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Technology

Re-launching Transatlantic Partnership 2020 - The Digital Dimension

Date of Editorial Board meeting: 
Publication date: 
Thursday, February 15, 2018
Abstract in English: 
Accelerating digital transformation on both sides of the Atlantic and around the world has unquestionably become the single most powerful underlying driver of change across our societies and economies. No community, no sector, no sphere of human endeavour is immune, and there is no opting out. Moreover, we are just at the beginning of the real-world digital revolution. There can therefore be no decisive progress toward a fully functioning XXIst century partnership between the United States and Europe (of the sort first envisioned by TPN 25 years ago) without a common - or at least interoperable - “digital transformation” policy framework.
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13
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EIB Working Papers 2018/07 - Young SMEs: Driving Innovation in Europe?

Date of Editorial Board meeting: 
Publication date: 
Friday, September 21, 2018
Abstract in English: 
Using large scale EIB Investment Survey evidence for 2016 covering 8,900 non-financial firms from all size and age classes across all sectors and all EU Member States, we identify different innovation profiles based on a firm’s R&D investment and/or innovation activities. We find that “basic” firms – i.e. firms that do not engage in any type of R&D or innovation – are more common among young SMEs, while innovators –i.e. firms that do R&D and introduce new products, processes or services- are more often old and large firms. This hold particularly for “leading innovators”, ie those introducing innovations new to the market. To further explore why young SMEs are not more active in innovation, we explore their access to finance. We confirm that young small leading innovators are the most likely to be credit constrained. Grants seem to at least partly addressing the external financing access problem for leading innovators, but not for young SMEs.
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26
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More European, More Connected, More Capable: Building the European Armed Forces of the Future

Date of Editorial Board meeting: 
Publication date: 
Wednesday, November 29, 2017
Abstract in English: 
Europe’s security environment has deteriorated in the last few years. New threats include a more aggressive Russia, instability in Eastern Europe, the Middle East, and Africa, and cyberthreats from hostile governments and nonstate actors.
The United States is sending mixed signals about continuing the high level of military support it has provided for Europe in the past decades.
Adding to the challenge, Europe’s defense capabilities have declined. Equipment inventories have been reduced to critical levels across most weapons categories, and many systems are outdated. Austerity and an increase in missions abroad have reduced the readiness of Europe’s forces; in many countries, up to half of military equipment, from infantry vehicles to helicopters, is not available at any one time.
Europe’s fragmented approach to defense exacerbates the situation: Europe has six times more types of major weapon systems than the US. In many European defense projects, countries put the interests of their national industries ahead of European capability building, military cooperation, and interoperability.
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48
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The Digital Enterprise: moving from experimentation to transformation

Date of Editorial Board meeting: 
Publication date: 
Tuesday, September 18, 2018
Abstract in English: 
While enormous resources are being spent on digital transformation programs by the private sector, the results are underwhelming. According to estimates, this year over $1.2 trillion will be spent by companies worldwide on their digital transformation efforts and yet analysis suggests that only 1% of these efforts will actually achieve or exceed their expectations. The Digital Enterprise: Moving from experimentation to transformation is a practical guide on how to envision, structure, and sequence successful digital transformation efforts. It is an effort by the World Economic Forum, in collaboration with Bain & Company, to help senior executives avoid common patterns of failure and ask the right questions.
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46
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Harnessing the Fourth Industrial Revolution for Water

Date of Editorial Board meeting: 
Publication date: 
Tuesday, September 25, 2018
Abstract in English: 
As part of the Harnessing the Fourth Industrial Revolution for the Earth series, this paper explores the opportunity for advanced technology to help address global water and sanitation challenges. The Fourth Industrial Revolution technologies have the potential to assemble more complete, current and accessible information on water supply and demand. Satellite imagery and other earth observation tools are delivering profound new insights on water supply in parts of the world where conventional ground-based methods to measure water supply are not feasible or practical.
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26
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The future of retail banking: Platforms will increasingly occupy the customer interface

