By Bas Beemsterboer, EAM Evangelist, IFS

How does the lack of a sustainability strategy impact your business? And how can EAM technology help you? Let’s explore the possible outcomes of not having a sustainability strategy.

1. Customers leave

People are fed up with companies that disregard how their business practices impact the planet, with the majority willing to pay more to support environmentally friendly alternatives.

The Global Sustainability Study by Simon-Kucher & Partners surveyed 10,000 people across 17 countries to understand why sustainability is increasingly important in purchasing decisions. It turns out that globally, 85% of respondents report shifting their purchase behavior to support sustainable options—even if it costs more.

Not surprisingly, customers expect enterprises to put their money where their mouths are, backing up claims of environmental consciousness with science and hard facts.

For asset-dependent organizations, this means tracking hundreds and even thousands of enterprise assets to report on various environmental outputs, including carbon emissions, air and water pollution, deforestation, waste management, water usage, and many other measurements.

EAM technology helps the planet and the bottom line, connecting diverse components and providing broad oversight of the entire operation. Along with ensuring asset productivity and other traditional business outputs, enterprises can set specific sustainability goals, track performance, and receive real-time alerts when anomalies occur.

Most importantly, EAM technology enables detailed reporting to prove compliance with regulatory and industry standards—incontrovertible proof of the company’s commitment to sustainability.

2. Hiring (and retaining) people is difficult

People want to take pride in their work and their employer, favoring job offers from companies with an established track record in sustainability practices. 51% of people* report that they won’t work for a company that doesn’t have strong social or environmental commitments.

These numbers only increase within younger demographics, with 96% of millennial employees* requiring that their employers take active steps to become more sustainable over time. With millennial employees projected to make up to 75% of the workforce by 2025, it’s clear that enterprises that want to be an employer of choice will need a strong sustainability ethos.

EAM technology delivers hard numbers a company can use to prove its position and performance relative to sustainability. Along with real-time data, EAM tracks performance over time, comparing present-day results with established benchmarks.

3. Investors won’t invest

Socially conscious investors rely on environmental, social, and governance (ESG) standards to gauge a company’s behavior when screening potential investments. If an organization falls short of its ESG commitments, the investment is redirected to businesses with a positive track record and consistent results.

According to PWC research, ESG has become a make-or-break consideration for leading investors globally:

• 49% of investors express willingness to divest from companies that aren’t taking sufficient action on ESG issues
• 59% of investors say lack of action on ESG issues makes it likely they’d vote against an executive pay agreement (a third of investors have already taken this action)
• 79% state that how a company manages ESG risks and opportunities is an important factor in their investment decision-making

From the perspective of sustainability, ESG standards consider how a company safeguards the environment, including corporate policies to address climate change and other factors.

ESG requirements easily integrate into an enterprise’s digital strategy through intelligent EAM data and reporting. Asset-intensive organizations can share detailed reports and data to help investors evaluate potential environmental impacts, including how the company manages these risks.

• Corporate reputations are irreparably damaged

When companies ignore or purposely damage the environment, public and regulatory responses are immediate and intense. Especially if the business fails to meet goals to which it has already committed.

Perceived as greenwashing, customers judge falling short on sustainability commitments harshly, negatively impacting how they experience the company’s products and services.

In July 2022, the Harvard Business Review studied 202 publicly traded large US firms, examining goals and actions related to green product innovation (GPI). The study also incorporated customer satisfaction, social responsibility, and accounting and financial data from vetted sources.

The results? Companies perceived to be greenwashing experience a 1.34% drop in their ACSI customer satisfaction score. While this may seem like a small effect, given the narrow range within which most companies compete, even a small change has significant implications for corporate performance.

With EAM technology, enterprises can easily manage asset performance, delivering on stated commitments and adjusting course proactively to stay on track.

If an environmental incident is due to asset failure, EAM technology provides the business with historical and real-time data to help determine how the failure occurred. In scenarios where negligence is not a factor, reputational damage is often mitigated.

Achieve Your Sustainability Goals with EAM Technology

IFS works with enterprises globally, providing flexible, end-to-end asset management capabilities within IFS Cloud to help them set and achieve their ESG goals.

