Searchlight on: Lighthouse Luxembourg
What does Lighthouse Luxembourg mean? Is KPMG moving into oceanic navigation?
Before you start thinking it’s the lighthouse we have built on Avenue John F Kennedy for our annual Plage event, let us clarify! Lighthouse refers to a new and exciting approach to serving our clients. KPMG Lighthouse helps guide our clients when it comes to solving problems through technology such as artificial intelligence, data analytics and intelligent automation. Our focus is on how we can use these technologies to help our clients transform their business by reducing costs, managing risk and optimizing their operating model.
Where did this Lighthouse idea come from? Is it exclusive to KPMG Luxembourg?
This is a global KPMG initiative reflecting a worldwide commitment by the firm to harnessing data-driven technologies. Our global network is made up of 12,500 experts, delivering services and solutions across Audit, Advisory and Tax. We are developing a center here in Luxembourg with our own local experts to assist our local clients, while benefitting from a global network that we can rely on for additional expertise and support.
You mentioned data-driven technologies, what are you referring to here?
Artificial intelligence, data analytics, and intelligent automation.
Hold on…artificial intelligence? So we are talking robots?
Artificial Intelligence (AI) is an umbrella term for technologies that enable computers to perform tasks that require human intelligence, but this does include robotics! Robots can be used to automate and digitize business functions. This is known as intelligent automation.
What does intelligent automation mean?
By automating certain business tasks you can optimize your operating model which frees up employees to focus on more strategic tasks that add value to the company. An example of this would be a chatbot, like you find on many service-based websites.
Chatbots, and intelligent automation more generally, are a big part of the work we do at Lighthouse but we work across a number of technologies to solve problems and identify new opportunities using data-driven technology.
What does this look like?
Simply put, companies have access to a lot of data.
These pieces of information can hold value when used in the right way. We work with our clients to help them get insights from their data. From these insights we can create value and opportunities for our clients. So we are turning data into insights, and insights into value for our clients, helping them improve their business model.
Well this sounds great, are all companies already aboard the AI train?
According to our research, most are still on the platform. The 2018 CEO Outlook conducted by KPMG found that only 8% of Luxembourg CEOs have implemented AI to automate some of their processes despite 80% of them acknowledging that artificial intelligence and robotics technologies are more likely to create jobs than eliminate them. So we know that Luxembourg executives are ready to embrace this technology, but this has not translated into practice.
Why the reluctance?
Well integrating these technologies is a pretty big investment, both in terms of time and money. So in the short-term it seems daunting, but the benefits will be huge long-term and this is what businesses need to keep in mind. Another factor could be that they don’t know where to start. That is where we come in. Our clients can either come to us with a problem that needs to be solved using data, or a data set that needs to be analyzed, and from there our experts can help guide them through the process. We understand their business so it makes it easier for us implement new processes.
So you have mentioned chatbots. What is the difference between building a chatbot with KPMG Lighthouse versus a regular tech provider?
Not only do we have the technical capability, we also have the business acumen that you would not get from a technical provider. We understand the business and organizational implications as well as the regulatory landscape in Luxembourg. The combination of the two means we provide a comprehensive, seamless service when it comes to data-driven technologies.
Is this type of technology new for KPMG Luxembourg?
Actually we have been working on these projects for a while but now we are committing to these technologies as a key pillar of our business going forward. Launching our local Lighthouse represents this commitment. We see this as an area in which we can really add value for businesses. We have already seen the potential and we want to embrace this technology for the benefit of our clients and Luxembourg in general.
We will have lots of exciting new thought leadership, case studies and initiatives over the coming months. You can get a taste of what we`ve done so far by continuing to read below.
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Get to know our work through our Lighthouse activity
- Helping HR professionals improve service quality
- Helping a bank reduce cost-to-serve on credit cards
- Taking the pain out of the car leasing process
- Helping banks to make decisions based on accurate financial forecasting
- Helping a casual restaurant chain to choose its next location
- Helping a retail giant to maintain its low price customer promise
- Taking the guesswork out of forecasting for a global medical device manufacturer