Category Archives: Design

Growing Shoes for Growing Children

Shoe That Grows

I love elegant design solutions for problems that are more important than some of the silly things that we think of as problems in the first world.

Their mission is simple, make shoes that will last longer for the kids that need them most and then work to find people who can distribute them to groups of children in need, while also helping those groups raise the money to fund the shoes to take with them and distribute.

Today I came across a video for the shoes that grow highlighted in this video:

The design challenge was pretty simple, how can you design a children’s shoe with a reasonable cost that:

  • Lasts for several years
  • Changes shape so that it continues to fit as the child grows (in this case it is designed to grow up to five sizes)
  • Breathes as the majority of children in need live in warmer climates

What do you think? Innovation or not?

For more information, please visit http://theshoethatgrows.org


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Service Redesign – Lost T-Mobile Smartphone

Service Redesign - Lost T-Mobile Smartphone

Given the health risks of carrying a smartphone (or any kind of mobile device) too close to the body for extended periods, I try to always remove electronic devices from my pockets whenever I can. For ten years this has never caused a problem until Saturday. This marked the first time in more than a decade that I walked off and forgot my smartphone.

Now I’ve had the joy of reporting my lost phone to T-Mobile and getting a less than helpful response. Not because the agent I spoke with didn’t try to be helpful, but because the customer service representative was trapped inside of a service experience that wasn’t designed to meet the goals of the customer.

First I must mention that I don’t have a find my phone type app installed on my phone because I don’t like the idea of someone tracking me all the time. Second, yes, I know that even with location awareness or GPS turned off that my phone is being tracked anyways, but I still like to maintain the illusion that my every move isn’t being tracked. So, please humor me.

The fact is that T-Mobile could tell me exactly where my phone is even without such an app, but then they would have to breach the illusion and admit that they’re always tracking where every phone is at all times. Not such a good customer experience.

Redesigning the Lost Smartphone Experience

I’m only one person so this list won’t be as good as if I was working on this with a small team and prototyping with customers, but let’s ignore that for now and try to come up with a list of customer goals (and thus opportunities to delight) in the lost smartphone scenario:

  1. I don’t want someone to use my phone after I lose it to make calls that I’ll have to pay for (international calls, premium calls, etc.)
  2. I don’t want someone to buy anything (apps, music or other content that I’ll have to pay for)
  3. I don’t want someone to call my contacts
  4. I don’t want someone to use my apps and make in app purchases
  5. I don’t want someone to use my texting function (SMS) – read, send, etc.
  6. I don’t want someone to use my email – read, send, etc.
  7. I don’t want someone accessing my photos
  8. I don’t want someone to steal information about my contacts
  9. I want to be able to call my phone to try and speak with the person who found it so I can try and get it back
  10. I want the person to be able to call me or T-Mobile to let me know that they’ve found my phone

In short, I don’t want someone who finds my phone to be able to do anything other than contact me to let me know when and where I can come pick it up.

But, when I called to T-Mobile to report my phone lost the only option was to have the phone disabled. Prior to doing so, calling my phone was going straight to voicemail, and maybe I should have left a voicemail, but I didn’t, I thought I would try again later. After they disabled my phone, instead of getting voicemail I got a message saying the phone has been reported lost and that I wouldn’t be able to leave a voicemail. This is partially helpful, but not completely. Now I can’t call the phone and if someone has found the phone, they can’t try to contact anyone to arrange a pickup.

T-Mobile has met goal #1 (and possibly #2-4), but likely they could access #5-8 (able to read but probably not to send).

But, there are many other goals that have not been met. Most importantly, T-Mobile has actually made it less likely that I will get my phone back because I have no way of communicating with the person who may have my phone.

What could T-Mobile do to make this experience better?

Simple.

When a phone is reported lost, T-Mobile should make it so that the phone can only call T-Mobile. If the person calls, then T-Mobile knows which number is calling, can get information from the caller to connect the two parties to arrange a pickup, and pass on the contact details to the subscriber via pre-arranged methods.

Second, T-Mobile should allow designated numbers to call the phone, so that the subscriber can try to get in touch with whoever found the phone.

