flevyblog

Flevy Blog is an online business magazine covering Business Strategies, Business Theories, & Business Stories.
MANAGEMENT & LEADERSHIP STRATEGY, MARKETING, SALES OPERATIONS & SUPPLY CHAIN ORGANIZATION & CHANGE IT/MIS Other

Megatrends Framework

Editor's Note: If you are interested in becoming an expert on Strategy Development, take a look at Flevy's Strategy Development Frameworks offering here. This is a curated collection of best practice frameworks based on the thought leadership of leading consulting firms, academics, and recognized subject matter experts. By learning and applying these concepts, you can you stay ahead of the curve. Full details here.

Featured Best Practice on Market Analysis

22-slide PowerPoint presentation
A key choice in any business strategy is 'where to play'. This understanding the market that the business chooses to compete in with a clear understanding of key customer, geographies, products, growth, value, competitors and shares etc. A fundamental requirement for any market assessment is the [read more]

* * * *

A “megatrend” is a large-scale pattern or movement that has a major, long-lasting impact on business and society.

Examining Megatrends to interpret global intricacies has a long history that goes back to mythology.  Megatrend was not a term used before 1982; John Naisbitt came up with the term in his 1982 book by the same name.  Modern times have seen experts such as the Tofflers, Naisbitt, and Drucker trying to decipher change in large-scale trends.

PwC began a research project on Megatrends and their effects for companies and government leaders in 2013.  PwC’s goals in the 2013 research were to understand society’s innate inquisitiveness about external factors, to expand and extend the consequent conversation; and to convert the overall understanding of Megatrends into a more functional framework that businesses could apply to pursue prospects and mitigate risks.

This research on Megatrends assisted PwC to come up with a framework that had the following 5 fundamental constituents:

  1. Demographic and Social Change
  2. Shifts in Global Economic Power
  3. Rapid Urbanization
  4. Climate Change and Resource Scarcity
  5. Technological Breakthroughs

The Megatrends Framework can aid any private or public sector leader contemplate multifaceted outside shifts more lucidly, and can assist in evolving a well-organized, practical, and pre-emptive Strategy for tackling these changes.

Let us dig a little deeper into the 5 historical recurrences still operational globally, that have affected almost every facet of the world’s economic and social structure.

Demographic and Social Change

Blend of longer life expectancy, falling birthrates in several regions of the globe, and unparalleled amounts of human migration, along with a steady rise in status of women and more ethnic and social diversity in quite a few countries, is the 1st pattern.

Shifts in Global Economic Power

Mainly, rapid wealth creation in emerging economies compared to industrialized nations has resulted in big changes in consumption patterns and a rebalancing of global relations.

Rapid Urbanization

Enormous growth of cities across the globe, via a mix of migration and childbirth, has had tremendous effects on quality of life and culture, particularly in terms of land use, infrastructure, traffic, and employment.

Climate Change and Resource Scarcity

Rising needs such as food, water, and energy, in a limited planet with finite resources and even less room for carbon dioxide and a vast array of other effluents.

Technological Breakthroughs

Alteration of business and day-to-day life owing to development and use of latest types of digitally empowered Innovations in areas like Cloud Computing, Internet of Things, Nanotechnology, Fabrication (including 3D Printing), and Biotechnology.

All the Megatrends mentioned have occurred to a certain degree and there is an unnoticeable interaction between these trends.

It is not a matter of the Megatrends coinciding, rather of them colliding, resulting in unsettling or transformative shifts undulating out into almost every industry around the world.  Collision of Megatrends will take place in some shape, but the specifics are every so often unclear.

It is not possible to envisage precisely how 2 Megatrends will interact. But it is definite that the collisions will take everyone beyond a point, to a world that will be quite distinct from the present-day.

Interested in learning more about Megatrends Framework?  You can download an editable PowerPoint presentation on Megatrends Framework here on the Flevy documents marketplace.

Do You Find Value in This Framework?

You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro LibraryFlevyPro is trusted and utilized by 1000s of management consultants and corporate executives.

