2018 Fjord Trends - Accenture

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2018 Fjord Trends - Accenture
2018 Fjord Trends
2018 Fjord Trends - Accenture
2018           Trend 01

               Physical fights back             4
Fjord Trends   Trend 02

               Computers have eyes              13

               Trend 03

               Slaves to the algorithm          22

               Trend 04

               A machine’s search for meaning   32

               Trend 05

               In transparency we trust         42

               Trend 06

               The ethics economy               52

               Trend 07

               Design outside the lines         62
2018 Fjord Trends - Accenture
Introduction
Our annual Trends report is always a team effort, and this   Tension
year’s team was bigger and more diverse than ever. More
than 1,000 Fjordians, plus (for the first time) 85 clients   Over the past year, we’ve watched a polarization
from five continents, inspired our report, each bringing     effect weave its way through many areas of our lives.
their own individual perspectives and experiences to         Disagreement is no new phenomenon, nor are the
the table.                                                   paradigm shifts we experience across society. The
                                                             current gulf between opposing opinions is remarkable
We first gathered insights in all forms—a mix of hastily-    and sometimes overwhelming, but also presents a
drawn thoughts on Post-it Notes, elegant (and not-so-        moment of great opportunity.
elegant) illustrations, simple scribbles and long-form
copy, and even some musings over a cup of coffee. We         Each of our Trends is born out of a fundamental tension,
then took those insights into workshops designed to          whether it’s a shift, a disagreement, a collision or a
hone the thinking and spot patterns—and tapped into          definitive rift in ideas. Digital versus physical, human
some digital tools to help us gather evidence for our best   versus machine, centralized versus decentralized, speed
ideas (because we’re all about blending the physical with    versus craft, automation versus control, traceability
the digital). The result? Seven Trends affecting business,   versus anonymity … it’s all in this year’s report.
technology and design in 2018.
                                                             How we navigate these tensions and design for positive,
Today, we see deep divisions across global populations       long-lasting change will be more critical today than ever
on a broad range of issues, which is creating social and     before. In 2018, it won’t be enough to be a bystander.
political anxiety. We’re also experiencing tension as a      We collectively have the opportunity to design the world
result of deep technological change that is altering the     we’ll be living in for decades to come.
world we live in. There is no running from these forces.
For the first time, we feel that there is just one meta      Read on to explore Fjord Trends 2018. We hope there
theme for Trends in 2018: Tension.                           will be plenty in these pages to provoke conversations
                                                             about what’s lurking around the corner for you—as an
                                                             individual, an employee, an organization or a consumer.

                                                             Happy reading!

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2018 Fjord Trends - Accenture
Trend 01

    Physical      Digital is no longer the centerpiece of brand

    fights back
                  experience. The emphasis is shifting onto how best
                  to use digital as an invisible enabler of physical and
                  sensory experiences. As interactions with users evolve
                  from periodic engagements via a screen to consistent,
                  connected experiences, organizations must create
                  new services that are deeply integrated in the
                  physical world.

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2018 Fjord Trends - Accenture
What’s going on?                                                                                    Tao Café from
                                                                                                    Alibaba

                                                                                                                                                                                                                   Physical fights back
     For the past five years, how we have           Service design, which is all about exploring
     designed services has been dictated            every touchpoint and channel to design an
     and limited by the touchpoints that were       experience, has a central role to play. The
     available to us—the PC, mobile devices and     disaggregation of technology components
     analog touchpoints. Much emphasis was          gives service designers many new
     placed on creating experiences delivered       avenues to explore as they create the next                      People are already starting to move away        Technologies, mobile payments and the
     through digital screens and as a result,       generation of digitally enabled services.                       from intrusive digital technologies and         hunt for convenience have positioned
     people spent more time interacting via         No longer restricted by rigid touchpoints,                      kick against digital saturation. As a result,   China as the leader in what has been
     device than in person.                         sensory and human experiences are front                         they are receptive to a more personal           described by some as the online-to-offline
                                                    and center with digital playing a powerful                      approach to services and products, and          (o2o) revolution. o2o is where customers
     This is about to change.                       behind-the-scenes role.                                         as technology becomes more ambient,             are identified in the online space then
                                                                                                                    they are migrating to services like Airbnb      enticed via various tools—click and
     A major shift is underway in technology,       We are now living in a world where                              that offer physical, human and sensory          collect, for example—to transact in an
     fuelled by lower costs, the disaggregation     technology is everywhere, supported by                          experiences that create lasting memories.       offline environment.
     of core technology components, and             the Cloud. We exist in a fog that makes
     users’ growing angst about their own           the digital invisible, and that blurs the                                                                       In the Asia-Pacific region, 88% of retailers
     “screen addiction.”                            boundaries between digital and physical.                                                                        plan to implement click and collect
                                                    From an installed base of 15.4bn connected                                                                      systems, according to one recent study.
     Until recently, speaker/microphone,            devices in 2015, the Internet of Things                                                                         Alibaba, for example, recently invested
     camera, screen and sensors were found          market is expected to grow to 30.7bn in                                                                         US$1.25bn in Shanghai-based Chinese
     together in PCs and mobile phones. Now,        2020, and rising to 75.4bn by 2025.                                                                             online food delivery service Ele.Me—a
     they are being pulled apart—the equivalent                                                                                                                     strategic move to strengthen its position in
     of dismantling a Swiss Army knife,                                                                                                                             the o2o marketplace.
     separating its various tools and embedding
     each into a diverse array of other places.                                                                                                                     In a separate move, Alibaba recently
                                                                                                                                                                    unveiled its Tao Café and smart speaker—
     As the disaggregation of core technology                                                                                                                       called Tmall Genie—to revolutionize offline
     accelerates, each individual component                                                                                                                         retail. By scanning a QR code on the
     is blurring into the background. This is                                                                                                                       Taobao app at the entrance of the store,
     freeing organizations to move away from                                                                                                                        customers are tracked by cameras with
     interactions via digital screens and refocus                                                  “People are already starting                                    facial recognition. After going through the
     on human experiences—this shift will have
     a huge impact on how those experiences
                                                                                                     to reject intrusive digital                                    checkout doors, they automatically make
                                                                                                                                                                    a purchase through their smartphones
     are designed.                                                                                   technologies and kick against                                  without needing to scan everything

                                                                                                     digital saturation.”                                           through a register, and can simply leave the
                                                                                                                                                                    store with their items in hand.

                                                          Data source: IHS

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2018 Fjord Trends - Accenture
Physical fights back
Amazon Go prototype grocery store in Seattle.                                                  Audi Q7 which features haptic feedback controls.           Carnival on board experience and medallion.

