Title: Its Not Your Grandparents Labor Market Anymore: The New Environment and New Roles for the 21st Centu
1Its Not Your Grandparents Labor Market
AnymoreThe New Environment and New Roles for
the 21st Century Marketplace
NGA 2003 Workforce Policy Forum December 5, 2003
- Paul Shirley
- Chairman
- Next Generation Economy
- President CEO
- Qynergy Corporation
2Session Questions
- Session Questions
- What do individuals, companies and government
need to know to hold onto jobs or get new ones? - How does globalization affect business decisions
and the labor market? - My Answer
- That for USindividuals, companies and
government, business leaders and members of the
workforceto succeed as part of a global economy,
WE must understand and harness the dynamics of
INNOVATIONmanage themfor the good of America
and, ultimately, the world. - The greatest opportunity for US to not only
survive but flourish, is by Creating
Opportunities and Hope through an Innovation
Based Economy
3SVSThe Vision
Provide A High Technology Environment Where
Everyone Can Have Fun, Make A Difference, And,
Oh By The Way.Make A Profit
4From SVS to Boeing SVSGrewSurvivedAnd Had
Fun!!!
History Founded January 7, 1993 Boeing Merger
July 9, 2000
- People
- From 3 _at_ Founding to Over 270 Today
- and Still Growing!!!
- Skilled, Multi-disciplinary Staff
- Ranked as Tops in Job Satisfaction Throughout The
Boeing Company Since Merger
- Economics
- 3 Founders Invested 1,000 each (1992)
- 79,000 Gross Revenues (1993)
- 50,000,000 Gross Revenues (2003 est.)
- Average Salaries 67,500 per year
5My ExplorationSabbatical 2000-2001
- Have Fun, Make a Difference, and Oh by the
WayMake a Profit (It Can Work!) - To Create Opportunity (HopeJobs) It Takes
- People
- Passion
- Competence
- Culture
- Community
- Trust
- The Rise of the Creative Class (Richard Florida)
- Talent, Technology Tolerance
- Transforming Work The Five Keys to Achieving
Trust, Commitment, Passion in the Workplace
(Patricia Boverie Michael Kroft) - The Seeds of Innovation (Elaine Dundon)
- Ripples from the Zambezi (Ernesto Sirolli)
- Passion, Energy, Imagination Resources of
People - The Right Mix gt Innovation
6INNOVATIONOne Definition The profitable
implementation of strategic creativity
- Its a fascinating subject. How it happens, where
it happens... and why. - Many people like to cite Edisons famous
prescription 1 inspiration and 99
perspiration. And the 99 part is something we
feel we can address, right? - But what about that 1? We tend to treat that as
if it were simply magical -- not subject to
guidance or nurturing, much less planning. Its
just human genius, popping up whenever and
wherever it will. - However, if we study history, we know that thats
simply not true. - There are times and places and certain conditions
under which innovation absolutely flourishes.
Sometimes, its appearance is explosive, with so
much creativity packed into a short span of time
that it changes global society and the course of
history itself.
7Benefits of Innovation
- Spawns new industries
- Fuels economic growth
- Creates countless high-value, high-paying jobs
- Raises the standard of living for people around
the globe
8What Has Made The U.S. An Engine Of Innovation?
- Ready access to natural resources and labor.
- The skills and work ethic of American workers.
- Strong capital markets, a long tradition of the
rule of law, a deep commitment to property
rights. - And finally, the U.S. has benefited from a unique
sort of cooperation and collaboration among the
federal government, national and military labs,
private-sector RD efforts, research universities
and entrepreneurs. - As well, historically we have encouraged and
rewarded risk takers - America was created by people who decided to pack
up, get on a boat and sail to a new world in
search of something better. - Go West Young Man
- Our push to put Man on the Moon
9We Are At A Critical Moment
- What if the US falls out of step with the new
realities of Innovation? - The innovators risk takers would go
elsewherebecause they can. - What New Realities?
- New mood in the country that puts us at risk of
creating a hostile environment for business
investment and the creation of new businesses - Why innovate here when it may be easier to
perform offshore?
10The Innovation Challenge
- Right now, the greatest challenge we face is that
the very nature of innovation itself is changing.
- Innovation is not the same as invention.
