Question
Answer the following question but be prepared to argue for a different answer in class as I will probably assign you a role in a
Answer the following question but be prepared to argue for a different answer in class as I will probably assign you a role in a debate.
ABC Corp. is a manufacturing company with operations concentrated in a few communities where it provides the bulk of the good jobs.It is profitable with a healthy cash flow and minimal debt but could be more efficient and hence more profitable over the long term if it invests in automating its production line and installing various robotics and AI throughout its operations, including manufacturing, logistics, purchasing, and accounting.Doing so, however, will result in letting go of a large portion of its employees, which will have very negative economic consequences for them and the communities in which ABC operates. ABC can retrain some of those employees to program and monitor the new equipment and AI, but not nearly all.
What should the Board do? Consider whether the Board should not automate, automate but through a slow process that will allow it to get rid of redundant employees through retirement, offer buyouts and early retirement packages to employees to induce them to leave, commit to retraining ex-employees for other jobs that may be available in the communities, commit to economic development and jobs programs in the communities, or something else.
Consider that most of the options outlined above will cost money.
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