The Rapid Response Institute

Tag: Decision Making

  • 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)?

    To Order

    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.

  • Dot Bomb 2.0 — ai Style

    Dot Bomb 2.0 — ai Style

    Are we doing this again with Artificial Intelligence?

    On March 10, 2000, a five-year dotcom bubble bursts on the Nasdaq Index. Even blue-chip tech companies lost more than 80% of their market value and it would be 15 years before Nasdaq would see that peak again.  “The dotcom bubble, also known as the Internet bubble, grew out of a combination of the presence of speculative or fad-based investing, the abundance of venture capital funding for startups, and the failure of dotcoms to turn a profit. Investors poured money into Internet startups during the 1990s hoping they would one day become profitable. Many investors and venture capitalists abandoned a cautious approach for fear of not being able to cash in on the growing use of the Internet.”

    At the height of the dotcom hype, organizations were changing their name (not just the domain) to include this suffix, i.e. Acme.com.  This attempt to differentiate almost became silly and the butt of jokes.

    Increasingly, this pundit is seeing a similar thought process when it comes to artificial intelligence. The new marketing moniker/domain is now Acme.ai.  We predict .ai identification will end in flames as did .com.  This is not to say artificial intelligence will go away but that it will become mainstream, just as the Internet did not fade into marketing oblivion. Online business is now just the way we do business and access to it is available to all at a marginal cost that approaches zero.

    Branding

    Much of this section is adapted from our report prepared for a United Nations Agency.

    The concept of the Brand is well established in marketing literature and practice.  The Brand is a messaging vehicle that seeks to position all consumers and stakeholders “on the same page.”  As discussed herein, it is a powerful construct and may be of useful to the nuclear power sector as it seeks to embody an AI Culture into all stakeholders.

    The theory of the Brand Wheel is addressed herein.  To address the Key Themes and concerns raised during the conference, it appears that “AI Culture” may need to become a “Brand.”  Strong Brands generate a powerful emotional response!

    For example, a positive brand such as BMW’s “the ultimate driving machine” (at least in the USA) transcend other issues such as the high cost of maintenance of these automobiles.  Negative branding often can never be overcome as the Coca Cola Company learned when they launched “New Coke” in 1985.  This company almost ruined a long-standing strong brand!

    Construct

    We put forth a Brand mental model for debate within the industry.  In this section, the construct or set of organizing ideas for consideration are developed.

    In accordance with the theory, the AI Culture Brand Wheel (High Level Framework) is composed of two major categories:

    Facts & Symbols or those components of the Brand that address the “hard” and often more measurable aspects. 

    • What the Product, Service, or Solution does for ME
    • How I would Describe the Product, Service, or Solution

    Brand Personality addresses the more emotional side of the Brand

    • How the Brand make ME look
    • How the Brand makes ME feel

    Populating the Wheel

    The Groups (developed in a workshop) in the following diagram are believed to be representative of major issues the sector faces.  It follows that any marketing message to stakeholders should address their concerns.

    These four quadrants were populated with over twenty Groups from the Affinity Diagram process.  This is a high-level approach to populate the wheel with the almost 200 AI Culture issues (variables) identified from participants.

    The following table shows the Groups by Brand Wheel Quadrant and the Rationale behind the categorization.  The focus is on the individual person and how he or she relates to the AI Culture Brand.  By extension, how individual stakeholders feel is how their organization or group feels about the Brand.

    The Brand Wheel is an easy-to-use model that helps organization position themselves in crowded market segments.

    Graphically, these Groups are shown in the following figure.  Seven Groups fall in the top two quadrants as more tangible variables (Fact) by nature and four in the Personality quadrants.  One can surmise that a Brand such as Systemic AI Culture would require substantial “technical” support to be credible.

    The intangible Groups can be considered the Brand emotional delivery mechanisms.  Collectively, the Systemic AI Culture Brand can be considered a key aspect the industry Go-to-Market strategy—selling Systemic AI Culture.

    Similar to the way an Affinity Diagram adds high value to the team doing the work, developing the Brand Wheel adds significant value to the process itself.  Figures and charts are visual representations of concepts that are highly appealing.  The Brand Wheel is one method supported by the Affinity Diagram to capture a large set and sometimes conflicting issues into a model individuals can grasp and internalize.

    Finalizing the Brand

    A brand Tag Line would be helpful to etch the construct into the minds of all stakeholders.  For example, High Reliability Management used the concept of Mindfulness—the practice of maintaining a nonjudgmental state of heightened or complete awareness of one’s thoughts, emotions, or experiences on a moment-to-moment basis, also such a state of awareness (situational awareness).

    Concluding Thoughts

    To be clear, branding is not the end game in marketing but one of many prongs used to achieve strategic advantage and greater shareholder value.  It is a convenient framework that captures the essence of who the organization is.  This approach is immensely more successful than simply attaching .ai to the organization name, hoping for differentiation.  Any competitor can do exactly the same thing.

    Earn your value the old fashion way, with viable products that solve problems, customers, profits and return to shareholders. Forget about the hype!

    Is your organization taking Rudyard Kipling’s advice to his son, “If you can keep your head when all about you are losing theirs and blaming it on you, if you can trust yourself when all men doubt you,
    but make allowance for their doubting too!”

    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 June 2025

    Ordering Information

    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.  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

    Ordering Information

    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

    Ordering Information

    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

    Ordering Information

    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

    Ordering Information

    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

    Ordering Information

    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 Years?  Insect 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

    Ordering Information

    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

    Ordering Information

    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.

  • Birds of a Feather . . .

    Birds of a Feather . . .

    Eagles Soar, others flock.

    Post the US election, it seems that many on the losing side are circling the wagons and pointing to the ‘other guy’ to blame for a series of political sins.  Like fish in a school, the belief seems to be that the crowd provides an element of protection.  But is this belief borne out by observation?

    Experience suggests that the masses can be figuratively slaughtered while the lone leader prevails.

    Keep Doing What You’re Doing

    Paraphrasing the Brown/Einstein quote about insanity, ‘many are doubling down on past behaviors that have already cost success.’  Yet we humans keeping going back to the old playbook.  Partially, because we do not know any other options.  Shame on those without a well thought out strategy (with options) because as we know, ‘No plan survives initial contact.”  If your political party just lost a major nationwide election, why would the first post-election reaction be to do more of the same?  Not all are taking this path, but based on the public media it seems many are.

    We often refer to the concept of Groupthink, “A process through which the desire for consensus in groups can lead to poor decisions.  Rather than object to them and risk losing a sense of group solidarity, members may remain silent and lend their support,” when speaking about group dynamics.  Let me posit that this sociological model does not address the dynamics of the losing side in the recent Presidental election.

    The Abilene Paradox

    The “Abilene paradox refers to a situation wherein no member of a group decides to contest a decision taken by the group, believing it to be the consensus of everyone, when in reality, none of the group members agree with the decision.  However, none of them speak up for the fear of going against the wishes of others and end up regretting not speaking up in time.”

    To this pundit, the Abilene paradox more closely mirrors what may have been happening to the losing presidential candidate team than many other social and behavioral models.

    The following short video provides a good and concise presentation of this methodology and its origin.  Suggest readers take a few minutes to watch it.

    Early Signals from the Markets

    Note: This paragraph is the opinion of this writer and not the result of a formal data analysis or use of any methodology.  Also, it does make one wonder if the results of the US Presidental election were borne out exclusively for the reasons many pundits are putting currently putting forward.

    Thanksgiving is the informal kick off for the holidays or Christmas.  It seems that the atmosphere this year is more upbeat, even joyous than in the recent past.  For example, starting with the so-called Black Friday (the day after Thanksgiving), “E-commerce was the biggest winner over the weekend, showing the strongest growth year over year. U.S. online sales for the weekend were $41.1 billion, and online spending set new records on each of the five days, according to data from Adobe Analytics.”  Despite persistent inflation, these sales figures are extraordinarily strong.

    Moreover, advertisers seem more willing to use the phase, “Merry Christmas” more than in the recent past.

    Perhaps, the outcome of the election excited the population, but maybe there is an additional factor to be considered.

    Retail marketers must develop champaigns well in advance of the purchasing season.  Decisions regarding inventory volume and key ‘in’ styles and toys etc. must be made.  Moreover, festivities, parades and other market Pull Drivers as well Push (when appropriate) must be developed, funded and implemented.

    Bottom Line–these efforts should be seen as a major Leading Indicator.  This suggests that retailers and other consumer/hospitality sectors had supporting data many months ago, i.e., Big Data Analytics.

    Hypothesis, while very important, the personalities in the election may have played a lesser role than many believe.  The rising tide lifted the boat of the candidate(s) that could sense this underlying movement higher better than those that did not pick up on these vibrations.  This is an important leadership trait.

