Digital transformation

Introducing our Digital Plan to boost business strategy through digitalisation

R&D Digital Internet

Digitalisation has become a key ally for companies to seize opportunities and overcome challenges in a rapidly evolving context, and to do so with agility, security, efficiency and a people-centric approach. Digitalisation is at the heart of all business processes, accelerating them and bringing value and new opportunities.

Iberdrola, at the forefront of digital transformation.
Iberdrola, at the forefront of digital transformation.

At Iberdrola, digitalisation and innovation have been an essential part of our business for decades, and the use of information technologies has become a fundamental asset for the company.

Digitalisation to boost our strategic objectives

Our Strategic Plan 2024-2026 includes an investment of €41 billion to accelerate the energy transition in different sectors, focusing on expanding electricity grids and increasing renewable capacity, offering new value-added solutions. Energy transition’s goals are clear and deadlines are very strict. This is why now that we are at an accelerating pace, digitalisation is, more than ever, key to ensure this effective and on-time transition.

Iberdrola's Digital Plan affects all of our business areas, accelerating their digital transformation. A transversal effort to drive the Group's strategy and promote a digital culture, while providing tools, skills and solutions that create value for all our stakeholders.

To make this transition happen, Iberdrola is committed to:

  • The decentralised governance model for information technology (IT). By creating our centres of excellence, we drive business strategy from within through digitisation, using cross-disciplines to maximise the full power of knowledge and the use and deployment of best practices.
  • A comprehensive cyber security strategy that focuses on integrating cyber security into business operations and decision-making, with a focus on protecting information and our platforms, early incident detection and resilience.
  • The transition to the cloud. Through a plan to migrate our business platforms and applications to cloud environments, to gain flexibility, speed, availability, agility and global coverage.
  • An AI growth plan. We introduce efficient improvements using the latest capabilities provided by generative AI, guaranteeing respect for people, security, transparency and explainability through our Policy for the development and responsible use of AI tools, aligned with the new European regulation, IA Act. The use of generative AI will allow us to immediately improve our dealings with customers, offering a better service in terms of quality and speed, and enriching and personalising the user experience.

By 2024, €290 million will go to digital projects in business with a focus on growth and efficiency

Need for decarbonisation

  • Renewable energies’ growth
  • Smart grids of the future
  • Smart Solutions

Operational excellence

  • E2E asset management and supply chain excellence
  • Remote and smart operations
  • Process efficiency

People

  • Digital culture
  • Putting customers at the centre
  • Talent Care
  • Personal Productivity
  • Democratisation of data
Ignacio Galán

"In the same way that we were pioneers decades ago in the commitment to renewable energies, we have also been pioneers in the digitalisation of electricity grids and now we are pioneers in the use of artificial intelligence and big data."

Ignacio Galán

Iberdrola's Executive Chairman

The digital impact on our value chain

At Iberdrola, we understand digitalisation as an enabler that directly contributes to the response we give to changes in our environment and accelerate our green growth. We see this impact directly reflected in the value chain of our businesses:

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Renewables

For greater sustainable energy autonomy, we must install more renewable capacity. Digitalisation acts as an accelerator to deploy this energy transition in time.

  • Smart planning for work in the field.
  • Mobile digital management for field operations and logistics.
  • Unified digital platform for promotion, development and construction.
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Grids

Smart grids are the backbone through which green energy is transmitted. Digitisation allows us to provide the grid with sufficient capacity and flexibility to efficiently and agilely support the process of electrifying the demand and decarbonising generation.

  • Digital twins for better asset management.
  • Smart fieldwork planning.
  • Transformation of the new supply process.
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Customers

Digitalisation contributes to developing and promoting green products. In addition, we manage to make the solutions we propose to our customers more flexible, fostering their satisfaction and loyalty, and raising our service to the highest standards.

  • Personalisation of customer communications.
  • Real-time virtual assistant for agents.
  • Artificial Intelligence for complaints management or email support.
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 SEE INFOGRAPHY: The digital impact of our value chain [PDF]

Tools to ensure digital transformation

We implement the following tools to ensure that digital transformation delivers value for sustainability, people and growth:

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Technology

We use cutting-edge digital technologies to deliver innovative and valuable solutions to our businesses, employees, customers and suppliers, offering an excellent, agile and secure operation and service experience.

  1. Cloud acceleration
  2. Cybersecurity
  3. Focus on digital platforms
  4. Core modernisation
  5. Generative artificial intelligence
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Maximising business value

A comprehensive model to prioritise our digital portfolio to ensure that solutions with the greatest impact are implemented and that investment and resources are allocated to the projects with the highest return.

  1. Quantifying digital value
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Governance

Policies, procedures and practices that ensure effective, ethical and secure management of digitisation.

