“Wealth doesn’t make it past three generations” – Chinese Proverb
As we see on the news, America is definitely drowning in debt. We want things now, right when we want them. Many people just buy for immediate gratification, but then later are faced with the headache involved in the great sea of debt. Many countries do look at us and wonder why we are so wasteful with not only our finances, but our resources.
Basically this chapter is about Friedman calling the current American generation lazy, which I think, as a whole many are. While some people need to get off their lazy butts and be more ambitious, overall I do not think it is always the fault of individuals being lazy. I think the way our system is set up in America that propels people to settle for mediocrity.
The media has a big part to play in this in my opinion. They glamorize things that are not that amazing, and set up unrealistic ideas in people’s minds, especially our youth. They do not have very many shows of substance, glamorizing drama, people with no ambition (or ambition of up to the point of hooking up and having the IQ of a typical “blonde”; not that many blondes are like that), and wealth that most of us will never be able to achieve. (Ok, I am not trying to sound like a 70-year old grandma, but common now, some of these shows are so dumb.) Yes I admit I do watch some shows like “the Hills” and E! (which is kind of dumb as well,) but my point is that the media controls our perceptions of things and that they should have a responsibility to glamorize not only dumb things, but maybe things that can be beneficial to people’s futures. This is not to say that when I watch TV I want to be watching some PBS special or anything, but maybe they could put on more shows like the Apprentice, or things that motivate people to seek better opportunities, and that getting yourself ahead in life is another aspect of glamour. Maybe do some “reality show” about people in India fighting for our jobs and how people in America are finding new ways for themselves to stay ahead. (just an example, but you get the point.)
Friedman points out that we should be considered about gaps in our education, infrastructure, and ambitions. He claims that less scientists are graduating from the U.S. than before, and that foreign counties are exceeding us in higher education. He also mentions the education gap at the top. A Romanian kid was used as an example in saying what we are learning in 7th grade, Europeans are learning three grades before us. This is pretty sad, and our education system is not that strong. However, we need better teachers in order to accomplish this. It is sad because the “better teachers” go to the better schools that are in more desirable locations. The impoverished schools are then left at a disadvantage, and more prone to remaining poor. Something needs to be done here, but I don’t seem to have a good answer in how to get the better teachers as the “worse” schools.
Thursday, December 6, 2007
Ch 7: You've got The Right Stuff Baby... (jk...)
“How we educate our kids is more important than how much”
This is a pretty profound statement. As we grow up, adults were always telling us to get a good education and learn as much as we can. While possessing a lot of knowledge is important, learning how to learn is more important in Globalization 3.0. We should be taught to: learn how to learn. If I had not read the first six chapters of the book, I would have thought Friedman is crazy because it went against a lot of what I have been taught. However, times are changing, and technology is changing so we have to know how to adjust so we can pick up new skills quickly with passion. [Side note: The book “Rich Dad Poor Dad” has a similar philosophy in the fact that just getting a college education isn’t going to be the deciding factor getting you ahead in life.] (although I have only read the first two chapters and it is currently collecting dust on my book-shelf, I am pretty sure the book keeps that message all the way throughout the whole book…)
Friedman gives the equation he came up with as a rule to go by in life:
CQ + PQ >= IQ (or, Curiosity Quotient + Passion Quotient >= IQ)
People with this equation having a greater value on the left side will have the most advantage in flourishing in the global world. It backs up being able to “learn how to learn.” I wish I can sharpen my skills in this department, because I am sometimes lazy when it comes to learning some things. However, if I can see the true value of it in my future, then I have no problem of getting into the mindset that it is interesting to learn.
I thought it was pretty cool that we got to hear (well read) a part of Steve Job’s commencement speech. I had no idea that he was adopted, nor that after he dropped out of college that he would sneak into a calligraphy class and that it actually helped him out. He also spoke about “connecting the dots,” looking backwards leading up to his successful position in life.
Friedman also said that liberal arts should be stressed in school. He says America must learn to work with their right-side of the brain to do things better and innovate, while let foreigners do the left-side of the brain work cheaper for us. I think this was kind of a crappy statement. It is almost if he is making us think that we are better than others and that everyone should be doing lower-skilled jobs and that’s just the way it should be. While maybe he wasn’t trying to be so harsh about this, this is kind of what I pulled from it.
Wednesday, December 5, 2007
Ch 6: Untouchables: Finding New Middle
This chapter Friedman does a great job calling to everyone’s attention the need and importance of education to get ahead in this world. Friedman says there is no such thing as an American job anymore. This opened my eyes, because I used to think of some jobs as just this. Times are changing in this new global world, and as we have already begun to see the effects of outsourcing, many jobs will go to the best, smartest, and cheapest worker. As an individual, you want to make yourself an “untouchable,” meaning that you are so valuable at your job, that your work ethic cannot be duplicated by outsourcing. This is kind talk of caste systems kind of made me think of the Sex and the City episode discussing the caste systems and if they really do still exist. That episode basically said they do in a way, and Friedman backs up this statement, however from a different point of view. (Just a random fact for you all.)
