Currently European governments are investing €22bn to €32bn a year in upgrading and expanding their electrical grid infrastructure.
Even at this level of spending, Boston Consulting Group (BCG) say that there still will be a €800bn spending gap by 2030 and a €2.5 trillion gap by 2050, and conclude investment needs to be closer to €80bn annually.
Of this spending 60% is required for distribution grids, 25% on transmission grids, and the rest for cross-border connections and storage. Already in the last two years investment has vastly increased, resulting in huge increases in sales for suppliers and manufacturers in these segments, with headcounts growing to meet the huge uptick in demand – as seen below.
Some of the businesses shown below are expecting revenues to double in next 3-5 years! Whilst it's exciting, leadership teams must contend with challenges around organisational structure, operational complexity, quality control, sustainable planning, and crucially as previously mentioned in other posts, the core identity and culture of the business.
I’m especially interested in how organisations are creating leadership teams to handle these pressures, and initiatives around developing a new generation of leaders to drive businesses forward. Over the coming weeks, I’ll be sharing conversations I’ve had with leading CHRO’s from Siemens Energy, Prysmian and Mersen about what their doing to prepare their senior leadership for an exciting future!
Nexans, NKT, Weidmann, Arteche, Ormazabal, AEG Power Solutions, STATRON AG, Riello UPS, Power Electronics, sonnen GmbH, Alfen, Legrand, Rittal GmbH & Co. KG, STULZ
International Expansion | Inward Investment | Helping Companies to Expand into USA, UK and Germany
1mo👏 Très bien! One of 75 French companies that has invested in Tennessee 🇫🇷🇺🇸