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Drive end2end
performance
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16
Drive end2end performance
We use our global scale to drive efficiency from
end2end - saving costs and fuelling future growth
through strategic investments and initiatives.
Connected breweries
Developing a consumer and customer mindset
Optimising our global footprint
Continuous improvement
Expanding in developing markets
Transforming our transactions
"The health, safety and trust
of our people was of paramount
importance in 2020.
Our breweries stayed open as
far it was allowed by authorities
and our resilient and agile supply
chain reacted quickly to meet
fluctuations in demand.
This enabled us to support the shift
from on-trade to off-trade and
maintain our customer-centric
mindset throughout the year."
Heineken N.V.
Annual Report 2020
Introduction
Report of the
Executive Board
Report of the
Supervisory Board
Financial
Statements
Sustainability
Review
Other
Information
Our growing number of connected breweries use state-
of-the-art equipment to provide real-time data about
brewery performance. By analysing and comparing
data on a global scale, we gain valuable insights to drive
continuous improvement in brewery performance.
We have continued to invest in automation and process
and operations efficiency through the testing and
tactical deployment of new tools and technologies.
This is supporting increased remote assistance from
our worldwide network of experts, facilitating quick
access to best expertise through virtual presence,
central analytics and latest technology 3D printing of
spare parts where needed. This strategy paid off during
the pandemic to keep our operations running without
the need to fly in experts or spare parts.
Driving end2end performance enables us to collaborate
faster and at scale, both internally and with our
customers. End2end means embracing a consumer
and customer mindset at every stage - from concept
to solution. This sets us up to adapt quickly and
flexibly to changing consumer needs, while aiming
for excellence in our operations.
We continue to invest
in the digitization of
our end2end supply
chain. Our Connected
Brewery platform
is at the core of
this, creating scale
benefit in our global
and close to market
brewery network.
Connected
worker
Utilities
Brewing
Packaging
Analytics
Robotics
Control room
Infrastructure
We are working continuously to optimise our global
footprint by balancing the trade-offs between
local investment and imports, adjusting volume
allocations and strategically investing in our global
operations. Most of our products are produced in
the countries where they are consumed. To reduce
the environmental impacts of distribution and drive
down emissions, we aim to optimise routes, support
suppliers to adopt low carbon technologies and we
are shifting to fuel efficient transport
Continuous cost improvement is also at the
core of our supply chain management culture.
In 2020, we increased the digital capabilities of
connected breweries with applications that focus
on performance management and energy saving.
Despite lower volumes and big shifts in our portfolio
due to the COV1D-19 pandemic, we improved
performance in productivity, water usage and thermal
electricity. The Worldwide Centres of Excellence bring
together experts from across our global businesses to
collaborate and share knowledge and best practices in
brewing, packaging, logistics and innovation.
We continue to reallocate resources and make
strategic investments in emerging markets.
Heineken® Silver and Amstel are now produced
locally in China by our partner, China Resources
Beer, and there is local production of Heineken® in
DRC and Desperados in Ivory Coast. Major capacity
extensions have been made in South Africa, Rwanda,
France, Cambodia and Brazil. Our BASE programme
continues to make HEINEKEN more agile and
efficient by standardising core business processes
in Finance, Procurement, Production, Logistics and
Sales. We continued to deploy BASE in 2020 with
eight go-lives and the roll-out is due to be completed
in 2021. The new BASE deployments were all
done remotely.
We have accelerated transformation of transactional
processes in Europe with the launch of the
SHARP-X programme. It went live in Hungary,
Greece, Belgium, Croatia and France in 2020.
The new Unified Data Model is another step towards
bringing greater simplicity and consistency to our
European finance operations.
Magne Setnes
Supply Chain Officer
