Five Trends Accelerating the Speed of ChangeWed, 05/08/2019 - 12:43
Technology is changing the way business is done and the winners will be those who understand the changes and create new value propositions. “We have seen around 20 technologies that are changing the world, ranging from robotics, to genetics and bots,” says Germán Montoya, Chief Strategy and Creative Officer at Rokk3r Labs.
Rokk3r Labs, a consulting company that helps businesses alter their traditional models through innovative solutions, has identified five trends or realities of the modern world that are accelerating the speed of change. The first is connectivity; according to Montoya, there are around 4 billion people connected to the internet, surfing the web at an average speed of 3G. It is expected that in five years the number of people connected will double and the average speed will climb to 10G, which will open new business opportunities. Augmented reality, the second trend according to Montoya, will also be possible thanks to computational power. “Computational power has become cheaper, so things that seemed possible only in theory will be implemented in practice, like AI.”
Sensors are also an important component of change. Montoya says that there are approximately 50 billion sensors in the world but that this number is bound to more than double in the next 10 years. “With over 100,000 sensors on each street block, you could sense everything, not only temperature but biometric data from people. It will allow us to have a clear visualization of what is happening in the environment.”
Montoya says that education is another component of change. He believes the internet has democratized what has been much more a monopoly for a long time. But the skills required in the future may not reflect current thinking. Creative skills, more than programing abilities, will be key, Montoya says. “For several years, people thought that studying a major related to programing or computer sciences would be the future but we will come to a point where computers themselves will be in charge of programing. The most important skill sets for the future will be creativity focused on problem solving.” Finally, the concentration of private capital must be considered because it is driving the development of new technologies, such as autonomous vehicles and space travel.
Put all these factors together and the landscape takes on a different hue, says Montoya. “Convergence of all these technologies and their interaction is what is driving change in the world.” Convergence, he adds, allows for the transformation of traditional business models. “There is a significant number of companies that have collected data from their customers but have not been able to use it adequately. Rather than creating new value propositions that fit their clients, the most they do is create loyalty programs that add little value for their customers or to their businesses,” says Montoya. “It is a matter of understanding the market better, of taking all the available information and correlating it in a different and more intelligent manner to obtain new correlations that shed light on new market schemes that could be applied.”
An example, says Montoya, is Uber, which he identifies as a business that has excelled in this regard and that has benefited from the trends identified by Rokk3r Labs. “Unlike other companies, Uber provided a solution to something that was already solved. It is not that there was no public transportation before Uber but it was completely centralized and controlled by local groups. Uber changed that.” Montoya says that “the ‘uberization’ of businesses is not the use of an app but taking a solution that already exists and offering a modern twist.”
Montoya is confident that innovation will soon take hold of the Mexican business community. “Change tends to start slowly but when you look at the growth curve, you will see that there is a moment when change accelerates and the curve becomes very steep. I think we are just in that moment that precedes an increase in the curve and very soon we will see the change in business strategies accelerating to meet the demands of the world. The future is already here.”