There is an old an adage in the halls of the Pentagon that goes “Protection is always fighting the final war”. In other terms, after a navy engagement is concluded DoD makes an attempt to restructure alone so that its capabilities are more effective for the previous engagement. This is an adage that is really real in the heritage of DoD and today many in DoD operate extremely diligently to ensure that it is no lengthier real.
In several ways when it arrives to rebuilding America’s financial competitiveness, several have fallen prey to this time outdated adage. And as DoD has located on recurring instances, fighting the last war can be extremely deadly for the armed forces and the nation.
The US has divested itself, both by layout and by default, of its production base making a weak point that China and other individuals have exploited for a competitive gain. This weak point has now been exploited to the degree that its adverse influence on the financial wellness of the US is so pronounced, that it can no longer be denied by any person besides the most nave or out of contact pundits.
In reaction, there is a growing get in touch with-to-arms throughout the US private and community sector to rebuild the US producing base to its past glory. The strongly inferred, but not always stated premise is that rebuilding the US manufacturing base is guaranteed to rebuild America’s economic well being– in other terms the producing base of a place is the foundation of a country’s economic competitiveness.
It is the situation that the Chinese observed and exploited the weak spot introduced by America’s declining manufacturing base but by just taking away this US weak point does not equate to a US toughness–it just eliminates a US weak point that could be exploited by China and other people for a aggressive benefit. In effect, removing the US weak spot by rebuilding the US producing foundation is just preventing the previous war.
With this US weakness eliminated, China and other folks will just shift the combat to yet another battlefield.
To rebuild the economic well being of the US we should purchase and sustain a aggressive benefit, not just eliminate a US weak spot that supplies China with the prospect to purchase a aggressive advantage relative to the US. Rebuilding Kevin Melly producing foundation can eradicate the US weaknesses so that it can no longer be exploited by China or other people to the detriment of the economic health of the US, and it is the scenario that the US producing foundation could be rebuilt in a method that supplies the US with a aggressive advantage and therefore improve the economic wellness of the US. But, contrary to what is getting managed in the push and by a expanding number of specialists, the US manufacturing foundation is not the foundation of America’s financial competitiveness–the exploitation of engineering is the basis of America’s financial competitiveness as well as the foundation of all of our competitors’ financial competitiveness.
To rebuild America’s financial competitiveness, and therefore the country’s economic wellness, and not just remove a weakness or create a limited fleeting aggressive edge in one spot, we must out maneuver our rivals in the exploitation of the globally technological innovation which is the basis of all competitive gain.
The issue is that at the stop of World War II, choice-producing in the US for the most portion, abandoned technology-based organizing and adopted financial-primarily based preparing. In financial-dependent preparing the foundation of all selection-creating is the powerful utilization of the resources to attain a perform the place, inside a organization in most instances, the function is to optimize income. In other words and phrases, the cash are what are becoming manipulated and the measure of achievement is how successfully the funds have been manipulated. Adoption of financial-based organizing is the root trigger of America’s loss of its manufacturing base.
In contrast, in technological innovation-primarily based preparing the foundation of all decision-making is the successful acquisition and utilization of the technological innovation to produce a aggressive benefit. It is the engineering not the resources that are becoming manipulated as the foundation of selections. Keeping in head that engineering is properly outlined as any application of science to complete a operate.
The problem is that after the US adopted economic-based arranging soon after WWII, the relaxation of the world continued using and refining technology-based mostly arranging. China and India have been using hugely refined, quite intense technological innovation-based mostly arranging to quickly transform their perspective nations into financial superpowers.
Inside the US intelligence group underneath the Reagan administration, I directed a plan the Socrates Project, that decided that the underlying cause of America’s declining economic competitiveness was the country’s change from technology-based mostly planning to economic-primarily based preparing. The Socrates Task also developed a extremely advanced form of tech-dependent organizing–automated innovation–that would permit the US and all its private and public businesses to persistently out maneuver all competition throughout the world in the acquisition and utilization of technological innovation to purchase and keep the highest competitive edge.
So instead of the US just reducing the existing weak spot brought on by the country’s waning producing foundation, the US and its companies would be in a placement to be the dominant competitor in all present and potential industries—to include manufacturing.