Third, T-Mobile could call the phone every 15-30min with a robot until someone answers and connect them with a T-Mobile representative.

These three small changes to their lost phone service design would make an immediate positive impact in the customer experience for thousands of customers.

How else could T-Mobile make the experience better?

Image credit: easyhacker.com

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Digital Transformation versus Digital Strategy

by Braden Kelley

In my last article, Digital Transformation Matters, we looked at the accelerating pace of change, the case for digital transformation, and our evolving interactions with technology. We also asked a simple question:

Are you ready to do business in a digital way for the digital age?

In our digital age all companies must change how they think, change how they interact with customers, partners, and suppliers, and change how the business works inside. Customer, partner, and supplier expectations have changed and a gap is opening between what they expect from their interaction with companies, and what those companies are currently able to deliver. Companies must immediately work to close this expectation gap or the entire business is at risk.

There are groups of digital natives out there that are extremely capable, have greater access to capital than ever before, and are very likely to re-imagine your business and your entire industry from the ground up if you don’t start making the necessary changes in your business to eliminate the opportunity.

If they attack, they will do it with a collection of digital strategies that utilize the power of the digital mindset to more efficiently and effectively utilize the available people, tools and technology, and to design better, more seamlessly interconnected and automated processes that can operate with only the occasional human intervention.

To defend your company’s very existence, you must start thinking like a technology company or go out of business. Part of that thinking is to fundamentally re-imagine how you structure and operate your business. You must look at your business and your industry in the same way that a digital native startup will if they seek to attack you and steal your market. To make this easier you can ask yourself five questions:

  1. If I were to build this business today, given everything that I know about the industry and its customers, and given all of the advances in people, process, technology and tools, how would I design it?
  2. From the customers’ perspective, where does the value come from?
  3. What structure and systems would deliver the maximum value with the minimum waste?
  4. What are the barriers to adoption and the obstacles to delight for my product(s) and/or service(s) and how will my design help potential customers overcome them?
  5. Where is the friction in my business that the latest usage methods of people, process, technology, and tools can help eliminate?

There are of course potentially other questions you may want to ask, but these five should get you most of the way to where you need to go in your initial strategic planning sessions. If you have other key questions that you think I’ve missed, please add them in the comments.

Digital Strategy vs. Digital Transformation

But how much appetite for going digital do you have?

This is where the question of digital strategy versus digital transformation comes in.

The two terms are often misused, in part by being used interchangeably when they are in fact two very different things.

A digital strategy is a strategy focused on utilizing digital technologies to better serve one particular group of people (customers, employees, partners, suppliers, etc.) or to serve the needs of one particular business group (HR, Finance, Marketing, Operations, etc.). The scope of a digital strategy can be quite narrow, such as using digital channels to market to consumers in a B2C company, or broader, such as re-imagining how marketing could be made more efficient through the use of digital tools like CRM, marketing automation, social media monitoring, etc. and hopefully become more effective at the same time.

Meanwhile, a digital transformation is an intensive process that begins by effectively building an entirely new organization from scratch utilizing:

  • All of the latest DIGITAL TECHNOLOGIES (artificial intelligence, predictive analytics, BPM, crowd computing, etc.)
  • The latest TOOLS (robotics, sensors, etc.)
  • The latest best practices and emerging next practices in PROCESS (continuous improvement, business architecture, lean startup, Business Process Management (BPM), crowd computing, and continuous innovation using a tool like The Eight I’s of Infinite Innovation™)
  • The optimal use of the other three to liberate the PEOPLE that work for you to spend less time on bureaucratic work and more time imagining the changes necessary to overcome barriers to adoption and obstacles to delight through better leadership methods, reward/recognition systems, physical spaces, collaboration and knowledge management systems, etc.

And ends with a plan for making the transformation from the old way of running the business to the new way.

The planning of the digital transformation is of course all done collaboratively on paper, whiteboards, and asynchronous electronic communication (hopefully not email, but more on that later). The goal is to think like a digital native, to think like a startup, to approach the idea of designing a company to utilize all of the advances in people, process, technology and tools to kill off your own company (at least as you know it). Because, if you don’t re-invent your company now and set yourself up with a new set of capabilities that enable you to continuously re-invent yourself as a company, then some venture capitalist is going to see an opportunity, find the right team of digital natives, and give them the necessary funding to enter your market and re-invent your entire industry for you.

