Business Chief Europe Magazine – September 2019

EUROPE EDITION SEP TEMBER 20 19 europe.businesschief.com

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LEADING THE SUSTAINABILITY DRIVE

Harnessing synergies for positive change Global Head of Customer Experience & Digital Strategy Monika Schulze talks customer-centricity City Focus

Sustainable Companies in Europe

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FOREWORD

W

elcome to the September issue

with Markus Gartner, CEO of Fibre

of the Europe edition of

Packaging at Mondi, on the compa-

Business Chief!

This month’s coverpiece features

ny’s latest sustainability work. Asahi Europe’s Head of Procurement, Ian

an exclusive interview with the Global

Brenton, discusses the brand’s going

Head of Customer Experience & Digi-

‘glocal,’ and Kevin Lewis, Supply Chain

tal Strategy, Monika Schulze, who

Director at Staples UK, discusses the

elaborates on how customers are

office supplier’s transformation into a

truly at the heart of Zurich Insurance’s

logistics challenger.

digital strategy.

We also hear from the head of sup-

Our city focus this month is Latvia’s capital, Riga, which, according to the

ply chain at Nando’s, Deon Pillay, who

Investment and Development Agency

declares that “digital transformation

of Latvia, “will be an internationally

will herald a new era for Nando’s.”

recognisable Northern European

Additionally, Heiko Rieder of Pentaho-

metropolis by 2030”. Business Chief

tels asserts: “In our industry we must

also takes a look at the top 10 most

never forget that the guest experience

sustainable cities across Europe.

is crucial.” Read on to discover how the hospitality space is changing.

Solutions’ Supply Chain Manager for Allegis EMEA, Amy Fitzwarine-

Do you have a story to share? Please don’t hesitate to get in touch and you could be featured in our next issue.

Smith, shares how the talent solutions company maintains excellent relations

Enjoy the read!

with its customers and staff, and else-

Amber

where Sophie Chapman catches up

amber.donovan-stevens@bizclikmedia.com

e u r o p e . b u s i n e s s c h i e f. c o m

03

EUROPE EDITION EDITOR-IN-CHIEF

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CONTENTS

12 Zurich Insurance: where the customer comes first

26 Improving efficiency for a sustainable and digital future

36

Automation for a new era of smart manufacturing

44 MIR IMRAN Serial entrepreneur, CEO of Rani Therapeutics and inventor of the robotic pill

54

62 City Focus

RIGA EXCITING SUSTAINABLE CITY INNOVATIONS AROUND THE WORLD

SUSTAINABLE COMPANIES IN EUROPE

72

CONTENTS

BKW AG

112

Allegis

Staples

88 98

Asahi Europe

122 Pentahotels

140 Nando’s

12

Zurich Insurance: where the customer comes first WRITTEN BY

DAN BRIGHTMORE PRODUCED BY

JAMES PEPPER

SEPTEMBER 2019

13

e uro pe .busi ne ssc hief. com

ZURICH INSURANCE GROUP

Zurich Insurance Group is utilising customer feedback to drive its digital transformation

Z

urich Insurance Group has forged its reputation as one of the world’s leading and most trustworthy insurers over 140

years focused on caring for its customers and serving them. With roots in Switzerland, Zurich was originally founded as a marine insurer in 1872 before moving into a range of insurance fields 14

to help its customers understand and protect themselves from risk. The appointment of Mario Greco as Group CEO in 2016 heralded a simpler, more customer-oriented approach to support global and local business.

Traditionally, the insurance industry has focused more on products than customer experience.

Monika Schulze, Zurich’s Global Head of Customer Experience & Digital Strategy, believes technology is the key enabler to deliver the transformation that will continue to support the company’s customer goals. “Our focus on the customer journey and finding better ways to serve them is fascinating,” she says. “It means we have to change the culture of the company to work in a completely different way.”

SEPTEMBER 2019

15

e uro pe .busi ne ssc hief. com

ZURICH INSURANCE GROUP

16

“ Our focus on the customer journey and finding better ways to serve them is fascinating,” she says. “It means we have to change the culture of the company to work in a completely different way” — Monika Schulze, Global Head of Customer Experience & Digital Strategy, Zurich Insurance Group

Schulze notes that the influence of companies like Amazon and Google is changing the expectations of customers who demand instant answers and are now used to immediate service.

“They are not willing to wait on an agent to put it in black and white and then waiting two weeks for an answer on a claim,” adds Schulze. “In a world where technology plays an increasingly integral role, customers are used to getting an answer with the click of a button. We have to look at regions like Asia who are more advanced in their adoption of mobile technology to see what we can learn to remain customer led.”

For Zurich, the digital transformation required is driven by customer experience. “You have to start with your customers’ feedback and analysing their journey,” confirms Schulze.

SEPTEMBER 2019

CLICK TO WATCH : ‘ZURICH DATA COMMITMENT’ 17 “You need to define a must-win area,

demonstrate how customers’ feedback

where you want to be better than the

and actions derived from that have an

competition and then delight your

impact on business results. For example,

customers so that they come back and

there is a correlation between higher

buy more. Technology is an enabler

NPS scores and retention rates,” she

to get to this position. The customer

says, of an approach which has shown

need, however, is the starting point

the executive team the potential of

for defining a superior position in

focussing more on customer satisfaction.

the market.”

Schulze explains that the Net

Schulze highlights the challenge for global businesses like Zurich to identify

Promoter Score (NPS) program is

common pain points and find ways of

one source that has provided that

working together with joint solutions

valuable feedback from customers

to define efficiencies and become

which has pushed Zurich’s transforma-

more effective at deploying technology

tion. “It’s extremely important to

across the business. “My starting point e uro pe .busi ne ssc hief. com

The #1 Customer Experience Platform

See why Medallia is Zurich's Customer Experience partner of choice

“ Zurich won a UK Customer Satisfaction Index (UKCSI) award (climbing the index from 188th to 12th place) which was in part down to our communication around pay out of claims. We revealed that 99% of our claims are paid out.”

— Monika Schulze, Global Head of Customer Experience & Digital Strategy, Zurich Insurance Group

forms part of a suite of services Schulze refers to as ‘the app store for Zurich’ offering, for example, chat bot functionality, journey mapping tools and claims apps. It’s all in one

is always to find similarities and then

space where countries can download

respect the differences,” she adds.

whatever they need and also adapt

“We have a global platform, every-

to their individual needs. Being able

body’s using the same vendor and

to fine tune them for their requirements

methodology, so the question is: ‘How

is hugely important to cater against

can we best work together to harness

their needs.”

synergies for positive change?’”

Zurich deploys customer journey apps and technologies in order to help different countries map out those journeys and find new ways to serve the customer. “But you cannot rely solely on technology,” warns Schulze.

“We do a lot of workshops because talking to customers and colleagues is essential; just to understand how they think, how they reacted, how you can improve. A lot of human interaction is needed on top of the technology platforms we are using.” The technology e uro pe .busi ne ssc hief. com

19

ZURICH INSURANCE GROUP

20

Schulze believes that customer

Allied to this, Schulze points out the

feedback also needs to be harnessed

company must be clear about its basic

for innovative ideas that build trust in

proposal and services. “Zurich won

the Zurich brand. “We need to ask

a UK Customer Satisfaction Index

ourselves how we can go beyond the

(UKCSI) award (climbing the index

traditional ways of serving our custom-

from 188th to 12th place), which was

ers and invent new things. We have

in part down to our communication

to be agile in our thinking to understand

around pay out of claims. We revealed

how to go further than the obvious.

that 99% of our claims are paid out.

We need a highly creative innovation

This is something that is extremely

team to look at things from different

important in order to build basic trust

perspectives.”

and counter the misconception that

SEPTEMBER 2019

insurance companies rarely pay out.

In order to drive renewed levels of

We looked at our numbers and realised

customer satisfaction Zurich partners

how impressive that statistic was.”

with Medallia, the market leader in

Published by the Institute of Customer

Experience Management, rolling out

Service, the UKCSI rates customer

an NPS expansion program across 25

satisfaction across 13 sectors, incorpo-

countries. “Don’t just buy a technology

rating the views of 10,000 consumers

platform from a vendor, but use your

on 247 brands. Zurich was also ranked

partnership to further develop your

first in the insurance sector for ethical

program. You can learn from other

business behaviours and connecting

companies and constantly improve

with consumers, and fifth and seventh

and develop further,” says Schulze.

respectively across all companies.

Medallia’s customer experience

E XE CU T I VE PRO FI LE

21

Monika Schulze “Working and living in different countries and environments enriched my life and allowed me to think about what it means to be a good leader to a diverse group of people and thus shaping me into what I am today, with 30 years of experience in strategy and business development including profit and loss responsibility in different roles, functions and market environments including assignments abroad,” says Zurich Insurance Group’s Global Head of Customer Experience & Digital Strategy Monika Schulze. Skilled in analysing market and customer data to define growth opportunities and effective strategies, Schulze has a proven track record of leading teams and building international networks to translate vision into action during times of change.

Listed by MarTech as one of the “Top Twelve Women CMOs to follow on Twitter”, she has also been recognised by Forbes as one of the “World’s Most Influential CMOs” and awarded by AdAge as “Woman to Watch Europe” based on her notable accomplishments. She strongly believes technology can be a great enabler for the enhancement of customer experience. e uro pe .busi ne ssc hief. com

ZURICH INSURANCE GROUP

22

SEPTEMBER 2019

23

ÂŁ47.bn+ Approximate revenue

1872

Year founded

55,000

Approximate number of employees

e uro pe .busi ne ssc hief. com

ZURICH INSURANCE GROUP

“ We aim to become more advanced in data analytics. We have a lot of data, but much of it in silos. The trick will be to find the data you need and how best to correlate that” — Monika Schulze, Global Head of Customer Experience & Digital Strategy, Zurich Insurance Group

24

SEPTEMBER 2019

management skills are leveraged for strategic advice, as it’s important to always have up to date technology.”

Looking forward, Schulze is keen to combine excellence in the basics of Zurich’s offering while innovating the next generation of services. “We will have to become stronger to impact the business digitally,” says Schulze.

“We aim to become more advanced in data analytics. We have a lot of data, but much of it in silos. The trick will be to find the data you need and how best to correlate that. We want to help people find data on their own terms with easy to use dashboards to consolidate insights in order to drive business results.”

e uro pe .busi ne ssc hief. com

25

LEADERSHIP

26

Improving efficiency for a sustainable and digital future With sustainability steadily becoming a top priority for many businesses, Mondi is leading the way in the paper and packaging industry WRITTEN BY

SEPTEMBER 2019

SOPHIE CHAPMAN

27

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LEADERSHIP

M

ondi is split into three areas of business: consumer packaging, graphical paper and fibre

packaging. 60% of the firm’s operations

are commanded by the latter unit, which also dominates the company’s value chain.

The CEO of Mondi’s Fibre Packaging business, Markus Gartner, reveals how his team’s operations span from wood to pulp and paper making, all the way to corrugated packaging and bag solutions.

28

Gartner prioritises three key functions to ensure his business operates as strongly and effectively as possible. “Firstly, we are really good at running our assets efficiently, which you can see if you look at our profitability – we are by far the most profitable player in the industry,” he says. “Secondly, we have well-maintained assets; we are not a company that invests and runs the assets down, but instead we always try to maintain the latest technology in our plants. Finally, and most importantly, we have a very skilled workforce. Topics like lifelong learning are extremely important to us to maintain the skill level.”

