A common strategy that is being implemented throughout our industry is to have a Digital Twin (Ship). However, many companies are falling into the trap of using their digital strategy to only improve the way they are working today. This focus on “cost cutting” is not optimal, unless you plan on just competing on price alone.
There is no doubt that a digital environment will significantly reduce the many non-value activities you have throughout your business. However, if cost cutting is the main driver you will be on a path to have minimized your costs for a world that no longer exists.
Technology is terraforming a new world where we need to rethink and change the value we are providing our clients. The future will not be an extension of the present and therefore a pure cost cutting initiative is short lived.
This is not to say that we should not continue to improve our processes and implement technology to reduce cost, it just simply should not be our primary focus. The primary focus needs to continue to be focused on adding more value and differentiating you from your competitors and then optimizing the areas which can accelerate the value.