Solving business challenges with technology
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Solving business challenges with technology WRITTEN BY
WILLIAM SMITH PRODUCED BY
LEWIS VAUGHAN
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Photo © Coca-Cola Italy w w w.c o c a - c o l a c o mpa n y. com
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Damiano Marabelli, Central & Eastern Europe Business Unit CIO, The Coca-Cola Company, discusses IT’s role in facilitating a ‘Total Beverage’ transformation
T
he Coca-Cola Company (TCCC) needs no introduction, seeing as it is one of the world’s most recognisable brands. Main-
taining that privileged position requires the input of all of its different departments, and, in this regard, IT is no different. Damiano Marabelli is in charge of the company’s IT operations in one of its biggest 04
business units (BUs), as he explains: “I joined TCCC as ‘Central & South European BU IT Client Engagement Director’ at the beginning of 2013. Then I was asked to structurally merge the IT operations of the above BU with the Russia, Ukraine and Belorussia BU, creating the second biggest BU outside North America: the Central & Eastern Europe Business Unit (CEE BU) with its headquarters in Athens”. The CEE BU operates in one of the most diverse business contexts in the world, encompassing 411 million people in 26 countries (four — Italy, Russia, Poland and Romania - account for more than half of the CEE business); 23 official languages; 16 currencies; only seven markets above a population of 10 million; and four main bottler partners (SIBEG in Sicily, CCBS in Albania, GSD in Malta and CCH in all other BU territories).
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Damiano is guided in his role by the objectives previously set out by Barry Simpson, Senior VP and Chief Information Officer at TCCC, who two years ago articulated a digital transformation programme known as ‘Digitizing for Growth’. The three main objectives of the program are: ‘digitizing for the Consumer’ by creating more personalised, predictive and emotive experiences by harnessing data and analytics; ‘digitizing for the Customer’ by building new routes to market and forging additional partner-
CEE BU – Connected Cooler Demonstrator CLICK TO WATCH
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ships alongside strengthening existing
System”, in short the network involves
ones; and ‘digitizing the Enterprise’ by
TCCC supplying beverage products
investing in capabilities to create an
to the bottlers which then add other
agile, engaging and productive work-
ingredients, package the products
place. To achieve those aims, TCCC
and distribute them through four main
is focused on continued investment
market channels, known as: Super-
in digital marketing, ecommerce
markets, Convenience, Discounters
platforms, scalable sales and com-
and HoReCa (including bars, pubs, res-
mercial technology.
taurants and cafeterias). While gross
TCCC’s unique relationship with
profits for bottling partners are often
its bottling partners is another
healthy, operating margins are much
important consideration for its
thinner, which leads TCCC to pursue
digital transformation. Together
innovations. “TCCC invests heavily in
referred to as “The Coca-Cola
category development, both creating w w w.c o c a - c o l a c o mpa n y. com
BUILDING ENTERPRISES FOR THE DIGITAL AGE Triveneto Servizi was established by Roberto Bontempi in Spinea, metropolitan city of Venice, in 2012. The company specialises in ICT workplace maintenance and mission critical services for multinational corporations. More recently, Triveneto Servizi has invested in leading-edge skills, focused on developing FMCG image recognition solutions, Blockchain payment systems and high-speed fiber connectivity.
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TRIVENETO SERVIZI & COCA-COLA ITALIA CASE STUDY EXPO 2015 The main activities carried out include: • Installation of laptops, desktops, printers, videoconference Coca-Cola devices. • 24/7 Assistance during the event on the above materials and on the software’s installed with an onsite team of IT senior technicians. • Project managing activity in preparation of the event (contact with the vendors, managing of the offers, collaboration with Telecom & CISCO in the creation of the network architecture).
