Market forces have always ensured that the performance and nature of the work place balances. If you acknowledge that the principles of supply and demand will make sure that the right, or required, products and services are offered by successful organisations, then the impact of the Internet Business explosion may well adjust the recognised economic paradigm.

Usual business models are based on a division of function which for arguments sake resulted from the mechanisation of industry during the Industrial Revolution. In order to improve efficiency the work place “scientists “ such as FW Taylor argued that separation of jobs would improve production rates. Then the specialisation of function (innovation, design, production and sales) would be designed to make sure that the maximum opportunity for suppliers and retailers was achieved by encouraging rivalry at both ends of the chain (in producers and retailers).

This model based around silo’s is now under threat from the net, the very nature of the ability to share knowledge instantly has had the effect of bringing together those traditional silo’s. It is now perfectly possible that a group of designers can get together, design a product or service online, in real time. If the result is a product then via 3D printing technology that product can be processed and advertised via a website. An whole supply chain can in fact Work From Home producing goods and services via Online Jobs.

This kind of activity will affect the world of work as we see it today, Online Jobs will be the rule as opposed to the exception as design, processing and assembly, sales and marketing and distribution are all achievable through a broadband connection. Old fashioned barriers to entry in markets, such as accessibility, market information and skill sets will become less of a problem as a start up Internet Business can, without any problem source correct skills online and have no need to co-locate a team who can all successfully Work From Home. Any market is easily reached when sales pitches and client contact is made through effective use of today’s communication technology. Business forums and blog sites can also give useful local and regional business intelligence through debate with companies already working in that market – evidently there is an issue around sharing information that could be useful to your competitors.

There is no doubt that the technicalities of production as we understand them today will still be required for some elements of manufacturing and production, it would be nearly impossible for a local supplier to construct a car and for an internet business sales team who work from home to sell it. It would also be foolish to imply that some of the more technologically advanced comodities we use on a regular basis could be designed over the internet by a team who had never met. However there are millions of items which are simple in design construction and production which could be produced in this way. Who knows, some of them may even gain from design advancement as hundreds of much smaller groups take a look at those designs and append their own individual ideas to them.

This entry was posted on Tuesday, December 22nd, 2009 at 6:10 pm and is filed under Online Business, Promotion and Marketing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.