Korea should embrace lifelong learning to navigate aging society: BCG CEO

Christoph Schweizer, chief executive officer of the Boston Consulting Group

South Koreans will need to adapt to repeated and continuous learning and working throughout their lifetime amid a rapidly aging society, breaking away from the traditional life cycles that fit into the formula of school education, career pursuit, and retirement, according to Christoph Schweizer, chief executive officer of the Boston Consulting Group Inc. (BCG).

During an interview with Maeil Business Newspaper in Davos, Switzerland, where the World Economic Forum (WEF) is taking place until Friday, Schweizer stated that aging is a global phenomenon, and Korea has faced this global trend somewhat earlier compared to other countries.

He stressed the importance of creative solutions to cope with aging societies, beyond merely extending retirement age, enhancing productivity, and implementing pension reforms.

Regarding artificial intelligence (AI), a major topic dominating this year’s WEF, Schweizer mentioned its emergence as a significant management topic. He forecasted that generative AI would become a key element in corporate management this year, beyond the mere exploration of its potential last year.

Yet, he stressed the importance of human involvement in operating and utilizing the new technology. He viewed that, with the emergence of this technology, companies will need to create new organizational structures and ensure employees acquire the skills needed to effectively use generative AI in their daily tasks.

Referring to a recent BCG survey of over 1,400 CEOs worldwide, which revealed that less than 10 percent of respondents indicated that 25 percent or more of their employees received training or education on the use of generative AI, the BCG CEO highlighted the education gap as a crucial issue for executives to address.

Employees’ competency in using generative AI could become a key factor determining a company’s competitiveness, he noted.

The CEO added that the consulting firm has been engaged in innovations at hundreds of companies to integrate generative AI into their operations in various sectors, from call centers to marketing and research and development.

Schweizer also touched on macroeconomic circumstances, stating that with the imminent possibility of a rate cut by the U.S. Federal Reserve (Fed), companies would have to focus on cost reduction this year, especially with a focus on cost management in the supply chain and manufacturing process.