Dr. Fadi Alhaddadin, Assistant Professor, Mathematical and Computer Sciences, Heriot-Watt University Dubai.

As urbanisation accelerates in the Middle East, cities are evolving into hubs of innovation to address population growth, manage limited resources, and enhance quality of life. Smart cities are central to the region’s digital transformation, with the integration of spatial data and edge computing revolutionising urban planning. These technologies allow for distributed data processing at the network’s edge, reshaping the management of infrastructure, resources, and citizens. In this article, Dr. Fadi Alhaddadin explores the impact of edge computing and spatial data on the transformation of Middle Eastern cities, offering recent statistics and regional examples.

The Rise of Smart Cities in the Middle East

The smart city concept appeals to many countries in the Middle East as they work towards a better future reliant on technological innovations. Nations such as the UAE and Saudi Arabia have taken a leading role in these strategies by applying modern technologies in their cities’ administration, providing services, and maintaining living conditions.

This transformation has been accelerated by a key factor: edge computing. Edge computing refers to a computing architecture that processes data at its source, rather than relying exclusively on centralised cloud systems. By minimising latency and improving the quality of real-time outcomes, edge computing meets the demands of smart cities. It enables the integration of spatial data—information about the location of objects or events—into urban planning, infrastructure development, and the provision of public services.

Augmenting Infrastructure through Edge Computing

Infrastructure forms the foundation of any smart initiative, and the Middle East is increasingly leveraging edge computing to optimise the management of its critical systems. For roads, bridges, water, and energy grids, edge computing enables real-time monitoring and predictive maintenance, reducing operational costs and enhancing efficiency.

In Dubai, as part of the Smart Dubai program, edge computing has been integrated into the city’s urban infrastructure to manage traffic and promote public transport use. Sensors and IoT devices across the city enable real-time data collection, allowing traffic control systems to adjust signals, re-route vehicles, and swiftly reduce delays.

Moreover, NEOM, a smart city under construction in Saudi Arabia, is utilising edge computing to manage its transportation networks, nuclear facilities, and renewable energy grids. With a focus on real-time data analysis, NEOM aims to reduce energy consumption and create a fully sustainable urban ecosystem. Projections suggest that by 2030, this smart city could contribute up to $48 billion to Saudi Arabia’s GDP, showcasing the economic potential of embracing advanced technologies.

Optimising Resource Management

The third crucial aspect of urbanisation is efficient resource management, which, in the Middle East, largely involves handling limited natural resources like water and energy. The integration of edge computing and spatial data presents significant opportunities to optimise the use of these essential resources.

Adopting these technologies also supports the growth of the region’s renewable energy sector. Masdar City in the UAE, recognised as one of the world’s most sustainable urban areas, utilises edge computing to monitor and manage its solar power systems. By applying geospatial data on solar irradiance and weather conditions, Masdar City ensures its solar panels operate at peak efficiency. This reliance on renewable energy has enabled the city to reduce its dependence on conventional energy sources, with most of its power coming from sustainable resources.

Enhancing Citizen Engagement

One notable impact of smart city technologies is the improvement of citizen engagement. By leveraging edge computing to integrate spatial data, cities can better tailor their services to meet residents’ needs, enhancing overall efficiency. This fosters active participation and greater satisfaction among citizens, who can play a role in managing the urban environment.

Challenges and Opportunities

While the integration of edge computing and spatial data holds significant potential, it also presents certain challenges. The primary concern is data security and privacy, as the increased generation of data at the network’s edge raises the risk of cyber threats. To ensure the success of smart cities, robust cybersecurity measures must be put in place to safeguard the core systems.

Additionally, these technologies often require substantial investment in infrastructure, such as 5G networks and IoT devices. Achieving scalability and sustainability in smart city initiatives would demand collaboration between government and private sector stakeholders.

Despite these challenges, the opportunities far outweigh the risks. With the growing adoption of edge computing and spatial data, Middle Eastern cities are well-positioned to develop sustainable, resilient urban centers that prioritise citizens while driving economic growth.

