Why AR Strategy? Maximize ROI with Augmented Reality for Your Organization!

Maximize ROI with AR Strategy for Organizations!

The digital world we live in and the available real-world data are fundamentally disconnected. The rich data we now have to guide our actions and make decisions is trapped in two-dimensional screens and pages. The gulf between reality and the digital world prevents us from utilizing the wealth of data and information produced by the billions of connected smart products.

The technology of augmented reality solution (a collection of technologies that superimpose digital images and data in the real world) promises to bridge this gap and unleash previously untapped human abilities. A.R., though still in its early stages, is set to become a mainstream technology. According to an estimate, the spending on A.R. technologies will reach $60 billion by 2020. The AR technology will impact companies of all sizes and types, from social enterprises to universities. A.R. will change the way we interact, learn and make decisions shortly. That will affect how businesses serve customers, train staff, create and design products, manage value chains, and compete.

This article explains what A.R., the evolving technology, and its applications are and why they're so important. As SCPs become more prevalent, their importance will increase exponentially. That is because they have a greater ability to create value for customers and change the competitive landscape. A.R. is the next interface for humans to interact with machines. It will bridge the gap between the physical and digital worlds. Amazon, Facebook and General Electric are among the pioneering companies that have already implemented A.R. They also see a significant impact on quality and productivity. We provide a roadmap for companies to deploy A.R. and explain what choices are critical in integrating A.R. into their strategy and operations.


What is Augmented Reality?

What is Augmented Reality?

A.R. has existed in isolated applications for many years. Still, the technology to fully unleash its potential is only now available. A.R. is a technology that transforms data into animations or images, which are then superimposed on real-world objects. Most AR applications today are delivered via mobile devices. However, this will change as more wearables with hands-free capabilities, such as smart glasses or head-mounted displays, become available. A.R. applications are being used in more significant ways, both in consumer-to-business and business-to-business environments. Many people know about simple A.R. entertainment apps, like Snapchat filters or the Pokemon Go game. In dozens of new car models, A.R. displays with navigational information, collision alerts, and more are available. In thousands of firms, wearable A.R. devices that overlay assembly or service instructions on production are currently being tested. A.R. augments or replaces traditional manuals and other training methods increasingly rapidly.

A.R., more broadly, enables a novel information delivery paradigm that will impact how data is managed and distributed on the internet. Although the internet has revolutionized how we access, collect, and transmit information, it's data delivery and storage model--pages displayed on flat screens-has some major limitations: People must mentally convert 2-D info to use in 3-D. Anyone using an instruction manual to repair a copier will know that it isn't easy. The AR technology allows users to simultaneously process digital and physical information by superimposing it directly onto real-world objects or settings. That eliminates the need for mental bridges between the two. That improves the ability of people to quickly absorb and process information. They can also make quick decisions and complete tasks.

A.R. displays on cars provide a great example of this. GPS navigators had to use a flat-screen map to figure out the best way to implement it. For example, the driver had to mentally link the map image to the turn-off to take the right exit out of a busy roundabout. A.R. head-up displays overlay navigational images over the view of the windshield. It reduces mental strain and minimizes distraction and driver error by displaying information directly over the windshield.

A.R. has made great strides in the consumer market, but its impact on performance in the industry is greater. Newport News Shipbuilding designs and manufactures U.S. Navy air carriers. It uses A.R. to check a ship near the end, marking steel structures not included in the final carrier. In the past, engineers were constantly comparing actual ships with 2-D blueprints. With AR, engineers can see the ship's superimposed design, reducing the inspection time from 36 hours to 90 minutes. A.R. can save up to 25% of the time required for most manufacturing processes.


A.R. Key Capabilities

A.R. Key Capabilities

We've explained before that the SCPs in our workplaces and homes allow us to control, customize, and monitor the operations of products remotely. They also optimize performance by using data collected in real-time. In some cases, connectivity and intelligence allow SCPs to be completely autonomous.

A.R. magnifies these capabilities. It improves how users interact and control products and how they visualize all of the monitoring data.


Visualize

A.R. applications reveal internal details that are otherwise difficult to detect. The medical device AccuVein uses A.R. to convert the heat signatures of veins on a patient into images superimposed onto the skin. That makes it easier for the clinician to find the veins. It dramatically increases the success rate for blood draws and other vascular treatments. A.R. increases the chances of getting a needle stuck successfully on the first attempt by more than three times and decreases "escalations", such as calling for help, by about 45%.

