Previously manufacturing and operations were linear processes, however advancements in the cloud allows manufacturers to recast their processes and produce smart, continually connected products, says CLIFFORD DE WIT, chief innovation officer at Microsoft SA.
Technological development is outpacing the evolution of business processes. In the past, manufacturing and operations were linear processes and companies focused on the customer at the end of the sales cycle only. They lacked the ability to centre the entire manufacturing process around the customer and support an ongoing relationship. Now, the proliferation of the cloud and big data has freed manufacturers to recast their processes and produce smart, continually connected products that deliver real value and strengthen customer engagement.
Across Africa, however, the benefits of this transformation is not reaching every business in every sector. Market research company IDC’s recent study, called State of Digital Transformation in South Africa, looks at how local companies and other African companies from Nigeria and Kenya are leveraging new business, technology, and operating models to disrupt their competitors, customers, and markets in pursuit of business performance and growth.
According to the research, only 48% of South African businesses are engaged in the digital transformation process, compared to 44% in Nigeria and 39% in Kenya. Moreover, only around 44% of local companies are planning or evaluating digital transformation initiatives, while 8% are not engaging, as a result of the lack of funding to do so.
The companies around the globe that are turning digital disruption into their competitive advantage, are doing so because of their measured approach. They are not using technology for its own sake or as a knee jerk reaction to an initiative by a competitor, but instead, they tap into the power of new technology to gain actionable insights from big data and use these as the foundation of better business decisions.
These decisions have a real and significant impact on their business, helping them transform their products and services, enhance and personalise their customer service, streamline their operations, and empower staff to become more productive in every aspect of their job.
Not doing so means leaving the business exposed to competitor and market disruption and the business unable to respond quickly to these forces or changes in customer demands.
Driving the business to transform
There are four market needs that are driving organisations to transform themselves digitally, namely increasing innovation, moving faster, staying connected and getting personal.
Chief amongst these is the need to increase innovation, as companies like Kodak can attest to the cost of not doing so, while digital disruption brands like AirBnB and Uber continue to irrevocably disrupt their respective markets. Traditional businesses must increase the quantity and quality of innovation or risk being crushed by the next digital transformation in their industry.
Next up is the need to move faster, because the pace of change is accelerating at previously unfathomable rates. From sales to operations to customer service, cycle times are ever shorter. Now more than ever, leaders need speedy access to reliable business intelligence to improve their decision-making. They need actionable insight at the right place at the right time and to the right people.
In addition, there is the need to get personal because one size now fits none. Even as our use of technology soars, customers and employees are expecting companies to tailor offerings (and career paths) to their unique needs and to deliver those experiences in a more intimate, personalised one-on-one manner. The true goal is to “co-create” relationships with customers or employees.
Furthermore, there is the need to stay connected with customers, colleagues, suppliers and partners. Collaboration and communication anytime, anywhere, using any platform or device is paramount in the “Peer Economy,” which is characterised by the need to partner with other expert service providers in order to co-create value as well as the rise of the Internet of Things (IoT). The latter means that we are now interconnecting as much around common resources as we are around relationships.
In fact, data analytics firm Gartner forecasts that there will be around 8.4 billion connected things in use globally this year and about 20.4 billion by 2020. The latest development in IoT is the fact that these devices are starting to run cloud intelligence locally, in which case they are referred to as “IoT edge” devices.
Turning data on the Edge into Intelligent insight fuel for your business
Advancements in data analytics and intelligence have enhanced our ability to draw value from the data – transforming information into insight that can be acted upon, even pre-emptively and at the point of business processes to maximise impact.
For example, a factory needs immediate response times to stop operations in the event that an equipment failure is predicted by local intelligence, or to protect worker safety following an accident.
Moreover, the ubiquity of cloud computing puts this disruptive power in the hands of organisations of all sizes, increasing the pace of innovation and competition. Businesses such as hospitals, construction sites and manufacturing plants, where safety and security are paramount can utilise existing commodity cameras together with Azure IoT Edge.
Doing so will enable these devices to recognise people and make sure that staff do not gain access to unauthorised sections or equipment for example, ultimately turning these areas into AI-driven safety zones.
