Seizing the opportunities of AI
SMES to benefit from more cost-effective use of hardware
DESPITE the breakneck speed of technological advancements these days, one of the first things that Alvin Koh noticed when he returned home from Australia was the lack of effort in driving the development of machine learning to solve real problems.
Noting that there was enormous potential in this technology, the former banker took it upon himself to exploit the capabilities of machine learning to make life a lot easier for other businesses.
He started artificial intelligence (AI) optical solution company Blinkware Technology in 2013 to help organisations reduce the risk of failures or downtime in their operations.
The firm’s main application also enables companies to increase operational efficiency, improve product compliance, process data instantly, get a better understanding of their supply chain and customers as well as reduce cost thanks to predictive maintenance.
Koh, who is also chief executive officer, says the company’s technology platform can be applied across various industries such as automotive, textiles, rubber, F&B, logistics and agriculture.
Leveraging its platform can help businesses save considerable cost and time, he says, especially when compared to using manual labour – which is still the case for many companies today – to perform the same tasks.
Blinkware has its own patented optical recognition software technology that enables lower-cost hardware to function at the same quality and efficiency as expensive higher-end peripherals.
Although Blinkware started life as an interactive digital media company providing tailored motion sensor advertising and marketing solutions, it moved into deep tech in 2016 with the development of its own AI optical recognition technology which can be tailored to fit multiple industries.
What sets them apart from most other software providers in the market is their ability to integrate their camera technology into existing platforms by utilising low cost hardware that makes use of 2D cameras.
This is especially useful in pushing for wider adoption of automation in manufacturing processes among small and medium scale companies, which make up a large chunk of South-east Asia’s economies. Many of these companies do not have the budget to spend on high-end devices but stand to benefit greatly from the efficiency of the latest technology.
For now, Blinkware is focused on growing its hardware agnostic AI system for manufacturing services as it has one of the biggest growth potential for the company.
Citing a study by global consulting firm Mckenzie, Koh says the manufacturing sector in Asean could add up to Us$311bil in additional value creation by adopting automation and AI in the production process.
The company’s optical research and development (R&D) arm is currently working with automotive manufacturers to provide integrated optical technology which can be used to assist them in the quality control processes.
Making partnerships
Blinkware has been approached by a China-based strategic investor and is also fielding interest from a Japanese partner who are keen to tap into the company’s proprietary AI technologies, Koh highlights.
During the coronavirus period, other investors have also shown keen interest in Blinkware as the company expands its capabilities into AI medical technology and peripherals for mass Covid-19 testing and surveillance, he adds.
Blinkware currently has eight shareholders. Koh holds the second largest stake in the company.
On a wider scale, though, the firm has formed a strategic business alliance with Fujitsu to expand across South-east Asia. The Japanese IT company has helped expand its technologies and opened up markets for Blinkware in Indonesia and Thailand.
“This collaboration provides us with technical as well as sales and marketing support,” he says.
This will give the company a boost as it looks to recover and grow from the shadows of the coronavirus pandemic.
Koh expects the next 18 months to be an extremely volatile period as many sectors are still trying to grasp the full impact of the lockdown and businesses are still trying to navigate the situation and put their recovery plans into action.
“Specifically related to our clients and their industries, the current turbulence coupled with economic uncertainties due to the lockdown have rendered many non-essential manufacturers inoperable. This has heavily impacted their production, causing massive losses due to high operating costs and low productivity.
“They are still working through cost cutting exercises and refocussing their budgets to ensure high productivity remains at the lowest cost.
“For us, this period has provided many new projects, in particular, manufacturing clients who are still running very traditional processes heavily dependent on human resource, onsite management of the supply chain and manual reporting channels,” shares Koh.
The company is currently busy reaching out to various SMES and government agencies to educate them on the use of AI in their processes to reduce human bias and increase accuracy in their workflow.
The good thing about using technology is that even if a system makes a mistake, it can be fixed.
Given the huge potential for the company, Blinkware is looking to expand its team to meet future demand.
It currently has 30 employees, of which 70% are programmers.
One of the biggest challenges for Blinkware is to hire enough talents to scale faster and ensure quick and smooth delivery of its projects. The competition for talents in the AI industry is fierce and expensive, says Koh, and Blinkware has to compete for highly skilled programmers and IT engineers with companies from the Silicon Valley, China and even Singapore.
With good talents in high demand, the company – or even Malaysia – will have to put out an offer enticing enough for their consideration.
Operating in a new normal
Being a young company, Blinkware has little problem embracing the new working conditions recommended under the movement control order.
Koh says the company has been productive even when half the team is working from home, leaving only critical roles including R&D to be based in the office.
“With a high percentage of our workforce being millennials, working from home was second nature to our team members and surprisingly, it has worked very well of us with a heightened sense of accountability and greater engagement levels across departments.
“In fact, we had been toying with the idea of working from home since 2019 but this pandemic forced that decision for us and has proven to us that it works.
“Our client meetings are now predominantly via web-conference calls and with the reduced time needed for travel to meet with our clients, it allows our front line operations to be more engaged with our clients during the day, which is also the reason that we are continuing
the work from home practice even after this,” says Koh.
Those working at the office continue to abide by strict standard operating procedures on social distancing. He notes that seating arrangements have been changed and meetings limited to four people in a room at one time.
“This is to ensure we are playing our role to combat and eradicate the relapse of Covid-19 with the relaxing of the lockdown in phases,” he adds.
He also says that many of the practices during the movement restrictions have taught the company to forego certain costs.
“Being able to consolidate our work force without multiple offices or branches and costly asset maintenance and inventory have enabled us to keep lean, nimble and cost effective during this difficult
“Being able to consolidate our work force without multiple offices or branches and costly asset maintenance and inventory has enabled us to keep lean, nimble and cost effective during this difficult uncertain times.” Alvin Koh
and uncertain times.”
As a company with its core operations in software, Blinkware is in a good position to pivot and grow fast during this time due to its fairly low operational cost model.
Koh says the company continues to educate potential clients and various stakeholders on the benefits of AI technology.
For example, in the medical field, the company aims to combat future respiratory-type pandemics by arming countries with AI technology to help them manage their first line of defence. The technology will be able to ensure that every individual can be checked efficiently.
This will allow more individuals who have tested negative for Covid19 to return to work, thereby reducing the risk of a drastic economic downturn.
Additionally, it will also help positive and possible cases to be segmented for isolation and testing to prevent future outbreaks.
Other areas that the company is developing which will be ready soon are platforms that will be able to identify individual temperatures in a mass setting using AI facial recognition and highly accurate thermal sensing cameras.
This will help organisations take a proactive approach to combating the spread of Covid-19 in mass areas including airports, religious gatherings and schools as they reopen.
“Most of our overheads are currently in R&d-based human capital, which we are still hiring to grow our talent base of programmers to expand on our new projects,” he says.
Having spent close to 20 years working in the relatively rigid financial industry, making the switch to a fast-paced technology and AI world has certainly not been an easy feat for Koh. But leading a team of innovators with a clear vision on how to bring the benefits of technological advancements to businesses has been rather satisfying.
Perhaps, Blinkware is also positioned to be the local champion to push other businesses to level up the technology value chain, he mulls as he concludes.