Tag: artificial intelligence

  • Worthless

    Worthless

    Does CRM still frustrate you, the would-be buyer all these years later?

    I recently ordered a relatively expensive product from a well-known retailer.  At their prompting, I signed up for ‘track order.’  Three days later, my inquiry was responded with, “the order has been placed.”  Ok, but I already know that.  Are you still processing the (digital) paperwork?  Will I get a notice next week that the product is out of stock, or does the company even care?  Another worthless, CRM automated reaction.  Oh, by the way, I received a ‘pop up’ survey about my experience with the site 10 seconds or less after I logged on.  A waste of my time, worthless and makes me less likely to return to that store.  Almost the same reaction as spending hundreds of millions to change a corporate image, only to redraw and eat those expenditures–More shareholder value destroyed by idiots.

    Give me a break, we are almost at the end of calendar year 2025, and this ecommerce stuff has been around for a while.  Apparently, not for some.  Makes me want to buy a whole lot of your stuff–NOT!

    Get with the program and make MY customer experience at least not–“I am so pissed off . . .”

    Fix The Basics

    Ai is all abuzz.  The latest shiny object it may be the maker of the first trillionaire.  This all great, but what if I only want a dinner reservation, airline reservation, doctor’s appointment, or online order status.

    We cannot forget in the hype/heat of the moment that the core requirements of the organizations must be properly services.  If this is overlooked or underfunded, AI nirvana may illude the firm entirely.  After all, someone has to keep the lights on if hundreds of billions of dollars are to be spent on the new, (more on whether this level of spending even makes sense in a future blog).

    US football season is started and once again coaches are teaching even established super stars to pay attention to the basics–blocking and tackling.  Happens every year.

    What is your firm doing to assure the IT enabled lights stay on?

  • Leadership: Pattonesque Style

    Leadership: Pattonesque Style

    “The only safe ship in a storm is leadership.” ~ Faye Wattleton

    As an owner and crew for offshore pleasure sailing vessels, I have experienced several gale force storm that lasted more than 24-36 hours.  Several were across the Gulf of America (aka Mexico) regattas and quite a few offshore Gulf races of 150 nm or longer.  Relatively minor damage to the boat and no injuries to our crew.  More than one storm resulted in yachts retiring and in a rare case abandonment. Minor injuries to regatta crews are fairly consistent.  What separated our winning boat from the others?  A competent well trained crew and effective leadership!

    Old blood and guts, General George S. Patton Jr. gets a bad rap in my opinion.  He probably was a pain in everyone’s you know what, but he was paid for being something else.  A leader who made consistently effective decisions of consequent, rapidly with decisiveness

    Much is being written, complementary and not so much about Donald Trump’s management style and especially the speed with which things are getting done.  Additionally, from one perspective Elon Musk’s frustrations can be probably be attributed to his belief, especially regarding the budget, that things are not moving fast enough.

    Wait and See

    While it is appropriate to make a good assessment of a situation before action, some organizations can suffer from “paralysis by analysis” where decision makers effectively do not respond within the appropriate time window.  In a high intensity, fast moving environment, launching endless committees in some vain hope that a third party consulting firm whose members often have no real executive leadership experience will ride in to to save the day is misguided.  The logic usually is that this decision is too important and costly not to take one’s time to properly assess the associated risks.

    One writer framed the issue well, “Therefore, in a world were the game is changing rapidly, failing to take action—deciding to ‘wait and see’—can quickly put you on a path of increasing irrelevancy or a rapid demise.”  How is this nonaction adding shareholder value?

    No Competence-No Confidence

    Leaders are not born, they are made.  It is unreasonable to assume that just because so-and-so went to a specific school, was a great jock, or celebrity that individual is qualified to drive an organization.  Elected officials are a great example of this perturbation.  Poorly performing public companies are another example where board in their infinite non-wisdom think that the ship will stop sinking if only we hire the right well-known person or even ‘strange’ spokesperson to hawk an alcoholic beverage.  The corporate sea floor is littered with the wrecks caused by incompetent captains with no confidence in their judgements.

    Will AI Make Things Worse?

    Unfortunately, the answer is yes for many, even (once) prestigious organizations.  Coming like a freight train, most organization executives appear to be totally clueless about the value of artificial intelligence to the firm they are entrusted to manage.  With no understanding or competence in this field, we can expect these individuals to have any confidence in how they spend shareholder value?

    Expect the same waste that large IT projects have enjoyed for decades.  Five years from now, expect the 500 to have new winners and long standing firms no longer visible.

    We do not posit for quick poorly assessed capital expenditures.  Only that decision cycle times have always been shorter than many like.  Decision-makers must get better at their job.

    Defeat is the realm of incompetent generals.  Great generals who know their business with more limited loss of life and limb are the winners.

    Winners in the AI era have not yet emerged.  We will know shortly those who made good timely Patton like decisions and those who waited to see the door closed in their face.

    How will your organization assure that it is competently led through the AI door?

    Our new book is Now Available

     

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if your job depends on Big Data and Artificial Intelligence (AI)?

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the 2023 book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce the released by CRC Press of our new book, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Tariffs Tariffs, Tariffs

    Tariffs Tariffs, Tariffs

    According to the economist, Paul Craig Roberts, “Tariffs protect ill-considered government policies, such as costly regulations and high taxes on labor and capital that make our goods uncompetitive in international markets.”

    Young and emerging countries may want tariffs to protect nascent industries and other local protections to help assure employment and rise of a strong commercial base.  Advanced (OECD) countries seek to protect existing sectors for a number of reasons including employment and political/military power.

    Once in place both exporting and importing countries develop a sense of normalcy and change becomes difficult for all parties involved.  They become part of the business culture of the exporter and importer.  As with other cultural change, engrained habits are stubborn.

    Policy Disruption

    The Trump Administration is arguing that an unlevel trading system has existed, at least since the end of World War II in 1945.  Their tariff policy seeks to update the partner relationship with countries and their companies that are no longer rebuilding form that devastating conflict.  The protections afforded nascent rebuilt from that era are no longer necessary or relevant.

    As might be expected, many prefer the status quo and vehemently argue the unfairness of it all and other rationales for not changing practices and policies that are 80 years old.  This is no difference than those that have been made redundant due to a reorganization make the case for their value add, usually in vain.

    Comparative Advantage

    Over two decades ago this author postulated, “Economists usually think of comparative advantage as a function of the raw material or strategic position a country holds.  In the knowledge age, comparative advantage goes to those who hold the knowledge necessary to achieve strategic posture.”  Moreover, “Thought leadership and subsequent comparative/competitive advantage usually goes to those that see things differently, earlier, or both.  Seeing is one thing, believing another, and implementation still another.  Leaders do not just postulate, they make things happen.  This is the tough part.  Many people have good ideas, but most do not implement and even fewer follow through to the end.”

    In May 2025, President Trump signed over $2 Trillion in business deals with Saudi Arabia, Qatar and the United Arab Emirate.  These were not traditional oil and gas investments that this part of the world is known for, but commitments in defense, aerospace, AI and other advanced technologies.

    In addition to aircraft and other defense products and solutions, these countries focused on the development of emerging capabilities such as AI.  A classic example of the position taken almost a quarter of a century ago.

    Are Humans Being Replaced?

    This has been the question raised by every dramatic technological introduction.  The general consensus, in this writer’s opinion is, we adapt and adopt to the new when it is beneficial and reject it when it does not add value to our personal life–the ‘What’s in it for ME question.

