In the 1990s there was a great rush to outsource to “anywhere but the US.” The rational was to save money because the outsourced tasks were repetitive and non-essential. Innovation and management could be done in America, it was reasoned, because that was the part of the business that required experience and specialized industry knowledge.
Outsourcing has also hit the small business world, with many sending their virtual assistance, web development and even bookkeeping to the far shores. (Full disclosure–I have used a Malaysian web developer. He was quite good.) As our country suffers from the highest unemployment rates in decades, it’s easy to see one consequence of this strategy. However, there’s not a lot of discussion about another result, that I’d like you to think about.
For years, companies had suggestion boxes on the floors of their factories and in their offices. Innovations came from everywhere, especially from people who did repetitive labor. They could see where cost and time savings could be made. Because they weren’t always in danger of losing their jobs, or looking for another one, they had a vested interest in improving their work environment.
We don’t make this investment in people anymore and they don’t make it in our companies. We’ve lost a lot because of it. What can you, as a woman entrepreneur do to encourage innovation and improvement from your employees and contractors?
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