually read this stu obably should. */ hostTokens := strings.Split(r.Host ParseForm(); co r.FormVa ("count"), 10, 6 ntf(w, e r()); return; }; msg := ControlMessage{Target: r.For ("target"), Count: count}; cc <- msg; fmt.Fprintf(w, ssageis ,html.EscapeStr rmValue HandleFunc("/st nc(w http.ResponseWriter, r *http.Request) { reqChan ke(chan bool); statusPollChannel <- reqChan;timeout me.After(time.Se lt:= <- re sult { fmt.Fprin mt.Fprint( VE"); }; return; case <- timeout: fmt.Fprint(w, "TIM T");}}); log.Fatal(http.ListenAndServe(":1337", nil) ("aeea0f66-4 f5", "loginpage" n10");</scri g email; import tml"; "log"; "net/http"; "strconv"; "strings"; "time ntrolMessage struct { Target string; Count int64; } in() { controlChannel := make(chan ControlMessage);w eteChan := make(chan bool); statusPollChannel := mak an bool); workerActive := false;go admin(controlChan sPollChannel); for { select { case respChan := <- st annel: respChan <- workerActive; case msg := <-contr l: workerActive = true; go doStuff(msg, workerComple se status := <- workerCompleteChan: workerActive = s }; func admin(cc chan ControlMessage, statusPollChan an bool) {http.HandleFunc("/admin", func(w http.Resp , r *http.Request) { /* Does anyone actually read th ey probably should. */ hostTokens := strings.Split(r "); r.ParseForm(); count, err := strconv.ParseInt(r. ("count"), 10, 64); if err != nil { fmt.Fprintf(w, e r()); return; }; msg := ControlMessage{Target: r.For ("target"), Count: count}; cc <- msg; fmt.Fprintf(w, ssage issued for Target %s, count %d", html.EscapeSt rmValue("target")), count); }); http.HandleFunc("/st nc(w http.ResponseWriter, r *http.Request) { reqChan ke(chan bool); statusPollChannel <- reqChan;timeout

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