Digitally Driven Change Bombardment and Canada’s ...€¦ · 4 Canada’s digital economy at a...
Transcript of Digitally Driven Change Bombardment and Canada’s ...€¦ · 4 Canada’s digital economy at a...
Jeremy DepowVP, Policy & Research
THE INFORMATION AND COMMUNICATIONS TECHNOLOGY COUNCIL
Digitally Driven Change Bombardment and Canada’s Innovation Environment
Sea to Sky 2017| Prince Edward Island | August 9th 2017
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1. About Us
2. Canada’s digital economy at a glance
3. Change Bombardment1. Disruption in Context – no “jobapocalypse” 2. Disruption Drivers
4. Canada’s Innovation Climate
5. Q&A
OUTLINE
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• Not-for-profit national centre of expertise for the digital economy.
• Through trusted research, innovative talent solutions, and practical policy advice,
ICTC fosters innovative and globally competitive Canadian industries empowered
by a talented and diverse digital workforce.
ABOUT ICTC
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Canada’s digital economy at a glance• Inrecentyears,theCanadiandigitaleconomyhas
experiencedsignificantemploymentgrowth
• 2.38%labourgrowthintheCanadiantechnologysectorfrom2011-2016,afigure1.21%higherthantherestoftheeconomy
• TechsectoremploymentgrowthintheUSAgrewatanaverageannualrateof3.3%from2010-2016,andbynearly3%in2016alone totalingnearly7millionworkersacrossthecountry
• IntheEU,employmentinhigh-techknowledgeintensiveservicesaccountedfor3.5%oftotalEU28employmentin2015,thoughhadshownslowgrowthfrom2008-2015,totalinganannualaveragegrowthrateof1.3%.
0%
1%
2%
3%
2011-2016
LABOURGROWTH INCANADA
TechnologysectorRestoftheCanadianeconomy
EmploymentintheUS
Techworkers
Allotherworkers
6%ofallworkers
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Canada’s digital economy at a glance
• By2016,ICTemploymentinCanadatotaled 487,000 workersinthetechsector,withanadditional733,000 ICTprofessionalsworkingonothersectorsoftheeconomy.Thistotalsmorethan1.2milliontechworkersacrosstheentireeconomy
• In2016,theimpactofthetechsectoraloneonCanadianGDPgrewto$72.4B,representingapproximately3.5%oftotalCanadianGDPin2016($2.068trillion)
• Therewere1.5milliontechworkersintheUKby2016,withthetechsectorrepresentingroughly10% ofUKGDP
• Therewere7milliontechworkersintheUSby2016,withthetechsectoraccountingfor8%- roughly$1.3trillion– oftheUSeconomy
• Therewere8milliontechworkersinEUby2015,withtheUK,Germany,ItalyandPolandaccountingformorethanhalfoftechcompaniesinthe28states
487,000
733,000
ICTworkersinCanada
Intechsector
Inothersectorsoftheeconomy
1,200,000
7,000,000
8,000,000
Techworkersglobally
Canada
USA
EU
The Global Race is On
July 2017 – Maltese Presidency of the Council of the European Union:
“We will roll out 5G across Europe by 2025 and be the BlockchainContinent”
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Global Talent Race
• By2021,216,000 criticaldigitaltalentpositionswillneedtobefilledacrossallsectorsoftheeconomy
• IntheUSA,theBureauOfLabour Statisticspredictsthatdespitehighgrowth,by2020,theUSwillseeademandfor1millionadditionaltechjobstobefilledacrossallsectorsoftheeconomy
• TheEUissettofaceaneedfor800,000additionaltechworkersby2020
• Globally,workerswillincreasinglyneedtopossessdigitalskillstosucceedinthedigitaleconomyofthefuture
1337914421
20503
56334
22163
30291
ICTJobDemandbyIndustryinCanadaPublicAdministration
Finance&Insurance
WholesaleTrade
Professional,Scientific&TechnicalServicesInformation&CulturalIndustriesManufacturing
216,000
1,000,000
800,000
ICTemploymentdemand(numberofworkers)
Canada
USA
EU
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Change Bombardment: Emerging technologies in the digital economy
• In the next several years thefollowing 5 technologies will have an increasingly high impact on Canadian technological innovation:
• Virtual & Augmented Reality• Fifth Generation (5G) Mobile
Technology• 3D Printing • Blockchain• Artificial Intelligence (AI)
TransformationalTechnologiesinCanada
Augmented&VirtualReality
5GMobile
3DPrinting
Blockchain
AI
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The Five Technologies
• All sectors of the economy are integrating these technologies (VR & AR; 3D Printing, 5G mobile, Blockchain and AI) into their operations in an effort to increase productivity, reduce costs, generate revenue and advance innovation and growth.
