Leadership Skills for Digital and Key Enabling Technologies

The new EU e-Leadership Agenda 2016-2020 is to be built on results of the European Commission e-Leadership Initiative, particular the activities defining the vision for e-leadership, de

Leadership Skills for Digital and

Key Enabling Technologies

In cooperation with:

and

Carl Benedikt Frey & Thor Berger, Oxford Martin School at Oxford University

Leadership Skills for Digital and

Key Enabling Technologies

Content

Project Data 5

Executive Summary 6

Management Report Phase 1 10

Status and activity reporting 10

Deviations 17

Corrective actions and revised work plan 17

1 Introduction 18

1.1 Statistical figures 18

1.2 Objectives 18

1.3 The EU e-Leadership Agenda 19

1.3.1 A new agenda 19

1.3.2 Agenda contents 19

1.3.3 Agenda comprehensiveness 20

1.3.4 Supporting early action 20

1.3.5 Time schedule 20

1.3.6 Format of the present report 20

2 The Digital Economy: Implications for the Workforce 22

2.1 Implications for liberal professions 23

3 Business, Industrial and Technology Trends and Impact on e-Leadership Skills 25

4 e-Leadership Skills: from Vision to Achievements 26

4.1 e-Leadership skills vision and roadmap 2013 26

4.2 e-leadership skills curriculum guidelines and profiles 2015 27

4.3 e-leadership skills for SMEs and start-ups training offers and demonstrations 2015 28

4.3.1 Guidelines for designing e-Leadership training and education 28

4.3.2 What is an e-Leadership training offer? 29

4.3.3 Diverse pathways to e-leadership are indispensible 30

4.4 e-Leadership skills for KETs and AMTs 34

4.4.1 Increasing role of e-leadership for KETs and AMTs 34

4.4.2 Readiness of KETs and AMT leaders for digital transformation 36

4.4.3 Key e-leadership skills for KETs and AMTs 37

4.4.4 Initiatives facilitating e-leadership in KETs and AMTs 39

4.5 e-leadership skills for liberal professions 40

4.5.1 e-leadership for architects 40

4.5.2 e-leadership for civil engineers 41

4.5.3 e-leadership for notaries 43

4.5.4 e-leadership for doctors 44

4.5.5 e-leadership for lawyers 46

4.5.6 e-leadership for accountants 48

4.6 Overview of achievements and recommendations for actions 50

4.6.1 Recommendations for stimulating e-leadership in general 50

E-Skills - Policy Recommendations (2014) 60

4.7 Recommendation 1: Launch initiatives in countries lagging behind 60

4.8 Recommendation 2: Scale up efforts through longer term policy commitment 60

4.9 Recommendation 3: Adapt education and training to the digital age 61

4.10 Recommendation 4: Foster IT professionalism and quality 61

4.11 Recommendation 5: Build bridges for all students, graduates and workers 62

4.11.1 Recommendations for stimulating e-leadership in KETs and AMTs 63

4.11.2 Consolidated set of recommendations for stimulating e-leadership 64

5 Stakeholder Policies and Initiatives on e-Leadership Skills for Digital and Key Enabling Technologies 67 5.1 Introduction 67

5.2 European Commission and government policies and activities 68

5.2.1 European policies and activities 2004 - 2016 68

5.2.2 EU Member State policy initiatives 71

5.3 Industry and stakeholder partnerships and initiatives 74

5.3.1 Overview 74

5.3.2 Best Practices 76

5.3.3 Best Practices for KETs and AMTs 89

6 Awareness, Relevance and Benefits of European and National Policies and Activities 98

6.1 Objectives 98

6.2 Methodology 98

6.3 Online Survey Results 98

6.3.1 European Activities: policies, initiatives, partnerships etc .100

6.3.2 National / EU Member State Activities: policies, initiatives, partnerships etc .101

6.3.3 Challenges in Need to be addressed 102

6.3.4 Impact of Technology Trends on Digital and e-Leadership Skills Demand 104

6.3.5 Disaggregating the results for KETs, AMT and liberal professions 109

7 Annexes 111

7.1 Annex 1: Best Practice Selection Criteria 111

7.2 Annex 2: Selection of survey invitees according to categories 112

7.3 Annex 3: Survey participants expressing commitment to initiative 112

7.4 Annex 4: Workshop invitees 121

7.5 Annex 5: Workshop attendees and interviewees 132

7.6 Annex 6: List of stakeholders from outside Europe consulted and interviewed 136

7.7 Annex 7: List of identified professional bodies for selected liberal professions 136

Annex 8: Bibliography 137 7.8 137

Project Data

Contract Title: Leadership Skills for Digital and Key Enabling

Delivery Partner:

empirica Gesellschaft für Kommunikations- und Technologieforschung mbH

Oxfordstr 2 - 53111 Bonn - Germany

Duration of the project: 18 months

About this document

This document is the Final Report of work under a service contract, Tender No EASME/COSME/2014/013,

of the European Commission on "Leadership Skills for Digital and Key Enabling Technologies"

About “Leadership Skills for Digital and Key Enabling Technologies”

The European Commission sees the need to keep momentum relating to e-leadership skills going, provide consolidation to these efforts in 2015-2016 The aim is to promote e-leadership skills and provide Europe with a larger talent pool of highly-skilled entrepreneurs, managers and professionals A comprehensive agenda (2016-2020) for e-leadership will be elaborated The new agenda is to take digital education and entrepreneurship policies fully into account, as well as addressing labour market disruptions resulting from ICT developments and integrating new analyses of leadership skills for liberal professions such as doctors and lawyers The agenda is to be broad enough to exploit synergy with emerging leadership skills requirements in businesses exploiting Advanced Manufacturing Technologies and Key Enabling Technologies, and is to be explicitly international in scope

The contract is carried out by empirica in cooperation with PriceWaterhouse Coopers (PwC), IDC Europe and Carl Frey from the Oxford Martin School at Oxford University

DIGITALEUROPE, PIN-SME, EuroCIO, CIONET, CEPIS, ASIIN, APMG International, EXIN, EFMD, ECWT and ESI European Software Institute Center Eastern Europe have signalled their support to this initiative

Disclaimer

The views expressed in this report are those of the authors and do not necessarily reflect those of the European Commission Neither the European Commission nor any person acting on behalf of the Commission is responsible for the information provided in this document

Executive Summary

E-Leadership skills are the skills that lead towards designing business models and taking advantage of innovation opportunities, making best use of digital technologies, and delivering value These skills are scarce and increasingly sought after As the European Commission has repeatedly stated, the economy of the 21st century is increasingly demanding leaders with a T-shaped portfolio of skills who have expertise in new technologies and the development of successful and efficient organisations They are of crucial importance for growth, innovation, competitiveness and job-creation in Europe

Corresponding to the increasing importance of the issue, projects, initiatives and policies relating to leadership skills have been initiated in recent years The European Commission sees the need to keep momentum going and provide consolidation to these efforts in 2015-2016

e-Objective: Develop an EU e-Leadership Agenda 2016-2020

The general goal of the service contract – which is part of the activities of the EU e-skills strategy – is aimed

at “promoting e-leadership skills and providing Europe with a larger talent pool of highly-skilled entrepreneurs, managers and professionals.”

The development, validation and dissemination of a new, comprehensive policy agenda on e-leadership, including support to execution of early agenda actions is at the heart of the present service contract The

new EU e-Leadership Agenda 2016-2020 is to be built on results of the European Commission e-Leadership

Initiative, particular the activities defining the vision for e-leadership, developing new curricula for skills supply, fostering e-leadership skills and investigating skills for KETs

Key stakeholders throughout Europe are asked to join forces in this initiative Such a joint action will allow stakeholders to benefit from a coordinated approach across all EU Member States and involve relevant actors at the European Commission integrating a multitude of perspectives into a coherent framework

Other objectives

Results of the first phase of the service contract for the European Commission can be seen as milestones and inputs towards establishing the above mentioned EU e-leadership agenda The work programme follows specific requirements from the service contract with the European Commission and includes elaborating on current trends and monitoring and analysing the labour market, its disruptions and implications on the workforce and related skills demand These are presented in

 ‘The Digital Economy: Implications for the Workforce’, chapter 2, written by Carl Frey and Thor Berger

from Oxford Martin School at Oxford University

 ‘Business, Industrial and Technology Trends and Impact on e-Leadership Skills’, chapter 3, written by Gabriella Cattaneo, Marianne Kolding and Rosanna Lifonti of IDC Europe

 Chapter 4 reports about the past and present understanding of and visions about e-leadership skills and relevant European initiatives and first achievements of these

 Chapter 5 provides an updated description of initiatives in the field of e-leadership skills for digital and key enabling technologies throughout Europe It provides the results of the analysis of the larger number of initiatives identified with a presentation of the best practices

 In the final chapter 6 the results of the stakeholder survey and engagement activities are reported which involved experts and stakeholders in interviews and a survey

Digitalization, Jobs, and Convergence in Europe: Strategies for Closing the Skills Gap

In the report from Carl Frey and Thor Berger from Oxford Martin School at Oxford University referred to in Chapter 2 the authors conclude that the rapid technological progress that is transforming companies and industries in Europe has implications for the demand for skills New technologies increasingly benefit skilled workers, and thus countries with a relative abundance of skills Digital technologies are likely to contribute

to a surge in productivity over the forthcoming decades, while raising concerns that associated benefits are unlikely to be widely shared unless substantial investments are made to upskill the European workforce Importantly, there is growing evidence that the slow convergence in high-tech employment within the European Union reflects the slow diffusion of skills across Member States

The potential scope of automation recently has expanded beyond routine work as technological advances

in Machine Learning (ML) and Mobile Robotics (MR) have brought a wider range of more complex tasks into the domains of computers (Frey and Osborne, 2013) These technological advances may affect job creation and skill demands in Europe over the next decades According to some estimates, as many as 54 percent of current jobs in the EU27 could be computerized as a result; including many low-skill jobs in construction, logistics, and services (Bowles, 2014) The implications of these trends are also already being widely perceived by firms: for the fourth survey in a row, the perceived importance of automating and/or improving business processes had increased in the McKinsey Global Survey—in the most recent wave, more than half of respondents cite it as a top-three priority for their organization.1

