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The future of work: What does this mean for a CIO?

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  • Definition of GlobalizationGlobalization is the system of interaction among the countries of the world in order to develop the global economy. Globalization refers to the integration of economics and societies all over the world. Globalization involves technological, economic, political, and cultural exchanges made possible largely by advances in communication, transportation, and infrastructure.There are two types of integration—negative and positive. Negative integration is the breaking down of trade barriers or protective barriers such as tariffs and quotas. In the previous chapter, trade protectionism and its policies were discussed.You must remember that the removal of barriers can be beneficial for a country if it allows for products that are important or essential to the economy. For example, by eliminating barriers, the costs of imported raw materials will go down and the supply will increase, making it cheaper to produce the final products for export (like electronics, car parts, and clothes).Positive integration on the other hand aims at standardizing international economic laws and policies. For example, a country which has its own policies on taxation trades with a country with its own set of policies on tariffs. Likewise, these countries have their own policies on tariffs. With positive integration (and the continuing growth of the influence of globalization), these countries will work on having similar or identical policies on tariffs.Effects of GlobalizationAccording to economists, there are a lot of global events connected with globalization and integration.It is easy to identify the changes brought by globalization.1.   Improvement of International Trade. Because of globalization, the number of countries where products can be sold or purchased has increased dramatically.2.  Technological Progress. Because of the need to compete and be competitive globally, governments have upgraded their level of technology.3.  Increasing Influence of Multinational Companies. A company that has subsidiaries in various countries is called a multinational. Often, the head office is found in the country where the company was established.An example is a car company whose head office is based in Japan. This company has branches in different countries. While the head office controls the subsidiaries, the subsidiaries decide on production. The subsidiaries are tasked to increase the production and profits. They are able to do it because they have already penetrated the local markets.The rise of multinational corporations began after World War II. Large companies refer to the countries where their subsidiaries reside as host countries. Globalization has a lot to do with the rise of multinational corporations.4.   Power of the WTO, IMF, and WB. According to experts, another effect of globalization is the strengthening power and influence of international institutions such as the World Trade Organization (WTO), International Monetary Fund (IMF), and World Bank (WB).5.   Greater Mobility of Human Resources across Countries. Globalization allows countries to source their manpower in countries with cheap labor. For instance, the manpower shortages in Taiwan, South Korea, and Malaysia provide opportunities for labor exporting countries such as the Philippines to bring their human resources to those countries for employment.6.   Greater Outsourcing of Business Processes to Other Countries. China, India, and the Philippines are tremendously benefiting from this trend of global business outsourcing. Global companies in the US and Europe take advantage of the cheaper labor and highly-skilled workers that countries like India and the Philippines can offer 7. Civil Society. An important trend in globalization is the increasing influence and broadening scope of the global civil society.Civil society often refers to NGOs (nongovernment organizations). There are institutions in a country that are established and run by citizens. The family, being an institution, is part of the society. In globalization, global civil society refers to organizations that advocate certain issue or cause.There are NGOs that support women's rights and there are those that promote environment preservation. These organizations don't work to counter government policies, but rather to establish policies that are beneficial to all. Both the government and NGOs have the same goal of serving the people.The spread of globalization led to greater influence of NGOs especially in areas of great concern like human rights, the environment, children, and workers. Together with the growing influence of NGOs is the increasing power of multinational corporations. If the trend continues, globalization will pave the way for the realization of the full potential of these two important global actors.
  • Low fertility, with couples now having, on average, fewer than 2.1 children, below the level needed for the population to replace itself. A key question is whether this trend will continue or whether fertility will rise and what, if anything, governments can or should do to influence this.