• Many occupations will become most in demand as a result of these emerging technologies
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Virtual & Augmented Reality
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Virtual & Augmented Reality
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For more information, visit:
www.ictc-ctic.ca
Q & A
@ICTC_CTIC
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Appendix
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SMEs in the Canadian Digital Economy
• The Canadian digital economy is largely dominated by small businesses, many employing fewer than 100 people
• 99.1% are small companies, employing 1-99 people
• 0.8% are medium companies, employing 100-499
• 0.1% are large companies, employing more than 500
• Canadian companies represent 52 of the world’s 2,000 largest companies
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Automation in Canada & its consequences for SMEs
• Automation is changing the landscape of the Canadian economy. Automation is expected to grow in Canada at a compound annual rate of nearly 7% by 2018
• The main outputs of automation are: increased productivity, increased quality, increased business opportunities, increased workplace safety and increased ability to compete in the global marketplace
• ICTC estimates that a 1% increased in labourproductivity resultant of digital technology would yield an additional $2.5B to the Canadian economy
• Canadian SMEs are slow to adopt digital technology to the degree necessary to reach full economic potential
• Key initiatives to help SMEs adopt digital technology: • Education about the benefits of digital adoption• Investment in resources to train workers• Capital investment to purchase equipment
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The digitization of Canadian SMEs
• Increasingly, employers will need their employees to possess a range of digital skills to help improve efficiency, output and continue to generate revenue and growth
• The main digital skills that companies will increasingly require from employees are:
• Foundational skills (basic literacy, writing, document use, numeracy) – basic skills needed for all occupations
• Digital technical skills (general computer software usage) – general digital skills needed for most occupations
• Digital information processing skills (information processing, data synthesizing, cybersecurity)- job-specific digital skills for ICT workers
• Canadian SMEs need help to understand the value of digitizing their workforce, including the assurance that doing so will yield a the return on investments (ROI) in both short and long-term
• Time and financial constraints often act as impediments for small businesses to invest heavily in training
• External grants and policy initiatives, helping SMEs digitize are increasingly crucial
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ICTC’s talent initiatives for SME digitization in Canada
• Small Business Digitization Initiative (SBDI): A training program connecting youth and small businesses together to solve real employer digital adoption problems
• Career Connect: A program assisting SMEs hire unemployed or underemployed post-secondary students. CareerConnect subsidizes half the salary of an eligible participant
• CyberTitan: An online program, where students across Canada compete for “cyber titan” status, displaying skills and understanding in cybersecurity
• Focus on Youth Careers: In partnership with Willis College in Ottawa, this is a pilot program offering 45 post-secondary students in the region job preparation training, technical training and a work placement
• Focus on Information Technology: A national program for grade 11 and 12 students, providing a foundation of technical, business and interpersonal skills. Participants who complete the program receive national and industry certifications
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ICTC’s talent initiatives for SME digitization in Canada
• Women in Tech (WIT): A national and provincial program for the advancement of women’s recruitment, retention and career advancement in current and emerging technology sectors
• Go Talent: A program that connects employers with Internationally Educated Professionals (IEPs) en route to Canada
• Unlocking Global Talent Initiative: A partnership between ICTC and Talent Beyond Boundaries to fill in-demand roles in Canada with refugees that possess those skills. i.e. programmers, interactive media developers, web developers, etc.
• Integrated Work Experience Strategy (IWES): A bridging program that trains Internationally Educated Professionals (IEPs) looking to find work in the Canadian ICT sector. Targeting unemployed or underemployed IEPs, the program is 3 weeks long of in-class study, followed by 3 months of coaching relationships from leaders in the ICT sector
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Other Considerations
• SME/Startup Culture• Paying it forward • Accelerators, Incubators & Tech
Hubs• Risk & reward
• Training, Education and Technological Disruption• Increased automation• Emerging technologies & innovation• Graduation rates • Curriculum changes: K-12 coding,
practical education, post-secondary
• Other SME scale up opportunities & challenges • Funding• Immigration• Corporate taxes• Wages • Cost of Living
• International trade agreements • NAFTA• CETA• Canada-China Trade Agreement• Canada-India Trade Agreement
• Global relations & global considerations • Climate change• International conflict