Text III

In 2008, for the first time, half the world’s population is living in towns and cities. By 2030, the urban population will reach 5 billion — 60 per cent of the world’s population. Nearly all population growth will be in the cities of developing countries, whose population will double to roughly 4 billion by 2030 — about the size of the developing world’s total population in 1990.

World Urbanization Prospects: the 2005 Revision, prepared by the United Nations Population Division, presents estimates and projections of the number of people living in urban and rural areas for the period 1950- 2030. Some of its key findings are as follows:

\( → \) Most of the population increase expected during 2005-2030 will be absorbed by the urban areas of the less developed regions whose population will likely rise from 1.9 billion in 2000 to nearly 4 billion in 2030. The urban population of the more developed regions is expected to increase very slowly, passing from 0.9 billion in 2005 to 1 billion in 2030.

\( → \) During 2005-2030, the world’s urban population will grow at an average annual rate of 1.8 per cent, nearly double the rate expected for the total population of the world (1 per cent per year). At that rate of growth, the world’s urban population will double in 38 years.

\( → \) Growth will be particularly rapid in the urban areas of less developed regions, averaging 2.2 per cent per year during 2005-2030, consistent with a doubling time of 30 years. In contrast, the rural population of the less developed regions is expected to grow very slowly, at just 0.1 per cent per year during 2000-2030.

\( → \) The rapid increase of the world’s urban population coupled with the slowing growth of the rural population has led to a major redistribution of the population. Thus, whereas in 1950, 30 per cent of the world population lived in urban areas, by 2000 the proportion of urban dwellers had risen to 47 per cent and is expected to reach 60 per cent by 2030. The number of urban dwellers will for the first time have overtaken the number of rural dwellers in the world in 2008.

\( → \) There are marked differences in the level and pace of urbanization among less developed regions. Latin America and the Caribbean is highly urbanized, with 77 per cent of its population living in cities in 2000. Asia and Africa are considerably less urbanized, both with around 39 per cent of their populations living in urban areas. Being less urbanized, Africa and Asia are liable to experience rapid rates of urbanization during 2000- 2030. Consequently, by 2030, 54 per cent and 55 per cent, respectively, of their inhabitants will live in urban areas. At that time, 85 per cent of the population of Latin America and the Caribbean will be urban.

Fonte: http://www.peopleandplanet.net

Text III

In 2008, for the first time, half the world’s population is living in towns and cities. By 2030, the urban population will reach 5 billion — 60 per cent of the world’s population. Nearly all population growth will be in the cities of developing countries, whose population will double to roughly 4 billion by 2030 — about the size of the developing world’s total population in 1990.

World Urbanization Prospects: the 2005 Revision, prepared by the United Nations Population Division, presents estimates and projections of the number of people living in urban and rural areas for the period 1950- 2030. Some of its key findings are as follows:

\( → \) Most of the population increase expected during 2005-2030 will be absorbed by the urban areas of the less developed regions whose population will likely rise from 1.9 billion in 2000 to nearly 4 billion in 2030. The urban population of the more developed regions is expected to increase very slowly, passing from 0.9 billion in 2005 to 1 billion in 2030.

\( → \) During 2005-2030, the world’s urban population will grow at an average annual rate of 1.8 per cent, nearly double the rate expected for the total population of the world (1 per cent per year). At that rate of growth, the world’s urban population will double in 38 years.

\( → \) Growth will be particularly rapid in the urban areas of less developed regions, averaging 2.2 per cent per year during 2005-2030, consistent with a doubling time of 30 years. In contrast, the rural population of the less developed regions is expected to grow very slowly, at just 0.1 per cent per year during 2000-2030.

\( → \) The rapid increase of the world’s urban population coupled with the slowing growth of the rural population has led to a major redistribution of the population. Thus, whereas in 1950, 30 per cent of the world population lived in urban areas, by 2000 the proportion of urban dwellers had risen to 47 per cent and is expected to reach 60 per cent by 2030. The number of urban dwellers will for the first time have overtaken the number of rural dwellers in the world in 2008.

