[Video] Meet the Youth Changing the World Through Samsung’s Solve for Tomorrow Program

Source: Samsung

Sustainability has become more important than ever. These days, the younger generations of today are more motivated to find real solutions to tackle climate change, and are actively taking steps to create a cleaner, brighter future.
 
In order to support the younger generations and their goals, Samsung Electronics launched its Solve for Tomorrow program in 2010, a program helping young people utilize STEM (science, technology, engineering and math) related skills to solve societal problems. The program began in the U.S. and has since expanded to 50 countries, with a total of 2 million students having participated.
 
To celebrate ten years since the program’s launch in the U.S., Deniz Hatiboglu, the head of CSR at Samsung Electronics America, visited Princeton High School in New Jersey, the school home to the 2021-2022 winning team. The team won for their groundbreaking food waste disposal project using insects and have continued to develop their ideas a year later.
 
Watch the video below to learn more about the Solve for Tomorrow program and the youth contributing to sustainable solutions.
 


Climate Week Recap: Sustainability Advocates Call for Environmental Action

Source: Samsung

The climate crisis is the most important challenge of our time, and action is needed to tackle the issue with the attention and seriousness it deserves. Samsung believes that our brand has an obligation to help stem the effects of climate change and preserve our planet for future generations.
That is why, this year, we hosted a series of events during Climate Week at Samsung 837, our flagship experience center located in New York City’s Meatpacking District that is powered by 100% renewable energy, the metaverse at Samsung 837X and on the Samsung US Discord server. The series, which ran from September 19-25, brought together sustainability influencers, advocates, and leaders from fashion, floristry, and technology industries to delve into ways to bring about broad societal transformation and ensure the planet is preserved for generations to come. The event lineup included powerful installations, thought-provoking sessions, and moving musical performances each day.
Among the highlights:
On Monday, September 19, Samsung invited modern floral design studio Flower Bodega’s Aurea Sanabria Moleai to take the stage alongside Fleetwood Florals’ Molly Burke, Brooklyn Blooms’ LaParis Phillips, Van Vliet’s Robert Luebcke, and Garbage Goddess’ Liza Lubell to discuss ways to help sustainability flourish in the floristry industry. Blooms are a booming business, but bouquets can have significant environmental effects – like that of floral foam, long-considered the ‘plastic bag’ of this industry – #nofloralfoam.
“There’s a lot of mystery and magic in floral design – especially related to events. People walk into a room, and they see something magnificent, but they don’t understand the process behind how the artistic installation got there and what happens to it post-event,” said Liza Lubell. “We want to educate our clients and our industry about designing with sustainability in mind. Our company is working towards zero-waste floral events by returning the hard goods, composting all organic floral material, and recycling and upcycling other items.”
On Tuesday, September 20, Denver-based fashion designer and sustainability advocate, Nicole McLaughlin, led a compelling panel discussion on driving change in fashion and tech that included North Carolina-based fashion designer, Paige Sechrist; New York-based eco-conscious fashion designer, Tracy Garcia; NYC Fair Trade Coalition Chair, Andrea Reyes; and Samsung Electronics America Head of Corporate Sustainability, Mark Newton. The group shared their views on ways to facilitate a sustainable design process, how to compel consumers to buy upcycled and recycled products, and how they balance sustainability with scale. More from this panel can be found here.
Sustainability advocates in fashion and technology talk about challenging the status quo and taking bold action in their respective industries. (Credit: Ann-Sophie Fjello-Jensen/AP Images for Samsung)Later, Samsung 837 was transformed into a concert hall with a musical performance by artist Mikhala Jené. And the space was modified once again into a catwalk for Samsung’s simul-verse #RecycleUp fashion show, which was emceed by Nicole McLaughlin, and featured creative upcycled designs by Andrew Burgess, Reilly Fitzsimmons, Tracy Garcia, Gaia, Paola Gonzalez, Kevin Leonel, Chris Mena, Anna Molinari, Kelsey Reese and Paige Sechrist. The fun continued on TikTok with Samsung’s #RecycleUp challenge, where fans can show off their own upcycled creations through October 12th for the chance to win prizes.[1]
Designer Gaia sends an upcycled paper look down the runway at the Samsung #RecycleUp fashion show. (Credit: Ann-Sophie Fjello-Jensen/AP Images for Samsung) A group shot of the eco-conscious fashion designers that participated in the Samsung #RecycleUp fashion show. (Credit: Ann-Sophie Fjello-Jensen/AP Images for Samsung)On Wednesday, September 21, Rachel Ceruti, Founder and CEO of Reclypt, an upcycled fashion marketplace, joined the NYC Fair Trade Coalition for an upcycled fashion forum, an upcycled designer showcase, and a hands-on workshop to help individuals create upcycled clothing. For the forum, Rachel guided a conversation that included Void Asylum Creative Director Mario Miguelito, FABSCRAP Co-founder and Creative Director Camille Diane Tagle, and donateNYC Senior Manager and ReFashion Week NYC Coordinator Alissa Westervelt on how to reduce and repurpose textile waste.
donateNYC, a program of the NYC Department of Sanitation, shared a powerful stat: “The average New York City household throws away about 120 pounds of textiles a year. And New York City’s annual textile waste is equivalent to nearly 900 Statues of Liberty or over 4,500 subway cars.”
And Camille Diane Tagle noted, “As creatives, it’s incumbent upon us to think outside of the box by experimenting and trialing new ways to keep textiles in circulation – whether it’s upcycling, downcycling or recycling.”
Wednesday also marked the launch of the 13th annual Samsung Solve for Tomorrow contest, which challenges U.S. students grades 6-12 to use STEM (science, technology, engineering and math) to create innovative, sustainable solutions that transform local communities. Find out more about this year’s contest here.

