In the next two years, the most innovative companies will take advantage of 5 THINK BIG disruptions impacting the workplace, consumers, and sellers across nearly every industry. These changes are being played out now, and will reach their zenith by 2025.
1. Renting Things
Instead of Owning Them
Many large value
purchases will not be sold as long-term capital expenditures, but rented as
operational costs. The automobile and insurance industry will be greatly
impacted by this change. Vehicle ownership will move from individuals with
long-term bank loans and high insurance premiums to corporation investments.
Smart vehicles will become safer and more reliable, thereby reducing the need
for repairs, and necessitating changes in traffic laws.
Even home ownership
will be impacted, as younger consumers increasingly want to work where they
live, instead of being rooted in a cul-de-sac neighborhood. The benefits of a
home mortgage as equity may shift to alternative investments with greater
liquidity. GenX and GenZ increasingly see retirement as a novelty. They prefer
to think of post-work life as an adventure. They will have less need for a
fixed location and greater need for rental experiences.
Computer usage will continue to become a utility. The most innovative companies will not own software, but rent it as-needed. Individual computers will become more standardized and less powerful, as compute power moves to the cloud and consumption is variable. Meanwhile, land-line bandwidth will be obsolete as low-earth orbit internet becomes ubiquitous.
2. Commoditizing
Data as Bundled Offerings
With an overwhelming
bulge of data from IoT devices, the most innovative companies will harvest
targeted segments of information and build data lakes of specialized topics
that can be analyzed and re-sold with device level accuracy at the point of
presence.
Every transaction
made by anyone, at any time, will be available for purchase. Privacy concerns
will give way to consumer convenience. Marketers, sellers, and data analysts
supported by software developers, will use these data lakes with predictive
analytics to influence decision-making on every product, political campaigns,
and personal purchases.
The mobility of data means that the consumer's location is no longer relevant. Data bundles will follow the consumer based on device location, and change as vendors earn trust and vie for their attention. Consumers will care less about who makes the product and more about who delivers what they want, when they want it. The postal address will become less important than the consumer's physical location.
3. On-the-Go
Consumption
The most innovative
companies will find ways to package products and services into
smaller-and-smaller form factors. Purchase labeling like QR codes will become
obsolete as just-walk-out technology eliminates the need to wait in line to
check-out and drone delivery makes its way into our everyday life.
Foods and other
ingestible products will move to capsulized form and condensed packaging, where
the value is weighted by time and convenience. This change will be felt most
acutely at fast-food restaurants, the corner convenience store, and legal
psychoactive drugs dispensaries, where consumers just want to get in and out
quickly. This change lends itself to automation with the increased use of
robotics based on pre-defined and re-sold algorithms that need less customized
training.
This, too, will be impacted by the mobility of data. Ordering pizza and beer on the beach will become more common. In fact, the bundling of data will ensure that your favorite New York slice is also available in Malibu; delivered on the sand without even choosing options.
4. Quality of Life
People will no
longer work to achieve a good standard of living; quality of life will be seen
as a right, not a privilege to be achieved. The most innovative companies will
recognize the value of talent; those that don’t, will struggle to retain top
performers and eventually become obsolete. The power of work will continue to
move into the hands of the worker. Employment packages, ultimatums,
restrictions, contracts, and agreements that control the boundaries of work
will no longer ensure talent doesn’t go somewhere else.
Employers that
demand butts-in-seats and fixed office locations will be seen as out of touch.
People will work where and when they believe it will provide the greatest
quality of life. The five days a week, eight-hour work day is dead. Some
companies will struggle with time-zone differences, but the most innovative
companies will learn to flex worker options and collaborate anywhere and at any
time.
Even governments will be forced to adopt flexible work schedules. This will impact the competitive landscape for large, multi-year contracts. With location no longer a requirement, companies will continue to diversify their workforce and leverage regional cost savings. Those that centralize will stagnate. New specializations in human resources and corporate law will emerge to manage employment requirements and taxes at every local level.