\( → \) There are marked differences in the level and pace of urbanization among less developed regions. Latin America and the Caribbean is highly urbanized, with 77 per cent of its population living in cities in 2000. Asia and Africa are considerably less urbanized, both with around 39 per cent of their populations living in urban areas. Being less urbanized, Africa and Asia are liable to experience rapid rates of urbanization during 2000- 2030. Consequently, by 2030, 54 per cent and 55 per cent, respectively, of their inhabitants will live in urban areas. At that time, 85 per cent of the population of Latin America and the Caribbean will be urban.

Fonte: http://www.peopleandplanet.net

Text III

In 2008, for the first time, half the world’s population is living in towns and cities. By 2030, the urban population will reach 5 billion — 60 per cent of the world’s population. Nearly all population growth will be in the cities of developing countries, whose population will double to roughly 4 billion by 2030 — about the size of the developing world’s total population in 1990.

World Urbanization Prospects: the 2005 Revision, prepared by the United Nations Population Division, presents estimates and projections of the number of people living in urban and rural areas for the period 1950- 2030. Some of its key findings are as follows:

\( → \) Most of the population increase expected during 2005-2030 will be absorbed by the urban areas of the less developed regions whose population will likely rise from 1.9 billion in 2000 to nearly 4 billion in 2030. The urban population of the more developed regions is expected to increase very slowly, passing from 0.9 billion in 2005 to 1 billion in 2030.

\( → \) During 2005-2030, the world’s urban population will grow at an average annual rate of 1.8 per cent, nearly double the rate expected for the total population of the world (1 per cent per year). At that rate of growth, the world’s urban population will double in 38 years.

\( → \) Growth will be particularly rapid in the urban areas of less developed regions, averaging 2.2 per cent per year during 2005-2030, consistent with a doubling time of 30 years. In contrast, the rural population of the less developed regions is expected to grow very slowly, at just 0.1 per cent per year during 2000-2030.

\( → \) The rapid increase of the world’s urban population coupled with the slowing growth of the rural population has led to a major redistribution of the population. Thus, whereas in 1950, 30 per cent of the world population lived in urban areas, by 2000 the proportion of urban dwellers had risen to 47 per cent and is expected to reach 60 per cent by 2030. The number of urban dwellers will for the first time have overtaken the number of rural dwellers in the world in 2008.

\( → \) There are marked differences in the level and pace of urbanization among less developed regions. Latin America and the Caribbean is highly urbanized, with 77 per cent of its population living in cities in 2000. Asia and Africa are considerably less urbanized, both with around 39 per cent of their populations living in urban areas. Being less urbanized, Africa and Asia are liable to experience rapid rates of urbanization during 2000- 2030. Consequently, by 2030, 54 per cent and 55 per cent, respectively, of their inhabitants will live in urban areas. At that time, 85 per cent of the population of Latin America and the Caribbean will be urban.

Fonte: http://www.peopleandplanet.net

Text III

In 2008, for the first time, half the world’s population is living in towns and cities. By 2030, the urban population will reach 5 billion — 60 per cent of the world’s population. Nearly all population growth will be in the cities of developing countries, whose population will double to roughly 4 billion by 2030 — about the size of the developing world’s total population in 1990.

World Urbanization Prospects: the 2005 Revision, prepared by the United Nations Population Division, presents estimates and projections of the number of people living in urban and rural areas for the period 1950- 2030. Some of its key findings are as follows:

\( → \) Most of the population increase expected during 2005-2030 will be absorbed by the urban areas of the less developed regions whose population will likely rise from 1.9 billion in 2000 to nearly 4 billion in 2030. The urban population of the more developed regions is expected to increase very slowly, passing from 0.9 billion in 2005 to 1 billion in 2030.

\( → \) During 2005-2030, the world’s urban population will grow at an average annual rate of 1.8 per cent, nearly double the rate expected for the total population of the world (1 per cent per year). At that rate of growth, the world’s urban population will double in 38 years.

\( → \) Growth will be particularly rapid in the urban areas of less developed regions, averaging 2.2 per cent per year during 2005-2030, consistent with a doubling time of 30 years. In contrast, the rural population of the less developed regions is expected to grow very slowly, at just 0.1 per cent per year during 2000-2030.

\( → \) The rapid increase of the world’s urban population coupled with the slowing growth of the rural population has led to a major redistribution of the population. Thus, whereas in 1950, 30 per cent of the world population lived in urban areas, by 2000 the proportion of urban dwellers had risen to 47 per cent and is expected to reach 60 per cent by 2030. The number of urban dwellers will for the first time have overtaken the number of rural dwellers in the world in 2008.