  • Ipv6 – world is running out of IP addresses (IP V4 running out of steam – 4 billion devices)Golf ball compared to the Sun (Trillion of addresses)14 addresses per person
  • Transcript

    • 1. The future of work – CIO implications
      Andy Wood
      Head of Communications & Collaboration
      andy.wood@kcom.com 07778335635
    • 2. Overview
      Mega trends
      Future of work
      CIO agenda
      IT consumerisation
      CIO implications
      Conclusion
    • 3. Mega trend - Globalisation
      Drivers
      Improvement of international trade
      Technological progress
      Increasing influence of multi national companies
      Power of WTO, IMF, WB
      Greater mobility of human resources across countries
      Greater outsourcing of business processes to other countries
      Civil Society
      Volatility & uncertainty
      Low cost competition
      Internet – connected economy
    • 4. Mega trend - Economic GDP % change on prior year 2009
    • 5. Mega trend - EconomicGDP % change on prior year 2010
    • 6. Mega trend - Economic GDP % change on prior year 2011
    • 7. BRIC economies
      In US dollar terms, China could overtake Germany in the next four years, Japan by 2015 and the US by 2039.
      India’s economy could be larger than all but the US and China in 30 years.
      Russia would overtake Germany, France, Italy and the UK.
      Of the current G6 (US, Japan, Germany, France, Italy, UK) only the US and Japan may be among the six largest economies in US dollar terms in 2050.
    • 8. Mega trend – UK demographics
      Ageing population
      Median age
      1984 = 35 years
      2009 = 39 years
      2034 = 42 years * projection
      Longer life expectancy
      Men @65
      + 17.6 years / 12.9 years healthy
      Women @65
      + 20.2 years / 14.9 years healthy
      Lower fertility
      Fewer births, marriages & deaths
      Extended retirement ages
      Large pool of skills & experience
      Electronically mediated life styles and relationships
      Blurring of work and home – rising job mobility
      1 in 20 people in the UK work in IT and Telecoms
      Generation Y – Millennial’s
      Future strain on the NHS
    • 9. Mega trend – Universal connectivity
      Data deluge / broadband explosion
      Rising transparency
      Declining privacy
      Business analytics
      Reputation economy
      Networked risks & failure
      Information security
      Location based services & habit trails
      Smart communities & connected cities
      2 billion on line, 5 billion devices – 500m on Facebook 25%
      200m access Facebook via a smart phone
      World is running out of IP addresses – IP V6
      14 IP addresses per person
      16m users in 1995 to 2 billion in 2010 and 5bn devices connected !
      (Cisco report August “the evolving internet report”)
    • 10. Mega trend – IT consumerisation
      Innovation, faster and more disruptive
      Mobile the primary device for web surfing
      IPhone Surpasses Blackberry In World Wide Market Share
      Average of 50 IPhone apps per user
      400,000 IPhone apps available on iTunes
      3 bn hours per week playing games
      25m users on SKYPE
      Users on Facebook 500m, Twitter 110m, LinkedIn 70m
      60 bn instant messages sent a day (40% business)
      90% of all Internet traffic will be video by 2013
      You Tube 2bn viewers per day, 24hrs of video is up loaded per minute
      Half the user base is under 20 years old/ 1000 years to watch it all
      2015 125million will not have electricity but will have a mobile phone
      On planet earth 4 babies born every second / 40 mobiles sold per second
      Mobile internet ramping faster than desktop internet did
      Consumer market surpassed the size of the Enterprise market in 2004
    • 11. Direction of travel ?
    • 12. The future of work
      “Throw away your brief case you are not going to the office.”
      “You can kiss your benefits good bye too.”
      “Your new boss won’t look much like your old one.”
      “There is no longer a ladder and you may never get to retire, but there is a world of opportunity if you figure out a new path.”