5. Automation
Everything
Any repetitive task
or manual sequence will be a candidate for automation. The most innovative
companies will mechanize everything, driving workplace tasks to higher-value
outputs and lowering human touch. These companies will dramatically reduce
error rates, lower costs, and increase speed to delivery. The smart ones will
transfer savings to customers and deepen trust with consumers, resulting in
higher profits over extended horizons. Others will look internally to benefit and
see only short-term gains that eventually lead to stasis.
Job categories like
human resources, legal, administration, manufacturing, and the entire supply
chain will become increasingly automated through self-serve functionality at
the edge. Quick-click enabled by AI/ML solutions will automate the delivery of
a laptop, the selection of benefits, the agreement of a contract, and the
movement of goods and services. Human-in-the-loop will move from highly
educated subject matter experts, to full-stack software developers able to code
and review algorithms that drive high-value, low-cost outputs.
Robotics will become
common with modular specialization being rented as commodities. New robotics
companies will build specialized platforms for fast food restaurants, big bulk
store stocking, last-mile delivery, household services, and medical care. A
build once, rent many approach to the use of robotics will drive down costs and
make implementation much quicker and easier. The workplace robot will become as
standard as the copy machine.
Conclusion
The widely available
compute capacity, no-code/low-code development, and AI/ML, Robotics, and Space
advancements are making choices more available and easily consumable. The value
proposition is now in the hands of the consumer at the edge and not the
producer at the build point. From new-venture startups to long-standing
big-caps, and from cultural discourse in the public square, to the mom-and-pop
shop down the street, we are living in a time of unprecedented change. If you
thought the Industrial Revolution was something, just you wait. The band is
still warming up.
* Dr. Thomas Ferleman is an Enterprise Transformation specialist at Amazon.com, where he leads Digital Innovation engagements using Amazon’s innovation mechanisms like, Culture of Innovation, Working Backwards (Design Thinking), Innovation Pulse Check (Lean Six Sigma/DMAIC) Roadmap, and SMART Solution Design (Agile) to identify specific end-user problems or opportunities and build customer obsessed solutions. He is a Professor, Data Analytics Engineering (DAEN) Master of Science Program, George Mason University College of Engineering and Computing. He specializes in a broad range of data analytics algorithms, tools, and processes for solving a wide range of real-world problems. He holds a Doctor in Strategic Leadership from Regent University, and MBA, MS in Management, and Bachelor of Science from University of Maryland Global Campus. This post was reprinted by permission from the ALL THINGS INNOVATION blog. For more insights from Dr. Ferleman, go to https://ferleman.com
Very well written piece. We are almost at the doorway of data driven economy. AI has taken over academic research with powerful tools presenting deeper insights into marketing theory. Maybe quality of life indicators will also be governed by data.
ReplyDeleteI admire your post as it presents an intriguing glimpse into the evolving landscape of business and technology. The ongoing technological advancements continue to reshape our world in profound ways. As these disruptions unfold, it is important for businesses and society to strike a balance between innovation and ethics.
ReplyDeleteThis is a very informative post and important as the world around shifts with each new tech advance. Thinking about businesses, technology and the future is extremely important. Incorporating programs such as AI and other advances is something that many business need to start thinking about.
ReplyDeleteIn today's world, technology plays an important role within society because everything is advancing and changing to something much greater. We already have AI which is evolving into something more advance.
ReplyDeleteThis is a great piece because you already see companies implementing these tactics. For example, Amazon had already started using drones for shipping, companies like Google and Netflix have started to prioritize their employees quality of life, and Tesla is the prime example of automation. However, with all these advancements, how will job security pan out with a reduced need for a physical presence at these companies? With tools like AI and the metaverse companies are shifting from a physical to digital presence. Overall, really great informative post.
ReplyDeleteI find it very interesting that all of this can be predicted to 2025. 2025 from now is quite a bit of time realistically speaking but also it will come before we even know it. I'm excited to see all the new changes that will be made and how AI will have to do with everything.
ReplyDeleteTo imagine robots filling cashiers' jobs and society losing a little bit of human touch is kind of scary. I was literally picturing WALLE while reading this. I can see how this will be a huge advantage for companies. More choices and availability combined with high-end technology and perceivable data will allow for more accurate production, demand rates and overall analytics to better target consumers. I think this future state of a more technological society will take a while to reach all parts of the country and will not be as easily accepted by older generations or rural communities.
