Showing posts with label Attention Economy. Show all posts
Showing posts with label Attention Economy. Show all posts

Friday, March 16, 2007

A new tool.

Marissa Mayer of Google just announced "gapminder" for a preview look. What an unbelievable tool. The world will not be seen through the data elements, but through tools like gapminder. The address to this demo is...

http://tools.google.com/gapminder/

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Thursday, February 08, 2007

John Seeley Brown on MIT Video

John Seeley Brown talking about "Re-learning Learning - Applying the Long Tail to Learning" on MIT Video. The video is on the longish side at 1:43 minutes, however, it is time well spent. Along with John Hagel III, John Seely Brown was instrumental in defining the web services paradigm for business. I wrote about their thinking at the time on the subject.

Speaking in the context of change, Brown suggests the "speed of acceleration" of change means that little or no skills will be able to sustain their value over a moderate to long period of time. A new approach to learning requires people to adopt the attitude that an inventory be conducted to determine where new skills are needed, each year. In support of new skills Brown also suggests that we find successful learning models. Differentiating between "learning about" and "learning to be" with the latter being the more difficult of the two.

Dr. Brown notes that a good example of "learning to be" is the open source software development model. I have to agree with his comment as it is a strong model of organizational learning. Brown calls it a "distributed cognitive apprenticeship platform". The most popular culture in the digital generation has come back to a "building, tinkering and participatory culture". This last comment in line with Sun Microsystems and its CEO talking about the "Participation Age". In the future I will discuss in-depth the methods that software is developed under these open source models. It is what we will be using on this development and it is rather complex and interesting development model in terms of its methods and processes.

Brown comments that this "learning to be" is usually more amateur then professional with the point that passion is what drives the people in the open source model to build better systems. This passion leading to the rise of the Amateur Class. For almost no amount of money users can participate at high levels in science and business ideas. Professionals and amateurs are working together today. The tools by themselves are not sufficient. What is needed is the passion of the users to make things happen.

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Tuesday, February 06, 2007

Towards a Neo-Shumpterian Theory of the Firm.

Professor Sydney G. Winter is the Deloitte and Touche Professor of Management at The Wharton School of the University of Pennsylvania. The Wharton School consistently ranks as one of the best business schools on the globe. I have read Professor Winter's works before, particularly in combination of the work that he has co-authored with Professor Giovanni Dosi. The title of this article stood out in terms of a good follow through on Professor Langlois' theories.

