Thinking Globally


(YouTube link)

The term "globally" here does not mean worldwide so much as it means seeing the problem as a whole as opposed to its parts. Dr. Eli Goldratt {wiki} explains what happens to the supply chain of consumer goods during a recession, in terms even I can understand. With animation by Aharon Charnov. -Thanks, Joe Brown!


When we think "locally" we think in terms of ourselves. We think about the locality that gravitates around our own pull. In mystical traditions this is egotistical habit. The Yogi who said "All is one" in the video shared the deepest truth. Through causation, we are all one, all part of the universal with no independent existence. However, our conscious mind center around our own existence. Our mental lives consist of a world in relation to our egos, our sense of being some one apart from others. This is Maya, the Devil, delusion from which religion is supposed to free us. We are to recognize our own interdependence and phenomenal indendence and to become individuals-for-the-whole. Or as the old traditions said; you must give up your life for God (The One). Terms like "The One" and "God" refer to this underlying unity of all relative existence. This may be easy to grasp intellectually, but to actually accomplish any change of ego or intention is harder than anything one could do for egotistical reasons. It is easy as pie to obey the tendencies of the mind, and, like a passive joy-rider, never make the attempt to face the strain (to steal a phrase from David Bowie's Changes).

"So I turned myself to face me,
But I've never caught a glimpse,
Of how others must see the faker,
I'm much too fast to take that test.

I watch the ripples change their size,
but never leave the stream,
of warm impermanence."

- David Bowie, Changes

This is why pride is so fallacious and dangerous, because it is unreal. There is no one to be proud over and above anyone else, since in reality there is only one, the One.
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I'm not sure if I shared this before or not, but I named my feline companion "Lila" after part of the Hindu triune God-head. Lila is sanskrit for "play" and refers to the act of creation by The One (Brahman). Who could not attain perfection without manifesting an imperfect existence from which it could recognize itself as existing in the individual and seemingly independent forms. The conscious delusion of self-hood, is ironically, that whih consecrates the appearance of anything existing, it is the cap-stone that holds existence in tune. It is the invisible piper intonating in the distance. And it is the sole delusion which causes most human suffering.
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Econimcally speaking, now, with 32,000 workers laid off we should expect retail sales to go down. Even if only 5% would have made purchases that's 1600 units sold that won't be when workers are destitute.

Karl Marx made the point clearly, I believe. capitalists must continue the life-cycle of surplus capital. IF they hoard the money, then consumers will not be buying their products and the whole system collapses. This was just one company, but if component manufacturers world-wide laid off workers when threats of recession hit the news, then we'd risk total economic collapse. They have to keep the money flowing back into the pockets of workers-consumers or we all lose.
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Okay, dumb questions time:

So sales are at the same level for Jan- Mar. The retail inventory is being used to close these sales and, as a result, the need for new inventory is greatly reduced. Reduction in need for new inventory means your plants slow down or stop. Say your orders drop 30% while retail clears out inventory. If you have 100% of your work force filling 70% fewer orders than before, your labor costs remain the same but your input of money is reduced 30% due to the order reduction.
I don't understand how (in FINANCIAL TERMS ONLY) it makes sense to keep your costs at 100% when your orders (input) drops 30%. Seems like you have 30% of your work force standing around doing nothing but still bringing in a full check.

What am I mmissing?
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Labor isn't the only cost in producing a product. When you're not selling parts at your usual 100%, it also means you're buying fewer components from YOUR suppliers, so your costs go down in that respect. And your machines aren't running as often, you're not paying for shipping out as many packages, etc., so there's another drop in your operating costs.

A smart company will use the downtime for training and cross-training employees, and figure out how to increase efficiency.
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@Scott-O

There is, as I said, the fact that your labor-force are also consumers. But if one needs more egotistically gratifying reasons; the cost to re-train new employees three months later up to past levels of efficiency probably outweighs the savings of laying employees off. This thinking was limited by the belief "we don't know when it (recession) will end". By being able to predict a return to normal rates in 3 months, the decision to maintain staff is obvious.
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Well, the modern retail inventory plan moved away from the buffer concept in favor of the "just in time" restocking plans that modern delivery and manufacturing need to reduce taxes on their stock while making sure that product is in the house. The tax reduction improves the P-R-O-F-I-T that the moichant piggy requires and can serve to lower manpower requirements. The really unfortunate part of this whole thing is that those same moichants moved their manufacturing bases to nations overseas where folks work for peanuts. This further improves the profit profile for the piggy.
Has anyone heard recently a political figure say that it might be a good idea to demand American products? I don't think so! Is there anyone out there suggesting that Americans save a little something for that rainy day? Nope!
It's very obvious to me that Americans don't need jobs and have more money than they know what to do with. Trust me when I say that every time I venture into a mall or retail store I make a little scene by asking loudly "hey, don't youse guys have anything made in the USA?". I can get away with it 'cuz I'm 70 and crankiness is expected.
In truth, we're a failed state economically, spiritually, and militarily. We're squandering the lives of young Americans on an illegal and brutal war designed only to boost the military industrial complex and massage Wall St. We've killed 300,000 innocent people in Iraq to the tune of over a trillion dollars wrested from the wallets of mostly middle class Americans. It is by definition nothing short of murder in the first degree and we should be ashamed of ourselves.
Support your country and its industrial base. Buy our products. Send home the illegals who comprise a 13 million strong legion of parasites on our economy. Leave something for your kids to be proud of. This is not the America I grew up in!
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