June 28th, 2007

Collaboration and Young Adults: Changing Business Realities

Is your organization prepared to meet the collaboration needs of young adults to attract, develop and retain the workforce of the future?

Fact - Generation X and Generation Y Talent use more real-time collaboration tools over asynchronous (non real time like email). According to a recent survey by The Associated Press - almost half of the teens surveyed use Instant Messaging (IM) and almost three fourths of teens use instant messaging more than email, while less than a quarter of adults use IM, and almost three fourths of adults who use IM use email, more often than IM.

I know that with my daughter who recently started university - for me to personally keep in close contact - having an MSN IM account was the best way to stay connected as she seldom checks her email, but guaranteed she is always accessible on MSN IM or via cell text messaging.

So, what do these behaviours tell us about the collaboration age gap between different generations?

I think this means a number of things for organizational and leadership communication approaches. Companies need to encourage IM, Blogs, wikis and all forms of real time collaboration to motivate the talent of the future. These communication needs need to be taken into account and designed into all forms of employee communication, online communication and software development approaches.

Asynchronous communication is well on the way to extinction….unfortunately old habits for the Baby Boomers, including me are hard to break.

Demand for real-time collaboration solutions have already generated more than $1.3 B in 2006 - which represents nearly one quarter of all collaboration application revenue. An increasing trend is to integrate all communication toolkits - and in different formats - whether the media form is via: email, IM, or voice - the promise is an integrated platform or a unified communication platform (UM) which promises to improve the productivity of knowledge workers - and for sure simplify operating infrastructure costs.

A promising collaboration company based in Canada that was recently recognized as one of the hottest Web 2.0 companies at the Enterprise 2.0 and Tim O’ Reilly conference recently held in San Francisco is Octopz.

Octopz is a browser based collaboration solution developed in Flash and has a simplified interface allowing ease of navigation, enables interactive and secure communications, and easily allows markup of advanced media types like videos, audio, animations, Flash files, and 360º panoramas. Octopz gives us a good perspective of the increased collaboration toolkits that are viable business productivity tools. This is a company to have not just on your company watch list, but also BUYING a subscription is a MUST to get you underway in using onoe of the most powerful on demand collaboration software solutions that I have seen in a long time.

More information on understanding collaboration commerce and the business impacts can be further understood by reading Collaboration Commerce: The Next Competitive Advantage.


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June 24th, 2007

Super Nova - Grand Challenges

I was fascinated to read the blog postings from speakers attending the upcoming SuperNova conference in California next week.Supernova is a unique conference that brings together business, government, and technology thought leaders to understand how decentralization and pervasive connectivity are changing our world. Intelligence is rapidly moving to the edges, through networked computers, empowered users, fluid digital content, distributed work teams, and powerful communications devices. Business models are under pressure as end-users gain greater control, computing becomes a commodity, and companies collaborate across geographic boundaries. At the same time, new opportunities are emerging through social software, pervasive wireless networking, massively multi-player virtual worlds, and distributed e-commerce, among other trends.

In essence, these trends are creating a truly connected - Flat world. Platforms such as the web are no longer the new frontier; they are the baseline. Supernova attempts to answer “what’s next” after everything is connected.

The blog that gained my attention was Dr. Irving Wladawsky Berger’s posting. His vision of the challenges that we globally need to collaborate on were insightful and reflect the type of global thinking required to help make our world a better place. Five major challenge or problems worthy of Super Nova consideration are summarized below:

#2 Information-based Health care: There are two complementary challenges associated with health care and related areas. The first is research-oriented. In the 20th century, physics was viewed as the key discipline pushing the boundaries of computational sciences. That role has been now taken over by biology, and more specifically computational biology and informatics. They hold the promise of revolutionizing the practise of medicine, by, for example, enabling us to use genomics information for personalized medical care and mapping the human brain so we can better understand and treat psychiatric disorders like autism, schizophrenia and depression.Then there are the very practical challenges facing health care today including efficiency, costs, safety and capacity. Most industries are way ahead of health care in successfully applying methodologies like lean production and six sigma to systematically improve their processes. The health care industry must embrace such engineering and management practises to achieve continuous improvements in key measures like clinical outcomes, patient safety, and productivity. Interersting information on “Web 2.0-driven scientific publishing”, can be found at this website. A good contact in this space is Dr. Animesh Sharma.

