The importance of Davis Summit 2023

The importance of Davis Summit 2023

SIGNIFICANCE OF DAVOS SUMMIT OF 2023 FOR THE WORLD

?INTRODUCTION

The World Economic Forum (WEF), Headquartered in Geneva, Switzerland,?is an international not-for-profit organization focused on promoting cooperation between the public and private sectors. Davos is a modest ski resort?near Zurich, Switzerland. Founded in 1971 by Swiss-German economist Klaus Schwab, WEF seeks to foster a spirit of collaborative entrepreneurship to address global issues and shape governmental, industrial, and social agendas. Davos was set up as an?"independent, impartial and not tied to special interests”?non-profit organization. Initially, its founder,?Klaus M. Schwab, a professor at the University of Geneva, who initially?invited 444 executives from European companies?to a meeting on corporate governance in the convention center of Davos. His idea was to familiarize the American business management approach to European firms. He did not expect that the great success of the meeting would lead to the?unparalleled international summit?that it is today. Numerous ideas emerged from the Davos Forum. Among the ideas that materialized came far:?the North American Free Trade Agreement, signed between Canada, Mexico, and the United States, was first proposed at an informal meeting in Davos. For over 50 years, the Davos Forum has served as a platform where business, government, academia, civil society, and other stakeholders can come together to address and discuss critical global issues. This mission has never been more important than now. The Davos Forum is conventionally held in January Davos, Switzerland, renowned for being the highest town in Europe (1,560 meters) and surrounded by mountains but houses the largest ski station. Surprising, Davos is not famous for its snow but acts as a host for the Annual Meeting of ??WEF. This annual meeting is participated by political, business, cultural, and media leaders evincing keen interest to discuss the issues to take part in the international agenda.

Davos 2020 summit was inspired by a sustainable manifesto launched of a new?'Davos Manifesto'?with the single objective of building a more sustainable, inclusive world. In 2020, the above new?Davos Manifesto?to guide companies in the age of the?Fourth Industrial Revolution. The manifesto states that a company should “pay its fair share of taxes,” show “zero tolerance for corruption,” uphold human rights throughout its global supply chain and advocate for a competitive, level playing field. Since the acceptance of its new manifesto in 2020, WEF is formally guided by stakeholder capitalism, which posits that a corporation should deliver value not only to shareholders but to all those who have a stake in the destiny of the company, including employees, society, and the planet. Its goals include a commitment to “improve the state of the world.”

?The forum held three years ago was the most sustainable annual summit held to date. It received IS0 20121 certification for sustainable events and will be totally carbon neutral. This accomplishment was possible thanks to policies aimed at using locally-sourced food suppliers, introducing alternative sources of protein to reduce meat consumption, sourcing 100% renewable electricity, reducing or eliminating the use of materials that cannot be recycled or easily re-used, and increasing the availability of EVs. The last in-person?Davos?winter gathering was in 2020, just days before the COVID-19 outbreak was declared a global health emergency. The 2021 event was held virtually and last year’s was shifted from January to May after a spike in infections. 2022 was an exceptional year for the gathering in Davos. The in-person event was held in May after a hiatus of 18 months—the longest interval between meetings since WEF’s founding. In 2022, there were?approximately 2,000 delegates, including Al Gore, John Kerry, Christine Lagarde, Jens Stoltenberg, Ursula von der Leyen, and?many other high-profile names

DAVOS SUMMIT ORGANIZED BY THE WEF FROM JANUARY 16TH - 20TH, 2023:?WITH THE SLOGAN, “COOPERATION IN A FRAGMENTED WORLD,”

??Davos 2023 summit is resuming its normal location and dates, following several years that were impacted by the pandemic. The Forum is chaired by Founder and Executive Chairman Professor Klaus Schwab. It's guided by a Board of Trustees, exceptional individuals who act as guardians of its mission and values and oversee the Forum’s manifesto. In 2023, a record of more than 2,500 delegates, including German chancellor Olaf Scholz, are expected to attend. With the slogan, “Cooperation in a fragmented world,” the forum will bring together over 2,700 from governments, businesses, and civil society representing a record number of attendance at a crucial moment for the world. The official attendance is by invitation only. While the Russian delegation will be conspicuous by its absence, organizers hailed a record turnout in terms of the number and diversity of participants, with expectations of a "high-level" Chinese presence.

A record number of business and government leaders will converge on the Swiss resort of Davos next week to study global challenges very carefully ranging from global economic slowdown to environmental collapse as the WEF Davos 2023 to host more than 2,300 leaders returns to its winter slot. Fifty-two heads of state and government will show up next to 56 finance ministers, 19 central bank governors, 30 trade ministers, and 35 foreign ministers. Heads of the UNs, IMF, and WTO will be among 39 leaders of international agencies. The upmarket ski resort will host its biggest-ever business participation, a highly curated selection of delegates with 600-plus CEOs among 1,500 business leaders that include the highest-ever number of female executives. WEF partners with many international organizations and corporations to run projects addressing global concerns. This year, collaborations are focused on pursuing a net-zero pathway, nurturing resilience, reimagining globalization, and supporting diversity, equity, and inclusion in every part of society.

