Why the Digital Twin of Your Organisation Will Transform the Way You Make Business Decisions Forever
Updated: Mar 22, 2019
Digital Twin technology is one of the most exciting developments in the tech space taking place right now. However, there seems to be confusion over what exactly ‘Digital Twin’ means.
The Digital Twin as per Gartner is “a digital representation of a real-world entity or system” which brings a tangible business value and helps leaders to explore options, simulate different what-if scenarios and so reduce the risk of chosen paths as the company moves forward.
The Age of Complexity and A New Way of Understanding
Have you ever asked yourself, “just how strong a grasp do I have on the complex aspects of my organisation?” Do you understand the full life-cycle of your product, how productive your organisation is, what knowledge you are losing when an employee decides to leave, and what impact each of these things has on the others?
The complexity of systems, programs, organisations, projects etc. is burgeoning, and executives and leaders today need to be able to think in a radically different way if they are to keep up with this change.
Unfortunately, the existing methodologies in traditional and established organisations struggle to provide insight or understanding of what a business’s operational network is, as a whole, and how separate resources within one organisation add value and impact each other, both individually and collectively, concerning products, markets, channels and so on.
To overcome this challenge, it is essential for organisations to “connect the dots,” think systematically, have a holistic understanding of the reality that decision makers are in, and understand that every decision made will have a repercussion.
How a Digital Twin of an Organisation (DTO) Can Help
At its core, a DTO is a digital representation (a dynamic software model – ‘a twin’) of a business ecosystem. The core task of the DTO is to accurately simulate and bring together all the complexity of the organisation components – internal processes, supply chains, sales, production etc.
Visibility, situational awareness, collaboration, testing, and improved enterprise decisions are just a few advantages of a DTO. Having a reliable representation of the enterprise lets you make decisions based on real-life data within a model of the business system as a whole, which can immediately influence the real-life direction of a company.
The DTO can also be a part of a collaborative, networked knowledge extraction tool, promoting and becoming effective storage for captured knowledge, with visualisation and analytical capabilities to exploit the outcomes.
The Challenges to model the Digital Twin of an Organisation (DTO)
The challenge of DTO implementation is that there are many business’ components which may interact with each other. These systems’ behaviours are intrinsically difficult to model due to the dependencies, relationships or other types of interactions between the components of business subsystems and their environment. So, it is vital to recognise and define how you want to map your enterprise to get the value out of it. Key benefits of a DTO include:
Making better-informed decisions based on accurate information about your organisation’s situation and progress
Improving situational awareness in your organisation
Optimising business operations and improved, innovative models
More effective collaboration
The ability to analyse, control and simulate changes before the decision implementation
Breaking down of silos of information between different business units
Quickly mitigating hidden risks and reveal opportunities for optimisation
Optimising cost and time factors
Building a complete DTO is a very complex endeavour, but one that is often done incrementally; many organisations start with one issue, project or department and once they have realised the value of a DTO, they move on to the next area of the business that needs improvement, gradually expanding the DTO.
The Idea of the Digital Twin Technology Provides You with The Visibility You Never Had Before
BOXARR argues that the inter-dependency between all aspects of your business’s operations (and the data they produce and process) is where massive risks and hidden opportunities lie. We all need to accept that everything we do is inter-dependent, and you can’t understand or optimise it just by looking at numbers.
Executives need to be able to “see” the effects of their decisions before they happen. The idea of Digital Twin of an Organisation gives decision makers new insights and situational awareness based on continuous intelligence and lets people respond to challenges tactically and strategically. BOXARR can help make this happen for your organisation.
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