Although technological change is rapidly destroying jobs and transforming others, it also creates entirely novel types of jobs and industries; app development, big data analysis and software design are all examples

of new work created in the wake of the digital revolution

Meanwhile, forecasts suggest that there will be a shortfall of digital professionals, which may lead to as many as 756,000 unfilled vacancies in ICT jobs by 2020, of which around 226,000 are at management level, though such estimates have a wide margin of error.2

Business, Industrial and Technology Trends and Impact on e-Leadership Skills

In the IDC report (see reference in Chapter 3) on ‘Business, Industrial and Technology Trends and Impact on e-Leadership Skills’ the authors conclude that the innovation push of the main ICT trends and KETs will generate in the years to 2020 strong transformational impacts on the EU economy and society, driving a strong increase of demand of ICT, R&D but especially e-leadership skills The demand of e-leadership skills varies by type of technology trend and type of skills, but Big Data, the Internet of Things and the combination Cognitive systems/Robotics are likely to generate the most disruptive impacts and drive the highest demand of e-leadership skills Both IDC research and the experts' opinions converge on these conclusions Approximately 70% of the experts surveyed agree that the increase of demand of skills will create a very high risk of skills gaps in Europe However, experience says that complaints about the difficulty of sourcing skills do not necessarily translate into a concrete increase of employment, if skills become available There are all kinds of mismatches between demand and supply which must be dealt with (from unrealistic expectations, to wrong timing, to mismatched geographical location: supply in Europe is not always available where demand is) Therefore, the demand of IT skills is more likely to translate into demand for training and specialized certification for existing IT employees and managers than into the creation of new, additional jobs Nevertheless, the innovative nature and technology profiles of some of these trends, particularly Big Data and IoT, will definitely create demand for genuinely new skills and, thanks to the potential of increasing business revenues, also the creation of new jobs

e-Leadership Skills: from Vision to Achievements

Chapter 4 gives a historical account of how the research on e-leadership evolved and which milestones were reached After these, a first consolidation of recommendations and the proposed actions from precursor activities and further new ones emerging in the course of the present service contract are provided

These build the basis for the development of a policy roadmap and action plan for the years to come, and will be discussed in expert rounds organised throughout the year 2016 for the formulation of the European

1 McKinsey (2015a)

2 Tobias Hüsing, Werner B Korte, Eriona Dashja: e-Skills in Europe - Trends and Forecasts for the European ICT Professional and Digital Leadership Labour Markets (2015-2020) empirica Working Paper, November 2015

Agenda for e-Leadership in Europe 2016-2020 The first workshop has already taken place on 22 January

2016 in Brussels Further ones will take place on 20 April 2016, 22 September 2016 and 24 November 2016 Combining recommendations and proposed actions from precursor activities and further new ones emerging in the course of the present service contract, a consolidated set of recommendations has been developed which builds the basis for further discussions and development with key stakeholders

Stakeholder Policies and Initiatives and Best Practices on e-Leadership Skills for Digital and Key Enabling Technologies

Stakeholder policies, initiatives and partnerships on e-leadership skills throughout Europe were gathered and analysed differentiated according to stakeholder groups (see Chapter 5) These activities could build on the results from precursor activities carries out by empirica and PwC which were and will continue to be updated and best practice cases identified and further elaborated and described Those relating to KETs have already been completed the others – according to work plan - are still in the process of analysis All will constitute key elements for the third workshop on 22 September 2016

The (policy) initiatives and further actions - including the best practices - described address e-leadership skills, either explicitly or – as is most often the case – by implication The most recent update (December 2015) of efforts to identify and document relevant activities and initiatives delivered 354 relevant initiatives throughout Europe from which around 20 have been selected as initial set of best practices For the KETs part the number of best practices finally selected and approved by the Commission encompasses five cases Our analysis suggests that multi-stakeholder partnerships are not as well developed yet in the e-leadership field as compared to other segments of the e-skills domain, i.e digital literacy and ICT practitioner skills

Awareness, Relevance and Benefits of European and National Policies and Activities

A survey addressed to the ‘Promotion of e-Leadership Skills’ with the intention to raise awareness and recognise the strategic importance of these types of skills across Europe and beyond was carried out among

726 experts and decision makers in the e-skills arena, from across Europe and beyond to:

 assess experts’ opinions as an input for the development of forthcoming European e-Leadership Skills Agenda (2016-2020)

 highlight differences among results for ICT / KETs/ AMT and Liberal Professions

 engage stakeholders in promoting e-Leadership skills in Europe and beyond

And in parallel, identify / update

 existing initiatives / activities with a propensity to e-Leadership in each country

 policies of relevance to e-leadership skills development in the MS

Results described in Chapter 6 show that funding mechanism are most well known, highlighting the fact that, quite obviously, financial incentives are as important here as anywhere The awareness that the e-CF receives and also the relevance it finds is based on highest quality work and commitment that has been pursued over an extended period of time now This pays off in a well regarded product that meets appreciation among the stakeholders The European e-Leadership initiatives also rate high on the awareness scale

There are high awareness levels for the Grand Coalition and for the Digital Single Market, which were both announced through Commissioners, which obviously helps publicity Both still show, as yet, some gap between acknowledged relevance and perceived benefits Interestingly, the respondents’ general opinion reveals that expected benefits have not yet been fully exploited

Findings confirm once more the need for tailored education and training offers to fit the rapid pace of digital innovation as well as evolving industry requirements Dedicated and targeted efforts in improving the matching mechanisms of the new graduates and industry needs would definitely serve as a catalyst for addressing the challenge of e-leadership skills supply

Aligning curriculum development to industry needs is seen as ‘very important’, closely followed by the need for setting up new teaching and training programmes, formats and partnerships When it comes to the role

of on-job training, experts call on the importance of regular (re-) training of current employees and for convincing companies that the return on training and skills development investment is sufficient to offset the costs Respondents see development of suitably qualified talent through training mechanisms targeted

to employees as ‘very important’ for addressing current and future digital and leadership skills needs Boosting awareness among stakeholders and the wider public on the need of e-leadership skills in a rapidly evolving digital world is another of the vital components backed by respondent’s opinion

All ICT trends presented to the experts were believed to impact industry significantly Highest scoring answers are IT security, Mobile and Big Data as the most relevant, closely followed by Cloud Computing and IoT The majority of experts evaluate the impacts of ICT trends on the demand of skills as very high or high

IT security remains the most relevant, but is closely followed by Big Data, IoT and Artificial Intelligence Finally, experts largely share the assessment of the risks of a skills gap The increase of demand of specialized skills driven by all ICT trends is not expected likely to be satisfied by the labour market, the more

so the more disruptive and innovative a technology is These results are coherent with the analysis about the potential impacts of the main ICT trends and the disruptive nature of the combination IoT, Big Data and Cloud, which will pose the greater challenges in skills recruitment

According to the experts' survey, some of the actions to be taken could be:

 To integrate digital savviness in formal educational programmes relevant by industry

 To promote MBA-style training courses on digital savviness for managers

Some analysis of responses from particularly KETs, AMT and liberal professions was possible Although the overall results are generally in line with results presented so far, a few interesting observations can be made These observations are:

 Respondents from both, KETs and AMT, as well as liberal professions are slightly less aware of the proposed skills initiatives

 For liberal professions in particular, we also observe a lower perceived relevance and benefit of skills, digital and ICT related policy initiatives

e- With respect to the challenges respondents from these domains face, for KETs and AMT

“embedding technical multi-disciplinarity in the curricula” is considered among the top 3 key challenges

 Respondents from liberal professions advocate building awareness of e-leadership skills and also consider new teaching and training programmes for e-Leadership skills a key challenge that needs

Management Report Phase 1

Policy initiatives analysis and

Start of methodology development with PwC; working meeting in Bonn, 17 September 2015

IDC contributed questions on main technical trends

Survey and interview methodology and instrument completed

Complex online survey questionnaire programmed in Lime Survey

pleted

Com-Update information on latest EU

Member State policy initiatives

on e-leadership and digital

entrepreneurship education and

training (building on previous

achievements: Country Reports

from LEAD:

http://eskills-lead.eu/documents/ ) including

engaging with experts from EU

Member States and beyond on

e-leadership policy initiatives and

demand and supply statistics

Motivate stakeholders to ‘buy-in’

to e-leadership, ask them to

contribute to the development of

the Agenda on e-Leadership in

Europe (2016-2020) and start or

expand relevant activities

T1.1, T3.2

30 NOV 2015:

M04:

survey &

engaging

31 JAN 2016:

M06:

final report

EMP Start of development of contact lists

Contact lists completed

Total list of more than 300 initiatives and stakeholder partnerships in 10 categories from all over Europe screened for their relevance

multi-Applied selection criteria and shortlisted 20 initiatives with

a rather good geographical balance (spread across 14 countries) and a good mix of different e-leadership education and training types / categories and target groups

Conducted desk-research and approached relevant stakeholders to collect the needed information on the selected good practices

Final selection of these 20 initiatives for the analysis and development of abstract descriptions

e-leadership national policy experts contacted through an online survey, further interaction through mail exchanges, telephone conversations and interviews

e-leadership initiatives / multi-stakeholder partnership experts contacted through an online survey, further interaction through mail exchanges, telephone conversations and interviews

Status of survey execution (15 November 2015): 726 completed questionnaires (contractual obligation = 100) Data set preparation and development and analysis work started

Compilation of a dataset and graphics relating to KET results for PwC to support their analysis and reporting tasks

Final best practice initiatives abstract descriptions (20 cases)

Final survey analysis report (submitted as integral part of the Interim Report)

pleted

3 Those WPs and tasks without entry are not yet active

Collect and review initiatives and

policy development in the EU

Member States concerning digital

skills and e-leadership skills

requirements related to KET and

AMT including surveying,

interviewing and engaging with

stakeholders and experts from EU

Member States with a view to

identifying possible synergy with

e-leadership policy initiatives

Motivate stakeholders to ‘buy-in’

to e-leadership, ask them to

contribute to the development of

the Agenda on e-Leadership in

Europe (2016-2020) and start or

expand relevant activities

T1.2, T3.3

30 NOV 2015:

M04:

survey &

engaging

31 JAN 2016:

M06:

final report

PwC Developed contact lists of KETs and AMT stakeholders for

the survey Finalised methodology for searching, selecting and analysing relevant policy initiatives

