| | 1.3 Finance
02. Productivity for Survival | |
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| 1.3.02 Productivity for Survival: | | The race is on - when will computers become more intelligent that most people and when will computers take over all middle-class jobs? It is easy to see the continuation of low-paid jobs serving food and providing personal services, but what of higher paid jobs? When computers are continually talking to other computers, when transport is fully automated, when finacial services are programmed, then what jobs will remain? | | Very high levels of automation is arriving where computers are content to work 24 hours a day and to be continually monitored - how can people compete?. The middle-class must commute to an office each day to work for only a few hours with frequent breaks. Computers can be everywhere and do not need breaks - even a slow (cheap) computer can be much more productive that a person. As the cost of fuel increases, the cost of communting to the office may become unacceptable. |
| ASP: | | The ASP will survive because every job is fully defined by the ITIL international standard, every procedure is fully documented in the quality manual and what can be automated is automated. Costs are minimised because people do not spend time creating inactive reports. Costs are minimised because data quality is first class - everything is online, shared and cannot be lost. | | The ASP is in direct competition with data centers in India, with developers in Brazil and corporations in the USA who have an unfair tax advantage over UK companies. The ASP has lower costs and higher levels of productivity than all competitors - survival is simply a matter of remaining better than all others. |
| 3D Printing: | | The race means that middle-class management jobs may dwindle as 3D printing will enable cheap short term goods to be mass created and recycled. The need for layers of management to supervise manufacturing will dwindle as 3D printers learn to make anything on-demand. While 3D printing may result in low quality goods, those goods will be cheap and may well take over from expensive hand-made goods. | | People need to become many times more productive to survive - people who are more productive get paid more. |
| Productivity: | | Some people, armed with the right applications can be very much more productive than others. Those few people who are very productive, earn a lot more and others who are not cost effective. | | People become productive, not by working harder, but by doing the right thing at the right time in the right way. No matter how fast a person can type into a spreadsheet and no matter how many hours they spend typing, direct computer to computer communications will always be cheaper, faster, more accurate, more productive, more efficient and better. |
| Analogy: | | Once upon a time, people with a barge could carry heavy goods up and down the country much cheaper than road transport. Then the train arrived to do the same work but it was ten times cheaper. The train owner got rich and the barge people became poor. | | Once upon a time, people with a shovel could dig trenches and make a good living. Then the bulldozer arrived to do the same work but it was ten times cheaper. The bulldozer owner got rich and the people with a shovel became poor. | | Once upon a time, people with a desktop computer could create spreadsheets and make a good living. Then the applications arrived to do the same work but it was ten times cheaper. The application owner got rich and the spreadsheet people became poor. |
| Survival: | | To survive in business, every peron in the business must earn more than they cost. A person who does not earn more than they cost must cause all other people in the business to earn less with lowered job security. A person who earns a lot more than they cost must cause all other people in the business to earn more with job security. | | Productivity is the key - give people the right applications to earn more than they cost and the business will prosper. Ask a person to earn more with inadequate applications and eventually they will fail and the business will decline. |
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