EDITORIAL
03 3
UNMASKING THE FUTURE
PUBLISHED BY Business Media International REGISTERED OFFICE: Office 10, Sharjah Media City www.bmi-digital.com EDITOR IN CHIEF Raman Narayan narayan@bmimea.com Mob: 971-55-7802403 SALES DIRECTOR Ankit Shukla ankit@bmimea.com Tel: 971-4-2618885, Mob: 971-55-2572807
The good news is that Businesses are getting back on their feet and are coping with the new normal. It has been a tough period over the past 3-4 months but possibly the worst is behind us. It is likely Businesses will make some progress in the short term future but many companies may have significant challenges to surmount, most significantly a likely scarcity of working capital as revenues dry up with no significant business having been completed during the absolute lockdowns. Of course, there were some verticals including the essential supplies sector that were able to transact some business and perhaps may be in a better position than those who had no way to operate their business. While it was difficult in general for brick and mortar stores to operate until the economy opened up, the online storefronts came to the rescue and offset some of the lost revenues from the physical stores. The issue’s cover story elaborates how e-commerce has possibly become a defining trend of these times and more Businesses are discovering that a good e-commerce storefront is no longer an initiative to be deferred. Where do we go from here? Not to harp on what has already become a cliché, but indeed we need to use the ‘new normal’ as a transitory period for our individual lives, for the community and the Businesses. Logically, a vaccine is the only solution to this contagious pandemic that refuses to fade away on its own and that is still at least a few months away from finalization, production and most importantly availability to all. I see this ‘new normal’ only as a transitory period because in the next 6-8 months, we would have surely dealt with its threat. Thankfully, we could possibly then be back to a mask-less existence, albeit this pandemic will leave behind in us all, an alertness to all such possible threats in future.
DESIGN Sunil Kumar design@bmimea.com
R. Narayan Editor in Chief, Smart SMB
Management Chairman S.N. Tiwari
CEO Saumyadeep Halder
Publisher Raman Narayan
Managing Director Ankit Shukla
sn.tiwari@bmimea.com
narayan@bmimea.com
saumyadeep@bmimea.com
ankit@bmimea.com
Disclaimer: While every effort has been made to validate the accuracy of all information included in the magazine, the publishers wouldn’t be liable for any errors therein Copyright@2019 Business Media International LLC. All rights reserved.
July 2020 / SMARTSMB
04 4
CONTENTS
CONTENTS Cover Feature
THE DIGITAL ROUTE TO RECOVERY - PG 22 TAKING STOCK - PG 24
INDUSTRIY INSIGHTS FINANCE - PG 26 STEPS FOR FINANCIAL INCLUSION E-COMMERCE ACCELERATES – PG 14
Online shopping has seen a significant traction during the pandemic lockdown period and this is likely to be a sustainable shift
IN FOCUS ALLEGION MIDDLE EAST INTRODUCES TOUCHLESS ACCESS SOLUTIONS – PG 11 THE GROWING TRUST IN DIGITAL PAYMENTS - PG 12
ECOMMERCE - PG 28 ADAPTING TO THE DIGITAL WORLD SUPPLY CHAIN - PG 29 PROTECTING SUPPLY CHAINS DURING THE PANDEMIC SALES - PG 30 PRODUCT KNOWLEDGE IS POWER
TALKPOINT ACCELERATING BUSINESS ONLINE - PG 18 RESILIENT AND GROWING - PG 20 STRATEGY - PG 32 THE LONG HAUL AHEAD TO RECOVERY CLOUD - PG 34 SIX REASONS WHY COVID-19 WILL ACCELERATE THE RUSH TO CLOUD SMARTSMB / July 2020
06 6
NEWS
FINESSE LAUNCHES RPA CENTRE OF EXCELLENCE WITH AUTOMATION ANYWHERE The centre will provide technical guidance, testing, development of software bots, and complimentary RPA training and support. Organizations have been investing in driving effective Digital transformation across various operating modules. Achieving efficiency across verticals by reducing operational cost determines the success of a fully digital environment. Intelligent Automation serves as a critical technology that helps in augmenting the workforce potential by powering every interaction across the front and back-office operations.
Finesse, a trusted global system integrator, is pleased to announce the launch of Robotic Process Automation (RPA) Center of Excellence (CoE) with Automation Anywhere, a global leader in RPA to further develop Intelligent Automation capabilities in the region. The Center of Excellence will deepen the existing collaboration with Automation Anywhere and provide technical guidance, testing, development of software bots, and complimentary RPA training and support. "Finesse's insightful understanding of regional market needs puts them in a great position to deploy Automation to meet business objectives. We're excited to see the impact of this CoE as we bring the full potential of RPA, cognitive RPA, and human-bot collaboration to the region." Said Milan Sheth, EVP-IMEA, Automation Anywhere. SMARTSMB / July 2020
"Finesse has been in this market for a decade and duly understands the requirements of the clients and demands of the market. We are delighted to expand our Robotic Process Automation portfolio with Automation Anywhere. The delivery center will provide end-to-end RPA solutions to Finesse clients in the region across multiple sectors and industries. This includes RPA awareness workshops, process discovery, implementation, and support." said Eljo JP, Chief Business Officer, Finesse. "Our vision for the Centre of Excellence is to extend and expand our skills in RPA and to combine them rapidly along with AI & IoT solutions. I am confident that it will allow us to deepen our understanding of the technology and strengthen our relationship with our clients", said Bobby Thomas, Delivery Head – Emerging Technologies, Finesse. Automation Anywhere and Finesse offers diligently orchestrated Intelligent Automation solutions to transform businesses, thus ensuring the best outcomes for clients, workforce, and the organization.
AstraZeneca establishes new Health Innovation Hub in the GCC New partnership with UK start-up Gendius aims to bring a digital healthcare solution to help manage diabetic patient care in the GCC AstraZeneca has launched its GCC Health Innovation Hub, a culmination of digital innovation efforts by the Company to make diagnosis and treatment easier for diabetic patients, in conjunction with UK medtech start-up Gendius, which specialises in remote disease management. As a result of this partnership, HealthGATE – an artificial intelligence (AI)-powered platform and app to support diabetic patient care in the GCC
NEWS
– will be launched later this year. The HealthGATE app will work as a gateway between healthcare professionals and patients, enabling collaboration for personalised care and the use of AI for better disease management. With Intellin, Gendius’ application service, HealthGATE will use AI to actively monitor patients’ diabetes management and uses their clinical history to highlight their risk for developing diabetes-related complications, such as cardiovascular disease, kidney disease, amputation and blindness. Its algorithms analyse users’ health and wellbeing data to provide individually tailored, clinically validated educational content and guidance, to help people with diabetes manage their condition more effectively. HealthGATE builds on the success of AstraZeneca EduGATE; launched in Saudi Arabia in March 2019, this platform proved to be an instant success with HCPs, with more than 9,500 medical professionals registering within the first few months. EduGATE provides an accessible service to share patient materials, medical guidelines, live streaming events, online accreditations and more, creating an education and enrichment experience for physicians across the country. EduGATE is now expanding to the wider GCC region. Pelin Incesu, Area Vice President, Middle East and Africa at AstraZeneca, said: “To accompany the implementation of HealthGATE, we’ll be expanding the EduGATE programme across all GCC countries by the second half of the year, establishing an innovative and sustainable model for enriching the region’s medical community – a crucial component of our strategy for establishing long-term partnerships. This is an exciting and essential next step that will allow the platform to develop further into a comprehensive healthcare ecosystem.” The partnership between AstraZeneca and Gendius in the GCC is part of AstraZeneca’s broader initiative to create integrated science ecosystems through local bio-hubs across the world.
07 7
CITRIX ANNOUNCES BACK-TOOFFICE SOLUTION Citrix Workspace will help companies provide a consistent work experience while addressing safety and health in the office environment As governments around the world ease their lockdowns, businesses must decide how, when and if to return their employees to offices. And Citrix Systems a global digital workspace leader, is leveraging its decades of experience in delivering flexible work solutions to help organizations of all sizes across industries do it. The company today announced the availability of a new back-to-office solution built on Citrix Workspace that its customers and partners can use to safely transition employees back to offices, enhance their experience and wellbeing and enable them to efficiently adapt to the new world of work. “Most companies are realizing that back to the office will not mean back to normal,” said Tim Minahan, Executive Vice President, Business Strategy, Citrix. “Citrix has been powering flexible and secure work models for more than 400,000 global organizations within our digital workspace for more than three decades, and we are uniquely positioned to help them adapt and get back to business while putting the safety and wellbeing of their employees first.” Historically, the office was the place where collaboration and innovation happened. Outside meeting spaces, colleagues held casual conversations in hallways, cafeterias and gyms. But protocols designed to slow the spread of the coronavirus have changed this. Physical office spaces must now be configured to allow for social distancing. Employee schedules have to be revised to reduce the number of people in buildings at one time. Employees are required to be screened before they enter the premises. And visitors may not be allowed.
With Citrix Workspace, companies can provide a consistent work experience that allows employees to perform at their best while addressing safety and health in the office environment. Leveraging new back-to-office microapp capabilities within the workspace, organizations can manage vital tasks associated with re-opening offices across HR, legal, facilities and IT. This could include tasks such as conducting employee readiness surveys, identifying and managing the moments that matter most to employees upon returning to the workplace, such as where they will sit or how team and customer meetings will be handled, executing safety protocols etc. Performing health screenings and self-certifications, managing occupancy to ensure social distancing, location mapping and contact tracing and designing communications strategies can also be taken care of. July 2020 / SMARTSMB
08 8
NEWS
D-Link Middle East gears up to meet COVID-19 lockdown demands Over the recent months, the networking leader has introduced several products such as Nuclias Connect and Nuclias Cloud Remote Network Management Solutions portfolio ing strict precautionary measures right at the beginning. And as expected, the country has had one of the fastest recoveries, which is significant in helping to reopen businesses safely. We have to follow the rigorous regulations in place and embrace the new normal as we go back to offices. All our employees and partners know that safety comes above everything else at D-Link,” said Sakkeer Hussain, Director, Sales and Marketing, D-Link Middle East.
Sakkeer Hussain
Director, Sales and Marketing, D-Link Middle East
As the COVID-19 lockdown restrictions are being eased across the globe and in the UAE, D-Link has an upbeat outlook for the second half of the year, a proof of its resilience in the face of market challenges. The COVID-19 pandemic has brought on unprecedented challenges such as border lockdowns, which have resulted in shipping delays and supply chain issues. However, by imposing detailed and robust business continuity plans, D-Link was able to absorb all impacts and maintain business resilience. “The UAE government has been ahead of the global market curve in terms of controlling the situation by implementSMARTSMB / July 2020
Over the recent months, the networking leader has introduced several products such as Nuclias Connect and Nuclias Cloud Remote Network Management Solutions portfolio and DWR-925W 4G LTE M2M Router. These launches have been well-received by the market, especially at a time when remote working solutions were critical for organizations. D-Link has also seen a surge in demand from regional telcos as they help ensure continuous connectivity by increasing network bandwidths and offering other benefits. “D-Link is committed to serving our customers’ imminent demands effectively and efficiently now more than ever. We are proud of our staff and our extensive partner base who rose to the occasion to help make customers’ buying journey as smooth as possible even during this time. We are realigning our business strategies to reflect market priorities of today,” Hussain added. “We look forward to commencing our business full-fledged and working hand in hand with our partners to deliver supreme products and solutions to our esteemed customers.”