    This is the contemporary question all of us are reacting to with the advent of Artificial Intelligence.  Accordingly, “The rise of artificial intelligence has reinforced the belief that transformations across various domains can be primarily achieved through digital technology.  However, the creative potential for change of people’s  cognitive, emotional and imaginative powers often loses importance and gives way to  creative technology.   Many therefore see humans as having arrived in the age of post and transhumanism.  But is the human being as such really a kind of obsolete model?  According to such a view, it seems to have become ‘normal’ for people to leave their own fate, as well as the fate of humanity and the environment, to technical transformation possibilities.  This implies accepting that technology increasingly becomes an instrument of control rather than a tool to be used and directed, as individuals become subject to a technology and capitalist artificial intelligence industry that surpasses their own capabilities, leading them to be controlled by it.”

    One can assume that these concerns will cause many to fight for existing international trade rules to remain in place.  This is true, not only for tariffs, readers may remember that in 2024, “The ILA’s ( International Longshoremen’s Association) initial proposal was for a 77% salary increase over the six-year duration of their contract with USMX, as well as a complete ban on the automation of gates, cranes and container-moving trucks at its ports.”

    Short-Term Pain, Long-Term Gain

    Cultural Disruption can be sharp and quick, like a knife cutting into the skin.  It will take some time and perhaps a long time for transformation to take hold, and wounds to heal.

    However, this parade is marching by.  We can all chose to join in, become a bandleader, or hope it will just go away.  Change can be painful, but without it we cease to grow and will eventually whither and our value to organizations will no longer exist.

    Get with the program!  Tariffs were never meant to be generational, but only a short-term economic band aid.

    How are you and your loved ones preparing for ongoing technological convulsions?

     

    Pre order our new book, May 23, 2025

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if your job depends on Big Data and Artificial Intelligence (AI)?

    Preorder May 23, 2025

    We are also pleased to advise our loyal readers that CRC Press has accepted our proposal for this forthcoming book, Nonlinear Big Data and AI-Enabled Problem-Solving: Transforming From A Spreadsheet Society.  Publication 2026.  Stay tuned for more details.

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the 2023 book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be released by CRC Press in June 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Reputation, Reputation, Reputation

    Reputation, Reputation, Reputation

    “It takes 20 years to build a reputation and five minutes to ruin it.  If you think about that, you’ll do things differently.”

    – Warren Buffett

    It is fascinating how many accident videos get posted to social media.  Guess we all go to NASCAR races to see car wrecks.  In some cases, videos are personal disasters for those involved.  In some cases, they are downright funny and in the category of what were they thinking.

    Equipment and facilities damage, lost production/project time, personal injury litigation are just some obvious costs.  One hidden cost is reputational damage.  Would you hire a firm that hires, does not train, and/or tolerates some of this behavior?  Probably not, and in some case a strong safety record is part of the procurement decision process.

    Risk Mitigation

    Most of the social media video show failures in occupational safety.  Typically, in the United States these would fall under the Occupational Safety and Health Administration (OSHA) and/or state and local safety regulations.  This is laudable, but without a broader safety governance framework, a lackadaisical attitude can continue.

    Under a Strong Bond Governance Framework, a robust Operations Management System (OMS) enables both public and private firms to realize the Safety Culture they seek that will keep them off the social media most watched list.

    Strong Bond Governance

    An organizational governance model with the following attributes first put forth by the author in our seminal 2014 book, following the Deepwater Horizon incident.

    • Direct, defined relationships that enables open and valid information between governance members.
    • Led by authorities who are closely connected and strongly bonded.
    • Strong Governance, Risk, and Compliance (GRC) system.
    • Back office and field processes combined into a single information model (OT-IT).
    • Designed for application and use in Mission-Critical Environments. [i]

    [i] Holland, Winford “Dutch” E. and Shemwell, Scott M. (2014). Implementing a Culture of Safety: A Roadmap to Performance-Based Compliance. New York: Xlibris.

    Operational Excellence

    Operational Excellence is the execution of the business strategy more consistently and reliably than the competition, with lower operational risk, lower operating costs, and increased revenues relative to its competitor.  It is needed more than ever in today’s technology driven rapidly changing business models, which require organizations to undergo end-to-end business transformation. Operational Excellence can also be viewed as execution excellence. 

    However, the focus of Operational Excellence goes beyond the traditional continuous improvement methods to a long-term change in organizational culture.  Companies in pursuit of Operational Excellence do two things significantly differently than other companies: they manage their business and operational processes systematically and invest in developing the right culture. 

    Operational Excellence manifests itself through integrated performance across revenue, cost, and risk. It focuses on meeting customer expectation through the continuous improvement of the operational processes and the culture of the organization.  The goal is to develop one single, integrated enterprise level management system with ideal flow.  The second component, a culture of Operational Discipline, is commonly described as doing the right thing, the right way, every time.  This culture is built upon guiding principles of integrity, questioning attitude, always problem-solving, daily continuous improvement mind-set, level of knowledge, teamwork, and process driven.

    Organizations attain and sustain Operational Excellence using tools such as Operations Management System OMS).

    A Typical OMS Framework includes all the major areas involved in organizational processes such as shown in this graphic.

    OMS is a collection of processes and procedures enabling a company to effectively manage business practices and achieve the highest level of Operational Excellence in daily operations.

    One of the more notable examples is the Safety and Environmental Management System (SEMS).  SEMS embodies the Safety Culture into the organization’s OMS.  This systemic model is incorporated into a Strong Bond Governance Framework causing safety to become ‘the way we do business.’  In other words, the culture of the organization and by extension its Ecosystem.

    Systemic Safety Culture

    In a culture of safety, people are not merely encouraged to work toward change; they take action when it is needed.  Inaction in the face of safety problems is taboo, and eventually the pressure comes from all directions — from peers as well as leaders. There is no room in a culture of safety for those who uselessly point fingers or say, “Safety is not my responsibility, so I’ll file a report and wash my hands of it.” 

    — Institute for Healthcare Improvement

    Systemic Safety Culture is the Core Set of Values and Behavioral Economics of ALL participants of the extended organization and its Enterprise Risk Management strategy that reflect a Strong Bond Governance commitment to behaving as a High Reliability Enterprise Ecosystem in a safe and environmentally responsible manner.

    Most Safety Cultures have a set of tenets similar to the nine shown in the following list.  These are based on those developed by the Bureau of Safety and Environmental Enforcement’s (BSEE) for marine offshore oil and gas operations and are typical of those used in other Critical Infrastructure sectors.

    Nine Tenets of a Culture of Safety

    1. Leadership
    2. Problem Identification and Resolution
    3. Personal Accountability
    4. Work Processes
    5. Continuous Learning
    6. An Environment for Raising Concerns
    7. Effective Communications
    8. Trust and Respect
    9. Inquiring Attitude

    Finally, it is common practice for parties to refer to a singular industry ‘Safety Culture.’  In reality since each organization has its own culture, there are literally hundreds if not thousands of Safety Cultures in any critical infrastructure sector.  As shown in the above figure, each individual can interact routinely with a myriad of other cultures, both internal to their organization as well as with external economic players.

    After the Deepwater Horizon disaster in 2010, the authors quickly recognized that all economic players in the industry regardless of size would need to immediately adopt a Safety Culture if they were to survive.

    The resulting 2014 book, Implementing a Culture of Safety: A Roadmap for Performance Based Compliance remains one the few that readers can use as a roadmap to incorporate a Safety Culture into their Operational Excellence business model regardless of industry.

    Smart OpEx

    Fifteen years ago, large organizational Operations Management Systems were struggling to incorporate structural safety as more than the so-called, ‘slips, trips and falls’ of OSHA regulations to one where safety is endemic to the culture.  Smaller firms, often participants in the supplier ecosystem were largely forgiven.  The logic being that the major contractors and operators would assure that the final work product met Safety Culture requirements.  This is no longer the case.  Firms of all sizes in every business sector with an operations component now require an OMS to manage not just internal operations but third-party contractors as well.

    The Smart OpEx Operations Management System software solution is joint venture between The Rapid Response Institute LLC and Knowledge Ops, Inc.

