Author: jeremyhadall

AN ENGINE OF PRODUCTIVITY

Report from the McKinsey Technical Institute The world is in need of a new engine of GDP growth. Shifting demographics in many countries brought on by aging populations and declining birthrates are reducing the share of working-age populations and creating an economic growth gap: in the not-so-distant future, without an acceleration in productivity growth, there will not be enough workers for countries to meet their aspirations for growth in GDP per capita. In this context, automation could be a significant opportunity. Our estimates suggest it could help serve as a new productivity engine for the global economy, bridging that...

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FACTORS AFFECTING THE PACE AND EXTENT OF AUTOMATION

Report from the McKinsey Technical Institute Automation will be a global force, affecting all countries, all sectors, all jobs, and all work activities. Already today, machines and algorithms are playing a much larger role in the workplace, but how soon will it be before we all feel the impact of automation technologies? Could machines really carry out much or most of the work humans do today—and if so, by when? In this chapter, we describe factors that can affect the pace and extent to which automation is adopted in the global economy. We also present the results of a...

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Five Case Studies

Report from the McKinsey Technical Institute Our analysis of automation potential inevitably raises questions about the practical effect on workplaces and on the people who work in them. What exactly will change, and how? To develop a vision of automation as it could be applied in the workplace, we have created hypothetical case studies across different industries that suggest how automation could affect specific processes. In this chapter, we outline five of these cases by way of example. The five are from highly varied sectors and involve a broad range of activities across various industry sectors and physical settings:...

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The Technical Potential for Automation

Report from the McKinsey Technical Institute The speed with which automation technologies are emerging, and the extent to which they could disrupt the world of work, may appear daunting but is not unprecedented. Technological change has reshaped the workplace continually over the past two centuries since the Industrial Revolution, and even earlier (see Box 1, “What history teaches us about the effect of technological change on work, employment, and productivity”). Nonetheless, the latest technological developments will touch every job in every sector and in every country. The advances we described in the previous chapter all have practical applications in...

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Scaling UK Robotics Startups

Recently I’ve been listening to Reid Hoffman’s excellent podcast series, “Masters of Scale”. In the series Reid looks at how innovative entrepreneurs have scaled their companies from just an idea to multi-billion internationals. Reid himself has some experience of this being one of the co-founders of LinkedIn and having friends in Silicon Valley such as Larry Page (ex-Google CEO and now Alphabet President) and Mark Zuckerberg (Facebook). At the same time, here in the UK there has been a lot of discussion about why the UK hasn’t developed a major robot supplier such as Kuka, ABB or Fanuc. These...

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