Microsoft announces ‘Tomoh’ initiative Tomoh’ mission is to “Accelerate Emirati employability through direct hiring, internship, on the job trainings & digital skilling programs” Under the patronage, and in presence of His Excellency Nasser bin Thani Al Hamli, Minister of Human Resources & Emiratisation, Microsoft announced the launch of Tomoh – a unique programme designed to empower Emiratis to pursue careers in technology. The virtual launch event was attended by senior officials and executives from both the Ministry and Microsoft, including participants who enrolled in the first batch of the ‘Tomoh’ programme. Coinciding with the event, a MOU was also signed between His Excellency, Ahmad Yousuf Al Nasser, Assistant Undersecretary of the Ministry of Human
NEWS
Resources Development and Sayed Hashish, General Manager, Microsoft UAE to expand collaboration on Emiratisation initiatives and contribute to enhance skillsets and employability amongst local talent of the country. His Excellency Nasser bin Thani Al Hamli, Minister of Human Resources and Emiratisation, praised the Ministry’s partnership with Microsoft and highlighted that ‘Tomoh’ will contribute to the efforts of empowering young citizens in increasing their competitiveness in the technology sector.
09 9
Tradeshift launches new cloud-based supply chain payment system The system helps address the cash flow and liquidity challenge
Tomoh will focus on three core pillars. The first, ‘Learn at Microsoft’ will offer internship and secondment opportunities to UAE nationals and will involve remote learning of globally recognized skills, in-person sessions with mentors and a skilling bootcamp. Trainees will also pursue on-the-job training. The second pillar of Tomoh will focus on ‘Work at Microsoft’ – an opportunity for Emiratis to pursue careers at Microsoft under ‘Microsoft Aspire Experience’ a programme designed for those graduating from an undergraduate, masters, PhD, or a full-time MBA program. The third pillar known as Skill-Up Digitally will enrol students, job seekers and entrepreneurs into a powerful digital skilling program, enabled by the Microsoft Cloud Society, a global initiative that is designed enhance technical skills amongst individuals in emerging technologies.
Tradeshift, al leader in supply chain payments and marketplaces, launched Tradeshift Engage in the Middle East & Africa (MEA) region, bringing to local companies a simple cloud-based solution to fully digitize supply chain invoicing and payment systems to immediately address the cash flow and liquidity challenge businesses are facing in the current COVID-19 economic environment. Companies in the MEA region have been slow to digitize core business infrastructure, an issue that exposed suppliers still relying on paper-based invoicing systems to significant challenges. Coupled with the recent trend of buyers delaying payments to as much as 180 days to protect working capital, this has resulted in a serious logjam for companies to receive much needed payments. The Silicon Valley-based Tradeshift, which recently launched its MEA headquarters in Dubai, enables enterprise companies that want to fully digitize their supply chain relationships to do
it with speed and efficiency. Tradeshift Engage allows buyers to bring to their suppliers a value proposition that offers immediate and tangible benefits without any of the heavy lifting associated with traditional onboarding initiatives. The system enables the buyer and supplier to track invoices in real time, with an option for a flexible payment system that allows the supplier to receive payment direct from Tradeshift, preserving working capital for both the buyer and supplier. Delivered to sellers as a cloud and mobile responsive solution, which takes just a few minutes to activate, Engage offers sellers data-driven insights based on their relationship with the buyer by providing real-time visibility into transactions and the ability to finance payables on-the-go. The Tradeshift Engage app provides sellers with a full set of eInvoicing, ordering and fulfilment tools, such as digital Invoice and Credit Note creation, responding to POs and PO changes, sending shipping notices and being informed of receipt status. July 2020 / SMARTSMB
10
NEWS
VAD TECHNOLOGIES SIGNS DISTRIBUTION AGREEMENT WITH MARCH NETWORKS VAD Technologies announced a new distribution agreement with March Networks, a global leader in video security and video-based business intelligence. The agreement will deliver advanced video surveillance technologies to customers across Middle East.
central location.
March Networks’ video solutions are used by the world’s largest financial institutions, retail brands, transit authorities and commercial facilities to improve efficiency and compliance, reduce losses and risk, enhance customer service and compete more successfully. Its secure, IT-friendly product portfolio includes:
• The industry’s most reliable network video recorders (NVRs) – secure, purpose-built devices available in hybrid, tribrid and all-IP platforms.
• Command, powerful video management software enabling organizations to easily manage and maintain hundreds – or thousands – of surveillance cameras and video recorders from a
• Searchlight, intelligent application software for banks and retailers integrating video, data and analytics for advanced loss prevention and business intelligence reporting.
• High-quality IP cameras, including dome, PTZ, bullet, ATM and 360° cameras and new AI-powered devices. Trevor Sinden, March Networks’ Director of Sales for the Middle East & Africa said, “March Networks is dedicated to helping our customers protect and secure their assets while also leveraging video for usable business intelligence.
Trevor Sinden
March Networks’ Director of Sales, Middle East & Africa
Video, when integrated with transaction data, analytics and IoT devices, lets customers see what’s happening across their organization, and make informed decisions that can improve performance and profitability. We are very pleased to partner with VAD Technologies to make our intelligent solutions more widely available in the Middle East.”
WESTCON & CYBEREASON ANNOUNCE MIDDLE EAST DISTRIBUTION PARTNERSHIP Westcon announced has signed a Middle East distribution agreement with Cybereason, a leader in endpoint protection, to market, distribute, and service Cybereason products and solutions in the Middle East region. The Cybereason Defense Platform is used by more than 600 of the world’s largest and best-known enterprises. The platform provides complete endpoint protection against today’s most advanced threats. Cybereason excels at helping enterprises around the globe future-proof their businesses from sophisticated cyberthreats and automates the work previously done by security analysts. The company also recently launched Cybereason Mobile, a new cloud-based offering designed to help enterprises prevent, detect and respond to both mobile device and traditional endpoint risks. SMARTSMB / July 2020
said Steve Lockie, Managing Director, Westcon-Comstor ME. “There is a huge opportunity and demand in the channel for enterprise class endpoint detection and response (EDR) solutions and Cybereason addresses this perfectly."
Steve Lockie
Managing Director, Westcon-Comstor ME
"Cybereason is the leader in endpoint protection. This great addition to our vendor portfolio further cements our ability to provide best-in-class security solutions to the channel,”
“We believe our Cyber Defense Platform provides regional CISOs a unique value proposition to strengthen their endpoint security defenses,” said Tarek Kuzbari, regional director – Middle East & Turkey, Cybereason. “I am thrilled to sign a distribution agreement with Westcon-Comstor ME. Their strong brand recognition, established presence and relationships with regional customers and partners, technical specialization and consultative approach to addressing customers’ security challenges, make them an ideal partner.”
IN FOCUS
11
ALLEGION MIDDLE EAST INTRODUCES TOUCHLESS ACCESS SOLUTIONS Allegion touchless access solutions can be customized based on business requirements and are designed to help enterprises keep their facilities safe and secure with contactless options Allegion Middle East a pioneer in seamless access and provider of safety and security products, unveiled its comprehensive portfolio of smart, secure, touchless access solutions with the focus on multifamily properties, healthcare facilities, commercial offices and education campuses. Allegion is providing that portfolio to businesses in the UAE and across the Middle East, actively addressing the unique and growing needs of the safety and security sector there. With the COVID-19 pandemic, organizations are facing new challenges that centre around how to open-up to the public or to keep operations running while maintaining a safe environment for both employees and customers. In doing so, one concern that needs addressed is contact transmission: some studies have found that the COVID-19 virus can survive on certain surfaces for days unless properly disinfected. As a result, lessening the amount of contact people have with commonly touched surfaces is one measure facilities managers can consider in seeking to provide safer, cleaner environments. “Offering safe and clean environments is clearly top of mind for many – and for good reason. Adapting new technology and changing the way we access buildings or rooms is one opportunity to make a difference. Going wireless is already a popular trend, and when combined with automation of a door or opening, it can help reduce the chance of transmitting viruses and bacteria through hand-to-door contact. With increasing demand for social distancing and safe infrastructure in place, businesses are redesigning their spaces, adapting them to the ‘new normal.’ Touchless door solutions can provide seamless access that’s aligned with those new requirements and provide quality experience,” commented Jeff Bennett, commercial director for MEA at Allegion. Allegion’s touchless access solutions portfolio redefines access control amid the challenges exposed by the pandemic. The comprehensive portfolio is the next wave in Allegion's mission to serve the industry with secure, smart, touchless access control solutions, helping keep people safe where they live, work and thrive. The UAE is among nations adopting the most demanding social distancing standard of two metres, double the standard recommended by the World Health Organisation. A recent study indicates that one of the best defences of healthcare workers is through barrier protection from surfaces that become contaminated (Journal of the American Medical Association, March 2020).
Jeff Bennett
Commercial Director, MEA Allegion
Allegion touchless access solutions can be customized based on business requirements and are designed to help enterprises keep their facilities safe and secure with contactless options by automating openings. The portfolio includes: - Mobile Enabled Readers – these solutions are designed to provide a contactless credential that requires a user to simply present the card near it. Automatic Operators – these solutions are designed for applications where most pedestrians operate the door electronically utilizing a motor gearbox and control box to perform the opening and closing functions. - Actuators – these solutions provide a signal that activates the automatic operator to open the door, including “wave to open,” motion detection or contactless readers. - Safety Sensors – these solutions issued in conjunction with an actuator to prevent the door from closing whilst you are passing or in the path of the closing door, ensuring your safe path through the opening. July 2020 / SMARTSMB
12
IN FOCUS MANUFACTURING
THE GROWING TRUST IN DIGITAL PAYMENTS UAE consumers go cashless as trust in digital payments surges The new normal? These shifts in consumer behavior caused by the pandemic are expected to be the “new normal” as more consumers gain confidence in digital payments. Forty-three percent of consumers surveyed believe they will continue to use contactless payments more in-store post the pandemic and 48% said they will continue to opt more for paying online with card or digital wallet over COD.
Neil Fernandes
Head of Risk, MEA, Visa
D
ubai Police, Dubai Economy (DED), and the world’s leader in digital payments, Visa released findings of a survey on the impact of COVID-19 pandemic on payment behavior of consumers in the UAE. The survey also looks at consumers’ general views, preferences and concerns related to digital payments and offers key insights for merchants. The survey release corresponds with the launch of Visa’s fifth annual “Stay Secure” – this year in partnership with both Dubai Police and DED - social media campaign on Facebook (@VisaMiddleEast @DubaiPolice) and Instagram (@VisaMiddleEast, @DubaiPolice @DubaiDED) to promote safe digital payment practices. This year’s campaign comes at a time when more consumers in the UAE have increased their use of digital payments, and many opting to shop online for the first time to get what they need during this health crisis. The Stay Secure web-
SMARTSMB / July 2020
page has tips and educational videos, and information on security features of digital payments.
COVID-19: Impact on consumer shopping and payment behavior Sixty-eight percent of respondents surveyed in the UAE have reduced shopping in-store since the outbreak of the pandemic and 49% are shopping online more. When they do shop at stores, 71% are using digital payments over cash with the majority using contactless cards (54%) and mobile wallets (46%) more. For respondents shopping more online, the majority (61%) use cards or digital wallets more to pay online over COD. Increased trust in the security of the payment technology, speed, convenience and limited human contact, were the top reasons cited for their increased preference for digital payments.
