automation, labour market

Labour market and technology: what do they have in common?

Any innovation that conquers an existing market or creates a new market secures existing ones and creates new jobs. This does not just apply to products; This also applies to new technologies in processes. Any rationalization in the manufacture of products or services leads to price reductions in the competition and thus to competitive advantages as well as new demand. This creates new jobs – but often elsewhere.

Creating or occupying work places?

automation

Of course, new technologies are usually labour-saving and can therefore make jobs superfluous. And there are indications that we are facing further rationalization spurts with new technologies. Particularly in the service sector, such as banks and insurance companies, the labour-saving effects of information technology seem to be increasingly used after a longer introductory phase.

But it is also certain that the renunciation of their use would reduce their competitiveness and thus result in incomparably higher job losses. Opportunities for new employment would be blocked. The global competition does not leave us a choice. However, modernization offers the most competitive companies the opportunity to build new fields and services.

Let’s talk about the money

saving money automation

In part, the use of new technologies is not only labour-saving but also capital-saving. This means that every new product generation will be cheaper. Especially in information technology this seems to be almost a law. This is one of the reasons why the production of information technology equipment is now returning to Germany. In view of the rapid decline in the price of these goods, it is in some cases cheaper to produce them close to the sales market than to accept the loss in value during longer transport, for example from Southeast Asia. Although the example is not typical, it does show that we certainly have opportunities to bring back lost production to low-wage countries – if the conditions of the site are right.

Especially in areas where the labour costs of manufacturing are comparatively low, the outflow of production abroad does not have to be a one-way street. The higher the quality of a product and the greater its innovation advantage, the better it can secure domestic jobs and create new ones.

Be better than competition

competition in automation

If you thought that nowadays competition is increasing only in online gaming, think again. Casino industry might be blooming because of the technology and it is easier than ever to find free bet no deposit on most of the gambling sites, however, today’s cross-border competition also increasingly determines the companies’ research and development locations. Global investors seek access to the world’s leading regions in their businesses. They go to where special knowledge and experience in production meet with cutting-edge research. These economically technical, scientific and other relevant factors generate regional centers of excellence at a favourable meeting. Increasingly, companies are pooling strategic research, production and marketing activities in centres of excellence that offer great opportunities for value creation and employment growth.

Especially in sectors that are subject to a rapid change of product generations and fierce technology competition, companies orient themselves where there are good opportunities to participate in dynamic research and market processes. New fields of employment that are currently being established are therefore far more affected than those in which German industry has so far had its core activities.

robot CEO

Our first robot CEO. Soon?

With technology ever moving forward, when we will see the first CEO of a company that is a robot. Think back 20 years to the time when there was no Facebook and Yahoo was a worthy competitor to Google. Those were the days when virtual reality was only a product of Hollywood screenwriters. Back then even an iPod was hard to imagine.

If we move forward with technology in the same pace, I have no doubt that we will soon see a company with a first robot CEO.

Automotive industry is changing

You may consider this article as blabbering for years we have already seen industries change. Especially automotive industry where vehicle assembly is left completely for the service of the machines. What it would take for as first robot CEO?

Assuming, that the AI is or soon will be able to choose the most productive processes of building a car, maybe even the design, humans would only be left as spectators, or for quality control at best. Let’s look at a different example from one hobby most of us enjoy, cards.

Poker is the new chess

poker and chess

There are many variants of poker, which has been recognized as a skill sport . The programs that have been developed are said to never be able to beat a human brain. But maybe it’s only the lack of our imagination?

Take Razz. Just like in other variants, the objective of Razz Poker is quite simple – use your observation skills, discipline and non-verbal story-telling abilities to either get the better hands to fold or worse hands to call. You can read more about various games online by clicking this link.

What is there so special what a computer brain could not simulate. Especially, if you take a live environment. Collecting data and seeing patterns is AIs main strength, as opposed to humans. We don’t notice and even when we do, we often interpret the information with a bias .

Thoughts as a doom and gloom

We’ve already discussed on the site how research and technological development influences businesses. Please don’t take our thoughts as a doom and gloom prediction. Whether the development of AI will be a salvation to humanity or the end, we are yet to see.

In fact, seeing all the progress in the positive light is the only way to go. Possibilities are endless. We are living in a time when it’s possible to say that we could be a generation that could live forever. And it doesn’t even sound like it’s stretching it very far.