Megatrends Analysis

SUMITOMO CHEMICAL

MEGATRENDS

Prof. Robert J Davies

July 21, 2015

MEGATRENDS

THE CHALLENGE

MEGATRENDS

Definition

Megatrends are the large, potentially

transformational global forces that will define the

future and force changes in how we approach the

decisions we make about society, business and our

lives.

How do we expect the world to look in 2020 or 2030?

What are the key forces driving change?

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Dr Robert J Davies

7/21/2015

MEGATRENDS

Why are they important?

• Mega Trends have diverse meanings and impacts for

different industries, companies, and individuals.

• Analysis of these mega trends and their implications

forms an important component of a company's future

strategy, development, and innovation process

• Organizations that recognize global megatrends and

plan for a changing world are more likely to be the

market leaders of the future.

Agile Leaders and Adaptable Organizations

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Dr Robert J Davies

7/21/2015

MEGATRENDS

Identifying Trends

Impact of Global,

Regional &

National Factors

Industry &

Competitive

Forces

Customers Needs,

Wants &

Perceptions

How might trends and discontinuities in these areas affect our

ability to create, deliver, capture and sustain value?

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Dr Robert J Davies

7/21/2015

MEGATRENDS

Case Study Example: Tesla

•Do megatrends support Tesla’s

vision & strategy?

•What assumptions is Elon Musk

making?

•What are the risks?

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Dr Robert J Davies

7/21/2015

MEGATRENDS

From trends to strategy

Pollution &

Global Warming

Natural Gas/Oil

Fracking

Developing

Economies

Electricity

Generating Station

Power Grid

Distribution

Electric Plane

Tesla Electric Car

Storage:

Lithium-Ion

Batteries

Solar Power

Tesla Lithium-Ion

Battery Plant

Wind Turbines

BYD Lithium-Ion

Battery Plant

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Govt. Energy

Policy

Dr Robert J Davies

7/21/2015

MEGATRENDS

IDENTIFYING KEY TRENDS

MEGATRENDS

Anticipating the Future

PRESCIENT: knowledge of actions or events before

they occur; anticipation of the course of events;...