Urenio Watch Watch: Innovation Measurement

Shift Index 2009: Industry Metrics and Perspectives

IndustryPerspectives_112009-1In June of 2009, the Deloitte Center for the Edge unveiled the first version of its groundbreaking Shift Index. Now, the Center has released an industry-specific version of its Shift Index, which applies these performance-challenge data to nine key sectors.

The initial release used a combination of original and established analytical approaches to four decades of data to examine long-term competitive challenges for U.S. businesses at a macroeconomic level. The first release of the Shift Index highlighted a core performance challenge that has been playing out for decades: return on assets for U.S. companies has steadily fallen to almost one quarter of 1965 levels at the same time that we have seen continued, albeit much more modest, improvements in labor productivity.

The new version of the Shift Index provides an introduction to the thought leadership, methodology and data that drives the index’ s metrics.

Following that, a cross-sector analysis takes an insightful look at the differences’”and commonalities’”among each of the nine sectors.

Finally, a series of “deep dive’ sector reports offer a clear, comprehensive and sustained view of the deep dynamics affecting each sector.

The Analyzed Sectors

Consumer & Industrial Products Industry

  • Automotive
  • Consumer Products
  • Retail

Financial Services Industry

  • Financial Services
  • Insurance

Health Sciences & Government Industry

  • Health Care

Technology, Media & Telecommunications Industry

  • Technology
  • Media
  • Telecommunications

Knowledge Flows

The Center’s research suggests more promising ways to turn around this performance erosion by harnessing the proliferating knowledge flows that are enabled and amplified by the new digital infrastructure. Knowledge flows are a key driver of the growing bargaining power of customers and creative talent. Shift Index metrics suggest that most companies across all of these industries are participating in only a small fraction of the knowledge flows available to them.