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Schneider Electric Explores the Milestones and Challenges of Digital Transformation

Ben Selier

The question of when a digital transformation is truly complete remains open-ended, much like a never-ending road trip. For those steering their organizations through this journey, it’s crucial to determine how to address the inevitable question from employees: “Are we there yet?”

Ben Selier, Vice President of Secure Power for Anglophone Africa at Schneider Electric, via the firm’s 2024 Q4 Playbook, recently emphasizes that not all companies successfully navigate this transformation. “A 2023 McKinsey survey revealed that 56% of companies undertaking digital transformations achieved most or all their goals, but nearly half fell short,” he notes. The key to success lies not just in achieving goals but in ensuring continued growth and improvement.

Make it Sustainable

Successful digital transformations go beyond initial implementation to create long-term value. According to Selier, “Sustainable digital transformations collect vast amounts of data, make it visible, and use it to drive actions aligned with specific business objectives.”

Schneider Electric, through its collaboration with AVEVA, has observed that long-term success is tied to holistic thinking. Case studies from their portfolio reveal that companies embracing sustainable transformation consistently prioritize these principles, integrating them into their strategies for ongoing improvement.

Collect and Consolidate

One challenge companies face is managing disparate tools and solutions, which can lead to inefficiencies. As Selier explains, “There are hidden costs to point solutions, and consolidation often becomes a prerequisite for transformation.”

Polymer manufacturer Covestro and Brazilian cosmetic company Granado Pharmácias are prime examples. Covestro streamlined operations by adopting a digital twin platform that united control and process engineers, overcoming the segregation of roles. Granado consolidated its tools, with CIO Plinio Bellas stating, “A single tool concentrates all information in the same environment, enabling controlled and secure adjustments.”

Seeing Water and Power

Visualization of data is another critical step in digital transformation. Companies like Italy’s Enel Distribuzione and China’s Kunming (KM)CGE Water Supply illustrate the importance of surfacing data for actionable insights.

Enel leveraged a mathematical model of its distribution network to integrate renewable energy sources while maintaining quality. Meanwhile, KMCGE digitized its water supply and distribution processes, enhancing visibility across sources, plants, pipelines, and water quality. “The visualization and digitization of our processes have been instrumental,” said Yu Cheng Huang, KMCGE Assistant Manager.

Using the Data

Collecting and visualizing data is only part of the equation; using it effectively is where the true transformation occurs. For manufacturers like Nestlé Waters and Livetech, data-driven strategies have yielded measurable results.

“Through a common platform, Nestlé reduced production downtime by 20%, improved traceability, and saved 340 tons of CO₂ in its sparkling water process in the first year,” Selier notes. Livetech achieved similar success, reducing changeover times by 50% and realizing cost savings of 30-40%.

We Are There, and There

Success in digital transformation often has multiple dimensions. Federico Scornaienchi, Livetech Export Manager, summarizes this sentiment: “The automation challenges we face today—Industry 4.0, IoT, virtual reality, and sustainability—show that there’s no difference between sustainability and efficiency.”

The Secure Power boss concludes, “Digital transformation isn’t about reaching a single destination. It’s about creating a virtuous cycle of sustainability, efficiency, and continuous improvement, allowing organizations to reach multiple milestones simultaneously.”

As businesses embrace iterative successes, the journey of digital transformation becomes less about a final destination and more about ongoing progress.

 

 

 

 

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