Updated the initial database of KETs Skills-related initiatives with the recently launched initiatives Developed an Excel platform for the first filter in order to detect the initiatives that are relevant to e-leadership Applied the first filter to the total pool of initiatives and developed a list of initiatives (potentially) relevant to e- leadership

Based on additional desk-research, applied the second filter to the abovementioned list by checking if the pre- selected initiatives cover at least one of the three components of e-leadership (namely strategic leadership, digital savviness and business savviness)

Contacted relevant initiatives / multi-stakeholder partnership experts through an online survey, further interacted through mail exchanges, telephone conversations and interviews

Screened 100+ KETs-related initiatives for their relevance

to e-leadership Screened general 200+ e-leadership initiatives for their relevance to KETs

Shortlisted 20 initiatives, of which then selected the ones covering at least two of the three components of e- leadership That resulted in a list of 12 shortlisted initiatives

Applied qualitative selection criteria to select the final 5 out of these 12 These criteria included having a good geographical balance in the sample, a good mix of different KETs, a good mix of stakeholders and target groups

Based on the feedback from the Commission, updated the list of the shortlisted initiatives with additional examples related to Advanced Manufacturing Technologies Made the final selection of 5 initiatives for the analysis of good practices

Developed a template for the analysis of good practices Conducted desk-research and approached relevant stakeholders to collect the needed information on the selected good practices

Filled in the template for each of the selected good practices based on desk-research and communication with the relevant contact persons

Conducted a concise overall analysis of the collected data

on good practice examples Developed texts/inputs for the Interim Report

Finalised the methodology for the analysis of e-leadership skill needs for KETs and AMTs

Conducted initial desk-research to identify the key trends and developments related to e-leadership for each of the six KETs, as well as the key needs and challenges

On target

Surveying, interviewing and

engaging with stakeholders and

experts from professional bodies

representing liberal professions

at European level and in the EU

Member States on digital and

e-leadership skills needs Motivate

stakeholders to ‘buy-in’ to

e-leadership, ask them to

contribute to the development of

the Agenda on e-Leadership in

Europe (2016-2020) and start or

expand relevant activities

T3.4 31 JAN

2016:

M06

PwC Finalised the methodology for the analysis of e-leadership

skill needs for liberal professions Conducted initial desk-research to identify the key trends and developments related to e-leadership for each of the six liberal professions, as well as the key needs and challenges

Started developing contact lists for potential interview candidates

Conducted one interview with a representative of accountancy

Finalised the list of potential interviewees for all liberal professions

In close consultation with the Commission, selected accountants for in-depth analysis

Approached the identified interviewees Started conducting interviews to collect the required data Conducted 10 interviews with representatives of liberal professions

Consolidated the collected data and conducted analysis of the results

Developed texts/inputs for the Interim Report

On target

Trends monitoring and analysis WP1

Monitoring and analysis of the

latest business, industrial and

technological trends and

developments and their impact

on the labour market, new

business models and

organisations designs and on the

evolution of the needs and

demand of digital and

e-leadership skills

T1.3 31 DEC

2015:

M05

IDC Agreement with IDC on approach, methodology, content,

format and time schedule of report

Preparation of a subcontract draft

Engaged in desk research on main public sources and IDC research in view of the draft trends report due mid- November

Delivery of first draft report to empirica

Working on and inclusion of change requests and comments

Delivery of second draft report for distribution to experts attending the workshop no 1

Presentation and expert discussion at workshop, followed

by finalisation and final submission to the EC and EASME

pleted

Com-e-leadership curriculum

guidelines consolidation &

maintenance

WP2

Preparation of the consolidation

and maintenance of e-leadership

guidelines and curriculum

pleted

Com Governance and

management model: format, partners, responsibilities

31 JAN 2016:

M06+

EMP Preparation of meeting with key stakeholders

Meeting with key stakeholders in BXL 30 September 2015 Continuation of discussion about governance and service provision body

Start of development of further discussion paper and specification of value propositions of stakeholders involved

Further discussions with above stakeholders

Specification of governance and service model in the Working document on “European guidelines for curriculum development for e-leadership skills” (see below) submitted to the EC on time

pleted

Com-Working document on “European

guidelines for curriculum

development for e-leadership

skills” which could be further

developed and adopted by the

CEN ICT Skills Workshop

(Proposal for a CEN Workshop

Document)

T2.2 31 JAN

2016:

M06

EMP Preparatory activities and meetings to discuss scope,

content and format Further development of Working Document preparation (for more details see above)

Submitted to the EC on time Presentation at next Plenary meeting of the CEN ICT Skills Workshop on 14 April 2016 in Paris

pleted

Com-WORKSHOP No 1: Expert views,

contributions, feedback on

progress and key elements in

draft interim report (phase 1:

M01-M07)

T5.3 16 DEC

2015:

M05 Moved to

22 January

2016

EMP Preparatory activities

In agreement with André Richier, EC the workshop was postponed to a date in late January 2016 which much better fits the delivery schedule of the assignment

Development and agreement on workshop agenda in close cooperation with the partners and the Commission

Development of list of invitees in close cooperation with the partners and the Commission

Invitation of experts to workshop

Handling of responses, open issues, questions and requests of invited experts

Status as of 31 December 2015: 15 experts confirmed attendance (contractual obligation: 10)

Workshop successfully completed Report under development for delivery in first week of March 2016

poned; almost

EMP Continuation activities completed and reported about in

Interim Report Com-pleted

Labour market disruptions –

analysis of the role of business,

industrial, technological and

globalisation trends and

developments – and the

implications on work and digital

skills, e-leadership skill

requirements and development

(education & training) and the

world-wide competition for talent

in the future Collection, review

and analysis of relevant

information and the most recent

academic papers, books and

reports as well as publications

from international organisations

(e.g OECD etc.) and leading think

tanks, consulting organisations

etc on e-leadership, related

topics and issues and labour

market disruption (e.g including

OMS Agreement with Carl Frey and Thor Berger (OMS) on

approach, methodology, content, format and time schedule of report

Preparation of a subcontract draft

Subcontract signature

Delivery of first draft report to empirica

Discussion of draft report with the EC

Working on change requests and comments

Delivery of second draft report

Working on comments and further change requests

Delivery of third draft report for distribution to experts attending the workshop no 1

Presentation and expert discussion at workshop, followed

by finalisation and final submission to the EC and EASME

pleted

Com-WORKSHOP No 2: Expert views,

contributions, feedback on key

elements of the draft of the

proposal for a European

EMP Agreement with the Commission on the title and

objectives of the workshop: Software – what needs to be done for Europe to move from ‘use’ to ‘creation’

Preparation of a first outline of an agenda with the description of background information and workshop objectives and agenda

Continuous cooperation with Aalto University in the further development and refinement

Research on and identification of relevant cases and experts for presentation at the workshop

Discussions with the Commission

First approval of the Commission and decision to continue

First proposal for a European

WORKSHOP No 3: Expert views,

contributions, feedback on

progress and the draft revised

version of the European

e-Leadership Agenda 2016-2020

T5.3 15 SEP

2016:

M14

EMP Development of draft agenda and exchange with the EC

Contacting of and discussions with speakers; confirmation from several speakers

Preparation of expert list (invitees) and of invitation mailing

Ahead

of schedule

Revised proposal for a European

Dissemination and Promotion WP5

Dissemination and promotion

M14 (SEP), M15 (OCT), M16 (NOV), M17 (DEC), M18 (JAN)

EMP

Workshops T5.3 EMP see above

Brochure T5.4 31 JAN

2017 M18

e-Leadership Demand and

Supply, Scoreboard and

Update of e-leadership skills

demand and supply and forecasts

2016-2020

31 OCT 2016:

M15

EMP, IDC e-Skills:

Discussions and agreement with IDC on how to support the service contract on the development and

implementation of a comprehensive Framework for the IT profession in Europe with respect to updating the latest e- skills demand and supply and forecasting figures

Agreement and contract signature for use of online vacancy data provided through Jobfeed

(http://www.jobfeed.com) to estimate the number of open posts for ICT professionals Together with Jobfeed analysis of online job postings that mapped to the definition of ICT jobs according to ISCO

Development of an update of the working paper on Skills in Europe - Trends and Forecasts for the European ICT Professional and Digital Leadership Labour Markets (2015-2020)’

‘e-Presentation to and discussions of results with representatives from DG GROW and CNECT on Brussels

Announcement of working paper at the ‘e-skills for jobs’

event organised by the Commission and the EU-Presidency

of Luxembourg on 15 December 2015

e-Leadership skills:

Investigation of alternative data sources and methodological approaches for the quantification of e- leadership skills supply and (excess) demand (big data analytics)

Identification of suitable data sources and providers of vacancy data appearing on the Internet

Discussions with job vacancy data providers including visit

in Amsterdam

Investigation of alternative indicator options and ways for capturing e-leaders and e-leadership skills following a big data / data analytics approach based job vacancy data

Familiarisation with data analytics tools like R and development of scripts for data analysis

Pilot data analysis based on job vacancy data sets

Finalisation of first useable keyword query for use on vacancy data sets in different languages in different countries

Initial e-leadership vacancy data results obtained for Germany

Finalisation of keyword query for use on vacancy data sets

in different languages in different countries

Agreement on and signature of contract with textkernel for using Jobfeed for applying the above ‘big data’

approach for their vacancy databases for Germany, Austria, the UK and France

e-leadership vacancy data results obtained for these countries

Ahead

of schedule

WORKSHOP No 4: final

workshop; Expert views,

contributions, feedback on

progress and the final version of

the European e-Leadership

Agenda 2016-2020 and

e-leadership skills demand and

supply and forecasts

T5.3 31 OCT

2016:

M15

EMP

Management and Reporting WP7

Monthly Management Reports T7.1 Monthly EMP Continuous activity

D1: Inception Report T7.2 M02 (30

SEP 2015)

