Drone market in the future?

7

October

2016

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With all the fuzz around privacy and safety when discussing drones, I was curious about all the positive sides drones could have. Not only by looking at the applications of drones such as the delivery of parcels or drone racing, but also by looking at the markets. It is obvious that companies selling these drones are increasing their revenue, but there is an entire (secondary) market growing around these drones. In my opinion, this (secondary) market can be divided into two markets: the drone accessories market and the “drone services market”.

When looking at the drone accessories market, this market gains the most momentum from the primary drone market. Companies are shifting their focus more to the drone market, because of its potential. Yesterday Verizon, one of the largest telecom providers in the US, announced it is going to sell specific data plans for drones. I agree, it is only a marketing thingy because the plans are exactly the same as for smartphones, but it shows marketing is more and more creeping towards the drone market. Also, insurance companies such as AIG are offering custom drone liability insurance packages for businesses in case something goes wrong flying these drones.

The drone services market is also growing. This market revolves around companies/people offering their drone and themselves as pilots for making aerial videos of houses (for real estate purposes) or sporting events. I think this market will eventually grow further because of all the services that will be provided for drones. I am thinking about drone repair services and even more drone training services for consumers and companies. What do you guys think? How will the drone market (primary or secondary) grow in the future?

Sources:
http://www.wsj.com/articles/verizon-to-start-selling-wireless-data-plans-for-drones-1475774573
http://www.aig.com/business/insurance/specialty/unmanned-aircraft-solutions

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ERP-as-a-platform?

2

October

2016

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ERP-as-a-platform?
In my 2 years as an ERP implementation consultant, I have worked with both Microsoft Dynamics AX and SAP ERP systems. Where a lot of different software programs are making a transition to subscription-based programs, I feel like ERP systems and offerings are making two transitions of which one is already ongoing.

ERP in short
ERP is the acronym for Enterprise Resource Planning and in short is a big computer program in which most electronic data from a company, for example financial data and product stock information, can be recorded and tracked. It consists out of different modules that communicate with each other through interfaces.

The ongoing transition
A real transition is that of the ERP system offering. The implementation of an ERP program is making the transition from Software-as-a-Product (SaaP) to Software-as-a-Service (Saas), where both Microsoft and SAP are prohibiting the installation of the newer (cloud-based) software on private client servers, making it easier for both companies to control their revenue stream by hosting the software e.g. also a subscription-based program through hosting and licensing

The future transition?
From a BIM perspective, this transition might be more interesting. Where the subject on platforms has already been discussed in class, I have a feeling this transition could also be possible in ERP software programs. In the earlier days ERP systems were more like a blackbox where data was the input and reports rolled out. Nowadays the data streams are real time and this asks for more comprehensive analyses and reports which the ERP suppliers cannot provide because of the specific knowledge needed. This is why a platform approach for ERP (EaaP) might be more value adding for both ERP customers and suppliers, because all software suppliers can focus on there own speciality.

I think the ERP core system can be seen as the platform itself. It exists out of the basic functions an ERP system needs e.g. basic financial and sourcing/sales possibilities. The producers can be seen as app developers that create add-ons (modules) for the ERP core system for specific analyses. The only requirement is that the interfaces between the ERP core system and the add-ons are standardized.

I’m really curious where the ERP systems will stand in 5 years. That it will be a “cloud-party” is obvious, but I’m waiting eagerly on the platform transition as just described as I believe it will generate more competition and more value for everyone.

Source:
https://www.microsoft.com/en-us/dynamics/erp-ax-overview.aspx#HowToBuy
http://go.sap.com/product/technology-platform/hana/implementation/deployment.html

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