#3 Learning in the Knowledge-based Age: It should not come as a surprise that as we move to an increasingly knowledge-based, fast changing economy, lifelong learning is more important than ever. Learning is now not just something we do in school when we are young, but rather, something we have to continue to do all through our lives if we hope to keep up with the constantly changing skills requirements of the marketplace.

The Web has become a wonderful platform for learning, in particular its evolution into a collaborative and highly visual platform through Web 2.0 and Virtual World capabilities respectively. Such new IT-based learning applications could help workers acquire the required training for new jobs in a more experiential, “hands-on” way. They could also help us better reach out to children with disabilities who have trouble reading and processing verbal language, as well as to any children that for whatever reason are not responding well to existing teaching methods.

#4 The Search for Clean, Plentiful Energy: Energy may very well be the single biggest problem facing humanity. The world faces major challenges in finding reliable supplies of energy, and reducing the environmental impact of energy production and use. Energy is also directly linked to some of the toughest problems we face in the 21st century, such as water, food, poverty, transportation, terrorism and war. A number of major efforts are aimed at obtaining cheap, clean energy from renewable sources, such as wind, water and solar power. BioFuels are one of the most exciting such efforts, but require considerable scientific and engineering advances, such as devising new technologies to enhance and accelerate the conversion of organic matter to biofuel molecules and using modern plant science to develop species that produce a higher yield of energy molecules and can be grown on land not suitable for food production.

#5 The Long, Cultural War: National security used to primarily mean having a strong military that hopefully serves mostly as a deterrent, but that can quickly be deployed and win whatever wars and skirmishes arise around the world. This is absolutely necessary - but no longer sufficient. The conflicts in which we now increasingly find ourselves are much more complex, spread out across the globe, and involve a variety of enemies organized into small groups that are usually integrated into the local civilian populations. The Long War is the name that the US Military has appropriately given to this different kind of 21st century conflict. The Long War has the feel of a battle of civilizations or cultures. It is fast changing and difficult to plan; with a need to focus on people and cultures not just on weapons. New tools and skills are needed to fight such a global, complex, information-intensive and unpredictable long war. The Web’s role as a global platform helping people around the world to communicate, share information, and self-organize may very well be the ultimate weapon in the Long War.

Summary

All these Grand Challenge problems share a few key characteristics. They are very, very difficult, requiring heroic breakthroughs from groups in multiple disciplines working closely together around the world. They must have a significant scientific, economic and/or social impact. But, perhaps most important, they must capture our imaginations, so we become enthralled by the possibilities and find within ourselves something that lets us achieve the near impossible.

When we did our research for our last book on the decentralization implications and impacts of collaboration on creating the new world order, the other critical theme we stressed was the need for new leadership styles and cultural architecture development that encourages more diversity, flatter organizational structures, and ensuring the collaboration toolkits for socialization are in place. The problem we also see is technology capabilities are far more advanced that our leadership and decision making capabilities. We still have major generational style differences with the Baby Boomers and Generation X and Generation Y approaches to socializing. For insights, we recommend as a good baseline to understand the collaboration Super Nova challenges, pick up Collaboration Commerce: The Next Competitive Advantage.


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June 10th, 2007

The Crazy World of Smart Search

I thought there was no life after Google when I leaned from my grade eight son about Dog pile. an alternative search that combines search from Google, Yahoo, Ask Jeeves, and Live Search. They also have a NEW select search for sourcing online media videos. Out of curiosity I did a search on both YouTube and Dog Pile for the number of Rolling Stone online videos. On DogPile there were thirty listed…. On You Tube, there were 21,400. So Google’s powerful engine backing YouTube (which Google recently acquired for $1.65B) , there is definitely more search zip in Google vs using Dogpile. However, one experiment does not guarantee accuracy, hence - I did another search. This time I chose to search for the number of doghits on both Dogpile and Google. I found that on Google, there were 131 million references to dogs listed on Google and on Dogpile, there were only 94 search results.

What this relatively small sample search experiment did show that the dog in Dogpile.com translates to a real dog. I told my son that I will continue to use Google, as my business and personal search engine of choice.

Can you imagine a world without Google going forward?

It will only be a matter of time before Google penetrates all wiring of intelligence of the future. Just imagine how much better when I can simply talk to my watch or cell phone, driving panel or my kitchen fridge and my search requests appear instantly. The world of ubiquitous and pervasive computing is well underway and Google has a head start in this new world order - this much is certain. So is the future of Google a target buy out by Cisco? Only time will tell but even Google will be one day acquired — the question is only who will be the dominant player in the takeover. Only a few could swallow such a Goliath? Cisco, IBM, Microsoft …to name just a few.

