Global advisory firm PwC has identified the Internet of Things (IoT), alongside virtual reality and three-dimensional (3D) printing, as one of the eight essential technologies that C-suite executives should be considering.
In a report titled ‘Tech Breakthroughs Megatrend’, the firm evaluated more than 150 technologies globally and developed a methodology for identifying those that were most important to individual companies and whole industries.
The result is a guide to the "essential eight" technologies that PwC believes will be the most influential on businesses worldwide in the near future, namely artificial intelligence, virtual reality, drones, 3D printing, blockchain, robots, IoT and augmented reality.
While the types of technologies that will have the biggest impact on each industry will vary, PwC believes that its list comprises technologies that will have the biggest global impact and that will span most industries in the coming years.
“The technological breakthroughs megatrend directly impacts every other megatrend. Every industry feels its influence now, and so does every company of every size,” commented PwC South Africa technology leader Johan Potgieter.
He added that, while there was a still a significant digital divide between the developed and developing worlds, both are using similar platforms such as the Internet, social media and mobile technologies.
“Farmers in India track crop prices on their mobile phones while, closer to home, Kenyan and South African entrepreneurs crowdfund their new ventures. Worldwide, business leaders acknowledge these changes and have a clear sense of their significance.”
To arrive at the essential eight, PwC filtered technologies based on their business impact and commercial viability over the next five to seven years.
The firm’s specific criteria included a technology’s relevance to companies and industries; its global reach; technical viability, including the potential to become mainstream; market size and growth potential; and the pace of public and private investment.
The report suggests that the eight technologies will shake up companies’ business models in both beneficial and challenging ways. Across industries and regions, the emerging technology megatrend will influence strategy, customer engagement, operations and compliance.
The report notes that executives should not treat the technologies as a sort of checklist to delegate to the CIO. Instead, CEOs must take seriously their own obligations to turn these technologies to strategic advantage – and to protect their own organisations against others using the same technologies to their advantage.
“Before developing an innovation strategy and exploring and quantifying emerging technologies, executives should educate themselves about these technologies and what they can do,” concluded Potgieter.