    This does not diminish the role of candidates and positions taken.  We simply make the case that there is a broader social and economic movement afoot.

    This writer only has access to public information and the opinions of others on this subject.  There may be other processes and behaviors taken by the presidential parties (not publicized) that can either add or detract from the arguments herein.  Additionally, some public behaviors such as campaign budgets and spending habits are known and likely contributed to the wining process as well as the losing operation.

    Final Thoughts

    In the coming years many books, research papers and other documents will be written about the 2024 US Presidental election.  Some will add real value to the discussion, yet sadly many will seek to justify positions taken.  Others will label scapegoats.

    Likely, history will show that this election is but a single yet major impact event of a very large social transformation whose final impact we cannot yet surmise. 

    To be successful in this new environment, individuals and the groups they represent only gain actionable and factual knowledge when strict and structured methodologies are use based on strong data foundations.  In this piece, the November 15, 2024, edition The Transformation of Our Spreadsheet Society and others (previously published and future editions), we attempt to participate in these early discussions.

    What have you learned from the outcomes of November 5, 2024?

    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 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.

  • Never Ask a Tire Salesperson if You Need New Tires

    Never Ask a Tire Salesperson if You Need New Tires

    This Blog is dedicated to the memory of Eugene Lindsay, 1931-2015.  For many years, Gene was one of my sales representatives, confidant and a friend.  The title of this piece is attributed to him.

    The United States is still in the throes of the election aftermath and the President just pardoned his son; something he repeatedly stated he never would!

    The Not Good, The Bad and Absolutely Ugly!

    Form Information Can Take

    Even Biden’s hitherto staunchest supporters have turned on this so-called liar.  Never mind that he has a decades long visible track record of his verbal latitude with the facts, this seems to have broken the camel’s metaphoric back.  Moreover, this incident has seemingly opened Pandora’s Box regarding the loose running with the truth during the recent election cycle.

    In our forthcoming book (2025), Navigating the Data Minefields: Management’s Guide to Better Decision-Making, we address at length the following types of non-factual information:

    • Misinformation–“It can be a collection of false, fabricated, misleading and/or taken out of context.  However, it does not meet the test of Intent to Deceive.”
    • Disinformation–“The deliberate publication of private information for personal or private interest, as well as the deliberate manipulation of genuine content.”
    • Malinformation–“The deliberate publication of private information for personal or private interest, as well as the deliberate manipulation of genuine content.”
    • Deep-Fake–“Technology that can seamlessly stitch anyone in the world into a video or photo they never actually participated in.”  We saw some of this during this last election.

    When Guardrails Fail

    “The fury which destroys an opponent’s character, would stop at nothing, if barriers were thrown down.  That which is true of the leaders in politics, is true of subordinates.  Political dishonesty in voters runs into general dishonesty, as the rotten speck taints the whole apple.  A community whose politics are conducted by a perpetual breach of honesty on both sides, will be tainted by immorality throughout.  Men will play the same game in their private affairs, which they have learned to play in public matters.  The guile, the crafty vigilance, the dishonest advantage, the cunning sharpness;—the tricks and traps and sly evasions; the equivocal promises, and unequivocal neglect of them, which characterize political action, will equally characterize private action.  The mind has no kitchen to do its dirty work in, while the parlor remains clean.  Dishonesty is an atmosphere; if it comes into one apartment, it penetrates into every one.  Whoever will lie in politics, will lie in traffic.  Whoever will slander in politics, will slander in personal squabbles.  A professor of religion who is a dishonest politician, is a dishonest Christian.  His creed is a perpetual index of his hypocrisy.”

    —Henry Ward Beecher

    “Politics was a necessarily dirty game of treachery and deceit.”

    – Dave Robinson

    The tools now available with more yet to come enable nefarious characters to attempt new heights in propaganda.  Joseph Goebbels would be so proud.

    Those of us who they seek to become consumers of valid and reliable information must develop better ‘radar’ detecting mischief in information and/or data.  This will be an ongoing war with significant challenges determining actual facts–truth seeking.  Moreover, misinformation and bias can come from automated solutions including Artificial Intelligence.

    The saying, “If it sounds too good to be truth, it probably is,” applies today as much as ever.  Our book drills down much deeper regarding signs of fabrication.  We must forever be on guard for purveyors of lies are ubiquitous.

    And don’t forget.  Everyone has an agenda–good or some not so virtuous.

    Enter the Tire Salesman

    Gene Lindsay was a lifelong sales representative.  Selling was his stock and trade.  As might be expected from someone with his outgoing personality and background, he had a number of quips about the sales business.  The satire of this Blog title has stuck with me over the years.

    The obvious response is NOT to trust a sales representative of tires if you don’t know if you need one or more of his/her products.  Gene knew that professionalism and helping prospects/client to make the right decision paid more with greater personal rewards in the long run than ‘stretching’ the truth for immediate gratification/commission.

    NO is the appropriate sales objection in response to a tire sale representative, if in fact you do not need tires at this time.  Ethics and truth shines through and yes, someday we all will need tires and hopefully we will turn to Gene’s proteges.

    The Truth Will Set You Free

    We all must attain and sustain the mantel of a knowledgeable (buyer) consumer of information.  Our personal and professional success depends on this skill.  Moreover, teach your children, colleagues, friends and relatives this skill as well.  They will thank you for it every day they are required to make decisions.

    Our marketing buzz word driven world has invented a number of descriptions for those who wish us ill, scammers, porch pirates, politicians who ‘walk back’ statements (give me a break), etc. These individuals are just liars and thieves and should be vilified.  We should not credit them with some panache because of their chosen path.

    While some politicians may not actually break the law, their states expose who they truly are.  As Beecher stated, “Men will play the same game in their private affairs, which they have learned to play in public matters.”  In other words, the philosophy, “We are what we eat,” is inviolate.

    How do you and your organization determine whether information presented is tainted and/or past it’s “sell by date?”

    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 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.

  • The Transformation of Our Spreadsheet Society

    The Transformation of Our Spreadsheet Society

    “The only rules are the ones dictated by the laws of physics.  Everything else is a recommendation.”  — Walter Isaacson/Elon Musk

    We live in a spreadsheet society.  Columns of Categories of People and Rows of Wants, Needs, and Desires.  This model is too simplistic.  What is needed, and Big Data can provide, is a more sophisticated approach.

    This spreadsheet approach was shown in the recent US elections to be detrimental to the party mainly depending on this view of society.  How many times did we hear pollsters opine that X percent of a certain population was voting for one candidate vs. the other?  The categories of people were divided along traditional lines.  This whole model was shattered on November 2, 2024, and likely some providers of data in this format may no longer be in business for the next cycle.

    However, this belief system is not limited to the political class.  We all can fall into this stereotype.

    For decades we have been taught that data categories can be captured under a Normal Distribution (Bell) Curve of a category and row of interest, i.e., the distribution of the height of a class of male senior high school students or SAT scores.  Another more relevant example, retailers’ pertinacious obsession with the 18–34-year-old group.

    These are fairly simple models, and in this Blogger’s opinion, this representation rarely works anymore, if it ever did.  For example, the resulting retail sector inventory overages as a result of dependencies on this gross data model are not an effective return on shareholder value.  Other recent missteps based on faulty interpretation of the customer/prospect base include the Bud Lite advertising fiasco and the Target marketing failure.

    It is ok to make marketing mistakes, that is going to happen.  The problem with these two (and other) campaigns is the analysis of risk, return, etc. was likely shallow or mathematically primitive.

    There are ways to appeal to new consumers without alienating a large existing base.  It’s all in the big numbers.

    There are several validated models of human behavior and we will discuss two of them herein, Maslow’s Hierarchy and the Relationships, Behaviors, Conditions model.  Some readers may prefer others, and they will most likely work within this construct as well.

    Maslow’s Hierarchy of Needs

    This perspective on human needs and subsequent behaviors dates back to the 1940s.  As shown, it consists of five steps from survival to the ultimate Self Actualization.  Note that we adapt this model in two ways.  First, we view this as a growth process as opposed to five discrete steps.  Additionally, the bottom two lower ranges focus mostly on the physical issues we all face.  Fundamental survival and security both physically, mentally, emotionally and spiritually.  Once we have attained, sustained, and believe, we are ready to transition towards an end game, “the realization or fulfillment of one’s talents and potentialities, especially considered as a drive or need present in everyone.”

    Next, we will discuss how we can use this and the RBC solutions to realize specific and measurable value that changes this dynamic.

    The color gradient is meant to reflect that this journey is a process and often each field begins slowly before accelerating into the next range.

    Another perspective of each the Five Platforms consists of a number of smaller steps, which when assessed using Integral Calculus, generates a continuum.

