2006 Q4 Book Review
The World Is Flat
by Thomas Friedman
Changes are occurring in the world at such a rapid rate that globalization has shifted into “warp drive.” In this best selling book the impact that globalization is having on companies, communities, individuals and governments are explored by the author.
Mr. Friedman identifies the ten forces that have flattened the world. Included in the list is the Internet, outsourcing, off shoring and supply-chaining. However, each of the ten forces by itself would not have the impact of the ten forces when converged. At the start of the twenty-first century, the convergence of the ten forces has resulted in business being conducted in rapidly changing ways. The end result is reduced costs, faster response times and more efficiency.
Not everyone has embraced the drastic changes; however the general public is oblivious to many of them. For example, the order for a hamburger from a drive-in window at a McDonalds in Minnesota is taken by someone at a central location in Colorado, resulting in a reduced waiting time of about 10 seconds. Another example is that all Jet Blue airline reservations by telephone are handled by housewives working from home in Salt Lake City, resulting in a 30% increase in productivity.
The author does an excellent job of illustrating changes in the business environment that has effectively changed the way that businesses operate.