      Time – Magazine - May 2009
    • 13. People strategy – the journey
      The Model
      The Structure
      VISION
      TO BE
      AS IS
      VISION
      TO BE
      AS IS
    • 14. Vision of work 2020
      Networked economy
      • Value created by providing relevance
      • 15. Access to expertise
      • 16. Dynamic business model innovation
      • 17. Communities & relationships
      • 18. Democratization of value creation
      • 19. Collaboration and team work
      • 20. Innovation andoperation excellence
      Information economy
      Value created by processing data
      Access to information
      Static business models
      Individuals and processes
      Specific points of value creation
      Command and control
      Innovation or operation excellence
      Work 2015
      Work 2008
    • Information worker of the future - 2020
      Mobile, distributed , globally available
      Gender diversity
      Powerful on line presence
      Physical & avatar
      Personal brand / agent
      Flexible contracts
      Project / program focussed
      Outcome incentivised
      Star rated – crowd recommended
      Collaborative
      Contextual awareness
      With on line passport
      BYOT - BYOC
      Time independent
      Location independent
      Network independent
      Device independent
      Crowd integrated & participative
      On line communities
    • 35. HR as a Service
      Established in 2001
      US based
      Cloud platform
      8 million users
      Service Portfolio:-
      • 360 reviews
      • 36. Performance management
      • 37. Recruitment management
      • 38. Goal management
      • 39. Learning & development
      • 40. Workforce analytics
      Are we ready for this – total transparency ?
      http://www.successfactors.com
    • 41. CIO agenda 2011 – Re imagine IT
      Coming out of recession in to recovery
      Flat budgets – drive innovation
      Focus on and enable growth
      Digitise the organisation
      Recast aspects of ops to the cloud
      Address value from the outside
      Address value from people inside
      Benefits realisation
      Raise the strategic relevance of IT
      Cloud / Virtualisation No.1 & 2
      Mobile technologies No.3
      IT will not be the same as 2008
    • 42. New IT consumption models, apps & devices
      Apps store
      Cloud delivered or hybrid model
      Ad funded?
      As a service:-
      Infrastructure
      Virtual Desktop
      Security
      Communications
      Collaboration
      Telepresence
      Contact
      Composite apps
      Integration API’s
      Any device / any network
      Pay per use / per seat
      Self service / user rated
      Community/ vertically enabled
      Enterprise Social Software – Desktop of the future?
      Social CRM
      Collaboration tablets:- Avaya Flare, Cisco CIUS, Rim Playbook, IPAD2
      Part of the Enterprise Architecture?
    • 43. What information employees are sharing ?
      Financial information
      R & D
      Contracts
      M & A information
      Strategic plans
      Sales forecast information
      Customer information
      Employee information
      Supplier information
      Intellectual property
      You can limit what users can send via email / IM and transfer via USB
    • 44. Consumerisation - policy is key
      Architectural approach required
      Social networking policy
      Company information usage policy
      Supported devices?
      Approved content categories
      Approved application categories
      Forbidden applications
      Service request process - BYOT
      Service support process - BYOT
      What company data is allowed on personal devices?
      Employee:- movers / leavers – data removal policy
      Back up processes / traceability
      Security / identity & access management
      Remote management
      Thinking needs to change from inside out to outside in!
    • 45. Opportunities & risks
      Business value discovery?
      Benefit - Cost – Risk = Value
      Innovation v standardisation
      Increase appetite for risk
      Blend professional v personal
      Providing users with choice?
      Economics?
      Funding model?
      Difference maker for talent acquisition!
      Is this your future customer, supplier or employee?
    • 46. Conclusion – The CIO Challenge!
      The future of work in 2020 will be about:-
      Productivity, Innovation & Value Creation
      Compete v BRIC economies
      Empowered organisations will be :-
      Smart, Hyper-Connected, Federated
      People, Homes, Cities , Planet
      Personalised
      Mobile, Social, Visual, Augmented, Contextual, Virtual & Secure
      Collaborative
      Search, Links, Authoring, Tagging, Embedding, Subscription
      Adaptive
      Flatter Structures, Career Grids, Transparency, Affiliate labour
      Open
      Viral, Crowds, Communities, 1: Many, Many : Many
    • 47. Thank you
      Questions & Answers

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