Brigadier Jamal Salem Al Jalaf, Director of Criminal Investigation Department in Dubai Police, said: “Combatting cybercrime by raising awareness and vigilance among UAE residents is a unified goal across all our government entities. Fraudsters are seeking to take advantage of people spending more time online, preying on their fears and anxieties, and exploiting new systems of remote working. Government authorities, private sector, and the local community all have an important part to play to ensure we are all protected. Dubai Police is very pleased to partner with Visa and Dubai Economy on this Stay Secure initiative, which not only helps amplify our efforts towards reducing fraud and cybercrime in the UAE but also echoes our recent National Fraud Awareness campaign to address this threat.” Ahmad Al Zaabi, Director of Consumer Protection in the Commercial Compliance & Consumer Protection (CCCP) sector, Dubai Economy, said: “The study shows that consumer behavior changes due to the pandemic – such as shifting online and increasing use of digital payments, are likely to continue even after the pandemic – an important take-away for businesses developing strategies for the postCOVID-19 consumer and market over-
IN FOCUS
all. Dubai Economy has been promoting online shopping and contactless payments not only to ensure safe shopping during the COVID-19 crisis but also as part of our larger goal of accelerating the digital transformation of economic activity, particularly retailing, in Dubai. With malls and commercial outlets already reopened in Dubai contactless payment promises to add to the safety, convenience and overall consumer experience of shopping in the city. We are pleased to partner with Visa and Dubai Police on the ’Stay Secure’ campaign - a much needed and timely initiative - to help consumers protect themselves and offer merchants important insights for navigating the new normal of cashless commerce, which is a significant step forward in accelerating the course of UAE’s digital future.”
Data privacy, biometrics and mobile wallets: general attitudes and concerns Up to 53% of respondents were comfortable sharing personal data with banks, telecom operators, and government owned entities. Name, demographic data and contact information were cited as data that needs to be protected the most. Sixty-three percent find biometrics secure and for 55% biometrics is convenient to use. Sixty percent trust paying with mobile wallets such as Apple Pay and Samsung Pay. These wallets use Visa’s tokenization technology, which replaces sensitive card data, including the 16-digit card number, with a random number, also known as a “token”, to protect cardholders’ account information when paying in store or online.
ment behavior is critical not only for the moment but as we move forward and adapt to the new normal. We are delighted to partner with Dubai Police and Dubai Economy to continue our mission of empowering consumers to continue using digital payments and online channels with full confidence.”
Gen Z vs the rest Interestingly, the findings also revealed significant differences in the behaviors of Gen Z (18-22 years) compared to the general population. For example, less than half (49%) of Gen Z respondents find biometrics secure compared to 70% of the rest. With regards to tokenization technology, less than half of Gen Z consumers (48%) believe it improves mobile wallet security compared to 61% of non-Gen Z consumers. With Gen Z entering the job market and their purchasing power expected to increase in the future, insights into their views and behavior are useful for businesses looking to cultivate long-term relationships with them.
Enhancing online UX and reducing cart abandonment: key insights for merchants More than half (58%) of UAE consumers surveyed have abandoned their online shopping cart because of authentication delays or failure.
13
Of those who abandoned their carts, 62% try again after some time, 35% purchased from other sites, 34% purchased from a nearby store, and 32% dropped the idea of purchasing the product altogether. For 66% of respondents, an authentication process that doesn’t require them to enter one-time-passcode (OTP) for standard and recurrent transactions would be more convenient; 65% would trust a more seamless process. Merchants seeking to deliver an enhanced online experience for customers can now adopt Visa Secure (previously known as Verified by Visa), an updated program to help make online payments more secure and seamless. It uses the latest EMV 3-D Secure (3DS) specification, which leverages fraud-detection intelligence working behind the scenes to verify cardholder identity and block unauthorized transactions. The survey provides further insights on how merchants can build trust in eCommerce sites. The following emerged as the top “confidence builders” by consumers surveyed: offering a wide range of payment options (51%); displaying verified customer reviews (50%); offering payment options in local currency (45%); trust badges/security icons (42%); ease of refunds (42%); and SSL certificate (40%).
Neil Fernandes, Visa’s Head of Risk for Middle East and North Africa, commented: “The pandemic has changed how consumers shop and pay with increased reliance on and preference for digital commerce. With increased usage both among experienced and first-time users, cybercriminals too are keen to capitalize on the increased activity and vulnerability, especially of first-time online shoppers. That is why educating consumers about safe payJuly 2020 / SMARTSMB
14
COVER FEATURE
E-commerce Accelerates Online shopping has seen a significant traction during the pandemic lockdown period and this is likely to be a sustainable shift
— By R. Narayan
U
ndoubtedly, the past few months have been amongst the most challenging in recent decades. The super contagious Covid-19 pandemic has most countries reeling under a growing number of infections and their economies hurting with lockdowns enforced to keep the pandemic in check.
fortable with the convenience of digital banking as well.
Even as countries battle hard against covid-19, one of the unintended beneficiaries of the pandemic has been the traction seen in e-commerce and consumers take to online shopping in a much bigger way. In the early community lockdown periods, when most offices and public places were shut and people were mostly in work from home mode, the spike in online shopping was sharp.
While e-commerce was definitely growing in the past several years, it may have turned a significant corner in 2020 and has become a compulsive feature of our lives. As offices reopen and life gets backs to a new kind of normal, and even in the likelihood of a vaccine giving us immunity against corona, this transition of shopping in a larger way towards online is likely to sustain. In terms of categories like retail and especially groceries, a good number of shopper may still get back to shopping themselves at the hypermarkets. But even those compulsive shoppers at the brick and mortar stores, will most likely do online shopping more frequently than they have ever done.
From groceries to electronics, medical supplies to miscellaneous, there has been a sea change in the way people just go online and shop for what they want. Most people are now com-
Khalil Alami – CEO at the Dubai-based payment gateway firm Telr agrees with the view that there has been a marked increase in digital transactions across the region over the past
SMARTSMB / July 2020
COVER FEATURE
15
adigm-shift factor, and this pandemic is no different, all sectors were affected and are now required to adapt a new business model regardless if the effect was positive or negative. The COVID-19 pandemic period has echoed the importance of Payment Gateways and eCommerce platforms and revealed how they are the backbone of any economy.” He adds, “Due to the lock-downs and restricted curfews implemented in the region, customer behavior has witnessed a significant shift towards eCommerce, due to the fact that eCommerce became considered as the main source of day to day essential needs. This played a key role in the growth of the digital payments and the eCommerce industry and has given a big push ahead towards a cashless economy one which would have taken years to accomplish without the COVID-19 pandemic.” Shubojit agrees that the pandemic has unwittingly played the role of a key driving force in accelerating online shopping.
Khalil Alami CEO, Telr
2-3 months. He says, “The last three months were unprecedented and a huge increase in day to day transactions has been observed on our dashboards, as a many people moved to cashless and contactless transactions for delivery during various lockdown periods across the region as well as a good number of businesses have shifted their business into eCommerce. We can say that the pandemic was a stimulant towards digitizing all business types and customers behaviors.” Acceleration of online commerce during these challenging times has been indeed one of the few bright spots. Shubhojit Mahalanobis, General Manager of Danube Home says, “Off course, there has been a significant surge in digital transactions because of the lockdown imposed across the world. People are forced to spend lot of time, sitting idle at their homes. Since, there is less socializing nowadays, people are finding mobile phones to serve as a channel for them to socialize, which in turn has made them realize the virtues of digital convenience rather than experience. So, this is what has incentivized people to resort to online shopping more than they would back in the day, making people prefer convenience over experience.” Boosting commerce infrastructure helps open an additional window to more sale opportunities for Businesses, catering to buyers who are comfortable with shopping online. For companies that have not yet created an online store, it is high time to do so. Khalil says “Historically, pandemics and crisis are considered as authors of a new era of business and a major par-
He adds, “As the saying goes that “necessity is the mother of invention”. So, the need of online commerce was made all the more intense with the onset of this pandemic. Because, when people required shopping for the essential items that were needed by them during the time they were homebound, shopping online became the best way of getting them. The pandemic has played an important role in accelerating the organic growth of online commerce, giving it that share of the market which would have taken it another couple of years otherwise.” On the contrary, during the lockdown periods, online food deliveries saw a temporary decline while e-commerce in general was seeing a spike. However, Talabat was able to offset that partially with a rising volume of online groceries being ordered. Muhammed Yildirim, Managing Director at Talabat says, “We have not seen an upsurge in demand for delivery or— Byquite Diksha Vohra With ders during COVID-19, it was in fact the opposite. changing consumer habits going from ordering lunch at their workplace to home-cooking, the food delivery business in general, along with talabat, was not thriving during the pandemic. With the rise in home-cooking, due to people having a lot more time during lockdown to cook, there was a drop in the food deliveries that was partly counteracted by the rise in grocery deliveries.” With the introduction of its new q-commerce (Quick Commerce) 24/7 grocery delivery service - talabat mart – Talabat was able to safely provide its users with their groceries within 30 minutes or less and were able to meet this growing customer demand. Now the volume of food deliveries is picking up again. Muhammed adds, “Now, with very strict safety measures, which we led the market with, our customers’ trust in food delivery and our order levels have returned to Pre-COVID levels. With consumer confidence continuing to increase, we believe that there has been a significant shift in the consumer psyche, and reliance on all online services will continue to increase, which includes the delivery business.” July 2020 / SMARTSMB
16
COVER FEATURE
industry, home sector, health sector etc.” For Danube, it was time to ramp up on the digital front as the brick and mortar business took a dip during the lockdown period like it was typically for Businesses across all sectors. And that is what the company did by enhancing its digital store. Shubojit says, “Our brick and mortar stores have been operational, although there have been some grim days during this pandemic like every other business out there. That loss was compensated for, by us making our online operations more robust. Convenience, reasonable price of products and delivery and enhanced online experience has been a driving force for people to be attracted to our platform. So, we have really worked on these attributes for our online businesses.”
Shubhojit Mahalanobis
General Manager, Danube Home
The upsurge is being reflected across verticals as consumers were initially compelled in part because of lockdown, especially those who may not have been used to online shopping earlier other than as rare exceptions. And thereon, they may have also gained confidence and trust as well as come to relish the convenience of digital transactions. Verticals connected with travel and hospitality saw decline in their business even as several verticals saw a big jump in their online sales. Khalil says, “The impact of the pandemic is felt across all industries due to the changing customer needs and behaviors. We at Telr, have a diversified portfolio of merchants and we serve various merchants across industries. From our perspective, most of the online pharmacies, online groceries, food deliveries have flourished during this crisis, but that is expected and a natural result of the pandemic. On the other hand, sectors such airlines, online ticketing, hotels, and tourism in general have faced a significant decline in the number of their transactions coupled with large refunds. However, we have witnessed great traction in coffee machine sales, home fitness equipment sales and rentals, and pet shop sales as well.” Companies across verticals that have digitalized their operations and did have a webstore definitely were in the pole position to take advantage of the shift. Shubojit says, “Every sector which has had the vision of digitalizing its operations has been having greater traction during this period. Therefore, e-commerce has experienced meteoric growth, mostly for brands related to consumer goods viz. food SMARTSMB / July 2020
He adds, “We have enhanced the online stores technology wise by focusing on delivering more convenience, efficiency and pro-activeness to reach to our customer’s needs before it is raised to us through their feedback. A retention team has been set up as well to figure out and resolve the problems of the customer to keep a track of what is being posted online by them by way of reviews and feedback. So, these are the things that are really helping us provide the cutting-edge online experience to our clientele.” During lockdows, Talabat among others of its kind started making contactless deliveries, ensuring compliance with safety guidelines. Muhammed says, “In most markets, COVID-19 accelerated the growth of online retail and delivery businesses exponentially. As COVID hit, consumers were forced into curfews, and they needed to rely on online deliveries. With safety as the top priority - many companies, including talabat, pushed for contactless delivery, as the safest option for both delivery riders and customers. This meant that customers were encouraged to use digital transactions, rather than cash, as the safest form of purchasing online.”
