The consumerisation trend has massively raised the bar for what we expect of our business applications. Together with emerging technologies like AR, VR, and voice activation, this redefines enterprise software experience, says Dan Matthews, CTO at IFS.
User engagement and profitability
The clear link between user engagement and profitability is beyond doubt. This has been apparent on the consumer side for years. Moreover, just look at Walmart’s massive 2016 redesign of its UX and ecommerce platform, which resulted in 214% growth in digital visitors, and Bank of America, which increased its online banking registration by 45% after a UX redesign of the process.
Surprisingly little research is available on the topic of how enterprise software usability affects profitability. In my discussions with customers, I see that businesses are increasingly realising that UX correlates closely to user engagement. The implications of successful UX make it way more than just a satisfaction ranking. Increased workforce engagement is tied closely to improved performance, motivation and persistence, before we even get to effectiveness, time and cost savings, or the improved employer branding advanced UX applications give. All of this results in increased profitability.
An IFS usability study of over 200 enterprise software users in industrial companies found a strong correlation between digital transformation and software usability. Respondents who said their enterprise software prepared them for digital transformation, for instance, were 400 percent more likely to say their enterprise software was very easy to use. Software usability can also affect employee retention among experienced staff. In the same survey, almost 46 percent of the middle-age demographic would consider changing jobs due to poor enterprise software usability.
One concrete example is Deloitte, which states that incorporating usability into the redesign of a client’s ERP systems led to a 300% increase in worker productivity, a 55% reduction in training time and a 21% improvement in upsell and cross-sell. It is apparent that there is a close correlation between business success and software usability in the enterprise market as well.
Key trends reshaping enterprise software UX
A couple of strong trends from the consumer market are redefining the meaning of enterprise software UX today. Let’s take a closer look at those.
Consumerisation: The consumerisation trend has been ramping up for a couple of years now and consists of two interconnected developments:
– Mobile is the new normal: As we use mobile phones for everything in our personal lives, this also raises the bar for how we expect to use enterprise software on our phones. A growing number of organisations are implementing responsive designs that adapt across platforms and screen sizes to allow various mobile devices to interact with business software. “Mobile first” has become a common UX strategy for consumer software. Although in enterprises the majority of work is still done on laptops and desktops, mobile has to be an equal possibility for users. So, whereas mobile first might apply for a number of specific business processes within enterprise software, mobile as a choice applies to all processes.
– Consumerised usage behaviours: As people are getting used to swiping on their smartphones and using chat apps, such as WhatsApp or Facebook Messenger, this quick interaction has also become what they expect from enterprise software. Delivering an intuitive, clean and visually appealing UX that allows quick actions without going through too many steps before performing a task is a must. This has been the motivator behind IFS enabling companies in China to interact with IFS Applications through the popular WeChat social networking service.
Personalisation: Rapidly increasing data volumes within organisations have made it even more urgent to personalise information and make it available at a glance. The CEO needs top-level financial data whereas the service engineer may need the latest asset status from the energy plant or manufacturing line. Role-based user interfaces have been developed to meet these individual needs. When paired with new technologies such as AI and machine learning, the role-based interface can also become intelligent, predicting how you want your personalised interface displayed and automatically adapting what information is shown, for example depending on the device you use and how much is practical to display. The future user interfaces will be smart and evolve to learn from your past actions and preferences.
Voice and chat UX: UX does not just have to be visual, forms and lists. Consumer-focused interfaces, such as Siri, Cortana and Alexa, have accelerated the adoption of voice and chat as an interface in the enterprise arena as well. The benefits are clear; you can search for data and perform tasks within your system using voice or chat through Skype, Messenger, or any other channel instead of having to use a dedicated enterprise application and click through endless menus and structures. This provides vital benefits for casual users, who can interact in a more convenient way, and for professionals such as service engineers, who can use their hands when repairing an asset while searching for instructions using their voice.
Virtual, augmented or mixed—reality becomes a UX: Moving us even further beyond screen display or voice notions of UX, is the growing take-up of AR and VR. Since its start 10 years ago, augmented reality has matured fast. Companies like XMReality offer AR remote guidance, where field service experts can help maintenance engineers in the field solve complex problems as if they were physically present. Such technologies have gone from being exploratory R&D projects to mature solutions extraordinarily quickly, and it will not take long before we see broader adoption.
Another opportunity to leverage these technologies is through mixed reality, which combines augmented reality and virtual reality using devices such as the Microsoft HoloLens. Imagine service engineers who can visualise data from the business software directly on an asset that is to be serviced via their safety glasses. This will make it possible to work on repairing the asset with both hands, while having the service instructions right in front of their eyes! The intuitive, easy-to-use UX of mixed reality, combined with enterprise software data, could reshape how we think about enterprise UX in the future. This scenario is actually an ongoing research project within IFS Labs.
How do you measure user engagement?
The technologies discussed above are in varying states of maturity. But no matter what technology is used, measuring the success of your software UX will always be key. User engagement is so important today that it must be monitored just like customer satisfaction or other important KPIs. You can do it in a number of ways, from having the users rank features in a usability index, track when and how features are used, or arrange feedback sessions with user groups. UX also has an impact on important business metrics such as employee productivity and employee satisfaction (and retention). It is important not only to assess all of these parameters before, during and at the end of a specific implementation, but they should also be continual gauges of operational success.
Here is 2019’s tech
From AI to flexible displays, this is the tech that will shape 2019, writes CY KIM, MD of LG SA
2018 was incredibly exciting for the technology sector which has seen myriad advancements. These include the fundamentals of artificial intelligence (AI) being established, robots helping around the house and consumer electronic innovations such as TVs that are so thin, they might be mistaken for windows, or paintings.