There has never been a more exciting time to work with technology. In the past, innovation was limited by the capabilities of hardware and software - now it’s only limited by the imagination. Today, mobile technology, the cloud, intelligent machines, social media, Internet of Things and emerging technologies make almost any idea possible. Roberto Bontempi, with his 30 years of experience in building ICT companies, has been a premium partner of Coca-Cola Italia for seven years. From his Milano office, and in cooperation with his senior team, coordinated by Andrea Lombardo, Bontempi takes care of all IT desk site support services. This facilitates all digital collaboration capabilities and technology consumerisation programmes from CocaCola’s Corporate IT, and makes the Milano employees more productive, digitised and connected. During 2020, Triveneto Servizi will fully unlock the power of the smart working paradigm in Coca-Cola Italia, promoting the fast adoption of all apps available in the Coke app store. One of the most remarkable achievements of Triveneto Servizi and Coca-Cola Italia’s collaboration has been the ICT support provided during the preparation-executionclosure of the EXPO event for the entirety of 2015. The main features of the service provided were the Coke EXPO pavilion onsite installation, and maintenance of the IT equipment and software provided by Coca-Cola, in order to create a Coca-Cola office area, applying the Coca-Cola small office standard configuration.
The Coca-Cola Pavilion, built for EXPO Milano 2015, celebrated the company’s tradition, in line with the theme of the exposition “Feeding the Planet, Energy for Life”. This was a stage upon which the company displayed its sustainability model – based on the promotion of wellbeing, protecting the environment and building stronger communities – in an experiential way. The Pavilion - standing 12 metres high and covering 1,000 square meters of surface area, was constructed of environmentally sustainable materials including wood, glass and water to create an iconic space that was simultaneously contemporary and innovative. The outer walls, made of glass and wood, recreated the Coca-Cola logo and the contour silhouette of the historic glass Coca-Cola bottle, which celebrated its 100th anniversary in 2015. Visitors to the pavilion were led along an interactive journey where they participated in the discovery of Coca-Cola world and learned about the company’s values. The building outlined the dimensions of a basketball court and, at the end of EXPO, became a new space that the Milan community of Famagosta now uses for physical activities. Triveneto Servizi has a vision that inspires all ICT services of its portfolio: “expect the same technology experience at work as we have elsewhere in our lives”. This means differentiating ICT services – more green, more social, more collaborative, more mobile and more reliable – that drive innovation for productivity and growth.
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innovative packaging solutions and
few years is Price-Profit-Volume
fostering brand development,” says
Simulator and Assortment Optimisa-
Marabelli. “Given its multi-segmented
tion. Powered by Microsoft solutions
shopper and customer base, TCCC
including Azure, PowerBI and the
must spend heavily on market research
.NET framework, the software lever-
— it’s necessary for TCCC to stay ahead of changing market trends, consump-
BU and Coca-Cola Hellenic Bottling
tion behaviour and competitive tactics.”
Company worked with McKinsey to
The close relationship with bot-
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ages an experience whereby CEE
build scenarios and volume projections
tlers extends to joint IT projects. One
for profitability and margin improve-
key innovation introduced in the last
ments. “Revenue Growth Management
“ It’s necessary for TCCC to stay ahead of changing market trends, consumption behavior and competitive tactics” — Damiano Marabelli Central & Eastern Business Unit CIO The Coca-Cola Company
(RGM) is the core business process in The Coca-Cola System,” Marabelli explains. “It maximises system revenue by systematically identifying pockets of value and by activating offerings that most profitably convert shoppers into buyers. The essence of RGM is in understanding consumers’ perception of product value and accurately aligning product prices, placement and availability with each
E XE CU T I VE PRO FI LE 11
Damiano Marabelli Damiano has broad IT, business and change management experience through various positions he held for more than 15 years within the Whirlpool Corporation. He holds a college degree in Computer Science and an Executive Master Business Administration degree specialising in ICT Strategy, Governance and Management from the Polytechnic-University in Milan. In addition, he has earned a ccOPEX (Customer-Centered Operational Excellence) Six Sigma Black Belt certificate and an Online Masters in Social Media Communication from Il Sole24Ore business school in Milan. 51 years old, he grew up in a small lake town near Varese, Northern Italy, where he continues to live with his family. Married with one son, Damiano is a strong tennis player and passionate about historical and philosophical essays.
