Mondelēz’s $1.2B Digital Transformation to Cloud-Based ERP with AWS

Article Highlights
Off On

Mondelēz International is embarking on an ambitious $1.2 billion multiyear digital transformation aimed at enhancing its technology capabilities to increase market share and bolster revenue. This extensive overhaul includes data center exits, workload migrations, exploration of generative AI, and a comprehensive upgrade of the Enterprise Resource Planning (ERP) system.

Leading this transformation, Kostas Georgakopoulos, CTO and CISO at Mondelēz, emphasized the importance of aligning stakeholders, which include partners, technology teams, the board of directors, regional CEOs, and members of the C-suite. The groundwork for this project involved 18 months of meticulous planning, focusing on vendor partnerships, shared timelines, and enhanced governance.

The existing on-premise SAP ERP system at Mondelēz, which is nearing its end of life, necessitated a move to a cloud-based ERP. Although transitioning to a cloud ERP has numerous benefits, it also poses challenges due to the length and complexity of the process. This collaboration with SAP provided Mondelēz with critical support and resources, streamlining the migration process and minimizing potential disruptions.

The transition to a cloud-based ERP system represents a strategic pivot for Mondelēz, compelling it to rethink its operational methodologies.

With a looming deadline of 2027 for maintenance support, over half of SAP’s customers using on-prem solutions face potential risks. Strategically, Mondelēz decided to be proactive and undertake the upgrade early to secure better visibility, support, and resources from SAP.

Mondelēz has allocated around $9 million for the preliminary planning for the ERP implementation, expected to culminate by June 30, 2024. In December, AWS was chosen as the company’s strategic cloud provider after an extensive selection process where all three major hyperscalers were considered.

Mondelēz’s decision to invest substantially in early planning phases reflects the company’s commitment to meticulous preparation and risk mitigation. Allocating $9 million for planning underscores the importance of thorough groundwork in ensuring the success of the ERP transformation.

Factors such as cost efficiency, the capacity to transform operations, and the potential for innovation were pivotal in selecting AWS. Mondelēz calculated the total cost of ownership and found AWS offered the best overall package, considering both current needs and future scalability.

AWS’s capabilities on SAP S/4 would be accessible at least a year earlier compared to other providers, reinforcing their decision. By leveraging AWS’s advanced infrastructure and early access capabilities, the company aims to mitigate these market pressures through enhanced technological capabilities.

Their strategy includes leveraging SAP S/4’s out-of-the-box capabilities to minimize customizations and standardize processes across the business to enhance efficiency and reduce costs. The company’s thorough approach involves sifting through the existing ERP customizations, evaluating millions of lines of code to eliminate unnecessary complexities.

Furthermore, the company adopted Amazon Q to aid in software development, which includes writing shell scripts and enhancing productivity, yielding efficiency gains of around 20%.

Georgakopoulos expressed pride in the evolution of Mondelēz’s technological approach, highlighting how the company regained control over its strategic vision and operational management. Since his joining four years ago, the company’s paradigm has shifted towards leading the transformation, positioning itself ahead of its peers.

Mondelēz International is undertaking a bold $1.2 billion project over several years to digitally transform the company. The overall goal of these efforts is to create a more agile, efficient, and competitive business environment. By doing so, Mondelēz aims to leverage cutting-edge technology to stay ahead in the market, optimize resources, and improve overall performance.

Explore more

Digital Transformation Enhances Safety in Port Operations

The sheer scale of modern maritime hubs often obscures the daily physical risks faced by the dockworkers who navigate a labyrinth of heavy machinery and moving containers. Historically, these environments have functioned as high-stakes arenas where the margins for error are razor-thin and the consequences of a momentary lapse in judgment are often fatal. Despite the industrial importance of these

Ransomware Attack on Mackay Sugar Halts Australian Harvest

The precision required to manage a modern industrial sugar harvest relies on a delicate synchronization of heavy machinery, logistics software, and thousands of workers across North Queensland’s vast agricultural landscape. When this digital backbone was severed by a ransomware attack in June 2026, the consequences resonated far beyond the server rooms of Mackay Sugar, impacting the livelihood of an entire

Did ShinyHunters Really Steal Millions of Kodak Records?

The digital underworld erupted with speculation after a prominent cybercriminal organization known as ShinyHunters claimed to have breached the internal databases of the Eastman Kodak Company. This alleged infiltration supposedly resulted in the exfiltration of millions of sensitive records, casting a long shadow over the legacy imaging firm’s modern digital infrastructure and its ability to safeguard corporate assets in an

Attackers Shift Focus From Passwords to OAuth Token Hijacking

The digital perimeter has undergone a profound transformation as adversaries abandon the brute-force tactics of yesterday in favor of more sophisticated methods that exploit the very protocols designed to secure our interconnected cloud environments. While many security teams remain preoccupied with complex password policies and rotating credentials, sophisticated threat actors have shifted their attention toward the exploitation of OAuth tokens,

Malicious JetBrains Plugins Steal Thousands of AI API Keys

The modern Integrated Development Environment has transformed from a simple text editor into a complex hub of automated intelligence, but this evolution has opened a dangerous new frontier for cybercriminal activity. A massive malware operation recently breached the JetBrains Marketplace, leveraging at least 15 deceptive plugins to harvest sensitive AI API keys from unsuspecting software engineers who rely on these