© 2007 Cisco Systems, Inc. All rights reserved. Cisco Confidential
WIM ELFRINK, CHIEF GLOBALISATION OFFICER13 February 2008
How Successful Leaders Think
Challenges for the Next Five Years
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Where are all the people going to be?
2050
1803
5222
768
392632
2000
3680
796
729305
520
USA
SouthAmerica
AfricaAsia
Europe
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Back To The Future
Source: World Bank/Angus Maddison. The World Economy: Historical StatisticsPricewaterhouseCoopers/Michael Milken Institute, Chairman, Fastcures/Goldman Sachs
The World’s Top 10 Economies
205020051820China 28.7%India 16.0%France 5.4%U.K. 5.2%Prussia 4.9%Japan 3.1%Austria 1.9%Spain 1.9%U.S. 1.8%Russia 1.7%
U.S. 28.4%Japan 10.6%Germany 6.4%UK 5.0%France 4.8%China 4.4%Italy 3.9%Spain 2.6%Canada 2.5%India 1.7%
China 25.6%U.S. 20.3%India 16.0%Japan 3.9%Brazil 3.5%Russia 3.4%Indonesia 2.3%U.K. 2.2%Germany 2.1%Mexico 2.0%
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Greatest Economic Shift in 100 Years
*At purchasing power paritySource: The Economist, “The New Titans,” 16 Sept. 2006
1000 1820 1913 1950 2005 2025
50%
75%
25%
1500
100%
DevelopedEconomies
EmergingEconomies
Share of Global GDP*
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New Era of Wealth
Mobility Mobility Will Be the PlatformWill Be the Platform
500M People Urbanised 500M People Urbanised Over Next 5 YearsOver Next 5 Years
Expanding Middle Class Expanding Middle Class Creates Buying PowerCreates Buying Power
Managed/HostedManaged/HostedServices will Connect Rural AreasServices will Connect Rural Areas
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Market Making Opportunities
Dubai
Singapore
India
Saudi Arabia
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Why India? India Epitomizes the Human Network
Culture of tolerance, diversity and partnership
Proximity to innovation and growth
Skilled partners with global capabilities
Judicial system enforces IP protection laws
Skilled English-speaking
talent at scale
Economicgrowth—top 5
economy by 2025
Fastestgrowing young
population
The world’slargest
free market
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Why India? Proximity to Growth, Innovation and Talent
Reaching 70% of the World’s Population
Cisco East
Cisco West
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A Global Innovation Hub
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Global R&D
Trade
The Evolution of Globalisation
Globalisation 1.0 (started 100’s of
years ago)
Virtualisation of the Corporate
Brain
Global Manufacturing
Globalisation 4.0 (2006-beyond)
Globalisation 3.0 (1990’s)Globalisation 2.0
(1980’s)
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Head QuartersPresident / UK PM
Germany
Dubai
AzerbaijanEgypt
China
IndiaSaudi
Arabia
D.C.
Global Collaboration / Web 2.0
San Jose
UkraineBoston Japan
India
London
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Challenges
Command & Control to Collaboration
Pervasive Education
Labor Arbitrage To InnovationCost Savings are a Bonus
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