Addressing concerns
Enhancing the shopping experience either through the apps or through websites is key to brinigng in more online shoppers, from easy to order options right to the checkout transaction. Muhammed says “By ensuring that customers are offered differentiated payment options, along with assuring that online and contactless payments are safe and enhances their positive customer experience, the confidence towards online transactions will continue to grow. For instance, at talabat, we offer a seamless checkout process and a variety of payment options - and we’ve seen a 25% increase in online payments since the outbreak.” Telr has enhanced its technology and expanded its reach over the recent past in the region in terms of number of clients using its payment gateway. Khalil says, “In context to the customers rapidly changing
COVER FEATURE
17
needs, behaviors and new market circumstances, Telr’s Team of developers are working round the o’clock to create and provide the latest technology and security tools to the regional market while expanding our services to new regions and countries. We have enabled businesses that have no website presence or mobile applications available to still survive the pandemic economical strain and transact with their customers using our digital payments tools.” Telr has been engaging with Businesses across the region with the mission to build connections that remove fragmentation in the eCommerce ecosystem, enabling customers to go cashless, while digitizing the way that they accept payments. The focus on the SMEs has been especially quite pronounced as they have the offerings that suit the needs of mid-sized Businesses. Khalil elaborates, “SMEs are considered the largest segment of any economy, most of this segment is shifting towards eCommerce to sustain their businesses. A remarkable growth and volume of transactions was witnessed in the past period, as most SMEs in the region are approaching Telr for our customizable hosted API payment gateways and innovative tools that enables them to sell online including Social media platforms through quick links even without having an ecommerce platform. In short, we really like startups and SMEs, and we design to their needs.” Security is the top aspect of safe shopping. Breach of online shopping platforms are rare unless users make mistakes with phishing links. Even smaller sized retail merchants ensure complete security for their shoppers if they have a robust payment gateways in place. Elaborating on the security details of the Telr platform, Khalil says, “All our customers’ revenues and services are protected with our state of the art and Real-time security and anti-fraud monitoring software, that is 100% built in-house and continuously updated. Moreover, the intelligence built into our anti-fraud algorithm, improves our customer success ratio while supporting all card schemes anti-fraud measures, including CVV2/CSC, AVC and 3D Secure. Telr is the first PCI DSS Level 1 certified company in MENA (payment security standards council). Our role is not only to enable our merchants to transact online, but for them to transact while fully protected and that is the comfort level we bring within our platform.”
Muhammed Yildirim
Managing Director, Talabat
the change and started trusting in cashless and digital payments. On the other hand, Retail and Banking infrastructure will have a huge shift towards digital transformations, generating a healthy competition amongst them that will consequently reflect positively on the consumer. Moreover, all the brick and mortar business and offline businesses, now realize the need to shift and have their eCommerce businesses available for their customers if they want to survive.” There is suffice reason to say that the change is here to stay although there will always be brick and mortar stores doing significant business volumes as well. This will not just be limited to shopping on Amazon.com or the other premier online shopping sites that have always held the edge. It looks like more Businesses in the region will now possibly have the opportunity to create successful growth of sales from their webstore. This could be the trend at least in specific sectors, if not across most.
Is this shift towards the convenience of online shopping here to stay? That is a million-dollar question but there is every reason to believe that indeed ecommerce will see explosive growth this year and perhaps over the next few years, in several product categories. Especially with some good offers, the online storefronts of the brands who have their own physical stores, will possibly see shoppers preferring to shop online. Indeed, there will a shift of the balance with an online presence adding a great value to the brick and mortar business.
Shubojit adds, “The Middle East Online market has matured with this pandemic and the region is among those which are leading the world when it comes to online technology. It is becoming more organized nowadays with the advent of the cut-throat competition that has been triggered by this lockdown. It is definitely the future of everything and is going to stay. But we can’t completely rule out the fact that as the lockdown is being eased, the traction of online shopping being diverted to brick-and- mortar store as well. So, it would be fair to say that the shift is here to stay, but not without the traditional means of business.”
Khalil says, “Consumer mindsets has shifted to digital after experiencing the convenience and secure methods of eCommerce, while Businesses and their customers have adopted
Indeed, with the new normal, a new balance could well be the order of the day in shopping, across the brick and mortar stores and the webstores. July 2020 / SMARTSMB
18
TALKPOINT
ACCELERATING BUSINESS ONLINE Truebell a leading GCC importer of fast-moving consumer goods (FMCG), has expanded of its e-commerce offering and will now sell a range of products on 24 online mainstream and specialised platforms, including Amazon, Noon, Sprii, MumzWorld and FirstCry. Bhushant J. Gandhi, Divisional Manager, Retail & Food Service, Truebell discusses how e-commerce is picking up in the region and how Trubell is responding to that growth
— By R. Narayan
With the growth in demand from consumers for online shopping portals and part of our overall business strategy, we have recently announced the expansion of our e-commerce offering. We now have dedicated online retail access, which is two-fold. Consumers now have access to their favourite brands online, while we are also in a position to support brands who would not necessarily have had the scope or ability to sell their products online. Would you say that the pandemic has been a key driver in addition to whatever was organic growth in online commerce? With the pandemic came restrictions and little outside movement. Therefore, consumers had to adapt to alternative ways of buying and caused an overnight shift in terms of consumer behavior, turning to e-commerce for their essential supplies.
Bhushant J. Gandhi
Divisional Manager, Retail & Food Service, Truebell
As a result of this evolving trend during these challenging months, Truebell has had to be resilient, agile, and adapt to the changes required. We have expanded and now sell a range of products via 24 online mainstream and specialised platforms, with an initial 900 products available and plans to increase this as demand increases.
Elaborate whether there is a marked upsurge in digital transactions across the region over the past 2-3 months?
Which sectors do you see having greater traction during this period. please comment on banking, retail, online pharmacies, fashion, electronics and any others.
According to the latest data from the National Economic Register, the UAE’s e-commerce sector issued 196 licenses in May – the highest number allocated to any sector in the country. The same report also revealed a 300% growth in demand for e-commerce services in the UAE in the first five months of 2020.
From what we observed, sectors that experienced a surge in demand and significant activity online were FMCG and retail, with people prioritising basic everyday needs. In terms of emerging trends in these sectors, Truebell has experienced an increase in the popularity of long-shelf-life food
SMARTSMB / July 2020
TALKPOINT
products and baking ingredients, as well as an increase in the consumption of home-cooked meals, and a rising interest in online food tutorials. Of course, healthcare items, as well as vitamins and immune-boosting products from online pharmacies, have also grown in popularity. Looking at the figures for March alone, we witnessed a 300% increase in demand for long shelf-life products, particularly under the frozen and grocery produce category. Also, with residents spending a lot more time at home, there has been a spike in baking ingredients with retailers recording between 130% and 150% increase. In comparison, bakeware sales have spiked 280%, according to Spinneys, one of Truebell’s retail partners. How has Truebell enhanced its business in the region over the recent past in the region? Truebell has grown exponentially since it was established in 1984. To date, we have a portfolio of over 10,000 products, including 60 global products, which underscores our position as a leading importer, wholesaler, distributor, and exporter throughout the GCC. We have a skilled workforce of more than 1,000 culturally diverse, passionate, and experienced professionals. Our state-of-the-art distribution centre boasts cutting-edge technology in warehouse and fleet management systems, including more than 20 specialised material-handling equipment, 21 multi-purpose loading bays, and can receive over 7,000 containers annually. In recent months and as part of our corporate social responsibility, we have launched initiatives to provide food
19
donations to essential workers at Rashid Hospital and help labour camps and local communities across Dubai. Do you engage with clients in the SME/SMB sector? Truebell works with a diverse set of clients and with various retail platforms, big or small. Across the industry, we are seeing many new operators starting to include food service companies within their own platforms. They also have their own payment gateway and I believe this trend will continue in the foreseeable future. We are now able to sell a vast range of products online and support our clients who may be faced with limited e-commerce penetration capacity, ultimately enabling them to broaden their reach and increase sales. The pandemic has impacted every industry around the world. We see this as an added opportunity to work together with our partners to be-
"We have expanded and now sell a range of products via 24 online mainstream and specialised platforms, with an initial 900 products available and plans to increase this as demand increases." gin the first tentative steps to recovery. We have partnered with 24 online mainstream and specialised platforms for our brands to utilise. Would you expect that this acceleration in terms of online shopping is likely to continue? The e-commerce sector will continue to thrive as people remain cautious, and many will be reluctant to return to old shopping habits even after restrictions are lifted. Buyers enjoy the convenience of online shopping, and many will think of it as a way to avoid the hassle of shopping at crowded retailers. However, despite the growing demand and a significant number of consumers relying on online shopping, customers will continue to seek the physical store's experiential elements. With malls and stores once again opening their doors to shoppers and the retail sector continuing to gather pace, Truebell is optimistic about the future. This is a clear sign of recovery and a positive sign for other industries intrinsically linked to this sector. July 2020 / SMARTSMB
20
TALKPOINT
RESILIENT AND GROWING DVCOM Technology, a specialist VAD started its operations in 2007 and has branches across GCC and North Africa. Renjan George, Managing Director at DVCOM TECHNOLOGY LLC discusses the covid-19 impact, recovery and its range of video conferencing solutions in this interview Please elaborate on the range of solutions that DVCOM offers? Since how long has the company been in the market? DVCOM is the technology arm of Al Mashka Group of companies. Al Mashka was incorporated in the UAE in 1992 and is now a $150 million conglomerate, dealing in Panasonic telephone systems, consumer electronics, audio & video including supply chain management solutions. Established in 2007, DVCOM Technology is a specialist value added distributor in the Middle East that represents some of the most dynamic ICT vendors and solutions offerings in unified communications, networking, physical security, and audio-visual conferencing solutions. Our range of solutions extends from premise-based voice solutions to end-to-end UC solutions, integrated network infrastructure, collaboration solutions, physical security, omni-channel contact center solutions to cloud-based solutions. DVCOM is recognized in the industry for its experience and expertise
SMARTSMB / July 2020
in developing enterprise systems essential for any organization to ensure maximum efficiencies which are delivered through DVCOM’s highly experienced team of certified and experienced professionals and the extensive partner/channel network. Elaborate how the pandemic has impacted Business operations and how the company has responded? Is it work from home or do you have staff operating out of the office as well? As a company with its core capabilities in communication technology we were proactive in responding to the pandemic situation. We enabled WFH service for all our staff from middle of March and ensured business continuity with less impact to the marketplace. We were fortunate to have stocks of video/audio IP devices which was a right fit to enable companies to implement WFH solutions. Beginning of May, we had 30% staff operating from office and from June 1st 70-80% staff are working from office
TALKPOINT
21
How are partners impacted? Has it disrupted orders that were being executed and business that was expected? Yes, our partners had been impacted and the business affected but subsequently there has been recovery once the lock down restrictions were withdrawn. There were payment delays and shipments delays which impacted the execution of pending orders but as said earlier with the support of the vendors we were able to fulfill the orders. Elaborate the solutions for enabling remote work from the range you offer especially for enabling video conferencing purposes in business, education etc? Is it only hardware or do you also have the video conferencing software as well from any other vendors? The global outbreak of coronavirus affected the work and lives of millions. During this crisis, the entire Yealink team is worked closely with its distributors and partners to provide us with a broad portfolio of certified Yealink Voice and Video Device Solutions for Microsoft Teams and support as much as possible. The Yealink VC210 collaboration bar allows medical staff to interact with patients remotely, improving efficiency, saving time and money and ensuring safety. These devices also make remote learning easy and effective. Whether you work in government administration, public services, public safety or justice and defense, Yealink's broad video and voice device range offered solutions for unique requirements and budget, making remote communication more effective. In addition to this Yealink also ensured to offer attractive rebate offers to enable partners and end users to adopt these devices without affecting their constrained budgets. In addition, another vendor Yeastar had work from home free offer for MyPBX users. Every customer who already had MyPBX deployment was a given an option to upgrade to enjoy free soft phones and unified communication solution for certain period. On new purchases, get a free one-year LCS subscription by purchasing S-Series VOIP PBX. IceWarp, our Email solution & collaboration Suite vendor, announced Video conferencing solution free till June 30th for all its new & Existing customers. DVCOM was also proactive in developing in-house cost-effective Video conferencing solution by name INTACT which got good response in the marketplace. With vendors offering free tools as well in the interim, how do you see this impacting sales? Though TEAMS & ZOOM were offering free tools which other VC vendors followed it created lot of traction for VC solution in marketing place at the same time we were able to create awareness for our INTACT video conferencing solution and we were also able to upsell our VPN Solution from DrayTek. We have robust VPN Router from DrayTek which could replace ex-
Renjan George
Managing Director, DVCOM
isting home routers for remote VPN connectivity which helped employees to stay connected with office network. Elaborate on the solution from Icewarp? How is the demand picking up? IceWarp was launched in UAE during last GITEX 2019. We have good acceptance for the brand, Yes we had to compete with giants like Microsoft & G-Suite but IceWarp was an ONLY Alternative to Microsoft & G-Suite and was 40% cost effective to this premium brand. As you know IT managers & CFO are looking around to cut cost across infrastructure IceWarp is well placed to penetrate in coming months. Do you have partners selling solutions to both mid-market and the enterprise? Yes, we do have partners in this segment. It is an ongoing process we keep enabling our existing & new partners on DVCOM's new offerings & new solutions month on month. We have created a niche for us in SMB segment as specialized VAD for UCC. July 2020 / SMARTSMB
22
TALKPOINT
Mohamad Madi
President, Madi International Group
THE DIGITAL ROUTE TO RECOVERY
T
he Middle East beauty and skincare sector continues to show resilience, with optimistic signs that the sector is expected to start recovering from Q4 2020. Mohamad Madi, President of Madi International Group shares his perspectives on the outlook ahead
SMARTSMB / July 2020
Please elaborate on how the pandemic has disrupted the industry's business over the past few months? As per industry trends, for certain while all salons are witnessing much lower footfall than prior to the pandemic, the situation has slowly improved in the months of June and July. it has still has not come back to normalcy. The consumers are cautious and have the fear that they might be taking a risk in going back to crowded salons as they might get the virus. But at the same time, the Salon industry has come back very strongly with the necessary precautions. Most of the salon therapists have organized their internal trainings about the safety precautions, taking all safety measure against the corona virus.
