WEBVTT 1 00:00:00.710 --> 00:00:03.300 Hi, this is Rich Lesser coming to you from Davos 2 00:00:03.300 --> 00:00:05.740 line:15% at the end of this year's annual meeting. 3 00:00:05.740 --> 00:00:07.570 line:15% I am joined with Karalee Close. 4 00:00:07.570 --> 00:00:10.840 line:15% Karalee leads BCG's Technology Advantage practice, 5 00:00:10.840 --> 00:00:12.430 and we have a chance to share impressions 6 00:00:12.430 --> 00:00:14.060 of the past week together. 7 00:00:14.060 --> 00:00:16.410 So Karalee, what were your main takeaways 8 00:00:16.410 --> 00:00:17.800 from Davos this year? 9 00:00:17.800 --> 00:00:21.430 I think the importance and commitment that we see 10 00:00:21.430 --> 00:00:23.440 around sustainability and climate change 11 00:00:23.440 --> 00:00:27.170 was in an order of magnitude different than other Davoses, 12 00:00:27.170 --> 00:00:30.620 and I found it personally very exciting 13 00:00:30.620 --> 00:00:34.340 to see groups of CEOs, government leaders, 14 00:00:34.340 --> 00:00:37.630 and the like really talking about how to move the needle 15 00:00:37.630 --> 00:00:39.670 when it comes to sustainability and climate change. 16 00:00:39.670 --> 00:00:40.670 I was really interested. 17 00:00:40.670 --> 00:00:44.610 I was in a WEF CEO group, and there was a discussion 18 00:00:44.610 --> 00:00:46.790 about really changing the way reporting is done 19 00:00:46.790 --> 00:00:49.480 to incorporate a broad set of measures. 20 00:00:49.480 --> 00:00:51.340 And going into it, I really didn't know 21 00:00:51.340 --> 00:00:53.760 how the CEOs would react, because most of them 22 00:00:53.760 --> 00:00:55.250 are leading huge public companies 23 00:00:55.250 --> 00:00:56.800 under enormous scrutiny. 24 00:00:56.800 --> 00:00:59.820 And the amount of energy and alignment 25 00:00:59.820 --> 00:01:01.330 of a high percentage of the group 26 00:01:01.330 --> 00:01:03.420 that we need to put this into how we report, 27 00:01:03.420 --> 00:01:05.520 we need to do it in a consistent way, 28 00:01:05.520 --> 00:01:07.300 really exceeded my expectations. 29 00:01:07.300 --> 00:01:08.750 Now it needs to be turned into action, 30 00:01:08.750 --> 00:01:11.130 and I'm sure there'll be some challenges ahead, 31 00:01:11.130 --> 00:01:13.760 but it was a bigger step forward than I was anticipating 32 00:01:13.760 --> 00:01:14.593 at the meeting. 33 00:01:14.593 --> 00:01:15.790 Yeah, great step forward. 34 00:01:15.790 --> 00:01:18.490 And then also the technology applications that go there. 35 00:01:18.490 --> 00:01:21.360 Of course, I'm a bit biased given my background, 36 00:01:21.360 --> 00:01:25.210 but really seeing how technology can be used 37 00:01:25.210 --> 00:01:26.850 to move the needle when it comes 38 00:01:26.850 --> 00:01:28.800 to sustainability-related issues. 39 00:01:28.800 --> 00:01:31.280 So end-to-end supply chain visibility, 40 00:01:31.280 --> 00:01:34.530 really understanding where goods and services are, 41 00:01:34.530 --> 00:01:37.940 really taking a move from the telecom sector, 42 00:01:37.940 --> 00:01:40.070 really thinking about how do you reduce 43 00:01:40.070 --> 00:01:43.030 the use of energy, and those sorts of things. 44 00:01:43.030 --> 00:01:45.680 So I think the technology agenda is part of it, 45 00:01:45.680 --> 00:01:47.780 but I'm glad to see the overall commitment 46 00:01:47.780 --> 00:01:49.930 to what's important to our planet. 47 00:01:49.930 --> 00:01:51.140 I know you spend so much time 48 00:01:51.140 --> 00:01:52.280 thinking about the intersection 49 00:01:52.280 --> 00:01:54.950 between technology and people 50 00:01:54.950 --> 00:01:57.860 and how we build capabilities in organizations 51 00:01:57.860 --> 00:02:00.450 in a human sense, not just in a technology sense. 52 00:02:00.450 --> 00:02:02.540 I really thought that came through much more. 53 00:02:02.540 --> 00:02:03.850 Did you see that also? 54 00:02:03.850 --> 00:02:07.150 Yeah, I think last Davoses have been this externality 55 00:02:07.150 --> 00:02:09.160 of digital disruption and digital threat 56 00:02:09.160 --> 00:02:12.430 or the robots taking over the world 57 00:02:12.430 --> 00:02:15.420 and changing our workforces without us 58 00:02:15.420 --> 00:02:17.430 really being able to take control of it. 59 00:02:17.430 --> 00:02:20.410 I think this year was a lot more about yes, we can see 60 00:02:20.410 --> 00:02:22.430 how technology has an impact on business, 61 00:02:22.430 --> 00:02:25.500 yes we can see that our workforces need to change, 62 00:02:25.500 --> 00:02:28.300 but the focus was much more around how do you bring 63 00:02:28.300 --> 00:02:32.540 the human side and the technology side together 64 00:02:32.540 --> 00:02:34.590 in ways that are productive for workforces. 