                                                                                               What’s next?
Elsewhere, a growing number of primarily         trucks” that sell certain items at discount
digital brands are now placing greater           in six US cities. While at the same time,
emphasis on the physical while making the        it has accelerated the speed at which it
most of their digital expertise and data to      is bringing to market new Amazon Echo
improve user satisfaction.                       services.
                                                                                               As technology becomes increasingly                 Audi, for example, has integrated haptic
Amazon, for example, has shifted its                                                           affordable, it is dispersed into the physical      feedback and gesture recognition into
focus in recent years onto the experiential                                                    world. People are being served a growing           its vehicles to declutter and minimize
element of shopping with Amazon Go, its                                                        number of personalized experiences                 distractions from the user while driving.
purchase of grocery chain Whole Foods                                                          anytime, anywhere, and they will expect            Ultrahaptics system pushes the boundaries
and its partnership with Kohl’s—further         “As technology becomes                        many of the benefits they feel today to            even further.
evidence of the company’s desire to grow
its physical retail presence.
                                                 increasingly affordable,                      continue and to evolve as they move from
                                                                                               one physical environment to another.
                                                 it is dispersed into the
Since 2015, Amazon has opened 11
bookstores, 40 pop-up Amazon stores
                                                 physical world and blurs                      Already, we have seen voice-activated
                                                                                               interfaces shift the emphasis onto a
across the US (mainly designed to                into the background.”                         screen-free physical experience and away
showcase its products), pick-up lockers in                                                     from interacting with a digital device
thousands of retail stores, and “treasure                                                      as an end in itself. And we have seen
                                                                                               interfaces evolve in other ways, such as the
                                                                                               emerging use of haptic feedback—using
                                                                                               vibrations to provide feedback and guide
                                                                                               behavior, which especially benefits the
                                                                                               visually impaired.

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2018 Fjord Trends - Accenture
Physical fights back
                                                                                                     Fjord
                                                                                                     suggests
     At city level, we will soon see a mapping of   Already, design specialists are responding.
     physical and digital together. In Hangzhou,    Carnival Corporation, for example, has
     China, Alibaba has been using AI to process    developed the Medallion—a wearable
     video, social media, traffic and other data    smart coin that connects customers to
     for its City Brain project, and congestion     a cruise ship through a digitally-enabled

                                                                                                     01                                  02                                      03
     has been reduced. Reportedly, they are         service called the Compass. It ensures
     packaging the system for use elsewhere.        each guest receives a unique and seamless
                                                    experience with their personal preferences
     To capitalize on this sort of thinking,        constantly captured to optimize service as       Stop viewing digital and            Let technology                          Sharpen your
     organizations must re-structure and            it is delivered.                                 physical as separate                inspire you                             design skills
     develop new skills. Reintroducing a
     physical dimension to services provides an     Having seen how things were developing,          Instead ask: how do we design       Traditionally, designers think first    Greater physical experience
     opportunity to differentiate at scale—which    Accenture acquired design and innovation         experiences and spaces to           about the end user. In this space,      design must be connected to
     has been harder to achieve in the age          firm Matter in 2017. Matter focuses on           connect with people around us,      designers also need to understand       your digital strategy. More digital
     of apps.                                       designing products and experiences for a         enabled by digital in a physical    and look at the technological           will be integrated into physical
                                                    connected world, adding physical product         world? Create experiences that      possibilities from the outset in        products and services from the
     The future of service design will be all       design to Fjord’s service design and digital     fuse physical and digital. The      order to deliver a new generation       get-go. As a result, new physical
     about blending physical with digital.          product creation capabilities.                   relationship and connectivity       of services enabled by digital that     and digital design capabilities
     Particular skills will be required for each,                                                    between devices will be critical—   thrill and excite. The joining of       may be needed in-house. And
     so we will see designers who specialize        Organizations will also need to ask              and should be invisible.            physical and digital design opens       closer collaboration between
     in physical and digital design working         themselves an important question:                                                    up a wealth of new possibilities        physical and digital design
     closely together, with shared goals. This      as digital becomes ubiquitous and                                                    and opportunities, so think             specialists will be a must.
     will have huge implications for brands         increasingly invisible, what future structure,                                       laterally. As technology falls in
     and organizations. Local Motors is             brief and role should there be for digital                                           price, indulge yourself in the art of
     successfully organizing around this: “We       departments or heads of digital?                                                     the impossible.
     are focused on low volume manufacturing
     of open-source vehicle designs, using
     multiple microfactories and a co-creation
     SaaS platform.”

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2018 Fjord Trends - Accenture
Trend 02

     Computers
     have eyes

                Computers have been able to read, comprehend
                and react to words for some time. Now, they can
                do the same with images. We got here with help
                from exponential progress in Artificial Intelligence
                and machine learning, combined with the fact that
                cameras are built into a greater variety of devices.
                Organizations can benefit from engaging with this
                powerful new source of data to create new digital
                services that add value and are truly compelling.

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2018 Fjord Trends - Accenture
What’s going on?

                                                                                                                                                                                         Computers have eyes
iPhone X, source Apple.                                                                                          Google Clips, source Google.

                    The camera is undergoing its                    This has been caused by two major shifts.                        Examples of the technological development
                    biggest transformation since Louis                                                                               to cameras’ eyes are starting to appear:
                    Daguerre publicly unveiled the first            First, cameras have become smarter—both                          Google recently launched Clips—a digital
                    practical photographic process—the              in terms of what they can capture (their                         camera without a display that takes
                    daguerreotype—in 1839.                          eyes) and what they can do with it (their                        pictures for you, using machine learning
                                                                    brain). With sharper eyes and smarter                            to recognize and learn faces, and look for
                    Over the almost-200 years since, the focus      brains, they’re becoming more and more                           interesting moments to record.
                    has been on capturing images as the device      human-like. In the past, computers were
                    itself evolved through many varied forms        limited by what a human can see and                              Apple’s newest iPhone X has the ability to
                    and formats. As a result, intelligent digital   process, which was then translated into                          unlock itself using facial recognition.
                    cameras are now capturing data which can        words for a computer to understand.
                    be processed through machine learning           Today, intelligent digital cameras can use                       In China, Alibaba is piloting facial
                    algorithms to provide more sophisticated        “computer vision” to capture visual data,                        recognition technology at 10,000 parcel
                    insights than we’ve ever before accessed.       analyze and act on it without needing                            pickup locations across Shanghai, to
                                                                    text inputs.                                                     allow users to unlock delivery drop boxes.
                                                                                                                                     Meanwhile, Chinese facial recognition start-
                                                                                                                                     up Face++ has developed a face-detecting

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2018 Fjord Trends - Accenture
Amazon Echo Look

