The engineering and construction (E&C) sector is well-known as being one of the world’s least digitised sectors, but why?
Taking a closer look, the challenges are fairly logical, typical construction projects often involve multiple independent subcontractors and suppliers. It’s short-term work, so what incentive do they have to adhere to digital processes they will leave behind as soon as the project is complete?
But that’s not the only stumbling block, remote locations and challenging project environments have long been a blocker to technology investment.
However, the tide seems to be turning and what was once a threat to the company’s bottom line and resources, may now become a huge opportunity. As such, the E&C industry is bracing itself for a wave of change brought on by digital innovation.
As always, with every new wave of change comes with it enormous potential, but also equivalent risk. And it’s not hard to see why the E&C industry has been so transformation-averse when you see the worldwide numbers – IDC estimate that in the last 3 years over $3 trillion has been spent on digital transformations and it has only returned a 26% return on investment.
So how can organisations best prepare themselves for success with the right foundations that are going to promote continued development?
A common trend is to view a digital transformation as a one-time solution, something you achieve or complete. Instead, it’s not a goal or an outcome but a process, and I would even go as far as saying mindset. And that mindset is clearly differentiated in the success and failure. Unfortunately, it is the minority that see it as the latter and the majority that see it as the former. The former focus too much on IT, pursuing point solutions as quick-fix, patchwork solutions rather than pursuing consolidated platform solutions that are going to deliver long-term value. Those that restrict themselves to the short-term risk what has often been defined as digital “organ rejection” – where the solutions fail to deliver the benefits promised, resulting in wide-scale abandonment of the technology.
This is where mindset becomes an enormous differentiator. Those that take a proper look at their operational estate and implement solutions that adhere to not only their wider technological objectives but also to the vision of the future they have laid out for the business, find much more positive results.
As a ServiceNow partner, this is our main focus. The key is the word partner, the projects that excite us the most are strategic and process-centred with a long-term narrative that addresses not only technology use-cases but core business use-cases. With the evidence exhibited by current industry trends, the potential for success within the E&C sector is enormous and I firmly believe a strategic platform solution like ServiceNow is the best way to achieve that success. If this aligns with your current business objectives you can get in touch with us at letstalk@crossfuze.com or to me personally at oliver.nowak@crossfuze.com.