All digital technology requires data. Therefore, the pathway to digital transformation has its origins in effective data management. Data management is defined as the approach to the collection, storage, analysis, utilisation, and exchange of data. Without effective data management in place, an organisation will never be able to move beyond the most foundational level of digital maturity.
Effective data processing transforms data into information. This information can then be analysed in the context of business questions which generate insight. Understanding this insight and taking action generates transformations in business processes and performance. Different organisations have different ways of applying digital transformation, but in order for digitalisation to create value for the whole organisation, the strategy must generally consider three key components. In the last article, we explored the process element of digital transformation. Here we shall explore the final two of these three pillars, technology and people.
TechnologyÂ
Technology is simply the application of scientific knowledge for practical purposes. Maritime technology means a wide range of mechanical and material sciences. In the context of this report, that knowledge is derived from computer science.
In the maritime industry, the compound annual growth of spending on digital technologies such as data analytics, cloud computing, and artificial intelligence averages about 19%. With the progressive growth of the maritime technology ecosystem and the continued adoption from shipowners and ship managers, the need to deploy the right digital technology at sea and ashore is becoming increasingly important.
Culture Â
Culture is the sum of the behaviours your organisation tolerates or rewards. People are the backbone of a mature digital strategy. It is only through the guidance of the human brain that this information can be contextualised and generated into meaningful insights.
Internal and external stakeholders play key roles in the development of a mature digital strategy. Internal stakeholders, such as ship managers and vessel operators, benefit from digital tools, which streamline the method of information exchange and ensure that the flow of information is transparent and traceable. The role of external stakeholders has grown in importance in recent years through increased scrutiny of how the maritime industry is linked to various societal issues. Cargo owners in particular benefit from digitally mature shipping companies aiming to use big data and analytics applications to increase their competitiveness, improve customer satisfaction levels and cost reduction measures.
The benefits are clear from keeping sight of how valuable people are to the maritime industry. From office support staff, seafarers to stevedores, people keep the industry moving. The culture of those people will be key in ultimately gaining value from the digital transformation.
With the increase in data-centric solutions, many companies are building a future-proof talent pool to handle new and emerging digital capabilities. According to the data and intelligence firm GlobalData, the proportion of ship equipment supply, products and services companies hiring for data analytics-related positions had risen to 57.1% by July 2022.
For further insight into the pillars highlighted in this article, take a look at our thought leadership report, produced in collaboration with Lloyd’s Register, The Benchmark: Measuring the Progress of Digital Transformation in Ship Operations. This report provides a deep dive into the journey towards digital maturity for maritime businesses. You can download a copy here.