                                                                                                                                                                                         Computers have eyes
system now used in several apps including    Cars are using intelligent cameras to assess                         Bosch vision for     In early 2017, Amazon added a camera to its
one to transfer money through Alipay (a      their environment, process the data and                              automated driving.   new-look Echo, which enabled it to see and
mobile payment app used by more than         respond accordingly—like a driver would.                                                  hear all. A user can now use it hands-free
120m people), which scans the user’s face    Bosch has created the Automated Mobility                                                  to take a still or video selfie, and view it on
as the only security credential.             Academy that focuses on teaching vehicles                                                 their smartphone to check how the they
                                             how to drive. Using sensors, hardware and                                                 look before going out.
In entertainment, Disney’s research arm is   software, Bosch’s Mobility Solutions deliver
experimenting with facial recognition to     connected mobility that allows driverless       “The ‘brain’ attached to                 In Singapore, meanwhile, Sushi Express has
gauge how an audience is responding to
a movie. Computer vision is a major step
                                             cars to become a reality.
                                                                                               these eyes is getting                   worked with Hewlett Packard Enterprises
                                                                                                                                       to install cameras that track the popularity
forward. And as computers become skilled     The “brain” attached to these eyes is             evermore powerful, thanks               of dishes on a sushi belt, gauge which
at understanding what they see, they can
spot patterns in data otherwise invisible
                                             becoming ever-more powerful thanks to
                                             Artificial Intelligence and machine learning.
                                                                                               to Artificial Intelligence              are hot and advise chefs when to prepare
                                                                                                                                       fresh replacements, reducing waste on less
to humans.                                   No longer do we need to manually input            and Machine Learning.”                  popular dishes.
                                             information to help a computer interpret an
                                             image—a growing number of devices can
                                             read our emotions and respond in real time.

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What’s next?

                                                                                                                                                                                                 Computers have eyes
                                                                                                                                                            Nanit baby monitor.

 The second shift is that eyes are now         These shifts combine to bring a further            Eye capture linked to Artificial Intelligence    Microsoft recently launched the Seeing
 present in all sorts of objects—from smart    level of sophistication and automation             and machine learning will generate data          AI app for the blind and visually impaired
 wallets for catching thieves to smart         to our products and services. Software             containing more powerful insight than ever       community to help people get a fuller
 contact lenses—thanks to the relative         developer Eric Raymond once stated that “a         before, and designers will have to figure out    narrative of the world around them by using
 cheapness of camera technology.               computer should never ask the user for any         how best to unlock it and utilize it to create   computers as their eyes. The app narrates
                                               information that it can auto-detect, copy,         compelling new products and services.            the world around a person, explaining
 For most of us, our cameras and our           or deduce.” Already, there are examples            This is both the big opportunity and the         what’s in front of them and recognizing the
 phones are the same device—and once           of how computer vision is taking digital           big challenge.                                   faces of people they are with.
 that camera starts to see, it can do much     services to a new level—and directly asking
 more than take a picture. For example, with   the user less and less.                            We are already seeing a diverse array of         This new wave of computer vision will
 Google’s multilingual machine translation                                                        new applications for computer vision             require computers to act more like humans.
 service, travelers can use their phone to                                                        emerging. For example, Nanit is a baby
 translate, simply by pointing it at text.                                                        monitor that watches a child sleep through       It’s easy for a computer to process
                                                                                                  a camera, then processes the information,        information but, this year, we will see
                                                                                                  providing insights on the emerging patterns      computers processing information while
                                                                                                  impacting sleep quality.                         reacting to the surrounding environment—
“This new wave of computer vision will require                                                                                                    using cognition and language skills to

  computers to act more like humans.”                                                                                                              process information more like a person.

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Computers have eyes
                                                                                                                    Fjord
                                                                                                                    suggests

                                                                                                                    01                                    02                                     03
Nest Cam IQ Indoor

                                                                                                                    Rethink                               Rethink your                           Rethink the
                                                                                                                    services                              approach to data                       design context
                     With better quality input comes better          The true potential of computer vision
                     quality output, and better output will drive    depends on humans recognizing and              Organizations must start              Expect more data: eye capture          As computers get better at
                     better insights and outcomes. This will offer   trusting the fact that cameras and             imagining the new generation of       will eliminate the current friction-   reading the emotions of people
                     significant opportunities for organizations     computers are becoming smarter and more        services they could create once       generating steps of requiring          using computer vision, human
                     to develop a new generation of services.        integrated into daily life. This technology    information is more routinely and     a user to manually input data.         behaviors and intrinsic features
                                                                     is ground-breaking, but none of it matters     ubiquitously captured visually. An    Consider what data can be              will need to be designed into
                     It will be important to consider both           if humans won’t allow it into their physical   important first step is to consider   extracted from processing large        services to fully interest and
                     the micro and macro implications. For           spaces and daily lives.                        the degree to which the devices       quantities of visual images, and       engage users.
                     example, what could a camera embedded                                                          or service responds to customers      which would be most useful.
                     in a bathroom mirror detect about the           Security and privacy will be important         dependent on what it “sees.”          Prepare for lots of different levels
                     health of the person who uses it that           issues for users in order to build trust and                                         of data input, and plan today how
                     morning, and what services might that           acceptance. People will be free to choose                                            best to prepare to accommodate
                     inspire? What services could be built from      whether or not to invite intelligent cameras                                         that so data is not too unwieldy to
                     insights harnessed from 10,000 such in-         into their homes and lives. Designers must                                           use effectively.
                     mirror cameras?                                 figure out not just how to make this feel
                                                                     safe and comfortable but how to make the
                                                                     experience valuable.

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Trend 03

     Slaves to
     the algorithm   We are looking at a new marketing environment, which
                     is neither online retail nor a brick-and-mortar store.
                     In this “third space,” algorithms are performing the
                     role of gatekeeper between consumers and brands,
                     and they are indifferent to the branding efforts
                     that influence buying decisions people make for
                     themselves. How do you define a marketing strategy
                     when visual and empathy-reliant cues are removed?

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What’s going on?

                                                                                                                                                                      Slaves to the algorithm
     Netflix

     Three developments are ramping up             shared, the more personalized the results    Spotify Discover Weekly   It has become common for brands to
     to transform marketing over the year          they got. This is how Spotify learned how                              create a bot with the primary function of
     ahead: the rapid evolution of data-driven     to consistently recommend new artists and                              providing an extra interaction to deepen
     algorithms, the evolution of voice-enabled    tracks, and Netflix new films and box sets                             the connection between the brand and its
     digital assistants and users’ growing trust   that users would instantly love.                                       customers. Examples include PINK, from
     in both.                                                                                                             Victoria’s Secret, which learns about its
                                                   Recently, the use of these algorithms has                              customers’ preferences to recommend
     In the beginning, data-driven algorithms      rapidly expanded beyond recommendation                                 specific styles of bra. In entertainment,
     were introduced to make it simple to find     alone, spurring the development of a                                   Lionsgate launched a Power Ranger Alpha
     just what users wanted in a sea of choice,    broad range of other propositions with                                 5 bot ahead of a movie release to engage
     which saved them time, money, and best        Artificial Intelligence.                                               audiences by giving them a chance to
     of all, headspace. The more data the user                                                                            chat with Alpha 5, the Power Rangers’
                                                                                                                          robo assistant.

