Business Chief APAC – August 2020

APAC EDITION businesschief.asia

AUGUST 2020

At the forefront of industry 4.0 innovation Sandeep Nag, Director of 5G on technological trends and 5G innovation

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FOREWORD

W

elcome to the August issue

detailing the company’s digital strate-

of Business Chief APAC.

gies and the impact of COVID-19 on

This month’s cover features Sandeep Nag, Director of 5G at Capgemini. Nag discusses technological trends, 5G innovation and the impact of COVID-19 on the technology industry. “In order to cope with the massive increase in connected devices, you need to have access to a wide area of coverage. The

workplace culture and operations.

“Early in my career, I found a very strong purpose around helping people to be better. I think as an organisation, one of the things that I aspire to is that our people, whether they decide to stay or to leave and go elsewhere, are better for having been here.”

evolution of 4G networks into 5G net-

Elsewhere, we take a look at the top

works and beyond has allowed for

HR digital technology trends of 2020

better connectivity and increased the

and the digital transformation benefits

efficiency of connected devices.”

they provide organisations, while our

Other leaders that feature include Jeanne Cate, Head of US Supply Chain Strategic Partnerships on

Top 10 examines Asia’s leading tech companies as ranked by Forbes in its ‘Top 100 Digital Companies 2019’ list

developing competitive advantages at

Do you have a story to tell? If you

Molson Coors, Thorsten Scholz, CTO

would like to be featured in an

at Forwood Safety on how tech inno-

upcoming issue of Business Chief

vation, solid partnerships and a

APAC please contact

focused approach can transform

georgia.wilson@bizclikmedia.com.

safety culture, and Steve Reid, Chief People and Culture Officer at oOh!

Enjoy the issue!

Georgia Wilson busi ne ssc hief. a s ia

03

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businesschief.asia

10 At the forefront of industry 4.0 innovation

xx 24

38 54

AI:

Designing a digital strategy and the impact of COVID-19

CHALLENGES AND OPPORTUNITIES IN ASIA

68

DIGITAL TRANSFORMATION IN CORPORATE FINANCE

82

96

114 Molson Coors

128 oOh! Media

142

156

Forwood Safety

Sutherland Shire Council

172 198 DuluxGroup

DOCOMO

216 Cellcard

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248

McAlpine Hussman

MasterCard

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Marsh

Achmea Australia

At the forefront of industry 4.0 innovation WRITTEN BY

GEORGIA WILSON PRODUCED BY

STUART IRVING 10

AUGUST 2020

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b u s in e s s c hie f. a s ia

CAPGEMINI

Sandeep Nag, Director of 5G at Capgemini, discusses technological trends, 5G innovation and the impact of COVID-19 on the industry

A

t the forefront of innovation, Capgemini, founded in 1967, harnesses innovation to help clients address opportunities as

cloud, digital and platforms evolve.

12

Within the industry, Sandeep Nag, Director of 5G at Capgemini, has seen from a connectivity point of view a massive evolution for the technology. “In order to cope with the massive increase in connected devices, you need to have access to a wide area of coverage. The evolution of 4G networks into 5G networks and beyond has allowed for better connectivity and increased the efficiency of connected devices. Another trend I have seen within the industry is the use of open computer ecosystems with big enterprises no longer wanting to depend on the hardware OEMs. They want it to be more open, and then of course there’s artificial intelligence (AI), as well as an increased use of algorithms, API, social media and blockchain technology to make a more secure and resilient strategy for data privacy.

AUGUST 2020

13

b u s in e s s c hie f. a s ia

CAPGEMINI

“ From the top down Capgemini has a proactive approach to evolving trends and customer demands to harness industry 4.0 technologies the best way for its customers, as opposed to trying to make the technology fit” — Sandeep Nag, Director of 5G, Capgemini

When it comes to Capgemini’s own innovation strategy, Sandeep details that the company has specialised team domains, whether it’s automation, connectivity or cloud. “Capgemini has a very well defined structure of individuals working on specific domains with end-to-end expertise. Capgemini’s strategy is to not only have a technological knowhow, but to have a deep understanding of the industry so that it can address the exact requirement of that particular industry. From the

14 PA RT N ERSHI PS When it comes to Capgemini’s Over the years Capgemini has formed strategic partnerships, Sandeep Nag, many longlasting strategic Director of 5G at Capgemini details partnerships with the likes of Sooktha. that these alliances “enable more “These partnerships are mutually scope for solutions and service beneficial in the sense that either offerings leveraging open source and party acts as prime or co-prime for a standards communities. These business opportunity. This allows partnerships enable onboarding new early access to each other’s customers irrespective of domains. innovations thereby enabling faster The latest innovations and emergence GTM and early access to business of new business models require a opportunities. Long term relationships f lexible and modular approach both in through these partnerships enhance terms of technology and strategy, market share through enhancements hence these partnerships enable such in capabilities with more avenues of on-the go initiatives.” business opportunities.”

AUGUST 2020

Capgemini Invent: Technology is in the air CLICK TO WATCH

|

2:15

15 top down Capgemini has a proactive

and for assembly lines. With machine

approach to evolving trends and cus-

learning we have been utilising the

tomer demands to harness industry

technology for behavioral analysis

4.0 technologies the best way for its

trends and recommendations. This

customers, as opposed to trying to

is something we have been doing for

make the technology fit.�

many years and with that our IoT part-

Currently within the organisation,

nerships have evolved. In addition we

Capgemini is harnessing six key

also have our cloud practices which

technologies: AI, machine learning,

are not only with Microsoft Azure and

internet of things (IoT), cloud, Big

AWS, but also in house where the cus-

Data and 5G. Within its operations,

tomers want to have their captive cloud

“Capgemini has been harnessing

facilities. So we leverage those cloud

AI for its customer partnerships for

capabilities in terms of certified engi-

employee safety, anomaly detection

neers and certified professionals in our

in manufacturing and supply chains,

various domain expertise on the cloud. b u s in e s s c hie f. a s ia

CAPGEMINI

16

“ We must not neglect the security aspect. We’d like to see these innovative technologies evolve seamlessly, but they must maintain security” — Sandeep Nag, Director of 5G, Capgemini

“When it comes to Big Data, we are harnessing this technology to capture many handles globally, providing large volumes of different types of data - unstructured, semistructured, sequential or any kind of big data.” With the evolution of data the industry has experienced storage challenges, resulting in the Big Data practice at Capgemini evolving to cope with this capability. In terms of 5G at Capgemini - with the various acquisitions and recent onboarding

AUGUST 2020

of experts within 5G - the practice has been taken very seriously, with the company in full force to establish an ecosystem of various initiatives and expertise within the 5G space.

Although it is still within the pilot stage, Sandeep sees the sector emerging and evolving significantly towards the end of the year.

Contemplating future innovations, Sandeep would like to see more evolution relating to the dis-aggregation of edge hardware, resulting in further innovation relating to open hardware ecosystems. He also anticipates the evolution of the software ecosystem, harnessing more open source technologies, however he does highlight the importance of maintaining security alongside this. “We must not neglect the security aspect. We’d like to see these innovative technologies evolve seamlessly, but they must maintain security.”

THE IMPACT OF COVID-19 ‘The new normal’ - the defining phrase of the current climate due to

E X E C U T I V E P R OF IL E :

Sandeep Nag Title: Director 5G Industry: Information technology Location: Mumbai, India Technically accomplished software , systems and platform architect with more than 21 years across telecom , ISV and product organizations.

Certified Enterprise Architect with flair in open source technologies leveraging open architectures in emerging technologies of 5G, IoT,AR/ VR/ER, AI and Machine learning.

Active contributor in open telecom services eco-system for private enterprise networks communities and user groups. Among the early stage innovators in mobile payment with patent in secured mobile payment technology.Believer of frugal innovation that enable fast adoption into day to day life.

COVID-19 - is a topic Sandeep has considered deeply. “The new normal b u s in e s s c hie f. a s ia

17

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After licensing its LTE base station software for the development of

AUGUST 2020

Spirent Communications Inc’s network emulator, Sooktha partnered with NXP semiconductor to demonstrate their virtual RAN (vAccess) hardware and software platforms across the globe.

In 2016, Sooktha successfully completed lab trials of both their Enterprise and Residential femto base stations with one of the leading greenfield telecom service providers in India. Subsequently, Sooktha expanded its portfolio to offer

a software-defined end-to-end NB-IoT solution, which is used for research in India and as ultra-lightweight test beds in the labs of North American service providers. Sooktha extended its LTE small cell solutions to pico and macro base station solutions for rural and railways deployments of Global OEMs. Today the company is developing and deploying 5G solutions for the Stand Alone (SA) mode of deployment by leveraging its experience in LTE in the process.

In addition Sooktha is focused on creating a software suite for 5G NR, which can be combined with different hardware modules to cater to a broad portfolio of 5G use cases.

The software is deployed in a distributed mode by installing the Centralized Unit (CU) software in a virtualized environment and Distributed Unit (DU) software on purpose-built hardware modules.

This architecture leveraging the Open RAN standard and ecosystem allows Sooktha to work with Capgemini to enable them to cater

to a wide variety of use cases.

Sooktha works in close collaboration with Capgemini to translate real world use cases into the right combination of its software suites on the right platforms.

The move from proprietary closed hardware systems, to open software centric wireless access solutions creates an opportunity for Sooktha and Capgemini to give them unprecedented levels of f lexibility.

Partnering with a large global player like Capgemini also helps Sooktha to address large business opportunities by leveraging the company’s massive scale and global presence, while remaining a focused niche player. Capgemini also provides Sooktha access to a larger ecosystem of global suppliers to put together innovative solutions.

Sooktha also has a geographical advantage in its partnership with Capgemini since it is headquartered in Bangalore and Capgemini has a significant presence in Bangalore and in locations in close proximity to Bangalore.

b u s in e s s c hie f. a s ia

19

CAPGEMINI

“ In terms of 5G at Capgemini, the practice has been taken very seriously, with the company in full force to establish an ecosystem of various initiatives and expertise within the 5G space” — Sandeep Nag, Director of 5G, Capgemini 20

AUGUST 2020

is no longer going to be people-topeople contact in a physical form.

Instead, there is going to be an increased reliance on communications technology, which requires resilient connectivity, and which will play a major role within future operations for organisations. The current trends due to the impact of COVID-19 is agility, being able to adapt to changing behaviours and circumstances and coordinated remote working. “ Current challenges within the industry have seen worldwide supply chains either stop, or reduce significantly. “Whether it’s sourcing, production or distribution, new challenges have arisen relating to not only maintaining a flow of materials and goods but maintaining employee safety at all times while carrying out operations. To maintain a sustainable business through this we are driving the initiative to adopt a patient approach with clear communication between all stakeholders: suppliers, workers and customers.

At Capgemini our HR practice has a strong infrastructure globally.

They understand the safety of the b u s in e s s c hie f. a s ia

21

CAPGEMINI

employee in this situation which is the primary importance. So right from social distancing through to cleanliness,hygiene and ensuring that each and every employee is protected, there are various HR driven initiatives to provide expert guidance and advice.”

1967

Year founded

HQ Paris France

When it comes to the technological capability of Capgemini to effectively implement a remote workforce, Sandeep details that “as far as connectivity is concerned, all employees 22

were ensured that they had access to the necessary tools and work facilities to efficiently work from home. You

“ The evolution of 4G networks into 5G networks and beyond has allowed for better connectivity and increased the efficiency of connected devices” — Sandeep Nag, Director of 5G, Capgemini

can imagine, being a huge company, this was no small task to provide the connectivity and technology to those who need it, but we seamlessly achieved it,” an achievement of which Sandeep is proud. During the crisis, Sandeep details that he has seen an increased use of the likes of Skype, Microsoft Teams and WebEx for conferencing capabilities as well as Google Hangouts and Zoom. “Another trend emerging is connectivity through a certified VPN.”

AUGUST 2020

23

When it comes to the future as

a long time. I also believe that a new

the world enters into a ‘new normal’

way of working will start to emerge,

for business operations. Sandeep

with people being required to do mul-

details that “the first steps will be

tiple roles. As we emerge out of the

to maintain social distancing rules,

lockdowns facilities need to become

and I believe that, while employees

more resilient and robust which is

will start to head back to work, I do

driven by connectivity.”

not think the entire workforce will be present. Maybe towards the end of the year but not yet. Instead the workforce will be asked to report to the office via a remote login. I believe working from home will continue for b u s in e s s c hie f. a s ia

L E A D E R S H I P & S T R AT E G Y

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THE FUTURE OF APAC INVESTMENT MANAGEMENT WRITTEN BY

HARRY MENEAR

AUGUST 2020

25

a si a .busi ne ssc hief. com

L E A D E R S H I P & S T R AT E G Y

Disrupt or be disrupted; APAC’s investment management industry has the potential to dominate the world, or be left behind

T

he Asia Pacific (APAC) investment management market is a colossus on the rise. Over the coming decade, the

region is expected to become the global leader for assets under management (AuM) growth, as populations explode, economies open to the rest 26

of the world and Industry 4.0 delivers paradigmshattering digital developments one after another.

The number of AuM across the APAC region is set to grow faster than any other region globally. A report by PWC released last year estimates that the total value of AuM in the region will rise, from US$15.1trn in 2017, to as high as $29.6trn before the end of 2025.

As international investment firms start to place greater stock in the region, and the area’s traditional investment hubs of Singapore and Hong Kong are joined by emerging titans, investment in everything from AI and fintech to infrastructure and property will skyrocket. According to a recent report by Doug Dannemiller and Sean Collins at Deloitte: “From a geographic

AUGUST 2020

27

busi ne ssc hief. a s ia

L E A D E R S H I P & S T R AT E G Y

“ When you look at broader developments within and beyond the industry, there are signs that [APAC] is facing significant change” 28

— Jayne Bok, Head of Investments, Willers Towers Watson

diversification perspective, most

firms across the region need to be

European firms have been look-

ready to meet new challenges and seize

ing to expand into Asia, while many

new opportunities if they are looking

US-based investment managers

to survive. Powerful new digital solu-

have focused on increasing their

tions have the potential to be powerful

presence in both Europe and

tools for investment managers, but also

Asia,” while another report by PWC

threaten to remove intermediaries from

estimates that this is the decade

the market entirely as new platforms

where “Shanghai, Sydney and Tokyo

allow individuals to better manage their

deepen their hold as large domestic

capital directly. AI will also step into the

market centres.”

decision-making process, playing an

Change is coming, and investment management professionals and their AUGUST 2020

increasingly essential role as investors become more comfortable acting on

29

computer-generated insights. In short,

are well known quantities: AI and

the next decade will render the APAC

big data will transform the ways that

investment management market a dras-

companies understand and draw

tically different environment compared

insights from the world around them;

to today. This month, Business Chief

these insights, along with increas-

is taking a look at some of the leading

ingly sophisticated machine learning

analysis of the trends facing the market

capabilities, will drive levels of auto-

and exploring their potential impact on a

mation that were once confined to

multi-trillion dollar industry.

the realms of science fiction; 5G will usher in a new era of connectivity and

DIGITAL: DISRUPT OR BE DISRUPTED

communication capabilities; this in

It’s 2020. By this point, the far-

turn will cause an exponential explo-

reaching implications of Industry 4.0

sion across the internet of things (IoT), busi ne ssc hief. a s ia

L E A D E R S H I P & S T R AT E G Y

30

driving the digital world closer and

adjacent markets (particularly prop-

closer to the network edge, as homes,

erty and infrastructure development

cities and entire world become

in APAC) is essential for the firms

smarter, safer and more comfortable

looking to succeed.

places to live. General and sweeping

More importantly, though, digital

statements like this come as no shock

transformation is going to touch the

to anyone who’s been paying attention.

internal strategies and external rela-

However, what does Industry 4.0

tionships that make up the industry

mean for the investment management

itself. In a recent report by Accenture,

industry? Investment management

which drew results from more than

touches every vertical from telecom-

33,000 financial services consum-

munications to taco franchises, so it’s

ers in 18 markets, found that 78% of

obvious enough that understanding

respondents would be comfortable

the effects of digital disruption on

using entirely automated, computer

AUGUST 2020

D N A ( D ATA & A N A LY T I C S ) Based in South Korea, Data & Analytics (DNA) uses AI and machine learning to tackle vast datasets of seemingly inconsequential information in order to create powerful insights and build investment portfolios. The company’s neural network engine can tailor its predictions to various markets and verticals and combines its analytics with a proprietary RoboAdvisor, which delivers these insights in a digestible fashion. “The DNA solutions can process complex, structured, or unstructured data by creating meaningful and usable insights from them in any industry,” said NDA CEO Kyung Soo Kim in an interview with CIO Advisor. “Our strength lies in the fact that our engine learns from various industrial markets, and thus we can provide forecast data promptly.” Currently, DNA has a presence in 160 markets.

31

DNA - Data & Analytics CLICK TO WATCH

|

0:45

busi ne ssc hief. a s ia

L E A D E R S H I P & S T R AT E G Y

“ From a geographic diversification perspective, most European firms have been looking to expand into Asia” — Deloitte

32

AUGUST 2020

generated support for investment advice. The report adds: “The overwhelming majority in each country also said that sharing data should ensure that they are delivered personalised products and services for their investments.”

THE GROWING POWER OF DATA Accenture’s report found: “The wealth management industry has responded to the digitisation trend by investing heavily in building digital channels and solutions, and by introducing a wide range of self-service advisory and portfolio management methods— from risk-based and thematic investing to goals-based advisory.” However, while investment management firms have accrued vast amounts of relevant data, the report also found that the majority of industry players don’t yet have adequate means to fully make use of this information. Altering this state of affairs is going to be necessary if firms expect to more fully understand the needs and wants of their clients.

“Understanding today’s client behaviour requires much more than knowing busi ne ssc hief. a s ia

33

L E A D E R S H I P & S T R AT E G Y

Rise of the Robo Advisors CLICK TO WATCH

|

3:20

34

an existing or prospective customer’s assets under management (AuM) or

“ This is the decade where Shanghai, Sydney and Tokyo deepen their hold as large domestic market centres” — PwC

the data from the know-your-customer (KYC) process,” states the report. “At the same time, wealth managers want to understand their clients better, and are keen to get away from the one-sizefits-all approach and offering low-risk, vanilla products.” APAC investment management firms are aware of the need to harness data more effectively and those that are successful in this goal will be the ones to stand out from the crowd in coming years.

AUGUST 2020

DISINTERMEDIATION AND ACCELERATION

have an app that lets you easily over-

Two of the trends with the largest pos-

see your own investment portfolio and

sible consequences for the investment

uses AI and machine learning to pro-

management industry are disinterme-

vide you with data-driven insights that

diation and acceleration. The two play

let you make similar decisions to an

off of each other, and have the poten-

investment manager taking 5-10%, why

tial to create serious challenges for the

do you need that investment manager

market. Disintermediation refers to the

at all? Accenture’s report speaks to

growing availability, power and acces-

this trend, noting that “Intermediaries

sibility of digital platforms that allow

will be squeezed as common platforms

individuals to invest with a level of ease

allow direct access. Individuals can

and accuracy that reduces the require-

invest by themselves rather than using

ment for wealth and asset managers to

a wealth manager to manage a portfo-

oversee a portfolio. Simply put, if you

lio, investing for instance in exchange

busi ne ssc hief. a s ia

35

L E A D E R S H I P & S T R AT E G Y

“ The wealth management industry has responded to the digitisation trend by investing heavily in building digital channels and solutions” 36

— Accenture

traded funds to achieve diversification

industry, adapting financial technol-

at low cost.”

ogy has driven the development of

In the past, these platforms haven’t been able to muster the kind of power at a sufficiently low price point to

digital wealth management services and platforms.”

This doesn’t spell the end of invest-

compete with intermediaries, but this

ment management as an industry by

is where the other trend comes in.

any means, but firms will need to ele-

Acceleration refers to the fact that

vate their value propositions as more

technology is becoming increasingly

basic offerings are replaced with a

flexible and cheap. It “allows the rapid

more DIY, app-driven approach. Many

deployment of new products and

of these new solutions are using Robo-

services. In the wealth management

Advisors to support their platforms.

AUGUST 2020

37

THE FUTURE

Bok, Head of Investments at Willers

The next few years are going to be

Towers Watson, notes that while, “on

epoch-defining for the APAC wealth,

the surface, the numbers might appear

asset and investment management

to tell a story of steady growth and of

space. Technology is going to have

stability. But when you look at broader

an increasingly disruptive effect on

developments within and beyond the

the industry itself, as well as the ver-

industry, there are signs that [APAC] is

ticals it touches. Democratisation of

facing significant change.�

AI-driven apps and platforms is going to place pressure on legacy firms to elevate their offerings or be left behind. In a recent interview, Jayne busi ne ssc hief. a s ia

2020 H U M A N C A P I TA L

digital technology trends in HR operations WRITTEN BY

38

AUGUST 2020

GEORGIA WILSON

39

busi ne ssc hief. a s ia

H U M A N C A P I TA L

Business Chief gains insight into the HR digital technology trends of 2020 and digital transformation benefits they provide organisations

•••••••

O

ver the last five years, digital transformation has redefined the ways in

which organisations operate and seen an

40

increasing number of companies deploy digital solutions rapidly and at scale. As a result of this shift in mindset towards a digitally led culture, talent management and the need for new skills is changing how ‘traditional’ HR systems operate.

“In a recent survey, two-thirds of business leaders told us that if their company does not digitalise more by 2020, it will no longer be competitive. But in HR, digitalisation is changing everything, from core functions like the way we hire and develop talent, to introducing new burdens such as raising performance. We found that 88% of chief HR officers say they need to invest in three or more technologies over the next two years. It’s a huge undertaking and it’s no AUGUST 2020

41

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43

surprise many executives feel com-

human, Emily He, SVP of Global

pletely lost,” says Brian Kropp, Group

Marketing at Oracle, states that “the fas-

Vice President at Gartner.

cinating part of this AI revolution, is how

With organisations facing being left

automation is actually pushing the work-

behind if they do not ramp up their

force to become less techy and more

efforts to digitally transform, here are

human.” Agreeing with He, Ben Eubanks,

the top HR technology trends that

an HR industry analyst and influencer

could help them do so.

believes that “Every time work has been automated in the past, the resulting jobs

ARTIFICIAL INTELLIGENCE (AI) AND ROBOTIC PROCESS AUTOMATION (RPA)

and tasks have been more human in

Whilst it may sound conflicting to sug-

aspects. These core human skills are

gest that implementing more technology

important today, but they’ll matter even

can make operations increasingly

more in the future.”

nature as we automate the less human

busi ne ssc hief. a s ia

H U M A N C A P I TA L

Top 10 benefits of Cloud platforms for HR operations • Reduced paperwork • Real time and accurate analysis • Increased employee engagement • 24/7 access to information • Fast deployment 44

• Cost effective solutions • Improved security and GDPR policies • Easier to innovate, a more flexible solution • Ensuring that HR operations keep up with innovation across the organisation • Predictive analytics

Source: TrustRadius

AUGUST 2020

Key areas within HR that have benefited from AI include analysis of employee surveys - known as voice of employee (VOE) analytics - and removing human bias. “Our new research shows that AI tools are better than humans at analysing employee surveys,” comments Eubanks, while IBM states that “as we work to develop AI systems we can trust, it’s critical to develop and train these systems with data that is unbiased and to develop algorithms that can be easily explained.”

When it comes to robotic process automation (RPA) the technology encompasses the likes of chatbots, natural language processing (NPL), machine learning, and AI. These capabilities can improve communications and increase productivity via access to the right data at the right time. Future trends for RPA within the HR sector include chatbots, with predictions that HR chatbots will be implemented at more than 50% of companies by 2022.

