News flash: the way people receive the news and the way it is presented has entered a new realm.  Public distrust of the media is at an all-time high.  How did this happen and how can it be rectified?

Television news broadcasts began in the late 1940’s but were not considered credible throughout the 1960’s.  Journalists considered television reporting a form of entertainment rather than serious reporting.  This changed with the Kennedy assassination in 1963.  After this tragedy, people then realized pictures and video were the future of news broadcasting.

News programs became profit centers.  By the end of the 1970’s, the news division typically produced 60% of a station’s profits.  In the 1980’s, large conglomerates bought many of the top media companies.  This forced media corporations to become more aware of profits and stockholders.  News stations became increasingly concerned about the entertainment value of the news.  The focus became giving the people what they wanted to see, rather than what they needed to know.

News organizations today post more content than there is relevant news, leading to a decrease in actual news and an increase in opinion, commentary, and blogs.  Many people no longer have a standard of what news should be and cannot tell the difference between a real news story and political commentary.

The increase in fraudulent news has created a lack of trust in the media.  Polls show more than half of Americans do not trust the media to deliver the truth.  This distrust rose dramatically after the recent allegations that Russian operatives played a major role in spreading fraudulent information during the 2016 U.S. presidential election.  President Trump has even called the press the “enemy of the people.”

News programs are often biased.  Among viewers of Fox News, a traditionally conservative news network, President Trump’s approval rating is 78%.  Among viewers of MSNBC, a traditionally liberal news network, President Trump’s approval rating is a much lower 18%.   News organizations cater to these different political views.

Social media is today’s driving force in news.  Anyone can voice an opinion on current events in social media.  A Stanford University study published in March 2017 stated, “Content can be related among users with no significant third-party filtering, fact-checking or editorial judgment. An individual user with no track record or reputation can in some cases reach as many readers as Fox News, CNN or The New York Times.”

Social media has turned the traditional one-way communication of the news into a two-way conversation.  Michael Skoler, president of Louisville Public Media, suggests that the new style of journalism is a journalism of “partnership” with an audience who feels they can add content and opinion to the news and issues.

Social media often presents inaccurate stories.  The journalistic standards of accuracy and double-checking facts do not apply.  A December 2016 survey by Pew Research Center determined 62% of Americans get their news primarily from social media.  The survey further states 23% of U.S. adults have shared fake news, knowingly or unknowingly.  A study done by American Press Institute concluded that a highly trusted or distrusted sharer of a news article has a greater effect on a reader than the source of the article.

To counter these biases, informed readers should gather news from both sides of the political spectrum.  Websites such as AllSides.com present multiple sources side by side to provide a full scope of news reporting.

According to the National Center for Education Statistics, nearly all US public schools have internet access.  Students have endless information at their fingertips.  They can learn anywhere, at any time.  Many experts believe the internet will help bridge the socioeconomic gap in education since more students have access to the same information.

Educators are finding the best ways to introduce technology in the classroom.  Laptops and tablets are replacing notebooks.  E-books are supplanting textbooks.  Interactive whiteboards replace the chalkboard.  On these interactive whiteboards, teachers access the internet to play educational games with students, show video clips, and more.  This makes the educational experience much more engaging for students.

Students today access the classroom through their laptops and other devices whenever they want wherever they are.  Online colleges grant degrees to students who are learning from their living room.  College is available for students who may not have the time or money to go to a traditional campus.  The annual cost of tuition for an online college is on average $12,000 less expensive than a traditional college. Over time, online college degrees have become regarded as equivalent to traditional college degrees.

With increasing technology, parents expect more from teachers, looking for teachers to post grades, absences, and assignments online.  Newsletters and school updates are found on school websites, keeping parents connected.  Communication between teachers, parents and students is simpler with email, social media, and text messaging.

Many teachers, though, after many years teaching in a more traditional way, find it difficult to transition to the new technology.  Some parents are uncertain of the use of technology in the classroom.  Many fear schools feed into children’s technological addictions.

Technology enhances personalized learning, where learning is tailored to each student’s learning abilities, interests, and aspirations.  Traditionally, teachers teach a standard curriculum to the entire class.  These techniques are aimed at the average student.  Some students are left behind; others are far ahead.  Personalized learning allows each student to learn at his/her own pace using the teaching style that works best.

Though not a new philosophy, technology allows personalized learning to be more available.  Data and analytics help teachers better understand what an individual student needs to do his/her best learning.   Programs are designed to use this information.

In years past, projects were a rarity, often seen as side work.  Today, projects are key, teaching students problem-solving and communication and skills.  We learn by doing.  Projects allow students to implement the skills they have learned.  Projects increase student engagement and help students retain a longer-term and deeper knowledge of the curriculum.

Projects teach collaborative skills better than traditional learning can.  In the workplace, people work collaboratively, solve problems, and present ideas.

No one can predict the future of education. There are too many variables from financing to curriculum requirements.  But whatever direction it takes, technology will be a part of education.