Recommended

Sustainability at Samsung
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Lastly, on Friday, September 23, Alice Kim, Founder and CEO of PerfectDD, was joined by Rent The Runway President and COO Anushka Salinas, BYBBA Founder Pam Seidman, and climate activist Madeleine MacGillivray to talk about when inclusivity meets sustainability.
“There are plenty of ways to build out your wardrobe that don’t require buying really low-quality, high-volume products – more than half of which end up in a landfill. The fashion industry is amongst the top polluters of all the industries out there. So, I would say look for circular solutions like renting,” said Anushka Salinas.
Being sustainable tends to cost more and when asked about affordability for the full spectrum of Gen Z consumers, Madeleine MacGillivray noted, “The most sustainable item is the one you already have in your closet. And talking about accessibility is critical. In fact, the majority of people around the world have been and are continuing to be sustainable by reusing their items. It’s really a mentality shift. Instead of buying a ton of sustainable products, how can extend the life of what we already have.”
All told, it was a successful week that Samsung hopes helped to spark conversation, inspire both circularity and creativity, and ignite sustainable action! And don’t forget to join our #RecycleUp TikTok challenge for the chance to win awesome Samsung prizes.[1]
[1] NO PURCHASE NECESSARY. 9/12/22 – 10/12/22 at 11:59pm ET. 50 U.S. or D.C.,13+. Minor Entrants must obtain parent or legal guardian consent. Other restrictions apply. Rules: https://rules.creativezing.com/RecycleUp.
The post Climate Week Recap: Sustainability Advocates Call for Environmental Action appeared first on Samsung US Newsroom.

Team Alpha Monitor: All Set to Tackle the Various Issues that Come with Alzheimer’s

Source: Samsung

 
Hemesh aka Team Alpha Monitor is all set to power his idea and tackle the various issues that come with Alzheimer’s. He wants to create a smart device that aims to help patients with Alzheimer’s. The GPS enabled smart wristband will monitor the patient’s pulse, blood pressure and other vital readings. What sets it apart from other similar devices is the SOS feature – it will automatically contact the caregiver and the doctor, if it detects abnormal readings.
 
Here is Alpha Monitor’s story –
 

Public Forum session highlights importance of youth engagement in trade and peacebuilding

Source: World Trade Organisation

The Director-General noted that more than a third of the world’s 1.8 billion young people live in fragile and conflict-affected states, where opportunities for education and jobs are extremely limited. She stressed that trade can play an important role in breaking the vicious circles of poverty, frustration and conflict in these countries and in increasing opportunities for young people.

DG Okonjo-Iweala said academic research has shown that the lower a country’s starting income levels, the higher the risk of civil conflict. She also highlighted that a fall in per capita GDP increases the probability civil hostilities will break out or resume, while rising per capita GDP reduces it.

DG Okonjo-Iweala added: “Poor countries that depend heavily on exports of primary commodities are typically at higher risk of conflict. … To the extent we are able to make trade an instrument to drive growth and diversification, we would be giving peace a better chance.”

The Director-General highlighted the launch of the “Trade for Peace Future Leaders” initiative, which seeks to increase youth engagement worldwide on trade and peace and to underscore the importance of youth in the future of trade and peacebuilding. 

Ms Nicole Mensa, Special Assistant and Advisor on Gender at the WTO, said that it is critical for governments and policy makers to ensure that youth are able to benefit from trade in terms of employment opportunities and enhancing living standards, in line with the Marrakesh Agreement establishing the WTO. She noted that young people are the most affected by conflicts and wars.

She also underlined the importance of policies that support youth engagement in trade, such as measures aimed at promoting manufacturing and other sectors which can create jobs for young people.  

Ms. Nadine Hakizimana, Youth Engagement Facilitator at the World Intellectual Property Organization, said that intellectual property offers opportunities for young people. Young singers, writers and fashion designers in conflict zones can benefit from intellectual property rights, which play a fundamental role in the multilateral trading system,  she stressed  

The need to invest in youth and improve their capacity to trade was also highlighted by Dr Jan-Yves Remy, Director at the Shridath Ramphal Centre for International Trade Law, Policy and Services of the University of the West Indies

Dr. Annyssa Bellal, Executive Director of the Geneva Peacebuilding Platform, underlined the positive experience resulting from involving youth leaders in formulating peace agreements. She said that young people see interconnected issues in a way that is different from other constituents and can provide valuable support to how institutions approach peacebuilding.

