Trends Identified
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
The ‘humanized’ internet
The evolution of modern connectivity is often summarized as: the internet – the world wide web – mobile devices – big data/the cloud – the internet of things. For the next stage, it seems inevitable that even more personalization will be an important component. What we refer to as the internet of things will be central. However, more than simply connecting humans with devices, the next stage in connectivity will include “humanized” interfaces that constantly evolve to understand the user’s patterns and needs and, in a sense, self-optimize. This would include the functions and features on our devices, as well as the selection/curation of information we receive. It may not be the kind of artificial intelligence found in science fiction, but I expect this injection of personalization will bring monumental changes as our level of connectivity continues to grow.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)
The end of the 19th-century grid
One of the biggest changes we will see (or at least have made substantial progress towards) by 2020 is global electrification. In the US and Europe, most people take electricity for granted. But that is not the case in many parts of Latin America, Africa and Asia. More than 1.3 billion people still aren’t connected to the grid. More than 1.5 billion still don’t have regular access to electric light: they use oil lamps, which are a safety hazard. Even where the grid exists, it’s fragile: power blackouts are a major problem in many megacities. Power theft also plagues Brazil, India and South Africa. Safe, reliable power will have a transformative effect on these countries. Not only will there be near-term benefits such as greater productivity, but we will see long-term quantum leaps in educational achievement, healthcare and quality of life. These communities don’t have power now because our 19th-century grid is too expensive. The advent of new technologies is changing both the business models and use-case scenarios to make it possible. In a few years, the world will finally, truly, be wired.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)
The end of scarcity
The world said humans were not meant to fly. Hundreds of years of human invention had been unable to make it work. But in a small bicycle-repair shop, two brothers with no government funding and only a basic education had a vision, and a will to invent. And in 1903, thanks to the determination of these two unsuspecting inventors, humans flew. The distance of the first human flight was 120 ft. Years later, one of the inventors of that breakthrough would marvel that the wingspan of modern airplanes was longer than the entire distance his first plane had flown. The potential of technology is limited only by our imagination, and our will. Abundance of water, food, clean air … peace: the end of scarcity in the supply of our basic needs is possible. Perhaps not by 2020, but it starts with the dream, the determination to turn dreams into reality, and the understanding of this truth, so well embodied in the invention and rapid evolution of human flight: that all things are possible.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)
Fewer fancy phones, more fulfilment
The world many of us live in is changing at an exciting pace. Innovations are generating new gadgets, more convenient services and greater opportunities. But many of these changes target a small percentage of the globe’s population. In the villages I’ve worked in, nobody has seen an iPhone or can download an app. However, there is tremendous room for entrepreneurs to adapt innovations intended for the wealthy to serve the world’s poor. Solar panels and LED lights, designed for sale in rich nations, are stimulating growth in commercial off-grid electrification in India and Africa. Mobile telecommunication is being used to facilitate financial inclusion in developing countries across the world. Once-expensive medical procedures can be done amazingly cheaply. Even the financial sector is innovating in order to reach the world’s poor; as well as investors looking for opportunities that not only help them increase their net worth but also improve the world. Better financing opportunities are opening up for social entrepreneurs who build businesses to serve the poor profitably. I see a slight but significant shift in innovation, that instead of producing fancier phones, we will create more fulfilling lives for people who have been mostly ignored to date.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)
Cheaper, more widespread solar power
By 2020, solar technologies could account for a significant portion of global power generation, helping economies and businesses guard against rising energy costs and the impact of climate change. However, finding opportunities to further reduce the cost of solar technologies will be key to unlocking this potential. Because polysilicon, the primary raw material used by solar module manufacturers, is the single largest cost in the solar supply chain, it represents the most significant opportunity for cost reduction. Over the next several years, new lower-cost methods of polysilicon production will commercialize, providing the solar industry with a more affordable source of raw material. In turn, these cost improvements will trickle down throughout the solar supply chain, accelerating the adoption of solar energy around the world and helping the industry realize its global potential.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)
Internet of things no longer about things
Just about every business will become an internet of things (IoT) business. The convergence of the digital and physical worlds makes this inevitable. When the products companies sell are connected 24/7/365, dynamic and ever-improving value can be delivered to customers throughout the product’s life cycle. This will become the norm. Therefore, launching a successful IoT business requires a fundamental shift, a transition from product-centric to service-centric business models. Companies looking to capitalize on IoT will become IoT service businesses. Operations dependent on one-time product sales will become obsolete as business value moves from products to the experiences they enable. This transformation will fundamentally change how businesses operate, interact with customers and make money. Those who recognize that the internet of things isn’t about things but about service will be positioned to meet these new customer demands, unlock new sources of revenue and thrive in this connected world.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)
New cures from the bacteria that live in the human body
In life sciences, we’ll have greater understanding of the dynamics of how our microbiome – the tiny organisms, including bacteria, that live in the human body – influences multiple systems in our body, including our immune systems, metabolic processes and other areas. This will result in seminal discoveries related to a variety of conditions, including autoimmune diseases, pre-term birth and how our metabolism is regulated. Regenerative medicine approaches to creating new tissues and organs from progenitor cells will expand significantly. Finally, the long-awaited ability to employ precision medicine, providing specific treatments to a specific patients, will become much more common. The emergence of real-time diagnostics for complex diseases will mark the beginning of the end of their debilitating reign by 2020. The ability to monitor cancer, the dynamic immune system, intestinal flora and pre-diabetes in real-time will change the nature of medicine and usher in a new era of human health where wellness is protected versus illness treated. As a result, fundamental shifts in healthcare will occur, causing it to become largely preventative rather than fire-fighting. It’s far more productive and economical to stop a fire from happening in the first place than to rebuild something after the fire has taken its course. The amount of data available in the world is growing exponentially, and analyzing large data sets (so-called big data) is becoming key for market analysis and competition. Analytics will dramatically shift away from reporting and towards predictive and prescriptive practices, dramatically improving the ability of healthcare providers to help the ill and injured. Even more importantly, it will create the possibility for truly personalized healthcare by allowing providers to impact the biggest determinants of health, including behaviours, genetics and environmental factors.
2014
14 tech predictions for our world in 2020
World Economic Forum (WEF)