Aveng1991
A better method of efficiency is also commonly practiced by some factories, which is to pay per unit. This practice ties the earning to the output and is far more efficient. Workers do feel in control and can earn 3X - 4X if they were on monthly salary. However this method is skill oriented and many not be practical all the time, plus it can be a little costly.
The assembly line method is a cheaper alternative, since it forfeits the need for every workers to be equally skilled. The downside to this method is that inefficiency can easily creep in.
Factories loose contract over minor delays and issues. Often times the difference between workers enjoying a little humane working conditions is 20 cents, which big retail refuse to pay while the same goods retail for 4X- 5X margin.
The problem isn’t the software, since most factories already employ similar process in other manual ways. Factories that adhere to efficiency survive, those who don’t simply die. Even 10% efficiency boost can mean a lot in industries with razor thin margins.
At the end of the day, it’s all about efficiency.But running efficiently shouldn’t come at the cost of low paid workers.
Not every factories are sweatshops; even good humane factories are under tremendous pressure to run efficiently. Running a business efficiently isn’t a crime. However I do agree that the demo could have been a little more better.
Most factories practice two modes of compensation: 1. Per pc rate - Payment is directly tied to the output, more efficient. Requires skilled workers and can sometimes be a little costlier and impractical. Defects are deducted from the workers pay.
2. Monthly salary - This setup can accommodate semi skilled workers since each worker only handles one part of the whole. It’s a relatively cheaper process. However inefficiencies can easily creep in, defects can pile up which can wipe off the whole margin and ruin the factory.
I don’t believe in running a sweatshop, but even well run humane factories have to battle inefficiencies all the time. The line between marginal point inefficiencies can mean canceled contracts, cancelled goods and financial losses. At the end of the day it’s the workers who have to take the brunt. The upside of efficiency is timely wages; the downside is already obvious. The upside of inefficiency is a little break for workers; the downside is job loss and unpaid wages.
Hence I am not a fan of mass production esp under contract from Big retailers.
However biases mostly work in information vacuum or when there’s limited set of information to take way from on ideas that are really early or unexplored. I imagine measurable results on the context of your startup idea is the best antidote to YC biases in most cases. For founders lacking in other aspects; I imagine the only viable option is to weigh in with quantifiable results. YC and other VCs might have their biases in some aspects, but there’s one common bias everyone is victim to which is “RESULTS”. So for simple founders like me who is limited by the structure of the application process, I have found a loophole which is for every section that vaguely masks your background or accomplishments, there are also sections that asks for results and numbers which is where you can derive favorable outcome from. And for that very reason, I am trying to game YC biases by focusing primarily on results.