Common questions asked to chatbots relate to payment, holiday leaves, social benefits and employee general rights. By having the technology busi ne ssc hief. a s ia

45

H U M A N C A P I TA L

46

answer these simple questions compa-

(VR) and augmented reality (AR).

nies can help to alleviate the burden on

The technology can help recruiting and

HR departments. “These bots can act

onboarding processes by establish-

as self-service platforms that allow the

ing simulated environments that test a

HR personnel to focus on responding

candidate’s job-specific skills, sharing

to more complex and urgent questions

a virtual tour of your office space and

that warrant their attention,” comments

bolstering recruitment efforts.

Jeremy Nunn, Forbes Council Member.

According to a study conducted by Dr. Candice Lanius of The University

VIRTUAL AND AUGMENTED REALITY AND WEARABLE TECHNOLOGY

Lanius recorded more than 140 stu-

One technology gaining momentum in

dents’ speeches while monitoring their

the HR sector is the use of virtual reality

heart rate via wearable technology.

AUGUST 2020

of Alabama in Huntsville (UAH), Dr.

“In a recent survey, two-thirds of business leaders told us that if their company does not digitalise more by 2020, it will no longer be competitive”

•••••••

47

Brian Kropp, Group Vice President, Gartner Based on the data, Dr. Lanius adjusted

employee experience was one of the

the curriculums to better prepare

most important aspects of their initia-

students to combat public speaking

tives, and will remain as a top priority

anxiety. This trend is predicted to

through 2020 as they look to drive

emerge within HR to track heart rate,

engagement and foster employee-

body temperature, pupil dilation and

centric cultures.

other factors to provide an insight into employee stressors.

“Put systems, tools, and processes in place that enhance, not limit, their employees’ daily tasks and

EMPLOYEE EXPERIENCE, HR GUIDANCE AND REAL-TIME PERFORMANCE FEEDBACK

schedule but beyond the tools the

It was reported by Gartner that

relationship and the respect to your

among HR professionals in 2019,

people. Your employee is your first

most important is the value of the

busi ne ssc hief. a s ia

H U M A N C A P I TA L

customer,” noted François Bornibus, the President of Lenovo.Such tools can include the use of real time performance feedback to allow employees and employers to receive regular, consistent feedback in real-time. This allows managers to have meaningful forward-looking conversations relating to employee development, which can increase engagement and productivity.

The concept of HR guidance via an Organisation Guidance System (OGS) is also predicted to 48

grow. Dave Ulrich, speaker, author, professor and thought partner on HR, leadership, and organisation sees “HR delivering value by offering more ‘guidance’ rather than simply scorecards, dashboards or predictive analytics.” Such systems would identify not only the desired outcomes of organisation investments but the roadmap to reach the outcomes and the requirements for sustainable progression. An OGS allows an organisation to identify desired outcomes relating to talent, organisation, leadership and human resources allowing HR professionals to provide a framework for solutions.

AUGUST 2020

Digital HR saving facts and figures • Organisations can save 40% of their data load time when using a data conversion and migration extension to reduce errors during mass uploads • US$80,000 can be saved with a test data and optimisation extension to secure personal data, avoiding penalty payments • US$100,000 can be saved with a data validation and monitoring extension for defensive reporting efforts due to reducing the number of queries • A document creation extension can help users to build and manage templates easily Source: Accenture

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49

H U M A N C A P I TA L

“ 88% of chief HR officers say they need to invest in three or more technologies over the next two years”

•••••••

Brian Kropp, Group Vice President, Gartner 50

NEW WORKING MODELS AND GENERATION-Z

as well as ensuring they have the

New working models are changing

correct policies in place to effectively

the way in which organisations adopt

support their remote workers. This

technology. While more flexible

new style of working is only further

working environments and remote

being driven by the technologically

working is not a new concept with the

savvy, Generation-Z which are begin-

outbreak of COVID-19, the increase

ning to enter the workforce.

like Zoom and Microsoft Teams,

in remote working has been expolooking to rapidly adopt remote work-

INTEGRATED SYSTEMS AND CLOUD TECHNOLOGY

ing capabilities such as cloud and

With the average HR function using 11

digital communication technologies

different systems just for recruiting,

nential. As a result, organisations are

AUGUST 2020

51

and the continued rise of digital

as the company grows, which will ulti-

transformation, the importance

mately improve a HR team’s reporting

of integrated systems to maintain

and analytics capabilities.

accuracy and efficiency continues

However, “from an HR perspec-

to grow. In addition to integrated

tive, any changes to existing systems

systems, high quality software is also

must be carefully considered and

critical. The ability to process large

skillfully executed,� highlighted Venky

amounts of data via the integrated

Seshadri, Senior Sales Director and

system is a valuable capability for

Product Manager at Accenture. While

HR professionals in order to save

some capabilities will be more critical

time and resources. This capability is

than others and will vary depending on

driven by having a robust and reliable

the business, one thing is for certain,

software solution that is adaptable

that when digital technologies are busi ne ssc hief. a s ia

H U M A N C A P I TA L

52

“ From an HR perspective, any changes to existing systems must be carefully considered and skillfully executed

•••••••

Venky Seshadri, Senior Sales Director and Product Manager, Accenture AUGUST 2020

effectively adopted the capabilities bring value to organisations to drive sustainable and efficient operations.

Within HR innovative technologies can help to better deliver an organisation’s HR, services. “Digital technologies remove some of the mystery behind HR processes,” adds Seshadri, by involving the workforce in recruitment, onboarding, performance review, learning and career development procedures, as well as opening up the ‘anytime-anywhere’ services with the use of mobility, social media platforms and smartphones.

While HR platforms can be built inhouse, utilising a cloud platform is a more cost and time effective solution.

The technology also provides flexibility and control for HR professionals to effectively customise applications to suit requirements, as well as the ability to make better decisions, improve efficiency, improve employee experiences, and improve HR compliance.

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D I G I TA L S T R AT E G Y

54

DESIGNING A DIGITAL STRATEGY AND THE IMPACT OF COVID-19 Business Chief takes a look at McKinsey’s 10 factors for a successful digital transformation strategy and the impact of COVID-19

WRITTEN BY

AUGUST 2020

GEORGIA WIL SON

55

busi ne ssc hief. a s ia

D I G I TA L S T R AT E G Y

W

hen it comes to designing a digital transformation strategy, McKinsey explains that “clear targets, man-

agement buy-in, and targeting easy wins early are just some of the key aspects of a successful digital transformation. Firms should also look to rapidly up-skill the digital expertise of their workers, and deploy agile

ways of working.”

REALISING DIGITAL POTENTIAL – 10 FACTORS FOR A SUCCESSFUL DIGITAL TRANSFORMATION FRAMEWORK 56

While it is no secret that digital transformation and industry 4.0 are providing organisations with a multitude of opportunities for customer experience, growth, innovation, optimisation, transparency and agility, to drive sustainable and efficient operations.

“However, mounting evidence shows that digital transformations are easier said than done, with more than half of all UK projects estimated to fail at realising their desired goals,” says McKnisey. To help organisations navigate the challenges of developing a successful digital transformation strategy, McKinsey outlines 10 factors that can help an organisation realise the digital potential for an effective strategy.

AUGUST 2020

57

busi ne ssc hief. a s ia

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First on the list is senior manage-

investment. When it comes to invest-

ment buy-in. When it comes to budgets

ing in a digital transformation strategy,

and decision making, having execu-

McKinsey explains that “investment

tives onboard and taking a proactive

is likely to result in lower profits for a

approach will drive quicker decision

while. But without it there is a serious

making and gain support across the

risk to profits in the longer term”.

entire organisation, as well as a smooth

Organisations willing to truly commit

transition process and clear priority

to the investment needed will be able

focus. “The CEO cannot simply sanc-

to pull off a digital transformation

tion a digital transformation; he or

strategy. While investment is a core

she must communicate a vision of

element of designing a digital trans-

what needs to be achieved, and why,

formation strategy, resources are not

in order to demonstrate that digital

unlimited and particularly in the cur-

is an unquestionable priority,” states

rent climate it is important to manage

McKinsey, this clear communication

the risk when investing in projects.

is crucial to maintain momentum and

McKinsey therefore, highlights the

reduce failures when digitally trans-

importance of sequencing initiatives.

forming operations, which leads to

As the more value a digital transfor-

the importance of identifying key mile-

mation captures, the more it becomes

stones and targets to aim for, with a

self-funding and builds great support.

clear roadmap and regular progress updates. “Targets are needed for each source of value creation – cost savings, revenues, improved performance of agents, and satisfaction of employees and customers—and for new ways of working and the new capabilities required,” adds McKinsey.

Another key element to designing a digital transformation strategy is busi ne ssc hief. a s ia

59

D I G I TA L S T R AT E G Y

“A company’s financial pressures

the projects – known as a ‘lighthouse

will shape the sequencing to some

project’ – could be a key way to build

degree. So will its IT, if legacy systems

support. These short term and well

restrict initial choices. Companies

defined projects act as a measurable

must be more flexible. It could prove

model for projects going forward that

hard to recruit the particular people

are perhaps more broader.

needed, while technology and cus-

60

As an increasing number of organi-

tomer behaviour will continue to

sations look to design a digital

evolve. When initiatives are successful

transformation strategy, there has

and deliver the intended financial ben-

also been a rise in the need for skilled

efits, the board and top team should

talent, in particular a Chief Digital

be emboldened to push to achieve

Officer (CDO) to lead the digital

more,” states McKinsey. As a result

disruption and innovation. Recent

the establishment of ‘easy win targets’

statistics show that 19% of top global

in order to build the momentum for

companies now have a CDO – 60%

AUGUST 2020

How Coronavirus is Impacting Big Tech CLICK TO WATCH

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1:03

61 of which have been hired since 2015.

speed and autonomy at its core,

“The importance of securing a high-

agility as a process is defined as the

calibre launch team, often under a

division of tasks into short phases

CDO, cannot be overstated. A CDO

of work and the frequent reassess-

can prove invaluable in co-ordinating

ment and adaptation of plans. CDOs

a transformation – avoiding duplica-

and executive leaders can help to

tion by devising a methodology for

promote new ways of working within

the redesign of customer journeys

an organisation that are essential for

that can be replicated across the

digital success, including: agile prod-

organisation as digitisation efforts

uct development, maintaining focus

are extended.”

on customers, and cross-functional

With this in mind, the importance of

teams. McKinsey does however, high-

having a central launch team manag-

light that “separating a digital component

ing the overall operations leads into

from the rest of the organisation is

the need for agile ways working. With

not entirely the answer. They can start busi ne ssc hief. a s ia

D I G I TA L S T R AT E G Y

to create channel conflict, particularly if innovations threaten to cannibalise revenue streams. The digital unit therefore needs to be reintegrated at some stage, and that becomes more difficult as time passes. Whatever the choice, the ultimate goal has to be to enmesh the old and the new.”

A recurring theme within these key factors is the need for a digital mindset to maintain momentum. It is important for organisations designing a digital transformation strategy to 62

encourage a digital culture. One way to develop such culture is through education. It is important for employees to understand the changes that

reach the stage when only a funda-

are happening within the organisation

mental organisational redesign will do,”

and how the changes will impact their

comments McKinsey. Organisations

way of working. It is also important

will need to redesign many fundamen-

when it comes to education to boost

tal aspects of its operating model

the skills and system. The success

in order to realise the true potential

of a digital transformation strategy

of a digital transformation strategy.

requires the ability to acquire and

“Silos drawn along functional lines

develop competencies relating to

have always been a drag on collabo-

digital skills, technologies, processes

ration and performance in large

and operating models to avoid skill

organisations. In the digital age, when

gaps and shortages.

companies need to reinvent the way

Ultimately, “whatever structures a company chooses initially, it will AUGUST 2020

they work on the fly, an inability to connect all parts of the organisation to

63

share data, expertise, and talent can

organisations had a digital transfor-

be crippling,” concludes McKinsey.

mation strategy in place, most were not far enough ahead to make the

THE IMPACT OF COVID-19 ON DESIGNING A DIGITAL TRANSFORMATION STRATEGY

As a result, organisations have been

When it comes to the future of digital

mation in order to adapt to new

transformation, organisations, when

working constraints as a result

asked ‘who led your digital transfor-

of lockdown measures.

mation?’ will answer, ‘COVID-19’.

It is no secret that since the outbreak

impact of COVID-19 a non-issue. forced to drive rapid digital transfor-

“This is certainly a before-and-after moment in the history of the economy

of COVID-19, organisations all over

and the digital transformation,” noted

the world have had their operations

Andrew Filev, a Forbes contributor.

impacted by the virus. While 70% of

“Even when the COVID-19 outbreak busi ne ssc hief. a s ia

D I G I TA L S T R AT E G Y

64

is contained, it’s unlikely things will

adopted change due to the outbreak

return to normal. Instead, we’re seeing

of COVID-19. “Whatever objections

the forced acceleration of previously

businesses have previously had to

slow-moving trends that are likely to

telecommuting, COVID-19 may be

shape the future for the long haul.”

the moment that brings it into the

Accelerated adoption of digital trends as a result of COVID-19 include:

mainstream and shows leaders that with the right technology, culture, and expectations, employees can

TELECOMMUTING

be just as productive and effective

While remote working is not an unfamil-

from home,” says Filev.

iar concept, a recent survey revealed that 49% of workers have never worked

ON-DEMAND FOOD AND SERVICES

from home. As a result, telecommut-

With thousands of businesses due

ing technology has been the most widely

to social distancing guidelines forced

AUGUST 2020

to close, the on-demand economy has further reinforced its importance as part of digital transformation. With the likes of Uber Eats and Just Eat, digital delivery apps are providing revenue for those who had to close their brick and mortar stores.

“If it works for restaurants, we may see new aggressive adoption of driveup or on-demand local delivery of

“communities and surrounding busi-

essential goods as a result. Some

nesses may need to compensate

businesses might even find this model

for a decrease in foot traffic in certain

provides lower costs, helps manage

anchor locations, and it could also

inventory, and makes revenue more

mean the painful loss of jobs in the

predictable,” believes Filev. However,

retail and service sector.”

F I V E D I G I TA L T R AN SFO RMAT I O N FACT S • 70% of companies have a digital transformation strategy in place or working on one • Top industries for digital-first business strategies include: services (95%), financial services (93%) and healthcare (92%) • Top benefits of digital transformation include: improved operational efficiency (40%), faster time to market (36%)

and the ability to meet customer expectations (35%) • 27% of organisations believe digital transformation is a matter of survival • 55% of organisations without a digital transformation strategy believe they have less than a year before they begin to lose market share Source: Forbes

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65

D I G I TA L S T R AT E G Y

W H AT D I G I TA L TR A N S F O R M AT I O N MEANS TO OR GA N I S AT I O N S • 52% believe it enables worker productivity, via tools such as artificial intelligent (AI) assisted processes • 49% believe it has the ability to better manage business performance with data availability 66

• 46% believe it helps meet customer experience expectations Source: FinancesOnline

VIRTUAL EVENTS

their physical event into a virtual one,

Events is an industry hit particularly

something “which in the end may not

hard due to the impact of COVID-19,

just be a 2020 phenomenon but the

alongside the travel and hospitality

new standard for experiences,” high-

industry that supports it. As a result,

lights Filev. It is unknown yet as to

conferences and trade shows have

whether virtual events will drive busi-

been cancelled or postponed due

ness to the same extent that a

to mitigate the spread of the virus.

physical one can, “but if they can, their

However, some of these events are turning to technology, transforming AUGUST 2020

appeal may be lasting. With lower costs for attendees and promoters

67

and more flexibility in content formats,

provides organisations with instant

I wouldn’t be surprised to see some

communication from any location.

events remain virtual in the future.”

Ultimately, “digital transformation has already saved millions of jobs,

THE CLOUD

helped slow the spread of the virus,

The cloud is the driving force that

and allowed businesses to maintain

has allowed organisations to rapidly

a level of normalcy amidst a chaotic

adapt their operating models as the

situation,” concludes Filev.

disruption of COVID-19 impacted their operations. Cloud technology busi ne ssc hief. a s ia

TECHNOLOGY

68

AI:

CHALLENGES AND OPPORTUNITIES IN ASIA WRITTEN BY

AUGUST 2020

MARCUS LAWRENCE

69

busi ne ssc hief. a s ia

TECHNOLOGY

AI and machine learning pose major questions for nations at all stages of development and Asia and the ASEAN region are no different

A

rtificial intelligence (AI) has no universal definition, though its

applications are perhaps its best descrip-

tors. As computing speed and power rise 70

while purchasing costs fall, the accelerated development of AI systems, those capable of completing actions typically reliant on human cognition to be accomplished accurately or at all, shows no signs of slowing down. Businesses are integrating technologies capable of automating simple tasks across their operations, from data collation, entry and analysis to payroll systems that can accurately and securely calculate an employee’s earnings against the myriad factors that could affect them month to month. The desire to work smarter rather than harder, repurposing existing staff freed from repetitive tasks so that they can contribute to value-added activities, is steering global business AUGUST 2020

71

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TECHNOLOGY

AI & Manufacturing in Asia — Opportunities, Challenges and Solutions: Microsoft Asia CLICK TO WATCH

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3:02

73

towards a mindset that, if something

“ COMPANIES ACROSS THAILAND, MALAYSIA, THE PHILIPPINES, AND INDONESIA COULD STAND TO SAVE ALMOST A COLLECTIVE $1TRN BY ADOPTING AI AND AUTOMATING THOSE PROCESSES”

can be automated, it should be.

This is a stance that’s not without its problems, of course, and in Asia the challenges of AI adoption are perhaps more stark than elsewhere.

McKinsey Global Institute’s (MGI) ‘Artificial Intelligence and Southeast Asia’s Future’ report from 2017 cited earlier research which found that 50% of work activities conducted across the Philippines, Thailand, Malaysia and Indonesia could be automated.

This work, cumulative across the four busi ne ssc hief. a s ia

TECHNOLOGY

FACTS

“For their part, most of the companies across ASEAN will need to make fundamental changes in management culture, including adopting a data-driven style of decision making, and most importantly, striking innovative partnerships with specialist firms to incubate the scarce skill sets needed for AI efforts; a thoughtful approach to strengthening the data infrastructure is also needed to prioritise effort and investments” — McKinsey Global Insights

74

AUGUST 2020

biggest Southeast Asian (ASEAN)

the ASEAN region, the threat to low-

economies, accounted for around

skilled work from AI is compounded

US$900bn in wages in 2017. On the

by the nature of those economies:

one hand, companies across those

delivering quality education and inclu-

four economies could stand to save

sion at all levels is a challenge across

almost a collective $1trn by adopting

these populations and substantial

AI and automating those processes.

swathes of the countries’ poorest

On the other, workers across those

stand to be left behind.

companies, industries and economies

Both skilled and low-skilled roles

may either find themselves reas-

are under pressure as AI’s capabili-

signed or made redundant as the

ties grow at an ever accelerated rate.

money is invested elsewhere. In devel-

McKinsey’s 2017 report found that

oping economies such as those in

at least 30% of activities carried 75

busi ne ssc hief. a s ia

TECHNOLOGY

out across 60% of all occupations could be automated, though it noted: “Because automation applies at the task level, AI seems likely to change more occupations than it will eliminate outright.” And, while the aforementioned automation of around 50% of tasks at a cost saving of $900bn is staggering to consider, “this does not mean that companies will replace workers with machines overnight just because it is technically feasible to do so. The pace and extent 76

of automation will be determined by how companies view the business case, weighing considerations such as the cost of these technology systems, their ease of use, labour market dynamics, the value that could be created, the customer experience, their own capabilities and regulatory and social acceptance.”

The latter points made here are perhaps the most vital impediments to the potential havoc that AI could wreak on labour markets ill-prepared for its introduction: it won’t happen immediately and there is time to integrate the technology thoughtfully across economies. In short, as has AUGUST 2020

“ WHERE AI’S IMPLEMENTATION COMES WITH RISKS, IT ALSO COMES WITH THE PROMISE OF BENEFITING INDIVIDUALS AND SOCIETIES IN WAYS BEYOND EFFICIENCY IN BUSINESS” been typically accomplished during previous industrial and technological revolutions, societies, government spending and education can adapt to the new normal as productivity rises and wealth blossoms through gradual adoption. What sets AI apart from previous technological overhauls of working life is its propensity to extend beyond automation of repeatable, predictable tasks. Where AI’s implementation comes with risks, it also comes with the promise of benefiting individuals and societies in ways beyond efficiency in business. busi ne ssc hief. a s ia

77

TECHNOLOGY

78

McKinsey highlights some of the

records and observations of physical

key areas in its report, with the abil-

changes caught on camera to assess

ity for machine learning to “enhance

whether a disease has taken hold

credit models and financial inclu-

or progressed. Ophthalmic care, for

sion”, as well as its applications for

example, is limited for people in geo-

healthcare, having clear and direct

graphically remote areas by the need

benefits to populations across

for specialist equipment and limited

developing countries. Preventative

availability of doctors specialising in

and remote healthcare will be

eyecare. Bangladesh is one example

supercharged by machine learning’s

where a patient may only need to

ability to cross-reference medical

have photos taken of their eyes and

AUGUST 2020

FACTS

McKinsey highlights five McKinsey highlights five elements that must be tackled elements that must be for AI adoption within tackled for AI adoption enterprises: within enterprises: • Clearly defined use cases or • Clearly defined use cases or sources of value sources of value • Robust data ecosystems • Robust data ecosystems • A workforce that is adept at using • A workforce that is adept at systems and tools using systems and tools • Clear integration with workflows • Clear integration with in the core business workflows in the core business • A n open culture that embraces a • A n open culture that embraces ‘test and learn’ approach a ‘test and learn’ approach

have them uploaded to a machine

infrastructure and data ecosystems to

learning-enhanced platform for a

realise these types of opportunities,”

diagnosis to be made based on learn-

McKinsey said.

ings from other patients. Changes

It is clear that Asia and the

over time may be minor and difficult

ASEAN region is both replete with

to detect by a human being, but such

opportunity and risks that must be

signs can be caught and flagged by

addressed when it comes to the

the system as new images are sup-

implementation of artificial intelli-

plied. But, of course, for such ideas

gence and its technological brethren,

to become reality, “most of the region

machine learning, deep learning, and

will need to build foundational digital

RPA. Governments and enterprises busi ne ssc hief. a s ia

79

TECHNOLOGY

“ THE SKILL SETS NEEDED FROM WORKFORCES WHOSE TRADITIONAL ROLES HAVE BECOME AUTOMATED MUST BE DELIVERED BY BOTH BUSINESSES SEEKING TO UNLOCK THE POTENTIAL FOR ABSTRACT HUMAN INPUT AND VALUE-ADD ACTIVITIES” 80

AUGUST

must face down considerable challenges in order to unlock its capacity for accelerated efficiency and economic growth, improved availability of credit and financial inclusion, enhancements to healthcare and more. The skill sets needed from workforces whose traditional roles have become automated must be delivered by both businesses seeking to unlock the potential for abstract human input and value-add activities, and governments who stand on the verge of enormous potential for growth and prosperity.

As the dust settles on a global pandemic that has called computational power to arms like never before, it will be interesting to see how the likes of the Philippines, Thailand, Malaysia and Indonesia shift to take advantage of AI.

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D I G I TA L T R A N S F O R M AT I O N

82

AUGUST 2020

DIGITAL TRANSFORMATION IN CORPORATE FINANCE WRITTEN BY

HARRY MENE AR

busi ne ssc hief. a s ia

83

D I G I TA L T R A N S F O R M AT I O N

From AI and RPA to advanced data analytics, digital transformation in the corporate finance sector is poised to reach maturity There’s no denying it: we’re in the midst of a digital revolution. From remote telemedicine to blockchain apps that stop blood diamond smugglers, and artificial intelligence (AI) that verifies the freshness of high-grade tuna, nearly every aspect of our lives is becoming more and more saturated with technol84

ogy. Digital transformation is affecting every vertical in every market across the globe. While some industries have moved faster than others, each transformation has followed an inflection point: the technologies required to power significant transformation reach a level of maturity and availability that allows for change. The companies that are able to embrace these technologies and successfully use them to drive their operational and digital transformations will gain a critical advantage over their peers.