    Relationships, Behaviors, and Conditions (RBC)

    The following is taken from our Cross-Cultural Online Game site:

    The RELATIONSHIPS, BEHAVIORS, and CONDITIONS (RBC) model was originally developed to address issues around cross cultural (international) negotiation processes.   As shown in the figure, Relationships are the focal point of this perspective, reflecting commonality of interest, balance of power and trust as well as intensity of expressed conflict.  Behaviors in this model is defined as a broad term including multi-dimensions and 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.

    Moreover, we have defined Behavioral Economics as “the decision-making model that incorporates societal, cultural, emotions and other human biases into the process as opposed to the classic rational economic actor.

    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 Big Data/AI processes currently unfolding.

    The following graphic is a derivative of our Cross-Cultural Interactions model.  It is a peer reviewed model and is a very good way to calibrate interactions.  Additional information is available on the above link.

    This author has long believed that we do not live in a linear or mathematically deterministic world.  A strong belief in stochastic, matrices drive much of my thinking.  This is reflected in the figure on the left.  The RBC model is the foundation for the five parties and their collective Behaviors.  The resulting Relationships range from one-on-one to small groups or in some cases a wide and varied constituency.

    Note that there is an Ecosystem, (something, such as a network of businesses, considered to resemble an ecological ecosystem especially because of its complex interdependent parts) associated with each entity other that the individuals’ who are the other four.

    This is a wide array of influences on any given individual.  Not easily measured, linearly!

    Scientific Method

    Most readers are familiar with how science has been brought into bolster the position of pundits/advocates of policy, especially related to Covid-19.  The word is tossed around casually, as if most who use it know what they are talking about.  Spoiler Alert–Most Do Not! This includes some with advanced technical or medical bona fides.

    Most think that by using the word ‘science’ this assessment process is out of their wheelhouse.  Previously, we argued that there is a layperson’s approach that works fine for most of our daily needs.  Details can be found on our Blog, They Blinded Me with Science.

    For space reasons, this (guidelines) model will not be repeated here but check it out, it is a short read.

    The late Nobel Laureate, Richard Feynman has a brief and layperson-oriented presentation on the Scientific Method.  He is an excellent teacher, and this clip is informative as well as entertaining.

     “If it disagrees with experiment, its wrong”—Richard Feynman

    Human Input Still Needed

    To be clear, pollsters and marketers will still need to ask questions that will also help structure the model, but the processes posited herein can change the weighting processes driving toward equilibrium and Pareto Optimality (Pareto efficiency implies that resources are allocated in the most economically efficient manner but does not imply equality or fairness) in the final analysis.  In other words, higher quality results.

    These numbers can also be seen as ‘first value’ in a simulation.  Another way to look at this is to the logic the Turing (Bombe) Machine of World War II.  Not setting a number as itself.

    Then AI can take the model to the next level and provide pollsters/marketers with real, modern solutions.  Finally, other uses will most likely be derivatives of this solution.

    The Data Management Problem

    We have identified a general problem as well as three valid and reliable theories.  This is only a nice discussion without relevance with Valid, Reliable, and Timely (VRT) data.  Data Management has been a problem as long as there has been data, stone, paper or electronic.  It has always been an issue.  “Herman Hollerith is given credit for adapting the punch cards used for weaving looms to act as the memory for a mechanical tabulating machine, in 1890.”  Much later (circa 1950s) digital database management schemas emerged.  Today, we are flooded by data of all types including telemetry and deliberately false data/information.

    How can this be effectively managed and how can an executive without a technology background survive much less thrive in such an environment?

    For decades, this author has been involved in almost all computer system development from the yellow punch tape of the 1960s until today.  There have been several constants over that period.

    One of the biggest chronic challenges has been database management; from the acquisition of data through its life cycle until achieve.  An outcome of poor data management has been decisions that have even led to the demise of firms, along with tens of thousands (if not more) of suboptimal decisions at the expense of shareholder value (bottom line/stock price).  What makes the current crop of Big Data/Artificial Intelligence advocates any smarter than those who came before?  Nothing!  Unless some things are changed.

    Our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making 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).  The following and other managerial action items are developed in detail.

    • How to determine the quality of the data and its relevance to the decision-making processes.
    • Current Challenges and Trends in Big Data and associated applications.
    • Proposed organization structure such as High Reliability Organization and an understanding of Human Factors to fully realize the full and measurable economic value from these technologies.
    • A full set of Risk Mitigation and a Governance model including Disaster Recovery and Cyber Security.
    • How these technologies are used in Operations, a proposed Management System as well as numerous Case Studies across a number of industries and types of problems.

    The challenge of managing this suite of emerging AI/Big Data is daunting and one that cannot be dodged or delegated.  How organizations respond can be the difference between success or the destruction of shareholder value.

    It’s The Data Stupid

    Our pollsters are collecting and analyzing data that are self-reported.

    • A questionnaire is developed which may or may not reflect bias.
    • These questions are posed to potential respondents (phone and otherwise) who may detect a voice tone, and/or the subject may intentionally lie or mislead.
    • Finally, who answers the phone these days?  This skews the data sample and perhaps badly.

    Data collected in this manner is not subject to rigor and most likely wrong or skewed.  Finally, data collected in this manner is not suitable for the new Big Data Analytic models.

    One Proposed Better Way

    There are probably several much better ways to address political and marketing problems.  While no data source is perfect, we posit the following way to use the US Census data.  We can treat it as a function of columns and rows yet apply sophistical data analysis algorithms.

    Categories

    As mentioned, we tend to clump or stereotype individuals into preconceived ‘buckets.’  Over time, these buckets have taken on an aura of, it’s the only way.  Basically, the construct that ‘we have always done it this way.’
     
    This is no longer a viable business or social model.  Our world is much too dynamic for the older static approach to targeting the likelihood of a specific demographic to perform in a preconceived prescriptive manner.
     
    One place to start looking is at the United States Census data.  This data set consists of 57 profiles, The United States and each State and Territory.  Each Profile is divided into several Sub-Categories, Populations and People, Income and Poverty, Education, Employment, Housing, Health, Business and Economy, Race and Ethnicity, and Nearby States.  Each Sub-Category is further detailed.
     
    We might even call the data in these Categories/Sub-Categories, Conditions from the RBC model.  Each Platform in Maslow’s Hierarchy can be considered a Category with infinite Sub-Categories.  Likewise, Conditions.

    Rows

    We have identified the following three variable model as representative of human Behaviors–Wants, Needs, and Desires.  We have previously reviewed some of this in our Blog, Want – Like – Need  in 2019.  These can also be mapped to Behaviors in both the RBC and Maslow models.
     
    Details and a short list of some variables follow.  These definitions can overlap, and readers will note that there is some duplication across all three classes below.  Researchers use different definitions for each class.  This does not detract from the fundamentals of Rows selected for analysis.  
    The point is to develop a list of behaviors that is indicative of the problem to be solved.

    Wants

    For purposes of this model, we define Want as something that an individual might seek as part of normal life, i.e., and ice cream cone.

    Needs

    Those fundamentals of life, especially as defined in Maslow’s Hierarchy, platforms one and two.

    Desires

    Different from Wants, Desires are perhaps beyond his/her reach.  Coveting a promotion and willing to back stab co-workers to get it rather than compete on merit.

    Sources of Wants, Needs, and Desires

    We have suggested that a starting point for Categories is the very large US Census database.  No such singular source exists for these behaviors and there is an overlap in definitions.  This list gives readers a starting point.  In no particular order, this non-comprehensive includes:

    The list goes on, but readers get the point.  A large row of behaviors will help develop a robust model.

    And The Answer Is

    While we know that the solution to the political pollster and/or marketing manager is not a definitive answer, we can do better than we are.  We know how to management data in this environment and we have models for assessing and making decisions based on results.  As we move from simple, small data set, linear models to robust Big Data Analysis, we need to consider a few additional action items.

    Scientific Method

    Do not forget to use this methodology to define and refine your problem statement.

    Model Limits

    • While we are using a significant number of independent and dependent variables, we are not trying to solve world hunger.  Therefore, we need to put limits on (Bound) the model.  This is an age-old problem we first addressed in 2015, Bounding the Boundless.
    • From a scientific perspective, “Across all science, modelling is our most powerful tool, as models let us focus on the few details that matter most, leaving many others aside.  Models also help reveal the typically far-from-intuitive consequences when multiple causal factors act in combination.”
    • Additionally, “Getting AI/ML/DL systems to work has been one of the biggest leaps in technology in recent years, but understanding how to control and optimize them as they adapt isn’t nearly as far along.  These systems are generally opaque if a problem develops in the field.  There is little or no visibility into how algorithms are utilized, or how weights that determine their behavior will change with a particular use case or interactions with other technology.”
    • Moreover, “the European Union this week (2021) issued guidelines for AI — specifically including ML and automated decision-making systems — limiting the ability of these systems to act autonomously, requiring ‘secure and reliable systems software,’ and requiring mechanisms for ensuring responsibility and accountability for AI systems and their outcomes.”

