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Apr 13, 2019 • Features • Future of FIeld Service • manufacturing • Risk Management • Shaun West
When a supplier decides to provide more than just product-related services it has to consider risk over the whole product life-cycle because the risk is no longer just a “warranty”.
Traditional manufacturing companies are often strong with risk-management process on the product side, however they fail to grasp the complexity associated with managing risk on the service side. Based on the interviews with fourteen companies operating globally and domestically in different fields: from power generation to food industry, this paper introduces their insights on risk awareness and evaluation in services.
Some companies produce high capital goods and services constitute the part of the product-service portfolio; others offer purely services; their annual revenues vary from millions to billions. Another aspect is that some of those are pioneers in service provision rather than others already have long experience in the service business. So, we can classify them by the percentage of service sales: three companies with service sales up to 25%, five companies indicate service sales between 25 and 40%, and four firms provide purely services (100%); also, two respondents present opinion on risk from the customer perspective.
Industrial feedback on risk in services revealed that service providers neither recognise risk as a competitive advantage nor actively implement risk management practices into service offer creation. This white paper provides guidance on how to understand and manage risk to create competitive advantage in a product service system environment.
Risks From An Asset Life-Cycle Perspective
Risk should be initially considered on an asset life-cycle perspective. (See Figure 1.)
Today a well-documented example is the Rolls-Royce Trent engine, the turbines of which fail to meet the operational performance due to poor design. The deterioration of turbine blades inside Rolls-Royce jet engines has required constant monitoring of the engines, urgent maintenance and repairs through 2022.
The problems have caused serious disruption to airlines — and they are proving costly to the engine-maker. Rolls-Royce reported an accounting charge of $315 million to cover ongoing repairs to two models of its jet engines it has supplied for more than 200 aircraft as well as compensation to airlines for planes taken out of service for the engine retrofits.
Which confirms the fact that issues at early stages cause significant risks and endanger not only product performance but also the reputation and financial stability of the service provider.
Service offering and embedded risks
In order to see what particular services industrial companies offer we analysed 14 firms. The analysis confirmed that in general there was risk transfer from the basic services to the more advanced services. A variety of services can be built-up in product-service portfolios depending on company’s ability and readiness to deliver good service, risk acceptance, as well as the type of relationships service provider wants to establish with a customer.
The analysis also showed that they provided three different levels of service: product services, operations support services, life cycle and asset support services. The typical services in each level are shown in Table 1 (below) and have been categories based on the service level.
I. Product services – represent services which are closely associated with a product or to help the customer to gain access to it, often mostly associated with the maintenance of the equipment.
II. Operations support services – represent services that support the operation of the equipment provided.
III. Life-cycle/asset support services – support the product over its life; they are designed to ensure good asset performance and to help to improve performance based on new technologies and market requirements. When building a portfolio of products and services, companies should consider risks over the product life no matter whether it is basic or advanced service
agreement.
The execution risks will continue to repeat unless effective control and improvement measures are put in place. The statistical information on the failure rates will support the understanding of the commercial risks ensuring that they reduce the negative impact.
Finally, if it is not tracked, how do you know where the problem is, the root cause and how to best solve it in future products?
Execution and Commercial risks
This white paper breaks risks into two closely related categories, the first is execution risk and the second is a commercial risk. Execution risk is the additional cost that the firm has due to execution failures and closely associated with service delivery, includes internal and external quality problems, late completion, or post service failures due.
For example, the late delivery of a small consumable item can mean that inspection work on the machine cannot be completed on time. This can then trigger commercial risk to come to play which could be many times larger than the cost of the consumable item.
The commercial risk can be made by the supplier at the contracting stage, such as unsuitable contract decisions, typically firms overpromise performance (delivery, availability etc.), or have unsuitable agreements for services. These are often related to the execution risk (e.g., late delivery) and can be significantly higher in value (e.g., liquidated damages resulting from the late delivery).
This is shown graphically in Figure 2 (below) where the supplier’s liquidated damages never cover the customer’s risk fully, this is because the customer’s business risk is typically orders of magnitude greater than those of the supplier.
Therefore, the customer needs to either self-insure and to buy insurance to cover their full consequential and business interruption costs. The supplier should always consider the full impact it can have on customer’s business because the liquidated damages will likely only cover a part of the customer’s losses.
The use of risk/reward-type performance commitments should incentivise the supplier to achieve the right outcome for their customer, it is not a replacement for insurance.