"We are all stuck in a crisis mindset,"?WEF?executive chairman and founder Klaus Schwab told the pre-meeting news conference of a world grappling with the Ukraine war, climate change, and simultaneous energy and food supply crunch. The world is at a?time?at which a?change?or an?effect?cannot be?stopped. ?The COVID crisis and the war in Ukraine have united to radically restructure the global economic and social system and intense uncertainty and fragility, bringing lower growth and triggering higher inflation. The magnitude of the challenge calls for swift collective action, as stated in the theme of the 53rd forum. In the current unparalleled context, the event seeks to reaffirm the value of public-private collaboration and cooperation to steer today’s crisis and drive change for the future. ?This year's program will have a dual focus: first, to find levers to face current challenges; second, to place those challenges in the context of the increasingly swift transformation of the world in which we live.

The four-day forum will cover a broad spectrum of formats for interaction and learning to provide leaders with the tools they need to address the complexities of today and build for the future. The agenda will revolve around the following goals:

  • Engage in dialogue to forge understanding and alignment and exchange views among all participants.
  • Hold purpose-focused meetings to drive tangible action on key global issues.
  • Create opportunities to scale innovations that are critical to society.

?"Davos?should help to shift that mindset,"?Schwab?said of a week-long set of discussion panels, informal gatherings, and events under the banner of "Cooperation in a Fragmented World." Discussions are due to focus on short-term challenges like how to avoid the risk of a global recession in 2023 and how to secure a failing global by a vigorous or determined attempt to reign climate change is not set back even further by the energy crunch exacerbated by the Ukraine war and sanctions on Russia. Organizers said that Ukraine, which dominated last year’s forum, would send another high-level delegation and that there would be several sessions related to the war. As advanced economies around the world struggle with tight labor markets, there will be a debate on the importance of re-skilling workforces, generating properly remunerated jobs, and overcoming shortfalls in gender parity and racial equity. The forum will feature speeches by heads of state and key government officials, and a range of geoeconomic and geopolitical discussions, such as Country Strategy Dialogues, Diplomacy Dialogues, and Informal Gatherings of World Economic Leaders (IGWEL) meetings. It will also bring together the main business communities of the forum.

The agenda includes the participation of approximately 2,500 people such as heads of state and governments, company CEOs, civil society leaders, global media outlets, and youth leaders from Africa, Asia, Europe, the Middle East, Latin America, and North America. Spain will be represented by the President of the Government, Pedro Sánchez, the First Vice-President of the Government and Minister for Economic Affairs, Nadia Calvi?o, and the Third Vice-President and Minister for Ecological Transition and the Demographic Challenge, Teresa Ribera. Leading figures of Spain’s business world will also be in attendance.?BBVA will be represented by the Chair, Carlos Torres Vila, and the CEO, Onur Gen?. This year, Davos is resuming its normal location and dates, following several years that were impacted by the pandemic. With the slogan, “Cooperation in a fragmented world,” the forum will bring together over 2,700 from governments, businesses, and civil society representing a record number of attendance at a crucial moment for the world. Davos 2023 serves as a key platform to promote forward-looking solutions and address the most pressing global challenges through public-private cooperation. This will foster sustainability, economic growth and resilience, globalization and geopolitics, and energy and food security.

?Against this backdrop, this year's Davos Forum meetings will focus on five topical themes:

1) energy and food crises in the context of a new system for energy, climate, and nature.

2) high inflation, low growth, and high debt economics in the context of a new system for investment, trade, and infrastructure.

3) industry headwinds in the context of a new system to harness technologies for innovation and private sector resilience.

4) social vulnerabilities in the context of a new system for work, skills, and care.

5) geopolitical risks in the context of a new system for dialogue and cooperation in a multipolar world.

In addition, a special line of work will be dedicated to leadership, with a particular focus on resilience at both the individual and organizational levels. The meeting will also enable the forum's Global Collaboration Village, a pioneering effort to further scale up public-private cooperation on the world's key challenges through the use of digital environments within the metaverse. Many sessions will be publicly streamed live on the Forum's website and social media, as well as on the TopLink app, providing an opportunity for the Forum's digital membership community and the public to participate in the debate. The meeting is also famous for the networking and socializing that goes on in the corridors, side rooms, hotel suites, and restaurants of the Alpine town. Making it perhaps the largest gathering of global decision-makers all year. It’s business speed dating on steroids.

