Digital Business Strategy of Gorenje Group DE-SLO AHK Event at IEDC Bled Žiga Debeljak, SVP, CDO Bled, April 5th 2017 Contents 1. Gorenje Group Presentation 2. Digital Business Strategy 3. Digital Business Model 4. Organisational Approach to Digital Transformation 2 Gorenje Group CORE BUSINESS Products and services for home (MDA, SDA) R&D COMPETENCE CENTRES Slovenia Czech Republic Sweden Netherlands NUMBER OF EMPLOYEES 11,000 Gorenje Group CONSOLIDATED REVENUE EUR 1.258 billion EXPORT 95% of sales MDA (major domestic appliances) SDA (small domestic appliances) 3 OWN PRODUCTION Slovenia Serbia Czech Republic GLOBAL PRESENCE 90 Countries Worldwide, mostly in Europe (91%), also in USA, Australia, Near and Far East Most Important Markets: Germany, Russia and the Netherlands GERMANY RUSSIA THE NETHERLANDS SCANDINAVIA SERBIA CZECH REPUBLIC CROATIA SLOVENIA AUSTRALIA USA BIH HUNGARY AUSTRIA POLAND BELGIUM RUMANIA SLOVAKIA BULGARIA GREAT BRITAIN FRANCE MONTENEGRO UKRAINE 4 Gorenje Group Brand Portfolio 5 Strategic Pillars 2020 DIGITALIZATION 6 Digital Business Strategy of Gorenje Group Our digital business strategy is • to create value by offering innovative digital business solutions to connected communities of our stakeholders, and • to use digital business solutions to improve business efficiency. Connected communities of our stakeholders to which we intend to offer our digital business solutions are: • consumers, • commercial and other business partners, • financial partners, including shareholders, • employees, and • broader social environment. 7 Digital Business Strategy of Gorenje Group Our digital business model encompasses the following sets of digital business solutions: • digital services for various communities, • connectable appliances for smart homes, • business processes, facilitated by digital technologies; which are supported by the following sets of digital resources: • digital skills, • digital systems, • digital contents and • digital technologies. 8 Digital Business Strategy of Gorenje Group Consumers IMPROVE BUSINESS EFFICIENCY Broader Community Business Partners CREATE VALUE DIGITAL BUSINESS MODEL Employees 9 Financial Partners Digital Business Model of Gorenje Group e Employee Services e Processes 10 e Communication DIGITAL RESOURCES e Skills e Systems e Contents e Technologies e Partner Services e Consumer Services e Appliances DIGITAL BUSINESS SOLUTIONS Digital Solutions: e Communication Key initiatives: Web pages management Social media management Web monitoring Digital advertising Web analytics 11 Digital Solutions: e Consumer Services Key initiatives: Consumer services portal Information services Registration services Buying support services Usage support services Living assistance services Remote management services Maintenance services Data services 12 Digital Solutions: e Appliances Key initiatives: Smart appliances predevelopment Smart appliances development Market launches Sales and after sales support Continuous integration with consumer services 13 Digital Solutions: e Partner Services Key initiatives: Partner services portals Content-related services Interaction-related services Channel conflict management 14 Digital Solutions: e Processes Key initiatives: Digitalisation of manufacturing, R&D, purchasing and SCM processes Digitalisation of sales and after sales processes Digitalisation of other processes 15 Digital Solutions: e Employee Services Key initiatives: Employee services portal Basic employee services Advanced employee services 16 Digital Resources: e Skills Key initiatives: Digital Business Academy within the Corporate University of Gorenje: General training Specialised training Innovation workshops Individual training Executive education 17 Digital Resources: e Systems Key initiatives: IT Systems: Digital services platform, including e-commerce IoT platform Content/data management systems Cognitive (AI) systems Big data analytics system Process digitalisation solutions Other IT systems Organisational systems Digital partnerships 18 Digital Resources: e Contents Key initiatives: Product content Marketing content Services-related content Consumer data Connected appliances data 19 Digital Resources: e Technologies Key initiatives: Connectivity technologies Communication protocols Electronics design and development Other technologies (VR/AR/MR, additive manufacturing, robotics, sensors, etc.) 20 Organisational Approach to Digital Transformation Management Board Digital Business Committee Projects 21 Initiatives Project Org. Unit Project Org. Unit … … • Digital business strategy is an integral part of the overall business strategy of Gorenje Group • Central coordination of digital transformation activities through Digital Business Committee, led by CDO • Selected initiatives organised as projects, the rest of initiatives managed directly by responsible organisational units Thank you for your attention
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