Alibaba Group and Total (China) Investment have signed a MoU to drive digital transformation of Total’s operations in China. Credit: Business Wire.

Total (China) Investment will drive digitalisation at its Chinese operations after signing a memorandum of understanding (MoU) to form a strategic collaboration with multinational technology firm Alibaba Group.

As part of the MoU, the firms will develop their partnership based on the Alibaba Business Operation System (ABOS).

Total (China) Investment will leverage Alibaba’s digital technologies across e-commerce, local services, supply chain, big data, online payments, as well as organisational management.

Total (China) Investment president Ian Lepetit said: “Digital technology is a critical driver for achieving our excellence objectives across all of Total’s business segments. Total Group’s ambition is to generate as much as $1.5bn in value per year for the company by 2025 through digital transformation initiatives.”

“China has a world-leading environment for digital innovation and a fertile ground for making it a reality.”

Partnering with Alibaba Group will provide digital infrastructure and support for Total’s businesses in China.

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This enables Total to enhance the accessibility of its product offerings and services, as well as expand its retail and outlet footprint in China.

Alibaba Group vice-president Jet Jing said: “It is a privilege to work together and leverage the Alibaba Business Operating System to accelerate Total’s digital transformation, particularly in the areas of product innovations, customer acquisition, order fulfilment, and organisational development.

“We believe the ABOS will support Total to establish a data-technology-driven and customer-centric operating system.”

Total has been operating in China for over 40 years.