Date of Editorial Board meeting: 
Publication date: 
Wednesday, August 15, 2018
Abstract in English: 
The platform economy is revolutionizing the banking sector – technology providers and FinTechs are increasingly occupying the customer interface. Retail banks must reposition themselves: Instead of the mostly universal business model they operate now, they need to decide where their future focus will lie. Will they be relationship expert, product expert or technology provider?
Online platforms reach millions of people, enabling more and more products and services to find their way to the customer. This also applies increasingly to financial products, where platform operators are becoming serious competition for retail banks. Thus, banks face a fundamental decision: Do they position themselves in the future at the customer interface and actively design platforms or should they focus on primarily being product providers? Currently most banks are busy digitalizing their existing business model – without any sign of real innovation.
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28
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Structural Transformation in the OECD - Digitalisation, Deindustrialisation and the Future of Work

Date of Editorial Board meeting: 
Publication date: 
Friday, September 30, 2016
Abstract in English: 
In tandem with the diffusion of computer technologies, labour markets across the OECD have undergone rapid structural transformation. In this paper, we examine i) the impact of technological change on labour market outcomes since the computer revolution of the 1980s, and ii) recent developments in digital technology – including machine learning and robotics – and their potential impacts on the future of work. While it is evident that the composition of the workforce has shifted dramatically over recent decades, in part as a result of technological change, the impacts of digitalisation on the future of jobs are far from certain. On the one hand, accumulating anecdotal evidence shows that the potential scope of automation has expanded beyond routine work, making technological change potentially increasingly labour-saving: according to recent estimates 47 percent of US jobs are susceptible to automation over the forthcoming decades. On the other hand, there is evidence suggesting that digital technologies have not created many new jobs to replace old ones: an upper bound estimate is that around 0.5 percent of the US workforce is employed in digital industries that emerged throughout the 2000s. Nevertheless, at first approximation, there is no evidence to suggest that the computer revolution so far has reduced overall demand for jobs as technologically stagnant sectors of the economy – including health care, government and personal services – continue to create vast employment opportunities. Looking forward, however, we argue that as the potential scope of automation is expanding, many sectors that have been technologically stagnant in the past are likely to become technologically progressive in the future. While we should expect a future surge in productivity as a result, the question of whether gains from increases in productivity will be widely shared depends on policy responses.
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53
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Future Shocks and Shifts: Challenges for the Global Workforce and Skills Development

Date of Editorial Board meeting: 
Publication date: 
Monday, April 24, 2017
Abstract in English: 
This report presents evidence on the expanding scope of automation. After three decades of a secular decline in middle-income jobs, the bulk of low-skilled and low-income workers are now for the first time susceptible to computerization. Meanwhile, skilled jobs remain relatively resilient to recent trends in technology. In particular, workers with extraordinary social and creative skills will still remain in the workforce in 2030.
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34
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Boosting productivity and preparing for the future of work in Germany

Date of Editorial Board meeting: 
Publication date: 
Friday, August 17, 2018
Abstract in English: 
This paper reviews policies to strengthen Germany’s productivity growth and prepare for changes in labour markets brought about by new technologies. This paper also discusses how social protection and the bargaining framework should be reformed for the future of work. Germany enjoys a relatively high labour productivity level but productivity growth has been modest in recent years. There is room to boost productivity growth by accelerating the diffusion of new technologies throughout the economy. Vigorous entrepreneurship and innovation by small and medium enterprises are key for such technology diffusion while strong broadband and mobile networks widen the scope of data-intensive technologies that can be exploited to increase productivity. Widespread use of new technologies will bring about significant changes in skill demand and work arrangements. As in many countries, Germany saw a decline in the share of middle-skilled jobs in employment. A relatively high share of jobs is expected to be automated or undergo significant changes in task contents as a result of technological change. New technologies are also likely to increase individuals engaging in new forms of work, such as gig work intermediated by digital platforms. Such workers are less covered by public social safety nets such as unemployment insurance than regular employment.
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39
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New technologies and 21st century children - Recent trends and outcomes

Date of Editorial Board meeting: 
Publication date: 
Monday, September 17, 2018
Abstract in English: 
This paper provides a synthesis of the literature on and recent trends in new technologies and its effect on 21st century children (0-18 years old). It begins by providing an overview of recent trends in the access and use of new technologies as well as a summary of online opportunities and risks. It then explores a variety of factors, including economic, social and cultural status which underlie these trends and lead to online and offline inequalities. Building digital resilience is an important skill for 21st century children. Effective strategies to accomplish this include encouragement of active rather than passive Internet use, e-safety in the school curriculum, and teacher and parental Information and Communication Technology (ICT) support. A focus on younger children (primary school or younger) and the effects of new emerging technologies would be helpful for future research.
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61
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