Cost should not be a barrier to digital transformation
For the majority of businesses, it would appear that the associated cost of digital transformation is too high. In fact, IDC’s research show that the biggest barrier to digital transformation is lack of funding to invest in the transformation needed (80% of respondents), while 20% have more pressing business matters. Moreover, 20% view digital transformation as not relevant for their businesses.
Remember that no business or industry will be immune to disruption from more innovative competitors. Every product and service— indeed every aspect of every business—will be affected. And the time to act is now.
Additionally, digital transformation is not something that happens overnight, nor is it a traditional large-scale, one-off transformation process. Rather, it is pivoting to a mind-set of ongoing innovation, iterative updates, and continual growth. To better manage that cost, companies can adopt the approach of ‘rapid incrementalism’, which involves looking at what defines success and changing existing structures to make the most of what they have.
Win a Poster Heater with Gadget and Takealot.com
This winter Gadget and Takealot.com are giving away three Poster Heaters, which look like posters but become heaters when you plug them in.
Three Gadget readers will each win a unit, valued at R550 each. To enter, follow @GadgetZA and @Takealot on Twitter and tell us on the @GadgetZA account how many Watts the heater consumes.
What’s the big deal about these heaters? Many of us are struggling to keep the balance between soaring electricity costs and the need to keep warm this winter.
However, the recently launched Poster Heater by EasyHeat and distributed in South Africa by Takealot.com is not only one of the most cost effective electric heaters currently on the market, it is also easy to setup and use.
As the name indicates, it is a poster similar to one you would hang on a wall. But, plug it in and it turns into a 300 Watt heater. The Poster Heater isn’t designed to heat hallways or large rooms, but rather smaller ones like a bedroom or a baby’s nursery or a dressing room.
It uses radiant heating, which means that it heats up in a couple of minutes and the heat is directed at the objects or people around it, quickly taking the chill out of the air and providing a comfortable ambient temperature.
The other advantage of radiant heating is that it doesn’t dry out the air like infrared or gas heaters. Users also don’t have to worry about their children or pets getting too close to it because, even though it gets hot, it can be touched.
To enter the competition follow the steps below:
Competition entry details:
3. The competition closes on 31 July 2018.
4. Winners will be notified via Twitter on 1 August and Takealot.com will be in touch to organise delivery.
5. The competition is only open to South African residents.
Deezer to host Hotstix’s Mandela tribute playlist
Deezer is celebrating Nelson Mandela on the centenary of his birthday by hosting a tribute playlist created by music legend Sipho “Hotstix” Mabuse.
Mabuse, a legendary figure in African music, first rose to prominence in the 1970s with his band Harari and later developed a name for himself as a solo artist. One of his best known songs was the global hit BurnOut in the 1980s.
The playlist takes the listener on a captivating musical journey through the life of Nelson Mandela. It was compiled by Mabuse, who consulted with Mandela’s family and friends to ensure that the music would be relevant and accurate. The playlist also features commentary by Mabuse, which was recorded in his Soweto home.
“I have tried to tell the story of the music that Madiba loved,” says Mabuse. “The Playlist excludes the time in prison obviously, as Madiba would not have had exposure to music in that time. We have focused on the music we know he loved before and after that period. This recording was really an emotional journey for me, but an incredible opportunity to document these memories.”
The playlist features the music the young Mandela loved, such as The Manhattan Brothers, Solomon Linda, Brenda Fassie and Miriam Makeba. It includes struggle songs from Chicco, Johnny Clegg, Hugh Masekela and Yvonne Chaka Chaka. The playlist also includes Mandela by Zahara, one of the younger artists who caught Madiba’s ear.
Mabuse also offers stories of his own songs, such as Shikisha, a song greatly beloved by the former President.
“I was delighted to share my thoughts and hope the listeners enjoyed the musical journey,” says Mabuse. “Madiba did enjoy music immensely and we all have a purpose wherever we are in the world to celebrate culture and to learn from different cultures and music forms and styles.”
This playlist was inspired by the Nelson Mandela 100 campaign, calling on corporates and individuals to act as sources of inspiration and engage in conversation and action.