The Hershey Company actively drives its digital transformation by integrating advanced technologies across its core operations. This strategy focuses on modernizing its extensive supply chain, embedding artificial intelligence into decision-making processes, and enhancing manufacturing through connected worker initiatives. The company also prioritizes its omnichannel customer experience and invests in a robust data and analytics platform to gain deeper insights. These initiatives aim to increase operational agility, improve efficiency, and maintain competitiveness in a rapidly evolving market, making its transformation approach distinctive through a blend of physical and digital system overhauls.
This transformation creates critical dependencies on system integration, accurate data flows, and seamless workflow orchestration. Any breakdowns in these areas introduce risks such as production delays, inaccurate market insights, and inconsistent customer experiences. This page analyzes The Hershey Company's key digital transformation initiatives, identifying specific operational failures and potential sales opportunities for vendors.
The Hershey Snapshot
Headquarters: Hershey, Pennsylvania, U.S.
Number of employees: Approximately 20,000 employees
Public or private: Public
Business model: Both (B2B & B2C)
Website: http://www.thehersheycompany.com
The Hershey ICP and Buying Roles
The Hershey Company primarily sells to large retail and grocery chains, as well as directly to consumers, managing complex B2B2C relationships. Their operational complexity stems from global supply chains, diverse product portfolios, and multi-channel distribution.
Who drives buying decisions
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Chief Supply Chain Officer → Manages the integration and efficiency of global supply chain systems and logistics.
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Chief Technology Officer → Oversees the adoption and implementation of new technologies, including AI and core enterprise systems.
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Chief Customer Officer → Directs strategies for consumer engagement, e-commerce, and retail partner experience.
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VP of Manufacturing → Drives digital initiatives for plant automation, worker empowerment, and production efficiency.
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Senior Manager of Commercial Data Strategy → Leads efforts to centralize data, improve analytics, and provide business insights.
Key Digital Transformation Initiatives at The Hershey (At a Glance)
- Integrating existing business units onto the SAP S/4HANA platform.
- Embedding AI into sourcing analytics and plant automation processes.
- Deploying connected worker platforms on factory floors with digital tools.
- Expanding e-commerce platforms and omnichannel retail execution.
- Building a centralized data store for enterprise-wide analytics.
Where The Hershey’s Digital Transformation Creates Sales Opportunities
| Vendor Type | Where to Sell (DT Initiative + Challenge) | Buyer / Owner | Solution Approach |
|---|---|---|---|
| ERP Integration Platforms | Supply Chain Modernization with SAP S/4HANA: transaction data fails to sync between legacy systems and SAP. | Head of IT, CIO, ERP Program Manager | Standardize data mapping and connectivity between disparate systems before core ERP migration. |
| Supply Chain Modernization with SAP S/4HANA: procurement workflows require manual data entry due to incomplete integration. | Chief Supply Chain Officer, Head of Procurement | Consolidate vendor data and automate document exchange across supplier networks. | |
| AI Model Governance Platforms | AI Integration for Operational Decision Making: AI models generate inaccurate demand forecasts when market data inputs contain inconsistencies. | Chief Technology Officer, VP of AI/ML | Validate data inputs and outputs for AI models before feeding into planning systems. |
| AI Integration for Operational Decision Making: automated plant systems produce defects when AI-driven quality checks misinterpret sensor data. | Head of Manufacturing, VP of Operations | Monitor AI model performance and enforce quality thresholds for production processes. | |
| Connected Worker Solutions | Digital Lean & Connected Worker in Manufacturing: personalized digital workflows fail to adapt to varied worker skill levels. | VP of Manufacturing, Digital Manufacturing Program Lead | Dynamically adjust work instructions based on operator proficiency and real-time feedback. |
| Digital Lean & Connected Worker in Manufacturing: real-time data capture from the point of work contains input errors before feeding into improvement systems. | Plant Manager, Operations Manager | Validate data integrity at source to prevent propagation of incorrect information. | |
| Omnichannel Experience Platforms | Omnichannel Customer Experience & E-commerce: e-commerce platforms display incorrect inventory data, leading to unfulfilled customer orders. | Chief Customer Officer, Head of E-commerce | Reconcile inventory levels across all sales channels before order confirmation. |
