Disruptive tech fueling the Integrated Supply Chain revolution

Disruptive tech fueling the Integrated Supply Chain revolution

Disruptive tech fueling the Integrated Supply Chain revolution

6 Minutes
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Technology leaders in Integrated Supply Chain industries – manufacturing, logistics, food service, hospitality & retail – increasingly rely on disruptive technologies to accelerate their businesses. They’re investing to improve things like personalization and communication, and see a time when artificial intelligence will play a critical role in their business. These industries and others are adopting 10 leading disruptive technologies expected to generate trillions in economic value in the decade ahead.

Panasonic is deeply engaged in these technologies. We believe that connecting them into integrated solutions is essential to creating entirely new experiences. To understand the role they play in other organizations, Panasonic Corporation of North America commissioned a new research series, Moving Forward, on how disruptive technologies are impacting businesses, government agencies and entire industries.

The first report in our series detailed reasons that tech leaders are adopting these technologies and asked about their future plans. This piece looks closely at key technologies being adopted by senior decision makers working in Integrated Supply Chain businesses.

Study: Which disruptive technologies will companies adopt in the near future?

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Some common priorities – and some different ones

Consistent with our findings across all industries, mobile devices, apps & commerce and the cloud are the most commonly adopted disruptive technologies across the supply chain, particularly within the customer-facing food service, hospitality & retail industries (90% adoption of mobile, 84% for the cloud). Similarly, adoption of the Internet of Things and renewable energy was high in these industries.

But the Integrated Supply Chain also has its own set of industry-specific priorities:

  • Manufacturing companies are particularly interested in robotics, advanced materials and 3-D printing, which have the potential to impact both product and process.
  • Food service, hospitality & retail firms are especially bullish on artificial intelligence (AI), which can help them better understand the needs and behavior of their customers.
  • And two in five logistics companies intend to adopt autonomous vehicles in the near future – by far the most of any industry surveyed.

Technologies in service of personalization

In the supply chain, one of the most significant trends being driven by disruptive technologies is greater personalization. Nine in 10 Integrated Supply Chain companies believe that personalizing the way they engage with customers is important to their future success. Many already have efforts under way, with three in four saying they will have fully personalized their interactions with customers within five years.

But what exactly does “personalize” mean to these companies? As it turns out, different things. By about a 2-to-1 margin, companies view personalization as simplifying engagement with customers, rather than customizing services and offerings for them.

Logistics and manufacturing, for example, are primarily interested in simpler interactions through technology such as mobile apps. Food service, hospitality & retail are focused on that as well, but also on using customer data analytics to predict and impact purchase behavior.

Automation software: the key to achieving simplification

In adopting disruptive technologies, companies are bringing a lot of diverse data into their operations and engaging with customers in both online and physical experiences, creating complexity.

To achieve the level of personalized engagement they want, Integrated Supply Chain decision makers understand that they need to simplify operations and better integrate data across channels and touch points. Not surprisingly, companies say automation software that simplifies processes is the area where they’d benefit most from innovation.

4 in 5 companies see very strong benefits from automation software that simplifies processes.

These companies see automation as key to tackling many day-to-day frustrations including:

  • Manual data entry that is prone to human error and backlog
  • Lack of streamlined communication between owners of various parts of the order life cycle
  • Goods delivered late or to the wrong place
  • Management information systems not in sync

Looking toward the future

In addition to automation software, companies are eyeing many other areas where disruptive technologies would benefit them, including integration of IoT sensors into supply chain systems (66%) and integration of more robotics into operations (61%).

Artificial intelligence is an area of strong interest across the entire supply chain. Nearly 3 in 5 think their company would benefit from machine learning that predicts patterns and behaviors. And 45% expect it to play an indispensable or important role for their company or industry by the year 2025.

What’s next in our Moving Forward series?

Up next week in this Moving Forward series, we examine how Sustainable Energy technologies are impacting the energy & utilities and building & construction industries. In the meantime, be sure to explore some of our other perspectives on Integrated Supply Chain innovation.

About the research

This research was commissioned by Panasonic Corporation of North America and fielded in the U.S. and Canada. The survey included 200 CTOs and other senior technology decision makers in organizations with at least 200 employees.

Authors
M. Faisal Pandit - Sr. Vice President & Chief Digital Officer, Panasonic System Solutions Company of America

Disruption coming to our cities, roads and skies

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Disruption coming to our cities, roads and skies

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Moving forward. A thought leadership series on disruptive technologies. Article 4

In a Connected World, life revolves around getting to our destinations as quickly, safely and comfortably as possible. That’s the daily challenge facing organizations in the automotive and aviation sectors, as well as government agencies that build, operate and patrol our transportation infrastructure.

