This is the warning a technology expert has issued to the private and public sector businesses amid the revelation of the digital economy.
“Both private and public sectors must immediately change the way they do business, and start thinking differently if they are to survive this impact of digital transformation,” said Systems Applications Products (SAP) Chief Technology Advisor for Africa, Simon Carpenter.
In an exclusive interview, Carpenter said the digital economy was real.
He thus urged both the public and private sectors to adapt to the new changes.
“The digital economy is unstoppable. It is irreversible and is accelerating. It undeniably offers us opportunities to meet some of humanities greatest challenges head on,” said Carpenter in Johannesburg.
He urged the continent’s private and public sectors to think differently to survive the digital transformation.
Admittedly, more than five million jobs will be lost across the world as a result of this digital economy but the same technology would create new economic opportunities for millions in Africa.
Carpenter projected white collar workers’ administrative jobs would be lost in the next four years before replacement by algorithms and automation.
He said in the manufacturing, manpower would be equally replaced by robots and internet of things-enabled equipment.
Carpenter said the so-called “Fourth Industrial Revolution” was set to displace low-level, menial tasks in the same way the first industrial revolution displaced the gas lamplighter and the pony express.
He thus urged both public and private sectors embrace SAP’s solutions in order to ensure the continent moved in line with the rest of the world with digital economy’s rate of transformation.
Caprenter said research showed 10 percent increase in broadband penetration in both low and middle-income countries would result in a 1, 38 percent increase in economic growth.
He said while there were challenges around the digital economy, new opportunities would be created to manage resources.
These are set to improve transparency and governance, creation of inclusive economies such as healthcare, agriculture and education.
The digital economy refers to an economy that is based on digital computing technologies.
Source: CAJ News Africa