TALKPOINT
Following their new guidelines or protocol, they have started to gain back the trust of the consumers. At the same time, consumers have started experimenting with a little of do it at home or DIY exercises. Consumers have started buying products online and of course there is a shift towards that. However, as it has been said before, under no circumstances a salon experience and the professional services of the salons can be replaced with a DIY experience. So the sooner there is a vaccine in the market, things will be back to normal. How has your company coped with the challenges? What are the strategic and operational adjustments the company has made? We experienced some exceptionally low months in terms of businesses but then stayed resilient to the changes of the market. We thought of some solutions and one of the key solution strategies is the decision to accelerate our digital footprint and start an e-commerce platform. So, we have started looking into developing our e-commerce platform, which will help the order management system while addressing the need for social distancing. Our esteemed partners would be able to place orders through an online e-commerce system, eradicating the need of a sales professional visiting them physically. That is one of the key things we have done. Do you think your buyers are steadily beginning to return to some normalcy in terms of running their businesses? Of course, yes. The worst hit months were April and May and during those months, the situation was at its worst. But in the month of June, when the lockdown was relaxed, the government helped people understand how to tackle the situation and at the same time released some strong guidelines for each industry detailing how to operate; there was a relaxation in terms of opening businesses again. All these led to some kind of normalcy. Consumers are becoming more aware now in contrast to the initial period of one- or two-months when they were very scared and were sitting at home. But after two or three months, consumers have started understanding that if they have to lead a normal life, they have to go out with required safety precautions, wearing mask and using sanitizers. So, yes, people are taking precautions. At the same time, they are trying to get back to the normal life. The new normal is about getting things done, doing your things, but not with the earlier frequency. So let us assume before the pandemic, if a consumer was going three to four times to a salon in a month, now he or she will still go with reduced frequency. The frequency could be about 30% less. But yes, there are signs of normalcy steadily being restored, and the proof is that in the past two months with all the necessary precautions in
23
places, Businesses have been able to slowly get back to a semblance of normalcy and seeing better more consumer footfall. As you work with several premium brands, how are the supplies from them impacted? Covid has impacted entire world and across all industries. So, of course, from logistics and shipping to communication, everything is impacted. But as a business house, we still do not see a problem. We are ready to meet the go to market requirements of the new brands of our trade partners. Our suppliers are also very much committed to deliver things. They are also restarting business with a clear focus. There is a challenge but can be resolved. Whatever the demands in the market, we are pretty much ready to meet those demands and our suppliers and our brands are also committed towards supplying the needs of eChannel.
"One of the key solution strategies is the decision to accelerate our digital footprint and start an e-commerce platform, which will help the order management system." How can you offset some of the challenges through taking business online? Do you have both B2B and B2C digital models? I don't think that in 2020, any of these challenges can be completely offset it as such. Yes, we can start thinking along new directions, start new initiatives, and come back with solutions. We have started in that direction. That is about accelerating the digital efforts, expanding the digital footprint of MADI international and in a direction, which helps our partners. We are starting with our B2B e-commerce platform, which is more of an order management system with less human interaction. So, our partners will be able to do a look at the entire range of available products and place the orders in a very seamless way and we have also ensured the delivery system in much more organized way. Down the line, we are also contemplating on having an e-commerce platform for our B2C digital model as well. The company has to put its entire focus and effort on creating a digital interaction which helps our B2B and B2C segments interact with the MADI international brands. The focus will be on an enhanced customer experience. July 2020 / SMARTSMB
24
TALKPOINT
TAKING STOCK Koji Naka, Managing Director at CASIO Middle East briefly discusses the range of products from CASIO and its business in the region Casio has a very diversified product portfolio. What are the key product lines of focus in this market? Some of our key lines include the G-SHOCK product line up, particularly the metal watch product line, which we are looking to expand with a more diverse colour range and our other smartwatch products. How has the pandemic impacted work from the office and how has Casio adjusted? Have you adopted a mix of work from home and work from the office? The pandemic has definitely impacted the way we usually run the business. As soon as the lockdown was issued, we set a work-from-home order for all Casio employees, which was not so difficult, seeing as we are a very digitally savvy and focused society. We followed and still follow all government rules and regulations in regard to work updates and adapted our schedules to mirror the procedures put in place. Watches have been a major product line for Casio - tell us about the company's different brands for watches. How significant are smartwatches and fitness trackers as part of the overall business volumes in this region for Casio?
Koji Naka
Managing Director, CASIO Middle East
launched the all-new Arabized CT-X Series for professionals, focusing on the different music tastes in the region Oriental, Khaleeji and North African. And, in 2020, we introduced the Casiotone series targeting beginners (kids and teenagers), making music fun anytime, anywhere. We’ve also launched the world's slimmest award-winning digital piano called Privia. Our aim is to enhance the CASIO Music footprint across the region, making CASIO music instruments available anywhere. What have been some of the new directions the company has been undertaking?
Casio is the only watch manufacturer which uses a vast array of materials in production in the smartwatch market. For instance, the G-SHOCK brand combines a unique sense of fashion with its strap and watch face designs with technological add-ons, such as GPS tracking and other user-friendly features. By adding these smart features, we have moved beyond just solely providing timepieces to giving our customers a whole experience. Right now, we are working towards making our devices more compact and faster with less power consumption, as well as enhancing the software development for apps.
Casio has changed how society views timepieces and created a new culture around them. Due to recent events, we have shifted focus from physical events to virtual gatherings, with the aim of staying connected to our community digitally. Sponsorships for online music festivals were conducted in Dubai and Jeddah to support the HIP HOP community and rising talents. We’ve also partnered with several digital platforms, the latest being Steppi App, a fitness trending app where we encourage G-SHOCK wearers to stay fit and active and redeem their steps with discounts. We also have further upcoming fitness and fashion collaborations from G SHOCK and BABY G planned, which will be announced in the coming months.
Casio has also been a major brand in the Electronic keyboards segment. Is this a growth segment?
Has Casio seen growth in online shopping of its products across partner stores who sell Casio products in this region?
Although the markets for musical instruments are stable, CASIO Music MEA is experiencing rapid growth across all segments, both beginner and professional. In 2019 we
Online shopping is definitely on the rise and as such, we continue to expand our online presence through our extensive business partners’ network.
SMARTSMB / July 2020
INDUSTRIAL
SWITCHING SOLUTIONS
YEARS
WARRANTY
What Makes Them Special?
Toughness D-Link Industrial Ethernet Switches are built to tolerate harsher conditions than most standard switches in terms of temperature, dust, lightning strike, vibration, corrosion, electromagnetic interference, and even impact.
Convenience They can be installed in areas that industrial facilities are likely to already have, such as electrical closets, and mounted onto common local architectural elements, such as wall railings.
Reliability Redundancy Ethernet networking enables a greater degree of redundancy than older proprietary Industrial standards allow. Standard Ethernet switches employ Ethernet Ring Protection Switching (ERPS) architecture for redundant failover, which can re-route network transmission in the event of a failure in 50 milliseconds.
Accelerating | IoT Transformation | Enabling | Smart Operations Connect to more...
26
FINTECH
Steps for financial inclusion Alicia Sornson, Manager, Programs and Partnerships - MENA at Village Capital discusses the six key fintech fixes for financial inclusion in MENA and why we should enable startups on the periphery to deliver them Financial inclusion is a key challenge and opportunity in the Middle East and North Africa. Improving participation in the formal financial system and providing more equitable access to financial services could help lift many out of poverty and create a platform for sustainable growth in the world’s most underbanked and unequal region. The Coronavirus pandemic’s impact only boosts the need. If this is the prize, how close are we to achieving it? First the good news. Financial inclusion is the avowed motivation for regulatory reform of the financial sector outside of GCC, where is it is most needed, as Global Ventures noted in their recent report ‘Fintech in MENA – An Overview’1.. One of the key objectives of such reform is to foster the growth of innovative fintechs which can help financially excluded people and small businesses manage their income and expenses, withstand financial shocks or plan for a healthy financial future SMARTSMB / July 2020
Further, the fintech industry has attracted the region’s highest deal volume according to MAGNiTT’s 2019 MENA FinTech Venture Report2 and you cannot scale a fintech without such funding. However few governments have done as well as Tunisia which introduced a ‘Startup Act’ in 2018 to support startups, clarify regulatory barriers and provide a legal framework for entrepreneurship. After working with fintech entrepreneurs, Tunisia then passed a bill called the Payment Establishment Circular, which provided a clearer framework for fintechs around digital identity. Further, the impressive headline investment picture obscures the fact that the UAE hosts four out of the top five venture funded MENA fintech startups according to MAGNiTT. A focus on a narrow set of high-profile tech hubs means investors ignore promising startups and markets across the region. These startups are run by entrepreneurs with the kind of lived experience that is key
FINTECH
27
to success (think of how Careem outplayed Uber with its intimate understanding of local behaviour). Forward-thinking regulators and investors are in a prime position to unlock the potential of the region’s fintech startups. Our contribution to the debate is to highlight six areas of innovation that are key to financial inclusion and that should be prioritised for reform and investment. We also identify twelve startups right across the region who are making strides in these areas based on their local knowledge; strides not only towards the financial health of local populations but towards profitable growth:
1. Savings and wealth building tech
Smart investing is key to a successful retirement, but most investment management firms in MENA have high fees, and only work with wealthy clients. Also, the barriers to entry for sources of investment income such as real estate tends to be high. Financial health startups such as Rumman (Palestine) or SmartCrowd (UAE) are democratising access to investment services and unlocking assets for people in the region.