Manufacturing jobs are decreasing due to technology and offshoring.  According to CNNMoney, in 1960, one in four Americans was employed in the manufacturing industry.  Today, fewer than one in ten works in a factory.

Offshoring’s Effects

Offshoring took away many manufacturing jobs since it started in the late 1970s.  Many companies moved their manufacturing plants overseas due to attractive labor costs and less stringent regulations.  At first, plants moved to Mexico.  Today, the field has expanded to Asia, South America and other areas.

Offshoring, though, created problems.  Shipping delays, quality problems, and miscommunications occur frequently.  Yet, American companies are willing to deal with these issues in exchange for lower costs.

Plants which moved overseas are starting to return.  The Reshoring Initiative works to bring back good, well-paying manufacturing jobs.  It reported about 60% of reshored jobs came from China because labor costs in China rose. Wages in other once low-cost countries are also increasing.  Automation eliminates the need for unskilled jobs and increases the need for highly-skilled, educated workers.  These higher-level skills often don’t exist in these offshore, third-world countries.

Technology’s Effects

Robotics are increasingly incorporated into manufacturing.  According to the Robotics Industry Association, North American companies spent 32% more on robots in the first quarter of 2017 than the same period last year.  Robots have led to an increase in production in the US, yet they have eliminated many manufacturing jobs.

In 1980, it required 25 semi-skilled employees to generate $1 million in manufacturing output. Today, it takes just 5 highly-skilled workers.  President Trump is working to bring back millions of manufacturing jobs.  Many industry experts believe this goal is difficult.  They claim robotics has eliminated more jobs than offshoring.

Holding a semi-skilled manufacturing background is not sufficient today.  Workers must be skilled in computer operations.  Universities are restructuring their curricula by implementing a STEM education – science, technology, engineering, and math.

While technology eliminated many jobs, it has positive effects on the jobs that remain.  Workers today are better educated, make better products, and, as a result, are better paid.  According to the Federal Reserve Bank of St. Louis, average hourly manufacturing wages as adjusted for inflation increased from $23.23 in June 2010 to $26.51 in June 2017.

Robotics holds many advantages.  Productivity rises.  Robots need no downtime; they work 24×7 with consistent results.  They are less prone to error, improving both efficiency and product quality. Robots perform jobs considered too dangerous for humans.

Though the cost of robotics continues to decline, a trend expected to continue, they require a significant capital investment.  Advanced skillsets are needed to operate and maintain robots.  Qualified workers are in short supply and highly compensated.

Matthew Rendall, writer for TechCrunch, the publication of crowdfunding CrunchBase, believes robots improve the manufacturing industry: “So, will a robot take your job? Maybe. But in return, you- and your children and grandchildren- will likely find more meaningful work, for better pay.”  Robots will continue to play a major role in manufacturing.  Let’s see how the industry responds.

By: Kyle Jennings

Marketing is fast paced and always changing.  Marketing teams must constantly alter their strategies to get the edge over competitors.

How we market has changed drastically.  The internet gives consumers and businesses access to endless information, diminishing the need for salespeople.  Marketing’s focus is moving away from just interpersonal approaches.

Companies are at a marketing standstill; they are not sure what works.  According to Adobe, only 40% of companies believe their marketing is effective.  Marketing professionals have taken on the role as researchers, discovering new strategies to reach their target audiences.

Here Are The 8 Major Changes In Marketing We’ve Witnessed:

1. Interruptive phone calls and mass emails have become ineffective. Marketing teams are turning their attention to digital marketing.  Expensive television ads are replaced with internet campaigns which are conducted at a much lower cost.  Mobile-friendly websites have become imperative.
2. The rise of social media and the internet has leveled the playing field. Virtually anyone can effectively market on social media at a very low cost.  Social media communications must be continuous, holidays and weekends included.  Customers expect immediate responses to their inquiries.  Marketing has evolved to 24×7.
3. Online reviews are very influential and can make or break a company. A HubSpot study discovered that consumers reach out on social media to compliment a brand more often than to criticize it. Reviews benefit the company and the customers. Reviews give customers a chance to see the opinions of others, and also give the company instant feedback.
4. Video is gaining popularity in marketing. Nearly three quarters of us are visual learners; we would rather watch than read.  HubSpot estimates that video will claim 80% of all web traffic by 2019.  Customers often share videos on social media.  Today’s smartphones can show professional-quality videos, making video much more accessible.
5. Companies with the most advertising were once the companies that thrived. Now having targeted content is key.  Traditional online ads where one ad is used for all viewers are less effective.  Companies focus on bringing the best targeted content to its specific audiences.  Web analytics instantly reports the results of marketing campaigns, showing which strategies work best.  J. Agrawal, in a February 2016 Inc Magazine article, compared not using analytics to shooting in the dark.
6. Internet Live Stats, part of the Real Time Statistics Project, reports over 6 billion searches occur daily across the globe with over 77% of them on Google. Google processes over 40,000 search queries every second.  Search engine optimization (SEO), or optimizing a website so that it appears towards the top of results, is essential.   Viewers rarely scroll past the first results page.
7. Videos, links, FAQ’s and blog posts are tactics which improve a website’s SEO. Surprisingly, long articles are favored over short ones.  Increasingly, journalists work in marketing departments rather than at traditional, and declining, news outlets.  Journalists are trained in research and in writing articles that are not “drawn out,” but informative, attention-grabbing pieces.
8. Public image is significant in today’s world. Charity gives companies a positive image, while benefiting the community.  The work the charity does is often related to the company’s work.

