Megatrends
Megatrends informing our strategy
Converting information into digital formats supports connectivity, making products smarter and able to exchange information with other devices and platforms. This is driving new business models and value creative solutions for our customers.
HOW SMITHS IS WELL POSITIONED
- Digital solutions are central to many of our products, e.g. software in Smiths Detection equipment, Smiths Medical’s connected pumps, John Crane’s predictive diagnostic sensors and Smiths Interconnect’s digital networks for space applications
- We are close to our customers and offer cutting edge technological expertise
- Our Digital Forge centre of excellence is helping to leverage software expertise across the Group
The world’s population is growing and ageing. The over 60 global cohort is expected to double by 2050 and triple by 2100 (UN World Population Prospects 2017). Ageing populations increases the need for medical technology.
HOW SMITHS IS WELL POSITIONED
- Smiths Medical’s digitised devices enable remote care, and support ‘smart’ hospitals through automation and increased efficiency
- Customer intimacy drives continuous improvement in our products, and strong and sustained R&D is supporting the next generation of innovation
Energy demand is increasing worldwide, with estimated growth of 1.3% per annum (BP 2018 Global Energy Outlook), and a changing mix with gas growing faster than oil. Environmental regulations and the need to reduce harmful emissions are also impacting the energy landscape.
HOW SMITHS IS WELL POSITIONED
- We are focusing on technology and new product development that will enable a smarter, greener future, such as John Crane’s dry gas seals that help to reduce methane emissions
- Customer intimacy enables us to jointly deliver solutions that meet specific needs
AI – the capability of a machine to imitate intelligent human behaviour, learn from past iterations and enhance its capabilities and knowledge – is nascent but evolving rapidly and applications can already be found in many industries.
HOW SMITHS IS WELL POSITIONED
- Our Digital Forge is supporting Group-wide progress in the application of AI
- Our Smiths Detection CORSYS™ software platform leverages AI to enable our customers to make better informed decisions
Business models enabled by new technology will emerge and these require agile structures. Trends include customisation, new service models and the sharing economy. We are embracing this evolution to remain competitive and create new value propositions.
HOW SMITHS IS WELL POSITIONED
- We are asset-light, helping us to be competitive and agile in a sustainable way
- A high proportion of our revenue (57%) comes from aftermarket services
- Customer intimacy and technological expertise are elements of the Smiths Excellence System, our shared operating model
The growth of infrastructures supporting travel and trade is creating a smaller world for people and goods. With this comes the need for enhanced security and speed of transaction.
HOW SMITHS IS WELL POSITIONED
- We have a global footprint with operations in over 50 countries
- Growth in air travel, urbanisation and global trade are key demand drivers for Smiths Detection
- Applications at Smiths Interconnect support high speed trains and secure connectivity for aircraft and satellite communications
Advances in technology, globalisation, demographic trends and competition are increasing the demand for specialised talent. Our HR strategy is to attract, retain, develop, engage and inspire the right people.
HOW SMITHS IS WELL POSITIONED
- Our people are a sustainable source of competitive advantage and we are committed to enabling them to be the best they can be
- We reward our colleagues for their contributions and enable them to share in our success. We aim to engage them so that they are more innovative, productive, effective and happier at work