DEBUG: PAGE=domain, TITLE=NelsonHall Blog,ID=1469,TEMPLATE=blog
toggle expanded view
  • NelsonHall Blog

    We publish lots of information and analyst insights on our blogs. Here you can find the aggregated posts across all NelsonHall program blogs and much more.

    explore
  • Events & Webinars

    Keep up to date regarding some of the many upcoming events that NelsonHall participates in and also runs.

    Take the opportunity to join/attend in order to meet and discover live what makes NelsonHall a leading analyst firm in the industry.

    explore

Subscribe to blogs & alerts:

manage email alerts using the form below, in order to be notified via email whenever we publish new content:

Search research content:

action=something else...array(7) { ["program"]=> int(-1) ["analyst"]=> int(-1) ["industry"]=> int(-1) ["serviceline"]=> int(-1) ["vendor"]=> int(-1) ["country"]=> int(-1) ["application"]=> int(-1) } array(0) { }
from:
until:

Access our analyst expertise:

Only NelsonHall clients who are logged in have access to our analysts and advisors for their expert advice and opinion.

To find out more about how NelsonHall's analysts and sourcing advisors can assist you with your strategy and engagements, please contact our sales department here.

Accenture Articulates its ER&D Ambitions

go to blog home

Search posts by keywords:

Filter posts by author:

 

We were recently briefed by Accenture on the creation of Industry X.0 within its Accenture Digital organization. The discussion far exceeded the scope we were expecting of Industrial IoT, and it signaled Accenture’s expansion in Engineering and R&D discussions (ER&D), with bold ambitions not just from a product design perspective, but also from a manufacturing and product aftermarket perspective.

In 2017, Accenture made the following changes to the high-growth Accenture Digital:

  • Accenture Analytics integrated the AI capabilities of Accenture and was renamed Accenture Applied Intelligence
  • Accenture Mobility, which housed both mobile app development and IoT, was split. The mobile apps business was merged with Accenture Technologies’ Application Services unit, based on the rationale that this activity no longer requires to be incubated within Accenture Digital.

However, Accenture Interactive was left untouched, with its focus on service design, UX, CX, digital marketing, personalization, content strategy and development, and commerce services.

The creation of Accenture Industry X.0 was based on the IoT capabilities of the Accenture Mobility unit. It integrated several units from across Accenture, including its embedded systems capabilities, its PLM services units (both of which from Accenture Technologies) and its manufacturing-specific capabilities (MES services, and PLM services).

The combination of these units has implications: Accenture’s IoT services offerings were based on use cases, with the intention of creating a systematic map of use cases based on COTS or on its own software products. Industry X.0 has broader ambitions, both in product design and manufacturing:

  • In product design, Industry X.0 is emphasizing its digital and agile approach to products, using the now well-established mix of ideation workshops, design thinking/UX, and MVP. It is expanding its capabilities in embedded systems, as well as its mechanical engineering capabilities. Acquisitions are likely to further boost expertise. Accenture is expanding in the world of ER&D services, where the likes of Altran, Alten, and HCL Technologies dominate. The surprise is that Accenture Industry X.0 is taking a full capability approach; we were expecting a narrower emphasis on embedded systems, and IoT
  • In product manufacturing, Accenture Industry X.0 is taking a more defined approach. With its MES and SCADA systems capabilities, the practice addresses the IT side of manufacturing plants, and also manufacturing strategy.

Going forward, the strategy of Accenture Industry X.0 includes deploying analytics and AI, looking at use cases such as product quality and production throughput improvement. Product quality is a high priority for using deep learning, e.g. image recognition to identify defects within products.

Product design is the revenue growth part of Accenture Industry X.0’s value proposition, whereas with product manufacturing the emphasis is on achieving cost savings. Accenture is emphasizing its prototype to manufacturing approach, helping clients create prototypes that can be moved to the production phase. Accenture also has a sourcing branch in the Special Economic Zone of Shenzhen, close to Hong-Kong. It is also ready to do short series manufacturing, either directly or through contractors.

Finally, along with product design and manufacturing, Accenture Industry X.0 is also starting to develop its ‘support’ services, e.g. applying new hardware such as robots and drones to reduce the reliance on human-intensive activities.

Accenture is taking a well-articulated and comprehensive approach to the ER&D services industry that we have not often seen with its peers. Apart from the vision, can Accenture deliver on its product design and manufacturing strategy, given the fact that ER&D service specialist vendors have a well-established geographical presence and a track record in the industry? Accenture certainly has a track record in execution. Also, it is likely that M&A will be an important element of its growth strategy. With >70k vendors operating in the ER&D services industry, Accenture certainly has space for its ambitions.

No comments yet.

Post a comment to this article:

close