New working model By Michael Skapin

New working model
By Michael Skapinker

As we embark on this new investigation of the future of work, there are several lessons we can draw by looking back. First, time, and our own adaptability, may solve some of our deepest problems. There are still developed countries worried about large-scale unemployment, France and Germany among them. But their problems are now widely seen as the result of excessive labor market regulation. Far from telling employees to enjoy more leisure, French and German companies are trying to find ways to ensure their staff work more hours. And in the UK, employers and policymakers now worry about a shortage of workers, not of work.

Second, the countries that seem poised to assume world economic leadership – Japan in the past; India and specially China now – may face obstacles that are barely visible today. And third, there is nothing new about our sense that we are at a turning point. People have often felt that work was changing in ways they had not seen before. Is it different this time? Is the way we work really changing fundamentally?

In one sense yes, simply because the countries that are playing a fuller part in the world economy, particularly China and India, have such large populations. ‘We simply have not comprehended yet the full impact of 2.5bn people coming into the world economy who were not part of it before,’ says Kim Clark, dean of Harvard Business School.

The second change is the technology affecting work today. The internet and broadband connections have made it far easier for companies to distribute their work around the world and to remain open 24 hours a day, seven days a week.

The trends towards both outsourcing and offshoring have offered India and China huge opportunities to develop their people’s skill. They have also provided companies around the world with enticements that are difficult to resist. Diana Farrell, director of McKinsey Global Institute, the consultancy’s in-house economic think-tank, says that 70 per cent of the costs of a typical company in the developed world come from labor and 30 per cent from capital. Capital is expensive and labor cheap in countries such as India and China. Companies that benefit from the cost savings involved in employing Indian and Chinese labor are at a significant advantage.

The problem is, Ms Farrell says, that competitor companies can achieve the same benefits by moving some of their operations to India or China too. Competitive advantage can only be retained if companies understand that there is more to be gained from India or china than cost-cutting. The two countries are potentially huge markets too. Lower vehicle development costs in India, for example, mean cheap cars can be produced for the local market. New niche markets can be found for these products in developed countries too.

Companies can address business problems in India and China that they could not solved in their home markets. For example, Ms Farrell cites an airline that used to find it uneconomic to chase debts of less than $200. By using Indian accountants, they were able to chase debts of $50. This is good for western companies, but what of western workers?

A common question heard in the US and Western Europe today is: “What are we all going go to do?” Prof Clark says: ’First of all we have to recognize something that’s lost in a lot of these conversations: most of us don’t work in places that are competing with the Chinese, or the Indians.’

Technology is likely to continue to allow more jobs to be done remotely, but, Prof Clark argues, there will be an opposing trend too: companies offering a more personal service at close quarters. Ms Farrell argues that demographic changes mean there are going to be fewer Americans and western Europeans to do the jobs available anyway.

Japan and Western Europe are ageing societies. Even the US, still a relatively young country by comparison, will have 5 per cent fewer people of working age by 2015 than it does today.

Faced with these projections, western societies can either export the jobs or impact the workers.

Will China and India become as dominant as Japan once looked like becoming? Prof Clark says the most significant obstacle they face is the quality of the universities. Few of them show signs of becoming the world-class research centers they need to be if China and India are to become world economic leaders.

From the Financial Times

Результаты (русский) 1:

