Page 56 - IRMSA Risk Report 2021

3.10

DISRUPTIVE TECHNOLOGIES

Disruptive technologies and the Fourth Industrial Revolution (4IR) will deepen the connections between the biological, physical
and digital worlds, therefore blurring or merging capabilities amongst these domains. This, accelerated by lockdown, opens up a
whole new era for economic and social developed by taking advantage of fast evolving technologies such as artificial intelligence,
robotics, virtual reality 3D printing etc.

SCENARIOS FLAGS SUCCESS STORIES
SPRING OF HOPE COUNTRY FLAGS C F It has been a tough past year but the African
start-up space has shown great strength
1. LEADERSHIP and tenacity in the face of adversity.
Examples are:
2. INSTITUTIONAL CAPACITY
reOS - thoroughly shaking up the South
3. POLITICS African real estate space with its task
automation tool for rental professionals and
4. SOCIAL COHESION planning to disrupt international markets.
5. NATIONAL POLICY The Gradient Boost – an online mentor-
guided data science school making digital
6. SERVICE DELIVERY learning more efficient by combining its
7. INEQUALITY data science modules with guidance from
experienced mentors.
8. ECONOMY Vodacom & Discovery - During the
PERPETUAL FAKE IT UNTIL WE
HANGOVER MAKE, IT OR NOT Covid-19 pandemic, partnered to leverage
9. GLOBAL TRENDS
the power of Telemedicine and Broadband
10. CLIMATE technologies.
https://disrupt-africa.com/2021/01/05/12-
C – CURRENT (2020/21) F – FUTURE (2030) african-startups-to-watch-in-2021/
Taking advantage of technology and the 4IR promises substantial economic and social value for our country and its people. The use of newer
technologies gives rise to a more productive and competitive economy building wealth and sustainability for all South Africans. The 4IR has
the capacity to create large-scale employment – provided we can build human capital relevant to the needs of a technology-driven world.

TOP 5 CHALLENGES TO ACHIEVING TOP 5 RISK TREATMENT OPTIONS AND
TARGETS OPPORTUNITIES
1. In the short term, the economic recovery plan focuses
1. Delays and indecision regarding digital related on infrastructure, electricity generation, digital spectrum
infrastructural requirements such as digital spectrum.
allocation, employment and rapid industrialisation.
2. A supportive education system is required to build
cognitive capability versus technical/skill-based training,
2. Lack of or inability to develop appropriate human building and improving adaptive capacity and resilience.
capabilities required for a digital world – in the right Perhaps going forward, access to free/cost effective data/
place at the right time.
bandwidth should be considered a basic human right in
the same way as water, food, energy, education etc.
3. A set of 4IR initiatives should be led and regulated by
3. The strategic and competitive direction of the South government to unlock the potential and power citizens.
African state is not clear from the Industrial Policy Plan. As a developing nation, we can leverage off success in
developed countries and make quantum leaps.
4. The barriers to or ease of starting a small business
in South Africa, are far too high compared to other
African countries. Bureaucracy and over regulation 4. Encourage and facilitate an environment which fosters
stifles investor confidence and entrepreneurial spirit. entrepreneurial spirit, including less red tape, incubator
In addition, there is very little in the way of incentives funding, tax breaks and incentives.
such as seed capital, funding and tax breaks for small
start-up companies.
5. Failure to respond to and take advantage of the nature 5. Leverage technologies such as AI, drones, robotics, genetic
of these technological changes across all facets of life
including societal, labour, government, business and engineering to enhance productivity across all industries,
environmental. such as mining, agriculture, medicine, manufacturing etc.

FACTS AND FIGURES
• A 2019 study estimated that almost 50% of American jobs will be at high risk of automation by the mid-2030s.
• 80 companies see a rise in this trend as one of the top risks for the immediate future.
• Additional unemployment from accelerated workforce automation is one of the more likely fallouts from the Covid-19 crisis.
• The acceleration of this trend could worsen a digital divide emerging within the workforce, characterized by a polarization of
jobs and a widening gap in digital skills.
• The geo-economic factors connected with this trend could produce a similar automation divide between countries.

Source: Mail & Guardian, Daily Maverick, Business Day, Business Insider, Global Leadership, Corruption Watch, GVI Africa, People Factor Magazine and the University of
Western Cape.

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