    As Mr. Buffet mentions, reputations can be lost in an instant.  According to a 2007 Harvard Business Review article, “In an economy where 70% to 80% of market value comes from hard-to-assess intangible assets such as brand equity, intellectual capital, and goodwill, organizations are especially vulnerable to anything that damages their reputations.”  While almost 20 years old, the premise of the HBR piece remains the case as Boeing, Bud Light, and others can attest.

    Put systems with checks and balances in place that enable the organizational governance and protect the company from entering the Halls of the Disreputable.

    An individual’s and organization’s reputation are everything.  How are you assuring both are protected?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if your job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the 2023 book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be released by CRC Press in April 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Value from Elon Musk’s ‘Idiot Index’?

    Value from Elon Musk’s ‘Idiot Index’?

    “If the ratio is high, you’re an idiot.” – Elon Musk

    “Musk developed the ‘idiot index,’ which calculated how much more costly a finished product was than the cost of its basic materials.  If a product had a high idiot index, its cost could be reduced significantly by devising more efficient manufacturing techniques.”

    Effectively, what he is saying that if the Cost of Goods Sold (COGS) is too high, a product may either become too expensive or not sell well, if at all.  This is the basic Supply-Demand curve from Economics 101.  He is also indicating that Gross Profit will be negatively impacted as well.

    It’s the Cost Structure Stupid

    Paraphrasing the candidacy of Bill Clinton in 1992, an organization needs to develop a cost structure that not only lowers Total Cost as low as possible but sustains this approach while assuring the produced product/service is fit-for-purpose.

    According to the Corporate Finance Institute, “Cost structure refers to the various types of expenses a business incurs and is typically composed of fixed and variable costs.  Costs may also be divided into direct and indirect costs.  Fixed costs are costs that remain unchanged regardless of the amount of output a company produces, while variable costs change with production volume.

    Direct costs are costs that can be attributed to a specific product or service, and they do not need to be allocated to the specific cost object.  Indirect costs are costs that cannot be easily associated with a specific product or activity because they are involved in multiple activities.

    Operating a business must incur some kind of costs, whether it is a retail business or a service provider.  Cost structures differ between retailers and service providers, thus the expense accounts appearing on a financial statement depend on the cost objects, such as a product, service, project, customer or business activity.  Even within a company, cost structure may vary between product lines, divisions or business units, due to the distinct types of activities they perform.”

    We see that cost management is much more than simply lowering the procurement costs of parts or subcomponents going into the manufacturing product.  It is all about the design of the firm and its culture!

    Parasite Control

    One of the challenges all organizations face is ‘Cost Creep.’  Management needs to but guardrails in place to assure a low-cost structure business model remains that way.  Service firms are just as susceptible as manufactures. 

    According to one source circa 2000, professional services cost creep aka parasite control can be defined as, “Too many people whose services are not really required trying to use it as their meal ticket.”  Originally used in the context of the space exploration sector; however, in this writer’s opinion this issue is not restricted to that one industrial segment.

    At one point in my career, I was the executive responsible for a number of large successful simultaneous consulting engagements.  Other projects were either not doing as well or winding down.  Two things started happening.

    First, I discovered that those not on one of my projects were trying to bill their time to one or more projects.  Either as a direct ‘accounting code’ attempt or more frequently as a ‘contributor.’  One individual even tried to charge for his local mileage under the premise that while he lived in Houston, he was tied to a practice in Atlanta.  Thus, in his opinion he was remote.

    Point being, any project can be subject to parasite control.  “Cost Creep” is an ongoing managerial problem that must be shut down when found, the real costs clawed back and allocated correctly.

    Robust Cost Management

    Aggressively addressing costs at all levels is neither idiotic nor stupid.  It has always been a business fact of life and as of this writing, the federal government bureaucracy is discovering it is the ‘new normal.’

    Moreover, this never-ending pursuit of cost perfection will have a new player shortly.  Artificial Intelligence (AI) is rapidly gaining traction in our everyday operations.  The audit process is part of cost management, and we already have examples of the use of AI in the audit process.  Expect more to come and sooner rather than later.

    We have an Operations Management System implementation underway where AI will play a pivotal role in Phase II later this year.  We will report back once it has ‘gone live.’

    What are your organization’s plans to vigorously manage costs?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the 2023 book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be released by CRC Press in April 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Process Audit-Musk Style: A Systems Analysis Solution

    Process Audit-Musk Style: A Systems Analysis Solution

    Auditing is defined as the on-site verification activity, such as inspection or examination, of a process or quality system, to ensure compliance to requirements.”  Elon Musk has just changed the Auditing Game!

    Most readers are aware that Elon Musk is leading a small task force of developers to assess the processes and spend of various federal government agencies, i.e., USAID.  This pundit has been of the belief that this group is using Artificial Intelligence (AI) to address this, as he did when assessing the proposed budget in December 2024.

    Observers were astonished with the speed and accuracy of this AI driven assessment.  Gone are the days of thousands of pages of unreadable bills where congressional leaders demand instantaneous passage in the ‘wee hours’ of night.  No more, “We have to pass the bill so that you can find out what is in it.”

    Too Big to Fail, No More!

    The long-standing mantra for major, critical sectors such as Money Center Banks is that they are too big and too important to be allowed to fail.  By this logic, US federal government agencies are at the top of that very short list.

    Assuming the following post on 𝕏 is factual, Musk and company have the developed the basis of a new company.  One that will restructure the way auditing is conducted for large complex organizations.

    The EKO article is a quick and compelling read, and we will not repost here.  Key take aways, this pundit took include that crawling through decades of data:

    • Three subsystems were mapped quickly as were payment flows across agencies.  Patterns were revealed that even career individuals did not know existed
    •  $17 billion in redundant programs were detected and are growing
    • “The beautiful thing about payment systems,” noted a transition official watching their screens, “is that they don’t lie. You can spin policy all day long, but money leaves a trail.”
    • “That trail led to staggering discoveries. Programs marked as independent revealed coordinated funding streams. Grants labeled as humanitarian aid showed curious detours through complex networks. Black budgets once shrouded in secrecy began to unravel under algorithmic scrutiny.”
    • “By 6 AM, Treasury’s career officials began arriving for work. They found systems they thought impenetrable already mapped. Networks they believed hidden already exposed. Power structures built over decades revealed in hours.”
    • “Their traditional defenses—slow-walking decisions, leaking damaging stories, stonewalling requests—proved useless against an opponent moving faster than their systems could react.  By the time they drafted their first memo objecting to this breach, three more systems had already been mapped.”

    The list goes on, but readers get the point and can do their own detailed review.  Also, one expects that much more will be made public in the near future.

    Graphic is taken from the linked 𝕏 article.

    2025-02-10_13h13_41

    Value Proposition to ‘We the People’

    Bureaucrats are hired hands.  The citizens of the United States of America are the client.  Some argue that government is different than a profit or non-profit organization.  But is it?  Isn’t government responsible for delivering goods and services in accordance with its customers wishes?  If not, what is the role of Washington, DC and every state capital?

    This pundit has focused on Operational Excellence (OE). We have developed economic models that document (with support) measurable as well as soft value that can be attained and sustained from OE initiatives.  We believe this approach is applicable to governmental agencies as well.

    Nature of Auditing

    According to the American Society for Quality (ASQ), Auditing has three components:

    • Process Audit–Verification that processes are working within established limits
    • Product Audit–Assess whether or not products and services conform to accepted standards and requirements
    • System Audit–Assessment of management systems, i.e., Operations Management Systems (OMS)

    The principal objective of the systems analysis phase is the specification of what the system needs to do to meet the requirements of end users.  Isn’t what Musk has done the holistic integration of data acquisition and initial assessment of the three components of an Audit?

    There are no longer three components (four if one included financial reporting) but ONE.  Not just Game Changing but the Creative Destruction of the esteemed auditing profession.