\( → \) There are marked differences in the level and pace of urbanization among less developed regions. Latin America and the Caribbean is highly urbanized, with 77 per cent of its population living in cities in 2000. Asia and Africa are considerably less urbanized, both with around 39 per cent of their populations living in urban areas. Being less urbanized, Africa and Asia are liable to experience rapid rates of urbanization during 2000- 2030. Consequently, by 2030, 54 per cent and 55 per cent, respectively, of their inhabitants will live in urban areas. At that time, 85 per cent of the population of Latin America and the Caribbean will be urban.

Fonte: http://www.peopleandplanet.net

Text III

In 2008, for the first time, half the world’s population is living in towns and cities. By 2030, the urban population will reach 5 billion — 60 per cent of the world’s population. Nearly all population growth will be in the cities of developing countries, whose population will double to roughly 4 billion by 2030 — about the size of the developing world’s total population in 1990.

World Urbanization Prospects: the 2005 Revision, prepared by the United Nations Population Division, presents estimates and projections of the number of people living in urban and rural areas for the period 1950- 2030. Some of its key findings are as follows:

\( → \) Most of the population increase expected during 2005-2030 will be absorbed by the urban areas of the less developed regions whose population will likely rise from 1.9 billion in 2000 to nearly 4 billion in 2030. The urban population of the more developed regions is expected to increase very slowly, passing from 0.9 billion in 2005 to 1 billion in 2030.

\( → \) During 2005-2030, the world’s urban population will grow at an average annual rate of 1.8 per cent, nearly double the rate expected for the total population of the world (1 per cent per year). At that rate of growth, the world’s urban population will double in 38 years.

\( → \) Growth will be particularly rapid in the urban areas of less developed regions, averaging 2.2 per cent per year during 2005-2030, consistent with a doubling time of 30 years. In contrast, the rural population of the less developed regions is expected to grow very slowly, at just 0.1 per cent per year during 2000-2030.

\( → \) The rapid increase of the world’s urban population coupled with the slowing growth of the rural population has led to a major redistribution of the population. Thus, whereas in 1950, 30 per cent of the world population lived in urban areas, by 2000 the proportion of urban dwellers had risen to 47 per cent and is expected to reach 60 per cent by 2030. The number of urban dwellers will for the first time have overtaken the number of rural dwellers in the world in 2008.

\( → \) There are marked differences in the level and pace of urbanization among less developed regions. Latin America and the Caribbean is highly urbanized, with 77 per cent of its population living in cities in 2000. Asia and Africa are considerably less urbanized, both with around 39 per cent of their populations living in urban areas. Being less urbanized, Africa and Asia are liable to experience rapid rates of urbanization during 2000- 2030. Consequently, by 2030, 54 per cent and 55 per cent, respectively, of their inhabitants will live in urban areas. At that time, 85 per cent of the population of Latin America and the Caribbean will be urban.

Fonte: http://www.peopleandplanet.net

Text III

In 2008, for the first time, half the world’s population is living in towns and cities. By 2030, the urban population will reach 5 billion — 60 per cent of the world’s population. Nearly all population growth will be in the cities of developing countries, whose population will double to roughly 4 billion by 2030 — about the size of the developing world’s total population in 1990.

World Urbanization Prospects: the 2005 Revision, prepared by the United Nations Population Division, presents estimates and projections of the number of people living in urban and rural areas for the period 1950- 2030. Some of its key findings are as follows:

\( → \) Most of the population increase expected during 2005-2030 will be absorbed by the urban areas of the less developed regions whose population will likely rise from 1.9 billion in 2000 to nearly 4 billion in 2030. The urban population of the more developed regions is expected to increase very slowly, passing from 0.9 billion in 2005 to 1 billion in 2030.

\( → \) During 2005-2030, the world’s urban population will grow at an average annual rate of 1.8 per cent, nearly double the rate expected for the total population of the world (1 per cent per year). At that rate of growth, the world’s urban population will double in 38 years.

\( → \) Growth will be particularly rapid in the urban areas of less developed regions, averaging 2.2 per cent per year during 2005-2030, consistent with a doubling time of 30 years. In contrast, the rural population of the less developed regions is expected to grow very slowly, at just 0.1 per cent per year during 2000-2030.