It’s All About the Interfaces

People are fascinated with startups like Uber and with good reason because they have changed the lexicon and the way that we think about entire categories of products and services. Whether or not you believe there is causation, the fact remains that Yellow Cab in San Francisco filed for bankruptcy, and that Uber has placed an immense amount of pressure on taxi and airport limousine companies. But you should also be looking at what established technology companies like Amazon are doing because established technology companies are looking for growth and new markets too, and they might decide yours looks attractive, so you have to think like a technology company or go out of business.

One way that technology companies differ from non-technology companies is that they naturally focus on the interfaces, because that is where complex systems often fail. And so, if you are pursuing a digital strategy on your way to a digital transformation, you must first pick an interface, and then optimize the experience at that interface. It could be the interface between the company and customers, it could be the company to employee or employee to employee interface, or even the company to partner or company to supplier interface. Whatever interface you choose, your goal is to ultimately look at that interface with a fresh modern lens, and then utilize all of the latest (and emerging) approaches from a people, process, and technology perspective, to create a more efficient and more effective (aka better) experience.

The better job you do as an organization at removing friction at the interfaces, the more likely you are to become a partner of choice, supplier of choice, employer of choice, and/or a brand of choice. The value of becoming any or all of these could be the difference between the survival and growth of the organization, and a slow, agonizing death at the hands of a new, digital entrant or a digitizing incumbent that completes a digital transformation before your leadership team can agree it’s even necessary.

Architecting Your Organization for Change

One thing that both a digital strategy and a digital transformation have in common is that they will inflict change (in varying amounts) upon the organization, and with a more visual, collaborative approach to planning that change – like that enabled by the Change Planning Toolkit™ that I introduce in my new book Charting Change (available February 24, 2016) – you will increase your odds of beating the 70% change failure rate and of successfully achieving your digital change goals.

As you plan your change efforts it helps if you keep in mind the Five Keys to Successful Change™ and that you consider Architecting Your Organization for Change. Below you will see visualizations of both concepts and both are available as free downloads from the Change Planning Toolkit™, which is a collection of frameworks, worksheets, and other tools (including the Change Planning Canvas™).

Five Keys to Successful Change 550

Architecting the Organization for Change

Click to access these frameworks as scalable 11″x17″ PDF downloads

These two frameworks will help you take a more holistic view of organizational change wider than just change management or change leadership, and helps organizations:

  1. Visualize a new way to increase organizational agility
  2. Integrate changes in the marketplace and customer behavior into the strategy
  3. Create a new organizational architecture that integrates all five elements of organizational change
  4. Make project, behavior and communications planning and management a central component of your change efforts
  5. One thing that should immediately jump out as you look at the Architecting the Organization for Change framework is that The Five Keys to Successful Change™ are embedded it.

Change Maintenance forms the foundation of a change-centric organization, ensuring that the changes necessary to ensure a healthy firm continue to persist (or are “maintained”), while the top of the organizational pyramid is driven by a conscious strategy that evolves over time, informed by changes in customer behavior and changes in the marketplace.

The strategy of the firm then determines the appropriate business architecture, and as the organization’s strategy changes, the business architecture may also need to change. Any necessary changes in the architecture of the business (new or updated capabilities or competencies) then will lead to modifications to the portfolio of change initiatives and projects (and remember every project is a change effort). These projects and initiatives will consist of innovation initiatives and efforts to create positive changes in the operations of the business.

The change efforts and projects identified as necessary and invested in as part of the change portfolio then represent projects that impact the innovation and operations for the firm, and in order to successfully execute them in the short term includes change planning, management, and leadership, and in the longer term the maintenance of the required changes.

And for the change efforts and projects to be successful the organization must also focus on project planning and management, behavior planning and management, and communications planning and management. The related projects, behaviors, and communications must all be effectively planned and managed in a way that keeps all three in sync.

