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Accenture Technology Vision for Industrial 2016

New technologies are not just transforming how industrial companies manufacture their products. They are also having a profound impact on workforce and marketplace dynamics, creating new pathways for collaboration – amongst people, machines and organizations. Increasingly, companies’ destinies will be defined by how successfully they use digital to reorient their workforces, enable collaboration and both anticipate and drive disruption.

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Accenture Technology Vision for Industrial 2016

  1. 1. Industrial & Automotive: retooling for digital advantage Accenture Technology Vision for Industrial 2016
  2. 2. Pivoting to digital: New technologies are not just transforming how industrial companies manufacture their products. They are also having a profound impact on workforce and marketplace dynamics, creating new pathways for collaboration – amongst people, machines and organizations. Increasingly, companies’ destinies will be defined by how successfully they use digital to reorient their workforces, enable collaboration and both anticipate and drive disruption. Copyright © 2016 Accenture All rights reserved.
  3. 3. More and more companies are discovering that it’s how technology and people work together that is creating whole new vistas of opportunity. It is a phenomenon that is playing out in all five key trends of this year’s Accenture Technology Vision for Industrial 2016: The five technology trends for Industrial Intelligent Automation Liquid Workforce Platform Economy Predictable Disruption Digital Trust Copyright © 2016 Accenture All rights reserved.
  4. 4. Automation is a defining characteristic of industrial businesses everywhere. But today, its principal purpose is no longer solely cost reduction and operational efficiency. In fact, in our survey, industrial executives say that their top reason for automating tasks is to innovate and create new business models. Intelligent Automation The essential new co-worker for the digital ageTREND ONE Copyright © 2016 Accenture All rights reserved.
  5. 5. Machines and software intelligence are bringing new skills into the workplace The people + machines nexus will create “The Perceptive Enterprise”: companies that sense and respond rapidly to the needs of their businesses and customers The industry is investing more in automation. have increased their investments in deep learning 85% plan to up their spend on machine learning 78% Copyright © 2016 Accenture All rights reserved.
  6. 6. The penetration of digital technologies into industrial companies is having a profound impact on the workforce in these organizations. The priority for most companies is now to find ways of reskilling and retooling their people to take advantage of the enormous benefits that digital can bring. Liquid Workforce The workforce for today’s digital demands TREND TWO Copyright © 2016 Accenture All rights reserved.
  7. 7. Enterprises with liquid workforces focus on building fluidity into three main areas: skills, projects and organization of executives believe training is more important than ever have started building a future-fit workforce of executives believe a more fluid workforce will improve innovation In a connected world, a holistic view of the value chain is essential. To achieve that, companies are investing in collaboration solutions 90% 22% Industrial executives know their people need new skills but just 75% Copyright © 2016 Accenture All rights reserved.
  8. 8. While there has been arguably less visible platform development in large industrial and automotive companies than in consumer industries, this is changing and fast. Companies are now investing heavily in digital innovation, with platform business models at the heart of their investment strategies for digital transformation. Platform Economy Innovation from the outside, in TREND THREE Copyright © 2016 Accenture All rights reserved.
  9. 9. Platform-based business models, and the strategies they enable, are driving profound global macroeconomic changes of industrial executives agree that in a digital world, platform business models are a must-have The car is becoming a “platform on wheels.” Once automotive gets a common industry standard for APIs, the connected vehicle market will surge ahead 84% Executives ranked “Asymmetrical Growth” as the most important growth strategy over the next three years Enabled by platforms, they are capturing new revenues from complementary markets Companies are getting more innovative with platforms, distinctions between tech giants and industrial players are increasingly superfluous Copyright © 2016 Accenture All rights reserved.
  10. 10. Businesses have always collaborated. But digital is transforming where and between whom that collaboration can take place. In short, all limits have been lifted. The focus on creating a better product is shifting to a customer-centric mindset where service, experience and outcomes should dominate thinking. Predictable Disruption Digital ecosystems drive the next wave of change TREND FOUR Copyright © 2016 Accenture All rights reserved.
  11. 11. Fast-emerging digital ecosystems, and the businesses that power them, are blurring industry boundaries Every aspect of the industry is being disrupted by digital platforms and ecosystems. Companies are thinking in new customer-driven ways and shifting the focus from products to solutions of companies believe industry boundaries are being erased and new paradigms are emerging agree they are under pressure to reinvent and evolve before they are disrupted 82% 84% Copyright © 2016 Accenture All rights reserved.
  12. 12. As companies’ products become increasingly smart and connected, they are inadvertently offering new opportunities to cyber attackers and possibilities for data breaches that can imperil business reputations and destroy customer trust. Digital Trust Strengthening customer relationships through ethics and security TREND FIVE Copyright © 2016 Accenture All rights reserved.
  13. 13. With every digital advancement creating new vectors for risk, trust is becoming the cornerstone of the digital economy of executives believe they are exposed to more digital risks than they can handle report that compared to two years ago, they have suffered from twice as many privacy/security breaches 75% 48% Smart products expose companies to the same risks as tech companies. A new approach to product development and design is needed, with security and privacy embedded throughout the supply chain Copyright © 2016 Accenture All rights reserved.
  14. 14. Next Steps Digital technologies and an evolving workforce together create an environment that is challenging companies to take a strategic approach to aligning their people and technology. Automotive and Industrial companies looking to take their next steps in this evolution should consider the following actions: Appoint a C-level champion to lead a cross-functional team of technologists and business experts to explore how automation can help reinvent the business Prepare the workforce to work effectively with intelligent automation Involve the workforce in designing and managing the change journey that intelligent automation requires Assess existing organizational models to ensure they remain relevant in the digital world Identify and prioritize parts of the business that are primed for platform business models Identify areas of the business that are vulnerable to disruption from new platform-based business models Recognize the opportunities emerging from the Industrial Internet of Things and develop strategies to drive benefits Meet industry experts to review trends and identify areas of future disruption Consider security implications of connected devices, equipment and products carefully, address them upfront and make sure to extend security "beyond the product" Copyright © 2016 Accenture All rights reserved.
  15. 15. Contact us to learn more Eric Schaeffer Global Industrial Lead eric.schaeffer@accenture.com David Martyny Global Industrial Technology Consulting Lead david.w.martyny@accenture.com Join the conversation @AccentureInd Copyright © 2016 Accenture All rights reserved.

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    Sep. 4, 2016

New technologies are not just transforming how industrial companies manufacture their products. They are also having a profound impact on workforce and marketplace dynamics, creating new pathways for collaboration – amongst people, machines and organizations. Increasingly, companies’ destinies will be defined by how successfully they use digital to reorient their workforces, enable collaboration and both anticipate and drive disruption.

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