In the abstract, Professor Winter provides a little more focus in to the theme of this research;
"Schumpeterian analysis requires an intuitively appealing and realistic conceptualization of the distinction between routine and innovative behavior, and in particular, a conceptualization relevant to complex organizations and complex tasks."
Which leads me to ask, is Professor Winter stating that innovation can be handled by the Joint Operating Committee, and "routine" tasks handled by the Military Styled Command and Control Structure? This role definition helps to understand the division of labor and the barriers of the firm in assigning tasks. However, I would state that these classifications are both right and wrong. The role of the Military Styled Command and Control Structure (MSCC) is not limited to compliance and routine. The most important aspect of the firm is well represented in the case study of Chrysler by Thomas H. Davenport and John C. Beck in "The Strategy and Structure of Firms in The Attention Economy." (This document is behind a paid wall but you may be able to find elsewhere. It is in the March / April 2002 Ivey Business Journal.)
"One example, of both a problem and a solution, is the Chrysler division of DaimlerChrysler. In the early 1990's, it shifted to cross-functional "platform teams" that managed the entire process of developing a new vehicle. Over all, these teams worked well, producing both successful new car designs and shorter development cycles. But the functional organization that had focused attention on producing and maintaining technical skills was no longer in place. Soon, technical experts found themselves working not with others of their ilk, but with manufacturers, marketers and financial experts on cross-functional issues. The result? A recurrence of quality problems that Chrysler had previously solved. The company is now attempting to turn some of its attention to increasing functional and technical knowledge by organizing "Tech Clubs," so that engineers in specific domains of car development can meet with each other and exchange ideas. In general, matrix structures such as these create attention problems; our innate focus on hierarchy and threat / reward does not match well with situations where it is not clear which dimension is the primary one. But Chrysler's Tech Club approach, a kind of "stealth" matrix, avoids this problem by giving only informal legitimacy to a second dimension of structure. It's important to understand that the balancing act here is not about power, but rather about attention; Chrysler needs employees to stay focused on the process of developing new vehicles, but not forget about enhancing their technical skills. The Tech Club structure seems to get that balance just about right." pp. 52
Just as Chrysler needed to redeploy "Tech Club's" to recapture the engineering capability that was no longer being developed in the "platform teams". And it would probably be safe to say the engineering capability atrophied under Chrysler's revised organizational structure. For oil and gas I see the potentially similar atrophy of earth sciences and engineering capabilities by leaving the Joint Operating Committee (JOC) as the only organizational construct and relegating the Military Styled Structure to "routine" tasks. The scientific capability and the strategic land base of the producer are two of the primary areas of responsibility that those members of a producers MSCC are providing. The nature of the MSCC is about the "firm", and the JOC is about the "market" to relate them back to the discussion around Professor Langlois' theories. Professor Winter takes these concepts to the next step with this quote.
"But the edge of production set is the edge of an abyss so far as technical knowledge is concerned: We there encounter the Great Unknown. When an attempt is made to introduce the phenomenon of technological change into this conceptual scheme, the theorist is almost forced to try to play the new game by the old rules. This means that certain production possibilities are suddenly extracted from the Unknown and added to the Known. There is ordinarily no analysis as to why particular possibilities rather than others should be thus discovered, and considerations of mathematical convenience determine, by default, the path of technological development is such a theoretical world." pp. 3
The oil and gas industry is not static. We are entering a time where the demands of the engineers and geologists is accelerating at a ferocious rate. Innovation will straddle both the JOC and MSCC organizational constructs. How much of these capabilities, innovation capabilities and scientific capabilities, are captured, managed, enhanced, tested, and redeployed within the JOC and MSCC? What I want to do here is ensure that the "routine" tasks of "transaction costs" and accountability are not the only responsibility of the MSCC. I would suggest the MSCC is the "research" and the JOC is the "development" in the traditional Research and Development classifications. This is an overall objective of this re-organization of the industry, to enhance the speed, innovativeness and capability of the producer and the industry. Professor Winter adds some more problems and opportunities to these concepts;
"But "knowing how to bake a cake" is clearly not the same thing as "knowing how to bring together in one place all of the ingredients for a cake". pp. 4
and
"Just to have a label, let us call this level of discussion of a technique the conceptual level as distinguished from the operational level discussed earlier. Two points should be made about it." pp. 6
Here we have a clear definition of the roles within the various organizations. Are you able to bake a cake, or know how to build a kitchen for the Chef to bake many cakes? Do you know how to drill a well, or do you know how to advance the science of geology and engineering? Professor Winter continues with some additional issues regarding the capability and ability of staff within these classifications.
"When a corporation president whose experience is in finance succeeds one who started as a production engineer, the technique that the corporation is using changes even before the new president makes his first phone call: The same procedures are now embedded in a new frame of experience and analogy." pp. 6
and
"Knowing your job' in such an organization is partly a matter of having the necessary repertoire of actions, and partly knowing which actions go with which incoming signals. Each individual has some ability to perform a considerably larger set of actions than are called for in his job, but to the extent that "practice makes perfect" he will acquire superior skill in the ones actually called for. [The man who graduated as a chemical engineer becomes gradually specialized first in petroleum refining and then in those particular aspects of particular refining methods that are central to his job.] As emphasized previously, a large part of any individuals conceptual understanding of his job consists of images of other peoples' jobs." pp. 7
Within the producer there will be those that are practiced at drilling wells effectively and those that conduct research effectively due to the nature of their jobs and previous experiences. The cultivation of two separate and disparate "types" of employees is not necessarily new, it is necessary that these be clearly differentiated within the producers JOC and MSCC. The interactions and communications between employees and particularly between the two organizational constructs is answered here:
"Any single individuals conceptual understanding of the firm in its entirety is mainly at an extremely abstract and aggregative level." pp. 7