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“In 2018, the rapidly-                                                              In spring 2017, it was predicted that users   Customers have taken a little while to get

          evolving voice-                                                                    of voice-enabled speakers—a market
                                                                                             dominated by Amazon, which has an
                                                                                                                                           used to trusting algorithms, but we can
                                                                                                                                           now see evidence of a marked shift in the
          controlled shopping                                                                estimated market share of 70%—would           way they discover and decide what to

          marketplace will                                                                   increase by 130% by the end of the year.
                                                                                             And the market looks set to continue
                                                                                                                                           buy. Already, customers are actively and
                                                                                                                                           passively deferring to algorithms.
          create a ‘third                                                                    growing significantly, given that 25% of

          space’ for retailers                                                               smart speaker owners now use them for 11
                                                                                             or more tasks.
                                                                                                                                           In 2018, the rapidly-evolving voice-
                                                                                                                                           controlled shopping marketplace is
          and brand owners.”                                                                                                               expected to create a “third space” for

                                                                                                                                                                                         Slaves to the algorithm
                                                                                             Though it has taken time for customers to     retailers and brand owners. Sitting between
                                                                                             get comfortable with algorithm-powered        online outlets and physical bricks-and-
                                                                                             services, trust levels have now reached the   mortar stores, this new marketplace will
                                                                                             point where customers are confident using     be powered by algorithms rather than
                                                                                             them for purchases. Inevitably, it wasn’t     conventional browsing, where customers
                                                                                             long before the first brands struck deals     will make lots of buying decisions without
                                                                                             with Amazon to enable customers to order      even seeing the products first.
                                                                                             via Alexa simply by speaking to her. These
                                                                                             pioneers included pizza chain Domino’s and
                                                        Amazon Echo Dot                      UK online supermarket Ocado.

Less common are impartial bots created         The arrival and rapid evolution of voice-
by third parties with the primary aim of       enabled digital assistants, (such as
empowering or just making life easier for      Amazon’s Alexa and WeChat owner
the user. Examples include DoNotPay—a          Tencent’s Xiaowei) has transformed
“law bot” that will challenge parking fines    the experience of seeking product
on a user’s behalf, and banking bots such as   recommendations—making it more
Cleo which aims to be the Siri of personal     immediate, engaging and reactive than it
finance. The creator of DoNotPay has           was in text-based chats. And customers are
recently extended the bot’s capabilities to    embracing it much faster than predicted.
helping refugees claim asylum.
                                               The challenge is this: when your customer
Then you have text-based recommendation        has been seduced by the immediacy and
services that also enable users to make        fun factor of engaging with the likes of
purchases. Early examples include brand        Alexa instead of directly with your brand,
owner-created messaging bots like              how do you reach that customer? Alexa and
Sephora’s, which launched on messaging         her rivals have in-built biases, so the key
app Kik in 2016. In addition to providing      lies in finding ways around them.
personalized beauty tips, product
recommendations and reviews, it allows
users to buy products mentioned in their
chat—without leaving Kik.

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What’s next?

                                                                                                                                                                       Slaves to the algorithm
Amazon Echo                                                               Some organizations will be able to create    Then comes bias. When a customer
                                                                          gatekeeper algorithms, and their success     chooses a digital assistant on a particular
                                                                          will rely on their understanding of what     platform, they will essentially lock
                                                                          different groups of their customers value    themselves into a relationship with that
Market signals are already telling us         “As the Machine Learning   best and want most from such services.       platform’s partners, creating barriers to
that as algorithm-based assistants
continue to develop and thrive, they will
                                               that powers these          Other organizations, however, will find
                                                                          that some gatekeeper algorithms have
                                                                                                                       competing brands. Essentially, homes will
                                                                                                                       be turned into stores without packaging
become significant sales channels. As          algorithms continues       the power to limit their direct access to    and signage, making retailers’ traditional
the machine learning that powers these
algorithms continues to rapidly evolve,
                                               to rapidly evolve, more    their customers.                             attention-grabbing strategies obsolete. This
                                                                                                                       will have multiple implications for brands as
more personalized and preference-based         personalized and           There’s a strong chance we will soon see a   well as retailers.
services will emerge.
                                               preference-based           desensitized algorithm sitting in between
                                                                          an organization and its customers—one
Gatekeeper algorithms will appear to make      services will emerge.”     that does not notice things like visual
customers’ lives easier, but they will need                               branding efforts, celebrity endorsements
to understand the difference between self-                                or advertising campaigns. Being inherently
serving services created to meet a brand’s                                empathetic beings, people are influenced
primary interests—typically, to sell more—                                by such things, but algorithms are
and others designed for customers’ benefit.                               not. This poses a potential problem for
As consumers distinguish between these                                    consumer packaged goods and retailers:
two types of service, they will eventually                                if the gatekeeper between a brand and its
choose the ones that best meet different                                  customers isn’t susceptible to the efforts
needs, and which they trust the most.                                     it makes to win customers over, how will
                                                                          brands connect with shoppers?

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01                                   02
                                                                                                       Get to know                          Adapt to the new
                                                                                                       the gatekeepers                      marketing environment

                                                                                                       Understand them, understand          In a world in which ingrained
                                                                                                       how to be ranked by them,            consumer behaviors are
                                                                                                       understand how to bypass them.       bypassed, find new ways to
                                                                                                       Consider carefully whether           prompt your brand and purchase.
                                                                                                       a product or service can be          Brand names will operate like
                                                                                                       designed to make it past the         a secret password so train
                                                                                                       gatekeeper, and how to earn          customers to ask for you by name
                                                                                                       customer loyalty once it does.       rather than something generic
                                                                                                       Consider creating collaborative      (like “shoes”). Brands synonymous

                                                                                                                                                                                   Slaves to the algorithm
                                                                                                       or complementary services on an      with a category (like Kleenex) have
                                                                                                       existing platform, as Domino’s did   the clearest advantage. Hone
                                                                                                       with Alexa.                          additional tactics that aid brand
                                                                                                                                            recall and differentiating features.
                                                                                                                                            Could one-click purchase ads be
                                                                                                                                            the savior of impulse brands (and
Already, Amazon’s Alexa is more likely to         Brands will need to understand how to get                                                 advertising)? Consider how to
recommend Amazon Prime products for               past an algorithm that enables its user to                                                inject purchase prompts into the
first time orders. This makes it more difficult   purchase products without seeing them,                                                    environment where the customer
for any other brands to have their products       and they will need to find new ways to                                                    is—in the home, car or elsewhere.
included in Alexa’s search results—               influence customers’ decisions and their
particularly lesser-known brands.                 customers’ chosen algorithms.