\( → \) The rapid increase of the world’s urban population coupled with the slowing growth of the rural population has led to a major redistribution of the population. Thus, whereas in 1950, 30 per cent of the world population lived in urban areas, by 2000 the proportion of urban dwellers had risen to 47 per cent and is expected to reach 60 per cent by 2030. The number of urban dwellers will for the first time have overtaken the number of rural dwellers in the world in 2008.

\( → \) There are marked differences in the level and pace of urbanization among less developed regions. Latin America and the Caribbean is highly urbanized, with 77 per cent of its population living in cities in 2000. Asia and Africa are considerably less urbanized, both with around 39 per cent of their populations living in urban areas. Being less urbanized, Africa and Asia are liable to experience rapid rates of urbanization during 2000- 2030. Consequently, by 2030, 54 per cent and 55 per cent, respectively, of their inhabitants will live in urban areas. At that time, 85 per cent of the population of Latin America and the Caribbean will be urban.

Fonte: http://www.peopleandplanet.net

Text II

Knowledge workers fuel innovation and growth, yet the nature of knowledge work remains poorly understood—as do the ways to improve its effectiveness. The heart of what knowledge workers do on the job is collaborate, which in the broadest terms means they interact to solve problems, serve customers, engage with partners, and nurture new ideas. Technology and workflow processes support knowledge worker success and are increasingly sources of comparative differentiation. Those able to use new technologies to reshape how they work are finding significant productivity gains. This article shares our research on how technology can improve the quality and output of knowledge workers.

Knowledge workers are growing in numbers. In some sectors of the economy, such as healthcare providers and education, they account for 75 percent of the workforce; in the United States, their wages total 18 percent of GDP. The nature of collaborative work ranges from high levels of abstract thinking on the part of scientists to building and maintaining professional contacts and information networks to more ground-level problem solving. Think of a buyer for a retail chain whose distributed web of contacts span resourceful professionals as fashion designers in Tokyo to experts on manufacturing in Brazil.

For companies, knowledge workers are expensive assets — earning a wage premium that ranges from 55 percent to 75 percent over the pay of workers who perform more basic production and transaction tasks. Yet there are wide variations in the performance of knowledge workers, as well as in their access to technologies that could improve it. Our research shows that the performance gap between top and bottom companies in collaboration-intense sectors is nine times that of production- or transaction-intense sectors. And that underscores what remains a significant challenge for corporations and national economics alike: how to improve the productivity of this prized and growing corps of workers.

Unfortunately, the productivity measures for collaboration workers are fuzzy at best. For production workers, productivity is readily measured in terms of units of output; for transaction workers, in operations per hour. But for knowledge workers, what might be thought of as collaboration productivity depends on the quality and quantity of interactions occurring. And it’s from these lessthan- perfectly-understood interactions that companies and national economies derive important benefits. Consider the collaborative creative work needed to win an advertising campaign or the high levels of service needed to satisfy public citizens. Or, in a similar vein, the interplay between a company and its customers or partners that results in an innovative product.

Raising the quality of these interactions is largely uncharted territory. Taking a systematic view, however, helps bring some of the key issues into focus. Our research suggests that improvements depend upon getting a better fix on who actually is doing the collaborating within companies, as well as understanding the details of how that interactive work is done. Just as important is deciding how to support interactions with technology — in particular, Web 2.0 tools such as social networks, wikis, and video. There is potential for sizeable gains from even modest improvements. Our survey research shows that at least 20 percent and as much as 50 percent of collaborative activity results in wasted effort. And the sources of this waste—including poorly planned meetings, unproductive travel time, and the rising tide of redundant e-mail communications, just to name a few—are many and growing in knowledge-intense industries.

There are some companies that already are tackling aspects of this collaboration–technology nexus. A wellknown multinational company selling networking and communications technology, for example, was eager to improve interactions between its technology specialist sales teams and enterprise customers. Frequent travel and stepped-up job requirements had resulted in overstretched teams whose effectiveness had become diminished. The company tackled the problem by mandating the use of its own video technologies, as well as other collaboration tools to reach more customers and business partners by shifting a large portion of inperson meetings to virtual interactions. Policy and governance changes ensured that technology use became part of daily workflows and not an added task. Internal surveys showed that 78 percent of the targeted employees reported increased productivity and improved lifestyles without diminishing customer or partner satisfaction.