"By far the most important coordinating and organizing force is the invisible interlocking structure of mutually consistent expectations held by the various members of the organization: Each correctly expects that he will receive familiar signals from the others, and will respond in the familiar ways" pp. 7
These last quotes emphasizing the tacit interactions that are so prevalent in today's organizations. Dr. Winter then quotes directly from Schumpeter;
"It is easy to see that the characteristic of being in a higher rank, the function of superintendence in itself, constitutes no essential economic distinction. The mere circumstance that ranks one worker above another in the industrial organization, in a directing and superintending position, does not make his labor into something distinct. (p.20)"pp. 8

"But we see at once that the necessity of making decisions occurs in any work. No cobbler's apprentice can repair a shoe without making some resolutions and without deciding independently some question, however, small." (p. 20) pp.8

"... insofar as individuals in their economic conduct simply draw conclusions from known circumstances -- and that indeed is what we are here dealing with and what economics has always dealt with -- it is of no significance whether they are directing or directed. (p. 21)" pp.8

"The data which have governed the economic system in the past are familiar, and if they remain unchanged the system will continue in the same way. (p.22)" pp.8
Winter then comments on the difficulties of how these definitions are understood by the "worker" as classified as the "manager" and "entrepreneur".
"In short, the manager of a firm, when the economic system is in an equilibrium circular flow, is just another guy who knows his job in a firm full of people who know their jobs. The firm in equilibrium knows the technique it is using because it is using it, and has been for some time past." pp. 8
and
"Carrying out a new plan and acting according to a customary one are things as different as making a road and walking along it. (p.85)" pp. 9
Walking along this road will be difficult. The changes that are being realized and instilled within this software that we are developing will initially provide comfort to few. Change is a difficult and necessary action that is being driven, I suggest, by societies demands for energy, and peoples need to be "less" burdened by the demands of their work. I wrote extensively in the "Plurality" document about Dr. Anthony Giddens and Dr. Wanda Orlikowski and their structuration theory and model of structuration here. Review and familiarity with these theories will help to understand the role of change.
"The general emphasis in Schumpeter's work is, of course, on the entrepreneurial phenomenon in its most pure and dramatic form, where single individuals provide the leadership needed to bring about drastically new ways of doing things. But he does occasionally point out the essential continuity between these instances of dramatic innovation and the smallest sort of adaptation, to changing conditions." pp. 9

