The Post-Digital Era Is Upon Us ARE YOU READYF OR WHAT’S

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The Post-Digital Era is Upon UsARE YOUREADY FORWHAT’S NEXT?Accenture Technology Vision 2019

FOREWORDAs every business does indeedbecome a digital business what is next?Persistent change, challenged assumptions, anddisruption are now the norm, rather than the exception,in business and society. And these indicators will onlyaccelerate and multiply as we progress into the future.The lightning-speed of change, driven by technology,is taking us from the digital age toward a new reality,one we call the post-digital world.The Accenture Technology Vision 2019 lays out theinarguably bold and complex path that businesses willencounter in the coming years, as digital continues totake hold and the next wave of powerful technologiesushers in a new era.First let’s look at what is happening today to seewhere we are headed: everything is becoming digital.Organizations are making enormous strides andrealizing the benefits of new digital business modelsand processes. We see examples of this everywhere—in how people shop, work, learn, communicate,decide, respond and even elect leaders.Now enterprises are at a crucial turning point. Digitalis indeed important, but now it is simply the price ofadmission for doing business, especially astechnologies have swiftly evolved people’sexpectations and behaviors. The next epic disruptionis coming, and our Tech Vision provides a glimpse of2TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON US#TECHVISION2019this future, along with insights on how to steer yourorganization toward continued success.Here is the good news: the post-digital era offerstremendous opportunities and value for business ifenterprises proceed responsibly and strengthen trust.The power of cloud and artificial intelligence willcontinue to advance. When combined withtechnologies such as distributed ledger, extendedreality, and quantum computing, they will reshape notonly the business sphere, but also the relationshipswith individuals—customers, employees andecosystem partners—that are critical to future growth.As you explore Accenture Technology Vision 2019,think ahead to this new reality with us, and decidehow your organization will get ready for what thepost-digital world will bring.Thank you,Paul Daugherty,Chief Technology &Innovation OfficerMarc Carrel-Billiard,Senior Managing Director,Accenture Labs and Extended Reality

#TECHVISION2019CONTENTSIntroduction 4Research Methodology 87Trend 1: DARQ Power:Understanding the DNA of DARQ 16Survey Demographics 88Trend 2: Get to Know Me:Unlock unique consumers and unique opportunities 29Trend 3: Human Worker:Change the workplace or hinder the workforce 44Trend 4: Secure US to Secure ME:Enterprises are not victims, they’re vectors 59Trend 5: MyMarkets:Meet consumers’ needs at the speed of now 733TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON USReferences 89

IntroductionThe Post-DigitalEra is Upon Us.ARE YOUREADY FORWHAT’SNEXT?4TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON US#TECHVISION2019Companies are taking their first steps ina new world—one that tailors itself to fitevery moment It’s a world whereproducts, services, and even people’ssurroundings are customized, andwhere businesses cater to theindividual in every aspect of their lives,shaping the very realities they live in Japan’s biggest e-commerce company, Zozotown, is delivering“custom fast fashion.” Its skintight spandex Zozosuits pair withthe company’s app to take customers’ exact measurements;custom-tailored pieces from Zozotown’s in-house clothing line insome cases could arrive in as few as 10 days.1Gillette is catering to individual preferences in health andbeauty, partnering with 3D printing startup Formlabs to offercustomized razor designs.2 Consumers create theirpersonalized product through the company’s website; thedigitally-personalized design is then physically printed andassembled, to be shipped directly to their door.