In this fourth article from the Moving Forward research series, Panasonic Corporation of North America assesses how senior technology decision makers in these industries view our Connected World, the technologies they see driving us forward, and the impact these technologies will have on their future plans.

By 2025, 10 disruptive technologies are expected to generate trillions of dollars of economic impact. Our new study reveals that Connected World industries – aviation, automotive, and government agencies involved in transportation infrastructure – have already adopted five of these technologies on average. And four have risen to the top of their innovation agendas – energy storage, autonomous vehicles, artificial intelligence and sustainable energy. Panasonic is deeply engaged in all of them.

How tech decision makers view our fast-changing world

2 in 3 say the bigger risk with disruptive tech is adopting too late vs. too soon

9 in 10 see potential of AI to personalize how they engage with customers

5 in 6 have adopted or plan to adopt sustainable energy

2 in 3 intend to adopt autonomous vehicles

Energy storage: the biggest opportunity gap

As one automaker remarked, the coming transition from internal combustion to electric vehicles (EV) will be “the biggest revolution in transportation this millennium.” And clearly, when it comes to widespread use of energy storage, the automotive sector is a pioneering leader. Overall, among Connected World industries, some 37% have adopted energy storage technologies. Another 48% are planning to invest in or adopt it soon.

Panasonic is seeing soaring demand for this technology in our own business. As a market leader in lithium ion batteries, we’ve invested heavily with global automotive partners to propel the growth of this disruptive technology.

Autonomous vehicles: strong growth in adoption expected

Connected vehicles with advanced driver-assistance systems are already entering our roadways. Built with equipment such as top view camera systems that provide a 360-degree bird’s eye view – plus sensors that detect airbag deployment, windshield wiper operation, engagement of brakes, etc. – these vehicles can transmit data about their status to other connected vehicles on the roadways and emerging intelligent roadway infrastructure.

Technology decision makers in Connected World industries (automotive, aviation, government transportation agencies) expect connected vehicles to deliver a whole host of important benefits: fewer collisions, reduced congestion, less pollution, and more connected and informed driving (and riding) experiences.

Autonomous vehicle technology builds on this connected vehicle foundation. Many tech decision makers in our Connected World industries think riding in an autonomous vehicle will be exciting, while a few admit it might terrify them. Still, two in three tech decision makers expressed an intent to adopt autonomous vehicle technology. This represents a 54% increase over current adoption of autonomous vehicle technologies.

Artificial intelligence: personalizing the mobile experience

After the cloud and mobile devices/apps/commerce, artificial intelligence is seen as the disruptive technology most critical to the future success of organizations. In fact, nine of 10 decision makers see AI as a way to personalize how they engage with their customers and predict future needs. The number one obstacle? Finding a strategic partner to develop a roadmap for integrating it.

In Colorado, Panasonic is creating a pioneering intelligent roadway system, designed to ingest two billion data points from connected vehicles each hour. Applying machine learning and predictive analytics to this massive data set, the system will enable the Colorado DOT to send personalized alerts and optimal routing suggestions to each connected vehicle on the road.

Sustainable energy: five in six have plans to invest

Two-thirds of Connected World organizations have either adopted sustainable energy or plan to do so in the near future. Only one in six has no plans to invest. Many decision makers view adopting sustainable energy, such as solar and EV, as a no-brainer: “It saves us money and is good for the earth.”

Three emerging technologies

In addition to the 10 disruptive technologies that were the primary focus of this survey, Panasonic also identified three emerging technologies that appear to hold great promise in Connected World industries:

  • Biometric: four in five organizations say they’re likely to adopt these technologies in the next three to five years, with features such as authentication enabling them to enhance security and create more personalized experiences
  • Next-generation communications: almost half believe that technologies like 5G and high-speed satellite will transform their industries by 2022
  • Advanced displays: seven in 10 plan to invest in technologies like mobile screen sharing, augmented/virtual reality and head-up displays

We’ll be exploring these emerging technologies in future trend articles.

The price of staying in business – Panasonic’s perspective

Finally, we found that five in six Connected World organizations agree that embracing disruptive technologies is essential to remaining competitive today.

Many of these organizations realize they need a strategic partner to get the most out of disruptive technologies. With experience incorporating them all into integrated business solutions, Panasonic may be the ideal partner in helping you embed these technologies in ways that can move your organization forward.

About the research

This research was commissioned by Panasonic Corporation of North America and fielded in the U.S. and Canada. The survey included 100 CTOs and other senior technology decision makers in organizations with at least 200 employees. It was completed July 2018.
Authors
Scott Kirchner - President, Panasonic Automotive Systems

Disruptive technology spurs Sustainable Energy

Disruptive technology spurs Sustainable Energy

Disruptive technology spurs Sustainable Energy

5 minutes
Moving forward blog 3

Sustainable Energy continues to gain momentum. But is it poised to overtake carbon energy in the years ahead? The answer may lie in the adoption of disruptive technologies such as energy storage. 

