Creating the Future South African Workforce Input by Tobias Becker, ABB

Digitalization is not optional Disruption Multi-layered impact on businesses Fastest it has ever been, slowest it will ever be Disruption principally from advancement in: Energy Revolution Robotic Automation + AI Internet of Things (IoT) Big data & cloud, quantum computing Material sciences Nano Social media Traditional business models challenged Left flank entrants Obsolescence of products, emergence of solutions Access to information is commoditized Fundamental re-look required of process, structure, organization, people, and culture

Digitalization – Impact on Work Lifelong learning curriculum for employees Re-design of our performance and rewards system to recognize productivity and line of sight throughput Understand what the “gig economy” means in this circumstance Investment in technology to enable virtual working Employer and societal Actions Virtual From To Human led, manual work Limited transparency of productivity, subjective Physical Automated, collaborative and machine led Granular measurability, full transparency of throughput The notion of work itself will change, leading to a whole new social contract, and a redefinition of the employer-employee relationship

Digitalization – Impact on Competencies to win Top-down and bottom-up capability & workforce planning Updating of company value system needed New competencies for Digital success Dedicated focus on Digital hires and development Managing a multi-generational workforce Employer and societal actions From To Predictability, structure Managing skills Improvement, optimization Learning to do Managing partnerships Learning to learn Disruption, radical innovation Ambiguity tolerance, resilience Digital skills only one piece of the puzzle – differentiator will be embedding behavioral competencies needed to win in the digital world, into our Values in Action

Digitalization – Impact on Workplace Workplace 2020 and beyond – HR, IT and Real Estate Work from anywhere, anytime with any device Focused initiatives on wellness and well-being Go green Employer and societal actions From To Work goes to where the talent is People go to where the work is Limited connectivity, on- premise Fully connected, always- on, anytime, cloud Built for managing teams sitting in the same premise, low technology penetration Built for managing global teams, technology intensive The defining tenet of future workplaces will be flexibility

Digitalization – Impact on Organisation and Culture Cultural transformation program – Come to the Edge Process re-engineering to make our organizations agile, and simple – improve white collar productivity Digitalization of HR Promoting “skunk” work Employer and societal actions From To Single, functional matrix Multiple task driven matrices Innovation OR speed Innovation AND speed Long shelf life Fail fast and cheap Centralized or decentralized, global or local Balanced, hybrid Commoditization of information will be the biggest disruptor to traditional power structures

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