Abstract: The article describes how the wealthy nations of the world with low birthrates and graying workforces are finding it difficult to compete with emerging markets with much larger and younger working populations. This had made it imperative and compelling for the wealthy nations to take up the productivity challenge to produce more and more with fewer workers.

The article conclusion is that developed economies would have to deploy innovative business models to get more from their higher quality knowledge employees. This article suggests that some of the aspects of such a transformative business model can be changing the boundaries around the work–life balance or better adopting approaches such videoconferencing to collaborate and exchange knowledge with far-flung employees.

Published: McKinsey Quarterly, June 2010

Authors: Peter Bisson, Elizabeth Stephenson, and S. Patrick Viguerie

Link: Improving Productivity