    Diminishing Returns

    Since we are not boiling the ocean, at some point continuing with the model will result reduced performance.  According to Economists, “The law of diminishing returns says that, if you keep increasing one factor in the production of goods (such as your workforce) while keeping all other factors the same, you’ll reach a point beyond which additional increases will result in a progressive decline in output.  In other words, there’s a point when adding more inputs will begin to hamper the production process.”

    “Data is just a way of codifying information. Any data gathered should be relevant to a problem, otherwise useless data clouds the results of a query.  If there are too many degrees of freedom, you are begging for a spurious correlation.”

    Readers may be familiar with, “The Pareto Principle, also known as the 80-20 rule, is a concept that many have adopted for their life and time management.  It is the idea that 20% of the effort, or input, leads to 80% of the results or output.  The point of this principle is to recognize that most things in life are not distributed evenly.”  This may be a satisfactory approach to this application.
     

    Need for a Data Scientist

    This approach may require the use of a professional data scientist to realize a valid and reliable outcome.  “A data scientist is an analytics professional who is responsible for collecting, analyzing and interpreting data to help drive decision-making in an organization.  The data scientist role combines elements of several traditional and technical jobs, including mathematician, scientist, statistician and computer programmer.  It involves the use of advanced analytics techniques, such as machine learning and predictive modeling, along with the application of scientific principles.  As part of data science initiatives, data scientists often must work with large amounts of data to develop and test hypotheses, make inferences and analyze things such as customer and market trends, financial risks, cybersecurity threats, stock trades, equipment maintenance needs and medical conditions.”

    More

    This is not a definitive list and is provided to give readers an understanding of what it will take to move forward with the Big Data Analysis model.  Appropriate research and problem definition may reveal additional or fewer requirements.

    Demise of Linear

    The Linear broadcast approach to selling or changing minds is not the relevant delivery vehicle for new micro-data analysis.  Directed notifications is better although practice this with care.  This last election cycle, I received a text, words to the effect, “can we count of your vote for X?”  I was very much against X and no reason was offered to help me change my mind.  Get with the program and don’t be so lazy developing your spiel or message.

    Elon Musk’s ‘Algorithm’

    This is an interesting approach to problem solving that can have relevance to the issue discussed herein.  Can we reduce complexity without losing data fidelity, “The accuracy, completeness, consistency, and timeliness of data.  In other words, it’s the degree to which data can be trusted to be accurate and reliable.”

    His Five Step Process:

    1. Question Every Requirement

    2. Delete Any Part or Process You Can

    3. Simplify and Optimize

    4. Accelerate Cycle Time

    5. Automate

    Readers may ask, how does this fit in this discussion?  We bring this to your attention because it may help identify and bound the problem to be solved.

    Also, perhaps of some value is his, “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.”  A survey, analysis, etc. are all products and may benefit from this index model.

    Final Thoughts

    Most financial professionals will tell you that spreadsheets must foot (the sum of all rows must equal the sum of all columns).  Can societies or multiple societies foot their columns and rows?  Most likely not and if that is the case, data from this model is not valid or reliable.

    Most likely, this type of data will take the form of a Scatter Diagram (without correlation?) with some clumps or areas of intensity of a specific category or group of categories.

    This may not be an approach that many will take; however, it is clear that the original premise of this piece, that we live in a spreadsheet society is no longer appropriate.  “If you always do what you always did, you will always get what you always got.” ― Albert Einstein.  It will be interesting to see how future polling is conducted.

    Non-Linear Speed Ahead

    Sometimes pieces like this summarize a conclusion.  In the high-pressure environment, we are not concluding anything.  We are carving a way forward–A Growth Model of the Data Economy.

    As of this writing the incoming US administration appears to be moving at hyper speed across a broad front.  Moreover, AI in particular exploding.  Those interested in keeping up may want to to Subscribe | Generative’s AI Newsletter (not an endorsement but seems be a good daily source of information).  Mostly, just keeping up will not be enough, if top quartile success is the goal.

    It will be interesting to see the role the family of Artificial Intelligence (AI) software solutions play in this field going forward.

    Micro-targeting is certainly a place for Big Data to shine.  That said the problem to be solved and the confidence in the validity and reliability of the data must ascertained. 

    Society faces some real challenges with how we manage, analyze and decide using data.  This is but one example where old methods no longer produce valid and reliable results.  How will you and your organization go forward?

    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 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.

    Copyright © 2024 The Rapid Response Institute LLC.  All rights reserved.

  • Operational Excellence Enabled by Leadership in Technology

    Operational Excellence Enabled by Leadership in Technology

    In 2025, our new book, Navigating the Data Minefields: Management’s Guide to Better Decision-Making will be released by CRC Press.  This is an accompanying book to our 2023 book, Smart Manufacturing: Integrating Transformational Technologies for Competitiveness and Sustainability.

    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.

  • What Do You Think About Artificial Intelligence?

    What Do You Think About Artificial Intelligence?

    The world is abuzz, not with the US presidential election, but with Artificial Intelligence (AI).  How do you feel about this game changing suite of technologies?

    Whether we agree or not, the AI tsunami is coming ashore.  What we, as individuals do about this phenomenon will dictate the remainder of our career and even quality of life.

    Do you see this as a threat or opportunity?  Technological advancement has led to the indoor flush toilet, horseless carriage and even the ubiquitous Smartphone.  What makes AI any different?

    The burden we all face when confronting the inevitable is to adapt.  Some jobs will be eliminated, (the preverbal buggy whip manufactures) and others will emerge.  Your task is to stay relevant.

    Beyond AI

    AI technology is not the beginning or the new, but the next step in the ongoing information technology resolution.  Expect much more to come and sooner rather than later.

    Humans have always had to develop and adapt to new technologies.  Our modern lifestyle is a testament to our collective success.  Embrace the change and as they saying goes “Yippee Ki-Yay,”  Or just go for it!  AI is only a step, more is to come.

    What are you doing to assure you are not left behind?

    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.

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  • The Times They Are a Changin!

    The Times They Are a Changin!

    Creative destruction is the dismantling of long-standing practices in order to make way for innovation and is seen as a driving force of capitalism.

    We live in an era of hyper-change.  Technology to be sure, but all social constructs are under duress.  The question is, how will all of us at an individual level deal with these enormous pressures?

    The statement, “The only constant is change” remains a basic truism.  From the time of our birth until our death we  undergo physical and psychological transformation.  At this writer’s age, I have been through more than seven decades of evolvement.  With hopefully a few more cycles in the future.

    Joseph Schumpeter (1883–1950) coined the seemingly paradoxical term “creative destruction,” and generations of economists have adopted it as a shorthand description of the free market’s messy way of delivering progress.

    The question is, would we have it any other way?  Some central government (most likely unelected) bureaucrat dictating how we should respond to social/economic forces is not only anti-American it is Fascist if not Communist policy.

    If Lenin and the Bolsheviks prevail in the upcoming US presential election, get ready for the disruption of life as we know it.  Welcome to East Berlin, circa 1960s.

    How will you preserver Capitalism, the best, worse, social construct?

    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.

  • How Do You Know the App is Giving You the Right Answer?

    How Do You Know the App is Giving You the Right Answer?

    We all rely on Apps for most of our decision making.  But, how do we know the app is providing the correct answer?

    The stories about spreadsheet errors are legendary and are usually the result of human ‘data entry’ or ‘calculation’ errors.  However, software can be the root cause for problems.  Software bugs are classified into three types:

    1. Software Defects by its Nature–The type of software, its functionality and role it plays with other software applications.
    2. Software Defects by its Priority–The likelihood of a severe impact on the software program.
    3. Software Defects by its Severity–The impact a defect can have on operations, other integrated packages, etc.

    Regardless of the software defect/error type, or caused by human misuse or data input issues, the results can be devastating.  The following 3.38 minute video does a good job presenting a high-level overview on this subject which is probably the level of detail a layperson should have on this subject.

    I Give, How Would I Know?

    The navigation system in my 2015 SUV routinely tells me that I have arrived at my destination a block or more before I actually have.  I know this from experience and expect this error.  However, we do not often have this level of visibility into the output of software.

    The long-time classic IT response to a question is, “It Depends.”  The argument meaning, that the answer is unknowable and I need more information.  This response from your IT division or third party contractors is totally irresponsible.  For example, they need to go find out and report back that Gaps exist and need to be addressed.