But most companies are only beginning to take these paths. That’s because, in many respects, raising the collaboration game differs from traditional ways of boosting productivity. In production and transaction work, technology use is often part of a broader campaign to reduce head counts and costs—steps that are familiar to most managers. In the collaboration setting, technology is used differently. It multiplies interactions and extends the reach of knowledge workers. That allows for the speedier product development found at Proctor & Gamble and improved partner and customer intimacy at Cisco. In general, this is new terrain for most managers.

Adapted from the article written by James Manyika, Kara Sprague and Lareina Yee, published in McKinsey Quarterly, 27 October 2009. http://whatmatters.mckinseydigital.com/internet/using-technology-toimprove- workforce-collaboration

Text II

Knowledge workers fuel innovation and growth, yet the nature of knowledge work remains poorly understood—as do the ways to improve its effectiveness. The heart of what knowledge workers do on the job is collaborate, which in the broadest terms means they interact to solve problems, serve customers, engage with partners, and nurture new ideas. Technology and workflow processes support knowledge worker success and are increasingly sources of comparative differentiation. Those able to use new technologies to reshape how they work are finding significant productivity gains. This article shares our research on how technology can improve the quality and output of knowledge workers.

Knowledge workers are growing in numbers. In some sectors of the economy, such as healthcare providers and education, they account for 75 percent of the workforce; in the United States, their wages total 18 percent of GDP. The nature of collaborative work ranges from high levels of abstract thinking on the part of scientists to building and maintaining professional contacts and information networks to more ground-level problem solving. Think of a buyer for a retail chain whose distributed web of contacts span resourceful professionals as fashion designers in Tokyo to experts on manufacturing in Brazil.

For companies, knowledge workers are expensive assets — earning a wage premium that ranges from 55 percent to 75 percent over the pay of workers who perform more basic production and transaction tasks. Yet there are wide variations in the performance of knowledge workers, as well as in their access to technologies that could improve it. Our research shows that the performance gap between top and bottom companies in collaboration-intense sectors is nine times that of production- or transaction-intense sectors. And that underscores what remains a significant challenge for corporations and national economics alike: how to improve the productivity of this prized and growing corps of workers.

Unfortunately, the productivity measures for collaboration workers are fuzzy at best. For production workers, productivity is readily measured in terms of units of output; for transaction workers, in operations per hour. But for knowledge workers, what might be thought of as collaboration productivity depends on the quality and quantity of interactions occurring. And it’s from these lessthan- perfectly-understood interactions that companies and national economies derive important benefits. Consider the collaborative creative work needed to win an advertising campaign or the high levels of service needed to satisfy public citizens. Or, in a similar vein, the interplay between a company and its customers or partners that results in an innovative product.

Raising the quality of these interactions is largely uncharted territory. Taking a systematic view, however, helps bring some of the key issues into focus. Our research suggests that improvements depend upon getting a better fix on who actually is doing the collaborating within companies, as well as understanding the details of how that interactive work is done. Just as important is deciding how to support interactions with technology — in particular, Web 2.0 tools such as social networks, wikis, and video. There is potential for sizeable gains from even modest improvements. Our survey research shows that at least 20 percent and as much as 50 percent of collaborative activity results in wasted effort. And the sources of this waste—including poorly planned meetings, unproductive travel time, and the rising tide of redundant e-mail communications, just to name a few—are many and growing in knowledge-intense industries.

There are some companies that already are tackling aspects of this collaboration–technology nexus. A wellknown multinational company selling networking and communications technology, for example, was eager to improve interactions between its technology specialist sales teams and enterprise customers. Frequent travel and stepped-up job requirements had resulted in overstretched teams whose effectiveness had become diminished. The company tackled the problem by mandating the use of its own video technologies, as well as other collaboration tools to reach more customers and business partners by shifting a large portion of inperson meetings to virtual interactions. Policy and governance changes ensured that technology use became part of daily workflows and not an added task. Internal surveys showed that 78 percent of the targeted employees reported increased productivity and improved lifestyles without diminishing customer or partner satisfaction.

