“Mass” was the economic drive of the last few decades. Mass markets replaced national markets, which had replaced local markets. Walk into any city’s retail centers and malls a decade ago, and they looked identical. Manufacturing automation and global supply chains made goods cheaper. Clothing, curtains, bedding, hairdryers, blenders … much of what we buy has become so cheap that we throw items away rather than repairing them. My seamstress, who has been in business some 40 years, cannot believe how poorly made clothes are today. And her comments refer to the pieces she is seeing, the ones worth repairing. True, cars are more expensive. But based on their quality, longevity, and performance, they are a hell of a lot cheaper than their predecessors considering lifetime costs. And have you noticed that they increasingly look alike? IKEA brought us furniture so cheap that…
We need more not less diversity training
President Trump has ordered Federal Agencies and their contractors (i.e., a significant percentage of American businesses) to halt diversity training that builds from Critical Race Theory. Words you are likely familiar with – such as unconscious bias – emerge from this theory, which argues that racism is ingrained in American society’s fabric and system, not merely in individual people. This system better explains societal outcomes than does individual behavior. Business is rightfully pushing back against Trump’s order, as efforts to encourage diversity and welcoming cultures have led to more successful talent attraction and retention and more innovative cultures. Trump’s action aims to appeal to his political base, and while it may be right politically, it is wrong on other levels. To understand, I encourage you to read Caste: The Origins of Our Discontents. In the book, Pulitzer Prize-winning author Isabel Wilkerson comments: “Caste…
You cannot manage your way out of a paradox
I’ve been thinking lately about how to balance two opposing goals. One is keeping our economy open so that we avoid a deep recession. The second is containing the COVID-19 Pandemic. Companies have these kinds of seemingly opposing conflicts. A decade ago, British Petroleum was balancing the need to increase oil production (through drilling at sea) with the need to protect water and workers. More recently, Boeing was balancing the need to get the 737Max to market at an attractive overall cost against the safety needs of travelers. In the early 2000s, the Boards of Directors of US banks wanted higher stock prices through growth in assets without depleting capital. We all know these balancing acts went awry because leaders pushed one goal at the expense of another, leading to major crises. Further, the solutions to these imbalances were all costly. Pushing up…