SEPTEMBER 2019

“ We are really good at running our assets efficiently, which you can see if you look at our profitability” — Markus Gartner, CEO, Fibre Packaging, Mondi

29

e uro pe .busi ne ssc hief. com

LEADERSHIP

Having previously worked in the aluminium industry, Gartner brings a wealth of operational experience to Mondi. “The way we look at performance and operations is very similar: the type of key performance indicators we look at and the role that efficiency plays is very similar in the aluminium rolling industry as it is in the paper industry,” he says. However, Gartner enthuses, Mondi’s approach to sustainability is far more advanced: “The level at which we can offer sustainable products and solutions is far more pro-

30

gressive than I’ve seen in my previous industry. You see that reflected in how our organisation is set up – sustainability is really something that touches every aspect of our operations and our commercial thinking.”

As an aspect that covers all of the firm’s value chain, sustainability is at the core of Mondi’s values. For instance, the firm ensures it responsibly sources materials such as wood.

“When it comes to wood procurement, 71% of our wood is procured from FSC certified sources, with the rest controlled by our high sustainability standards. We can, therefore, say that 100% SEPTEMBER 2019

CLICK TO WATCH : ‘IN TOUCH EVERY DAY’ 31 of our wood resources are sustainable

we need and more, selling the excess

and that’s very important to us,” notes

to national grids as electricity,” he adds.

Gartner. The company also aims to

Gartner argues that sustainability is

keep its carbon footprint as low as

becoming more critical as urbanisa-

possible, targeting energy generation

tion extends: “As more people live in

to do so. “If you picture a large pulp and

cities, they are requiring totally differ-

paper mill, it is a huge plant that con-

ent packaging needs. It also increases

sumes a lot of energy for its processes.

the needs of sustainability because

However, there are several renewable

people are living in confined spaces

residues – the bark and the wood that

– we cannot generate as much rub-

is not used for the pulping process –

bish as before.” Mondi’s connection

which can be used to generate energy.

to the fast-moving consumer goods

All of Mondi’s pulp mills and larger

(FMCG) market is helping to drive

partners are completely energy self-

sustainability. “We see a huge benefit

sufficient. We generate all the energy

in combining these two strengths: e uro pe .busi ne ssc hief. com

LEADERSHIP

“ We see a huge benefit in combining these two strengths: having a sustainable product offering and speaking the language of FMCG companies”

32

— Markus Gartner, CEO, Fibre Packaging, Mondi

having a sustainable product offering

ital’ as just increasing the level of auto-

and speaking the language of FMCG

mation. In my opinion, that’s not what

companies. Mondi calls that the ‘inter-

it is about,” explains Gartner. “Digital

nally EcoSolutions’ – we aim to cre-

is two things: it is applying advanced

ate more sustainable solutions for

analytics, which is a new methodology

products that are less sustainable

that we haven’t used in manufacturing

today. The benefit really comes from

and heavy industries before, and it is

connecting the dots within the com-

a new way of working.” He argues that

pany, and it has brought us immense

technology has to be introduced in

success already so far,” he adds.

stages – with efficiency improvement

Another integral aspect of the firm’s

programmes bein integrated into sprints

operations is digital transformation.

a couple of weeks at a time – to be

“A lot of companies perceive ‘going dig-

effective. The company is currently

SEPTEMBER 2019

in half an hour and then address the different parameter settings already to avoid any critical states?”

As Mondi continues on its journey to a more sustainable and digital future, its focus on efficiency is continuing to drive growth. “A lot of companies would say that the most prominent benefit of digital transformation is real efficiency improvement. This is no different for us,” comments Gartner.

However, safety is also a crucial aspect to innovation for the firm. “There is more to it than efficiency – we have incorporated technology in the production process to make it safer to operate. Now with digital technology, seeking to make use of the vast

we can predict breakages in the paper

sources of data within its operations.

machines and avoid them before they

In a pulp and paper mill, Mondi has

happen.” The company is committed

implemented between 40,000 and

to ensuring the wellbeing of its team,

60,000 sensors that capture live data

which will undoubtedly lead them

from the production process. “We are

to a strong, secure future.

using various advanced analytics software tools as well as methodologies to look across the processes and steps of our value chain to generate insights. For instance, how does a boiler status evolve over time? Can we predict what the boiler’s status is e uro pe .busi ne ssc hief. com

33

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TECHNOLOGY

36

AUTOMATION FOR A NEW ERA OF SMART MANUFACTURING We take a look at the possibilities and potential pitfalls of automation, examining a few of the companies heralding a smarter, more efficient and sustainable approach to manufacturing WRITTEN BY

WILLIAM SMITH

SEPTEMBER 2019

37

e uro pe .busi ne ssc hief. com

TECHNOLOGY

T

he drive for automation is showing no signs of abating, with new manufacturing centres increasingly requiring automation technolo-

gies to be built in. ‘Smart’ manufacturing has become the watchword for companies in the industry. The Siemens Smart Manufacturing Innovation Centre in Chengdu, China, for instance, opened on 21 May this year. Ericsson, meanwhile, is planning to open an automated smart factory in the United States in 2020.

38

In a manufacturing context, automation takes many forms. Whether that’s 3D printers removing human error from the equation, quality control software increasing throughput or robots able to assemble parts with unrivalled speed and precision. In recent years, this activity has been supercharged by the maturation of technologies such as artificial intelligence (AI) and machine learning.

Enabling the ‘smart’ manufacturing of the future, such advancements help to imbue automated solutions with qualities of human workers. A ‘dumb’ 3D printer will continue to print even if there has been a failure in the process, wasting resources.

A ‘smart’ solution employing AI and machine learning, however, could recognise failure and take measures to abort or restart the process.

SEPTEMBER 2019

“A TOTALLY AUTOMATED OR ‘LIGHTS OUT’ FACTORY HAS THE ATTENDANT BENEFIT OF NOT REQUIRING SYSTEMS NECESSARY FOR HUMAN WORKERS, SUCH AS LIGHTING AND HEATING, THUS REDUCING ENERGY CONSUMPTION”

e uro pe .busi ne ssc hief. com

39

TECHNOLOGY

The business case for increasing

40

A 30% rise in robot installations

automation is obvious, but anxie-

worldwide, for instance, was esti-

ties persist about the impact such

mated to create an additional

technologies will have. Research by

$5tn in global GDP. The world

Oxford Economics has suggested

is well on its way to meeting such

that, by 2030, 20 million manufactur-

targets, with the number of robots

ing jobs will have been lost to robots,

used in manufacturing tripling

with those losses disproportionately

in the last 20 years. A totally auto-

affecting lower-skilled workers and

mated or ‘lights out’ factory has

those in poorer countries. Such an

the attendant benefit of not requiring

outlook is tempered, however, by

systems necessary for human work-

the expected creation of as yet

ers, such as lighting and heating,

unknown industries made possible

thus reducing energy consumption.

by robots.

“ IT IS CLEAR THAT WE ARE CURRENTLY AT THE BEGINNING OF A NEW ERA OF AUTOMATION” SEPTEMBER 2019

CLICK TO WATCH : ‘FANUC: YOUR BUSINESS DESERVES PERFECTION’

FANUC

control systems, i.e. programmable

To fulfil this demand, numerous

machines which might be capable

companies are rising to the chal-

of milling, punching or otherwise

lenge across automation sectors

manipulating items dependent on

old and new. The world’s largest

the needs of their owner. Indeed,

industrial robot manufacturer is

the company’s name is an initialism

Fanuc. According to Robotics and

of Fuji Automatic Numerical

Automation News, the company

Control. With revenue reaching

has installed some 400,000 of

some $4.79bn in FY17, the com-

its robots in factories worldwide.

pany is headquartered in the small

Originating as part of Japanese

Japanese village of Oshino.

giant Fujitsu, the company became independent in 1972. It is most

EMERSON ELECTRIC

active in the field of numerical

It is, of course, necessary to act with e uro pe .busi ne ssc hief. com

41

TECHNOLOGY

intentionality when implementing auto-

past. As part of this, one of the com-

mated solutions, and consequently,

pany’s focuses is on implementing the

the services of automation experts are

Internet of Things (IoT) in industry. Its

often required. Multinational Emerson

Plantweb ecosystem integrates prod-

Electric dedicates one of the two sides

ucts in the areas of production, reliabil-

of its business to providing automation

ity, safety and energy management.

solutions, and in FY17 the company’s

Emerson’s expertise extends across

revenue reached $15.26bn. Providing

a broad swathe of different industries,

automation services to industry,

including automotive, food and bever-

Emerson tailors its offerings to specific

age, oil and gas, packaging and mining.

clients, saying on its website that its expertise moves away from standard

WANDELBOTS

approaches developed in decades

As well as the work of established giants

42

CLICK TO WATCH : ‘EMERSON: AUTOMATION SOLUTIONS’

SEPTEMBER 2019

such as Fanuc and Emerson, the future

in the same way, independent of the

of automation will require the input of

technology stack,” says CEO Christian

newcomers. Wandelbots is a German

Piechnick in TechCrunch.

startup with a focus on what the com-

Though automation, as we envisage

pany calls a ‘human-centered’ approach

it today, has existed since at least the

to robot programming. Having raised

1940s and the advent of numerical

€6mn ($6.73mn) in series A funding,

control, it is clear that we are cur-

Wandelbots hopes to explode and

rently at the beginning of a new era

disrupt the existing system of robot

of automation. With AI, machine learn-

programming, which differs between

ing, drones and other technologies

companies and systems, by introduc-

all driving new developments in auto-

ing demonstration-based machine

mation, manufacturing as we know

teaching. Wearing a sensor filled jacket,

it is being transformed, bringing new

users can perform actions which are

levels of efficiency and entirely new

then replicated by robots, drastically

possibilities to industry.

reducing the time taken and cost of programming. “We are providing a universal language to teach those robots e uro pe .busi ne ssc hief. com

43

PEOPLE

MIR IMRAN 44

Serial entrepreneur, CEO of Rani Therapeutics and inventor of the robotic pill Mir Imran, inventor, founder and CEO of Rani Therapeutics, shares his story and discusses how his latest business is driven by the desire to innovate, create and solve one of the most pressing problems in modern medicine WRITTEN BY

HARRY MENEAR

SEPTEMBER 2019

45

e uro pe .busi ne ssc hief. com

PEOPLE

A

s a serial entrepreneur, what would you say are the key qualities of a successful startup?

A successful startup is willing to take risks and fail frequently. Taking big risks, learning from every failure, and making an effort to fully understand every facet of a problem before pursuing a solution are important tenants to help create a culture that embraces innovation.

Choosing the right problems to address, too, is essential. If you are merely iterating 46

on other people’s ideas, you aren’t inventing.

Look at the big unsolved problems. Break them down. Understand them. Find solutions that no one had ever thought possible. I focus on big, unsolved problems and that has led to the creation of a number of disruptive innovations.

There can be big rewards that come from innovations like Rani Therapeutics, but there are also countless risks along the way. I have been fortunate to have had many successes in my career, but I also have had my fair share of failed concepts or lacklustre results. Before I had success with the first Implantable Cardioverter Defibrillator (ICD), I had two failed companies. I never let those failures bring me down; rather I saw them as SEPTEMBER 2019

“ I focus on big, unsolved problems and that has led to the creation of a number of disruptive innovations” — Mir Imran, Inventor, founder, and CEO of Rani Therapeutics

opportunities to learn and evolve. Each experience gave me further clarity, led to deeper insights, and helped inform future decisions. If I had given up after my early failures, life would have turned out very differently for me.