For even more best practices available on Flevy, have a look at our top 100 lists:

109-slide PowerPoint presentation
This deck set out a methodology to design and conduct market research. The contents include: - Overview - Types Of Research Methodology - Telephone Surveys - Focus Groups - Consumer Intercepts - Mail Surveys - Consumer Panels - Omnibus Studies - Types of Samples - Market Research [read more]

Want to Achieve Excellence in Strategy Development?

Gain the knowledge and develop the expertise to become an expert in Strategy Development. Our frameworks are based on the thought leadership of leading consulting firms, academics, and recognized subject matter experts. Click here for full details.

"Strategy without Tactics is the slowest route to victory. Tactics without Strategy is the noise before defeat." - Sun Tzu

For effective Strategy Development and Strategic Planning, we must master both Strategy and Tactics. Our frameworks cover all phases of Strategy, from Strategy Design and Formulation to Strategy Deployment and Execution; as well as all levels of Strategy, from Corporate Strategy to Business Strategy to "Tactical" Strategy. Many of these methodologies are authored by global strategy consulting firms and have been successfully implemented at their Fortune 100 client organizations.

These frameworks include Porter's Five Forces, BCG Growth-Share Matrix, Greiner's Growth Model, Capabilities-driven Strategy (CDS), Business Model Innovation (BMI), Value Chain Analysis (VCA), Endgame Niche Strategies, Value Patterns, Integrated Strategy Model for Value Creation, Scenario Planning, to name a few.

Learn about our Strategy Development Best Practice Frameworks here.

Readers of This Article Are Interested in These Resources


17-slide PowerPoint presentation
This document breaks down Market Analysis into 7 phases: 1. Problem Understanding and Definition 2. Market Environment Analysis 3. Market Place Analysis 4. Supply Analysis 5. Demand Analysis 6. Summary of Trends and Outlook 7. Strategic Options and Recommendations For each of the phase, [read more]


 
36-slide PowerPoint presentation
 
 
16-slide PowerPoint presentation

About Mark Bridges

Mark Bridges is a Senior Director of Strategy at Flevy. Flevy is your go-to resource for best practices in business management, covering management topics from Strategic Planning to Operational Excellence to Digital Transformation (view full list here). Learn how the Fortune 100 and global consulting firms do it. Improve the growth and efficiency of your organization by leveraging Flevy's library of best practice methodologies and templates. Prior to Flevy, Mark worked as an Associate at McKinsey & Co. and holds an MBA from the Booth School of Business at the University of Chicago. You can connect with Mark on LinkedIn here.

, , , , , , , , ,





Complimentary Business Training Guides


Many companies develop robust strategies, but struggle with operationalizing their strategies into implementable steps. This presentation from flevy introduces 12 powerful business frameworks spanning both Strategy Development and Strategy Execution. [Learn more]

  This 48-page whitepaper, authored by consultancy Envisioning, provides the frameworks, tools, and insights needed to manage serious Change—under the backdrop of the business lifecycle. These lifecycle stages are each marked by distinct attributes, challenges, and behaviors. [Learn more]

We've developed a very comprehensive collection of Strategy & Transformation PowerPoint templates for you to use in your own business presentations, spanning topics from Growth Strategy to Brand Development to Innovation to Customer Experience to Strategic Management. [Learn more]

  We have compiled a collection of 10 Lean Six Sigma templates (Excel) and Operational Excellence guides (PowerPoint) by a multitude of LSS experts. These tools cover topics including 8 Disciplines (8D), 5 Why's, 7 Wastes, Value Stream Mapping (VSM), and DMAIC. [Learn more]
Recent Articles by Corporate Function

  

  

  

  

  


The Flevy Business Blog (https://flevy.com/blog) is a leading source of information on business strategies, business theories, and business stories. Most of our articles are authored by management consultants and industry executives with over 20 years of experience.

Flevy (https://flevy.com) is the marketplace for business best practices, such as management frameworks, presentation templates, and financial models. Our best practice documents are of the same caliber as those produced by top-tier consulting firms (like McKinsey, Bain, Accenture, BCG, and Deloitte) and used by Fortune 100 organizations. Learn more about Flevy here.


Connect with Flevy:

     
  


About Flevy.com   /   Terms   /   Privacy Policy
© . Flevy LLC. All Rights Reserved.