How Outsourcing Kills Innovation
When companies outsource their manufacturing, suppliers close or move, engineers learn different skills, local colleges drop job-training courses, and the whole ecosystem shrinks.
What's the Latest Development?
When one fisherman doubles his efforts, he doubles his catch. When the entire fishing village doubles its efforts, the fishery will be quickly depleted. Harvard Business School professors David Pisano and Willy Shih worry this is happening to the American economy—it is being depleted of its innovative spark—due to the rush to outsource manufacturing. "When companies outsource their manufacturing work, suppliers close or move, engineers learn different skills, local colleges drop some job-training courses, and the whole ecosystem shrinks."
What's the Big Idea?
What can be done to ensure that innovation and know-how remain plentiful raw materials? "In the private sector, [Pisano and Shih] argue, companies should spend more on creating products and less on marketing; articulate a credible long-term strategy to Wall Street and stick to it; accept that R&D outcomes are hard to predict; reinvigorate basic research; and add a committee dedicated to science and technology to each board of directors. For federal policy, they warn against trying to pick winners among existing companies and industries."
Setting a simple intention and coming prepared can help you — and those around you — win big.
- Setting an intention doesn't have to be complicated, and it can make a great difference when you're hoping for a specific outcome.
- When comedian Pete Holmes is preparing to record an episode of his podcast, "You Made it Weird with Pete Holmes," he takes 15 seconds to check in with himself. This way, he's primed with his own material and can help guests feel safe and comfortable to share theirs, as well.
- Taking time to visualize your goal for whatever you've set out to do can help you, your colleagues, and your projects succeed.
The Amazon Rainforest is often called "the planet's lungs."
- For weeks, fires have been burning in the Amazon rainforest in Brazil, likely started by farmers and ranchers.
- Brazil's president, Jair Bolsonaro, has blamed NGOs for starting the flames, offering no evidence to support the claim.
- There are small steps you can take to help curb deforestation in the Amazon rainforest, which produces about 20 percent of the world's oxygen.
How do we combat the roots of these hateful forces?
- American Psychological Association sees a dubious and weak link between mental illness and mass shootings.
- Center for the study of Hate and Extremism has found preliminary evidence that political discourse is tied to hate crimes.
- Access to guns and violent history is still the number one statistically significant figure that predicts gun violence.