25.03.2019  |  Klima, miljø og energi

The digital transformation barometer

Indhold fra partner Hvad er dette?

Waste management critical of digital transformation progress: 60% give themselves a failing grade for the application of new technologies.

The waste management and recycling industry is less than enthusiastic about its own success in making the digital transformation, according to AMCS’s Digital Transformation Barometer 2018. This is especially true for the application of new technologies, such as route optimisation, online customer portals and Business Intelligence.

Most companies gave themselves a grade of ‘unsatisfactory’ in these areas. This is surprising given that 64% of those surveyed expect an increase in their IT budgets. In fact, 20% expected an increase of over 5%.

Digital innovation crucial for future success

More than 80% of participants – regardless of whether they are municipalities or private sector waste management companies – believe that digital innovation is important for their business success.

At the top of their priorities list is improving customer satisfaction (73%) and increasing productivity (72%). In addition, more than half (52%) also indicated that improving sustainability is a big priority. But to achieve this, the most important issue by far for management is how to organise the operational process, in terms of both harmonisation and digitalisation.

Obsolete legacy IT systems, implementing a paperless organisation and creating a culture open to change are the main barriers.

Drivers of success for digital transformation in waste management

“The research shows that there are five elements that are critical to success in transitioning into a digital organisation,” says Mark Abbas, Chief Marketing Officer for AMCS. “Besides engaged employees and a management team that gives people the space to innovate, it is very important to have a comprehensive understanding of the digital trends and advancements in the value chain. It is also down to a smart application of new technology within the organisation and using (reliable) data to make decisions.”

Digital Transformation Monitor

Research participants were asked to rate their organisation on a variety of statements that measure progress on the five elements of success in digital transformation. The average score on the 10-point scale was a mere 6,3. The barely-passing grade clearly indicates there is much room for improvement in the industry.

Key findings from the benchmark

1. Digital transformation requires leadership in change management: The results of the survey show that leaders in the waste management industry clearly understand the importance of ‘soft’ factors, such as leadership and employee engagement, in making the transition.

2. The digital part of digital transformation the real challenge: Unlike the softer aspects like leadership, it is exactly the 'harder' technical aspects of transforming the organisation, as in using Business Intelligence (BI) and data science or applying new technology, that form the biggest challenge (60% gave themselves a failing grade).

3. Legacy systems are the greatest barrier to successful digital transformation: For 54% of organisations surveyed, it is the problem of legacy software and systems that creates the greatest barrier to a full implementation of the digital transformation.

What do the leaders do differently?

According to Abbas, the research results provide insights into a very interesting group of companies that have taken the lead in digital transformation.

“This group approaches digital transformation in a completely different way and has very different priorities from the rest. Their operations are already very nearly paperless, they use digital invoicing systems and they have self-service web portals available for their customers. They are also more likely to already be using other digital techniques and applications, such as RFID, GPS Monitoring, Route Optimisation and in-vehicle tablets.”

About the research

Collaboration and simplification within the value chain are essential for progress and creating value. A circular economy is not a liability; it is an opportunity for growth. Technology, ICT and big data will all play an important role in the new standards of sustainability.

For this report, AMCS studied which priorities are on the agendas of management in municipalities and private sector waste collectors in Europe and the US. The respondents included a significant number of organisations with more than 250 employees. More than half of respondents have more than 50 vehicles for waste collection.

A detailed report of the research findings has been published and is now available for download here. 

Tags: AMCS

Denne artikel er en del af temaet I fokus: cirkulær økonomi i 2019

Mere fra AMCS

AMCS

www.amcsgroup.dk

AMCS er den førende leverandør af integreret software og køretøjsteknologi til affalds-, genbrugs- og ressourcebranchen med mere end 40 års erfaring. Vi hjælper mere end 2450 kunder med at reducere deres driftsomkostninger, øge udnyttelsen af deres ressourcer, optimere deres bundlinje og forbedre kundeservicen. Vores ERP-software og SaaS-…

Se virksomhedsprofil  

  CSR.dk anvender cookies, som vi bruger til at huske dine indstillinger og statistik m.m. Når du fortsætter med at bruge websitet accepterer vores nye cookie- og persondatapolitik. Læs mere