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Travel tech Pt 2: War on bill shock

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A major challenge when travelling internationally is to remain connected without breaking the bank. In the second of a series of articles on travel technology, ARTHUR GOLDSTUCK declares war on bill shock.

We may have defeated the monster of interconnect fees that have needlessly inflated cellular bills over the years, but there is another demon to be fought. It may affect fewer people but, for those it does, the effect is far more severe.

It is called roaming, and it represents a monumental assault on both the rights and the budgets of travellers. The worst offender is data use on a phone. The highest price one can pay for data as a South African user in this country is R2 per Megabyte of data downloaded or uploaded, and even that is exorbitant. For those who can afford it, buying a data bundle brings the price down to less than 10c per Megabyte.

Out of the country, however, if you forget to disable mobile data while roaming, the cost can shoot up to as much as R150 per Megabyte. To put that in context, using up a typical bundle costing around R200 for 1 Gigabyte in South Africa will suddenly cost R150 000. And no, that’s not a misprint.

The European Union has recognised the rapacious nature of such rates and dictated a cap of 20 Euro cents for mobile customers of operators within the EU, roaming within the EU. In other words, it doesn’t apply if you come from elsewhere. That means South Africans still have no protection there. The International Telecommunications Union has looked at the issue from a global perspective, but appears to lack the teeth to do much more than “look”.

Part of the problem is that roaming rates are based on bilateral agreements between networks, since there is no cross-border regulator that can enforce rates.

Of course, mobile operators themselves should be more vigorous in addressing the issue. After all, the likes of Vodafone and MTN have vast international networks that could contribute significantly to the debate. However, networks benefit hugely from customers of other networks roaming on their own networks, and have demonstrated little enthusiasm for killing the goose that lays this diamond egg.

In the same way, they fought tooth and nail against the cutting of interconnect fees in South Africa, arguing it would force them to increase rather than decrease the cost of calls.  No one was buying the argument then and, half a dozen cost cuts later, the disingenuousness of the argument has been thoroughly exposed. Right now, we have the same kind of disingenuous arguments around roaming rates.

So, before providing a weapon in the fight against bill shock, let it be firmly stated: the current high international roaming rates for data are unjustifiable, indefensible, and unconscionable. The networks should expect no sympathy or understanding for their arguments justifying the rates. “Just do something about it,” is the message of the consumer.

The weapon

The obvious cure for roaming data is to have a mobile Wi-FI device, commonly referred to as a Mi-Fi, although MiFi is in fact a brand name for a mobile Wi-FI device first manufactured by Novatel. In South Africa, most such devices are manufactured by Huawei, with ZTE and Alcatel also players.

One then needs to pick up a local data SIM card the moment one lands at a foreign airport. The problem is that, at many airports, no such option is available. In some cases, like at Heathrow in the UK, one can pick up incredibly cheap SIM offering unlimited data for a month at less than £20.

At JFK in New York, a more limited option can cost twice as much.

In the USA, the best current option is to visit a T-Mobile store and pay $40 for a SIM card that offers 1GB of data at 4G speeds, and then unlimited data at around 182 kbps. The store assistants will tell you that it’s not usable at that speed and you should pay twice as much for a bigger bundle, but the slower option is in fact quite effective for anything ranging from e-mail to WhatsApp and basic browsing on a phone.

In many countries, even better options are available, but in others the cost is prohibitive. The more countries one visits, the more complex the process becomes.

The best option is, on arrival at a foreign airport, hiring a Mi-Fi device that includes a data SIM card and data allowance, but this also depends on the luck of the airport draw. So far, I’ve found such options at reasonable prices only in Tokyo and San Francisco.

The ideal, of course, it to have an option that is set up even before one departs, and that works anywhere, across countries, cities, airports, transit lounges, and points between. And, fortunately, there is just such an option.

I was rescued on a recent trip through several countries by a device called PocketWifi, from South African company ExceMobile. It looks like a fat Mi-Fi, but its magic is on the inside. It contains no less than six SIM cards, each representing agreements with networks that cover almost every country in the world. One of them also acts as a master SIM through which the device is updated when needed.

The cost of usage may not seem low at first site: ranging from R199 to R349 per day, depending on the country, with 300MB of data included in the rate and a new bundle applied as one uses up each bundle.

High, maybe, but faced with the alternative, of up to R150 for 1 MB, it is not only viable, but is also an obvious solution.

On a recent brief trip that covered Germany and Poland, I incurred an ExecMobile bill of R996, which is high compared to my usual local bill. But the cost, had I been on mobile data roaming on the phone, would have been – hold your breath – R72 300 on MTN, and R73 472 on Vodacom.

Okay, breathe now. It’s okay. You’re going to be fine. You weren’t roaming.

Or were you?

* Arthur Goldstuck is founder of World Wide Worx and editor-in-chief of Gadget.co.za. Follow him on Twitter on @art2gee, and subscribe to his YouTube channel at http://bit.ly/GGadgets

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IoT at starting gate

South Africa is already past the Internet of Things (IoT) hype cycle and well into the mainstream, writes MARK WALKER, associate vice president of Sub-Saharan Africa at International Data Corporation (IDC).

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Projects and pilots are already becoming a commercial reality, tying neatly into the 2017 IDC prediction that 2018 would be the year when the local market took IoT mainstream. Over the next 12-18 months, it is anticipated that IoT implementations will continue to rise in both scope and popularity. Already 23% are in full deployment with 39% in the pilot phase. The value of IoT has been systematically proven and yet its reputation remains tenuous – more than 5% of companies are reluctant to put their money where the trend is – thanks to the shifting sands of IoT perception and success rate.

