Investment in critical infrastructure will be essential, especially in developing countries, Dell executive tells GMIS pane
The Covid-19 pandemic has hurt many businesses but it will prompt them to future-proof their operations by investing in advanced technologies such as artificial intelligence, data analytics and 5G, according to industry experts.
The companies that have already invested in digital tools are navigating the crisis more successfully, while others will struggle until they invest in technology, experts said during a virtual panel discussion at the Global Manufacturing and Industrialisation Summit.
“We are working with AI in order to optimise production, planning and ultimately the efficiency and effectiveness of our sales force … in order to address where demand will be generated,” Pier Paolo Tamma, senior vice president and chief digital officer of Pirelli told the panel.
The Italian tyre manufacturer’s existing digital transformation programme has provided it with the data and insights to adapt the capacity of its manufacturing plants and adjust its supply chains, Mr Tamma said.
Spending on AI systems globally is expected to grow at a compound annual growth rate of 28.4 per cent to $97.9 billion in 2023, up from $37.5bn in 2019, according to IDC.
John O’Shea, head of business intelligence and transformation at Dell Technologies, said that the pandemic has highlighted the growing importance of AI to optimise businesses.
“You have to gather more insights using technology … so you can better prepare yourself for the future,” he said. However, experts also cautioned against a potential digital divide that could occur if the technology roll out is uneven across some countries.
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Better coordination between governments and businesses is required to prevent such a digital divide from widening and leaving behind developing countries, panellists said. Meanwhile, investment in digital infrastructure is also essential for development, Mr O’Shea said.
“Nearly 46 per cent of the global population has no internet connection … 5G technology will be crucial moving forward and we have to ensure balanced distribution.”
Mr Tamma said Pirelli has leveraged valuable lessons from the pandemic to deal with other crises in the future.
“What we have learned this year from applying digital technology is that we can leverage the power of data more to make better decisions,” he said.
“This is a very big game changer … to enhance your business and adapt to what is happening in the market.”
The third edition of GMIS, a joint initiative by the UAE and the United Nations Industrial Development Organisation, was scheduled to be held in Hannover in April but is now taking place virtually due to the coronavirus outbreak.
The first edition of GMIS was held at Paris Sorbonne University Abu Dhabi in 2017, and attracted more than 3,000 leaders from government, business and civil society.
