The ever-accelerating rate of change spares no one, but some industries are more heavily hit than others. In particular, those grouped under the wide banner of Energy, Resources, and Industrials have been subjected to disruptive trends that demanded their organizations act quickly or risk being left behind.
Companies, individuals, and communities shouldn’t be entirely dismayed by this finding. As with any radical disruption there comes vast opportunities – especially for those who embrace it. With all the disruption in the past year and half, a McKinsey report found that executives moved up to 20-25 times faster than they thought possible when it came to digitally transforming their businesses to better cope with new demands.
When it comes to things like improving data transparency or using new technologies to manage programs and teams across multiple regions, there’s no time like the present to prepare for the future.
Digitization & future proofing
As Ernst & Young notes, digital transformation in the chemical industry has been historically slow. However, according to their recent survey, 66% of industry executives expect to see revolutionary changes in the next three years.
We believe that it’s survival of the fastest out there. And, while few planned for the monumental shift that COVID put on governments and companies, those that had already started expanding into a digital landscape fared much better. Having already modified their processes to connect front, middle, and back offices, their information was accessible by all departments from any place on any device.
Having a connected enterprise environment allows organizations to use emerging technologies such as artificial intelligence, machine learning, and new methods of automation. As well, investing early in digital solutions means improved efficiency and, ultimately, increased revenues. Those looking to follow suit should:
- Find and understand the full range of digital transformation options available to them. Digital investment doesn’t have to mean upgrading everything all at once. Smaller steps like resource planning can be an optimal start.
- Find technology that connects your whole organization, from front office to back office. Use tools that elevate customer and team member experiences and find digital platforms that connect customer analytics directly to your CRM.
Transparency in effort, transparency in results
A few years ago, people would likely never have volunteered their whereabouts to be tracked at all times. But as restrictions grew, people actively sought apps that warned them if they were in proximity to anyone who had tested positive for COVID-19.
PricewaterhouseCoopers notes that this trend of transparency has made its way from individuals into institutions. In this digital age, we have access to untold depths of data and computing power. As a result, there is rising pressure on executives to provide constant transparency to stakeholders, investors, and team members.
Similarly, Deloitte notes that many investors have lost confidence in the resource sector as a result of poorly performing transactions. In fact, there was a 51% decline in M&As in the sector in the first half of 2020 compared to 2019.
Given that investors in the Resources sector are relatively focused, companies are often fighting one another for shareholders and the limited pool of capital that exists. Trust will be key to influence and win back investors. Stakeholders don’t have time to review all the minutia involved in day-to-day business – they want comprehensive reports and tailored metrics that matter. Digital solutions, like Conductor™, provide a highly secure means to track progress against work plans, mitigate risks and issues, and provide real-time transparency of progress toward benefits realization.
One option to earn back trust is to ensure operational discipline within your company and improve cross-functional work management by having:
- Consistent program planning across all phases of development and company initiatives.
- Effective collaboration between different company workstreams, vendors, and contractors.
- Automating manual processes so teams can focus on higher-value work.
The pandemic has drastically altered where and how we work, who we hire, and the metrics we measure. This rapid shift has left a gap. (Maybe more of a chasm!)
While we may have quickly moved our work from the office to home, we didn’t instantly alter our operating models, core financial needs, or customer experiences, nor did we retrain staff to be able to meet the new requirements of being totally digital. In a McKinsey survey, 87% of executives said they are either experiencing skills gaps or expecting gaps in the next three years.
To bridge this skill disparity, organizations need to give their team members the proper training and the right digital tools. But with just one-third of executives saying they feel prepared to address this gap, organizations need to first enable executives to take charge of their company’s digital transformation strategy.
Through our work with Energy, Resources, and Industrials customers, we’ve experienced this firsthand. We’ve helped our customers deal with critical periods of disruption in the best way possible. It’s at our core to look for ways to enable organizations to reconfigure themselves, manage their risk, and improve their operations to not just ride out periods of change but thrive during them.
An orchestrated answer
Hearing about the demand for digital transformations and the need for cultural change can make you feel like you’re chasing the next trend. But transformation initiatives don’t need to be chaotic. There are clear tactics you can implement. Watch our webinar to learn from real customer cases and see how you can best move your organization towards sustainable market leadership.
Enterprise Orchestration Era Webinar
For today’s leading enterprises, we believe it’s about conducting the symphony of your best players so that they’re all in sync, on time, and playing together, and we regularly share more about our work with our customers in our ongoing Enterprise Orchestration Era webinar series. We invite you to watch this webinar on demand, specifically focused the Energy, Resources, and Industrials sectors.