Knowledge Workers/Industries

Conclusions

Two of Nuala Beck's main arguments are that we should be training for real jobs that have a future. Second that governments should focus spending towards industries that have a future in the new economy.

Training for real jobs. Governments already spend billions every year preparing people for jobs that either no longer exist or soon won't.
Making sense of economic development. It has always seemed ludicrous ... to throw money into hard-pressed regions and municipalities without any coherent plan for what they should be doing in the future. What they need is aid that will assist in the shift to the new economy, where the real jobs and the only real future lie.
Nuala Beck, Shifting Gears.

Knowledge workers comprise a significant portion of total employment. Almost 30% of all workers fit this category. This indicates a highly skilled and educated labour force. Should policy concentrate on improving upon this level?

Knowledge industries comprise about 20% of total employment. About 50% of employees in these industries are knowledge workers. Should government spending be directed to these industries to increase employment, and the ratio of knowledge workers?

If Ms. Beck is correct, that is where the future lies. Therefore, initiatives are required to manage our efforts by accurately defining Nova Scotia Knowledge Ratios, and Knowledge Industries.

Next Step

It is proposed that surveys be conducted to create and maintain a Nova Scotia Knowledge Ratios Table. To this end a series of survey questions will be constructed. These questions could be included with other planned surveys (cost saving measure), or if there is sufficient interest, demand or funding, an extensive knowledge ratio survey could be performed.The objective is to create an accurate Nova Scotia Knowledge Ratio Table.

With a N.S. Knowledge Ratios Table a more precise evaluation of the Nova Scotia economy would be possible. Comparisons can be made to the U.S. experience. If other jurisdictions are compiling knowledge ratio tables, then inter-regional comparisons would also be possible.
Knowledge ratios, and estimates of knowledge workers by firm, industrial division, etc. provides a tool for measuring business and government policy, expenditure and performance with respect to training and education.
Knowledge ratios provides a means of ranking firms and industries with respect to levels of professionalism, skills, knowledge. If the future is an information society, then knowledge assets will replace physical assets in importance. We must be prepared to account for the creation and management of these assets.
Knowledge ratios can be used as a factor in defining government industrial programs. In a companion paper, Defining Oceans Industries, knowledge ratios are used to constrain the industry to "high-tech" or "knowledge-based" industries.

This initial study of knowledge workers and industries is a first look at Nuala Beck's "new economy". Refinements will produce more accurate measures for managing the Nova Scotia economy. But knowledge ratios are designed to grade corporate IQs, and basically measure changes in employment. A good beginning, but Ms. Beck suggests that other measures should be evaluated and implemented as well. The following measures would be useful in evaluating economic development programs, and participating firms.

Return on Knowledge Assets
Are firms using their knowledge assets productively.
Peak-to-Growth Ratio
The proportion of a firms sales that is directed to new economy firms and industries.
Patent-to-Stock-Price Ratio
A gauge of the probable success of a firm by measuring the number of new products created by the firm with the price of its stock in the market.
Research-to-Development Ratio and R&D-to-Patent Ratio
Measures of a firms' innovation productivity.
Technology Spending Ratio
The proportion of total spending directed to the computer industry and other technological firms and industries.

Armed with the right devices to measure the new economy, the game starts to make sense again. The new ratios can't guarantee... [success] ... but you might just be able to avoid betting... on the wrong team playing in the wrong league.
Nuala Beck, Shifting Gears.

Experience Nova Scotia at novascotialife.com

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