Four basic building blocks to help transform the sector.
Originally Published by PwC.
Revenues across the telecom industry's crucial B2B segment are slowly declining.
The needs and desires of buyers aren't being fulfilled. Sensing opportunities for disruption, new competitors are circling, with capabilities that many incumbents can't easily match. It's no wonder that transformation has risen to the top of the agenda for telecom CEOs and boards.
Telecom operators know that to better serve existing customers, win over new ones, reverse declining revenues and stymie competitors, they will need a major shift in their capabilities and outward-facing identity. This requires transformation. But knowing the effort and investment involved in transformations, and the high rates of failure, how can telecom leaders improve the odds for success?
The four building blocks of transformation
At PwC, we've found that four building blocks are essential to every major change effort across all industries, including telecommunications:
1. Create a strategic identity.
Articulate a single desirable future for your enterprise and focus all your efforts on achieving it.
2. Design for trust.
Develop ways to attract and deserve the commitment of everyone related to your enterprise — particularly customers and employees.
3. Master the pivot from sprint to scale.
Test new practices in an intensive, experimental, startup-style manner. Pick the approaches that work, and rapidly implement them throughout the larger system.
4. Treat your legacy as an asset.
Save the best of your past, divest the rest for advantage and use the income to fund the future.
Build trust through outstanding customer experience
Telecom companies need to design around the customer to create a better experience, embodying the trust that they seek to earn in the quality of that experience. Some of the ways in which telecom firms can achieve this include: moving beyond the one-size-fits-all approach to service delivery and customising the customer experience; presenting customers with proactive product recommendations; offering 'freemium' models, or try-before-you-buy products and services; and streamlining the contracting process.
Achieving successful transformation for telecom companies is a challenging undertaking for any operator. But conditions within the B2B segment of the industry suggest that for many operators, transformation is not only inevitable, but increasingly urgent. The benefits of transformation are considerable, in terms of both cost reduction and revenue growth. And transformation will enable operators to leverage their legacy assets — their customer relationships and networks — in ways that they can't today. The leaner, more agile and customer-centric telecom operator will be fit for growth in the difficult B2B landscape.
View the full report here:
PwC's survey has found that businesses of all sizes are equally unprepared to address these threats and protect themselves and their customers.
In an increasingly technologically-driven and interconnected business community, companies have the responsibility to take the necessary steps to manage digital risk. Despite the importance of protecting against cybersecurity threats, PwC's Digital Trust Insights survey has found that businesses of all sizes are equally unprepared to address these threats and protect themselves and their customers.
It's beginning to look a lot like…a season of robust shopping.
Originally Published by PwC.
Glad tidings of shopping joy
PwC's 2018 Holiday Outlook report reveals findings from our national survey of 2,071 consumers, offering details about where and when consumers will shop, what drives their purchasing decisions, their holiday travel and movie-going plans and how retailers are preparing for the season.
Economic growth in 2018 is poised to be the strongest since 2005, which translates into positive consumer sentiment, thus stimulating further growth and signaling a strong holiday shopping season.
Breaking with tradition: Shopping on Thanksgiving Day
More than 70% of our survey respondents said they plan to shop on Thanksgiving compared to a scant 40% in 2016.
Thanksgiving Day has become a robust shopping day in recent years, eclipsing the importance of Black Friday as a revenue milestone for retailers. In fact, Black Friday has gradually morphed into Black November, as consumers who used to concentrate their shopping on that pivotal day-after-Thanksgiving now spread their shopping over the holiday week—and beyond.
Bucking the trend toward Thanksgiving Day shopping are members of the Greatest Generation: Almost half said they will not shop on the holiday. Their sentiments are shared by nearly 100 prominent retailers, who will keep their brick-and-mortar stores closed on Thanksgiving Day.
Online shopping has continued to gain favor as the shopping channel of choice, both at Thanksgiving and on Black Friday.
Download the 2018 Holiday Outlook Report.
53% of businesses reporting double-digit growth have clear, written articulation of values.
Originally Published by PwC.
Family businesses should seek to maximise the competitive advantage that comes from their strong values-led culture, according to the Global Family Business Survey 2018 released today by PwC.
This year's survey saw family business leaders globally reporting robust health, with levels of growth at their highest level since 2007. Revenues are expected to continue growing for the vast majority of businesses (84%), with 16% saying it will be "quick" and "aggressive".
Regionally businesses in the Middle East and Africa were the most optimistic, with 28% expecting aggressive growth. They are followed by those in Asia Pacific (24%), Eastern Europe (17%), North America (16%), Central/South America (12%) and Western Europe (11%).
First-generation family businesses clearly outperform those run by subsequent generations in their ability to achieve double-digit growth, highlighting the need to balance business model continuity with an appetite for disruption.