I hope you see that by increasing your focus on the Change Planning discipline and through increased use of tools like the Architecting the Organization for Change framework from the Change Planning Toolkit™, your business will be able to more collaboratively and visually plan change efforts as large as a digital transformation or as small as a digital strategy and to increase your organizational agility.

More on organizational agility soon, so stay tuned!

In the meantime, please get yourself a copy of Charting Change as a hardcover (ebook coming soon) and get your free downloads from the Change Planning Toolkit™ (or go ahead and purchase a license now).

Buy the Change Planning Toolkit™ NowNow you can buy the Change Planning Toolkit™ – Individual Bronze License – Advance Purchase Edition here on this web site before the book launches.

This article originally appeared on Linkedin

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Peeking Behind the Veil of Design

The KitchenAid Craft Coffee Story

Peeking Behind the Veil of DesignA company in Dubai is asking me to teach a design thinking and innovation course in May of next year, and this was good synchronicity because I came across the video below recently.

The design process is often very mysterious to people, and the way that designers pursue the design of a new object is often hard for people to grasp. But the design thinking methodology has helped to bring a little bit of the magic of design to other business disciplines, especially innovation. Videos like this help provide a peek behind the veil and give people a little taste of what the process of design and the use of design thinking look like in practice.

KitchenAid’s goal in creating the Siphon Coffee Brewer, Pour Over Coffee Brewer, Precision Press Coffee Maker and Burr Grinder was to bring the coffeehouse experience into the home by automating brewing methods celebrated within coffeehouse culture. They studied the art and science of many craft brewing methods in order to create coffee brewers that deliver the precision and mastery of the best baristas.

Did they achieve this goal?

I don’t know, I don’t even drink coffee. But they’ve done a nice job of capturing their design process in the video, and have offered non-designers a good peek behind the veil of design.

If they have achieved their goal, then it will now be simple to enjoy an authentic cup of craft coffee at home. They say life tastes better with coffee, my taste buds say no. Chocolate is better!

More info at http://kitchenaidcraftcoffee.com (site no longer exists).

p.s. Design Thinking even plays a role in my new book on organizational change – Charting Change (Feb 2016) – pre-order your copy now. 🙂

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Microsoft Stomps on Google Glass

Microsoft Stomps on Google Glass

Wow!

I have to start that word, because I’m not sure how else to describe what has just emerged from Microsoft Research in the new Microsoft HoloLens.

And as I say in the title, if you watch the video below you’ll clearly see that Microsoft has just busted Google Glass – both lenses.

I said from the beginning that Google Glass would never catch on as a consumer product, because they look dumb, cost a lot of money, and don’t really fit into most people’s lives (or add much of anything to them). Recently Google shut down its consumer facing Google Glass program while they try to fix its shortcomings.

Microsoft’s HoloLens on the other hand, if you’ve ever read Innovation is All About Value (if not, follow the link) then you’ll quickly see after watching the video above that Microsoft’s new potential innovation ticks all three boxes in my innovation success prediction framework:

  • Value Creation – Takes 3D objects from your screen and brings them to your physical environment AND lets you interact with them (my mind races thinking about the possibilities).
  • Value Translation – Watch the video. If you don’t see how this might fit first into many professions out there and enable some amazing rapid prototyping without building anything (watch out 3D printing companies!), and possibly also into your personal life, I’ll be shocked.
  • Value Access – Microsoft is already engaging partners to add more value to what is essentially a platform, not a product.

Microsoft HoloLens

Microsoft is being intentionally coy about saying when it will be releasing the Microsoft HoloLens, but some people are predicting it will be available in the Windows 10 launch timeframe, which Microsoft is also being vague about saying only “later in the year” – which for my money usually means Q4 (or maybe Q3) depending on how the preview version does in the wild.

So what do you think of Microsoft’s new HoloLens?

I for one will be reaching out to my friends at Microsoft (you know who you are) to get a personal preview for a further write-up in Innovation Excellence (the world’s most popular innovation web site), so stay tuned!


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Is there a market for Smartwatches? Can Apple create one?

Stikkee 3 - Apple Watch

Okay, it’s been a week since the Apple Watch was announced, and do you know what the world’s most popular wearable is likely to be for 2014/2015?