But most companies are only beginning to take these paths. That’s because, in many respects, raising the collaboration game differs from traditional ways of boosting productivity. In production and transaction work, technology use is often part of a broader campaign to reduce head counts and costs—steps that are familiar to most managers. In the collaboration setting, technology is used differently. It multiplies interactions and extends the reach of knowledge workers. That allows for the speedier product development found at Proctor & Gamble and improved partner and customer intimacy at Cisco. In general, this is new terrain for most managers.

Adapted from the article written by James Manyika, Kara Sprague and Lareina Yee, published in McKinsey Quarterly, 27 October 2009. http://whatmatters.mckinseydigital.com/internet/using-technology-toimprove- workforce-collaboration

Text II

Knowledge workers fuel innovation and growth, yet the nature of knowledge work remains poorly understood—as do the ways to improve its effectiveness. The heart of what knowledge workers do on the job is collaborate, which in the broadest terms means they interact to solve problems, serve customers, engage with partners, and nurture new ideas. Technology and workflow processes support knowledge worker success and are increasingly sources of comparative differentiation. Those able to use new technologies to reshape how they work are finding significant productivity gains. This article shares our research on how technology can improve the quality and output of knowledge workers.

Knowledge workers are growing in numbers. In some sectors of the economy, such as healthcare providers and education, they account for 75 percent of the workforce; in the United States, their wages total 18 percent of GDP. The nature of collaborative work ranges from high levels of abstract thinking on the part of scientists to building and maintaining professional contacts and information networks to more ground-level problem solving. Think of a buyer for a retail chain whose distributed web of contacts span resourceful professionals as fashion designers in Tokyo to experts on manufacturing in Brazil.

For companies, knowledge workers are expensive assets — earning a wage premium that ranges from 55 percent to 75 percent over the pay of workers who perform more basic production and transaction tasks. Yet there are wide variations in the performance of knowledge workers, as well as in their access to technologies that could improve it. Our research shows that the performance gap between top and bottom companies in collaboration-intense sectors is nine times that of production- or transaction-intense sectors. And that underscores what remains a significant challenge for corporations and national economics alike: how to improve the productivity of this prized and growing corps of workers.

Unfortunately, the productivity measures for collaboration workers are fuzzy at best. For production workers, productivity is readily measured in terms of units of output; for transaction workers, in operations per hour. But for knowledge workers, what might be thought of as collaboration productivity depends on the quality and quantity of interactions occurring. And it’s from these lessthan- perfectly-understood interactions that companies and national economies derive important benefits. Consider the collaborative creative work needed to win an advertising campaign or the high levels of service needed to satisfy public citizens. Or, in a similar vein, the interplay between a company and its customers or partners that results in an innovative product.

Raising the quality of these interactions is largely uncharted territory. Taking a systematic view, however, helps bring some of the key issues into focus. Our research suggests that improvements depend upon getting a better fix on who actually is doing the collaborating within companies, as well as understanding the details of how that interactive work is done. Just as important is deciding how to support interactions with technology — in particular, Web 2.0 tools such as social networks, wikis, and video. There is potential for sizeable gains from even modest improvements. Our survey research shows that at least 20 percent and as much as 50 percent of collaborative activity results in wasted effort. And the sources of this waste—including poorly planned meetings, unproductive travel time, and the rising tide of redundant e-mail communications, just to name a few—are many and growing in knowledge-intense industries.

There are some companies that already are tackling aspects of this collaboration–technology nexus. A wellknown multinational company selling networking and communications technology, for example, was eager to improve interactions between its technology specialist sales teams and enterprise customers. Frequent travel and stepped-up job requirements had resulted in overstretched teams whose effectiveness had become diminished. The company tackled the problem by mandating the use of its own video technologies, as well as other collaboration tools to reach more customers and business partners by shifting a large portion of inperson meetings to virtual interactions. Policy and governance changes ensured that technology use became part of daily workflows and not an added task. Internal surveys showed that 78 percent of the targeted employees reported increased productivity and improved lifestyles without diminishing customer or partner satisfaction.

But most companies are only beginning to take these paths. That’s because, in many respects, raising the collaboration game differs from traditional ways of boosting productivity. In production and transaction work, technology use is often part of a broader campaign to reduce head counts and costs—steps that are familiar to most managers. In the collaboration setting, technology is used differently. It multiplies interactions and extends the reach of knowledge workers. That allows for the speedier product development found at Proctor & Gamble and improved partner and customer intimacy at Cisco. In general, this is new terrain for most managers.

