| | OCTOBER- NOVEMBER 20179`Reimagining' the utilities business will shape the Digital Energy Network that overlays and complements the power supply systeminnovative supply, load balancing, and smart home/business energy services· Reimagine business processes and use digital technology to optimize business outcomes by converging information and operational technologies· Reimagine the role and structure of the workforce to support future business by incorporating wearable technology, Blockchain, 3D printers, and geospatial technologies"Reimagining" the utilities business will shape the Digital Energy Network that overlays and complements the power supply system. All participants­utilities, consumers, and new non-utility players­will use digital innovation to anticipate real-time demand and supply, operate self-healing grids, and innovate the customer experience. The new utility mission must be to help the world use energy and natural resources responsibly today and tomorrow while providing reliable, sustainable, and affordable energy and water for all people. This requires access to a Digital Energy Network for all participants. Technology providers will offer the digital foundation and the digital gateways that integrate the core solutions of each market participant to this Digital Energy Network.Leveraging Technology TrendsFive technology trends are shaping the digital economy­hyper connectivity, supercomputing, cloud computing, blockchain, and cyber security. Leading utilities prepare to use these technologies associated with these trends to find new answers to questions such as: · What are profitable business models based on new technologies and trends like solar energy, smart water and smart home devices, flexibility services, and data science?· How can we capitalize on the demand for reliable and sustainable power in a hyper connected world?· Which trends and technologies from adjacent industries are influencing the utilities market (e.g., consumer electronics and smart home devices)?Leaders are Emerging Quickly from NowhereThe utilities industry boundaries are already blurred. Large players like Google, Samsung, Tesla, and millions of private consumers engage in sustainable and smart energy generation and management. Start-ups promise a sustainable and reliable power supply at reasonable costs. Key questions include:· How to sustain and grow customer relationships with new digital services?· Which market spaces are the most attractive for new disruptive competitors?· Who are potential partners in the digital energy network?Early Adopters are WinningCompanies that embrace the digital world and execute on their digital strategy are growing shareholder and stakeholder value faster than their peers. The nature of the Digital Energy Network forces participants to synchronize and collaborate to deliver stable, affordable, clean, convenient, and reliable electric energy. Key questions include:· Which business segments allow market leadership and competitive differentiation?· Which tasks are better allocated to a partner in the network?· How do we develop and sustain the ability to adapt continuously to changing market conditions?The biggest challenge for utilities will be to confidentially answer these questions to transition to a "Digital Utility" to help power the next generation. ECHenry Bailey>
< Page 8 | Page 10 >