Delek US Holdings, a diversified energy company headquartered in Brentwood, Tennessee, operates across segments such as refining, logistics, and renewable fuels. With a strong presence across the U.S., Delek has been steadily modernizing its operations to remain competitive in an evolving energy landscape.

In this second installment of a three-part series, Ido Biger, Executive Vice President, Chief Technology & Data Officer at Delek US Holdings, sits down with Fred Knops, Senior Vice President at Data Society, to discuss how Delek approaches digital transformation in a highly complex industry.

Biger offers an inside look at how benchmarking against industry peers, creating a dynamic technology enablement heat map, and maintaining a relentless focus on business value are helping Delek drive meaningful change. He also emphasizes why building the right team is the true foundation for success. From change management strategies to ensuring every project aligns with clear business outcomes, Biger shares actionable insights on what it takes to lead technology-driven growth in a challenging sector.

Edited Excerpts

Q: Delek has four main divisions. Do you conduct any internal benchmarking across those divisions? If so, how does that typically work?

No, we benchmark mainly around the “enablement heat map.” In the aviation industry, for example, you compare yourself to other airlines to understand what is considered best in class. But that definition depends entirely on the industry. What is best in class for a telco is not the same as for an airline, and definitely not the same as for a bank.

So, if you are working with a bank, specifically in the compliance or fraud prevention department, you should compare yourself to fraud prevention functions in other banks because you are all facing similar challenges.

I always approach this with humility. You are rarely the first person to encounter a particular issue. Many of your peers have already dealt with it. So the first step is to understand what is happening, not just inside your organization but also within the broader industry you are now part of. What does best in class look like in that space?

That does not mean you need to be the best in class in everything. There are real limitations, whether it is budget, people, or adoption. For instance, if your refinery is in a certain condition and your peers are operating under different conditions, your ability to implement digitalization might not be at the same level. And that is completely understandable.

This is why we created what we call the “technology enablement heat map.” It gives us a view of all the business functions and sub-functions and their level of technology alignment compared to the industry benchmark.

If I see that, for example, the accounting function in the finance division is marked yellow, it does not mean the accounting team is not performing well. It simply means that, from a technology standpoint, they are operating at the industry average. If they are green, that means their systems and implementation are enabling them better than most of their peers.

This helps us put things into perspective. And when we show this to the board or management team, it becomes part of the strategic conversation. Which projects should we pursue to move a function from yellow to green, or red to yellow? How much time will that take? How much investment will it require?

Based on that, we build a roadmap looking two, three, or even five years ahead. It is important to remember that we will not be green across the board. Even if we are yellow today, other companies are moving forward. So today’s yellow might become tomorrow’s red, and today’s green might become tomorrow’s yellow.

That is why we need to keep pushing forward just to maintain the current level. It is also why alignment with the board of directors, the executive team, peers, and the wider organization is so important.

Q: When driving change, people often talk about the three pillars: people, process, and technology. Where do you begin? Do you focus on one first, or address all three together? And how does that focus evolve over time?

None of the three is less important than the others. But if you don’t have the right people, the rest doesn’t matter. With the right team, you can build the right processes together and identify the right technologies to support them.

If you have the wrong people, even the best technology won’t work. If you have a great process but the wrong team, it won’t work either. So, you have to start by establishing the right team. And if you’re building a business-driven division, that team needs to understand the business first. They also need the proficiency to drive things forward to be both translators and enablers.

When you shift the perception of a tech or IT person from just a developer to an enabler, it changes how your leadership and colleagues see you. When they hear that your purpose is to enable their aspirations and help deliver on business strategy, it elevates their trust. Suddenly, they feel empowered like they can achieve more because of what you help them do.

And when that mindset trickles down to developers and the rest of the team, it creates alignment. Everyone starts thinking: what’s the right process? What’s the right technology? But it all begins with the right people who understand their role is to enable the business.

Q: How do you make sure the changes you’re driving stay connected to business outcomes? In a complex industry like refining, are there specific tools or habits you rely on to stay focused on what really matters economically?

I’ve read articles about this, and the one I like the most is The Amazon Way. Before they even start something, they begin with the press release. They ask a simple but powerful question: What will the press release say once this project is complete? Does it make sense? Does it add value?

For example, will it say, “By doing this project, we generated $12 million a month,” or “We cut costs by $1 million a month”?

That leads me to a key question we ask ourselves every day: In what way is Delek US better today than it was yesterday because of the things we’ve done? You need to have a clear answer to that. Otherwise, you’re not focusing on what truly matters.

Same goes for projects: In what way will Delek US be better once we finish this project, compared to today? If we don’t have a clear answer to that, we don’t even start. That mindset isn’t unique to us, but it’s very aligned with how we think about value.

Usually, the people who should answer that question are the business leaders. They’ll say, “My day will change because of this. I’ll be able to do 1, 2, 3, 4, 5, and that will save me 1, 2, 3, 4, 5. It will enable me to do X, Y, Z.” Without that clarity, there’s no point in moving forward. That’s what helps us stay focused.

Another thing that keeps us aligned is setting clear priorities. In my L1 and L2 discussions each week, we always start by reviewing the priorities. And by the way, you can’t change priorities every week. They stay with you for at least a quarter or two. These are the priorities, stick to them.

So when you have two things on your plate and you’re unsure where to focus, you go back to the priorities. Make sure they align with our direction. And of course, we attach goals, bonuses, and incentives to those priorities, which makes it easier for people to focus on what actually delivers value rather than on things that may be exciting, but don’t.

CDO Magazine appreciates Ido Biger for sharing his insights with our global community.