For the average consumer, the Cloud seems like a relatively new invention that has made the storage of digital files much easier. The reality is that the Cloud has been around in one form or another for nearly half a century. Businesses across the globe have only started taking an interest in cloud computing and storage within the last two decades, with a stark increase in adoption in just the last few years, thanks in large part to rapid technological advancements.
So, how will the Cloud disrupt business & IT operations? The mass migration to Cloud-based services and solutions will only be the tip of the iceberg as organizations look to take part in the larger Digital Business Transformation. A simple cost-benefit analysis shows exactly how businesses can save on operational costs, even from the earliest stages of migration. Some of the most significant benefits include:
- An SaaS model for Cloud hosting provides better long-term ROI with maintenance support, allowing organizations more opportunities to reduce growing costs.
- Lower demand for data exports and duplications requires less IT customer code and customizations maintenance.
- Operating on a single ERP platform (as opposed to multiple instances of SAP) could reduce licensing costs.
- The replacement of standardized solutions with the core ERP platform will lead to a reduction in disparate systems and technical debt.
10 Key Elements of Digital Business Transformation via Industry 4.0
The examples above show a few of the immediate and long-term savings that the Cloud can bring to business and IT operations. However, the real impact of shifting to emerging technologies is reflected in organizational transformations across business models and operations, both culturally and functionally. Ultimately, these changes will deliver the best ROI and business savings over the long term.
To understand just how Industry 4.0 will disrupt business and IT operations going forward, let’s take a look at 10 key elements of the Digital Business Transformation:
- Energy Consumption – Cloud solutions offer companies the chance to reduce energy consumption by as much as 70%, while also lowering labor costs.
- Internet of Things (IoT) – Establishes a connected value chain by networking one device to multiple devices, establishing a more efficient network in the process.
- Cloud Computing – Provides massive storage, networking, and computational capabilities, enabling new interaction between technologies.
- Big Data and Data Analytics – Creates the ability to support smart, real-time decision-making while also reducing downtime and waste.
- Additive Manufacturing or 3D Printing – Reduces lead times from product design to release, permitting greater customization and small-batch production in a cost-effective manner.
- Augmented Reality – Uses mathematical modeling, artificial intelligence, and virtual reality to enhance business generation.
- Robotics – Improves efficiency through automated manufacturing processes.
- Cyber Security – Ensures secured communication protocols when sending, receiving, and storing data.
- Machine Learning – Exploits industrial sensors and instruments to record and communicate data directly via software.
- Simulation – Imitates the operation of a real-world process, helping visualize designs and identify the problems that might occur at a much earlier stage.
What do these new digital ways of thinking and operating mean for organizations?
The trend toward lightning-fast data exchange and automation has already begun to transform technologies and processes within the manufacturing industry. However, manufacturing is not the only sector that will be affected by the transition to Industry 4.0. To keep up with rapidly changing technologies, companies from virtually every sector will need to evolve, particularly in the way they manage IT and their overall operations. So, as we enter this exciting new digital revolution, one question remains: Is your business ready for Industry 4.0?
Dassian is a leader in cloud-based solutions capable of integrating seamlessly across multiple departments and organizations. Contact us today.