Adapted from the article written by James Manyika, Kara Sprague and Lareina Yee, published in McKinsey Quarterly, 27 October 2009. http://whatmatters.mckinseydigital.com/internet/using-technology-toimprove- workforce-collaboration

Text II

Knowledge workers fuel innovation and growth, yet the nature of knowledge work remains poorly understood—as do the ways to improve its effectiveness. The heart of what knowledge workers do on the job is collaborate, which in the broadest terms means they interact to solve problems, serve customers, engage with partners, and nurture new ideas. Technology and workflow processes support knowledge worker success and are increasingly sources of comparative differentiation. Those able to use new technologies to reshape how they work are finding significant productivity gains. This article shares our research on how technology can improve the quality and output of knowledge workers.

Knowledge workers are growing in numbers. In some sectors of the economy, such as healthcare providers and education, they account for 75 percent of the workforce; in the United States, their wages total 18 percent of GDP. The nature of collaborative work ranges from high levels of abstract thinking on the part of scientists to building and maintaining professional contacts and information networks to more ground-level problem solving. Think of a buyer for a retail chain whose distributed web of contacts span resourceful professionals as fashion designers in Tokyo to experts on manufacturing in Brazil.

For companies, knowledge workers are expensive assets — earning a wage premium that ranges from 55 percent to 75 percent over the pay of workers who perform more basic production and transaction tasks. Yet there are wide variations in the performance of knowledge workers, as well as in their access to technologies that could improve it. Our research shows that the performance gap between top and bottom companies in collaboration-intense sectors is nine times that of production- or transaction-intense sectors. And that underscores what remains a significant challenge for corporations and national economics alike: how to improve the productivity of this prized and growing corps of workers.

Unfortunately, the productivity measures for collaboration workers are fuzzy at best. For production workers, productivity is readily measured in terms of units of output; for transaction workers, in operations per hour. But for knowledge workers, what might be thought of as collaboration productivity depends on the quality and quantity of interactions occurring. And it’s from these lessthan- perfectly-understood interactions that companies and national economies derive important benefits. Consider the collaborative creative work needed to win an advertising campaign or the high levels of service needed to satisfy public citizens. Or, in a similar vein, the interplay between a company and its customers or partners that results in an innovative product.

Raising the quality of these interactions is largely uncharted territory. Taking a systematic view, however, helps bring some of the key issues into focus. Our research suggests that improvements depend upon getting a better fix on who actually is doing the collaborating within companies, as well as understanding the details of how that interactive work is done. Just as important is deciding how to support interactions with technology — in particular, Web 2.0 tools such as social networks, wikis, and video. There is potential for sizeable gains from even modest improvements. Our survey research shows that at least 20 percent and as much as 50 percent of collaborative activity results in wasted effort. And the sources of this waste—including poorly planned meetings, unproductive travel time, and the rising tide of redundant e-mail communications, just to name a few—are many and growing in knowledge-intense industries.

There are some companies that already are tackling aspects of this collaboration–technology nexus. A wellknown multinational company selling networking and communications technology, for example, was eager to improve interactions between its technology specialist sales teams and enterprise customers. Frequent travel and stepped-up job requirements had resulted in overstretched teams whose effectiveness had become diminished. The company tackled the problem by mandating the use of its own video technologies, as well as other collaboration tools to reach more customers and business partners by shifting a large portion of inperson meetings to virtual interactions. Policy and governance changes ensured that technology use became part of daily workflows and not an added task. Internal surveys showed that 78 percent of the targeted employees reported increased productivity and improved lifestyles without diminishing customer or partner satisfaction.

But most companies are only beginning to take these paths. That’s because, in many respects, raising the collaboration game differs from traditional ways of boosting productivity. In production and transaction work, technology use is often part of a broader campaign to reduce head counts and costs—steps that are familiar to most managers. In the collaboration setting, technology is used differently. It multiplies interactions and extends the reach of knowledge workers. That allows for the speedier product development found at Proctor & Gamble and improved partner and customer intimacy at Cisco. In general, this is new terrain for most managers.

Adapted from the article written by James Manyika, Kara Sprague and Lareina Yee, published in McKinsey Quarterly, 27 October 2009. http://whatmatters.mckinseydigital.com/internet/using-technology-toimprove- workforce-collaboration