Deloitte makes case for incorporating AR/VR into workflows

At the annual Facebook Developer Conference which held in April, 2017, Mark Zuckerberg founder of Facebook took to the podium to introduce his company’s future innovation – augmented reality.

Although Zuckerberg’s version may be a lot more advanced, but he was alluding to a virtual world where people can view and digitally manipulate the physical world around them through the lens of their smartphone. For the average science-fiction lovers, that world is very cool and insanely ambitious.

It is exactly that world that global accounting firm, Deloitte is urging top corporations to incorporate in their workflow and the firm says it has reasons to believe this is a game changer for businesses.

Virtual reality (VR) is a technology that allows a user to perceive and interact with a simulated environment. The environment may be realistic or fanciful. Another way to understand it is as an artificial environment that is created with software and presented to the user in such a way that the user suspends belief and accepts it as a real environment. VR is typically experienced by wearing a headset like Facebook’s Oculus Rift equipped with the technology.

According to Deloitte, augmented reality (AR) differs from virtual reality because as a technology it overlays information onto a user’s field of view as he or she perceives the real world. The information typically informs the user about an object or place at which he or she is looking. Unlike VR, AR is integrated into apps and used on mobile devices to blend digital components into the real world in such a way that they enhance one another, but can also be told apart easily.

We can draw some similarities in many ways. For example, both augmented and virtual realities leverage some of the same types of technology, and they each exist to serve the user with an enhanced or enriched experience.

An increasing number of businesses are beginning to test and adopt AR and VR technologies. Citing an analysis it conducted, Deloitte notes that over 150 companies in multiple industries, including 52 of the Fortune 500, are testing or have deployed AR and VR solutions. Also, investments by corporate and venture capitalists into start-ups in the AR/VR space totalled $2.3 billion in 2016 which represents an increase of 230 percent over the previous year.

Deloitte’s analysis also showed that a consortium of 28 venture capital firms formed last year pooled $10 billion for VR technology investment. Similarly, new AR/VR hardware from at least five companies, including Microsoft and HTC, hit the market in the last year, with some of these products targeting enterprise use. In the same vein, projected worldwide revenue from AR/VR is projected to grow from $5.2 billion in 2016 to $162 billion by 2020.

The benefits for early adoption of AR/VR could be significant for businesses. Deloitte states that the devices could streamline workflow by providing access to hands-free information while completing a manual task, like maintenance or repair.

“The goal of these applications is to increase worker productivity or accuracy by reducing time spent accessing and cross-checking data, or consulting with teammates for advice. In some, productivity increased the first time workers used the technology. Companies hope that the hands-free access to information and remote collaboration offered by AR/VR can reduce the risk of error, injury or fatigue,” Deloitte said.

Another benefit is in the area of immersive education and training, including therapies that teach patients how to cope with conditions such as post-traumatic stress disorders, to manage their pain, and to engage in rehabilitation.

Some companies are already deploying AR/VR technology to enhance customers’ experiences with their company, products, and brand. The areas being covered include advert technology (adtech), marketing technology (martech), and commerce spaces.