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Bosch Rexroth is a leading global supplier of control units, power units, and hydraulic systems used for manufacturing. The company uses an AR-enhanced visualization to show the capabilities and design of their smart connected CytroPac power unit. Customers can see in 3-D the internal cooling and pump options of their unit and how they fit together.


Guide and Instruct

A.R. has already redefined instruction, coaching, and training. The critical functions that improve productivity are costly, labor-intensive, and produced uneven results. For example, written instructions are often difficult to understand and take a long time. The standard instructional videos are not interactive and do not adapt to the individual's learning style. Students and teachers must meet regularly at the same location, which can be expensive. Suppose the students' equipment is not available. In that case, they may need additional training to apply their knowledge.

A.R. solves these issues by offering real-time on-site visual guidance, including step-by-step instructions, for tasks like product assembly, warehouse picking, or machine operation. Complex 2-D diagrams in manuals, such as those of procedures, can be transformed into interactive 3-D Holograms which guide the user through all the steps. There is little left for the user's imagination.

Boeing's A.R. The training program has dramatically improved the quality and productivity of aircraft assembly procedures. In one Boeing case study, A.R. guided trainees to complete the 50 steps to build a 30-part aircraft wing. The AR system allowed trainees to complete the task 35% less than they would have done using 2-D documentation and drawings. The number of trainees with little to no previous experience but who could complete the task correctly on the first try increased by 90 per cent.


Enhancing Human Decision Making

Enhancing Human Decision Making

The power of augmented realities is rooted in the human ability to process information. Information is accessed by each of our senses but at a different rate. The most important information we receive is through our vision: 80% to 90 % of all information humans access comes from their eyesight. Our mental capacity limits our ability to process and absorb information. This demand is called "cognitive loads"; each mental task reduces our capacity to perform other tasks simultaneously.

The cognitive load is determined by the mental energy required to handle a certain type of data. Reading instructions on a computer and then acting upon them will create a higher cognitive load than simply hearing the same instructions because they must be translated into words, and the words must be interpreted. The "cognitive gap" also affects the cognitive load, which is the difference between how information is delivered and its context. Imagine someone using a smartphone to get directions when driving. Drivers must read the instructions on the screen and retain them in their working memory. They then translate these directions to the actual environment before him. The digital information displayed on the screen is separated from the context, where a significant amount of cognitive distance is used. This distance is a cognitive burden.

A picture or image that superimposes information on the physical world and places it in context for us reduces cognitive distance and minimizes cognitive load. A picture or image that places information in context by superimposing it on the real world reduces cognitive distance. That explains A.R.'s power. A digital overlay is required when the world around us is enhanced with relevant information and guidance. That is why A.R. is so powerful. A.R. reduces our dependence on 2-D, out-of-context information that is difficult to process on screens and pages while improving the ability of users to comprehend and use information in real life.


Interact

In the past, users have interacted with products using physical controls, such as knobs and buttons. More recently, touchscreens built into devices are being used. Apps on mobile phones have replaced many physical controls with the advent of SCPs. That has allowed people to control products from a distance.

A.R. brings the interface of the product to an entirely new level. The virtual control panel is superimposed on the actual product. It can be operated with an A.R. headset, hand gestures, or voice commands. Smartglasses users can soon point or gaze at a product to activate the virtual interface. Wearing smart glasses will allow a worker to see the performance of a factory line, adjust machines without touching them, or walk down a long row.

A.R.'s interactive capability is not yet present in most commercial products but is revolutionary. Reality Editor is an A.R. application developed by the Fluid Interfaces Group at MIT Media Lab. It gives a good idea of its rapid evolution. Integrating an A.R. interactive experience into any SCP with Reality Editor is easy. It allows users to point their smartphone at an SCP or, in the future, "see" all of its capabilities and digital interfaces through smart glasses. They can link these capabilities with voice commands, hand gestures, or other smart products. Reality Editor, for example, allows a user experience to see the controls of a smart bulb that controls color and intensity. They can then set voice commands such as "bright", "mood", and so on to activate these features. The user could link different bulb settings to the buttons of a smart switch that they can put anywhere.

Read More: What Is The Difference Between Augmented Reality And Virtual Reality?

These technologies are in their infancy, but they have made rapid progress in gaze and gesture tracking, as well as voice command accuracy in noisy environments. G.E. already has tested voice commands for A.R. experiences, which allow factory workers to complete complex wiring tasks in wind turbines. The results were a 34 per cent increase in productivity.