                                                                                                                                            03
                                                                                                Fjord
Recommendation algorithms are deemed              There is a precedent for this in search
by their creators to work best when they are      engine optimization, which aims to
neither too formal nor too novel. Typically,      maximize a website’s visibility to online                                                 Beware the backlash

                                                                                                suggests
these algorithms tend to exploit known            search engines. Algorithm optimization will
preferences rather than encouraging users         be next.                                                                                  Prepare for the possibility that
to browse new options. New or smaller, less                                                                                                 once algorithms’ newness wears
familiar brands will find this an obstacle to                                                                                               off, market fatigue dampens
their efforts to gain traction.                                                                                                             consumer enthusiasm. Or that
                                                                                                                                            consumers begin to worry their
Over the year ahead, packaged goods                                                                                                         assistant has too much power
and retail brands will need to learn how                                                                                                    over their decisions. Algorithms
to navigate a new environment in which                                                                                                      have limitations. Consider how
previously reliable consumer behaviors,                                                                                                     they might be gamed, or hacked,
like impulse-buying, will be eliminated or                                                                                                  and how could that affect trust
greatly reduced, and standard marketing                                                                                                     in them.
objectives like acquiring market share will
become more of a challenge.

30                                                                                                                                 31
Trend 04

     A machine’s
     search for
     meaning

                Where once the “threat” to jobs was the introduction
                of production lines, typewriters or motorized vehicles,
                the hot topic now is the rise of Artificial Intelligence
                and robots. Organizations must stop talking about
                it and start designing for this change, by coming to
                terms with how to enable people and machines to get
                the best out of each other.

32                                     33
What’s going on?

                                                                                                                                            Deep learning was used by a Harvard-based team to improve
                                                                                                                                            the accuracy of pathological diagnoses.

                                                                                                                                                                                                        A machine’s search for meaning
     The early days of Artificial Intelligence      Already, machines can do a lot of our heavy       Many are fixated on which jobs AI and           Crucially, though, the debate is shifting
     were intrinsically linked with robots, but     lifting (literally and figuratively), and every   machine learning will make obsolete, but        away from which jobs will go, and onto new
     the rise of digital—and the software and       time they do, they get smarter. Not so long       this preoccupation is misguided.                and innovative ways in which people and
     networks that underpin it—have decoupled       ago, manual labor looked most challenged                                                          machines can collaborate.
     AI from robotics and extended its reach to a   by AI, but its growing capability could see it    True, machines have traditionally replaced
     broader range of machines.                     intervene in many knowledge worker jobs,          humans in jobs involving repetitive tasks       A Harvard-based team recently devised an
                                                    too. In China, for example, a robotic dentist     in non-changing environments, and they          AI method that could identify cancer cells
                                                    recently completed its first independent          will continue to do so. Yet, now that today’s   with 92% accuracy. In their experiment,
                                                    implant surgery on a patient.                     AI-driven machines having decision-making       pathologists beat the machines by
                                                                                                      capabilities and can do anything from           achieving 96% accuracy. When they worked
                                                    Furthermore, realization is growing that          detecting and picking only ripe apples to       together, however, the combined forces
                                                    machines are becoming, in the words of            driving a car, they will encroach into a more   of human pathologists and AI accurately
                                                    Fjord designer Paige Maguire: “another type       diverse array of professions.                   identified 99.5% of cancerous biopsies,
                                                    of user”—a collaborator or co-worker.                                                             brilliantly showing how AI and people are at
                                                                                                                                                      their best when they collaborate.

34                                                                                                                                                    35
In a recent global study, Accenture
                                                                        identified new job categories—Trainers,
                                                                        Explainers and Sustainers—where humans
                                                                        will complement the tasks performed by
                                                                        cognitive technology, created by the rise of
                                                                        AI-enabled machines.

                                                                        Following its US$775m acquisition of
                                                                        robotics company Kiva, Amazon now
                                                                        employs more than 45,000 robots—and is
                                                                        still recruiting and employing people.

Google is now using AI combined with
human reviewers to identify and remove
controversial content across YouTube. A
powerful benefit of the collaboration is
reducing the exposure of human reviewers
to graphic content.

                                                                                                                       A machine’s search for meaning
In early 2018, drones are due to deliver
vaccines to the remote island nation of
Vanuatu as part of a partnership between
the island’s government and UNICEF, to         Pepper by Softbank
provide practical help for health workers on
the ground.

Humanoid robots Pepper and Nao, made by
Japanese company Softbank Robotics, have       “The introduction
recently been trialled in two Singapore
preschools. The robots helped teachers
                                                 of machines won’t
by asking children questions about a story       always mean fewer
they had just heard, prompting them to
select answers on the screen. Again, the
                                                 jobs for humans—just
idea is to complement, not to replace.           different ones.”
The introduction of machines won’t always
mean fewer jobs for humans—just different
ones. Mortgage brokers spend as much as
90% of their time processing applications.
Such tasks are well-suited to being taken
over by AI, which would liberate the
mortgage brokers to focus on ambiguous
cases and spend more time interacting with
people rather than screens.

36                                                                      37
What’s next?

                            We need to rethink the way in which
                            machines and people coexist, and design
                            ways to help them get the best from
                            each other.

                            To avoid what has been called by some a
                            “robot apocalypse,” organizations must
                            pool collective ingenuity, intelligence
                            and relentless optimism to invent new
                            ways for machines to amplify our own
                            human capabilities. The key is to plan for      Microsoft HoloLens

                                                                                                                                                                                            A machine’s search for meaning
                            a future in which people and machines
                            work collaboratively.

