Improve Your Skills… We live in a world where we no longer have to grow our own food, spin our own cloth, drive away predators, and much more. There was a time, 100+ years ago where most people had to do the same thing, and there were a few specialists. Today, we are all specialists, aside from some who live in desperately poor countries.
But specialists have a problem. What if their specialty is being changed because of technology? Or, what if their specialty is being eliminated by the internet? It’s not as if you can go back to being a farmer; now you have to compete by updating your skills if your skills are in less demand than previously.
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It is incumbent on specialists that they fend for themselves, and be aware whether their skills are decreasing in value. Because improving skills is not generic, I can’t tell you what to do, aside from the idea of improving your knowledge of how the company makes profits, or even better, finding a new area, usually adjacent to existing businesses, where the firm can make money.
If your specialty is dying, you might have to look to areas near yours, and show competence, or get retrained. If you sell something, you can sell something like it. If you operate or service something, you can do it for something similar. For those the manage cash flow or the whole of the company, you can find similar j0bs in companies like yours, though you might have to take a step down.
As I see it, taking a step down is getting your foot in the door. It is far better to be working at a lesser job than to be idle. The longer you are idle, the less employable you are seen to be. Once you have a job there are abilities to advance inside and outside the firm. If you are employed, it is a signal to other employers that you are valuable.
But beyond that, you have to be vigilant. Is there a way for technology or cheap labor to eliminate your position?
That’s the problem and glory of the division of labor. The division of labor makes us all better off as a whole, but not necessarily each one. There are often those that lose, and I would argue, it is their fault because they did not adapt. No one is entitled to their living. If family farms can’t earn their keep, it is better that they should sell.
That is why I say clever workers need to understand their core skills intensely, but need to know the adjacent skills to a decent degree. Beyond that, do you understand:
- how the business makes money?
- the strategy of the company within the industry?
- how suppliers view the industry?
- how consumers view the industry?
- how to manage subordinates well?
- non-economic problems that are holding the company back? (I.e., a squabbling management team.)
- the effects that changing economic policy have on the industry and company.
You are your own best guardian, in human terms. No one else has as concentrated an interest in your career as you do. Therefore, take the opportunity to improve your skills. It will likely pay off.
By David Merkel, CFA of Aleph Blog