Drive digital and innovation

We are utilising digital technology to obtain new insights and knowledge about markets and consumers and streamline our operations and systems.

We have accelerated the pace of innovation and have launched several differentiated products to enter new categories and consumption occasions.

Driving digital across the organisation

At Tata Consumer, leveraging digital for our business growth is a key priority. During the last two years, we have identified areas that technology can power across sales and distribution, operations, procurement and finance. We have adopted a cutting-edge technology stack with data analytics as a cornerstone.

This has allowed us to create fresh customer engagement opportunities, streamline operational processes and develop new business models - all while creating greater levels of efficiency.

ENHANCING CUSTOMER EXPERIENCE

Tata Consumer has launched several digital solutions to improve our customer experience. During the year, we launched our global CRM (Customer Relationship Management) platform across India, the US, the UK, Canada, and the Middle East. This enabled us to better understand our customers, resulting in improved customer experience and more personalised interactions.

Alongside, there was a strong focus on automating and streamlining processes and workflows to increase employee efficiency, enabling a greater focus on strategic initiatives. The platform enabled better collaboration between sales, supply chain and other internal functions, leading to improved customer satisfaction.

AUTOMATING DISTRIBUTION

With a focus on improving the efficiency of our distributors, we launched a new Order Management Engine, which resulted in a seamless placement and flow of orders. The engine is now being upgraded for auto-ordering and replenishment capabilities, which will be rolled out this year.

DRIVING OPERATIONAL EFFICIENCIES

We successfully deployed our Warehouse Management System across all our Carrying and Forwarding Agents (CFAs), enabling us to supply distributors quickly and manage inventory efficiently. In addition, several projects were undertaken to digitalise CFA operations.

JOURNEY SO FAR

Shift
to cloud

Single Instance of SAP

Integrated S&D Backbone

Integrated Business Planning

ClearView Analytics

Next Frontier – Lead Themes

Data-driven NPD

AI/ML Led Procurement Org

Data-driven Revenue Growth Management (RGM)

Data-driven Mktg and ROI-led spend allocation

INTERNATIONAL BUSINESS

Several digital initiatives were implemented in our International business to maximise efficiency. Migration to a shared SAP platform was achieved concurrently across multiple countries.

Teapigs’ ordering system was also integrated into the Tata Consumer Products UK SAP system, streamlining order placement for all tea brands.

DIGITAL TEA PROCUREMENT

In tea procurement, we have utilised 15+ years of data sets and our expertise and combined it with AI/ML (Artificial Intelligence/Machine Learning) algorithms to unlock efficiencies in tea buying and blending.

Use of AI in innovation

With a strong focus on New Product Development (NPD), we leveraged AI for our innovation pipeline. For example, we use AI-generated insights based on consumer trends to map white space opportunities and validate our assumptions before launching new products.

Democratising data for higher efficiency

Around 18 months ago, Tata Consumer embarked on a digital journey to make data more widely available to everyone in the organisation, enabling them to make more informed decisions. To achieve this, we first worked towards removing obstacles preventing access to data – for example: complex systems and data silos. This resulted in successfully bringing together our internal financial and non-financial data sources and external information, such as market research and customer data sources into one location - our data lake. Our ClearView Analytics platform, which utilises this data, provides near real-time insights on our business performance, customer satisfaction, and employee engagement.

Accelerating innovation to drive growth

FIT FOR FUTURE

In line with our growth agenda, we have picked up pace significantly on innovation, focused on the key consumer trends of health and wellness, convenience and premiumisation to name a few. We have entered new categories, launched first-of-theirkind products and spearheaded significant value addition in portfolio extensions.

INNOVATION EXCELLENCE

Entry into white spaces:

34

New launches during the year

3.4%

Innovation to Revenue Contribution

~2X

Number of launches vs last year

~20,000 sq ft

World class R&D facilities across Bangalore, Mumbai and Sri City.

CAPABILITY ENHANCEMENT

We have further strengthened our industrial and academic collaborations during this fiscal year. Our R&D team continues to work with different CSIR (Council of Scientific and Industrial Research) labs in India and institutes like CSMCRI, Bhavnagar, for new technologies/opportunities in Salt and IIMR (Indian Institute of Millets Research) at Hyderabad for the Millets portfolio. The R&D function also continues to leverage industrial partnerships with different partners of strategic importance.

STRENGTHENING R&D FOR BETTER OUTCOMES

Research capabilities

  • Dedicated team of scientists and researchers focusing on research and analytical skills
  • Strengthening capabilities in insights and sensory science

Development capabilities

  • Shift from “category specific” development to “capability specific”
  • Foods - Chef expertise and application labs for the foods portfolio

Packaging Development

Re-energised global packaging function

Connected Innovation

Creating R&D accelerator to build incubation capability

STATE-OF-THE-ART INFRASTRUCTURE

We have restructured and rebuilt our R&D capabilities in India. Our labs are equipped with the best-in-class equipment and are supported by a highly qualified and committed team of scientists and researchers.

In addition, our International R&D includes a facility in London for innovation in the international beverages business.

World class R&D Centre of Excellence, Bengaluru

What it does: Global hub for food and beverage research and development

Focus area: Packaging and product development; Focus on research, analytical and claims


R&D Foods Innocentre, Mumbai

What it does: Innovation across Tata Sampann and Yumside portfolio (RTE and RTC)

Focus area: Culinary development and chef expertise


Process Excellence Centre, Sri City

What it does: Pilot plant capabilities catering to F&B portfolio

Focus area: Establish technology and processes for new categories and scientific simulation studies, etc.

Digitalising the innovation journey

In FY 22-23, Tata Consumer R&D initiated two pilots to leverage AI tools in both the India and International markets. The tools have been used to identify actionable Insights that can help with discovery of trends and with concept testing and eventually generative AI. For example, we were able to map interesting insights on Millets and Cereals as a platform, across various trending product formats. This has been incorporated in our plan for 2023 to leverage the International Year of Millets.

The innovation review management system has also been digitalised where the innovation funnel can be tracked and reviewed effectively. This will further simplify the governance process of innovation in the organisation. Digitalisation has enabled cross functional teams to work more effectively resulting in successful and quicker innovation launches such as – Street Chai range, Makhana and Vitamin Shakti Salt.

Packaging Excellence

“Pack-o-vation” – that’s what we call Packaging Innovation at Tata Consumer. We are driving packaging excellence across the foods and beverages portfolio, not just through consumerfacing innovations but also by increasing focus on sustainability in packaging.

In FY 22-23, Tata Consumer won 12 awards for its packaging designs. This includes the World Star award for our MATS processed tray design. Further, we have won five awards at the Indiastar 2022 awards, for demonstrating excellence in Packaging.

Products which won packaging innovation awards in FY 22-23: The Sonnets range, Tata Tea 1868 range, Tata Sampann Yumside, Himalayan Honey & Preserves, Tata Coffee Gold, Tata Soulfull display hangers.

NEW CATEGORY
LAUNCHES

Tata Simply Better | Tata GoFit | Tata Fruski Juice n Jelly | Tata Soulfull Masala Oats + | Tata Sampann Yumside RTE and RTC range | Tata Raasa RTE and RTC range for International markets | Himalayan honey & preserves