The top three challenges cited by family businesses are innovation (66%), accessing the right skills and capabilities (60%) and digitalisation (44%). Indeed, 80% see digitalisation, innovation and technology ranked together as a significant challenge.
Most strikingly, the 2018 edition of the survey demonstrates a link between putting values at the heart of strategic planning and strong growth prospects. While 75% of family businesses believe their stronger culture and values gives them an advantage over non-family businesses, less than half (49%) of respondents have those values articulated in written form.
Among those family businesses reporting double-digit annual growth, 53% were able to point towards a codified set of values. This reflects the increasing emphasis needed on integrating business ownership strategies and family business growth strategies.
Peter Englisch, Global Leader for Family Business at PwC and report co-author says, "The message is clear: adopting an active stance towards company values generates practices that pay off in real terms. A commitment to a clearly defined set of values can act as an 'inner compass' for a family business as it navigates the challenges of technological and competitive disruption.
"What this survey clearly indicates, however, is that family business values are not simply the same as family values," Englisch says. "Business values should be clearly defined and articulated, but also strongly embedded in the business culture and the day-to-day decision-making regularly reviewed."
The PwC Family Business Survey also contains insights into how the pace of technology change and generational differences are informing family businesses' approach to legacy and succession planning.
- Concern about the threat from digital disruption - ranging from new competition, to security vulnerability, and understanding of the threat - is higher than average (30%) amongst media, entertainment (65%), retail (53%) and financial services (52%) sectors.
- Over a quarter (26%) of large organisations (with $100m+ revenues) identify AI/Robotics as a concern over the next two years, significantly higher than those with $20m revenues or less (16%).
- 69% of respondents say they expected or encouraged the next generation of future leaders - including family members - to gain experience and develop skills outside of the family business to ensure they keep pace with innovation.
Peter Englisch says, "With over 350,000 family and private businesses set to change hands in the next years as owners retire, there is understandable concern about continuity planning. The next generation will be increasingly facing a different landscape in terms of the impact of technologies such as artificial intelligence and robotics, as well as cybersecurity risks," he says.
"Yet our research again highlights the benefits of a values-led approach that can focus a family business on the continuity planning they need to do, and how that approach can help attract and equip the next generation with the skills needed to thrive in a digital age."
Despite family businesses' confidence and growth potential, the report cautions that the growth expectation is not always achieved. David Wills, Global Leader for Entrepreneurial and Private Business at PwC comments:
"Whilst the aspiration is strong, focusing on strategic planning remains a blind spot for too many family businesses. 21% report having no strategic plan at all, 30% have a plan in mind, but it is not far advanced. However, of the 49% that have formal mid-term plans, 42% of them were experiencing double digit growth. This demonstrates the strong correlation between strategic planning and performance excellence and builds up the habits that, over time, create a distinctive legacy."
"The speed of change in business is far greater than ever before. Just because you are growing now does not mean it will continue. Now, more than ever, capitalising on the inherent advantages of family business ownership requires business owning families to bring two core components together - the ownership strategy and the business strategy."
Only about half of medium and large businesses in key sectors say they are building resilience to cyberattacks and other disruptive shocks to a large extent. And fewer than half of them say they are very comfortable their company has adequately tested its resistance to cyberattacks.
Originally Published by PwC.
Increasingly technologically-driven and interconnected business community, companies have the responsibility to take the necessary steps to manage digital risk. Despite the importance of protecting against cybersecurity threats, PwC's Digital Trust Insights survey has found that businesses of all sizes are equally unprepared to address these threats and protect themselves and their customers.
PwC Data Uncovers Disconnect Between C-suite Perception and Employee Experience with Workplace Technology
Global PwC report shows employees are eager for better tech options at work, and are ready to upskill for the future.
Originally Published by PwC.
A large majority of C-suite executives (90%) believe their company pays attention to people's needs when introducing new technologies in the workplace, yet only half (53%) of staff say the same, according to the latest report in PwC's Consumer Intelligence Series, Our status with tech at work: It's complicated. PwC surveyed more than 12,000 full-time employees globally to research how employee experience with technology is helping people deliver their best work and adapt quickly as work changes.
"Technology is such a central part of the overall work experience that you can't separate it from your people agenda. Organizational leaders looking to institute a technology-led transformation or implement new workplace technology need to also now consider what motivates people when it comes to technology at work. It cannot be one or the other."
Carrie Duarte, Partner and Workforce of the Future leader at PwC
Leaders think they're choosing tech with their people in mind—yet the survey shows a disconnect where leaders and staff do not agree. This disconnect highlights the experience gap between executives and end users within organizations. The resulting blind spot between strategic technology decisions and real-time execution and implementation matters. If leaders do not have a clear and accurate understanding of how their people use technology at work, and what motivates them to use these tools, both business ambition and the employee experience can suffer.