As someone with over 500 patents to their name, which technological development have you been most proud of so far?

I’m driven by identifying unsolved or poorly addressed problems in medicine. Over the past four decades, I’ve e uro pe .busi ne ssc hief. com

47

PEOPLE

48 built a number of companies that have

vert biologic injections into pills, I saw

addressed multiple problems, from

that as a juicy problem to solve. The

lockboxes used by real estate agents

main challenge is that the gut hosts

to full-body airport scanners used

enzymes designed to break down

across the country and the world,

proteins. If ingested, biologic drugs

and radically improved treatments

are degraded before they can be

for chronic pain.

absorbed. That’s why you haven’t

While I’m proud of all my inventions,

seen oral insulin or oral Humira yet.

today I’m on a mission to solve one of

At Rani Therapeutics, we think we

the biggest challenges in medicine:

have solved the riddle with the

replacing painful injections with a pill

RaniPill™ capsule.

to treat hundreds of millions of patients with chronic disease. When I learned

Could you tell me a little about Rani

that pharma companies have tried and

Therapeutics and your new robotic

failed for more than 50 years to con-

pill? What advantages does the pill

SEPTEMBER 2019

CLICK TO WATCH : ‘RANI THERAPEUTICS’ 49 have over traditional subcutaneous

patient to be an ordinary pill, but inside

injections?

is a “mini auto-injector” that delivers

There are millions of people around the

the drug directly into the intestinal wall.

world living with chronic conditions that

Our robotic indigestible capsule has a

can only be treated with painful daily

special coating which gets it through

self-injections. Yet even when such

the acidic environment of the stom-

medicines are readily available, patient

ach. When it reaches the intestinal

compliance is very low. Patients don’t

wall, the RaniPill™ then transforms,

want to inject themselves and avoid the

revealing the mechanism inside. The

treatment even if it affects their health.

RaniPill™ aligns itself to inject a drug

Achieving oral delivery of biologics is

into the intestinal wall, where it is

considered the holy grail of drug deliv-

picked up quickly and circulated in the

ery, and we think we have come up with

bloodstream. The patient doesn’t feel

the solution with the RaniPill™ capsule.

anything because the intestines have

The RaniPill™ capsule appears to the

no sharp pain receptors. e uro pe .busi ne ssc hief. com

PEOPLE

While other organisations have followed our lead and are now pursuing similar concepts, Rani’s early start in the pursuit of a pill to replace painful injections has secured our position as a pioneer of robotic pills. We have conducted more than 100 preclinical studies proving that our technology works – and delivers the same amount of drug as a subcutaneous injection.

We have also begun testing in humans — specifically testing the safety and tolerability of the RaniPill™ capsule without the drug. Those studies were

50

successful, demonstrating that the RaniPill™ capsule deployed with no feeling or perception by the subjects and the remnants passed out of the body. We are moving towards human testing with the RaniPill™ capsule loaded with a drug (Octreotide, a drug used for the treatment of acromegaly) this year.

Given your experience as a leader of business units and enterprises, how do you ensure that you attract, utilise and retain top talent?

It is our intent to attract and retain innovative thinkers to help us build SEPTEMBER 2019

the future of biologic drug deliv-

talent regardless of a person’s age,

ery, and we believe our culture has

gender, or ethnicity.

helped us tremendously in that regard. I’m proud that today Rani’s

A criticism that’s often levelled at

workforce is more than 50% women,

pharmaceutical and tech companies

and that 20% are over 50 years old.

is that they’re increasingly driven by

Our employees are ethnically diverse

the business case as opposed to the

as well, drawn from more than 10

desire to innovate and improve peo-

countries. For me, building a well-

ple’s lives. How do you ensure that

rounded, holistically representative

Rani Therapeutics doesn’t lose sight

workforce means finding the best

of the goal of helping humanity?

E XE CU T I VE PRO FI LE 51

Mir Imran Mir Imran is the Chairman and CEO of Rani Therapeutics, an exciting company that has developed a unique approach for the oral delivery of large drug molecules including peptides, proteins, and antibodies. Imran is also the Chairman & CEO of InCube Labs, a life sciences R&D lab focused on developing and commercialising breakthrough medical innovations. Rani spun out of InCube in 2012. After attending medical school, Imran began his life as a healthcare entrepreneur in the late 1970s and has founded more than 20 life sciences companies since those early days, more than half of which have been acquired.

Imran’s passion is creating novel technologies that have the potential to positively impact the lives of millions of patients and has become one of the leading inventors and entrepreneurs in the field. Imran holds more than 500 issued and pending patents and is perhaps most wellknown for his pioneering contributions to the f irst FDA-approved Automatic Implantable Cardioverter Defibrillator (ICD). e uro pe .busi ne ssc hief. com

PEOPLE

“ We have a truly multidisciplinary team and that plays a critical role in understanding and framing problems, and ultimately devising solutions” — Mir Imran, Inventor, founder, and CEO of Rani Therapeutics 52

We believe the best business case —

reveal itself. Earlier in my career, I was

a sustainable business case – can only

quick to try to “solve” the problems.

be achieved when your products truly

I would spend time dreaming up the

improve people’s lives. Our single-

solution to a problem that I did not fully

minded focus is always trying to under-

understand. I soon learned that you

stand problems, faced by patients and

must take the time to understand and

to try to alleviate some of those prob-

appreciate the problem, look at it from

lems through innovation.

all angles, listen to other opinions, and

When it comes to building innova-

see what has been done before. If you

tive products, it is critical to start with

pursue solutions too quickly without

understanding the problem and do this

that complete understanding of the

from all facets. Once you truly under-

problem, you might miss the opportu-

stand the problem, the solution will

nity for a breakthrough.

SEPTEMBER 2019

What’s on the horizon for you, and for Rani Therapeutics? Where do you see your roadmap taking you in 2020 and beyond?

It’s an exciting time for Rani Therapeutics.

We’ve done hundreds of preclinical studies by delivering more than 1,000 capsules. We’ve tested nine drugs, including insulin, GLP-1 [for diabetes] and Humira [for arthritis] and we’ve demonstrated that the RaniPill™ capsule delivery is equivalent to subcutaneous injection. Later this year, we’ll be testing a drug called Octreotide which treats patients suffering from acromegaly, a condition resulting from the body’s pituitary gland producing an In the case of Rani, where we are

excessive amount of growth hormone.

working to improve the lives of millions

Next year, we’ll be testing several other

of people, I had to look at all of the ways

drugs in Phase 1 studies. We are getting

that previous approaches have failed

closer to bringing the RaniPill™ cap-

in order to come up with a radically dif-

sule to patients and improving the lives

ferent way to solve the problem. Rather

of millions. It’s an enormous challenge

than try to change the drug to make it

that keeps us focused and motivated

viable orally, which had been tried many

every day.

times before by other companies, I decided we needed to take a very different approach and instead change how the drug is delivered. Out of that concept, the RaniPill™ capsule was born. e uro pe .busi ne ssc hief. com

53

S U S TA I N A B I L I T Y

54

SEPTEMBER 2019

Chicago, USA

EXCITING SUSTAINABLE CITY INNOVATIONS AROUND THE WORLD Marga Hoek is a global thought-leader on sustainable business, international speaker and the author of The Trillion Dollar Shift, a new book revealing the business opportunities provided by the UN’s Sustainable Development Goals WRITTEN BY

MARGA HOEK

e uro pe .busi ne ssc hief. com

55

S U S TA I N A B I L I T Y

56

C

ities are at the heart of national

won in cities. Cities play a major role in

and global growth. In an

achieving Sustainable Development

increasingly urbanised world,

Goals (SDGs). They clearly play a

cities are both the source and the

role in SDG 11 – sustainable cities and

solution of many global problems.

communities – but cities also impact

Not only do urban areas account for

many other SDGs.

over half of the world’s population,

We have a long way to go and little

but they also generate around 80% of

time: cities are becoming more sus-

global Gross Domestic Product (GDP).

tainable yet to reach our goals, cities

Cities, however, are confronted and

much embrace more and also more

challenged to become inclusive, safe,

radical innovations. Those radical

sustainable and: smart. And because

innovations mean moving away

of its impact, one could say that the

from the conventional way of thinking

battle for sustainability will be lost or

and designing.

SEPTEMBER 2019

Cambridge, US

57

Zwolle. the Netherlands

ZWOLLE, THE NETHERLANDS Across the globe, we can encounter many inspiring examples of how to redesign our cities, simply by taking this other perspective. Let’s start in the country I was born, the Netherlands, and zoom into the small city of Zwolle.

Here, for instance, the plastic road was invented and created. A new modular bicycle path made from recycled plastics. It matches up to the equivalent of 218,000 plastic cups. So you cycle on

“ CITIES ARE BECOMING MORE SUSTAINABLE YET TO REACH OUR GOALS, CITIES MUST EMBRACE MORE, AND ALSO MORE RADICAL, INNOVATIONS” — Marga Hoek, Non Executive Director and author of The Trillion Dollar Shift

waste! The road has higher longevity than conventional surfaces, can withe uro pe .busi ne ssc hief. com

S U S TA I N A B I L I T Y

stand extreme temperatures and it can

ing waterless sanitation solution for

be applied to parking lots too. No virgin

those who lack access to conventional

materials are needed and we have lots

toilets. With a simple subscription to

of (plastic) waste we need to dispose of.

a pick-up plan, households receive a waterless, resource-separating toilet

LIMA, PERU

combined with a weekly service that

Hygiene and water are huge challenges

collects waste directly from the home.

in low-income cities, mostly in develop-

Imagine the impact on health in poor

ing countries. So let us move to Lima,

slums where people suffer tremen-

the capital of Peru. An interesting in-

dously from diseases due to lack of

novation, X-runner, brings an appeal-

water, sanitation and hygiene.

58

Mexico’s Torre de Especialidades Medicas SEPTEMBER 2019

CLICK TO WATCH : ‘CAMBRIDGE LEADS THE CHARGE FOR CLEAN ENERGY IN MASSACHUSETTS’ 59

MEXICO CITY, MEXICO Smog and air pollution is a huge problem in many cities like Mexico. The Torre de las Especialidades found a solution by creating a ‘smog-eating’ front for its hospital, absorbing the pollution from the air. The new hospital building in Mexico City is designed to transform air pollutants into harmless chemicals. The building has a facade made up of a new type of tile called “proSolve370e” which, according to its

“ DESIGNED TO TRANSFORM AIR POLLUTANTS INTO HARMLESS CHEMICALS” — Marga Hoek, Non Executive Director and author of The Trillion Dollar Shift

inventor Elegant Embellishments, can neutralise the chemicals produced by 8,750 cars every day. e uro pe .busi ne ssc hief. com

S U S TA I N A B I L I T Y

“ MODULAR SENSOR BOXES THAT WILL BE INSTALLED AROUND CHICAGO TO COLLECT REAL-TIME DATA ON THE CITY’S ENVIRONMENT” — Marga Hoek, Non Executive Director and author of The Trillion Dollar Shift

CAMBRIDGE, US 60

The city of the future will combine sustainable initiatives with the use of ICT and advanced technologies. Around the 1990s, as the digital revolution came up to speed, it was often assumed digitalisation would mean the death of cities but the opposite is the case. Smart, intelligent cities, that have sustainability at the heart of development, are considered to be a great place to live. Digital innovations can thrive, although they still have too little scale around the world. A great example is to be found in Cambridge, Massachusetts, which we can describe as an internet of pipes. A team of MIT researchers have developed a system SEPTEMBER 2019

Chicago’s Cloud Gate

to collect and analyse biochemical information from sewage water, which could be thought of as a ‘smart sewage platform’. The project is called Underworlds and it is being tested at this time.

