ROI Case File No.402: Three Streams Flowing Through the Water Purification Plant
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Three Streams Flowing Through the Water Purification Plant
Chapter 1: Unstoppable Water, Declining People
"Twenty-four hours, 365 days—water must flow continuously."
The technical director of AquaTech Solutions said this with a deep sigh. On the office map, red pins marked water purification plant locations scattered throughout Hiroshima Prefecture.
"However, the people protecting that water continue to decrease. Aging technicians, difficulty recruiting young workers, and retirement of experienced veterans. Population decline means not only fewer users for water utilities, but fewer operators as well."
The materials he presented documented each plant's operational status and personnel allocation transitions. Compared to five years ago, the average technician age had risen by seven years, while total numbers had decreased by 20%.
"We've transitioned to introducing the Hiroshima Prefecture Water Supply Standard Platform and centrally managing multiple purification plants through a wide-area operation monitoring system. However, this merely created a structure where 'fewer people watch more facilities,' and the workload per person only increases."
The technical director pointed to a monitor screen photo showing complex piping and instruments.
"Water production volume adjustment, chemical dosing optimization, early anomaly detection—these judgments still depend on human hands. Looking at past data, making decisions based on experience. The personnel with that experience are now leaving the field."
I quietly inquired, "You're considering AI-based automation?"
"Yes. However, we can't see where to start or what we truly need. The market overflows with various AI solutions, but which ones truly fit our challenges—"
This was confusion born from an abundance of choices.
Chapter 2: The Map of Three Perspectives
"This case calls for organization using the 3C Model."
Gemini drew three circles on the whiteboard. Customer, Competitor, Company—the three fundamental perspectives for strategic planning.
"The essence of the 3C Model," I began explaining, "lies in surveying the environment surrounding your company from three different angles, finding strategic clues where these perspectives intersect."
"Let's start with Customer—the customer perspective."
As Claude organized materials, she said, "AquaTech Solutions' customers are local governments and water utilities operating purification plants. What challenges do they face?"
The technical director answered, "Labor shortages and increasing workloads—that's everything. Particularly serious is the severance of technical succession. Tacit knowledge like 'this combination of values requires attention' that veterans possess is being lost without transfer to the next generation."
"So what customers truly seek," I organized, "isn't mere automation, but 'reproduction of experience.'"
The technical director nodded vigorously. "Exactly. We want AI to learn and reproduce veteran judgment patterns."
Next, the Competitor perspective.
"Several AI solution providers already exist in the market," Gemini reported investigation results. "Broadly two types: those offering generic AI platforms with customer-side customization, and those providing completely custom solutions specialized for specific industries."
"The former has low introduction costs but requires time to incorporate purification plant-specific know-how. The latter is optimized but requires large initial investment, beyond small operators' reach."
The technical director smiled wryly. "Exactly right. As mid-sized water utilities, neither quite fits our needs."
Finally, the Company—internal perspective.
"What are AquaTech Solutions' strengths?" I asked.
After brief consideration, the technical director answered, "We deeply understand water utility field operations. We have abundant practical knowledge about which value fluctuations signal anomalies, how to adjust for seasons and weather."
"Also, we already have the common foundation of the Hiroshima Prefecture Water Supply Standard Platform. The systems for data collection and centralized management are in place."
Claude's eyes brightened. "So AquaTech Solutions already possesses two assets: 'data' and 'domain knowledge.'"
Chapter 3: Where Three Circles Intersect
"Now, let's integrate the 3C analysis results."
I pointed to the three circles on the whiteboard.
"Customers seek 'reproduction of experience.' Competitors are polarized into 'generic' and 'fully custom' types. And the company possesses 'data' and 'domain knowledge.'"
"Where these three perspectives intersect, AquaTech Solutions' strategy emerges."
Gemini organized. "Meaning a 'semi-custom' solution based on generic AI platforms, incorporating purification plant-specific domain knowledge?"
"More precisely," I corrected, "establishing a reproducible process of 'specializing' generic AI for purification plants using your own domain knowledge and data."
The technical director leaned forward. "Does that mean it can be deployed to other water utilities?"
"Exactly. AquaTech Solutions becomes the first implementer, and the learning models and know-how gained there can be provided to other operators facing the same challenges. This strategy exploits competitive gaps."
Claude supplemented, "Not as costly as full customization, yet more practically optimized than generic solutions. A solution filling the gap for mid-sized operators."
"However," Gemini cautiously added, "this strategy has prerequisites. Definitely achieving results in the first implementation and proving reproducibility."
Chapter 4: Expansion from Small Worlds
The technical director closed his eyes in thought. After some silence, he spoke.
"So we conduct trial introduction at one purification plant, build a learning model there, then deploy the same model to other plants to verify reproducibility. A gradual approach."
"Yes," I answered. "The 3C Model indicates 'where to stand'—strategic position. But to stand firmly at that position requires starting small and confirming reproducibility."
"Design the first facility's introduction not as mere testing, but as a 'learning model construction process.' What data to collect, how to preprocess, how AI learns. Record that entire process and create a manual."
The technical director began taking notes. "With that manual, deployment to other facilities and provision to other operators becomes possible."
"Not only that," Claude added. "Recording the process also clarifies what worked and what didn't. The improvement cycle can turn."
The technical director stood and bowed deeply. "Thank you. The direction to pursue is clear."
After he left, Gemini remarked admiringly, "The 3C Model has power to organize complex market environments into three simple perspectives."
"Yes," I answered. "But the 3C's true value isn't mere organization. Having three different perspectives reveals the 'relativity' of your position."
"Relativity?"
"Looking only at your company, you can't tell strength from weakness. Only by seeing customers do you know whether that strength 'has value to customers.' Only by seeing competitors do you know whether that strength 'becomes a differentiating factor.'"
Claude smiled. "Only when all three perspectives align can you understand the meaning of your position."
Outside the window, rain had begun falling. That rain would be treated at some purification plant and delivered to someone.
Water doesn't stop. And the technology supporting that water must not stop either.
Three months later, a report arrived from AquaTech Solutions. AI introduction at the first purification plant had optimized chemical dosing, reducing annual costs by 15%. Moreover, deploying that learning model to an adjacent plant had reproduced similar results.
The strategic position indicated by the 3C Model truly existed.
"The three perspectives of Customer, Competitor, and Company draw a strategic map. But whether that map is correct only becomes clear by taking a small step. Reproducibility proves strategy's true value."