IntroductionAnd customizing for the individual doesn’tnecessarily require Zozosuits or direct design input.Sam’s Club developed an app that uses machinelearning and data about customers’ past purchasesto auto-fill their shopping lists, and plans to add anavigation feature, which will show optimized routesthrough the store to each item on that list.3,4 VirginHotels greets its guests with a cocktail of their choiceand a minibar stocked with their favorites, thanks to adigital platform the company uses in place of arewards program.5Companies like these are figuring out how they canshape the world around people and pick the rightmoments to offer their products and services.Looking at these companies individually, there is astory of hyper-personalization and on-demand digitalservices. But the collective enterprise efforts reveal afundamental shift in how people will experience theworld for generations to come. Soon, each individualwill have their own reality, and every moment willrepresent an opportunity for companies to play a rolein shaping it.What is enabling—and driving—this reality-shapingshift? The emergence of a post-digital world. We as asociety are nearing a turning point in digitalenterprise, where more businesses will havecompleted their digital transformations than not.Digital-era technology, which began as adifferentiating advantage years ago, is now expectedfrom every business. But its impact is still changing5TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON US#TECHVISION2019According to our Technology Vision 2019 survey of 6,672 business and IT executives,45 percent report the pace of innovation in their organizations has significantlyaccelerated over the past three years due to emerging technologies 45%Significantly acceleratedAcceleratedStayed the sameSlowed49%6%0%

Introductionthe relationship between businesses and society, andthe expectations of individual people.Digital-born companies and those completing theirtransformations have showered consumers withdigital products and services. Facebook, Twitter,Snapchat, and a constant rotation of new socialmedia brands have become go-to destinations forfinding and sharing information. Smart home devicesenable contextual interactions between the digitaland physical world (Hey Google, remind me to talk tothe accounting staff when I get to the office), directrequests for physical products and services (Alexa,order more dish soap), and even digitally drivensocial interactions from wherever people choose (Siri,call Mom with FaceTime).The digital saturation of reality has granted companieswith exceptional capabilities. They can understandtheir customers with a new depth of granularity. Theyhave more channels than ever to reach thoseconsumers. And with every company finallyconverging on the same digital footing, there aremore digital ecosystems and more potential partnersto help companies create holistic experiences.But as we move collectively into the post-digital era,these capabilities and advantages are now availableto every organization. Digital itself is no longerdifferentiating. With every business heavily investingin digital technologies, how will leaders setthemselves apart?6TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON US#TECHVISION2019As the playing field evens out, companies will need toacknowledge a shift in their reality too—around thelevel of expectations they face from digitally maturecustomers, employees, and business partners.Businesses have used technology-driven masscustomization to get more granular with consumersthrough a top-down approach: selling two differentoptions, then 10 different options, then 100 differentoptions. Companies’ success with this approach hasfostered the illusion that they can meet any need, nomatter how personal or custom. Now, to meetexpectations in the post-digital world, they need toturn that illusion into reality. That meansunderstanding people at a holistic level andrecognizing that their outlooks and needs change ata moment’s notice.In the post-digital world, every moment will representa potential new market of one. It’s where demand iscommunicated instantly and gratification is expectedimmediately. What’s more, both are constantlychanging, creating an infinite and never-endingstream of opportunities to be met through businessto-business (B2B) and business-to-consumer (B2C)engagement, as well as in the public sector. The postdigital world is one where technology is the fabric ofreality, and companies can use it to meet peoplewherever they are, at any moment in time—if they riseto the challenge.In the post-digital world,every moment willrepresent a potentialnew market of one.