                            We can succeed if we evolve appropriate
                            interactions between people and machines                             Designers will help organizations identify   The more human-centered and social
                            that are powerful enough to redefine the                             how they need to evolve, in order to         we make these interactions, the more
                            nature of work.                                                      design experiences, products and services    complexity and flexibility we also
                                                                                                 for the new world that lies ahead. They      introduce—not a trivial challenge. Machines
                            BMW is already setting a strong example.                             will also help redefine the nature of the    need to learn about people’s inconsistent
                            One of its latest concept cars is designed to                        working experience and develop a new         use of language and the ways in which we
                            mitigate miscommunication with driverless                            generation of products and services—         marry words with gestures, and they will
                            vehicles by building a pseudo-relationship                           some automated, others collaborative—        have to be able to interpret and reproduce
                            between the car and its passengers to make                           to harness humans’ and machines’             a new etiquette.
                            them feel safe when being driven around by                           combined strengths.
                            a machine.                                                                                                        Organizations must redesign their culture,
                                                                                                 Moving forward, organizations must           gearing it toward meaningful work and
                            As a discipline that starts and ends with                            deepen their understanding of AI, consider   constant learning. Looking ahead, at least
                            people, design will have a central role to                           and address some of the deeper issues and    45% of what people are currently paid to
                            play in enabling organizations to design                             optimize strategies accordingly. Important   do is open to automation. If it happens,
                            solutions that enable their people to                                questions they must now ask themselves       this shift will converge with the dominant
                            become comfortable with the addition of AI                           include: how will we interact with           culture of millennials in the workplace. A
                            in the workplace.                                                    machines; how will we learn to work with     Fidelity study showed millennials would
                                                                                                 them; how will they learn from us; and how   take a pay cut of US$7,600 if they could
                                                                                                 will we create two-way communication?        find a more purposeful work or a better
Robotic warehouse, Amazon                                                                                                                     culture elsewhere.

38                                                                                                                                            39
Fjord
                                                                                                                  suggests
                                                                                                                         01                                   02
                                                                                                                         Think collaboratively,               Design for
                                                                                                                         not competitively                    interaction

                                                                                                                         Let people do what they do best      Think how quickly you can tell
                                                                                                                         and let machines do what people      a machine to do something,
                                                                                                                         do worst. Start by considering       and how quickly a machine
                                                                                                                         which work activities are most       can tell you what it has done,
There are certain unfulfilling tasks that         from some kind of AI intervention between      WeWork co-              meaningful to us. Better, find       but remember they don’t have
                                                                                                 working office

                                                                                                                                                                                                     A machine’s search for meaning
will need to be automated because                 “purely aesthetic and purely technical—                                the best way for both to work        the same diversity and rich
                                                                                                 space, Austin.
people do not want to do them anymore.            incrementally tweaking designs, optimizing                             collaboratively and pool their       communication skills of people.
Organizations will need to act with               column widths, and experimenting with                                  strengths. Remember to take          Design machines to ask questions
care, however. If automation is imposed           color schemes.”                                                        your people on the journey with      and clarify their instructions: less
from the top without taking employees                                                                                    you—to build trust in the impact     ambiguity = a lower error rate.
on the journey, rebellion and sabotage            The design discipline must further evolve                              of machine learning and AI, they
could follow.                                     in response to the growing need for                                    must feel reassured, included
                                                  combining human-centered design with                                   and informed.
To enable staff to evolve as previously           machine learning. Already, companies that
unimagined careers emerge, organizations          provide design services are making moves

                                                                                                                         03                                   04
need to start transforming their cultures to      in this direction. Recently, our Accenture
facilitate continuous learning. They must         colleagues launched Accenture Applied
skillfully nurture new talent (especially if AI   Intelligence, and IDEO acquired data
takes over the work traditionally done by         science company, Datascope.                                            Be transparent,                      Future-plan for
juniors) and encourage more experienced                                                                                  be inclusive                         staff evolution
talent to be ready to absorb a constant flow      There will be a need for a new generation
of new information.                               of automated products and services                                     Algorithmic transparency should      Who trains the next generation
                                                  that harness the strengths of effective                                be central to your brand values.     if AI is doing all the junior work?
Organizations will have the opportunity           collaboration between humans and                                       Staff and customers alike must       Organizations need a plan for
to upgrade and optimize their design              machines—this relies on successfully                                   have an understanding of how         enabling their staff to evolve.
approach and strategy with design for a           combining human-centered design and                                    decisions are being made.            Remember, the journey must
certain degree of automation. Mark Rolston,       machine learning. These new products and                               Technology fails when it is not      be taken together in order to
founder of Argodesign, has identified a           services will be essential to solve problems                           inclusive. AI has the potential      make the most of what can be a
“fat middle ground” that could benefit            that we can only imagine today, such as                                to fail on a grand scale. Ensure     synergistic relationship between
                                                  how to build visibility into machine-to-                               diversity of people, data, and AI-   people and machines. Employee
                                                  machine conversations so that people                                   enabled machines to keep biases      experience is a key differentiator
                                                  understand how machines communicate                                    in check.                            in the search for talent.
                                                  with each other.

40                                                                                                                                                   41
Trend 05

In transparency
we trust

                  It’s hard to judge what’s authentic in a digital world
                  where it’s almost impossible to identify the origin
                  of information and who has had a hand in changing
                  it. Worse still, falling trust in key institutions has
                  compounded the issue. In 2018, designers will do
                  a lot of work using blockchain—a potential solution
                  to this trust crisis—but they will need to help people
                  understand it and build faith in it. Organizations will
                  need to shift their emphasis from “touch points” to
                  “trust points” when carving out market differentiation.

42                                      43
What’s going on?

People’s trust in key institutions—
businesses, governments, media and
NGOs—is plummeting, and their belief
that “the system” is working for them is
crumbling. Driven by globalization, pace of
innovative disruption and a breakdown in
social values, this crisis is at a tipping point.

Technology has given us unprecedented
control and autonomy to fulfill our on-
demand needs and curate customized
experiences, but it has also fuelled our
fears and made us feel more vulnerable.
With many individuals unsure or even
oblivious to how their data is harvested,
used, shared and protected, data security,
privacy, and lack of transparency have
become major concerns.

                                                                                                                                                                                                                    In transparency we trust
Trust can be regained if organizations
actively engage with the problem. One
option is to use blockchain technology. By
creating services based on this technology,
it will become less crucial that consumers
trust organizations themselves, so long
as they trust blockchain. This shift has the                                                                           be changed retrospectively, and unlike a     patient, who has another, can access the
potential to reinvent our conceptual model          “Driven by globalization, pace of innovative disruption and a     conventional database, the chain of blocks   information. That information is only shared
of trust.                                            breakdown in social values, this crisis is at a tipping point.”   is connected without a single organization   when the doctor or patient shares their
                                                                                                                       officially designated to administer and      private key with a third party—say a hospital
A blockchain is a shared, decentralized,                                                                               oversee it.                                  or a specialist.
secure database which enables any system
or device connected to a network—for                                                                                   For example, a blockchain for a patient’s
example, a file server, a computer or a                                                                                medical records would comprise a series
printer—to be connected to it. Each entry                                                                              of records—each stamped with the date
on that database is a block. No entry can                                                                              and time when it was created. Only the
                                                                                                                       doctor, who has one private key, and the

44                                                                                                                                                                  45
“Blockchain will enable us to
                                                                                       introduce an open platform to
                                                                                       share data between parties”

                                                                                      Dubai, which
                                                                                      has pledged
                                                                                      to become a
                                                                                      blockchain first
                                                                                      economy by
                                                                                      2020.

