Kesko partners with TCS to drive AI-powered Retail Transformation across Nordics and Baltics

THEBUSINESSBYTES BUREAU

HELSINKI/MUMBAI, AUGUST 20, 2025

Tata Consultancy Services (TCS), a global leader in IT services, consulting, and business solutions, has been chosen by Kesko, Finland’s leading retail group, as its strategic technology partner to drive large-scale digital transformation across the Nordics and Baltics.

The multi-year collaboration aims to modernize Kesko’s core technology landscape, accelerate the development of next-generation digital services, and enhance business agility. By leveraging AI, automation, and cloud-based solutions, Kesko will strengthen operational efficiency, reduce costs, and improve customer experiences across its grocery, car, building, and technical trade businesses spanning Finland, Sweden, Norway, Denmark, Poland, Estonia, Latvia, and Lithuania.

Under the engagement, TCS will provide comprehensive AI-enabled application management services, using machine learning and intelligent automation to proactively monitor systems, resolve incidents, and optimize performance across Kesko’s SAP and non-SAP environments. The transformation will be powered by TCS ignio AIOps and the TCS RiO (Rigor in Operations) framework, enabling predictive and proactive incident management at scale.

Arto Hiltunen, Chief Information Officer at Kesko, said: “As the largest trading sector operator in Finland and one of the biggest in Northern Europe, we are committed to staying competitive and delivering greater value to our customers. Partnering with TCS will help us continuously improve quality, efficiency, and multichannel customer experience, while strengthening our resilience in a dynamic business environment.”

Subhadipta Samantray, Country Head, TCS Finland, added: “We are excited to support Kesko’s digital journey with our AI-driven solutions and deep industry expertise. This partnership sets a benchmark for the retail sector, showcasing how advanced technology can transform customer experience and business agility.”

The engagement also includes hosting and modernization of SAP environments, along with end-to-end support for digital applications. TCS’ ignio AIOps, built on an agentic SaaS architecture, will autonomously resolve IT issues across hybrid and multi-cloud ecosystems, enabling Kesko to move faster in the marketplace.

Abhijit Niyogi, Head of Retail – UK, EMEA, and India, TCS, said: “The retail sector is undergoing a technology-led transformation, with customer expectations evolving rapidly. For Kesko, seamless IT services and agile operations are essential to scale in a competitive market. Our partnership is designed to deliver not just operational excellence but also long-term sustainable, customer-centric growth.”

With over three decades of presence in Finland, TCS is consistently ranked among the top in customer satisfaction by independent surveys and has been certified as a ‘Top Employer’ by the Top Employers Institute. To further accelerate innovation in the region, TCS recently launched its first TCS Pace Studio in Stockholm, a hub for rapid prototyping and co-innovation, which is part of TCS’ global Pace innovation network.