New published survey on digitalization from the Council on the Future of Bavarian Economy
The “Zukunftsrat der Bayerischen Wirtschaft”(council on the future of Bavarian economy), the advisory board to the “vbw – Vereinigung der Bayerischen Wirtschaft e.V” (Bavarian Industry Association), has published a new survey on how digitalization can create new economic value in order to demonstrate the immense possibilities, as well as possible problems and complications caused thereof, for the Bavarian economy. Prof. Dr. Dr. h.c. mult. Wolfgang A. Herrmann, president of TUM, acts as one of the two chairmen of the council.
The Association is home to 133 smaller employer´s associations and trade associations as well as to 41 enterprises, representing roundabout 4,7 million employees located in Bavaria.
The survey itself is a comprehensive analysis of how digitalization is influencing the Bavarian economy, taking into consideration technical, economic, social and political issues ranging from optimization processes of production to grid expansion and human-machine-communication.
From an economic point of view, the study, in general, lays specific focus on the marginalizing of marginal cost due to the near-costless copying of knowledge and data enabled by digitalization.
In its first part, the survey entitled “Neue Wertschöpfung durch Digitalisierung” (new net production due to digitalization) takes into consideration all three business sectors, focusing on one exemplary industry each and explaining it in detail. Three core elements of digitalization are identified:
Firstly, the growing interconnectedness of humans and materials, secondly, the growing virtualization of products and processes and, thirdly, the exchange of data and knowledge. Accordingly, sensor and actuator technology, internet technologies and specific software for data transportation and are highlighted as core technologies for the future development of the Bavarian economy.
Based on the analysis in the first part of the survey, the Council then provides concrete recommendations for Bavarian economy, science and politics in the second part of the survey, so that the full potential of the ongoing process of digitalization can be exploited.
According to the survey, positive developments due to digitalization, especially due to the fact that the location of services and goods provided is said to be rendered nearly negligible, are considered as being on the move in Bavaria, whereas the lack of digital education programs in schools and a missing overall concept for digital education in general are some of the major points yet to be improved.
More information and the complete survey can be found here. (German only)
Further details on the Bavarian Industry Association can be found here.
For further information on the “council of the future of Bavarian” economy please click here.
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