Showing posts with the label service industry

Does the Improving Economy Offer Opportunities to Raise Social Mobility?

The word “economy” is on everyone’s lips.   Things are looking bright for those who have a stake in the economic system. Markers in the service and manufacturing sectors are progressive and provide opportunities to put people to work while lowering the nation’s growing income disparity. The new economy offers the possibility to resize an unbalanced ship so that it finds benefits in hydroplaning to new levels.  The Institute for Supply Management’s non-manufacturing index increased to 58.7% while sixteen U.S. non-manufacturing industries led by construction and education also experienced growth ( 1 ).   To complement this growth the service sector also realized expansion adding further strength to the recovery and providing higher levels of employment. According to the Commerce Department manufacturing also received positive growth numbers ( 2 ).   The U.S. is moving into a stronger competitive position that furthers its ability to maintain momentum. Manufacturing increases

Changes and Opportunities in the Post-Recession Economy

The economy is adding jobs and that is great news. Unfortunately, the types of jobs have moved more into service sector and administrative positions that do not carry the same high wages as pre-recession employment. According to a report by the National Employment Project (NELP) low-wage industries have grown significantly since the end of the recession but this is leaving many Americans without significant savings. A mixed economic blessing that teeters between recovery and replacement. Lower-wage industries have accounted for 22% of the recession loss but 44% of the employment growth over the past 4 years. It now employs 1.85 million more workers than it did in the past. Mid-range employment jobs lost were around 37% while recent increases are around 26% for a total of 958,000 lost. High wage losses include 41% and a 30% increase leaving us with a 976,000 fewer jobs. The recession was longer than anticipated and even though the jobs have returned they have returned at a lowe

Service Industry Not the Cause of Wage Polarization

Wage polarization is a growing concern among both academics and government officials. Wage polarization is an occurrence where lower skilled workers and higher skilled workers are vastly different in their earning potential. Research by Author and Dorn (2013) discuss the reasons why such polarization is occurring and which industries are raising lower skilled employment opportunities. The advent of technology is here! Computerization of routine tasks is apparent and those who have not mastered new skills are finding their jobs displaced. The past 25 years have experienced a decline in lower skilled earnings and employment opportunities. The authors indicate that changes are likely to occur across four dimensions: 1.) Greater adoption of information technology; 2.) Reallocation of low-skilled workers from routine tasks to service occupations; 3.) Larger increases in both employment and wages at both the highly skilled and lower skilled labor markets; 4.) Larger inflow

Enhancing Networks for Knowledge Creation

Knowledge diffusion is naturally affected by the quality of organizational information networks. These networks encourage the transference and use of higher levels of information that impact the service functionality of an organization. Dong, et. al. (2011) explores the need to understand these networks, enhance them, and effectively use them to develop organizations. Their explanation moves into the need to train workers on how to manage information in order ensure that information resources are fully utilized.  Service and information systems are “ value co-creation configurations of people, technology, value propositions connecting internal and external service systems, and shared information ” (Maglio & Spohrer, 2008, pp. 18). Organizations that use information properly can ensure that they are receiving the right kind of information and putting that information to good use for service effectiveness. Each network has inherent value fostered by their ability to connect