In the fast-evolving landscape of digital transformation, enterprises are continually seeking innovative ways to leverage data and technology to drive growth and efficiency. Pawan Satyawali, Global Chief Information Officer at Tata Consumer Products, offers a deep dive into his organization’s strategic initiatives and their journey toward becoming a best-in-class FMCG company. Through a comprehensive conversation with Express Computer, Satyawali sheds light on the company’s digital transformation, the integration of AI, and the pivotal role of data security.
Digital Transformation at Tata Consumer Products
Tata Consumer Products was established four years ago with a vision to synergize, simplify, and scale the principal consumer interests of the Tata Group under one umbrella. The transformation journey began with a clear goal: to build a strong digital foundation that enhances organizational effectiveness and agility.
“To do this, we needed to build on the foundation by putting systems in place that allow us to embed digital across the organization to enhance effectiveness and agility,” Satyawali explains. One of the significant milestones in this journey was the complete migration to the cloud, making Tata Consumer Products 100% cloud-based with no on-prem operations. This migration required extensive re-engineering of connectivity and security frameworks.
Another critical initiative was consolidating the ERP platform to a singular instance that serves multiple global geographies. This consolidation has streamlined operations and provided a unified view of business processes. On the sales front, Tata Consumer Products has been working on the MAVIC sales acceleration platform, which includes solutions like DMS and SSFS. With several hundred distributors already onboarded, the company aims to complete this integration by Q3.
In November, the company launched InfiniTi, a homegrown solution for streamlining procurement processes for raw material buying. This initiative is now being extended to food operations, demonstrating the company’s commitment to continuous improvement and innovation.
Significant efforts have also been directed towards streamlining logistics, including the implementation of Transportation Management Systems (TMS) and Warehousing Management. “The strategy was straightforward: start with a strong foundation and then build business applications on top that create differentiation for business,” Satyawali notes. This approach ensures that Tata Consumer Products remains agile and responsive to market needs.
Embracing AI for Enhanced Data Utilization
AI plays a crucial role in Tata Consumer Products’ strategy to leverage data for business growth. The company boasts a robust data lake offering with cloud warehouse capabilities and advanced AI integration. Initially, the data lake was used for reporting purposes, but over the past year, it has evolved to support AI-driven applications.
“We now integrate our applications to fetch data using connectors, with data on the lake side derived entirely using AI,” says Satyawali. This includes order recommendations for primary and secondary sales, SKU suggestions, and price forecasting, all driven by AI capabilities. This transformation has enabled the company to make data-driven decisions and improve operational efficiency.
Data security is a top priority for Tata Consumer Products. The company recently underwent a Data Threat and Operational Maturity (DTOM) assessment, the gold standard assessment from Tata Group, focusing on data maturity. The results were impressive, with high scores indicating robust data protection measures.
“Our cyber team works very closely with the data team on data safeguarding, not only from an access perspective but also in terms of handling privacy and cataloguing,” Satyawali explains. These efforts ensure comprehensive data protection across all fronts, from access control to data handling and privacy.
Balancing AI for Risk Assessment and Security
While AI offers tremendous potential for enhancing data utilization, it also introduces new risks. Tata Consumer Products is actively exploring AI tools for cybersecurity. Recently, the company implemented the next-gen Security Information and Event Management (SIEM) system from Microsoft Sentinel. This system aims to enhance cybersecurity capabilities by leveraging AI to detect and respond to threats more effectively.
“This year and the next, will see significant activity in the cybersecurity domain as we explore and introduce various AI tools,” Satyawali says. The goal is to stay ahead of emerging threats and ensure robust protection of corporate data and systems.
The Rise of Generative AI (GenAI)
Generative AI (GenAI) is another critical area of focus for Tata Consumer Products. The company has established a dedicated team to drive GenAI initiatives. Two significant milestones have already been achieved: the launch of the GenAI portal, MOSAIC, and the institutionalization of platforms like Midjourney for marketing teams.
MOSAIC, powered by GPT-4, allows users to ask queries and perform tasks like uploading files and receiving insights based on those files. For marketing, platforms like Midjourney are used to create structured services, enhancing user experience and streamlining marketing processes.
GenAI is utilized both internally and externally. Marketing teams use GenAI to create external marketing material, while the GPT-4 portal serves internal users. “Currently, it’s only available in English, but we are still in the early stages of this journey,” Satyawali mentions. The company anticipates further advancements as they continue to develop and refine these technologies.
The Impact of AI on the Workforce
In the consumer goods industry, there is a prevailing sentiment that AI will serve as a valuable aid, bringing about positive impacts. Satyawali is optimistic about AI’s potential to augment the workforce rather than replace it. “I view AI as a fantastic tool that will empower companies to augment their workforce with effective assistance,” he asserts.
The focus is on leveraging AI advancements to enhance productivity and efficiency. While challenges are expected along the way, Satyawali believes that the industry is poised for progress and that AI will play a crucial role in driving this evolution.
Future Technological Implementations
Looking ahead, Tata Consumer Products plans to focus on improving sales, operations, finance, and shared services. The company has already made significant strides in cloud technology and cybersecurity. Recent investments in next-generation solutions and the integration of Salesforce into operations signify substantial progress.
From a business perspective, the company continues to leverage the latest tools and technologies. Ongoing enhancements and optimizations, such as augmenting existing forecasting tools with complementary solutions, are part of the strategic roadmap.
Current Industry Trends and Opportunities
The biggest concern in the consumer goods industry is leveraging data’s true potential through AI to drive growth. Effective data integration into daily strategies can significantly impact top-line and bottom-line growth, despite challenges like data accessibility and pricing hurdles.
While cloud adoption remains a focal point for many, Tata Consumer Products views it as an established path, having fully embraced cloud migration long ago. The focus now shifts to cutting-edge technologies and ensuring robust security measures to safeguard users and their data.
To ensure responsible and effective use of AI, Tata Consumer Products has launched an acceptable use policy for GenAI technologies. The company is committed to educating users and raising awareness about safe GenAI practices. Comprehensive guidelines tailored for users and administrators are being developed and implemented to ensure responsible AI utilization.
Conclusion
The digital transformation journey of Tata Consumer Products, under the leadership of Pawan Satyawali, showcases the company’s commitment to leveraging cutting-edge technologies to enhance customer engagement, operational efficiency, and data security. By embracing AI, cloud migration, and robust data security measures, the company is well-positioned to navigate the evolving landscape of the consumer goods industry.
As Tata Consumer Products continues to innovate and refine its digital strategies, the focus remains on harnessing the true potential of data through AI. With a positive outlook on AI integration and a commitment to ongoing enhancements, the company is poised for significant growth and success in the years to come.