EMP Delivered and approved by EASME

Com-pleted D2: Working Document:

Guidelines (proposal for CEN

Workshop Document)

T7.3.1 M06 (31

JAN 2016)

EMP Completed and submitted on time

pleted D3: Interim Report D7.4 M07 (28

Com-FEB 2016)

EMP Completed and submitted on time

Com-pleted D4: Working Document: e-

Leadership Agenda

T7.3.2 M14 (31

AUG 2016)

EMP

Brochures (in all EU languages) T5.4 M18 (31

JAN 2017)

EMP

D5: Final Report T7.5 M18 (31

JAN 2017)

EMP SC Meeting no 1: Agreement with the EC to aim for

written comments and statements from the SC members

Submission of written comments by three SC members by end of February Start of incorporation in final version of the Interim Report

Deviations

None

Corrective actions and revised work plan

Not necessary

1 Introduction

Authors: Tobias Hüsing, Eriona Dashja, Werner B Korte, empirica GmbH

If Europe is to compete, grow, and generate jobs in the 21st century, it must address the current acute shortage of talent capable of leading the innovation needed to capitalise on advances in new digital technologies Economic growth to create jobs requires that innovation opportunities are identified and effectively exploited This in turn demands good e-leadership skills These are the skills that lead towards designing business models and taking advantage of innovation opportunities, making best use of digital technologies, and delivering value

Europe will need 200,000 additional innovation e-leaders by 2020, or 40,000 per year Without further action to be taken in addition to those already started in the European e-Leadership Skills Initiative (www.eskills-guide.eu; www.eskills-lead.eu) by all stakeholders concerned Europe will not be in a position

to create the required number of 40,000 innovation e-Leaders per year There is a job to do! With a new European Commission initiative on ‘Promotion of e-Leadership Skills in Europe’ (www.eskills-scale.eu) a comprehensive agenda (2016-2020) for e-leadership will be elaborated The new agenda is to take digital education and entrepreneurship policies fully into account, as well as addressing labour market disruptions resulting from ICT developments and integrating new analyses of leadership skills for liberal professions such as doctors and lawyers The agenda is to be broad enough to exploit synergy with emerging leadership skills requirements in businesses exploiting Key Enabling Technologies, and is to be explicitly international

in scope Throughout Europe all stakeholders concerned - national and European policy makers and governments, higher and executive and other education and training providers, industry and professional associations - are invited to join forces in this initiative with those already actively pursuing actions in this area

1.1 Statistical figures

e-Leadership is of crucial importance for companies and industry to excel in their business operation and key to using new digital technologies for innovation and transformation, managed in a relevant organisational context and embedded in the business strategy

Latest forecasts of empirica (www.empirica.com) for the European Commission show that demand is growing throughout European industry to improve the quality of e-leadership While no official statistics exist to date regarding the demand or supply of e-Leadership skills, an estimate for the year 2013 quantifies the number of innovative e-leadership positions in Europe to be in an order of magnitude of 568,000 workers Extrapolating growth trends to today, there are probably 620,000 innovation e-Leaders in Europe

in 2015 A majority of almost 60% comes from the business units in companies and not from IT departments

Forecasting e-leadership demand even further into the future, we rely on estimated growth rates in analogy to the most highly skilled ICT positions As a result demand is estimated to reach 776,000 in 2020 Taking account of expansion and replacement demand, Europe will so need 200,000 additional innovation e-leaders by 2020, or 40,000 per year There is a job to do!

1.2 Objectives

The European Commission sees the need to keep momentum relating to e-leadership skills going and provide consolidation to these efforts in 2015-2016 The aim is to promote e-leadership skills and give recommendations on how best to provide Europe with a larger talent pool of highly-skilled entrepreneurs, managers and professionals A comprehensive agenda (2016-2020) for e-leadership will be elaborated Key stakeholders throughout Europe are asked to join forces in this initiative with those already actively pursuing actions in this area Such a joint action will allow stakeholders to benefit from a coordinated approach across all EU Member States and involving relevant actors at the European Commission

integrating a multitude of perspectives into a coherent framework with a clear allocation of task and responsibilities and a clear financing and funding plan with the specification of the necessary funding sources and access to these which is endorsed by all stakeholders concerned

The general goal of the service contract – which is part of the activities of the EU e-skills strategy – is aimed

at “promoting e-leadership skills and providing Europe with a larger talent pool of highly-skilled entrepreneurs, managers and professionals.”

As already outlined in previous reports on e-leadership for the European Commission starting with the report on ‘e-Leadership: Vision, Roadmap and Foresight Scenarios’ released in April 2013 and as outlined in the Terms of Reference the European Commission clearly states that the economy of the 21st century is increasingly demanding leaders with a T-shaped portfolio of skills, having expertise in new technologies and the development of successful and efficient organisations They are of crucial importance for growth, innovation, competitiveness and job-creation in Europe

The European Commission sees the need “to keep momentum [relating to e-leadership skills] going, provide consolidation to these efforts in 2015-2016, and elaborate a comprehensive agenda (2016-2020) for e-leadership This should better take into account digital education and entrepreneurship policies Labour market disruptions and the need for new skills for "liberal professions" should be further explored

It is also necessary to broaden the agenda to foster synergy with related skills issues in Advanced Manufacturing Technologies and Key Enabling Technologies and better address the international dimension.”

1.3.1 A new agenda

At the heart of the present service contract is the development, validation and dissemination of a new, comprehensive policy agenda on e-leadership, including support to execution of early agenda actions The

new EU e-Leadership Agenda 2016-2020 is to be built on results of the European Commission e-Leadership

Initiative, particular the activities defining the vision for e-leadership, developing new curricula for skills supply, fostering e-leadership skills and investigating skills for KETs

Once drafted, the new agenda is to be validated with key stakeholders In particular, acceptability of Agenda actions for Member States (Member State buy-In) is to assured by obtaining feedback directly from

a number of Member State governments and stakeholders The validated agenda is then to be taken forward to a wider public in a high profile, pan-European conference, triggering wide dissemination

1.3.2 Agenda contents

The e-Leadership Agenda 2016-2020 is to include concrete actions at EU and Member State level recommended to build up the supply of a comprehensive range of e-leadership skills and ensure their future optimal availability throughout European enterprise Actions are to be linked to specific targets, set

in quantitative terms where appropriate, and actions and targets will be given an indicative timeline for implementation, which may include implementation during the proposed service contract For all actions, the resources needed will be specified to the extent possible, and linked to opportunities for making use of existing financial and funding instruments at EU and Member States level To minimise overlap and maximise effectiveness, governance mechanisms capable of delivering necessary coordination will be proposed

4 It is recommended that the new agenda for e-leadership have a clear and communicative title such as this, the "European Agenda on 21 st Century Leadership Skills 2016-2020" Of course, the title for the agenda to be used will be that agreed with EASME / Commission Services

1.3.3 Agenda comprehensiveness

The agenda is to significantly extend the current scope of the European Commission e-leadership initiative The initial scope focused on developing the supply skills for e-leadership in large corporations - innovation leadership at C level - and e-leadership in SMEs, for entrepreneurs, start-ups and gazelles The scope is to

be extended to include

 synergies with skills requirements for leadership in businesses exploiting Advanced Manufacturing

Technologies

 synergies with skills requirements for leadership in businesses exploiting Key Enabling Technologies

 skills for e-leadership in liberal professions

 opportunities for applying e-leadership skills to address present and expected disruption in the labour market, particularly those triggered by (information) technology development

 the international dimension of e-leadership skills, including impacts of the global talent competition

and requirements from cross-border processes and services

1.3.4 Supporting early action

Early actions of the Agenda include in particular ensuring continued exploitation of the results of prior action in the European Commission e-Leadership Initiative and providing monitoring and progress tracking services centring on up-to-date pan-European statistics Results of prior action to be addressed are in

particular consolidating and maintaining the guidelines and profiles for new curricula and taking these forward into the work of European standardisation (CEN) Launch and implementation of action in the e-Leadership Agenda are to be supported by updated and adapted statistics and scoreboard for e-leadership, enabling comparison of initial status of agenda targets and progress towards Agenda objectives

1.3.5 Time schedule

The initiative was started in August 2015 and will run until January 2017 with first versions of the Leadership in Europe (2016-2020) agenda document already becoming available in early 2016 to then be iteratively further developed by all stakeholders involved until the end of 2016 laying down the necessary policy and other actions for the years to come The new agenda is to take digital education and entrepreneurship policies fully into account, as well as addressing labour market disruptions resulting from ICT developments and integrating new analyses of leadership skills for liberal professions such as doctors and lawyers The agenda is to be broad enough to exploit synergy with emerging leadership skills requirements in businesses exploiting Advanced Manufacturing Technologies and Key Enabling Technologies, and is to be explicitly international in scope

e-The aim is to promote 21st century leadership skills and provide Europe with a larger talent pool of skilled entrepreneurs, managers and professionals

highly-The contract is carried out by empirica in cooperation with PwC EU Services, IDC Europe and Carl Frey, Oxford Martin Programme on Technology and Employment, Oxford Martin School, University of Oxford together with Thor Berger, Department of Economic History, Lund University & Oxford Martin Programme

on Technology and Employment, Oxford Martin School, University of Oxford

1.3.6 Format of the present report

The present report is to be seen as an interim report It presents the results of the first phase of the service contract for the European Commission Following the introductory chapter 1 these include in chapter 2 the report on ‘The Digital Economy: Implications for the Workforce’ written by Carl Frey and Thor Berger from the Oxford Martin School at Oxford University, followed in chapter 3 by the IDC on ‘Business, Industrial and Technology Trends and Impact on e-Leadership Skills’ These reports address the Commission requirement

to provide a trends monitoring and analysis and an analysis of the labour market disruptions and the implications on the workforce and related skills demand

Chapter 4 addresses the Commission requirement to report about the past and present understanding of and visions about e-leadership skills and relevant European initiatives and first achievements of these Chapter 5 provides an updated description of initiatives in the field of e-leadership skills for digital and key enabling technologies throughout Europe as asked for by the Commission It provides the results of the analysis of the larger number of initiatives identified with a presentation of the best practices