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GE Healthcare’s AIR Recon DL Receives FDA Clearance of 3D and Motion-Insensitive Imaging Applications for Next-Level Image Quality and Patient Experience in MRI

Source: GE

  • Extending deep learning-based AIR Recon DL compatibility to 3D & PROPELLER has the potential to enable more confident patient diagnoses in MRI

Chicago, US, September 29, 2022 – GE Healthcare announced US FDA 510(k) clearance of its breakthrough AIR Recon DL for 3D and PROPELLER imaging sequences[1]. The benefits of AIR Recon DL are extended by these new features to nearly all Magnetic Resonance Imaging (MRI) clinical procedures, covering all anatomies and enabling better image quality, shorter scan times, and enhanced patient experience.

Already, GE Healthcare’s AIR Recon DL deep learning-based image reconstruction technology for MRI has fundamentally shifted the balance between image quality and scan time.  Now, with the solution’s expanded compatibility from 2D to 3D imaging sequences, physicians can quickly and confidently diagnose patients with improved signal-to-noise ratio (SNR) and sharpness. 3D imaging provides for more clinical efficiency, allowing radiologists to eliminate the need for multiple 2D acquisitions – potentially leading to faster diagnosis.  

Additionally, AIR Recon DL is now compatible with PROPELLER, a motion-insensitive imaging sequence particularly important for anatomies susceptible to motion such as respiration during MRI exams, as well as pediatric, neurodegenerative, geriatric, and claustrophobic patients who have difficulty remaining physically still for the duration of an MRI scan.  As a result, physicians can get sharper images without the need for repeat scans – translating to faster patient throughput, improved scheduling, shorter exam time, and faster diagnosis, helping to create an all-round better patient experience.

As of September 2022, at least 3.5 million patients globally have been scanned with AIR Recon DL. According to a recent AIR Recon DL 3D and PROPELLER reader study:

  • 100% of the participants said that the deep learning solution provides better signal-to-noise ratio and better or equivalent image sharpness than conventional image reconstruction;
  • 99% also said AIR Recon DL provides better or equivalent lesion conspicuity; and
  • Reports also indicate up to 50% reduction in exam times, creating efficiency in workflow and increased productivity[2].

“By expanding AIR Recon DL to 3D and PROPELLER, GE Healthcare has closed the gaps in our ability to provide improved image quality and patient experience to all our patients across exam types, particularly for brain imaging where we rely heavily on 3D sequences and musculoskeletal imaging where PROPELLER is important for reducing image quality variability and eliminating repeat sequences due to motion,” says Dr. Tiron Pechet, Radiologist and Assistant Medical Director at Shields Health Care Group.  

AIR Recon DL and the recent extensions are available on new GE Healthcare MRI scanners, and as an upgrade for the vast majority of GE Healthcare’s installed 1.5T and 3.0T MRI systems. Beyond its efficiency and productivity benefits to the industry, this upgrade will enable previously installed scanners to refresh and function like new systems – allowing imaging facilities to enjoy the most advanced imaging capabilities on their existing systems, while saving on capital expenditure amid today’s cost constrained environment.

###

About GE Healthcare:

GE Healthcare is the $17.7 billion healthcare business of GE (NYSE: GE). As a leading global medical technology, pharmaceutical diagnostics and digital solutions innovator, GE Healthcare enables clinicians to make faster, more informed decisions through intelligent devices, data analytics, applications and services, supported by its Edison intelligence platform. With over 100 years of healthcare industry experience and around 48,000 employees globally, the company operates at the center of an ecosystem working toward precision health, digitizing healthcare, helping drive productivity and improve outcomes for patients, providers, health systems and researchers around the world.

Follow us on FacebookLinkedInTwitterInstagram and Insights for the latest news, or visit our website www.gehealthcare.com for more information.

Media Contact:

Maureen Oladipo | [email protected]

+1 229 418 4479


[1] 510(k) cleared in the USA. Not CE marked, not available for sale in all regions.


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Test drive new McLaren Formula 1 themes in your Chrome browser

Source: Google

We’re more than halfway through a thrilling Formula 1 season, and McLaren is locked in a tight battle in the 2022 World Constructors Championship. Earlier this year, we partnered with the McLaren F1 Team to distribute Chrome browser and almost 500 Android devices – including phones, tablets and earbuds – across their entire racing organization to help streamline communications on race day.

When McLaren debuted Chrome-inspired wheel covers, fans around the world told us they wanted more. Starting at this weekend’s Singapore Grand Prix, you’ll find more Chrome branding featured on their engine covers as part of our ongoing partnership.

You can now personalize your Chrome browser with exclusive themes inspired by the McLaren F1 Team. The six new themes feature McLaren’s papaya car, and race day images from some of your favorite circuits.

Chrome puts you in the driver’s seat when it comes to customizing your browser the way you want. So if you want a faster, safer browser that also shows support for the McLaren F1 team, try out one of our new desktop themes on Chrome for race day and everyday.

