Sunday, August 27, 2006

Thursday, August 17, 2006

network's marketing: Strategy


PEOPLE PERFORMANCE PROFIT


A strategy is a long term plan of action designed to achieve a particular goal, as differentiated from tactics or immediate actions with resources at hand. Strategic management is the process of specifying an organization's objectives, developing policies and plans to achieve these objectives, and allocating resources so as to implement the plans.

Strategy will integrate goals, policies, and action sequences (tactics) into a cohesive whole, and must be based on business realities. Strategy must connect with vision, purpose and likely future trends. (From Wikipedia, the free encyclopedia)
Johnson and Scholes (Exploring Corporate Strategy) define business strategy as follows:
"Strategy is the direction and scope of an organisation over the long-term: which achieves advantage for the organisation through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfil stakeholder expectations".
In other words, strategy is about:


  • Where is the business trying to get to in the long-term (direction)
    Which markets should a business compete in and what kind of activities are involved in such markets? (markets; scope)
    How can the business perform better than the competition in those markets? (advantage)?
    What resources (skills, assets, finance, relationships, technical competence, facilities) are required in order to be able to compete? (resources)?
    What external, environmental factors affect the businesses' ability to compete? (environment)?
    What are the values and expectations of those who have power in and around the business?


Strategy and strategic planning have the potential to align the people, processes and resources in an organization with a clear, compelling and desired future.In this evolving world of transparency "The World is Flat", it makes much more sense to develop a "why" based strategy or strategic plan leaving flexibility in "how".CLASIC STRATEGY IMAGE
As a consumer, I am constantly confronted by organizations who have created processes that frustrate and alienate me rather than make my life simpler and easier. Organizations have become so focused on improving their internal functions that they have ignored both the people who have to make the system work and the people who have to use it.Lots of businesses approach customer satisfaction from the standpoint of the best customer service being where people serve themselves. When it works it can be a terrific experience, but it doesn't always work.
Risk
The bargaining power of customers


  • buyer concentration to firm concentration ratio
    bargaining leverage
    buyer volume
    buyer switching costs relative to firm switching costs
    buyer information availability
    ability to backward integrate
    availability of existing substitute products
    buyer price sensitivity
    price of total purchase


The bargaining power of suppliers

  • supplier switching costs relative to firm switching costs
    degree of differentiation of inputs
    presence of substitute inputs
    supplier concentration to firm concentration ratio
    threat of forward integration by suppliers relative to the threat of backward integration by firms
    cost of inputs relative to selling price of the product
    importance of volume to supplier


The threat of new entrants


  • the existence of barriers to entry
    economies of product differences
    brand equity
    switching costs
    capital requirements
    access to distribution
    absolute cost advantages
    learning curve advantages
    expected retaliation
    government policies


The threat of substitute products


  • buyer propensity to substitute
    relative price performance of substitutes
    buyer switching costs
    perceived level of product differentiation


The intensity of competitive rivalry


  • power of buyers
    power of suppliers
    threat of new entrants
    threat of substitute products
    number of competitors
    rate of industry growth
    intermittent industry overcapacity
    exit barriers
    diversity of competitors
    informational complexity and asymmetry
    brand equity
    fixed cost allocation per value added
    level of advertising expense


Stage
Flexible sistem
"Business as usual is deed", next stage is emerging.Together Business Process Management and Service Oriented Architecture facilitate the next phase of business process evolution from merely "automated" to "managed flexibility." Thus business automation will no longer be about hard-coding a function to be repeated infinitely. Automation will be about creating services reusable in many different ways in multiple processes that can be continuously improved. This helps allow enterprises to achieve dramatic improvements in market capture, cost effectiveness and profitability. Many consider the current preponderance of niche marketing, rapid customization of product design and manufacturing through just-in-time systems to be the death-knell of "one-size-fits-all" products and services
Questions to ask:


  • Who are our competitors?
    What threats do they pose?
    What is the profile of our competitors?
    What are the objectives of our competitors?
    What strategies are our competitors pursuing and how successful are these strategies?
    What are the strengths and weaknesses of our competitors?
    How are our competitors likely to respond to any changes to the way we do business?