    Future Role of Professional Services

    This writer’s career spans the gulf of large software development teams to the configuration using tools by as few as one individual.  This is a pattern many processes deal with, for example fast food, discrete manufacturing, energy exploration, medical and others.

    Jobs are retooled and affected individuals find careers elsewhere and by the way, you’re never too old.  Millions of individuals in the private sector have met this challenge and some more than once.

    Apparently, Musk only had four (4) IT types working on this DOGE project.  Certainly, others had to assess his findings and make decision, but the data acquisition was inexpensive and fast.

    This suggests massive and wrenching changes to the professional services status quo.  Smaller, focused with fewer billable hours compensated teams.  The upside, this may lead to a Value Pricing Model.

    Musk Auditing LLC?

    Has Elon launched another company with the high visibility first customer?  This pundit thinks so.  And what a demo!

     “The US Auditing Services Market size is estimated at USD 51.88 billion in 2025, and is expected to reach USD 60.94 billion by 2030, at a CAGR of 3.27% during the forecast period (2025-2030).”  I rest my case.  Then there is the Rest of the World!

    One lesson for all of us; any profession can be instantly made irrelevant with emerging technologies and the will power of new entrants.  At all costs, stay ahead of the curve.

     

    How will your organization deal with this game changer?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the 2023 book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be released by CRC Press in April 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Can Machines Think?

    Can Machines Think?

    In 1950, the mathematician Alan Turing put forth this question.  Rather than attempt to answer it using conventional logic, he proposed a new disruptive model–the Imitation Game.

    The Problem

    One can look at Alan Turing (1912-1954) as the “father of theoretical computer science and artificial intelligence.”  His contributions to modern computer science cannot be understated.  He posited whether computers could one day have the cognitive capabilities of humans.  Some argue that day has arrived.  Yet, how do we know?

    The Turing Game

    The Imitation Game is played by three people (humans).

    (A) a Man,

    (B) a Woman, and

    (C) an Interrogator (of either gender)

    • The Interrogator, segregated into a separate room, is to determine which of the two players is the man and which is the woman.
    • The interrogator askes the two players (known only as “X and Y” or “Y and X”) a series of questions, the answers to which are written or passed through an intermediary so as not to expose the player’s gender.
    • The role of Player (B) is to assist (C) determine the gender of (A), while (A) is to deceive (C).

    However,

    • “What will happen when a machine takes the part of A in this game?  Will the interrogator decide wrongly as often when the game is played like this as he does when the game is played between a man and a woman?  These questions replace our original, Can Machines Think?

    In his paper, Turing goes to elaborate in detail but for our purposes, the bottom line.

    Will the error rate from a human only decision process be the same as when a machine (digital decision maker) become one of the players?

    Early AI and the Turing Test

    In 1955, McCarthy and Shannon, along with Marvin Minsky and Nathaniel Rochester, defined the AI problem as, “that of making a machine behave in ways that would be called intelligent if a human were so behaving.  In 2013, when asked about Turing’s test in a taped interview, Minsky said, ‘The Turing test is a joke, sort of, about saying a machine would be intelligent if it does things that an observer would say must be being done by a human.’”   This materially connects the early definition of the AI problem to Turing’s test.

    Our intent here is not to split academic hairs but to put forth this concept that predates most readers and is typically not a subject of serious discussion.  The point being that the problem was documented 75 years ago or earlier and this pioneering thinking is the basis of our contemporary definition and implementation of Artificial Intelligence.

    Before Turing

    In one sense, we all stand on the shoulders of giants who preceded us.  “When you think about the origins of computer science, the name Ada Lovelace might not come to mind immediately—but it should.  Born in 1815, Ada Lovelace was an English mathematician and writer whose visionary work laid the foundation for modern computing.  Collaborating with Charles Babbage (considered to be the father of computing), the inventor of the Analytical Engine, Lovelace wrote what is widely recognized as the first algorithm designed for a machine.”

    Ada was the first to explicitly articulate this notion and in this she appears to have seen further than Babbage.  She has been referred to as ‘prophet of the computer age‘.  Certainly, she was the first to express the potential for computers outside mathematics.”  In the computer Familia, we might also want to think of her as the grandmother of computing.

    Other women who played a major role in the evolution of Artificial Intelligence (after Turing) include Navy Rear Admiral Grace Hopper, the inventor of the first compiler for a programming language as well as other innovations.  Many others made significant contributions.  No doubt women will continue to play a vital role with this game changing technology.

    The Solution(s)

    Twelve years have passed since Minsky’s statement that the Turing test is a joke.  Today’s artificial intelligence capability has changed that landscape.

    The argument becomes, not can ‘we’ meet the Turing test, but how far and fast will it be eclipsed.  This suggests exciting times with associated challenges and risks.

    Contemporary Thinking about the Test

    “As AI systems are increasingly deployed in high-stakes scenarios, we may need to move beyond aggregate metrics and static benchmarks of input–output pairs, such as the Beyond the Imitation Game Benchmark (BIG-bench). We should be prepared to evaluate an AI’s cognitive abilities in a way that resembles the realistic settings in which it will be used.  This can be done with modern Turing-Like Tests.”  As shown in the following figure.

    Looking ahead, Turing-like AI testing that would introduce machine adversaries and statistical protocols to address emerging challenges such as data contamination and poisoning.  These more rigorous evaluation methods will ensure AI systems are tested in ways that reflect real-world complexities, aligning with Turing’s vision of sustainable and ethically guided machine intelligence.”

    Computer Game Bot Turing Test

    “The computer game bot Turing test is a variant of the Turing test, where a human judge viewing and interacting with a virtual world must distinguish between other humans and video game bots, both interacting with the same virtual world. This variant was first proposed in 2008 by Associate Professor Philip Hingston of Edith Cowan University, and implemented through a tournament called the 2K BotPrize.”

    This pundit believes that the Turning test dam has been broken, and greater things lie ahead.

    Today’s Father of AI – Geoffrey Hinton, The Nobel Prize in Physics 2024

    “When we talk about artificial intelligence, we often mean machine learning using artificial neural networks. This technology was originally inspired by the structure of the brain.  In an artificial neural network, the brain’s neurons are represented by nodes that have different values.  In 1983–1985, Geoffrey Hinton used tools from statistical physics to create the Boltzmann machine, which can learn to recognize characteristic elements in a set of data.  The invention became significant, for example, for classifying and creating images.”

    Together with John J. Hopfield, they used physics to find patterns in information.  Dr. Hinton has expressed some concerns regarding his (AI) child as he states in the following interview from October 9, 2023.

    Theoretical Basis of Tests

    In this pundit’s opinion, the Turing test used Game Theory as a fundamental underpinning.  A later theory, Relationships, Behaviors and Conditions enables newer derivatives of the original Turing Test as well as supports different approaches to the problem.  These theories are briefly described.

    Finally, it is not necessary to read this section, as these details are provided for completeness and to support the position taken.  We understand that this level of detail is not for every reader.

    Over the past few years, there has been an impassioned argument regarding ‘The Science.”  We addressed this issue in 2020, and the following paragraph is taken from that Blog, They Blinded Me with Science.

    “According to Scientific American, Scientific claims are falsifiable—that is, they are claims where you could set out what observable outcomes would be impossible if the claim were true—while pseudo-scientific claims fit with any imaginable set of observable outcomes.  What this means is that you could do a test that shows a scientific claim to be false, but no conceivable test could show a pseudo-scientific claim to be false.

    Sciences are testable, pseudo-sciences are not.”

    There is academic peer reviewed agreement that both Game Theory and RBC hypotheses are testable.

    Game Theory

    Concurrent with Turing’s Imitation Game development, game theory was being formalized as an approach towards economic behavior modeling among economic ‘rational’ actors.

