Trends Identified
Targeting emerging markets
The divergence within the global economy is one of the main reasons why most CEOs (84%) say they’ve changed their company strategy in the past two years – with a third of them describing the change as ‘fundamental’. Only half the world is growing at a robust rate. Although the International Monetary Fund (IMF) forecasts global growth at 4.2% for 2011, developed countries – which make up 52% of the world economy – are growing at only half that pace. In contrast, emerging markets are booming, with Indonesia, India and China all forecast to grow faster than 6%.1
2011
14th Annual global CEO Survey
PWC
Putting customers at the centre of innovation
CEOs are placing a higher premium on innovation today. Since 2007, business leaders have consistently reported that their single best opportunity for growth lay in better penetration of their existing markets. Now they’re just as likely to focus on the innovation needed for new products and services (see Figure 5). It’s high on the agenda in virtually all industries, including industrial sectors such as metals, chemicals and manufacturing.
2011
14th Annual global CEO Survey
PWC
Bridging global skills gaps
The ‘war for talent’ was declared more than 10 years ago, but few CEOs are prepared to declare victory. They know talent isn’t just a numbers game. It means finding, retaining and motivating employees whose skills really fit the company’s strategy. Given that 84% of CEOs have changed strategies in the past two years, companies’ talent needs are changing, too. So talent is now at the top of the CEO agenda for 2011, across all regions (see Figure 7).
2011
14th Annual global CEO Survey
PWC
Achieving shared priorities with government
While CEOs focus on their own growth plans, many also see a common purpose with governments. Constrained budgets are forcing difficult decisions on public sector leaders; CEOs are keen to protect shared priorities that are critical to business growth and their own competitive advantages. Fostering a skilled labour force is but one area where CEOs see greater potential for deeper engagement with government bodies.
2011
14th Annual global CEO Survey
PWC
Globalisation reimagined
CEOs’ shift towards a targeted strategy signals the advance of globalisation – but it may diverge from how it’s looked in the past. Companies are not only affected by globalisation; the actions they take will shape it. And this time, the evidence shows, CEOs are going to do it a little differently.
2011
14th Annual global CEO Survey
PWC
Data Takes its Rightful Place as a Platform
Generations of programmers and architects have grown up thinking in terms of applications—seeing the world through the lens of the functions that the business has needed and with data being the object, not the subject. That thinking will change. Although a focus on applications will continue to be important, it will give way to an emphasis on data. It is our belief that in the near future, platform architectures will be selected primarily to cope with soaring volumes of data and the complexity of data management—not for their ability to support this or that application.
2011
Accenture Technology Vision 2011
Accenture
Analytics Is Driving a Discontinuous Evolution from BI
Analytics drives insights; insights lead to greater understanding of customers and markets; that understanding yields innovative products, better customer targeting, improved pricing, and superior growth in both revenue and profits. That’s why farsighted companies are viewing analytics as essential for creating value. In contrast, their peers who think about analytics only as a simple extension of business intelligence (BI) are severely underestimating the potential of analytics to move the needle on the business. For one thing, they overlook the fact that traditional BI does not address the wealth of unstructured data that is now available.
2011
Accenture Technology Vision 2011
Accenture
Cloud Computing Will Create More Value Higher up the Stack
There’s no denying the momentum of cloud computing. Accenture’s research shows that enterprises are already moving applications into the cloud. 1,2 The demand is anything but an IT fad; it is coming from a host of business functions. And it is truly a global phenomenon; companies everywhere from Brazil to China are moving ahead rapidly with adoption. It’s clear that IT and business executives should expect cloud computing to become ever more pervasive– to the point that the term “cloud computing” itself becomes superfluous. But what’s needed now is a shift in thinking from obvious but nondifferentiating benefits such as cost reduction through cloud infrastructure to where the cloud will have its real impact. When we look at the different facets of cloud computing – Infrastructure-as-a-Service (IaaS), Software-as-a-Service (SaaS), Platformas- a-Service (PaaS), and so on – it is easier to see that most of the current emphasis on cloud is focused on the lower levels of the technology stack. For many large enterprises, the logical next step after virtualizing their data centers has been to leverage IaaS to augment those centers.
2011
Accenture Technology Vision 2011
Accenture
Architecture Will Shift from Server-centric to Service-centric
Information technology is evolving from a world that is server-centric to one that is service-centric. Companies are quickly moving away from monolithic systems that were wedded to one or more servers toward finer-grained, reusable services distributed inside and outside the enterprise. The evolution is being driven by the ongoing maturation of supporting tools, frameworks, and methodologies. There is still much to be done to decouple infrastructure, systems, applications, and business processes from one another. This shift has major repercussions for all levels of the enterprise architecture stack, from infrastructure to applications. Decoupling will enable components to operate independently while making software architectures reconfigurable during run time to adapt to various environments and design objectives, which will increase the flexibility of application deployment and maintenance. Although dynamic reconfiguration is not a new concept in academia, advances in cloud technology at all layers of the stack create a burning platform for such architecture.
2011
Accenture Technology Vision 2011
Accenture
IT Security Will Respond Rapidly, Progressively—and in Proportion
There is no such thing as watertight IT security. Yet for years, business and technology leaders have acted as if the only alternative to a “fully secure” state is an unacceptable “fully breached” state. This “fortress mentality” is outdated— and no longer realistic or practical. Leading security specialists are devising reflex-like systems whose responses step up with the severity of the breach. In extreme cases, counterattacks may even become part of an organization’s repertoire of responses. We believe that new security solutions and architectures will, like human reflexes, respond instinctively to the growing speed, scale, and variety of attacks. This implies that for the first line of defense, people will not be part of the decision loops; the speed and frequency of attacks dictate that human responses must make way for automated capabilities that detect, assess, and respond immediately. And the increasing “attack surface” – across more devices, more systems, more people, more business partners, and broader physical infrastructure— supports the case for automated capabilities that detect, assess, and respond to external threats immediately.
2011
Accenture Technology Vision 2011
Accenture