3. Digitalization across the value chain
More data and increasingly sophisticated connectivity across the value chain have impacted the entire industry ecosystem. From exploring the monetizing opportunities at the consumer end to transforming workplaces by applying robotics, the power of digitalization is substantial. Managed, it can be a major source of competitive edge. But if unmanaged, it’s a source of risk.
While automakers, suppliers and connectivity infrastructure companies have been leveraging their access to vehicle data to progressively drive innovation, they have had limited success in creating additional sustainable revenue streams.
However, disruptive entrants into the mobility ecosystem have been able to leverage their relationship with the consumer and the driver to drive revenue growth in the ride-hailing, ride-sharing and car-sharing markets.
Digitalization also challenges existing workplaces and employment practices as employees demand greater connectivity and mobility to fulfill their roles more efficiently, irrespective of their functions.