% of respondents Impact of trends on companies' profitability over the next 5 years Growth of consumers in emerging economies/changing consumer tastes Development of technologies that empower consumers and communities (eg, online connectivity) Very/somewhat positive 64 58 63 64 52 Increase in labor productivity in developed markets N/A Shift of economic activity between and within regions Increasingly global markets for labor and talent Growth of public sector Growth in consumer demand for corporate contributions to the broader public good Increase in sophistication of capital markets Increase in constraints on supply or usage of natural resources (eg, regulations) Geopolitical instability 16 14 Apr 2010, n 1,416 Mar 2009, n-1,088 Somewhat/very negative 7 N/A 51 14 48 12 50 11 52 10 39 14 44 15 32 9 13 32 30 10 13 25 28 39 38
An ongoing shift in global economic activity from developed to developing economies, accompanied by growth in the number of consumers in emerging markets, are the global developments that executives around the world view as the most important for business and the most positive for their own companies' profits over the next five years. Executives also identify two other critical positive aspects of globalization: technologies that enable a free flow of information worldwide and, increasingly, global labor markets. These four trends of the ten we asked about, also are the ones that the biggest share of respondents—around half—say their companies have taken active steps to address. In this sixth annual survey asking executives about the forces shaping the world economy, there is little change in how respondents view the importance of global trends compared with previous years—either for business in general or for their own companies' profits. Clearly, the financial crisis and economic downturn have not shaken these key trends. Continued faith in the positive effects of globalization combined with a move away from short-term planning likely reflects rebounding optimism about global economic prospects and is consistent with the findings of other McKinsey surveys on the economy. The result of this survey explores for the first time five interconnected themes that highlight the opportunities and challenges faced by global economic integration itself and by companies seeking to profit from it: growth in emerging markets; labor productivity and talent management; the global flow of goods, information, and capital; natural-resource management; and the increasing role of governments.
Explain in detail how, within the last five years, globalisation has changed the role of operations management.
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