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Future of Work - Automation

25 May 2017
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Future of Work - Automation

  1. Future of Work - Automation Man and machine creating a better world together Dr Susan Entwisle DXC Executive Director / Distinguished Technologist @susanentwisle
  2. Now we are building intelligence, speech, vision, empathy and more.
  3. This is transforming our lives Hyper Connected, Untethered and Personalised
  4. Moving towards systems of intelligence Data Sensors Machine Learning Robotics
  5. By 2020, more than three-quarters of S&P 500 will be companies you have never heard of yet. New revenue streams Increase business efficiency Increase employee productivity
  6. We are entering an automation age where machines match or outperform humans in a range of tasks ranging from rote to truly creative.
  7. Heard it before. Why now? • Technology enablers: hardware and software advancements, data explosion, significant investment. • Increased customer expectations: apple effect. • New disruptive players: shifting from products to services. • Globalisation at point of diminishing return – labour arbitrage and global supply chains. • Changing demographics: millennials, aging workforce. • Rise of populism: might accelerate automation.
  8. Scope and impact on the workforce < 5% of occupations are 100% automatable. ~60% occupations have at least 30% activities that are automatable. Labour associated with technically automatable activities Millions full-time equivalents (FTE) Wages associated with technically automatable activities $trillion Source: A future that works: automation, employment and productivity, McKinsey Global Institute, January 2017
  9. Scope and impact on the workforce Time spent on activities that can be automated using current technology. Degree of automation potential varies by sector and countries. 7 Total wages in US, 2014 $ billions 14 16 12 17 16 18 People Mgt. Decisions & Creative Stakeholders Mgt. Unpredictable physical Collect data Process data Predictable physical 9 Time spent in all US occupations % 18 20 26 64 69 81 596 1190 896 504 1030 931 766 Most susceptible activities 51% of total working hours 2.7 trillion in wages Source: A future that works: automation, employment and productivity, McKinsey Global Institute, January 2017
  10. Benefits of automation • Enhance consumer and employee experience • New products and services • Improve productivity, reliability, quality while lowering cost and risk • Refocus workers on higher-value / more rewarding activities • Enable massive scalability • Right shore delivery
  11. Alice engages with aged care residents
  12. Growing wealth
  13. Autonomous vehicles will save lives and time
  14. Faster and lower cost construction
  15. Personalised learning to improve educational outcomes
  16. Improving the retail experience
  17. Shift to digital human resources
  18. Healthcare will be personalised and preventative
  19. Cognitive computing gets creative
  20. Ironman approach to enhancing us
  21. How do you use automation to improve your business?
  22. Getting started • Sponsorship from top down. Everyone needs to shift to being digital. • Strategic imperatives. High-level strategy. • Talent, digital capabilities and organisational design to support agile delivery of automation journeys. Source: Agile Delivery Lifecycle Diagram – ThoughtWorks
  23. Trust and transparency matter Right Intentions Communication Asset protection
  24. Invent Scale Accelerate Across Business : People, Knowledge, Products, Services, Capabilities OptimiseEnhance Finding the opportunities Manual processes Knowledge processes Pain points Efficiencies
  25. Functional areas for robotic process automation Source: Mindfields, 2016 High-volume, repetitive, rule-based, data-based activities Human Resources Payroll administration Benefits enrolment Employee data management Claims management Application tracking On / off boarding Routine query management Finance & Accounting Invoice processing Accounts receivable Order management Procurement / sourcing Accounts payable Record to reports Billing management Customer Service Query management Billing support Complaint management Order processing Subscription management Helpdesk management Sales support
  26. Optimise operating model Redundant: does it add value? is it even used? can it be simplified? Automate: your easy wins and identified opportunities. On-shore: complex business processes, high touch, critical to your business. Off-shore: complex business process, low touch, consistent way of work, not competitive differentiator. Products Capital Needs CultureConsumerRegulation 1 2 3 4 Massive scale
  27. Systems of intelligence architecture Infrastructure – Enterprise Strong Network, Cloud, Data Centre Data - Information Management and Governance External Sources Social media, weather, ABS, etc. Sensors People, places and things Systems of Record ERP, Business Apps Application Logic and Workflow Machine Learning AI Tools Assemble, ingest, train, deploy and administer models AI APIs Language, vision, speech and emotion APIs. Industry Specific Advisors Healthcare, finance, retail, etc. Custom Advisors Machine learning models specific to your industry and expertise User Experience Interface Touch, voice, gesture, motion, typing, mind-machine, etc. Device PC, smartphone, VR, AR, Car, Brainwaves (EEG)
  28. Systems of intelligence principles Humans and machines: designed to combine strengths of each. Personalised user experience: tailored to individual preferences and context to augment / enhance human or experience. Data first: ingest, process, manage and secure big data. Domain specific models: capture domain knowledge in one area to provide insights / predictions. Buy or build models: dependent on commercial availability and competitive advantage. Source: What to do when machines do everything, M. Frank, P. Roehrig, B. Pring, Wiley, 2017
  29. Keeping on track and up to speed Program Management / Governance: review high-level strategy, program delivered – value, what worked, what failed, how can we be better, what next, what are our measurements, are our resource needs? Partnerships: with service providers, technology providers, startups and market analysts. Understand, leverage, support and influence. Software Factory - optimise, automate, and standardise / commoditise . Talent: hire best talent, promote engagement, and crowd source innovation. Communicate / Educate: share stories of success and failure, communicate key market trends and capabilities to all team members.
  30. Factors affecting pace and extent of adoption Technical feasibility Technology has to be invented, integrated and adapted for use. Solution cost Hardware and software costs to develop and deploy solutions. Regulatory and social acceptance Even when automation makes sense, adoption can take time. Labour market dynamics Supply, demand and cost of human labour. Economic benefits Increased quality, higher throughput and lower labour costs. Source: A future that works: automation, employment and productivity, McKinsey Global Institute, January 2017
  31. Impact of automation on roles Employees / people will be enhanced through augmentation. Roles will be displaced. New unimagined roles will arise. Opportunity to redefine entire consumer and employee experience. CONSULTANTS DOCTORS TEACHERS LAWYERS RECEPTIONISTS COOKS CALL CENTER AGENTS RETAIL WORKERS
  32. Skills are the issue of our time How do companies and government? - Build pathways to new collar jobs. - Retrain employees. - Enhance skills. Skills for future: Problem solving. Critical thinking. Adaptability. Advanced communication skills. Listen, understand, influence, persuade. Share stories. Relationship skills. Connect, collaborate, leverage and empower. Creativity and innovation. Advanced digital skills. Passion for your work. Rapid pace macro / micro learning will be unrelenting.
  33. The biggest risk is to do nothing. Get started.
  34. susan.entwisle@hpe.com @susanentwisle
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