The Take: With Technology, U.S. Energy Wrings Out Production for Europe

Source: SAP

Headline: The Take: With Technology, U.S. Energy Wrings Out Production for Europe

What’s News

Earlier this week, three leaks from two Nord Stream AG undersea pipes, originally built to transport Russian gas to Germany, massively polluted the Baltic Sea. A fourth was discovered Thursday. The pipeline network has been the focus of an energy battle between Russia and its European clients over the war in Ukraine. The pipelines were not actively delivering gas but could take months to repair. NATO on Thursday called the leaks an act of sabotage.

SAP’s Take

Europe faces a severe shortage of energy that will be needed this winter to heat homes and run businesses. But as an alternative provider of energy to Europe, the U.S. gas and oil industry has seen drillable sites and license reduced. Still, there is an opportunity to wring out as much energy as possible from existing sites.

“The oil and gas sector is ramping up both in exploration where they’re allowed and in production and refinery activity,” said Richard Primm III, vice president of sales for SAP’s North American South market unit. “I see them spending significant amounts of capital over the next several quarters to increase U.S. production capacity.”

Much of the energy sector’s budget will be targeted at getting the most out of existing operations.

“What producers are thinking about right now is: ‘From a drilling perspective, how do we get the most out of that production as possible?’” Primm said. “How do we apply science and technology to our refining methodology to get the highest yield as possible, and then how do we monitor the vehicles that transport that gas? How do we apply that capital that we would otherwise spend an exploration?”

The answer is technology, which also is being applied to U.S. fracking operations — to lower the cost of laterally finding pools of natural gas. By using sensors, producers have reduced the number of vertical wells needed. “We’ve gotten really good at being able to extend those wells horizontally, not just vertically into the ground,” Primm said.

Much of fracking occurs on private land already permitted and without the need for licenses.

“So, if there’s a well that’s fracking right now, they are getting better and better at horizontally moving from oilfield to oilfield underground by using seismic technology and quite a few other methods, so that they don’t have to increase the number of wells that they have,” Primm said.

All told, capital is being deployed to wring out the oil and gas from existing wells and transporting it with the least loss as possible.

“We’re applying technology to increase efficiency as much as possible,” Primm said. “So, in the absence of availability to explore more for alternative sources underground, we’re applying capital that we would otherwise spend on exploration.”

Since taking office in January 2021, President Biden, in a series of orders, reduced drilling on federal land. Some license freezes were reversed under the U.S. Inflation Reduction Act, which called for new oil and gas sales off the coast of Alaska and in the Gulf of Mexico. But those new operations won’t exist in time to boost production over the next few months and U.S. contribution is not expected to make a great difference to allay Europe’s suffering this winter.

“We can’t replace it,” Primm said. “We can’t produce enough.”


Contact:
Ilaina Jonas, Senior Director of Global Public Relations, SAP
+1 (646) 923-2834, ilaina.jonas@sap.com

Monetary policy in a cost-of-living crisis

Source: European Central Bank

Speech by Isabel Schnabel, Member of the Executive Board of the ECB, at a panel on the “Fight against inflation” at the IV Edition Foro La Toja

La Toja, 30 September 2022

The euro area is facing a cost-of-living crisis.

An increasing proportion of people’s income is being spent on essential purchases, such as food and energy. At the same time, price pressures are broadening and nominal wages are not keeping pace with rising prices. The result is a marked loss in people’s purchasing power and a decline in the labour share of income, which is the share of total income paid to workers as wages, salaries and other benefits.

Today I want to make four conceptual points about these developments.

First, I will argue that the secular decline in the bargaining power of workers can help explain the decline in the labour share of income, which can be expected to weigh on private consumption and thus dampen aggregate demand.

Second, I will ask what factors determine the future evolution of real wages and hence how the costs of this crisis are distributed between workers and firms in the future. I will argue that the risks of a wage-price spiral are contained, provided inflation expectations remain anchored.

Third, I will discuss why a decline in real wages and a slowdown in aggregate demand may not materially ease current inflationary pressures. One reason is that today’s energy crisis will suppress both supply and demand. A second reason is that firms will try to protect their profit margins from higher energy costs.

My final point relates to the implications for monetary policy. If there is a tangible risk that lower demand will not ease inflationary pressures, there is a strong case for a “robust control” approach to monetary policy, guided by the principle of a forward-looking central bank that takes its decisions with a view to stabilising medium-term inflation.[1]

Wages affect inflation through aggregate demand and cost-push channels

The outlook for wages plays an important role in assessing the risks of current high inflation becoming entrenched over time.

Two channels are most relevant for monetary policy.

The first is the aggregate demand channel. Real wages determine households’ purchasing power, and hence affect the outlook for private consumption and prices.

The pandemic is a case in point. The fast rebound in real wages following the lockdowns in 2020 has been a key driver boosting demand. ECB staff analysis suggests that resilient demand has significantly contributed to the recent rise in underlying inflation in the euro area (Slide 2).

The second channel relevant for monetary policy is the cost-push channel.[2]

Wages are an important element in firms’ cost structure. In the services industry, for example, wages account for around 40% of firms’ total cost of production.[3] Thus, changes in wage dynamics are typically significant enough to affect firms’ future pricing decisions.