Resources
Creator's Pyramid

Creativity remain the most relevant resource. Now it is time to use customer creativity. All strategies will follow this pattern, that in fact represent Internet creativity distribution at this moments ("The Horovitz pyramid") and represent a niche market due the fact: this is not a Gauss distribution (normal distribution). This resource is change the evolution shape with high speed, so is just the time to get the connection that we need. Multi Level Marketing was suggested as technique for nice market.
Existing finance funds


  • Cash balances
    Bank overdraft
    Bank and other loans
    capital
    Working capital, already invested in the business
    Creditors (suppliers, government)
    Ability to raise new funds - Strength and reputation of the management team and the overall business
    Strength of relationships with existing investors and lenders
    Attractiveness of the market in which the business operates (i.e. is it a market that is attracting investment generally?)
    Listing on a quoted Stock Exchange? If not, is this a realistic possibility?


Human Resources

The heart of the issue with Human Resources is the skills-base of the business. What skills does the business already possess? Are they sufficient to meet the needs of the chosen strategy? Could the skills-base be flexed / stretched to meet the new requirements? An audit of human resources would include assessment of the following factors:


  • Exististaffing resources - Numbers of staff by function, location, grade, experience, qualification, remuneration
    Existing rate of staff loss ("natural wastage")
    Overall standard of training and specific training standards in key roles
    Assessment of key "intangibles" - e.g. morale, business culture
    Changes required to resources - What changes to the organisation of the business are included in the strategy (e.g. change of location, new locations, new products)?
    What incremental human resources are required?
    How should they be sourced? (alternatives include employment, outsourcing, joint ventures etc.)


Physical Resources

The category of physical resources covers wide range of operational resources concerned with the physical capability to deliver a strategy. These include:
Production facilities - Location of existing production facilities; capacity; investment and maintenance requirements.


  • Current production processes - quality; method & organisation
    Extent to which production requirements of the strategy can be delivered by existing facilities
    Marketing facilities
    Marketing management process
    Distribution channels
    Information technology
    IT systems
    Integration with customers and suppliers

  • Intangible Resources

It is easy to ignore the intangible resources of a business when assessing how to deliver a strategy - but they can be crucial. Intangibles include:


  • Goodwill - The difference between the value of the tangible assets of the business and the actual value of the business (what someone would be prepared to pay for it)
    Reputation - Does the business have a track record of delivering on its strategic objectives? If so, this could help gather the necessary support from employees and suppliers
    Brands - Strong brands are often the key factor in whether a growth strategy is a success or failure
    Intellectual Property - Key commercial rights protected by patents and trademarks may be an important factor in the strategy.


Mission


Create in two years frame a safe smart networks and inside three to four years intelligent networks using the same business DNA patterns as intelligent molecules.


Mintzberg defines a mission as follows:"A mission describes the organisation's basic function in society, in terms of the products and services it produces for its customers".A clear business mission should have each of the following elements:
A Purpose Why does the business exist? Is it to create wealth for shareholders? Does it exist to satisfy the needs of all stakeholders (including employees, and society at large?)
A Strategy and Strategic Scope A mission statement provides the commercial logic for the business and so defines two things:
The products or services it offers (and therefore its competitive position) (What)
The competences through which it tries to succeed and its method of competing (Who)

A Business strategic scope defines the boundaries of its operations. (Where) These are set by management.For example, these boundaries may be set in terms of geography, market, business method, product etc. The decisions management make about strategic scope define the nature of the business.
Policies and Standards of Behaviour A mission needs to be translated into everyday actions. For example, if the business mission includes delivering "outstanding customer service", then policies and standards should be created and monitored that test delivery. These might include monitoring the speed with which telephone calls are answered in the sales call centre, the number of complaints received from customers, or the extent of positive customer feedback via questionnaires.
Values and Culture The values of a business are the basic, often un-stated, beliefs of the people who work in the business. These would include:
Business principles (e.g. social policy, commitments to customers)
Loyalty and commitment (e.g. are employees inspired to sacrifice their personal goals for the good of the business as a whole? And does the business demonstrate a high level of commitment and loyalty to its staff?)
Guidance on expected behavioura strong sense of mission helps create a work environment where there is a common purpose
What role does the mission statement play in marketing planning? In practice, a strong mission statement can help in three main ways:


  • It provides an outline of how the marketing plan should seek to fulfil the mission
    It provides a means of evaluating and screening the marketing plan; are marketing decisions consistent with the mission?
    It provides an incentive to implement the marketing plan

The center point for every missions is the fact : we have assumed the obligation to obtain profit otherwise doe's not exit any reason to exist as business. Our basic opinion is that the firm name represent the center of activity area all other lucrative areas will be centered to this.


strategic planning - setting objectives

Objectives set out what the business is trying to achieve.

