If, in general, fewer and fewer people directly participate
in the benefits from productivity gains then the resultant higher standards of
living become society's burden.
With fewer and fewer sharing the benefits there are more and more moving
closer to the edge of poverty.
Society as a whole suffers as the income inequality gap widens, as evidenced
by the research of Richard Wilkinson and Kate Pickett presented
in their book, The Spirit Level .
Since many of society's corporations receive support and advantage from society--extracting from society whatever they can for self-serving purposes--without providing commensurate return, they could be considered parasites rather than partners of society. Progress in society cannot possibly be realized under a system where everyone is in it for him or her self--such a system subverts progress.
Doing More For More
(of us)
However if the intent of the business enterprise is improving quality, not maximizing profit, then as Deming's chain reaction indicates productivity would not only improve, the company would capture the market with better quality and lower prices as well. This enhances its competitive advantage and increases the company's viability--portending a favorable future--enabling it to provide more jobs. In this view of business, more and more people win--customers, shareholders, executives, employees, suppliers and society! Deming learned from his decades of helping companies improve quality, "improvement of quality begets naturally and inevitably improvement of productivity".
So the fundamental question is whether this society is a society of "We' or of "Me'. That is, whether we are in this society with a commitment to the advancement of our collective wellbeing or with a commitment to advancing one's self-interest. If the former then we rise and fall together and if the latter we all fall (eventually) as we each struggle alone, except of course those at the top. Every person for him or her self is not the way to a better society for all or a sustainable society.
For all of us to realize the benefits from increases in productivity we need to transcend self-interest. The responsibility of business is not merely the simplistic notion of maximizing profit for the owners and executives. Decisions based solely on what's in it for me brings disorder to and the dissolution of society--it is just plain suicidal .
Wanted: Leaders for
Action
Bostjancic recognized the need for corporations to begin hiring in order for demand to increase leading to the need for the production of more products/services--a growing economy. Bostjancic also notes the difficult decision corporate executives have before them saying " it's very difficult to stand out like that and to be bold because if no one else is doing it, and you're proven wrong, you could be penalized." And Bostjancic continues, "if the economy does turn down, then you've over-hired, you've over-invested." One is frozen against taking action if and only if: a) one fails to understand that having sufficient income enables consumer demand that causes the need for production; b) one doesn't understand that money is the energy transferring substance in an economy and only if it flows can the economy remain vibrant; and c) one lacks the courage to lead. Waiting for someone else to make the decision you are unwilling to make is not the way of leadership.
It is time for businesses to be led by those who manage
business with a different
mind--a
caring mind. Because organizations are reciprocally interdependent
with society and the environment, viability any human activity system
necessarily requires ethical, social and environmentally responsible action. The leaders of business we need are not
narrowly and superficially fixated on maximizing material self-interest--exploiting
whatever they can. The leaders we need critically think about the underlying
precepts of our current system and understand how detrimental it is
to our collective wellbeing and the viability of a business enterprise to
continue following
the herd.
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