The role of centers of excellence in the digitalization of Pakistan

1. Role of COEs in the Digital
Pakistan Vision
Zulfiqar Qazilbash

2. Digitalization is disruptive
Market Disruption Disrupts
Finance Phone becomes the bank, virtual currency and
financial marketplace
Currency, banking, market for
financial products
Education Tutoring and learning assessments anywhere
anytime
Traditional school systems
Healthcare Healthcare and health records access anywhere
anytime
Traditional health
management systems
Retail Virtually view, better customer profiling, buy sell
transactions anywhere anytime
Traditional retail markets
Business
Operations
Increased productivity via analytics, global
supply chain, global markets
Traditional business
operations
Logistics &
Transport
Tracking, enhanced inventory and transport
management
Traditional logistics and
transport operations
E-Gov Transparent governance and
enhanced citizen participation
Current governance systems
and politicians
It will radically change how we do things

3. Changes are holistic
Technology Cloud Computing, Artificial Intelligence, IoT,
Robotics
Operations Increased use of big data and analytics;
decentralization and outsourcing, new
sourcing and delivery channels
Ecosystem R&D, finance, legal, accounting, training,
consulting, digital content, new services
Markets Development of new virtual marketplaces;
Elimination or reduction of bricks and mortar
infrastructures
Regulation Cyber security, Cyber Crime and Jurisdiction
Digital transformation will impact entire ecosystem

4. Is Pakistan ready?
Infrastructure • Mobile internet widespread
• Low fiber footprint
Business • Competing with incumbents on level field
• Lack of skilled middle management
• Access to unsecured finance
People • Brain drain among elites
• Low literacy and education among masses
Regulation • Digital payments and contracts
• Cyber security
• Legal framework
• Taxation and customs
Important structural changes needed at all levels

5. Can Incubators provide digitalization
solution innovations for our economy
• Incubatees lack access to global best practices, research and market data
• incubators not equipped for R&D or enterprise development beyond pilot
stage
Incubator
Characteristics
Positives Negatives
Incubators • Rent free collaborative
workspace
• Limited investor linkages beyond
angel stage
• No success stories as yet
Incubatees • Usually from Pakistan’s top
universities
• No business experience
• Frequently fail at pilot stage
Programs • Entrepreneurship • Enterprise development
Mentors • Successful entrepreneurs &
business executives
• Very limited experience with R&D
and/or digital transformation
Product
development
• Android apps, e-commerce and
game development
• R&D, quality management,
operational efficiencies
Market Channels • Greenfield • Integration with existing markets

6. What is needed?
PMO for knowledge management, innovation and research in
focused area
Think tank for reforming regulatory environment
Connectivity to existing markets and collaboration in
development of new channels
Connectivity to international best practices and research
Development of ecosystem required for success including
services, training programs, consulting, lab and workshop
facilities, etc.
CENTERS OF EXCELLENCE:
Centers of Excellence provide focus and excellence required for institutions to achieve
and sustain complex transformations

7. How COE fits into current ecosystem
COE
• Training
• Consulting
• Services
Incubators &
Accelerators
Corporations
and SMEs
Global
Market and
Technology
Affiliations
Local and
international
Academia
New Technology
Marketing innovations
Operations best practices
Research projects
Research resources
Challenge competitions
Knowledge management
Research and Lab coordination
Enterprise development
Resources &
coordination for
R&D and innovation
projects

8. Comparison
Capacity Incubator/Accelerator Center of Excellence
Management Generalist Heavy R&D and commercial
background
Typical client Fresh grad Experienced Executives and PHDs
Typical programs Basics of startup building Knowledge dissemination and R&D
in lab and across institutions
Infrastructure Basic IT services Local lab and international R&D
affiliations
International Alliances Limited or non existent Crucial
Connectivity with Academia Preferable but not crucial Crucial
Connectivity with legislature
and regulatory authorities
Not needed Highly desirable
Centers of excellence will add value by increasing sophistication
of startups coming out of Incubators

9. Thank You!