Objectives can be set at two levels:
Corporate level These are objectives that concern the business or organisation as a whole.


  • We aim for a return on investment of at least 15%
    We aim to achieve an operating profit of over ÂŁ10 million on sales of at least ÂŁ100 million
    We aim to increase earnings per share by at least 10% every year for the foreseeable future


Functional level ( specific objectives for marketing activities) :


  • We aim to build customer database of at least 250,000 households within the next 12 months
    We aim to achieve a market share of 10%
    We aim to achieve 75% customer awareness of our brand in our target markets


The SMART criteria are summarised below:


  • Specific - the objective should state exactly what is to be achieved
    Measurable - an objective should be capable of measurement so that it is possible to determine whether (or how far) it has been achieved.
    Achievable - the objective should be realistic given the circumstances in which it is set and the resources available to the business.
    Relevant - objectives should be relevant to the people responsible for achieving them
    Time Bound - objectives should be set with a time-frame in mind. These deadlines also need to be realistic. (When)


strategic planning - values and vision

Values provide the justification of behaviour and, therefore, exert significant influence on marketing decisions.

networks s.r.l. - defining our values:

netwoks's activities are underpinned by a set of values that all netwoks people are asked to respect:

  • We put customers first
    We are professional
    We respect each other
    We work as one team
    We are committed to continuous improvement.


These are supported by our vision of a communications-rich world - a world in which everyone can benefit from the power of communication skills and technology. A society in which individuals, organisations and communities have unlimited access to one another and to a world of knowledge, via a multiplicity of communications technologies including voice, data, mobile, internet - regardless of nationality, culture, class or education. Our job is to facilitate effective communication, irrespective of geography, distance, time or complexity. (Source: BT Group plc web site )
Why are values important? Many Japanese businesses have used the value system to provide the motivation to make them global market leaders. They have created an obsession about winning that is communicated at all levels of the business that has enabled them to take market share from competitors that appeared to be unassailable.For example, at the start of the 1970's Komatsu was less than one third the size of the market leader “ Caterpillar “ and relied on just one line of smaller bulldozers for most of its revenues. By the late 1980's it had passed Caterpillar as the world leader in earth-moving equipment. It had also adopted an aggressive diversification strategy that led it into markets such as industrial robots and semiconductors. If "values" shape the behaviour of a business, what is meant by "vision"?To succeed in the long term, businesses need a vision of how they will change and improve in the future. The vision of the business gives it energy. It helps motivate employees. It helps set the direction of corporate and marketing strategy. What are the components of an effective business vision? Davidson identifies six requirements for success:


  • Provides future direction
    Expresses a consumer benefit
    Is realistic
    Is motivating
    Must be fully communicated
    Consistently followed and measured
Timetable

Saturday, August 05, 2006

Information Architecture

Information Arghitecture

Information Architecture (often abbreviated "IA") is the practice of structuring information (knowledge or data) for a purpose. These are often structured according to their context in user interactions or larger databases. (wick)

User Centered Design The practice of IA is heavily influenced by User Centered Design (AK UCD) principles, of designing the architecture around the needs and capabilities of the intended user audience. This is in contrast with more traditional/academic approaches of organizing information, where the focus is on some internal consistency or internal logic.

Opinion of IT professionals seems to be "To release the creative power of users in key roles to use new technologies to boost their personal productivity around collaboration, optimization, and being able to form views of the world, or their parts of it, to suit will require the active involvement of the traditional IT department and systems, otherwise dysfunctional chaos will be the result.

Technology

Step 1: Assessing Goals and Limitations

Clarify the goals and limitations (time, money, expertise) for this project.

Ask:

  • Why are we doing this?
  • What do we hope to accomplish?
  • What has changed?

Skipping this step will lead to confusion and conflict later on.