2. Employment tech
Half of the population in MENA is under 25 years old, and the region is home to the highest rate of youth unemployment: Over 25% of young people were unemployed in 2019. Financial health startups such as Kader (Jordan) and Khtwteen (Egypt) are creating systems that support organisations and job seekers, making it easier for people to find employment and the stability needed to become financially healthier, and gain access to insurance and credit.
3. Digital ID
In 2017 86% the adult population in MENA was underbanked, a key reason being that many people are unable to provide basic identification, which prevents them from accessing formal financial services like a bank account. Many of the underbanked are migrants or refugees who arrive in their new home without any paperwork. As governments roll out stimulus plans in reaction to the COVID-19 pandemic, a lack of access to formal financial services will even further exclude vulnerable populations from financial support. Financial health startups such as Hawiyati (Jordan/US) and Valify Solutions (Egypt) are creating tech-based solutions to create digital identities for individuals and displaced populations.
4. Financial literacy services
Financial literacy skills like saving and budgeting are rarely taught in schools or homes in MENA. For instance, in Yemen the financial literacy rate is 13%, one of the lowest in the world. Financial health startups such as Finllect (UAE) and Merakido (Egypt) are offering financial literacy through mobile phones and technology, helping people manage their money more effectively.
Alicia Sornson
Manager, Programs and Partnerships - MENA, Village Capital
5. Access to capital
In places like MENA with large informal economies, small and medium-sized businesses account for a large percentage of employment and economic activity. MSMEs account for 96% of registered companies and about half of employment in MENA, yet those businesses receive only 7% of total bank lending — the lowest in the world. Financial health startups such as Fawaterak (Egypt) and Fundbot (Lebanon) present a considerable opportunity to increase access to traditional finance for these small businesses.
6. Alternative lending
Alternative lending offers more equitable and transparent access to capital for growing companies. In the Middle East, tight regulations have led to a $360B credit gap for SMEs. MENA has seen slow innovation in alternative lending compared to other regions such as the US and Europe, but progress is being made. A lack of trust in such platforms is one of the primary hurdles alternative lending platforms need to overcome for success. Pioneering financial health startups include Ciwa (Morocco) and Solfeh (Jordan). July 2020 / SMARTSMB
28
E-COMMERCE
ADAPTING TO THE DIGITAL WORLD Sunil Paul, Managing Director of Finesse, on how the pandemic has proven to be a game changer for online shopping as consumers flock to websites for essential goods. Social distancing, quarantines and lockdowns imposed by governments to check the spread of COVID 19 have accelerated the digitalisation trend with consumers preferring to shop online instead of physical stores and use digital payments instead of cash to minimize the risks of getting infected. In Italy, for example, between February and March 2020, retailers registered an increase in online sales by a whopping 90 percent. Dubai-based Majid Al Futtaim, which operates 24 shopping malls, saw a surge in online sales, with a 59 percent year-on-year increase in online customers in March 2020, according to a recent report by the Dubai Future Foundation. Thanks to strict restrictions, there has also been a shift in categories from items such as apparel/accessories and electronics, lodging and airlines to everyday spends like food and groceries, medicines, household chemicals and personal hygiene. Techradar.com had reported, quoting Ken Research, that in the UAE, online grocery orders had increased by 80-100 percent in the first months of the year, owing to COVID-19. In comparison, in Saudi Arabia, some online retailers had experienced a 200 percent increase in average sales in the early stages of the pandemic. Online shopping in the West is also witnessing the influx of new demography of older customers, a group susceptible to COVID-19. The temporary boost they have provided to sales may become long-lasting if these customers continue shopping online after the outbreak subsides. Efforts to reduce people to people contact combined with fears about conSMARTSMB / July 2020
taminated currency have also triggered an increase in the use of cards and contactless payments. In South Korea, for instance, card and mobile payments grew 30 percent between January and February 2020, as did innovations in contactless pickup and delivery services. Before the pandemic, more than 50 percent of face-to-face payment transactions in the UAE were made with contactless technology, and a consumer study Visa did with Dubai Economy (DED) in 2019 found that over 80 percent of contactless users trusted the technologies. In many countries, central banks have lifted some of the restrictions and requirements applied to e-payment systems to overcome COVID-19. Safaricom, Kenya’s largest telecoms company and the owner of the M-Pesa mobile money platform, announced in mid-March that it would remove fees for all transactions under KSh1000 ($9.42), while also increasing the daily transaction limit for small and medium-sized businesses from KSh70,000 ($659) to KSh150,000 ($1410). In China, contactless digital payments at the point of sale, such as Quick Response (QR) codes or near-field communications (NFC) via e-wallets have experienced rapid growth to surpass cash and cards in-store transaction volumes and values. Interestingly, China’s experience with the SARS epidemic in 2003 helped launch digital payments and e-commerce in the country, according to the World Economic Forum (WEF). The Chinese government, a recent post by WEF explained, focused on building crucial infrastructure in the areas of identity, internet access and legacy pay-
Sunil Paul
Co-Founder & MD, Finesse
ment systems, all while encouraging domestic online payments and digital commerce through light-touch regulations. These investments have paid off to the extent that digital payments have reached the threshold of attaining the status of a public good in China. Today, all kinds of payments ranging from taxi fares to mobile and utility bills to government fees and more can be transacted digitally. On a wider note, online retail sales in China accounted for over 35 percent of total retail sales in 2019, the biggest in the world. The COVID-19 pandemic has seen an exponential increase in online purchases and payments across multiple markets, demographics and economic classes, and hastened the normalisation of their usage. Ecommerce and digital payments basically kept the economies running during the pandemic. With the current set of restrictions from the current pandemic expected to be with us for several years, it is therefore important that countries further strengthen their digital infrastructure, systems and applications to cope with whatever challenges future decades may bring.
SUPPLY CHAIN
29
PROTECTING SUPPLY CHAINS Automation for agility, a datacentric approach, end to end digitizing are among key steps to combat the challenges to the supply chain writes Anas A. Abdul-Haiy, Director and Deputy CEO of Proven Consult As the world is battling against COVID-19, the pandemic has an uneven effect on the supply chain industry. Industries such as auto, travel, consumer goods, electronics, and retail have been profoundly impacted. The supply chain economy has a large and distinct impact on economies of the world that is driven by industrial activities and innovation.
Data Leading the Way
Having a data-centric approach towards supply chain management is making suppliers more agile in their operations. Using predictive modeling and data simulations, businesses can predict the impact of a sudden decline in demand in one country that can impact the entire supply chain. Live tracking the sales, shipments, and orders with minimum latency will help businesses to identify surge or decline in demand and these data can guide the decisions regarding the production levels.
End-to-End Digitising
Having a cloud-based or web-based ordering system, allows businesses to act on shifts in demand proactively. Creating an end-to-end digital IT ecosystem is key to drive and minimize the latencies. However, to track actual production, inventory levels, and shipments, businesses must leverage various Internet of Things technologies together to bridge data between various processes. Starting from placing the order or query to the actual production and distribution, these various processes in the value chain funnel need to be digitized to enable faster decision making. Automation for Agile Supply Chain While the manufacturers are looking for alternate vendors for their critical components, the reduced labor force and increased demand have led
Anas A. Abdul-Haiy Director & Deputy CEO, Proven Consult
to increased lead time. Accelerating production and reducing manual interventions in the business processes are critical to solving these problems. Suppliers must develop greater automation capabilities to accelerate production and minimize manual interventions in the business process. Using IoT and robotics, businesses can fast track assembly lines, inventory management, and data analytics.
Embracing the Digital Workforce: For manufacturers, labor shortage and replenishment serve as focal points for operations to manage ramp-up in production after temporary shutdowns. Therefore, businesses are embracing the digital work environment and communication channels to continue their operations remotely. Departments such as marketing, finance, and HR has moved to virtual desks. While these techniques act as a solution to cope with the supply chain crisis, it is the principles that are leading the decision making.
New Principles for Sustainable Supply Chain
Diversifying the supply chain will not only make supply chain reliable also help businesses to optimize cost. Businesses can source components for new products from low-cost sources and can launch new products at a lower price to boost their sales. This crisis has key lessons for businesses about reliable and efficient supply chain management. In the immediate term, organizations need to take steps to stabilize supply chain operations by conducting risk assessments and implementing business continuity plans using crisis-management teams.
Crisis Management for Short Term Impact:
To address the volatile nature of current supply chain operations, organizations should mobilize a crisis-management team or a war-room setup that has the power to make quick, analysis-based supply chain decisions. Analysts should examine supplier delivery performance, deviations from plans, canceled orders, fulfillment rates more frequently to identify any potential supply chain issues.
Optimizing HR Strategies
While protecting supply chain businesses is paramount for economies; at the heart of this crisis, people are most affected. Protecting the people working in the supply chain ecosystem must be a priority for businesses amidst the pandemic. At an unprecedented time of pandemic threats, businesses must make quick decisions led by talented executives to implement new policies and standards to the ground level. As businesses shift towards automation and digitalization, the focus has to be on finding new executive talent for implementing strategical and analytical functions of supply chain management. July 2020 / SMARTSMB
30
SALES
PRODUCT KNOWLEDGE IS POWER Steve Murphy, CEO, Epicor Software discusses the need for deep product knowledge to be successful in sales If you’re in the business of selling technology, you know that you win sales when you can solve tough, specific problems. However, to demonstrate that you can solve a customer’s pain points, you must know technology solutions at a detailed level—you need deep product knowledge. You must also understand the specific needs of your customers so you can communicate which solutions and capabilities are most relevant to them. When you have more comprehensive knowledge on both fronts, you can communicate how your solution is differentiated, relevant, and superior on a functional level. Take, for example, an automotive manufacturer. Production scheduling is a crucial aspect of their business. Contrary to manufacturers in other industries that may be more focused SMARTSMB / July 2020
on cutting assembly line costs, many automotive manufacturers prioritize flexibility. They need solutions that provide the opportunity to make live adjustments in production scheduling as needed. If new data shows more customers are buying red and black cars than yellow, they can adjust the assembly line to produce cars that reflect that current market demand. A smart sales rep understands the auto manufacturer’s priorities and communicates how their solution provides the flexibility to meet this need.
What Companies Can Do Embed product knowledge in company culture
This first step is crucial. The importance of product knowledge starts at the top. Executives and other leaders should diligently work to ensure product knowledge is a valued part of your company culture.
