Case Altia:IT building drinkingculture 2.0Terhi Nyyssönen, Group CIO

Content

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1. Altia Company presentation

2. Our Purpose & Strategy

3. IT Strategy

4. Focus areas and learnings

Altia

Altia is a leading wine and spirits company

offering quality brands in the Nordic and

Baltic countries. We produce, market, sell,

import and export alcoholic beverages.

Sustainability is a crucial business factor for

us. We want to enhance a modern,

responsible Nordic drinking culture.

Top positions in all markets

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• No. 1 in spirits and wines in Sweden and

Finland

• No. 2 in the key Baltic market of Estonia

• No. 4 in Denmark and Norway

• Top 3 in the very important Nordic and

Baltic Travel Retail market

• No. 5 in Latvia

• Fully integrated operations in Cognac,

France.

• In addition to alcohol beverages, Altia's

business operations include industrial

products and services, which together

with our core business help us to improve

our material, production and capacity

efficiencies.

Net sales 2015:

€ 380,7 million

Operating Profit 2015:

€ 25,3 million

Personnel 2015:

880

Owner:

State of Finland (100%)

Brand focused business

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Own brands and partner brands

Our Purpose & Strategy

Our strategy 2017-2020

Altia Plc 7

IT StrategyHow IT Supports Business Strategy Execution

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ALTIA has a lot of potential in creating

digital business opportunities to achieve

new business growth. ALTIA’s position in

beverage business ecosystem and its

access to key business intelligence data

creates a unique combination in the

market.

ALTIA IT requires immediate actions.

Changes in IT governance have to be

carried out in the first place and IT needs

to apply unified methods and processes.

IT services are a barrier for

business development

IT services are a

competitive edge

IT’s current state IT’s target state

Accelerated Development

Execute Development

Roadmap without delays

to get the full potential

out of the changing

market

Time

Impact for

ALTIA’s

business

competitive

ness

Positive

Negative

IT ASSESSMENT FINDINGS DEVELOPMENT SCENARIOS FIRST INITIATIVES

IT STRATEGY

IT OPERATING MODEL

IT GOVERNANCE

MODEL

IT INFRASTRUCTURE

SERVICE IMPROVEMENT

”

”

Background of IT Strategy

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IT Strategic Choices

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2016 2017 2018 2019 2020

BUSINESS DIGITALIZATION

BUSINESS EFFICIENCY

BUSINESS CONTINUITY

100 %

50 %

0 %

Am

ount

of w

ork

During the given strategy period, ALTIA IT has 3 main development themes;

1) Business Digitalization, 2) Business Efficiency and 3) Business Continuity.

In the beginning of the strategy period the development work emphasizes business efficiency and business

continuity themes while shifting towards business digitalization towards 2020.

Enabling new solutions and capabilities for sales,

marketing, partnership management as well as data

management and analytics.

Ensuring the key business applications and systems are up to

date and that the business gets maximal value out of them. Development items

under Business Efficiency theme are required for being able to shift the development into business digitalization theme.

Continuously maintaining the technological infrastructure, support and risks on

an acceptable level and ensuring

IT Development themes

Focus areas and learningsFirst changes have been well received by

business. Small success stories reached and

open dialogue started. IT competence

renewal carried out and vendors actively

included.

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Aligned planning

with business

Big picture

clear

Transparent

project

portfolio

IT Competence

development

”Can Do”

attitude

From IT suppliers to

partners

Cooperation

improved

Speed by

extended

competence

Agile way of working

Start small

Pilots,

POC’s

Continuous

development

backlog

prioritisation

and sprints

Simplification and

modernisation of IT

architecture started

SAP roadmap

”Commerce

driven ERP” built

in cooperation

with SAP and

Bilot

Way of working improvements

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Focus areas in service development

BUSINESS DIGITALIZATION

BUSINESS EFFICIENCY

AND ENABLEMENT

BUSINESS CONTINUITY

Consumer communities and brand sites (Drupal CMS)

Commerce services and PIM pilot projects (SAP Hybris)

Sales process pilot (SAP C4C)

Analytics tools (HANA & data visualisation)

Digital marketing POC’s

Digital Think Tank Initiative to boost cooperation

One SAP ERP (3->1)

Factory IT: APS, MES, WMS

Finance development: invoice handling, bank connections, new payments, budg. and forecasting

Logistics development: ecommerce, export

Flexible Integrations becoming more and more important

Smart work Office tools implementation (O365)

Network service renewal

End-user support renewal

Device process renewal

Security policy and trainings

Digitalise to become agile and

consumer focused

Simplify for operational efficiency

Build basic services for compliance

and risk management

Thank You.

• Get yourself diagnosed at bilot.today/digiometer

• Bilot’s bartender treats you with correct medicine

• Welcome!

THE BAR IS OPEN!