Questions to ask include:

  • Why do we want to move this material to the web?
  • Increase user access (scalability)?
  • Increase sustainability of the material?
  • Improve marketing?
  • Part of distance education initiative? Etc...
  • What do we hope to accomplish by moving this material to the web?
  • How does this project fit within our greater goals?
  • Who will be in charge of the project and who will maintain the final website? (this may not be resolved until the next stage)
  • What limitations (time, budget, expertise) constrain us?
  • What expertise is available to us for this project?
  • Are we serious about creating a quality online learning product?
  • What has changed since the creation of the website?
  • Has our targeted audience changed?
  • Have the educational goals changed?
  • Has the content become outdated?
  • What did we do wrong in developing the website that we can correct now? (a detailed analysis will be conducted later)

This may all be done in a single meeting, if the goals and organizational structure are clear. However, in organizations that have not undertaken such a process before, the time is well spent to clarify these issues may be that the decision at this point is not to proceed, due to lack of funds, expertise, upper level buy-in, whatever. Being able to make that decision is part of the purpose of this step.

Step 2: Assembling a Team

Assembling the right team is the most critical task in the process.

At the minimum you will need the following expertise:

  • instructional designer,
  • web developer (HTML/JavaScript)
  • information architect,
  • web usability expert,
  • graphic designer and subject matter experts (SME).

These experts can be grouped together by task to improve communication.

At the very least, your project team will need to include people with the following expertise:

  • Instructional Design
  • Web Development
  • HTML & JavaScript
  • Information Architecture
  • Usability
  • Accessibility
  • Graphic Design for the Web
  • Subject Matter

For more complex or ambitious projects, you may also need programmers, database managers, animators (Flash, Director), 3D modelers, streaming media experts, writers, editors, etc. However, one person may play several roles in the project. In our case, one person acted as information architect, web developer, and Flash animator, as well as second string instructional designer.


Step 3: Reviewing and Evaluating the site

In reviewing the existing site, examine how well the existing content, design and structure of the CD meet the goals and objectives for the project as established in Step 1. Determine what content can be transferred to the web "as is". Look for things that may have to be changed, expanded or removed entirely. Examination of websites with similar topics might also reveal important points for consideration.

Questions to ask:

  • How are people going to navigate the site?
  • Are there any logical groupings or hierarchies in the content?
  • Is the site going to grow and change over time?
  • What content should be available from every page?
  • What can be done to clarify tasks and organization?
  • Does the existing design use a static screen size or a graphical background?
  • Is the design visually pleasing?
  • Do we need to maintain brand identity from the old website to the new website?
  • Does the site have clearly organized universal ("site") navigation tools available from all screens?
  • What links should appear on every page?

Content

The content review should focus on the sufficiency (quality and quantity) and appropriateness of the existing content for publication on the web.

Sufficiency

Sufficiency describes quality and quantity of existing content as brought into the new website. Sufficiency issues arise when there is not enough content or the content is of less than the desired quality. This is an inherently subjective measurement: 3D animation that might astound a community member might not even make the first cut in a Hollywood production. If it satisfies your target audience, then it is good enough.

Questions to ask:

  • Is the quality of this content (text, graphic, etc.) up to desired standards?
  • Is there enough content here to accomplish our goals?

Appropriateness

On the web, user control is considered a paramount design principle. Animations, video and sounds are designed to be totally under user control. Users choose to play or not to play media elements and are able to control them at any point.

Questions to ask:

  • How much bandwidth will this content use?
  • Is there a way to communicate the same thing at a lower bandwidth?
  • Do professional websites use this kind of content in this way?
  • How would changing the media (e.g., from audio to text) affect the message?
  • Does this content give the user control?
  • How can we give the user greater control?

Step 4: Develop Information Architecture

Develop a list of content elements (pages), navigational elements (links). Group things together logically and develop an organizational structure from that.

  1. A list of major content elements (most easily separated into web pages)
  2. A list of major navigational elements (typically closely related to the pages)
  3. A structure for organizing content and navigation

Content Elements

The list of content elements is simply a list of all the pages and page chunks to be included in the site.

Step 5a: Developing a Content Action List

Develop a detailed list of what existing content can be used as is, what existing content can be used with changes, what content will have to be recreated and what content is needed and does not exist.

  • Existing content that isn't needed
  • Existing content that can be used as is (sufficient and appropriate)
  • Existing content that can be used with changes/additions Content that must be recreated or redeveloped (typically graphics, animations)
  • Content that is needed but does not exist

This list will crystallize the status of the available content and will identify where the bulk of the content related work will be.

