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Vision Statement There is a way that organizations can escape from the tyranny of economic optimization, where they have to compete largely on price. Several factors have come together in the past few years to create a situation in Canada where most traditional manufacturing jobs outside the auto industry have been (or are being) moved out of Canada to places such as China. Many of the higher-paying service industry jobs are being moved to places such as India. For the most part, Canadian based firms are no longer able compete against overseas firms that have essentially the same production or operating capabilities and a much lower labour rate. The only way Canadian firms can survive and thrive is if they avoid this predicament. To do so, they have five options:
Option "1" works when only a few firms use it. When most firms do, there's no longer a well paid middle class to buy the goods and services being brought in from overseas. Options "2", "3", and "4" are currently only available to a limited number of firms. Organizations can thrive by being better than anyone else. Only by doing so can we maintain (and even enhance) the quality of life that we have come to appreciate. The process is certainly a lot more fun than the 'race for the bottom' that suppliers of 'me, too' products and services are forced to engage in. |
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All material on this Site is copyright. None of it may be copied without explicit permission from Morrie Schneiderman. Sept. 1, 2009. |