2019 promises to be another significant year as people’s attitudes are changing and technology becomes embedded in our lives. Smart electronics manufacturers will ensure their plans for the future match evolving consumer needs with suitable technology.
We take a look at the biggest innovations for 2019 from AI to lightning-fast internet speeds and flexible viewing surfaces, and we shed some light on how these evolving technologies will impact on how we live and work.
AI will come of age
AI has experienced a marked increase in investments and according to Forbes, 80% of enterprises are investing in AI while 30% are planning to expand their AI investments in the next three years. It’s estimated that during 2017, venture, corporate and seed investors put about $3.6-billion into AI and machine learning companies.
This investment trend has given rise to innovation in deep learning products that have the potential to change the world for the better.
Yes, AI has been around since the 1950s, but its consumer benefits weren’t visible until recently and 2019 will be the year when AI starts to really take off and become a necessity, not just in the home, but in every facet of our lives.
The potential of AI is endless as this technology goes into everything from small watches to cars and even gigantic, connected smart cities. AI is also starting to find its way into TVs, washing machines, refrigerators, speakers, mobile phones and even air cons as products adapt to human behaviour.
Lightning-fast internet speeds
Faster internet speeds enable quicker response times for business tools that we all rely on to get the job done. It will increase the efficiency of workers and will provide reliable communication tools for companies that rely on remote workers.
Given that the so-called gig economy has grown exponentially in recent years, the expectation is that the evolving workforce will contain a higher percentage of employees, or contractors who do not work in a central office.
5G has the potential to change the world the way the internet did a few decades ago. The fifth generation of wireless technology will take internet connectivity to a new level as the internet of things (IoT), will bring about the potential for everything to be connected to everything.
However, 5G is not just about faster internet speeds. It will create new possibilities in numerous sectors, including medicine, transportation and manufacturing.
A smarter world through IoT and AI isn’t possible without 5G’s speed and capacity as the system is able to carry large numbers of connections simultaneously, and is therefore crucial to the development of smart cities, autonomous cars and smart homes.
Life-enriching smart technology
Much like technological innovations, consumer habits and preferences are changing drastically when it comes to home appliances and particularly, home entertainment.
Most consumers believe that advancements in home entertainment tech is life-enriching and that their life is better with the latest tech at their fingertips as it allows them to stay indoors and enjoy quality time with friends and family.
The value of home entertainment tech lies in how it allows loved ones to share experiences, thereby bringing them closer together, particularly during big events such as major sporting events and holiday celebrations.
The potential of flexible viewing surfaces will not only change home entertainment, but also marketing techniques in shopping malls, city centres and shop fronts. With the ability to curve around any environment, this technology creates the perfect platform for signage and consumer engagement that stands out from the crowd.
LG Electronics is an established market leader in innovation and has already started to incorporate these futuristic technologies into its products, which are designed to make consumers lives more convenient. We will continue to release amazing products that utilise smart tech to connect with consumers while staying ahead of the evolutionary curve.
AI will power IoT
A simple gesture. A world built from accessible assets that drive human convenience and interaction. This is the future that’s powered by the Internet of Things (IoT) and artificial intelligence (AI), two of the planet’s hottest topic trends right now for a very good reason. They work, says PHATHIZWE MALINGA, managing director of SqwidNet.
They are also the fuel driving digital transformation in 2019. These are the technologies revolutionising performance, process and productivity. They are also transforming industry challenges across agriculture, retail, health and the public sector and are set to continue on this path well into 2019.
IoT has become the central nervous system of technology, allowing users to make intelligent decisions without feeling overwhelmed by choice or technology. Its ability to make life easier on every level – business, consumer, public sector – is the next step of the IoT evolution as it improves quality of life using AI and machine learning to analyse past behaviour and the insights it gleans to change the future.
This is the vision of the perfect IoT and AI future. The two technologies so intertwined and connected that they are influencing one another’s growth, development and adoption. IoT provides the ability to generate data from the changing circumstances of an asset and the infrastructure required to transport that data to where it can be accessed and analysed. Considering the sheer volume of data generated, it is impossible for a human being to analyse it at the speed required for real-time decision making. And this is why AI has become so important.
Today, it is possible to write code that can read the data generated by IoT and identify meaningful patterns at the right speed. This code can also be written in such a way that it can learn from the results it found the last time it ran. It is code that can learn, an algorithm that can self-educate. In this way, AI requires the power of IoT to generate the data it needs to learn and IoT needs AI to ensure that this data can be made meaningful, in time.
Over the next six to 12 months, it is very likely that the potential of IoT will see numerous small players emerge across all industries. They will be focused on servicing those who have yet to experience the full benefits of IoT and they will use technology to deliver solutions that are just ‘good enough’. This could potentially see the more established players being disrupted but most will likely be using the same technology to innovate and to create solutions that don’t just meet customer expectations but transcend them. Of course, there will be some companies that will remain complacent and they will be the ones battling for customer attention out on the IoT playing field with the small, fresh players.
While on the topic of the customer, the next year is likely to introduce a lot more variety and scalability. The consistent drop in the cost of technology will allow for more choice in solution and capability and this will have a knock-on effect with regards to quality of life and the choices customers make when it comes to solution and service provider.
On the business frontier, the growth of IoT and AI offer an interesting bouquet of choices and opportunities. They allow for investment into solutions that generate better insights that, in turn, generate better products and services. Organisations that ignore this potential or think they can sidle on past what IoT and AI bring to the business are likely to be the ones that are left behind. It’s a cliché for a reason. A single look back at the companies that have emerged as big players in industries previously perceived as impenetrable proves the point. Innovation isn’t optional, it’s an essential part of business DNA and both IoT and AI are critical parts of the ability to innovate at speed, with relevance, and on time.