In the final chapter 6 the results of the stakeholder survey and engagement activities are reported which were supposed to involve 150 experts and stakeholders in interviews and a survey In the very end we managed to involve more than 700 experts from all over Europe

All chapters and reports referred to in this report have undergone revisions after considering and incorporating the comments and recommendations from the experts at the first workshop and those from the Steering Committee members, all of which are highly appreciated

2 The Digital Economy: Implications for the Workforce

[Separate Report: Digitalization, Jobs, and Convergence in Europe: Strategies for Closing the Skills Gap]

Authors: Carl Frey, Oxford Martin Programme on Technology and Employment, Oxford Martin School,

The potential scope of automation recently has expanded beyond routine work as technological advances

in Machine Learning (ML) and Mobile Robotics (MR) have brought a wider range of more complex tasks into the domains of computers (Frey and Osborne, 2013) These technological advances may affect job creation and skill demands in Europe over the next decades According to some estimates, as many as 54 percent of current jobs in the EU27 could be computerized as a result; including many low-skill jobs in construction, logistics, and services (Bowles, 2014) The implications of these trends are also already being widely perceived by firms: for the fourth survey in a row, the perceived importance of automating and/or improving business processes had increased in the McKinsey Global Survey—in the most recent wave, more than half of respondents cite it as a top-three priority for their organization.5

Although technological change is rapidly destroying jobs and transforming others, it also creates entirely novel types of jobs and industries; app development, big data analysis and software design are all examples

of new work created in the wake of the digital revolution A growing body of work, however, suggests that the pace of new job creation has slowed since the Computer Revolution of the 1980s Estimates by Lin (2011), for example, show that while 8.2 percent of the US workforce shifted into new jobs in the 1980s, that share had fallen to 4.4 percent in the 1990s A recent study by Berger and Frey (2015a) similarly shows that a meagre 0.5 percent of US workers are employed in technology-related industries—such as audio streaming and online auctions—that have been created in the twenty-first century.6 Although the data is not available to repeat these exercises for European countries, these estimates suggest that the digital revolution has not created new employment opportunities to the same extent as technological revolutions

of the past—as aptly summarized by Bart van Ark (2014, p.11): “while they may be cool places to work, ICT producers are still not net job creators in Europe.”

While new technologies have not created many new jobs directly, the arrival of new technologies is, however, significantly changing the demand for skills beyond the technology sector: across occupations and industries new job tasks are emerging as technologies are being implemented As a result of these trends

5 McKinsey (2015a)

6 It shall be noted that these figures are not directly comparable, and that estimating the share of new jobs resulting from the emergence of new technologies is associated with some measurement problems Nevertheless, they remain suggestive of a downward trend in new job creation

the vast majority of workers will be required to have (at least) basic digital skills Yet, some 10 percent of European workers—as many as one in four in countries such as Poland—lack fundamental skills such as using a mouse or navigating a web browser Meanwhile, forecasts suggest that there will be a shortfall of digital professionals, which may lead to as many as 756,000 unfilled vacancies in ICT jobs by 2020, of which around 226,000 are at management level, though such estimates have a wide margin of error.7 Among managers, especially advanced analytics skills are in shortage: some 73 percent of respondents to a recent survey conducted by the Harvard Business Review, stated that data analytics was extremely important to their business, while only one in five managers rated their skills as “high” in this area.8

2.1 Implications for liberal professions

Authors: Mark Lengton, Kristina Dervojeda, PwC

As the liberal professions constitute part of the workforce, they of course are affected by digitalisation as well Some liberal professions may start to experience profound changes in their way of working, with automation of relatively standard – but time consuming – tasks to meet a growing demand for efficiency in the professions.9 Especially those professions that have a relatively high degree of work that can be standardised run the risk of becoming increasingly more automated in the next two decades.10

Jobs that involve empathy, rely on creative thinking, or require a high degree of social intelligence and negotiating skills are considerably less likely to be automated In contrast, jobs that do not rely on a high degree of social intelligence may see a large part of their work become automated in the next 20 years.11

Putting this in the perspective of the liberal professions, this implies that some are considerably more at risk of becoming automated Whereas the medical and civil engineering professions are relatively less exposed to become automated, the particularly more administrative tasks in the legal and accountancy professions entail a relatively high likelihood of becoming computerised In fact, it has been suggested that over 40% of the jobs in Law and Business are at risk of becoming computerised, compared to less than 10%

of the jobs in Medical and Health Sciences and Services.12

Table 2-1: Automation risk for selected liberal professions13

Architects (except Landscape and Naval) 1.8%

Healthcare Practitioners and Technical Workers 5.5%

Landscape Architects 45%

Architectural and Civil Drafters 52%

Accountants and Auditors 94%

Paralegals and Legal Assistants 94%

Clearly, some of the liberal professions are bound to experience changes to their ways of working and will need to find a way to adapt This is particularly the case for law and accountancy, with additional skills

7 Tobias Hüsing, Werner B Korte, Eriona Dashja: e-Skills in Europe - Trends and Forecasts for the European ICT Professional and Digital Leadership Labour Markets (2015-2020) empirica Working Paper, November 2015

8

Harvard Business Review (2015)

9 Susskind, R., & Susskind, D (2015) The Future of the Professions: How Technology Will Transform the Work of Human Experts OUP Oxford

10 Frey, C B., & Osborne, M A (2013) The Future of Employment: How Susceptible are Jobs to Computerisation? Oxford Martin School Working Paper

11 Ibid

12 Berger, T & Frey, C B (2015) Digitalization, Jobs, and Convergence in Europe: Strategies for Closing the Skills Gap Oxford Martin Programme on Technology

and Employment, Oxford Martin School, University of Oxford

13 Frey, C B., & Osborne, M A (2013) The Future of Employment: How Susceptible are Jobs to Computerisation? Oxford Martin School Working Paper

requirements in accountancy making the need to adapt to the digital economy an even more pressing matter Section 4.5 of this report will go into further detail regarding the (e-)Leadership skills requirements that follow from the developments in the professions

3 Business, Industrial and Technology Trends and Impact on Leadership Skills

e-[Separate Report: Business, Industrial and Technology Trends and Impact on e-Leadership Skills]

Authors: Gabriella Cattaneo, Marianne Kolding, Rosanna Lifonti, IDC Europe

Executive summary

The innovation push of the main ICT trends and KETs will generate in the years to 2020 strong transformational impacts on the EU economy and society, driving a strong increase of demand of ICT, R&D but especially e-leadership skills The demand of e-leadership skills varies by type of technology trend and type of skills, but Big Data, the Internet of Things and the combination Cognitive systems/Robotics are likely

to generate the most disruptive impacts and drive the highest demand of e-leadership skills Both IDC research and the experts' opinions converge on these conclusions Approximately 70% of the experts surveyed agree that the increase of demand of skills will create a very high risk of skills gaps in Europe However, experience says that complaints about the difficulty of sourcing skills do not necessarily translate into a concrete increase of employment, if skills become available There are all kinds of mismatches between demand and supply which must be dealt with (from unrealistic expectations, to wrong timing, to mismatched geographical location: supply in Europe is not always available where demand is) Therefore, the demand of IT skills is more likely to translate into demand for training and specialized certification for existing IT employees and managers than into the creation of new, additional jobs

Nevertheless, the innovative nature and technology profiles of some of these trends, particularly Big Data and IoT, will definitely create demand for genuinely new skills and, thanks to the potential of increasing business revenues, also the creation of new jobs

4 e-Leadership Skills: from Vision to Achievements

Chapter 4 addresses the Commission requirement to report about the past and present understanding of leadership skills and visions about e-leadership skills and relevant European initiatives and first achievements of these It is divided into sub-chapters which present the achievements in a chronological order starting with activities developing a first vision in 2012-2013, the European e-leadership initiative and its expansion towards SMEs in 2014-2015 Resulting from the KETs activities of the European Commission

e-an e-analysis of the e-leadership skills for KETs is provided followed by e-an elaboration of e-leadership skills for liberal professions as demanded by the Commission

Finally, an overview of the recommendations and proposals for action from these initiatives are provided which the Commission expects the present activity to build on

e-leadership skills are to be seen as a key ingredient to foster Europe’s competitiveness and innovation potential The term e-leadership was coined by the European Commission back in 2012 and goes back to the e-Skills Forum definitions in 2004

e-Leadership skills are the skills required of an individual in the modern economy to initiate and achieve digital innovation:

 Strategic Leadership: Lead

inter‐disciplinary staff, and

influence stakeholders across

boundaries (functional,

geographic)

 Business Savvy: Innovate

business and operating

models, delivering value to

organisations

 Digital Savvy: Envision and

drive change for business

performance, exploiting digital

technology trends as

innovation opportunities

These are depicted in the e-leadership

triangle

4.1 e-Leadership skills vision and roadmap 2013

Authors: Tobias Hüsing, Eriona Dashja, Werner B Korte, empirica GmbH

The foundations for research on e-leadership were laid with the European Commission’s activity on Leadership – Skills for Competitiveness and Innovation” The ultimate objective of this activity is to help reducing innovation skills shortages, gaps and mismatches in Europe, by providing sound, unbiased empirical evidence how the supply and demand for different types of e-skills is evolving in Europe, acknowledging the importance of e-skills for competitiveness and innovation To this end, the study developed a shared, coherent vision how supply and demand of e-skills may evolve under different economic scenarios The aim was to encourage and facilitate the dialogue and cooperation between policy makers and relevant stakeholders at the EU and national levels about the implications and required actions

“e-to be taken “e-to address skills gaps and shortages

A special focus of the study is on higher-level innovation skills (which we call “e-leadership skills”) next to the analysis of the supply-demand developments for ICT practitioner and ICT user skills For the former a definition and framework was developed together with first quantitative estimates of an e-leadership skills supply and demand in Europe For ICT practitioners and professionals scenario-based supply and demand forecasts for the periods up until 2015 and 2020 were developed which revealed a significant excess demand of e-skills in Europe The study has contributed to the ‘Grand Coalition for Digital Jobs’