                                                                                                         Other industries—and governments—are          Dubai has pledged to become a blockchain-
Inhabitants of a UNHCR Refugee camp - s focus for the                                                    also turning to blockchain technology. For    first economy by 2020, aiming to conduct
ID2020 project by Microsoft, Accenture, Fjord and Avanade.                                               instance, blockchain is being explored as     the majority of the Emirate’s business
                                                                                                         an enabler of peer-to-peer energy trading.    using blockchain. Meanwhile, Sweden
                                                                                                         It allows households that consume and         is adopting “smart contracts” powered
                                                                                                         also produce energy to buy and sell it        by blockchain for a land registry system.
                                                                                                         directly, with a high degree of autonomy      They are programmable contracts that
A blockchain can serve as an open, shared,                                                               and security.                                 self-execute when certain conditions are
yet secure database recording transactions                                                                                                             met, which streamlines an antiquated and

                                                                                                                                                                                                   In transparency we trust
between parties efficiently, verifiably                                                                  Blockchain will enable us to introduce        laborious process.
and permanently—a growing number of                                                                      an open platform to share data between
organizations are now starting to harness                                                                parties—including a car’s manufacturer,       Self-executing contracts represent a
these strengths. In fact, the volume of                                                                  owner, passenger, infrastructure providers    powerful example of a Living Service—a
investment in blockchain startups is                                                                     and insurers—which will be necessary if       new generation of contextually-aware and
expected to eclipse US$3 billion by the end                                                              we are to make autonomous driving viable.     indispensable services set to transform
of 2017.                                                                                                 For this reason, Jaguar Land Rover recently   and improve the way we live, brought
                                                                                                         announced it was backing UK start-up          about by harnessing a combination of
The best-known use of blockchain                                                                         DOVU, which is using blockchain to build a    technologies to deliver a new layer of
technology is bitcoin—the digital “crypto-                                                               global marketplace for transport data.        connected intelligence.
currency” which is transacted without
middlemen (banks), without transaction                                                                   In the public sector, Microsoft, Accenture,
fees, and without the need to give your                                                                  Fjord and Avanade recently worked with
real name. The price of bitcoin, now one                                                                 ID2020 to develop a global ID system
of a number of digital currencies, jumped                                                                powered by blockchain for use by 1.1bn
in value by 900% between January and                                                                     people in distressed situations without
November 2017.                                               Data source: Coindesk                       ID—such as refugees—to create a legal and
                                                                                                         permanent identity.

46                                                                                                                                                     47
What’s next?

                                                                                                                                 Platforms like FollowMyVote—a blockchain
                                                                                                                                 venture allowing for secure, anonymous
                                                                                                                                 voting, monitored in real time—are
                                                                                                                                 developing just this in the US. In South Asia,
                                                                                                                                 blockchain is being discussed as a powerful
                                                                                                                                 opportunity in a region where trust in
                                                                                                                                 financial institutions was already low—even
                                                                                                                                 before the 2008 financial crash.

                                                                                                                                 In collaboration with Thales, Accenture
                                                                                                                                 recently launched a blockchain-backed
                                                                                                                                 proof of concept to help defence enforce
                                                                                                                                 supply chain standards.

                                                                                                                                 UK advertiser The Marketing Group has
                                                                                                                                 launched Truth—the first global media
                                                                                                                                 agency powered by a blockchain-based
                                                                                                                                 trading desk to build a cleaner media
                                                                                                                                 supply chain with 100% transparency.

                                                                                                                                 Designing services and products with trust
                                                                                                                                 as their hallmark characteristic will bring
                                                                                                                                 new opportunities—but also challenges. It
                                                                                                                                 will require new language and techniques,

                                                                                                                                                                                  In transparency we trust
                                                                                                                                 and it will depend on people understanding
                                                                                                                                 what blockchain is, accepting its
                                                                                                                                 deployment and trusting it. Otherwise,
                                                                                                                                 blockchain’s potential to reverse the
                                                                                                                                 general crisis in trust will not be realized.

Organizations must act now to understand        Because blockchain enables anything to
and harness blockchain’s potential to           be traced to its origin with all additions    Image source, Spotify
deliver transparency and the role it can play   made visible along the way, it is now being
in rebuilding trust—between organization        explored as a way of addressing concerns
and customer, and between organization          about the integrity of elections and fears                            “Organizations must act now
and employee—as doing nothing risks a
further distancing between these parties
                                                about hacked votes.
                                                                                                                        to understand and harness
and, at worst, failure to connect and                                                                                   blockchain’s potential
compromised credibility.
                                                                                                                        to deliver transparency
                                                                                                                        and the role it can play in
                                                                                                                        re‑building trust.”

48                                                                                                                               49
“Organizations will need to
  prepare for an inevitable
  shift from ‘touch points’
  to ‘trust points’.”

                                                                                                    Fjord
                                                                                                    suggests

                                                                                                    01                                02                                    03
 Organizations will need to prepare for           Expect more leading organizations to invest
 an inevitable shift from “touch points” to       in blockchain following Spotify’s recent
 “trust points” as quality of trust rather than   acquisition of start-up Mediachain. Spotify
 quality of interaction provides competitive      needs to ensure it pays the right people          Act now                           Design for trust                      Open up for collaboration

                                                                                                                                                                                                                 In transparency we trust
 advantage. They must explore, too, how to        for every track that is played via its service.
 build trust through radical transparency.        This task grows harder as its user numbers        Take understanding blockchain     To earn trust, an organization        Despite significant investment,
 And at all times, their focus must be fixed      grow but it is also difficult because many        off the “too hard to do” list     must be transparent. It will          scaled implementation of
 on the human response to transparency,           of the billions of tracks played on Spotify       and educate yourself and your     be important to design new            blockchain technologies is slow
 without getting hung up on the technology        daily don’t have the proper metadata to           workforce (all employees, not     navigation systems that simplify      due to many industries’ wariness
 that can deliver it.                             ensure that the correct songwriters, artists      just those in technology roles)   complex business processes and        about privacy, governance,
                                                  or rights holders are tagged. This means          about its potential. Blockchain   demonstrate transparency. Once        protection and the high degree
 Expect new and innovative uses of                royalties may not be registered, or could go      is not just a “deep technology”   the trust crisis is addressed, we     of collaboration required to share
 blockchain technology such as Alice.si—a         missing. Spotify’s acquisition of Mediachain      phenomenon—it’s a game-           will see new services emerge,         and store data. Collaborate with
 UK service which uses blockchain to offer        is designed to address this need.                 changer.                          which will capitalize on far deeper   trusted partners to maximize
 charity donors the option to track their                                                                                             levels of trust.                      blockchain’s potential.
 donations, and which keeps funds secure
 and releases them only when a chosen
 charity’s goals are achieved.