“The technologies needed to reimagine finance are here and they will only get better,” observes a recent report by global consultancy and accounting firm Deloitte. "Plus, we can learn a lot from other business functions. Modern factories give us a

AUGUST 2020

85

“The technologies needed to reimagine finance are here and they will only get better” — Deloitte

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“[Automation applications] are evolving from simple individual task automation to full process automation that could improve the accuracy of financial analysis and forecasts” — Gartner glimpse of what automation can deliver.

INCREASED AUTOMATION

Smart contracts show us new ways of

From manufacturing to supply chain

tracking assets. The lessons are out

and logistics operations, automation is

there. We don’t have to reinvent the

the technological trend that is shaping

wheel. We can focus instead on adapt-

up to define the century. In the finance

ing and adopting.”

sector, robotic process automation

The report continues, however, to

(RPA) has the potential to reshape

note that although the technologies

the role of the finance professional,

necessary to effect seismic change

as well as dramatically increasingly

across the industry are appearing (typ-

the potential for value creation across

ically in the form of pilot programs and

entire businesses.

localised trials) there has yet to be

It’s estimated that financial planning

much evidence of scalable transforma-

and analysis (FA&P) professionals

tional change. “The roadmaps to that

spend as much as 80% of their workdays

future are still being drawn.” This month, Business Chief breaks down three of the key trends affecting the relationship between digital transformation and the finance operation, and looks at how companies can best adapt and thrive under these new conditions. busi ne ssc hief. a s ia

87

D I G I TA L T R A N S F O R M AT I O N

on manual data gathering, consolidation, verification, and formatting, leaving just 20% for high-level analysis and strategic planning. Significant RPA adoption across the industry could change all that. RPA uses AI to train software bots to perform increasingly complex yet repetitive digital tasks, from processing claims and transactions, to monitoring compliance and auditing processes.

This technology is primarily manifesting through a phenomenon known as 88

“co-bots”. Rather than removing humans from the equation, the goal of a co-bot deployment is not to replace the human worker, but rather to augment that worker’s abilities through repetitive task automation, superior analysis, and workflow management. For example,

“The modern CFO is evolving from being a backwards-looking number collector to a trailblazing strategic leader who uses data and emerging technologies” — Marc Linden, EVP, GM of Medium Segment Native Cloud Solutions, Sage AUGUST 2020

89

process automation is having a signifi-

Automation in finance is gaining

cant impact on invoice management.

a good amount of traction in some of

According to Manoj Shroff, MD,

the more developed markets. In the

Finance and Accounting Business

US, for example, a report released

Process Lead at Accenture, using

in June by ISG found that around 83%

AI-powered predictive technology,

of enterprise finance functions have

finance departments are now able

deployed RPA in some way, and

to know with almost 95% accuracy

around 95% are experimenting with

when a particular invoice will get paid.

or have deployed machine learning busi ne ssc hief. a s ia

D I G I TA L T R A N S F O R M AT I O N

technologies in their finance and

“at the same time finance robotics must

accounting processes.

be scaled out of shared services and

Automation in finance has almost unlimited potential to increase efficiency,

into other finance sub-functions such as procurement and tax".

agility and ROI. As the technology

90

increases in sophistication, its applica-

POWERFUL ANALYTICS

tions are “evolving from simple individual

A technological trend that remains

task automation to full process automa-

closely linked with the increase in auto-

tion that could improve the accuracy of

mation deployments across the sector

financial analysis and forecasts,” accord-

is the growth and changing nature of

ing to Gartner’s report on automation in

analytics. The ability for finance depart-

finance. Gartner also notes, however,

ments to shift their energies away from

however, that the finance industry still

back-office reporting, and towards

faces pressure to increase ROI from

forecasting and predictive analysis,

automation deployments, adding that

has powerful implications for industries

Digital Finance – Finance Transformation at Deloitte CLICK TO WATCH

AUGUST 2020

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3:55

like insurance and investment. The

finance analytics can cost a business as

power of data analytics to harness

much as 1% of its revenue, a figure that

and draw insights from vast pools of

can mount dramatically over the course

data (that would simply not be feasible

of an unsuccessful transformation.

for humans to manually evaluate) is a game changer for the industry.

“CFOs must ask what technologies will enable finance to deliver on-demand

However, the game hasn’t been

reporting, how should data be gov-

changed yet. A report released earlier

erned as reporting expands to inte-

this year by FSN, a mere 14% of financial

grate financial and nonfinancial data,

organisations are successfully harness-

and what skills finance will need to

ing the large volumes of transaction data

deliver insight in an on-demand report-

they accumulate. These organisations

ing environment,” commented Craig

are either laden down by too much data,

Wilton, Senior Director, Advisory,

constrained in accessing their data,

Gartner. “Finance must balance the

or hindered by the technology they are

need for accuracy with the need to

using to analyse the data. The stakes

make a huge volume of data available

are high, as well; Gartner estimates

for decision-making, which is a new

that each incorrect decision regarding

muscle for many finance teams.” busi ne ssc hief. a s ia

91

D I G I TA L T R A N S F O R M AT I O N

T H E E R A O F T HE DI GI TAL CFO

As digital transformation touches every aspect of a business’ organisation, the need for digitally forward-thinking executives is extending beyond the CTO, CSO and other, traditionally techfocused roles.

92

A report from January of this year

by Sage found that 98% of CFOs say their job has significantly changed in the past five years, with around 75% claiming that they now play a critical role in driving digital transformation across their organisations.

“The modern CFO is evolving from being a backwards-looking number collector to a trailblazing strategic leader who uses data and emerging technologies, like artificial intelligence and predictive analytics, to create a vision for the future of their business,” said Marc Linden, Sage EVP and GM of Medium Segment Native Cloud Solutions, in a press release.

“The digitalisation of business is fundamentally changing the way finance leaders work and

AUGUST 2020

embracing technological evolution will separate the leaders from the laggards in this new era. However, a lack of cultural readiness in the office of finance may slow adoption of new technology and hinder achieving optimal results with any digital transformation.”

Simply being a tech-savvy leader is not enough for the modern CFO; the most successful executives in this area need to be drivers of both cultural and digital transformation throughout not only their own finance departments, but the entire company. “Company culture plays a vital role in the effective integration of any technology,” cautioned Nancy Harris, Managing Director, Sage North America. “As CFOs are driving digital transformation forward, they must not overlook the critical role they play in ensuring teams have the skills necessary to optimise these solutions and allaying any misperceptions and fears about

93

AI and automation across the wider organisation.”

However, if the modern CFO can combine cutting-edge digital adoption with smart, agile strategic decision making, while working to successfully create cultural change and readiness for Industry 4,0 throughout their organisation, they can be a formidable agent of change. “CFOs have access to the most important data in the business and the insights pulled

from this data are critical to driving the company forward,” commented Marie-Helene SimardBrown, CFO, Costa Farms. “Data such as inventory management, compliance changes and financial forecasting must be set up and gathered properly in order to glean the right insights and operational efficiencies. This creates a real opportunity for CFOs to be innovation ‘change agents’ in the digitalisation journey of the business.”

busi ne ssc hief. a s ia

D I G I TA L T R A N S F O R M AT I O N

“Finance must balance the need for accuracy with the need to make a huge volume of data available for decision-making, which is a new muscle for many finance teams” — Craig Wilton, Senior Director, Advisory, Gartner 94

THE CHANGING ROLE OF CORPORATE FINANCE

According to Deloitte, with digital solu-

As automation and analytics steadily

tions compensating fro routine work-

take on a more mature role in the oper-

loads, finance departments will have

ation of corporate finance divisions,

increased opportunities to proactively

the roles of those business units, and

create value and direct strategy.

the finance professionals working

These new roles will include functions

within them, is set to change dramatically.

like “scenario planning, advanced

This trend can best be described as

roles for their partners and clients.

forecasting, and better visualisation.

an upstream migration. As functions

Teams of business partners will come

like budgeting, processing and report-

together to focus on the most complex

ing begin to approach full automation,

commercial decisions, moving around

finance professionals will fulfil new

the business as needed”.

AUGUST 2020

95

In essence, the digital transforma-

will double down on business insights

tion of a finance department’s more

and service,” predicts Deloitte.

mechanical functions will create a

“Whether Finance continues to direct

world where the lines between the

the resources currently under its

finance discipline and other business

control will be dependent on its ability

functions like leadership, supply chain

to add value. That will require quality

and HR are increasingly blurred. This

insights and exceptional customer

interdisciplinary world will require

service. Some finance organisations

a shift in both attitude and training

will evolve into full-fledged business

focus for these departments, but has

service centers.”

the potential to promote agility and cross-company communication.

“With operations automated, finance busi ne ssc hief. a s ia

T O P 10

Tech brands in Asia 96

Business Chief examines Asia’s leading tech companies as ranked by Forbes in its ‘Top 100 Digital Companies 2019’ list WRITTEN BY

MARCUS LAWRENCE

WRITTEN BY

AUGUST 2020

WILL GIRLING

97

busi ne ssc hief. a s ia

T O P 10

CEO

RUI WEN KE

281,215 NUMBER OF EMPLOYEES

HQ BEIJING CHINA

98

10

China Telecom

TELECOMMUNICATIONS

China Telecom, one of China Telecommunications Corporation’s three listed companies, is a telco serving the majority of the Chinese mainland with landline, mobile, internet and digital TV services. The company was spun off from its parent corporation in 2002, listing on the Hong Kong stock exchange in the same year, and has since grown to become one of Asia’s foremost tech leaders. Forbes ranked the company as the 201st best employer in the world in 2019, as well as placing it at 174th in the Global 2000 2020. The company is currently trialling its 5G capabilities, with a full service launch expected in the near future.

AUGUST 2020

09

Hon Hai Precision ELECTRONICS

Taiwanese electronics manufacturer Hoi Han Precision was founded in 1974 and is based in New Taipei. Better known by its trading name, Foxconn, the firm designs, develops and manufactures specialist tech equipment including nanotechnology, wireless connectivity products and heat transfer tech, along with cabling, personal computer components and connectors. Foxconn has manufactured a broad spectrum of leading consumer products, including Microsoft’s Xbox 360 and One consoles, Sony’s PlayStation 3 and 4, various Apple products and Blackberry, Kindle, Xiaomi and Nokia handsets.

99

CEO

YANG-WEI LIU

1mn

NUMBER OF EMPLOYEES

HQ

NEW TAIPEI TAIWAN

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TOMONARI SATO

41,996 NUMBER OF EMPLOYEES

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08

101

KDDI

TELECOMMUNICATIONS

Founded in 1984, KDDI Corporation is today one of Japan’s biggest telco firms. Focusing on fixed-line, mobile, internet and TV services, the company operates through five key business units: Personal Services, Value Services, Business Services, Global Services, and Others. The firm partnered with Ericsson in 2015 to co-develop 5G technologies and in 2000 launched its ‘au by KDDI’ mobile brand which itself began 5G services in March 2020. The company also partnered with Google and four other major tech companies from around the world in 2014 to develop a 60Tbit/s subsea cable connecting Japan with the US West Coast, with the cable beginning operations in 2016.

busi ne ssc hief. a s ia

T O P 10

CEO

CHE CHIA WEI

46,968 NUMBER OF EMPLOYEES

HQ

HSINCHU TAIWAN

102

07

Taiwan Semiconductor ELECTRONICS

Semiconductor manufacturer Taiwan Semiconductor (TSMC) was founded in 1987 and has grown to become the largest company in Taiwan and the world’s most valuable semiconductor specialist. Its growth in annual revenues each year since 2009 came in tandem with the advent of personal smart technologies and the huge growth of digital technologies in every facet of society. Its chips are found across the full spectrum of computing, peripherals, telecommunications, games consoles, cameras and wired and wireless technologies.

Forbes ranks TSMC at 20th in its Top 100 Digital Companies 2019 and 108th on its Global 2000 2020 list.

AUGUST 2020

08

NTT

TELECOMMUNICATIONS

Better known by its acronym, NTT, Nippon Telegraph and Telephone was founded in 1952 as a government monopoly before going private in 1985 and launching on the Tokyo Stock Exchange in 1987. Japan’s telecommunications had been operated by AT&T during the American occupation following the end of the Second World War, with NTT assuming operations after the occupation was brought to an end in April 1952. Today, NTT is the fourth-largest telco in the world and the fifth-largest public company in Japan. In 2019, the company launched NTT Limited which serves as a holding company for 28 NTT brands and is based in the UK.

CEO

JUN SAWADA

103

303,351 NUMBER OF EMPLOYEES

HQ TOKYO JAPAN

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T O P 10

CEO

HUA TENG MA

62,885 NUMBER OF EMPLOYEES

HQ

SHENZHEN CHINA

05

105

Tencent Holdings

TECHNOLOGY INVESTMENT

Tencent Holdings is an investment conglomerate which, since its founding in 1998, has become one of China’s largest companies, the biggest video game publisher in the world, and a titan of social media and superapps. With a market cap of US$509.7bn, 59th spot on the Global 2000 2020 and stakes in more than 600 companies worldwide, Tencent’s influence on the global tech market is staggering. Tencent owns and operates WeChat, China’s ubiquitous instant messaging and social media leader, as well as Spotify challenger Tencent Music Entertainment. The firm was China’s first to cross the half-billion market cap milestone.

busi ne ssc hief. a s ia

T O P 10

04

SoftBank

TECHNOLOGY INVESTMENT

Founded in 1981, Japan’s SoftBank Group is one of the world’s foremost investment titans and tech leaders, managing a broad range of owned companies with enormous scope and reach. SoftBank Corp, its mobile and fixed line unit, is joined by semiconductor leader Arm, Sprint, Yahoo Japan, Brighstar and more under the Group’s banner, along with the Vision and Delta Funds. The Vision Fund, originally a $100bn investment warchest targeting exciting and rapidly growing tech startups, is Uber’s largest shareholder. A second Vision Fund is in the pipeline, although progress on its launch has struggled to

106

reach the $100bn of its predecessor owing to the COVID-19 pandemic.

CEO

MASAYOSHI SON

76,866 NUMBER OF EMPLOYEES

HQ TOKYO JAPAN

AUGUST 2020

CEO

YONG ZHANG

101,958 NUMBER OF EMPLOYEES

HQ

SHENZHEN CHINA

03

107

Alibaba

RETAIL & ECOMMERCE

Alibaba Group was founded by Jack Ma in 1999 and has since become a world leader in e-commerce and modern retail. Having popularised the concept of New Retail, the idea that brick-andmortar stores must digitise and complement ecommerce operations, Alibaba has exerted considerable influence over the course of retail transformations around the world. Alibaba is the biggest retailer and ecommerce platform worldwide, and invests much of its wealth in the development of new technologies and pioneering startup operations.

Its Alibaba, Taobao and Tmall platforms lead the world in B2B, C2C and B2C marketplaces respectively.

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T O P 10

China Mobile International Limited CLICK TO WATCH

110

AUGUST 2020

|

3:59

02

China Mobile

TELECOMMUNICATIONS

By market capitalisation, China Mobile is the largest telco in the world and the largest mobile network operator in terms of subscribers. As of June 2018, the state-owned company served 902mn mobile customers. Outside its daily operations, the company is a significant investment firm and has worked to expand its global footprint in recent years. In 2017, China Mobile launched CMLink in the UK, a mobile virtual network operator aimed specifically at Chinese expats in the UK, as well as Chinese tourists and students, offering free calls to China Mobile handsets. Its 5G trials were due to close in June 2020.

111

CEO YUE LI

456,239 NUMBER OF EMPLOYEES

HQ

HONG KONG CHINA

busi ne ssc hief. a s ia

T O P 10

01

Samsung ELECTRONICS

Korean smartphone titan Samsung Electronics is similarly dominant across the full gamut of consumer electronics, with operations spread between four divisions: Consumer Electronics, Information Technology and Mobile Communications and Device Solutions.

Founded in 1938, Samsung launched Samsung Electronics in 1969 and is currently marching towards its centenary as Korea’s largest business conglomerate. As the holder of the smartphone industry’s largest market share worldwide, Samsung doubled down on its position by opening the world’s biggest handset manufacturing 112

facility in Noida, India in 2018.

Galaxy S20 Ultra: Official Introduction CLICK TO WATCH

AUGUST 2020

|

3:59

CEO

LEE KUN-HEE

105,257 NUMBER OF EMPLOYEES

HQ

SUWON SOUTH KOREA

113

busi ne ssc hief. a s ia

114

MOLSON COORS: CREATING COMPETITIVE ADVANTAGES WRITTEN BY

WILL GIRLING PRODUCED BY

STUART IRVING

AUGUST 2020

115

busi ne ssc hi ef . a s ia

MOLSON COORS

WE SPEAK TOJEANNE CATE, HEAD OF US SUPPLY CHAIN STRATEGIC PARTNERSHIPS AT MOLSON COORS

C

urrently the fifth-largest brewing company in the world by volume, the history of the Molson Coors Beverage Company

reaches back to 1774 and brings together the pioneering stories of English Immigrant, John Molson, and German immigrants Adolph Coors 116

and Frederick J Miller. In 2005, Molson merged with Coors, followed by the integration of 100% ownership of MillerCoors in 2016 to create the multinational company as it exists today. Selling 92.1mn hectolitres of product in 2018 and providing employment to more than 18,000 people across regional offices in North America and Europe, Molson Coors is a success story of collaborative business based on a shared passion for making superior-quality beer.

Joining the company in 2011, Jeanne Cate has been involved in the brewing industry for most of her career. Graduating from the University of Cape Town with a Bachelor of Science degree in chemical engineering, she secured a position with South African Breweries shortly after and was instantly won over by the genuine craft that making beer AUGUST 2020

117

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MOLSON COORS

“ IT’S TRULY A PRIVILEGE TO LOOK AFTER OUR ICONIC BEERS AS WE EXPAND INTO NEW MARKETS” 118

— Jeanne Cate, Head of US Supply Chain Strategic Partnerships, Molson Coors

requires, and the passion and energy of people in the business. “It was just so incredible to work in the brewery in my first position as a brewing engineer,” she says. “I instantly found an appreciation for the science of the brewing process and beer production.”

Gaining experience in the industry and going on to become a master brewer, Cate eventually found herself drawn to the research and development (R&D) and innovation aspect of the business, leading this programme on behalf of Molson Coors International.

She became a Senior Director of Supply Chain for the Asia Pacific and Africa region in 2018 (based in Australia). “It’s truly a privilege to look after our iconic beers as we expand across international markets.” Cate most recently stepped into a role leading US Supply Chain Strategic Partnerships: “As Molson Coors implements its revitalisation strategy, the US business is looking to achieve consistent top

AUGUST 2020

One Great Family CLICK TO WATCH

|

1:58

119 line growth that enables us to invest in

focused on the longer term objective,”

new opportunities.”

she explains. “Our environment is

Asked how her approach to the role

evolving too fast to be paralysed with

is described, Cate claims that her inno-

short-term incremental thinking or

vation background has been invaluable

be derailed by small upsets. We can’t

in shaping her vision of and approach

be resistant to change if we want to

to supply chain management. Indeed,

become and remain competitive. We

it has proved to be invaluable as

need to thrive in uncertainty and be

Molson Coors embarks on a rigorous

content to stay focused on executing

campaign of new market and category

against a clear strategy while flexing

expansion, as well as operational

around the setbacks.”

innovation. “My R&D experience really

Committed to redefining the art

taught me about taking smart risks and

of brewing as a truly 21st century

developing ideas and approaches in

process, the company is investing in

an agile, flexible way while remaining

new technology and always looking busi ne ssc hi ef . a s ia

MOLSON COORS

120

for ways to increase the efficiency and

special relationship is software solu-

sustainability of its operations. Molson

tions and consulting company enVista.

Coors’ pledges include making its

A leader in enabling manufacturing

packaging 100% recyclable, reusable

and distribution across supply chains,

or compostable by 2025, mitigating

enVista specialises in optimising

20% of CO2 emissions from its value

efficiencies, saving costs and driving

chain and collaborating as closely as

customer engagement. When the

possible with its partners and distribu-

company needed a collaborator to

tors to create innovative new solutions.

assist with its expansion journey in

“Building relationships and encourag-

the APAC region, it was certain that

ing strong teamwork with our partners

enVista could accelerate the transfor-

has helped to underpin our success,

mation. “We needed a company that is

I think,” Cate says. One such partner

straightforward to work with and has a

with whom the company enjoys a

flexible, customisable approach as our

AUGUST 2020

business grows. They’re truly a partner we can call on at any time.”

The COVID-19 pandemic has made many companies reassess what an optimised supply chain looks like and how it operates. Cate says that Molson Coors is building the agile corporate culture necessary to tackle this challenge head-on. “Consumer buying patterns are changing at a very rapid pace and our whole supply chain management has needed to adapt. I think this whole experience

“ OUR ENVIRONMENT IS EVOLVING TOO FAST TO BE PARALYSED WITH SHORT TERM INCREMENTAL THINKING OR BE DERAILED BY SMALL UPSETS AND RESISTANCE TO CHANGE” — Jeanne Cate, Head of US Supply Chain Strategic Partnerships, Molson Coors 121

E X E C U T I V E P R O FILE :

Jeanne Cate Title: Head of US Supply Chain Strategic Partnerships Company: Molson Coors Industry: Beverages Location: Melbourne Jeanne is a commercially-minded food and beverage supply chain and R&D executive with over 20 years’ experience in international supply chain, end-to-end innovation and R&D in product and packaging. She has a proven track record of leading a supply chain across developed and emerging markets through large, regional and diverse teams and multiple operating business models. Jeanne is a pioneering and innovation leader, accomplished in step-changing product, package and process development and the in commercialisation of innovations. busi ne ssc hi ef . a s ia

123 will allow Molson Coors to develop

to repurpose effort away from transac-

capacity in a volatile marketplace.”

tional activities, as well as empowering

Cate explains that Molson Coors

employees to leverage data and

Beverage Company is executing

insights to make decisions, evaluate

against a broad revitalisation plan to

outcomes and quickly adjust course

streamline Molson Coors’ operations.

to achieve continual improvement

“The company revitalisation plan is

against key performance measures.

also going to involve improving digital

“Data with the right insights help us

capabilities, expanding data resources,

reduce costs, make faster, better

growing our innovation systems and

decisions and create new products or

increasing our capabilities in precision

services to meet customers’ changing

marketing and ecommerce execution.”

needs.” However, as with all new ideas,

Augmenting the company’s supply

approaches will also be thoroughly

chain will include the increased utilisa-

researched, piloted and tweaked

tion of digital solutions that leverage

before being fully integrated.

new data and technology capabilities

Another core challenge being faced busi ne ssc hi ef . a s ia

MOLSON COORS

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125

“ CONSUMER BUYING PATTERNS ARE CHANGING AT A VERY RAPID PACE AT THE MOMENT AND OUR WHOLE SUPPLY CHAIN MANAGEMENT HAS NEEDED TO ADAPT” — Jeanne Cate, Head of US Supply Chain Strategic Partnerships, Molson Coors

by larger brewing companies is competition driven by consumer demand for craft beers which often have fuller flavour, greater variety and more of a local presence. Molson Coors has participated in the craft beer movement and has already achieved great success with its Blue Moon Belgian White brand. Using its superior industry breadth, Cate explains that “the company maintains its edge by really tapping into this opportunity for new growth.” It’s an approach that has paid off impressively in the US market, where Blue Moon is the best busi ne ssc hi ef . a s ia

MOLSON COORS

“ SUPPLY CHAINS ARE GOING TO BECOME MORE INTEGRATED, WHICH CREATES EXCITING OPPORTUNITIES AND SYNERGIES ACROSS LOGISTICS AND SOURCING” — Jeanne Cate, Head of US Supply Chain Strategic Partnerships, Molson Coors 126

AUGUST 2020

selling craft beer brand and one of the country’s top 10 favourites overall.