?MCKINSEY’S PARTNERSHIP WITH WEF?FOR THE DAVOS 2023

McKinsey’s partnership with WEF?for the Davos meeting each year includes events and interventions aligned with shared goals. For 2023, McKinsey’s knowledge collaborations with WEF are envisioned to bolster sustainable, inclusive growth collectively. A few of the initiatives are:

Resilience Consortium

The past few years' turbulence which comprises the COVID-19 pandemic, the war in Ukraine and its made refugee crisis, and to a growing extent impact of climate change and related events have underlined the?crucible significance of resilience?for institutions and leaders. Davos converges delegated from governments, the business sector, and international organizations to reconstruct the resilience of the global economy. Resilience and globalization in a fragmented world in constructive, forward-looking dialogues and identify impact-oriented solutions that will contribute to a better world, focused on sustainable inclusive growth. Resilience should be seen as the ability to deal with adversity, withstand shocks, and continuously adapt and accelerate as disruptions and crises arise over time. Thermal energy storage has the potential to greatly contribute to decarbonizing global heat and power.

Reimagining Globalization

The world is almost accepted the new normal, in the aftershock of the pandemic, growing tensions between the US and China, and the continuing damage produced by Russia’s invasion of Ukraine. This year at Davos, McKinsey, the WEF, and other stakeholders will collaborate to comprehend the nuances of changing global mutuality and its implication for the future of?our globalized world.

Accelerating Sustainability

As the goal of net zero emission turns increasingly urgent, they together continue working to navigate energy resilience and the net zero transition for governments, companies, and other actors. The?sustainable economies of the future?remain the focus of the Davos agenda this year.

Increased Parity

The business case becomes the moral case for the grown similarity between people of diverse races, genders, sexual orientations, and social classes has been?well recognized. As?diversity, equity, and inclusion?styles a global inflection point, McKinsey and the WEF will continue their ongoing collaboration to examine and support DEI in every part of society.

Space Economy of the Future.?

The new era of space is here. As more governments and companies begin operating beyond the Earth’s atmosphere, this collaboration between public- and private-sector organizations (including McKinsey and WEF) targets o?control space as a collaborative area?in a time of enhancing geopolitical tension, ensuring everyone benefits at lift-off. Davos’ meeting is in “the human interaction of a multitude of different types of entities—start-ups, nonprofits, governmental organizations, business. There’s a lot of talk about a new world order, but this will just being together in person and exchanging ideas increases connectivity.”

?Concentration on the origins of traded products is widespread, prompting questions about whether to diversify or decouple. Economic and political turbulence has prompted speculation that the world is already deglobalizing. Current economic and political turbulence could presage the start of a new era that is structurally very different from a new...Looks to bridge the public trust gap and accelerate the transition to cleaner, safer, more inclusive mobility systems. Cement is essential for construction but accounts for approximately 7% of global CO? production.

CONCLUSION

?The theme of the 53rd Annual Meeting is 'Cooperation in a Fragmented World' and it will convene more than 2,700 leaders from 130 countries, including 52 heads of state/government. The program of the 53rd Annual Meeting focuses on solutions and public-private cooperation to tackle the world's most pressing challenges. The?World Economic Forum?(WEF) on Tuesday said it's annual?Davos?meeting will call on leaders from across the globe to address immediate economic, energy, and food crises while laying the groundwork for a more sustainable and resilient world. Announcing the schedule for the five-day meeting in the Swiss ski resort town of?Davos?from January 16-20, the WEF said it is expecting significant participation from Asia, including China and Japan. From India, at least four union ministers -- Mansukh Mandaviya, Ashwini Vaishnav, Smriti Irani, and R K Singh -- as also three chief ministers -- Yogi Adityanath, Eknath Shinde and B S and think tanks will also join the meeting. Bommai -- are expected to be present, in addition to nearly 100 leaders from business and other areas. More than 125 experts and heads of the world's leading universities, and research institutions, "We see the manifold political, economic and social forces creating increased fragmentation on a global and national level. To address the root causes of this erosion of trust, we need to reinforce cooperation between the government and business sectors, creating the conditions for a strong and durable recovery," WEF Founder and Executive Chairman Klaus Schwab said. "At the same time there must be the recognition that economic development needs to be made more resilient, more sustainable and nobody should be left behind," he added. “It encourages world leaders to work together on the interconnected issues of energy, climate and nature; investment, trade and infrastructure; frontier technologies and industry resilience; jobs, skills, social mobility and health; and geopolitical cooperation in a multipolar world," said the WEF, which describes itself as an?international?organization for public-private cooperation. Special emphasis is on gender and geographical diversity across all sessions, it added.

Globally, people expect the alleviation of their problems swiftly. As they are facing such problems in long term. We expect the best.

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