Frost & Sullivan’s recent analysis, The Reshaping of Industries Caused by COVID-19, encompasses nine key trends that will emerge from industries reshaping as a response to COVID-19. Chris Price reports…
With the pandemic’s negative impact on the global economy, immediate action is critical. Technology leaders must assess the emerging opportunities resulting from COVID-19 and provide technological innovations to build company, society, and consumer resilience.
“From transformative Mega Trends to geopolitical chaos, there are several factors making it increasingly difficult to grow,” says Murali Krishnan, Visionary Innovation Group Senior Industry Analyst at Frost & Sullivan. “In the near term, companies should focus on diversifying supply chains and leveraging new opportunities arising from changing customer demands. In the long term, it is important to internally adapt to new technologies that support workplace and operational continuity to have a smoother transformation during recovery.”
Adds Chaitanya Habib, Visionary Innovation Group Research Analyst: “The shift in focus on cost optimisation and on avoiding further production losses post-COVID-19 has accelerated the adoption of automation and industrial robots across various industries. As a result, the global industrial robotics market is expected to grow from $44.6 billion in 2020 to $73 billion in the next five years, with increasing FDA approval and patent activity.”
The 9 key trends across industries that will emerge as a result of COVID-19 are:
1. Connected Living:
The increased adoption of contactless surfaces post-pandemic will power the home automation and security markets. Systems encompassing voice activation technology will become increasingly popular among consumers.
2. Connected Work:
Reformed connected work scenarios will accentuate the need for “cloud everything.” New subscription-based models will witness a growing demand for Unified Communications as a Service (UCaaS).
3. Digital Health:
Digital health driven by telemedicine and robotic care will become the new standard of care delivery. Standardisation of service across the care continuum will require more service and technology providers.
4. Geopolitical Balance:
Countries should work together to keep trade flowing and ensure the supply of essential products, sending a signal of confidence to the global economy.
5. Human Augmentation:
The behavioural analytics market is expected to reach $3 billion in revenue in 2030, up from $230 million in 2019. Post-COVID-19, behavioural data will be used to enhance healthcare systems, financial services, and cybersecurity.
6. Lights-out Operations:
Autonomous “lights-out” operations will propel the demand for remote asset management solutions, and service providers will focus on data management strategies and data-driven business models.
7. Smart Cities:
Smart cities will create significant business opportunities with a market value of $2.46 trillion by 2025. Smart cities will prioritise more digitalised services and a strong data analytics infrastructure, leading to increased spending on technology.
8. Supply Chain Optimization:
The supply chain industry is creating radical innovations with augmented reality, virtual reality, advanced robotics, real-time inventory tracking, and exploring how 3D printing could completely disrupt the supply chain in the next 10 years.
9. Technology Advancements:
Pandemic preparedness will speed up the deployment of artificial intelligence (AI) solutions and accelerate AI innovation. Beyond specific disease management, post-pandemic economies also will rely on AI and machine learning (ML) tools to expedite digital transformation across key business initiatives.
The Reshaping of Industries Caused by COVID-19 is the latest addition to Frost & Sullivan’s Visionary Innovation Group research.