| Omnichannel Customer Experience & E-commerce: augmented reality tools for field reps provide outdated merchandising planograms. | Head of Retail Partnerships, VP of Marketing | Synchronize AR content with real-time product availability and store layouts. | |
| Data Observability Platforms | Advanced Data & Analytics Platform: data pipelines ingest duplicate records into the data lake, skewing analytical reports. | Senior Manager of Commercial Data Strategy, Head of Data Engineering | Detect and filter duplicate data entries during ingestion into centralized repositories. |
| Advanced Data & Analytics Platform: self-service dashboards present inconsistent metrics due to varying data definitions. | VP of Analytics, Data Governance Lead | Standardize metric definitions and data lineage across all reporting tools. | |
| Advanced Data & Analytics Platform: field sales teams access outdated customer insights due to delays in data synchronization. | Senior Manager of Commercial Data Strategy, Regional Sales Director | Route real-time customer data updates to field sales enablement tools without delay. |
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What makes this The Hershey’s digital transformation unique
The Hershey Company’s digital transformation stands out due to its dual focus on foundational ERP modernization and advanced AI adoption across the entire value chain. Unlike many companies that might prioritize one over the other, Hershey is simultaneously integrating its core business units onto SAP S/4HANA while aggressively embedding AI for real-time decision-making in manufacturing, supply chain, and marketing. This approach creates a complex web of system dependencies, emphasizing the critical need for seamless data flow and process alignment from factory floor to consumer touchpoints. Its long history and consumer-centric approach make the shift to data-driven operational intelligence particularly challenging, requiring a delicate balance between tradition and cutting-edge technology.
The Hershey’s Digital Transformation: Operational Breakdown
DT Initiative 1: Supply Chain Modernization with SAP S/4HANA
What the company is doing
The Hershey Company is investing $250 million to advance agility and automation across its supply chain operations. This initiative includes integrating existing business units onto the SAP S/4HANA platform to standardize processes. They completed a significant SAP S/4HANA implementation to unify finance, supply chain, production planning, sales, and distribution.
Who owns this
- Chief Supply Chain Officer
- CIO
- Head of IT
- ERP Program Manager
Where It Fails
- Transaction data fails to sync between older legacy systems and the new SAP S/4HANA core.
- Inventory visibility across disparate systems causes inaccurate stock counts and misaligned demand.
- Procurement workflows require manual data entry due to incomplete integration with supplier systems.
- Demand planning systems lack real-time data inputs from manufacturing, causing production delays.
Talk track
Noticed The Hershey Company is actively modernizing its supply chain with a new SAP S/4HANA core. Been looking at how some manufacturing teams are standardizing data across legacy systems before migrating to prevent integration issues, can share what’s working if useful.
DT Initiative 2: AI Integration for Operational Decision Making
What the company is doing
The Hershey Company actively embeds AI across its operations for enhanced decision-making. This includes using AI for sourcing analytics, plant automation, fulfillment processes, and accelerating R&D product development. They also leverage AI for real-time insights in marketing spend optimization.
Who owns this
- Chief Technology Officer
- VP of AI/ML
- Head of Manufacturing
- VP of Research and Development
Where It Fails
- AI models generate inaccurate demand forecasts when market data inputs contain inconsistencies.
- Automated plant systems produce defects when AI-driven quality checks misinterpret sensor data.
- Marketing AI platforms misallocate spend when real-time consumer signals are not accurately processed.
- Product development timelines extend when AI-generated concepts do not align with current ingredient availability.
Talk track
Saw The Hershey Company is integrating AI across its supply chain and R&D for faster decision-making. Been looking at how some CPG companies are validating AI model inputs to prevent erroneous forecasts, happy to share what we’re seeing.
DT Initiative 3: Digital Lean & Connected Worker in Manufacturing
What the company is doing
The Hershey Company implements connected worker platforms and digital tools to empower frontline factory employees. This initiative provides personalized workflows and real-time data access to operators. The goal is to move away from paper-based methods and drive continuous improvement on the factory floor.
Who owns this
- VP of Manufacturing
- Digital Manufacturing Program Lead
- Plant Managers
- Operations Managers
Where It Fails
- Personalized digital workflows fail to adapt to varied worker skill levels or changing production line conditions.