CHICAGO, US The line of thinking about smart, sustainable cities is to use everything there is in a city in a smart and multifunctional way. This also implies to ‘simples poles’. The Array of Things (AoT) is an urban sensing project, a network of interactive, modular sensor boxes that will be installed around Chicago to collect real-time data on the city’s environment, infrastructure, and activity for research and public use. AoT will be measuring factors that impact liveability in Chicago such as climate, air quality and noise.

Everywhere around the world we can find pertinent examples like these.

Since the world by now has become a global village; we can share all these examples and the knowledge behind them to transform cities into the best sustainable, smart cities they can be.

e uro pe .busi ne ssc hief. com

61

CITY FOCUS

RIG City Focus

62

Riga, the capital city of Latvia, is home to businesses and green spaces alike, offering its residents both culture and a Baltic tech hub WRITTEN BY

SEPTEMBER 2019

SOPHIE CHAPMAN

GA

63

e uro pe .busi ne ssc hief. com

CITY FOCUS | RIGA

A

s the largest city in the Baltic region, Riga has a population of 632,600 people. Offering a combination

of historic architecture and modernisation, the Latvian capital sits on the Gulf of Riga – the mouth of the Daugava River, which travels through Latvia, Belarus and Russia. One of Europe’s longest routes spanning 5,320km between the UK and Russia, European route E 22, also runs through the city. 40% of the city is occupied by green spaces, with 85sq 64

km of green territories and 47.7sq km of blue territories, including 29 parks and nine lakes and ponds.

ART NOUVEAU The city’s architecture displays one of the most expensive collections of Art Nouveau in the world, spread across Riga’s grand boulevards. With buildings dating back to the 19th century, the city’s centre is protected by UNESCO as a World Heritage Site. “Riga was a major centre of the Hanseatic League, deriving its prosperity in the 13th–15th centuries from the trade with central and eastern Europe,” states UNESCO. “The urban fabric of its medieval centre reflects this prosperity, though most of the earliest buildings were SEPTEMBER 2019

65

‘ D espite the historic nature of Riga, the city features almost 1,000 wifi hotspots, enabling consistent access to the digital world’

e uro pe .busi ne ssc hief. com

CITY FOCUS | RIGA

‘TechHub Riga boasts success stories with companies such as CoBook, Infogram, Funderful and Nordigen’

destroyed by fire or war. Riga became an important economic centre in the 19th century, when the suburbs surrounding the medieval town were laid out.” Despite the historic nature of Riga, the city features almost 1,000 wifi hotspots, enabling consistent access to the digital world.

SKYLINE Located amongst the historic architecture are Latvia’s towering buildings.

Riga is not only home to some of the tallest structures in its nation, but it

66

SEPTEMBER 2019

CLICK TO WATCH : ‘TECHHUB RIGA’ 67

also ranks highly amongst the Baltics.

Radisson Blu Hotel Litvija also make

St Peter’s Church remains the tallest

up the city’s skyline.

building in the city – having been built in 1690, the church stands at 123.25m

TECHHUB RIGA

high. The church is the third largest

The global tech entrepreneur and start-

building in the Baltics, immediately

up community, TechHub, has launched

followed by Riga’s Z-Towers. The

operations in the city. The company

structure’s south tower stands at 123m

has locations in London, Bucharest,

tall, with the north tower measuring

Swansea and Riga – opting to locate in

117m. The structure consists of 336

a nation that features in the top 10

apartments and 10,000sq m of office

countries in the world with the fastest

space. Swedbank’s central office,

internet speeds. Situated in the Skan-

Panorama Plaza, the Latvian Acad-

ste district of the city – which is fast

emy of Sciences building and the

becoming the most modernised region e uro pe .busi ne ssc hief. com

CITY FOCUS | RIGA

68

of Riga – the hub offers support to the

workspace and opportunities at

community, networking opportunities,

any TechHub location worldwide,”

tailored programmes, flexible work-

the hub claims.

spaces and global access. The hub boasts success stories with compa-

INFOGRAM

nies such as CoBook, Infogram,

The award-winning infographics plat-

Funderful and Nordigen. “All TechHub

form was founded by Uldis Leiterts,

memberships are global, giving you

Raimonds Kaze and Alise Semjonova,

fast and easy access to investors,

and is headquartered Vecrīga, Riga’s

specialists, support programmes,

historical centre. The company has

SEPTEMBER 2019

633,820 Total population of Riga

1.4mn

Amount of visitors Riga received in 2016

1918

Riga becomes capital of independent Latvia

gained 4million users since it was

ranked as the number one Info-

established in 2012, with the charts,

graphic Tool by Forbes. “We first

reports and infographics created

looked at Infogram to replace an

by the technology having reached

existing supplier,” stated Matt Martel,

1.5billion views. In 2017, the business

Executive Editor of Presentation and

was acquired by the presentation

Photography at Fairfax Media. “First

software firm, Prezi. The platform

we spinned an open source solution,

is used by companies such as

but that didn’t work for our needs.

LinkedIn, TomTom, JLL, Skyscanner

I don’t want to have three to four

and Fairfax Media, and has been

developers creating and maintaining e uro pe .busi ne ssc hief. com

69

CITY FOCUS | RIGA

“ Riga in 2030 will be an internationally recognisable Northern European metropolis” 70

The Investment and Development Agency of Latvia

SEPTEMBER 2019

internationally recognised Masters of Business Administration degree”, it claims. “The school has a solid reputation and more than 1015 MBA graduates, the majority of who occupy leading managerial positions both in Latvia and abroad.”

RIGA 2030 Riga is occupied by a third of Latvia’s entire population, and a tenth of the combined inhabitants of the three Baltic nations. Headquarters to firms such as airBaltic, the Bank of Latvia and Just5, Riga offers its occupants both business and culture. “Riga in 2030 a system when I can have an off-the-

will be an internationally recognisable

shelf product that perfectly meets

Northern European metropolis,”

our needs.”

according to the Investment and Development Agency of Latvia (LIAA).

RIGA BUSINESS SCHOOL

LIAA claims that by 2030, the city will

The Riga Business School (RBS) was

have improved quality of life, an inno-

established in 1991 as part of Riga

vative economy and smart and

Technical University. RBS was intro-

efficient resources, all under a modern

duced in cooperation with the State

governance. The city has launched the

University of New York at Buffalo, US,

‘Sustainable Development Strategy of

and the University of Ottawa, Canada.

Riga until 2030’ in order to achieve

The school was the first to offer Master

these goals.

of Business Administration programs in English, “granting its graduates an e uro pe .busi ne ssc hief. com

71

T O P 10

72

SEPTEMBER 2019

Sustainable companies Business Chief counts down the top 10 sustainable companies, according to Corporate Knights’ ranking of companies which generate more than $1bn in annual revenue WRITTEN BY

WILLIAM SMITH

e uro pe .busi ne ssc hief. com

73

T O P 10

74

10

Novartis AG 75.19%

With 2018 revenues of $51.9bn and more than 125,000 employees, Novartis is by both measures one of the largest on this list. 18th on the global list with a score of 75.19%, the company has emphasised its focus on environmental sustainability, expanding access to healthcare and disclosing its sustainability practices through reporting.

SEPTEMBER 2019

75

09

ERG S.p.A 75.39%

Edoardo Raffinerie Garrone or ERG is an Italian energy company.

With a 2017 revenue of $1.19bn, the company is one of the smaller on the list with 714 employees. Its score of 75.39% puts it at 16th worldwide on Corporate Knights’ list. Its commitments towards the UN’s Sustainable Development Goals (SDGs) are focused around the development of renewable sources of energy such as solar, environmental responsibilities and supplier screening.

e uro pe .busi ne ssc hief. com

THE DIGITAL PROCUREMENT EVENT OF THE YEAR.

300

20

Startups

40

Attendees

Speakers

2

1

Days

Hackathon

77

08

Outotec Oyj 76.53%

Industrial technology manufacturer Outotec serves customers in the mining, metal, energy and chemical industries. Based in Espoo, Finland, the company said its 2017 revenue was some $1.28bn, while in the same year it employed 4,146 people. 12th on the ranking with 76.53%, Outotec said it had expanded beyond its traditional competencies in minerals and metals to develop renewable energy, water management and recycling applications.

e uro pe .busi ne ssc hief. com

T O P 10

78

07

Pearson PLC 76.91%

British education and publishing company Pearson is the world’s largest education company, with a 2018 revenue of $5.2bn. The company’s 2020 Sustainability Plan sees it contribute to the UN’s Sustainable Development Goals and focus on improving accessibility, emparting sustainable skills and respecting the communities and environments in which it operates. It achieved a score of 76.91%, putting it 11th worldwide on Corporate Knights’ list.

SEPTEMBER 2019

79

06

Umicore 79.05%

Belgian materials company Umicore scored 79.05% on the metric.

Having originated as a mining company, Umicore now focuses on clean technologies. It employs 10,400 people and has a revenue of $3.7bn excluding metal. Umicore says its sustainability goals are based on ambitions to develop, produce and recycle materials in line with its slogan: “materials for a better life�. It placed 7th worldwide on the ranking.

e uro pe .busi ne ssc hief. com

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E z

In close cooperation As a family-owned IT solutions provider founded on craftsmanship, we work in close cooperation with our customers.

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81

05

GlaxoSmithKline plc 79.41%

London based pharmaceutical company GlaxoSmithKline comes in fifth, with a score of 79.41%. It is known for both its drugs as well as its consumer products such as Horlicks and Nicorette. It reported its 2018 revenue as $39.83bn, and said it employed 98,462 people in 2017. In September 2018, the company announced a set of commitments around corporate social responsibility, aligning itself with the UN Sustainable Development Goal of promoting Good Health & Wellbeing.

e uro pe .busi ne ssc hief. com

T O P 10

82

04

Ørsted 80.13%

Ørsted is Denmark’s largest energy company. With a total score of 80.13%, its revenue in 2018 was $11.55bn and it employed 6,080 people. Its CEO, Henrik Poulsen, has said “to slow down climate change, we must transform society with CO2 neutral solutions”.

Accordingly, it has made a commitment to fully phase out coal by 2023, and has a focus on green energy such as offshore wind to replace it as an energy source. The company’s resolve was further demonstrated by its 2016 name change, which saw it divest itself of former name DONG Energy (Danish Oil and Natural Gas).

SEPTEMBER 2019

83

03

Neste Corporation 80.92%

Neste is a Finnish oil refining company. While the presence of an oil refining company on a sustainability list may at first seem a surprise, Neste says that it wants to challenge the oil refining industry by offering clean fuel solutions and applications with renewable materials. This effort is reflected in its score of 80.92%. Its 2018 revenue was $16.73bn, and it employed an average of 5,468 people.

e uro pe .busi ne ssc hief. com

T O P 10

02

Kering SA 81.55%

The Paris based luxury goods company Kering is second on our list with a score of 81.55%. Owner of brands such as Gucci, Yves Saint Laurent and Balenciaga, the company

84

reported its 2018 revenue as $15.3bn, and said that it employed on average 30,595 people. One factor propelling it up the list was the high percentage of women on its board – 64%, the highest of all companies examined

by Corporate Knights.

