PETpla.net Insider 12 / 2012

MATERIAL / RECYCLING 13 PET planet insider Vol. 13 No. 12/12 www.petpla.net Presentations “Managing a Business in today’s VUCA environment (VUCA = Volatility, Uncer- tainty, Complexity and Ambiguity)” Paul Hodges, International eChem President, renowned adviser and col- laborator of many of the major chemical companies, opened the conference with a stimulating and lively presentation. Quite obviously, VUCA represents a threat to global business. Volatility is rising in the financial markets. “We are going into a recession. Oil prices are up – inevitably. Decision-making is becom- ing more ambiguous and political. Factors which are common to all economies. How, asks Hodges, can business possibly survive? Is growth possible in a scenario made up of global financial crises and cuts in public expenditure? Hodges basically places the demographic developments at the heart of his delib- erations. What Hodges says is: “Demo- graphics drive demand – upwards as well as downwards.” In an ageing Europe with the “New Old 55+ Generation“. The baby boomer generation of 1946-70 saw a major rise in births, creating the largest and wealthi- est generation that has ever lived. Since 2001 these baby boomers have been entering the 55+cohort. They spend less and save more and also have the longest life expectancy in history. In the up-and-coming developing countries with their young ”New Poor Generation“, who are embarking on a mission to escape poverty. The emerging economies become essential. They no longer rely on exports to drive growth, but re-focus on domestic consumption. Thus we are moving towards a New Normal with new potentials – with ageing baby boomers to be satisfied and emerg- ing economies focussing on domestic demand. Hodges nevertheless leaves Paul Hodges