The maritime industry’s ship repair and maintenance sector has long been slow to adopt new technologies. However, the increasing age of fleets, rising demand for maintenance and conversion, and the expansion of offshore projects necessitate a shift towards digital transformation. Peter Jackson, Vice President of Business Transformation Solutions at Drydocks World, highlights the urgent need for modernizing our approach to tackling these challenges to meet the evolving demands of the industry.
Globally, the ship repair and maintenance services market is poised for significant growth. This expansion is fueled by various factors, including the heightened demand for maintenance and conversion services and the growth of offshore oil, gas, and renewable energy projects. To achieve the projected market size of $53.23 billion by 2032, digital transformation must be integral to the industry’s strategy.
Ship repair and maintenance businesses play a critical role in ensuring the efficiency, functionality, and safety of maritime fleets worldwide. Modern vessels’ complex requirements, coupled with supply chain disruptions and stringent environmental regulations, demand innovative and efficient solutions. In the post-pandemic era, the speed and demand for vessel repairs have surged, necessitating more efficient and cost-effective shipyard operations. However, achieving this efficiency in an industry dominated by physical assets is no simple task.
Historically, ship repair and maintenance operations have been slow to deploy new technologies. The industry requires more than just automation; it needs customized digital solutions to address the specific challenges posed by these complex physical assets. The integration of digital technologies is essential to enhance efficiency, meet global demand, and ensure compliance with international standards.
Smart digital systems are crucial for boosting productivity, collaboration, and planning in shipyards. Technologies such as 5G, machine learning, virtual and augmented reality, and artificial intelligence can significantly enhance analysis and efficiency in shipyards, facilitating scalable and modular shipbuilding processes.
Embracing Technology to Transform Ship Repair and Maintenance
Drydocks World embarked on its business transformation journey in 2018 with the development of a Strategic Master Business Plan. This plan was further refined in 2023 with a revised 10-year Master Business Action Plan, positioning business transformation as one of six key strategic growth pillars.
In addition to continuing its ship and rig repair operations, Drydocks World is expanding its capabilities to handle larger-scale conversion projects and moving into engineering, procurement, and construction (EPC). This integration into the broader value chain extends beyond the traditional maritime construction focus, allowing the company to meet the digital integration expectations of oil, gas, and renewable clients.
The push to support industry growth has led Drydocks World to embark on a digital transformation journey aimed at enhancing customer relationships and operational efficiencies. By the end of this year, the company aims to have implemented 70% of its digital transformation projects initiated three years ago, impacting both frontline activities and a wide range of supporting departments.
The foundation of this transformation began with overhauling the IT infrastructure, transitioning over 100 servers from on-premises to the Azure cloud platform. This move enables seamless connectivity from approved devices, facilitating real-time data access and enhanced collaboration.
Drydocks World now uses Oracle Fusion as its back-office ERP system, with plans to launch a production ERP this year. The transition to a fully digital Purchase Requisition to Purchase Order process provides transparency to suppliers at each stage of procurement. Additionally, the “PowerApps” initiative saves time and resources by allowing subcontractors to interact digitally, streamlining the allocation of skilled resources among thousands of daily contractors.
Moving away from paper-based processes, Drydocks World has adopted digital solutions like a 2D berth planning system built on a digital twin. This system is evolving into a 3D version, enabling the tracking of mobile plant forklifts around the yard using IoT devices developed in collaboration with Zodiac, DP World’s in-house IoT business unit. The company is also exploring AI and machine learning applications to improve efficiencies in recruitment, onboarding, and retention processes within the People department.
To enhance business connectivity, Drydocks World has developed the ‘Drydocks World Tech-Aid’ platform, a centralized resource for technology insights, industry trends, best practices, and organizational tech integration. This platform features regular tech-tip updates and includes a ChatGPT Tool for immediate IT and technology support. These transformations are guiding the company’s business intelligence journey, building a data warehouse and data lake for better data analysis and utilization.
In an increasingly fragmented and challenging global landscape, evolving heavy manufacturing and engineering industries is no longer optional. Economic growth, employment, and the energy transition depend on this evolution. Drydocks World’s journey demonstrates a viable path forward for businesses that have traditionally relied on conventional solutions in the ship repair and maintenance industry. However, as shown by their transformation, achieving these goals requires a holistic perspective. The time to act is now.
