Over the past few years, the international economy has faced several difficulties, including the ongoing Russia-Ukraine War. However, today's global rise in inflation rates is one of the most critical problems any business faces. Inflation had alarmingly increased to 8.5% in the US, 7.0% in the UK, and 7.4% in the European Union. According to the International Monetary Fund (IMF), estimation, global inflation will reach new heights in 2023 compared to prices in 2021.
Therefore businesses are embracing new technologies to overcome the impact of inflammation at their workplace. One such technology is Augmented reality (AR), which is revolutionizing how companies operate in the post-coronavirus world.
(AR) technology enhances productivity, optimizes workflows, and gives employees access to real-time information, which improves the decision-making process and makes it more streamlined and data-oriented. This helps companies provide enhanced customer services, boosting customer satisfaction.
This blog post will explore how companies in each sector use AR to survive the inflammation and remain competitive in today's business landscape.
Top sectors hit hardest by inflation
Aerospace & Defense
Inflation can have a considerable impact on the Aerospace and Defense sector. This sector significantly depends on the labor force, raw materials, and other resources required for production, all of which are susceptible to inflationary pressures. Companies in the aerospace and defense industry may experience a decline in profit margins as they battle to retain their current pricing structures when the cost of these inputs rises. This may force them to divert resources into just maintaining their everyday operations.
Apart from these, one of the severe impacts that inflation can cause is on the government contract, which is chosen based on competitive bidding. With rising inflation, keeping up with the prices can take time and effort.
So, what is the solution?
Augmented reality (AR) technology can be a powerful tool for the Aerospace & Defense sector in curtailing daily expenses. By using AR glasses such as ThirdEye's X Series MR Glasses, workers can connect with experts elsewhere and receive real-time assistance. Apart from this, these glasses can speed up training and onboarding for new employees, that too without the need for expensive physical resources.
One of the most significant effects of inflation on the architecture business is the possible increase in building prices. Building new structures or remodeling old ones gets more expensive as the cost of labor and materials rises. This may result in projects being postponed or scrapped.
Augmented reality (AR) technology can help the architecture sector beat inflation in 2023. AR can give architects, builders, and other professionals in the field a tool to make them more productive and efficient, thus lowering costs.
Besides, ThirdEye's AR glasses can help workers on construction sites, connect with remote specialists, and receive real-time guidance and support. This eliminates the need for expensive on-site support, increases productivity, and cuts down on costly travel.
With the recent data report from The Bureau of Transportation Statistics showing a staggering year-over-year (2021-2022) domestic fuel cost increase of 122.9%, therefore, it has become crucial for architecture firms to save on fuel costs.
The healthcare sector is feeling the effects of inflation, as the latest data from the Bureau of Labor Statistics (BLS) shows that in October 2022, medical service prices climbed by 5.0%, despite overall prices growing by 7.7% from the previous year. This is a significant deviation from the historical trend where healthcare prices usually outpace prices in the rest of the economy.
This is a considerable challenge for the healthcare sector, which strives to balance the rising expense of medical care and the need to provide affordable and accessible healthcare services to patients.
Augmented Reality (AR) technology can be a powerful tool that can help healthcare providers save costs without impacting the quality of the treatment offered to the patients. It also aims to increase operational efficiency through remote medical consultations.
This not only ensures that remote patients get quality treatment but reduces travel costs. Further, it can help the hospital train its doctors and improve their skills by simulating complicated medical procedures and surgeries without costly equipment.
According to a report by the National Association of Manufacturers (NAM), the US manufacturing sector has experienced a significant increase in input costs in 2022. The report also noted that the rising cost of raw materials, transportation, and energy significantly impacted the manufacturing sector.
By increasing production and efficiency, AR technology can help industrial businesses cut costs and increase profitability. AR can give workers real-time data and insights by superimposing digital information over the real world, enabling them to operate more quickly and intelligently. As a result, time and money may be saved by decreasing errors, downtime, and waste.
According to a PwC analysis, the usage of AR in manufacturing may reduce machine downtime by 30%, enhance productivity by 15%, and cut the training time of new employees by 90%.
Tools like ThirdEye's X Series MR Glasses also allow businesses to develop a more innovative and simplified manufacturing process. It can provide real-time data on inventory levels, shipping status, and delivery times.
By improving efficiency, reducing downtime, and streamlining operations, AR is helping companies save money, increase productivity, and improve their bottom line. It enables businesses to provide remote support to their clients and staff, eliminating the requirement for appearance. This not only curtails travel expenses but streamlines the process and makes it more efficient. AR can also facilitate remote collaboration, allowing teams to work together from different locations, which can help reduce overhead costs. What are your thoughts on it? Share your views.