An example of this cost-push view of inflation is the increase in the minimum wage in Germany, which takes effect tomorrow.[4] According to a survey, around 60% of affected firms said that they intend to raise prices in response to the increase in the minimum wage.[5]

Central banks have different ways to analyse and evaluate the relevance and strength of these two channels for the inflation outlook. Despite its pitfalls, a prime tool for making such an assessment is the New Keynesian Phillips curve.[6]

Under this framework, firms set prices as a mark-up over marginal costs. Because firms are forward-looking and change prices only infrequently, profit maximisation implies that consumer price inflation fundamentally depends on current and future expected real marginal costs.[7]

Real marginal costs, in turn, can empirically be related to average cost measures, such as real unit labour costs, which are defined as the ratio of real wages to labour productivity.

Using real unit labour costs as an indicator yields two important insights.

One is that rising real wages resulting from stronger productivity growth will leave unit labour costs unchanged and will not put pressure on firms’ profits. It should, therefore, not lead to firms raising prices. The cost-push channel thus critically depends on future productivity developments.

The second insight is that, from an accounting perspective, real unit labour costs are identical to the labour share of income. That is, for the aggregate demand channel to be consistent with higher inflation, the labour share of income should go up.

A declining labour share will weigh on aggregate demand

The link between the labour share and inflation is not just a conceptual idea.

New research by economists at the Federal Reserve Board suggests that the sharp decline in inflation in the United States and the United Kingdom in the 1980s may have been driven to a significant extent by the marked decline in the labour share.[8]

The study suggests that the secular erosion of workers’ bargaining power is an important factor explaining the joint dynamics of inflation and the labour share.[9]

The same mechanism has likely been at work in the euro area.

From the early 1980s until the eve of the global financial crisis, the labour share of income fell significantly and persistently, coinciding with a measurable decline in inflation and trade union density (Slide 3, left-hand chart).[10] The flip side of the decline in the labour share was the marked rise in the profit share (Slide 3, right-hand chart).

The loss in workers’ bargaining power might also explain what we are seeing today.

Despite a historically tight labour market, a substantial decline in real consumer wages is weighing on the labour share of income.

Although nominal wage growth is gradually picking up, the current pace of increase has been insufficient to preserve people’s purchasing power. Compared to the third quarter of last year, real wages declined by nearly 5% (Slide 4, left-hand chart).[11]

These developments are fundamentally different from the experience of the 1970s when real wages and the labour share of income increased measurably in response to rising energy prices.[12]

Low-income households are those most severely affected.

For a given nominal wage, their loss in purchasing power has been larger than that of others as the gap in the inflation rate faced by the lowest and highest income quintiles has been rising sharply over the course of this year, reflecting differences in the weight of energy and food in people’s expenditures (Slide 4, right-hand chart).[13]

Current real wage developments thus point towards a notable slowdown in private consumption, consistent with the sharp drop in consumer confidence, which fell to a new historical low in September (Slide 5, left-hand chart). The aggregate demand channel therefore points to an easing in inflationary pressures.

The cost-push channel, too, currently suggests that wages are unlikely to add to inflation going forward, as real producer wages, deflated using sectoral value added deflators, have also fallen across most industries since the start of the pandemic (Slide 5, right-hand chart).

In fact, profits across a broad range of industries have risen markedly, even in some contact-intensive sectors (Slide 6, left-hand chart). This means that many firms have so far been able to increase their prices beyond the increase in nominal wages, and in many cases even beyond the increase in energy costs.

In the hospitality and transport sectors, for example, profits have expanded by nearly 20% since the outbreak of the pandemic, more than twice as fast as the growth rate of nominal wages.

The rise in profits is strikingly different from previous crises that have all seen profits fall. This suggests that strong pent-up demand created an environment for many firms to boost profit margins.[14]

Risk of a wage-price spiral ultimately depends on inflation expectations

These developments pose two relevant questions for monetary policy.

The first question relates to the outlook for real wages. The disruptive change to our economies may challenge the way the economic burden from the energy shock, and the resulting deterioration in the euro area’s terms of trade, will be distributed between firms and workers in the future.

This question goes well beyond the realm of central banks.

If real wages continued to decline at the current pace, the drastic loss in purchasing power would cause economic hardship and despair. If, however, workers were to increasingly resist real wage cuts, inflation could become endemic. Both courses of events could lead to a concerning increase in inequality and risk eroding support of our democratic institutions.

How real wages will evolve depends on three factors.

The first is fiscal policy. Targeted fiscal transfers can limit the loss in purchasing power of those suffering the most from the current crisis. Such transfers would also cushion the hit to aggregate demand, as they would operate where the marginal propensity to consume out of additional income is highest.

The broader the measures are, however, and the more they stimulate demand, the more likely it is that inflation will persist for longer. This would raise the risk of a wage-price spiral, making a more forceful response of monetary policy necessary.

The second factor relates to a shift in the bargaining power of unions and workers.

Record-high inflation and acute labour shortages seem to have strengthened workers’ resolve to protect their purchasing power. In the first half of this year, growth in nominal compensation per employee has accelerated to levels not seen since the introduction of the euro (Slide 6, right-hand chart).

