Future Readiness Indicator

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The Future Readiness Indicator is an indicator developed by the IMD Center for Future Readiness. [1] [2] [3] It assesses large publicly listed companies on their preparedness for future trends using historical data to compare innovation, resilience, and growth. [4] [5] Companies receive a composite score and are ranked within their respective industries. [6] [7] It was developed by Howard Yu in 2021 and covers 182 companies across six different industries. [8] [9]

Contents

History

The Future Readiness Indicator was developed in 2021 by Howard Yu, with some rankings backdated to 2010 for analytical purposes only. [10] The concept of corporate future readiness has been discussed in management literature as a firm’s capacity to anticipate disruption, invest in innovation, and adapt to structural market shifts. [11] [12]

Methodology

The ranking derives from seven primary, equally-weighted factors: financial indicators, projected growth, business diversification, workforce diversity/ESG, R&D, innovation outcomes, and liquidity/debt status, totaling 33 distinct variables. [13] [14]

The data is publicly accessible from company outlets, news sources, and thematic reports. Factiva, CrunchBase, Espacenet, Sustainalytics, and Google Trends also supplement data collection. [13] [15]

The indicator is calculated by collecting each company's historical data, performing computations for each variable, standardizing criteria data, aggregating variables into main factors, and assigning an overall ranking. [15] Each company is ranked from 1 (best) to n (worst, n=sample size) on a 1-100 scale. [13]

Rankings

Automotive

Company2025 [16] 2024 [17] 2023 [18] 2022 [19] 2021 [20] 2020 [18] 2019 [18] 2018 [18] 2017 [18] 2016 [18] 2015 [18] 2014 [18] 2013 [18] 2012 [18] 2011 [18] 2010 [18]
BYD 1225141315161818171817171818
Tesla 21111112351064161110
Geely 31717109-----------
Li Auto 49714------------
Kia Motors 581816161818181717181516121316
Volkswagen 63336851311975109106
Toyota 711102232122111112
XPeng 815612------------
General Motors 97911111211443633221
Ford Motors 10657443311222333

Consumer packaged goods

Company2025 [21] 2024 [17] 2023 [22]
L'Oréal 113
Coca-Cola 221
Unilever 357
Procter & Gamble 432
Nestlé 544
Colgate-Palmolive 6911
Beiersdorf 7--
Diageo 865
PepsiCo 91113
Monster Beverage 101218

Fashion

In the luxury and fashion sector, the index reported shifts in rankings among major global brands, reflecting changing competitive dynamics in digital strategy and sustainability performance. [23]

Company2025 [24] 2024 [25] 2023 [26] 2022 [27] 2021 [27]
LVMH 12456
Inditex 2381315
Hermès 31243
Adidas 410141212
Nike 54112
Kering 66335
Moncler 7----
Lululemon 85721
Ralph Lauren 9----
Zalando 10957-

Financial services

Company2025 [28] 2024 [17] 2023 [29] 2022 [30] 2021 [31] 2020 [29] 2019 [29] 2018 [29] 2017 [29] 2016 [29] 2015 [29]
Mastercard 11111111111
DBS Bank 23456665559
Visa 32222222222
JPMorgan Chase 44331312771077
Coinbase 58---------
Progressive 612---------
HSBC 76101422212219201822
Zurich Insurance 898138-896917
Allianz 916121710------
Block, Inc. 101066-------

Pharmaceutical

In the life sciences sector, the index identified leading pharmaceutical companies based on their ability to adapt to long-term industry transformation and innovation dynamics. [32] [33] Roche was ranked among the top pharmaceutical companies in terms of future readiness, highlighting its positioning within the global life sciences industry. [34]

Company2025 [35] 2024 [36] 2023 [37] 2022 [38]
Johnson & Johnson 1688
Roche 2151
AstraZeneca 3423
Novartis 4545
Eli Lilly and Company 5337
Merck & Co. 6899
Bristol Myers Squibb 7764
Sanofi 8131516
GSK 9141921
Pfizer 10912

Technology

The index has also been referenced in discussions of technology companies’ strategic positioning, particularly in relation to artificial intelligence and digital platform competitiveness. [39]

Company2025 [40] 2024 [41] 2023 [42] 2022 [43] 2021 [44] [45]
Nvidia 11236
Microsoft 22123
Alphabet 34411
Meta Platforms 43364
Apple 55559
Amazon 661042
Samsung Electronics 720271625
AMD 87885
Cisco 91792215
TSMC 1012212121

Travel

Company2025 [46]
Booking Holdings 1
Airbnb 2
Marriott 3
Trip.com 4
Hilton 5
Expedia 6
Delta Air Lines 7
Royal Caribbean 8
Carnival 9
Ryanair 10
IAG 11
Singapore Airlines 12
IHG Hotels & Resorts 13
Turkish Airlines 14
Hyatt 15
United Airlines 16
H World 17
Accor 18
easyJet 19
Travel + Leisure 20

References

  1. Cabral, Alvin R. (May 16, 2023). "Tesla ranked top future-proof automotive company". The National.
  2. "Roche et Richemont parmi les compagnies les mieux parées à affronter 2023 selon IMD". L'Agefi . 2025.
  3. Montebello, Leah (15 December 2021). "Apple struggles to keep pace with Google and Amazon according to new study on future readiness". City A.M.
  4. Yu, Howard; Shan, Jialu; Boutalikakis, Angelo; Tempel, Lawrence; Balian, Zuriati (2022-03-21). "What Makes a Company "Future Ready"?". Harvard Business Review. ISSN   0017-8012 . Retrieved 2026-02-27.
  5. Shan, Mark J. Greeven, Howard Yu, and Jialu (2024-06-05). "Engineer Your Own Luck". MIT Sloan Management Review. Retrieved 2026-02-27.{{cite web}}: CS1 maint: multiple names: authors list (link)
  6. Peel, Antonia Garrett. "Four lessons from the world's most 'future-ready' businesses". Management Today .
  7. Peel, Antonia Garrett (2024-11-27). "Three hallmarks of a 'future-ready' business". Management Today. Retrieved 2024-12-26.
  8. Nguyen, Britney (2024-11-25). "Meta could outdo Google in the AI transformation, professor says". Quartz. Retrieved 2024-12-26.
  9. 许嘉怡. "BYD beats Tesla in future readiness rankings: report". www.chinadaily.com.cn. Retrieved 2026-02-27.
  10. "Chinese carmakers gather steam as innovation thrives, expert says". China Daily .
  11. Yu, Howard; Shan, Jialu; Boutalikakis, Angelo; Tempel, Lawrence; Balian, Zuriati (2022-03-21). "What Makes a Company "Future Ready"?". Harvard Business Review. ISSN   0017-8012 . Retrieved 2026-02-27.
  12. Shan, Mark J. Greeven, Howard Yu, and Jialu (2024-06-05). "Engineer Your Own Luck". MIT Sloan Management Review. Retrieved 2026-02-27.{{cite web}}: CS1 maint: multiple names: authors list (link)
  13. 1 2 3 "Our Research Methodology - IMD business school for management and leadership courses". www.imd.org.
  14. Warner, Kelsey (December 15, 2021). "How future-proof are Apple, Twitter and Spotify? Not very, researchers find". The National .
  15. 1 2 Yu, Howard; Shan, Jialu; Boutalikakis, Angelo; Tempel, Lawrence; Balian, Zuriati (March 21, 2022). "What Makes a Company "Future Ready"?". Harvard Business Review .
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  33. "Roche named as the most future-ready pharma company". S-GE. 2025-04-04. Retrieved 2026-02-27.
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