SEPTEMBER 2019

85

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T O P 10

01

Chr. Hansen Holding 82.99%

With an overall score of 82.99%, the title of most sustainable company in both Europe and the world goes to Danish bioscience company Chr. Hansen. The result is even more 86

impressive considering the company’s founding in 1874, making it almost 150 years old. Its focus is the production of cultures, enzymes and natural colourings for the food industry. In 2017-18 the company employed 3,150 people on average with a revenue of $1.2bn. It describes its purpose as delivering solutions in food, health and productivity to address global challenges.

SEPTEMBER 2019

87

e uro pe .busi ne ssc hief. com

88

ALLEGIS GLOBAL SOLUTIONS CONTINUES TO BUILD STRONG RELATIONSHIPS THROUGHOUT ITS SUPPLY CHAIN

WRITTEN BY

SOPHIE CHAPMAN PRODUCED BY

CHARLOTTE CLARKE

SEPTEMBER 2019

89

e uro pe .busi ne ssc hief. com

ALLEGIS

Allegis Global Solutions’ Supply Chain Manager for EMEA, Amy Fitzwarine-Smith, discusses how the company is maintaining trust with suppliers and staff

A

llegis Global Solutions (AGS) is a global leader in the talent solutions industry, providing client-focused strategies

for securing top talent. “We employ a variety of recruitment methods, including managed service provider (MSP) solutions, recruitment process outsourcing (RPO) solutions and procurement 90

solutions. My role is centred around the MSP area of the business within supply chain”, says Amy Fitzwarine-Smith, Supply Chain Manager of the EMEA region at AGS. “The supply chain team are responsible for ensuring we have the right programme delivery suppliers supporting each of our accounts and that they’re getting the same experience from AGS as a partner”.

The company regards open communication, relationships, serving others and commitment to excellence as its core values, interlacing these standards into all of its operations. “One of the most important values for me is building relationships with all parties with whom we work.

The respectful and trusting partnerships we have with our suppliers are the key to our business success,” remarks Fitzwarine-Smith. Having SEPTEMBER 2019

91

“ AGS has a huge focus on technology.

We understand that investment in technology is what is setting companies apart in the industry” — Amy Fitzwarine-Smith, Supply Chain Manager, EMEA, Allegis Global Solutions

e uro pe .busi ne ssc hief. com

ALLEGIS

“ One of the most important values for me is building relationships, with all parties with whom we work” 92

— Amy Fitzwarine-Smith, Supply Chain Manager, EMEA, Allegis Global Solutions

previously worked on the operations side of MSP, Fitzwarine-Smith highlights how crucial these relationships are to all aspects of delivery to AGS’ clients.

“My experience working with a specific client account made me realise just how important suppliers and the supply chain function are to a company.

I became really passionate about getting it right, putting more processes in place to ensure consistency and good communication and getting the team in a better position for us to deliver a great service, not only to the clients but to our supply chain as well.”

Reaffirming strong relationships as fundamental to the company’s legacy, Fitzwarine-Smith reveals that coopera-

SEPTEMBER 2019

CLICK TO WATCH : ‘WORKING AT ALLEGIS GLOBAL SOLUTIONS’ 93 tion is a required trait from suppliers.

Over the past several years, AGS

“We ask all of our agencies to work

has invested in a proprietary business

together with us regarding all aspects

intelligence platform to capture data

of the end-to-end process so that both

from its vendor management tools.

parties are still getting their desired

AGS has branded the platform as

outcome whilst giving the client the

ACUMEN Workforce Intelligence,

most efficient and effective experience

which displays and monitors key

working with us”. AGS wants to establish

performance indicators across the

a mutually beneficial dynamic with

entire AGS ecosystem of suppliers,

suppliers – it wants agencies to feel

clients and the firm’s internal teams.

comfortable asking for information

This system collects and combines

about the business whilst also using

data from a range of vendor manage-

their strong supply chain to learn

ment tools, enabling the firm to

more about the market and potential

heighten its visibility of suppliers.

upcoming challenges or opportunities.

“We have the data from the MSP e uro pe .busi ne ssc hief. com

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Contact us

accounts we hold globally and are able

benefits. “As strategic suppliers, they

to filter that down to specific categories,

have access to the Strategic Supplier

such as location, industry and skill set.

Portal and recently released Supplier

AGS has a huge focus on technology.

Scorecards. This access gives them

We understand that investment in

visibility to all the accounts that they

technology is what is setting compa-

support. The strategic suppliers have

nies apart in the industry. It’s enabling

access to key statistics, which allow

us to remove administrative tasks and

them to benchmark their performance

make our operations more efficient,”

in comparison to their competitors

says Fitzwarine-Smith.

within a particular program,” she adds.

The company runs a strategic supplier

“We’re being completely transparent

programme which recognises the top

with them and using this to motivate

1% of its global suppliers, offering full

improved performances whilst

access to ACUMEN as one of the

maintaining the quality of candidates.

E XE CU T I VE PRO FI LE

Amy Fitzwarine-Smith Amy took the role of Supply Chain Manager for EMEA in April 2019, following seven years of experience working in MSP operations, two of which were at AGS. During that time, Fitzwarine-Smith managed recruitment in challenging locations, including Azerbaijan and Iraq.

Working with agencies in these countries sparked her passion for building strong relationships and ensuring that AGS gives them the same experience given to our UK partners. Fitzwarine-Smith also leads the MySelf EMEA employee resource group, which provides colleagues with guidance and support in looking after their mental health in and out of the workplace.

e uro pe .busi ne ssc hief. com

95

ALLEGIS

£12.3bn+ Approximate revenue

2001

Year founded

3,100

Approximate number of employees

This effort has been very well received

with the best suppliers for our clients,

by our partners.”

and I think by putting visibility on our

Another benefit to being part of

strategic suppliers it helps us to

the Strategic Supplier Program is

achieve that goal,” notes Fitzwarine-

an invitation to AGS’ annual regional

Smith.

summit, which brings together profes-

Although AGS is dedicated to its

sionals from the business to discuss

relationships with outside partners,

the market and opportunities that are

the organisation ultimately considers

important to the attendees. “Some

its people to be its biggest asset.

of the feedback we’ve had from our

In order to ensure its staff are highly

strategic partners is that this is some-

engaged with the company, AGS has

thing quite unique to AGS and proves

launched employee resource groups

to them how much we value their

(ERGs), which allow people to suggest

partnership. We want to be working

ideas that they feel will provide extra

SEPTEMBER 2019

“We know that if we don’t invest in and show our people that we are growing with the industry and that we really care about them, then our company wouldn’t be anywhere near as successful as it is” — Amy Fitzwarine-Smith, Supply Chain Manager, EMEA, Allegis Global Solutions support to them and their peers.

success – both with suppliers and its

“I think our ERGs prove how we feel

own staff. “We know that if we don’t

about our employees – they demon-

invest in and show our people that

strate how much time and willingness

we are growing with the industry and

we put in to make sure they feel they

that we really care about them, then

are part of the group and the society

our company wouldn’t be anywhere

beyond their usual work team,”

near as successful as it is,” says

Fitzwarine-Smith says. The firm also

Fitzwarine-Smith. “We ensure that

offers its employees access to an

we take the time to really look after

online learning platform called

our team members and our industry

Degreed. This system provides online

colleagues.” As it continues to strength-

articles supplied by the learning and

en its reputation and relationships

development team. “It’s a self-learning

within the industry, the firm is also

tool that can help staff develop their

seizing opportunities in terms of

soft skills and grow their knowledge

technology, innovation and transforma-

around all parts of the business,”

tion – enabling it to grow its supply

she explains.

chain and team.

For AGS, building and maintaining strong relationships is vital to its e uro pe .busi ne ssc hief. com

97

98

WRITTEN BY

WILLIAM SMITH

PRODUCED BY

JUSTIN BRAND

SEPTEMBER 2019

99

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A S A H I E U R O P E LT D

IAN BRENTON, HEAD OF PROCUREMENT AT ASAHI EUROPE, DETAILS PROCUREMENT’S ROLE IN REINFORCING THE PREMIUMISATION OF ASAHI’S BRANDS

100

J

apanese beverage company Asahi is internationally known for products such as its eponymous Super Dry lager. More

recently, it has acquired several European brands such as Peroni and Grolsch under its Asahi Europe subsidiary. Asahi Europe was indirectly formed following the acquisition of SABMiller by AB InBev, with one of the conditions being to divest part of its European business. Ian Brenton is Head of Procurement at Asahi Europe, having formerly been at SABMiller. “I was responsible for a number of the packaging categories globally. When Asahi acquired the Western European Business Unit from SABMiller they needed a procurement team. They kindly offered me the opportunity to move from running a packaging specific agenda to managing the entire procurement agenda. As such, we’re a team of 23 people, working from the UK, Italy, Holland and Switzerland.”

SEPTEMBER 2019

101

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A S A H I E U R O P E LT D

102

Brenton’s procurement department has been key to supporting the growth aims of Asahi Europe’s purchases. “Asahi bought the businesses because it wanted a footprint with global premium brands” says Brenton. “The procurement function’s primary aim is to support the growth of the business through competitive, predictable costs, improved working capital, assured supply and suppliersourced innovation, all generated in an environmentally and socially sustainable manner.” As part of that SEPTEMBER 2019

CLICK TO WATCH : ‘ASAHI EUROPE CORPORATE VIDEO’ 103

journey, the company acquired the

that used to focus solely on Indirect

beverage, brewing and distribution

Procurement and very quickly intro-

business of Fuller, Smith & Turner

duce some experience in procure-

PLC in 2019, which brought its own

ment of brewing and packaging.”

challenges in terms of procurement.

A number of partnerships have

“In the UK we used to be a predomi-

been crucial to maintaining and

nantly import-focused business. We

accelerating that level of growth.

had little manufacturing of scale,

Aside from gleaning market informa-

but almost overnight we acquired

tion from a valuable source of trusted

half a million hectoliters worth of

suppliers, Asahi Europe has also

manufacturing in three different

partnered with procurement intel-

production locations – in London,

ligence firm Beroe. “We retained a

Cornwall and West Sussex. We’ve

strong relationship with Beroe after

had to take a procurement team

working with them previously. From e uro pe .busi ne ssc hief. com

a market intelligence standpoint,

our primary aim, significantly increas-

Beroe offers a great deal. Whether

ing our hop yields and developing

we need it for budgeting or sourc-

innovative downstream products

ing activities, they give really good

for use in our premium portfolio .

insight that we’ve found very benefi-

One of the key tasks procurement

cial.” Other partnerships have come

fulfils is in providing packaging, to

into play across the company. “On

contain products as well as empha-

the agricultural side of the business,

sising their premium nature. “Part of

staying close to our farmers and

the challenge is ensuring that we can

cooperatives is really important to

readily respond to business requests

us. These relationships have led to

overcoming the specific challenges

the development of proprietary maize.

unique to each packaging type.

Similarly, by working with agricultural

Primary packaging, in most cases,

development companies we have met

is quite a capital intensive business

SEPTEMBER 2019

“PROCUREMENT ENABLES THE CONTINUED GROWTH OF THE BUSINESS THROUGH COMPETITIVE, PREDICTABLE COSTS, IMPROVED WORKING CAPITAL, ASSURED SUPPLY AND SUPPLIER-SOURCED INNOVATION, ALL GENERATED IN AN ENVIRONMENTALLY & SOCIALLY SUSTAINABLE MANNER” — Ian Brenton, Head of Procurement, Asahi Europe

105

E XE CU T I VE PRO FI LE

Ian Brenton, Asahi Europe Ian joined Asahi Europe on it’s very first day on Wednesday 11 October 2016 as Head of Procurement, based in Switzerland. He previously worked at SABMiller and before that PepsiCo, in roles spanning manufacturing, change management and procurement.