Новая рабочая модель От Michael SkapinkerКак мы вступаем на это новое расследование работы в будущем, есть несколько уроков, которые мы можем сделать, оглядываясь назад. Во-первых время и наши собственные адаптируемость, может решить некоторые из наших глубоких проблем. Есть до сих пор развитые страны беспокоятся о крупномасштабной безработицы, Франции и Германии среди них. Но их проблемы в настоящее время широко рассматривается как результат чрезмерного труда регулирования рынка. Далеко не сообщая сотрудникам пользоваться больше досуга, французские и немецкие компании пытаются найти способы обеспечить своих сотрудников работать больше часов. И в Великобритании, работодатели и политиков теперь беспокоиться о нехватке рабочих, а не работы.Во-вторых страны, которые кажутся poised для того чтобы предположить мирового экономического лидерства – Японии в прошлом; Индия и особенно Китай сейчас – могут сталкиваются с препятствиями, которые едва видны сегодня. И в-третьих, нет ничего нового о наше чувство, что мы находимся на поворотном этапе. Часто люди почувствовали, что работа меняется таким образом, они не видели раньше. Отличается он на этот раз? Это, как мы работаем, действительно принципиально меняется?В одном смысле да, просто потому, что страны, которые играют более полное участие в мировой экономике, особенно Китай и Индия, имеют такие большие группы населения. «Мы просто не постиг еще полное влияние 2.5bn людей приходить в мировую экономику, которые не были частью его раньше,' говорит Ким Кларк, декан Гарвардской школы бизнеса.The second change is the technology affecting work today. The internet and broadband connections have made it far easier for companies to distribute their work around the world and to remain open 24 hours a day, seven days a week.The trends towards both outsourcing and offshoring have offered India and China huge opportunities to develop their people’s skill. They have also provided companies around the world with enticements that are difficult to resist. Diana Farrell, director of McKinsey Global Institute, the consultancy’s in-house economic think-tank, says that 70 per cent of the costs of a typical company in the developed world come from labor and 30 per cent from capital. Capital is expensive and labor cheap in countries such as India and China. Companies that benefit from the cost savings involved in employing Indian and Chinese labor are at a significant advantage.The problem is, Ms Farrell says, that competitor companies can achieve the same benefits by moving some of their operations to India or China too. Competitive advantage can only be retained if companies understand that there is more to be gained from India or china than cost-cutting. The two countries are potentially huge markets too. Lower vehicle development costs in India, for example, mean cheap cars can be produced for the local market. New niche markets can be found for these products in developed countries too.Companies can address business problems in India and China that they could not solved in their home markets. For example, Ms Farrell cites an airline that used to find it uneconomic to chase debts of less than $200. By using Indian accountants, they were able to chase debts of $50. This is good for western companies, but what of western workers?A common question heard in the US and Western Europe today is: “What are we all going go to do?” Prof Clark says: ’First of all we have to recognize something that’s lost in a lot of these conversations: most of us don’t work in places that are competing with the Chinese, or the Indians.’Technology is likely to continue to allow more jobs to be done remotely, but, Prof Clark argues, there will be an opposing trend too: companies offering a more personal service at close quarters. Ms Farrell argues that demographic changes mean there are going to be fewer Americans and western Europeans to do the jobs available anyway.Japan and Western Europe are ageing societies. Even the US, still a relatively young country by comparison, will have 5 per cent fewer people of working age by 2015 than it does today.Faced with these projections, western societies can either export the jobs or impact the workers.Will China and India become as dominant as Japan once looked like becoming? Prof Clark says the most significant obstacle they face is the quality of the universities. Few of them show signs of becoming the world-class research centers they need to be if China and India are to become world economic leaders.Из Financial Times

Результаты (русский) 3:

Новой рабочей модели
Майкл Skapinker

как мы вступаем на это новое расследование в будущей работе, имеется несколько уроков, которые мы можем извлечь, оглядываясь назад. Во-первых, время, и наши собственные способности к адаптации, может решить некоторые из наших самых глубоких проблем. По-прежнему существуют развитые страны беспокоит высокий уровень безработицы, во Франции и в Германии между ними.Но их проблем в настоящее время широкое распространение в результате чрезмерного регулирования рынка труда. До сих пор с красноречивым сотрудники пользуются более отдыхающих, французский и немецкий компаний стремятся найти пути обеспечения своих сотрудников работать больше. И в Великобритании, работодателей и директивные органы сейчас беспокоиться о нехватке рабочих, а не работы.ветровому второй,