Demonstrating that the craft market is a profitable investment, Molson Coors is continuing to expand its portfolio of products and has begun introducing them to international markets, having started with Blue Moon in Australia in 2013. Beyond this, committed to maintaining an interesting and diverse portfolio of products, the company has also announced new lines of canned

spritzer wines and is exploring the

sourcing,” she states. “Our biggest

possibilities of CBD beverages in the

opportunity will come from the differ-

US.

ent mindset and approach that needs

Despite the company’s success

to be implemented: optimising costs,

and popularity, Cate emphasises that

increasing our market share, meeting

there is still a lot of work to be done

customer expectations and creating

and that the evolution of its supply

potential competitive advantages.”

chain will be critical as it continues to

Cate is convinced that, by clearly

adjust to rapidly changing consumer

defining the company’s vision for the

buying patterns. “Supply chains are

future and realising what capabilities a

going to become more integrated,

modern supply chain will necessitate,

which creates exciting opportunities

Molson Coors will be adopting a mind-

and synergies across logistics and

set rooted in growth and flexibility, with an accommodating attitude that will allow it to stay relentlessly focused on its long-term goals. “Innovation isn’t just a single process applied to a specific area of the business,” Cate concludes. “It’s the result of capabilities existing within the company, which then enable ideas to be successfully developed and operationalised. Supply chain transformation is no different.”

busi ne ssc hi ef . a s ia

127

128

oOh! Media: the impact of COVID-19 and digital innovation WRITTEN BY

GEORGIA WILSON PRODUCED BY

STUART IRVING

AUGUST 2020

129

b u s in e s s c hie f. a s ia

OOH! MEDIA

Steve Reid, Chief People and Culture Officer, oOh! on the company’s digital strategies and the impact of COVID-19 on workplace culture and operations

S

teve Reid has worked within HR, people and culture, and learning and development roles for 27 years. During his career

he has worked for the likes of Three as Head of HR and organisation capability; Vodafone as General 130

Manager HR; and Bankwest as Head of Human Resources and Head of Organisational Capability.

Today, Reid is the Chief People and Culture Officer at oOh! Media, taking pride in the company’s ethos to treat people the way that we’d expect to be treated ourselves and its drive to be a positive contributor to people’s mental health. “Early in my career, I found a very strong purpose around helping people to be better. I think as an organisation, one of the things that I aspire to is that our people, whether they decide to stay or to leave and go elsewhere, are better for having been here.”

COVID-19 - WIDESPREAD DISRUPTION Since the outbreak of COVID-19 - whether large or small - industries around the world have experienced disruption from the impact of the AUGUST 2020

131

b u s in e s s c hie f. a s ia

OOH! MEDIA

132

coronavirus. From a revenue perspec-

highlights that on two fronts oOh! Media

tive, Reid details that the Out of Home

has had to look both commercially

media industry has been hit incred-

and financially at how it can keep the

ibly hard, which he says is “no surprise

organisation going to get through this

when you are in a lockdown situation.

period. “We are starting to see improve-

Most people were working from home

ments since implementing measures

and not travelling or out and about as

following the outbreak, including asking

much, therefore our audience declined

employees to work reduced hours or

along with our revenues. For example

take extra annual leave to try and sup-

our airport business, with flights coming

port the company. But for me, success

to an almost standstill, have seen rev-

is about doing this in a way that consults

enue fall significantly along with in many

and engages employees, ensuring that

cases our retail, office tower and public

they feel valued throughout the pro-

transport businesses. As a result, Reid

cess and understand why it is critical for

AUGUST 2020

the business. However, it can’t be just

employees and more contractors in

employees who bear the brunt of this.

the future. I think there’s been a lot

As a business we have had to make

of discussion around how our future

some big commercial decisions in rela-

workplaces will change.” However, per-

tion to how we can cut down costs or

sonally Reid hasn’t seen the industry

reduce our expenditure.”

evolve at the pace that it could have or

Since the outbreak of COVID-19,

that people expected it to. “One good

Reid has witnessed some massive

thing that has come out of this global

adaptations and massive learnings

crisis is that it has forced people to

that he hopes organisations will take

think differently. One clear change has

away from this disruption. “In par-

been the adoption of working from

ticular, there’s been talk for some

home. Prior to COVID-19, the idea of

time about workplace flexibility and

everybody working from home would

the move to a gig economy with less

have been dismissed by many people,

E X E C U T I V E P R OF IL E :

Steve Reid Title: Chief People & Culture Officer

Company: Ooh! Media

Industry: Advertising

Location: North Sydney

Joining oOh!media as Group Human Resources Director in 2014, Steve played an integral role in oOh!media’s 2014 ASX listing as well as recent acquisitions and integrations. Steve’s focus is on identifying and developing talent to maintain oOh!’s distinctive philosophy of engaging its people and delivering on strategy.

With 26 years’ experience in human resources, learning and organisational development in both consulting and internal roles, Steve has a track record of building highly commercial and innovative HR teams to drive culture change. b u s in e s s c hie f. a s ia

133

OOH! MEDIA

“ Technology and how we use it has definitely been a game-changer during the pandemic, particularly with so many of us working from home”

134

— Steve Reid, Chief People & Culture Officer, Ooh! Media

however we have proved that people can be just as or more productive working from home. I think employees and leaders have realised that you don’t have to sit in the same room as your employees to ensure they are working. One of our key learnings from this pandemic is that good people step up and do good work, no matter the circumstance, if they’re in an office or if they’re at home, they still do great work because that’s what they do.” As a result of this, Reid believes that this has helped people’s perspectives rapidly change when it comes to flexibility and working from home. “I think there’s been a real recognition that there are some roles and even more roles than we first expected that can work flexibly.

I believe this has been partly driven by how we are using technology. Prior to COVID-19, people who joined a meeting via phone or video call would typically have a poorer experience compared to the people in the room due to suboptimal use of the technology. However, with everyone working remotely there has been a greater focus on how we can use the technology to make meetings work more efficiently. I’ve heard

AUGUST 2020

oOh! Signature Series — June 2020 CLICK TO WATCH

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135

some great feedback that one of the

how it can be applied to those working

consequences of doing a lot of online

in an office along with those working

meetings is a sense that we’re getting

from home to ensure that everyone’s

a broader range of opinions from peo-

work experience is positive, rather

ple online who may be less vocal in a

than just going back to the old ways of

room with other people. Typically, in

operating. “The next challenge will be

any meeting you have dominant peo-

implementing really good processes

ple who talk more and others who are

and agreed rules that better support

more quiet and don’t feel as safe to

this way of working.”

contribute. In the online world, I think

Other technological trends Reid has

more people feel safe to offer an opin-

seen emerge due to COVID-19 are

ion” Something that oOh! is keen to do

the use of collaborative tools, “where

as it transitions back to office work-

people before were more inclined to

ing, is to look at the mixed model, and

use hosted drives, I think there has b u s in e s s c hie f. a s ia

OOH! MEDIA

136

AUGUST 2020

“As an organisation, one of the things that I aspire to is that our people, whether they decide to stay or to leave and go elsewhere, are better for having been here” —Steve Reid,

Chief People & Culture Officer, Ooh! Media

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Harbour IT is proud to partner with oOh! Media on their IT Transformation Journey, where we ensure hidden efficiencies are uncovered, capabilities truly connected, productivity

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“ We pride ourselves on being the company in our industry that drives innovation forward and invests ahead of the curve and ahead of our competitors” — Steve Reid, Chief People & Culture Officer, Ooh! Media

DIGITAL INNOVATION STRATEGIES AND TECHNOLOGY TRENDS When it comes to digital innovation strategies Reid states that the company prides itself on being leaders in the space. “We pride ourselves on being the company in our industry that drives innovation forward and invests ahead of the curve and ahead of our competitors. Firstly, because we think that’s where the future is going and it is good for our company, and secondly because we also think that is where the industry is going, and it is good

been a massive uptake in the use of

for the sector. In terms of our strategy

Microsoft Teams and collaborative

around this, it is envisaging the future

tools where multiple people can work

and what will make the biggest differ-

on the same document at the same

ence for our customers, and investing

time, making work easier and more

early, to ensure we are at the forefront

efficient.” While these tools are not

of the innovation – leading, not follow-

new, Reid explains it is the impact

ing.” With this strategy in mind, oOh!

of COVID-19 which has forced the

Media then identifies its competitive

behaviour and understanding that this

advantages from a technology stand-

new way of working can be efficient,

point. “These are the innovations that

perhaps even more so than before.

we invest heavily in and look at internal

“It takes 28 days to create a habit, and

resources to make sure we have the

we’ve certainly had that time dur-

IP and knowledge internally to drive

ing lockdown to change our habits.

these innovations, as well as identify-

Hopefully they will continue as we

ing where we should leveraging best

return to the office.”

practices from external partners - such b u s in e s s c hie f. a s ia

139

OOH! MEDIA

140

as Harbour IT - because we’re either not going to have the resources, time or capacity to develop everything we need ourselves. With innovation comes the challenge of juggling what we should develop internally and what we should outsource. However, our partners are not just delivering a service they join us in our vision and what we are trying to achieve to deliver something of value.�

While COVID-19 has accelerated the adoption of certain technologies, especially when it comes to collaboAUGUST 2020

1989

Year founded

$650mn Revenue in AU dollars

500+

Number of employees

rative tools, due to the need of rapid adoption of this technology, acceleration and development in other technological areas has been delayed for the time being. “I have seen some continued investment in technology during COVID-19, but when your revenue is hurting across the board there is naturally a pullback on the level of investment in non-critical projects.

However, I believe this is just a pause not a stop. I think people will be naturally cautious as we return to the new normal, in terms of technology investment levels and timelines. I believe it will be a couple of years before we return to pre-Covid investment, especially for the more cutting-edge technology.

However, there will be some businesses eager to get the jump on their competitors who will see investing in technology as a clear advantage and enabler of new ways of doing business.�

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AUGUST 2020

Eradicating workplace fatalities through technology WRITTEN BY

WILL GIRLING PRODUCED BY

KRISTOFER PALMER

b u s in e s s c hie f. a s ia

143

FORWOOD SAFET Y

Thorsten Scholz, CTO, explains how tech innovation, solid partnerships and a focused approach can transform safety culture in industry

W

hilst an element of risk may always be inherent to some specific workplaces or roles, there is no reason why this should remain

cause for severe injury or loss of life. Tackling this issue with the steadfast attitude that all work-related deaths can be prevented, Forwood Safety has been on a mission to change the standard of safety within 144

mining and oil and gas through applied technology since 1995. Growing from a small enterprise to a genuine leader, the company continues to focus on solving some of the most significant and enduring challenges facing the modern industrial sector: delivering best-in-class performance that doesn’t compromise safety standards and relegating workplace fatalities to the archives of history.

Taking on the role of Chief Technology Officer (CTO) in late 2015, Thorsten Scholz came across Forwood Safety whilst working as a consultant within the mining industry. Whilst listening to a presentation on the verification method used by Forwood to improve performance of critical controls, he experienced an epiphany that he could help make an even greater impact on the safety of frontline workers

AUGUST 2020

145

b u s in e s s c hie f. a s ia

FORWOOD SAFET Y

“ I actually walked up to Steve Wood (CEO of Forwood) after the meeting and said, ‘I need to get involved in this” — Thorsten Scholz, CTO, Forwood Safety

146

which empowers employees within non-hierarchical structures across the company, always centred on the idea of delivering success to clients. For Scholz, his approach to IT can be summed up in one word: Quality. “We’ve implemented Agile first in the product team and then

by joining the endeavour, which he did

across the rest of the business. Now,

shortly afterwards. “I actually walked

we can really scale and standardise our

up to Steve Wood (CEO of Forwood)

products, from content development

after the meeting and said, ‘I need to

to marketing while never losing focus

get involved in this’,” he says. With previ-

on the business value of the outcome for

ous IT roles at large mining operations

our clients” he explains. From a techno-

in Australia and project experience

logical standpoint, he credits the advent

in high risk industries globally, Scholz

of cloud-computing as totally revolution-

understands the challenges of risk

ising the ERP computing which prevailed

management and safety well – an under-

at the beginning of his career. “When

standing which has valuably contributed

I look at the IT sector, I can say with

to his approach at being a CTO.

certainty that the cloud’s introduction

The drive and determination to excel

was a catalyst for digital transforma-

at pace stems from Forwood Safety’s

tion. We could never deliver large scale

emphasis on a corporate culture

enterprise safety and risk management solutions at such great value without the cloud and without a partner like Amazon Web Services (AWS).”

AUGUST 2020

PART N ER

A truly critical partner for Forwood Safety, Amazon’s importance to the company’s daily operations cannot be overstated. Scholz has this to say on their relationship: “We regularly collaborate with Amazon on strategic initiatives, most recently with one of our key clients to further progress the SaaS use cases of the Amazon QuickSight offering, a very powerful business intelligence (BI) tool. We’ve been involved with AWS for a number of years now, we continue to provide feedback on behalf of our large enterprise clients directly to

product management, which goes into their product roadmap.

QuickSight allows you to run data analysis on any type of device, including browsers and phones at a data volume and scale which is unprecedented. As a safety and risk management firm, we don’t want to invest in building reporting platforms, that makes no sense.

Instead, we want to build data models and get insights into the data using an established, managed service like Amazon QuickSight.

This approach helps us to focus on what we’re good at: providing deep insights into fatality prevention.”

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147

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These capabilities provide you with new ways of monetizing and differentiating your applications.

Pay only for what you use QuickSight’s pay-per-session pricing model means you only pay when your embedded dashboards are being used. You don’t have to worry about expensive userbased licensing especially when providing analytics capabilities to a large number of users (e.g., public websites, enterprise portals).

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27,000 Tons delivered in 17 months

Furthermore, the utility of working

arise, Forwood Safety was able to

with AWS and using its products con-

integrate new protocols for COVID-

tributes another factor to Forwood

19 risk management in record time.

Safety’s agility, namely mitigating

“Within weeks, we had specific

the need to ‘reinvent the wheel’ for

COVID-19 content deployed globally.

every tech need that might arise.

In that time, we developed compre-

Using Amazon as a one-stop provider

hensive critical control checklists

of vital compute solutions, Scholz

for COVID-19, and deployed these

says that the company can instead

to over 250 sites and in seven

focus on their true mission: applying

languages, including Icelandic,

technology in creative ways to save

Mongolian, Spanish and French,”

lives. Able to adapt to new threats

he explains. “Without the cloud that

and working conditions as they

would have not been possible.”

149

E X E C U T I V E P R OF IL E :

Thorsten Scholz Title: Chief Technology Officer Company: Forwood Safety Industry: Fatality prevention

Location: Australia

Thorsten Scholz is an agile leader with more than 25 years’ experience designing innovative technology solutions in the Health, Safety and Environment (HSE) sector. Having worked with clients around the globe, he understands the complexities of real-world operations. Highly skilled in delivering game-changing technologies, Thorsten is well positioned for his current role as Chief Technology Officer at Forwood Safety. As a vital member of Forwood’s Executive Team, Thorsten is pivotal in ensuring this dynamic company’s success by leveraging technology innovations to find new ways of preventing fatalities around the world.

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FORWOOD SAFET Y

150

Currently offering three primary

view of critical risks in the workplace

products – Critical Risk Management

this helps to quickly identify areas

(CRM), SafetyApps and Enterprise

where workers could get harmed

Risk Assurance (ERA) – agility

and creates actionable insights to

often combines with innovation at

prevent this.” This is again indica-

Forwood Safety, with collections of

tive of Forwood Safety’s distinct

core proprietary technology (drones,

approach to risk management and

satellites, etc) utilised for special-

safety: collaboration between par-

ised tasks. “We have a geospatial

ties is essential and the company

platform integrated into our prod-

strives to combine its tech platform

ucts which allows clients to upload

with methods and relevant content

custom maps in a self-service

in order to produce a transformative

manner. If you give the people in

solution for clients. “It’s about work-

control of operations a bird’s eye

ing together to achieve an outcome;

AUGUST 2020

“ When I look at the IT sector, I can say with certainty that the cloud’s introduction was a catalyst for digital transformation. We could never deliver without the cloud and without a partner like Amazon Web Services (AWS)” been a crucial partner in achieving this, but one other company Scholz identi-

— Thorsten Scholz, CTO, Forwood Safety

fies for special praise is Base2Services.

building a good safety culture must

developed a reputation in Australia as

be a partnership,” Scholz emphasises.

being one of the most respected cloud

Working closely with its channel

Founded in 2005, this company has

development/operations companies

partners and clients, Forwood Safety’s

in the market. Having itself partnered

critical risk management platform

with AWS for more than a decade,

analyses failures before they can turn

Base2Services is an expert in operat-

into fatalities and provides capabilities

ing superlative cloud environments.

to predict hotspots and blackspots.

“Base2Services focuses on DevOps,

It follows the pattern that establishing

DevOps automation, cyber risk,

a strong tech infrastructure is imperative

cybersecurity and helps us to make

for implementing sustainable technolog-

sure that all the ‘nuts and bolts’ are

ical change with great value for clients.

in place and any warning signs are

Amazon, as already mentioned, has

monitored, reviewed and addressed straight away. They provide us with 24/7 infrastructure support across the globe in a ‘follow the sun’ model. In terms of scalability, flexibility and value delivered, this has really helped us to focus on what is important to us: helping to save lives.” b u s in e s s c hie f. a s ia

151

FORWOOD SAFET Y

Digital automation through artificial intelligence (AI) is one of the most exciting trends across several industries right now and Scholz declares that Forwood Safety is firmly at the forefront in its sector.

Not satisfied with using a preexisting solution in this regard, the company instead developed its own by hiring a team of data scientists to analyse the most effective way for AI to enhance safety. The breakthrough came via the revelation that using 152

binary safety-related questions with choices of ‘yes’ or ‘no’ provided very fertile ground for algorithmic optimi-

1995

Year founded

1200+

Using our global benchmark critical control verification process

50

Number of employees

sation. “90% of the time the answers are very straightforward. If you

out practical applications which will

have a good set of questions, which

benefit workers in the field. Both

can be answered consistently and

will require thought and attention,

always with a ‘yes’ or ‘no’, it helps

as well as close collaboration with

your machine learning (ML) model

partners and clients to pilot new

gather data and form predictions

approaches directly in the work-

based on patterns.” Considering the

place. “From my perspective, ML

topic of AI-based automation more

and its applications for analysing

generally, Scholz states there are

both still photos and video are going

two aspects of importance to its

to be critical in the future of safety

development with regards to safety:

technology” he adds.

1) support via improved decisionmaking capabilities; and 2) working AUGUST 2020

With a five-year strategic roadmap in place and solutions for

153

b u s in e s s c hie f. a s ia

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The Cloud Services People

“ We believe all workplace fatalities can be eradicated”

155

— Thorsten Scholz, CTO, Forwood Safety health-related crises like COVID-19

the years to come,” he concludes.

already natively established in the

“Forwood Safety has the partner-

company’s products and services,

ships and the cultural alignment to

Scholz is confident that Forwood

execute that vision. Ultimately, we

Safety will continue to thrive and

believe all workplace fatalities can

establish the next generation of

be eradicated.”

safety principles which will endure and become industry standards.

“We want to leverage technology, as well as our expertise, to make a big difference in fatality prevention in b u s in e s s c hie f. a s ia

156

HOW SUTHERLAND SHIRE COUNCIL MET THE CHALLENGE OF COVID-19 WRITTEN BY

JOHN O’HANLON PRODUCED BY

STUART IRVING

AUGUST 2020

157

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SUTHERLAND SHIRE COUNCIL

Simona Dimovski, CIO at Sutherland Shire Council, discusses a two-year technology transformation that was achieved in two weeks COVID time, and how this was made possible with the support of its digital ecosystem

T

he future is always untold for all of us.

And, in this instance, what was in store for Sutherland Shire’s new Chief Information

Officer was nowhere in her 30/60/90 day plan.

Last November, nobody outside of China had 158

any inkling of what mother nature had in store for the world, in the form of a pandemic that would disrupt lives and the economy of every country.

But, when Simona Dimovski took up the post of Chief Information Officer at Sutherland Shire Council (SSC), COVID-19 was third in line after a couple of other natural disasters to afflict New South Wales. In November 2019, the world’s attention focused on the bushfires that raged through southern Australia. Sydney itself was threatened, and fires started close to home. Until mid-January when the rains came, the fires remained a cause for concern. However, early in February the area experienced its heaviest rainfall in 30 years.

People had to be evacuated and, by 18 February, wind gusts reached 161kph causing widespread chaos and electrical outages.

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159

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SUTHERLAND SHIRE COUNCIL

“ After 19 years in aviation, financial, and latterly the utilities industry, I found that the services SSC provides were very different – but many of the services IT provides to the organisation are similar” — Simona Dimovski, Chief Information Officer, Sutherland Shire Council (SSC) 160

In her previous work as ICT Project Service Manager at Ausgrid, Dimovski would have had her work cut out helping keep power supplies going, but her first two months at SSC, dealing with the same problems from a totally different perspective were certainly challenging – and COVID-19 had not even started. Yet it was the diversity of the challenge posed by local government that attracted her. “After 19 years in aviation, financial, and latterly the utilities industry, I found that the services SSC provided were very different

AUGUST 2020

Technology at Sutherland Shire Council CLICK TO WATCH

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1:59

161 – but many of the services IT provided

our community, technology is some-

to the organisation are similar. Maybe

thing we do in the background, it has

80% of what we do can be applied

to be an enabler for productivity and

across multiple industries,” Dimovski

in some cases we didn’t get that 100%

explains. Indeed, with more than 30

right. There was a lot to do. A good

semi-autonomous business units, from

deal of legacy IT infrastructure is

leisure centres to libraries, children’s

on-premise, located at the Council’s

services to environmental and of

own data centre; it even has its own

course business services that is just as

telephone exchange. One of the

well, she notes.

first things I did was to stock-take –

Technology is not the day job of

reviewing the IT strategy, governance,

most people in the council. “Our

architecture, the infrastructure, the

people embrace technology that

IT operations and enhancements, as

will enable them to work lean,” says

well as the projects. A backlog of the

Dimovski. “When it comes to servicing

latter had built up – more than 170 busi ne ssc hi ef . a s ia

Supporting accelerated project delivery PM-Partners have worked with local councils for 25 years, helping them deliver projects faster, better and with less risk. Their intimate knowledge of government organisations, structures and functions enables them to provide fit-for-purpose solutions that benefit crossfunctional teams – as well as the greater community.

Sutherland Shire Council provides a broad service offering to their community. Delivering this requires multiple business units to collaborate to avoid a siloed structure which can present challenges such as inefficient operations and disconnected cross-functional teams.

Even before the pandemic, Simona Dimovski, Manager of Information Management and Technology at Sutherland Shire Council, recognised the need to mobilise teams faster, implement change management and roll out new collaboration tools in order to build a high-functioning, results-orientated team.

Engaging project management and business agility experts What differentiates PM-Partners from other consultancies is their partnership approach. They listen, assess and develop a tailored solution that best achieves the organisation’s objectives.

When Sutherland Shire Council engaged their services in November 2019, they were unaware of the momentous changes ahead. But by having agile foundations ingrained in their organisations, they could accelerate in three weeks what would previously have taken six months.

Watch Simona Dimovski from Sutherland Shire Council discuss the challenges they faced amid the global pandemic and how their strong focus on agile mindsets enabled them to pivot.

SYDNEY | MELBOURNE | CANBERRA | SINGAPORE 1300 70 13 14 | Contact Us | pm-partners.com.au

“ Coming into this role, I expected that the role would be 50% about people and 50% about technology.

