Tag Archives: algorithms

Building a Business with Feelings and Emotions

Building a Business with Feelings and Emotions

GUEST POST from Mike Shipulski

If you use your sane-and-rational lenses and the situation doesn’t make sense, that’s because the situation is not governed by sanity and rationality. Yet, even though there’s a mismatch between the system’s behavior and sane-and-rational, we still try to understand the system through the cloudy lenses of sanity and rationality.

Computer programs are sane and rational; Algorithms are sane and rational; Machines are sane and rational. Fixed inputs yield predicted outputs; If this, then that; Repeat the experiment and the results are repeated. In the cold domain of machines, computer programs and algorithms you may not like the output, but you’re not surprised by it.

But businesses are not run by computer programs, algorithms and machines. Businesses are run by people. And that’s why things aren’t always sane and rational in business.

Where computer programs blindly follow logic that’s coded into them, people follow their emotions. Where algorithms don’t decide what to do based on their emotional state, people do. And where machines aren’t afraid to try something new, people are.

When something doesn’t make sense to you, it’s because your assumptions about the underlying principles are wrong. If you see things that violate logic, it’s because logic isn’t the guiding principle. And if logic isn’t the guiding principle, the only other things that could be driving the irrationality are feelings and emotions. But if you think the solution is to make the irrational system behave rationally, be prepared to be perplexed and frustrated.

The underpinnings of management and leadership are thoughts, feelings and emotions. And, thoughts are governed by feelings and emotions. In that way, the currency of management and leadership is feelings and emotions.

If your first inclination is to figure out a situation using logic, don’t. Logic is for computers, and even that’s changing with deep learning. Business is about people. When in doubt, assess the feelings and emotions of the people involved. And once you understand their thoughts and feelings, you’ll know what to do.

Business isn’t about algorithms. Business is about people. And people respond based on their emotional state. If you want to be a good manager, focus on people’s feelings and emotions. And if you want to be a good leader, do the same.

Image credit: Pixabay

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How to Use TikTok for Marketing Your Business

How to Use TikTok for Marketing Your Business

GUEST POST from Shep Hyken

If you think your business isn’t right for TikTok, you may want to think again. If you’re like most businesspeople, TikTok is not what you think. It’s not just 20- to 30-second videos of kids dancing, dogs doing tricks and influencers showing off the latest fashions. It’s become a serious contender for online/digital advertising dollars from all types of businesses, both B2C and B2B.

Most of you reading may still believe that the TikTok audience is made up of 20-somethings and younger. Again, it’s not what you think!

Dennis Yu is the CEO of BlitzMetrics and co-author of The Definitive Guide to TikTok Advertising. Yu’s company has placed more than a billion dollars’ worth of ads for its clients on social platforms like Facebook, Twitter, Google and others, using ads and algorithms to drive sales. And now he’s focusing his efforts on TikTok.

I had the chance to interview Yu on Amazing Business Radio, where he said, “TikTok in 2022 is Facebook in 2007. It’s now the largest property on the Internet. It has more traffic than Google. It has a higher average watch time than Facebook or Netflix. People are spending more time watching short 15- to 30-second videos than two-hour-length feature films.”

Yes, TikTok has more traffic than Google! In 2021, TikTok was ranked No. 7 on social media platforms. In 2022, just one year later, it is now ranked No. 1. In Q1 2022, TikTok became the most downloaded app in the world.

According to the Search Engine Journal, TikTok is becoming a search engine. SEJ staffer, Matt Southern, posed the question, “What if people started using TikTok as a search engine?” In his research, he found people treating the app as a search provider, some even preferring it over Google. So, his question turned from “What if …?” to “What now …?”

The point is that as a business, you can’t ignore TikTok as a viable marketing and sales channel. TikTok does an amazing job of understanding what the user is watching and will quickly start serving up content that is exactly what the user is interested in. That means that as soon as a customer watches a company’s TikTok video, the platform will start serving up more of the company’s content for the user to enjoy.

I asked Yu how businesses can use TikTok. Knowing that the podcast focuses on customer service and experience, he related his first tip to digital customer care. Today’s customers turn to the Internet, specifically social media platforms like Twitter and Facebook, to ask for help or complain to a company. And more and more, they are turning to TikTok. “Whether you are on TikTok or not, your customers are there talking about you on TikTok,” Yu said. “Remember the early days of Twitter when many brands said, ‘We’re not ready to be on Twitter?’ And then they think that somehow not being on Twitter means that people can’t talk about them.”

