Exports from Vietnam to the United States have grown significantly since America’s trade war with China began in 2018. At the same time, Vietnam has been importing more Chinese goods. This has led many to question: is “Made in Vietnam” really “Made in China"? Not as much as the public would think, say Ebehi Iyoha and Jaya Wen, assistant professors at Harvard Business School. By one broad measure of products,…
Digitization, rapid advancements in AI technologies, and slower gains in power usage efficiency have significantly escalated the demand for data centers, with major implications for global power market dynamics. In Europe, demand for data centers is expected to grow to approximately 35 gigawatts (GW) by 2030, up from 10 GW today. To meet this new IT load demand, more than $250 to $300 billion of investment will be needed in…
Indonesia, which has tens of thousands of islands and archipelagos, has been known for hundreds of years as a maritime country. Indonesia's geographical position in the tropics, located at the crossroads between two continents (Asia and Australia), and two oceans (Indian and Pacific), certainly has economic potential and presents strategic opportunities related to the development of the marine industry which, if explored, can become a national economic strength. The commitment…
If you have an ambition but no plan behind it, you’re probably not going to get the results you’re looking for. According to recent McKinsey research on the UK economy, the highest-performing UK companies have grounded their ambitions in a set of five conditions—looking at investors, incentives, sources of growth, partnerships, and people. And the results speak for themselves. On today’s episode of The McKinsey Podcast, senior partners Andrew Goodman and Tunde…
Topics Column Our expert columnists offer opinion and analysis on important issues facing modern businesses and managers. More in this series Patrick George/Ikon Images Purposeful play is a critical behavior for executives facing disruptive change. In good old-fashioned play, the goal isn’t to win or lose. It isn’t to achieve against an objective standard. It’s to have fun. To experiment with different approaches. To see what feels good and what…
What You Need to Know: Governor Newsom recently signed new laws – SB 1105 and AB 2499 – which extend and clarify employees’ available reasons for use of California paid sick leave (PSL). The changes go into effect on January 1, 2025. As we previously detailed, at the end of California’s 2023 legislative session, the legislature significantly expanded the state’s Healthy Workplaces, Healthy Families Act of 2014 (HWHFA), primarily by…
Quick Hits As Election Day—Tuesday, November 5, 2024—draws near, employers are considering their leave obligations. Various state, local, and municipal election-related laws have implications for multistate employers’ compliance plans. Notice posting and political speech laws also have implications for employers’ compliance plans. Leave Obligations There are three key issues employers may need to address when considering voting and election leave—posting notices, types of leave, and requests for leave. Posted Notices…
To grasp the future of business, look to AI-native organizations: from processes to products, these companies are infusing every facet of their operations with AI. In a previous newsletter, I wrote about common ways that AI natives work differently. Today I’m zooming in on one company I find particularly compelling: Supernatural AI, a 30-employee creative agency that’s inventing a more efficient, strategic way of doing business. Founded in 2021, Supernatural…
Millions of Americans, from hourly retail staffers to corporate vice presidents, wrestle with the demands of work while parenting young children, caring for a sick spouse or aging parent—or both.That juggling act is made even tougher by rigid practices and rules set by employers, such as inflexible or unpredictable work schedules, and employers’ failure to grasp how employees are struggling and to provide them with support, according to a new…
This transcript has been lightly edited for clarity.What keeps capital project leaders awake? Ishaan Nangia: What we hear consistently from capital project leaders is that there is a huge amount of value attached to their capital management system. Between 2022 and 2027, about $130 trillion of capital will be spent, and that’s almost a 70 percent increase compared with the previous five years. Our research suggests that most large capital…
Thirty years ago, I graduated from college, got my first job in software sales and was given three things: a $1 million quota, a CRM and a (desk) phone. Fast forward to 2024, that same new graduate entering software sales would get the same $1M quota. But he’d also get a mobile phone, a CRM, an avalanche of tools like LinkedIn for social selling, Slack for internal collaboration, DocuSign for…
A review of the last few quarters, in which economic activity has slowed while continuing to grow Economic activity continued to grow in France in second-quarter 2024 but slowed slightly, up 0.2% in volume (qoq) after a 0.3% increase in the first quarter. However, the drivers of this growth proved rather disappointing, with foreign trade and government spending once again playing the starring role. In contrast, household consumption expenditure struggled…
Political and business media, pundits, and experts continue to cite prediction market odds as a credible forecast for the upcoming presidential election, regularly pointing to betting odds on prediction markets such as Polymarket, Kalshi, PredictIt, and Interactive Brokers as a guide to who is up and down in the horse race—but that is a big mistake. It appears few journalists, pundits and experts have dug deep into how these prediction…