Step 5b: Develop/Edit Content Materials

  • Develop and edit the content materials to be used in the site.
  • Develop and maintain standards on editorial style, file naming, etc., and coordinate between content developers.On large projects, consistency and coordination can become a major issue.
  • Standards for writing and editorial styles (spelling, grammar, punctuation, etc.), file naming conventions, images, etc., should be created.

Content producers should be coordinated by the webmaster and/or designer.

Step 6: Develop Site Design


Step 7: Implement Site

Implementing the site is the process of actually building the site using the information architecture, site design and content developed in steps 4 through 6. This can be an extremely complex process, requiring extensive management and coordination. Refer to one of the many excellent references on website development (refs) for details on potential processes.


Step 8: Conduct User Testing

Ideally, formative evaluations should be taking place during the implementation phase to test the content and design of the site. Unfortunately, that is rarely the case in a small, non-corporate project. User testing might include one-on-one testing, ...



Step 9: Deploy Site

Once the user testing is completed, the site is ready to be released to the world. Unfortunately, simply uploading a site to the web doesn't guarantee any traffic. The greatest mistake you can make in the entire development process is not to have a clear, practical and realistic strategy for marketing your site. Information architecture brings together how people think with how systems work. It's a strategy and a discipline.

Thursday, August 03, 2006

Intelligent Infrastructure


Intelligent Infrastructure, much like the predetermined infrastructure of this molecule, is revolutionizing data-driven research.


Just where is the intersection where Information Technology meets Research these days?


Knowledge processing these days happens at multiple locations, through many disciplines, by multi-organizational teams. "When you got up this morning and flicked on the light switch," Stewart told e-Strategy, "you didn’t waste a nano-second wondering where the power came from. Increasingly, when you look at the resources that will be required to process the data" whether you’re an administrator or a researcher or an instructor " you’re simply going to expect that the infrastructure is there. It won’t matter to you where and how the various elements work together. It’s all going to be about your access to that data, or worse, your lack of access."


Summary


This paper traces the development of such transport infrastructures, as well as the overlaid intelligent infrastructures (such as the telegraph, Supervisory Control and Data Acquisition systems, air traffic control, and telecom signaling systems) that have proven necessary for the transport infrastructures to reach their full potential. The authors observe that most transport infrastructures exhibit several common development trends. The authors define the systems that provide this intelligence layer as "intelligent infrastructures." Third, once the intelligent infrastructure is deployed, growth in the underlying transport infrastructure generally accelerates through an inflection point, laying the foundation for several additional decades of growth in both the transport infrastructure and the overall economy. The authors then posit that as a result there is a need for significantly enhanced intelligent infrastructure and introduce six critical characteristics that the new intelligent infrastructure must exhibit: scalability, interoperability, adaptability, reliability, security, and visibility. For the purposes of this paper, we will call the systems that provide this intelligence overlay "intelligent infrastructures."


  • The use of digital infrastructures for increasingly critical economic applications

  • The convergence of predecessor infrastructures

Just as intelligent infrastructure has played a critical role in mitigating the complexities of transport and communications infrastructures of the past, intelligent infrastructure is needed today to mitigate the complexities of our Digital Age. Intelligent infrastructure must also be able to mediate between myriad technologies and protocols.


Think Safe


Industrial Revolutions are dangerous processes, the previous have as results sequential wars, increasing personal or community power. Now globalization, outsourcing, "The world is flat" have an strong rejection reaction from some parts of the world. I bring here part of my opinions regarding Very Sign white paper "Intelligent infrastructure for 21's century" from Forbes


Abstract


Throughout history, infrastructures for the transport of goods, services, and information (such as the rail system, electric utilities, air travel, and telephony) have had an enormous impact on society and the global economy. These infrastructures have helped to drive profound growth in productivity, incomes, and standards of living by reducing the barriers of time and distance and enabling people to interact, communicate, and conduct commerce in ways that were previously impossible.


This paper traces the development of such transport infrastructures, as well as the overlaid intelligent infrastructures (such as the telegraph, Supervisory Control and Data Acquisition systems, air traffic control, and telecom signaling systems) that have proven necessary for the transport infrastructures to reach their full potential. The authors use these historical examples to draw insights into the future development of the Internet and emerging digital infrastructures.