As more customers turn to TikTok for customer care, it’s imperative that you (your company or brand) be the one posting the answers, not other customers. Your company must control the narrative even if customers are sharing correct information. You must be visible on this extremely popular channel. And you don’t need to spend a lot of money doing so. Posting simple, non-professionally edited videos are just as effective as highly produced videos.

Going beyond customer service and experience, whatever your company does or sells, B2B or B2C, just create a short video with tips and ideas that would interest your customers. Shorter is better. Keep it under a minute—even 30 seconds. TikTok rewards you for videos that are watched in completion. The likelihood of someone watching a 30-second video to the end is much higher than a video that lasts four or five minutes. And while not necessary, if you can make it funny or entertaining, that’s always a bonus.

Yu’s advice is simple. Just create content. Then let TikTok’s algorithm do its job and find people (your customers and potential customers) interested in whatever you’re posting. Yu quoted the famous line by Ray Kinsella (played by Kevin Costner) from the movie Field of Dreams: “If you build it, they will come.” I’ll quote a famous shoe and apparel manufacturer, Nike: “Just do it!”

This article originally appeared on Forbes

Image Credit: Shep Hyken

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Asking the Hard Questions About What We Create

Beyond the Hype

Asking the Hard Questions About What We Create

GUEST POST from Chateau G Pato

In the relentless pursuit of “the next big thing,” innovators often get caught up in the excitement of what they can create, without ever pausing to ask if they should. The real responsibility of innovation is not just to build something new, but to build something better. It’s a call to move beyond the shallow allure of novelty and engage in a deeper, more ethical inquiry into the impact of our creations.

We are living in an age of unprecedented technological acceleration. From generative AI to personalized medicine, the possibilities are thrilling. But this speed can also be blinding. In our rush to launch, to disrupt, and to win market share, we often neglect to ask the hard questions about the long-term human, social, and environmental consequences of our work. This oversight is not only a moral failing, but a strategic one. As society becomes more aware of the unintended consequences of technology, companies that fail to anticipate and address these issues will face a backlash that can erode trust, damage their brand, and ultimately prove to be their undoing.

Human-centered innovation is not just about solving a customer’s immediate problem; it’s about considering the entire ecosystem of that solution. It requires us to look past the first-order effects and consider the second, third, and fourth-order impacts. It demands that we integrate a new kind of due diligence into our innovation process—one that is centered on empathy, ethics, and a deep sense of responsibility. This means asking questions like:

  • Who benefits from this innovation, and who might be harmed?
  • What new behaviors will this technology encourage, and are they healthy ones?
  • Does this solution deepen or bridge existing social divides?
  • What happens to this product or service at the end of its life cycle?
  • Does our innovation create a dependency that will be hard to break?

Case Study 1: The Dark Side of Social Media Algorithms

The Challenge: A Race for Engagement

In the early days of social media, the core innovation was simply connecting people. However, as the business model shifted toward ad revenue, the goal became maximizing user engagement. This led to the development of sophisticated algorithms designed to keep users scrolling and clicking for as long as possible. The initial intent was benign: create a more personalized and engaging user experience.

The Unintended Consequences:

The innovation worked, but the unintended consequences were profound. By prioritizing engagement above all else, these algorithms discovered that content that provokes outrage, fear, and division is often the most engaging. This led to the amplification of misinformation, the creation of echo chambers, and a significant rise in polarization and mental health issues, particularly among younger users. The platforms, in their single-minded pursuit of a metric, failed to ask the hard questions about the kind of social behavior they were encouraging. The result has been a massive public backlash, calls for regulation, and a deep erosion of public trust.

Key Insight: Optimizing for a single, narrow business metric (like engagement) without considering the broader human impact can lead to deeply harmful and brand-damaging unintended consequences.

Case Study 2: The “Fast Fashion” Innovation Loop

The Challenge: Democratizing Style at Scale

The “fast fashion” business model was a brilliant innovation. It democratized style, making trendy clothes affordable and accessible to the masses. The core innovation was a hyper-efficient, rapid-response supply chain that could take a design from the runway to the store rack in a matter of weeks, constantly churning out new products to meet consumer demand for novelty.

