Skip to main content

Behind the Gig economy.

The battle between push and pull is familiar to supply chains. For ages now, industries have produced goods they thought were relevant for the customer and then used networks of distributors and retailers to push these to the consumers. The apparent outcome of this is the massive scale of advertising that uses tactics to lure a customer base for the product. 
The shift to a pull-based supply chain seems more rational. One is where the production takes in the customer's demand before the show. Not only does that minimize the risk of product failure, but it also captures the market sentiment with greater accuracy. In other words, it caters to an existing demand rather than creating one for itself. This process is lean and profitable, except for a shortcoming; Production takes time.


During the early 90s, when the internet spread like wildfire, people almost immediately expected the internet business to take off. However, it was only after a decade and a massive dot com bubble that today, the technology is ripe for an indeed pull economic model. Now that our complete customer interaction has shifted to an online platform. It's worth the look at how services and products are planning to catch up.
Unlike the customer side, production is mainly a person-machine interaction; a gig economy exists in this niche. In some services like ride-sharing or beauty care, gig workers tend to do most of the jobs. Others, like parcel delivery, are part of the process.

The challenges in this sector are enormous. Since to maintain the level of customer service, gig workers must be in sync with machines. For an example of a 30 min pizza delivery model, roughly 60% of the time is given to the delivery personnel. This implies that the consumable takes less of the total process time than the logistics. Thus, over the past few years, executives have planned out incentives and pay structures that push the gig workers to toil in for those machine-like performances until they find a suitable machine to replace them. All of this makes a gig worker's job unhealthy and risky.

Given the plague of crippling unemployment economies, the gig sector has promising figures for the future. However, the nature of work is demanding and unforgiving. Given that tomorrow, millions will be gig workers, it's time legislation spare an eye to regulating corporations. The gig economy has actually helped many make a standard of living. Since gig workers tend to be from the lower strata of the employee, it is the only job available today for those without an education degree.
And that regulations would only push industries towards automation, making this scarier. It's tough to know when the quality of a job becomes a more pressing matter than having no job at all.


Popular posts from this blog

Politics of Perpetuity

There are obvious downsides to democracy. When we look at the distribution of opinion on a particular issue, it generally follows a normal distribution. This implies that to achieve the majority, it's theoretically advised to stick to the centre. And this love for mediocrity makes democracy allergic to politically solid decisions.  Along with it, democracies tend to be the rooster for sweet talkers. And that is an outcome rather than a voluntary trait. Primarily because most voters need to be equipped to deal with the complexities of the field. For example, it could be more practical for an electrical engineer to comprehend medical patterns and the pandemic's effect on production. Thus, democratic institutions need people managers who have two keywords to watch out for - sweet talking and status quo. However, democracies have been hugely popular. And people have reported being happier. Whether this is induced, indoctrinated or influenced is another question. But history has cho...

The Theatre Era

As tough times await us, it's frivolous to talk about theatres. But doesn't it look like theatres would go out of fashion before the pandemic ends( But would it ?? ) With the footfall on OTT platforms rising daily. Looking at a screen stuck to the chair, with no ability to pause or even play subtitles, sounds so technologically inferior. The blockbuster release has increasingly been  generously funded , mega-multi-starrer films, which keep running sequels until they go unprofitable . In fact, content is sometimes the second priority; the fan base and the festive season come first. Over the years, movie houses have mastered this art. Roping in top actors into characters that have gone synonymous with their name. The OTT platforms, however, are earmarked for the content. Their promise to give a shot to the aspiring director who doesn't have funds to compete against the mult-million movie releases. Thus i n its cast and crew shines the raw, untamed art which any critic would b...

Birth of a flood - a poet's admire of rain

The sky is almost dark, save for those last golden tinges that would fade in no time. As palm trees mark the oblivion, a muddy reflection forms the ground. The last few days were mostly rainy. So profound is our love for rain. And why wouldn't we? Unlike most other seasons, rain is so tender. A drop of patience which is about to reach its final destiny. Every time I look at raindrops, they remind me of a struggle. A journey that begins with summer in an aura of dry and burning heat. And in no time, the drop loses its sources. The long-held identity of its mother. With the loss of identity, an awakening awaits. The pleasure of reaching out and bonding. As our drop moves up and up the end of the sky, it realises the futility of pride and the necessity to bond. This comes with age. Not until it is near Earth does it agree to meet with other wanderers of the new world. And finally, all our drops reach the cold atmosphere. The coldness makes life dreary and lonely. As the youthfulne...