 

 


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June 6th, 2007

Manufacturing Industry in Innovation Crisis

The global manufacturing industry is in crisis as the need to purge to lower cost centres in Asia, and India for competitive survival has this industry stakeholders participating in a perfect storm.

Manufacturers in North America have no choice but to adopt more advanced and leaner forms of business practises, and seriously consider outsourcing more of their production operations. The profit crunch continues to ramp and with the steady beat to increase revenues, the reduced profitability of all NA operations puts enormous pressure on this industry sector.

In Canada, the reeling increased value against the loonie has purged out even more profit, with the Canadian currency closing at nearly a 30 year high of US94 cents. The Canadian dollar has increased against the US$ over fifty percent which means the attractiveness to the US to source parts in Canada for their operations is no longer as attractive for sourcing. The reality no matter which way you cut it -the higher cost of wages, commodities, energy and transportation costs cannot compete for production and distribution against lower cost countries.

So what are the leadership questions that CEO’s and the board should be asking for competitive survival. We are in a crisis and there is no way of putting lipstick on the pig. In our research, we see 4 key questions that each CEO and Board Director needs to earnestly define for growth capacity development?

1.) What is your unique business core innovation or service offering (specialized knowledge that is not easily replicated)? If you cannot easily answer this question - then your business has likely already been commodities.

2.) What is your capacity to hold a competitive position of strength in your major market(s)? (what stickiness factors do you have around your company’s value chain, what services do you have that are world-class and can command a premium for high value service experience)?

3.) What alternative global production and go to market channels can you execute upon to increase your profitability? (Our assessment is that you cannot compete effectively on labor wages against the developing countries and with a percentage of the overall business costs tied up in labor and equipment a real re-think is required for long-term economic survival for the entire NA Manufacturing industry.)

3.) What is your organizational capability to attract, develop and retain talent? (with the perfect demographic baby boomer retirement storm arriving rapidly, how well positioned is your organization to source the best and the brightest)? To see a copy of a research white paper, we wrote on this topic, see http://www.helixcommerce.com/pdfs/perfectstorm.pdf.

The stakes are very high as Manufacturing in the United States alone generates about $1.4 trillion, and accounts for nearly three quarters of the US’s industrial research and development (R&D), two-thirds of its total exports of goods and services, and supports more than 20 million. Over 45 percent of U.S. manufacturing output is traded internationally, either as imports or exports, significantly higher than the mere 3 percent that the rest of the U.S.business trades internationally. This trade exposure has also doubled in 20 years. Because of the global nature of manufacturing, prices in manufacturing are generally flat and declining. In the past decade, manufacturing prices have increased by only 4 percent,while prices in construction, health care, education, and other non-manufacturing industries have soared by nearly 60 percent in Germany,China, and Brazil, not in a neighbouring city or in another state. Profits in these sectors plunged by an unprecedented 67 percent between 2000 and 2003.

In Canada, the outlook is just as dismal. Since 2002, an estimated quarter million jobs were lost across Canada due to plant closures Manufacturing accounts for 17 percent of the Canadian economy and 15 percent of the workforce, with 95 percent working full-time and wages 22 percent higher than the national average. Every dollar of manufacturing output generates $3.05 in total economic activity, with shipments exceeding $600 billion in 2006, accounting for two-thirds of Canada’s total exports of goods and services. Manufacturing also accounts for 30 percent of tax revenues paid to all levels of governments.

A recent OECD report reinforces that the international trend is towards knowledge-based economies, and investment in science, technology, and innovation have become key factors in economic growth. China, Mexico, Eastern Europe,Brazil ,and India are expected to absorb a growing share of the world’s manufacturing activity. Staying competitive requires becoming part of “open innovation systems” through global networking, plus shifting to global supply chains that produce specialized components.

We are in a C level change in the Manufacturing Sector. To not create a global production system for manufacturing will only result in demise. The global landscape has changed, new market realities are codified, and the rules of the game have simply shifted.

CEO’s and Board Directors need to execute change brilliantly. The stakes are at an all time high. Yet despite the doom and gloom there are viable alternative growth pathways all around us. It simply starts with a new vision and the courage to change! Although the focus in this article is on the manufacturing sector, CEO’s cannot be complacent in any industry in North America - as lower cost centres for every industry type will come under seige - simply due to the incredible labour pool available in India, China, and other rapidly developing nations.

 


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