Understanding Risks
At each stage from the beginning, different risks may unstable internal processes, increase the time to the market and affect future performance of the product. For example, poor reliability of a part decreases the overall reliability of the product, consequently, the supplier under a basic after-market service holds minimum risk and only responsible for the replacement of the first failing part under warranty.
Under an advanced service agreement (performance/output-base) the supplier is responsible for removing and replacing the part as well as paying the liquidated damages for poor performance due to machine downtime because its customer has a revenue loss.
So, the supplier is not only exposed to execution risk but also to significant commercial risk: it has to pay the liquidated damages meaning customer is partly compensated for the loss of performance. Interviews confirmed that risks rise both at the service contracting stage and at the delivery stage, so they refer to commercial risk and operational (execution) risk.
It is common for manufacturing firms to have well defined contracts for new equipment sales whereas service contracts may be less appropriate for the service environment, being more applicable to the sale of basic rather than advanced services.
It is very challenging for contract or project managers identify and measure potential risks and create sort of standardised approach for risk assessment.
Their role is to determine the risks that customers expect them to take with service contracts as well as evaluate the critical risks that they finally accept. The deep understanding of the customer, awareness of your capabilities can decrease the lack of information and associated counterparty risks.
The supplier can actually create competitive advantage by building an active model for risk management. Understanding the risk implies that service provider can identify and measure the risk it transfers from the customer.
Calculating the Value at Risk
Only knowing the possibility of risk appearance does not solve the problem, more important is to know the frequency of events, its execution and commercial impact. Digitalization can help here in the form of data analysis of performance (e.g., lead times, number of failed starts, output), so the firm should create a database that allows the supplier to model and predict risks. By collecting and analysing data on product design or manufacturing issues, failure rates and time (logistics or maintenance completion), the supplier also knows what must be changed or improved as well as understanding the cost of mitigation. Statistical analysis helps service providers to understand better their capabilities and to control risks.
The Value at Risk (VaR) concept is defined as an expected maximum loss of the risk position and it is widely applied in the finance industry. For example, we take the planned maintenance and the issue would be late delivery of parts which was promised at 26 days.
From the past (data analysis), we have to find out what is our actual lead time and deviation from the ‘expected’ lead time. Form this we can calculate the expected execution cost and predict the commercial impact based on the lead time.
The total risk is the position valued at current prices, in our case is the total execution and commercial, from which we can define the expected maximum loss.
The higher the chosen confidence level is, the higher the potential maximum loss. From these principles and calculations results drawn from the concept, the VaR of individual risk position can be derived.
This analysis will help the supplier to decide on what delivery terms, performance commitments or other KPIs they can provide as well as calculate the commercial value of the contract with particular services.
Answers to these questions also will tell what liquidated damages to expect for availability, reliability, efficiency and late delivery if supplier choses terms that do not correspond to statistical analysis.
Pricing the risk
Now that we understand the value at risk, it is important to price the risk. This is because you are taking risk from the customer and you are therefore providing a valuable service for them. How can this additional service be priced? First, the price should be above the cost otherwise you are not getting a reward for taking the risk! Questions to ask yourself when estimating the ‘fairprice’ to charge:
• What are the customers critical performance measures or outcomes?
• How much would it cost the customer to take the risk themselves?
• How much pain are you really taking from the customer?
• Is the gain/pain sharing balanced?
• What do you think is their ‘willingness-to-pay’?
Do not accept to hold a risk where they cannot control or mitigate the risk, taking market risks is not a sure-fire way to go out of business. Finding a balance with the risks so that you are incentivised to improve performance and outcome for the customer is nevertheless difficult but something worth doing.
Learn from past experiences, the RR example with the Trent engine was predictable as were the costs. Recommendations Firms should consider how they assess risk for product service systems, this is practically important for advanced services. It is recommended to measure execution and commercial risks for every project.
Learning to track the events that cause both execution and commercial risks will help you to better understand the risks and the costs associated with them.
By being more proactive in risk management, industrial firms can turn the risk into commercial advantage.
Apr 11, 2019 • Features • Future of FIeld Service • manuel grenacher • SAP • Service Delivery • Industry 4.0 • Customer Satisfaction and Expectations
Have you ever considered the possibilities and potential of digital twins for your customer service? Don’t worry, we are not talking about virtual figures in cyberspace that are modelled after the user just like avatars.
