The Next Digital Business Hurdle

When a computer can do grunt work, you don't need grunt workers. The old mainstay jobs that guaranteed a lower middle class income, like data entry clerk, just don't exist anymore. In a world where there's a computer on every desk and everyone knows the basics of using one of these infernal machines then why pay someone to type?

Simply stated -- when everyone does it, it stops being special.

Lawyers used to all need secretaries. Now, most get by without or three lawyers share one assistant. Technology has always been about labor saving. Labor saving technology used to just shave minutes from production time but now it's shaving workers from the payroll.

But that's just the first step in the revolution that's happening in business.

When IBM sold their first computers, all they did was take the business processes of the 1940's and digitize them. Those processes have served us well for more than 60 years but now they're outdated. The old mainstays of the economy are now on shaky ground as the Digital Revolution unfolds.



The next radical changes will be in how business gets done. One place I think will see traction is the merger of social media and business transactions. For example, Tradeshift offers free business invoicing for life through a social network that maximizes communication across the supply chain. It's the cloud paradigm's answer to SCM.

The next generation of processes will do exactly what they are supposed to do -- identify procedures that reduce transactional costs while improving transparency and reducing error.

But this is just the beginning. How will new business processes impact your bottom line? Are you adapting or will you die out?

Find out. (305) 423-9574

R-Squared Computing | Lou RG | Nearly Free IT | Firm Wisdom

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Quantum Cloud Computing

Quantum computing keeps taking further steps towards reality. This powerful technology stands to revolutionize how we calculate and process information. The sheer capacity of these systems is mindboggling and will be at the heart of the next tech arms race.

The first commercially available quantum computers will be astronomically expensive. Because of their power, it is also likely governments will step in and limit their sale in the hopes of keeping them out of the hands of rogue governments and criminals. The starting price plus the export restrictions will likely keep the cost of quantum computers artificially high.

But there is a simple solution.

Since most businesses won't really need (or afford!) an in-house quantum computer, we will fall back on a proven business model -- time sharing. In the near future, businesses will be able to rent time and capacity on quantum computers via the Cloud. Suddenly you won't need a quantum computer in order to get the benefits.

How will blindingly fast processing effect your business? How will near instantaneous computation change your industry? Find out. (305) 423-9574

R-Squared Computing | Lou RG | Nearly Free IT | Firm Wisdom

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Bucking Industry Orthodoxy - Enough IT B.S.

It never ceases to amaze me the incredible degrees of complete stupidity that come out of my industry. I'm not talking about the technology or the gadgets! Specifically I mean the technology management philosophies that pervade.For far too long, enterprise IT department have acted like tech dictators who are the final arbiters of what tech tools are available to the wretched masses. But every once in a while, I read osmething that gives me the smallest inkling of hope.

CIO Update released an article calling for business goals to drive technology decisions! Halleluiah! I wanted to cheer when I first read the article. Someone somewhere is finally waking up and smelling the nonsense the tech industry has been shoveling.

For years, big businesses have sought the Holy Grail of business-technology alignment. In this ideal utopian state, technology would empower and support business strategy and growth. Sounds simple, right? And yet, according to studies, 68% of business IT projects fail to achieve their goals! Why? Because the IT department never understood the real business goals and strategy.

Until IT listens to business goals and understands the overall strategy, we will never be able to implement tools that support those goals. Until IT stops being a hindrance and starts acting like a partner, they will continue to see failed projects, declining pay and loss of jobs.

If you are interested in tech-business alignment, call us for a technology evaluation. We will review your systems and practices and recommend improvements to help propel your business into the 21st Century.

R-Squared Computing | Lou RG | Nearly Free IT | Firm Wisdom

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When to Walk Away from a Problem Customer

Just as in personal relationships, there are toxic business relationships. I should have known this one would be trouble from the beginning.

This soon-to-be former customer had just moved into a new office space. They moved all their existing computers, servers and other equipment into the new space and just needed someone to connect everything and get it working with the new internet connection. This job usually takes half-a-day to complete. I was retained two weeks ago and so far only 1 computer is connected to anything!

Some of the warning signs:

1. The business owner was never on time for any meetings.
2. The office manager was the rudest woman I've met in years.
3. The deposit check bounced.
4. No one had any ideas about user names or passwords for any device on the network.
5. Office staff has zero discipline -- people showed up for work when they damn well pleased.
6. The governing management method can be summarized as "bully, threaten and scream."
7. Contradicting instructions from everyone I spoke with.
8. The business owner was more interested in recounting his latest sexual conquest than working.
9. On the 2nd day of the contract, I was accused of being a thief and a liar by the office manager. For the record, I'm still not sure what I stole or lied about.
10. The owner's interior decorator spent 2 hours telling me the right way to set up a network.

I could keep writing but I think you get the point. You have to know when to walk away. In this case, I'm not walking -- I'm running like hell.







R-Squared Computing | Lou RG | Nearly Free IT | Firm Wisdom

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Gaming the System - Why Metrics Fail

“What gets measured, gets managed.” – Peter Drucker

Ever since Dr. Drucker's insight, businesses have tried to measure every element of human productivity. Entire industries have been born the help businesses better measure and track results. The theory is that the more you measure, the more you can manage.

But there's a problem with this logic.

Some of the best examples of this failure can be seen in the actions of the U.S. government. The most egregious example which comes to mind was back in 2004 when the Bush Administration reclassified fast food workers. Under the old classification, flipping burgers at McDonald's was considered a service job, but since 2004 it is now considered a manufacturing job. This allowed Bush and his cronies to claim they created 2.6 million new manufacturing jobs in 2004!

Nonsense. They didn't any create jobs -- they simply changed the way they measured those jobs and saw a huge political boost because of it.

The danger of any metric is that people will always try to game the system. They will find new and creative ways to make the metrics look better. Management will smile and look the other way because the inflated numbers make them look good too. This devolves into a downward spiral until those numbers are completely meaningless.

Don't think you're business is immune. We all do it to some degree whether it's understating your weight or padding sales figures. The only protection is to cross verify your metrics and to reward honesty.

First and foremost, don't develop complex metrics. Simple, easily verifiable metrics work best. That means avoiding some of the more expensive metrics software packages that are out there. Instead, focus on home-grown metrics that really make a difference to your business.

If you need help identifying metrics, give me a call. (305) 423-9574

R-Squared Computing | Lou RG | Nearly Free IT | Firm Wisdom

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