The reports of this service contract can be downloaded at: www.eskills-vision.eu

4.2 e-leadership skills curriculum guidelines and profiles 2015

Authors: Tobias Hüsing, Eriona Dashja, Werner B Korte, empirica GmbH

The European Commission DG GROW in 2013 launched a strategic initiative on the development for Leadership skills in Europe As part of this initiative, a services contract on ‘European Guidelines and Quality Labels for New Curricula for e-Leadership Skills’ was commissioned, to develop, demonstrate and disseminate European guidelines and quality labels for new curricula fostering e-leadership skills Active cooperation with key stakeholders has taken place to ensure that the European guidelines and quality labels are effective and sustainable in the marketplace and that they result in an offer of a broad portfolio

e-of quality-assured new curricula fostering an appropriately full range e-of e-leadership skills

The prime objective of this working document is to prepare a working document in liaison with experts from the CEN ICT Skills Workshop including detailed specifications based on the guidelines and curriculum profiles with a view of preparing for the elaboration of a CEN Workshop Agreement which could be adopted by the CEN ICT Skills Workshop at the end of 2016

The new curricula are firmly based on market needs and capitalise on current best practice, including work

by multi-stakeholder partnerships, universities, business schools and industry led initiatives

The target groups for the guidelines are:

 ICT professionals and managers, entrepreneurs and freelancers (professionals who need leadership skills) and enterprises, SMEs and start-ups in all sectors with a particular focus on Chief Information Officers – CIOs - in larger enterprise;

e- Business managers and professionals who have hybrid skills and increasingly take a key part in

e-leadership initiatives via roles such as business architects and digital business managers

 Enterprises in all sectors with a particular focus on "gazelles" seeking to develop cross-border business and/or competitive advantages with ICT

New technological trends are thoroughly integrated in the whole approach

All the activities have built on the findings and recommendations presented in the reports: “European Guidelines and Quality Labels for new Curricula Fostering e-Leadership Skills” (http://www.eskills-guide.eu),

“e-Leadership Skills for SMEs” (http://www.eskills-lead.eu), “e-Leadership: e-Skills for Competitiveness and Innovation: Vision, Roadmap and Foresight Scenarios” (http://www.eskills-vision.eu) and “Towards Quality Labels for Training Fostering E-Skills for Competitiveness and Innovation” (http://www.eskills-quality.eu)

A central element of the Guidelines on fostering e-Leadership in Europe is a portfolio of e-Leadership Curriculum Profiles The new concept of a Curriculum Profile is to capture the essential elements of any educational offer qualifying for e-leadership positions, in particular by specifying key learning outcomes Those successfully completing a course of education compliant with a Curriculum Profile are expected to exhibit top performance in key e-leadership roles in the economy

Curriculum Profiles are to have concise learning outcomes and to be mapped for transparency to the emerging standard European e-Competence Framework e-CF Learning outcomes for a Profile are identified through analysis of the responsibilities and benefit delivery expected of the role Experts in delivering best-

practice programmes specify critical elements of the learning experience for successful delivery of the defined learning outcomes

The portfolio of Curriculum Profiles is to reflect the sets of e-Leadership competencies required in a modern economy, and the portfolio is to increase transparency in the vast and increasing offer of programmes and courses by institutions of higher and executive education in Europe Curriculum Profiles can be referred to by higher/executive educational institutions (HEEIs) wishing to implement new curricula

or adapt educational offers delivering e-leadership skills Given compliance, they can be used as reference for positioning existing educational offerings

The Quality Label is to be a tool for supporting the development, demonstration and dissemination of new curricula fostering e-leadership skills Starting point for the label are specific quality criteria for educational offers that aim at enabling e-leadership performance of individuals The adoption of widely agreed quality criteria when awarding a label for e-leadership education is expected to help to increase transparency for potential learners and their employers as well as their trust in what they get for their investment in e-leadership education programmes

The Quality Label is designed to assure that education in e-leadership through a designated programme:

 contributes sustainably to the acquirement of e-leadership skills and competences when successfully completed

 is regularly and effectively aligned to the needs of present and future employment and entrepreneurship markets as well as to predictable developments in science and technology

 is continuously improved including the relevant stakeholders from the point of view of the offering institution - at least teachers, learners and profession/employers

Starting point for the Quality Label is the market demand for e-Leadership competency, the learning outcomes of education and training that enable the learners to be successful in an e-Leadership role This aspect of the Quality Label makes use of the new e-Leadership Curriculum Profiles In this way the Curriculum Profiles offer a reference for the quality ambitions of a programme or course They are not intended to represent a complete set of quality criteria appropriate for the e-leadership curriculum quality label These criteria have been developed in all of three key quality domains: market demand, academic rigour and transparency

The requirements for curriculum profile content, the design of curriculum profiles and of the portfolio of such, and the design of the proposed quality label are described in more detail in the reports of this service contract can be downloaded at: www.eskills-guide.eu

4.3 e-leadership skills for SMEs and start-ups training offers and demonstrations 2015

Authors: Tobias Hüsing, Eriona Dashja, Werner B Korte, empirica GmbH

4.3.1 Guidelines for designing e-Leadership training and education

SMEs and start-up companies are also very diverse in terms of technological, organisational and value chain set-up and hence differ considerably regarding their needs for fostering e-leadership skills A framework for e-leadership offers has been developed taking into account the different strands of input to creating e-leadership curricula and offers for SMEs

In line with the e-leadership skills definition, any education for e-leadership should obviously serve the first order goal of exploiting digital technologies for innovation As e-leadership constitutes a merger of three competence areas, e-leadership offers may address all three areas, or focus on one or two of the areas when they complement existing skills and competences

e-Leadership exploits nascent or emerging technological trends that are ready for deployment Therefore, e-leadership adapts to the moving frontier of digital development and experiments with its deployment in the market Current major trends such as Mobility, Cloud Computing, Big Data analytics, Social Media Technologies, Internet of Things, Customer Experience IT and IT Security, will obviously need to be revisited and kept up to date on a continuous basis

Research based foundation of the design of educational offers

These technology trends need to be discussed and consulted about with actual, successful SMEs, which are fast growing gazelles eager to expand their activities across borders A theoretical notion, or definition, of e-Leadership and the emerging technological trends need to be confronted with real life leadership demands, SME needs for skills and analysis of barriers they experience to feed this insight into the design of educational offers

4.3.2 What is an e-Leadership training offer?

e-Leadership can be described as a combination of leadership, business and digital savvy, whereby the traditional separation between IT and other business functions entails that often leaders have deep skills in one area and savvy in another

What makes an educational offer an e-leadership offer? Three criteria are applied:

 Target group fit: the offer is targeted towards business owners and entrepreneurs rather than

junior professionals or students with no significant work experience Where professionals are included, they are senior professionals with an advanced skills level and decision making powers For medium sized enterprises, the target group is to be found at executive level

 Digital applicability: If the subject is not IT itself, its applicability to an IT based enterprise should

be visibly part of the curriculum

 Skill level fit: the learning outcomes are at a level above bachelor degree level, i.e they might be

(parts of) modules taught in an MSc course

Additionally, at least one of the following criteria should be found in the education offer:

Definition

Digital innovation

and transformation

Business opportunities and challenges of

• Mobility

• Cloud Computing

• Big Data analytics

• Social Media Technologies

• Internet of Things

Implications for practitioner and e-leadership skills

in SMEs and ups

start-Industry needs

Tech trends applicability and implications

Currents skills shortages and gaps

Learning and training reality, skills acquisition

Experiences and requirements with HEEI

Content & format wishes

Education

Existing courses and programmes

Existing policies and initiatives

Best practice and lessons learnt

Gaps between programme supply and demand

 Innovation focus: the business innovation/transformation potential of a particular issue is part of the offer

 Business relevance: rather than being a purely academic exercise, the focus is on application in a professional or organisational context

 Strategic relevance: the strategic significance of technology for business is taught alongside its

“technical” application

4.3.3 Diverse pathways to e-leadership are indispensible

E-Leadership skill profiles of SME leaders can usually not be attained as the result of just graduating from

an e-Leadership programme at a university Rather, e-Leadership usually is the result of different working experiences during a career, of education and training and even of more informal learning experience such

as mentoring and coaching

As e-Leadership skills depth evolves and develops, enterprises’ e-Leadership needs will usually be either about taking the next step (sometimes leap-frog) on the e-Leadership ladder, or about diversifying and complementing existing skills at the same level

The e-Leadership journey may go from awareness and curiosity raised through specific measures which serve as eye openers for trends and opportunities to developing a vision for digital transformation and innovation potential Such a vision will have to be translated into a plan giving direction for implementation Through information events and open (MOOC like) lectures larger numbers of individuals from the target groups are familiarised with the topic and develop their own vision In more focused or customised events to follow, individual needs assessment based on the individual business case and skills portfolio may be undertaken Further stages in this journey may include training in specific e-Leadership skills and competences through a variety of offers including traditional education programmes, specific training courses and – probably most applicable for SMEs – coaching, consulting and the co-creation of knowledge

The courses demonstrated by institutions of Higher and Executive Education map on this journey and serve different e-Leadership needs of SMEs and entrepreneurs at different stages e-Leadership needs also vary between the more operational and the more strategic as well as between the digital and the business side

of the continuum of course content or learning outcomes Prospective learners with either business or IT background may choose various entry points, for instance deciding to improve on the operational level (a more conservative choice) or jump to the strategic skills (a more courageous choice)

There should be ample opportunity for education and training providers of different type to develop and offer suitable training programmes and courses for the different stages of this e-Leadership journey Apart from universities and business schools, providers may include professional or industry academies, training providers of the chambers of commerce, coaching and consulting organisations but also publishers and other content providers as new players in this market

Higher Education and commercial or semi-commercial training and learning material providers are well positioned to offer a variety of courses and programmes, online or offline Consulting and coaching might

be best suited to be tailored to the specific needs of the enterprise and are offered also by commercial enterprises as well as in the framework of multi-stakeholder partnerships

The e-Leadership journey as a framework for e-leadership business demand and education and training offers