Some of the things Friedman suggested to be in the untouchable category were pretty beneficial. One of these skills we are developing in the MBA program which is knowing how to work with others. Since practically half of what we do is group work, we are pretty used to this already. He also mentioned that we need to know how to speak to others, explain (something I need to improve upon,) and inspire. These skills are very crucial. At my internship I have been working on an employee survey and focus groups. Going over the results of the focus group, I spoke to my manager about some employees complaining about not being promoted when they are just as competent at the job and know more than some of the outsiders being brought in to fill vacant positions. My supervisor pointed out that while they may possess the knowledge, these certain employees do not know how to lead a group or have the correct people skills to manage a team effectively. The fact that we as MBAs develop these characteristics is very important if we are wishing to advance in our careers and keep our jobs.
Another thing Friedman suggested that I felt was important, is that no matter what you do, be amazing at what you do. I was speaking to Amanda’s dad when he came in town once and he mentioned that it is good to be so good at your job that you are irreplaceable.
Tuesday, December 4, 2007
Chapter 5: America & The Flat World
I agree with Friedman that David Ricardo was right about comparative advantage and it still applies today. If your country sticks with what they do best, other countries can do what you may be lacking on. You can then trade with other countries, and everyone benefits. This is something I learned in elementary and high school, and I believe it still applies today. What good does it do to try and make something that does not easily come for your country? I feel that we should tear down the walls against outsourcing and offshoring that may still exist in people’s minds.
Education is necessary for Americans to stay ahead and have better jobs that are not outsourced. Some people may think that if everyone is prospering with free-trade, then everyone will be making more money and there will be no one left to perform the jobs such as manufacturing. This is not true. As more people’s wages go up, then they will want to buy more things. So, we still need people to manufacture items. Maybe the manufacture workers’ wages will rise as well, but we still need things being produced. I was a little concerned with this chapter because the Chinese and Indians are racing us to the top, and I thought they may take all our “good jobs.” However, after reading this chapter, I do not think this will be a huge threat. However, we have to remain smart because the bar is going to rise along with standards.
Education is necessary for Americans to stay ahead and have better jobs that are not outsourced. Some people may think that if everyone is prospering with free-trade, then everyone will be making more money and there will be no one left to perform the jobs such as manufacturing. This is not true. As more people’s wages go up, then they will want to buy more things. So, we still need people to manufacture items. Maybe the manufacture workers’ wages will rise as well, but we still need things being produced. I was a little concerned with this chapter because the Chinese and Indians are racing us to the top, and I thought they may take all our “good jobs.” However, after reading this chapter, I do not think this will be a huge threat. However, we have to remain smart because the bar is going to rise along with standards.
Chapter 4: The Great Sorting Out
This chapter raised many concerns for me about the new flat world. Now in globalization 3.0, we have apparently moved from a vertical connect & collaborate value-creation model. Friedman speaks about the internet decreasing the distance between the consumer and the real-estate expert to where consumers don’t’ expect as much as they used to from them. This is because we now have the ability to do our background research prior to big purchases such as a house or a car. I know I definitely will use the internet on my next big car purchase. As business leaders, it is important to take this into consideration because customers are able now more than ever to be their own “salesman.” We will need to be able to create value into our products that competitors can’t offer, to ensure that consumers won’t be fixated on the bottom line price. Friedman also interviewed Colin Powell and asked him when he knew that the world became flat. He said that when he went to work realizing that he no longer needed to ask his subordinates to get info. He realized it was there at his fingertips (for example, Google.) Now it changes the way he conducts business by asking his employees for action instead of information.
The chapter also spoke about rapid social change. This concerns me because rapid social change is very destabilizing and stressful. The fact that the walls and ceilings of norms will be taken out is likely to cause chaos and confusion.
Also, Friedman says that only a customer can guarantee an employee a job. At first I thought that Friedman did not know what he was talking about. Only an employer can guarantee a job, because they are employing. However, he changed my opinion on this when I read further. What he meant to say is, if consumers want things at cheaper prices and aren’t willing to pay higher prices, then we need to cut costs. Only by cutting the supply chain prices can we be able to get lower prices that customers will be willing to buy at. And if customers want lower prices (for instance at good ‘ol Wal-Mart example again,) then we need to either cut labor, or decrease their pay and benefits. So, when you flatten your supply chain, it turns into a political issue, and you may be taking out a certain humanity element out of life (have employees being able to make ends meet on cheaper pay or no work at all.)