The authors observe that most transport infrastructures exhibit several common development trends. First, such infrastructures have traditionally taken about thirty years to build out. Second, at some point, generally ten years into deployment and broad-scale adoption, transport infrastructures reach a critical level of usage and complexity, requiring an overlay of intelligence for significantly improved communication, coordination, and fulfillment. The authors define the systems that provide this intelligence layer as "intelligent infrastructures." Third, once the intelligent infrastructure is deployed, growth in the underlying transport infrastructure generally accelerates through an inflection point, laying the foundation for several additional decades of growth in both the transport infrastructure and the overall economy. These gains usually dwarf the gains made prior to the introduction of the intelligence layer. The authors then argue that we are about to reach a similar inflection point in the deployment of the emerging digital infrastructure. This is being driven both by the burgeoning usage of the infrastructure, and the corresponding issues of complexity associated with its broad adoption, including: a) the proliferation of applications, devices, and protocols; b) the use of the infrastructure for increasingly critical economic applications; c) the convergence of predecessor infrastructures; and d) a host of new security and regulatory concerns.

The authors then posit that as a result there is a need for significantly enhanced intelligent infrastructure and introduce six critical characteristics that the new intelligent infrastructure must exhibit: scalability, interoperability, adaptability, reliability, security, and visibility. The paper concludes with illustrations of the role that Intelligent Infrastructure Services are playing- and will continue to play-in enabling such new applications as Voice-over-IP (VoIP), Radio Frequency Identification (RFID)-enabled supply chains, and digital content delivery systems.


My notes


Definition


However, at some point, most transport infrastructures approach a critical level of usage and complexity that threaten to limit their usefulness. At this point, the transport infrastructures require an overlay of intelligence to provide improved coordination, control, and functionality. For the purposes of this paper, we will call the systems that provide this intelligence overlay "intelligent infrastructures."


My underlines


In modern times, intelligent infrastructures have also proved to be prerequisites for the blossoming of infrastructures used in the transport and delivery of information itself, such as telephony networks and the Internet. We are about 10 years into a process through which the global economy is moving inexorably towards a multi-dimensional digital economy. This shift seems to be associated with the kinds of increases in productivity historically associated with other great infrastructural innovations. We have seen usage of both the telecommunications and Internet networks increase at least a hundredfold in just the past few years, six resulting in a dramatic and often unforeseen impact on society and the economy. These trends have been accompanied by a massive increase in complexity, driven by:


  • An increased, global demand requiring increases in scale

  • The proliferation of applications, devices, and protocols

  • The use of digital infrastructures for increasingly critical economic applications

  • The convergence of predecessor infrastructures

  • A host of new security and regulatory concerns

Just as intelligent infrastructure has played a critical role in mitigating the complexities of transport and communications infrastructures of the past, intelligent infrastructure is needed today to mitigate the complexities of our Digital Age. To do so, intelligent infrastructure for the 21st century must meet a set of six requirements.


  • One. Scalability
    Dramatic increases in use have always been, and always will be, a source of complexity.

  • Two. Interoperability
    Intelligent infrastructure must also be able to mediate between myriad technologies and protocols.

  • Three. Adaptability
    The design of the overlaid intelligent infrastructure must be flexible enough to meet the reality of constantly evolving form and functionality.

  • Four. Availability
    As critical medical, legal, supply chain, and financial transactions are processed across the new digital infrastructure, and as that infrastructure becomes the basis for increasingly high-value and high-volume transactions, it must approach levels of reliability and availability superior to even the current wired telecommunications infrastructure.

  • Five. Security
    Given the central role that intelligent infrastructures play in coordination, control, and safety, they can make a target for criminals and others who have an interest in disrupting the underlying transport infrastructures.

  • Six. Visibility
    The intelligent collection, correlation, and interpretation of data in myriad formats from multiple sources are at the heart of any intelligent infrastructure.

Let's start the comments! Making the future work for you.

Wednesday, August 02, 2006

Management

Management Pyramid

The ability to represent the complexity of real-world business communication,
collaboration and available personnel and computing resources is the first step in freeing business processes from being carved in stone.


Just as business process management capabilities needed to evolve over time to add
flexibility to process design, so too do application integration systems need to evolve to automate the new flexible processes in the real world. This integration evolution requires the ability to create independence between process and service implementation, to remove the tight coupling between a specific integration technology and individual business applications. This is where standards-based Service Oriented Architecture (SOA) comes in. SOA provides the technical ability to create that process implementation independence.