In order to respond to the large demand for e-Leadership skilled workers, the education and training systems in all EU Member States need to become active quickly A mixture of means of e-Leadership skills provision seems to be appropriate including MOOCs which offer the highest level of scalability and potentially reach large numbers of individuals at a time However, a survey of MOOCs currently available has shown that there is only limited coverage of the e-Leadership topic on the market right now

Vendor and product training and certification constitute a well established market for professional further education, but e-leadership content fitness seems questionable as of today

Some short courses of higher and executive education institutions which explicitly address e-leadership issues exist on the market but can only reach a certain number of individuals at a time, while dedicated coaching and consulting services also can exactly meet e-Leadership skills gaps but their costs naturally limit scalability and the e-leadership supply impact

The development and provision of learning material supporting structured self learning should also be considered as a worthwhile option since self-learning is the by far most common way of learning in SMEs and start-ups

The largest scope for improving e-Leadership education is currently seen in MOOCs and self-directed learning, Higher and Executive Education post–graduate life-long learning offerings, and for training providers specialising on SME and start-up clients

e-Leadership training by labour market impact potential and enterprise life cycle

4.4 e-Leadership skills for KETs and AMTs

Authors: Kristina Dervojeda, Mark Lengton, PwC

In this sub-section, we examine the importance of e-leadership skills for KETs and AMTs, as well as the associated challenges and possible ways of further promotion of e-leadership in these domains The rationale behind this exercise was to extract relevant policy recommendations for a new comprehensive e-leadership agenda that also aims to include these technology domains

The inputs for the analysis were collected by means of stakeholder interviews complemented by research In total, 10 in-depth interviews were conducted with the representatives of diverse KETs coming from industry, academia, and supporting organisations such as industry and research associations

desk-In this sub-section, we specifically address an increasing role of e-leadership for KETs and AMTs, the readiness of the current KETs leaders to lead digital transformation, and the key e-leadership skills for KETs and AMTs We then proceed with analysing the situation regarding the current initiatives facilitating e-leadership in these domains, and conclude with specific policy recommendations

4.4.1 Increasing role of e-leadership for KETs and AMTs

KETs and AMT companies increasingly engage in the end-to-end digitalisation of their business processes, including design and production This digitalisation covers everything from the early design of a product to its final assembly This development has direct implications for the skill needs of both the workers and the leaders of these domains Below we address the issue of how digital innovations transform the world of each of the KETs and AMTs

Advanced Manufacturing Technologies

In order to stay competitive, manufacturers need to respond to their customer needs with significant reduction of their time to market, with massively improved flexibility to enable individualised mass production and at reduced energy and resource consumption14 Solutions to address these challenges are enabled by what has been labelled as “Industry 4.0”, relying on technologies and concepts that combine cyber-physical systems, Internet of Things and Internet of Services In addition, digital modelling, forecasting, and planning tools become increasingly popular Furthermore, there is a trend of using new technologies for training, such as the application of virtual reality and augmented reality, as well as the application of serious gaming to stimulate learning in an innovative way

The need for manufacturing companies to work globally increases the role of data management technologies The higher availability of consumer data provides opportunities to get feedback on products from end-users at a larger scale By looping back this feedback into both the design and manufacturing process, an even higher degree of optimisation of products may be achieved

In addition, Additive Manufacturing becomes an integral part of the digitisation trend in manufacturing Additive Manufacturing encompasses various technologies including 3D Printing, Rapid Prototyping, Direct Digital Manufacturing, layered manufacturing and additive fabrication It allows convert digital data into products while disrupting existing production processes and supply chains Supply chains are shifted to the virtual environment and the storage requirements are reduced to the hardware necessary to store files The abovementioned developments pose a challenge for leadership, as new choices have to be made in terms of focus and priorities for their businesses Stakeholders report that larger manufacturing companies are already at quite an advance stage of their digital transformation Smaller companies, in turn, often find

it difficult to make this transition due to investments that need to be made to reorganise their business, as well as due to a lack of access to the relevant networks, including networks in research

14 http://www.industry.siemens.com/topics/global/en/digital-enterprise-suite/pages/default.aspx

Specifically for machine tool industries, SMEs in general are reported to have a lack of clear strategy of how

to digitalise their businesses While the leaders of these SMEs are aware of the trends happening around them (e.g Industry 4.0), they are often not sure how exactly this digital transformation needs to be incorporated into their businesses That, combined with the abovementioned challenges related to securing investment, further contributes to a gap between SMEs and large companies in this field It makes

it difficult for such SMEs to benefit from the globalisation of the industry which is driven by digital transformation Many small companies are thus reported to have limited or no connections to actors and technology platforms that are actively working on the digital transformation of manufacturing

Nanotechnology

Nanotechnology also heavily relies on digital solutions that allow creating and enhancing objects and devices with features on the molecular scale These solutions offer a way to explore a wide range of possibilities that have not yet been explored in an experimental way They take known mechanical, thermal, electrical, chemical, optical and magnetic properties of atoms and molecules and run a broad range of calculations to check how they behave on the level of nanometres In this way, researchers can conduct thousands of virtual experiments to see which of them might work best in the real world, instead

of spending time and resources on pursuing unworkable trajectories This approach thus allows achieving a higher effectiveness of actual experiments which can then be much more targeted and specific Furthermore, at the nanometre scale, it is not always possible to test everything experimentally, and virtual simulations can help with handling that15

Digital solutions also can help optimise devices and manufacturing techniques, for example, to improve battery life or lead to less hazardous materials They can help discover unexpected avenues otherwise left unexplored or point out hidden flaws in the project Employing digital solutions in nanotechnology allows reduce the development time by half and save millions of EUR16

Another key digitalisation trend in nanotechnology refers to the emerging field of nanoinformatics related

to Big Data Nanoinformatics implies the combination of nanoscale research and informatics It aims to determine which information is relevant to the field and then develop effective ways to collect, validate, store, share, analyse, model and apply that information Researchers already started working on the issue

of how to standardise the way nanotechnology data are curated17

As a result, nanotech companies need to find a way to integrate the abovementioned developments into their strategies That, in turn, has direct implications for the skill needs in this domain

Micro-/nanoelectronics

In micro-/nanoelectronics, digital transformation drives the creation of new business models The domain experiences the emergence of many start-ups that develop innovative applications for a wide range of sectors (e.g automotive, healthcare, energy etc.) These innovative applications are needed due to the digitalisation of these industries That, in turn, stimulates large micro-/nanoelectronics companies to make

a switch from providing exclusively end-user products to providing platforms for entrepreneurs to develop their applications Such platforms typically imply a combination of technology, software and support services that are offered to entrepreneurs

Stakeholders report that in general, the micro-/nanoelectronics sector is well advanced in terms of digital transformation The transition has already been made towards fully integrated digital manufacturing systems, which also include digital interaction with suppliers and clients For example, the suppliers may use extensive modelling software to model the behaviour of the manufactured components, which is used

as input to adjust the product, based on the parameters of the individual components Business processes are thus in general digitalised from design to end-product

15 http://www.spacedaily.com/news/nanotech-04zzzzd.html

16 Ibid

17 http://www.nanowerk.com/nanotechnology-news/newsid=41074.php

Photonics

Digital transformation also plays a crucial role in modern photonics Many photonics software tools are available as off-the-shelf modelling programs, encompassing both active and passive photonics components These products are now used by a wide number of companies and laboratories around the world, helping to develop the next generation of photonics components and systems Experience in modelling enables the development of custom solutions for specialised industry requirements18

Advanced Materials

The Advanced Materials domain is highly influenced particularly by the digitalisation of experiments and by the emergence of Big Data in this field However, new opportunities offered by Big Data in Materials Science are reported to be still largely unexplored

Specifically, the recent advances in electron and scanning probe microscopy signified the emergence of immense amount of information on atomic positions and functionality This is often in the form of multi-dimensional datasets containing partial or full information on atomic positions, functionalities etc However, harnessing the information contained in electronic structure calculations, molecular dynamics simulations, high-resolution images, or combinatorial libraries, still represents a challenge Speed and timeliness of data reduction processes as well as their computational cost are reported to be critical aspects of research in such topics19

Given the growing importance of Big Data in contemporary biotechnology research, new software packages are becoming an essential component of many labs and classrooms, and as such are frequently marketed

as one-stop bioinformatics toolkits20

This development, in turn, leads to the emergence of companies providing Big Data solutions specifically for Industrial Biotechnology Their activities often go beyond developing specialised software packages and also include scientific consulting and other professional services Such analysis and bioinformatics services increasingly begin to be integrated into the complete life cycle of R&D projects from early-stage feasibility studies through late-stage product development

4.4.2 Readiness of KETs and AMT leaders for digital transformation

Given a high complexity of KETs and AMT domains, the question of whether the leaders of these domains (i.e CEOs, CIO, CTOs, operational managers etc.) are ready for digital transformation requires a complex answer

First of all, some differences can be observed between various KETs Some KETs are more advanced in terms of digital transformation than others Our analysis suggests that the cutting-edge KETs domains in terms of digital transformation refer to the Advanced Manufacturing Technologies (which in its very essence is based on the digitalisation of processes) and Micro-/Nanoelectronics In these domains, the

18 http://www.optics.arizona.edu/academics/course/opti-503b

19 http://iopscience.iop.org/0957-4484/page/Focus-Big-Data

20 http://bib.oxfordjournals.org/content/early/2014/09/01/bib.bbu030.full

leaders in general are well prepared and capable to drive this change They are reported to be aware of the opportunities that digitalisation can bring to their companies, and most of them have been taking steps to incorporate digitalisation in their businesses

Other KETs domains such as Nanotechnology, Photonics, Advanced Materials and Industrial Biotechnology also already heavily rely on digital solutions However, digitalisation of the whole production cycle from design to end-user product is reported to be present to a much lesser extent here than in the previous two domains

While KETs leaders are reported to possess the necessary e-leadership skills, what is suggested to be missing is the link between these skills It is a challenge to find people that have an interdisciplinary view on digital innovations, and that would be able to bring different technical domains together Furthermore, there is a clear need for non-technical skills including business development skills, strategic analysis, new product development skills, marketing skills including understanding of customer needs etc All these skills can hardly be found in a single individual, and often require team efforts extending beyond the limits of an individual organisation

