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2021 FORECAST 5 Forces of Disruption CREATE A BETTER FUTURE. TODAY. 2021 FORECAST 5 Forces of Disruption Powered By #InnovationForGood R E _ S E T 2 0 2 1 F O R E C A S T | P O W E R E D B Y S P R IN G W IS E PAGE 1 All that said, we must be optimistic. History tells us that great innovation often comes EMBRACE after times of great hardship. Look at the post World War II years which gave birth to the DISRUPTION NHS, the Marshall Plan and accelerated scientific progress. The 2020s will do the AS A FORCE same. We see a huge opportunity for the brave and the innovative. FOR GOOD This Re_Set Forecast report lays out a positive There is a huge view for 2021 and this, our new world. It is a world where we can, and must, choose to opportunity for the brave embrace disruption as a force for positive and the innovative change. Powered by the global Springwise innovation community we have constructed a “Making peace with nature is the defining glimpse into the future, framed by the task of the 21st century” — The words of UN innovators, inventors, and future thinkers of Secretary-General António Guterres in a tomorrow and illustrated by innovation ideas recent speech. we have sourced from across the globe. 2020 has been a powerful wake-up call for us Our research, client work and broader all. The most disruptive time in living memory. experiences in 2020 have led us to identify COVID-19 has shaken us to the very core, five primary forces of disruption. As you read exposed the fragilities of our society and our through each section you will not only dive systems, wrought havoc on the global deep into those forces but also learn how to economy and caused huge personal sadness take advantage of them for your business or for those who have lost loved ones. It is not organisation. over yet. Our thesis is that disruption can be, and Despite the welcome arrival of new vaccines indeed is, a competitive advantage, whatever we now live in a new world, “a world where your trade. Understanding and responding in we face a series of crises: credit, COVID and the right way to the major forces of disruption climate”, to quote Dr Mark Carney in his first of will also build resilience into your four Reith Lectures. organisation, people and business model. Time and again we see the best CEOs and Boards embrace this thinking as they propel History tells us that great their organisations to a more successful path innovation is often born out of on the right side of disruption. Those that do not are failing and with that failure comes times of great hardship. countless job losses and economic damage. thisisreset.com R E _ S E T 2 0 2 1 F O R E C A S T | P O W E R E D B Y S P R IN G W IS E PAGE 2 Our first force is the rise of the activist brand, a genre created by my all-time favourite businessperson, Yvon Chouinard, and his brand Patagonia. This business has made a virtue and huge commercial success from its proactive, activist stance on the environment. The second force is digital. We expose examples of innovations taking advantage of the extraordinary acceleration of digital penetration and adoption. This year we have moved forward ten years in 9 months and that is not slowing down anytime soon. Next is sustainability and protecting our biodiversity, which is now mission-critical, with the issues around climate change, organisations to take advantage of the carbon, and human impact on the natural shifting sands. We uncover examples where world, both land and sea, now at the top of this has been both defensive and the agenda. At Re_Set every project has a advantageous. sustainability thread and indeed it is more often than not the project. Our recently For now, 2021, whatever it brings each of us, launched “Path to Net Zero,” “Path to is upon us. Foremost, we wish for a well- Circularity” and “Path to Becoming a B deserved respite for our key workers across Corp” propositions are in high demand. the health service, prison system and others, as well as the private sector businesses who Number four, our place of work and our have looked after us so well this last year. We workplace culture has changed for good and salute their efforts and wish them the very with far-reaching impact on everything from best as we reflect on how we will start 2021 aviation to real estate to wellbeing. As cities with renewed vigour and enthusiasm to drive evolve and humans figure out the optimal positive, sustainable change in a world which balance for both enterprise and individual, we really needs it. uncover some brilliant inventions which set the direction of travel. And finally, we have shifting strategies. The age of the five-year plan being agreed and moving to execution is over. COVID has been JAMES BIDWELL a testbed for our leaders and those who have fared best have adopted principles of agility Author and Commentator and flexibility enabling them to pivot their Co-founder, Re_Set & Springwise thisisreset.com R E _ S E T 2 0 2 1 F O R E C A S T | P O W E R E D B Y S P R IN G W IS E PAGE 3 [Image: Shutterstock] 5 FORCES OF DISRUPTION CONTENT 0 1 | A C T I V I S M & S O C I E T Y PAGES 4-6 RISE OF THE ACTIVIST BRAND 0 2 | D I G I T A L A C C E L E R A T I O N PAGES 7-9 DIGITISATION GOES INTO HYPERDRIVE 0 3 | S U S T A I N A B I L I T Y & B I O D I V E R S I T Y PAGES 10-12 GREEN AGENDA CEMENTS CENTRE-STAGE STATUS 0 4 | W O R K P L A C E & C U L T U R E PAGES 13-15 AGILE, INCLUSIVE AND A NEW FOCUS ON WELLNESS 0 5 | S H I F T I N G S T R A T E G I E S PAGES 16-18 ADAPTABLE AND REACTIVE WITH A LONG-TERM VIEW thisisreset.com R E _ S E T 2 0 2 1 F O R E C A S T | P O W E R E D B Y S P R IN G W IS E PAGE 4 01 | ACTIVISM & SOCIETY [Image: Shutterstock] The continued rise of the Patagonia saw sales increase following the activist brand launch of a voting rights campaign and the use of clothing tags that read: “Vote the assholes Consumers are increasingly demanding that out.” brands step up and demonstrate their values as the price of loyalty. According to the research For brands like these, which are closely linked agency Resonate, while Baby Boomers and Gen with customer identity, a focus on social Xers are primarily interested in value for money, responsibility – or a demonstration that the 87 per cent of Gen Z expect more from their brand is not interested in social responsibility – favourite brands than just products. They can have a significant impact on customer expect brands to actively work for the good of loyalty. Corporate activism is also affecting how society. And this corporate activism can have a well companies are weathering the COVID big impact on both sales and brand awareness. storm. As the strategist Nell Derick Debevoise put it recently in Forbes, companies with “an For example, Equinox Group, which owns authentic and integrated commitment to upmarket fitness brands SoulCycle and purpose larger than profitability or growth” are Equinox, saw a mass cancellation of much more likely to survive financial downturns memberships following news that its owner, real than other, similarly-sized businesses. Indeed, a estate billionaire Stephen Ross, would be focus on societal impact can create a hosting a ritzy fundraiser for American President nimbleness that allows a business to react Donald J. Trump. At the same time, as spotted quickly to new opportunities caused by rapidly by Springwise, the US outdoor clothing retailer changing circumstances. thisisreset.com R E _ S E T 2 0 2 1 F O R E C A S T | P O W E R E D B Y S P R IN G W IS E PAGE 5 For example, when premium bed-in-a-box manufacturer Leesa heard there was a major shortage of hospital beds during the pandemic, they were able to rapidly pivot to creating and selling hospital beds. They credited their success, in part, to workers who were strongly driven by clearly articulated corporate values for helping others. The pandemic has also helped to make consumers more conscious of brands that value people or community over profit. This has dovetailed with a growing awareness of the need for action on climate change. A Springwise survey found that 8 out of 10 business leaders are planning to make permanent behaviour changes to improve their impact on society and community. workers – whether it is delivery drivers forced to work through the pandemic, or employees who Evidence continues to show that consumers are lack benefits like parental leave and sick-pay. much more likely to patronise brands that share ABC consumers — those from higher social and their values of commitment to change.
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