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Vision, passion and personal investment

Something that is common with the start-ups I’ve been involved with, and stories of entrepreneurialism you can read is the passion of those involved.  They have a drive and desire to succeed, backed by enthusiasm and belief for the product they are building.   More often than not, they are personally invested in the project; maybe it is a problem that they feel needs addressing (Dyson), or an opportunity in an industry they are familiar with. It almost always it goes beyond just a job, it is a hunger to bring change and make a difference.  They have a vision, it what drives them, yet they are willing adapt the original vision and move with agility as circumstances dictate.

FlickR started its life as a tool in a role playing game.  The game was not successful and ultimately shelved (fail fast) with the photo sharing capability being developed; the team realised where the value was rather than sticking to a failed big up front plan.  If you go back in time to 1999 and look at how google described itself:

Google Inc. was founded in 1998 by Sergey Brin and Larry Page to make it easier to find high-quality information on the web.

Nothing there about browsers or phone operating systems or word processors or spreadsheets.  Twelve years to go from a search engine to the Google we know today.  Place that lens over most enterprises and how have they managed to adapt to the changing world?  I know of several enterprise projects that are three plus years in, (that’s a quarter of Google’s life) and have still yet to start delivering value.  You don’t get that with start-ups, or places where vision, passion and personal investment drive the product strategy (thinking Apple and Steve Jobs for example).

I’ll lay the fault at Enterprise Culture.  Silo thinking and career progression through the ranks.  So an individual is personally invested in delivering documentation that specifies the system.  When she delivers these she is done.  What happens next is someone else’s problem.  Reward is rarely for delivering the overall vision, why should it?  How often do all stakeholders involved in a project have a strong grasp of the what’s and why’s of what they are doing?  They are only rewarded on the how they deliver the fragment that they are responsible for.

When IT becomes a supplier rather than a partner, no-one has ultimate responsibility for delivering a coherent holistic vision, it becomes a contractual relationship rather than a passionate obsession.  Funding projects is all to often a charade and a nonsense.  The business submit their funding requests (a line item for a potential project) for the forthcoming financial year in the autumn / winter.  Budgets are finalised in the Spring with the new financial year and months have elapsed due to internal budgetting and accounting formalities rather than the ability to respond to the market.  Contrast that with the start up model with seed funding to get started and if the projects shows viability second round funding follows.  If the project is not viable it is suffocated before wasting cash.  (There are interesting perspectives on this leaner model at Beyond Budgetting).

I wonder if in these lean times we are going to start seeing lean thinking applied to enterprises and a start-up culture being nurtured.  There is certainly a growing interest in agile, beyond the practitioners and from C level executives.  But agility in software development is only the first step.  To be really successful it needs to spread through the whole organisation, not just paying lip-service to the word “agile”, but devolving responsibility to individuals and collaborative, cross-organisation teams who can share the vision, passion and are personally invested in getting the right quality products to market at speed.

Pimp your business card

Chances are the business card you hand out is that of your employer. It’s got your name, title, company logo and address on it, but does it really say who you are?  The stuff you blog about, your professional tweets, where are they?  Do you hand out another card with your personal details on it.  Whilst at Leancamp, Nicky Smyth handed me her (BBC) business card.  Alongside her BBC details, she’d used an ink-stamp to provide her personal URL and twitter account.  I’ve not got round to getting a stamp created, but when we were blogging round the world, in Lijang, China I had a stamp made up with Dongba script, pictographics from the Naxi people and the dancingmango URL surrounding them.  I’ve been using this to pimp the back of my ThoughtWorks business card.

ThoughtWorks business card with stamped URL

Tractors, nuclear powerplants and the bleeding edge

It is common for organisations to select a major technology leader (such as IBM or Oracle) and ride their product development cycle.  On client I worked for stated that they would:

“not follow a ‘best-of-breed’ approach, but rather select a major technology leader (IBM)… This means we explicitly seek and accept the “80% solution” rather than trying to optimise for each and every possible requirement. …Shortcomings will be made explicit in order that we can escalate with IBM, and influence their product strategy”.

Influence the IBM product strategy.  Good luck.  This one-size-fits all approach to technology maybe appealing on paper, and certainly has its benefits, you recruit a certain type of developer who has skills in that technology stack, if you are big enough your buying power may get a small voice in future releases that you will pay through the nose for.  But is it the best approach for the business?  A colleague, Stuart Hogg, takes three metaphors for enterprise IT.  The tractor, the nuclear power plant and the bleeding edge.

The tractor. This is the technology that keeps the lights on.  It is commodity software, it is the HR system, email, intranet etc.

Nuclear powerplant. This is the (generally bespoke) mission critical software that drives the business.

The Bleeding edge. This is the platform where you do cutting edge stuff, test and learn.  The ideas may one day be migrated to the nuclear powerplant.

