Globalization and Technology

Humanities 110: PowerPoint #4

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Globalization, Population, and Environmental Concerns

During the past 50 years these three factors have become increasingly important to understanding the future role of technology in our society: Globalization: Global economy has increased fivefold Population: World population has doubled Energy Use: World energy use has tripled

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Understanding the interconnection of these three factors are essential understanding the future of technology and even society itself. We will consider all three in the coming days. Lets begin with globalization.
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What is globalization?
Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology.
Source: http://www.globalization101.org/What_is_Globalization.html?PHPSESSID=8136 2bb5135bc4169c5be37b9d49d1c8

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Not new
Thousands of years old As old as ancient trade

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What is driving globalization now?

Open economies between nations
Free trade agreements Free market capitalism 20 times increase in volume of world trade since 1950 according to Globalization101.org

Technology advancements
Especially in information technology
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Review of The World is Flat

Thomas Friedman identifies three ages of globalization

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Globalization 1
1492-1800 Shrank the world from large to medium Led by countries
Why? Search for resources and imperial conquest

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Globalization 2
1800-2000 Shrank world from medium to small Led by companies Why?
Companies were globalizing for markets and labor Example, East India Tea Company.
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Globalization 3
2000-Present Shrinking the world from small to tiny Led by individuals and small groups
.

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What a flat world means

How is it different? Empowers individuals and small groups Anyone with smarts, access to Google and a cheap wireless laptop can join the innovation fray. Friedman

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Flat World: Two Important Patterns

Flatteners: changes in events and technology Influx of 3 billion people onto the playing field

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Pattern # 1 Flatteners
10 events and forces that began in 1989

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Flattener 1: 11/9/89 Fall of Berlin Wall

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Flattener 2: 8/9/95
Netscape became public company
What this meant: Dot.com boom and bubble Overinvestment in fiber-optic telecommunications network Example: Some countries skipped whole generations of telecommunications development and went straight to wireless For example: Means that people in India benefited by massive investment by American shareholders Foreigners benefited and Americans paid

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Flattener 3: Workflow
Connects computer applications to computer applications all over the world Example: Y2K and the Indians

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Flattener 4: Outsourcing
Work could be digitized, disaggregated, and shifted to any place in the world where it could be done better and cheaper. Moves the data

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Flattener 5: Offshoring
Moves the whole factory Why some ECC students are in school again

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Flattener 6: Open-sourcing
Collaboration online and free Example: Linux software

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Flattener 7: In-sourcing
Company allows a company like UPS to assume logistics distribution from within the company Example: UPS and amazon.com

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Flattener 8: Supply-chaining
When an item is bought, it is automatically reordered at the factory, even if the factory is in Taiwan.

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Flattener 9: Informing
Now anyone with an Internet connection can collaborate and mine, unlimited data all by themselves. Search engines: Google, Yahoo, and MSN Search

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Flattener 10: Steroids

Wireless access VoIP

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Overall Result: Converged around 2000

Created a global, Web-enabled playing field that allows for multiple forms of collaboration on research and work in real time, without regard to geography, distance, or in the near future, event language. Will transform life as we know it.
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Benefits of globalization
New wave of innovation Empowerment of individuals Cheaper, better goods which are moved more quickly and are more widely available

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Pattern # 2: New Players

Where have the new players come from? China India Russia Eastern Europe Latin America Central Asia

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Why?
Opening of economies and political systems to free market trade and capitalism

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What does this mean for Westerners? May not continue leading the world economy or innovations. Why? New players entered legacy free because they did not have to invest in the older technologies that paved the way.
Example: More cell phones in China than there are people in USA
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Solutions to stay ahead

Innovation Building strong individuals by:
Attracting the brightest to science and engineering Building and rebuilding infrastructure Portability in pensions and health care
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Reason for past success

Our ability to constantly innovate new products, services and companies that has been the source of Americas horn of plenty and steadily widening middle class for the last two centuries.

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Crisis result of three gaps

Ambition gap Numbers gap
China and Indian are now graduating more doctors in science, technology, engineering than USA

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Education Gap
Bill Gates: In math and science , our fourth graders are among the top students in the world. By eighth grade, theyre in the middle of the pack. By 12th grade, U.S. students are scoring near the bottom of all industrialized nations. New study: USA has 19th highest high school graduation rate right ahead of Mexico.
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Challenges for education

Preparing students for changing jobs
Average adult changes jobs 14 times in career

More math, science, and technology Teaching students how to be lifelong learners Teaching second languages
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China: Some comparisons

Workforce: 803 million 547 million cell phone users Low income line: $125 per year Poverty level: $90 per year Unemployment rate: 4%
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Source: https://www.cia.gov/library/publications/the-worldfactbook/geos/ch.html

Beijing Olympics 2008

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