I quickly realised that being a Technology Leader is more about the people, than it is about the technology” — Simona Dimovski, Chief Information Officer, Sutherland Shire Council (SSC)

that would be classified in the realm of small to extra large projects, spanning between 20 days and over 18 months to complete.”

To unravel all this called for the long-overdue evolution of IT to be set in motion. To achieve this, Dimovski and her team built a model of demand and capacity which pointed to implementation timeframes that would take over two years to complete, at best. But then the most unexpected turn of events occurred. The arrival of the Coronavirus in March, with the

Agility at Sutherland Shire Council CLICK TO WATCH

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1:52

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SUTHERLAND SHIRE COUNCIL

Customers at Sutherland Shire Council CLICK TO WATCH

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2:12

164

consequent and sudden shift to home

team to the rest of the business, get-

working for the vast majority of staff

ting them together in daily huddles

mandated an accelerated approach to

to see how the master plan we put in

delivering mobile working solutions.

place might need to be modified as

“We had to move at lightning speed, ready to respond almost instantly

new guidelines came through.”

As well as collaboration tools,

to directives from the federal and

Dimovski implemented a VPN so that

NSW state governments,” Dimovski

the whole organisation could log in

explains. “We had to ensure that the

remotely, adding dual-factor authen-

whole business was working remotely,

tication. Remote working was a new

implementing Microsoft Teams and

concept for a large population, and

getting people used to that. Virtual

at all levels of the organisation and

council meetings had to be set up.

the community. IT team members

We deployed every member of the IT

were available to set up the hardware

AUGUST 2020

E X E C U T I V E P R O FILE :

Simona Dimovski Title: CIO Company: Sutherland Shire Council Industry: Local Government

Location: Sutherland

Simona Dimovski is a strategic leader with extensive knowledge of how technology enables business value and growth. Her expertise has been gained over 20 years of enabling portfolios and delivery across technology and business functions.

She has a proven track record of streamlining processes, reducing costs for the organisation, and enabling the successful delivery of large-scale transformation programs.

A strategic thinker with a passion for what she does and seeing things through to completion, Simona leads from the front, engaging and energising strategic partners and stakeholders as well as the wider business in supporting high impact, dynamic solutions to deliver business value.

Integral in aligning portfolios to the strategic objectives of the organisation, her focus is on continuous improvement and empowering businesses to reach their full potential, encouraging innovative thinking enabling best practice through the use of technology. She is a people leader with a growth mindset, priding herself on providing a coaching approach to ensure the team and the individual achieve their full potential.

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SUTHERLAND SHIRE COUNCIL

166

and software needed and iron out

post-COVID-19 will be a hybrid of

any problems with flexible working.

physical collaboration and remote

Softphones were brought in to allow

working. Local government is one of

service teams to deal with calls when

those sectors, like law and real estate

working remotely. The ‘high-intensity,

perhaps, which had been slower to

high-touch’ movement and change

move up to the digital plane.

management process led by the IT

She is quick to acknowledge the

department was completed in less

role played by third parties in this

than four weeks, quite an achievement

process, in particular PM-Partners,

considering that MS Teams implemen-

noting that “they came to me with a

tation was among the queued projects

myriad different solutions and gave us

and that, before March, nobody had

the level of support we needed at that

used it. Dimovski is already predict-

time”. Dimovski is a positive leadership

ing that the new normal for SSC

advocate, specifically embracing the

AUGUST 2020

“ By the time COVID-19 arrived PM-Partners had started training our IT resilience group in agile ways of working and helping us change mindsets” — Simona Dimovski, Chief Information Officer, Sutherland Shire Council (SSC)

any new implementations, and much progress has been made even during the pandemic exigency. For example, a new booking system and a new project portfolio management (PPM) system currently being built will reside in the cloud, and of course MS Teams is also cloud based. “We are going to reassess all our on-prem software platforms,” she notes. “In the past a full migration had been thought too expensive, but IT’s value proposition

ideology that the team is the greatest

going forward won’t be just about the

asset she has as a leader. Empowering

back-office operations, rather it will

the team to agility and lean ways of

be about the specialist knowledge we

working was paramount for the suc-

bring to the business as a whole.”

cess that was to be achieved during

The PMO approach she had pre-

the accelerated COVID-19 response

viously followed at Ausgrid was

at the council. “In recent years, my

something that Dimovski also aimed

team has not had much opportunity for

to pursue at the council. “I wanted to

external training, they were invigor-

overview every piece of work whether

ated by the new agile concepts, the

in the pipeline, on hold, in flight or

fast turnaround time, the delivery

requested so we could work out the

of value in increments, the radical

sequencing through portfolio prioriti-

transparency and the dissolution of

sation and partner with our business

traditional hierarchical structures of

on what really needed to be done

working,” she says.

given the resources we had. This level

By the time of Dimovski’s arrival

of governance was novel to IT, and

at the organisation, SSC had already

a Portfolio governance Committee

fixed on a ‘cloud-first’ strategy for

was born as a result. We knew there busi ne ssc hi ef . a s ia

SUTHERLAND SHIRE COUNCIL

Teamwork at Sutherland Shire Council CLICK TO WATCH

168

AUGUST 2020

|

3:12

would be a large change management

could we chunk down what we said we

effort to normalise remote working,

would do in two years when we need

as many of our organisational stake-

it right now?’. We formed a resilience

holders were not that tech-savvy.”

group with the other council managers

Procurement and configuration of

to revise our disaster recovery and

hardware, training, embedding col-

business continuity plan. Within IT a

laboration tools, softphones, the VPN

25-person strong resilience group was

and pinning down dual factor authen-

established to plan for the new reality.

tication made this look like a two-year

We created a movement, a single unit

programme of work.

with a single purpose. Nobody once

But two years was not an option when the virus struck. “We had to think

said ‘this can’t be done!’.”

On the tech side, they upgraded

up creative solutions,” Dimovski notes.

internet links to deal with the expected

“So, it was about considering ‘how

increase in traffic. Once they had chunked down the tasks of getting Teams, the VPN, licensing and other prioritised IT, it didn’t take too long to get these in place, Dimovski says. “We had to fast track solutions that were needed immediately, making sure the security was in place and fixing issues as they arose.” There were a few hurdles, resolved in very short order, with full cooperation from the end users. In the end, the original two-year programme was actually delivered in three or four weeks.

Preparation for this achievement was however started back in January. Before then, she explains, busi ne ssc hi ef . a s ia

169

SUTHERLAND SHIRE COUNCIL

the IT teams stuck to working in traditional silos. “Coming into this role, I expected it would be 50% about people and 50% about technology. I quickly realised that being a technology leader is more about the people, than it is about the technology.”

Challenges with interdepartmental communication meant the IT team and their stakeholders were not necessarily getting full value and actions, there were multiple handover points, manual processes and large reliance on key 170

people. As an accredited Agile professional, with an aptitude for Human Centered Design, seasoned in Scrum

“ One of the first things I did was to stock-take – reviewing the IT strategy, governance, architecture, the infrastructure, the IT operations and the enhancements and projects” — Simona Dimovski, Chief Information Officer, Sutherland Shire Council (SSC)

and SaFE experience, Dimovski has worked with Sydney-based PM-Partners to start training Council employees in Agile methodology. “We had already started breaking down the silos and shifting mindsets. By the time COVID-19 arrived PM-Partners had started training our IT resilience group. Everything we are working on, we are running in sprints and adopting Scrum methodology. The whole purpose of this is to create transparency and better decision making

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1906

Year founded

1,400 Number of employees

171

across the business, be able to

long-term plans forward. Customers

deliver value faster to our stakehold-

too need to embrace new ‘COVID-19-

ers and the community.”

accelerated’ ways of interacting with

Looking forward, the IT team’s to-do

the Council in a customer omnichannel

list is growing rather than shrinking. In

approach enabled by an upgraded

a hybrid world, with people working

website and social media.

remotely as well as in the office, new conferencing facilities will need to be created, meeting rooms upgraded with new hardware and software. The whole workforce has to get used to mobile working and to tools like Microsoft Surface devices – bringing busi ne ssc hi ef . a s ia

172

AUGUST 2020

Inside Australia’s iconic brand’s digital transformation WRITTEN BY

HARRY MENEAR PRODUCED BY

KRISTOFER PALMER

busi ne ssc hief. a s ia

173

DULUXGROUP

Eglantine Etiemble, Executive General Manager, IT and Digital at DuluxGroup, discusses strategic ambitions, digital transformation and COVID-19

I

n much the same way that the First Industrial Revolution was defined by the adoption of mass production techniques

and the adoption of machinery and methodologies that supported that shift, the global evolution into Industry 4.0 has been defined by digital transformation. But to really allow organisations 174

to capture the benefits of the countless digital opportunities, deep shifts must be driven across business’ operating models.

“Everything seems to be a digital disruption or transformation these days” notes Eglantine Etiemble, Executive General Manager of IT and Digital at DuluxGroup. “This tends to create confusion and unrealistic expectations.” Etiemble is a strategy and technology veteran with more than 20 years’ experience in diverse markets in over 20 countries.

“Digital transformation. The same two words can represent so many different situations. At one end of the spectrum you have companies whose core business has been disrupted by digital alternatives.

For them, digital transformation means changing their core business, their ‘raison d’être’, if they want AUGUST 2020

175

busi ne ssc hief. a s ia

Securing the city.

SureCity Networks limits attackers abilities to move throughout Networks and Systems. Utilising best of breed software and processes, we are the market leader in the Cyber Security and Network area.

Learn More

SureCity Networks’ role in DuluxGroup’s digital transformation The digital transformation of enterprises, driven by innovative technologies, the shift to broader and more complex networks and migration to the public cloud shows little sign of slowing. And while that transformation brings numerous benefits it also brings greater complexity and an increased threat footprint. As a result, network and cyber security plays a pivotal role in enabling such transformations.

“Digital transformation isn’t a new phenomenon,” says Tim Kirk, Founder and CEO of SureCity Networks. “But, while that transformation journey has been happening for some years, more recently there’s been a significant increase in organisations using multiple public cloud providers and increasing complexity of networks make it harder to prevent and secure networks.”

This shift, says Kirk, has brought significant change to the traditional threat landscape for organisations such as DuluxGroup. “The risk exposure now is very different,” he explains. “As a result of that push towards the public cloud, companies are realising they have a greater number of assets that are publicly facing and which, as a consequence, could be at risk. Our specialty is being able to secure those environments in an agile and creative way that doesn’t hold up their business processes and delivers a best-in-class solution.”

SureCity Networks does this for companies across several sectors, including Dulux Group. The business specialises in network

Tim Kirk @ Sure City Networks

and cyber security, delivering it across three core areas of consultancy, managed services and cyber security products. In working with partners, SureCity Networks limits attackers abilities to move throughout Networks and Systems. They are able to set themselves apart by being a true, vendor and solution agnostic partner.

The company has been working with DuluxGroup for more than two years, transitioning over that period from initial work around public cloud to a far closer relationship. “For any organisation, the crucial aspect is that digital transformation means speed and agility, of course, but the key thing is to do that while maintaining optimal security at all times,” says Kirk.

Tim Kirk Founder & CEO SureCity Networks

DULUXGROUP

“ EVERYTHING SEEMS TO BE A DIGITAL DISRUPTION OR TRANSFORMATION THESE DAYS. THIS TENDS TO CREATE CONFUSION AND UNREALISTIC EXPECTATIONS” — Eglantine Etiemble, Executive General Manager, IT and Digital, DuluxGroup to survive. At the other extreme,

178

burning platform, but rather a burning ambition: that’s the space where we play at DuluxGroup,” she explains.

Etiemble joined DuluxGroup early

you have companies that modernise

2018, originally as the company’s CIO.

a few outdated building blocks of their

She recalls the role initially had a rela-

operating model. That can lead to

tively traditional remit and focus. “My

large change from an internal perspec-

initial mandate was classic: software,

tive, but it doesn’t really transform the

ERP, infrastructure, overhauling the

customer experience. And in between,

digital platforms,” she says. But the

you have companies that are able to

other reason she was engaged was

seize opportunities to significantly

to help identify opportunities enabled

enrich the customer experience.

by digital technology, and drive the

It could be new channels to market,

organisational changes required to

personalisation or new services

seize them. “The process of identifying

opened by technology. It’s not a

and implementing new technologies, is almost the easy part, and is never the end goal,” she reminds us. “To deliver value you need to evolve several elements of the operating model (funding, talent, processes, culture…) which creates risks and tensions in the organisation, if not approached constructively. Moving to a digital operating model and value proposition is the equivalent of the teenage years

AUGUST 2020

Dulux - Fast Trac Incubation Program CLICK TO WATCH

|

1:20

179 for an organisation, with the same level

help them realise their goals. It gives

of soul searching, learning from your

our innovation ambition a very specific,

mistakes, and leaning on your strong

sharp focus.”

fundamentals to iterate and thrive.”

With this customer-centricity at heart, the need for digital uplift

DIGITAL TRANSFORMATION: A CUSTOMER-CENTRIC AMBITION

touches many areas of the organisa-

“I believe that, as a company, customer-

we opened in 2018 in Merrifield,

centricity is either part of your DNA

Victoria. In building this new plant,

or it is not. One of the things I love about

we applied advanced manufacturing

DuluxGroup is our consumer and

principles, and focused on the end-

customer culture,” she adds. “We’re

to-end digitalisation of all processes.

relentlessly exploring ways to enhance

This future-oriented approach has

our customers’ experience, and bet-

increased efficiency and qual-

ter understand how technology can

ity, reduced time to market, and

tion. “We are very proud of the factory

busi ne ssc hief. a s ia

“ I BELIEVE THAT, AS A COMPANY, CUSTOMERCENTRICITY IS EITHER PART OF YOUR DNA OR IT IS NOT. ONE OF THE THINGS I LOVE ABOUT DULUXGROUP IS OUR CONSUMER AND CUSTOMER CULTURE” — Eglantine Etiemble, Executive General Manager, IT and Digital, DuluxGroup

AUGUST 2020

busi ne ssc hief. a s ia

DULUXGROUP

182 introduced a level of flexibility that will

Etiemble shares one example of

help customise mass paint production.”

improvement enabled by investments

“Creating a superior experience for

in artificial intelligence (AI). “AI features

our customers often means addressing

heavily in our operational roadmaps,

key pain points and providing addi-

particularly around efficiency and cus-

tional services that complement our

tomer experience,” notes Etiemble.

great products. Our ‘Find a Painter’

“We have been leveraging it to empower

service connects you with Dulux

our sales force with real insights and

Accredited painters across Australia,

prompts of the ‘next best conversation’

whilst our live chat connects you with

with their customers.”

an interior designer who can help you

To support innovation in the digital

with what happens to be one of the

space, Etiemble set up an incubator

most difficult decisions you will ever

program providing coaching, connec-

make: “which shade of white should

tions, methodology and resources.

I pick?”

‘Fast-Track’ helps design and test

AUGUST 2020

new digital services and business

highly structured multi-years trans-

models and accelerate the adoption

formation program which can divert

of entrepreneurial methodologies.

the business’ attention from the mar-

“We are currently testing six exciting

ket and wouldn’t deliver the agility

growth projects whilst building our

shift required. We prefer transfor-

bench strengths.”

mation ambitions underpinned by a series of business-led initiatives,

HOW DULUXGROUP APPROACH THE EXECUTION OF ITS DIGITAL TRANSFORMATION

from cultural intervention and talent

Large top down programs are not the

clear ownership, as well as the ability

only approach, according to Etiemble.

to honestly measure impact and

“We purposefully stayed clear of a

course correct. There is currently an

acquisition to enabling technology implementation. It provides

183 E X E C U T I V E P R OF IL E :

Eglantine Etiemble Title: Executive General Manager, IT and Digital Industry: Consumer Goods Location: Australia A versatile global executive with more than 20 years’ experience running teams and leading transformations across more than 20 countries. An in-house transformer, Etiemble excels as the catalyst for radical, technology-driven business innovation and strategic reform. She has worked as a consultant for Capgemini, led projects for O-I and is the founder of Boomerang Factory. She has degrees in business from Oxford Brookes University and the Ecole Superieure de Commerce de La Rochelle. busi ne ssc hief. a s ia

Delivering technology excellence Cloud migration Digital transformation E-commerce platforms Robotic process automation

Visit our website Connect with us on social:

“ THE PROCESS OF IDENTIFYING AND IMPLEMENTING NEW TECHNOLOGIES, IS ALMOST THE EASY PART, AND IS NEVER THE END GOAL”

ecommerce platform,” explains Etiemble. “The group approach had been to invest in one big project at a time – usually ERP – that would be implemented across the whole organisation over multiple years. Now we’re embracing the idea of disposable technology that we can build quickly

— Eglantine Etiemble, Executive General Manager, IT and Digital, DuluxGroup

for a specific value test, and then

array of initiatives across the group,

is key, given our focus on customer-

constantly evolving to adjust to the

centricity and our particular

lessons we learn as

organisational structure. There’s been

we go,” she says.

a massive shift in understanding that

“Changing our architectural approach,

throw away in six months if needed.”

“This ability to create and deliver specialised software solutions at pace

one size doesn’t fit all. And that with

from monolithic long-term stack to a

the current pace of change, part of our

combination of SaaS and point solu-

technology stack is constantly evolv-

tions integrated into our ERP, was

ing or being replaced,” says Etiemble.

critical as well. DuluxGroup is really a

The DG Tech team members that

combination of medium to large busi-

Etiemble leads are clear in their roles

nesses; more like a cooperative than

as DuluxGroup business leaders.

one large organisation. So, we need

Technology isn’t the goal; enabling

solutions that are more like a Lego set,

DuluxGroup to achieve its ambitions

rather than a couple of big hammers.”

is. A deep belief in co-creation ensures

“We’re focusing on small things, as

that a collective vision is developed

well as larger scale projects. From an

in key areas such as digital marketing,

app that does one very specific job for

innovation, and data and insights.

our customers, to a large integrated

“We can’t do this in isolation,” she busi ne ssc hief. a s ia

185

DULUXGROUP

186

“ DULUXGROUP IS REALLY A COMBINATION OF MEDIUM TO LARGE BUSINESSES; MORE LIKE A COOPERATIVE THAN ONE LARGE ORGANISATION” — Eglantine Etiemble, Executive General Manager, IT and Digital, DuluxGroup

AUGUST 2020

187

busi ne ssc hief. a s ia

DULUXGROUP

188

AUGUST 2020

1918

Year founded

$1.8bn+ Revenue in AU$ dollars (2018)

4,000+ Number of employees

says. “We need to take an adaptive approach; understand the systems in which we operate and be prepared to change if necessary.”

Introduction of Design Thinking, Product Management and Agile methodologies – where it makes sense, not because they are the latest trend – and the move to an activity-based working office set-up are key pillars of this transformation. “A key learning for me is to stay clear of “purist” methodology: it is all about what helps the organisation to move forward, and in our case how it will create value for our customers and consumers.

Top row, left to right: Brent Conner, Data and Insights Lead Eglantine Etiemble, Executive General Manager, IT and Digital Julie Challinor, Engagement and Innovation Lead

“Understanding the talent and experience required and addressing the talent gap through development plans and talent acquisition was one of our early focuses as well. We were

Middle row left to right: Paul Lobanov, Group Finance Manager Growth & Investment, and Finance Lead for IT The beautiful Dulux dog Sally Sharman, Head of Learning and Capability, and HR Lead for IT

very fortunate to onboard amazing

Bottom row left to right: Simon Crean, Head of Digital Services and Platforms Manni Taylor, Head of EPMO and Architecture Jonathan Treloar, Head of IT Operations

opportunities. We moved as well from

people bringing digital and complex change experience whilst equipping our long-tenured, highly engaged workforce with targeted learning a heavy reliance on a couple of large vendors to real partnerships with a variety of large, medium and small busi ne ssc hief. a s ia

189

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“ DIGITAL DOESN’T HAVE TO BE DISRUPTIVE. 100-YEAROLD ORGANISATIONS CAN HAVE THE PASSION, FOCUS, COURAGE TO KEEP EVOLVING, AND REINVENT THEMSELVES” — Eglantine Etiemble, Executive General Manager, IT and Digital, DuluxGroup

working on more than 15 medium to large projects concurrently.

This will continue in the second half of 2020 as the company is launch-

players, who bring specialised thought

ing an ambitious initiative to improve

leadership and the ability to scale.”

its IT infrastructure and operations,

As a result, a department that used

including reshaping key partner rela-

to complete between one and two

tionships and insourcing most of its

large-scale projects a year is now

offshore services back to Australia.

191

R E F L E CT I O NS O N CY BERSECU RI T Y

“ Like most companies globally this is a constant challenge.

Technology is changing rapidly but there are some key principles that we apply to manage the very real risks associated with this digital shift.

develop a strong security culture.

Finally, we’ve spent a lot of time building a blended team of internal staff supplemented by strong relationships with both solution providers and managed service providers.

“ At the core is people. First, it’s a strong engagement with our executive to ensure the risk is understood and monitored.

Second, it’s our security awareness and education campaign to equip our staff with sufficient knowledge and to

“ We aren’t a bank, so the team isn’t large, but it’s fit for purpose. The mix of internal staff (supported with ongoing training) and external resourcing has allowed us to focus on what’s important and bring in expertise and thought leadership as required.”

busi ne ssc hief. a s ia

DULUXGROUP

DuluxGroup Partners

192

In the modern enterprise, the capabilities provided by a key network of trusted partners and vendors are just as important as those provided by its internal teams. As everything from software platforms and server real estate to cybersecurity and warehousing solutions shifts towards the as-a-service model, organisations need to collaborate in order to drive efficiency and increase capabilities.

We asked Eglantine Etiemble to reflect on some of the partnerships driving the success of DuluxGroup.

employ a diverse range of technologies.

To meet such diverse needs, we require access to a both broad and cutting edge technical expertise, with the ability to rapidly scale up and down. Creating and maintaining such a large pool of expertise in-house would require large teams as well as investment. Our answer was to partner with NashTech who are providing us with an access to a flexible and wide ranging expertise, which has allowed us to run multiple projects at any time, and maintain over 25 digital assets, as well as 24/7 monitoring

NashTech

1Step Communications

Part of the Harvey Nash Group, Nashtech offers software development, cloud services, managed services, digital transformation and BPS from their development centres in Vietnam.

DuluxGroup provides digital services to a large variety of Business Units that

They are our trusted partner in voice and data. They support our extensive store network, have been heavily involved in redesigning our site network infrastructure and support day-to-day activities like mobile phone procurement. No job is too

AUGUST 2020

big or too small, and they truly are integral part of our voice and data service delivery.

SureCity Networks

and customers. The company’s proprietary cloud architecture offers comprehensive email security and archiving capabilities, all of which make sure that enterprises such as ours are protected and able to operate effectively in today’s fastchanging security and risk environments.

Such a versatile partner – agile, creative, highly skilled and trusted.

We have partnered with this boutique Australian based organisation closely to establish tailored services, and co-designed a strategic roadmap to significantly uplift our security and network capabilities.

193

Mimecast An absolute leader in the mitigating of risks such as security breaches, data leaks, email-based attacks and more. Mimecast doesn’t just provide innovative solutions, it lives and breathes cloud technology, and works hard to support its partners busi ne ssc hief. a s ia

DULUXGROUP

195

COVID-19

continuity plans – in the context of

The global pandemic forced closures

each business’ specific and evolving

of businesses, lockdown measures

market/industry impacts. This latter

and an adoption of remote working

imperative was largely enabled by

practices on a scale never seen before.

technology,” says Etiemble.

We asked Etiemble how the COVID-19 pandemic affected DuluxGroup.

