We are currently moving through what some are calling the “fourth industrial revolution”, or Industry 4.0, which is transforming every industry it touches, from banking to retail, healthcare to utilities. This is seeing the emergence of technology such as the Internet of Things (IoT), which in itself is revolutionising everything from household energy management to waste disposal. This means the public are more digitally dependent than ever before.
Already in the UK, each household contains seven connected devices. As such, they expect the services they use to be just as connected. The utilities industry has not escaped this demand, and the implementation of digital technology in the sector presents a huge opportunity for the improvement of services being delivered, but also in the way utilities companies actually run internally.
Making the most of digital
As the world around us digitally advances, there is an increasing amount of pressure for utilities to do the same and improve their services. Our recent research has shown that one in five people always opt for a digital service first when made available. The challenge is therefore clear for utility companies to make the most of digital services to better serve their customers – such as real-time smart metering, online payment services and online instant customer service.
Our research has also highlighted that there is growing demand for utilities to make more digital progress. This demand comes not only from customers, but also from employees, who believe that digital will help drive the future success of the business.
Younger generations are growing up more digitally native than ever before. As these generations enter the workforce, we will see an increase in digitally savvy engineers coming into the field with high digital expectations – some may even choose not to enter the industry unless it is digitally enabled. They will expect companies to be able to supply them with technology to allow them to work the way they want to. The more digitally savvy the workforce becomes, the more pressure there will be on utilities to supply the technology – inevitably improving the way services are delivered to customers. Therefore, they need to find ways to provide their employees with the tools engineers are capable of using to carry out daily tasks.
Moving to a connected business
IoT enables utilities to connect assets and gather data in real time, which can then be analysed into actionable insights. These can then be used to improve the efficiency and service offerings of the business.
IoT allows energy and utility companies to change the way they work and increase productivity. For example, sensors can monitor devices and appliances, then send an alert in real time if they are going to fail or become inefficient, automatically calling out an engineer. This will save both time and money for companies and the customer. Customers will be able to have maintenance performed on their appliances before any damage occurs, and for the utility companies themselves, this real-time efficiency will enable an increased level of productivity; changing the way they work from time-based to condition-based maintenance. This will change the nature of work as the pastime tasks of checking and monitoring components is reduced as they become automated. The engineer can then focus on making things continue to work rather than fixing them once they have failed. As a result, this will enable a connected workforce to prioritise the assets that need to be looked at, rather than having to regularly monitor assets that are working smoothly, which can be an inefficient use of time, money and personnel.
Real-time data and alerts will enable utilities and their engineers to provide a more proactive service, which will build new relationships and strengthen existing relationships with customers. In such a competitive market, it will be personalised services such as these that will set utility companies apart from their competitors.
By digitising, utilities can ensure all employees have access to the right information and equipment at the right time. Connecting the workforce drives better decision making through connected intelligence. By connecting their engineers, they will help to build a connected infrastructure, which in turn drives operational excellence. It allows organisations to use technology to connect their workforce, attracting the next generation into the workforce, and delivering great service to employees and customers alike.
Graeme Wright, associate director of manufacturing, utilities and services,
UK and Ireland, Fujitsu