Issue link: https://fhpublishing.uberflip.com/i/1111696
NETWORK / 45 / MAY 2019 I N A S S O C I A T I O N W I T H believe there is a requirement to provide a full mul -adop on off ering to developers. Similarly, with changes in the Nav market making insets more viable, we have expanded in this sector with the acquisi on of SSE Water." The addi on of SSE Water to Leep's por olio means it can provide a mul -u lity off ering, which is par cularly a rac ve for the landscape housing market – a sector in which the company is keen to expand. "As part of the acquisi on we have been able to leverage the knowledge, experience and exper se of the team, which has been most welcome as we se le into our new role as the largest operator in the UK Nav sector," adds Manfredi. The company prides itself on a fl exible business model and a commitment to delivering "straigh orward connec ons" for clients. The challenges of embracing new technologies, mee ng ambi ous sustainability targets, improving effi ciencies and lowering costs for consumers will certainly require u li es across the UK to embed fl exibility at the very core of their business and the solu ons they deliver for customers. BREAKING BARRIERS Water and energy companies now have an opportunity to look beyond tradi onal barriers and learn from the example of leaders in sectors like retail, telecommunica ons and fi nancial services. "There are new ways to architect systems to drive greater fl exibility and lower cost." insists Siddall at Accenture. "With the added power of technologies like cloud services, customer analy cs, automa on and ar fi cial intelligence, there is also greater opportunity to personalise and automate customer interac on across the right channel, at the right me and for the right outcome, drama cally lowering cost with higher customer sa sfac on." To do this, says Siddall, requires a new outlook from u lity and energy companies with respect to the core capabili es they need to focus on. Businesses must also partner more eff ec vely to get the best out of a broader ecosystem that will keep them at the fron er of innova on and cost. Centrica is welcoming this challenge through its Centrica Innova ons (CI) venture, which has seen the company collabora ng and inves ng in start-ups that could have a signifi cant role to play in the future solu ons off ered to customers. Since CI's launch, the company has invested in Israeli fi rm Driivz and is collabora ng on electric vehicle (EV) charging solu ons for businesses as part of Centrica's new Mobility Ventures team. The team will build on Centrica's experience as an installer of over 17,000 EV chargers globally and the launch of a new smart me-of-use tariff from Bri sh Gas that off ers homeowners cheaper electricity overnight to charge their car. Centrica has also invested in GreenCom Networks as part of a new Home Energy Management Ventures team, which will see the company expand its off er for homes to include solar, ba ery storage and heat pumps. "But it's important to note that our mission extends beyond scanning for technology," insists Salisbury. "We're focusing our resources on fi nding solu ons to some huge societal challenges such as the need to decarbonise transport and heat. Fundamentally, it's all about how we can be er serve our customers." Improving the way that customers are served now and into the future must remain at the heart of every business. But according to the UWL survey, current business models will be 31 per cent less fi t for purpose in the next 15 years. It's a dis nct warning for u li es if they fail to embrace the boun ful opportuni es for change: act now, or risk being le behind. REACTIONARIES, REFORMERS AND REVOLUTIONARIES U li es are displaying some interes ng divergence in response to compe ve pressures. According to Laura Sandys, CEO of consultancy Challenging Ideas, businesses can be broadly defi ned as either "reac onaries", "reformers" or "revolu onaries". Sandys describes reac onaries as fi rms that have dug their heels in, maintaining a "my way or the highway" a tude when it comes to the prospect of business transi on. "They will no doubt fi nd that their margins, their customer base and their ability to compete into the future will be diminished," she warns. Reformers are u li es that are working to change their business models from the tradi onal supplier model to a more modern approach to delivering customer benefi ts. "The challenge for these 'reformers' is that tradi on might s ll be in their DNA and that the 'revolu onaries' are moving too quick to enable these reformers the me to re-shape their business models," explains Sandys. The signifi cant advantage that revolu onaries have is a new vision, without the restraint of incumbent thinking or systems, having designed their business models with a fresh approach based around technology. Sandys adds: "These companies have marke ng advantage, systems advantage, technology driven and while some smaller players might not survive, the leaders in this group will shape the energy company of the future."