PwC: CIO's role crucial in driving IIoT in industrial companies
The report was unveiled ahead of the upcoming Global Manufacturing and Industrialisation Summit.
PwC, a specialist in audit and assurance, consulting and tax services, has unveiled a report exploring the role of the chief information officers (CIO) in the industry sector.
Revealed ahead of the upcoming Global Manufacturing and Industrialisation Summit, which is set to run from 27 - 30 March, 2017, the report highlighted the importance of the CIO's role in driving Industrial Internet-of-Things (IIoT) adoption.
Dr. Anil Khurana, partner, Strategy & Innovation at PwC Middle East and the report's lead author, said: "The IIoT will place huge demands on the CIO. It is indeed an opportunity that few will want to miss. First-mover status is critical to gaining a competitive edge as companies begin moving en masse to reap the benefit of digitisation.
"Our research into the IIoT domain suggests that CIOs take six important steps towards their companies' future digital transformation, which has been outlined at length in the report. These steps include key elements such as the development of a digital strategy, building capabilities and eventually, initiating pilot programmes."
PwC pointed to findings from IDC that project by 2020, companies will spend $1.7tn a year on combined industrial and consumer Internet-of-Things (IoT). Furthermore, a recent PwC Industry 4.0 survey reported that industries companies are looking to invest an estimated $907bn annually to IIoT initiatives.
The survey also found that these organisations predict $421bn in cost reductions and $493bn in increased revenues annually from the implementation of IIoT. Another 55% expect a payback within two years
Commenting on the report, Badr Al-Olama, CEO, Strata Manufacturing, and head of the Global Manufacturing and Industrialisation Summit Organising Committee, said: "For the manufacturing sector, the Industrial Internet of Things is at the heart of 4IR. As PwC points out in this report, the CIO is the key driver in helping organisations to adopt IIoT, aligning business strategy with technology transformation.
"Their role is to ‘normalise' innovation in large, complex organisations, drawing on a new capacity to intelligently connect people, processes and data through devices and sensors. For manufacturers, this creates the prospect of the digital factory where ‘smart' manufacturing technologies are controlling energy, productivity and costs through real-time monitoring and application of data insights.
"PwC's report sets out a roadmap for IIoT transformation, prepping the experts - including CIOs from leading global manufacturers - to put together a vision for manufacturing that is based on the 4IR technologies," he added.