    If I am completing my expense account on my portal and the total sum seems incorrect, it is not the end of the world and this can easily be remedied.  If the decision has greater consequences or is risky, additional assessment should be sought.  For example:

    • If the recommendation is  based on the output of a spreadsheet or other app output is critical, have a neutral third party independently arrive at a conclusion.  It they agree, probably OK, if not more assessment is warranted.  If the discussion is, ‘We don’t have time,’ then perhaps the response to the decision to the question is NO!
    • Decision makers need to look at the three software issues listed above and answer the internal answer as to the impact of the software.  Not just the possibility of errors or incorrect calculations but the test of the impact on the organization if errors exists.  The CloudStrike episode is a case in point where that organization did not take Version Management professionally.
    • Finally, does the answer pass the ‘Smell Test?’  What do your experts say about the output; by they way they can be wrong.

    Much of this is subjective, but decision makers should treat this technology as the do with other technologies.  IT solutions can have a high impact on the firm, yet they can be disastrous as well.  The ultimate test; IT indicatives/decisions must be scrutinized with the same degree as any other corporate level decision.

    For the complex AI derived responses, the opinion writer suggests the humans trying to decipher this data, look to the Scientific Method.  This is tried approach to problem solving and even if only AI can provide an answer, the process to get this answer needs to be understood.

    This scientist was trained during the slide rule era.  As such we needed to understand the problem and how it would be solved, rather that an answer spit out from a computer.  This skill set needs to be resurrected in the AI era.

    Are you assured your software is accurate?  How do you know?

    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.

  • Is Chivalry Dead?

    Is Chivalry Dead?

    Some still believe that an individual’s word is his/her bond.  Or that the Marquess of Queensberry Rules still apply.  Sadly, for many, these statements are outdated.

    Blockchain is a, “decentralized digital ledger that securely stores records across a network of computers in a way that is transparent, immutable, and resistant to tampering.”  This is the reason it is famous for cryptocurrencies and lesser known but as important as the backbone of secure Supply Chain Management and invoicing/payment systems.  In this era of complex global business relationships with millions if not billions of transaction each year, the blockchain SCM is essential.

    And Yet!

    Not only are the well known and often comical scams running strong, some executives still seek to take advantage of the unwary and naive.  Guess both types of thieves will always be with us.  In addition to a lifetime of dealing with those who seek success at the expense of others, here are two recent use cases taken from the last 18 months, of which this Blogger has personal knowledge.

    The Handshake

    A small supplier of leased equipment to heavy industry ‘cut’ a deal with another small firm to lease equipment to a much larger organization of which the small firm had a business relationship.  In this case contract negotiations broke down but the equipment supplier shipped the equipment on a handshake and assurances the ‘paper’ was not necessary.

    As of this writing, there is a great deal of animosity and non-payment.  Likely, legal action will be taken to the detriment of both these small firms.

    The Contract Did Not Address

    In another ongoing situation, a one page agreement provided by the sales person of a small firm was accepted by the small buying organization.  No provisions we provided for accidents or incidents while the equipment was in the possession of the seller, but making changes to the total solution by a 3rd party who was partially directed by an engineer representing the buyer.

    A resulting fire rendered the equipment unsalvageable and the finger pointing commenced.  This was compounded, as the buyer’s engineer kept few if any notes and most communication was verbal.  The who will pay for the damage is still uncertain, as are next steps.

    Trust But Verify

    Chivalry is not defined as it was in the day of the knights and I think rightfully so, as we are not taking our swords to the field of battle against those believed to have wronged us.

    Contracts need not be the lengthy small print most think they are.  A contract must start with an offer (proposal) and its acceptance.  The do not need to be in writing but usually are.  They must be legal and have consideration (value exchange).  Finally, the contract is between ‘Capable Parties,’ those qualified to enter the agreement.  The written agreement typically has standard clauses or provisions including but not limited to assignments, arbitration, amendments, modification, notices, choice of law, force majeure and more.

    An average written contract would have saved all parties in the two use cases from a lot of personal and organizational grief.

    Finally, most larger organizations have put in place Operations Management Systems.  They go by a number of names but their purpose is to assure the contract is adhered too, especially for a complex project as well as document performance for the protection of all involved.

    Our firm has been directly active in this field for about 15 years but working in the area for over 50 years.  We have developed our software solution Smart OpEx that enables this business model for the benefit of all parties involved.  The proverbial “He said–She said,” goes away.  This has been addresses previously and more information is available on our website.

    Chivalry May Not Be Dead, but Consider that Handshake Management as Expired.  How will you manage even small business relationships going forward?

    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.

  • A Model for Technology Adoption

    A Model for Technology Adoption

    Oh My, I am Swamped by this Firehose of New Technologies.  How can I Understand, Much Less Use These Tools?

    Like most of us, our job is not about new bigger, better, faster IT.  We have the daily grind to attend to and quarterly metrics to make.  What we need from IT providers (internal and external) are the solutions and tools we need to do our jobs.  But how do we know what are the right software solutions and which will disappoint us?

    This is Easier than You Think

    In our forthcoming book to be published by CRC Press in 2025, Navigating the Data Minefields: Management’s Guide to Better Decision-Making we address technology adoption issues at length.  However, while you are waiting to order your copy of these guidelines, there are a few things you can begin with.

    Ask yourself the following questions:

    • What is the quality of your data and how is it used in decision-making processes.?
    • How much do you and your organization know about the challenges and trends in Big Data and associated applications, such as Artificial Intelligence (AI)?
    • How ready is your organization to fund and implement new advanced software/cloud applications?
    • Does your organization know how to realize the full and measurable economic value from these technologies?
    • What is your organization’s appetite for the risks involved from implementing new technologies?
    • How will these technologies be used in your organization?

    Getting a handle on these few questions will give you and your organization a good start in this journey.

    Final Thoughts

    One can make a case that the advent of new information technologies is ramping up.  The expectations this author has for AI, for instance, is just beginning.  Why and How organization take advantage of these solutions is not longer in the hands of the Chief Information Officer or other ‘C’ level individual responsible for keeping the firm abreast of advances.  These are now corner office decisions, and in some cases the Board of Directors will have to concur and/or approve.

    How are you preparing yourself and your organization the Brave New World?

    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.

  • What Does ‘Systemic’ Actually Mean?

    What Does ‘Systemic’ Actually Mean?

    The word Systemic is tossed around quite loosely these days.  Especially when discussing social issues and politics.

    But what does it really mean when we say something is systemic by nature?  By one definition it is, “Of or relating to a system or a system and other relating to or affecting the entire body or an entire organism.”  Indeed a broad judgement.

    So when we say an entire nation is a systemically ‘blank blank,’ does that include the prognosticator that is making that statement?  Are those caught in the cross hairs of a so called systemic belief equally feel the same way about all other groups?  Not bloody likely as my Brit buddies say.

    How Do We Define a System?

    One definition of the word includes the world or universe.  Typically, we think of something smaller and ‘bounded.’  What do we mean by bounded?  Readers might be surprised that this term is a mathematical term describing a function, sequence or variation of a function.  In layman’s terms, systems have limits whether the human body, an organization, or society.

    Systems also have ecosystems and are not all organic in and of them selves and they interact with other systems.  For example, a commercial firm has suppliers and customers as well as local governments and even media outlets.

    Therefore, complexity is an inherent components and human constituents to ALL systems.  This stands by reason in our very robust and diverse world today.

    As such human behavior can take many different decision paths regarding any given issue.  We discuss these causal affects in our 2017 piece, Excellent Behaviors: Assessing Relationships in the Operational Excellence Ecosystem.

    It Is Not That Easy

    Defining the systemic nature of any system is very difficult.  NO system can be defined by one word.  Systems are complex sets of moving interdependent parts whose boundary is often ill defined.

    Decision makers must assure they are using valid and reliability data as they define the problem they are trying to solve.  Without such preparation, the answer put forth may be incorrect or meaningless.

    Next time a colleague or pundit is tossing around the word ‘systemic’ as them what they mean and when they say it means ALL, ask them how do they know that?

    In and of itself the term is meaningless.  Without a detailed definition of the system being discussed, good decisions are not possible and most likely will be poorly implemented with predictable results.

    So if you believe a system is a mess, how do you go about fixing?  Methodical or emotional?  One will work better that the other approach.

    What do you mean when you say something is systemic?

    If you need help with your complex system, see below and contact us.

    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.

  • How Effective at Multitasking are We?

    How Effective at Multitasking are We?

    According to no less than the Cleveland Clinic, ” Studies (regarding multitasking) show it makes us less efficient and more prone to errors.”

    Cleveland Clinic goes on to make the case:

    • When tasks are easy and routine such as, “like listening to music while walking, or folding laundry while watching TV,” these are generally not a problem.
    • However, when tasks are difficult and complex the situation changes dramatically and attempts at multitasking can be dangerous and even deadly.