"Moral: Sometimes an innovation involving substantial technological novelty is much less costly and difficult than a change which, by standards external to the firm, is simple and commonplace. Viewed from inside the firm, technological novelty is only one among several reasons why an attempt to change techniques may involve large and unpredictable costs." pp. 10
Professor Winter moral provides some evidence that we are traveling the shortest route through these changes. I believe so. How much change the development and use of these systems brings about is unknown, however, the directness of our objectives helps in making the journey shorter, and potentially less painful. Professor Winter goes on in the document to note some principles of Neo-Schumpeterian Theory.
1) Contrary to the received theory of the firm, no sharp distinction can made between techniques known to the firm and those that are unknown. There is, instead, a quite continuous gradation from highly routine behaviour, to highly innovative behaviour. pp. 11
2) Relativity to existing routines: the only techniques which may appropriately be considered "perfectly known" to the firm are those it is actually performing, and has been performing repetitively. Furthermore, if we revert to the metaphor of Figures 3 and 4, the steepest part of the percent known curve is reached very quickly as the firm departs from its existing routines. Costs and uncertainties pile up rapidly for all but the most minor departures from well worn paths - even when the new direction is one already taken by other firms. pp. 11
3) A new method of production is a minor departure from an old one the the extent that (a) the repertories represented by the individuals currently in the firm contain the relevant skills, in roughly the right amounts, and (b) only minor "rewiring" is needed in order to create the interlocking system of signals and expectations that will evoke the appropriate actions at the appropriate time, (c) the relationship between the new technique and the old is correctly conceptualized by most individuals - so that planning for the change can go forward under largely correct premises as to who is capable of what. Similarity of list of ingredients may be a useful proxy variable for some of the considerations, but it is not a fundamental aspect of the closeness of one technique to another." pp. 11
4) Just as the fragmentation of knowledge in the firm makes innovation difficult and the consequences of attempted innovation unpredictable, nor does it tend to frustrate the economist who wants to predict the lines that innovation will take. The firm gradually "learns" a new method of production, vast numbers of details of the routines established will be determined by considerations that play no part in ordinary economic calculus, and may in addition be unknown to most of the firms managers, let alone to the observing economist. Not infrequently, decisions with quite major consequences for the firms future economic transaction will turn on such considerations. "Mere mangers" may behave predictably, entrepreneurs (and the organizations led by them) do not especially if the prognosticator directs his attention only to the economic influence on behavior. " pp. 12
Finally, as with Professor Langlois, I have abused the fair use of Professor Winter's copyright. As with Langlois, I am in contact with Professor Winter to determine what is required to make him whole under this phenomenal document. He leaves with a conclusion that resonates with my thinking of where we are headed too, and to a large extent why;
Thus a neo-Schumpeterian theory of the firm would be a historical theory in the sense that significant differences among firms would be regarded as historically determined; it would be a dynamic theory because only in the context of such a theory can the traditional problems of price theory be confronted anew, and, ideally, it would be probabilistic -- the existence of a multiplicity of unobservable factors that shape firm behavior would be explicitly recognized. Clearly, the program is an ambitious one, involving conceptual, theoretical and empirical questions of great difficulty. Success in building a new theoretical road can not be guaranteed, and the easier choice is to walk the old one. The question is how long are we prepared to content ourselves with a theory that is simple at the price of being simplistic. pp. 11
Photo Courtesy Kaley Davis

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Thursday, February 01, 2007

How Open Source Projects Survive Poisonous People.

Google has had the capacity in the past few years to draw in many of the pioneer's and industry leaders to work for them. Two of these people, Ben Collins-Sussman and Brian Fitzpatrick are leaders in the open source world. Both have worked on Subversion which is the version control system used on this project. Of note, Google hired them to implement Subversion through out their product line, and in the process giving the tool the most significant test I could imagine.

The experiences they refer to throughout the presentation are based on work done for both Subversion and Apache. The topic of discussion focuses on how to avoid the toxic or poisonous people that can infect an open source project. The most important aspect of any contribution is to ensure that the team is not drawn down by people not reviewing the archives. Contributions have to be incremental to the work that has been done, not reiterating what has already happened.

The presenters open with their 4 areas of concern.

  1. Comprehension
  2. Fortification
  3. Identification
  4. Disinfection
The resource you are trying to protect is the Attention and Focus of the user and development community. Keeping disparate groups from losing focus and spending their attention in the wrong areas will lead to project failure. The methods to guard against these incidents is highlighted in their video. The first note is that poisonous people can;
  1. Distract.
  2. Emotionally drain your community.
  3. Cause Needless infighting.
You need to avoid paralysis.
  • People can derail forward progress by people being.
    • Perfectionists.
    • People obsessed with process.
    • Even nice guys can do this unintentionally.
    • The perfect is the enemy of the good.
The presenters then bring up the analogy of "Painting the bike shed". Which was an analogy that was used in the development of BSD Unix. The analogy goes; a nuclear plant that was needed to be built was progressing as good as it could. The entire development then stalled to determine what color the bike shed should be painted. The debate then ground to a halt on both the bike shed and the nuclear plant. Here the authors noted "The amount of discussion on a feature, is inversely proportional to their value. And is noted to be one of Parkinson's Law's.

Fortifying against the threat.

Politeness, Respect, Trust and Humility are necessary in an open source project. All of the deficiencies that the presenters had experienced originated from these 4 points.