 50                                                                                                                                                               51
Trend 06

     The ethics
     economy

                Organizations have started to take political stances
                on issues of general concern and, over the coming
                year, this will grow more commonplace—driven by
                customers’ and employees’ accelerating expectations.
                No organization will be able to afford to sit back and
                claim to be neutral. Navigating this new territory
                successfully starts with preparing to have every
                action (and inaction) closely scrutinized and used as
                a differentiator for customers choosing between two
                otherwise comparable options.

52                                    53
What’s going on?

                                                                                                                      “Companies are nothing
                                                                                                                        more than a collection of
                                                                                                                        people. So, by extension,
                                                                                                                        all companies should
                                                                                                                        have values.”
                                                                                                                      - Tim Cook.

                                                                                           San Francisco Pride week
Apple CEO Tim Cook explained in               His sentiment neatly highlights the new
September 2017 why he has openly              environment in which organizations now

                                                                                                                                                            The ethics economy
campaigned for gay marriage and opposed       find themselves and how they must prepare
religious freedom laws, despite a tradition   to best meet evolving employee and
of US corporate leaders keeping their         customer expectations in the year ahead.
political views to themselves.
                                              Until now, it has been enough for an
“People should have values,” he said.         organization to be reactive. As customers,
“Companies are nothing more than a            we wanted brands to make us feel like we
collection of people. So, by extension, all   were making good choices, so Patagonia,                                       Tim Cook: Image source, Apple
companies should have values. As a CEO,       The Body Shop, shoe brand TOMS and
I think one of your responsibilities is to    others like them helped us to feel like we
decide what the values of your company        were being responsible.
are, and lead accordingly.”

54                                                                                                                                   55
More recently, customers have demanded
 brands do the right thing—quickly owning
 up when they make a mistake, for example.
 Inaction is dangerous, as shown by the
 backlash against United Airlines when it
 failed to quickly apologize for mistreating
 a passenger when removing him from
 a flight.

 Organizations responded because they
 feared losing business, and they started to
 recognize that customers hold the power
 to build or tear down brands with their
 spending behaviors and online actions.
 Consider the power of hashtags. In the past
 12 months, individuals and organizations
 have been sent into a spin by the significant
 consequences of their ethical decisions,
 made widespread by prolific social
 media campaigns.

 Public scrutiny is the new normal, and
 social media has become a volatile and
 intimidating platform where brands can
 respond to current affairs. The public’s
 mood can change fast—and share prices
 impacted accordingly.

“Organizations                                                                         The financial app Triggers, which notifies      Across the board, consumers and

  responded because                                                                     investors of micro news events that impact
                                                                                        stock value, is just one example that shows
                                                                                                                                        employees now expect to be able to make
                                                                                                                                        their voices heard in bigger decisions. More
  they feared losing                                                                    how deeply companies are affected by            importantly, they expect organizations to

  business, and they                                                                    seemingly minor everyday affairs.               listen without being asked.

  started to recognize                                                                  While being reactive was previously             A growing number of organizations are

                                                                                                                                                                                       The ethics economy
  that customers                                                                        enough, customers and employees now
                                                                                        expect brands to proactively represent their
                                                                                                                                        meeting this demand in a variety of ways,
                                                                                                                                        including taking a stand further away from
  hold the power                                                                        ideologies and bring their ethical beliefs to   home. For example, in response to the

  to build or tear                                                                      life across a broader canvas of issues and
                                                                                        concerns. This has coincided with a decline
                                                                                                                                        devastation wrought on Puerto Rico by
                                                                                                                                        Hurricane Maria, Tesla sent giant batteries
  down brands.”                                                                         in people’s trust and faith in governments,     coupled with solar panels. These batteries
                                                                                        which has created an opportunity for            can store solar energy for use day and night
                                                                                        organizations to step up in opposition to       and as such, allowed workers to begin to
                                                                                        controversial policy.                           rebuild the infrastructure—a move that
                                                 Tesla recently sent giant batteries,                                                   went beyond the kind of disaster relief aid
                                                 coupled with solar panels, to Puerto                                                   we are used to seeing.
                                                 Rico, in response to the Hurricane
                                                 Maria devastation.

 56                                                                                                                                     57
What’s
                                                                           next?

                                                                           John Lewis recently got rid of ‘Boys’
                                                                           and ‘Girls’ labels in children’s clothing.

A growing number of organizations are         “Taking a stance in 2018                           Taking a stance in 2018 will not—and          Two great examples of the way ahead can
making their ethics clear across a range of
issues by spelling them out in manifestos
                                                will not–and cannot–be                            cannot— be about charity, corporate
                                                                                                  social responsibility or damage limitation.
                                                                                                                                                be found in retailing. British department
                                                                                                                                                store John Lewis recently decided to
distributed to employees. For example,          about charity, corporate                          Nor can it be about organizations being       retire “boys” and “girls” labels in children’s
Facebook co-founder and CEO Mark
Zuckerberg recently wrote and distributed
                                                social responsibility or                          reactive, taking action only after concerns
                                                                                                  are voiced.
                                                                                                                                                clothing—not due to public pressure, but
                                                                                                                                                simply because it believed this would
a 6,000-word outline of Facebook’s              damage limitation.”                                                                             be a good thing for gender equality
role in everything from promoting civic                                                           Instead, it must be about organizations       and diversity.
engagement to combating global crises.                                                            being proactive and drawing a line in
                                                                                                  the sand on one or more of the many           IKEA has committed to employing
In our 2017 trend Unintended                                                                      issues now concerning their customers         refugees at production centres in Jordan
Consequences, we highlighted the need for                                                         and employees.                                as part of a long-term plan to create

                                                                                                                                                                                                 The ethics economy
organizations to confront the unexpected                                                                                                        employment for 200,000 disadvantaged
impacts of their products and services,                                                           Forward-looking organizations are already     people around the world through social
business strategies and actions. Within                                                           interrogating themselves and their business   entrepreneurship programs.
just one year, a new paradigm has become                                                          practices to understand their own actions
clear: organizations can no longer claim                                                          (good and bad), and also to consider events   Over the year ahead, organizations and
to be neutral or unaware. They must be                                                            beyond their immediate realm so that they     design consultancies must ask themselves
proactive, identify and understand their                                                          can make informed decisions on when and       some hard questions if they are to meet
position on a broad range of issues—before                                                        how to take a stand.                          their employees’ and customers’ ethical
they are forced to take a stand.                                                                                                                expectations. How does a company please
                                                                                                                                                everyone on topics that have been taboo or
                                                                                                                                                never discussed on a massive scale? How
                                                                                                                                                far should companies go in responding to

58                                                                                                                                              59
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