the.world.is.flat-第57章
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Looking at it from the American corner of the flat world； you might conclude that
the frictions； barriers； and values that restrain outsourcing should be maintained；
maybe even strengthened。 But from the point of view of Indians； fairness； justice；
and their own aspirations demand that those same barriers and sources of friction
be removed。 In the flat world； one person's economic liberation could be another's
unemployment。
India versus Indiana： Who Is Exploiting Whom？
Consider this case of multiple identity disorder。 In 2003； the state of Indiana put
out to bid a contract to upgrade the state's computer systems that process
unemployment claims。 Guess who won？ Tata
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America International； which isthe U。S。…based subsidiary ofIndia's Tata Consultancy
Services Ltd。 Tata's bid of 15。2 million came in 8。1 million lower than that of
its closest rivals； the New York…based companies Deloitte Consulting and Accenture
Ltd。 No Indiana firms bid on the contract； because it was too big for them to handle。
In other words； an Indian consulting firm won the contract to upgrade the unemployment
department of the state of Indiana！ You couldn't make this up。 Indiana was outsourcing
the very department that would cushion the people of Indiana from the effects of
outsourcing。 Tata was planning to send some sixty…five contract employees to work
in the Indiana Government Center； alongside eighteen state workers。 Tata also said
it would hire local subcontractors and do some local recruiting； but most workers
would come from India to do the computer overhauls； which； once completed； were
〃supposed to speed the processing of unemployment claims； as well as save postage
and reduce hassles for businesses that pay unemployment taxes；〃 the Indianapolis Star
reported on June 25； 2004。 You can probably guess how the story ended。 〃Top aides
to then…Gov。 Frank O'Bannon had signed off on the politically sensitive； four…year
contract before his death ＇on＇ September 13； ＇2003＇；〃 the Star reported。 But when
word of the contract was made public； Republicans made it a campaign issue。 It became
such a political hot potato that Governor Joe Kernan； a Democrat who had succeeded
O'Bannon； ordered the state agency； which helps out…of…work Indiana residents； to
cancel the contract…and also to put up some legal barriers and friction to prevent
such a thing from happening again。 He also ordered that the contract be broken up
into smaller bites that Indiana firms could bid for…good for Indiana firms but very
costly and inefficient for the state。 The Indianapolis Star reported that a check
for 993；587 was sent to pay off Tata for eight weeks of work； during which it had
trained forty…five state programmers in the development and engineering of up…to…date
software： 〃'The company was great to work with；' said Alan Degner； Indiana's
commissioner of workforce development。〃
So now I have just one simple question： Who is the exploiter and who is the exploited
in this India…Indiana story？ The American arm of an Indian consulting firm proposes
to save the taxpayers of Indiana 8。1 mil207
lion by revamping their computers …using both its Indian employees and local hires
from Indiana。 The deal would greatly benefit the American arm of the Indian
consultancy； it would benefit some Indiana tech workers； and it would save Indiana
state residents precious tax dollars that could be deployed to hire more state workers
somewhere else； or build new schools that would permanently shrink its roles of
unemployed。 And yet the whole contract； which was signed by pro…labor Democrats； got
torn up under pressure from free…trade Republicans。
Sort that out。
In the old world； where value was largely being created vertically； usually within
a single company and from the top down； it was very easy to see who was on the top
and who was on the bottom； who was exploiting and who was being exploited。 But when
the world starts to flatten out and value increasingly gets created horizontally
（through multiple forms of collaboration； in which individuals and little guys have
much more power）； who is on the top and who is on the bottom； who is exploiter and
who is exploited； gets very complicated。 Some of our old political reflexes no longer
apply。 Were the Indian engineers not being 〃exploited〃 when their government educated
them in some of the best technical institutes in the world inside India； but then
that same Indian government pursued a socialist economic policy that could not provide
those engineers with work in India； so that those who could not get out of India had
to drive taxis to eat？ Are those same engineers now being exploited when they join
the biggest consulting company in India； are paid a very comfortable wage in Indian
terms； and； thanks to the flat world； can now apply their skills globally？ Or are
those Indian engineers now exploiting the people of Indiana by offering to revamp
their state unemployment system for much less money than an American consulting firm？
Or were the people of Indiana exploiting those cheaper Indian engineers？ Someone
please tell me： Who is exploiting whom in this story？ With whom does the traditional
Left stand in this story？ With the knowledge workers from the developing world； being
paid a decent wage； who are trying to use their hard…won talents in the developed
world？ Or with the politicians of Indiana； who wanted to deprive these Indian
engineers of work so that it could be done； more expensively； by their constituents？
And with whom does the traditional Right stand in this story？ With those who want
to hold down taxes and shrink the state budget of Indiana by outsourcing some work；
or with those who say； 〃Let's raise taxes more in order to reserve the work here and
reserve it just for people from Indiana〃？ With those who want to keep some friction
in the system； even though that goes against every Republican instinct on free trade；
just to help people from Indiana？ If you are against globalization because you think
it harms people in developing countries； whose side are you on in this story： India's
or Indiana's？
The India versus Indiana dispute highlights the difficulties in drawing lines between
the interests of two communities that never before imagined they were connected； much
less collaborators。 But suddenly they each woke up anddiscovered thatin a flat world；
where work increasingly becomes a horizontal collaboration； they were not only
connected and collaborating but badly in need of a social contract to govern their
relations。
The larger point here is this： Whether we are talking about management science or
political science； manufacturing or research and development； many； many players and
processes are going to have to come to grips with 〃horizontalization。〃 And it is going
to take a lot of sorting out。
Where Do Companies Stop and Start？
Tust as the relationship between different groups of workers will have to I be sorted
out in a flat world； so too will the relationship between companies and the communities
in which they operate。 Whose values will govern a particular company and whose
interests will that company respect and promote？ It used to be said that as General
Motors goes； so goes America。 But today it would be said； 〃As Dell goes； so goes
Malaysia； Taiwan； China； Ireland； India 。 。 。〃 HP today has 142；000 employees in 178
countries。 It is not only the largest consumer technology company in the world； it
is the largest IT company in Europe； the largest
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IT company in Russia； the largest IT company in the Middle East； and the largest IT
company in South Africa。 Is HP an American company if a majority of its employees
and customers are outside of America； even though it is headquartered in Palo Alto？
Corporations cannot survive today as entities bounded by any single nation…state；
not even one as big as the United States。 So the current keep…you…awake…at…night issue
for nation…states and their citizens is how to deal with corporations that are no
longer bounded by a thing called the nation…state。 To whom are they loyal？
