The 21st century has often been heralded as ‘the rise of Asia’. Serving as the world’s manufacturing hub, while proving equally capable in the technology innovation space, a vast amount of global trade courses through the South China Sea, while Asia is also home to billions of people with improving life expectancy, literacy and income levels. That’s not to say the region doesn’t face some tremendous challenges.
Conflicts
The strategic competition between the US and China often plays out in the business world with strategic and tactical implications. ASEAN and Singapore, in particular, see a vast amount of global trade pass through the South China Sea and Straits of Malacca, meaning businesses in the region need to 'mind the gap' that this can create.
Climate
Now in the second half of 2023, to date, the world over has not achieved the scale and speed of transition needed to limit the temperature increase to 1.5°C above pre-industrial levels. If anything, the evidence seems to point towards the contrary, with the World Meteorological Organization in its latest assessment expecting the world to exceed 1.5°C warming ‘sometime in the next five years’.
Our purpose is to be a force for public good, and the greatest public need of our time is the transition to a greener, fairer, more sustainable world that works for everyone. Our 'Accounting for a Better World’ initiative is an agenda for action to support the profession in the drive for sustainable transition,
ChatGPT
In 2023 ChatGPT became the fastest-ever growing consumer software application and as business leaders we’re grappling with the potential impact of rapidly advancing AI. Where will it add the most value and where will we need the human intellect, complete with its EQ and SQ? How are finance functions adapting to such high-paced technological change?
Cost of Living
Finally, all the growth, technology prowess, and business prosperity we might anticipate for Asia would be of little value if vast numbers of people struggle with the cost of living. As ACCA’s Global Talent Trends 2023 report shows, this is a struggle that’s impacting everyone, regardless of gender, generation or geography. In Singapore this was clearly evidenced in the 2022 property rental increases.
While the governments respond with their measures, what should be the role of business in navigating this challenge? Employees are often considered a cost, but they are also another business’ consumer. Can we afford a ‘beggar thy neighbour’ principle? How can we, instead, create fairer, sustainable economies and societies?
