Comment by Bayramovanar
6 hours ago
Sure, factories also overhire sometimes or shrink their businesses but not at the scale or frequency we see in tech.
6 hours ago
Sure, factories also overhire sometimes or shrink their businesses but not at the scale or frequency we see in tech.
Only because their margins usually mean that those who do go out of business much sooner.
that's true but does tech generally hold a more aggressive default-growth stance?
I've never worked in tech, but I've worked at manufacturers of various different sizes and places in the manufacturing supply chain, including finished goods.
Manufacturers can't hire beyond the places in production that someone can stand and do something. There needs to be some kind of equipment or process for worker to contribute in some meaningful way, even if it is merely for a projection of increased production (e.g., hiring a second shift for a facility currently running one shift).
What I wonder is if in tech, the "equipment" is a computer that supports everything a developer needs. From there, new things can be added to the existing product.
Manufacturing equipment is generally substantially more expensive than a computer and supporting software, though not always. Might this contribute to the differences, especially for manufacturing that normally runs 24-hour shifts?
Manufacturing sector has the most job cuts over time because the prediction of China not surpassing them was wrong. Tech employment on the other hand almost never decreased.
While the surpassing is true, something I've found interesting is that across very different industries that have nothing to do with one another, and including publicly traded and private (though still huge) companies, I have heard directly from buyers that top management has given them a directive to find new suppliers in China.
From a supply chain management perspective, this does not make sense. The directive should be something like "find the best suppliers on the planet."