It’s not the iWatch, but the iPhone 6, which is breaking the pre-sales records of the iPhone 5.

No, it’s not an iWatch. Don’t you dare call it that!

We’re Apple and we’ve decided that it’s far too sophisticated and exclusive to be an iWatch.

Oh, and we’ve also decided that you must own at least an iPhone 5 to be privileged enough to wear an Apple Watch.

Okay, so instantly Apple has reduced the potential market size for the Apple Watch from 6 Billion people to about 100 million people (based on statisticbrain’s numbers).

Now, layer on top of this the fact that in a YPulse survey of millenials, only 32% stated that they wear a watch regularly.

$96 million of smartwatches were sold between October and July according to CNet at an average price of $189 (and dropping fast) – often bundled with a phone – and with Samsung wrapping up 78% of the market. If you do the math, that’s just over 500,000 units, less than 1% of the likely iPhone 5 sales over the same period.

The Apple Watch starts at $349.

But wait, we’re not done yet.

Consider that Samsung has become a faster, nimbler innovator in some ways than Apple and are shipping a new version of their smartwatch next month, up to six months before the Apple Watch is expected to be available – oh, and you’ll be able to use their new watch to make phone calls and run lots of wellness apps (including some from Nike). Plus Samsung will probably launch an even more capable version shortly after the Apple Watch starts shipping.

Apple’s already playing catchup in the smartphone market and they haven’t even shipped their first unit.

So if Apple is entering a small market with a declining average unit price against a more nimble competitor, what rabbit do they have up their sleeve to grow the market and increase their stock price?

What will make the Apple Watch a must have?

The iPod was a must have because it allowed you to carry your entire music library around with you after easily organizing it on your PC and syncing it to the iPod. After that you could then easily navigate thousands of songs on the device with the handy click wheel.

The iPhone was a must have because it became the world’s most widely adopted personal, wearable computer. The iPhone disrupted the balance of power in the mobile phone industry and allowed device makers to start offering whatever applications they wanted (unencumbered by the carriers). The iPhone also disrupted the digital camera market, the Flip (super portable, simple video cameras), and the dedicated GPS market.

Other wearables are on the decline.

iPod sales in Q4 2013 were down 52% from Q4 2012.

Google Glasses got a lot of buzz early on, but interest has fizzled.

Fitbits and Nike Fuelbands have lost their luster and momentum.

Even the iPad, which became a must have after Apple solved the Value Translation riddle and properly highlighted its benefits as a more relaxing and accessible computing device, has seen sales fall the past two quarters as the large screen phones have started to become big enough to begin decreasing the need for a separate tablet. If you’re keeping score the iPad disrupted the gaming industry and challenged people to think deeply about their computing device preferences.

Now back to the Apple Watch…

Can a smartwatch really unseat the mother of all wearables, the smartphone?

In an era of declining interest in watches, can Apple change people’s behavior and lead a resurgence in watch wearing?

These are all very tough questions, but they are not tough challenges that Apple hasn’t faced before.

It’s easy to forget that the iPod didn’t become a runaway success until two years after its launch (with the launch of the PC version of iTunes), and that it took a year for Apple to really ramp up sales of the iPhone (after the launch of the App Store), or that Apple got killed in the press after the announcement of the iPad but figured out how to translate its value by the time they started shipping it.

So, is Apple up to the challenge this time?

After their recent string of game-changing innovations the pressure is on!

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Improving Education for 20 Cents a Student

I love examples of simple, inexpensive solutions that solve important problems. Solutions like the water bottle light, the gravity light, etc., and Mike Freeston was kind enough to send this most recent example that I will share with you today. Thank you Mike!

The video details the work of a Non-Governmental Organization (aka NGO), that was created as a Community Service Center for marginalized families in rural areas an urban slums. It’s called Aarambh, and they wanted to help students who don’t even have the basic facilities, to be more comfortable and productive at school.

Most schools in rural India have two basic problems:

  1. Schools don’t have proper desks, which leads to poor eyesight, bad posture and bad writing.
  2. Students don’t have school bags.

Aarambh came up with a solution which tackled both these problems with a single, thoughtful design.

