Yokogawa Electric has announced a strategic investment in Singapore-based Web Synergies, in a move designed to expand digital transformation capabilities.
Building on more than a decade of in-market collaboration -- centred around the deployment of solutions and services for internal and external digital transformation projects -- the agreement aims to build on the potential of IT and OT (operational technology) across the region.
The equity partnership -- which was undisclosed at the time of publication -- will “enhance and complement” Yokogawa’s digital engineering capabilities amid a rise in OT portfolios and increased cloud adoption.
Specifically, the agreement will allow Yokogawa to expand digital operations by leveraging Web Synergies’ "expertise and capacity" to deliver cloud services, enterprise data management and integration, supported by IT and OT security enhancements.
Meanwhile, the agreement will allow Web Synergies to accelerate geo-expansion plans and “strategically establish” operations in Japan, the Middle East, Europe and North America. Such offices will act as centres for business development alongside spearheading training programs to develop OT and IT talent.
Headquartered in Tokyo, Yokogawa provides advanced solutions in the areas of measurement, control and information to customers, spanning energy, chemicals, materials, pharmaceuticals and food sectors. Housing 17,500 employees, the multi-national corporation operates in a global network of 119 companies across 61 countries.
With offices in Singapore, India and Japan, Web Synergies specialises in the deployment of business software solutions, data analytics, artificial intelligence, cloud computing, managed services and bespoke consultancy offerings.
According to IDC, strategic partnerships will be formed between 40 per cent of market-leading IT and OT vendors by 2022, motivated by a desire to deliver a “holistic solution” which will reduce integration and deployment costs by 20 per cent.
“IT and OT convergence has been accelerating in recent years,” observed Jonathan Lang, research manager of IT/OT Convergence at IDC. “The potential return on investment from advanced technology deployments in operations has crossed a critical threshold, and companies can no longer ignore the transformational opportunities they offer.
According to Lang, COVID-19 has forced industrial enterprises to accelerate digital transformation and Industry 4.0 journeys with remote operations quickly shifting from an “aspirational goal to a legal and ethical requirement”.
“In doing so, the strengths and weaknesses of digital operations technologies have been exposed,” he noted. “Foundational enabling capabilities like data governance, cyber security, compute infrastructure, and holistic and cohesive technology architectures -- and the internal and external skills to support them -- are all key focus areas for 2021 and beyond.”