  1. Franchise model of digitisation
  2. Transformation into a data-driven company
  3. Artificial intelligence governance
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Process efficiency

Optimising business processes by using digital technologies to improve productivity, reduce costs and increase the speed and quality of operations.

  1. Automation
  2. Robotisation
  3. Process mining
  4. Reduction of time-to-market
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Disruptive innovation

Going beyond the digitisation of existing processes, looking for creative and disruptive ways to improve how organisations operate and deliver value.

  1. Connectivity of remote environments
  2. Autonomous inspection systems
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Digital culture

Changing our company's mindset and practices to embrace and leverage digital technologies, fostering understanding and adoption of new ways of communicating and thinking.

  1. Employee-centred culture
  2. New ways of working
  3. People development and training
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Awards and recognitions

The Group has received important international awards and recognition for our commitment to digital transformation. You can see here some of the most representative ones, divided by year:

    • We received the MF TALENT 2024 Talent and Innovation award for having a disruptive digital structure, and for standing out in our innovation projects in R&D&I, sustainability and influence in digital transformation and energy transition. We are also in the top 5 of the best human resources teams.

    • Our US subsidiary Avangrid's Customer Experience and Digital Centre of Excellence has received the Cultural Transformation Award as part of the Smart Energy Consumer Collaborative 2024 Best Practice Awards, which highlight innovative ways that electricity providers are improving customer experience and engagement and recognize best practices within the industry.

    • Our subsidiary in Brazil, Neoenergia, has received the Alta Award from UTCAL Summit 2024, which recognises initiatives that have stood out for using technology for the benefit of society, such as “Recomposição Automática da Rede (AGR)”. This is an important step towards technological transformation to address the needs of customers, as it is a centralised self-repair mechanism equipped with intelligence capable of locating, isolating and restoring distribution networks in very short times.

    • We have been named Company of the Year 2023 in the CIO 100 Awards Spain for our work to become a leader in digitalisation. This award recognises us as an example of how to organise and invest to deliver a digital transformation that supports the company's strategy and makes it more efficient and effective.

    • We lead the ranking of the best companies with the greatest capacity to attract and retain talent in Spain, according to Merco Talento España 2023.

    • We have been awarded for Excellence in Sustainability and Digital Transformation of our Procurement Process by the German multinational SAP during the SAP Spend Connect 2023.

    • Our distributor i-DE has been recognised for the Best Customer Experience Strategy 2023 from the Customer Experience Development Association, DEC, becoming the first energy distributor in Spain to receive this award.

    • We are the company that best managed Internal Communication in Spain in 2023, according to PRNoticias.com. The Comisión Nacional de los Mercados y la Competencia (The Spanish National Markets and Competition Commission [CNMC]) also recognises our good work in terms of customer service.

    • We are the Ibex company that connects the most on social networks, according to the report 'IBEX 35 Panel on social networks 2023', also connecting Iberdrola's great business and social project with our different audiences in the digital sphere. In 2023, we also lead, for the second consecutive year, interactions on social networks among the companies of the Ibex 35, with a share of 34.92%.

    • In the energy sector in Spain, we are the company with the best positioning in mobile, according to our MPIx - Mobile Performance Index (83). We are also the best rated (NPS - Net Promoter Score) and have the highest market share (28.1%). Furthermore, our Public Charging APP (related to charging points for electric vehicles) is also the most highly rated in the sector (NPS: 4.5).

    • We received the Forbes Innovation Award by Kyndryl 2023 in the Disruptive Technology category for the 'WALL-I Virtual Walls' project, a security system that uses vision and augmented reality (AR).

    • Avangrid received the 2023 Lewis Latimer Top Innovator in Design Award for "Simulation of cybersecurity events in the metaverse" project, which allows to simulate, in a secure virtual environment, cybersecurity incidents affecting an electricity substation.

    • Neoenergia was recognised in the Digital Communication category of the SMART CUSTOMER 2023 Awards, with the case “Humanising Digital Transformation: How communication and data analysis strengthen the Customer Experience”. It is also the company with the most awards in the ten years of existence of these awards, which recognise business practices that offer the best experience to customers and employees.

    • Neoenergia was also recognised in 2023 as one of the most innovative companies in the country's leading innovation ranking, the Valor Inovação 2023 Award. In a historic achievement, the company ranked among the top 5 most innovative companies in the electricity sector.

    • We won the Forbes Innovation Award by Kyndryl 2022 in the Disruptive Technology category for “R0V3RT” project that implements an autonomous robot using AI, Edge Computing and cloud for the inspection of electrical substations.

    • ScottishPower, our Scottish subsidiary, was awarded the 2022 UK eCommerce App of The Year in recognition of its digital commitment to providing customers with the best possible user experience on its iOS and Android apps.

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