Augmented Reality and Virtual Reality: A Combination

Augmented Reality and Virtual Reality: A Combination

Virtual reality is A.R.'s cousin. It complements A.R., but it also has its unique features. A.R. overlays digital data on the real world, while V.R. is a virtual environment that replaces reality. Although V.R. has a lot of entertainment uses, it is also useful for training. That is particularly useful in remote or hazardous settings. V.R. is also useful if there are no machines available for the training. Holograms can be used to immerse technicians into a virtual world. So when needed, V.R. adds a fourth capability--simulate--to A.R.'s core capabilities of visualizing, instructing, and interacting.

In business, A.R. is likely to be used more than V.R. In some cases, the combination of A.R. and V.R. can allow users to overcome distances (by simulating distant locations), time (by replicating historical contexts or simulating future scenarios), and scale (by engaging with environments too large or small to directly experience). In addition, sharing virtual environments with others can improve communication, comprehension, teamwork and decision-making.

Ford uses V.R., for instance, to create a virtual workspace where engineers from different locations can work together in real-time on holograms representing vehicle prototypes. The participants can move around the 3-D lifesize holograms and examine them, allowing for the refinement of design details like the positioning of the steering wheels, angles of dashboards and locations of controls and instruments.

The U.S. Department of Homeland Security goes beyond by combining A.R. simulations with V.R. instructions to train staff in emergency situations, such as explosives. In cases where training in actual environments is dangerous, this reduces both costs and risk. Energy multinational B.P. uses A.R. simulations on V.R. simulators to train teams and practice emergency response without risk or high cost.


A.R. Value Creation

AR adds value to the business models in two ways. First, it becomes part of the product itself. Second, it improves performance throughout the entire value chain, including marketing, sales, production, service and many other aspects.


A.R. is a Feature of a Product

A.R.'s capabilities are a key component of the design trend towards better ergonomics and user interfaces. In recent years, how products communicate important safety and operational information to their users has become an increasingly significant point of differentiation. (For example, consider how embedded screens have been replaced or supplemented by mobile app ideas in devices like Sonos audio player). A.R. will improve these interfaces rapidly.

The dedicated A.R. heads-up display, which has only been recently incorporated in automobiles, was a feature of elite military products such as fighter planes for many years. It is now being adopted by commercial aircraft. Wearables like smart glasses offer a new interface far more affordable and compact than these displays. Smart glasses allow users to see A.R. displays on products that communicate with them.

You can see virtual displays in a kitchen oven with smart glasses. These could show the oven temperature, how many minutes are left on the clock, or the recipe you have chosen. When approaching your car, A.R. displays may show that the door is locked, the fuel tank has almost been filled, or the pressure in the rear left tire is low.

A virtual reality user interface can be customized and continuously improved because it is delivered as software via the cloud. It is relatively inexpensive to provide such an interface. Still, manufacturers can also save much money by removing traditional dials, buttons and switches. The impact of this new interface on the product offering and its competitive position should be carefully considered by every manufacturer.


A.R. as a Value Chain

A.R. is already having a significant impact on the entire value chain. However, some parts of it are further along than others. The most significant impact of A.R. is on the visualization, instruction/guide, and interactive applications.


Product Development

Engineers have used computer-aided designs (CAD) to create 3D models since the 1980s. Still, they are limited in their interaction with these models by using 2-D windows on computer screens. That makes it difficult for them to conceptualize fully. A.R. allows engineers to superimpose 3-D models in the real world in holograms. That enhances their ability to assess and improve the design. Engineers can, for example, place a 3-D hologram in full-scale a machine on the floor, walk around, look under, over, or even inside to appreciate its ergonomics and sightlines.

A.R. allows engineers to superimpose CAD models on prototypes to check how they compare. Volkswagen uses this technique to check alignment when reviewing digital designs. The quality assurance process is improved by comparing 2-D sketches with the prototypes. It can be done five to ten times quicker.

We expect AR-enabled devices, such as smart glasses and phones, to be increasingly used in product design. They will reveal when and where users interact with the products, revealing, for instance, how often they initiate a particular repair sequence. The AR interface becomes a valuable source of information.

Read More: Working, Limitation, & Future Growth Opportunities in Augmented Reality?


Manufacturing

Manufacturing processes can be complex and require hundreds or thousands of steps. Mistakes are expensive. A.R., as we have learned, can provide:

  • The exact information needed by factory workers at the time of need.
  • Thus reducing mistakes.
  • Improving efficiency and increasing productivity.