Philip G. Zimbardo, one of the world’s most renowned psychologists, died Oct. 14 in his home in San Francisco. He was 91. Broadly, Zimbardo’s research explored how environments influence behavior. He is most known for his controversial 1971 study, the Stanford Prison Experiment, with W. Curtis Banks, Craig Haney, and David Jaffe. The study, intended to examine the psychological experiences of imprisonment, revealed the shocking extent to which circumstances can…
24 October 2024By Matthias RumpfPeople have tended to be quite hesitant to trust banks abroad. That seems to be changing. In a post featuring interactive charts for you to explore, The ECB Blog shows that cross-border bank deposits of private households have picked up recently. To what extent are euro area households making use of cross-border deposits? Are households in smaller countries more likely to open accounts abroad and, if…
Latest research has revealed a “positive association” between the number of properties listed as Airbnb rentals and police-reported robberies and violent crimes in thousands of London neighbourhoods between 2015 and 2018.In fact, the study led by the University of Cambridge suggests that a 10% increase in active Airbnb rentals in the city would correspond to an additional 1,000 robberies per year across London.* Urban sociologists say the rapid pace at…
Rising uncertainty surrounding future electricity demand could affect Europe’s energy transition and power infrastructure investment plans. Governments and system operators have projected that power demand in major European countries could increase by as much as 7 percent per year to 2030 after two decades of relative stagnation. In McKinsey’s Global Energy Perspective 2024 report, the Continued Momentum scenario projects growth to be only slightly above 2 percent CAGR. Further McKinsey…
Two incidents involving the detonation of communication devices, the liquidation of the Hezbollah Secretary General, and the IDF's operation Northern Arrows most aptly reflect the situation on the Lebanese-Israeli border over a period of just over a month. Against this background, the "historic" agreement on the demarcation of the maritime border, signed two years ago and designed to pave the way for reconciliation between the two warring states, has remained…
At a glance Arenas are a unique category of industries defined by two characteristics: high growth and dynamism. They capture an outsize share of the economy’s growth, and the market shares of players within them change to an outsize degree. We have identified 18 potential arenas of the future that could reshape the global economy, generating $29 trillion to $48 trillion in revenues by 2040. These arenas range from AI…
Topics AI in Action This column series looks at the biggest data and analytics challenges facing modern companies and dives deep into successful use cases that can help other organizations accelerate their AI progress. More in this series Carolyn Geason-Beissel/MIT SMR | Getty Images USAA, a 102-year-old financial services company with a strong focus on military-affiliated and veteran customers (whom the company refers to as “members”), is not new to…
Quick Hits On November 1 and November 2, Mexico celebrates Día de Muertos, but this festivity is not considered under the FLL as a mandatory holiday. Under certain circumstances, November 1 and/or November 2 can be deemed as mandatory rest days. Día de Muertos Is Not a Mandatory Holiday As mentioned above, November 1 and/or November 2 are not established in Article 74 of the FLL as mandatory holidays that…
Writing in the journal Science Robotics, the research team, led by the University of Cambridge, outline how ‘palaeo-inspired robotics’ could provide a valuable experimental approach to studying how the pectoral and pelvic fins of ancient fish evolved to support weight on land.“Since fossil evidence is limited, we have an incomplete picture of how ancient life made the transition to land,” said lead author Dr Michael Ishida from Cambridge’s Department of…
If you’ve ever been bothered by the feeling that your friends have more robust social lives than you do, you’re not alone. Lots of people feel that way, and, mostly, they—and you—are right. For decades, social scientists have recognized what’s known as the friendship paradox, which says that on average, the friends of any given individual have more friends than the individual does. But even if the phenomenon isn’t good…
Quick Hits Key steps for managing a data breach incident include understanding what constitutes an incident, applying the organization’s framework and policies, and effectively communicating with the organization’s privacy officer and employees. Additional measures include promptly and proactively managing data breaches and reviewing and updating policies. The effectiveness of HR’s response to a breach of employee data can greatly influence employees’ confidence in the organization’s commitment to data privacy. 1.…
Many consider Sir David Attenborough to be a national treasure, loved for his engaging nature documentaries. Unfortunately, criminals exploited his popularity when they used his likeness to promote an investment scam. According to NatWest, an image of Attenborough appeared on a social media advert, claiming that he earned £125,000 every month from his investments. Unsuspecting members of the public were invited to invest their own wealth in the same products,…
Brazil is hosting the G20 Summit for the first time this year, a role that will allow it to lead the discussion on critical global issues. High on the agenda at this year’s summit, held in Rio de Janeiro on November 18 and 19, is the challenge of climate change and the capital-intensive energy transition required to reduce greenhouse gas emissions (GHG) that are contributing to it, as agreed in…
What is BRICS? In terms of ‘what it is’, Russia has demonstrated consistency in its rhetoric over the years, only refining the descriptive vocabulary it uses but not the definition itself. From its start in 2009 until 2023, BRICS has been presented as a natural and organic manifestation of the multipolarisation process the world is understood to be going through. Since its conception, the group has mainly devoted itself to…