A digital twin represents a real object in the digital world. Digital twins are composed of data and algorithms and can be coupled with the real world via sensors. They form the basis for a digital customer service and other industry 4.0 related processes. In short, “digital twins” recreate a system in the computer. Ideally, data from the engineering phase – from 3D models to detailed information on installed components – is transferred to the operating phase.
Sensors provide live information on operating conditions, and in addition, all technical innovations on the system, such as the installation of a spare part, are tracked in the “digital twin”. Users benefit from more accurate real-time information and they get a detailed “reference book” with all service information they need.
But how can companies use the advantages of digital twins for their customer service? Digital twins enable the implementation of predictive maintenance since they allow data to be assigned to specific plant conditions. Thus, changing measuring conditions often show in advance that a certain component will fail in the foreseeable future. This allows planned system downtimes to be better coordinated and repair cycles to be adapted to expected failure probabilities.
Requirements For Digital Twins In Service
Sufficient sensors and a systematic evaluation of the data are the essential basis to predict imminent component failures – an approach that is already feasible today. However, technical possibilities are still far from being exhausted right now.
Due to ongoing depreciations or for other economic reasons, companies are only gradually investing in plants equipped with modern IoT technology. IoT, however, will become more affordable in the near future. Sensors will therefore spread continuously while at the same time becoming easier to use, more resistant and cheaper.
"A digital twin represents a real object in the digital world..."
Enabling New Business Models, A Recipe For Digital Success
Industry 4.0 cannot work without a well-planned and technologically underpinned digital service concept, because service is an essential part of digitization. Many companies today already try to stand out with the quality of their service rather than just great products since they are often too similar, even exchangeable.
Customers therefore primarily choose the partner that offers more and faster service. The goal of every company should therefore be to better understand its customers, create better touchpoints and improve service.
This is where new concepts such as “machine-asa-service” become more and more important: companies only purchase the performance of a machine instead of the machine itself – including the service to ensure constant performance. Service Lifecycle Management plays a central role in this concept. In the future, entire ecosystems will emerge from new service providers using concepts like this.
Digital Twins Will Revolutionize Customer Service
Digital twins with their immense data material in both service and business intelligence offer the potential to create entirely new areas of business. Sensors allow to map and control machine statuses and product quality in real time – as well as predicting problems at an early stage. This way, service can intervene before expensive machine failures occur.
Furthermore, companies can dynamically adapt maintenance intervals to actual requirements on the basis of live information. In the future, all of a company’s systems as well as all of its spare parts, tools, containers and products, will be represented by their “digital mirror images”, a complete factory in the computer. The large amount of data that can be collected using digital twins in combination with artificial intelligence evaluation will provide stunning new insights into the interaction of operating processes.
This will lead to fully automated smart factories, which, thanks to artificial intelligence and digital twins, can control themselves practically without human intervention
Manuel Grenacher, is GM at SAP Field Service Management.
Apr 10, 2019 • Features • Management • Future of FIeld Service • WBR • Digital Transformation • Field Service Events • Customer Satisfaction and Expectations
Set against a backdrop of rolling Welsh countryside, this invitation only summit will see senior field service executives debate, discuss and divulge their successes and challenges in 2019.
Customer Service and Mindset
There can be no doubt that the traditional interpretation of Field Service is changing: a fundamental shift is being made to focus on service and its incorporation and development into existing, more product-centric, business models. Where once it was enough to rely on a stellar product, now competition is fierce and margins are being squeezed this is no longer the case. Where excellent service is being provided and taken for granted in everyday life, it makes sense that this is now being expected, if not demanded, within business transactions.
A new age is dawning and customers are continuing to ask how a product and company ‘adds value’. Engineers in the field have access to, and interactions with, potentially hundreds of contacts within a specific customer base. So it’s no surprise that those customers will come to associate a product’s ‘worth’ based on the dealings they have had with these field service representatives. As the American poet Maya Angelou is attributed to have said: “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel”.
By 2020 customer experience is slated to overtake price and product as a key brand differentiator.
Women in Field Service and Brand
With this shift to customer centricity there must also be a shift in perception. Traditionally seen as male dominated, a career in field service has not attracted women. However, with service coming to the fore this situation is starting to change and the skills that women offer are becoming more vital than ever. The ‘soft skills’ required for customer service roles are often attributed to women, but it’s not a question of gender, the focus must be on what skills can be brought to the table as a whole and how these can be used to improve a company’s field service offering.
"Traditionally seen as male dominated, a career in field service has not attracted women..."
