Change Drivers: The effects of large scale changes on
organizations
Slide 3
The way it used to be How has the workplace changed since your
grandparents and parents?
Slide 4
They way it used to be 1- 4 employers 1- 2 careers 42-year
working life lifetime job security 6- 10 employers 3- 5 careers
50-year working life new psychological contract and now
Slide 5
The old psychological contract Employer: I will provide secure
employment (unless you really screw up) Worker: I will provide
consistent & loyal work The new psychological contract
Employer: I will provide you with an opportunity to bring value to
the organization and keep you so long as you continue to bring
value Worker: I will stay so long as I am provided what I need
& dont find something better
Environmental change drivers limited resources &
environmental degradation only.5% of worlds available water is
fresh & accessible 54% of available freshwater is currently
being used by 6.1 billion people half the population lives in
unsanitary conditions since 1950, the amount of irrigated land has
tripled 70% of worlds drylands have soil degradation (over
cultivated, over- grazed, improperly irrigated, erosion,
monoculture, deforestation) decreased space for trash (200 million
tons/day in US); 29 million T of hazardous waste each year ocean
pollution (60 million gallons oil; Mississippi R has 4000 Sq. miles
of dead water around LA and TX; toxic bacteria levels) 70% of
worlds oceans are overexploited (90% reduction in tuna) global
warming & flooding (1-3.5 C by 2100) decrease in biodiversity
(by 2040 2/3 of all species extinct EPA)
Slide 8
The Technology change driver What the takes the average person
1 day to do now, took 3 days in 1950, 1 month in 1800, lifetime in
1600 In 1900 85% of workers were in agriculture (now 3%), in 1950
73% were in manufacturing (15%), now service & knowledge
workers Moores Law: chip capacity double every 6 months while price
stays the same current annual growth rate of Internet is 100%
artificial intelligence is expected to affect 60-90% of jobs,
augmenting, displacing or eliminating workers in the next five
years people in the industrial world will be doing jobs differently
from the past 50 years with innovation, everything goes back to
zero
Slide 9
Buy American-Owned Alka Seltzer Alpo Dogfood Aim Toothpaste
Baskin Robbins Icecream Bactine Antiseptic Ball Park Franks Bayer
Aspirin Pic Pens, Lighter, Razor Burger King Capitol Records CBS
Records Chesterfield Cigarettes Christian Brothers wine Diamond
Stick Matches Dove Soap Dunlop Tires EverReady Batteries Eureka
Vacuum Cleaners Firestone Tires Four Roses Whisky Frenchs Mustard
Frigidaire Appliances Friskies & Might Dog food Glidden Paint
Goodyear Tire & Rubber Good Humor Icecream Green Giant
Vegetables Humpty Dumpty Magazine Hires Root Beer Hills Brothers
Coffee Hungry Jack Pancakes Imperial Margerine Instant Potato Mix
Indian Head Textiles Jenos Pizza Kelvinator Appliances Knox
Gelatine Kool Cigarettes Keebler Cookies Libbys Fruits Lifebuoy
Soap Magnavox Massey-Ferguson Tractors Maxell Tapes Michelin Tires
Mr. Coffee Norelco Appliances Nescafe Coffee New Yorker Hotel
Ovaltine Drink Mix One-A-Day Vitamins Panasonic Pearle Vision
Center Pepsodent Toothpaste Pillsbury Cake Mix Nestle Quik
Chocolate Mix Quasar Television Ray-O-Vac Batteries Rona Barrets
magazine Seven Seas Salad Dressing Shell Oil Standard Oil Stouffer
Frozen Foods Tappan Appliances Valium Tranquilizers Zig-Zag
Cigarette Papers
Slide 10
US has 280 million consumers, 330 in EC, billion in China Of
the top 50 world banks, only three US banks hold 13-15 th place
20-40% unsuccessful repatriation Increasing workforce
diversification: one LA company conducted orientation in 17
languages African American purchasing power will increase 55% in
each of next two decades Cultural diversity demonstrates many ways
to work and manage Globalization the new marketplace
Slide 11
Unemployment rates opportunities for outsourcing 1 billion
workers are un- (150m) or underemployed worldwide by 2010 Asia will
account for 60% of the worlds population 1999-2050 US adds about
million workers each year
Slide 12
20-30% of the elite skilled workforce changes jobs every year
69% believe it is acceptable to change jobs every 5 years 40%
believe that for under age 30 should change jobs every 2-3 years
14% are proud of their company & only 30% remain loyal Working
Woman identifies 32 desired family-friendly benefits Increased
preference for flex, family and personal time and independence (alt
scheduling by 25% employers) Southwestern Air receives 3,000 online
resume a month Institute of Personnel and Development, April 2000
The changing workforce
Slide 13
Demographic change drivers 60-70% of Boomers plans to work past
age 65 (and 20+ hours/week in retirement) by 2050 18-31 million
will be older than 85 25% of Americans 35-54 have saved