Leading a global organization in today’s fragmented world is difficult—perhaps more difficult than ever. Since the outbreak of COVID-19 and the acceleration of geopolitical tensions, leadership teams have faced an increasing number of uncertainties and disruptions. These include the sudden emergence of upending technologies, such as generative AI; the energy transition; and a global workforce seeking more autonomy, empowerment, flexibility, and mobility. There is a compounding and interconnected effect across…
Jing Jing Tsong/theispot.com It’s been said that we hire for competence and fire for character. Consider Boeing, which has been brought low by poor leadership decisions that have severely compromised its planes’ quality and safety, and hence public trust, forcing its CEO to announce a year-end departure. And yet the debate about who should be the next CEO of the troubled airplane manufacturer has centered on the merits of engineers…
Quick Hits The November 2024 Visa Bulletin shows no change from last month’s bulletin for employment-based categories for both final action dates and dates for filing, except for fourth preference for Certain Religious Workers. USCIS will honor dates for filing for I-485 Adjustment of Status applications filed in November 2024. USCIS recently confirmed that the annual limit for fiscal year (FY) 2025 will be higher than pre-pandemic numbers but lower…
Learn how using Azure OpenAI Service in higher education can help leaders reimagine learning models and reduce administrative burdens. Imagine a future where every student has a personalized learning path, where faculty can focus on teaching instead of administrative tasks, and where academic research accelerates breakthrough discoveries. This is not a distant vision—generative AI is making it possible today. AI-driven innovations empower higher education leaders to reimagine learning models, reduce…
In this episode of The Committed Innovator, McKinsey innovation leader Erik Roth speaks with the founder, president, and medical director of the Child Mind Institute in New York City, Dr. Harold Koplewicz. At a time of increasing concerns globally about child and adolescent mental health, the organization is working to use advanced imaging technologies and AI to help revolutionize diagnosis and treatment of psychiatric illness and psychological and learning disorders.…
Quick Hits The Maryland Department of Labor released FAQs regarding the state’s Wage Range Transparency Act, which took effect on October 1, 2024. The law applies to remote jobs for companies headquartered elsewhere if the employer seeks workers based in Maryland. Employers that do not handle their own job postings are still required to comply with the law. This article outlines some of the key points concerning the act for…
The expansion of BRICS in 2024 has undoubtedly increased Africa’s weight in international affairs and contributed to the ongoing discussion on the complexities of multipolarity. The development of strategic and commercial ties between BRICS and Africa also reflects the pragmatic interest in the continent on the part of major powers and old members of the group – China, India, Brazil and Russia. How the objective strengthening of the continent’s global…
1. K.E. Brink and R.D. Costigan, “Oral Communication Skills: Are the Priorities of the Workplace and AACSB-Accredited Business Programs Aligned?” Academy of Management Learning & Education 14, no. 2 (June 2015): 205-221. 2. K.E. Brink and R.D. Costigan, “Development of Listening Competence in Business Education,” Current Opinion in Psychology 50 (April 2023): 1-9; and A.N. Kluger, M. Lehmann, H. Aguinis, et al., “A Meta-Analytic Systematic Review and Theory of the…
Our first Pulse Report In the rapidly evolving landscape of Generative AI (GenAI), businesses are eager to harness its potential, with bold ambitions to scale alongside advancing technologies. But the question remains: can organisations keep pace with their own aspirations? Download the full report below. Reading time: 2 minutes Our first Pulse Report delves into this pressing issue. While companies are setting ambitious targets for GenAI initiatives, they are also…
Quick Hits Effective October 10, 2024, private employers must comply with the county’s Fair Chance Ordinance, which restricts the timing and use of criminal history in employment decisions. The ordinance applies to positions that involve performing at least two hours of work on average each week within the unincorporated areas of the county. Employers may not inquire about an applicant’s criminal history before making a conditional job offer, and must…
1 Internal CSS experiment conducted by Microsoft; 600 participants using Copilot Q&A function, Azure Core team; Nov. - Dec. 2023. These results are statistically significant at the 95th percent confidence interval. 2 Internal Microsoft sales team data based on 687 sellers of Microsoft 365 Copilot from Jan. - June 2024, as compared with sellers with low usage of Copilot. Regular usage of Copilot means sellers who use Copilot daily at least 50% of…
When science fiction writer Neal Stephenson dreamed of the metaverse—a term he coined in his 1992 novel Snow Crash—he envisioned a long city street that’s “always garish and brilliant, like Las Vegas freed from constraints of physics and finance.”While Las Vegas certainly isn’t known for its constraints, Stephenson believed a digital world could be truly limitless. Chatter about the metaverse peaked in late 2021, almost three decades after Stephenson’s novel…
It is difficult to find any similarities between Donald Trump and Kamala Harris in this heated electoral race. But there is one area in which there is a surprising amount of agreement: the need for the federal government to play an active role in encouraging investment in U.S. manufacturing. This bipartisan consensus reflects a growing trend among economists and experts, who are now revising the unfettered free-trade and laissez-faire attitudes…