Empirical evidence shows that, for a sample of advanced economies, the impact of past and future expected inflation on wage demands is rising.[15]

Institutional changes may reinforce a period of stronger nominal wage growth ahead. Here in Spain, for example, a growing share of wage contracts is indexed to inflation.[16] At the same time, re-shoring efforts by firms in some sectors may exacerbate bottlenecks in labour markets and further strengthen the bargaining power of unions.

The third factor relates to monetary policy.

Whether future wage agreements will lead to a more balanced distribution of the costs associated with the energy shock, or whether they will lead to a perilous wage-price spiral, will ultimately depend on the credibility of the euro area’s nominal anchor.

If long-term inflation expectations remain anchored, the risks of a wage-price spiral will be limited. This is what we have observed so far in the euro area. The ECB’s forward-looking wage tracker currently points to further increases in wages, but these are expected to remain at levels that are unlikely to set in motion a harmful wage-price dynamic.

Therefore, while a close monitoring of wage developments remains essential, at present the most likely outcome remains a further decline in real consumer wages and the labour share of income. Our consumer expectations survey points in a similar direction. It found that households anticipate their real wages to fall by around 6% over the next twelve months (Slide 7, left-hand chart).[17]

Inflation may remain high despite a slowdown in aggregate demand

This brings me to the second question for monetary policy, namely to what extent a decline in real wages and the labour share will ease current strong inflationary pressures through its effect on aggregate demand.

Such an endogenous effect on prices would support the efforts of monetary policy to bring inflation back to levels consistent with price stability.

There are, however, two reasons to believe that the relationship between the labour share and inflation might currently be blurred – either because the labour share may no longer be a sufficient summary indicator, or because the slope of the New Keynesian Phillips curve has become flat or statistically insignificant.

As a result, underlying inflation may remain high despite weakening demand.

Lower supply may limit impact of slowdown in aggregate demand on capacity utilisation

The first reason relates to the implications of changes in the labour share for changes in capacity utilisation. Whether, and by how much, a decline in aggregate demand will create conditions of excess capacity critically depends on the impact of current shocks on the supply side.[18]

If, as is likely, both supply and demand weaken, the net impact on economic slack, and hence prices, will be more difficult to anticipate.

The damage from the current crisis to the supply side is likely to be significant.[19] Energy-related production cuts and energy-saving measures directly curb potential output, while the sharp increase in gas prices will render some energy-intensive activities unprofitable. Insolvencies may rise, and parts of the capital stock may become obsolete.

Moreover, productivity growth may be slower than currently anticipated in our staff projections.

Lower productivity growth would directly dampen the decline in real unit labour costs from lower real wages, meaning that inflationary pressures could remain elevated at current rates of nominal wage growth.

The September ECB staff projections have already seen a marked downward revision of labour productivity growth for 2023, mainly on account of lower expected growth.

Yet, two distinct features of the current cycle suggest that productivity growth may become structurally weaker.[20]

One is the acute worker shortage, which may force firms to hoard labour during the downturn. The decline in real wages reinforces this channel by making hoarding more attractive.

The second feature is that the pandemic has failed to kickstart a process of Schumpeterian “creative destruction”. Contrary to previous recessions, business insolvencies fell sharply, mainly reflecting the widespread use of job retention schemes. A decline in productivity may be one side effect of these otherwise highly successful programmes.

So, if the damage, or the constraints, to the supply side are significant, then the impact of a slowdown in demand on capacity utilisation may be smaller, limiting downward pressure on prices.[21] For that reason, whether demand is below or above its pre-pandemic level is largely irrelevant for the future path of inflation.[22]

Looking at firms’ current order books supports this view.

Despite a notable slowdown in new orders over the past few months, euro area firms are only slowly reducing the pandemic-induced backlog of orders. This suggests that significant supply-side constraints remain even if delivery times have eased recently (Slide 7, right-hand chart).[23]

Firms’ efforts to protect profit margins may weaken link between labour costs and inflation

The second factor driving a wedge between inflation and the labour share relates to the role of profits.

Unit labour costs account for a significant share of firms’ total costs and are hence central to the cost-push view of inflation. But the increase in other costs, such as the cost of capital or energy, is currently working in the opposite direction.

Specifically, the unprecedented scale of pipeline pressures means that firms may choose not to pass lower real unit labour costs on to consumer prices to protect their profit margins from higher energy costs.

In some sectors, where producers have not been able to increase prices above the rise in costs, there could even be pressure on firms to actually raise prices, in line with the cost-push view of inflation.

This is consistent with recent survey evidence. With pipeline pressures remaining significant, a still historically large share of firms in the manufacturing, retail and services sectors plan to raise prices further over the coming months (Slide 8, left-hand chart).

Of course, such surveys say nothing about the size of future price increases, meaning inflation could still slow. However, the surveys do not signal a fast unwinding of price pressures on the back of the expected decline in aggregate demand.

Uncertain inflation outlook calls for “robust control” approach to monetary policy

The implication for monetary policy is unambiguous: it would be imprudent for a stability-oriented central bank to chart the future course of interest rates on the assumption that a slowdown in demand will reduce the need for adjusting the monetary policy stance.

