081 knowledge management in a global recession -- by dr james a robertson preng
DESCRIPTION
A discussion of the importance of Precision Configuration as a vital component of unlocking the full value of business information system investments as part of a Knowledge Management culture See also http://www.james-a-robertson-and-associates.com/Configure.aspxTRANSCRIPT
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Insights of Knowledge Managementin a Global Recession
www.JamesARobertson.com
Dr James Robertson PrEng
Annual Knowledge Management & Intranets Conference 2009
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Engineers do NOT design bridges to stand up
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4Engineer against failure
Engineers design bridges not to fall down
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A visionaryAngus Struan Robertson
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Focussed on preventing failure
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An industry characterized by failure
“19 out of 20 E.R.P. Implementations do
NOT deliver what was promised”
Duncan McLeod
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Seven years and half a billion dollars -- international chemicals company
$400 million -- multinational shoe corporation
Multinational entertainment giant -- $878 million
Major supermarket chain -- $195 million
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Extreme failures
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"I.T. is the next corporate disaster waiting to happen”
Pending disaster
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Pending epidemic
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There is a need for a new approach
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Engineers do not design bridges to stand up, they design them
not to fall down...
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What is NOT an engineering approach?
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Software as magic
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Positioning this presentationInformation technology can and should add value
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What is strategy?
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Strategy
Doing the right things
Professor Malcolm McDonald
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Tactics
Doing things right
Professor Malcolm McDonald
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The relationship between strategy and tactics
Strategy -- doing the right things
Professor Malcolm McDonald
Tac
tics
--
thin
gs
rig
ht
Thrive
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The relationship between strategy and tactics
Professor Malcolm McDonald
Survive
Strategy -- doing the right things
Tac
tics
--
thin
gs
rig
ht
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The relationship between strategy and tactics
Professor Malcolm McDonald
Die
Strategy -- doing the right things
Tac
tics
--
thin
gs
rig
ht
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The relationship between strategy and tactics
Professor Malcolm McDonald
Die slowly
Die fast
Strategy -- doing the right things
Tac
tics
--
thin
gs
rig
ht
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The relationship between strategy and tactics
Professor Malcolm McDonald
SurviveDie slowly
Die fast
Thrive
Strategy -- doing the right things
Tac
tics
--
thin
gs
rig
ht
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Failure
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Information technology mythology (30%)
Lack of executive custody and inappropriate policies (20%)
Lack of strategic alignment (15%)
Lack of an engineering approach (12%)
Poor data engineering (10%)
People / soft issues (8%)
Technology issues (5%)
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7.
Critical factors to manage to prevent failure
65%
Remember that technology is value inert
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The critical factors for success(% Relative contribution to success)
Executive Custody (25%)
Strategic Solution Architecture (18%)
Strategic Alignment (16%)
Business Integration and Optimization (14%)
Project Management (12%)
Data Engineering (10%)
Technology Components (5%)
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7.
*
*
*
* First 3 = 59%
Outcome
Journey
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What is the essence of capturing knowledge in an electronic environment?
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Clean up your data
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The content is the same -- always -- binary code
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85% of what executives use to make strategic decisions is NOT in your operational databases
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AN INDUSTRY CHARACTERISED BY FAILUREWHY DATA ENGINEERING IS CRITICAL
"Attendees of Gartner's Business Intelligence Summit in London last month were not surprised to hear that most enterprises are still failing to use business intelligence (BI) strategically. Gartner's survey of over 1300 CIOs returned some unimpressive findings about the state of BI implementations: Gartner's vice: president of research summed up the situation nicely by saying: "Most organisations are not making better decisions than they did five years go."
BUSINESS INTELLIGENCEArticle published in Computer Business Review Africa May 2005 published by Network Times.