Outside of work, a keen cyclist & climber, he is well on his way to becoming a Munro ‘compleater’ with 18 peaks left to climb of the total 284. Ian anticipates that by the time he reaches his final summit, it will have taken 20 years of dedication.

e uro pe .busi ne ssc hief. com

A S A H I E U R O P E LT D

106

SEPTEMBER 2019

2016

Year founded

â‚Ź2bn

Approximate revenue

2,000+

Approximate number of employees

e uro pe .busi ne ssc hief. com

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A S A H I E U R O P E LT D

“WHEN WE WORK WITH SUPPLIERS WE DELIBERATELY LOOK FOR PROGRAMMES WHICH WILL HELP TO REDUCE OUR CO2 FOOTPRINT, IMPROVE RECYCLING RATES, REDUCE WASTAGE, INCREASE RECYCLED CONTENT AND AID OUR TRANSITION TO GREENER ENERGY” 108

— Ian Brenton, Head of Procurement, Asahi Europe – there’s quite a large capital investment before you bring on stream new capacity.” For cans, Asahi Europe partnered with a new entrant in the market. Their mutual relationship helped the upcoming company to establish itself, while Asahi gained a partner aligned with its strategy.

“Supporting growth in glass or aluminium, or stainless steel for kegs, are not quick decisions to implement,” says Brenton. “You have to plan for the long term, and we often see five year plus contracts. If it’s corrugated or cardboard, typically used for conSEPTEMBER 2019

CO MPAN Y FACT S

• Procurement team working out of the UK, Italy, Holland and Switzerland • Acquired the UK beverage, brewing and distribution business of Fuller, Smith & Turner PLC in 2019

sumer facing secondary packaging multi-packs, there are many suppliers and therefore more competition. This means that change can be implemented more quickly and contracts therefore tend to be a lot shorter.”

Field Sales Distribution Units (FSDUs), Point of Sale Materials (POSMs) and glassware are examples of how we interact with consumers in the off trade. To meet the glassware needs of a relaunched Asahi Super Dry and updated Peroni, it was crucial to find suppliers who could act as both glassmakers and decorators to produce a premium product, which the company duly e uro pe .busi ne ssc hief. com

109

A S A H I E U R O P E LT D

accomplished. For FSDUs, these are in-store display units and key opportunities to emphasise the premium nature of products. A tender for suppliers resulted in a 50% reduction in lead times as well as a move to higher quality printing, whilst paying significantly less than before. POSMs, meanwhile, were previously delivered by a number of different suppliers.

Following a tender, Asahi Europe has been able to consolidate orders for fewer shipments, streamlining the 110

process and having the knock-on effect of reducing the carbon footprint stemming from reducing its need to ship goods around the planet.

For Asahi, sustainability is always a consideration in the process of procurement. “From a sustainability standpoint, when we work with suppliers we deliberately look for programmes which will help to reduce our CO2 footprint, improve recycling rates, reduce wastage, increase recycled content and aid our transition to greener energy,” says Brenton.

For Brenton, Asahi Europe’s aim for the future is simple: “to become a premium beer powerhouse.”

SEPTEMBER 2019

“ALMOST OVERNIGHT WE ACQUIRED HALF A MILLION HECTOLITERS WORTH OF MANUFACTURING IN THE UK” — Ian Brenton, Head of Procurement, Asahi Europe

111

To achieve this target will require the contribution of every part of the business, but it is clear that procurement has an important role to play. From its packaging efforts supporting premiumisation to integrating its latest UK acquisition, the work of procurement means that Asahi Europe is indeed becoming a premium beer powerhouse.

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112

FROM OFFICE SUPPLIES GIANT TO LOGISTICS CHALLENGER WRITTEN BY

LAURA MULLAN PRODUCED BY

JUSTIN BRAND

SEPTEMBER 2019

113

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S TA P L E S

Kevin Lewis, Supply Chain Director at Staples UK, outlines how the office supply behemoth is proving to be a world-class contender in the logistics market

W

hen consumers think of Staples, they might recall the company’s famous office essentials. From its ink and toner to its

office furniture, the firm is renowned as a worldclass, multi-channel retailer. However, after selling off its retail business in the UK, Staples is pivoting towards a new market: the world of third-party logistics (3PL).

114

Kevin Lewis, Supply Chain Director at Staples UK, has helped to steer the firm’s supply chain transformation, consolidating its six warehouses across the UK and Ireland into one cutting-edge facility. “We’ve moved into a state-of-the-art distribution centre in Corby, Northamptonshire.

In retrospect, it was much larger than we needed and it pushed us to look at how we could better utilise this asset. Now, we have some large-scale brands that have closed their own warehouses and made use of ours as a shared-user facility.”

Winning business from traditional 3PL providers, Lewis contends that around 60% of the activity on the site now revolves around 3PL. “Our expertise has been focused on consolidated deliveries, consolidated invoices and the ability to mix our core product with actually almost any other product,” he adds.

SEPTEMBER 2019

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S TA P L E S

“ THERE ARE FEWER ABSENCES, MORE EFFICIENCY AND A LOWER TURNOVER OF PEOPLE BECAUSE WE’RE INVESTING IN OUR TEAM” 116

— Kevin Lewis, Supply Chain Director, Staples UK

The distribution facility is an impressive feat but perhaps the most exciting aspect of the facility is its ingenious use of technology and automation.

“About 70% of our operations are automated so we use Pick to Belt and Pick to Light solutions. On top of this, we also have implemented an order, storage and retrieval (OSR) system

by Kanpp” explains Lewis. “It was a £9mn investment just for the picking tower alone, but by using the full height of the building we can be much more efficient.” It also allows people to pick economically; adjustable platforms mean that people don’t have to reach or bend down to pick up items. Instead, they can pick from a height that’s comfortable for them. On top of this, Staples has also experimented with weighing technology that adds an additional layer of protection. “It’s an extra safety net,” observes Lewis.

“We know the weight and dimensions of every single product so if there is any weight deviation, we would be able to see that and alert the team.”

SEPTEMBER 2019

CLICK TO WATCH : ‘STAPLES SUPPLY CHAIN: A PARTNERSHIP OF EMPLOYEES AND TECHNOLOGY’ 117 With this state-of-the-art facility,

an investment in technology and

Staples is well equipped to tackle any

automation unless they can recoup

logistical challenge. It’s also worth

that investment within the lifetime

noting that in recent years the com-

of the contract,” he explains. “The

pany has closed many of its brick-and-

difference with Staples is that we have

mortar stores and pivoted towards

already made that investment. We want

ecommerce. This means it has first-hand

to make shared use of our assets and

experience of the challenges of

we can also offer competitive contracts.”

efulfilment. Furthermore, having

Indeed, Staples has already won

already made significant capital

over big-name clients like Adidas,

investments in automation, Lewis

and car servicing and repair company

contends that Staples can offer its

Kwik Fit. “If a Kwik Fit branch needs

clients more competitive contracts.

some brake cleaner or if an Adidas

“When you go to a traditional third-party

store wants to order some carrier bags,

provider, they’re not going to make

they can only get it from this warehouse,” e uro pe .busi ne ssc hief. com

S TA P L E S

“ WE WANT TO MAKE SHARED USE OF OUR ASSETS AND WE CAN ALSO OFFER COMPETITIVE CONTRACTS” — Kevin Lewis, Supply Chain Director, Staples UK

making complexity simple KNAPP is a leading global supplier of warehouse automation solutions, with over 1700 active systems worldwide.

The group’s advanced conveying, storage and fulfilment technologies are combined in solutions that feature seamless integration and intelligent software. Successful projects in the UK recently include systems for Staples, John Lewis, Boots, M&S, Clarks, British Gas, Debenhams and Well.

energy-efficient

shuttle storage

Visit us on stand

20 D128

KNAPP UK Ltd Unit 60, Monument Business Park Warpsgrove Lane, Chalgrove Oxfordshire OX44 7RW Tel: 01865 965 000 | sales.uk@knapp.com www.knapp.com

119

E XE CU T I VE PRO FI LE

Kevin Lewis An experienced, commercially driven supply chain professional with a successful background in online fulfilment, large-scale parcel operations and multi carrier management. Strategic approach to successful business leadership and delivery, engaging with key business stakeholders and third parties alike, delivering effective supply chain solutions through managing People, Technology, Relationships and Processes.

Extensive experience outsourcing, new site start up and muti-site consolidation both in the UK and internationally.

PRINCE2 qualified, with experience of introducing practices and processes tailored to business requirements that enable and facilitate the wider strategic goals of the organisation. e uro pe .busi ne ssc hief. com

“ Staples may have sold its retail business but we’re very much thriving in terms of e-commerce and third-party logistics” — Kevin Lewis, Supply Chain Director, Staples UK

70%

of operations are automated

1986

Year founded

bespoke, tailored solutions exclusively for Staples,” says Lewis. This strong sense of collaboration can also be seen within the company too.

By paying competitive, living wages rather than a minimum wage and investing in its team, Staples has worked hard to build a dynamic logistics business. “In the past,

10,000+

Approximate number of employees

we relied on agency workers and temporary labourers, whereas now it’s predominantly a permanently employed workforce,” says Lewis.

“There are fewer absences, more efficiency and a lower turnover of people

Lewis notes. “Elsewhere, our biggest third-party client is Saint-Gobain,

because we’re investing in our team.”

With this strategy in mind, Staples

which owns businesses such as glass

is ready to continue on its upward

companies and Graham heating and

trajectory, running more and more

plumbing. For this customer alone

supply chains on behalf of customers.

we have over 9,500 bespoke SKUs.”

“Staples may have sold its retail

Staples may be known for its retail

business in the UK, but we’re very

business but the firm is quickly making

much thriving in terms of e-commerce

waves in the logistics sphere. This

and third-party logistics,” affirms Lewis.

is partly thanks to its tech-savvy operations and global experience, but also its successful strategic partnerships. “We work with last-mile partners including TNT Fed Ex Group and Pallex. Both partnerships offer e uro pe .busi ne ssc hief. com

121

122

How Pentahotels is embracing digital transformation, CSR and the modern ‘bleisure’ traveller WRITTEN BY

HARRY MENEAR PRODUCED BY

LEWIS VAUGHAN

SEPTEMBER 2019

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P E N TA H O T E L S

Heiko Rieder, VP of Revenue Management and Reservations at Pentahotels, discusses digital transformation, CSR and the changing nature of the hospitality space

T 124

here are many things that make up a truly great hospitality experience: a sense of luxury, peacefulness, access to new and

exciting activities – ask someone why they enjoyed their stay or meal somewhere and you could get a different answer every time. From fluffy towels and exquisite room service to eye-catching art on the lobby walls, at the heart of each and every positive experience is, it could be argued, a sense of attentiveness to the needs of the guest. Identifying and providing what will genuinely delight a guest can be the difference between a lifelong customer and a damning TripAdvisor review. This obviously applies to the entire length and breadth of the customer experience, from the moment of booking to check out and beyond. Therefore, if the desires and habits of its customers change, a hotel needs to change with it.