    Game theory emerged as a distinct subdiscipline of applied mathematics, economics, and social science with the publication in 1944 of Theory of Games and Economic Behavior, a work of more than six hundred pages written in Princeton by two Continental European emigrés, John von Neumann, a Hungarian mathematician and physicist who was a pioneer in fields from quantum mechanics to computers, and Oskar Morgenstern, a former director of the Austrian Institute for Economic Research.  They built upon analyses of two-person, zero-sum games published in the 1920s.”  This treatise was developed from the works of other pioneers of the 1920s and 1930s.

    An interesting side note, “The software industry is a little over half a century old (in 2005), but its roots date back to the textile loom programming of the seventeenth century that powered the Charles Babbage Difference Engine. In 1946, ENIAC (Electronic Numerical Integrator and Computer), the first large-scale general-purpose electronic computer built at the University of Pennsylvania, ushered in the modern computing era.

    That same year (1946), John von Neumann coauthored a paper, Preliminary Discussion of the Logical Design of an Electronic Computing Instrument.  The von Neumann general purpose architecture defines the process of executing a continuous cycle of extracting an instruction from memory, processing it, and storing the results has been used by programmers ever since.“(1

    Perhaps, this is part of the collision of the two major breakthroughs: Game Theory and the modern Computer Architecture.

    In 1996, this author’s doctoral dissertation, Cross Cultural Negotiations between Japanese and American Businessmen: A Systems Analysis, (Exploratory Study) was “An exploratory test of this framework in the context of two-person zero-sum simulated negotiation between Japanese businessmen and American salesmen, both living and working in the United States.  The integration of structural (game theory) and process theories (RBC) into a dynamic systems model seeks to better understand the nature of complex international negotiations.  Advanced statistical techniques, such as structural equation modeling are useful tools providing insight into these negotiation dynamics.”

    This work is the basis for the Cloud based Serious Games used to train Cross Cultural Teams.

    Relationships, Behaviors and Conditions (RBC) Framework

    This model has been part of numerous this pundit’s writings since 1996.  A brief overview from a 2011 article follows.

    “The Relationships, Behaviors, and Conditions (RBC) model was originally developed to address issues around cross cultural (international) negotiation processes.   Relationships are the focal point of this perspective, reflecting commonality of interest, balance of power and trust as well as intensity of expressed conflict.

    Behavior in this model is defined as a broad term including multidimensions – intentional as well as unintentional.  Finally, Conditions are defined as active and including circumstances, capabilities and skills of the parties, culture, and the environment.  Of course, time is a variable in this model as well.

    One key feature of the R B C Framework is its emphasis on interactive relationships while providing an environment for multiple levels of behavioral analysis. This makes it a useful tool to better understand the new regulatory processes currently unfolding.  As we will see later, the number of constituents now engaged belays the use of simplistic linear decision models.”(2)

    Operational Excellence

    The following excerpt from our 2017 Blog, Excellent Behaviors: Assessing Relationships in the Operational Excellence Ecosystem addresses the role of the RBC Framework in organizational excellence.

    “One of the hot business buzzwords of 2017 is “Operational Excellence.” It has been the subject for many pundits, including this one.

    In October and November we published a two-part series, Assuring Operational Excellence from Contractors and Their Subcontractors through BTOES Insights.  Each part included a link to additional information.

    The October edition featured an excerpt of our Implementing a Culture of Safety book. In the November edition we released our new Best Practice solution, Attaining & Sustaining Operational Excellence: A Best Practice Implementation Model. We are proud to make it available herein and in general.

    One of the basic tenets of the RBC Framework is the general construct that Relationships cannot be determined a priori.  The well-used example is a man and a woman sitting on a bench at a bus stop.  Are they married, siblings, coworkers, friends or simply two people waiting to catch the same/different bus?

    Their relationship cannot be known directly. However, their Behaviors will provide insight into how they relate to each other.  Romantic behavior may indicate marriage, dating, an affair etc.  They may still be coworkers but most likely are not strangers.

    The third dimension, Conditions (environment) can be considered the stage upon which behaviors play.  So, what does this have to do with Operational Excellence?

    Another component of our digital environment is Human Systems Integration (HSI). In our forthcoming book, we have defined HSI as, “Human Systems Integration (HSI) considers the following seven domains: Manpower, Personnel, Training, Human Factors Engineering, Personnel Survivability, Habitability, and Environment, Safety and Occupational Health (ESOH).  In simple terms, HSI focuses on human beings and their interaction with hardware, software, and the environment.”

    We have crossed the Turing Rubicon.  How will your organization capitalize on these Opportunities?

    Hardcopy References

    1. Shemwell, Scott M. (2005). Disruptive Technologies—Out of the Box. Essays on Business and Information Technology Alignment Issues of the Early 21st Century. New York: Xlibris. p. 127.
    2. _______ (2011, January). The Blast Heard Around the World. Petroleum Africa Magazine. pp. 32-35.

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the 2023 book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be released by CRC Press in April 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Who Owns the Intellectual Property Generated by AI?

    Who Owns the Intellectual Property Generated by AI?

    Disclaimer:  The author is not an attorney, and this document is not meant to be a legal opinion in any sense.  Interested readers should contact their legal counsel for any Intellectual Property (IP) determination.  This blog simply raises a question that is generally not addressed regarding ownership rights of the content and products developed using artificial intelligence emerging technologies.  One suspects that going forward, this issue will become more forefront.

    Moreover, this is a fast-moving environment with new local laws and promulgated regulations continuously updated.  Readers are cautioned that some of the materials herein may be quickly dated.  Appropriate legal counsel and other experts should be consulted.

    Like most new software technologies, there is a period of the Wild West where anything seems to go.  Artificial Intelligence (AI) has been no different, but now these horses are beginning to be reined in.

    It is generally accepted that the ownership of content developed using third party software belongs to the generator of said content.  Data, the results of analytics and their interpretation, computer generated audio video materials, etc. are generally covered by this convention and codified by law.  The spreadsheet vendor does not own the financial analysis that leads to major value add to the firm.  Conversely, if the financial model is flawed, the software developer is generally not liable.

    However, Artificial Intelligence is a different technology model.  It dictates that organizational AI policies recognize the disruptive change caused.  For example, the publisher of my new book, Navigating the Data Minefields: Management’s Guide to Better Decision-Making has issued its author, AI Policy.

    An AI engine searches for data and information from a wide variety of sources.  It then amalgamates and analyzes and/or develops what some consider a new product or solution–document, image, or new approach/model, e.g. medical technique.  However, did the AI secure permission from the data owner(s) or even cite its source(s)?  The most likely answer is no.  A follow-on statement might be, “why do we need that?”

    Copyright

    According to the U.S. Copyright Office, Copyright is a type of intellectual property that protects original works of authorship as soon as an author fixes the work in a tangible form of expression.  In copyright law, there are a lot of different types of works, including paintings, photographs, illustrations, musical compositions, sound recordings, computer programs, books, poems, blog posts, movies, architectural works, plays, and so much more!”  The Copyright Office goes on to state, “Works are original when they are independently created by a human author and have a minimal degree of creativity.”
     
    In the UK, “Two conflicting views emerged.  The tech sector believes the copyright to AI-generated content should belong to users, whereas the creative sector wants this content to be excluded from ownership completely.”
     
    From a 2022 Reuters article about a lawsuit over, Gen AI generated content.
    “Accordingly, unless a generative AI is used in such a manner that its output would be recognizably linked to some person or entity who is likely to actively police the use of their works and whose works are likely to be registered, the risk of the generative AI’s users being sued for infringement seems low.
     
    In practice, the legal issues surrounding generative AI mean that its outputs should be handled in a manner similar to materials covered by open source or creative commons licenses — i.e., with policies and procedures which ensure use only in appropriate manners and cases.  This includes determining if a project where generative AI would be used is something whose results would need to be protected and, if so, determining whether tools are available for that protection other than copyright.
     