In order to ensure that quality talent is acquired and retained Field Service must also diversify so that the next generation of bright minds can see themselves working in this sector. If a certain demographic is only ever highlighted and portrayed then it is no wonder that it is presumed that this is all there is. As you would market a brand, the same must be done throughout Field Service. Why would you choose this career? What is there to offer? What is the long term career outlook?
In order to keep up with rising expectations it will require a massive change in mindset, starting at board level and moving downwards, to truly transform a company ethos. For some this will mean a transformation in culture that has formed over decades but must now be changed rapidly if they are not to be left behind by the competition. This will be easier said than done; as change is happening so fast it’s fundamentally hard to move quickly enough! However, as the old adage goes, ‘just because something is difficult, it doesn’t mean it isn’t worth doing’.
Digital Transformation
Alongside the cultural shift needed to meet customer expectations, Field Service is also being driven by digital. Gartner defines digitalisation as ‘the use of digital technologies to change a business model and provide new revenue and value-producing opportunities; it is the process of moving to a digital business.’ ‘Digitalisation’ and ‘digital transformation’ have become such buzz words in recent years that some have lost sight of not only what it means but what they are actually trying to do.
Digitalisation is a tool by which to achieve an end goal, not the goal itself. Gartner predicts that by 2020 10% of emergency field service work will be both triaged and scheduled by artificial intelligence. With AI assisting with everything from scheduling to predictive maintenance to using past data to make future plans.
The human element within Field Service is still very much relied on and future technologies and solutions will be there to support these interactions - to make life easier and more efficient, not to replace humans altogether.
People still want to do business with people and until the customer becomes more Terminator than terrestrial this will probably always be the case.
You can find out more more information about Field Service Connect UK 2019, including how to register here.
Apr 02, 2019 • Features • analytics • Data Analytics • Future of FIeld Service • BigData • business intelligence • FieldAware
Without doubt the use of analytics is having an increasing impact in field service. In 2018 we saw more interest than ever from field service leaders wanting better insight into their business and they understand that analytics holds the key to this.
We are expecting a further shift in the way analytics is applied in field service so what are the main challenges that organisations face that analytics can address today?
The Evolution of Analytics
The early adopters of field service analytics were quick to realise that it was not simply data that mattered, but how the data was turned into information that was key. They focused on how data was aggregated from multiple sources to give a unique and unprecedented visibility into the end-to-end operations.
They took a basic understanding of the ‘what’ and ‘where’ and enabled the next leap of the ‘why’ with advanced analytics capabilities that truly enhanced the value of their data further still. Analytics provided business insight and allowed management to focus on taking action based on decisions made from the real-time information available. Operational issues can be more easily identified and rectified quickly and effectively. Business intelligence helps identify trends and creates context, so productivity can be improved, and efficiencies made, so field service organisations have reaped the benefits.
Learn More, Serve More, Grow More
As field service organisations mature in their use of analytics they demand more from business intelligence. There is a definite shift in the application of analytics from simply turning data into outcomes, to enabling leading companies to take a more strategic approach. Analytic driven organisations can learn more about their operational performance and the needs of their customers empowering them to address the trends that are revealed.
Going forward into 2019 we will see analytical data being used in unique ways to help field service organisations leverage the findings that are uncovered to drive innovation into their products and services. Forward-thinking companies will be able to apply these insights to help customise the service they offer to their customers more easily, deepening the customer relationship and improving levels of satisfaction.
The creation of new, unique, predictive and preventative services will help them to serve more. Ultimately this greater understanding of their customers’ needs and expectations, is what will help companies differentiate themselves from their competition and lead company growth.
This shift to a strategic use of data is becoming more and more prevalent in field service and leaders are making it a priority in their business drivers.
"As field service organisations mature in their use of analytics they demand more from business intelligence..."
An Integrated Future
As company leaders recognise that field service has the potential for becoming a more strategic driver within the wider business, the need for improved integration within the business becomes even more critical.
Service teams have, in the past, often been considered to be simply an overhead within the business model rather than adding value. However, the ability to leverage information across the organisation in real time and bring additional context to the broader business insights, empowers field service organisations to become value drivers in the business.
Analytics provides the means for field service organisations to realise their potential and companies that recognise this value, see the importance of a closely integrated and connected field service within the wider business.
Field service solutions have long had the capability to integrate into other business systems, such as CRM, ERP and accounting, to extend the power of these solutions and the combined information provided. Business leaders understand that the true integration of these technologies maximises the overall value beyond the sum of the parts. A comprehensive field service management platform integrated with a suite of solutions is where we are seeing the greatest application of analytics.
