The Real Gold of Our Economy Is in Our Hands | Salvatore Cali | TED

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In this section, the speaker discusses their recent experience of renewing a passport and the time wasted in the process.

Renewing a Passport

• The speaker shares their personal experience of renewing their daughter's passport.

• They had to visit the police office multiple times, wait in long queues, pay cash at the post office, and fill out numerous repetitive forms.

• The speaker questions why they had to waste so much time when they previously renewed their own passport with ease.

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In this section, the speaker talks about their fast track experience for obtaining a passport and reflects on the impact of wasting time.

Fast Track Solution

• The speaker needed their passport urgently for business reasons and opted for the fast track service.

• By demonstrating urgency and paying extra, they were able to receive their passport within five minutes.

Impact of Wasted Time

• The speaker highlights that wasting time has significant consequences.

• They calculate that if every person wastes one working day every five years to renew their passport, it amounts to 0.1 percent of GDP in a country like Italy.

• This waste extends beyond passports and includes ID and license requests, work permits, tax declarations, etc., resulting in several points of GDP loss.

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In this section, the speaker emphasizes the importance of addressing waste in order to have a greater impact on GDP.

Value Creation Analysis

• The speaker shares insights from their research on how companies create value for customers.

• On average, only five percent of labor actually creates value.

• Most of our time is wasted.

Increasing Value Creation

• Companies need to analyze their value streams and question each activity's purpose.

• By identifying wasteful activities and focusing on those that create value, companies can have a significant impact on GDP.

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In this section, the speaker discusses the potential of increasing labor's contribution to GDP.

Doubling GDP

• The speaker proposes that if labor's contribution to GDP could be increased from five percent to ten percent, it would double the GDP.

• This would require utilizing 45 minutes of the workday effectively.

Finding Waste in Processes

• The speaker suggests that one of the best places to find waste is within company processes.

• Legacy processes often generate massive waste and should be reevaluated for efficiency.

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In this section, the speaker highlights examples of legacy processes and unnecessary data collection.

Legacy Processes

• Matching purchase orders with invoices and submitting time sheets online are examples of legacy processes that generate waste.

• These processes reflect outdated methods rather than present or future needs.

Unnecessary Data Collection

• Companies often collect redundant and unnecessary data from customers.

• The speaker questions the necessity of certain information, such as gender in passports or tickets, which stems from outdated practices.

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In this section, the speaker emphasizes the need to eliminate legacies and reduce wasted labor.

Eliminating Legacies

• Instead of carrying legacies into the future, companies should reassess their activities and leverage modern technology for efficiency.

• Legacy processes result in repetitive data entry and wasted time.

Reducing Wasted Labor

• Unnecessary data collection leads to wasted labor for both companies and customers.

• The example of accountants from Afghanistan highlights how irrelevant information can burden both parties.

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In this section, the speaker discusses the concept of overcontrollership and its impact on accountability. They also highlight the importance of evaluating the cost-effectiveness of control checks.

Impact of Overcontrollership

• Overcontrollership can hinder accountability.

• Legal departments may spend unnecessary time fixing grammar and spelling in contracts instead of focusing on more critical tasks.

• Evaluating whether control checks are necessary based on cost-effectiveness is essential.

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This section explores how overmitigation can create additional problems and waste resources. The speaker provides examples related to fire alarm systems and credit checks.

Problems with Overmitigation

• Overmitigation can lead to false positives, such as credit checks unnecessarily blocking orders.

• Pure overprocessing occurs when excessive measures are taken without a significant risk.

• Example: Weekly fire alarm tests in commercial buildings may provide criminals with information about when alarms are less likely to be monitored.

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The speaker discusses the inconvenience caused by excessive security measures and emphasizes the need for companies to prioritize customer experience while considering risk mitigation.

Balancing Security Measures and Customer Experience

• Excessive security measures, such as complex password requirements, can negatively impact user experience.

• Companies should not sacrifice customer journey for over-risk mitigation.

• Making things difficult for customers does not necessarily deter professional hackers but may result in decreased sales and value creation.

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This section highlights the importance of refocusing priorities on attracting talent, fostering growth, and dedicating time to true value creation. It emphasizes creating a sustainable world with less waste and more enjoyment in work-life balance.

Focusing on True Value Creation

• Entrepreneurs and managers should prioritize attracting talent and channeling their energy into value creation.

• Creating a sustainable world with less waste and more time for personal enjoyment is crucial.

• By dedicating more time to true value creation, individuals can have a better work-life balance.

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The speaker concludes by urging individuals to strive for creating more value in order to contribute to a better world.

Striving for Value Creation

• Individuals are encouraged to create more value for a better world.

• Contributing to the economy through value creation leads to personal fulfillment and benefits society as a whole.