While this disconnect does illustrate a pain point, it also provides areas for improvement. The study found that people's willingness to adopt new technologies is linked to key motivations related to experiences that employers can offer: improved efficiency and rewards that can improve status. Employees at all levels are willing to spend an average of two days (15 hours) per month to upgrade their digital skills and prepare for the new ways of work in the future.
Key findings from PwC's Consumer Intelligence Series: Our status with tech at work: It's complicated:
- 90% of C-suite executives agree their company pays attention to people's needs when introducing new technology. But only about half (53%) of staff say the same
- 92% of C-suite execs say they're satisfied with the technology experience their company provides for making progress on their most important work, only 68% of staff agree
- 73% of people surveyed say they know of systems that would help them produce higher quality work
- 84% say they do their work because they want to learn new things—good news for leaders who are working to build a culture of continuous learning
- Employees are willing to spend up to 2 days per month to upgrade digital skills; a median response of 15 hours each month
- Only half (50%) of staff are satisfied with the resources they have at their disposal to learn how to use new technology
- 46% say their company doesn't value employees who are technologically savvy
- Forty to forty-five percent of employees prefer face-to-face interactions for tasks like performance reviews, getting help with difficult problems, and asking questions of their Human Resources (HR) team; the rest prefer more digital interactions.
- Half of employees prefer that HR tasks, like looking for a new job in the company, scheduling work or time off, or enrolling in benefits, be primarily digital and not face-to-face
- Digital experiences can improve:
- Nearly half of employees in a supervisory role (46%) say they feel overwhelmed by technology at work
- Supervisors also feel like their time isn't managed better—61% say the tech they use at work requires them to do more transactional or administrative work than they'd like
- Half of employees (56%) say they feel technology is taking them away from human interaction at work
Driving usage/motivations to adopt new tech
- For a third of the workforce (34%), the motivation to use technology comes from curiosity and the promise of better efficiency and teamwork
- Another third (37%) say they're more likely to adopt new tech if it helps them advance their careers or gain status, such as the opportunity for promotion or other external recognitions
- The third segment (29%) prefers individual achievement within a predictable environment. They're willing try new things, but they're less apt to be motivated by either efficiency or status
For more information and additional findings, visit pwc.com/us/TechAtWork.
The size of the workforce on assembly lines and in body and paint shops will be halved, the number of shop-floor logistics roles will be reduced by around 60 percent. The number of data engineers required will almost double in some types of plants, and increase by 80 percent in others, while the number of software engineers needed will rise by as much as 90 percent.
Originally Published by PwC.
PwC Admits George Korizis to the Partnership as Principal in the Financial Services Advisory Practice
"As confirmed with this shift in leadership, we are continuing to invest in building a world-class practice focusing on helping delivering tangible value to our clients."
Over $1 billion investment in quality and transforming into one of the world's leading Cloud enabled businesses.
Originally Published by PwC.
For the year ending 30 June 2018, PwC firms around the world earned total gross revenues of US$41.3 billion, topping US$40 billion for the first time. In local currency revenues grew by 7% and in US dollars by 10%.
"This impressive growth is due to our focus on the marketplace and the hard work, professionalism and dedication of our 250,000 people who continue to develop and innovate to meet the changing needs of our stakeholders around the world," said Bob Moritz, PwC's Global Chairman. "In addition, everything we do is guided by our focus on quality and our purpose to build trust in society and solve important problems. "
"Robots are already being used in distribution centers and electric vehicles for last-mile logistics."
Executives from Kaiser Permanente, PwC and Ameren discuss how training coupled with other initiatives on an ongoing basis will help shift culture.
During this panel session at DiversityInc's 2018 fall event, Armond Kinsey, Chief Equity, Inclusion & Diversity Officer, Kaiser Permanente, Mid-Atlantic States, Kaiser Permanente; Sharon Harvey Davis, Vice President, Chief Diversity & Inclusion Officer, Ameren; Elena Richards, Managing Director, Office of Diversity, PwC discuss that after unconscious bias awareness training, policies, procedures and programs are needed to eliminate bias in the workplace and create a culture of inclusion.
China to overtake US as leading blockchain developer within three to five years. Trust, regulatory uncertainty identified as biggest barriers to business adoption.
Originally Published by PwC.84% of executives surveyed by PwC report blockchain initiatives underway – 15% fully live. The new research from PwC – Blockchain is here. What's your next move? – surveyed 600 executives in 15 countries and territories, on their development of blockchain and views on its potential.