Environmental and Economic Changes
,One of the best ways to determine how the role of the supervisor has changed is to study how organizations are being impacted by changes in the environment and the economy.
1. The most notable shift in our environment has been from an industrial-based society to an information-based society. In 1980, the amount of information entering our society was doubling every ten years. In 1990, the amount of information entering society was doubling every two and one-half years! As we near the year 2000, it is estimated that the amount of information will double every one and one-half years!
2. The rapid increase in information flow is both creating new jobs and causing jobs to become obsolete. It has been estimated that 50% of the jobs being performed in 1991 did not exist in 1971. That rate of change is not slowing down. We can expect that by the year 2013 essentially all work will be “new.” If information is doubling every one and one-half years, 90 percent of the information available to workers in 2013 will have been created since 1993. Put another way, all of the knowledge utilized by workers in 1993 represents 10% of what will be available in 20 years.
3. Our economy has shifted from a manufacturing base to a service base. In 1955, according to an analysis done by Morgan Guaranty Trust Company, manufacturing produced some 30% of all U.S. goods. In 1985, this figure dropped to 21%. By the year 2000, it is expected to drop to 17%. As this happens, manufacturing will become less and less important to the economy as a mechanism for creating wealth. Although there will be fewer manufacturing jobs in 2000, these losses will be more than offset by net new jobs in the service sector.
4. Global competition is changing the way we do business. In the 1940s and 1950s, American-made products were symbolic of high quality. Today, we are struggling to maintain our competitive edge. Presently, 80% of what any organization produces can be equaled by other organizations in the world. Businesses can now choose to compete because access to the information, knowledge, raw materials, and technologies needed to do the core, repetitive tasks is available to anyone who wants it, many times from the Internet.
5. Environmental consciousness and practices are required. It is virtually impossible to ignore the strong emphasis being placed on environmental consciousness. Corporations must comply with new environmental regulations every year.
6. Technological advances are coming faster than ever before. Technology is advancing so rapidly it is difficult for even the experts to keep up. A computer specialist was asked, “How can consumers be sure that they are getting a ‘state-of-the-art’ computer?” The computer technician’s interesting reply was, “If a computer has progressed enough for us to sell it on the retail market, it’s already obsolete!” The computer has changed the way we do business. Access to the Internet has leveled the playing field by giving anyone with a computer and a modem a powerful tool to conduct research, advertise products, and stay current with the latest in just about anything!
7. Laws, laws, and more legal stuff. Legal issues are an ongoing and growing concern for organizations. From the employee lawsuits regarding workplace harassment and equal opportunity, to laws that dictate the particulars for how we do business, the legal process has affected almost everyone. As organizations struggle to interpret the intent and impact of laws governing the workplace, policies have changed considerably.