A.R. in factories can capture data from secondary sensors and asset management software, as well as information captured by automation and control systems. That allows important diagnostic and monitoring data to be displayed about each process or machine. Information such as defect and efficiency rates can be seen in context to help maintenance technicians better understand the problem and encourage factory workers and maintenance technicians to perform proactive maintenance, which may reduce costly downtime.

Iconics has started integrating A.R. in its user interfaces. The augmented reality company specializes in automation software for buildings and factories. A.R. interfaces allow for more efficient monitoring of machines and processes by attaching pertinent information where it can be observed and better understood.


Logistics

The warehouse operations account for approximately 20% of logistics costs. Picking items off shelves can represent up to 60% of the costs. Workers still do this in most warehouses by consulting paper lists of items to be collected and searching for them. It is a slow, error-prone method.

DHL, the logistics giant and an increasing number of companies use A.R. to improve the accuracy and efficiency of picking processes. A.R. directs workers towards the product that needs to be picked and suggests the most efficient route. This approach at DHL has resulted in fewer mistakes, engaged workers and a 25% increase in productivity. Now, the company has begun implementing AR-guided picks globally. It also tests ways that A.R. could enhance warehouse operations, such as optimizing goods and machinery in layouts. Intel has also used A.R. to reduce picking times by 29%, and errors have dropped almost to zero. The AR app allows new Intel employees to pick up items 15% quicker than workers with traditional training.


Marketing and Sales

A.R. redefines the idea of product demos, showrooms, and the overall customer experience. Customer satisfaction who can virtually see how a product will appear or work in real life before purchasing it have better expectations and are more confident about their purchases. They also feel more satisfied with the products. A.R. could eliminate the need for physical stores and showrooms.

A.R. is an especially valuable tool when products are configurable with multiple features and options, which can make them difficult to store and expensive. For example, to demonstrate how decking and paver materials look with different colors and layouts. Customers can see the simulations in context: If they look at the house on a smartphone or tablet, an A.R. app will add a deck. This experience can reduce customers' doubts about the products they choose and speed up sales.

A.R. apps allow online buyers to download 3D holograms. Wayfair, IKEA and other retailers offer thousands of images of 3D products and apps that integrate these into a room image. That allows customers to visualize how their furniture or decor would look. IKEA uses its app to collect important data on product preferences across different regions.


After-Sales Service

A.R. has a huge potential to unlock the SCPs' value-creation capabilities. A.R. helps technicians in the field serve customers, much like factory workers. It shows them predictive analytics generated by the products, guides them visually through repair in real-time, and connects them with experts remotely who can optimize procedures. An AR dashboard, for example, could reveal to a technician in the field that a certain machine part is likely to fail within the next month. That would allow the tech to prevent a customer problem by replacing the item now.

Field engineers performing remote or on-site repairs can use A.R. smart glass to view a product's history, diagnostics and dashboards based on location. The AR glasses app development experts help engineers make more informed decisions on how to solve problems. That has led to a reduction of 11% in costs and a decrease of 17% in errors, resulting in heightened repair quality.


Human Resources

AR early adopters, U.S. Navy and Boeing discovered that A.R. could deliver step-by-step worker training to workers on demand. A.R. can be used to tailor instruction to a worker's experience or reflect the frequency of specific errors. If someone makes the same mistake repeatedly, they can be forced to use A.R. until their work improves. In some firms, A.R. reduced training times for certain employees to almost zero. It also lowered skill requirements.

It is particularly beneficial for package delivery service, as it depends on temporary staff training and hiring effectively during the peak season. A.R.'s real-time, hands-on training on navigating warehouses, packing and sorting materials, and more have helped to reduce its need for instructors.

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Conclusion

If a business wants to expand, it must invest in the future. When developing an innovative product, many businesses are focused on the time, effort, and money required to produce the item. Companies often overlook the packaging it arrives in or marketing and fulfillment strategies around how it is delivered to customers.

A.R. is a new technology that has become a key component of any company looking to remain competitive. Every organization should have an A.R. strategy for four reasons: to increase customer engagement, provide additional functionality, improve conversion rates and develop consumer awareness.

A.R., unlike V.R., is much more accessible and invisible. It can also be worn without making the user feel like they are wearing bulky equipment. To make the best use of the medium, it's important to find a Mobile App Development Company with experience in the U.K. to handle all aspects, from development to strategy.