    Many of us live in neighborhoods where drivers can be fined if they talk on a cell phone (even handsfree) in a school zone.  Another example is the Federal Aviation Administration’s (FAA) Sterile Cockpit Rule which states, ” requiring pilots to refrain from non-essential activities during critical phases of flight, normally below 10,000 feet (3,048 meters).”

    Moreover, multitasking does not just have to be balancing a number of concurrent tasks, it can also  include managing tasks against some criteria, i.e. budget constraints.

    Safety, Safety, Safety

    In the blog series, as well as a host of publications include our 2014 book,  Implementing a Culture of Safety: A Roadmap to Performance-Based Compliance we have sought to drive the need for ALL organizations in the Critical Infrastructure sectors to live have a strong Safety Culture coupled with High Reliability operating performance.

    Meetings, Meetings, Meetings

    Similarly, many executives seem to prefer to spend their days going from meeting to meeting.  The belief is often that keeping busy is a proxy for progress.  In reality, it usually is not.

    Final Thoughts

    The referenced Cleveland Clinic article goes on to say, “The more we multitask, the less we actually accomplish, because we slowly lose our ability to focus enough to learn.”  In this multitasker, this sentence says it all.

    It is easy to watch TV while doing daily chores.  I do this all the time.  It is an entirely different matter to managing an offshore drilling process multitasking.  The systemic mistakes made in 2010 on the Deepwater Horizon are capture in detail in the book, Deepwater Horizon: A Systems Analysis of the Macondo Disaster.  Lessons learned are applicable to all in complex working environments.

    Does your organization favor multitaskers over those who focus?  If so, stakeholder value is likely degrading.

    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.

  • All Is Not Quiet

    All Is Not Quiet

    Organizational Conflict may not be visible.  Passive Aggressive executives may not exhibit the classic signs of stress.

    The stresses of everyday business are well understood by those in that mix.  Each individual has an agenda based on his/her personal desires as well as organizational job description and target (goal) requirements.

    By definition, this puts all in an organization conflict situation.  Moreover, this is not necessarily a negative environment.  Stress between individuals and division can lead to synergies beyond the immediate.

    This so-called Tension at the Margin concept is taken from the physical construct Surface Tension, a relationship between two different substances such as water and air.  In other words, there is always a bit of tension or stress between two or more different entities–living or inanimate. 

    The problem manifests itself when conflict becomes counter productive.  Political agendas overtake the goals of the organization and individuals see themselves as superior to the organizations of which they are employed.  We first addressed this issue in our 1994 peer reviewed article, Organizational Conflict and Dispute Resolution.

    Managed stress can add significant value; we see this in competitive sports everyday.  Unmanaged stress can lead to a cardiac event both personally and organizationally.

    How is your organization managing its Tension at the Margin?

    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.

  • V R T

    V R T

    In our forthcoming book, “Navigating the Data Minefields: Management’s Guide to Better Decision-Making”  we coined the term, Valid, Reliable and Timely (VRT).  “This term identifies all data dimensions including its temporal component.”

    Check Up

    When we go to the doctor we expect that the information conferred by this professional is Correct, Consistent with the current medical knowledge base and Relevant to our present.  If it is not, the confidence in the diagnosis degrades and can even lead to malpractice driven legal issues.

    One of the issues a patient faces is the significant difference in the knowledge base between the medical professional and the layperson sitting across of him/her.  Many accept the statements of the professional as gospel.  Sometimes to their regret.

    Enter the Knowledgeable Buyer

    We live in a technological era even though many of us are technologist.  Often the technology itself is user friendly and reduces our core knowledge.

    How many of us rely on a calculator or spreadsheet to the extent our math skills have suffered?

    This Baby Boomer spent much of his career on the bleeding edge of the computer era.  Today I am not conversant in the details of Acritical Intelligence (AI), Machine Learning, Big Data etc.  However, I know how to ask the right questions!

    One of the Right Questions is embodied in our Economic Value Proposition Matrix (EVPM).  Does this technological investment add value to the organization and if so, how and how much?  In other words, the economic value of the expenditures.  Keep in mind that technology expenditures include not just the cost of the product, its support infrastructure, switching costs and training among other change management processes.

    One does not need to be a medical professional to query the doctor about the recommended action plan.  Common sense and knowledge of our body in the case (or our business) as the saying goes, “is not so common.”  Don’t just jump on the technology bandwagon, do your homework and ask “does this add value to our culture as well?”

    VRT

    Does the proposed project make sense does it sound like it is a Valid or accurate process?  Is it consistent or Reliable and finally is it the right time for our ‘culture’ and organizational maturity to make the change?

    You might be surprised at these common sense answers.

    Does your organization have a plan/process in place to cut through the technology clutter?

    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.

  • Data Management for the Non-Technical Executive

    Data Management for the Non-Technical Executive

    “Per McKinsey research from June 2022, nearly 70 percent of the top economic performers, compared with just half of their peers, are using their own software to differentiate themselves from their competitors.”

    McKinsey went on to state that:

    • Digital products are driving the need to embed software across the board
    • Increasingly, more value is being derived in products and services from software
    • The growth of low cost Cloud and AI programming are putting unprecedented power into the hands of the global workforce

    The foundational key to global economies with tightly integrated software into products such as automobiles is DATA.  According to the research firm, IDC approximately 175 zettabytes of data will exist in 2025.  IDC went on to report that one zettabyte is ONE TRILLION GIGABYTES and that to download this amount of data would take 1.8 billion years.

    This amount of data and its criticality to the firm’s success are staggering statements.

    How are organizations going to be able to management this new economy in a meaningful way?  We can’t all be data scientists.

    Enter the Non-Technologist

    It is safe to say that data will be used by all aspects of the organization and its extended supply chain.  Finance, HR, Procurement, Tax, Sales & Marketing, Researchers, Medical Doctors, Facilities Management, etc. are staffed with experts in those fields not necessarily in IT or specifically Data Management.  How are these executives and their staffs be assured the data and software they are using ‘spit out’ the correct results?

    This is a daunting challenge today will only  get worse.  Moreover, the software sector is notorious for it poor quality documentation and many do not follow strict data management protocols.

    On the Horizon

    This blogger has been dealing with technical and later financial and business data of various qualify and sources since at least 1968.  Maybe I have not seen it all, but I have seen a lot including significantly poor data with significant gaps.  Management at all levels are not equipped to understand the underpinnings of the data they are using to make critical decisions.  Is the data Valid and Reliable (accurate and repeatable)?  Many are not even aware of the definition of those simple terms.  How can they trust the data provided?

    This author is pleased to announce that he recently entered into a contract with CRC Press to draft the book, “Navigating the Data Minefield: Management’s Guide to Better Decision-Making” to be published in 2025.

    This book will provide the non-IT software executive with tools and best practices to help her/him assure that the data provided by internal and external provider is of high quality.  It will provide a roadmap model that is straightforward and easy to understand.  It will also provide data and software experts with an understanding on the type of questions management may ask as well as project deliverables expectations.

    Stay tuned we will keep you informed as the exciting project develops.

    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.

  • Valid and Reliable?

    Valid and Reliable?

    The first thing a statistician, data scientist, medical researcher, engineer, social scientist or anyone depending on data is to assess its quality.

    As of this writing, the recent release of the Durham Report suggests that the FBI was lax in their assessment of the alleged Russian influence in the 2016 presidential election cycle.  This resulted in the reporting to the nation and the rest of the globe what appears to be Fake information.  Did it tip the scales on the election and subsequent events?  Not for this pundit to say, albeit this will be the subject of discussion (including some conspiracy theories) for years to come.

    Our case is more straightforward.  Organizations of all types private and public routinely make critical decisions based on poor quality data (including gasps in data).

    The first tenet of quality is to assess the validity and reliability of said data.  Validity refers to the accuracy of the measurement but does NOT determine whether the right process was evaluated.  Reliability is a function of data consistency (can it be reproduced?).

    Error Management

    There are two types of data errors.  Not surprisingly labeled Type I and Type II.  Statistician define Type I errors as providing a ‘false positive’ and Type II a ‘false negative’ result.  One way to asses data is the use of Hypothesis Testing.  Assessment often begins with a hypothesis about a set of data.

    • A ‘null hypothesis‘ makes the assumption that the data is a function of pure chance.
    • The ‘alternative hypothesis‘ assumes the data set is impacted by a non-random cause.

    Moreover, a data set can have multiple hypotheses.

    Data is also classified as Primary or Secondary.  Primary data is that which was collected directly by the data scientist/organization.  Secondary is that which as obtained from a third party.

    This researcher considers Secondary data as more likely to contain errors and needs additional scrutiny.  It appears the FBI data on election interference was Secondary data.

