Exhibit 1 Operations-intensive sectors have 1.3 times the automation potential of other Operations-intensive sectors have 1.3 times the automation potential of sectors. other sectors. Technologically automatable activities by sector, o total activities ƒperationally intensive sectors verage operationally intensive sectors 1.3× ƒther sectors verage other sectors difference in automation 1 potential Manuacturing 58 ccommodation and ood services 53 etail trade 51 griculture orestry fishing and hunting 50 Mining 48 onstruction 46 tilities 43 €inance and insurance 41 Wholesale trade 40 rts entertainment and recreation 39 ‚ransportation and warehousing 39 dministrative support and waste management 37 eal estate rental and leasing 37 ƒther 35 normation 33 „roessional scientific and technical 33 Management o companies and enterprises 33 …ealthcare and social assistance 32 †ducational 25 1We define automation potential by the work activities that can be automated by adapting currently demonstrated technology. Source: McKinsey Global nstitute analysis survey of 116 executives at large organizations, issue, they cited three main barriers. More than nearly two-thirds of respondents said skills were one in four respondents said they lacked a clear a top ten issue for their companies. Only 7 percent understanding of the impact that future automation of respondents thought that their companies were and digitization would have on skill requirements. fully prepared to address the skill gaps that they Nearly one in four said they lacked the tools or the expected over the subsequent five years. knowledge to quantify the business case for efforts to reskill their workforces. And almost one-third When we asked executives in the survey why their thought that their current HR infrastructure would organizations were not yet ready to tackle the skill not be able to execute a new strategy designed 68 What now? Ten actions to emerge stronger in the next normal September 2020
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