Have a Mission, where do your want to go. Limit your developments scope. Define the project so that future requests can be classified as "its on our list of things to do" or "its not"

Mailing lists are a critical tool of the open source project, etiquette should be monitored and enforced. Review of the archives, don't let users disrespect any previous conversations by not reviewing the archives. A few more of their points include;
  • Design documentation.
  • Bug fixes.
  • Document Mistakes. (Ensures that travels down dark alleys are limited and not repeated.)
  • Code Changes (Change Log)
  • Code Collaboration policies. Email is the key to participation.
  • No powerpoints.
  • Do big changes on branches for easier review. (Be generous on creating branches.)
  • Spreading the "bus factor" so that developers move around alot. (Bus factor is how many people need to get hit by a bus before the project fails.)
  • No names on top of source code files. (Makes people nervous) Everything is owned by everyone. (Cuts the pettiness.)
  • Have well defined processes.
  • Releasing Software
    • Backport Bugs
    • Test and release tarballs.
  • Accepting and reviewing patches.
  • Admitting new committers
  • The community founders establish the culture.
    • The culture becomes self selecting.
    • Voting is a last resort
      • A healthy community should rarely need to vote.
Identifying poisonous people.

Communications Annoyances
  • Uses silly nicknames
  • Uses multiple nicknames in different media
  • Overuses Capital letters.
  • Uses excessive punctuation.
  • Acronyms are used.
General lack of a clue as to what is going on.
  • Unable to pick up on the mood.
  • Doesn't understand common goals of the community.
  • Asks incessant questions.
Hostility
  • Insults the status-quo.
  • Angrily commands help.
  • Attempts to blackmail.
  • Attempts to deliberately rile people .
  • Makes accusations of conspiracy.
Conceit
  • Refuses to acknowledge the opinions of others.
  • Makes sweeping claims.
  • Usually about the projects future success.
  • Re-opens topics that are long settled.
  • Without reading the archives.
Lack of Cooperation
  • Willing to complain but not help with anything.
  • Unwilling to discuss design.
  • Too insecure to take criticism.
Disinfecting your community.
  • Is this person draining attention and focus?
    • If so, is the person really likely to benefit the project?
  • Is this person paralyzing the project?
  • Is the dispute likely to finish soon?
Don't...
  • feed the energy creature.
  • give jerks purchase.
  • engage them.
  • get emotional
Do...
  • pay attention to a newcomer.
    • even if they're annoying at first.
  • extract a real bug report if possible.
  • know when to give up and ignore them.
  • know when to forcibly boot them from community.
Summary
  • Comprehend:
  • Preserve attention and focus.
Fortify:
  • Build a healthy community.
Identify:
  • Look for tell tale signs.
Disinfect:
  • Maintain calm and stand your ground.
And finally, the presenters put a special emphasis on decision making. All decisions can be discussed off-line, no decisions made without the documentation in the email lists. The reason why and what alternatives will show up in the archives and contributors can see the reasons and justification for the previous decisions. All of these excellent points will form a major part of the code of conduct that will be one of the first deliverables from this community.

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Thursday, December 14, 2006

The attention economy.

John Hagel III has written a fascinating series of articles on what is being called the "Attention Economy". His comments are located here, here and here. I highly recommend my readers to view these articles thoroughly. Hagel picks up from the quotation of Professor Herbert Simon, Nobel Laureates quote,

"...in an information-rich world, the wealth of information means a dearth of something else: a scarcity of whatever it is that information consumes. What information consumes is rather obvious: it consumes the attention of its recipients. Hence a wealth of information creates a poverty of attention and a need to allocate that attention efficiently among the overabundance of the information sources that might consume it."
I think that Hagel is picking up where Simon's comment left off and introduces some current research that Michael Goldhaber is doing in this area. Goldhaber's best articles are here, here and here. Attention is not a commodity, in that it is fixed and Hagel discusses both the scope of your own attention and the attention that ideas can garner and sustain. I wanted to comment on the important impact of this thinking and relate the significance of what I think is being said.