65 00:02:34.590 --> 00:02:37.740 So a lot more concrete stuff around upskilling 66 00:02:37.740 --> 00:02:42.070 and reskilling: where, how, what are the levers to do that? 67 00:02:42.070 --> 00:02:45.050 And then on the technology side it was more about 68 00:02:45.050 --> 00:02:48.060 how do you use AI to amplify intelligence? 69 00:02:48.060 --> 00:02:50.400 How do you use some of the great stuff 70 00:02:50.400 --> 00:02:54.950 we can do with drones to reduce safety instances 71 00:02:54.950 --> 00:02:56.680 with industrial goods companies and stuff? 72 00:02:56.680 --> 00:03:00.050 So I think there's an amplified intelligence, 73 00:03:00.050 --> 00:03:02.240 there's organization that can do more 74 00:03:02.240 --> 00:03:04.720 or people that can do more with technology, 75 00:03:04.720 --> 00:03:05.890 I find really exciting. 76 00:03:05.890 --> 00:03:07.670 I think it was only eight or nine months ago 77 00:03:07.670 --> 00:03:10.030 we started really talking about the bionic company, 78 00:03:10.030 --> 00:03:13.530 where you combine machines and algorithms 79 00:03:13.530 --> 00:03:16.110 and technology platforms with people 80 00:03:16.110 --> 00:03:19.200 and upskilling workforces and changing the way work is done. 81 00:03:19.200 --> 00:03:22.120 And at that time, it seemed very different 82 00:03:22.120 --> 00:03:25.120 than where our CEOs' heads were at. 83 00:03:25.120 --> 00:03:27.600 But now that I'm engaged with you, 84 00:03:27.600 --> 00:03:29.280 I think they totally resonated with it 85 00:03:29.280 --> 00:03:32.180 and are much more believing it's about the combination 86 00:03:32.180 --> 00:03:34.670 of the two than about machines replacing the people 87 00:03:34.670 --> 00:03:36.330 than even a year ago. 88 00:03:36.330 --> 00:03:37.560 Yeah, exactly. 89 00:03:37.560 --> 00:03:40.610 So it's an interesting week, 90 00:03:40.610 --> 00:03:41.980 and we had many different encounters. 91 00:03:41.980 --> 00:03:43.940 I just wondered if you had a favorite moment of the week 92 00:03:43.940 --> 00:03:45.140 you wanted to share. 93 00:03:45.140 --> 00:03:47.180 I think the most memorable for me 94 00:03:47.180 --> 00:03:51.840 is actually I attended a panel where will.i.am, 95 00:03:51.840 --> 00:03:55.300 who's quite a famous recording artist, 96 00:03:55.300 --> 00:03:56.710 seven Grammys, actually, 97 00:03:56.710 --> 00:03:59.944 he was talking about platform economy, 98 00:03:59.944 --> 00:04:02.040 and he was sharing his experience 99 00:04:02.040 --> 00:04:04.930 about building an AI-related business 100 00:04:04.930 --> 00:04:08.900 and a platform that helps to codify 101 00:04:08.900 --> 00:04:12.810 how he reaches populations with his music. 102 00:04:12.810 --> 00:04:15.680 And actually the way that he was articulating 103 00:04:15.680 --> 00:04:18.480 his technology choices and the importance of technology 104 00:04:18.480 --> 00:04:22.370 to his business concept, I felt like, wow, 105 00:04:22.370 --> 00:04:26.020 if a rock star can describe what we think 106 00:04:26.020 --> 00:04:28.570 about technology, we're onto something. 107 00:04:28.570 --> 00:04:31.130 So he was actually using a lot of the principles 108 00:04:31.130 --> 00:04:34.030 that we teach clients in terms of modern architecture, 109 00:04:34.030 --> 00:04:36.110 and APIs, and the like, 110 00:04:36.110 --> 00:04:38.690 but he was using it in such simple language, 111 00:04:38.690 --> 00:04:43.250 it made me quite excited actually about what we can do 112 00:04:43.250 --> 00:04:44.679 with our clients. 113 00:04:44.679 --> 00:04:47.860 I think that really represents how much technology 114 00:04:47.860 --> 00:04:50.430 is not just for the traditional way things are done, 115 00:04:50.430 --> 00:04:53.010 but opening up whole new vectors of innovation 116 00:04:53.010 --> 00:04:54.610 and opportunity in the economy. 117 00:04:54.610 --> 00:04:55.570 That sounds really terrific, 118 00:04:55.570 --> 00:04:56.670 I wish I'd have been there. 119 00:04:56.670 --> 00:04:58.650 So thank you, good travels home, 120 00:04:58.650 --> 00:04:59.920 and thank you, everyone. 121 00:04:59.920 --> 00:05:00.753 Thank you.