New SIOW report details $70bn opportunity for supply chain businesses in US offshore wind market
The Special Initiative on Offshore Wind (SIOW), in conjunction with the Renewables Consulting Group (RCG) has announced the publication of a new report detailing the opportunities businesses in the U.S. offshore wind supply chain, which SIOW and RCG predict will yield approximately US$70bn in revenue opportunities.
The United States’ offshore wind is projected to generate nearly 20 GW of clean, cost-competitive power in seven East Coast states by 2030. The anlysis offers a roadmap for public and private sector organisations, quantifying the timing and pace of approximately $70bn in supply chain contracting prospects to install 18.6 GW of offshore wind procurements forecast for clean-energy consumers on the Atlantic Seaboard by 2030.
A breakdown of the projects outlined includes: Over 1,700 offshore wind turbines and towers ($29.6bn); over 1,750 offshore wind turbine and substation foundations ($16.2bn); over 5,000 miles of power export, upland and array cables ($10.3bn); more than 60 onshore and offshore substations ($6.8bn); and a wide range of marine support, insurance and project management activities ($5.3bn).
"America's offshore wind industry is taking off and what people see now is just the tip of the iceberg," said Stephanie McClellan, study author and Director of SIOW, at the University of Delaware's College of Earth, Ocean and Environment. "States and industry suppliers are leading the way and eager for clarity on the path ahead. Our analysis illuminates the market's supply chain needs, timing and pace, and $70bn in CAPEX for businesses to translate GWs into growth opportunities and build this extraordinary enterprise."
"This report provides a roadmap for companies that will create new jobs and generate competition, which means better prices for producers and better electricity rates for consumers in the future," said Randall Luthi, President of the National Ocean Industries Association. "NOIA has long advocated for all-of-the-above energy and new offshore energy growth in America. Our members look forward to participating in the massive opportunity presented by offshore wind. The report identifies significant opportunities for the supply chain that will build, supply and support the U.S. offshore wind sector."
Pandora and IBM digitise jewellery supply chain
Pandora has overhauled its global supply chain in partnership with IBM amid an ecommerce sales boom for its hand-finished jewellery.
The company found international success offering customisable charm bracelets and other personalised jewellery though its chain of bricks and mortar retail destinations. But in 2020, as the COVID-19 outbreak forced physical stores to close, Pandora strengthened its omnichannel operations and doubled online sales.
A focus on customer experience included deploying IBM’s Sterling Order Management, increasing supply chain resiliency and safeguarding against disruption across the global value chain.
Pandora leverages IBM Sterling Order Management as the backbone it its omnichannel fulfilment, with Salesforce Commerce Cloud powering its ecommerce. Greater automation across its channels has boosted the jeweller’s sustainability credentials, IBM said, streamlining processes for more efficient delivery. It has also given in-store staff and virtual customer service representatives superior end-to-end visibility to better meet consumer needs.
Jim Cruickshank, VP of Digital Development & Retail Technology, Pandora, said the digital transformation journey has brought “digital and store technology closer together and closer to the customer”, highlighting how important the customer journey remains, even during unprecedented disruption.
"Our mission is about creating a personal experience and we've instituted massive platform changes with IBM Sterling and Salesforce to enable new digital-first capabilities that are much more individualised, localised and connected across channels and markets,” he added.
Pandora’s pivot to digital
The pandemic forced the doors closed at most of Pandora’s 2,700 retail locations. To remain competitive, it pivoted to online retail. Virtual queuing for stores and virtual product trials via augmented reality (AR) technology went someway to emulating the in-store experience and retail theatre that is the brand’s hallmark. Meanwhile digital investments in supply chain efficiency was central to delivering on consumer demand.
“Consumer behaviour has significantly shifted and will continue to evolve with businesses needing to quickly adapt to new preferences and needs,” said Kareem Yusuf, General Manager, AI Applications and Blockchain, IBM. “To address this shift, leading retailers like Pandora rely on innovation to increase their business agility by enabling and scaling sustainable supply chain operations using AI and cloud.”
Yusuf said Pandora’s success was indicative of how to remain competitive by “finding new ways to create differentiated customer experiences that protect their enterprises from disruptions to help mitigate risk and accelerate growth”.