Profit Improvement (RGM) work automation in BAT

Customer
BAT Russia
IT Provider
BAT Russia
Project timeline
August, 2020 - November, 2021
Project scope
36000 man-hours
Goals

Building a system for managing and optimizing revenue - both from the side of revenue management processes and the creation of products necessary for the effective management of these processes, namely:

1. Pricing control

2. Assortment management

3. Trade investment management

In addition to these three points, we have created a local development center aimed at the rapid search and development of IT solutions for business, combining data for all departments of the company - from research to sales.



The uniqueness of the project

BAT's first local RGM development center, which has become a methodological and product pioneer for new markets as part of the revenue improvement process
Used software
Azure, Snowflake, Databricks, WhereScape, Power BI, Docker, Plotly. For solution development: Python, R.
Difficulty of implementation
15 developers from India, Romania, China and Malaysia worked with the project to develop solutions. In the Russian office, 4 people worked on the project. The total number of man hours is more than 36,000 per year.
Project Description

The RGM (Revenue Growth Management) project is the new philosophy of BAT. This is the union of the financial department, research department, IT, marketing and sales departments to create a single ecosystem for finding opportunities to automate processes and maximize profits. The project is built around a colossal amount of input data that has been processed and fed into multiple streams with solutions that are divided into descriptive, predictive, and prescriptive analytics.

Together with such a division, the company took the path of optimizing business processes, as well as creating a development center for the needs of departments, thus both creating a general solution outline and adding special separate programs for tasks.



Project geography
Russia

On November 30, the professional IT community GlobalCIO hosted a large-scaled international conference "Global CIO Insights: Digital Transformation with AI". During the event, leading experts shared their practical experience in launching projects utilizing artificial intelligence (AI) and highlighted approaches that helped elevate their companies to new heights.

Voting for projects participating in the "Project of the Year" contest is open. The voting began on December 1st and will continue until January 15th inclusive. The winners will be announced on February 7th, 2024.

According to the statistics agency, the number of telecommunication and IT companies has increased 1.8 times in the last five years. At the beginning of 2023, there are more than 12 thousand ICT companies operating in the country. More than 100 thousand people are employed in the industry. At the end of 2022, the volume of ICT services grew by 125.5% and amounted to 22.9 trillion soums, of which 4.2 trillion soums were programming services provided by Uzbek companies and specialists. The total revenue of Uzbekistan's IT sector for the first quarter of 2023 reached 2.38 trillion soums - almost four times more than in the same period of 2022. Exports of digital services increased to $57.2 million. According to IT Park, net income amounted to more than 90% of revenue or 2.158 trillion soums.

According to the statistics agency, the number of telecommunication and IT companies has increased 1.8 times in the last five years. At the beginning of 2023, there are more than 12 thousand ICT companies operating in the country. More than 100 thousand people are employed in the industry. At the end of 2022, the volume of ICT services grew by 125.5% and amounted to 22.9 trillion soums, of which 4.2 trillion soums were programming services provided by Uzbek companies and specialists. The total revenue of Uzbekistan's IT sector for the first quarter of 2023 reached 2.38 trillion soums - almost four times more than in the same period of 2022. Exports of digital services increased to $57.2 million. According to IT Park, net income amounted to more than 90% of revenue or 2.158 trillion soums.

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The IT strategy of a large number of companies includes the automation (digitization) of not only accounting processes but also production and logistics processes.

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