“When the COVID-19 crisis hit we,

“DuluxGroup Tech team had introduced ambitious programs over the past two years to future proof key

as the executive team, had two key

elements of our architecture, and

priorities. First and foremost, pro-

ensure we were ready for different

tecting the safety of our people and

potential market requirements. Our

customers, whilst protecting their jobs

infrastructure is now mostly hosted in

and livelihoods by ensuring our differ-

Azure. Many of our key applications

ent businesses were ready to adapt

are SaaS. We have a strong cloud-

and safely execute their business

based collaboration suite with Office busi ne ssc hief. a s ia

DULUXGROUP

196

365. We worked with SureCity Networks

one day to the next without dropping

and Telstra to improve the flexibility

a call�.

and reliability of our network. When the

“Analytics played a big role during

Australian Government implemented

the pandemic as well. The insights they

confinement measures, the importance

provided allowed us to build a rich pic-

of that work clearly showed. The office-

ture of our business, our industry and

based workforce remained operational

the market. Analytics also helped us

without disruption. Even our Customer

better assess how to pivot existing busi-

Service teams transitioned home from

nesses, and quickly test new business

AUGUST 2020

in a constrained environment. So they are quite open, and this gives us more freedom to experiment with new digital channels to market and new digital offerings for customers. It has created an appetite for bolder projects.”

DuluxGroup is on track to weather the storm of COVID-19 and continue to deliver on its growth goals. Reflecting on DuluxGroup’s own evolution, as well as the industry’s, Etiemble says: “Digital doesn’t have to be disruptive. 100-yearold organisations can have the passion, focus, courage to keep evolving, and reinvent themselves. DuluxGroup is a beautiful Australian success story, and its drive for customer-centricity continues to fuel its ambition. As it starts to embrace the full power of digital, there has never been a more exciting time to work in DuluxGroup tech team.” ideas. In that sense they helped us unlock future opportunities, even in that difficult business context.”

Etiemble adds that the past three months have encouraged DuluxGroup to take a bolder approach to innovation.

“The pandemic has changed customer expectations. Customers saw how many organisations had to adapt quickly busi ne ssc hief. a s ia

197

198

DOCOMO PACIFIC: industry-leading services in a unique market WRITTEN BY

HARRY MENEAR PRODUCED BY

STUART IRVING

AUGUST 2020

199

b u s in e s s c hie f. a s ia

D O C O M O PA C I F I C

Roderick Boss, CEO of DOCOMO PACIFIC, discusses providing world class telco services in a unique market context

H

ome to fewer than 170,000 people, annually buffeted by tropical storms, and a transPacific junction for undersea cables, the

island of Guam represents one of the most unique market contexts in the telecommunications industry. It is culturally and politically a US territory, but 200

sits a mere three and a half hour flight away from Tokyo and Manila; its user base is smaller than the population of Fort Collins, Colorado, but Guam’s telecommunications market is one of the most sophisticated in the world. It’s competitive too, with four mobile industry operators vying for a market share smaller than most others.

“This is a very unique territory to be operating in, due to both our geography and our identity as a US territory,” says Roderick Boss, CEO of DOCOMO PACIFIC. “Being in the US but so close to Asia gives us a big advantage that’s maybe disproportionate to our population size.”

Founded in 1991, DOCOMO PACIFIC is the biggest telecom operator in both Guam and the Northern Mariana Islands (CNMI). As the only overseas subsidiary telecom operator of NTT AUGUST 2020

1993

Year founded

530

Number of employees

201

b u s in e s s c hie f. a s ia

D O C O M O PA C I F I C

“ Being in the US but so close to Asia gives us a big advantage that’s maybe disproportionate to our population size” — Roderick Boss, CEO, DOCOMO PACIFIC

DOCOMO, a leading Japanese mobile provider, DOCOMO PACIFIC brings a unique value proposition to a wholly unique market. We sat down with Boss to find out more about the strategies and values that have allowed the company to become the region’s leading telecom provider, and why Guam itself is the perfect test bed for NTT DOCOMO’s 5G ambitions.

According to Boss, Guam’s hypercompetitive market is one of the key drivers behind DOCOMO PACIFIC’s

202

success. “We have a very competitive market here, and our position as the leading provider in the region is hard won,” he explains. “That competition is a driver behind a lot of the innovation that we do: we have to innovate in order to attract the business of this very sophisticated population. People want the latest devices, the best possible network quality, reliability and world class customer service – and we have to provide them with that.” Boss joined DOCOMO PACIFIC in the summer of 2018, a continuation of multiple decades of experience in the telecommunications sector. Even after years working in Japan, the Philipines and AUGUST 2020

Nokia: Interview about 5G with Roderick Boss, CEO, DOCOMO PACIFIC CLICK TO WATCH

|

5:03

203

across the Pacific, he acknowledges

SOPHISTICATION AT (ISLAND) SCALE

that the opportunities and challenges

The unique combination of a sophis-

that Guam and the CNMI present have

ticated population that demands

required a unique adjustment. “Coming

technological excellence, status as US

to this market definitely required an

territories, and small market scale make

adjustment, compared to working for

DOCOMO PACIFIC a uniquely valuable

a telecommunications provider in a

card in NTT DOCOMO’s hand. “There

big market,” he reflects. “Here, we still

are a couple of reasons they’ve invested

need to provide everything that you’d

in us,” explains Boss. “Our proximity

expect from a world class telecom

to Japan makes it very convenient,

company, but it has to be the island

as well as the fact that we’re in touch

version of that. That doesn’t mean

with what’s going on in the US market;

lower quality or less technology, it’s

there’s a lot that we can learn from

just a different version.”

them and that they can learn from us.” b u s in e s s c hie f. a s ia

D O C O M O PA C I F I C

204

Whereas NTT DOCOMO is a mobile-

different cultures, perspectives and skill

only provider, DOCOMO PACIFIC is a

sets. “We have a very diverse organisa-

quad-play organisation, which provides

tion. We have people from all over Asia,

a singular opportunity for its executives.

from the local Chamorro population, a

“We’re tiny when you set us against the

big Filipino population as well as distinct

whole NTT DOCOMO world, but we

Korean and Japanese demographics. So,

have about six or seven executives at

add to that all the military personnel that

a time who come on a rotational basis

come and go and you have a very diverse

from Japan to work here with us and

and dynamic little island,” says Boss.

learn how our full fixed service and

“I feel like that diversity is a real strength

mobile business works,” says Boss.

in our operation. It allows for innovation

Sitting at the intersection of the Pacific,

and a very respectful environment.

US and Asian markets, DOCOMO

I think that’s something that DOCOMO

PACIFIC has access to a wealth of

PACIFIC puts a lot of value in.”

AUGUST 2020

E X E C U T I V E P R OF IL E :

Roderick Boss Roderick Boss is currently President and CEO of DOCOMO PACIFIC in Guam.

Prior to joining DOCOMO PACIFIC, he held senior positions at ManpowerGroup in the US, Japan and the Philippines. Before ManpowerGroup, he was the President and CEO of Pacific Crossing Limited, the owner and operator of a subsea fiber optic telecommunications cable system in the Pacific.

Before joining Pacific Crossing he was the President and CEO of Japan Telecom America, the US arm of Japan Telecom, then Japan’s third largest telephone carrier and largest broadband service provider. JT is now part of Softbank Communications. Before returning to the US and Japan Telecom America, Rod held various senior positions in Japan Telecom in Japan.

He was responsible for all global services and products.

Rod spent a total of eighteen years living and working in Japan at a variety of telecom companies including PowerBand Communications, J-Phone, International Digital Communications, AirTouch International, and Vodafone.

He started his telecom career at AT&T where he worked in Tokyo, New York and New Jersey.

Rod began his career at Honda Motor Company in Tokyo where he was a member of the first group of foreigners hired into Honda’s management training program.

Rod holds a Bachelor of Arts degree from Brigham Young University and a Master of International Management Degree from the Thunderbird School of International Management.

b u s in e s s c hie f. a s ia

205

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“ We have a very competitive market here and our position as the leading provider in the region is hard won” — Roderick Boss, CEO, DOCOMO PACIFIC

THE RACE FOR 5G “We started our 5G journey more than two years ago,” notes Boss. “NTT DOCOMO was developing as a global leader of 5G innovation and we were talking to them very early on about the possibility of testing 5G capabilities in our market.” In February 2019, the company unveiled a new DOCOMO 5G Open lab at its headquarters in Tamuning, Guam. “NTT DOCOMO already had three other labs in Japan – in Tokyo, Okinawa and Osaka – and number four was their first international 5G lab, which was opened here,”

The other major benefit that

explains Boss. The lab serves to com-

DOCOMO PACIFIC’s secluded market

plement DOCOMO’s Open Partner

provides is its role as an ideal test bed

Program, which allows outside compa-

for leading-edge technologies. Around

nies to partner with DOCOMO PACIFIC

the world, the advent of 5G adoption

in order to test their 5G applications,

is creating a revolution in the telecom-

equipment and new concepts at no cost.

munications industry. With implications

However, the island’s fiercely

that range from lightning fast, reliable

competitive market quickly spurred

digital communications, to a cornu-

DOCOMO PACIFIC on to greater

copia of IoT and smart infrastructure

heights of innovation. “A few weeks

applications, the next decade of digital

after the launch of our lab, one of our

communications are set to be defined

competitors held a big press confer-

by the rise of 5G. Early adopters and

ence to announce that they were

innovators in this space can expect to

going to commercially launch 5G in

reap huge rewards.

Guam and the CNMI by the end of b u s in e s s c hie f. a s ia

207

D O C O M O PA C I F I C

2019,” recalls Boss. “I kind of took that as a personal challenge. I said “if they’re going to launch before the end of the year, we’re not going to be beat.” DOCOMO PACIFIC launched its fixed network 5G services in Guam in October, and Boss explains that the company is set to follow up with a mobile 5G service in the near future.

“We actually launched ahead of NTT DOCOMO in Japan,” he says. Given the early adoption stage of the technology, and the world class nature of 208

DOCOMO PACIFIC’s extant 4G/LTE network – which he notes consistently achieves 70-80 mbps speeds – Boss explains that he isn’t planning to cover Guam’s entire 549 km² of land. Rather, DOCOMO PACIFIC has established three major hot spots in the island’s busiest villages. “The rest of that deployment schedule will be defined by the market and driven by demand, not the other way round,” he states.

A key driver of market demand for mobile 5G services will be the increased capability of widely available handsets. “Initially we’d been using an LG phone that uses the same frequency for 5G as Sprint’s AUGUST 2020

network in the US, and we managed to get that ahead of schedule,” Boss explains. “Now, of course, Samsung’s S20 is 5G capable. This means we’re seeing a progression from one highly specialised handset, to having a very mainstream model of phone that’s 5G capable. For us, that really changed the game, because anyone with an S20 is going to be able to use 5G when they’re within one of our hot spots.”

Beyond flagship mobile devices, however, Boss notes that there’s an array of potential applications that are particularly suited to Guam’s needs.

“Our geography makes us isolated, which can present limitations to our healthcare system. It’s hard to get a lot of specialist doctors to come all the way to this small island so, when people have something serious, they get on a plane to Tokyo, Manila or Hawaii,” he explains. The high speeds, reliability and low latency that 5G provides has far-reaching implications for delivering medical expertise to remote locations around the world. He also explains that, since Guam has a single university and one community college, the potential benefits of distance learning for the b u s in e s s c hie f. a s ia

209

D O C O M O PA C I F I C

210

island are also substantive. However, he

a game changer.” Guam is located in

notes that both applications are prin-

what’s colloquially known as “Typhoon

cipally based upon fixed 5G networks,

Alley”. Every year, some of the world’s

and that the process of finding applica-

most devastating storms sweep across

tions for 5G mobile that aren’t already

the Pacific and break on the island.

being supported by the last generation

As a result, Boss explains that build-

of technology is an ongoing process.

ings on the island tend to be made

“For me, there’s one major applica-

of reinforced concrete. “In-building

tion for mobile 5G in Guam that I’m

penetration is a big issue,” he says.

most excited about and that’s fiber

“If I can use 5G to go into a neighbour-

replacement. If I can get internet

hood and achieve fiber-like speeds

speeds that are comparable to fiber

through wireless, by dropping a tower

without having to dig up the ground

near my users, that’s a significant

or drill holes in people’s walls, that’s

game changer for our market.”

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211

A VITAL ECOSYSTEM

Nokia, which provides our network

Providing world-class services in a

equipment. Another key partner is

tiny market is an ambitious goal, and

Commscope, who we’ve bought a

DOCOMO PACIFIC fully leverages

number of products from over many

its network of partner relationships

years. We see the members of the

to support its goal. “Our partnerships

companies we work with as members

are incredibly important to us,” says

of our own team, so those relationships

Boss. “Because of our scale, we have

are incredibly important.”

limitations in the skills and knowhow that we can have inhouse. So we rely

THE COVID-19 CHALLENGE

on our partners’ expertise and by hav-

The ongoing global pandemic repre-

ing close working relationships, we

sents an unprecedented challenge

can make their expertise our own. We

for the modern enterprise. As coun-

have a long and close relationship with

tries around the world close their b u s in e s s c hie f. a s ia

D O C O M O PA C I F I C

“ If I can use 5G to achieve fiber-like speeds through wireless, that’s a significant game changer for our market” 212

— Roderick Boss, CEO, DOCOMO PACIFIC

DOCOMO PACIFIC: You + Dreams #BetterTogether CLICK TO WATCH

AUGUST 2020

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1:00

this spike because we’ve been making the transition to data for a long time,” explains Boss.

Guam went into lockdown in midMarch. “In our case, immediately following the first case of COVID-19 being diagnosed in Guam, we switched to a virtual work strategy across our entire company. Our call centre operations, for example, all went virtual within a two-day period. I was pretty proud of the team’s ability to do that,” says Boss. “Obviously, the ability to stay connected remotely is a service we sell to people, so we were in a good position to move to that very quickly.” borders to travellers, and the global

In response to the pandemic’s effect

economy is forced into history’s big-

on the region, DOCOMO PACIFIC has

gest experiment with remote work, it

placed its customers first, waiving late

falls to telecommunications provid-

fees, providing uncapped data to its

ers to ensure that the world remains

customers and donating PPE to front

connected.

liners in Guam and the CNMI.

“Over the past five years, we’ve seen a big shift from voice to data. During

CONNECTING TO THE FUTURE

the current COVID-19 pandemic we,

“It’s an incredibly exciting time in

along with telco operators all over the

the industry for us. We have a lot of

world, have seen a massive increase in

really fun things that we’re doing,”

our broadband business – about a 90%

enthuses Boss, reflecting on the fact

increase – and haven’t had any network

that DOCOMO PACIFIC represents

throttling. We’ve been able to handle

his first experience with the TV and b u s in e s s c hie f. a s ia

213

D O C O M O PA C I F I C

T O K YO 20 20

214

“Because we’re a small island operator, and most suppliers adjust rates according to volume, it’s important that our suppliers recognise that.

One example of that is the “2020 Olympics. We were hoping to get the sponsorship to be the official telecom supplier to the Guam National Olympic Committee. This is managed by the IOC, and they charge astronomical fees for these sponsorships. We were hoping that they would understand that we’re a tiny market with our own Olympic team separate

AUGUST 2020

from the US. We thought that with it being so close to us geographically, and with us being part of a Japanese telco, it would be a great sponsorship opportunity. It actually turned out very well; they were able to understand our scale and give us a rate we could afford. Now, we’re Guam’s official telecommunications sponsor for Team Guam to the Summer Olympics event. We need a lot more of our partners to recognize that we need worldclass products and support, but at small island prices.”

“ I love this industry.

It’s where new technology comes first, it’s incredibly competitive – and I love competition” — Roderick Boss, CEO, DOCOMO PACIFIC

That’s something that we’re going to see launched here very soon and I’m really excited about it,” he says. “I’ve watched my cable business shrink, year-over-year, for some time. Rather than just wait and see what happens with that, I’m ready to be a player in this new market as well.”

From new technology, new strategies and constant competition to stay on top, to its inherent customer centricity, DOCOMO PACIFIC is a uniquely capable company that punches above

broadcasting business. “The media

its weight, operating in a market unlike

and TV businesses are at an inflec-

any other. “I love this industry. It’s where

tion point right now around the world.

new technology comes first, it’s incred-

OTT broadcasters are seeing this

ibly competitive – and I love competition

phenomenal growth, creating their

– and it’s fun to come to work everyday,”

own content, and that’s driving this

says Boss. “We’ve built a great team

huge transformation.” In response to

here at DOCOMO PACIFIC. We’re

the rapid acceleration of OTT adoption

lucky to have a very supportive share-

and the proportional decline in tradi-

holder that allows us to do some things

tional cable services, Boss is exploring

we might not otherwise be able to do.

ways for DOCOMO PACIFIC to once

I’m very happy to have that and, looking

again thrive in response to market

at the future, I think it’s pretty bright.”

pressure and competition. “What I want is for those people to leave me for me. That means that I’m developing my own IPTV offering for people who are moving away from full-service cable. b u s in e s s c hie f. a s ia

215

216

Delivering Cambodia’s 5G digital transformation WRITTEN BY

MATT HIGH

AUGUST 2020

PRODUCED BY

GLEN WHITE

217

b u s in e s s c hie f. a s ia

CELLCARD

Cellcard’s CEO, Ian Watson, discusses how the telecoms company is enabling a 5G-driven digitisation of Cambodia

D

igital technology and the greater use of data have irreversibly changed virtually every industry, and the telecoms sector

is no exception. Indeed, the advent of one specific innovation has forever changed the way that we communicate, bank, work and engage with the 218

world, as well as our expectations as consumers: the smartphone.

“The smartphone has become one of the most important tools in our lives,” shares Ian Watson, CEO of telecoms leader, Cellcard. “The smartphone is your connection to the digital world. It is the means to purchase items and pay bills, the vault which holds the data of your life via photographs and videos, an assistant which tells you where you need to be, and can act as the advisor of how to get there. It can measure your health and advise you on issues, and is the instrument which allows you to receive your correspondence and entertainment.”

Cellcard is at the forefront of telecommunications innovation and digital transformation. The business, which is fully Cambodian-owned and

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219

b u s in e s s c hie f. a s ia

CELLCARD

“ We view Cellcard as moving away from the traditional mobile network operator model to being a full digital life service provide” — Ian Watson, CEO, Cellcard 220

operated, is committed to providing access to mobile technology and connectivity to all Cambodians, regardless of their location. In doing so, it has risen to become the preeminent telecoms company in the Kingdom - it was the first to offer nationwide coverage and prepaid services in 1998, the first to provide a 3G network with streaming services in 2005 and, in 2010, the first to launch a mobile payments platform.

More recently, Cellcard is now the operator of Cambodia’s fastest 4G

AUGUST 2020

Cellcard: Big Love $8 = $2000 = 80GB CLICK TO WATCH

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0:45

221 network, with the Kingdom experi-

its own transformational journey. “We

encing a 36% growth in mobile data

view Cellcard as moving away from

subscribers since its launch.

the traditional mobile network opera-

In short, Cellcard sets the standard

tor model to being a full digital lifestyle

for telecoms innovation in Cambodia.

service provider,” he explains. “We’ll

With Watson at the helm, however, it

make sure that your device – whether

doesn’t rest on its laurels. The busi-

a handheld or wearable device - is

ness is currently dedicated to driving

truly connected to the world. It’s all

and leading Cambodia’s ongoing

part of a wider ecosystem that we’re

digitalisation through the develop-

building that we call our ‘walled gar-

ment and launch of the Kingdom’s

den’. When you’re in our garden you’ll

first 5G network. As Watson reveals

be able to access all the services you

during the course of our conversation,

need. It will be a great place to be

despite its technology-first approach,

that’s driven by the latest technology,

this has also seen Cellcard undergo

and you won’t want to leave.” b u s in e s s c hie f. a s ia

Building a Fully Connected, Intelligent World “Huawei, our key strategic partner has been working side-by-side with Cellcard on 4G projects within many key cities and provinces in 2019. With the support from Huawei’s high technology solution, we have completed the first real 5G trial test in Cambodia following the download speed that reached 1.6Gbps with lower latency rate at less than 10ms. Cellcard is confident in choosing Huawei to embrace digital life to every person, home and organization in Cambodia for an intelligent future with intelligent connections.”

Let’s Move Forward to a 5G Era

“ The smartphone connects you to the world” — Ian Watson, CEO, Cellcard The industry is changing rapidly, particularly in Cambodia. Watson explains that while this is in part driven by the evolution of technology, it is also a product of the broader change in the Kingdom. “It’s not the biggest that survive, it’s those that adapt the quickest. As we move into the digital world, it’s vital to be up to speed with those changes and all of the dynamic developments around 5G and other telecom innovations.

“The key driver of change, particularly in Cambodia, is the increasing appetite for large data,” he continues. “If you look at the history of the country, there has never been a fixed line infrastructure. Instead,

E X E C U T I V E P R OF IL E :

Ian Watson Ian Watson is recognised within the telecommunications community as one of the leading figures in relation to 5G and digital transformation having built a 30-year career in the industry across global markets. His most recent industry recognition was the 5G Asia People’s Choice Award for Operator CXO of the Year.

He has also gained significant exposure in the past year as the driving force behind one of the most aggressive 4G roll-outs in the SE Asian region, achieving for three years running both the Ookla and Opensignal Awards. His focus now is firmly set on driving the digitisation of Cambodia with early adoption of pre-5G and the introduction of 5G across the key segments of Consumer, Government and Corporate.

as we’ve moved into the digital age, Cambodians have gone straight to mobile broadband, mobile data and connectivity. At the same time, we b u s in e s s c hie f. a s ia

223

CELLCARD

C E L LC A R D : U S I N G 5 G T O C O M B AT C OV I D -1 9

224

In March Cellcard announced the Kingdom’s first use of 5G for a telemedicine service at four locations across Phnom Penh to help with critically ill patients.

Cellcard demonstrated 5G speeds of more than 1.6 gigabits per second, and installed the service at: • The Khmer Soviet Friendship Hospital • The Chak Angre Health Center • Ministry of Health • Ministry of Posts and Telecommunications The initiative was led by Royal Group Chairman Neak Oknha Kith Meng in full cooperation with both Ministries. Watson says: “the Chairman of the company is Cambodian and his mantra is to support the digitalisation of Cambodia with the Royal Government. Cellcard will be the leading 5G digital network and will drive that vision.”

AUGUST 2020

Cellcard Chairman Kith Meng

5G live test

have a very young demographic

he explains. “It is for sure going to

– 60% of the Cambodian population

be a strong force in the global digital

is under 30 years of age. This is gen-

transformation, and a leading pro-

eration X. It’s people who want to be

ponent of the digital world. We, as a

connected, to be social, bank and shop

company, are very much part of that

through their devices, it’s an absolutely

journey culturally too.

modern lifestyle and we have to be sure we’re providing for that.”

Cambodian lifestyle and the cul-

“We pride ourselves on our Cambodian heritage; 99% of our employees are Cambodian,” Watson

ture that pervades throughout the

continues. “But you can’t be digital

Kingdom is important internally, too,

on the outside unless you’re digital

says Watson. Indeed, as the company

on the inside. As a result, and as part

navigates the rollout of 5G, he finds

of this journey to the 5G digitialsing of

the strong cultural aspect of Cellcard

Cambodia, we’re having to re-engineer

to be vital to progress. “One of the

and reprocess virtually the entire

things that attracted me to Cambodia

company from the top down. And it’s

is the culture, it’s so rich and diverse,”

not just about processes, it’s about people, having good digital change managers and a concerted effort to bring the whole company into the digital world.”