As field service becomes a greater part of a fully connected business, the empowered field workforce, armed with contextual insights, are enabled to creatively interact and work with other teams and departments. These new interactions further unlock the value for the company in terms of customer service, sales or product development to fuel competitive advantage.
The Analytics Advantage
Analytics will continue to develop and the potential in field service is vast. It is no surprise that research consistently shows that field service leaders see analytical tools as a priority for their technology investments.
Business insights elevate the field service operation, transforming it to a value-driving organisation within the wider company, that delivers real results: Increasing productivity, customer satisfaction and revenue, taking service to the next level of providing competitive advantage – a vital step in any business.
Companies should take full and rapid advantage of the critical role analytics has in field service.
Mark Tatarsky, is SVP Marketing at FieldAware and will be part of a panel at Field Service USA, discussing the latest developments in field service analytics. The event takes place from April 23 to 26 at JW Marriott Palm Desert Resort and Spa, CA and ou can register for the conference here.
For more information on how to take advantage of analytics in your field service, visit FieldAware's Insights page here.
Mar 27, 2019 • Features • Advanced Services Group • Aston Centre for Servitization Research and Practi • Data Capture • Future of FIeld Service • manufacturing • Monetizing Service • Professor Tim Baines • Servitization • tim baines
Digital technologies, IoT and digitalisation have been big topics in the manufacturing sector. Combined with services, digital seems to be the answer for a multitude of manufacturing questions, if you take the hype at face value.
But for many manufacturers, digital actually raises more questions than it answers, with one particular question at the centre: how to capture the value of digitally-enabled services?
The Advanced Services Group at Aston Business School has recently released a whitepaper on performance advisory services, which aims to cut through the hype and provide clear information and insight into how manufacturers can make the most of digitally-enabled services.
Real business insight
In this whitepaper, we wanted to reflect real business insight and real business challenges. We invited senior executives from a range of manufacturing companies - from multinationals such as GE Power and Siemens to local SMEs – for a structured debate on digitally-enabled services.
The discussion and its outcomes formed the basis of the research for the whitepaper and helped crystallise the three areas that are most important to manufacturers:
1. Performance intelligence and data as a service offering;
2. How to capture value from these services;
3. How to approach the design process to achieve success.
What are performance advisory services?
The process by which a manufacturer transforms it business model to focus on the provision of services, not just the product, is called servitization. Generally, we distinguish three types of services. Base services, such as warranties and spare parts, are standard for many manufacturers and focus on the provision of the product. Intermediate services, such as maintenance, repair and remanufacturing, focus on the condition of the product. Advanced services take a step further and focus on the capability that the product enables.
In this framework, performance advisory services are situated in between intermediate and advanced services. Typically, these are services that utilise digital technologies to monitor and capture data on the product whilst in use by the customer. These insights can include data on performance, condition, operating time and location – valuable intelligence that is offered back to the customer, in order to improve asset management and increase productivity.
Why are they attractive to manufacturers?
Performance advisory services are attractive to manufacturers because they allow the creation and capture of value from digital technologies that are likely in use already. Take the example of a photocopier - with the addition of sensors that monitor paper and toner stocks, it can send alerts when stocks are getting low. This kind of data is valuable to the customer, as it will help improve inventory management and avoid service disruptions or downtime, but it is also valuable to the manufacturer in helping them understand how the product is used, providing data that they can use to re-design products or to develop and offer new services.
Making money from performance advisory services.
Performance advisory services offer the manufacturer the potential to capture value either directly or indirectly and there is a strong business case for either. Whilst charging a fee directly for data or a service provided is compelling, the potential indirect value for the manufacturer should not be underestimated, as it can yield not only greater control and further sales, but also new and innovative offers, as well as improved efficiencies.
"Performance advisory services are situated in between intermediate and advanced services..."
In the photocopier scenario, the data generated could be sold to the customer as a service subscription, thus earning money directly.
Alternatively, the manufacturer could use the data generated for maintenance programmes or pre-emptive toner and paper sales, thus earning money indirectly. In reality, however, direct and indirect value capture are likely to go hand in hand. A prime example of this is equipment manufacturer JCB, whose machines are fitted with technology to alert the customer if the equipment leaves a predefined geographical area.
For the customer, knowing the exact location of the equipment is valuable – as it may have been stolen. But it also greatly improves efficiency for the manufacturer when field technicians are sent out for maintenance work and do not lose time locating the vehicle.