The most striking part of the chapter to me was “death of a salesman.” I was a marketing undergrad, and I am aware that personality has a big part in landing a sale. Now, since a lot of business is being taken care of electronically, there is no longer face-to-face contact in some sales transactions. So price is becoming more of a bottom line, making it harder to gain more business. I have experienced similar frustration to this by people saying “submit your resume online.” It sucks really bad because sometimes you know if they got to meet you first, that they would be more willing to call you into an interview than just being another flat page in a sea of thousands.
The chapter also spoke about rapid social change. This concerns me because rapid social change is very destabilizing and stressful. The fact that the walls and ceilings of norms will be taken out is likely to cause chaos and confusion.
Also, Friedman says that only a customer can guarantee an employee a job. At first I thought that Friedman did not know what he was talking about. Only an employer can guarantee a job, because they are employing. However, he changed my opinion on this when I read further. What he meant to say is, if consumers want things at cheaper prices and aren’t willing to pay higher prices, then we need to cut costs. Only by cutting the supply chain prices can we be able to get lower prices that customers will be willing to buy at. And if customers want lower prices (for instance at good ‘ol Wal-Mart example again,) then we need to either cut labor, or decrease their pay and benefits. So, when you flatten your supply chain, it turns into a political issue, and you may be taking out a certain humanity element out of life (have employees being able to make ends meet on cheaper pay or no work at all.)
The most striking part of the chapter to me was “death of a salesman.” I was a marketing undergrad, and I am aware that personality has a big part in landing a sale. Now, since a lot of business is being taken care of electronically, there is no longer face-to-face contact in some sales transactions. So price is becoming more of a bottom line, making it harder to gain more business. I have experienced similar frustration to this by people saying “submit your resume online.” It sucks really bad because sometimes you know if they got to meet you first, that they would be more willing to call you into an interview than just being another flat page in a sea of thousands.
Chapter 3: Trippple Convergence (I know it's spelt wrong I was going for the "tripple effect"...
This chapter was kind of borrring to me, so bare with me in this blog. It basically goes over how the ten forces come together. Just after I was done letting all the ten forces sink in during the previous chapter, there was more sinking in that needed to be done…
Force one deals with how all the flatteners came together in globalization 3.0. And it talks about collaboration. One thing that was kind of interesting is that he described the Southwest process if you fly with them. We always talk about it as a reference in class of how awesome it is, but I didn’t really knew what happened in the process. While it does demonstrate in a genius way of tapping into an untapped market, I don’t think I would ever fly with Southwest because I don’t want to have to fight for a seat.
Convergence two was a little harder for me to grasp. I think it referred to something about consultants and using IT effectively to make a set of business skills to enhance the flattener’s potential. Yea, that comment didn’t really even make sense to me. I don’t think he did a very good job in stating what this flattener was.
Convergence three, like Alex and Nick, I believe is a little far-fetched. He makes it all “scary” that 3 billion people are competing in the playing field. Yea, well not for our jobs. Not everyone has access to the internet, and many people live in poverty that do not have the same opportunities as the “zippies” in India as he calls them. So all these “3 billion” some will be competing with our jobs that may be outsourced, but others will be performing manual labor for large countries, if that.
Overall, I think this chapter should have been shorter because I felt like he was just trying to add pages...
Force one deals with how all the flatteners came together in globalization 3.0. And it talks about collaboration. One thing that was kind of interesting is that he described the Southwest process if you fly with them. We always talk about it as a reference in class of how awesome it is, but I didn’t really knew what happened in the process. While it does demonstrate in a genius way of tapping into an untapped market, I don’t think I would ever fly with Southwest because I don’t want to have to fight for a seat.
Convergence two was a little harder for me to grasp. I think it referred to something about consultants and using IT effectively to make a set of business skills to enhance the flattener’s potential. Yea, that comment didn’t really even make sense to me. I don’t think he did a very good job in stating what this flattener was.
Convergence three, like Alex and Nick, I believe is a little far-fetched. He makes it all “scary” that 3 billion people are competing in the playing field. Yea, well not for our jobs. Not everyone has access to the internet, and many people live in poverty that do not have the same opportunities as the “zippies” in India as he calls them. So all these “3 billion” some will be competing with our jobs that may be outsourced, but others will be performing manual labor for large countries, if that.
Overall, I think this chapter should have been shorter because I felt like he was just trying to add pages...