ReplyDeleteHello, I somewhat agree with your principle regarding renting things instead of owning them, when it comes to my generation's view on retirement as a novelty and a chance to adventure. However, I think that by renting things instead of owning them you severely limit the capability to pass down physical investments to your children. Being able to own certain things like a house and when you pass away being able to give it to your children is a huge reason why owning things has a large positive. I believe that we need to stop looking at investments through the eyes of our lives and instead through the lens of how investment would benefit my children and their children's children and I believe that owning a large amount of land or physical assets or even collecting rare and valuable vehicles is extremely beneficial to your bloodline.
ReplyDeleteI enjoyed this blog a lot. We are moving more and more towards a new outlook and world within technology and development. I thought your speaking on the “Quality of life” section was intriguing because for so long we’ve been set on live to work and we’re starting to move into this work to live era. I also found it interesting how you mentioned that eventually companies will begin to use “rentals” a lot more and only when they need them. I’d hope to learn and converse about that more.
ReplyDeleteSeeing the truth of this article come to light, my main enjoyment is the quality of life section. Ever since the pandemic we see many jobs moving to hybrid or even virtual and are seeing more productivity occurring because of this better work-life balance. I feel like we do see other countries making that a main priority when it comes to hiring employees and now that we are jumping on the train it will be a win-win for both. I don't believe that location should be a priority if the person is highly qualified, there are opportunities where it could be done in your own space. Something that is sad is the reality of machines and robots taking over jobs, starting small with grocery store checkouts there is the AmazonGo market where it scans your app and it is a take-and-go system, where you can just walk right out, which is scary because it reminds me of the automated calling system when you need help from a company through the phone. Will there be any workers around to help or would it be empty??? I wonder what life will look like in the future.
ReplyDelete"Your insightful blogs simplify intricate ideas, making learning an enjoyable experience. Your clarity and conciseness are highly appreciated. I eagerly look forward to diving into more of your content.
ReplyDeleteTo know more:- https://www.qtechelectrical.com.au/commercial "
It is fascinating the way the text and the main ideas are presented. People must know about the changes and how the world will be reshaped. Humans do not have to stay in the mold just because they are comfortable. It is convenient to be used to changes and aspire to be better. Also, business people should have a broad view of the possibility of change. They must listen to the customer and their need and also figure out different ways to offer their customers efficiency.
ReplyDeleteYour post provides a fascinating look into how the business and technological landscape is evolving. In a world where technology is rapidly reshaping everything, it's becoming more important than ever for businesses and society to strike that delicate balance between innovation and ethics. This balance is key to building a future that thrives on progress while upholding our shared values.
ReplyDeleteGreat post! It is very telling how almost everything you described is now prevalent in our everyday life. With the first point, as Airbnb has become increasingly popular and the cost of buying a house has consistently increased, most individuals are now renting instead of buying houses. Furthermore, the point about most practices becoming automated has proven to be true, as most things have become digitalized with a significant decrease in human interaction.
ReplyDeleteThis blog discusses five significant developments that will occur during the next several years. First, individuals may begin renting rather than owning vehicles or even homes. Second, businesses will leverage device data to better understand consumer preferences and make more successful sales. Thirdly, goods and services will get more compact and user-friendly. Fourth, improving people's lives will become more important at work than adhering to a rigid timetable. Lastly, machines will do a greater number of duties at work. According to the site, businesses who embrace these changes will prosper, while those that fight them may find it difficult. All in all, it provides an intriguing perspective on future developments.
ReplyDeleteImpressively articulated. We stand on the verge of entering a data-driven economy era, where AI has revolutionized academic research by providing potent tools that offer profound insights into marketing theory. Perhaps even quality of life metrics will soon be influenced by data-driven approaches.
ReplyDelete
ReplyDeleteThis was a very good post. It emphasizes a shift from pursuing a good standard of living to valuing quality of life as a right. It suggests that companies prioritizing talent over traditional work structures will thrive, while those rigid in their approaches may struggle.
Although adapting to the future and the unknown of technology may be scary, hot New York Pizza on the beach does not seem like a bad idea. It seems like the world is valuing convenience more and more, I wonder how this will affect our lifespan.