Don’t just know your product—talk about it with each other and your customers. Hold town halls with your employees and But simply understanding there’s a share how product knowledge will play a need for deep product knowledge is central role—if it hasn’t already. Connect not enough. You also need to know employees with internal subject matter how to best obtain product knowlexperts so that ongoing conversations edge and then seek it out continually. Simon Fisher can be developed about the true beneExecutive Vice President - Gulf, ACEfits Group of your solutions. Here are six practical tips to help you stay current on product knowledge— Furthermore, when you meet with three for companies and three for emcustomer advisory boards, talk specifployees. ics about your solution. Demonstrate
SALES
your expertise and enthusiasm for addressing your customers’ pain points.
Invest in product knowledge training
Once the importance of product knowledge is established in your company culture, follow through. You need to spend time and money on education that delivers information and training to your employees on product knowledge, important product updates, etc. If you run into pushback on this front, emphasize the long-term benefits you’ll get out of this investment. When a customer feels your sales rep understands their business and specific challenges, not only is your company more likely to win a sale, but you also establish a greater level of trust for a long-term working relationship with that customer.
workshops given by leaders in your business who are black belts or superusers on a specific solution. Have them go out and share their knowledge on pain points of businesses you serve, as well as the value propositions of your solution.
What Employees Can Do Consume doses
in
manageable
Think back to your college days. If you crammed for a test, you might get a B—rarely an A. But, if you studied throughout the year and stayed up-to-date on reading, the time you needed to study for your test was less intense, you typically performed better, and you were able to retain the information long term.
Working relationships built on trust also foster better communication that can have many unforeseen benefits. For example, your customer may end up providing you with feedback that leads to future innovation for the solutions you offer. But it all comes back to the trust you establish with your customer through product knowledge.
The same is true for consuming product knowledge. Consume information as frequently as you can—even if it’s only two or three minutes at a time. Read an article while you wait in line for coffee. Watch a short tech update after you put the kids to bed. This doesn’t need to be a heavy lift—just a mindful one.
Be smart about sharing product knowledge
Ignore product release data at your own risk
While providing employees with access to product knowledge is important, be strategic to maximize the impact of your efforts. First, consider your words. Use plain language so communications and training are simple to comprehend and remember. Also, translate complex industry jargon so it’s easy for employees to share the information with customers. Second, push out tech updates on an exception basis. This means sharing notable changes to a product. Avoid inundating your employees with unnecessary information. Third, only send technology updates out to relevant personnel. Mass customize who gets what information based on their job function. Finally, consider providing in-person
Pursue information objective outlets
31
from
In addition to the product knowledge provided by your company, seek information from outside outlets. Consider looking beyond tech publications. Professional, balanced publications and think tanks offer credible, researched information. For example, The Wall Street Journal and The Financial Times have tech sections that can provide a well-rounded perspective. Technology constantly evolves, and maintaining up-to-date product knowledge is by no means easy. Remind yourself that it’s an investment in your success with your customers. When you can provide them with specific information and articulate how solutions address tough problems, everyone wins.
When your company provides you with a product update, use it. It’s part of a good-faith relationship. They are prioritizing the importance of product knowledge, and they want you to as well. Go a step further. If you receive information that is helpful to you, share feedback and say why you found it helpful. Conversely, if you need additional information, don’t be shy about seeking it out.
Steve Murphy
CEO, Epicor Software
July 2020 / SMARTSMB
32
STRATEGY
THE LONG HAUL AHEAD TO RECOVERY Bao-Viet Lê, Middle East Partner, Financial Services, Bain & Company says recovery from covid-19 will demand resilience
R
ecoveries have always mattered in business. Some of the biggest shifts in market share occur coming out of downturns, when new industry leaders— and new industries—often emerge. Rarely, though, has recovery meant putting people’s lives at risk.
of action for recovery should be: advance, retreat, adapt, repeat.
Yet that’s where we are today.
Reading the signs
The post–Covid-19 world will accelerate some existing trends and create new ones, and all business models will have to evolve in order to grow and thrive. But there’s no way to accurately predict the coming year, and it’s a dangerous mistake to rely too heavily on forecasts, which must be complemented with highly adaptive and resilient business models. For leadership teams, the recovery will mean restarting and in some cases, reinventing, operations in an unstable world of shifting conditions. The leading companies will be defined by their ability to balance resilience, adaptability and prediction. Getting back to work away from home is the first step in recovery once companies have taken critical actions to protect the business. The return to work also sets the stage for retooling the business for a different future. But this recovery won’t follow a straight line, so executives should get used to thinking about it dynamically. The plan SMARTSMB / July 2020
The companies that can protect their people and build the most experience with real agility will create a competitive advantage and accelerate faster out of the downturn.
Even as Covid-19 commands the world’s undivided attention, much is unknown about the novel coronavirus, its pathology and its future. That makes it difficult to rely on experts, and impossible to become one yourself. At the same time, economic pressure to restart operations is acute. We continue to update the data, but as of late May, unemployment was reaching historic levels in labor markets around the world, while retail sales and manufacturing output were experiencing steep, often record-setting, declines. Around the world, a majority of workers express enthusiasm or relief about the prospect of returning to their normal workplaces, along with confidence in their employers’ efforts to protect their safety.
Back to work: A question of demand and supply Willing workers are a critical component of the recovery, but companies can’t just turn the lights back on and
hand out masks at the door to a returning workforce. For most executives, the task at hand is less like restarting a business than like starting a business. Only by first understanding the demand side of the equation can executives gauge their workforce needs and the urgency of returning different groups of workers to their jobs and work sites. This starts with evaluating customer demand by product or service and geography, and assessing the abilities of suppliers and distributors to support that demand. And that number will be radically different today than it would have been before Covid-19 thrust us into a forced experiment in working more efficiently and effectively. Nor will the number of employees returning to work grow in a steady upward line. Companies must return people to work in phases, aiming to increase their numbers over time, but equally ready to shrink them—perhaps drastically—when setbacks occur. With the crisis breaking apart business systems, setting up Agile teams is the most effective and scalable way to adjust and build resiliency into fluid operational environments. Local teams, guided by nonnegotiable safety requirements, will learn and respond to conditions on the ground, continuously adapting, putting solutions in place and reporting successes to leaders who can scale them across the business. Companies will constantly adjust priorities and resources between the teams that are advancing and those suddenly forced to retreat. This is the very definition of Agile.
STRATEGY
The workforce you need Tracking real demand provides companies with a rational way to determine how many people need to return to work and where. But understanding the workforce they need—and who needs to return to a work site—is just the beginning of the recovery challenge. The top question every company faces is how to keep those employees safe in a constantly changing environment and how to mitigate the risks they face if they return to work. This assumes, not incidentally, that they can get there. Even if stay-athome orders are lifted, workers may face impossible childcare or commuting choices if schools remain closed or transportation is limited or unavailable in their communities. Likewise, companies have little ability to mitigate virus risk in the community where their workers live. Cities aren’t likely to progress continuously toward recovery. A local outbreak that returns a city or country to an earlier phase may force an entire wave of a workforce to retreat despite the best of workplace protections. Here again, companies that respond with resilience and agility—advancing one wave in a city or different part of the world even while withdrawing another wave from an affected community—will accelerate most quickly through the recovery. What does this all look like on the ground? For companies, returning employees physically to work means identifying and mitigating workplace risk. And they must do so in ways that build trust among employees. A retail store clerk may have hundreds of different contacts with customers throughout a day and touch thousands of items that customers have touched. By contrast, a factory worker on a line may handle many components and surfaces but have very few, if any, physical interactions with coworkers. Offices can dramatically reduce social contact by continuing work-from-home policies for all but essential personnel, but even these seemingly more controlled environments have pockets of high risk that
33
must be addressed—elevators, for example, have quickly emerged as major chokepoints for office buildings.
Mitigating worker risk With the exception of testing, companies have already adopted the safety measures they view as most important, including personal protective equipment, physical distancing and disinfectant sprays and wipes. Although all of these risk-mitigation responses have the goal of protecting individual employees, many are fraught with legal and ethical questions. Screening and testing workers will be essential, and most workers will likely find that first line of defense comforting. Yet it will also raise complex privacy issues. While the coronavirus discriminates among its victims, there are no employment laws that allow the same in the name of safety. For example, older men returning to their jobs may be at greater risk than, say, young women. Likewise, the virus itself has created a new class of recovered workers who could be more immune, and at lower risk, than their coworkers. Screening customers presumes that they’ll be treated differently—even potentially denied service—if they appear to have symptoms of Covid-19. Lawmakers are unlikely to move quickly enough to clear up the thorny questions that will arise. Companies will need to collaborate closely on these issues with their unions and will need swift and risk-weighted support from their general counsel and chief human resources officer.
Getting back to work Ultimately, though, returning to work is a moment of truth for leaders and will be defined by trust. For employees, trust starts with both being safe and feeling safe, perception will be important along with the mitigation of real risks. In workplaces that include customers, this will be equally true for them. Trust is also essential for returning to work. Make no mistake: The safety of workers and the future of the business requires that some rules be strictly
Bao-Viet Lê
Middle East Partner, Financial Services, Bain & Company
enforced from the top down, with no exceptions, for the foreseeable future. But as soon as it’s practical, leaders can empower their frontline managers to deal with local issues as they arise. This requires that workers get the training and psychological support they need to embrace, maintain and self-enforce safe behavior at all times. And companies can reinforce that trust and build agility by developing feedback loops to quickly deliver best practices developed on the front lines in one workplace to the rest of the organization. These feedback loops also demonstrate to employees that they are heard and play a critical role in reducing risk for their fellow workers. Going back to work is necessary for recovery, and also moves the company closer to retooling for a new normal. With the future in mind, returning to work does not mean returning to the old ways of doing things. Most companies won’t fundamentally change direction because of Covid-19, but the crisis has dramatically accelerated the speed at which they are traveling and how they navigate the journey. That may be the definition of a silver lining July 2020 / SMARTSMB
34
CLOUD
SIX REASONS WHY COVID-19 WILL
ACCELERATE THE RUSH TO CLOUD Andrew Brinded, Vice President and Sales Chief Operating Officer, Nutanix elaborates on how the cloud provides the enabling deployment model for the times in which we live In 1991, the renowned technology journalist Stewart Alsop made a famously wrong forecast. “I predict that the last mainframe will be unplugged on March 15, 1996,” he wrote. But 23 years later, the mainframe is still going strong. For me, this underlines why it’s a myth that IT is a fast-moving sector in which revolutionary changes occur at lightning speed. The R&D side of tech is certainly dynamic and often disruptive, but because of technological complexity, cost of change, procurement, security, management inertia and myriad other factors, major changes usually roll out slowly, over years or even decades. Even smaller changes can take time to hit the mainstream: think about how long it took for smartphones or laptops to enter the mainstream. In IT as elsewhere, there will always be early adopters, but there will all also always be laggards. Cloud computing is the biggest IT shift since client/server but, despite its manifest advantages and soaring popularity, cloud has far from dominated the way that firms deploy IT resources. Most established companies still maintain on-premises applications, data and other resources and the trend is very much to hybrid environments where enterprises spread the load across traditional on-premSMARTSMB / July 2020
ises IT, private cloud, public cloud, co-location facilities and classic outsourcing. Some watchers suspect that the journey to enterprise cloud is only 20 per cent completed. Quite understandably, CIOs and others have elected to operate on a ‘horses for courses’ basis where workloads are matched to deployment models based on risk levels, information sensitivity, intellectual property, performance needs and other concerns. But I believe that the current pandemic is an event that will see a significant tilt towards broader cloud adoption.