SEPTEMBER 2019

125

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P E N TA H O T E L S

“ We’re monitoring a significant shift in behaviour driven by younger generations of business and leisure travellers” 126

— Heiko Rieder, VP, Revenue Management and Reservations, Pentahotels

A member of Rosewood Hotel Group, Pentahotels is a global brand of neighbourhood lifestyle hotels serving upper-mid market business and leisure travellers at 29 locations in eight countries on two continents. The brand prides itself on innovative organisational strategies that provide its guests with a comfortable, stylish experience in a laid-back atmosphere. The heart of each Pentahotel is the Pentalounge, a combination of lounge, bar, café and reception area designed to cultivate the lifestyle impression that the company believes is key to securing the loyalty of the ever-shifting preferences of travellers.

“We’re monitoring a significant shift in behaviour driven by younger generations of business and leisure travellers,” explains Heiko Rieder, Vice President of Revenue Management and Reservations at Pentahotels, noting that

SEPTEMBER 2019

CLICK TO WATCH : ‘WELCOME TO THE WORLD OF PENTA’ 127 Millennials and members of Genera-

of the company’s travel policy,” he says.

tion Z expect a greater degree of

“Also, it’s very important to them that,

flexibility in terms of business travel.

at the beginning or end of a business

We sat down with Rieder to explore

trip, they can add a night or two, which

the ways in which Pentahotels is

brings together the business and

harnessing innovative technologies,

leisure components of their trip.” The

embracing a new ideology centred

rise in “bleisure” travel is well docu-

around corporate social responsibility

mented: global technology company

and forging new collaborative partner-

Expedia found that, of the approxi-

ships with companies dedicated to

mately 400mn Americans that

digitally transforming the guest

travelled long-distance for business

experience in response to changing

in 2018, approximately 60% of them

demographics and customer priorities.

extended their trip by at least a day.

“We’re actually seeing talent choose their employer based on the flexibility

“We’re seeing more and more business travellers, who would previously have e uro pe .busi ne ssc hief. com

Elevating the

Guest Experience Wherever you find people expanding their horizons and embracing new experiences through travel, you’ll find Amadeus. In addition to supporting global air, rail, cruise and auto travel, our technology elevates the guest experience, drives loyalty, and increases profitability at more than 44,000 hotels and venues in 176 countries worldwide.

Amadeus solutions enrich every step of the guest journey to provide hoteliers with the technology, data, and insight needed to meet the expectations of not only today’s guests, but tomorrow’s as well. And with the acquisition of TravelClick, we support all segments of the hospitality market — from small independent properties to large multinational chains — with the marketing, distribution, and operations solutions needed to acquire, serve, and retain guests while optimizing revenue.

In partnership with our customers, we’re creating the next generation of hospitality technology.

Together, we’ll meet evolving guest expectations with more experiential travel, provide new ways to deliver more personalized and bespoke stays, and leverage rich data to establish lasting relationships with the right guest at the right time.

We’re shaping the future of travel, and we want you to join us.

Process more than

1.7m

bookings a day, or 20 per second

Helped customers increase mobile bookings by

155% in 2018

Find out more

For further information, visit amadeus-hospitality.com or speak to your Amadeus Account Manager today.

Distributing more than

3.5m

shopping options on the Amadeus Travel Platform

P E N TA H O T E L S

130

been gone by Friday, stay through

He created, developed and deployed

the weekend,” observes Rieder. “It’s

the concept for centralised commer-

a good business opportunity for us,

cial services at Pentahotels and, as the

and one we need to be properly

Vice President of Revenue Manage-

equipped for.” Sustainability and social

ment and Reservations, oversees

responsibility are also becoming key

a team of 35 employees that handles

decision-making factors in the minds

in excess of $120mn in bookings

of younger travellers.

annually and is at the heart of the

Rieder, who has worked for Pentaho-

company’s ongoing initiatives

tels since the opening of its first

to respond to changing customer

modernised location in Eisenach,

priorities and demographics.

Germany 12 years ago, has been

One of the major trends in the hotel

a fundamental part of the company’s

space (alongside almost every other

guest experience since the beginning.

space) that has emerged in recent years

SEPTEMBER 2019

is the increased emphasis that custom-

here and our president, Mr Eugène Staal,

ers place on sustainability. Last year, The

has changed the way we think and act

Shelton Group reported that, in the US

regarding CSR,” says Rieder. “He has

workforce, 79% of Millennials consider

fully incorporated CSR into our culture

a company’s social and environmental

and we believe that it’s something the

commitments when deciding where to

target group that visits our hotels feels

work, a statistic with clear implications for

is important. We have launched several

a hotel brand looking to attract guests.

very creative campaigns focusing on

Pentahotels has been actively pursuing

contributing to our hotels’ surrounding

a CSR-centric strategy for several years.

neighbourhoods and the environment

“We had a change of senior management

as a whole.”

E XE CU T I VE PRO FI LE

131

Heiko Rieder Heiko joined Pentahotels in its startup phase in 2007 as Revenue and Reservations Manager. His passion for performance measurement and data analysis supported the conceptual design and rapid deployment of a centralised model for revenue generation and reservations handling as it is the companies foundation to commercial success until today. Before joining Pentahotels the German national worked for several global and regional brands such as Hilton and Steigenberger in Europe and the US in the field of rooms divisions and revenue management. In today’s position as Vice President Revenue Management and Reservations Heiko steers the company’s commercial direction and oversees the disciplines E-commerce, Revenue Management, Reservations, Distribution and Business Intelligence. Heiko concluded a dual hotel management training with Accor and the Albrecht Dürer Schulen Düsseldorf. e uro pe .busi ne ssc hief. com

P E N TA H O T E L S

This year, Pentahotels has partnered with Cornish music and arts festival Boardmasters to organise a beach clean-up at four locations across the UK and Belgium: Felixstowe Beach in Ipswich, Crosby Beach near Liverpool, Fistral Beach (beside the festival grounds in Newquay) and Ostend Beach in Belgium. The program encourages the audience to join the cleanup crews and, even though the 2019 festival was cancelled due to a storm warning, 132

the cleanup went ahead as planned.

In 2018, prior to Christmas, Pentahotels also launched a campaign where social media engagement was used to rack up hours that were then donated to “support social work in our hotels and neighbourhoods,” explains Rieder. “Overall we accumulated more than 62 days’ worth of time to give back to our communities. There were teams raising funds to donate to children’s hospices, helping in shelters, refugee camps and animal rescues. The management team in Frankfurt went to deliver gifts to a refugee shelter on Christmas. It was an amazing experience to give SEPTEMBER 2019

back to our neighbourhoods together with all colleagues around the world.”

In addition to aligning itself with a sustainability-conscious public, Pentahotels is harnessing new technologies intended to both ensure that its guests have the sort of experience that creates a lifetime customer while increasing efficiency. “In the long run it’s about gaining time for our guests, of course, but in our industry we must never forget that the guest experience is crucial,” explains Rieder.

In order to increase flexibility and agility when dealing with changes in customer behavioural patterns and improve guest experience, Rieder is currently

“ We have launched several very creative campaigns focusing on contributing to our hotels’ surrounding neighborhoods and the environment as a whole” — Heiko Rieder, VP, Revenue Management and Reservations, Pentahotels

overseeing the development of a new partnership between Pentahotels and TravelClick.

A subsidiary of Amadeus Americas, Inc, TravelClick is a one-stop shop for digital solutions relating to the bookings and hotel space. “We went through a very long, selective RFP process of sourcing a technology partner that can provide, not just CRM technology, but technology that enables us to e uro pe .busi ne ssc hief. com

133

P E N TA H O T E L S

134

SEPTEMBER 2019

870,000+ pints of beer consumed per year in Pentahotels

2007

Year founded

1,155

Approximate number of employees from 32 different nationalities

e uro pe .busi ne ssc hief. com

135

P E N TA H O T E L S

136

“ In our industry we must never forget that the guest experience is crucial” — Heiko Rieder, VP, Revenue Management and Reservations, Pentahotels SEPTEMBER 2019

capture client information and also integrates with our booking engine,” Rieder explains.

“You can accomplish what we need with 30 different vendors that each provide a single piece of technology that you then have to figure out how to connect to the rest of the infrastructure, but with TravelClick, we found that all of what we need is already incorporated into their offering. It includes CRM functionality, allows us to capture data to store it – all according to GDPR law – and then also allows us to invite people to provide us with information and to sign up into our marketing program as part of the booking process.” The new software, which has been implemented in record time, will grant Pentahotels a level of integration and back end capability that Rieder sees as instrumental to achieving the company’s goals moving forward. “We’ve already doubled the number of people who are opting in to our marketing program, which is very important to us,” Rieder enthuses.

With this back end functionality in place, Rieder’s eyes are now set on harnessing technology to transform e uro pe .busi ne ssc hief. com

137

P E N TA H O T E L S

138

“ We want to engage with our customers less on a transactional level and more in terms of a qualitative interaction” — Heiko Rieder, VP, Revenue Management and Reservations, Pentahotels

the front end elements of customer experience. “We are very modernised on the back office side of things, but we feel that we need to further improve on the guest experience when it comes to digitalization. We’re very close to launching technology that facilitates the self-check-in/check-out process at one of our hotels” he explains. “We want to engage with our customers less on a transactional level and more in terms of a qualitative interaction. We believe that this is what

SEPTEMBER 2019

139

our customers want to experience.

Looking to the future, Pentahotels

They want to check in while they’re

will continue to focus on its customer

in the taxi on the way to the hotel,

facing and internal processes in order

have a digital key and want to walk

to provide the sort of responsive,

straight through to their room, without

lifestyle-based guest experience that

having to stop by the reception and

is the mark of great hospitality.

wait in line to check in.” Soon, the company will also enrich its ‘Pentafriends’ guest membership program with further benefits and a more digitalised experience, again designed to increase qualitative engagement with guests. e uro pe .busi ne ssc hief. com

140

NANDO’S: – N IO T A M O T U A BEYOND D IN H E B M A E T E H T Y G O L O N H C E T E TH WR ITT EN BY

SO PH IE CH AP M AN PR OD UC ED BY

CH AR LO TT E CL AR KE

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NANDO’S

AS NANDO’S ADOPTS NEW INNOVATIVE TECHNOLOGIES TO ENSURE ITS SUPPLY CHAIN OPERATIONS ARE NIMBLE IN LINE WITH ITS GROWTH, THE HEAD OF SUPPLY CHAIN ALSO HAS A STRONG FOCUS ON PEOPLE TO ENSURE THE TEAM IS UPSKILLED, ENGAGED AND ARE THE FOCAL POINT BEHIND AUTOMATION

N 142

ando’s was built on the solid foundations of family, integrity, pride, passion and courage. When Deon Pillay, Head of

Supply Chain – Nando’s Grocery International, joined the company in 2014, he was also introduced to the motto “Have fun and make money” – in that order. In 2016, Pillay become Nando’s Head of Supply Chain, and has always endeavoured to ensure this motto is included in everything he does, and is passed on to his team and to business partners.

“My role has evolved over the time I have been at Nando’s – it has been the most exciting evolution I have ever experienced. I started in the role of Logistics Manager, handling export shipments out of South Africa with one person in my team.