Today’s energy shock affects potential output directly through its impact on productivity and the capital stock. Together with historically tight labour markets, this makes it unlikely that the euro area economy will operate under much economic slack over the medium term.

On the contrary, if the hit to the supply side is significant, there is even a risk that the output gap turns positive earlier than expected despite weakening demand.

Recent inflation dynamics underscore these risks.

Although surveys have been pointing to a sharp slowdown in demand for several months now, underlying inflation continues to rise in the euro area. Trimmed mean inflation, which is a good indicator of underlying inflation at a time of persistent energy and food shocks, increased to 6.9% in August, similar in scale to the situation in the United States (Slide 8, right-hand chart).[24]

Uncertainty about the persistence of inflation therefore continues to call for a “robust control” approach to monetary policy, which reduces the risks that medium and long-term inflation expectations move further away from our 2% target. The pivotal role of inflation expectations in driving a potential wage-price spiral reinforces this approach.

My remarks today demonstrate that such a “robust control” approach is firmly guided by the medium-term inflation outlook.

Although the outbreak of the pandemic, and the war in Ukraine, have measurably reduced the ability of central banks and other professional forecasters to correctly anticipate the broad future path of inflation, long and variable lags in the transmission of monetary policy still require policy to be calibrated on what central banks think is the most likely future course of the economy, also taking into account the impact of their own actions on aggregate demand and price formation.[25]

However, in an environment of disruptive change, central banks cannot narrowly rely on model-based forecasts. Structural change often has large effects on the stability of model parameters and on the appropriate assumptions underlying these models.

Such uncertainty puts a premium on incoming data. In particular, actual inflation outcomes, price-setting intentions and data on the current state of the economy can provide important insights for policymakers about the likely persistence of inflation, and what this may imply for the appropriate policy stance.

Equally important are indicators summarising the impact of interest rate changes on the price and availability of credit to firms and households. Such indicators are useful complements to highly uncertain estimates of the equilibrium rate of interest to inform our thinking about when, and to what extent, monetary policy is becoming restrictive for growth.

For example, the latest European Commission survey shows that the share of firms reporting financial constraints as limiting production remains near historically low levels. Bank lending to firms even expanded notably in July and August from already elevated levels, and firms continue to add new jobs, suggesting that monetary policy continues to stimulate growth and employment.

Considering these data and the above-target medium-term inflation outlook, further increases in our key policy rates will be needed to ensure that inflation returns to our 2% target in a timely manner.

Thank you.

NTT DATA: “It Takes Your Entire Team to Win the Race”

Source: SAP

Headline: NTT DATA: “It Takes Your Entire Team to Win the Race”

We live in a culture of speed: a digitalized environment where results are expected at the push of a button and innovations are rolled out in increasingly shorter cycles to meet spiraling demand. NTT DATA Services has harnessed this mindset in a powerful way to drive performance of its data and technology services with Racing for Time in a Culture of Speed – a fast-track initiative that enables NTT DATA Services to maintain a hyper-focus on the finish line. At parent company NTT Group, title sponsor and technology partner of the NTT INDYCAR SERIES, it’s no secret that speed equals relevance in business as well as sport.

“In racing, as in business, speed is the name of the game,” said Vicki Furnish, vice president of Global People Solutions Operations and Analytics, NTT DATA Services, a part of NTT DATA, a $22B, top-10 provider of global business and IT services, headquartered in Tokyo. NTT DATA Services is based in Plano, Texas, with 50,000 workers and revenue of $4B. In recent years the company has been growing rapidly through acquisitions.

“Companies can no longer wait to implement newer technologies or we’re going to be left behind by our competitors,” Furnish told an audience at SAP Sapphire Orlando, where she presented NTT DATA Services’ cloud journey. “We’re in a constant state of acceleration. We’re using technology to change the game.”

Rapid Ascent to the Cloud

NTT DATA Services’ journey to the cloud started with its established SAP footprint in 2012, when the division ran SAP ERP Central Component to help meet the needs of its then-20,000 employees in five countries. When SAP bought SuccessFactors that same year, NTT DATA Services quickly pivoted to implement the new cloud-based software suite for human resources.

Furnish says that her team started with SAP SuccessFactors Performance & Goals and SAP SuccessFactors Compensation and later migrated to SAP SuccessFactors Employee Central. “We were able to get our SAP SuccessFactors Employee Central module implemented globally across five countries in six and a half months,” she said.

In 2016, NTT DATA Services bought the former Dell Services in an acquisition that expanded its offerings to become a comprehensive portfolio of business and IT services. The team at NTT DATA Services was able to get the core functions of SAP SuccessFactors Employee Central running in six months from the time the deal was signed. “We’re very excited about that,” Furnish said.

Two questions come up whenever Furnish shares the success story of NTT DATA Services’ migration to the cloud: How did you do it? How big is your team?

Lots of pre-work and preparation went into the project, according to Furnish, and executive buy-in was an important factor in seeing the project through to completion. With NTT Group leadership on board, the project was set for success. As for the team size, it’s remarkably similar to the six-person pit crews of IndyCar fame. “I’m very honored to manage a large team today, but the ones who manage our global SAP SuccessFactors configuration and maintenance are six very smart and talented people who are deployed across the globe,” said Furnish.