It is also, says Watson, about building and developing technology that is embedded in that Cambodian heritage. “For example, we’ve created a Cambodian Chat app called Mith Laor, which means ‘good friends’. The app includes a TV platform to host video and other content, a payment platform that sees us explore more b u s in e s s c hie f. a s ia

225

lifestyle-type services, and more.

completed, will see it “having built one

It’s all part of this broader end-to-end

of the best, most dynamic digital 5G

digital platform that we will deliver

platforms not only in Cambodia, but in

through the 5G rollout, and it all works

the world”, says Watson.

through a smartphone app. To ensure

Cellcard has several sites that it

this is best-in-class we’re already

has been running for some time as

looking to integrate other innovations,

part of that process. The company

such as AI, integrated voice assistants,

recently used its 5G infrastructure

chatbots and robotics”.

to provide an important service as

As to the implementation, Watson

part of Cambodia’s efforts to combat

explains that Cellcard’s network is pre-

the COVID-19 pandemic. In March it

5G enabled, with all 5G testing already

announced the Kingdom’s first use

being concluded some two years ago.

of 5G for a telemedicine service at

The company is currently working with

four locations across Phnom Penh

the government ministries on a test

to help with critically ill patients. The

and releasing spectrum that, once

service allowed doctors to use video

AUGUST 2020

“ To have a dynamic 5G network it has to be accessible.

It must be fast and deliver everything that we promise” — Ian Watson, CEO, Cellcard

been helped and underpinned by our existing, superfast 4G network too, which remains the best performing in Cambodia.”

Naturally, any significant transformation journey brings challenges and a degree of change management. For example, says Watson, a company can’t digitalise if it doesn’t have the technology. Cellcard has invested significantly in its network to facilitate the rollout of 5G, but also in building a team of people with the correct mindset and ambition to drive the

conferencing technology linked to mobile phones and devices across

Kingdom’s digitalisation.

On the technologies that will enable

Cambodia to assess patients in real-

this, Watson explains that “to have

time. This extends to the provision

a dynamic 5G network it has to be

of real-time clinical care, counselling

accessible. It must be fast and deliver

and therapy, as well as education

everything that we promise. But it’s

for consultants and support for

not just about speed, it’s about under-

medical teams.

standing and incorporating all of the

“It’s part of what we are trying to do

new opportunities that can be gained

as we move into a full 5G environment,”

from a 5G world, so things like network

Watson explains. “We’re looking at

splicing, enhanced mobile capabilities

using the technology for remote diag-

and the Internet of Things. Second to

nostics in all provinces, to support

that, is ensuring you have the neces-

medical staff and for other diagnosis

sary platforms to deliver all of the

and treatment services such as rec-

products and services. This includes a

ognising cataracts and more. It’s all

robust cloud computing platform and b u s in e s s c hie f. a s ia

227

CELLCARD

228

“ 5G will underpin the true digital transformation of the Kingdom and we’re plugged in and ready to deliver on that vision” — Ian Watson, CEO, Cellcard AUGUST 2020

watertight cybersecurity practices.”

The latter, he explains, is crucial as networks and data grow. “In a true digital world, it won’t just be your handset that you should be concerned about, it’ll be every device in your home,” he states. “For organisations like us, it means the need to authenticate a large number of devices latching to the network, ensuring robust perimeter defences so that people can’t get into the network in the first instance and more. We invest huge

Looking ahead to a 5G-enabled Cambodia, Watson elaborates on the benefits that the technology will bring, not just to consumers but also the Kingdom’s enterprise economy. “The B2B market is, in my opinion, one of the biggest selling points of 5G,” he states.

“We’re already setting up a dedicated 5G digital enterprise department to focus solely on the B2B and SME sectors and we are investing heavily in data centres so that enterprises can manage and have access to the vast amounts of data that they will need.

“For Cambodia, the future is very exciting. It’s a young, dynamic county and it has huge potential that can amounts into our security protocols –

be realised by digitalisation. 5G will

we simply have to.”

underpin the true digital transforma-

For this, and other areas of technology,

tion of the Kingdom and we’re plugged

Watson states that partnerships prove

in and ready to deliver on that vision,”

important. A good technology partner,

he concludes.

he says, must fit Cellcard’s digital vision and be prepared to work towards the long-term ambitions of the company and the Kingdom. He cites a long-term partnership with Microsoft as a good example, through which Cellcard has access to the company’s video conferencing and other technologies. b u s in e s s c hie f. a s ia

229

230

Inside McAlpine Hussmann’s supply chain transformation

AUGUST 2020

231

WRITTEN BY

HARRY MENEAR PRODUCED BY

STUART IRVING

businesschief.asia

MCALPINE HUSSMANN

Supply Chain Digital talks to Calum Laird, Supply Chain Transition Manager at McAlpine Hussmann, about the company’s bold supply chain evolution

T

he modern company is only as good as its supply chain. Once the province of a monthly meeting by the accounting

department - and otherwise left to the attention 232

of a warehouse manager or individual department heads – supply chain management has undergone a radical transformation over the past decade.

Driven by a global rise in ecommerce demand, a heightened need for efficiency and the increased potential for technology like AI and cloud computing, the supply chain space has rapidly become a key differentiator between successful companies and those destined for obsolescence.

Founded in the mid 1930s, New Zealand-based commercial refrigeration solutions provider McAlpine has been providing industry-leading services to the region for more than 85 years.

Now a part of Hussmann Inc and owned by Panasonic, McAlpine Hussmann is undertaking a series of bold initiatives to digitally transform and radically modernise its supply chain.

AUGUST 2020

233

1932

Year founded

$95mn Revenue in NZL dollars

300

Number of employees businesschief.asia

MCALPINE HUSSMANN

“Up until now, the company hasn’t had a dedicated supply chain focus,” says Calum Laird, who has been serving as the Supply Chain Transition Manager at McAlpine Hussmann since February of this year. A supply chain, logistics and warehousing veteran, Laird has been brought on board

by McAlpine Hussmann to orchestrate a multi-faceted transformation of the company’s supply chain that involves tackling warehouse management, a significant software implementation, 234

McAlpine: Digital Transformation CLICK TO WATCH

AUGUST 2020

|

2:32

redesigning procurement process and driving a cultural shift in a company with a long-serving employee base. “There’s a lot of history here, and a lot of people in the business have been here for 20 to 30 years,” he explains. “From a supply chain specific perspective, I’m involving and engaging with everybody that I can, because I know that there’s nothing worse than having some random newbie come in and say ‘this is how we’re doing things now.’”

We spoke with Laird to discuss the transition, and the ways in which

“ We want to make sure that every part of our business is connected, interlinked and using every part of the technology that’s available” — Calum Laird, Supply Chain Transition Manager, McAlpine Hussmann

harnessing the power of technology, procurement transformation and change management are poised to radically empower the McAlpine Hussmann supply chain to embrace the ideology of continuous improvement to further create value for its customers and clients. “There’s a four pillar workstream that I’m running with as part of this project,” Laird explains.

“There’s procurement, warehousing, SAP and technology, and then people and culture.”

businesschief.asia

235

MCALPINE HUSSMANN

E X E C U T I V E P R OF IL E :

Calum Laird Title: Supply Chain Transition Manager Location: Auckland, New Zealand

236

My background is varied across a range of supply chain areas from backend retail procurement, inventory management through FMCG, construction sectors and service provider in specialized third party logistics. Over the past 20 years the desire for continuous improvement, business growth and development has built my foundations to ensure that where my career bases me sees the supply chain as an efficient enabler of sales. Right now that base is McAlpine Hussmann.

Outside of the office I am a keen BMX rider that despite the occasional visit to hospital services, has been a lifelong passion. I speak some almost tolerable Portuguese at a basic conversation level, Portuglish to my wife and in-laws. I’m always keen to learn from and about people, over coffee or drinks in all sorts of environments, our stories and histories are all as interesting and unique as those they belong to.

A spirit of supporting others features heavily in my life having consulted to non-profit organisations and getting involved in community based projects locally. Equally as comfortable in boots and oilskin fixing fences as I am in a boardroom there is a diverse range to the way I live.

Chances are if we’ve worked hard together, I’ll offer you a cold beer and a laugh.

AUGUST 2020

WAREHOUSING AND PROCUREMENT

function. As companies scale, decen-

So far, McAlpine Hussmann’s procure-

tralised procurement strategies have

ment function has largely operated with

a tendency to create silos which can

a pre-Industry 4.0 methodology. “For

create major logistical pain points.

a long time, because they know their

“Right now one of our major pain points

product better than anybody, individual

concerns space constraints at our main

departments have been handling

warehouse in Auckland. Part of that

their own procurement,” says Laird. “It

stems from that decentralised procure-

makes sense to some degree, but it

ment function where we’ve got different

also means that the synergies aren’t

things happening in different divisions

really there to streamline that activity

at the same time, but without everybody

and make it the most efficient operation

knowing about it at the same time,” says

that it can be.” One of Laird’s main goals

Laird. “We’ve got things that have been

revolves around the process of cen-

scheduled arriving at the same times as

tralising the company’s procurement

things that are a surprise to us.”

On-Shelf Availability Optimization VUSION - SES-imagotag CLICK TO WATCH

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1:20

businesschief.asia

237

MCALPINE HUSSMANN

“ One of the things that’s highly important within our partner ecosystem is valuing quality relationships” — Calum Laird, Supply Chain Transition Manager, McAlpine Hussmann

In a business like McAlpine Hussmann, this can be a particularly bitter pill, as the company operates by necessity on a project basis.

“We obviously don’t just sit around with thousands of freezers waiting for someone to build a supermarket,” explains Laird. McAlpine Hussmann’s warehousing and procurement strategy relies on the company’s ability to receive product and then ship it out to be used in projects with a quick turnaround. “The actual stock we hold long

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SPECIALIST REFRIGERATION WHOLESALERS Refspecs is a specialist refrigeration and air conditioning wholesaler, selling spare parts and capital equipment to the trade both locally in New Zealand and exporting throughout the Pacific

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McAlpine: Smart Storage Use CLICK TO WATCH

|

1:44

239

term is predominantly spare parts.

The nature of this cargo can also

We’re talking about very small bits and

prove challenging, Laird notes. Earlier

pieces in storage and everything else

in his career, he was part of the pro-

is quite transitory,” he clarifies. “We

curement function of one of New

might have 20 refrigerated display

Zealand’s major beverage distributors.

cases today and those might be gone

“Slinging beer and wine, for example,

tomorrow. Then, the day after that

is easy because there’s standardised

we’ll have a bunch of trough freezers

sizing pretty much across the whole

on their way to a different supermar-

world. It’s usually 672 750ml bottles of

ket. The transformation I’m overseeing

wine to a palette, or twice as many if

right now is based around ensuring

you’re dealing with 375ml cans or bot-

that this facility is able to manage a

tles and if you buy and sell X-amount of

transient and ever-changing size and

wine, you know within a few millimeters

volume of cargo.”

how much space that’s going to take businesschief.asia

MCALPINE HUSSMANN

up,” he recalls. This contrasts massively to the variation across refrigeration or HVAC unit ranges, where the length, depth and height all vary more or less from unit to unit. “You’ve got everything from ice machines to serve-over cases and freezer troughs. The product range is monstrous,” he laughs. This diversity is further compounded by the fact that most of McAlpine Hussmann’s customers require customised products. “A particular supermarket might want to have a particular coloured bumper they 240

want to use on the front of a unit for trolley protection. All these things are handled on a case by case basis,” Laird explains. “It wouldn’t be feasible for a company like McAlpine Hussmann to be sitting around with a hundred thousand square metre warehouse stacked full of all these ludicrously expensive and specialised units. It just wouldn’t work.”

Redistributing stock in a way that enables this fast turnover, highly transient style of warehouse operation is a key factor in successfully solving the company’s supply chain pain points. Laird notes that communication between business units and an amalgamation of procurement functions will go a long AUGUST 2020

way towards ameliorating this situation.

However, in order to create the visibility and cross-company data integration to support positive change, McAlpine Hussmann’s technological capabilities will also need to be overhauled.

TECHNOLOGY TRANSFORMATION “While the space constraints and procurement transformation are very physical things we’re dealing with, we’re also rolling out a massive software and digital communications implementation as well,” says Laird. “We want to make sure that every part of our business is connected, interlinked and using every part of the technology that’s available.”

At the heart of this implementation is McAlpine Hussmann’s adoption of SAP’s ERP, MRP, inventory management and warehouse management solutions. In turn these will be integrated with Salesforce’s CRM suite.

“The transition to SAP is going to put us light years ahead of where we have been. It allows for real time transfer of all information,” comments Laird. “Our technicians who are out on the road - if they need a particular part to fix a breakdown that they’ve been called businesschief.asia

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MCALPINE HUSSMANN

VI SI O N

242

“There’s amazing technology that’s getting invented every single day,” says Laird. As a digital transformation manager, Laird says that he sometimes encounters problems around the subject of artificial intelligence (AI). “People hear AI and immediately picture Jarvis from Iron Man: a heads-up display crossed with a robot butler that can literally do anything and has a mind of its own,” he says. “That’s obviously not how AI operates.”

The power of AI to automate elements of jobs to assist human workers and drive efficiency is something McAlpine Hussmann is dedicated to bringing to its customers. VUSION is a large part of this initiative. “It’s part of this big push to help upskill our customers because, at the end of the day, the supermarket is the final mile of the supply chain for us,” says Laird.

AUGUST 2020

VUSION uses AI, along with magnetic and digital shelf labels that can be picked up and moved around. When combined with geolocating smart security cameras, the solution can automate processes “to the point that it can send a replenishment order to one of the store staff’s scanners in that department to let them know that a product needs restocking, and then take them along the most optimised route to carry out that task.”

“ At the end of my tenure, I want to be able to say that this business truly understands and embraces continuous improvement, the digital space and the potential of cloud software, AI and technology” — Calum Laird, Supply Chain Transition Manager, McAlpine Hussmann

a 24/7 repair and service model, which is a huge part of our business,” he explains. “We have technicians come into our warehouse at three in the morning who need a part. At the moment, they have to write down what they’ve taken on paper, and then someone comes in the next day and has to go enter that information into the system to make sure the stock is accurate. The flexibility and agility this gives our entire service team, as well as our back end supply chain and warehouse operators, is fantastic. We have all this added transparency in real time.”

It’s an ambitious project. The full SAP

to deal with - can look up the part and

and Salesforce implementation has a

place an order directly from their phone,

go-live date in the first week of October

tablet or other device. They can then

this year. The integration means that

collect that from a local wholesaler, or

there’s still a great deal of data to be

our central warehouse in Auckland.”

cleansed, gathered, entered into the

The SAP integration means that

new system and double checked for

information about part availability,

accuracy. However, Laird is confident

stock levels and location can be

that the transformation will pay big

updated across the entire system

dividends for McAlpine Hussmann,

remotely. Laird expects this to be

and can’t wait to prove it to the team.

particularly useful in alleviating some

“We’re headed for a future where

of the pen and paper data entry that’s

there’s direct interfacing between our

currently generating inefficiencies in

customers, our suppliers and us, and

the Auckland warehouse. “We operate

working to make sure that the days of businesschief.asia

243

MCALPINE HUSSMANN

writing things down on bits of paper

partners, Laird firmly insists that

are a thing of the past,” he enthuses.

strong relationships are an essential

“All these integrations mean that we’re

part of doing business. “One of the

building a culture where we not only

things that’s highly important within

rely on, but fully utilise the technology

our partner ecosystem is valuing qual-

at our disposal to make sure we’re

ity relationships. That’s a value that

connected to our suppliers as well

McAlpine Hussmann was founded on

as our customers.”

and it continues to be vital today,” he says. Not only does the company work

244

PEOPLE, PARTNERS AND CULTURE

extensively with large-scale, global

Whether it’s within McAlpine

partners from within the Hussmann

Hussmann, across Panasonic’s global

and Panasonic umbrella, but it places

network, or throughout the company’s

equal importance on its relationships

network of trusted suppliers and

with small, local businesses.

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For over 10 years, McAlpine Hussmann has been working alongside RefSpecs, which supplies them with refrigeration units for the company’s projects. “Companies like RefSpecs really are a huge asset to our business in terms of enabling us to do what we do for our customers. They’re not a huge global corporate; they’re a wonderful, home grown, locally owned and operated New Zealand business.

They’re nearby, agile and have a quick response time,” says Laird. “They’re very supportive of our business, and businesschief.asia

MCALPINE HUSSMANN

we like to make sure we’re supportive of theirs – as we are for all our suppliers and vendors.”

Looking inwards, Laird – like every digital transformation evangelist the world over – acknowledges that managing the cultural shift within the company is every bit as important to a successful transformation as software integrations, AI and cloud computing.

To do this, he’s working to leverage the extensive industry knowledge of McAlpine Hussmann’s veteran team, 246

hoping to empower them to not only solve existing problems, but to develop a passion for tech-driven transformation. “If there’s anyone I need to learn from and leverage knowledge from, it’s these highly experienced and knowledgeable people. They know our products, customers and processes inside and out. By engaging their support, as well as highlighting the benefits of things like our move to SAP, we can benefit one another,” he explains. “Any level of automation and increased visibility throughout a business by way of software is a great thing for efficiency.

I think that some of the people that we’re working with haven’t been exposed to AUGUST 2020

that kind of thing before, and that’s ok – it’s just a matter of making sure that they understand that no one’s trying to replace anyone with robots.”

GOING FORWARD Looking to the future, Laird is optimistic about the cultural changes that he hopes to effect at McAlpine Hussmann. “I would like to be able to instill a culture by way of proof. I need to show the business just how many benefits they’re going to start seeing to their supply chain when these implementations start coming to fruition,” he says. “It won’t all happen at once. I think that ERP, MRP, inventory management and WMS, plus CRM is probably enough implementation for one year. At the end of my tenure, I want to be able to say that this business truly understands and embraces continuous improvement, the digital space and the potential of cloud software, AI and technology.”

businesschief.asia

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A DIGITALLY DISRUPTIVE ORGANISATION WRITTEN BY

GEORGIA WILSON PRODUCED BY

SHIRIN SADR

AUGUST 2020

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MASTERCARD

Mohammed Kamal, Senior Vice President, O&T, at Mastercard, on the company’s unique operations, digital transformation, technology trends and its initiatives to combat COVID-19

W

hen it comes to the operations at Mastercard, Mohammed Kamal, Senior Vice President, O&T, reflects

on the history of the company. “Just looking at Mastercard’s payment network, it has a unique architecture with triple redundancy 250

built in, operating globally, peer to peer and with local AI decisioning. The way Mastercard and Mastercard’s network has been built over the years is different from some of our competitors, which I believe provides a quicker and higher quality of service for our customers. Beyond our historic payments network, I think Mastercard is in a position to disrupt itself. Where you typically associate Mastercard with credit card or debit card payments, being disruptive has taken us into areas such as account-based and bill payments, which have grown over the years. While we’ve been diversifying into services for some time, we’re also diversifying into multiple payment rails that you typically wouldn’t associate with Mastercard. For me this is one of AUGUST 2020

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MASTERCARD

“ Mastercard has very rigorous business continuity plans that are tested regularly so we are ready to respond when an unexpected crisis happens, such as COVID-19” — Mohammed Kamal, Senior Vice President, O&T, Mastercard

the big things that makes Mastercard unique compared to some of our competitors.”

Kamal adds: “When I look at digital transformation and being disruptive, it is important to move from a

place where the digital and core businesses are not separate to be successful. The core

252

business itself has to evolve into being digital rather than adding a digital veneer and keeping the existing core processes in place.” This approach is something that Kamal sees as fundamental when digitally transforming business operations.

“It’s visible when you look at a company, which ones have added digital as an afterthought, versus which companies actually reinvented themselves to be digitally native. Much of the time the result is a hybrid.

Sometimes you’ll see competing products within an organisation, some that are digitally enabled but which obviously started off in more of AUGUST 2020

Inclusive access – Frictionless future of payments

CLICK TO WATCH

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253 an analog form, and then you have

much more data-rich, so it typically

new products, built from the ground

goes hand in hand with more

up that are digitally native. I believe

advanced warehousing and analyt-

for companies to be successful, it’s

ics capabilities. In addition, digital

important to really reimagine what’s

tends to be exposed through web

possible without the confines and

and application programming inter-

design assumptions of the non-digital

faces (APIs), which require their own

legacy products. If you build new

sets of supporting infrastructure and

products from the ground up, I think it

security capabilities.

opens up new doors when it comes

When it comes to the application

to their flexibility and agility. There is,

of cloud, data and analytics and artifi-

however, a tremendous amount of

cial intelligence (AI), Kamal states

underlying infrastructure and plumb-

that “all are obviously important but

ing needed to successfully pull off a

for various reasons and applied

digital transformation. Digital is

across different industries. For our b u s in e s s c hie f. a s ia

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MASTERCARD

256

organisation, which accumulates

consumer banks - in a network.

large amounts of data, being able

These new, digitally native products,

to draw insights based on data is

one of their selling points is that they

extremely important and I would rank

enable a richer exchange of data

this the highest out of the three. A lot

than their analog counterparts

of our fraud engines and insight plat-

through ISO 20022 messaging

forms run on aggregated data which

standards. These standards provide

is invaluable. We’re also, however,

the capability to carry a lot more

enabling the exchange of data

information back and forth, driving

between participants in an ecosys-

value for parties in the ecosystem.

tem. Mastercard is very well

This exchange of data enriches the

positioned as a network where we

whole ecosystem, and provides for a

bring together different parties - mer-

more symbiotic relationship between

chants, billers, acquiring banks and

us and our partners.�

AUGUST 2020

Reflecting on the capabilities cloud

use cases, especially in the face of

technology can provide, Kamal

nationalism, where you may need to

explains that “you can gain tremen-

have something hosted in the cloud.

dous amounts of value. But first it is

For that reason, I have generally taken

important to determine the best use

a hybrid cloud approach when going

case for this technology. Mastercard,

down the path of cloud enabling solu-

for example, has a good footprint of

tions. The greatest value I see,

data centres around the world in dif-

however, is that the techniques

ferent regions. In some instances,

applied when using a hybrid-cloud

cloud makes sense and other times it

enabling platform generally make the

doesn’t, but the flexibility of cloud and

platform more scalable, agile and ven-

the ability to leverage an OPEX model

dor agnostic, which in itself is valuable

versus a CAPEX model provides scal-

whether actually deployed in a public

ability and flexibility. I think there are

cloud environment or not.

E X E C U T I V E P R OF IL E :

Mohammed Kamal Title: Senior Vice President, Consumer Applications Mohammed Kamal is a payments industry technologist with a passion for innovation and the Fintech space. He is currently serving as the COO of Consumer applications at Mastercard, leading a cross functional team with a mission of enabling new payment flows leveraging real-time payments (RTP). His responsibilities include technology and operations for retail payments (p2m), BillPay & p2p payment products. He is also responsible for corporate & commercial M&A integration within the Consumer Applications division. b u s in e s s c hie f. a s ia

257

MASTERCARD

Mastercard has been leveraging AI

258

manual enrolment process

for its fraud services for over 10 years.

can take a consumer half an

“We have very advanced fraud detec-

hour - if not longer – trying to

tion capabilities that we provide our

identify and link with the differ-

customers,” says Kamal. “One of the

ent billers they have a

techniques that I think is interesting

relationship with. An assistive AI

with AI is the use of assistive AI versus

solution can bring this time down

fully autonomous AI - or a mix of the

significantly, reducing friction for the

two, depending on the use case.

customer, yet keeping them in control

There’s still tremendous value in hav-

of their personal and financial data.”

ing human intervention and making

Another technology trend Kamal

sure a human is kept in the decision

has seen emerge is the use of open

making loop, but drastically empow-

banking, “we’ve seen a huge amount

ered as a result of the AI. For example,

of action in this space. I use the term

fraud detection is sometimes one of

‘open banking’ loosely because it dif-

those use cases where selectively

fers in different regions of the world,

involving the user in the decision mak-

but it’s the idea that the bank is open-

ing process can provide for a better,

ing their ‘walled garden’ in a con-

more confidence-inspiring user expe-

trolled and secure way so that a cus-

rience. But other use cases could be

tomer can use the data for their

in the space of bill payments, where a

benefit with other products.” In some

S T R AT E GI C PART N ERSHI PS

“When it comes to our partners such as Fulcrum Digital Inc., a critical hallmark that we look for in a collaborator is f lexibility and agility.

