ANDRE Bodson, VP HP, said he was thrilled to experience the excitement of a country that stood at the crossroads of reform during his recent visit to Saudi Arabia. “In his Vision 2030, Crown Prince Muhammad Bin Salman, deputy premier and minister of defense, outlines an admirable campaign of transformation of the country's public services, infrastructure and economy as it pivots towards a post-oil future. The Kingdom's aim to build a global investment hub in the heart of the Arab and Islamic worlds is underpinned by a striking sense of optimism for the future, a firm understanding that the world is changing faster than ever before, and some enticingly bold proposals for how to cement the future success of the nation, Bodson said.

“At HP, we share the same appreciation that what got us here today, won't be what gets us where we want to be tomorrow. We embrace and never fear change, which is why we track four megatrends shaping the planet, our society and the global economy, and pin our strategy against these changes. Interestingly, these trends are each clearly addressed within Saudi Arabia's National Transformation program — its road map of initiatives identified by each government agency to help achieve the Kingdom's Vision 2030...”

They are:

Rapid Urbanization: By 2030 there'll be 8.5 billion people walking the earth. They will be drawn to cities in massive numbers for the promise of a better life. According to McKinsey, by 2025, urbanization will welcome an additional 1.8 billion consumers to the world economy, 95 percent of them in emerging markets. More than four fifths (83 percent) of Saudi Arabia's rapidly growing population already live in the country's massive cities. And with the population forecast to reach more than 39 million by 2030 — an increase of 24% from 2015 — the Kingdom is constructing entirely new megacities, such as the King Abdullah Economic City — the world's first publicly listed city. Importantly, the National Transformation program outlines objectives for sustainable and balanced urban development to improve the quality of life in cities, and enhance what it describes as their 'livability'.

Changing Demographics: Within a few years, the 2.6 billion ‘Generation Z’ globally will be in the workplace, and they’re a very different breed. Growing up online and acutely aware of global issues and challenges, 77 percent of Gen Z believes doing good should be a central part of their daily work. At the other end of the spectrum, more countries are becoming 'super-aged', which means more than 20 percent of their population is over the age of 65. Indeed, the Saudi population is aging at a faster rate than the Middle East and Africa average, and its median age will be nine years higher by 2030. A shrinking and aging workforce places strain on economies, government spending and healthcare, and Saudi Arabia is preparing carefully for this eventuality, outlining bold reforms for healthcare and wider public service provision, including the digitalization of government services.

Hyper Globalization: As HP's CTO Shane Wall outlined at CES at the start of this year, our lives and work are increasingly interconnected globally. Formerly isolated challenges and opportunities scale with connectivity, amplifying both. When everything from technology and people to industries and governments is connected, digital platforms and ecosystems reign supreme, with digital security becoming more important than ever. Saudi Arabia is clearly seeking to capitalize on the opportunity of greater global connectivity, planning to improve the local business environment to attract the best talent and investments from around the world. But the country must remain focused on the ever-growing global cyber security threat, building cyber resilience deep into the IT infrastructure and devices used by government, companies and the public across the Kingdom.

Accelerated Innovation: The pace and breadth of innovation continues to accelerate. This pace is exponential, not linear. In ten years’ time, your smartphone won’t be 10 times more powerful, but 1 billion times more powerful. As new technology components mature and become commoditized, they transform into the building blocks for new breakthroughs. Emerging technologies like machine learning, the Internet of Things and 3D printing harness advancements in computing power, connectivity and immersive computing to deliver richer experiences. Saudi Arabia has a huge opportunity to take advantage of new and emerging technologies, not least by leading the digitalization of manufacturing through early adoption of 3D printing. This opportunity is not lost on the Saudi authorities, who have outlined plans to develop the country's IT sector, supporting local emerging tech companies, creating an attractive environment for international tech investment and boosting tech entrepreneurship. Additionally, the Kingdom is investing in education of the next generation, to better align the knowledge and skills of its workforce with the future needs of the labor market and reduce the gap between labor supply and demand in the ICT sector.

“Saudi Arabia may have some hurdles to clear to become the truly global center of commerce outlined in its Vision 2030, not least addressing international concerns around social reform and foreign policy. But its ambition is inspiring, and its approach grounded a keen comprehension of the changes shaping our world, shared by HP. It has the capital, the connections and — talking to colleagues, customers and partners throughout my visit this week — the sheer determination to be a global economic powerhouse for the 21st century at the heart of the Arab world,” Bodson added. — SG