Digital technologies are redefining businesses and operating models globally. Both private and public entities are developing and deploying next generation digital technologies to stay relevant and competitive.
For engineering, construction and industrial firms, the search for fresh ways to ensure competitive advantage, meet customer expectations, attract the right skill sets and improve profit margins (aka adopt key digital transformation initiatives) has taken on a greater sense of urgency than at any other time in the past.
Hexagon PPM recently partnered with global research and consulting firm, Frost & Sullivan, to conduct a survey of key operational personnel and senior management within the construction, engineering and industrial sectors in the Asia Pacific region, in an effort to uncover the challenges, expectations and digital adoption rate amongst some of today’s biggest organisations.
The report found that based on those surveyed in the engineering and construction industry, the level of digital maturity scored 6.6 out of 10 (where 10 indicates a highly integrated business ecosystem).
Whilst there have been numerous technologies such as 5D Building Information Modelling (BIM), mobility, GPS, wearables, smart devices and drones to improve safety, communication and reduce delays, there is still significant potential to raise the bar on the leveraging of digital tools and removing siloed operations.
Moreover, the report highlights key challenges faced by the industry that are limiting digital adoption.
These include a shortage of capital due to an increase in unplanned expenditure (unplanned shutdown, maintenance, labour issues etc.), lack of internal technical expertise (as Industry 4.0 is a fairly new domain), high price or unclear ROI – mainly due to lack of successful case studies of implementation, and resistance to change from the workforce.
To address these challenges, project owners and construction contractors need to work together to develop digital roadmaps and mandate digital data delivery as a part of the contract. In addition, technology partner selection and engagement are critical success factors for any transforming business.
Who has the right tools and expertise?
While product/functionality related questions are generally obvious and well covered, equally critical are questions relating to the technology partner, for example:
- Does the partner have the expertise to support across all phases of projects?
- Is the system and service range able to cover all or most operational requirements?
- Does the partner show longevity in the industry and have established upgrade paths for their products?
- Does the partner adopt a holistic and structured approach to understanding and meeting customer requirements, and does this inform the roadmap for transformation?
- Does the partner demonstrate the use of best practice standards for project implementation and support?
According to the Frost & Sullivan report, the winners of the future will be the digitally bold companies who can adapt and thrive in the new digital ecosystem through a thorough understanding and adoption of the fundamental shifts and technologies available on the market.
Read the full report and find out how engineering and construction compared to other industries such as oil and gas, mining, chemicals, energy and utilities here.
This partner content is brought to you by Hexagon PPM. For more information, visit hexagonppm.com.