Business process optimization drives impact investing at Cemex

Business process optimization is undergoing a radical transformation as companies harness the power of digital technologies, artificial intelligence and sustainability-driven strategies to enhance efficiency and profitability.

Organizations that embrace these advancements are moving beyond automation to completely rethink their operational models, unlocking new levels of resilience and financial growth. Cemex Inc., a global leader in building materials, exemplifies this shift by integrating AI, data-driven decision-making and eco-conscious innovations into its business strategy. By leveraging cutting-edge technology and sustainable practices, Cemex is optimizing its supply chain, driving operational efficiency and significantly reducing its carbon footprint, setting a new industry standard for business process optimization, according to Maher Al-Haffar (pictured), chief financial officer of Cemex Inc.

Cemex’s Maher Al-Haffar talks to theCUBE about business process optimization.

“We made it a real front-and-center target and goal to decarbonize,” Al-Haffar said. “We follow it every month in our executive committee. Even our compensation, frankly, is partially connected to how we perform on our decarbonization targets.”

Al-Haffar spoke with theCUBE’s Dave Vellante at the “AI-Powered Business Operations: Strategies for End-to-End Transformation” event, during an exclusive broadcast on theCUBE, SiliconANGLE Media’s livestreaming studio. They discussed how Cemex is leveraging business process optimization through digital transformation, artificial intelligence and sustainability-driven strategies to enhance operational efficiency, financial performance and environmental responsibility. (* Disclosure below.)

Business process optimization: Transforming Cemex’s financial strategy

Cemex has been proactively adopting state-of-the-art technologies to streamline its finance function and enhance business efficiency. By consolidating data across various platforms, the company has gained deeper insights into operational performance, enabling smarter decision-making and more effective risk management, according to Al-Haffar.

“When I took over as CFO back in June of 2020, after kind of spending some time thinking about the world, one of the things I thought about was, ‘What should define my being CFO at the company in the areas that I’m responsible for?’” he said. “I told my team, I really would like us to be the guys who ushered in the digital CFO.”

Cemex has made significant strides in digital transformation by integrating AI, middleware analytics and advanced data processing into its financial strategy. The company has worked with technology partners such as IBM Corp. to enhance operational processes and improve the accuracy of financial forecasting. This data-driven approach has allowed Cemex to optimize workflows, reduce inefficiencies and increase profitability.

“We spent a couple of years taking all of our data from our ERP systems, which are not necessarily connected to each other, put it in a data lake, cleaned it up, came out with all of the consolidated numbers, which then was giving us the ability to use middleware to do a bunch of analytics, trend analysis and process redesign,” Al-Haffar explained.

By focusing on technology-driven financial strategies, Cemex is not only improving its internal processes but also strengthening its competitive position in the global market. The company’s investments in AI and data analytics are yielding tangible benefits, helping it navigate complex financial landscapes and drive sustainable growth, Al-Haffar added.

“We’re just scratching the surface,” he said. “We’re just starting to do that. I’m very excited about the future of using technology and particularly AI. The faster computing gets and the cheaper it becomes, the more we can use it to almost act as a second brain for us while we’re conducting our business.”

Sustainability and profitability: Cemex’s dual approach to success

Cemex is not just focused on digital transformation; it is also deeply committed to sustainability, integrating environmental initiatives into its core business strategy. The company’s sustainability efforts are not just about corporate responsibility — they are also a strategic investment in long-term profitability, according to Al-Haffar.

“The reality is we are in it for both,” he said. “We are in it because we think it’s the right thing to do. We do believe that the world is heating up, and we do believe that our business does contribute to greenhouse gas emissions, particularly CO2, as part of the industrial processes and the fuels that we use.”

To reduce its environmental impact, Cemex has developed new solutions such as urban mining, where demolition waste is recycled into new building materials. By investing in decarbonization and alternative fuel sources, the company is actively working to lower its carbon footprint while maintaining financial growth.

“Everybody’s aligned in the company, not just emotionally, but financially, to make sure that we get those targets in place,” Al-Haffar emphasized.

Cemex’s sustainability-driven strategy illustrates how environmental responsibility and financial performance can go hand in hand. By prioritizing both digitalization and sustainability, the company is setting a new benchmark for innovation and profitability in the construction materials industry.

Here’s the complete video interview, part of SiliconANGLE’s and theCUBE’s coverage of the “AI-Powered Business Operations: Strategies for End-to-End Transformation” event:

Plus, don’t miss the event entire episode:

(* Disclosure: TheCUBE is a paid media partner for the “AI-Powered Business Operations: Strategies for End-to-End Transformation” event. Neither IBM Corp., the sponsor of theCUBE’s event coverage, nor other sponsors have editorial control over content on theCUBE or SiliconANGLE.)

Photo: SiliconANGLE