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Culture and Context:

The rising boat that lifts all tides

By Susan Miller
Published on June 27, 2006 - 03:54 AM

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Via EDS’s Next Big Thing Blog (one of my favorites) is mention of an article out of the Philadelphia Federal Reserve Business Review: Is Technology Raising Demand for Skills, or Are Skills Raising Demand for Technology? The article examines differences and changes in wages and education since 1979, essentially the start of the PC revolution.

From the article’s conclusion:

Researchers have also had difficulty establishing definitively that new technologies actually cause the number of jobs for skilled workers to increase. Some evidence even suggests the reverse: The spread of new technologies responds to the rising skills of the work force, rather than being an independent force affecting the demand for skills.


Charlie Bess at EDS (Technology and Skilled Workers -Which Is The Chicken and Which Is The Egg?) considers the implications of this research for an organization’s future workforce:

The implications on organizations with an aging workforce are important. If this argument is true, the innovation and demands of the replacement workers will likely spur complacent organizations forward in unintended ways. As personnel turnover takes place, the entire organization will be affected so organizations should be able to plan for this.


Another implication relates to the economic growth of cities or regions already invested in advanced technology – like Boston or the metropolitan DC area. It suggests that new technologies are nurtured in places that already have a resident skilled workforce – or maybe a vehicle for workforce development.

Take for example, a recent article on Boston.com, Colleges craft studies to fit defense firms, that discusses efforts by Massachusetts state government officials to more closely integrate the engineering curriculum at nine universities with the needs of defense contractors.

Suzanne K. Daniels, business development director for BAE Systems' infrared imaging systems unit in Lexington, said her company's new hires often have general backgrounds in electrical engineering but not the kind of systems engineering skills that enable them to coordinate complicated projects like the company's night-vision systems mounted on Army M16 rifles. ``We were finding we didn't have the depth coming out of the general disciplines," Daniels said.


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