Discussion Items Re Globalization

Posted by Tim Janis:

CREATIVITY EXAMPLES
BASIC POSITION

• How can a corporation evolve to a humanistic, creative organization and survive in today’s global market?
• What if it doesn’t evolve?
• Can all workers become more creative?  With what incentives?

ALTERNATIVE THOUGHTS

• What about technology as the primary driver of future corporations? Workers?

o    See for example “Globalization of Technology: International Perspectives” - Proceedings of the Sixth Convocation of The Council of Academies of Engineering and Technological Sciences; Janet H. Muroyama and H. Guyford, Editors – National Academy Press Web site here

o    According  to Ross, (Ross, David P. (1993). Family Security in Insecure Times. National Forum on Family Security, Canadian Council on Social Development) - Technology and globalization go hand-in-hand. Globalization unleashes technology, which in turn drives firms to plan production and sales on a global basis. Technology changes the work we do and in nearly all cases, the jobs created by it demand more education and training. It also changes the way business operates by transforming relationships between suppliers, producers, retailers and customers.  This opens the discussion of a unit entitled “Innovations in Technology and Globalization: Introduction to the Information Era in the on-line report  “Technology and Making Career Sense of Labour Market Information. “ By Elaine O'Reilly, Algonquin College and Diane Alfred, Human Resources Development Canada Web site here

• What about knowledge?  Is knowledge the real capital of the future?  If so will the creative corporation be able to manage it in a global environment?

• o    Paul Grogan, CEO of the Boston Foundation, summed it up succinctly by saying that the United States needs to develop and nurture its human capital ''to succeed in a competitive global environment that values knowledge and ideas above everything else."  Taken from The globalization of knowledge - By Zorica Pantic  April 5, 2006, The Boston Globe. 

Comments

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[Billie Sumner]

Is Globalization good for America? Arena seating and theater seating manufacturers go to third world countries.

The large outsourcing of U.S. manufacturing jobs that began years ago continues today. Michigan, a furniture manufacturing center, lost thousands of manufacturing jobs in the last few years. North Carolina experienced a similar fate, as has every state in the U.S.

U.S. seating manufacturers have in recent years outsourced and manufactured seating in third world countries, for example Mexico, China and Malaysia. However, Preferred Seating, located in Tennessee, is struggling upstream to supply manufacturing jobs here in the United States. Preferred Seating wants to manufacture arena seating and theater seating in the U.S., create jobs and contribute to the U.S. economy.

The larger seating manufacturers who have the capital to build factories in third world countries make larger profit margins when they import seating parts from countries where labor and materials are less expensive. These companies argue that the public benefits from lower prices for their products. However, they sell their auditorium seating and theater seating for the same price as U.S. manufacturers, but make more profit. While these companies are making stronger sales, they are adding few jobs.

A seating manufacturer stated in “The Grand Rapids Press, Grand Rapids Michigan, Jan 23, 2005 the following:

“Absolutely, every company should be looking at China and offshore production, whether or not they actually do it. The good old days are just that – old, and the climate will never be the same. It’s now a global world where people don’t buy (just) from their country anymore. They buy the product that fits their needs, and a lot of it has to do with cost.”

While standards of living have increased as third world countries become more industrialized, they have fallen in developed countries. Was it not the industrialized revolution in the U.S. that contributed to the U.S. becoming a world super power? Losing our manufacturing base will make us more vulnerable to those countries we are allowing to manufacture our products.

Lower wage, unskilled earners are affected the most. They do not have skills that can be applied to other jobs. Education, with the ability to change careers, is the key to survival. The only answer that political and business leaders have agreed to so far is the necessity of an educated, adaptable workforce. But who is going to pay for the massive reeducation of the dislocated labor force, taxpayers?

We may enjoy lower pricing for products. Companies will make more of a profit by outsourcing. However, in my opinion the cost and risk to America is too great for the short term benefits.

Author: Billie Sumner
Preferred Arena Seating and Theater Seating
Indianapolis, Indiana
Tollfree 866-922-0226
http://www.preferred-seating.com