Middle East orgs urged to tackle complexity
Firms could be losing 10% of profits if operational complexities not addressed, SAP warns
Middle East organsations are at risk of losing 10% of their profits if they do not tackle the complexity in their operations, SAP warned ahead of next week's Internet of Things Expo (IoTX) and Big Data Show.
To give weight to its warning, SAP cited the Global Simplicity Index, which estimates that 200 of the world's largest companies lose 10.2% of their profits - around $1.2bn - each every year due to complexity. This amounts to a global total of $237bn in lost profits every year, SAP said.
The vendor said that operational complexity was also holding organisations back from being able to adopt emerging Internet of Things technologies that could create new revenue streams.
"Middle East organisations are being held back from capturing the Internet of Things value due to complex processes such as scattered information, slower batch processing of data, and technical limitations," said Hannes Liebe, COO, SAP MENA.
"The IoTX and the Big Data Show are ideal platforms for Middle East organisations to learn how real-time big data analysis can simplify processes, and become more agile, efficient, and productive."
IDC predicts that global smart objects will increase from 2bn in 2006 to 200bn by 2020. These inter-connections could unlock a value at stake of $14.4tr, according to a report by Stephenson Strategies and SAP.
At the IoTX and Big Data Show, SAP said it would showcase the power of big data, cloud, and mobile solutions in demonstrations of what it is calling the smart city of the near future. The vendor added that it would demonstrate the recently-released SAP SportsOne solution with connected football, as well as a smart vending machine.