    It also includes avoiding high risk uses, such as using generative AI to attempt to replicate the work of a particular artist whose materials were used as training data. However, with intentionality and forethought, the risks associated with generative AI can be managed, and this new technology can bring tremendous benefits to those who deploy it intelligently.
     
    Later, we will address two other types of Intellectual Property, Patents and Trademarks.  Both have a lengthy pedigree as well that must be considered in our new AI era.
     

    Data Privacy

    Data privacy and security are major issues organizations must deal with, and the regulatory burden is onerous.  Most readers have heard of HIPPA; the need to keep individual medical records confidential.  HIPPA is symptomatic of the need to treat ALL data in secure and private.

    From the GDPR, “The General Data Protection Regulation (GDPR) is the toughest privacy and security law in the world.  Though it was drafted and passed by the European Union (EU), it imposes obligations onto organizations anywhere, so long as they target or collect data related to people in the EU.  The regulation was put into effect on May 25, 2018.   The GDPR will levy harsh fines against those who violate its privacy and security standards, with penalties reaching into the tens of millions of euros.”

    The EU regulations are viewed as the ‘gold standard’ and others worldwide are in the process of emulating them.  Increased date management regulations are a given, as is their impact on AI learning.

    IP Guardrails

    Individuals and organizations jealously guard their intellectual properties, as they should.  Just think of the significant value Disney has built over 100 years from a cartoon mouse.

    Some may see AI as an assault on the organization’s core and take legal action they believe appropriate.  Others will try to capitalize on loopholes.  This is not different behavior from the IP current practice.

    AI advocates will find themselves in the midst of what could be a significant number of legal challenges as the technology and its regulation matures.  The current long-standing legal battles over social media platforms is but one example of this process.

    IP Ownership of AI Generated Content: The Movie

    Summary of the Video

    Briefly, in the video dated January 7, 2024, the attorney makes the following key points:

    • Copyright extends only to humans and AI content generated by products such as ChatGPT do not meet the ‘human’ authorship test.  However, if a human is actively engaged in the development of (and change) said content, things get less clear.
    •  Regarding AI generated inventions, Patent law becomes more relevant.  The speaker argues that ‘at least today’ patent laws mirror copyright because human creativity is key.
    • As far as AI generated Trademarks are concerned, these products such as logos, tag lines, etc. do not enjoy original authorship protection, but their ‘first use’ has precedence.  For more information he references the U.S. Patent and Trademark Office (USPTO).
    • Finally, he states that this area of the law is unfolding, and change is likely.

    These points were transcribed by this pundit.  As such, they are only his perception and must be viewed skeptically when addressing a specific ‘real’ question regarding this subject matter.  The attorney’s fifth bullet is probably the most important one.

    Final Thoughts

    Intellectual Property ownership is an area that technologists and software developers are generally not involved with.  Additionally, many have historically treated the content found online as if it is in the public domain.  We now know that authorship should be attributed.

    For most of the things individuals and organizations do with online content this is not an issue.  Blogs, political opinion and technology critique among others come to mind.

    However, AI has the potential to change fortunes (wealth, reputation and other) of individuals and organizations.  Finally, the regulatory environment is evolving, and dramatic changes are most likely forthcoming.

    Individual creators, management and others have a responsibility to assure AI developed content meets, and not just the regulations (in each jurisdiction the firm operates in).  Moreover, governance enforcement models must add AI technologies and assure that others are not infringing on the firm’s IP with potential risks of capital and reputational loss.

    One Last Thing

    With the need to protect data as well as assure all key intellectual property is protected, will this negatively impact on the output of AI models?  What will be the basis of gen AI training if it cannot gain access to the universe of data they require?  And yes, I know we often sign away certain rights when we engage with some organizations, but we can ‘opt out’ of allowing access to our data.

    Another Blog for a later time but in the meantime, just a question.

    How is your organization addressing these and other Intellectual Property issues emerging from Gen AI and other content developers?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is the coauthor of the recently published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Strategic Sourcing?

    Strategic Sourcing?

    Is outsourcing software development strategic or simply a cost saving method?

    It Depends

    The most infamous words in software development.  Yes, it depends on the task at hand, but this cop out has long been a way to forego the development of a robust economic value and risk assessment.

    According to one vendor, “Engineering started becoming a commodity.”  But is this true if your product and organizational reputation are based on the long-earned perception that your organization provides the very best in safe and cost-effective solutions?

    What is your solution must work all the time, every time, e.g. medical equipment?  The list goes on, but readers get the point.

    Strategic Sourcing

    According to CIPS, the Chartered Institute of Procurement & Supply, “Strategic sourcing is about having a targeted approach to your procurement activity.  A sourcing strategy will help you to formalise the way you gather information, so you can find the best possible value that aligns with your organisation’s goals, long term.  Strategic sourcing is a long-term process and requires continuous re-evaluation of sourcing activities, analysis of the market and recognising your organisations goals.

    Strategic sourcing is important because it can help you save costs through the monitoring of the market and sourcing the right suppliers.  It also acts as a way to maintain long-term relationships with suppliers and they are selected on their compatibility with your organisation’s goals.”

    While strategic sourcing has its value, it cannot replace organization core competency.  These are two very different business requirements.

    Core Competency

    From One definition, “core competencies refer to the capabilities, knowledge, skills and resources that constitute its defining strengths.  Core competencies distinguish a company from other organizations and are, therefore, not easily replicated by those organizations, whether they’re existing competitors or new entrants into its market.”

    Not all engineering meets the test of core competency, but management must perform proper ‘due diligence’ before outsourcing technology and processes that either do or might meet this test.  In other words, effective Risk Profiling.

    Max 8 Headlines, Again

    The once storied aerospace firm, Boeing just can’t seem to catch a break.  A self-made purgatory: the gift that keeps on giving.  Offshoring engineering software development as a cost saving method appears to have backfired.

    Damningly, Multiple investigations – including a Justice Department criminal probe – are trying to unravel how and when critical decisions were made about the Max’s software.  During the crashes of Lion Air and Ethiopian Airlines planes that killed 346 people, investigators suspect, the MCAS system pushed the planes into uncontrollable dives because of bad data from a single sensor.

    That design violated basic principles of redundancy for generations of Boeing engineers, and the company apparently never tested to see how the software would respond, Lemme said.  “It was a stunning fail,” he said.  “A lot of people should have thought of this problem – not one person – and asked about it.”

    To this observer, it appears that this software met the test for core competency.  If this is the case, why would this be outsourced to save a few bucks?  It certainly appears to be outside the organization’s culture of redundancy that has served the organization well for decade.  A third-party vendor most likely would not share this cultural trait.

    How does your organization handle Bet Your Company procurement decisions?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the recently published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • The Crisis/Challenge of AI in 2025

    The Crisis/Challenge of AI in 2025

    “Many processes are repeatable and only data inputs change.”

                                                                                                         — Scott Shemwell, 2023.

    Technology disruption has been with humankind since the first invention.  We get used to one model and suddenly, a new way supplants the old.  Much has been written about the innovation process, and it is not the focus of this Blog to regurgitate the obvious.

    However, Wikipedia states, “Beyond business and economics disruptive innovations can also be considered to disrupt complex systems, including economic and business-related aspects.  Through identifying and analyzing systems for possible points of intervention, one can then design changes focused on disruptive interventions.”  This is the broader focus of this piece.

    Human Redundancy?

    One if the ongoing concerns, “will AI replace humans?”  As of this writing, many do not believe it will, at least anytime soon.  Interestingly, according to Harvard professor Karim Lakhani, “Just as the internet has drastically lowered the cost of information transmission, AI will lower the cost of cognition.”  This is consistent with the traditional path of Information Technology innovation.

    Moreover, this concern is not new.  In her 1983 paper, Ironies of Automation, Lisanne Bainbridge posited that there are inherent problems with automating workflow, humans are still required for tasks that are not easily (if at all) automated.  Oversight of automation requires more training in new job skills, not less.  More recently, the former Chief Scientist of the US Air Force points out the “Original Ironies of Automation is highly relevant with regards to today’s new wave of AI-enhanced automation.  Near misses and incidents involving human automation operations often arise from a mismatch between the properties of the system as a whole and the characteristics of human information processing.”