w w w.c o c a - c o l a c o mpa n y. com
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Photo © Coca-Cola HBC 12
customer segment. These simulation
“ It no longer makes sense to think of IT as a separate entity from marketing, finance or supply chain” — Damiano Marabelli Central & Eastern Business Unit CIO The Coca-Cola Company
and optimisation capabilities support this process and have already been rolled-out across several other BUs and bottlers.” RGM will continue to be a focus, with a new generation of RGM analytics being designed to harness AI and machine learning to elaborate on insights and realise profits. Consumer-facing technology has also been a focus, as with the company’s recently launched app aimed at teenagers. “During 2019 the brand new Coca-Cola app was active
“ Ipis acest volorepta doluptia quation elio repelestiur acerecti aut aborent occustrum quoditi ut eiciaes esi quibus aditiam util” — Name of Person, Position and company
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in 17 CEE markets, fully leveraging
1 March 2019, more than 1.6 million
the business unit’s digital market-
consumers have installed the app, with
ing ecosystem that also includes a
more than 250,000 of them using it
GDPR-compliant consumer database,
actively every month. “As a result of
a consumer promo engine, a social
that, more than 1.3 million consum-
media listening and engaging center
ers have registered in our consumer
and so on,” Marabelli elaborates. “The
database, 1.4 million stories have been
mobile experience covered by the app
uploaded to the app and more than 4.3
involves user-generated content, loy-
million pin codes have been redeemed
alty and promotions — users upload pictures and unlock words to build stories by participating in promotions
— corresponding with the same amount of drinks being purchased.” The delivery of such systems stems
and earning points to be exchanged
from a reimagined role for the IT func-
for digital prizes.” Since its launch on
tion, which Marabelli traces back to w w w.c o c a - c o l a c o mpa n y. com
T H E C O C A - C O L A C O M PA N Y
1886
Year founded by Dr John Pemberton
$31.8bn Revenue in US dollars (2018)
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700,000+ Number of employees across company and bottling partners
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Photo © Coca-Cola Italy w w w.c o c a - c o l a c o mpa n y. com
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previous CIO and Vice President Ed Steinike. Marabelli remembers the words of Steinike, who previously said: “It’s all about people. Just like CocaCola’s marketing organisation, which hired some really smart people in the field of digital and interactive marketing, we started to recruit talented IT people who were more entrepreneurial, a little more strategic in their thinking, and who connected better with what marketing was trying to achieve.” This reinvigorated culture has also been 16
reiterated by Corporate CIO Barry Simpson, with Marabelli taking a number of lessons from him, including IT’s
“ 1.3 million consumers have registered in our consumer database, 1.4 million stories have been uploaded to the app and more than 4.3 million pin codes have been redeemed” — Damiano Marabelli Central & Eastern Business Unit CIO The Coca-Cola Company
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role in helping TCCC to implement its
ply chain. From product development,
‘Total Beverage’ strategy, which involves
intelligent supply chains, advertising
broadening its offering to become
and mobile payments, technology has
more consumer-centric. As part of that,
become an integral ingredient in all
Marabelli emphasises that IT must be
aspects of businesses. We are shifting
capable of adapting to the new ecosys-
from builders of technology to archi-
tem and constantly reinventing the way
tects of possibility that will enable our
the company does business.
business’ success as a ‘Total Beverage’
It is with this strategy in mind that
company. We do not solve technology
Marabelli conceptualises his depart-
problems; we use technology to solve
ment’s future path: “It no longer makes
business challenges.”
sense to think of IT as a separate entity from marketing, finance or supw w w.c o c a - c o l a c o mpa n y. com
The Coca-Cola Company Coca Cola Plz NW Atlanta, GA 30313 T +1 404 676 2683 www.coca-colacompany.com