Globalization and new technologies are impacting the desirability and feasibility of what has historically been the most successful development strategy. Manufacturing has been seen as special, promising both productivity gains and job creation. But trade is slowing. Global value chains (GVC) are maturing. Robotics, artificial intelligence, 3D printing, and the Internet of things are shifting what makes locations attractive for production and threatening significant disruptions in employment. There is a risk of increased polarization, within countries and across countries. Shifting the attention from high-income countries, this report takes the perspective of developing countries to ask: -- If new technologies reduce the importance of low-wage labor, how can developing countries compete? -- Do countries need to industrialize to develop? -- How can countries at different levels of development take advantage of new opportunities? Development strategies need to broaden. Different manufacturing sub-sectors can still provide productivity growth or jobs; fewer can deliver both. Many of the pro-development characteristics traditionally associated with manufacturing--tradability, scale, innovation, learning-by-doing--are increasingly features of services. With faster diffusion of technology, it will be all the more important for countries to improve the enabling environment, remain open to trade, and support capabilities of firms and workers to ensure future prosperity is shared.

In today's global business arena, the shop floor now covers the world, and what ties everything together is communication. Author Sam Yankelevitch challenges readers to apply the transformational magic of lean thinking to the waste and confusion that plague global supply chains when cultures collide and meaning gets mangled in even the simplest conversations. Using entertaining real-life stories, Lean Potion #9 demonstrates that communication is a process and illustrates how lean champions like you can adapt familiar lean concepts and tools--such as Five S, PDCA, and the 7 Wastes--to address miscommunications that cause unbudgeted costs, confusion, and frustration. Lean Potion # 9 is a call to action for leaders at all levels to embrace the power of lean to reengineer communication processes. Communication is the next lean frontier. Are you ready to explore it?