Today, in my role, I look after the wider supply chain which is strongly focused on four primary and overarching areas: Global Production,

SEPTEMBER 2019

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NANDO’S

New Product Development, Operations & Integrated Business Planning,

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“ THE SUPPLY CHAIN AND PROCUREMENT ROLES HAVE BEEN EDGING CLOSER AND CLOSER TO CENTRE STAGE – MOVING CLOSER TO TAKING THEIR RIGHTFUL PL ACE ON THE BUSINESS PODIUM” — Deon Pillay, Head of Supply Chain, Nando’s

and Product Integrity.” Despite being only nine members strong, the grocery supply chain team manages a huge portfolio of products and activities that it is incredibly proud of. “I am often guilty of making some ridiculous asks of my team and pushing them well beyond their perceived limits. Fortunately, (I believe) this has helped grow them even more than just playing safe in any comfort zone would,” adds Pillay.

As supply chain and procurement operations gain momentum across a range of industries globally, no longer being viewed as back-office functions, their role at Nando’s is changing too.

“The supply chain and procurement roles have been edging closer and closer to centre stage – moving closer to taking their rightful place on the mainstream business podium.

We are continuing to integrate across all functions to bring business equilibrium to an ever-turbulent commercial world,” he says. Pillay is still concerned that supply chain does not always receive the appropriate recognition it deserves:

SEPTEMBER 2019

CLICK TO WATCH : ‘WHITEBOARD ANIMATION: THE NANDO’S SUPPLY CHAIN STORY’ 145 “We are fortunate that at Nando’s the

“Even as a young, small team

supply chain is seen as a critical cog

we have achieved so much,” Pillay

in the company’s well-oiled machine.

notes. “The team has managed

When I joined, supply chain – or rather

to be so nimble to adapt and react

logistics – was viewed as a peripheral

to changes in our ecosystem, both

and basic function that got containers

macro and micro. We have moved

out the door. It was a functional depart-

entire production capabilities and

ment tasked with handling order adminis-

expertise across continents, we have

tration,” he adds. Since then the business

researched, developed and imple-

has seen steady growth and the supply

mented new packaging substrates

chain operations have transitioned to

and formats at break-neck speeds

a key business discipline consisting

without compromising quality whilst

of order administration and customer

staying current and abreast of

supply, logistics, packaging development,

regulations and the happenings

regulatory, compliance and food integrity.

in the industry.” e uro pe .busi ne ssc hief. com

By using digital as a catalyst to handle growth, Nando’s is able to achieve more without being resource-heavy, as well as becoming more time efficient.

TION “ DIGITAL TRANSFORMA RA WILL HERALD A NEW E FOR US – WITH THE E BUSINESS GROWTH W HAVE EXPERIENCED IT WOULD BE COUNTERLY PRODUCTIVE TO MERE THROW BODIES AT THE ” INCREASE IN ACTIVITY — Deon Pillay, Head of Supply Chain, Nando’s

“It allows the team to free up their time spent doing the mundane activities and focus on the value adding actions,” Pillay notes. “This has been particularly refreshing for our supply chain – so much so that we were able to extract superfluous costs out of our value chain and bring immense, sustainable value to our processes and continue to deliver these cost-saving efficiencies to the business.

“I quite often say to my team that technology is not the future, but

With supply chain having significant

technology is now,” enthuses Pillay.

touch points to every part of the business

Nando’s endeavours to be a strong

and fully integrating into all Nando’s

player in the fields of Internet of Things

functions, the department is firmly on

(IoT), Robotic Process Automation

its way through its digital transforma-

(RPA) and Blockchain. Crucial to

tion journey. “Digital transformation

transparency and efficiency, these

will herald a new era for us – with the

technologies have caught the attention

business growth we have experienced

of the firm. But it is also important for

it would be counter-productive to

Nando’s that these initiatives are fit

merely throw bodies at the increase

for purpose for their business. The

in activity. We commenced our technol-

company is looking to introduce RPA

ogy journey a year and a half ago and

to reduce the time associated with

it has already yielded benefits.”

repetitive tasks – Nando’s made e uro pe .busi ne ssc hief. com

147

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previous attempts to integrate electronic data interchange (EDI) services to tackle these issues, but found RPA more adaptable and impactful with a quicker implementation timeline. “With more focus on creating transparency in the supply chain, I firmly believe every professional in the sector will need to step up to technology or get left behind. Once you see it in action you get inspired as to how supply chain digitalisation is such a real and relatively easy win for any company,” he adds.

“ WITH MORE FOCUS ON CREATING TRANSPARE NCY IN SUPPLY CHAIN, I FIRMLY BELIEVE EVE RY PROFESSIONAL IN THE SECTOR WILL NEED TO STEP UP TO TECHNOLO GY OR GET LEFT BEHIND” — Deon Pillay, Head of Supply Chain, Nando’s

In December 2016, Nando’s transitioned to a new enterprise resource planning (ERP). “Our new ERP added the next layer of value to our business by providing easy access to information and allowing the team to plan and perform better. We are at the stage now where we are engaging with our partners to unlock their next level of value by developing the current workspaces or opening up new ones,” says Pillay. He remarks upon the resilience of his team for dealing with any changes introduced to their operations: “They have an incomparable drive, discipline and enquiring mind e uro pe .busi ne ssc hief. com

149

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150

which compliments my management

to streamline operations. “The team

style. The team have embraced all

took on more commercially functional

the changes and take continuous

roles which played an important part

improvement firmly in their stride.

in reprioritisation as well as shifting

“To adapt a Nando’s adage that

the focus to a more strategic mindset

‘it is the people behind the chicken’,

and way of thinking,” explains Pillay.

I firmly believe it is the team behind

Following the change, more focus

the processes, and more recently

was placed on planning, action-oriented

behind the technology. Technology

meetings and partner engagement.

is only as good as the team that are

“The people part is what most compa-

firmly rooted behind it and that support

nies neglect or omit, which leads

it. The supply chain team at Nando’s

to inappropriate processes that do

recently took a decision to reengineer

not support the technology in place.”

it’s supply chain portfolios in order SEPTEMBER 2019

As well as its focus on technology

as a driver to handle growth, Nando’s

the talk on this purpose and has

recognises the importance of sustain-

already delivered on several initiatives

ability. Pillay remarks that the team is

to prove it. “The humbling part

dedicated to ensuring a decrease in

of Nando’s purpose for me is that

carbon emissions and the incorpora-

Nando’s chooses not to publicise

tion of recyclability and recycled

these initiatives, which shows genuine

materials. Currently, Nando’s retail

heart to live the purpose.”

products’ packaging is 99.3%

Pillay has also undertaken his own,

recyclable, with the goal to raise the

personal project. With his passion for

figure to 100% well underway. Nando’s

his job so apparent, he wants to encour-

has also adopted ‘Changing Lives…

age younger generations to join the

Together’ as its company-wide purpose

industry: “I want to make supply chain

statement. The business really walks

a profession of choice for school 151

E XE CU T I VE PRO FI LE

Deon Pillay Deon is the Head of Supply Chain at Nando’s. A very experienced, dynamic leader, he is able to engage and develop highly motivated teams to achieve sustained company growth and profitability. An energetic visionary with a proven history of delivering excellence across the enterprise, Pillay as regarded as a consummate professional by his peers for consistently exceeding expectations in supply chain for more than 20 years, spanning from senior strategic roles in the FMCG, Electronics, Telecommunications, Paper & Pulp, Food & Beverage and Management Consulting. Innovation and ‘disruption’ in problem solving is his driving force, but developing leaders is his true passion. e uro pe .busi ne ssc hief. com

NANDO’S

152

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153

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leavers. Many people merely wash up on the shores of supply chain, but I want to make sure school leavers buy a ticket to board the supply chain luxury cruise. I want them to under-

“ DEON, FOR ME PERSONALLY, HAS ALWAYS BEEN NIST A FANTASTIC SOLUTIO GUY…THERE ARE NO PROBLEMS, ONLY SOLUTIONS…WE CAN !!

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MAKE THINGS HAPPEN BEING PART OF THE SOLUTION, NOT THE PROBLEM! LOVE HIM!!”

— Robbie Brozin, Founder of Nandos

stand from the beginning what they are subscribing to, and more importantly be excited to get on board when they learn how magnanimous supply chain can be. The supply chain professional has just as much, if not more, commercial leverage within business than any other C-suite executive. The personal project I have embarked on will see complete integration of the supply chain fraternity, making talent enrichment a priority for business through a collaborative network of professionals. I’m very excited about this.”

As the proliferation of technology adoption in the supply chain sector continues, Nando’s is keen to be a key player. In food supply chains, digitalising is an absolute must to enhance the way activities are processed and executed. Getting partner buy-in is not always easy, but is always a real bonus. “Our partner companies have their own strategy on where to take their automation, but we have been e uro pe .busi ne ssc hief. com

155

NANDO’S

fortunate to partner with companies who understand our needs as well, even though they themselves may not be ready for it in their own businesses,” Pillay explains. “In some cases, we have had our partners learn from us and implement our processes into their business; we have supported and assisted them in doing this as part of our partner engagement and development programme.

“Forming relationships and connections between partners through digital 156

platforms is high up on our agenda.

Supply chain technologies are evolving at a rapid rate and the important thing is to think of the big picture, start relatively small but try and scale up as quickly as possible. Integrated platforms allow for real time-data sharing and live updates. If you are not working towards building relationships in digital space, your reaction time to new information will slowly but surely take longer than your competitors who are becoming increasingly focused on this. Again, I cannot emphasis enough that people are more important that the technology you implement.”

SEPTEMBER 2019

157

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“The future is bright for the business, but we will have to face the usual industry challenges with the added complexity

“ NEVER LET THE FEAR OF STRIKING OUT PREVENT YOU FROM STEPPING UP TO THE PL ATE” — Deon Pillay, Head of Supply Chain, Nando’s

of our involvement in over 30 countries.

Product integrity, which is a Nando’s supply chain responsibility, continues to be firmly under our watchful eye – we want the best product with the best ingredients. We always want the best for our consumers. To achieve this, it is important we have transparency and traceability from farm to fork.” Whilst upgrading its digital offerings to ensure these challenges are met, Nando’s will never sacrifice product integrity in any way. Pillay still maintains the most important part of achieving all of this is an engaged team. We also have part of the supply chain team that is based in South Africa, the spiritual home of Nando’s. Being 10,000km away, or anywhere in the world, is not

Based in South Africa. Left to right: Robert Du Preez, Alpheus Muchini & Jesse Thaver

e uro pe .busi ne ssc hief. com

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SEPTEMBER 2019

a challenge anymore with technology but there is always a vested interest by all of us to make these Nandocas feel inclusive in everything we do. Again signifying the importance of people even if they are not physically in sight.

Giving an engaged team the leverage, trust and respect to act on their own and try things they can justify is key to innovation and controlled disruption. And he encourages his team to take a page from Babe Ruth who said, ‘Never let the fear of striking out, prevent you for stepping up to the plate’. Apt words from the Nando’s grocery supply chain team, which has, and continues to have, successes

Left to right: Catarina Nascimento, Deon Pillay, Laura Bacon, Eliza Hall, Gareth Griffith-Swain & Nick Gundersen

of hitting many out the park!

e uro pe .busi ne ssc hief. com

161

Just in time to say goodbye.

Keeping you in the air. The best time to develop services for tomorrow’s technology is today. That’s why we’re doing that now — along with integrating new models, materials and technologies in our portfolio as quickly as possible. Our goal is to keep your aircraft off the ground, tomorrow as well as today. So let the future arrive: our services will be waiting. Talk to us.

Lufthansa Technik AG, marketing.sales@lht.dlh.de Call us: +49-40-5070-5553

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