There are several reasons behind why IoT implementations are failing. The biggest is that organisations don’t know where to start. They know that IoT is something they can harness today and that it can be used to shift outdated modalities and operations. They are aware of the benefits and the case studies. What they don’t know is how to apply this knowledge to their own journey so their IoT story isn’t one of overbearing complexity and rising costs.

Another stumbling block is perception. Yes, there is the futuristic potential with the talking fridge and intelligent desk, but this is not where the real value lies. Organisations are overlooking the challenges that can be solved by realistic IoT, the banal and the boring solutions that leverage systems to deliver on business priorities. IoT’s potential sits within its ability to get the best out of assets and production efficiencies, solving problems in automation, security, and environment.

In addition to this, there is a lack of clarity around return on investment, uncertainty around the benefits, a lack of executive leadership, and concerns around security and the complexities of regulation.  Because IoT is an emerging technology there remains a limited awareness of the true extent of its value proposition and yet 66% of organisations are confident that this value exists.

This percentage poses both a problem and opportunity. On one hand, it showcases the local shift in thinking towards IoT as a technology worth investing into. On the other hand, many companies are seeing the competition invest and leaping blindly in the wrong direction. Stop. IoT is not the same for every business.

It is essential that every company makes its own case for IoT based on its needs and outcomes. Does agriculture have the same challenges as mining? Does one mining company have the same challenges as another? The answer is no. Organisations that want their IoT investment to succeed must reject the idea that they can pick up where another has left off. IoT must be relevant to the business outcome that it needs to achieve. While some use cases may apply to most industries based on specific circumstances, there are different realities and priorities that will demand a different approach and starting point.

Ask – what is the business problem right now and how can technology be leveraged to resolve it?

In the agriculture space, there is a need to improve crop yields and livestock management, improve farm productivity and implement environmental monitoring. In the construction and mining industry, safety and emergency response are a priority alongside workforce and production management. Education shifts the lens towards improving delivery and quality of education, access to advanced learning methods and reducing the costs of learning.  Smart cities want to improve traffic and efficiently deliver public services and healthcare is focusing on wellness, reducing hospital admissions and the security of assets and inventory management.

The technology and solutions selected must speak to these specific challenges.

If there are no insights used to create an IoT solution, it’s the equivalent of having the fastest Ferrari on Rivonia Road in peak traffic. It makes a fantastic noise, but it isn’t going to move any faster than the broken-down sedan in the next lane. Everyone will be impressed with the Ferrari, but the amount of power and the size of the investment mean nothing. It’s in the wrong place.

What differentiates the IoT successes is how a company leverages data to deliver meaningful value-added predictions and actions for personalised efficiencies, convenience, and improved industry processes. To move forward the organisation needs to focus on the business outcomes and not just the technology. They need to localise and adapt by applying context to the problem that’s being solved and explore innovation through partnerships and experimentation.

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ERP underpins food tracking

The food traceability market is expected to reach almost $20 billion by 2022 as increased consumer awareness, strict governance requirements, and advances in technology are resulting in growing standardisation of the segment, says STUART SCANLON, managing director of epic ERP

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Just like any data-driven environment, one of the biggest enablers of this is integrated enterprise resource planning (ERP) solutions.

As the name suggests, traceability is the ability to track something through all stages of production, processing, and distribution. When it comes to the food industry, traceability must also enable stakeholders to identify the source of all food inputs that can include anything from raw materials, additives, ingredients, and packaging.

Considering the wealth of data that all these facets generate, it is hardly surprising that systems and processes need to be put in place to manage, analyse, and provide actionable insights. With traceability enabling corrective measures to be taken (think product recalls), having an efficient system is often the difference between life or death when it comes to public health risks.

Expansive solutions

Sceptics argue that traceability simply requires an extensive data warehouse to be done correctly, the reality is quite different. Yes, there are standard data records to be managed, but the real value lies in how all these components are tied together.

ERP provides the digital glue to enable this. With each stakeholder audience requiring different aspects of traceability (and compliance), it is essential for the producer, distributor, and every other organisation in the supply chain, to manage this effectively in a standardised manner.

With so many different companies involved in the food cycle, many using their own, proprietary systems, just consider the complexity of trying to manage traceability. Organisations must not only contend with local challenges, but global ones as well as the import and export of food are big business drivers.

So, even though traceability is vital to keep track of everything in this complex cycle, it is also imperative to monitor the ingredients and factories where items are produced. Having expansive solutions that must track the entire process from ‘cradle to grave’ is an imperative. Not only is this vital from a safety perspective, but from cost and reputational management aspects as well. Just think of the recent listeriosis issue in South Africa and the impact it has had on all parties in that supply chain.

Efficiency improvements

Thanks to the increasing digital transformation efforts by companies in the food industry, traceability becomes a more effective process. It is no longer a case of using on-premise solutions that can be compromised but having hosted ones that provide more effective fail-safes.

In a market segment that requires strict compliance and regulatory requirements to be met, cloud-based solutions can provide everyone in the supply chain with a more secure (and tamper-resistant) solution than many of the legacy approaches of old.

This is not to say ERP requires the one or the other. Instead, there needs to be a transition provided between the two scenarios that empowers those in the food supply chain to maximise the insights (and benefits) derived from traceability.

Now, more than ever, traceability is a business priority. Having the correct foundation through effective ERP is essential if a business can manage its growth and meet legislative requirements into the future.

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