In the third study from the new Moving Forward research series, Panasonic Corporation of North America assesses how senior technology decision makers view Sustainable Energy, the technologies driving it forward, and the impact it will have on industries such as energy & utilities and building & construction. Panasonic is deeply engaged in these technologies.

That’s important because when you’re creating entirely new experiences, chances are you’ll need to combine many of these technologies into an integrated solution. Findings from this research provide insight into the investments other organizations are making and the challenges they face.

STUDY: HOW LONG BEFORE BATTERY STORAGE
OF RENEWABLE ENERGY GOES MAINSTREAM?

24% of decision makers believe it will happen in 5 years, 41% in 10 years

One of the leading disruptive technologies

Across all industries, moving to renewable energy is a priority among those we surveyed. In fact, out of 10 leading disruptive technologies making an outsize impact on the world today, renewable energy is one of the most highly adopted – along with mobile devices, apps & commerce, the cloud and the Internet of Things (IoT).

Almost half of the companies in our study have already invested in renewable energy technologies, and almost three in five intend to do so in the near future.

Producers bracing for greater demand

Energy and utility companies, which made up a subset of the companies surveyed, expect that meeting future renewable demand will be a challenge as growing demand outpaces supply. In fact, fewer than one in three believe they’ll definitely be able to increase renewable energy production to meet consumer needs.

The number one challenge that they see? Affordable materials. Affordability and other issues will hinder growth of green energy in the short term, according to respondents, who predict that it will account for less than half the total energy produced in the next five years.

Energy storage: a transformative technology

One technology that’s widely seen as an important contributor to Sustainable Energy adoption is energy storage. It’s playing a stronger role in Sustainable Energy growth than even government subsidies. Among senior technology decision makers responsible for Sustainable Energy solutions, nearly three in five see affordable energy storage as “transformative.”

Why? Today, solar and wind energy are time-sensitive assets. Most energy produced is either immediately consumed on-site or shared into the grid. By capturing excess energy at peak times, affordable storage can make energy available any time, regardless of when it was generated. Decision makers recognize the potential of this technology and see “cost savings” as the best reason to invest in it.

Net-zero and the building & construction industry

Some 40% of energy in the U.S. is consumed by residential and commercial buildings, according to the U.S. Energy Information Administration, and the majority of that is from carbon sources. Going green is an increasing priority in building & construction.

Historically, boosting green energy in this area has involved both a carrot (lower electricity costs and tax incentives) – and a stick (government regulation such as net-zero energy codes). Net-zero requires that buildings produce as much (renewable) energy on-site as they consume. California, for instance, has mandated that all residential buildings be net-zero by 2020 – and all commercial buildings by 2030.

While seven in 10 decision makers are interested in technologies that address net-zero, fewer than one in five believe these technologies will be available in the next five years.

Lack of expertise is holding industries back

For building & construction and energy & utilities – two industries that contribute heavily to building out Sustainable Energy capacity – lack of skilled employees is the #1 challenge to adopting disruptive technologies. No surprise then that more than three in five energy decision makers cite the need for a partner to help integrate technologies as a factor that could drive multi-year growth.

CHALLENGES TO ADOPTING SUSTAINABLE ENERGY PRODUCTION AND STORAGE

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Partnering to overcome obstacles

For our part, Panasonic stands ready with Sustainable Energy solutions to help companies move forward. For starters, we’re focused on solving the affordable energy storage challenge. With our billion-dollar investments in the Gigafactory, for example, we’re doubling worldwide production of lithium-ion batteries in a single facility. Scale as much as anything drives savings, and we intend to continue to invest to achieve scale.

As one of the few industry leaders with expertise across the spectrum of disruptive technologies, we’re here to work the full breadth of the sustainable energy market to partner with those that have new ideas or challenges to help them take full advantage of all the benefits.

What’s next in our Moving Forward series?

In the coming months, we’ll continue to share the results from some new research studies. In the meantime, see our overview for an interactive data visualization of technology adoption by industry, and find out which tech is fueling the Integrated Supply Chain revolution.

For more on energy, explore our capabilities and perspectives on Sustainable Energy solutions.

About the research

This research was commissioned by Panasonic Corporation of North America and fielded in the U.S. and Canada. The survey included 200 CTOs and other senior technology decision makers in organizations with at least 200 employees.

Authors
Dan Silver - Vice President
Panasonic Eco Solutions North America