- Real-time data capture from the point of work contains input errors before feeding into continuous improvement systems.
- Production issues persist due to delayed or incomplete digital hand-off information between shifts.
- Automated work instructions become outdated when product specifications change without system update.
Talk track
Looks like The Hershey Company is empowering its factory workers with connected digital tools for manufacturing. Been seeing how some industrial teams are dynamically adapting digital work instructions to operator skill levels, can share what’s working if useful.
DT Initiative 4: Omnichannel Customer Experience & E-commerce Transformation
What the company is doing
The Hershey Company is expanding its digital channels, including e-commerce platforms and strategic partnerships with online retailers. They are integrating online and offline sales efforts to create seamless customer experiences. Augmented reality (AR) tools are also deployed for field representatives to enhance retail execution and merchandising.
Who owns this
- Chief Customer Officer
- Head of E-commerce
- VP of Marketing
- Head of Retail Partnerships
Where It Fails
- E-commerce platforms display incorrect inventory data, leading to unfulfilled customer orders.
- Augmented reality tools for field reps provide outdated merchandising planograms for in-store displays.
- Customer data across online and in-store channels remains siloed, preventing unified consumer profiles.
- Real-time pricing inconsistencies appear between e-commerce sites and physical retail partner systems.
Talk track
Seems like The Hershey Company is investing heavily in omnichannel customer experiences and e-commerce. Been looking at how some CPG brands are synchronizing inventory data across all sales channels to prevent stock-outs, happy to share what we’re seeing.
DT Initiative 5: Advanced Data & Analytics Platform
What the company is doing
The Hershey Company is building a centralized data store using platforms like Databricks and leveraging SAP Business Technology Platform (BTP), SAP Analytics Cloud, and SAP Datasphere. This initiative aims to broaden data access across stakeholders and enable self-service analytics. The goal is to provide real-time insights to business leaders and field sales teams.
Who owns this
- Senior Manager of Commercial Data Strategy
- Head of Data Engineering
- CIO
- VP of Analytics
Where It Fails
- Data pipelines ingest duplicate records into the data lake, skewing analytical reports.
- Self-service dashboards present inconsistent metrics due to varying data definitions across source systems.
- Field sales teams access outdated customer insights due to delays in data synchronization from retail partners.
- Data quality issues in raw transaction data lead to flawed AI model training for demand forecasting.
Talk track
Noticed The Hershey Company is building out an advanced data and analytics platform for real-time insights. Been looking at how some large enterprises are filtering duplicate data during ingestion to maintain reporting accuracy, can share what’s working if useful.
Who Should Target The Hershey Right Now
This account is relevant for:
- ERP integration and data synchronization platforms
- AI model monitoring and governance solutions
- Connected worker and manufacturing operations platforms
- Omnichannel commerce and retail execution technology
- Data quality and observability platforms
Not a fit for:
- Basic project management tools
- Stand-alone marketing automation software without integration
- On-premise legacy infrastructure providers
When The Hershey Is Worth Prioritizing
Prioritize if:
- You sell solutions that prevent transaction data failures between legacy and new ERP systems.
- You sell platforms that validate AI model inputs to ensure accurate demand forecasting.
- You sell tools that dynamically adapt digital work instructions to worker skill levels on the factory floor.
- You sell systems that reconcile inventory data across e-commerce and physical retail channels.
- You sell platforms that detect and filter duplicate data entries during ingestion into data lakes.
Deprioritize if:
- Your solution does not address specific data synchronization or workflow breakdown issues.
- Your product is limited to basic functionality without deep integration capabilities.
- Your offering does not align with advanced AI, connected worker, or omnichannel initiatives.
Who Can Sell to The Hershey Right Now
ERP Integration and Data Synchronization Platforms
Boomi - This company provides a cloud-native integration platform as a service (iPaaS) for connecting applications, data, and devices.
Why they are relevant: Transaction data fails to sync between Hershey's older legacy systems and the new SAP S/4HANA core, causing operational delays. Boomi can standardize data mapping and ensure reliable connectivity, preventing data loss and inconsistencies during ERP migration and ongoing operations.
MuleSoft - This company offers an integration platform that connects applications, data, and devices, enabling companies to build application networks.