Introduction#TECHVISION2019A PARALLEL TRANSFORMATIONCompanies have not been alone on their journey todigital transformation. People have been on a parallelpath, incorporating new technologies at anincreasingly rapid rate. When mobile phones werefirst introduced, they took 12 years to reach 50 millionusers; the internet took just seven to get to the samepoint.6 Looking at purely digital technologies, therates become frantic: Facebook reached 50 millionusers in four years; WeChat, one year. Pokémon GO,the augmented-reality gaming app from Niantic?Nineteen days.People are adopting new technology both quicklyand completely, and whether they’re customers,employees, or even threat actors, they are beginningto outpace enterprises in their digital transformations.They are more knowledgeable about technologyitself and how companies use it, and are becomingselective and demanding of what they adopt,challenging companies to work with them or adapt tothem in different ways.Post-digital consumers are enjoying the results oftechnology saturation. In a world of unprecedentedtechnology choice, people have strong sentiments7TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON USabout which technologies they will or won’t adopt toget the experiences they want. Companies must payclose attention not only to the choices themselves,but also to the powerful new insights those choicescan provide about their customers—and about newmarket opportunities.Post-digital workers are incorporating technology tocomplete tasks in new ways, in new types of jobs, butthey are still being hired, trained, and managed inpre-digital ways. With the war for talent continuing torage, companies must adapt their technologystrategies to close the divide between themselvesand their digitally mature workforce.Post-digital threat actors have nearly unlimitedpoints of entry to enterprise. With a global army ofconnected devices ready to be pressed into service,and an attack surface that includes not only thetarget company but every partner and vendor in thecompany’s ecosystem, they have the clearadvantage. Businesses must respond to this postdigital threat with a collaborative approach,recognizing that they are not just potential victims,but someone else’s vector.Post-digital markets are made up of consumers,business partners, and governments alike enjoyingthe spoils of the digital revolution. Fully ondemand or fully customized products are now thestandard in practically every industry, and soonerthan later, customers will expect everyorganization to achieve both.This is not to say digital is old or over. Far from it.Companies have used the power of digitaltransformation to shape themselves, to shapecustomers and employees, and then to shapepeople’s expectations. What’s left is using theirongoing digital efforts to shape the market.Companies face a world of renewed expectationsand core digital technologies are more critical thanever. But the time for pilots and experimentation islong past, and leaders must begin to strategize forwhat’s next.

Introduction#TECHVISION2019GETTING TO THE NEW “MOMENT”Realistically, the world is not yet at the point ofeverything being instantaneous. But post-digitalcompanies are already playing a different game.Companies still completing their digitaltransformations are looking for a specific edge,whether it’s innovative service, higher efficiency, ormore personalization. Post-digital companies arelooking for much more. They are out to bypass thecompetition by changing the way the market itselfworks. From one market to many custom markets—on-demand, in the moment.Industry lines are no longer a boundary to growth,and the disruption that came in waves as technologymatured in the digital era is now ever-present. Anycompany can compete with any other or carve out anew market. Take Amazon partnering with BerkshireHathaway, an insurance and holding company, andJPMorgan Chase, a global financial services firm, totackle challenges in healthcare spending. The threehave pooled their resources in a joint effort that hascompanies in entirely different industries preparingfor foundational disruption.8TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON USLook at JD.com, an e-retail platform and one of thefastest-growing companies in China. JD is radicallydifferentiating itself with its “Toplife” platform—aservice that helps third parties sell through JD bysetting up customized stores for unique shoppingexperiences.7 Not only do these third parties benefitfrom the e-retail personalization, they also haveaccess to JD’s supply chain with cutting-edgerobotics and drone delivery that can reach ruralareas. And through a partnership with Walmart, aphysical store in Shenzhen will offer more than 8,000products available in person or delivered from thestore in under 30 minutes.8 By offeringunprecedented customization and speed, JD isenabling other companies to capture moments, andin doing so creating a new market for itself.It won’t be long before the standout examples oftoday are the norm. Companies are alreadyinvestigating the next generation of technologiessuch as artificial intelligence (AI), distributed ledgerslike blockchain, extended reality, and quantumcomputing. The message is clear: “keeping up withthe digitals” won’t cut it for what’s coming next.