Aarambh came up with a design for portable desks made using discarded cardboard boxes (aka cartons). This choice for raw materials is both economical, and easily available. The stencil design, when cut and folded, creates a desk suitable for use by students whom must sit on the floor AND it also can serve as a school bag.

Brilliant!


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Tesla Doesn’t Have One of These

Renovo Coupe

Okay, it is not an innovation, but you have to admit it is one smoking hot looking automobile. I wouldn’t mind making my commute in one of these. Oh yeah, I almost forgot, it’s called the Renovo Coupe (rhymes with toupee for those of you in the UK).

A lot more fun than a Nissan Leaf and a lot sexier than a Tesla roadster or sedan.

Go go Speed Racer!


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Why the Maker Movement Matters

Making MakersThe Maker movement is steadily gaining steam and some cities are looking to help it grow and thrive, seeing it as an opportunity to inspire artists and entrepreneurs. One such city is Edmonton, which lies in the Alberta province of Canada, and its program in their public library system to provide maker spaces staffed with library employees and equipped with 3D printers, computers with Apple’s Garage Band and Adobe’s Creative Suite, and more.

Here is a video of Peter Schoenberg of the Edmonton Public Library introducing the EPL MakerSpace:



If you’re not familiar with the Maker movement, then check out these pages:

Maker Faire
Maker Culture – Wikipedia

Or check out these quotes from Time magazine’s article titled “Why the Maker Movement is Important to America’s Future“:

“According to Atmel, a major backer of the Maker movement, there are approximately 135 million U.S. adults who are makers, and the overall market for 3D printing products and various maker services hit $2.2 billion in 2012. That number is expected to reach $6 billion by 2017 and $8.41 billion by 2020. According to USA Today, makers fuel business with some $29 billion poured into the world economy each year.”

“As someone who has seen firsthand what can happen if the right tools, inspiration and opportunity are available to people, I see the Maker Movement and these types of Maker Faires as being important for fostering innovation. The result is that more and more people create products instead of only consuming them, and it’s my view that moving people from being only consumers to creators is critical to America’s future. At the very least, some of these folks will discover life long hobbies, but many of them could eventually use their tools and creativity to start businesses. And it would not surprise me if the next major inventor or tech leader was a product of the Maker Movement.”

So what do you think?

How much of a contribution to the future of innovation will the Maker Movement make?

How important is supporting the maker movement to the future of an economy?

Is this trend sustainable?


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Announcing the Crowd Computing Revolution

Designing Work for Man and Machine to Do Together

by Braden Kelley

Announcing the Crowd Computing RevolutionI am proud to bring you a downloadable PDF of a piece I created on The Crowd Computing Revolution and the redesign of work that is now possible thanks to new technology tools and business architecture thinking that will allow man and machine to work more efficiently together than ever before.

Anyone who has read even one or two science fiction books or watched one or two SciFi movies inevitably finds themselves dreaming of a day when machines will free of us of some of the mundane tasks in our lives. Companies dream of this too. Witness the eagerness of companies to outsource entire job functions (or even more recently whole business processes) to third parties either onshore or offshore. Hackers and spammers have become quite adept at programming their machines to send emails to people or attempt to break through security around the clock, around the globe. We have built automated factories, interactive voice response systems, and devised all kinds of ways to put machines to work for us.

Roger Martin, Dean of the Rotman School at the University of Toronto has a simple framework from his treatise on Design Thinking titled The Design of Business, that shows how as we learn more about a knowledge (or work) area, our understanding and abilities allow us to move the piece of knowledge (or work) from something that is mysterious and performed in an ad hoc way by experts, to a level of maturity where we start to observe the patterns (or heuristics) in the knowledge area (or piece of work), to a stage where the work or knowledge is well-understood and can be reduced to an algorithm (or set of best practices) performed by lower skilled employees, and possibly even implemented as a piece of code to be executed by a robot or computer.