    In our forthcoming book we address the need for Strong Oversight coupled with Standardization and Risk Tolerance to address the broader need for upskilling today.  According to McKinsey, “Any engineering talent rethink needs to begin with an understanding of how gen AI will affect the product development life cycle.”

    Paraphrasing Mark Twain, “The rumors of Human demise are greatly exaggerated.”  AI is here to stay and should be embraced with cautionary guardrails as it is still immature and subject to error.

    Human Factors

    One pundit refers to the ‘Human Edge‘ as the competitive Advantage we have over machines.  This pundit has long been an advocate for Human Factors when it comes to managing technology, especially emerging technology used for process or production management.  The risk profile otherwise is just to0 steep and high.  One only has to look at the recent travails of the once venerable firm, Boeing.

    2025 and Beyond

    Artificial Technology, its future derivative products and solutions not yet envisioned will continue.  Most likely at the breakneck speed or faster of today.  Remember when we used to think of the Internet growth in terms of Dog YearsInsect Years may be the new metric.

    Many, including this writer as documented in our book, believe AI et al is just entering the explosive growth on the maturation curve.  We must live with it and the most successful will get ‘on board’ when the timing is right for them.

    Exciting times lie before us all and it is a great time to be alive, at least from a technology perspective.

    How are you, your family and work colleagues prepared for the future?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the recently published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • DOGE’d

    DOGE’d

    The Day the Congress Stood Still

    On December 18, 2024, Elon Musk delivered on the social media site, 𝕏  the death knell of a 1500+ page so called Continuing Resolution that was to stave off a Federal Government shutdown.  Later it was replaced with a much shorter (100+ page) bill that passed largely intact.

    This Out-of-the-Gate action by the Non-Government Organization (NGO), DOGE (Department of Government Efficiency) may foretell the next 18+ months of DOGE’s self-imposed life ending July 4, 2026.  This first Musk assessment revealed extensive and massive political pork earmarked spending.

    The Congress and all manner of hired bureaucrats may face increased public scrutiny, posted for all to see.  Who knows, the idea may expand to all levels of government and their hired hands.

    Creative Destruction

    Previously, we discussed this economic substitution model“The economist Joseph Schumpeter was the first to coin the term creative destruction–the destruction of old markets and those active in them through innovation, & inventing of new markets, this can be new technologies, methods, business models, services, or products.”  One can argue that the creative destruction cycle time is very short today.

    And perhaps getting even shorter!

    Gort or Grok?

    In the original (1951) movie, The Day the Earth Stood Still, the robot Gort has the ability to destroy the world.  It is prevented from doing so by the utterance (by a human) of the key words, “Klaatu barada nikto.”

    According to 𝕏, the Artificial Intelligence (AI) robot of today, Grok (formally defined as “to understand something”) “leverages the 𝕏 platform to understand what’s happening in the world in real time. We recently launched two additional features to enhance this experience even further: web search and citations.  Now Grok draws upon posts from 𝕏 and webpages from the broader internet to provide timely and accurate answers to your queries.  We also added citations, so you can easily dive deeper into a source to learn more or verify the information provided by Grok.”

    Fortunately, three simple words neutralized Gort, and the earth was saved.  Grok will not so easily be rendered impotent, unless the First Amendment is repealed.

    The government world has been (figurately) creatively destroyed and changed forever.  Moreover, in their world of consistent suboptimal performance, most have no idea what has already happened to their cherished long-standing bureaucratic processes.

    The Regulatory Public Comment period will never be the same.

    After DOGE

    It appears that Musk has put in place an AI solution that will live on after the formal closure of DOGE in 2026.  Grok and other emerging AI tools can continue to review and assess each and every piece of proposed legislation and other government edicts regardless of length and/or complexity.

    Like Hacking, those opposed to honesty will seek ways to thwart AI.  Those providing transparency solutions will need to stay one step ahead, just like law enforcement agencies that are required to enforce and uphold the law.  If accepted social behaviors norms are to prevail, transparency is demanded.

    Finally, we can “read the bill to find out what is in it.”  Prior to voting!

    This Accountability Sucks!

    Well, get over it!  One suspects entrenched vested interests will try to find ways around this revolution, but likely to no avail.  There is not only a new sheriff in town, even after he leaves, the new accountability will remain.

    And so much for the current media business model whereby either a single individual or small group amalgamates society’s daily activities and present the proletariat with their (often agenda driven/opinionated/biased) version of THE NEWS.

    How will you take advantage of the AI delivery of information?

    Pre order our new book

    Navigating the Data Minefields:

    Management’s Guide to Better Decision-Making

    We are living in an era of data and software exponential growth.  A substantive flood hitting us every day.  Geek heaven!  But what if information technology is not your cup of tea and you may even have your kids help with your smart devices?  This may not be a problem at home; however, what if you job depends on Big Data and Artificial Intelligence (AI)?

    Available April 2025

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the recently published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross-Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg and his book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Operational Excellence Enabled by Leadership in Technology

    Operational Excellence Enabled by Leadership in Technology

    Both books focus on the use of advanced information technologies to attain and sustain Operational Excellence.  Today, organizations are drinking from a firehose of advanced solutions such as Big Data, Artificial Intelligence, Machine Learning, Business Intelligence, Virtual Reality, Digital Twins and much more.

    Moreover, the roles of executives at all levels are changing.  It is no longer satisfactory to leave major decision to Chief Technology/Digital/Information types.  Everyone has a stake in these (in some case $100 million or more, bet you company decisions).  For example,

    • The business need must be identified, verified and a detailed plan put in place to acquire and implement the technology of choice.
    • Is this aligned with organizational objectives?
    • How will these new technologies integrate into existing systems, if at all?
    • Does the organization have the maturity to undertake this process?  In other words, is it culturally ready and if not, what must be done to get ready?  Examples include upskilling the workforce, what new skills will be needed and so forth.

    The list is lengthy and detailed which is further explained the new book mentioned.  Additionally, what role do non-IT executives play in this process.  The Blogger believes is it no longer satisfactory to outsource the future ‘core competencies’ to the technology staff or key third parties, including Systems Integrators.  The so-called experts.  What agendas do these parties have and are they aligned with the organization mission and strategy?

    Bet Your Career

    These advanced and emerging and sometimes very immature software solutions will touch every division, department and individual employees as well at the organizational ecosystem.  Poor performance will end careers and possibly organizations.  As always, there will be winners and losers, both at the organization level as well as individuals.

    We could go on, but readers get the point.  This is game-changing for industry sectors, organizations including government agencies and finally for individuals.  Big decisions will need to be made and soon.

    What are you doing to prepare of this transformational tsunami?

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the just published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    We are also pleased to announce our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg ands his latest book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Let’s Test Artificial Intelligence

    Let’s Test Artificial Intelligence

    This author is working on a book to be published in early 2025 that addresses issues about the decision to procure and implement today’s exploding technologies such as Artificial Intelligence (AI).  So, for this edition, we wanted to try something new.  We are going to ask Chat GPT how to sell Artificial Intelligence and glean knowledge from this non-human response.

    We will ask the following and present the AI response.  Do to space limitations we will limit the length of the AI answer.  Finally, how does the AI response compare to experience?

    Question: What are the Top Ten B2B Sales Objections?

    We are licensed and used ‘Chatbot Pro powered by OpenAI.’ to obtain the following response:

    In B2B sales, encountering objections is common. Here are ten of the most frequent objections sales professionals may face:

    1. Price Concerns: “It’s too expensive.” Buyers often worry about how a purchase impacts their budget.

    2. Need for Approval: “I need to get this approved by my manager.” This highlights the longer decision-making process in B2B environments.