It is an exciting time for marketing.  The industry is fast-paced and oftentimes challenging.  The most effective marketing strategies today will change as technology and buyers continue to evolve.

By: Kyle Jennings

Banking, one of the world’s oldest businesses, is constantly changing.  The number of banks is on the decline.  According to the Federal Reserve Bank, the number of independent commercial banks declined by 36.2 percent from 2007 to 2018. The 8,681 banks reporting to the FDIC in 2007 dropped to 5,442 in June 2018.

It’s not just the number of banks that is changing.  The technological age has brought vast changes.  Regulatory changes have had a major impact.

With all the benefits of online banking, physical branches are less of a necessity. ATMs and online banking caused long lines at banks to disappear.  Customer service is offered by phone, chat, or email.  Customer service reps and tellers are not as necessary in physical bank locations. Many banks that take advantage of online services close unneeded physical branches to cut costs. The internet has led to the creation of jobs for IT specialists who oversee the online aspect of the bank.

Banks are rapidly shifting online.  This begs the question, why don’t all banks offer online services?  Online banking is expensive.  Banks must significantly invest money into marketing to achieve the trusted brand image that is desired for an online bank.  Online banking comes with risk.  It is easier for criminals to breach online banks than traditional banks.  The cost of cybersecurity and the regulations surrounding it are rising.  Major financial institutions such as JPMorgan Chase & Co., Bank of America, Citigroup and Wells Fargo spend a collective $1.5 billion on cybersecurity annually, according to cyber industry experts, SecurityScorecard.

The days of banking on Monday to Friday between 9 and 3 are over.  Internet banking allows consumers to bank when the bank itself is closed.  Customer support is often seven days a week, sometimes 24 hours a day.  Internet banking is so advanced that customers rarely speak with a teller.  Consumers today can deposit checks, check their account balance, and transfer money by using a computer or smartphone.

Online banking is becoming a top priority when choosing a bank.  Account holders may choose one bank over another because of an easier-to-use mobile app.  A customer might even be driven to switch banks solely due to mobile apps.

The internet has globalized banking.  New York and London once dominated banking.  While these cities are still very important, others, such as Dubai and Tokyo, are emerging as key competitors.

Free checking, once commonplace, is now rare.  By regulation, banks are restricted on how much they can charge for fees and interest.  Their answer is to charge for services ranging from monthly checking account fees to covering insufficient funds to stopping payment.  It is still possible to find free checking accounts at local banks, but usually not at regional and national banks.

Regulations have changed significantly.  After the Great Recession of 2008, the Obama Administration set out to ensure such a financial collapse would never happen again.  In 2010, the Dodd-Frank Act was passed.  The Act increased the required capital that banks must keep in reserves and heightened regulations for big banks (those with over $50 billion in assets).  On the FDIC side, fees quadrupled to cover insured deposits at failed banks.

The Dodd-Frank Act was a Democrat-driven act; Republicans strongly opposed it.  The Trump Administration is already planning to remove many bank regulations.  President Trump was quoted, “We’re going to be doing a big number on Dodd-Frank.”  The President has issued a series of executive orders related to regulations.  On January 30, the “two-for-one” executive order required that for every regulation proposal, there must be a proposal to repeal two existing regulations.

Regulations are a great cost to financial firms.  Firms dedicate staff and capital towards meeting government regulations.  In a recent report, the TABB Group, an international research and consulting firm, estimated that the largest financial institutions can each spend over $1 billion a year on regulatory compliance and control.

While 91% of banks are community banks, these banks only account for 14% of deposits and 16% of loans.  Big banks hold significant power and are growing through an increasing number of mergers and acquisitions.  Adversaries argue big banks are mostly concerned with their profits, generating great risk to the global financial system.  In a June 29, 2017 interview with the New York Times, Mark T. Williams, a banking expert at Boston University and a former bank examiner for the Federal Reserve stated, “This isn’t the time to put the brakes on regulation.”  He noted that with the 10 largest American banks holding 80% of all banking assets, “this concentrated financial power residing at the top banks should be carefully monitored.”

The banking system has altered significantly from just 10 years ago.  Online and mobile banking are now key to the industry.  The future of regulations and their impact is unclear.