SINGLE-PUBBLICAZIONE

Special Covid-19 Series, Issue #29

Autore : Action Institute

Data: 29-03-2021

Tipo: Other

Tematica: Action Institute

 

 

Hello, Action Institute Community!

 

While the COVID-19 pandemic is hurting the global economy, we at Action Institute aim at delivering a whole-rounded perspective, cutting through the noise.

Our weekly Special series approaches the effects of the virus from different perspectives: from medical facts to health policy, from economic policy to macroeconomic issues, from politics to financial markets, from technology to the impact on businesses, and more. We encourage our esteemed readers to provide us with feedback and suggestions.

 

This weekly issue proposes a selection of papers and articles focused on Impact on Business and Social Impact.

 

IMPACT ON BUSINESS

“In the business world, the rearview mirror is always clearer than the windshield.”, Warren Buffett

 “Strategic resilience during the Covid-19 crisis” (McKinsey Global Institute, Dago Diedrich  et al., March 2nd, 2021). Through a survey of approximately 300 senior executives in Europe, the following article identifies business’ different organisational responses to the pandemic to understand which were the most effective. Above all, business-model innovations and the adoption of a flexible strategic-planning framework stood out as the most effective responses.

 “Self-employment, COVID-19, and the future of work for knowledge workers” (Bruegel, Milena Nikolova, March 8th, 2021). The COVID-19 pandemic has led to a significant increase in the share of knowledge workers teleworking, with their working conditions ending up being similar to those of self-employed workers. This entails a significant short-run gain in terms of job satisfaction but also longer working hours and higher responsibilities.

 “Pandemic reveals weak links in global supply chain” (FT, Claire Jones, March 24th, 2021). The following article analyses the global supply chain deficiencies which have emerged during the COVID-19 pandemic. Although some of these issues are expected to dissipate once reopenings occur, other problems, which are also a result of geopolitical tensions, are expected to linger, and hence should be addressed. The authors exemplify this argument by focusing on the shortage of computer chips experienced during the pandemic.

 

SOCIAL IMPACT
“Society is unity in diversity.”, George Herbert Mead

What Covid-19 has done to our wellbeing, in 12 Charts” (Harvard Business Review, Macaulay Campbell and Gretchen Gavett, February 10th, 2021). According to this survey, 85% of the respondents claim that their general well-being has deteriorated during the COVID-19 pandemic due to the shift towards smart working schedules which increased work demands, isolation, and home-life struggles. Nonetheless, 22% report improved mental health conditions thanks to better nutrition and the possibility to do more physical exercise. 

Race and jobs at risk of being automated in the age of COVID-19” (Brookings, Kristen Broady et al., March 4th, 2021). Using an Automation Risk Index developed by Frey and Osborne (2017), the authors identify the occupations and individuals who are most at risk of job loss due to automation. They propose to increase investments in higher education and workforce training programs in order to create pipelines to jobs with lower risk of automation.

Covid-19 has transformed the welfare state. Which changes will endure?” (The Economist, March 6th, 2021). This column shows how the pandemic has forced a re-evaluation of the social contract, in particular how risk should be divided among individuals, employers and the state. According to the author, a revamped welfare state could provide enough flexibility to encourage work, but investments in human capital will be needed in order to face the acceleration of ongoing changes in the structure of the economy caused by COVID-19.

 “Seven charts that show Covid-19’s impact on women’s employment” (Mckinsey Global Institute, Justine Jablonska, March 8th, 2021). The already laggard representation of women in corporations has been further hit by the COVID-19 pandemic. This study shows that one in four women are considering leaving the workforce or downshifting their careers, as they report to more easily experience burnout and face more pressure at work with respect to men. Action must be taken, as gender-parity improvements would increase global GDP by $13 trillion by 2030.

 

 

Credit

Let me remind you that credit is the lifeblood of business, the lifeblood of prices and jobs.

Herbert Hoover […]

Health

Good health is essential to social and economical development and it empowers all of the public sectors.

World Health Organization […]

Innovation

Innovation is the specific instrument of entrepreneurship. The act that endows resources with a new capacity to create wealth.

Peter Drucker […]

Human Capital

Talent is a source from which water flows constantly renewed. But this source loses its value unless it is properly used.

Ludwig Wittgenstein […]