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The definition of information content
in a way that is structurally (taxonomically) fundamentally meaningful to human beings who understand the business
and the translation of this content into structured codes which faithfully and accurately reflect human understanding in a way that the computer can manipulate
with minimal human intervention
so that the computer system appears to be intelligent
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DATA ENGINEERING
COMPUTERSInterpretResults
I.T. Take Decision
ImplementDecision
PEOPLE
CollectCollateSummariseSynthesizePresent
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The essence of capturing informationOrganize your data
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From chaos to order
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Classification and cataloguing informationExamples of coding
10060 I&D skin abscess:simple10061 I&D skin abscess:compl.10120 Foreign body - removal,simple11401 0,6 - 1,0cm11402 1,1 - 2,0cm11403 2,1 - 3,0cm11420 < 0,5cm11421 0,6 - 1,0cm11422 1,1 - 2,0cm11423 2,1 - 3,0cm11440 < 0,5cm11441 0,6 - 1,0cm11730 Simple:single11731 Simple:second11732 Simple:each additional11750 Removal nail bed11765 Excision nailfold, eg. toe11770 Excision pilonidal cyst;simple12001 < 2,5cm12002 2,6 - 7,5cm
Highly sub-optimal
ReasonCode DescriptionC. ORDER CANCELLEDCC Order Cancelled Credit ControlCS Order Cancelled by ConsumerCT Order Cancelled by CustomerD. DAMAGED OR DEFECTIVEDF Defective ProductDM Damaged ProductDP Damaged PackagingDT Consumer ComplaintP. PRICE ERRORS OR DISCONTINUEDPD DiscontinuedPI Incorrect PriceS. SUPPLY ISSUESSD Order DuplicationSF Customer Non-Franchise HolderSI Incorrectly SuppliedSK OverstockSL Late DeliverySO OversuppliedZ. OTHERZN Not KnownZO Other
Optimized
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Strategic analysisSoft information acquisition systems
Market critical success factors
On post cards
Ideally reference number linked to record
Unlocks strategic business intelligence
Employee / worker critical success factorsPost cards or electronic capture points
Other soft information
1.
)
)
)
2.)
3.
Long term consistent usage of the SAME measures is vital to obtaining REAL decision support value
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Strategic analysisSoft information acquisition systems
Critical Success FactorReal
Weight?First
Weight
1 Health : Is my health important? Stay well / Get well soon! 35 9
2 Professionalism of practitioner; standard of medical care 20 34
3 Efficiency of clinic operation, pleasant and convenient 15 20
4 Staff service, caring, competent, etc 18 21
5 Administration, medical aid claims processing, debtors, etc 7 10
6 Value for money 5 6
TOTAL 100 100
Example
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Strategic analysisSoft information acquisition systems
Critical Success FactorReal
Weight?First
Weight
1 Health : Is my health important? Stay well / Get well soon! 35 9
2 Professionalism of practitioner; standard of medical care 20 34
3 Efficiency of clinic operation, pleasant and convenient 15 20
4 Staff service, caring, competent, etc 18 21
5 Administration, medical aid claims processing, debtors, etc 7 10
6 Value for money 5 6
TOTAL 100 100
Example
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Strategic analysisSoft information management
Critical competence (knowledge and experience)
Accelerated development of all personnelparticularly previously disadvantaged personnel
Identify soft knowledge and experience that really determines what makes a person successful
provide human resource development in these areas
Other soft information areas
1.
))
)
)
2. Thrive
Primarily a matter of designing and utlizing validation codes effectively
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Unlocking value through the downturn
Reduce the things that cause I.T. to consume business value
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Fast moving aircraft technology“BUT I.T. Is moving SOOOOO fast we struggle to keep up”
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Retain your OS and Office Suite and use the same machinesfor 6 years+
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E.R.P. -- Invest for 20 years
Give people the tools
Sustainable I.T. and E.R.P. support
Train I.T. staff to delight customers
“boots in the mud” socialization
Unlocking value through the downturn
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Identify your core strategic drivers and then strengthen them
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Data engineering -- classification and coding is the single most critical component of a high value business system implementation
Executives base decisions on 85% soft information
Capture soft information in a structured manner
Clean up your data
Reimplement your E.R.P. do NOT replace it -- aim for 20 years plus
You can keep pace with techology -- be practical
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Insights of Knowledge Managementin a Global Recession
New insight that does not result in action within 48 hours is wasted
What is your single most important insight from this presentation?
What is the single most practical action that you can take tomorrow to apply I.T. more effectively?
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Design solutions NOT to fall down
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Finding the missing pieces of your I.T. and strategy puzzles
Acknowledgements and Dedication
Clients, associates and staff
Father and mother Angus and Thelma
Children Alexandra and Struan
Fiona, Ingrid, Sandra, Helena, Julie and Maria
To the glory of the Eternal Creator
Psalm 136:5 "To Him who by wisdom made the heavens, for His mercy endures forever;"