Tuesday, August 18, 2009

Buzzword: Efficiency

I managed an automobile repair shop under the name of one of the major oil companies for twenty three years. It was a complex contractual arrangement but essentially, we were a branded outlet. Early to mid eighties were relatively good times. Technology was certainly complicating things, but all in all it wasn’t too bad for the auto repair industry. Though I have a few friends who might feel some offence at this statement, I regret that the overall quality of American cars produced during this era was far less than it could have been, which made the repairs side of things more regular besides more complicated.

Coming out of the eighties and into the early nineties as contracts were periodically reassessed and “upgraded” or renegotiated (a more polite way of saying get ready to be screwed) an operational word began to be hammered into the lower end managers from the big boys at the top ... you know the ones you seldom ever really have any contact with but take it upon themselves to dictate how it is that the operations of your business should be handled. And not because they have any real experience in these situations (though some may have limited experience) but rather they have studied the models and have listened to their “efficiency” experts and have determined for you what is the best way to relate to your customers without actually having a relationship with them. You see, your customers are not really their customers; your customers (that you have spent years developing a trust and rapport with) are only numbers to them. OH ... I know their rhetoric would not make it sound this way, but how many of them realize a common time invested bonding with these they would call “customers” and in many cases “friends”. I dare say ... none. My customers and my relationships, the ones coming across the driveway were only one thing to these progressively higher echelons of business administration ... numbers.

It was during this time that the need to become more efficient became the mantra of the big boys, but it was not a matter of better serving the “customer” which I had always been taught and believed was the reason for being in business, but rather to make it possible to grab a higher percentage of the gross that may be realized. Of course as more numbers of individuals were expected to now come across the drive, more profit was expected to be made, thus justifying the lower percentage a small business person could expect. But what the hell there will be more customers, and surely streamlining your operation would cut costs and make it possible not to lose the net that had been realized prior. After all, many if not most of the less efficient operations will eventually be forced out of the market driving more “customers” to the survivors.
There is a certain “limited” logic to this model. But it falls way short of what is a human model. Business ... as it has evolved in the twentieth and twenty-first centuries ... is a far cry from what Adam Smith originally perceived. To Smith, who in fact was a moralist over and above being an economist, compassion was the foundation for capitalism. I know that sounds strange to many, but a minimal amount of research will bear this out. To Smith the purpose of the market was to assess and recognize the needs and desires of a society and thereby adapt itself to meeting those needs. Thus through meeting the actual wants and wishes of society, the customer is served and a reasonable profit can be realized. Everyone is served.

Adam Smith understood that a capitalistic society could not function “as a free society” unless the compassion motive was the foundation of the system. Well ... we’ve come a long way from that baby!!!.
Over the years, and this has been a slow but progressive raising of the market temperature (I think we’re boiling now – ready for consumption) the system somewhere along the path diverged from its moral imperative (some would argue it never had one). The market no longer serves society, but the (choke) “customer” is now only another commodity in the expansive and evermore expanding dominion of corporatized culture. Business no longer serves the needs of the society, let alone the individuals that make up that society, but the smaller parts only exist to submit to and serve that economic structure that evermore demands that greater part of the gross, and as it may be allowed, ultimately devours all it can. We are told what we need, we are told what it is we want, we are psychologically probed and manipulated to believe what it is they want us to believe, not for our benefit, not to serve, but to consume, and increase the net, but not that which we may enjoy and take comfort in, but what becomes the assets of the money managers pulling the strings.

It makes little difference whether there is one corporation accomplishing this or numerous ones of varying states of economic status, the effect is all the same. Compassion and serving the needs of the “customer” ... the individual ... the persons ... which thus make up the collective society ... this is not the purpose of business .... The purpose is profit ... and the customer a commodity ... a number to be counted coming across the drive. A fast food patron sold on the benefits of convenience and imported beef products and supplemented genetically engineered veggies. A part of the herd to be channeled through the stalls of Disney World, and satisfied with the illusion of experiencing world cultures all within the few acres set aside and molded into the image deemed to illicit the most “real” (gag) pseudo-experience imaginable ... and at a healthy profit too. And it all seems so real to us ...

Is there anyone else who gets the picture? ... Is there anyone else who can expand on just what is happening? ... Or am I in my own “never-neverland?”

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