Lessons from the Speedway

Lessons learned at NTT DATA Services come straight off the speedway. Furnish said, “To compete in this culture of speed, there are two things we can learn from the world of motorsports. First: reduce resistance. Second: keep the pedal down.”

One of the biggest barriers to speed in organizations today is outdated legacy software, tools, and technologies, which act as digital drag on efficiency. “While it’s easier said than done, updating those technologies and systems will unleash a powerful set of capacity and capabilities,” said Furnish, who noted that sometimes the problem is that there can be too much great technology to choose from. She recommended honing in on technologies that offer clear value, allow easy collaboration and quick implementation, and meet the strategic needs of the business.

Talent was identified as an area of investment at NTT DATA Services. “We are a professional services company, so people are core to what we do,” Furnish said. By looking at the whole person throughout the employee life cycle, the organization has advanced its people agenda. “Our approach is, if we put the right foundation in for our team and people, our team members will be successful. If they are successful, we will then be successful in our business.”

Keeping pace with customer demand and the competition will always be a challenge, but Furnish is optimistic. “I think moving to the cloud has kind of leveled the playing field. The companies that are nimble and address updating their technology quicker and faster are the ones that are going to take charge.”

The Checkered Flag

At the closing of her presentation, Furnish waved the metaphorical checkered flag for the takeaway: “Change is constant, but what we’re seeing is coming at us historically faster,” she said. “I would encourage all of you to remember the strategic objectives that you are focused on with your team, leverage all of your resources, and ask for help when you can – because in this environment of speed, it takes your entire team to win the race.”

2022 Taitung Blue Ocean Daily—Taitung’s First Ever Long-Distance Outrigger Canoe Challenge Rediscovers the Glory of the Austronesian Origin Point

Source: Media Outreach

TAITUNG, TAIWAN – Media OutReach – 30 September 2022 – Taitung launched its new Taitung Blue Ocean Daily festival on September 17 at four of the county’s iconic maritime venues: Shanyuan Bay, Jinzun, Flowing Lake, and Green Island. There will be 5 weeks of activities between these famous locations. Many paid a visit to Shanyuan to witness the spectacle that is the Outrigger Canoe. For this year’s event, Kimokeo Kapahulehua (Unkle K), an international expert from Hawaii, was invited to share his story about how his Austronesian ancestors thousands of years ago sailed from Taiwan to Hawaii on canoes. Unkle K arrived in Taiwan to sail on the Outrigger to further connect with his ancestors. On Thursday, 22 September, the Taitung County Government collaborated with Kimokeo Foundation in Hawaii, and the local Duli tribe to undergo the challenge to sail a long-distance on an outrigger canoe on Taiwanese waters for the first time. The canoe departed from the coastal waters of the Pacific Ocean and sailed towards the traditional waters of the Duli tribe, establishing a meaningful milestone for the 2022 Taitung Blue Ocean Daily.

< >The Austronesian Culture feat. Indigenous Tribal Life Experience was held on Thursday, September 22, marking the first time Taiwan has ever sailed in the Pacific Ocean along the coast on an outrigger canoe. When the outrigger canoe sailed near Pacefongan, the traditional waters of the Duli tribe, sailors blew through conch shells to announce their visit. Meanwhile, the people shoreside responded friendly by blowing bamboo horns in a canoe welcoming ceremony. After the outrigger canoe successfully landed on the shore, the elders presented the oarsman on the outrigger canoes with the traditional Amis ornaments to express their welcome. The outrigger canoe was named Pera (meaning the sea water splits) after the rocks on the river mouth at the Duli tribe as a means to re-establish tradition and camaraderie among the islands of the Austronesian tribes.

After the canoe welcome ceremony, the Duli tribe invited the representatives from the Kimokeo Foundation of Hawaii to visit the Amis Folk Center to conduct a house worship ceremony and fired blanks from bamboo cannons to salute and bless the visitors as well as to share the legacy of the Amis culture.

The Taitung County Government claims that Taiwan is the home of the Austronesian tribes. Taitung is home to 6 Austronesian tribes: Paiwan, Bunun, Rukai, Pinuyumayan, Yami (Tao), and Kavalan tribes. As Taitung is the only county with the most indigenous tribes in Taiwan, these tribes help form Taitung’s diverse local culture. As the Austronesian tribes have over 3000 years of history building connections and friendships amongst the island nations by sailing across the Pacific Ocean on outrigger canoes, hence Taiwan is the homeland of the Austronesians. The Taitung County Government intends to re-create the cultural legacy of the Austronesian tribes and introduce the diverse tribal cultures, the longest and the most beautiful coastline in Taiwan, as well as the unique charm of the local seaside city to the world.

For more information, please visit Taitung Blue Ocean Daily’s FB page:< >https://www.facebook.com/profile.php?id=100083162535238< >

Hashtag: #2022TaitungBlueOceanDaily

< > – Published and distributed with permission of Media-Outreach.com.