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The “Wait & See” approach and its implications

A recent study by analyst firm IDC showed that Malaysian organisations are lagging behind their ASEAN counterparts in the digital transformation stakes. 

With the creation of the AEC corridor, it has become more important that organizations revamp their business processes and re-look at how they can remain competitive as digitally savvy customers demand more.

In the report, the driving forces for digital transformation projects are the increasing need to find new revenue streams, reduce expenses and using technologies to "deliver superior customer service and create competitive advantage through product differentiation."

However, without the internal IT skills and lack of clear understanding in building business cases and measuring ROI, Malaysia enterprises are still very much at the early stage of digital transformation.

While the report predicts  that spending of digital transformation technologies which consists of Cloud, Mobility, IoT, Big Data and Analytics will grow an average of 13% through 2020 in Malaysia, regional countries like Philippines, Thailand and Indonesia are actively stepping up their game and challenging the status quo.

Through our last two events in Philippines and Thailand last week, we saw great interest from end user participants in exploring the benefits of IoT technologies in their businesses: from CP Food and their IT team looking at ways to monitor their high value agricultural products and streamlining their supply chain operations, to Manila Water exploring ways to manage leakage and wastage.

As we move our focus to Indonesia and Malaysia this August, what we know for sure is that in this rapidly changing technology landscape, a "wait and see approach is reckless. 

First movers like Maynilad Water Services CIO Francisco Castillo, one of the keynote contributors for our last two events in Philippines, enjoy the efficiency that IoT brings to their water networks, driving growth and creating value in their company. (Winning many outstanding awards for the company and for Dr. Castillo like the Most Outstanding CIO in ASEAN 2013).

While each country has their own advocates (Jakarta Governor Ah-Hok and Jakarta Smart City Head Pak Setiaji for Smart City development in Indonesia), we hope to see more from Malaysia as we move closer to the objective of achieving a Smart Digital Nation by 2020.

As identified by IDC, perhaps one of the ways to drive industry specific digital transformation solutions is for service providers to take the lead. Through consulting and integration services, service providers can create awareness, build use cases and deliver value to these enterprise, said Sreenath Kandarpah, IT Services research manager, IDC Asia Pacific.

By: YY Fong


By Yue Yeng Fong | May 2nd, 2017

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