Digitalisation, the Fourth Industrial Revolution

Alessia Evi, Advisor for Digitalisation in Skills Development23.09.2024
What we have been witnessing since 2016 is nothing short of the Fourth Industrial Revolution. As digital technology makes ever greater inroads into the world of work, there is now more demand for digital skills than the labour market can supply. This disparity is deepening global inequality and reshaping the job market. The Covid-19 pandemic accelerated these changes, exacerbating job displacement and disrupting traditional services. By 2030, an estimated 3.3 million jobs will cease to exist, making the acquisition of digital skills a critical focus for economic transformation globally (ILO, 2024). Swisscontact supports developing and emerging countries on this path.

If we fail to embrace technological advancements and digital innovations, it will not be possible to achieve the UN’s Sustainable Development Goals (SDGs) by 2030. There is a great need for innovation in strategic collaboration. For effective digital transformation to occur, it will take new partnerships in which the public and private sectors in both donor and developing countries work together to identify challenges and develop solutions. A positive example of this can be seen in Swisscontact’s Innova project in Guatemala, where we launched a collaboration with private-sector stakeholders and an institution for technology education. This resulted in the development of technical certification standards that align with market demands.

Digital Solutions for Poverty Reduction – Swisscontact Event at Google Zurich on 4.11.2024

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More than the adoption of new technologies

The ILO (2024) defines digitalisation as “the application of digital technologies, and thus digitised information or data, in the economy and society”. It has been described as a crucial tool for the renewal, simplification and improvement of development policy. New technologies can act as catalysts for development, social change, and inclusion. This powerful combination of digitalisation and new technologies can bring the UN’s SDGs within reach and enhance faster, more inclusive growth. However, for their successful implementation it will require more than just the adoption of new technologies. The 2016 World Bank’s Digital Dividends report emphasised that the mere possession of technical solutions does not bring about development. Supportive frameworks are vital, as well as an education system that equips individuals for modern work and enables them to participate in the global digital economy.

In terms of opportunities, digitalization has the potential to profoundly transform societies by enhancing transparency. It improves access to information, above all for marginalised groups. Digitalisation creates new business models and market opportunities that benefit women and girls in particular by expanding their access to education and the labour market. Mobile technology offers marginalised communities access to financial services, empowering individuals to create jobs and invest in their future. What’s more, digital tools supply agronomic expertise to help farmers adapt to climate change.  

The provision of sanitary towels from a machine improves the menstrual health of female students at Baikari Union High School, Bangladesh.

However, digitalisation also entails challenges and risks. It can only succeed if essential prerequisites like infrastructure, reliable internet access, electricity, and stable investment conditions are in place. Without these, digitalisation could end up making inequality even worse.  

Human-centred digitalisation

To conclude, digitalisation is not an end in itself, but it can be a powerful catalyst to help achieve the SDGs and boost change processes in developing countries. By embracing a human-centred approach, we can ensure that technology fosters inclusivity. The pursuit of multi-stakeholder collaboration lets us harness diverse perspectives and resources. This drives innovation that aligns with Swisscontact’s vision for sustainable development. 

A woman uses a smart card to obtain water from a water machine in Satkhira, Bangladesh

Read our project stories and find out:

Project Stories

Bangladesh
Entrepreneurial ecosystems, Upskilling and Reskilling
23.09.2024
Bangladesh: Digitalisation in Development
In recent years, Bangladesh has seen a remarkable surge in digital aimed at modernising its infrastructure, improving service delivery, and fostering innovation. In addition, Swisscontact's commitment to inclusive digitalisation ensures that marginalised communities, including women and youth, have equal access to digital opportunities. The two examples demonstrate how the digital transformation in Bangladesh is driving significant and sustainable systemic change.
Senegal
Labour market insertion
23.09.2024
Digital transformation in Senegal: a new era for vocational training
Vocational training in Senegal has long faced challenges, including communication gaps and a traditional approach often misaligned with the evolving demands of the job market. In response, a series of podcasts has been launched, leveraging digital platforms to bridge these gaps and address key topics such as dual vocational training, the integration of youth into artisanal trades, and the promotion of agricultural training.
Nepal
Sustainable agriculture
23.09.2024
Digital disruption in Nepalese agriculture: the journey of two agribusinesses 
The digital revolution is transforming agrifood businesses globally, changing how we produce, process, sell and consume food. Recognising this potential, Swisscontact is empowering Nepalese agri-SMEs to innovate in supply chain management and use digital tools to streamline their businesses. 
Guatemala
Labour market insertion
23.09.2024
More opportunities on the job market thanks to practical training and certification
As part of its Innova project, Swisscontact established two standards for vocational training in the field of software development in Guatemala. These form the basis for practical training and market-oriented certification of work skills and thus for successful labour market integration. The entire training and certification process takes place online.
Honduras
Sustainable agriculture
11.03.2024
Measuring the Carbon Footprint using the Cool Farm Tool
In the region of El Paraíso, Honduras, a pilot project is underway to train agricultural staff in measuring the carbon footprint of coffee, cocoa and livestock farms using the Cool Farm Tool. This effort is of utmost importance in El Paraíso, where agriculture plays a vital role in the local economy and sustainability of the region.