Written by APCA Staff
Depending on your viewpoint, the recent turbulence in the Chinese stock market was either a simple correction or the beginning of a full-blown financial meltdown. This turbulence has since spread to Japan and the US among other countries.
While it's difficult to predict both the severity and length of this stock drop as well as floor for and impact of the devaluation of the Chinese Yuan, it is a perfect opportunity and a critical opportunity to understand where China is in its economic development stage.
China has witnessed and experienced unprecedented growth. More importantly, the duration of this growth as well as the sheer scope of it has created numerous imbalances and downright poor or dangerous practices in the process.
While this is going to cause some pain for China, it's going to be a massive business boon for Coaches and Consultants in both China and the Asia-Pacific region to add value.
Well, leading up to every crash there are numerous stressors placed throughout and inefficiencies plaguing the economy (any economy for that matter) -- many of which will have reached a bursting point, just as the economy itself has burst. However, as the economy slowly corrects and improves, these stressors hit an inflection point and something either mitigates them or eliminates them completely.
This is often intertwined with the adoption of key technologies.
In the case of China in particular and Asia-Pacific at large, we see huge opportunities in helping China modernize its companies to be Global in nature. This requires major work ranging from branding, to talent acquisition, talent deployment as well as the deployment and utilization of FRO Automation solutions.
While there will surely be some heavy immediate and mid-term pain, the long term prospects for China and Asia-Pacific are Golden indeed.
But to monetize these opportunities, one must position themselves now, to reap the coming harvest.
Written by APCA Staff
Each and every month, we receive many inquiries from both members focused on the Asian markets and prospective members investigating the potential of Asian markets as to what opportunities exist for both Coaches and Consultants (sometimes they are one and the same) .
Well, to understand what opportunities exist, it would behoove us to first understand what pain points exist now and what pain points are expected to exist in the mid-term and long-term future.
It goes without saying that Asia is a huge and diverse market not only culturally and often linguistically but also in terms of the stage of economic development and political stability.
We have modern economics like Singapore, Japan and Korea juxtaposed to developing nations like India, China, Vietnam, Cambodia and Thailand.
And yet, within China and India, there are extremely modern cities. This hints at the fact that there are many, many layers of nuanced reality take in and to understand.
Generally speaking, however, there are pain points which we have either worked to solve directly or our members have or which we are aware exist. Obviously this is not intended to serve as an exhaustive -- take this list for what it is; a starting point to help you understand how to think through opportunities which exist now or that will exist in the mid-term and long-term future.
If we look at China, we see a huge population with tens of millions still working in agriculture or living in squalid conditions while in major hubs like Shanghai and Beijing and even Dalian, modern conveniences prevail.
China is also struggling with rising wages, an aging population, various ethnic conflicts or potential ethnic conflicts, a major pollution problem and the need to shift from family run or parochially-run businesses to modern, global ventures.
There is also a China Brand issue.
Some firms have taken on this challenge like LeNovo in computers (acquiring IBM's Thinkpad Division, NEC's PC business and Motorola Mobility from Google), Haier in appliances (acquiring Sanyo's White Goods business) and Hisense in the television business (acquiring Sharp America's TV Division).
If we look at a country like India, we see shining beams of light with some movement to deregulation and others like the Make In India program. Yet there are also dark clouds on the horizon with the massive pressure to facilitize those factories with robots and other factory automation solutions, thus, precluding, the employment of unskilled, low-skilled and semi-skilled labor.
If we look at a country like Japan, what we see is a falling population and an aging population. At the same time, we see Japan has some fantastic world brands -- Toyota, Sony, Toshiba and many, many more.
Yet at the same time, Japan has hundreds of fantastic second tier and even first tier brands which are unknown outside of Japan.
On top of this Japan is also in the midst of so-called deflation but at some point it has begun to become inflationary.
This analysis can easily be performed for each country in the region and from it, we can also see that some nation's have surplus labor while others have labor shortfalls, inflationary or deflationary environments to contend with and so on.
Overall though, the coaching and consulting services needed in the Asian region will and do range from the following:
...and among many, many others.
In the future, we'll take a look at Thailand, Korean, Vietnam, Cambodia, Singapore and Hong Kong.
Written by APCA Staff
Increasingly, the deployment of FRO Automation (Factory, Restaurant and Office) around the world has been accelerating as both automation capabilities increase and prices drop.
Recently, this trend of utilizing FRO Automation has been identified as a major threat to India's "Make in India" program.
The Make in India program is a national program designed to transform India into a global manufacturing hub but as a further benefit to India, the program is designed to put unskilled, low-skilled and semi-skilled Indians to work in these factories and in the process to bring potentially millions of Indians out of poverty .
The usage of such technology in these Indian factories will preclude the usage of such unskilled, low-skilled and semi-skilled labor and nixes Indian's plans to use the Make In India as a major employment program for Indians.
From the foreign company's viewpoint, this usage of FRO Automation is a non-issue -- as long as quality, productivity, yield and confidentiality/secrecy objectives are met, the foreign company most likely has no preference if the work is done by hand or robot.
We've discussed this many times in the past, where the challenges for the large population countries like China and India is how to deploy such modern and necessary technologies in mass while still employing massive populations of unskilled, low-skilled and semi-skilled labor.
Juxtaposed to this, is a case like Japan, where such advanced technology is the embraced as the solution to a falling population. While India and China to some extent will find these FRO automation solutions troubling, a country like Japan will find and does find such solutions to be an economic asset and a boon.
China's economic & human workforce transformations continue to accelerate, this time with the facilitization and provisioning of China's first fully operational unmanned factory.
Located in Dongguan city, all of the factory's processes are operated by robots and have had a tremendous impact on a workforce reduction (reducing employees from 650 before automation down to 60, workers now with a target of just 20 in the future) while at the same time slashing the product defect rate from over 25% down to 5% and at the same time boosting production capacity from more than 8,000 pieces per person per month to 21,000 pieces per person per month.
While on the surface this is positive news for China's industrial competitiveness there will also be business and process challenges in having robots work side by side and integrate with human works and also the social cost of dislocated and displaced former factory workers, many unskilled or lower skilled.
The Asia-Pacific Coaching Alliance (APCA) is the #1 Gateway for Asia-Pacific Coaching Opportunities and Knowledge™.