IntroductionBusiness leaders looking to do more than justcomplete their transformations must set new goals intheir sights, including: Move your focus to the end. As companies beginto understand instant demand and supply optionsexpand, they will have more opportunities thanthey can pursue. Success will mean carefullychoosing the specific opportunities companieswant to target—and just as important, the onesnot to target—then working backward todetermine how they will get there. Define what it means for your business to be postdigital as the world moves into a new phase ofcooperation. As companies settle on their newgoals and the pathways they will take to reachthem, they must also determine which ecosystempartners they need and where their own place inthe ecosystem should be. Master SMAC as a core competency and afoundation to rotate to what’s next. When it comesto enterprise-level technology strategies,companies can never stop moving. Social,mobile, analytics, and cloud (SMAC) combined todrive the biggest enterprise and markettransformations since the dawn of the industrialera. At this point, the failure to complete amastery of SMAC will leave businesses unable toserve even the most basic demands of a postdigital world. But success will unlock boundless9TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON US#TECHVISION2019future opportunity. Distributed ledger technology,Artificial intelligence, extended Reality, andQuantum computing (DARQ) are already havingan impact in disparate areas of enterprise. DARQtechnologies will drive the post-digital wave, butcatching that wave will only be possible with thefirm foundation of SMAC. Looking even furtherdown the road? DARQ technologies will enableinnovation in such core aspects of the businessthat they will be foundational for whatever comesafter that.As companies move to meet these goals, they mustalso accept a new level of responsibility. Asbusinesses use technologies to reach further intopeople’s lives, shaping the very fabric of reality, theymust address the privacy, safety, ethics, andgovernance questions that come along with that levelof access.Look at drone usage, which companies areincorporating for everything from agriculturalservices to public safety, utility monitoring, andproduct delivery. They’re even changing what’spossible in healthcare, with Switzerland’s postalservice provider using drones to move time-sensitivelab samples between hospitals and bypass the delaysof ground transport.9 But this does raise issues ofpatient safety, privacy, and data protection that theinvolved organizations must address, as well asnavigating potentially restricted airspace. AirMap,which operates an airspace management system forthe low altitudes at which drones fly, partnered withMicrosoft Azure to create a platform that gives stateand local authorities authorization, enforcement, andrestriction abilities for drone operation in their areas.10The platform also lets companies incorporatesecurity and compliance checkpoints into dronerelated workflows.By positioning themselves as the curators of reality,companies already have a new level of obligation tosociety. But being able to deliver for specific andconstantly changing moments creates challengingadditional questions for businesses that are used toone market of many and long-static circumstances.With limitless opportunities, how do you measure thepotential impact of products and services on society?How do you avoid crossing ethical boundaries wherethere are different lines for every reality and moment?And how does a company responsibly pick theopportunities to target in the first place? When youreach the point of being able to deliver nearlyanything instantly, it is critical to remember that “can”doesn’t always mean “should.”It’s every company’s responsibility to understand theimpact of its moments at scale.

2019 TECHTRENDSIntroduction#TECHVISION2019This year’s Accenture Technology Vision highlights five emerging trends that willshape businesses over the next three years. In each trend, you will see howdigital saturation is raising expectations, abilities, and risk across industries, andhow businesses are seeking new ways to differentiate themselves as the worldmoves into the post-digital era.1TREND10DARQ PowerUnderstanding the DNA of DARQNew technologies are catalysts for change, offeringbusinesses extraordinary new capabilities. Distributedledger technology, artificial intelligence, extendedreality, and quantum computing will be the next set ofnew technologies to spark a step change, lettingbusinesses reimagine entire industries.TECHNOLOGY VISION 2019 THE POST-DIGITAL ERA IS UPON US2TRENDGet to Know MeUnlock unique customers and unique opportunitiesTechnology-driven interactions are creating anexpanding technology identity for every consumer. Thisliving foundation of knowledge will be key to not onlyunderstanding the next generation of consumers, butalso to delivering rich, individualized, experience-basedrelationships in the post-digital age.

Introduction#TECHVISION20193TREND5TREND11Human WorkerChange the workplace or hinder the workforceWorkforces are becoming human : each individual isempowered by their skillsets and knowledge plus a new,constantly growing set of capabilities made possible throughtechnology. Now, companies must adapt the technologystrategies that successfully created this next generationworkforce to support a new way of working in the postdigital age.MyMarketsMeet consumers’ needs at the speed of nowTechnology is creating a world of intensely customizedand on-demand experiences, and companies mustreinvent their

stream of opportunities to be met through business-to-business (B2B) and business-to-consumer (B2C) engagement, as well as in the public sector. The post-digital world is one where technology is the fabric of reality, and co