Global Lighthouse Network 2025

25 Definition and reference: –Total cost of ownership (TCO) includes the direct and indirect costs associated with purchasing, deploying, using and maintaining a product or system over its entire lifecycle. TCO aims to provide a complete picture of the true cost of an investment, considering not just the initial purchase price but also ongoing expenses such as maintenance, repairs, training, support and disposal costs. –Ellram, L. M. (1995). Total cost of ownership: An analysis approach for purchasing. ResearchGate. https://www. researchgate.net/publication/235292888_Total_Cost_of_Ownership_An_Analysis_Approach_for_Purchasing. 26 Based on GLN site visit report, November 2024. 27 Based on analysis of GLN site visit report data (2020-2024 Cohorts). 28 Based on GLN site visit report, September 2024. 29 Definition and reference: –Center of Excellence (CoE) is a dedicated entity that provides leadership, best practices, research, support and training for digital initiatives, aiming to drive innovation and ensure the successful implementation and adoption across the network. –McKinsey & Company (2024, December 6). From AI to Impact: Capabilities powering Lighthouses’ 4IR adoption.” https://www.mckinsey.com/capabilities/operations/our-insights/from-ai-to-impact-capabilities-powering-lighthouses- 4ir-adoption. 30 Based on GLN site visit report, November 2024. 31 Definition and reference: –Artificial intelligence/machine learning operations (AI/ML Ops) refers to the practices, tools and frameworks used to manage the end-to-end lifecycle of machine learning models in production. It is an extension of DevOps principles tailored specifically for AI and ML workflows, aiming to bridge the gap between data science and IT operations to ensure that ML models are deployed, monitored and maintained effectively in production environments. –Software Engineering Institute. (2020, January 21). Introduction to MLOps: Bridging Machine Learning and Operations. https://insights.sei.cmu.edu/blog/introduction-to-mlops-bridging-machine-learning-and-operations/. 32 Based on observations from Lighthouse site assessments and analysis of responses from research survey. Source: World Economic Forum. (2023). Global Lighthouse Network: Research Survey. https://www3.weforum.org/docs/WEF_GLN_ Research_Survey_2023.pdf. 33 Based on GLN site visit report, November 2024. 34 World Economic Forum. (2023). Global Lighthouse Network: Research Survey. https://www3.weforum.org/docs/WEF_ GLN_Research_Survey_2023.pdf. 35 See endnote #29. 36 Definitions: –Manufacturing execution systems (MES): software that monitors and controls manufacturing processes, ensuring efficient production and compliance with quality standards. –Prototyping: the process of creating an early model of a product to test and refine its design before full-scale production. –Batch release: the approval process for ensuring that a manufactured batch meets quality and regulatory standards before it is distributed or sold. 37 Based on GLN site visit report, September 2024 and conversations with site leadership. 38 Harvard Business Review. (2024, March). Amplifying Performance with an Asset-Centric Approach to Digital Transformation. https://hbr.org/sponsored/2024/03/amplifying-performance-with-an-asset-centric-approach-to-digital- transformation. 39 Based on GLN site visit report, September 2024 and conversations with site leadership. 40 Forbes. (2024, April 22). Manufacturing’s Faster Horse Moment: Some Thoughts On Composable MES. https://www. forbes.com/sites/natanlinder/2024/04/22/manufacturings-faster-horse-moment-some-thoughts-on-composable- mes/?sh=6f6390306c21. 41 Gartner. (2020, October 19). Gartner Keynote: The Future of Business Is Composable. https://www.gartner.com/ smarterwithgartner/gartner-keynote-the-future-of-business-is-composable. 42 Based on analysis of GLN site visit report data (2024 Cohort) . 43 Based on GLN site visit reports, September 2024. 44 World Economic Forum. (2023). Global Lighthouse Network: Research Survey. https://www3.weforum.org/docs/WEF_ GLN_Research_Survey_2023.pdf. 45 World Economic Forum. (2023). Global Lighthouse Network: Research Survey. https://www3.weforum.org/docs/WEF_ GLN_Research_Survey_2023.pdf. 46 Based on GLN site visit report, November 2024. 47 Ibid. Global Lighthouse Network: The Mindset Shifts Driving Impact and Scale in Digital Transformation 50