🦾 Boosting machinery sector profitability via cloud-aided digitalization
Cloud capabilities open up an important potential source of revenue in the machine and equipment sector: the equipment-as-a-service (EaaS) model. This business model gives OEMs a way to satisfy customers’ increasing preference to operationalize their equipment expenses and reduce their capital expenditures. The EaaS model benefits customers by supplying them with rented equipment as part of a service that includes software updates, spare-part replacements, and predictive maintenance. And OEMs and manufacturers benefit from increased access to machine data and customers, which can lead to additional revenue.
Cloud computing also offers businesses scalability and enhanced system interoperability—for example, with supplier systems. And by taking advantage of cloud service providers’ existing networks and technology resources, machine and equipment manufacturers can more easily integrate new supply chain–enhancing capabilities such as data lakes or pretrained machine-learning models.
Cloud-based platforms allow OEMs to establish permanent connections to the digital components of the products they sell. Offering services such as predictive maintenance, steering via a product app, and remote problem solving directly to their customers can help OEMs create additional revenue streams.