Pandemic will prompt businesses to spend on digital transformation, professionals say
The Covid-19 pandemic has hurt many businesses but it will prompt them to future-proof their operations by investing in advanced technologies such as artificial intelligence, data analytics and 5G, according to skillfully developed.
The companies that contain already committed to digital tools are navigating the crisis more successfully, while others will struggle until they spend money on technology, experts said throughout a virtual panel debate at the Global Making and Industrialisation Summit.
“We are working with AI so that you can optimise production, setting up and finally the efficiency and performance of our sales force … so as to address where demand will be generated,” Pier Paolo Tamma, senior vice president and chief digital officer of Pirelli told the panel.
The Italian tyre manufacturer’s existing digital transformation programme has provided it with the info and insights to adapt the capability of its manufacturing plants and modify its supply chains, Mr Tamma said.
Spending on AI systems globally is likely to grow for a compound annual growth rate of 28.4 % to $97.9 billion in 2023, up from $37.5bn found in 2019, according to IDC.
John O'Shea, mind of business cleverness and transformation at Dell Technology, said that the pandemic has highlighted the developing need for AI to optimise businesses.
“You have to collect more insights using technology … to help you better prepare yourself for the future,” he said. However, experts also cautioned against a potential digital divide that could happen if the technology roll out is certainly uneven across some countries.
Better coordination between governments and businesses is required to prevent such an electronic divide from widening and abandoning growing countries, panellists said. Meanwhile, expense in digital infrastructure can be essential for production, Mr O'Shea said.
“Nearly 46 % of the global population does not have any web connection … 5G technology will be crucial continue and we must ensure balanced distribution.”
Mr Tamma said Pirelli has leveraged valuable lessons from the pandemic to manage other crises later on.
“What we've learned this year from applying digital technology is that people can leverage the energy of data even more to create better decisions,” he said.
“This is an extremely big game changer … to enhance your business and adjust to what is happening on the market.”
The 3rd edition of GMIS, a joint initiative by the UAE and the US Industrial Development Organisation, was scheduled to be held in Hannover in April but is currently taking place virtually due to the coronavirus outbreak.
The first edition of GMIS happened at Paris Sorbonne University Abu Dhabi in 2017, and attracted a lot more than 3,000 leaders from government, business and civil society.
Source: www.thenational.ae