    According to a 2022 Harvard Business Review article, “It costs 10 times as much to complete a unit of work when the data is flawed in any way as it does when the data is good.”  In 2016 HBR reported that according to IBM, decisions made on poor quality data cost $3.1 trillion.  In 2021, the research firm Gartner reported that poor data quality costs the average firm $12.9 million.  For the Fortune 500 alone that is over $3.225 trillion.

    For interested readers, the cited Gartner article provides a set of 12 actions organizations can take to improve their data quality.

    Decision Support

    We must recognize that data quality is an issue and while we can take steps to improve it, the problem is ubiquitous and most likely growing.  We must make the assumption that ALL data has either Type I or Type II errors and act accordingly.

    One approach is the use of the Scientific Method.  This model is developed for the average lay person and can used for business decisions as well as in everyday life.

    Moreover, ALL data sets will be incomplete or have gaps.  Statistical and other decision support tools can deal with this issue.  Finally, the human injects bias into the process as well.

    Coda

    The running joke, “If it is on the Internet, it must be true,” is widely known as satire.  That said, we often trust data due to its source or the fact that a so-called expert is the author, commentator or recommender.  As with many things in life a healthy dose of ‘data’ skepticism is in order.

    What steps is your organization taking to assure decision-making processes are based on high quality data?

    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.

  • Fake or Not Fake?

    Fake or Not Fake?

    Seems we live in a world of FAKE.  How do you know what is fake and what is not?

    A recent article described certain activities in Silicon Valley as the end of fake.  The point being that in the recent VC heyday, some have feed the market crap and taken advantage of the Greed is Good mindset.  Previously addressed whether opportunities and/or statements passed the so called “Smell Test.”  Mostly likely, many in the Silicon Valley ignored their olfactory warnings.

    How did we get here?  Humans have always wanted to put forth their best impression.  We have been taught from an early age that we can only make a first impression once.  Moreover, “Research shows that it takes between just 33–100 milliseconds for someone to form judgments about your character.”

    Puffery

    “This is the best car available today.”  Not necessarily incorrect or correct but the ‘opinion’ of the sales representative.  This is an example of Puffery.  Certain claims about emerging technologies can fall into this category as well.

    However, there can be a downside to this push.  If the automobile is then perceived as ‘not the best’ or even worse, a lemon the brands of the manufacturer as well as the car dealership maybe negatively impacted.

    Investment scams have long used statements such as, “You don’t want to miss out on this once in a lifetime opportunity, guaranteed to go up in value but you have to act NOW!.”  This pushes the envelope on puffery and most likely is FAKE.

    A Lie Repeated

    “Repeat a lie often enough and it becomes the truth”, is a law of propaganda often attributed to the Nazi Joseph Goebbels.

    People push their agendas, political or other.  Sometimes, however, an ‘illusion of truth‘ purports to repeatedly persuade individuals to accept and internalize this FAKE.  We see examples of this in politics and the so called ‘talking points’ put forth again and again and again.

    Building a FAKE Radar

    “A large meta-analysis revealed overall accuracy of distinguishing truths from lies was just 53 percent — not much better than flipping a coin.”  No wonder the propagandists are so successful.

    Counter to the Goebbels methodology, according to the prestigious journal, Psychology Today there are four ways to tell if you are being lied to:

    • Constant elaborate and dramatic presentations of events and their impact–the DRAMA of it all
    • The above is a behavior pattern REPEATED often–the TALKING POINTS
    • INCONSISTENCIES and changes in the same position–the UNPREDICTABLITYALITY 

    These personality disorders and be attributed both to individuals as well as organizations.  Other things to watch out for include facial expressions and other physical traits such as the eyes and fake smiles.

    The term FAKE is tossed around with glibness abandon.  As important, those who don’t use the word but pedal the same level of the illusion of truth used by many to support public and private narratives is ubiquitous.

    To be an informed consumer/decision maker of information requires an optimal FAKE radar.  Implementing and sustaining a personality disorder lie detector is just as important a life skill in a society rampant with dishonesty.

    How strong is your FAKE radar signal?

    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.

  • And Just Like That!

    And Just Like That!

    Often attributed to the movie character, Forest Gump the title phrase can be interpreted as an abrupt change in one’s life.

    The past few years have brought significant changes to many of us.  Illness, job change, moving to a new location, kids out of school and so it goes.  Disruption can be intimidating, yet it need not be so.

    Life is all about change.  We move from infancy to youth, adulthood and so on.  In each phase our interests and environment are different.  Moreover, we often seek change.  The celebration upon one’s 16th birthday and getting a driver’s license.  In my case turning 25 when my car insurance cost was lowered.

    Society is moving into an era whereby an individual can expand his or her horizon.  No longer is a college degree seen as the price of entry.  Non graduates now have access to IT positions as well as management and other high paying skills.  The focus is moving from having mountains of college debt to having the desire to achieve.  Additionally, the Great Resignation movement is taking root too.

    So What Happens Now?

    In our 2oo9 White Paper, Rapid Response Management: Thriving in the New World Order we coined the term, Velocity of Information which we defined as, “Similar to the economic theory, Velocity of Money, it is the frequency at which information is exchanged.”  Who would have dreamed today’s volumes would be so massive.  Now we are awash in information and disinformation.  Decisions that depend on valid and reliable data are more difficult, not less.

    However, life’s disruptive moments can force us to move forward in another direction.  The recession in 1974 required that this then young individual to more to Louisiana and enter the oil and gas sector.  This was not on my radar at all as late as two months earlier when a recruiter called.

    This life changing moment was not based on valid and reliable data as ‘I did not have clue’ what I was getting into.  Rather the decision was made with almost no knowledge of the subject.  Fifty years later, the rest as they say is history.

    When one door closes, another opens.

    New Relationships

    We have previously discussed the RBC Framework; Relationships, Behaviors, Conditions (aka the situation).  This straightforward model was developed in 1993 to study International Negotiations and we have found it convenient for all manner of human interaction assessments.

    The military refers to the (true)knowledge of one’s environment as Situational Awareness.  In other words if one has a good understanding of what is happening around them, their behaviors should reflect that knowledge.  Subsequently, relationships may change including making new one or leaving old ones.  In my case, the move to Louisiana and entering a new sector is a good example.

    Going Forward

    Forest Gump embraced change and excelled at a number of things despite his handicap.  Disruption was not a threat but an opportunity.  Like Louis Pasteur, one can prepare for change even if the next step is not immediately clear.

    Finally, “The economist Joseph Schumpeter was the first to coin the term “creative destruction.”  Creative destruction is 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.

    What are you doing to prepare for your next step?

    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.

    The author’s credentials in this field are available on his LinkedIn page.  Moreover, Dr. Shemwell is a coauthor for an in press book (to be released in Spring 2023) titled, “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 those start-up firms addressing energy (including renewables) challenges, the author is a member of Global Energy Mentors which provide no-cost mentoring services from energy experts.  If interested, check it out and give us a shout.

  • Who Let the Dogs Out?

    Who Let the Dogs Out?

    Our often called, ‘Best Friend’ has and continues to teach us all manner of life lessons.  While the Dog Days of Summer will soon be upon those who live in the northern hemisphere, not all dogs choose to stay on the porch.

    Most dogs are action oriented.  Throw a ball or a stick and some will retrieve it, seemingly endlessly.  In this they set a high bar for consistent behavior.  Their relationship with the thrower changes when the conditions or situation gets both parties off the porch.

    Often attributed to comedian Steve Harvey and others, “Dogs don’t bark at parked cars” has taken on a wide range of meanings.  The one that stands out is Leadership!

    Action oriented dogs will address issues of the day, i.e., car movement.  They are not interested in hunks of metal (dead weight) accomplishing nothing.  It makes no sense to bother with an inanimate object, unless the goal is to get inside it so you can hang you head out the window once it is on the highway.

    Focus is on the doable, not the abstract.

    Enter the Human

    Archelogy suggests that dogs were domesticated between 20-40,000 years ago.  They have been our companions, confidants and supporters longer than any other non-humans.

    Today, dogs lead in all manner of endeavors, as pets, service and support partners, drug and explosive identification and even becoming a ‘go human interest videos’ on social media including LinkedIn.

    One can argue that the bond between dog and humans is unique.  They seem to have a rare ingrained sense of our emotions.  Likewise, our bond with them is often even stronger than it is with our family members.  Indeed, they are often referred to as ‘family.’

    For some dog fun, take a look at this short video.  Puts the car-dog-human relationship into perspective.

    It is hard to imagine life without dogs in it.  This pundit sees this phenomena almost everyday when the dog walkers go by, often with 3-5 dogs.  Our lives are better because thousands of years ago they chose to adopt us.

    R B C

    We have long been a proponent of the Relationship, Behavior, Conditions (situation) model for human and cross cultural interactions.  More on this can be found on our website.

    The point of this blog is that this model is not limited to human to human interactions.  It has broad use between all manner of cultures.  Even canine to human!

