Ariston Thermo Group Information and communication technology ICT ARISTON THERMO GROUP 1
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1 Ariston Thermo Group Information and communication technology ICT ARISTON THERMO GROUP 1
2 AGENDA Group and ICT Overview ICT Transformation Project ICT ARISTON THERMO GROUP 2
3 The world s partner in energy efficient comfort One of the world s leading companies in heating, Ariston Thermo Group offers a complete range of heating and hot water products, systems and services designed to provide the maximum degree of comfort with the minimum use of energy. THERMIC COMFORT DIVISION BURNERS DIVISION Three leading brands and a comprehensive range of heating and water heating products, systems and services Designed to work as part of an intelligent system to achieve the best efficiency savings without compromising comfort COMPONENT DIVISION Water Heaters Air conditioners Burners Services Boilers Solar System thermal Components Heat pumps ICT ARISTON THERMO GROUP 3
4 Ariston Thermo Group growth Our growth has been driven by innovation and an ambition to exploit new trends and markets Founded in Italy in Aristide Merloni founds Industrie Merloni In Marche region of Italy and starts production of weighing machines s Production of electric water heaters. Ariston brand launched s Under the name MTS the company becomes Italian leader in water heaters s Already European market leader in water heaters, MTS enters the heating sector and commences production of boilers s Subsidiaries set up in Eastern Europe and Asia. World leader in water heating and a key player in heating. Acquisition of Racold, largest water heating Company in India. First wholly-owned factory opened in China. No. 1 worldwide in water heaters No. 4 in Europe in heating 2001 Acquisition of long- Established European companies Chaffoteaux, Elco, Cuenod and Rendamax Factory built in St. Petersburg, Russia. Acquisition of Ecoflam, a leader In heating systems in Italy Acquisition of Termogamma, experts in heat pump renewable heating technology European centre of competence for solar thermal energy opened in central Italy Renamed AristonThermo Group the company is now a world leader in the heating industry with a complete range of products, systems and services. ICT ARISTON THERMO GROUP 4
5 Key figures and worldwide presence WORLDWIDE PRESENCE 19 production sites in 10 countries 40 companies in 26 countries Distribution in over 150 countries KEY FIGURES 1.2 billion euro total sales 6.5 million products per year (plus 35 million components) 6,800 employees 46 million euro R&D and investment 250 people in R&D ICT ARISTON THERMO GROUP 5
6 ICT organization and systems landscape CIO The information technology department at ARISTON THERMO GROUP was a federal organization with a strong centralised coordination based on a geographical approach Operations Administration SW Applications Planning and Branches Coordination Project Leaders Central Europe North West Europe East Europe Far East BU Burnrs SAP is the main IS all over the group (it covers more than 80% of revenues even with two different and not integrated installations) Emerging Countries/Markets (including China, Russia, India) are not in SAP and in some cases run a very old IS More than workspaces managed Around 175 locations connected in the network Over 35 different main IT Application Systems managed Actual landscape characteristics: 3 main datacenters + 9 minor datacenters 3 different hw/sw platforms 3 different operation models SAP Corporate Europe and Headquarters 1300 Users DC Outsourced 57% Revenues Legacy Systems Emerging Markets 1100 Users DC Outsourced 23% revenues SAP Elco Central Europe 600 Users DC In-sourced 20% revenues VPN Network MPLS Network ICT ARISTON THERMO GROUP 6
7 AGENDA Group and ICT Overview ICT Transformation Project ICT ARISTON THERMO GROUP 7
8 ICT transformation project Background ARISTON THERMO Group is competing in a global market and in very fast changing business scenarios in terms of markets, customers, processes and therefore in terms of actions, projects and targets. In this context the planning process become more and more complex Within the same organization we have different business models and it becomes more and more difficult to identify the domain of a specific information system We had an explosion of the volume of information we have to manage (different internal and external data sources, heterogeneous information systems, internet etc ) with a consequent complexity growth This new scenario demands an ICT transformation in order to ensure continuously a coherence between the ICT Strategy and the group strategy in a economic frame. Target ARISTON THERMO Group ICT Management, in its continuous effort of improving its contribution and support to business, wants to start a short-medium term strategic evolution that will bring a set of actions on the following different areas: Technological Infrastructures Applications Portfolio and services provided Human Resources ICT ARISTON THERMO GROUP 8
9 ICT value profile Target Through interviews with the business we caught for each Division/ Business area the current IT positioning and the business expectations in order to better reorganize the IT function for properly addressing business requirements Agility Max. Value Internal Focus IT Enables the Business (Service Model) IT Drives the Business (Profit MOdel) External Focus Min. Value IT Supports the Ariston Thermo Group Business (Utility Model) Efficiency Key Findings Better demand management More integrated approach with Business lines Focus on service quality and enhanced capabilities More frequent and structured communication ICT ARISTON THERMO GROUP 9
10 ICT strategy PRIORITY Basics CRM Informtaion Data Management adnanalytics SAP Enanchements and new Applications SAP Rollout Mission Critical Datacentre Unification Corporate Network Review Integration Platform Adoption SAP Release Change CRM Platfotm setup Cognos BW Logistic DW Projects Extensions and consolidations Projects SAP Projects ICT ARISTON THERMO GROUP 10
11 New ICT organization chart Merger of all European teams Dividing the organization in 4 main clusters: Demand Management focused on Europe and aligned to the group organization Operations central direction, local support Application Management focused on Europe with a strong merger between corporate and CE teams, organized by competences Non SAP companies Mainly emerging markets with a single responsibility IT Committee Governance and Strategy Governance Control Demand Manager Europe Management Team Members Group IT Manager Application Manager Europe Operation Manager Europe & Group Non SAP companies Business Process Owners Demand Managers Application Competence Centre (Team Leaders) Telecommunication Systems/SAP/ PC (Team Leaders) Program Committee Projects and Innovation Non SAP Companies (IT Managers) Demand Committee Business Requirements ICT ARISTON THERMO GROUP 11
12 Summary IT and Business Alignment ICT Transformation Project Service Management is a program to support the business transformation that evolves towards added value activities and services in order to: Align IT initiatives with business priorities Sustain and stimulate the growth Harmonize and streamline processes improving efficiency & effectiveness Optimize costs (CAPEX & OPEX) and reduce business risks Solutions Strategy ICT ARISTON THERMO GROUP 12
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