I recently was looking at the reviews of the “Day the earth stood still” film on Amazon as at the time of writing it is due to release to DVD and I can’t decide if this movie is a complete lemon or a subtle recasting of a classic with new ideas. It certainly took a hammering by the box office critics but some reviews including my own amateur effort saw some elements that were of merit. The point I found more interesting however was a reviewer, pen name Amanda Richards who used the concept called SASS- Short Attention Span Summary. Apart from the prodigious output I thought the concept of SASS and the notable art of a short blog was a really useful aid. So here goes with my SASS of “TheLong Tail”, ““Wikinomics”, “The Big Switch”, “The World is Flat”, “Does IT Matter” and “IT Doesn’t Matter , Business Processes do” in chronological order. I thought I’d include all six as they appear to be the mainstream cloud background subject matter books currently.
The SASS of the cloud is:
- "Does IT Matter" - No
- "IT doesnt matter, but business processes do" - Yes , everything is about processes
- "Wikinomics" - but IT is everywhere and potential to change the way we do business
- "The Long Tail" - Yes and its changed the way products and services are created, provisioned and delivered
- "The world is flat" - yes and its now global and the west missed the significance of this shift
- "The Big Switch" - The significance is that we will have virtual businesses, centralized IT utility services - the cloud changes everything....
“Does IT Matter ?” Nicolas Carr, (HBR article published 2003)
- Postulate: IT has become a commodity and wide spread and no longer provides business competitive advantage
- Companies spent billion of dollars on IT but have not seen real competitive advantage improvements.
- IT investments need to assess the role of IT on business and commerce to achieve the right focus on value and competitive advantage
- Strategic importance of IT is decreasing.
“IT Doesn’t Matter , Business Processes do” , Howard Smith, Peter Fingar, Nicholas Carr, (Aug 2003)
- Postulate: Business processes enable business competitive advantage. It is wrong and dangerous to ignore processes and the role of IT
- Michael Hammer’s 1990 article “Reengineering work” is a example of this
- Strategic importance of IT is actually increasing e.g. the emergence of Web services enabling businesses to redesign and innovate new services.
- A business process revolution will occur as businesses redefine the use of IT in the context of their operations and markets.
Wikinomics, Don Tapscott, Antony Williams 2006
- Postulate: Mass collaboration changes everything
- The perfect storm: internet, web 2.0 tools, collaborative platforms
- The emergence of peer production - prosumers
- The wisdom of crowds, acting globally, shared spaces – the world is your R&D department
- Open and free e.g. Open Source Ecosystem e.g. Linux spawned a multi-billion dollar ecosystem and changed balance of power in Software Industry
- Ideagoras – Marketplaces for ideas, innovations and skills. Engage and co-create- co-innovation – emergence and serendipity.
- Escalating scope and scale of resources applied to innovation means change can unfold more quickly. Getting the right ratio between internal and external innovation.
- The collaboration economy, the business web
- Lower barriers to monetizing co-creation and collaboration channels
- Managing complexity – a Darwinion approach.
- The rise of social computing, Enterprise 2.0, harnessing the power of wikinomics.
- Building critical mass, supply a platform for collaboration, people governance enablers, incentives, build trust, let the process evolve, objectives, leadership, culture of collaborative mind.
“The Long Tail” , Chris Anderson 2006
- Postulate: Size of potential market is sum of all participants
- Temporal competition and the back catalogue including niche products can all be provisioned
- End of the hit parade
- The power of free
- The tyranny of locality versus logistics anywhere
- The economics of abundance: Acquisition costs DOWN, Average Sale price DOWN, Gross Margin UP
- Democratization of tools of production, distribution, joining of supply and demand (Industrialization)
- The power of peer production and collective intelligence
- One size does fit all - The emergence of statistical multiplexing
- The aggregators emerge e.g. Physical retailers à Hybrid retailers à Pure digital retailers
- The paradox (of the cloud) – Long tail drives a shift towards 101 tastes and choice; the ability to provision is king
“The World is Flat”, Thomas Friedman, 2006
- Postulate: The global balance of economics have changed with a triple convergence of complementary goods, horizontal collaboration business models emergence, and opening up of eastern markets into a global market together with 10 flattener (Changers) of new open playing field.
- The perfect storm: Late 20th century investment in fiber optic cables between west and east; collaborative tools on the internet; economic reforms to enable eastern countries to enter and exploit technologies and services.
- The west were looking the wrong way while the east has caught up in China, India, former Soviet Union countries emergence and Asia pacific markets
- Ten flatteners: Collapse of the Berlin Wall; Netscape, Workflow, Open Sourcing, Outsourcing, Offshoring, Supply chaining, Insourcing (BPO e.g. UPS repairs Toshiba PCs), In-forming, “The Steroids”( personal mobile communications devices)
- Connection and Collaboration
- The 21st Century is flat
“The Big Switch”, Nicholas Carr, 2008
- Postulate: Business and society will fundamentally change to a virtual society creating fundamental shifts in people’s lives, markets, jobs and skills
- IT will become like the utility industry – the “electrification”, “the Electric Grid” of the IT industry
- The PC age giving way to the Utility age
- The internet will become a “world wide computer”
- The rise of the Google model will supersede the old ownership models ( the older Microsoft model – Bill Gates memo to employees Fall 2005 creates a path to the utility age)
- The Google model will create super data center services outmatching any company own computer investments. All physical hardware will to “centralized” as commodity utility services.
- Virtualization will truly revolutionize all IT
- 3Tera’s software provides an example of what the future of computer business might look like: No physical products at all. Create virtual versions of their equipment of software and sell them as icons that plug into programs like AppLogic.
- Move to service based economies
- From the many to the few – consolidation and flushing out versus the power of the many and 101 choice
- Living in the Cloud
- Collaborative content
- Accelerating concentration of wealth in large businesses
- Clustering of like minds - a threat or a benefit?
- The threats to the internet
- The spiders web – zero privacy, you are what you do and say profiling.
- iGod - all Human knowledge, wisdom and interactions inscribed into the internet
- Impact of this on society and relationships.