The World has changed
After COVID-19, it seems unlikely that we will go immediately back to a reliance on cities, crowded roads and transit systems, offices, galleries and stadia that place individuals cheek by jowl with others. Remote working will surely rise and that makes cloud an even more attractive proposition than ever before. Organisations will need to re-think operations, processes and business continuity, and they will re-engineer business models as they adapt to new realities. In retail for example, shoppers will want different experiences from crowded shops and high streets. That may mean broader
CLOUD
35
pavements, longer shopping hours, limited numbers of people in-store and new ways to pay without cash. As Mark Kleinman, Professor of Public Policy at Kings College London, has written: “Almost overnight, many of the benefits of large, global cities have become vulnerabilities. What was previously greatly desired – crowds, proximity, connectivity, openness – everything that contributes to what economists call ‘agglomeration benefits’ and urbanists call ‘vibrancy and vitality’ – is now feared.” We don’t know exactly how big such changes will be or how long they will persist but it seems likely that they will mandate unprecedented organisational flexibility. If they hadn’t already realised by now, companies will need to be more flexible, adaptive and agile, so that the next time there is a massive interruption to ‘business as usual’ there can be no excuses. Already we see companies that have been anchored by legacy systems failing to move fast enough and respond to the new realities of virtual business. And this in turn will complete the tectonic shift in favour of cloud computing.
Reasons to move on cloud now
Of course, there are many ways to deliver flexibility, but the cloud is a perfect vehicle in lots of ways. Centralisation. Cloud offers a hub for managing content where versions of documents and audits are maintained for process order and regulatory compliance. Think of how Box or Dropbox, for example, are replacing lossy processes such as sending email attachments or adding document versions to file shares. Collaboration. Cloud is a perfect fit for meetings of teams or value-chain networks. Any cloud app is inherently collaborative. That will become more and more important as companies build ecosystems of partners to co-curate and ideate for products and services that stand out from commoditised rivals and can command a premium price. Cost. With future revenues so uncertain for many companies, managing costs is hugely important. Cloud services usually have subscription-based, utility-like model so prices rise and fall depending on usage. This ensures value and means there is little risk of ‘bill shock’. Security. Firms need to ensure that with so many more remote workers they have the security protections and policies in place to defend against attackers. Although security has traditionally been a concern or an objection to public cloud adoption, cloud services have an advantage in that they tend to be run via highly proficient data centres with more security skills on tap than enterprises can afford. However, firms will still need to educate staff against phishing and similar scams and ensure that tools such as VPNs and encrypted networks are available.
Andrew Brinded
Vice President and Sales Chief Operating Officer, Nutanix
Choice. Some firms will be understandably concerned about potentially being locked into a single dominant provider than can then have too much control over customer options. However, the intense competition and price cutting among the biggest providers mean that companies that build out using a multi-cloud model will retain the openness they cherish. Testing. Many companies will still need to be able to test new and reworked processes during and after the crisis. Cloud platforms provide the testbeds to enable this, without high cost penalties or risks being incurred. Hiring. When the economy bounces back, hiring will again become a critical battleground and companies that aren’t heavy cloud users will become less attractive to younger candidates especially. As I outlined at the outset, there’s no such thing as an overnight hit in IT, but look out for cloud-related opportunities for both short-term benefits and for future strategic importance. Cloud is already big, but it’s about to get bigger. July 2020 / SMARTSMB
36
TECH WATCH
VIEWSONIC M2 SMART PORTABLE LED PROJECTOR Highlights:
ViewSonic Corp, a leading global provider of visual solutions, announced its latest M2 a Full HD 1080p Smart Portable LED Projector with Harman Kardon Speakers. Ideal for business travelers and home use , the ViewSonic M2 delivers power and performance in a portable package. Being compact and light-weighted, the projector can be carried anywhere hassle-free and fits easily in the briefcase or purse. ViewSonic M2 Smart Portable LED Projector is a fully-loaded projector that delivers top-notch performance in compact form factor flawlessly.
The ViewSonic M2 Smart Portable LED projector has a sleek design with me-
SMARTSMB / July 2020
The M2 also comes with comprehensive connectivity including USB Type-C, HDMI, USB reader, Micro SD and Wi-Fi allowing users to get the best out of it without having to connect to a PC, and in case needed, the user can mirror content from the PC or mobile phone to the projector with 1 click.
•
The device is enabled with Voice Controls via Amazon’s Alexa and Google Assistant for all of your smart commands.
•
his feature-packed projector has no harmful mercury and incorporates eye protection feature which makes it user friendly.
•
Built-in premium dual speakers customized by Harmon/Kardon delivers an exceptionally powerful and vibrant sound for all your multimedia presentations and immersive movie night thrills.
tallic-matte finish giving it a premium look and feel. With a sharp projecting resolution of 1080p, the content can be viewed and shared in high clear image quality captivating the details, also the projector is designed with cutting edge technology with 30,000 hours of life, 2nd gen. 1200 lumens enhanced brightness and wide color gamut of 125% Rec.709 for a rich cinematic experience.
XENITH SCAN@HOME SOLUTION BUILT ON KODAK ALARIS INFUSE PLATFORM In partnership with Kodak Alaris, Xenith Intelligent Workplace Services has created a pre-configured smart Scan@Home Solution built on the INfuse platform that integrates directly into line-of-business systems. Companies can now use a fully managed service to provide
•
TECH WATCH
D-LINK’S CONTACTLESS THERMAL SCREENING AND FACE RECOGNITION KITS
The D-Link Thermal Solution Fever Screening Kit DCS-F9400KT for Group thermal imaging screening and D-Link Temperature Measurement Face Recognition Terminal DCS-F7200FT for temperature measurement and access control will significantly contribute to the challenge of high-volume temperature screening encountered by customers all over the world. As economies open up and lockdowns ease globally, it continues to be critical to monitor the spread of COVID-19. D-Link’s latest contactless solutions aim to make temperature measurement and screening effortless during these challenging times. Designed to accurately and efficiently
pre-configured scanners to virtual employees. The Scan@Home Solution is easy to set-up without IT intervention. All the remote worker needs to do is plug in the scanner and scan a pre-printed smart set-up sheet to get started. All workflows - such as sending the document to the right person, or saving the information in the correct repository, network drive, or back-end system are pre-configured remotely by Xenith. Xenith connects the software or line-of-business applications such as invoice processing, records management, or customer account
test people’s body temperature, the brand-new solutions are ideal for numerous scenarios where large crowds are expected, such as airports, railway stations, offices, school, communities, supermarkets, malls, banks and so on. DCS-F9400KT : D-Link Thermal Solution Fever Screening Kit
• •
37
with the blackbody, face identification, auto alarm face capture, multi-target face detection, contactless and ease of deployment. Supports alarm when no mask and abnormal temperature are detected. The Attributes detection includes face ID, mask & human body temperature status.
The solution consists of a powerful and accurate Thermal Camera with a Blackbody along with an AI NVR. The kit includes the below products: DCS-F9400T x 1: 4MP Optical & Thermal Dual-spectrum Temperature Measurement Bullet Network Camera with power supply DCS-F9400T-BB x 1: Blackbody to work with DCS-F9400T DNR-F9216T x 1: 16 Channel AI Network Video Recorder. DCS-F9400T-STAND x 2: Tripod Stand
Highlights: •
Some of the highlights of this solution includes high accuracy ±0.3oC
management with APIs from Kodak Alaris to create a full solution which is completely serviced, controlled and programmed through its cloud service in Microsoft Azure. INfuse management software from Kodak Alaris allows Xenith to manage the fleet, set up the workflow, configure the devices, and allocate licenses - all hosted and operated by Xenith. The system is continuously monitored with notifications to ensure seamless functionality and if company processes change, Xenith can alter workflows remotely so the end-user stays hassle-free.
Highlights: •
•
•
•
It’s Smart: Scan one easy set-up sheet to automatically access your workflow. No PC or software required. No setup or IT intervention required: Simply connect to your Wi-Fi or plug in to your home network to start using as everything is pre-configured remotely. Seamless integration with your applications: Scan to email, cloud repository, network-drive or back-end system. Super-quick deployment. July 2020 / SMARTSMB
38
MARKET MONITOR
END-USER SPENDING ON CLOUD-BASED WEB CONFERENCING SOLUTIONS TO GROW NEARLY 25% IN 2020 Global workplace restrictions will expand cloud conferencing user base throughout 2020, but growth will taper off in 2021 Global end-user spending on cloudbased web conferencing solutions will grow 24.3% in 2020, according to the latest forecast by Gartner, Inc. Global workplace restrictions spurred by the coronavirus pandemic will expand the cloud conferencing user base throughout 2020, but growth will taper off in 2021 as the lasting effects of a remote workforce render conferencing services commonplace. End-user spending on cloud-based conferencing is projected to reach $4.1 billion in 2020, up from $3.3 billion in 2019. It is the second-fastest growing category in the unified communications (UC) market, behind spending on cloud-based telephony, which is forecast to reach $16.8 billion in 2020. Overall UC market end-user spending is projected to decline 2.7% in 2020 and return to growth in 2021, as cloud telephony initiatives regain momentum. “Cloud collaboration investments will buoy the UC market downturn as reSMARTSMB / July 2020
mote work initiatives spurred by the COVID-19 outbreak drive conferencing adoption and market growth,” said Megan Fernandez, senior principal analyst at Gartner. Gartner predicts that by 2024, in-person meetings will account for just 25% of enterprise meetings, a drop from 60% prior to the pandemic, driven by remote work and changing workforce demographics. As a result, there is a higher demand for convenient access to videoconferencing and other collaboration tools.
Cloud Telephony Adoption Will Experience a ‘Push and Pull’
In 2020, new premises-based telephony investments will drop sharply as existing installed telephony system life spans are stretched and investment priorities shift to the cloud. “Cloud telephony adoption will experience a ‘push and pull’ from competing
market pressures,” said Ms. Fernandez. “Overall, the market will be negatively impacted by organizations that were planning near-term premises to cloud migrations but are now extending legacy life spans instead.” However, cloud telephony will experience a boost once its benefits are recognized, namely the ease at which it can accommodate a changing workforce, update and extend existing features, and integrate with adjacent applications. The cloud telephony market is projected to grow 8.9% in 2020 and 17.8% in 2021. “As a result of workers employing remote work practices in response to COVID-19 office closures, there will be some longterm shifts in conferencing solution usage patterns. Policies established to enable remote work and experience gained with conferencing service usage during the outbreak is anticipated to have a lasting impact on collaboration adoption,” said Ms. Fernandez.
UNSTRUCTURED DATA DEMANDS ALL-FLASH SPEED.
Isilon All-Flash NAS Storage
Available from Redington Sales.value@redingtonmea.com
Intel® Xeon® Processor. Ultrabook, Celeron, Celeron Inside,Core Inside, Intel, Intel Logo, Intel Atom, Intel Atom Inside, Intel Core, Intel Inside, Intel Inside Logo, Intel vPro, Itanium, Itanium Inside, Pentium, Pentium Inside, vPro Inside, Xeon, Xeon Phi, Xeon Inside,and Intel Optane are trademarks of Intel Corporation or its subsidiaries in the U.S.and/or other countries.
Temperature Measurement Face Recognition Terminal
36.5
Nia Casi (Name)
DCS-F7200FT
Face Recognition
Digital Temperature Measurement
Touch Free
Mask Detection
Access Control
All-in one Design
Connect to more | info.me@me.dlink.com | https://me.dlink.com