Conclusion

The integration of edge computing and spatial data is fundamental to the Middle East’s vision for smart cities. These technologies are reshaping urban environments by improving infrastructure, optimising resource management, and boosting citizen engagement. Cities such as Abu Dhabi, Dubai, and Riyadh are leading the way, demonstrating how technology can create smarter, greener cities for the future. Although this transformation is still in its early stages, the region has the potential to become a trailblazer in the smart city revolution.

By Peter Adel, Regional Director at NETSCOUT

The introduction of 5G technology has transformed the Internet of Things (IoT) sector by significantly improving how devices connect and operate. With its high-speed data transfer, minimal delays, and efficient use of spectrum, 5G is  projected to increase IoT connections by 45% by 2025 in the UAE. This represents a significant evolution of how devices interact and function within the IoT network, ushering in a new era of innovation and efficiency in several sectors.

The Growing Importance of 5G in IoT

Recent research shows a 7% year-over-year growth in the cellular IoT market during the first quarter of 2024, highlighting the increasing reliance on and expansion of IoT technologies. As the demand for IoT devices and applications continues to rise, 5G’s capabilities are becoming essential in supporting these advancements. While 4G long term evolution (LTE) has traditionally facilitated IoT connectivity, 5G offers significant enhancements that are set to redefine the landscape.

How 5G Enhances IoT Connectivity

5G technology brings several key benefits that enhance IoT connectivity. One of the most significant advantages is its ability to provide high-speed data transfer. This capability is crucial for handling the massive volumes of data generated by IoT devices. 5G networks can transmit data up to ten times faster than 4G, which is important for applications requiring real-time data processing and large-scale data transfers.

Another major benefit is 5G’s reduced latency, which is less than 10 milliseconds compared to 20-30 milliseconds for 4G. This reduction means that IoT devices can send and receive data with minimal delay, which is vital for applications needing immediate feedback, such as autonomous vehicles, remote surgeries, and real-time industrial monitoring. Also, 5G’s improved spectrum efficiency allows it to handle more devices per square kilometre, supporting up to 1 million devices per square kilometre. This is crucial for addressing the growing need for dense IoT deployments in urban environments and large-scale industrial applications.

Moreover, 5G introduces the concept of network slicing, which enables the creation of virtual networks tailored to specific applications or industries. This capability allows for optimised performance and improved quality of service by allocating network resources based on the unique requirements of different IoT use cases.

Challenges in Integrating 5G with IoT

Despite its advantages, integrating 5G with IoT presents several challenges. The proliferation of IoT devices increases the potential for cybersecurity threats, necessitating secure communications through robust encryption and regular software updates. Extending 5G infrastructure to rural and less populated areas involves significant investment, with the costs associated with deploying 5G base stations and related infrastructure being substantial. Transitioning to 5G may require upgrading existing devices or developing new ones, which can be a costly endeavour for organisations, especially if their current devices are not 5G-compatible. Battery-operated IoT devices may experience higher power consumption with 5G compared to 4G, making energy efficiency a crucial consideration. Additionally, 5G networks use higher-frequency millimetre waves, which can result in coverage gaps, particularly in remote or rural areas, requiring solutions to ensure comprehensive coverage.

To secure IoT networks with 5G, organisations should use strong encryption to protect data and regularly update software to fix vulnerabilities. They must also implement strong authentication methods, like multi-factor authentication, to ensure only authorised users and devices have access. Network segmentation can also help contain breaches and protect critical systems, while  continuous monitoring and real-time threat detection are essential for quickly identifying and addressing security issues.

Securing the 5G-Driven Future of IoT

Looking ahead, 5G promises to secure the future of IoT connectivity, driving advancements in data transfer speed, device interaction, and network performance. Its ability to support high-speed data transfer, reduced latency, and massive device densities will enhance IoT applications across various domains, from smart cities and healthcare to industrial automation and transportation. As IoT devices evolve to meet the demands of 5G, they will need solutions that can empower communications service providers (CSPs) to achieve end-through-end visibility for any IoT device performance. The ongoing development and integration of 5G technology will be crucial in shaping the future of IoT and unlocking new possibilities for innovation and efficiency.