ReplyDeleteThe concept of renting things instead of owning them, as you have highlighted in this post, resonates with the evolving mindset around consumption and ownership. This shift has the potential to redefine traditional industries and consumer behavior. Embracing operational costs over long-term capital expenditures introduces a more flexible approach, particularly in areas like automobiles and homes. Great post!
ReplyDeleteI really like this article and a lot of the points made in it. One thing that will be interesting to see is how the Gen Z and Gen X retirement ambitions change throughout life. While most of us see retirement as an adventure now, I am curious to see how we think of retirement as we get older. Also, I appreciate the mention of low code/no code applications and how that will effect new products coming out. Digital innovation is becoming more of a rapid testing cycle than what was previously possible.
ReplyDeleteGreat article! I think you make some really interesting predictions about how emerging trends could shake things up in the next few years. Companies renting instead of owning resources and the commoditization of data seem likely to happen. My one worry is that these changes reward big tech while making things tougher on everyday people. But overall the trends towards flexible work and automation could be freeing if the benefits are shared broadly. Let's hope the innovations bring more people along for the ride instead of leaving them behind!
ReplyDeleteI really enjoyed your comprehensive analysis of the five 'THINK BIG' disruptions expected to reshape industries by 2025. Your insights on shifting from ownership to renting, commoditizing data, on-the-go consumption, the changing nature of work, and automation's role are thought-provoking. It's evident that technology and evolving consumer preferences are driving these transformative changes. Your post explains this clearly, and I agree that these disruptions will significantly impact various industries. Thanks for sharing these ideas!
ReplyDeleteThe “5 THINK BIG” predicts significant disruptions across industries in the next two years, emphasizing shifts towards renting over owning, commoditizing data, on-the-go consumption, prioritizing quality of life over traditional work structures, and widespread automation. These changes herald a transformative era where consumer empowerment and technological advancements redefine the landscape of commerce and employment, promising unprecedented shifts akin to the Industrial Revolution.
ReplyDelete
ReplyDeleteThe notion of robots replacing cashiers and the potential loss of human interaction is indeed unsettling. It evokes images reminiscent of the film WALL-E. Nevertheless, I acknowledge the considerable advantages this technological shift offers to companies. The fusion of expanded choices, heightened availability, advanced technology, and tangible data promises enhanced production accuracy, demand forecasting, and overall consumer targeting.
However, transitioning towards a more technologically driven society may encounter resistance, particularly from older generations and rural communities. The adoption of such innovations is likely to be gradual and uneven across different regions. Cultural and generational gaps may impede widespread acceptance, necessitating thoughtful consideration of societal impacts and inclusivity as we progress towards this future state.
Automation especially constitutes an interesting remodeling of many tasks, particularly through the use of algorithms and systematic coding. However, its revolutionizing aspect also portrays a counteractive characteristic as it eliminates the need for humans and further restricts their involvement in society. This dehumanizes them.
ReplyDeleteThe shift towards a remote work environment is heavily driven by the desire for employees (life myself) to enhance the' quality of life. Companies have been forced to adapt to these changes by implementing practices that support this new evolving work landscape, post covid. Remote work not only eliminates the need to commute to an office but it also offers flexibility for employees to live/move to a more affordable location, inturn reducing excess costs, stress for some, and provides more options for employees to balance their professional and personal time. While this may not be the ideal method for companies, I believe it is a necessary evil to retain good talent.
ReplyDeleteVery informative post! I love how this post provides insights into current trends, explaining these trends, and how they will reshape the business landscape in the upcoming years! I think the idea of quality of life becoming more important than the standard of life is extremely important and businesses must consider this change in ideology and strategize how to retain their employees in a changing world. Businesses may need to have more flexible work schedules and learn how to leverage technology for effective collaboration and maintaining a positive work culture, as well as address potential challenges associated with remote work.
ReplyDeleteThe way the transition to a more technology dependent world is described is captivating. The trend towards renting rather than owning is definitely seen in housing and transportation. As technology continues to rapidly advance, it is important for companies to take note of the trends in order to adjust to these changes.
ReplyDelete