Knowledge Funnel

Source: The Design of Business by Roger Martin

But, as alluded to earlier, companies have not only become more comfortable with designing work to be executed by machines instead of employees, but also more amenable to many different sizes and shapes of work being completed by people outside the organization, including:

  1. Entire job functions (Contractors or Outsourcing Firms – Global Outsourcing Market was $95 Billion in 2011)
  2. Whole business processes (Business Process Outsourcing (BPO) Firms – 2011 Market in excess of $11 Billion)
  3. Projects or initiatives (Outside Consultants)
  4. Discrete tasks (99Designs, Crowdspring, etc.)
  5. Micro tasks (Amazon Mechanical Turk, etc.)

Task and Micro-Task Division

Task and Micro-task Division

Over time the human race has moved from building simple machines that function as tools (like a forklift), allowing a man to do more with the help of the machine, to building machines and robots capable of completing a whole task (like painting a car or making an exact copy of a document). Has anyone seen a help wanted advertisement for a scribe lately? Meanwhile, our fully automated manufacturing and packaging plants use machines to complete an entire process. But machines aren’t suitable for every kind of work. They are appropriate for tasks that are well-defined and repeated continuously as part of a standardized process, but not a proper fit for tasks where judgment is required, particularly tasks with numerous exceptions, variability, or personalization.

As a result, typically machines and robots have been relegated most often to the production areas of a business, places where it has been easy to define specific tasks or even whole processes that can be designed for machines or robots to own and complete 24/7/365 if necessary.


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Rethinking Who (or What) Does the Work

Crowd Computing Part 2Rise of the Crowd

There is another growing trend that is now rivaling the growing power of robotics and automation – crowdsourcing. It all started with prizes like The Longitude Prize, but now thanks to the power of the Internet, companies and individuals all around the world are breaking down their projects and processes and tapping into the power of the crowd using loosely-organized, non-employee workforces like Amazon’s Mechanical Turk to execute micro-tasks, getting whole tasks completed through sites like Top Coder and Crowdspring, or calling upon the crowd to solve difficult challenges using sites like Innocentive, NineSigma, and Idea Connection. Sites like these enable organizations to access knowledge, expertise, perspectives, or capacity that they don’t currently have in their organization (or to possibly to get a task or challenge completed at a lower cost). Check out my white paper Harnessing the Global Talent Pool to Accelerate Innovation to learn more about this topic and some of the strategies for successfully leveraging external talent.

Rise of the Business Architect

Our organizations face an innovation imperative amidst intensifying competition that is forcing an increasing number of industries to become commoditized. This increasing need for a sustained level of innovation and a requirement for innovation to be a repeatable and sustainable activity, has led to an increasing number of organizations to consciously design their approaches to the new businesses that they enter. This has led to the growth of two new business disciplines – business architecture and social business architecture.

NIH Business Architecture

Source: National Institute of Health

Business Architecture, according to Wikipedia, is “a modern technology-oriented business occupation…. Working as a change agent with senior business stakeholders, the business architect plays a key part in shaping and fostering continuous improvement and business transformation initiatives. Business architects lead efforts aiming at building an effective architecture for the business process management (BPM) projects that make up the business change programme. The business architect implements business models that require business technology to work effectively.”

Social Business Intersections Social Business Connections

Social Business Architecture on the other hand, facilitates and optimizes the group dynamics and interactions inside the organization, and Social Business Architects specialize in identifying the different parts of an organization that need to interact with groups of people outside the organization, how those parts of the organization should work together to communicate with people outside the organization, and help to identify and implement communications solutions that connect the organization with the target groups so that a meaningful connection and conversation can be built, and then helps to manage the conversations and the information and learnings from their outcomes for the benefit of the organization.

Social Business Attraction Social Business Engagement

Few organizations employ or are even yet aware of the need for Social Business Architects, but there are an increasing number of help wanted postings for Business Architects. This is because not only do organizations recognize the need to architect their new lines of business for maximum efficiency and to , but also because there are so many different ways that work can be executed (employees, contractors, consultants, outsourcing, business process outsourcing (BPO), crowdsourcing, and micro-task execution, that for maximum efficiency it now increasingly requires someone to investigate all of the options, break down the work to be done into jobs, projects and processes, tasks and microtasks so that the right resources can be hired, contracted, briefed, or otherwise engaged to ensure that everything is completed as quickly and as cheaply as possible.