    3. Existing Vendor Loyalty: “We’re already working with another provider.” Customers may be reluctant to change suppliers due to established relationships.

    4. Timing Issues: “We’re not ready to make a decision right now.” This can signal that the buyer needs more time or is in a different stage of their purchasing journey.

    5. Lack of Trust: “I don’t know enough about your company.” Prospects may require more assurance regarding the credibility and track record of the vendor.

    6. Concerns Over ROI: “How can you guarantee a return on investment?” Buyers want assurance that the product or service will add value to their business.

    7. Complexity of Implementation: “The implementation process seems complicated.” Prospects may fear that adopting a new solution could disrupt their operations.

    8. Product Fit: “I’m not sure this meets our specific needs.” For B2B buyers, product alignment with their unique requirements is vital.

    9. Potential Risks: “What if it doesn’t work for us?” Buyers may worry about the risks associated with adopting new solutions or the potential for failure.

    10. Economic Conditions: “Given the current economic climate, we need to be cautious.” External factors, such as economic downturns, can lead to increased scrutiny on new expenditures.

    Addressing these objections effectively is crucial for closing deals in the B2B space.

    This is pretty impressive.  It is a simple example of the power this set of technologies can deliver if used properly.  Readers may remember an example of how not to use AI.  Some examples can be found in our Blog edition, How Stupid is AI?  Humans still develop Artificial Intelligence solutions.  Therefore, the relative value of this suite of technologies isa function of the expertise of those seeking to solve various difficult challenges.

    What Unreleased Value will you Address with AI and Why?

    We are pleased to announce our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making.  This is a book for the non-IT executive who is faced with making major technology decisions as firms acquire advanced technologies such as Artificial Intelligence (AI).

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the just published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg ands his latest book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Artificial Stupidity

    Artificial Stupidity

    Listen closely and pay attention as our menu has changed.

    The frustration to the automated phone operator are legend.  All of us have had our issues with this form of (non) customer service.

    Recently this pundit placed a call at a number provided by the vendor and went though all the (voice) menu items, only to hit the ‘other’ button.  At this point, I was advised to dial the number I already had.  So much for Artificial Intelligence (AI) and welcome to the era of Artificial Stupidity.

    Firms are all jumping on the AI bandwagon, even though the technology is immature at best.   Sound like the dot.com bomb of a quarter of a century ago.  One wonders, what damage to their brand are the organizations incurring?

    Enter the MVP Mindset

    In recent years the software development sector has ‘Dumbing Down’ the level of  product commerciality.  Minimum Viable Product or MVP can be defined as, “The version of a new product which allows a team to collect the maximum amount of validated learning about customers with the least effort.”  Used to be called BETA in the good old days.  Now MVP is often seen as THE commercially released product.  Dah, hence the issues, frustration and lack of credibility in so-called AI solutions.

    All Things AI

    As mentioned, AI is all the rage.  Much like a fashion statement. everyone is jumping on that bandwagon.  But does it work?  Moreover, it encompasses a large spectrum of operations.

    Basically, anything that need big data crunching.  Yet crunching numbers is only interesting at best.  What problem is being solved?  This is where the weakness continues.  Algorithms are only as good as their author.  Some argue machines will take over this task, but one doubts anytime soon.  For example, jet engine commercial airlines are over 65 years old but increasingly seem to have construction/maintenance issues.  What makes us think this technology will be any different?  The Technology Adoption curve can be very lengthy and full of potholes.

    The judicious use of commercial quality software makes the most sense.  Just because every one is doing it is not a shareholder value added.  In many cases a sloppy approach actually decreases equity value.

    What is your organization’s approach to new technology and how does it add value?

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the just published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg ands his latest book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • AI or AU?

    AI or AU?

    Artificial Intelligence (AI) is all the rage but are these laudables premature?  Is it in really Artificial Unintelligence (AU) or just latest manifestation of the 30+ year old Expert System and a passing fad?

    Recently, none the less than Google (parent Alphabet) suffered a $100 billion market setback when their AI strategy suffered a lack luster performance.  This pundit has believed for a while that AI is ‘not ready for prime time,’ despite the continual harping about this world changing too.

    IT hype is not new.  The modern era for Information Technology most likely started with Alan Turing’s ‘Machine,’ circa 1936.  Ever since, society has endowed these inanimate objects with special ‘human like’ powers.  In our 2023 book, Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability, we asked the question regarding Machine Learning.  “What do you do if your machine is learning the wrong things?”

    In our forthcoming (2025) book, Navigating the Data Minefields: Management’s Guide to Better Decision-Making, we address this issue and its management in great detail.  In the meantime, management is well advised to treat all new technologies with a skeptical mind regards of what internal and external proponents with their agendas argue.

    We have known for decades that IT projects need to undergo the same scrutiny as any capital expense.  So why do these projects still get a pass?

    Over the years, we have chronicled major corporate failure such as Bud Light.  A nine (9) percent equity hit on one day because of AI hype puts that organization in that league.  Use common sense in technology assessments!

    What guardrails does your organization have in place to prevent major technology faux pas?

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the just published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg ands his latest book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.

  • Tomorrow’s Culture–Today!

    Tomorrow’s Culture–Today!

    When asked when something is needed, how many of us have heard or even said, “I need it yesterday?”

    Our world is turning  faster all the time.  The now quaint old phrase, “Internet is like dog years.  One human year is equal to seven Internet years” now seems like slow motion.  Change is all around us and always has been.  Those of us using the Internet in the early 1990s or earlier could not have envisioned today’s mobile devices much less Artificial Intelligence (AI) and who knows what the next ten years will bring.

    Previously, we have addressed Organizational Initiatives and why almost all of them Fail.  Interested readers should check that post out.  This blog addresses ways to move forward desired significant changes such as Cultural Transformation.

    Leadership?

    There are a number of euphemisms for leadership or lack thereof.

    • Talk the Talk, not Walk the Walk 
    • Do as I say, not as I do
    • Rules for me, but not for thee

    These are a few that come to mind and I am sure there are many others.  Humans are very good at determining duplicity, even seeing it as dishonesty.

    Even if it is not unethical, illegal or immoral–if looks could kill comes to mind.  Where it is a politician leaving for a vacation in Mexico during one of the worst floods in US history in his state or an airline CEO flying on a private jet in the midst of major air travel snafu during a holiday season, visuals matter.

    Follow Me‘ is the mantra of the US Army Infantry.  True Leaders, Lead!

    There is no such thing as leading from behind or telling people that you will be right behind them.  What organizational hill would you die on for this non-leader?

    Bottom Line

    It is easier to accelerate change or transformation than commonly believed.  Visible, consistent and constant leadership is the hallmark of success.  Also, answering the “What’s in it for me” question all will have with a meaningful response is key.

    For cultural transformation, the CEO is the agent of change.  He/She cannot delegate this to an Executive Sponsor and move on to other initiatives that will most likely fail too.

    What is Your Leadership Style and Why Would Anyone Follow You?

    For More Information

    Please note, RRI does not endorse or advocate the links to any third-party materials herein.  They are provided for education and entertainment only.

    See our Economic Value Proposition Matrix® (EVPM) for additional information and a free version to build your own EVPM.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor of the just published book, “Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.”  His focus is on Operational Technologies.

    “People fail to get along because they fear each other; they fear each other because they don’t know each other; they don’t know each other because they have not communicated with each other.” (Martin Luther King speech at Cornell College, 1962).  For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.

    For more details regarding climate change models, check out Bjorn Lomborg ands his latest book, False Alarm: How Climate Change Panic Costs Us Trillions, Hurts the Poor, and Fails to Fix the Planet.

    Regarding the economics of Climate Change, check out our recent blog, Crippling Green.

    For those start-up firms addressing energy (including renewables) challenges, the author can put you in touch with Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give me a shout.