When collaborating with others we are looking for long term partners that we can share both successes and failures with and create future opportunities. We look for the type of collaborative partners that will share in the risks and the rewards and I think being able to share in that makes for a better relationship in the long run.”

AUGUST 2020

“ When I look at digital transformation cases the banks themselves are and being disruptive, it is important building new prodto move from a place where the ucts based on this digital and core businesses are not Open banking paradigm. The Consumer separate to be successful” — Mohammed Kamal, Senior Vice President, O&T, Mastercard

Application division here at Mastercard is helping our partners do just that. More generally, in the industry, I am seeing an increase in partnerships and collaboration between banks, which are well positioned with bank grade security and safety compliance built-in, with fintechs that are providing customers experiences the banks have not been able to provide in the past. At Mastercard, we want to support all members of the open banking ecosystem. We’re focused on delivering solutions that will enable these experiences, whether that is delivered just by a bank, just by a fintech, or in partnership.”

With many organisations around the world being affected by the impact of COVID-19, Kamal explains that b u s in e s s c hie f. a s ia

259

MASTERCARD

1966

Year founded

$12.5bn+ Revenue in US dollars (2017)

16,000 Number of employees

“ It’s visible when you look at a company, which ones have added digital as an afterthought, versus which companies actually reinventing themselves to be digitally native” — Mohammed Kamal, Senior Vice President, O&T, Mastercard AUGUST 2020

“Mastercard has very rigorous business continuity plans that are tested regularly so we are ready to respond when an unexpected crisis happens, such as COVID-19.

As you would expect, the teams are executing our operations very well. We work very closely with our customers as well as having our

provide to help them?” Since the outbreak Mastercard has been implementing a variety of initiatives in order to help its customers navigate the impact of the pandemic.

When it comes to digital transformation and adopting the current trends within the technology space, Kamal highlights the importance of having the right products and services to be able to capture the opportunities innovation provides. “I think that’s the key message, it’s not always easy to predict what the market will need in one go, but much of the time we are investing in flexible underlying product infrastructure, while the use cases themselves develop more organically. I think it’s important to build with flexibility so that, while you may build a set of technology or products for a particular own VCP processes to ensure that as

use case, or you have a business case

our customers encounter challenges

in mind, you also need to be able to

within their business we are able to

pivot the technology for different use

accommodate them. Our continuity

cases if the need should arise.”

plan not only looks at how our company could be impacted but whether our customers could be impacted, what policy changes we could make, what rule changes? And what can we b u s in e s s c hie f. a s ia

261

262

Helping clients navigate risks in uncertain times WRITTEN BY

WILL GIRLING PRODUCED BY

KRISTOFER PALMER

AUGUST 2020

263

b u s in e s s c hie f. c o m

MARSH

Douglas Ure, President Director and CEO of Marsh Indonesia, shares his thoughts on growing a business and why putting clients and colleagues at the heart of everything is paramount

E

stablishing its national presence in 1983, Marsh Indonesia is part of Marsh & McLennan Companies, a global pro-

fessional services firm specialising in insurance 264

brokering and risk management solutions. The company distinguishes itself by its commitment to an always client-centric mode of operation and a breadth of expertise that focuses on the client’s specific industry for a higher quality of advice and service. Following a merger with Jardine Lloyd Thompson (JLT) Indonesia in early February 2020, Marsh now employs over 200 staff with more than 30 certified practitioners ready to dispense advice and create bespoke insurance solutions.

To this end, the company is able to offer a suite of varied and interconnected services to satisfy the needs of its clients, including insurance claims management, valuation services, specialised risk management assessments for core industries and more.

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b u s in e s s c hie f. a s ia

MARSH

“ Marsh has global strength, a geographical footprint and it covers so many different aspects of the sector” — Douglas Ure, President Director and CEO, Marsh Indonesia 266

The consummate professionalism and depth of knowledge are what first struck Douglas Ure, President Director and CEO, when he joined the company 13 years ago. “Marsh offers something different to a large number of other organisations,” Ure explains.

“It has global strength, a geographical footprint and it covers so many different areas of expertise. If you look at the broader Marsh & McLennan Companies, I could not envisage many companies that would match the broad range of expertise across the business.” Starting as a managing consultant within Marsh’s consulting practice based in London, he took on a wider Asia regional role based in Singapore, before taking up his current role as CEO of Indonesia, based in Jakarta. Coming from a background in risk management at Accenture and Primary Group, Ure states that this experience has been invaluable in shaping his approach to the role.

“We put our clients at the heart of what we do and that means helping them manage risks through these uncertain times. There’s more risk facing our clients today than ever before: cyber

AUGUST 2020

Marsh Captive Solutions CLICK TO WATCH

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267 threats, political uncertainty, terror-

currently looking to set up our digital

ism, war and pandemics,” he says.

team by attracting a lot of people into

Marsh’s aim, then, is to redress the bal-

the Marsh organisations globally who

ance by serving its clients by helping

don’t necessarily have any insurance

them manage those uncertainties and

or risk management experience,” he

positioning them for growth.

says. “Then, the collaboration with

Achieving that goal necessitates

our other teams will ensure that we

a company which knows how to

provide our clients with risk and

assemble a great team and drive col-

insurance solutions in a much more

laboration at all levels of the business.

efficient way.” However, this is a depth

Recently, Ure points out, this meant

of collaboration which doesn’t simply

thinking outside the box in terms of its

rest at the colleague-to-colleague

digital transformation strategy: hiring

level; Marsh also engages its partner

tech-savvy people to augment the

companies to join its mission to put

company’s field of expertise. “We’re

clients first, understand the problems b u s in e s s c hie f. a s ia

MARSH

268

they face and put forward workable

knowledge to be able to quantify risk,

solutions on the best way to proceed.

the understanding of other common

In combination with financial strength,

associated risks and communicating

stability and overall trustworthiness,

a more effective way to manage them.

this cultural fit is the most invaluable

Ure highlights this as something that

aspect of a partner’s business to Marsh.

the company feels very strongly about.

Coinciding with the rise of the

“Marsh is practicing what it preaches

global digital revolution has been the

by making sure that its operations

proliferation of cyber threats and the

are digitally secured by the right tools

need for greater online security. As

and with the proper infrastructure in

an expert in risk management, Marsh

place to protect both client and col-

has been more than up to the task:

league data.� Despite best intentions,

providing the right advice to help

however, the fast-paced nature of the

clients manage specific risks, the

tech industry means that new threats

AUGUST 2020

1983

are always appearing just as the old ones are resolved. This means Marsh

Year founded

has to stay agile and be mindful of innovative new developments in order

35,000+

Number of employees (Globally)

200+

to guarantee best-in-class service.

“It’s very difficult to completely remove risk,” Ure says. “The idea is that we’re trying to minimise the increase in risk and manage it effectively.”

Cybersecurity is necessarily a primary concern of companies in the

Number of employees (Indonesia)

insurance sector, owing to the voluminous quantities of data which must be gathered in order to operate

E XE CU T I VE PRO FI LE

Douglas Ure Douglas Ure is the President Director and Chief Executive Officer of Marsh Indonesia, with over 20 years of experience working in insurance and risk management. He began his career in in the manufacturing sector where he was responsible for corporate risk management and insurance before moving into the consulting industry. Ure joined Marsh in 2007, and has been involved in various roles covering consulting, analytics and claims across UK, Europe, and Asia. Ure moved to Asia in 2014 to be based in Singapore, before moving to Jakarta, Indonesia in 2019. b u s in e s s c hie f. a s ia

269

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MSIG is about going above and beyond. We do this by doing and being more. We actively strive to exceed the expectations of our customers and clients. We aim to be an active partner and advisor, to give you the support you need when you need it. And we do this to make sure you can be confident in our promise to protect your needs. msig.co.id Home | Motor | Personal Accident | Fire | Cargo | Travel | Engineering

“ We put our clients at the heart of what we do and that means helping them manage risks and through these uncertain times” — Douglas Ure, President Director and CEO, Marsh Indonesia

advice,” Ure explains. Bringing together the various strands of a digital transformation could prove challenging, particularly in the Asia Pacific market which has some disparity between the needs of emerging and developed sectors. However, the company understands that, geographically, everything doesn’t move at the same pace and that different countries or regions have specific requirements.

Unfortunately, the event which has framed remote working as a key work trend globally, COVID-19

effectively. Marsh is no different and

(coronavirus), is still around and is

already invests significant resources

likely to shape the fortunes of whole

into its analytical capabilities, helping

industries, let alone individual com-

it assess data to help clients make

panies, for at least the next year.

informed decisions. Developed tech-

However, Ure believes that Marsh’s

niques include its Marsh Analytics

decades of experience in the field

Platform (MAP), Global Loss Data

of risk management has it perfectly

Library (LDL) and its Economic Cost

poised to support its clients and col-

of Risk (ECOR) measure. “Making

leagues as they navigate this very

sure that the data collected is help-

uncertain time. “COVID-19 is going to

ful and meaningful for our clients is

have a profound effect on the global

paramount. As the more information

economy, so putting our colleagues

gets collected, the more we’ll need to

at the heart of the decisions we take

ensure that it’s accurate, hasn’t been

and making sure that they are feeling

duplicated and is providing a correct

secure is critical,” he explains. “There

analysis in order to deliver reliable

might be fewer face-to-face meetings b u s in e s s c hie f. a s ia

271

MARSH

272

AUGUST 2020

“ The Marsh global strategy comprises four critical pillars: aligned clients, colleagues, communities and growth” — Douglas Ure, President Director and CEO, Marsh Indonesia 273 and certain opportunities that we thought were going to happen in 2020 might be delayed to 2021, or might never happen at all.” However, despite this, Marsh’s overall plan and vision for the rest of the year remains relatively unchanged: continuing to grow as an organisation and making sure that clients receive a service that’s superior. Ure introduced a flexible working policy for Indonesia in 2019, providing employees much more flexibility in how and where they work.

This included moving to a smart office and having all colleagues equipped with a laptop, still not commonplace b u s in e s s c hie f. a s ia

MARSH

275 in Indonesia. Marsh has been a pio-

business with Marsh,” he states. “The

neer of remote working for its staff

Marsh global strategy comprises four

in Indonesia and has been utilising

critical pillars: aligned clients, col-

conference call facilities across its

leagues, communities and growth. If

operations for a number of years. As

we do those things right, provide lead-

such, the current disruption caused

ing advice using the best sources of

by COVID-19 has not yet presented

information and use the best people

much disruption in business continuity.

to put clients at the heart of every-

When asked how Marsh will con-

thing we do, then we’ve probably got

tinue to ensure a quality service and

a better chance to build long-term,

guarantee client retention, Ure is can-

stable relationships.”

did about the threat of complacency for such a large and well-established enterprise. “I don’t think we have any given right to automatically assume that clients are going to renew their b u s in e s s c hie f. a s ia

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AUGUST 2020

ACHMEA AUSTRALIA EMBRACES DIGITAL TO KEEP FARMERS FARMING WRITTEN BY

SEAN GALEA-PACE PRODUCED BY

ANDREW STUBBINGS 277

b u s in e s s c hie f. a s ia

ACHMEA AUSTRALIA

Emma Thomas, CEO of Achmea Australia, discusses the importance of meeting the changing needs of Australian agribusiness through a digital transformation

A

chmea Australia is committed to helping agribusinesses protect their livelihoods and business continuity. It understands

the power of embracing digital innovation to reach new heights, without compromising on the value of face-to-face service to deliver on its purpose of keeping farmers farming.

278

The insurer is part of the wider Achmea Group, which began 200 years ago in the Netherlands with 39 farmers cooperating together to collect money in a glass jar, to compensate each other in the event of a haystack fire. From there, the Achmea Group became a global insurance brand.

With 14,500 employees in the Netherlands and 2,500 internationally, the Achmea Group supports the lives of 13 million people in six countries.

Through its brands, the Achmea Group has supported the Netherlands in becoming the world’s second largest agricultural exporter Emma Thomas is the Chief Executive Officer (CEO) of Achmea Australia. Passionate about accelerating its sustainable business growth, Emma says through cherishing Achmea’s cooperative heritage, Achmea Australia has ensured AUGUST 2020

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b u s in e s s c hie f. a s ia

ACHMEA AUSTRALIA

“ WE DISTINGUISH OURSELVES IN THE MARKET THROUGH OUR HISTORY; OUR SOCIAL RESPONSIBILITY IS PARAMOUNT” — Emma Thomas, CEO, Achmea Australia 280

that helping agribusinesses and supporting their communities continues to be at the heart of its strategy. “We distinguish ourselves in the market through our history; our social responsibility is paramount,” she explains.

“We are a direct insurer, which means agribusinesses can partner directly with us, the insurer for their farm insurance, as opposed to purchasing insurance products through a broker or another third party. Through this direct relationship, we offer Australian agribusinesses an insurance product that is built on 200 years’ expertise, whilst providing local on-farm service.

Our purpose is to keep farmers farming; we exist to protect the continuity of farming businesses and the livelihood of farmers – as we have been since 1811.”

Achmea Australia has made a long-term investment in its digital transformation, with its digital initiatives translating into increased agility and speed for the entire organisation. As the world confronts the challenges of the coronavirus (COVID-19) pandemic, Achmea Australia’s digital strategy enabled the company to move quickly

AUGUST 2020

Lending farmers a hand for over 200 years CLICK TO WATCH

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281 to transition employees from its office

Having grown up on her family’s farm

buildings and to work from their homes.

in the Otago region of New Zealand,

“Through the integration of technology

Emma has built a comprehensive

into all areas of the business, we have

understanding and passion for agricul-

built capacity for crisis resiliency. This

ture that she combines with more than

meant that we were in good shape to

20 years’ experience in the financial

accommodate this shift to remote work-

services industry. “As a child, when I

ing, whilst continuing to manage service

wasn’t at school, I was on my grandpar-

delivery without service disruptions to

ents’ merino sheep farm. Later I moved

our clients. COVID-19 has changed the

with my husband to a small farm on the

way we work, and it has underscored

Kapiti Coast, where we brought up our

the business continuity mandate. With

children,” she says. “We lived on our

secure and flexible cloud solutions, we

farm while I held several senior roles

can continue to service our clients from

spanning from finance to sales at a

anywhere – and at any time.”

large rural insurer in New Zealand.” b u s in e s s c hie f. a s ia

ACHMEA AUSTRALIA

282 In 2017, Emma moved to Sydney

of seeing the results of hard work and

to begin her role as CEO of Achmea

appropriately balancing opportunity

Australia, and instantly felt her personal

and sustainable risk management,”

purpose aligned with the company’s

she affirms.

values. “I am passionate about continu-

Achmea Australia has experienced

ing Achmea’s co-operative principles,”

rapid growth over the past few

she says. “I come to work each day

years. Having begun in Australia in

and proudly support a sector and

2013 with just two executives and a

country that helps feed not only the

couple of laptops, it is now achieving

nation but the world.” Emma believes

double-digit year-on-year growth.

that her personal family history is a

“Over the last three years, we have

major driving factor in how she lives

embarked on a journey of digital

her life today. “I have a love for the land.

transformation, our startup culture

This is where my personal values were

has evolved into a disrupter in the

shaped to appreciate the satisfaction

agricultural insurance industry,”

AUGUST 2020

says Emma. “Since joining Achmea

With digital transformation playing

Australia, I have led the team to dou-

an increasingly prominent role across

ble the size of the business based

all industries, Emma says technology

on employee numbers and turnover.

is a core part of Achmea Australia’s

Achmea Australia has been a final-

growth strategy. “We have planned

ist in the Australian Direct Insurer

ahead to ensure a strong technol-

of the Year for 2018 and 2019 (by

ogy foundation for our future. It was

the Australian and New Zealand

important for us to differentiate

Institute of Insurance and Finance),

ourselves in the competitive insur-

and last year we were rated five

ance industry and speed-to-market

stars for our claims service by LMI

and enhancing service delivery were

ClaimsComparison.”

critical business drivers for us.

283

E X E C U T I V E P R OF IL E :

Emma Thomas Title: Chief Executive Officer Company: Achmea Australia Industry: Insurance

Location: Australia

As Chief Executive Officer, Emma leads Achmea Australia’s rapid growth as a direct and specialist farm insurer. Having recently delivered a significant modernisation of its insurance technology platform, Emma is proud to continue Achmea’s co-operative principles which are underpinned by continued innovation, excellence in customer service and working together with industry partners to build a ‘better tomorrow’. Her credentials include: Chartered Accountant, CA ANZ, ANZIIF Senior Associate, Bachelor of Commerce, Accounting and Diploma for Graduates in Management (University of Otago, NZ). Passionate about continued personal development, Emma recently became a member of Australian Institute of Company Directors. b u s in e s s c hie f. a s ia

ACHMEA AUSTRALIA

284

AUGUST 2020

285

“ PARTNERSHIPS ARE MORE IMPORTANT THAN EVER AND INTEGRATED OFFERINGS ARE GAINING IN POPULARITY THROUGH THE EFFECTIVE USE OF DATA” — Emma Thomas, CEO, Achmea Australia

b u s in e s s c hie f. a s ia

We help Achmea know and serve farmers better. guidewire.com

“ I COME TO WORK EACH DAY AND PROUDLY SUPPORT A SECTOR AND COUNTRY THAT HELPS FEED NOT ONLY THE NATION BUT THE WORLD” — Emma Thomas, CEO, Achmea Australia “What we look for in a strategic

Guidewire Software, Inc. has not only given us a competitive edge, it has also enabled us to differentiate ourselves and grow by adapting to the changing needs of our clients. This, in turn, has enabled us to employ more people in regional Australia, focus on mutually beneficial partnerships with agricultural associations and help to realise our vision of protecting and enhancing agricultural communities.”

Despite the considerable growth

partnership is an alignment of cultural

and focus on digital transformation,

values, in which each partner has a

Emma affirms that its people remain

clear role to play. As an insurer with

the lifeblood of the organisation.

co-operative values, we take a long-

“Along with a cloud-based telephony

term approach, choosing to partner

system, the successful deployment of

with Guidewire Software, Inc based

our cloud-based policy administration

on a shared understanding of strate-

and underwriting solution has allowed

gic needs and priorities for innovation.

us to focus on developing our people,

They have provided us with a state-of-

so that they in turn can concentrate on

the art, intuitive, cloud-based policy

delivering the best service possible

administration and underwriting sys-

to our clients.”

tem. Achmea Australia and Guidewire

“In a time of accelerating change,

Software, Inc both share a passion for

I am inspired by the positive mindset

enabling the growth of their clients,

of our people and how we are working

meaning we seek to understand their

together with our partners to actively

needs and determine how to best serve

think outside the box, present innova-

them. Partnering with first-class tech-

tive ideas and business adaptation,”

nology service providers, including

she continues. “We are working together b u s in e s s c hie f. a s ia

287

ACHMEA AUSTRALIA

“ I AM INSPIRED BY THE POSITIVE MINDSET OF OUR PEOPLE AND HOW WE ARE WORKING TOGETHER WITH OUR PARTNERS TO ACTIVELY THINK OUTSIDE THE BOX TO DELIVER ON OUR PURPOSE” — Emma Thomas, CEO, Achmea Australia

288

AUGUST 2020

in challenging times, and by adapting and embracing digital opportunities, I am confident we will emerge from the COVID-19 pandemic stronger than ever.”

Emma believes that Achmea Australia is not just an insurer, but also a disrupter that delivers a farm insurance product to meet the evolving needs of Australian agribusinesses. “Instead of only providing an insurance solution, our focus on both digital optimisation and on-farm service has enabled us to service our clients, both now and into the future. Through our direct approach, we discuss with our clients how they can proactively prevent the types of losses we have seen in our 200 years of international experience and local rural knowledge, and what impacts to consider should they need to rebuild after a loss,” she says. “We talk to our clients about what risks they can prevent without insurance, and then for the remaining risks, our clients have the ability to tailor our cover so they can insure what they want and how they want it. Through our direct distribution model, we can meet faceto-face with our clients to discuss the b u s in e s s c hie f. a s ia

289

ACHMEA AUSTRALIA

290

needs and requirements unique to

help our clients to limit climate-related

their farm.”

damage on the one hand (adaptation)

Emma believes Achmea Australia’s

and on the other support them in

proactive and innovative approach

reducing their carbon footprint (miti-

gives the insurer an edge over com-

gation). We must work together on

petitors in the industry. “We are

a healthier, safer and more future-

continually looking for ways we can

proof society. At Achmea Australia,

stay ahead of the market. We research

we do this in a committed, customer-

methodologies and invest in tools and

driven and results-oriented way and

expertise so we can help our clients

it doesn’t get much more important

by providing insight and solutions,”

than our core company values. One

explains Emma. “As an insurer, we

of these is “we aim for solutions” which

are looking at offering services that

is all about innovation and looking

AUGUST 2020

291

“ OUR DIGITAL TRANSFORMATION HAS MEANT GREATER EFFICIENCY FOR OUR PEOPLE AND BETTER SERVICE OUTCOMES FOR OUR CLIENTS” — Emma Thomas, CEO, Achmea Australia

outside the box for a solution that is a win-win for both our clients and the Achmea Group.”

Sharing information and ideas, particularly during these difficult economic times, can help to transform businesses, elevate performance and deliver value according to Emma. Achmea Australia values its partnerships and affirms that in collaboration with its partners, the insurer is continuously seeking innovative solutions that strengthen its business proposition as much as b u s in e s s c hie f. a s ia

ACHMEA AUSTRALIA

292

possible. “To meet today’s global chal-

From August 2019 to January 2020,

lenges, partnerships are more important

Australia experienced an unprec-

than ever. Integrated offerings are

edented bushfire emergency which

gaining in popularity through the effec-

burned more than 18 million hectares

tive use of data,” she explains. “How

of land and destroyed thousands of

we remain relevant as a partner to our

homes and businesses. Tragically,

clients, true to our purpose whilst agile

34 people lost their lives and up to

in solving the new problems that our cli-

one billion native animals were lost.

ents face, will ensure Achmea Australia

Achmea Australia’s people witnessed

continues to strive as a business.

first-hand the devastation caused

We cherish our cooperative principles

in communities across the coun-

that we can achieve more by working

try. “The destruction caused by the

together for a sustainable future.”

catastrophic bushfires has served to

AUGUST 2020

“ WE UNDERSTAND THE POWER OF TECHNOLOGY TO REACH NEW HEIGHTS, WITHOUT COMPROMISING ON THE VALUE OF FACE-TO-FACE SERVICE TO KEEP FARMERS FARMING” — Emma Thomas, CEO, Achmea Australia

With the future in mind, Emma has a clear idea of how her organisation can continue to grow over the next few years and help agribusinesses do what

remind us of the essential nature of

they do best. “The digitalisation of

food security, reinforcing the value of

agriculture is seen as the next (fourth)

the agriculture sector and the impor-

agricultural revolution, it is trust, trans-

tance of insurance for continuity of

parency and relevance that will keep

supply,” explains Emma. “Our insur-

farmers farming,” she says. “Through

ance platform enables our people to

this revolution, we will continue to

focus on what we do best: stand shoul-

walk side-by-side with our clients and

der-to-shoulder with our clients to

communities, using our international

rebuild livelihoods and get farms back

expertise and local knowledge to aim

up and running again when something

for solutions to emerging problems.

unexpected happens.

I am passionate about accelerating

“It is being recognised that Achmea Australia’s focus on both digital opti-

our sustainable business growth as a direct insurer.”

misation and on-farm service is truly something special. We understand the power of technology to reach new heights, which has allowed us to respond to the challenges arising from COVID-19, without compromising on the value of face-to-face service to keep farmers farming.” b u s in e s s c hie f. a s ia

293

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