For those of us who live and work in big cities – well over half the world’s population today, a figure projected to increase to 70% by 2050 – metro railways are an ever-present part of daily life. Today there are 148 cities with metro operations carrying over 150 million passengers per day, with about one-third in Asia, one-third in Europe, and the rest split between the Americas, the Middle East and Eurasia. Metros are critically important assets for the world’s cities in order to meet the huge challenges of maintaining urban mobility in the coming decades. In this article, Rick Eagar, Russell Pell and Philip Webster discuss the five key challenges for urban railways to meet future mobility needs.
Banks and insurance companies that are able to transform themselves will be well placed to benefit from digitalisation. However, most companies remain unprepared. According to a 2015 pan-European survey by Arthur D. Little, financial institutions are less adapted to digitalisation than the cross-industry average. Although most companies have undergone considerable investments in order to update their IT capabilities and architecture, other key functional aspects are lagging behind, organisation being one of the most critical ones. In this article, Alejandro Gonzalez, and Pedro Fernández of Arthur D. Little explain how financial institutions can transform to ride the digitalization wave.
It is becoming clear that in order to stay relevant in the future healthcare ecosystem, pharma companies must look to business models that foster much more direct patient engagement than previously. New methods offer significant potential in increasing the quality and efficiency of care. In this article, Ulrica Sehlstedt, Nils Bohlin, Fredrik de Maré and Richard Beetz from Arthur D. Little explain how digital health solutions can solve the major long-term issues of pharma’s most important client groups – patients, providers and payers – all at the same time.
Many of the highest-cost and technically most complex oil and gas development projects, including remote and deep-water fields, are still deferred or cancelled as their economic outlook remains poor. This presents international oil companies with an increasing reserves-replacement challenge that the largest national oil companies do not face, or at least not in the same way. In this article, Stephen Rogers and Ondrej Sanislo from Arthur D. Little, explain why low prices may drive persuasive structural changes in upstream oil and gas.
The meltdown at Fukushima in 2011 has not deterred all nations from building new nuclear plant. According to the World Nuclear Association 31 countries around the world still have plans for new reactors – 65 (representing nearly 70 GWe) are under construction, 173 (182.42 GW) are on order or planned and 337 (379.2 GW) are proposed. In this article, Michael Kruse of Arthur D. Little is quoted as saying: “Since market prices and LCOE are very close, the risks of building a nuclear power plant that is not profitable is very high. Since the market prices are very uncertain at present, it is difficult to justify the investment without any kind of guarantees.” At Hinkley EDF is guaranteed an off-take price of £92.50/MWh for 35 years, giving EDF sufficient stability in its business case, yet it still hesitates in making its FID. “This,” said Kruse, “shows how difficult it is to enter into an investment, which will cover a lifetime of 60 to 80 years.”
Relationships with third parties can create substantial risk, especially in sectors where companies critically depend on them. It is not unusual for a contract value to be passed on to these third parties. However, companies can take steps to mitigate, manage and even create value from this situation as John Barker, Stephen Watson and Javier Serra from Arthur D. Little explain in this article.
Android Pay launches today and it's the latest example of change in financial services. Digital transformation is turning banks and insurance companies upside down. It's changing how they interact with clients, the products they offer, how they operate internally, and create value for their shareholders. For more of an insight, Alejandro González, one of the authors of the research paper 'Defining the digital organization', joined Share Radio Morning Money.
The business model of the pharmaceutical industry is being transformed by digital health. It will significantly extend current business models, or even create completely new ones for the industry. In order to implement innovative solutions ahead of new entrants, pharma companies will need to undergo major transformation programs and convert three completely different value chains: pharma, medical devices for measuring health parameters, and IT solutions to process and connect data. In this article, Ulrica Sehlstedt, Nils Bohlin, Fredrik de Maré and Richard Beetz of Arthur D. Little discuss how pharma companies can get ahead of disruptive innovations and thrive in the digital world.
Innovation has always been one of the foundations for success in the pharmaceutical industry. While the sector has been very good at developing innovation from scratch or incremental innovation of existing products, it now faces an ultimately differently challenge - dealing with disruptive innovation that is driven by inventions outside the healthcare sector. New players from the digital arena are currently redefining the way the industry works. In this article, Ulrica Sehlstedt, Nils Bohlin, Fredrik de Maré and Richard Beetz of Arthur D. Little discuss how digital is reshaping the pharma arena.
The pharma industry today is facing a complex and difficult situation. Digitizing industries are entering the healthcare market with innovations that have the potential to change the way healthcare is provided to people. Customer groups demand the same level of digital services that they experience in other sectors. Beyond that, practitioners and payers expect solutions that use digital innovation to drive efficiency and increase the quality of healthcare service provision. Pharma companies face a situation in which parts of its business may be disrupted by new market entrants, whereas other areas will be suited to a traditional business model for many more years. In this article, Ulrica Sehlstedt, Nils Bohlin, Fredrik de Maré and Richard Beetz of Arthur D. Little, outline the nature and origins of the disruptive pressure on the pharmaceutical industry and how companies should transform themselves to respond to the challenges and opportunities arising from this new era of digitalization.