All too many organisations get confused between these three models, loose sight of where they should be investing and plump for a one-size-fits-all technology to do all three.  Thus we see tractor technology trying to do the bleeding edge (Is it possible to innovate at speed with those Big Enterprise Solutions?)  By trying to combine utilitarian computing with strategic and speculative innovation, using the same skillsets, timeframes, processes and models, IT will never truly deliver the value for which it is capable.  Another ThoughtWorker, Ross Petit reiterates this point using a banking metaphor of utilitarian retail banking and speculative investment banking. He divides IT into “utility”, around 70 percent of IT investment (tractor and the nuclear powerplant); and “value add” the other (bleeding edge)30 percent.   Like other utilities such as electricity and water, ‘you don’t typically provide your own. You plug into a utility service that provides it for you’.  In IT that means SAAS and outsourcing and taking a strategic decision to differentiate between the different functions that IT performs.  He concludes:

Separating utility from value add will make IT a better performing part of the business. Because they’re comingled today, we project characteristics of “investment” into what are really utilities, and in the process we squandor capital. Conversely, and to ITs disadvantage, we project a great deal of “utility” into the things that are really investments, which impairs returns.

As a business function, IT has no definition on its own. It only has definition as part of a business, which means it needs to be run as a business. The risk tolerance, management, capabilities, retention risks, governance and business objectives of these two functions are vastly different. Indeed, the “business technologist” of value added IT needs a vastly different set of skills, capability, and aptitude than she or he generally has today. Clearly, they’re vastly different businesses, and should be directed accordingly.

Separating the utility from the value add allows us to reduce cost without jeopardizing accessibility to utility functions, and simultaneously build capability to maximize technology investments. Running them as entirely different business units, managed to a different set of hiring expectations, performance goals, incentive and reward systems, will equip each to better fulfill the objectives that maximize their business impact.

360 degree experience

Nike know a fair bit about branded experiences.  My new iPhone came with Nike + pre-installed.  Usually this would not be relavent to me, my default setting being couch-potato.  But for one reason or another I’m currently training, in less than a months time I’ll be punishing my body in water, bike and road, attempting to complete the London Triathlon.  So Nike+ got me curious.  To get it to work you need a sensor, so I took a trip down to the Nike Store in Covent Garden and bought myself a Nike+ sensor.  The sales assistant (after failing to cross sell me a pair of trainers for the sensor), showed me the bottom of my receipt.  ”Look!” she said as she highlighted £250.  ”You could win some cash by going to this website”, (circling the URL in the text).

Nike till receipt with URL

Sometime later and I entered the URL (rather long and cumbersome) and landed on a page asking me to enter the receipt number.  This presented me with a satisfaction survey on my store experience to complete.  The system was not intelligent enough to know what product I had bought, and there would be little for me to gain by being presented that information at this point.  At the end of the survey they invited me to enter my email address to enter a prize draw.  With this simple process they have linked an anonymous purchase of a known product with an email address.  An email address has value ; using a tools such as Flowtown from my social network activity they could start building a richer picture of me, including the extent to which I am connected and am an influencer.

Nike screen shot

The supermarkets have used till receipts for marketing (e.g. Tesco clubcard points) for a while.  But if you do not have an explicit point of sale loyalty scheme, this is an innovative way of connecting the offline purchase experience with an on-going on-line relationship.  Of course Nike go well beyond this.  From the iPhone app that was already installed, through to purchasing the Nike+ sensor, I now have a Nike account where I can track my running progress, uploading my training times after each run.  That really is a 360 degree experience.

How to monetise in the world of free

Paying for media content through a pay wall seems to be a daft idea. Why pay for stuff that is free elsewhere? That’s not to say people won’t pay for content, look at the success of iTunes and app stores. (Their success is due at least in part to the ease of making payments).

We see challenge. For consumers there’s just too much noise in the Digital Landscape. It’s random, raw, repetitive. And for content providers, in this Digital Land of the Free, where’s the revenue?  So here’s an idea. People won’t pay for most content (why should they? It’s free somewhere else isn’t it?) But they will pay for some content.

Our hypothesis is that there is a market for content that is original, timely, novel, exclusive, unique or has quality and authority… that is relevant to me, the individual. With that in mind, Duncan and I present a model underpinned by a media broker, where content is priced according to its relevance.

(Slides best viewed on full screen so you can actually read the commentary at the bottom of the page!)

View more presentations from marc mcneill.

How to promote yourself

A while ago Alec Brownstein was looking for a job in the advertising industry. He bought a bunch of adwords to appear next to the names of executives in companies he wanted to work for, and waited for them to google their names. Cool thinking that got him a job.

something similar happened with ThoughtWorks this week. On the ThoughtWorks facebook page a little ad appeared, “Dear ThoughtWorks, My name is Scott and I want to work with you”.