Performance advisory services - just one step on the journey to servitization
Performance advisory services present a compelling business case for manufacturers looking to innovate services through digital technologies, in order to improve growth and business resilience.
With the immediate opportunity to capture value, these digitally-enabled services are a first step for many manufacturers towards more service-led strategies and servitization.
But that is what they are – just one step on the journey to servitization. Manufacturers looking to compete through services should not stop with performance advisory services.
In the environment of a more and more outcome based economy, it is imperative to understand the potential of taking a step further to advanced services and to recognise performance advisory services as a step toward this.
The full whitepaper Performance Advisory Services: A pathway to creating value through digital technologies and servitization by The Advanced Services Group at Aston Business School is available for purchase online here.
Mar 22, 2019 • Features • Future of field servcice • Future of FIeld Service • Gig Economy • workforce management • The Field Service Podcast
In the latest Field Service Podcast, Mynul Kahn, CEO and Founder of Field Nation, discusses the changing modern nature of field service recruitment.
In the latest Field Service Podcast, Mynul Kahn, CEO and Founder of Field Nation, discusses the changing modern nature of field service recruitment.
In this episode, Field Service News Deputy Editor Mark Glover, speaks to Mynul Kahn, CEO and Founder at Field Nation about the shift in service recruitment and how the gig economy will gain more relevance in the sector.
Mar 22, 2019 • News • 5G • Augmented Reality • Autonomous Vehicles • Future of FIeld Service • Ericsson • Software and Apps • Global Mobile Broadband
Börje Ekholm says telecommunication company will complete roll-out this year and network upgrade will compliment new technology such as Augmented Reality and autonomous vehicles.
Börje Ekholm says telecommunication company will complete roll-out this year and network upgrade will compliment new technology such as Augmented Reality and autonomous vehicles.
Speaking at Mobile World Congress 2019 in Barcelona this month, Börje Ekholm Ericsson's CEO and President, said the firm expect to switch on the 5G network over the next 12 months and the robust network will facilitate ventures including Augmented Reality, Artificial Intelligence and autonomous vehicles.
Ericsson had previously announced 5G deals with 14 service providers across Europe, US, Asia and Australia including US Cellular and Telstrar. Memorandums of understandings have been signed with 42 other service providers and Ekholm told journalists to expect further announcements.
Citing research from the Ericsson Consumer Lab, he said that smartphone users will soon see the impact of the new coverage. "Consumers and enterprises are waiting for 5G," he explained. "One-third of smartphone globally will change either immediately or within six months to a service provider that switches on 5G."
Mar 21, 2019 • News • Artifical intellignece • Artificial intelligence • Future of FIeld Service
A study by OnBuy.com, conducted by YouGov, showed British people would be reluctant to form a work relationship with a robot.
When asked how they feel about having a robot as a manager, 66% of men and 75% of women said they would feel "uncomfortable" with such an arrangement.
The survey questioned 2,041 people and looked to gauge the British public's attitude to robots, given the rise of Artificial Intelligence smart-devices such as Amazon's Alexa appearing in UK homes.
"Whilst the idea seems far-fetched," said the accompanying press release, "the idea that robots could become part of everyday life has become a topic of conversation. Robot-human relationships has become a concept many have begun to form an opinion on."
Mar 20, 2019 • News • Artificial intelligence • Augmented Reality • Future of FIeld Service • Survey
Over half of the US Government workforce feel comfortable with technology such as artificial intelligence but want to see accompanying training and guidance readily available.
Over half of the US Government workforce feel comfortable with technology such as artificial intelligence but want to see accompanying training and guidance readily available.
The survey by Government Business Council, canvassed nearly 500 US Federal employees across more than 30 civil and defence agencies sought opinion on smart technologies such as Augmented Reality and Artificial Intelligence.
Over half (51%) understood that artificial intelligence will evolve "slightly or considerably" in the next three years and will have an impact on their role in the future, however only 26% said their respected agencies had communicated the impact of AI to them either "adequately, well or very well."
The survey also revealed that workers felt confident in adapting to this change but were concerned that there was a lack of training around the technology, with 61% expressing worry at the absence of technical support.
“AI is one of the most engaging topics we are seeing unfold in the federal government right now,” said Daniel Thomas, Research Manager at GBC and the study's author. “These findings show that there is a significant appetite for continued education around the opportunities that intelligent technologies like AI present to the federal employee."
You can read the full report here.
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