Chapter 2: Ten Forces that Flattened the World (although I will be talking about five…)
While there were ten forces that led up to the flattening of the world according to the author, I will speak about the ones that stood out the most to me, due to me not wanting to make this chapter’s post 10,000 words…
# 1 – Falling of the Berlin wall on 11/9/89.
This caught my attention for several reasons. First, it is a big event that I remember hearing about growing up, but did not yet understand at the time. Second, I remember reading that Pope John Paul II, someone I deeply admire, was very actively involved in getting rid of communism at the time and wanted to ensure all people the right to freedom. And lastly, this outbreak of freedom lead to more outbreaks of freedom like a ripple effect. This set the ground for all the other forces. Some of its effects were opening the formation of the EU, and common standards of accounting, banking, economies, etc. I had no idea that this one event in history affected so greatly our economies and how we do business today.
# 4 – Uploading
This one is both great and scary. It allows us to have a voice and not let the media dictate what can and cannot be published. I have used Wiki countless times, I am blogging right now for the first time, and YouTube is awesome for making dull presentations fun. The scary thing is, people can publish anything, which even if it is not true.
# 5 – Outsourcing
I plan on outsourcing my presentations one day when I am a higher up in a company. Doing this will save me time from trying to make it all pretty, and I can focus on other demands of my job as opposed to wasting time trying to make a good looking presentation.
# 7 – Supply Chaining
This one was pretty awesome in the way he described it. I applied my Operations Management class here in my mind when he was talking about Wal-Mart. The fact that Wal-Mart is number one, and it does not make one single thing, is pretty amazing. It goes to show how having an efficient supply chain in business really does dictate in great proportion of how your business will do. It is an unduplicated system, and it is kind of freaky how when I buy something off the shelf at my local Wal-Mart, it is automatically signaled over in their corporate headquarters. This flattener made me want to take supply chaining more seriously with my future organizations because I saw just how important it is to have an effective supply chain. However, it did bring to my attention that I should consider, when is saving money going overboard? Wal-Mart gives employees crappy wages, and that is not fair either. There needs to be a line between doing business efficiently, and treating our employees humanely by giving them decent wages instead of just letting the fat CEOs and higher-ups bank on saving money in a supply chain.
# 8 – Insourcing
I had absolutely no idea that UPS synchronizes global supply chains. I think it is very smart of Nike and other businesses to let UPS take over its supply chain because it saves them time, money and makes business transactions go faster. It also taught me that even if I am in a big business, I should not become too confident, because small businesses can act big now, leveling the competitive playing field in an already flat world.
# 1 – Falling of the Berlin wall on 11/9/89.
This caught my attention for several reasons. First, it is a big event that I remember hearing about growing up, but did not yet understand at the time. Second, I remember reading that Pope John Paul II, someone I deeply admire, was very actively involved in getting rid of communism at the time and wanted to ensure all people the right to freedom. And lastly, this outbreak of freedom lead to more outbreaks of freedom like a ripple effect. This set the ground for all the other forces. Some of its effects were opening the formation of the EU, and common standards of accounting, banking, economies, etc. I had no idea that this one event in history affected so greatly our economies and how we do business today.
# 4 – Uploading
This one is both great and scary. It allows us to have a voice and not let the media dictate what can and cannot be published. I have used Wiki countless times, I am blogging right now for the first time, and YouTube is awesome for making dull presentations fun. The scary thing is, people can publish anything, which even if it is not true.
# 5 – Outsourcing
I plan on outsourcing my presentations one day when I am a higher up in a company. Doing this will save me time from trying to make it all pretty, and I can focus on other demands of my job as opposed to wasting time trying to make a good looking presentation.
# 7 – Supply Chaining
This one was pretty awesome in the way he described it. I applied my Operations Management class here in my mind when he was talking about Wal-Mart. The fact that Wal-Mart is number one, and it does not make one single thing, is pretty amazing. It goes to show how having an efficient supply chain in business really does dictate in great proportion of how your business will do. It is an unduplicated system, and it is kind of freaky how when I buy something off the shelf at my local Wal-Mart, it is automatically signaled over in their corporate headquarters. This flattener made me want to take supply chaining more seriously with my future organizations because I saw just how important it is to have an effective supply chain. However, it did bring to my attention that I should consider, when is saving money going overboard? Wal-Mart gives employees crappy wages, and that is not fair either. There needs to be a line between doing business efficiently, and treating our employees humanely by giving them decent wages instead of just letting the fat CEOs and higher-ups bank on saving money in a supply chain.
# 8 – Insourcing
I had absolutely no idea that UPS synchronizes global supply chains. I think it is very smart of Nike and other businesses to let UPS take over its supply chain because it saves them time, money and makes business transactions go faster. It also taught me that even if I am in a big business, I should not become too confident, because small businesses can act big now, leveling the competitive playing field in an already flat world.
Subscribe to:
Posts (Atom)