Why they are relevant: Procurement workflows require manual data entry due to incomplete integration between Hershey's SAP system and external supplier platforms. MuleSoft can automate document exchange and consolidate vendor data across the extended supply chain network, reducing manual errors and increasing efficiency.
SnapLogic - This company provides an intelligent integration platform that connects cloud and on-premise applications, data, and APIs.
Why they are relevant: Demand planning systems at Hershey lack real-time data inputs from manufacturing, leading to production delays and misaligned inventory. SnapLogic can integrate diverse data sources from the factory floor and external market feeds into demand planning, enabling more accurate forecasts and responsive production schedules.
AI Model Monitoring and Governance Solutions
Weights & Biases - This company offers a developer platform for machine learning, providing tools for experiment tracking, model optimization, and model versioning.
Why they are relevant: Hershey's AI models generate inaccurate demand forecasts when market data inputs contain inconsistencies, affecting production and inventory. Weights & Biases can validate data inputs and monitor model performance in real-time, ensuring AI-driven forecasts are built on accurate information and remain reliable over time.
Arize AI - This company provides a machine learning observability platform that helps teams monitor, troubleshoot, and explain AI models in production.
Why they are relevant: Automated plant systems at Hershey produce defects when AI-driven quality checks misinterpret sensor data from production lines. Arize AI can detect these misinterpretations, monitor AI model behavior for anomalies, and enforce quality thresholds, preventing manufacturing errors before they escalate.
Connected Worker and Manufacturing Operations Platforms
Plex Systems - This company offers a cloud-native smart manufacturing platform that connects people, systems, machines, and supply chains.
Why they are relevant: Personalized digital workflows for Hershey's frontline factory workers fail to adapt to varied skill levels or changing production line conditions. Plex Systems can dynamically adjust work instructions and task sequencing based on operator proficiency and real-time feedback, ensuring consistent quality and efficiency regardless of who performs the task.
Augmentir - This company provides an AI-powered connected worker platform that optimizes frontline operations through augmented work instructions, remote assistance, and digital workflows.
Why they are relevant: Real-time data capture from the point of work at Hershey's factories contains input errors before feeding into continuous improvement systems. Augmentir can validate data integrity at the source, guiding operators to enter correct information and preventing the propagation of flawed data into analytics and operational reports.
Omnichannel Commerce and Retail Execution Technology
CommerceHub - This company offers an omnichannel commerce platform that connects suppliers, distributors, and demand channels for retailers and brands.
Why they are relevant: Hershey's e-commerce platforms display incorrect inventory data, leading to unfulfilled customer orders and poor customer experience. CommerceHub can reconcile inventory levels across all online and physical sales channels in real-time, ensuring accurate product availability information for customers and efficient order fulfillment.
Promomash - This company provides a retail execution platform that helps CPG brands manage promotions, merchandising, and field sales activities.
Why they are relevant: Augmented reality tools for Hershey's field reps provide outdated merchandising planograms for in-store displays, resulting in inconsistent brand presentation. Promomash can synchronize AR content with real-time product availability and store layouts, ensuring field teams always have the most current and accurate merchandising directives.
Data Quality and Observability Platforms
Collibra - This company offers a data governance platform that helps organizations understand and trust their data through data catalog, data lineage, and data quality capabilities.
Why they are relevant: Data pipelines at Hershey ingest duplicate records into the data lake, skewing analytical reports and leading to incorrect business decisions. Collibra can detect and filter duplicate data entries during ingestion, ensuring the integrity and accuracy of data within centralized repositories.
Alation - This company provides an enterprise data catalog that helps users find, understand, and trust data assets across an organization.
Why they are relevant: Self-service dashboards at Hershey present inconsistent metrics due to varying data definitions across source systems, confusing business users. Alation can standardize metric definitions and provide clear data lineage across all reporting tools, ensuring consistent interpretation and trust in analytical outputs.
Final Take
The Hershey Company is aggressively scaling its digital capabilities, particularly through a dual investment in modernizing its SAP-driven supply chain and integrating AI across core operations. Breakdowns are visible in data synchronization between diverse systems, AI model accuracy, and consistent operational execution on the factory floor. This account presents a strong fit for vendors offering solutions that directly address these system-level failures, ensuring reliable data flow, validating AI-generated insights, and empowering frontline workers with accurate, adaptable digital tools.
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