Bangkok--24 Nov--PwC Thailand
PwC has identified eight technology megatrends that businesses should consider over the coming years.
PwC's report, Tech breakthroughs megatrend, evaluated more than 150 forms of technology globally and developed a methodology for identifying those which are most relevant to both individual companies and whole industries.
The study assessed emerging technology based on business impact and commercial viability over the next five to seven years (and three to five years in developed economies).
The specific criteria included the technology's relevance to companies and industries; global reach; technical viability, including the potential to become mainstream; market size and growth potential; and the pace of public and private investment.
Vilaiporn Taweelappontong, Lead Partner for PwC Thailand's Consulting services, said that the 'essential eight' technologies will be the most influential on businesses worldwide in the near future.
"We believe that these technologies will shake up companies' business models in both beneficial and challenging ways," she said.
"The essential eight technologies will influence strategy, customer engagement, operations, people and talent, and compliance across industries and regions. They're also at varying degrees of maturity. Some have been around for years but are just starting to hit their stride. Others are maturing rapidly."
The eight forms of technology are:
1. Artificial intelligence (AI): Software algorithms that are capable of performing tasks that normally require human intelligence such as visual perception and speech recognition. AI is an umbrella concept that is made up of several subfields such as machine learning, which focuses on the development of programmes that can teach themselves to learn, understand, reason, plan, and act when exposed to new data in the right quantities.
2. Augmented reality (AR): Adding a visual or audio overlay of contextualised digital information to augment the viewer's real-world view. AR-enabled glasses help warehouse workers fulfil orders with precision, airline manufacturers assemble planes, and electrical workers make repairs. We're currently seeing mainstream gaming examples of AR that reach across age demographics.
3. Blockchain: Distributed electronic ledgers that use software algorithms to record and confirm transactions reliably and anonymously. The record of events is shared between many parties and information once entered can't be altered, as the downstream chain reinforces upstream transactions.
4. Drones: Air or water-based devices and vehicles, for example, Unmanned Aerial Vehicles (UAVs) that fly or move without an on-board human pilot. Companies use drones for wide-ranging reasons, including surveillance, survey, sport, cinematography and delivery.
5. Internet of Things (IoT): Network of physical objects (such as devices, vehicles, etc.) embedded with sensors, software, network connectivity, and computer capability enabling them to collect, exchange, and act on data, without human intervention. The Industrial IoT (IIoT) is a subset of IoT and refers to its use in manufacturing and industrial sectors. IIoT adds sensors to people, places, processes and products across the value chain to analyse information and advance an organisation's goals.
6. Robots: Machines with enhanced sensing, control, and intelligence used to automate, augment, or assist human activities. Robots are poised for radical growth in a broad range of service applications. They're transforming both manufacturing and non-manufacturing operations with new capabilities.
7. Virtual reality (VR): Virtual reality typically requires equipment such as a headset. Unlike AR, it uses a defined, contained space. VR involves a computer-generated simulation of a three-dimensional image or environment.
8. 3D printing: Additive manufacturing techniques used to create three-dimensional objects based on digital models by layering or 'printing' successive layers of materials. 3D printing relies on innovative inks including plastic, metal, and more recently, glass and wood.
Key questions for the C-suite
PwC's report pointed out that executives shouldn't treat the essential eight technologies as a checklist to delegate to the CIO or CTO.
Instead, it suggests that business leaders' executives should educate or re-familiarise themselves with these forms of technology – tracking, evaluating, and developing an action plan to incorporate them as a core part of every company's corporate strategy.
To do so, there are three key questions business leaders must find answers to:
• Do we have a sustainable innovation strategy and process?
• Have we quantified the impact of new technology? If not, how can we do that—and how soon?
• Do we have an emerging-technology road map? If so, are we keeping it up to date?
Explore PwC's Tech Breakthroughs Megatrend site and download the report at www.pwc.com/TechMegatrend.