Sectors

Strategy formation is a demanding process. Having one is hard, pursuing it is harder.

  Skill and Education

80% of the 80M workforce is in the emerging markets: 10% countries generate 80% of the global GDP. Skill shortages have risen by over 25% in recent years.

We need a 3.5 B global workforce by 2030 and over 400 M in India in this decade. With this skills-scarcity it is hard for business to find talent pools with the skills needed to hire, retain and train the workforce to deliver the competitive advantage.


A related challenge the world faces is in standards adopted and operated with by different economies and treaty regions. For the world to be a common market, common standards are critical.

Likewise, policy initiatives and the implementation responsibilities will be shared by various bodies and stakeholders to build and sustain the momentum to skill people and to meet the capacity needs.


Intrinsic to this is the entire availability and framework of the state of education in economic regions.

  Healthcare

The global Healthcare market is 10% of the global GDP with a CAGR of 5%.

In India, our spend on HealthCare is a low 4%. The sector is constrained by lack of investments, talent, supportive policies, the insured universe and others. One way forward for scalability is the enhanced use of customer inclusive technology wrapped with services for both preventive and post operative care

The top issues:

  • Ageing population and chronic diseases
  • Cost and quality
  • Access to care
  • Technology Investment

    It is a deeply strategic sector which has long cycle times for research, investment and returns. Amongst the most stable sectors for its potential not only to grow but to spawn multiple business areas and models in:

  • Diagnostics
  • Devices
  • Drugs
  • Delivery

  Hospitality and Travel

Now recognized as a key driver of economic growth, Globally the industry creates over 260 million jobs, with 9.5% of Global GDP.

India has a great opportunity with about a 15% CAGR, trends and outlook. The opportunity lies in meeting the aspirations of customers at the wider end of the market. Availability and delivery of access to a consistent quality experience will feed this growth. The upside is the growing scale of domestic demand.

India has a great opportunity with about a 15% CAGR, trends and outlook. The opportunity lies in meeting the aspirations of customers at the wider end of the market. Availability and delivery of access to a consistent quality experience will feed this growth. The upside is the growing scale of domestic demand.

  Services

Services with all the sub sectors within it, has a global share of over 63%. It is an engine of inclusive growth.

In India the share is just under 60% but importantly the CAGR is 8.5%. The global capital flows are amongst the highest for the services sector.

The overall employment scope and the opportunity to increase per capita income is very attractive here.

 Manufacturing

It is the bedrock of progress. The other sectors are either derived or serve into and around the industrial sector.

There has been a revival with key developed markets holding their own and capacity utilization going up or being added, employment rates going up. Long term expansion strategies are afoot.


India is jostling for global space with Defense, Aerospace, Automobiles, Mining, Engineering equipment getting both regulatory and investor attention. Implementation, talent, distribution and digitalisation issues will need resolution along the way to achieve optimal prosperity.

The global challenges for the near to mid-term will be around the core sector industries which are facing a downturn due to weak commodity markets. Slide in revenues and market cap, workforce redundancy, technology obsolescence, foreign exchange reserves are a mix of interrelated factors impacting countries and economic regions, by the weakened demand.

 Retail

This is probably the one sector that will continue to embrace innovation with the most conspicuous changes to redefining the product, consumer, choice, channel, intermediary and value connotations.

Retail sales worldwide (see eMarketer)—including both in-store and internet purchases—is $22.492 trillion in 2014. The global retail market will see a steady growth over the next few years, and in 2018, worldwide retail eCommerce will still account increase 5.5% to reach $28.300 trillion.
eCommerce accounts for about 6% of the total retail market worldwide in 2014, or $1.316 trillion. By 2018, that share will increase significantly to 8.8%, yet retail e-commerce will still account for just a fraction of in-store purchases even as it nears $2.5 trillion by the end of our forecast.

In India the share of eCommerce as a % of the total Retail Sales is under 2%. Similarly countries like UK, China, US, South Korea, Germany, Norway, Denmark have a share of above 10%. The eCommerce space in India has much headroom owing to several enabling factors in support of growth.

  Energy Sector

Arguably, the most essential resource for economic direction is the production and consumption of energy.

Over 200 years we have transitioned from an Agricultural society to an Industrial society and now to a technological society. The last 20 years of the 20th century witnessed defining research and changes in a technological direction in production and management of Energy. We are perhaps now in the middle of a three decade period which may hopefully offer the start of altering the nature of energy production and consumption. The present distribution of energy producing sources and consuming centres are changing. This may alter the regional flow of investments. Fluctuating Oil prices will have a deep economic impact on producing and consuming regional economies.

It is abundantly indicative that the research and innovation around energy saving technologies across industries will give rise to higher new product introductions and improvements, than before in the way energy is produced, distributed, managed and consumed.


If we look closer at the Power and Utilities industry there are positive competitive trends in performance changes in these areas:

  • Computing power
  • Data storage
  • Bandwidth utilization
  • The IOT (Internet of Things) is hinged to this and will influence the design and impact of IOT.

 Banking, Finance and Insurance

The Financial Services industry may see higher disruptive innovation in the mid-term. This will provide new challenges that executives need to stay ahead of .

These will range from Fin-Tech, IOT (The Internet of Things), Cyber Risk and changing demographics of wealth.

Growth rates, Fund flows, Investment and exit opportunities, Geo politics, Producing and consuming countries, savings rates, interest rates, security and insurance penetrations, micro finance are only some of the myriad factors determining this most complex sector.

The sector will continue to look at Analytics, Disruptive opportunities, enriched customer experience as key areas to lead growth and consolidation.

The number of banking and non-banking companies and models are set to rise particularly in the emerging and undeserved markets.


There will be increasing linkages in the global markets with companies entering newer markets. Reform programs in countries will allow for new paradigms of opportunities. The challenges will be around sustainability, growth and profitability.


The Insurance sector in all the emerging markets has very low penetration. In India it is under 3%. This is a sector awaiting reform, infrastructure, change in customer behaviour, products to move up the adopting and penetration rates. It can be a substantial role player for change in quality of life, business and asset security and employment.

 SMB

Globally SMB’s ( Small and Medium Businesses) account for over 95% of firms and 60%-70% of employment and generate a large share of new jobs in OECD economies.

SMEs are responsible for introducing most of today’s products and services on the markets and are typically much better at identifying and adopting new trends than larger, established corporations.
World over, the SMB sector is a vital engine of innovation and job creation. Appreciating the real challenges and opportunities shaping the future of SMEs, is therefore a matter of the highest importance. Frankly Small business are – big business. They are a structurally less complicated and more efficient and flexible than large firms.

While SMEs make a huge impact on income, employment and wider economic output, their fortunes are disproportionately affected by every financial crisis. SME’s are cause to job creation as much as significant factor in job destruction. An EU estimate referred to the fact that as few as 50 % of firms that started trading in 2001 survived beyond five years.

There is no magic formula for ensuring there is a thriving global SME community – but the expanded use of International Standards can foster entrepreneurship and help small businesses compete on an equal footing. And when they do, we can look forward to a new economic map emerging, where smaller businesses play a big role in shaping the world – at last.





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