World Monitor Magazine WM_November_2019_web | Page 36

EXPERT OPINION Digital transformation Digital transformation, or as this process is also called digitalisation, means a change in both the companies themselves, the business processes and customer relationships. Often, these changes affect strategic aspects: the company's business model, culture, company development strategy, and production processes. Since digital transformation is not only an urgent decision to optimize time and costs, but also often planning such optimisations in the future, this requires significant investments in people, infrastructure, as well as technological and production processes. Sergej Karpets, Chief Executive Officer, Siemens Kazakhstan and Central Asia Сергей Карпец, Директор «Сименс» в Казахстане и Центральной Азии We discussed digital transformation with Sergej Third, if you take any segment of the market, which Karpets, Chief Executive Officer of Siemens usually has a very long-life cycle, for example the Kazakhstan and Central Asia. electricity market and we will immediately see how the conditions and requirements for working what is the basic strategy of siemens in in this market have changed. Previously, during the central asia? construction of a power plant, people asked the following kinds of questions from the series: Siemens has developed a business strategy based on global mega trends. If you think about What technologies do we want to use in our urbanisation, climate change, demographic aging production? of the population all over the world, globalisation, What will be the equipment life cycle? and then digitalisation of all this, then this is exactly Can we get a long-term service agreement? what is happening now, forcing world markets to Now we ask questions of a different nature: move at a frantic pace. Siemens business strategy How will energy consumption change compared is built around this, ensuring that we use our know- to what we have today? how in the field of energy, infrastructure, and What energy sources will we use? production to meet the needs of society. How else can we use the data we collect from this equipment to make operations more how do your markets develop? efficient, intelligent, and extend its life cycle? First, what is happening now, is the fourth or so- called digital revolution, of which we are a part. Siemens has been involved in the development of many key technologies since its inception like the first telegraph line in Russia and the first lighting system in the Winter Palace of St Petersburg, as well as the world's first electric railway as part of the Berlin exhibition in 1879 and the world's first implantable pacemaker. Our company is more than 170 years old. And from the very beginning, our technologies have contributed to the introduction of innovations and increased productivity that affect every industrial revolution. The creation of digital counterparts of products, processes or production that can show how the product behaves at various stages of testing or a virtual training program for service personnel to work on an oil-producing offshore platform really changes everything. how do you perform transformation in the organization? Any organization faces a number of challenges in digital transformation. Siemens has developed an innovative, integrated approach around the world based on future trends. Siemens corporate Second, we now have digital technologies, thanks technology, research and development around to which the processing and analysis of the the world, aims to predict future changes in order received data becomes the central element of to determine what types of technologies and business models in each of our market segments. capabilities we should be prepared for. 34 world monitor