COMPANIES must reinvent their digital technology practices to achieve relevant transformation in their business operations, according to a global survey recently conducted by Accenture Plc.
In a survey of 931 executives from 931 countries, 80 percent said they want new efficiencies, new growth and experiences to be delivered all at the same time. The study also revealed that 64 percent of those polled agree that failure to leverage the components of digital value will cause them to struggle for survival in the future.
Accenture Philippines Managing Director John Paul Palpallatoc said the economic modelling aspect checked a range of technological combinations that could best help companies with sales revenues of $1 billion or more. These firms, according to Palpallatoc, can significantly reduce their cost per employee and grow their market capitalization.
Although they covered various industries, Palpallatoc said the aggregations of the technologies—including three-dimensional printing, artificial intelligence (AI), augmented and virtual reality (AR/VR), autonomous robots, autonomous vehicles, big data analytics, blockchain, digital twin, machine learning and mobile computing will provide a major impact to the company’s operations.
For instance, companies in the industrial-equipment sector could realize additional cost savings of more than $43,000 per employee if they combined robotics, AI, blockchain, big data and 3D-printing technologies.
Based on the study, Palpallatoc pointed out that companies that managed to leverage the combination of the new technology could boost their market capitalization by an average of more than $6 billion, according to Accenture’s evaluation of 10 digital technologies across eight industries.
Accenture carried out the economic modelling after its initial research revealed that only 13 percent of executives at more than 900 large companies said their businesses are getting both greater efficiency and business growth through new revenue streams from their investments in digital technologies. Accenture believes this is due largely to piecemeal deployment and implementation of investments in digital technologies.
Industry X.0 is how Accenture defines the digital reinvention of industry, when businesses use advanced digital technologies to transform their core operations, their worker and customer experiences and, ultimately, their business models. New levels of efficiency are achieved in the core of research and development, engineering, production, manufacturing and business support through integrated systems, processes, sensors and new intelligence. Worker and customer experiences are reimagined and redesigned through personalization and advances, such as immersive, AR/VR. New business models and revenue streams are unlocked by smart, connected products, services and plants that are enabled by new ecosystems.
Going digital is not enough, according to Palpallatoc. He added companies must completely reinvent their operating models, production and value chains to create more value with digital.