    Leadership

    “If you ain’t the lead dog, the view never changes.”  A familiar statement regarding sled dog teams.  Moreover, dogs and wolves are collaborative pack animals and each pack has an Alpha Male (canine or human).

    Both humans and canines collaborate to accomplish a given task or set of tasks.  Leadership sets the path and assures that the ‘team’ remains focused and all members achieve a level of personal and organizational satisfaction during and after the project is completed.

    Dogs are good role models for all of us.  Their unconditional love and support are legendary.  Since “All dogs go to heaven,” we know that they have our best interests at heart.

    Just a Doggone Minute!  Have You Hugged Your Best Friend Today?

    For More Information

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

    For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.

  • ESG Explained

    ESG Explained

    According to Investopedia, “Environmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments.”  Definitions of the three components are pretty straightforward:

    • Environmental–Generally refers to the stewardship of the planet and how organizations facilitate that responsibility.
    • Social–Facilitating organizational responsibility to the global society, at all levels from the globe to the local communities firms operate in.
    • (Corporate) Governance–Typically, the umbrella organizations put in place to assure issues such as transparency, fraud, safety culture and ethics are in compliance with social norms and local regulations.

    Since the Deepwater Horizon incident of April 2020, operators (oil and gas companies) have extended and enhanced the above criteria to their supply chain ecosystem and in some cases even customers with a Safety and Environmental Management System (SEMS).  This is true of most other Critical Infrastructure sectors as well.

    Likewise, the Sarbanes-Oxley Act of 2002 enhanced transparency and increased fraud protection after the Enron (and other) scandals.  Other incidents have triggered governance changes as well and some are referred to in linked materials.

    Why Is ESG Important?

    By one account, approximately $12 trillion in investments made in 2018 were driven by those who consider themselves socially responsible.  According to Forbes, in 2019 this accounted for almost 25% of total investments and are seen through the lens of sustainability.  Moreover, between 2016 to 2018, the growth rate in such firms grew at 38 percent.

    These numbers confirm our research going back to the turn of the century and perhaps earlier.  In 1993 we controversially posited that the Principles of Scientific Management were applicable to software development by Knowledge Workers.  Developed by Frederick Taylor, his monograph was published circa 1911.

    In other words, owners (investors) have always demanded top notch, legal and ethical performance.  Activist investors, i.e. Carl Icahn are not new.  As always, they have a very important role to play in the current markets.

    Asset/Equipment Integrity Governance

    There is a buzz of newness to ESG; however, from a contrarian perspective, this is not necessarily the case.  After the Deepwater Horizon failure with significant loss of live and many billions in economic losses to many parties including BP, it became clear that traditional Governance models did not have a focus on operations and the management of capital assets, i.e., manufacturing plants, marine vessels and other revenue producing sources.

    In our book we addressed a New Risk Environment from large corporate operations in which ‘failure is really not an option.”  We stated as a risk element, “Escalation of Consequences: The level of consequences of a disaster in the energy industry can now be larger than from the accidental release of a multi-megaton nuclear weapon.”

    Still governance models continued to struggle.  We believe that in the critical infrastructure sectors there is a lack of strong bonding, in other words top management is still hands off and operating from historical ‘control’ models that are no longer relevant or applicable.

    We do not believe this will change until a Strong Bond (tightly coupled) model is adopted.  We define the term as, “A strong model is used by High Reliability Organizations (HRO) and as part of that model, trained; knowledgeable personnel are empowered to make the right decisions in the field.  The strong model provides an organization with the capability to become and remain and HRO.”

    In 2011, we released our monograph, Asset/Equipment Integrity Governance: Operations–Enterprise Alignment; A Case for Board Oversight (AEIG).  In addition to developing a financial model documenting the Return on Investment (ROI) from strong governance, a Compliance Model, as well as a robust AEIG Matrix which incorporates an Asset Maturity Model are part of the solution.

    The AEIG extends the enterprise governance model to include the full ecosystem including subcontractors to its primary supply chain partners.  While not directly addressed at the time, Diversity, Equity and Inclusion (DEI) is implicit in the model.

    This roadmap is comprehensive and is a good starting point for developing and implementing a vigorous ESG initiative.  Other monographs in our Changing the Dialogue series (exploring our New Business Dynamics) include Structural Dynamics and Rapid Response Management are available online.

    Relationships, Behaviors, Conditions

    Scroll down on The Rapid Response Institute, Operational Excellence Platform page and you will find our R B C Framework Cultural Transformation model.  Shown below for ease of readership.

    The R B C model was originally developed to research international (cross cultural) negotiations.  We have extended it to support the transformation process to a robust and model organization culture such discussed herein.  Readers should note that this model is focused on Operational Excellence and is comprised on Processes & Methods supported by Enabling Tools.

    Built on Structural Dynamics which was developed as part of Dr. Shemwell’s doctoral dissertation in 1996.  It is defined as, “The morphology or patterns of motion towards process equilibrium of interpersonal systems.”

    This proven Framework is grounded in Management Science yet is a useful tool (Roadmap) that real originations can successfully and cost effectively implement.  We believe it is the best approach for attaining ESG.

    Summary

    One can view the current ESG status as part of a continuum to hold organizations accountable as appropriate and frankly, increase their Operational Excellence.  We have long known that firm’s that are well managed command superior stock market multiples and greater equity value.

    Many ‘self-serving’ consultants and pundit would have us believe ESG is breakthrough Thought Leadership in need of their help.  Nothing could be further from the truth.

    In the early 1990s, we document the history and evolution of Management Science/Thinking.   It is not written in stone, like most human endeavors it evolves and has for thousands of years.  ESG is a step in this continuum.

    How is Your Organization Addressing the Requirements of Active Investors?

    For More Information

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

    For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  Two current online games; Safety Culture and Diverse Teams specifically address issues raised by ESG Criteria.  If you have any questions, please contact this author as well.

    Graphic Source: The Rapid Response Institute derived from a Storyblocks image under license.

  • Clickbait Redux

    Clickbait Redux

    We are offered the world at the tip of our fingers, But!  There are many prices to pay.  Theft by scam simply by clicking on a great opportunity is getting more sophisticated all the time.

    Recently, this pundit was offered a once in a lifetime possibility if only I would listen to an MS Office (voicemail) sent to my email account.  Seemed OK, how harmful could it be?  Certainty, this world class software provider tool was safe?

    Well, as the saying goes, my mama didn’t raise no fool.  Not saying I won’t be duped at some point, but I like to think the odds are against it.  Tagged as junk, I will never know what the sender had to say.  Nor do I care, since likely it was phishing at best and possibly something worse.

    That said, businesses cannot run on the basis of individual prowess, especially when the scams often exceed hundreds a week or even a day.  Junk mail filters are much better than before but still not perfect and malefactors are always launching cyber organized criminal efforts to supersede defensive protections.

    Equally, if not more important, how many legitimate businesses lose sales or even have their reputations significantly compromise as a result of scams?  If a prospects clicks on your logo and is defrauded, her or she will most likely continue to blame the logo owner and not the criminals.

    Setting the Hook

    Fisherman know how to catch fish.  They know the right locations, time of day, cloudy or not and so forth and so on the land the ‘Big One.’

    On the other hand, digital hackers do not appear to have this ingrained focused instinct.  Perhaps, this skill is not necessary for them.

    Masquerading in plain sight, spammers try to tap into the greed in all of us.  Easy, quick and large these opportunities are attractive and many fall for them.

    As a mentor and advisor to organizations of all sizes, I consistently review product/service and even enterprise value propositions.  Frankly, many are found wanting.  Currently, the Lean Canvas construct and/or Elevator Pitch are models for succinctly posturing a position quickly.

    However, it takes a lot of effort to craft the short piece.  Only then does the firm have something of value for prospects and customers.

    While Fortune 500 et al will remain targets of cyber hacking, it is possible for others to make themselves less attractive to organized crime.  Firms should ask themselves, what is the goal for their web presence?

    In 2019, this blog addressed the “what’s in it for me question” as opposed to collecting ‘Likes.’  That edition contained a real world case study of wrong-headed thinking by a consulting firm collecting the wrong data.  As the client, we did not implement that recommendation.

    There is a fine line between building market ‘Buzz’ and simply collecting ‘Likes’.  However, the real focus should be on building repeat customers.  Recommendations from others, should still be part of the business model.

    Cyber is now an important part of every firm’s business model.  Part of the organization’s cybersecurity model has to be, “Why are individuals coming to the website?”  In other words, “What value are we providing them?”

    What is the Value of a ‘Like’ to your Organization and What is the ‘Risk’ of Obtaining One?

    For More Information

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

    For more information on Cross Cultural Engagement, check out our Cross Cultural Serious Game.  You can contact this author as well.