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Mondellaz International Writing your technology playbook again through one $ 1.2 billion Multier transformation that tries to help the snack maker to increase her market share and promote revenue.
Costas Georgekopolos, CTO and Siso at Mondellaz.
Permission given by Mondelēz
Getting partners, technology teams, boards of directors, regional CEOs, and members of C-suits in alignment and ready to execute for careful orchestration.
The snack maker spends 18 months, which is gearing up to a large -scale venture, including data center exit, workload migration, generic AI exploration and an ERP upgrade. As a result of preparation efforts, seller participation, shared deadline shared and strengthened governance Costas Georgekopolos, CTO and Siso in Mondles,
“The conversation around our strategy was really focused to ensure that investment … would bear the fruit and there would be an ROI that we can share with the business,” Georgcopolos Told CIO Dive.
Mondles, manufacturer of manufacturer Oreo, Ritz, and Chips AhoiBetween other brands, an on-radius SAP ERP system operates near the end of his life. Cloud-based ERP has its own allowances of infection, but upgrading can also prove to be a long, severe process.
SAP has financial incentive and added Technical aid services To encourage customer migration on-proof system as support cliffs loom. More than half of SAP customers use on-affected solutions risk Maintenance is running out of support Its 2027 time limit, Basis Technologies CTO David Lease Said last year.
Strategically, Mondelz wanted to be close to the onset of upgraded wave of upgrade.
“SAP is very clear about their support models and cost structure,” Georgcopolos Said. “We felt that we need to stay at the front end of the opportunity as it gives us more visibility with SAP and more resources, which is available in the latter part and competing with more organizations for rare resources for infection Does. “
Georgcopolos The company has worked as ST with SAPRategic partner, ensuring access to adequate staffing and a “important” level of support. The company spent About $ 9 million On the initial plan for ERP implementation at the end of six months June 30, 2024.
Snack maker AWS also tapped In December As its strategic cloud provider.
“One of the important ideas for us was the cost efficiency,” Georgcopolos Said. “Our ability to change our operation was another.”
Mondelage Keep all the three hypersscalers in mind and spend countless hours on details, comparison of convenience sets, innovation levels and co-policies capacity, Georgcopolos Said.
The company has an internal engineering team made up of 35 workers. The chosen cloud provider was able to maximize that team’s work and unlock the capacity through AI.
“We calculated that the total cost of ownership we were with a cloud or another, and we felt that the better package presented was introduced by AWS and it was the material,” Georgcopolos Said.
With AWS, Georgekopolos said Mondles would be able to use capabilities at SAP S/4 at least one year ago, if they would have chosen to go with one of the other providers.
Georgekopolos said, “The team is strong and not only capable of digital changes with AWS, but we are re -painted Google, we are exiting four data centers from DXC at the same time and hundreds of workloads from Azure Are migrating to. ” “We couldn’t do this if we did not have a highly experienced team of excellent engineers.”
2025 priorities and beyond
As Mondles navigates its digital change, the food manufacturer is also facing micro and macroeconomic headwind.
Mondelz officials estimate High cocoa prices And inflation will reduce its adjusted income per share this year 10% during this Q4 2024 Income Results Tuesday,
“This is a very challenging year with the market and with cocoa pricing,” Georgcopolos Said. “The effect is enough.”
Harshe Company, which also saw the green signal Pressure from high coco pricesAn ERP of its own is passing through overhaul. Kissing manufacturer A sale and inventory dipped Last year during its phased upgradation at S/4 Hana of SAP.
Like Harshe, Mondellaz is working to focus its focus on adaptation of operations during the transition period and to focus its focus to increase the cost of increasing costs.
“If there is one thing we can, and have done, and continue to continue, then our current footprint is to adapt, whether it is a infrastructure, application, use matters,” Georgcopolos Said. “We are very clear and focused on taking advantage S/4 The capabilities that are available out of the box, are ending to the extent that we can adapt to our ERP environment and ensure that we can ease use in the case of procedures for ease, efficiency and cost savings Standlore in ,
Mondles plans to abolish the ERP project 2028 After an area-by-field implementation. For now, it is all about doing ground tasks to stay on the track.
“You can’t just do a lift-end-shift,” Georgcopolos Said.
Teams are undergoing all ERP adaptation – which translates to millions of lines of code – to determine where the cuts can be cut to simplify the infection. “In many cases, we can eliminate it and use direct functionality from the S/4 box,” Georgekopolos said.
The company has adopted Amazon Q to aid software development, such as writing shell scripts and promoting productivity. Georgcopolos It is estimated that the equipment has brought efficiency benefits of about 20%.
However, using generic AI in the ERP system is still out of access.
“We are probably 12 to 18 months away, which actually test by pouring water through the pipe and assumes what it will work,” Georgcopolos Said.
Even with a long road, Georgcopolos Proud of how the organization’s approach to technology has matured.
“When I came to the company four years ago … we lost our strategy and ability to control, manage and enable,” Georgcopolos Said. “We have changed that paradigm. We are leading the change. ,
