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RE: 2 things to mull for Pic-guy & RGA

Posted by RGA (R) on April 3, 2022 at 00:45:59

In Reply to: 2 things to mull for Pic-guy & RGA posted by Uncle Mike on April 2, 2022 at 05:21:36:

My dad often noted that companies get the unions they deserved so if people said that a Union was awful - well it was awful because the company made them awful.

I worked for Esco Limited a company that poured metal to create bulldozer parts (teeth) etc and was second in the world to John Deere. It was a large midsize company - the first of its size to incorporate Oracle software on a global platform. It never went union even though all of the competition went union.

It was a great place to work - they paid well - better than union shops, followed some of the seniority rules etc. Granted this is in Canada where the government has safety standards and didn't need to rely on unions to force companies to be safe.

The problem with all of this is that companies tend to only see things through their own eyes and not on a world scale. As do customers.

China came along and sold bulldozer teeth to compete with Esco - but they sold their teeth for 1/2 the price. They were not as good as Esco's but they were 1/2 the price.

So the customer (some company) would want to impress their boss and say see I found these other teeth for 1/2 price. He gets a pat on the head from the boss for saving the company money. Esco loses a customer.

Esco had to then try and convince Bulldozer teeth buyers that Esco teeth actually last 50% longer in the field which would create less downtime in replacing them which in the long run actually makes Esco teeth cheaper than the Chinese.

But all of this is a hard sell - you're spending money trying to convince people your stuff is better - you hire engineers to prove the math and you hire PR people and advertising to send all your customers pamphlets basically trying to get them not to leave you. Then you have to reduce costs - A bunch of the office staff were laid off including me because Oracle could replace us. Instead of accounting clerks in every location worldwide, it could all be centralized in the Portland office.

I don't know what the solution is but I do know that more people who have more money means they can buy more things that are good for business.

I know that corporations and oligarchs (Bezos, Koch, Musk etc) are not the good guys - and they have far too much influence on politicians and the writing of laws. Until this is fixed, not much else will be fixed.

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