A Guide to Open Innovation and Crowdsourcing

Investigating Examples of Crowd Computing

The Crowd Computing Revolution - Part ThreeMoving from The Design of Business to Redesigning Work

Business Architects have the opportunity to plan for the organization how work can move from mystery to heuristics to algorithms to code. Business Architects (or people filling this role in an organization) have the opportunity to redesign work in the most efficient way possible to leverage both man and machine to get the work done at the lowest cost possible. Technology now exists to allow Business Architects and managers to move beyond allocating work on a job, project, or process basis, and instead design flexible workflows that combine the use of humans and machines to complete the tasks that they are best suited for, or even for humans to augment the work of machines.

For example, imagine that you work in the purchasing department at a large multinational and every month you receive hundreds or thousands of invoices from suppliers all over the world in all different kinds of formats – electronic, mailed paper invoices, PDFs, scanned paper invoices, and even faxed invoices. Your job as purchasing (or accounts payable) manager is to track all of the invoices that you receive, get them entered into your ERP system, and ultimately make sure that they get paid. You can hire or use an existing employee or contractor to manually key them all in, or sign a big dollar outsourcing deal sufficient to support the hiring, training, and management of offshore resources by the outsourcer, or you could try and use OCR software to do the job, but it would fail because of the great deal of variability in both the input sources and formatting of the documents and you’ll end up needing human resources to interpret the OCR output anyways.

Crowd Computing Invoice Processing Example

Or, you could examine the workflow of the process and identify which micro-tasks humans are best suited to perform and which micro-tasks machines are most efficient and cost-effective at performing. Then assign the right micro-task to the right resource. In the case of human resources, this could be an employee, a contractor, an external expert, or even a resource you don’t even know or control (via a crowd workforce like Amazon Mechanical Turk, Elance, etc.). And finally for each micro-task, assign a level of confidence in the quality of the assigned resource’s output and a define a process for grading it. In situations where you have a high level of confidence in the micro-task’s output quality, you can move directly on to the next micro-task in the workflow, but if you have a low level of confidence in a particular micro-task output performed by a machine, assign an alternate process to validate that output (such as using someone via Amazon Mechanical Turk to validate that “yes, this is a purchase order number”).

But that is not all that is possible these days. It is now possible for systems that facilitate the management of this kind of atomized work structure definition and workflow management and assignment, like those from Crowd Computing Systems, to also use artificial intelligence to both learn from the corrections that humans are making to a machine-driven, micro-task execution to get more accurate in the future, but also to learn how to do micro-tasks that humans are currently performing without machine assistance and to help identify the best performing crowd resources to inform work allocation decisions and to perform overall output quality optimization.

Conclusion

In much the same way that outsourcing felt awkward 20-25 years ago and Business Process Outsourcing (BPO) felt foreign a decade ago, the time has come for crowd computing to begin to be a tool that managers and Business Architects can keep in their toolbox to better allocate work across man and machine. The time is now for man and machine to work together in ways that they never have before, and to learn from each other. The time has come for businesses and work to not just be operated and executed, but designed for maximum efficiency. Should we be afraid as workers that the machines are going to take away our jobs and leave us with nothing to do?

No. In much the same way that tractors and steam shovels began freeing man and beast from back breaking work nearly two hundred years ago, there are many benefits for man to gain from the crowd computing revolution – the biggest being freedom from an increasing amount of mind numbing work. Organizations that embrace crowd computing stand to gain not only to potentially lower processing costs for many high volume processes, but also will benefit from acquiring the ability to reassign analysts and other highly-skilled and trained employees to higher value work – better leveraging their existing human resources while simultaneously increasing employee satisfaction, retention, and knowledge creation in the enterprise. Are you ready for the crowd computing revolution?

Click Here to Download The Crowd Computing Revolution PDF

Sources:

http://speakology101.com/welcome/2012/05/21/break-it-down-tasks-sequencing/
http://www.huffingtonpost.com/martin-ford/job-automation-is-a-futur_b_832146.html
http://www.statista.com/statistics/189788/global-outsourcing-market-size-since-2000/
http://www.rediff.com/business/report/bpo-market-to-be-worth-14-bn-in-2011/20110412.htm


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