For myself I find the demand to keep enhancing my information systems requires daily diligence of what, where and who I spend my attention on. If I am not vigilant I become satisfied with the status quo and that is a dangerous attitude to have these days. There is enough justification and supporting information to ignore and belittle the overall and global changes that are occurring today. Many prefer to refer to their BlackBerry's and consume their lives in the day to day grind of mindless activity. We need to focus our attention on what and where we are going with these technologies. If we loose sight of the road that we are travelling on we could be lost for a sizable amount of time.

An important point of view to maintain is the technology works for me to meet my needs, I do not respond in any way to the demands of the technology. Needless to say I have no BlackBerry and I ensure that at least 80% of my synchronous time is spent in person, with limited amount of time being spent on phone calls. I communicate asynchronously, or at my time, on my schedule and my agenda. Many things fall off the table as a result, and I am best able to prioritize what is necessary.

The other aspect that is important is the speed at which things are viewed. I like to spend as much time as I can per day on reviewing and writing what I am researching about. With three blogs and two major topics it is something that requires a focus that is difficult to sustain. So there are two modes, quick and summary where little is available for immediate recall, yet some of the more important aspects are recalled many days later, or as required. Here is where Google is an invaluable tool in that I am then able to re-find that reference almost immediately. And then there is the reading and reviewing at the pace that is necessary to take notes and assimilate the complex topics that demand my time and efforts. These can take a goodly amount of time, but that time is afforded to me as I know nothing otherwise will be lost.

I frequently look at it from the point of view that Google has provided me with at least 7,000 of the smartest people in the world, working to make my information better. Google also provides me with the supercomputing power necessary to index and make available that information that is the most important to me. Such power in the hands of every user will make the majority of the major issues in the world more solvable. The most surprising element of this tool is that Google is making a billion dollars a quarter doing this. The attention economy operates on a different premise.

So what is it that I am trying to do here. In a nutshell I am trying to create and sustain the necessary attention of my readers to ensure that their time is most effectively spent on reading, sharing and conversing through this blog. There ability to be fully informed through a high quality filter is what I am preparing and providing to them in this blog format. The recent changes that I have made to this blog are designed to increase the value and usability. And include;
  • Use of Labels, as well as Technorati tags, providing my readers with a variety of ways to aggregate items that I and others write about.
  • I installed three custom search engines;
    • Oil and gas custom search reviews the highest quality journals and sites that cover the global oil and gas business. As I find more high quality documents and sites I will add them to that search engine.
    • Innovation search engine reviews the quality documents and sites that I discover and use in my research regarding innovation.
    • Academic search engine that provides the best academic sites available. Oxford, Harvard, MIT, London School of Economics, University of Chicago, Berkely, Princeton, Yale and Stanford to name just a few. Other sites like DSpace and most of the universities that provide their course offerings and videos online.
  • I have installed not only the del.ico.us articles that I read and find of value, but now have included the tag cloud that these articles and tagging provides. Readers are encouraged to fully explore the referenced articles and tags, they are there for your reading enjoyment and to act as a filter to get to the quality stuff first. Please don't hesitate to join my del.ico.us network while visiting.
  • I have also provided 50 of the most recent blog posts and readings that I discover through my RSS reader, Google Reader. These url's can be seen by going to the website where these ideas are hosted. These provide my readers with the best of the best.
  • And finally a financial summary that caters to the oil and gas market activity. And a summary of the Sun Microsystem Aquarium which is where the J2EE server that we will be using is summarized.
If I am able to provide quality reading material and idea generation for my viewing public, focused on innovation in the oil and gas industry globally. With a strong focus of my writing regarding the revolutionary use of the joint operating committee, I think that I am spending my time as effectively as I can. I believe that this enables my readers to focus their attention a little clearer on the issues and opportunities we all face in the oil and gas industry.

I hope you enjoy this as much as I do. As I have mentioned here before, there is no better job in the world from my point of view. I will be writing more on the topic of the attention economy and work hard to focus my readers attention as finely as I can.

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