Dear ThoughtWorks, my name is scott and I want to work with you

Clicking on the link opened a microsite dedicated to why ThoughtWorks should employ Scott Robinson.  ThoughtWorkers soon picked up on this and twitter came alive with #dearscott and then this and this.  He’ll still go through the intense recruitment process, but another great example for using Social Media to promote yourself and get a job.

Customer driven innovation

People talk about innovation but how do you make it happen? How do you engage your customers in the process; how do you rapidly move beyond ideas on the whiteboard to actually implementing them; how do you introduce tests and learn to continuously improve, or provide comfort in failing fast?

Combining agile software development and design thinking, it is possible to go from concept to cash at speed, placing the customer at the heart of the process.

This presentation that I have recently given at an Ovum symposium and the Shaw Innovation Mashup introduces some of these ideas and practical ways of making customer-driven innovation happen.

Buck the trend

“Mary Queen of Shops”.  Mary Portas gets rave reviews, helping small, struggling retailers find their feet again.  She is very successful and her formula makes for good TV.  I’ve only seen the one programme, a couple of weeks ago where she was invited to help a bakery in Raynes Park; a place I know well having gone to school just round the corner.  The owner, Angela, was stuck in the past, selling white bread and iced cakes from the seventies.  It seemed she beleived that Mary would revamp the interior design of her shop not overhaul her whole product set.  The editing didn’t help her, she came accross as a rude and throroughly unpleasent woman.  If her business goes up the wall, serves her right.

Yet reading reviews in the run up to the programme made me reflect on this judgement.  What was being proscribed was formulaic and too be expected.  Focus upon specialty breads go for the chattering middle class market, bring Borough Market and its bread stalls to the Raynes Park suburban semis.  The reviews reveal that actually the bakery is well thought of in the community.

Maher bakery is simply one of the great family establishments in South West London. It’s run by the delightful Angela,who is an example to all of us. Long may it be serve and entertain its happy customers for another 36 years!!…….

There is a market for something other than what the current trend dictates.  There is clearly a demand for the experience that the Maher bakery offers.  Speciality breads are the easy answer, not necessarily the right answer.

The fact that it is old fashioned, the egg and bacon baps are the best in SW anywhere and the friendly atmosphere are exactly the reasons why it is so popular and always busy on Saturday mornings…says we who have been coming for more than 15 years.

It reminds me of the working with retail banks in the dot com era, predictions of the death of branch banking and the closure of the high street banks.  My colleagues poured scorn on me when I tried to defend the branch bank (something I had direct experience of, having spent time working in them); other than the poor and elderly (who  were not profitable to the bank), why maintain a costly, dated branch network?  Times change and branch banking is becoming fashionable again.   Nat West have just launched a new campaign with 14 committments to “becoming Britains most helpful bank”.  Commitment Number one is to “open more branches on Saturdays and extend the opening hours in [their] busiest branches” and they aim to “support the communities in which [they] live and work”.  That is what high street banks used to do.  Until someone like Mary Queen of Shops persuaded them to get on board the new cargo cult.  And now the new banking innovation is to throw all that cargo cult thinking away and take inspiration from the past.

Sometimes innovation is bucking the trend.  Like the Raynes Park bakery that does what it has always done; do it well, and continuously exceed your customer expectations.

Usability and the $1 trillion mistake

Is this a case of fat fingers, a usability flaw or poor design that enabled a Citigroup trader to have placed an order to sell $16 billion, instead of $16 million? P&G shares plunged by 23% because of this individual erroneous trade. What followed was the algorithms kicked in and automated trading saw the Dow loose a tenth of its value in less than half an hour. (And Accenture dropped to 4 cents down from $42!)

Before we go blaming human error, questions should be asked why that error occurred. How can someone make such a simple mistake so easily? Was it a case of entering two many 0s? (Don’t stop to look or think, answer the question as soon as you’ve read it – how many zeros are there in this number? 160000000. Same thing again, how many zeros are in this number 12,000,000. That’s a bit easier isn’t it. Only an ‘N’ separates the B from the M on a qwerty keyboard, in a hurry, easily mistaken?)

I’d start by looking at human factors and experience design, and question why (assumption here) the IT team who implemented the system didn’t have before a UX designer on the team to think about the human factors. Could this be the most costly example of poor design?

Article: Big drop, was it all a mistake?

Where would your customers stick yours?

Opposite me on the train sits a man woking on his Lenevo lap top.  The Lenevo logo is small, on the top right handside of the lid.  Taking pride of place, in the middle of his lap top lid is a large Apple icon.  I’ve seen this before, people with Dells sticking the Apple sticker on the back or by the mousepad.  Genius thinking by Apple, to include their logo sticker in product boxes, getting customers to promote their brand on competitors products.  Enabling people to make a statement; I’d rather have an Apple, but work gave me this lousy windows machine.

If you gave your customers your brand logo, where would they stick it?



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