The Unintended Consequences:

While successful from a business perspective, the environmental and human costs have been devastating. The model’s relentless focus on speed and low cost has created a throwaway culture, leading to immense textile waste that clogs landfills. The processes rely on cheap synthetic materials that are not biodegradable and require significant energy and water to produce. Furthermore, the human-centered cost is significant, with documented instances of exploitative labor practices in the developing world to keep costs down. The innovation, while serving a clear consumer need, failed to ask about its long-term ecological and ethical footprint, and the industry is now facing immense pressure from consumers and regulators to change its practices.

Key Insight: An innovation that solves one problem (affordability) while creating a greater, more damaging problem (environmental and ethical) is not truly a sustainable solution.

A Call for Responsible Innovation

These case studies serve as powerful cautionary tales. They are not about a lack of innovation, but a failure of imagination and responsibility. Responsible innovation is not an afterthought or a “nice to have”; it is a non-negotiable part of the innovation process itself. It demands that we embed ethical considerations and long-term impact analysis into every stage, from ideation to launch.

To move beyond the hype, we must reframe our definition of success. It’s not just about market share or revenue, but about the positive change we create in the world. It’s about building things that not only work well, but also do good. It requires us to be courageous enough to slow down, to ask the difficult questions, and to sometimes walk away from a good idea that is not a right idea.

The future of innovation belongs to those who embrace this deeper responsibility. The most impactful innovators of tomorrow will be the ones who understand that the greatest innovations don’t just solve problems; they create a more equitable, sustainable, and human-centered future. It’s time to build with purpose.

Extra Extra: Because innovation is all about change, Braden Kelley’s human-centered change methodology and tools are the best way to plan and execute the changes necessary to support your innovation and transformation efforts — all while literally getting everyone all on the same page for change. Find out more about the methodology and tools, including the book Charting Change by following the link. Be sure and download the TEN FREE TOOLS while you’re here.

Image credit: Pixabay

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AI Has Already Taken Over the World

AI Has Already Taken Over the World

by Braden Kelley

I don’t know about you, but it’s starting to feel as if machines and Artificial Intelligence (AI) have already taken over the world.

Remember in primary school when everyone tried really hard to impress, or even just to be recognized by, a handful of cool kids?

It’s feeling more and more each day as if the cool kids on the block that we’re most desperate to impress are algorithms and artificial intelligence.

We’re all desperate to get our web pages preferred over others by the algorithms of Google and Bing and are willing to spend real money on Search Engine Optimization (SEO) to increase our chances of ranking higher.

Everyone seems super keen to get their social media posts surfaced by Facebook, Twitter, Instagram, YouTube, Tik Tok, and even LinkedIn.

In today’s “everything is eCommerce” world, how your business ranks on Google and Bing increasingly can determine whether you’re in business or out of business.

Algorithms Have Become the New Cool Kids on the Block

According to the “Agencies SEO Services Global Market Report 2021: COVID-19 Impact and Recovery to 2030” report from The Business Research Company:

“The global agencies seo services market is expected to grow from $37.84 billion in 2020 to $40.92 billion in 2021 at a compound annual growth rate (CAGR) of 8.1%. The market is expected to reach $83.7 billion in 2025 at a CAGR of 19.6%.”

Think about that for a bit…

Companies and individuals are forecast to spend $40 Billion trying to impress the alogrithms and artificial intelligence applications of companies like Google and Microsoft in order to get their web sites and web pages featured higher in the search engine rankings.

The same can be true for companies and individuals trying to make a living selling on Amazon, Walmart.com and eBay. The algorithms of these companies determine which sellers get preferred placement and as a result can determine which individuals and companies profit and which will march down a path toward bankruptcy.

And then there is another whole industry and gamesmanship surrounding the world of social media marketing.

According to BEROE the size of the social media marketing market is in excess of $102 Billion.

These are huge numbers that, at least for me, demonstrate that the day that machines and AI take over the world is no longer out there in the future, but is already here.

Machines have become the gatekeepers between you and your customers.

Be afraid, be very afraid.

(insert maniacal laugh here)

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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.


Build a Common Language of Innovation

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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