Enhance business model with AR

 4 minute read

Augmented Reality overlays digital information to the physical world whereas tangible space becomes an asset, inspiration, and innovation boost. By 2020, expenditure on AR is expected to reach $60 billion and influence companies from factories to educational institutions. It will revolutionize decision-making, learning, manufacturing, and training processes. The future of Augmented Reality is at the doorstep of a new business era.

Enabling efficient

Augmented Reality profoundly intervenes in the functioning of the companies – AR glasses make office spaces multifunctional and productive. Replacement of cubicles with holograms and 3D models is on its way with an amplified mode of sending messages and learning in real time. According to game-based learning theory, training with prototyping and 3D-models enhances efficiency and has a high ROI. Boeing, a manufacturer in the airline industry, uses AR as guidance to train employees and go through 40 steps assembly process of the wing section. The company reports that this method[nbsp]decreased assembly time by 35% and resulted in 90% higher accuracy. Research conducted at Boeing showed that Augmented Reality boosts the speed of assembly by 25% and enhances overall productivity by 32%.

Making training efficient and affordable creates more prospects for people of various ages with diverse educational backgrounds. Today, according to American Staffing Association, 21% of Americans are not able to find a job due to lack of education while 33% do not have enough work experience. Application of Augmented Reality in training supports learning and discovery of new career paths, is one of the solutions to retraining people. There is a potential to minimize the unemployment gap. Career counseling for children and adults becomes progressive with a possibility to experience a profession and learn new features of the job in practice. AR is a tendency of the business future with advanced training, fast learning and career discovery.

Using AR
in Assembly Line

A domino effect of augmented training[nbsp]is obvious – enhanced training results in higher quality goods, faster and[nbsp]more efficient manufacturing. Iconics, the automation software provider, integrates AR in its production stages to ensure control, monitoring, and safety of the assembly line. The company is embedding holographic machine interface into its products. This visual way facilitates collecting substantial volumes of data to maintain equipment and spot defects and problems at the beginning. With Augmented Reality, Henry Ford’s assembly lines become highly efficient and make the future of undisruptive production with no downtime a possibility.

Moreover, the value chain can benefit from AR technologies as well. In logistics, warehousing operations account for 20% of all costs. For example, DHL, a provider of express mail and other transportation services, is dependent on the development employees especially during high season – employees define the speed of delivery. AR boosted company’s rapidity of training and reduced costs, as there was no longer any need of hiring traditional instructors. DHL reached 25% higher productivity in picking and organization of warehouse space. A possibility to review the warehouse helps see the optimal ways to organize it and take advantage of every centimeter of the shelf leading to maximized delivery speed.

Changes in retail

In marketing sector, Augmented Reality replaces showrooms whereas customers can experience products in the augmented environment. Simultaneously, such innovation can consider consumer preferences and develop customized and unique solutions. Augmented Reality interfaces enable a novel level of product support and continuous collection of customer feedback allowing the creation of a diversified and unlimited supply of products. Rachel Shechtman, a brand consultant whose clients include Gap and the beauty empire Bliss, sees a great potential in the new technologies. “I don’t think in terms of sales per square foot. I think in terms of experience per square foot,” she said to ELLE. “It’s a little like[nbsp]Field of Dreams—if you build it, they will come.” Bipplar, AR and computer vision company, has created the world first AR shopping destination together with Covent Garden in the UK.

To the Bright Economic
Future with AR

In 2016, 71% of enterprises have already considered adopting AR in their internal processes due to its costs effectiveness and 39% respondents claimed that their companies are already actively employing Augmented Reality. Investing in Augmented Reality becomes a priority – automotive, chronology and retail sectors are projected to invest more than 30% by 2020. AR will continue its intervention and forecasted to be a part of almost every industry driven by its higher productivity rates and substantial effect on GDP. The future of AR-focused businesses and economy of efficiencies is yet to come!

Insight Box

The impact of AR is growing, and many companies consider adopting this technology. This revolutionizing innovation changes a perception of training as a tiring and boring process – it is now motivating. Both children and adults become future-oriented on their pathway to qualified professionals – this resolves the unemployment gap and enables job opportunities for all. Embedding Augmented Reality in training and throughout the value chain boosts efficiencies, decreases mistakes, and has an overall positive impact on ROI and GDP. Focusing on the investment in AR is a way to build a strong economic world with exciting and motivating employee experience for higher productivity.

#AR #economy #efficiency #future of training #future trends #gdp #new business With AR, physical reality becomes a source of inspiration and asset. Its amplified future adds a spark of joy to daily tasks, boosts productivity, and has favorable impact on economy and society.

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About the category

Last century brought totally new visions on business environment. The way of living, working and existing overall transformed into globalized digital world. Humanity faced new problems and now has an objective to turn it into the opportunity to develop and grow the business. Managing the ecosystem inside and outside the company, improving the well-being of workers and saving the talents or outsourcing their tasks – these and other solutions are presented in this category.

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