Dive Brief:
- The Hershey Company turned to Accenture to help implement SAP S/4/HANA for a program to aid in streamlining manufacturing and supply chain processes while providing real-time customer analytics, according to a company announcement.
- The candy and snacks company already uses Microsoft Azure and Office 365 to use "intelligent sensors on factory line extruders" to optimize candy production, according to Microsoft. Hershey can extract data, upload it to the cloud and "build predictive algorithms" to "monitor extruder performance in real time."
- Hershey is looking to draw better customer insight as its sales face continuing decline. The company's Q4 earnings dropped 1.6%, which the company chalked up to the timing of shipments and the late 2016 debut of its Cookie Layer Crunch.
Dive Insight:
In the midst of vast digital transformation, companies are turning to consulting organizations to quickly execute drastic system changes.
Hershey, much like many other consumer-facing companies, is relying on technology to engage with customer needs. After all, technology evolves as quickly as consumers' taste buds.
In 2016, SAP and Microsoft partnered up to combine HANA and Azure services to allow Azure users to run SAP software without having to installing their own servers.
Weaving together software offerings with other vendors is a specialty of Microsoft. But without guidance, companies might unintentionally ignore the potential of business software. Connectivity is the "at the heart" of Hershey's transformation, according to CIO Carlos Amesquita.
Hershey already relies on ML and the cloud for snack production, but having a guiding force in Accenture and cloud-based applications helps extend its capabilities beyond factory walls. If executed properly, Hershey will have a better understanding about what its customers want.
