Even though Big Data is a new frontier and there is widespread excitement about masteringand executing something new, it is important to base any new investments in skills andtechnology on a strong business context. In this article, Lokesh Dadhich and Shinichi Akayama of Arthur D. Little, discuss why Telcos should aim to build upon small successes and then gradually roll out Big Data initiatives organization-wide.
Historically, pay-TV operators have provided both exclusive movie content and live sports content. The former has been increasingly preyed upon by OTT players (e.g. Netflix). OTT players have been successful for three main reasons: offering an abundant catalogue (available anywhere at any time), at an affordable price and with a simple user interface. Therefore, the perceived value of the filmed entertainment content value proposition of pay-TV operators has come under pressure. In this article, Clemens Schwaiger and Daniel Cheaib of Arthur D. Little discuss how pay-TV operators are shifting their buying power to premium sports, and why free-to-air (FTA) broadcasters are finding it increasingly difficult to retain such live sports rights.
Recent cases in which we have participated have shown that the organization of digital efforts is a key and controversial aspect of every digital transformation. Channels, clients, IT and other departments often think that digitalization is their natural field of play, and that they must keep ownership of the process. Traditional channels, product areas and other "business-as-usual" departments sometimes see digitalization as more of a threat than an opportunity, and their lack of involvement and commitment is a real danger to the outcome of the transformation. In this article, Alejandro Gonzalez and Pedro Fernández of Arthur D. Little, explain why becoming digital centric is a must.
Banks and insurance companies that are able to transform themselves will be well placed to benefit from digitalisation. However, most companies remain unprepared, write Alejandro Gonzalez and Pedro Fernández of Arthur D. Little.
For those of us who live and work in big cities – well over half the world’s population today, a figure projected to increase to 70% by 2050 – metro railways are an ever-present part of daily life. Today there are 148 cities with metro operations carrying over 150 million passengers per day, with about one-third in Asia, one-third in Europe, and the rest split between the Americas, the Middle East and Eurasia. Metros are critically important assets for the world’s cities in order to meet the huge challenges of maintaining urban mobility in the coming decades. In this article, Rick Eagar, Russell Pell and Philip Webster discuss the five key challenges for urban railways to meet future mobility needs.
Banks and insurance companies that are able to transform themselves will be well placed to benefit from digitalisation. However, most companies remain unprepared. According to a 2015 pan-European survey by Arthur D. Little, financial institutions are less adapted to digitalisation than the cross-industry average. Although most companies have undergone considerable investments in order to update their IT capabilities and architecture, other key functional aspects are lagging behind, organisation being one of the most critical ones. In this article, Alejandro Gonzalez, and Pedro Fernández of Arthur D. Little explain how financial institutions can transform to ride the digitalization wave.
It is becoming clear that in order to stay relevant in the future healthcare ecosystem, pharma companies must look to business models that foster much more direct patient engagement than previously. New methods offer significant potential in increasing the quality and efficiency of care. In this article, Ulrica Sehlstedt, Nils Bohlin, Fredrik de Maré and Richard Beetz from Arthur D. Little explain how digital health solutions can solve the major long-term issues of pharma’s most important client groups – patients, providers and payers – all at the same time.
Many of the highest-cost and technically most complex oil and gas development projects, including remote and deep-water fields, are still deferred or cancelled as their economic outlook remains poor. This presents international oil companies with an increasing reserves-replacement challenge that the largest national oil companies do not face, or at least not in the same way. In this article, Stephen Rogers and Ondrej Sanislo from Arthur D. Little, explain why low prices may drive persuasive structural changes in upstream oil and gas.
The meltdown at Fukushima in 2011 has not deterred all nations from building new nuclear plant. According to the World Nuclear Association 31 countries around the world still have plans for new reactors – 65 (representing nearly 70 GWe) are under construction, 173 (182.42 GW) are on order or planned and 337 (379.2 GW) are proposed. In this article, Michael Kruse of Arthur D. Little is quoted as saying: “Since market prices and LCOE are very close, the risks of building a nuclear power plant that is not profitable is very high. Since the market prices are very uncertain at present, it is difficult to justify the investment without any kind of guarantees.” At Hinkley EDF is guaranteed an off-take price of £92.50/MWh for 35 years, giving EDF sufficient stability in its business case, yet it still hesitates in making its FID. “This,” said Kruse, “shows how difficult it is to enter into an investment, which will cover a lifetime of 60 to 80 years.”
Relationships with third parties can create substantial risk, especially in sectors where companies critically depend on them. It is not unusual for a contract value to be passed on to these third parties. However, companies can take steps to mitigate, manage and even create value from this situation as John Barker, Stephen Watson and Javier Serra from Arthur D. Little explain in this article.