Published on February 15, 2008
WIM ELFRINK, CHIEF GLOBALISATION OFFICER 13 February 2008 How Successful Leaders Think Challenges for the Next Five Years
Where are all the people going to be? 2050 1803 5222 768 392 632 2000 3680 796 729 305 520 USA South America Africa Asia Europe
Back To The Future U.S. 28.4% Japan 10.6% Germany 6.4% UK 5.0% France 4.8% China 4.4% Italy 3.9% Spain 2.6% Canada 2.5% India 1.7% Source: World Bank/Angus Maddison. The World Economy: Historical Statistics PricewaterhouseCoopers/Michael Milken Institute, Chairman, Fastcures/Goldman Sachs The World’s Top 10 Economies China 25.6% U.S. 20.3% India 16.0% Japan 3.9% Brazil 3.5% Russia 3.4% Indonesia 2.3% U.K. 2.2% Germany 2.1% Mexico 2.0% 2050 2005 1820 China 28.7% India 16.0% France 5.4% U.K. 5.2% Prussia 4.9% Japan 3.1% Austria 1.9% Spain 1.9% U.S. 1.8% Russia 1.7%
Greatest Economic Shift in 100 Years *At purchasing power parity Source: The Economist, “The New Titans,” 16 Sept. 2006 Developed Economies Emerging Economies Share of Global GDP* 1000 1820 1913 1950 2005 2025 50% 75% 25% 1500 100%
New Era of Wealth Mobility Will Be the Platform 500M People Urbanised Over Next 5 Years Expanding Middle Class Creates Buying Power Managed/Hosted Services will Connect Rural Areas
Market Making Opportunities Dubai Singapore India Saudi Arabia
Why India? India Epitomizes the Human Network Culture of tolerance, diversity and partnership Proximity to innovation and growth Skilled partners with global capabilities Judicial system enforces IP protection laws Skilled English- speaking talent at scale Economic growth—top 5 economy by 2025 Fastest growing young population The world’s largest free market
Why India? Proximity to Growth, Innovation and Talent Reaching 70% of the World’s Population Cisco East Cisco West
A Global Innovation Hub
The Evolution of Globalisation Global R&D Trade Globalisation 1.0 (started 100’s of years ago) Virtualisation of the Corporate Brain Global Manufacturing Globalisation 4.0 (2006-beyond) Globalisation 3.0 (1990’s) Globalisation 2.0 (1980’s)
Global Collaboration / Web 2.0 Head Quarters President / UK PM Germany Dubai Azerbaijan Egypt China India Saudi Arabia D.C. San Jose Ukraine Boston Japan India London
Challenges Command & Control to Collaboration Pervasive Education Labor Arbitrage To Innovation Cost Savings are a Bonus
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