Invention is the starting point -- important, to
be sure. But true leadership requires a focus on
the pull for innovation, not merely the push of
invention. - We understand the importance of RD, of raw
invention. But we also know that today,
invention alone is no longer sufficient to
deliver value -- or to win. - Example New Mexico is a leader in invention but
lags significantly in the creation of wealth and
high paying jobs. - Innovation occurs at the intersection of
invention and insight. Its about the application
of invention -- the fusion of new developments
and new approaches to solve problems.
11The Transistor Example
- The transistor was an invention -- an invention
actually to amplify sound over long-distance
phone lines. But then many people, companies and
institutions took the transistor and applied it
in many ways. - Texas Instruments and Fairchild Semiconductor
applied transistor technology to put whole
circuits on a chip of silicon... the first
computer chip. - That made possible electronic mainframes,
servers, PCs, the Internet. - Those advances, in turn, were applied to
business, education, healthcare, national
defense. - All of this was made possible -- not just by the
invention of the transistor -- but by its
application and exploitation across multiple
industries, and by the intersections of invention
and the needs of business and society.
12Council on Competitiveness (CoC) StudyTopic
Global Employment
- The study aggregated job data from national and
international sources and made projections based
on industry-specific and global economic trends. - The 42 industries represented on the CoC
- Will create 12 million jobs worldwide over the
next two years. - Will generate nearly 100 million jobs worldwide
over the next decade. - CoC Belief The preponderance of those jobs will
be created as a result of innovations that are
occurring, and will occur with increasing
frequency, around the world. - One Industry Example -- Information Technology
- Will create 1.5 million new jobs over the next
two years. - Much of that job creation will occur in the
industrys most innovative segments -- high-value
services, middleware, Linux and open
standards-based systems. - IBM major IT player-will need at least
10-thousand new positions in key skill areas next
year alone. They are committing 200 million
dollars to train and educate 100-thousand
existing employees to compete for these new
high-skill jobs. - So, by any measure, across all of these
industries, we are talking about millions and
millions of jobs.
13To unleash the next wave of innovation, we need a
definition of innovation for the 21st century.
- How can we go beyond traditional notions of RD
, invention and intellectual property and
identify and nurture the intersections that lead
to innovation? - Are there ways to drive innovation at the
intersection of services and manufacturing, such
as the intersection of life sciences, healthcare
delivery and IT? Or similar intersections of
invention and insight in energy,
telecommunications and the public sector? - How do we stimulate innovation across all
services sectors -- an imperative in a
services-driven global economy?
14What about metrics?
- How do we measure innovation?
- How do we identify the technologies,
applications, disciplines, investment and
training strategies that are most supportive? - How do we measure success?
15Education?
- What does the changing nature of innovation mean
for skills? - What skills are needed in life sciences, energy,
new materials or nanotechnology? - Are U.S. universities adapting to the changing
environment? - Can we stimulate them to be more proactive versus
reactive? - Are they nurturing and creating the new
disciplines that will likely emerge -- not from
within an established field, but from
collaboration across industries, professions and
fields?
16Role of Government?
- Government has a unique role, but does it have
sufficient focus on innovation, not just basic
research? - What can governments do to nurture strategic
partnerships among the private and public
sectors, universities and labor? - Are we building the national infrastructure
necessary to participate in the global innovation
ecosystem -- so that developments created
anywhere in the world can be capitalized on in
the U.S.? - And what about government itself? What are the
implications -- and opportunities -- of a new age
of innovation for the ways we are governed?
17Investment?
- And finally, investment -- how do we finance
innovation? - How do we make the best use of tax dollars
earmarked for innovation? - Can we rekindle private sector RD investment?
- How can we strengthen our venture capital markets?
18Summary Conclusions
- Innovation is the best way to spur job growthit
will be the engine - In the long term, our efforts will help preserve
and extend Americas innovation and economic
leadership, as well as this nations equally
impressive record of creating high-paying,
high-skill jobs for American workers, and
providing them with rising standards of living
and ever-improving quality of life. - Our tradition of opening up new possibilities and
new frontiers offer hope. Hope not just to the
residents of this portion of the New World, but
to citizens of the whole world. - Support the Council On Competitiveness Innovation
Initiative
19My Thanks
- General acknowledgement to the Council On
Competitiveness for providing the supporting
information for this briefing - My specific acknowledgement and appreciation goes
to IBM Chairman and CEO Sam Palmisanoco-chair of
the Council on Competitiveness Innovation
Initiativefor his visionary leadership