Megatrends 2020 and Beyond, Quick Summary

I have been wanting to write this Megatrends post for some time, its just I couldn’t. I was going through multiple reports on Megatrends from the net and they are very exciting. I also read some books to dig deeper into the subject and trying to find out what is it all about.

Here are the Quick Summary from various sources, which I will provide you the links at the bottom of this post.

  1. DEMOGRAPHIC CHANGE – In all megatrends report, demographic change becomes the central theme that’s driving all the other elements. I still remember Drucker’s word in one of his chapters titled “Sources of Innovation”. He said, “when there’s huge demographic change we should expect huge change in other variables.” Demographic change includes ageing population, drop in birth rates, people live longer, greater access to basic needs, access to education and urbanization.
  2. ENVIRONMENT SUCCESSION – Many called it crisis, I prefer the word “Succession”. Dr Thomas Friedman in his book “Thank You For Being Late”, called it “Mother Nature”. We need to make sure we are able to successfully cater to few more billions people in the next 2-3 decades. This include access to food, water, energy and air. When we have more people, we need more space. When we need more space, we clear the environment to make way to housing etc. All of us need to be creative in consuming. As it is our consumption habits may not be sustainable in the long run. Hence I prefer the sharing economy.
  3. MACHINES & TECHNOLOGY – The “rapid feeling of change” that we feel today started around 2006 & 2007 (Tom Friedman). It is the time in between when Facebook & Apple technology hit the market. Fast forward 10 years later, all the technology converged and “gave birth” to Industry 4.0. Now, you can feel the word “disruption” and it is not going to stop. There’s a lot of development in internet, telecommunication, smart factories, artificial intelligence, robotics, data analytics, automation, virtual reality, IoT and digital solutions. You will probably gain more insights by reading Moore’s Law on how technology double itself in almost every year these days.
  4. MONEY MODELS – Whilst not many Megatrends cover this specifically, I intend to add on and highlight this as an important trend. The freenomics is an interesting money model. The rise of social enterprise also a trend that corporations need to consider integrating in their overall business strategy. The sharing economy is creatively emerged as the way forward for us to adapt to new pattern of consumption. As the number of connected population increases, innovative money models certainly more sustainable for any organizations.
  5. PERSONAL EXPRESSION – This trend is covered in one of the reports which I found important to point out. Most people have more choices now. Thanks to wealth created from various economic entry points. Consequently, corporations are struggling to meet everyone’s need (although it is impossible, similarly impossible vice versa!). This includes the way people want to work, what they want to wear & use (brands & functional), how they think, when they want to be with their families, who they want to be their boss and so on. This will demand more flexible, adaptable and much less command & control organization. I remember reading PwC report back in early 2000, about the future of work, it says something like this, “in the future there’ll be a few large organizations and these organizations are served by SME, micro enterprises and independent experts.”
  6. GEOPOLITICS – Several of the reports covered this topic. I could agree that geopolitics is also important. Our economies are more integrated than ever before. When some nations in crisis, some other nations are in growth mode. Some countries have more money and on shopping spree around the world. This posed a new dynamics in terms of culture and national income. The big trading nations such as China, USA, Russia, Brazil, UK (?), Euro (?), Middle East (?), Asean countries (?) and thriving ground for new market. Then there’s war going on in some parts of the world, war-mongering attitudes around neighbouring countries and strained international relations.

 

Khairul in the opinion that in the coming years and beyond 2020, human values becoming very central and core to nation, organization and personal development. Be nice to others, because we can!

Brickbats please send to donkhairul@gmail.com

http://www.designthinking.com.my

Sources:

  1. http://www.ey.com/gl/en/issues/business-environment/ey-megatrends
  2. https://www.pwc.co.uk/issues/megatrends.html
  3. http://www.haygroup.com/leadership2030/about-the-megatrends.aspx
  4. https://www.nytimes.com/2016/11/22/books/review/thomas-friedman-thank-you-for-being-late.html?_r=0
  5. Top 20 Global Mega Trends and Their Impact on … – Frost & Sullivan
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