Additionally, differences can be observed between different generations of leaders in KETs and AMTs A

40-45 year-old CTO/CEO is likely to have a different level of awareness of digital technology than a nearly retired CEO This difference becomes even more obvious when a comparison is made with a younger generation The leaders that come from a generation that has “lived” the digital transformation will most likely be better prepared to drive it

Furthermore, there is a lot of uncertainty in KETs and AMTs, especially concerning the future While many technologies are being developed, it is still not clear, for example, whether the market will move to a single standard, or whether different standards will co-exist This makes it difficult for leaders to decide whether they should invest in developing their proprietary data solutions or whether they should follow and support

a certain standard This level of uncertainty makes it difficult for leadership to be fully prepared

KETs and AMT leadership would benefit from a higher level of awareness of the opportunities new digital solutions provide Once leaders are more aware of the existing and upcoming digital solutions, they can better understand how they can improve their product offering, and not only improve from a feature perspective, but also from a service perspective

4.4.3 Key e-leadership skills for KETs and AMTs

Similarly to other domains, the e-leadership skills in KETs and AMTs rely on the following three general components: strategic leadership, digital savviness and business savviness Below we address the specifics

of each of the three components in the context of KETs and AMTs

Strategic leadership

A number of specific skills can be identified here:

 Ability to develop a vision: Leaders need to be able to envision what the future could look like, so

that they can take the best strategic decisions for their businesses They specifically need to understand the challenges that need to be dealt with in the context of digital transformation and beyond, and be able to spot the opportunities within new market trends

 Agility (readiness to change): Leaders need to be agile to be able to define new ways of working

and go into new directions when the right opportunities arise This has been particularly emphasised by stakeholders for consumer-driven KETs and AMT businesses To stay relevant for customers that have continuously changing preferences, companies need to constantly review and adjust their way of working Furthermore, new types of customers constantly emerge, and companies need to be able to interact with them, often in a different way than before

 Flexibility (ability to change fast): In fast-moving markets, to keep a competitive edge, companies

(and their leaders) need to be able to move fast themselves This requires an ability to pilot and implement solutions quickly and to adjust them swiftly based on, for example, customer feedback

 General understanding of ecosystem as a whole: KETs and AMT businesses are operating in highly

complex ecosystems comprising a wide variety of actors and industries Therefore, in order to be able to develop effective strategies, leaders in these domains need to have a good understanding

of the implications of digital transformation for the whole ecosystem and beyond That includes their customers, suppliers, research partners, collaboration partners from various application areas, supporting organisations, public sector actors (i.e European, national and regional policy makers), etc

Digital savviness

A number of specific skills can be identified here:

 General understanding of digital transformation: KETs and AMT leaders need to have a general

understanding of digital transformation In most cases, they do not have to possess specialised digital skills for doing so; instead they have to be aware of the opportunities that digitalisation offers to their businesses, their customers and their industries in general Furthermore, they need

to be able to identify people and organisations who could develop and implement relevant digital solutions

o For operational managers, the need for specialised digital skills is reported to be higher that for the top management, in order to enable them to develop the relevant applications for, for example, the Internet of Things, but also for using modelling and forecasting software

 Good knowledge of data integrity and security: Operational managers need to be aware of the

solutions that can be used to protect user data and sensitive company information While, for example, working together with external partners, it is crucial to ensure that not all sensitive company data is exposed to the external companies For that, a high level of digital awareness is required

Business savviness

A number of specific skills can be identified here:

 Good understanding of the implications of digital transformation for business models: It is,

however, not only a matter of knowledge, but also attitude and the willingness of leaders to reconsider the current business model

 Ability to identify relevant partners for digital transformation: Relevant digital solutions can in

most cases only be developed in collaboration with specialised actors including software providers, researchers, consultants etc The leaders thus need to be able to identify actors that would be qualified to meet their needs

 Good awareness of competition: Leaders need to be aware of their competition, both in terms of

their competitors’ strategy but also in terms of the product offering of their competitors

 Good understanding of the implications for skills: This implies the capability to understand what

the company can do with its current workforce and to what extent they can/should improve their skills set to make the required change happen It is often not clear up-front what skills will be needed to drive such a change, but leaders should be able to spot on time whether their current workforce will be able to implement and adept to the required transformation

o Leaders need to clearly understand which skills are needed to take advantage of the market trends and check if those skills are available within their company If these skills are available within the company, leaders need to be able to utilise these most effectively, e.g

by adopting High Performance Working Practices If these skills are not (sufficiently) available, they need to be able to hire the right people

o Stakeholders report artistic skills to become increasingly important for technologies, for example, during the design phase Leadership therefore needs to be able to spot and mobilise people with an artistic background and offer a platform where people with these skills could collaborate with technical specialists

Other skills leadership needs include a combination of entrepreneurship, enthusiasm, creativity, and the ability to think globally

Overall, the skills needed for digitalisation of KETs and AMT domains are reported to be well covered by the current workforce However, as the experienced workforce gradually retires, those that will replace these professionals should have the knowledge and experience to lead the digital transformation further This requires more focus on and expertise in multidisciplinary developments such as mechatronics and cyber-physical systems

4.4.4 Initiatives facilitating e-leadership in KETs and AMTs

An analysis of specific initiatives facilitating e-leadership in KETs and AMTs will be presented in Chapter 5 of

this report In this sub-section, we specifically address the experiences of stakeholders with the relevant

initiatives and their feedback on the current situation

Stakeholders appreciate the efforts of the European Commission in the field of KETs, AMTs and digital transformation The initiatives that are launched for these domains are considered to be relevant and helpful However, the focus of these initiatives on skills training in KETs and AMTs, and specifically on e-leadership in these domains is reported to be highly limited at the moment Some national and regional initiatives exist that partly cover these topics, and these are complemented by the initiatives of a number of industry associations

Another challenge here refers to a lack of awareness among companies about the existence of these initiatives and how exactly companies could benefit from them For example, in many cases companies consider the offered training opportunities to be relevant exclusively for academia, while it is not the case Therefore, there is a need for creating a better awareness of the relevant initiatives among companies Large companies increasingly begin to provide training on digital transformation internally, and specifically for leadership That is complemented by regular exchanges of ideas with companies that are specialists in digital solutions, as well as with industry associations and research associations These exchanges should not be viewed as training, they often refer to an exchange of best practices of how to organise such training

In several EU Member States, for example, in France and Germany, support is provided to KETs start-ups in the form of funding and business counselling This support is reported to facilitate the emergence of more start-ups in these domains, particularly in the field of digital solutions

Training related to e-leadership skills increasingly becomes embedded in university curricula, for example, for studies combining design with systems engineering (e.g Aalto University in Finland) This approach allows to ensure that graduates and leaders of the future acquire the basic skills necessary to drive digital transformation already before entering the workforce Those already in the workforce typically get trained

on the job, and in general, it was reported that there is no need of investing in formal skills training initiatives for these professionals Although, it may differ per company and situation

There are also more general initiatives that can be identified For example, some business schools are already offering courses on how to embrace digital change There are also universities that offer short courses on digitalisation for managers specifically, such as the IESE school in Barcelona Although these initiatives are not KETs-specific, they generally offer the basics of e-leadership skills that are also relevant for KETs and AMTs

4.5 e-leadership skills for liberal professions

Mark Lengton, Kristina Dervojeda, PwC

In the current sub-section, we present the results of our analysis for five liberal professions: architects, civil engineers, notaries, doctors, accountants and lawyers

4.5.1 e-leadership for architects

ICT-driven technology, such as augmented reality and complex scanning and modelling software, is shaping

the architecture industry of the future, enabling architects to provide complex solutions easier and faster

Augmented reality visualises design in an interactive way for clients Moreover, powerful computer software can be used to design efficient shapes on the basis of arithmetically complex calculations Scanning and modelling software will increasingly be used to, for example, survey environmental building conditions, a task that can now be completed in a couple of weeks as opposed to months

Skills requirements for the architect of the future

The digital developments in the field have a profound effect on the skills architects of the future need to have Whereas the traditional architect is considered to mostly draw and discuss, the architect of the future also needs to understand algorithms, mathematics, and sophisticated ICT-software (e.g modelling

software) Incorporating these elements, especially mathematics, in their work requires architects to approach problems with a new way of thinking, also referred to as “algorithmic thinking” Algorithmic

thinking requires architects to first clearly identify and rigorously define the design problems and constraints, and only then to design the solution Solving for these constraints efficiently requires architects

to apply both mathematical and ICT-related skills

Moreover, algorithmic thinking combined with the diffusion of ICT technology has forced architects to cope with rapidly developing (design) tools and digital media Modelling software, especially CAD/CAM,

has created a paradigm shift in which architects more and more explore the limits of the modelling software Sometimes they will even need to develop their own interfaces and algorithms to solve design constraints21 In addition, the availability of more and better data provides architects the opportunity to optimise their designs for environmental factors historically unheard of, such as taking into account behavioural statistics of citizens in e.g various weather conditions while designing and planning urban development projects22

Despite the crucial role digital skills play for the architect of the future, skills needs for current leadership are less related to mastery of such skills Stakeholders report that leadership in practice is already more involved with delegating work to the “right” architects Overall, they considered that leaders are capable in getting the right people on the job, especially the leading firms in the industry Digitalisation does, however, require current leaders to be aware of the business opportunities that new technology brings to

the field If they want to be competitive in the (near) future, it is crucial that they understand the business implications of ICT-driven technology and are able to involve the relevant experts when necessary

Key challenges related to e-leadership in architecture

One of the key challenges the architectural field will have to cope with is an apparent gap between the younger and older generation Although the older generation has gathered valuable field experience over

time, it will be difficult to teach them a drastically different approach to architectural design, especially considering that they typically did not grow up with computers all around them The younger generation will find it easier to embed digital technology in their work, but needs to be linked to more experienced

21 Williams, K., & Ostwald, M J (Eds.) (2015) Architecture and Mathematics from Antiquity to the Future: Volume II: The 1500s to the Future Birkhäuser

22 ARUP, (2013) Designing with data: Shaping our future cities Study carried out for the Royal Institute of British Architects (RIBA), London