Enterprise competitive and cost pressures are creating the need to rapidly adapt and streamline business processes to create new business value or increase operational efficiency. To that end, enterprise processes are becoming increasingly explicit and business process management (BPM) is evolving from a paper-based diagramming tool to a comprehensive solution that models, monitors, simulates, and redesigns processes for competitive improvement. The endgame of BPM is unprecedented process flexibility – where workflows (both human and automated) can be determined in real-time by the events or outcomes within the process. This helps allow the business to act appropriately and competitively regardless of the situation.


For this endgame to happen, processes must become independent of specific information resources and specific task automation applications. The integration technology must loosely couple the applications and resources that make up the process, otherwise the logic of a process will get hard-coded into a particular technology platform, which may be expensive to change and therefore defeat the entire purpose of BPM. This is where standards-based service oriented architecture (SOA) comes in. An SOA provides the technical ability to create that process independence. SOA standards, such as Web Services, make information resources and task automation applications available yet loosely integrated for process designers to use and reuse at will. Thus processes modeled with BPM tools can be rapidly implemented in production via SOA infrastructure. Together BPM and SOA facilitate the next phase of business process evolution from merely “automated” to “managed flexibility.” Thus business automation will no longer be about hard-coding a function to be repeated infinitely. Automation will be about creating services reusable in many different ways in multiple processes that can be continuously improved. This helps allow enterprises to achieve dramatic improvements in market capture, cost effectiveness and profitability.


Internet Creativity Pyramid

This paper explores the relationship between BPM and SOA in creating business agility. It outlines how solution suites such as IBM’s Process Integration suite narrow the gap between sophisticated process modeling and actual enterprise implementation.


Don't forget to remember internet creativity pyramid. And compare SOA pyramid, images give us the ideea about huge resurses!


Customer Flow Chart

Tuesday, August 01, 2006

Business process

Dali 1954

Summary

  • Business process outsourcing (BPO)

  • Global sourcing ("The world is flat")

  • With the confluence of global events colliding as they are, Dali's art seems quite prescient.

Imagine building a structure. Now think of your net worth as a pile of bricks. You've got big bricks on the bottom that make a foundation and successively smaller bricks stacked on top. In our analogy, the smaller each successive brick gets. Business process outsoursing (BPO) versus Application service provider (ASP), as parts of Global sourcing appear as false dilemmas!


Ancient Greek philosophers Leucipus and Democritus bring us the term "atom".
"The World is Flat" author and NY Times columnist Thomas Friedman has discovered nanotech as a key contributor to his thesis and as noted below, wrote: ""The eleventh flattener will be nanotechnology. We're going from large to medium to small to nano." Anyone watching global current events rise to a boil might feel more dramatically like the "World Is about to be Flattened".
And speaking of flat, remember those flat melting clocks of Salvador Dali? You see Einstein once said, "The only reason for time is so that everything doesn't happen at once." With the confluence of global events colliding as they are, Dali's art seems quite prescient.


Speaking of overestimating the value of money: there's a good reason why we have loss aversion-that is, why we hate losses more than we like gains (roughly twice as much hatred for that love). Let's use basic structural physics as an analogy. Forgive the pun, but I think visualizing this helps cement the concept. Imagine building a structure. Now think of your net worth as a pile of bricks. You've got big bricks on the bottom that make a foundation and successively smaller bricks stacked on top. The more you are worth, the less valuable each marginal dollar might be. In our analogy, the smaller each successive brick gets. Well now if you had to remove a brick from the top of the structure, it would be a larger brick than whatever the next brick you would add to it. Thus the pain from loss is greater than gain.


Business process outsoursing (BPO) versus Application service provider (ASP), as parts of Global sourcing appear as false dilemmas! BPO brings other people and their machines on to the business.


Starting a company is by its very nature a Herculean task. The odds are very much against you. As a general matter, people don't like working for startups, companies don't like buying from startups, building owners don't like renting to startups, banks don't like lending to startups, press don't like talking with startups, integrators don't like partnering with startups, lawyers don't like representing startups, and investors don't like funding startups. In Europe, each of these is more than a little true.


As Buffett has said, "In looking for people to hire, you look for three qualities: integrity, intelligence, and energy. And if they don't have the first, the other two will kill you." That means simply: I share my risk with others like me!