Sebastian Weber, CIO of E.ON, one of the largest energy company in Europeis always amazed at how little attention it causes when technologies that until recently seemed like science fiction quietly find their way into our everyday lives.
He cited driverless cars in San Francisco, autonomous combat drones and care robots that imitate human behavior as examples. At the conference SAP for Energy and Utilitieshosted by TAC Insights, Weber said these developments both worry and fascinate him.
For an energy company operating critical infrastructure, this pace of technological change is not just fascinating or frightening. It brings with it the responsibility to introduce purposeful, sustainable innovations in a targeted manner.
Riding the waves
Weber sees these technological developments as recurring “big waves” that shape the way we think and feel and fundamentally change the world around us. Who could imagine a world without the Internet today? And hardly anyone would deny that the mobile phone has fundamentally changed IT consumption, especially since the same ease of use is expected in the work environment.
“AI triggers the same reaction,” Weber explained. “If ChatGPT helps me solve my gardening problems, I naturally expect the AI to make my life easier at work too.”
One of the biggest challenges for E.ON is bridging the growing gap between rapid external technological change and internal adaptability. The structure and DNA of the company make it difficult to pick up innovations at the required speed and put them into practice.
This problem became apparent when company management questioned whether sustained high IT spending was justifiable. It quickly became clear: If E.ON is determined to take a leading role in Europe's green energy transition, continuous investment in its digitalized energy system is necessary to ensure system stability, profitability and resilience.
To achieve this goal, the company has defined three strategic priorities: growth, sustainability and digitalization. If E.ON were to fall behind in terms of digital capabilities, this would result in significantly higher costs in the long term.
“In order to bring the system to the required level, internal preparedness is required. This means that we have to seriously deal with investment decisions, prioritization and, above all, with people and the corporate culture,” emphasized Weber. “One thing is certain: there will be no return to the old pace.”
Act strategically
E.ON operates in three areas: energy network, customer solutions and energy infrastructure solutions. This range makes the processes extremely complex and requires scalable, transparent and collaborative working methods across the entire company.
In order to meet these requirements, E.ON is specifically expanding its internal capabilities and investing in its employees. As part of this strategy, over 1,000 professionals were brought on board – including more than 500 in data and 300 in cybersecurity. This is intended to strengthen personal responsibility, collaboration and innovative strength throughout the company.
This step reflects a fundamental belief: IT no longer just has a supporting function, it is an important driver of the energy transition and crucial for securing competitive advantages.
E.ON's transformation is taking place in the face of rapid technological development, and AI plays an essential role at this turning point. Technologies such as AI-supported assistants and automation tools are no longer a novelty. It completely redefines how customers interact with services. E.ON is taking this change into account and integrating modern technologies directly into its core systems instead of treating them as add-ons.
Bridging the gap
Weber explained that digital transformation at E.ON means using the right technology for its core business in order to better serve its 47 million customers.
He first mentioned the standardization of the platform, followed by the cloud ERP transformation and the migration to SAP S/4HANA. Instead of developing fragmented custom solutions, this strategy allows the company to integrate leading technologies into a coherent architecture to ensure scalability and avoid unnecessary complexity. These foundational infrastructure investments have already produced measurable results, including a 77 percent reduction in IT downtime within five years.
On the path to transformation, E.ON has recognized how important it is that digital skills are deeply anchored in everyday operations. “That's why we said goodbye to isolated innovation formats such as ‘Digital Labs' or ‘Experimental Garages' and instead embedded digital tools directly into our business processes,” explained Weber.
While innovation is critical, E.ON places equal importance on governance and control. Managing a digital ecosystem of this scale requires robust governance to ensure security, consistency and cost discipline. To this end, the company has introduced central governance structures, including standardized contracts and unified IT system management.
Investing in the workforce is just as important. Through targeted training and measures to build skills, employees are motivated to convert new technologies into measurable business added value.
Use AI specifically
As with many companies, artificial intelligence is at the heart of E.ON's future-oriented strategy. But the company is deliberately taking a cautious approach. Instead of developing its own platforms from scratch, E.ON relies on partnerships with established technology providers and thus maintains the flexibility of its IT portfolio. This allows the company to explore the potential of AI in customer service automation, predictive maintenance and operational optimization without prematurely committing to unproven solutions.
“Our experience highlights a fundamental truth about digital transformation,” said the IT expert. “Success really depends on the right balance. We must consistently drive innovation, but not at the expense of stability, cybersecurity or governance.”
Digital tools alone are not enough either. Without appropriate training and adaptation to business needs, even the most advanced technologies cannot provide value. E.ON therefore works according to the “BizDevOps” concept. This ensures that digital initiatives are an integral part of business goals and are supported by relevant departments.
Overall, E.ON's transformation illustrates what it takes to undertake major modernization in a complex, highly regulated industry. By consistently increasing IT investments, building internal expertise and a disciplined but future-oriented approach to innovation, the company has positioned itself for the future of the energy industry.
The result goes far beyond improved system performance or reduced downtime. It is a fundamental shift in the way technology drives business success, making it a key pillar for making New Energy work: reliably, affordable and at scale.
