Thoughts for a post-pandemic world

A few months ago I wrote about an important EY project – Conversation with the Nation which started last year. Our starting point for this was the recognition that significant changes were underway which demanded a repositioning of countries in a global context. Even prior to COVID-19 we were struggling to come to terms with:

·      Geo-political uncertainty, especially in our relationships with China and the US

·      Technology increasingly dominating every aspect of our lives and economies

·      The reality of climate change, especially after the recent Australian bushfires

·      Rising inequality which challenges our identity as a country where all people get a fair-go

Over 200 people from business, government and NGOs have so far participated in this conversation. The idea is to generate ideas for the future of Australia and share them widely later this year.

Australian Identity

In Australia we have a national identity as a prosperous nation, made up of many cultures, positioned between the old world of the West and the rising world of Asia, rich in natural resources and believing in values of equity and a fairness. 

There is no doubt that Australia continues to be an amazing country to live in – with an educated population, vast natural beauty, the ability to effectively navigate Eastern and Western cultures, a fast uptake of new technologies and sectors such as health research where we punch above our weight and sustainable energy innovation.

But here is the thing – other countries are exposed to the same international trends and have positioned themselves deliberately in a globally connected, increasingly digital world that thrives on innovation. 

Competing internationally

And that’s where we have some work to do. When looking at some of the key performance indicators for countries that are making the transition into a technology driven global economy, Australia’s performance in international comparisons is declining. Data from various international organisations such as World Bank, IMF, OECD etc. clearly shows a decline in our positioning against some of the success factors of a 21st century economy.

In addition we are experiencing growing inequality – the same as many Western developed economies – which is coming to the fore even more in the current pandemic.

Ideas for Action

Clear areas for action are emerging from our Conversation with the Nation:

·      Australia needs a deliberate plan for its future in a global context

·      Invest disproportionately in winning industries - such as health and sustainable energies

·      Invest in Australian innovation and onshore commercialisation

·      Make infrastructure improvements – for example on internet speed, transport etc.

·      Education systems need improvements

·      Values of a fair-go and equity still matter – we need to bring them to life in a new context

·      Government cannot do it alone – we need new models for collaboration between government, business, NGOs and citizens collaboration between government, business, NGOs and citizens

Strengths and Weaknesses

The need for these actions has not gone away with COVID-19 – in fact, the pandemic seems to expose existing strengths and weaknesses in every society.  It has shown a severe but effective effort through centralised action in China, the value of deep public trust and collective spirit in Germany and the inability of the United States to manage the situation. In some countries it has created a new sense of nationhood.

It has certainly shown us the importance of universal public health systems. Countries with such a system, such as Australia, are faring much better than those without. But it is not just the health system that makes a difference.

In Australia we have seen that our federation functions when it matters, that as a society we can act in unison and that as a population we share a trust in science. Importantly, we have seen unprecedented levels of collaboration between Governments, the Opposition, citizens, scientists, unions and business. Suddenly, collective action is possible, across ideological lines and with the common good in mind.

Now Next Beyond

In the course of the pandemic we will shortly move into the next phase where we will have to balance economic parameters with wider societal well-being. This is a great opportunity to find effective ways of supporting small business and entrepreneurship as a major driver for job creation and of establishing the right conditions for innovation and on-shore commercialisation – because that is how we will create new future industries. We also have a chance to ask ourselves how and where we want to use technology, especially at a time when we might face higher unemployment. Is replacing supermarket jobs really the best use of technology or are there more complex problems we should solve? Could we use this moment to revitalize our regional centres?  With people no longer tied to office spaces, we can rethink how we work and what kind of infrastructure is needed to support this. Importantly, we need to aim for inclusive growth that strengthens the fabric of our society.

More than one person has told me over recent weeks that they believe we cannot just focus on economic recovery but must also address the well-being of our society. People are asking: should  this next moment be all about our economy or should it also be about fairness, the values that make up our identity? The way we balance the two will determine the future of Australia. It all comes back to the question: what kind of society do we want to have in Australia? That is the question we aim to answer in EY’s Conversation with the Nation. Stay tuned.