Category Archives: Innovation

The anomaly in progress – part II


Concorde wing

The distinctive Concorde delta-shaped wing

Today I have been thinking about innovation. More specifically about how and why some organizations seem to have mastered the art of innovating while others struggle to adopt a culture that embraces change and innovation. The level of industrialization and quality of the processes that run and support an organization, and that make it achieve excellence in their day to day operations and products, whatever their nature, are sometimes the worst enemy of creativity and innovation.

Yet some companies have mastered both sides of the coin and are able to execute, operate and manufacture with atomic precision while creating a corporate culture that promotes and embraces thinking out of the box, pursuing new ideas and pushing the boundaries to create better products and, ultimately, progress.

I have to admit I admire those organizations. And every time I go through this thought process, I end up thinking of my favorite example of innovation at a great scale: Concorde. It is not the first time I write about this beautiful machine and what it meant to commercial aviation, yet I still find amazing to learn the amount and complexity of the challenges faced by the men and women that strongly believed that they could deliver something that changed the way air travel was understood, and they did. They proved that determination and the right culture for innovation can go very far, so far, that they created a gap in progress.

Concorde cockpit

Concorde cockpit

Enumerating every single innovation that Concorde brought would be material for a large number of books, but there are still a few items worth mentioning. The most curious one is how the effect of drag at high speed generated so much heat, that the nose tip would reach temperatures well beyond +100 degrees celsius, even though the air at cruising levels would typically be below -60. This meant that Concorde would be longer (up to one feet) in the air than on the ground. Due to its higher takeoff and landing speeds, the brakes where a crucial component, being the first commercial aircraft to be equipped with carbon brakes. This, together with the early introduction of fly by wire as mentioned in the previous post, mark just an example of the challenges that had to be overcome with the help of creativity, innovation and determination. All of this, using 1950-60s technology.

More than being just a beautiful machine and possibly the most sleek and elegant commercial aircraft ever built, it is a living -at least in our memories- example of the culture of innovation that can change the world.

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Born Social vs Learnt Social


Citi rewards facebook app

Citi rewards facebook app

Following the previous post on Scoot, and how they are a truly born social company, it is interesting to compare how their evolution is in Social Media as compared to more established companies that are learning how to become social and adopting it on their way.

It is becoming more and more clear that Social Media is not only going to be the way to gain a more close and personal relationship with your customers, but also a full service channel that will probably start moving business out of your current electronic platforms. Some industries will be earlier adopters than others, and some examples of this can be found on the airline industry, where Malaysia Airlines is already offering flight search, booking and check-in can be done in a facebook app.

Security and privacy concerns will slow down the adoption for certain industries, namely the Financial Services, but yet there is already space for certain features to be offered in Social Media. Citibank recently launched a new facebook app that allows their customers group their reward points they obtain for purchases and use them for charity or a group gift. Rewards seems to be quite the right transaction for Banks to start servicing customers over Social Media, as its level of risk is far lower than traditional financial transactions.

It will be interesting to see and compare the adoption curve for established companies, specially on highly risk aware industries like Banking as compared to companies born social like Scoot, who have adopted Social Media in a very natural manner for literally every single internal process they are facing in the journey of setting up the airline: Recruiting, selecting their slogan and offering promotions. It will not be surprising to see that Facebook -their Google+ page is yet to be seen- will become their main sales and servicing channel when they start operating.

Will this be the trend followed by other industries and therefore, will Social Media replace -at least partially- online banking? I make my bet!

This is not an app review


Technology packed

Technology packed

This is not an app review. It is rather some thoughts and reflections on how much technology and features are packed in any of the SmartPhones you can buy today. We have taken it for granted, but it is truly amazing to see that you can carry in your pocket a device that contains a GPS, a compass, a high definition photo and video camera, plays music, browses the internet and is capable of doing all at the same time through powerful multitasking. But does anyone need so many features?. I thought not.

But then I started running. I am not a big fan of it, so I just started to reduce a bit of extra weight gained during the holidays. However, I found an application that motivated me to start, and to continue doing it on a regular basis. It is called Runmeter. Probably there are a lot of applications similar to this one, but this is the one I chose, and with which I truly realized how wonderful applications and features you can build when you make use of all the powerful technology Smart Phones pack today.

GPS

You define a route, press the start button and there you go. It tracks your run by GPS pretty accurately. Not only it tracks where you go, but also how fast you go, so you get instant pace, average pace, pace per km, even altitude deviations, although these are not really accurate. The GPS bit in action. Good?. Wait and see…

Internet

Do you need Internet connection while running?. Not for web browsing, definitely, but one fantastic feature of this application is that it integrates with facebook and other social networks, so you can choose what the app publishes for you when you start, stop and finish running. Social Media is all about sharing and interacting, so now you can share your progress while you train. Nothing revolutionary here, but this becomes really fancy when you go to the next step, and you not only share but you also interact. How can you interact while you are running?. Easy, the application will monitor any comments your friends might do on your “Started run” post on facebook and guess what? It will read them out loud to you on your headset. This is my favorite feature, it is really motivating, and when your friends know that they are being read out loud while you run, they really become imaginative and encouraging. Really good.

And music!

What is running without music?. All of the above while you keep your pace listening to your music. Either with the standard iPod included in your iPhone or with my favorite Spotify, that allows you to find those disco hits from the early 90’s you used to dance to and remember the time while on the run. Superb.

Probably none of these are truly revolutionary aspects from a technology perspective, not even from the fact of being packed into a tiny little device. It is the combination of all of them working in harmony that makes really good applications possible.

Sensorconomy

We started by integrating data into applications, now we are integrating sensors like GPS or compass. Some analysts predict Sensorconomy would be the next big thing in Smart Phones by introducing temperature, humidity,light and other sensors into Smart Phones to extend the boundaries of your device and allow it to interact more. I really think the hardware is going further ahead than the applications in the mobile space, which is really thrilling. We have just started to take off in making use of the current possibilities so the future of mobile applications looks promising, at the very least.

Moving into the Social Network


Malaysia Airlines MHBuddy

Malaysia Airlines MHBuddy

Malaysia airlines has recently announced their MHBuddy application, which basically introduces all the flight search, booking and check-in features IN facebook. This is not a link to the Malaysia Airlines site, it is really a booking engine within facebook.

Where are your customers?

This idea, not specifically around flight booking but more on banking and financial services has been flying through my mind for the last months. There is one fundamental question I ask myself: How much time do our customers spend in our websites or online applications? The answer is simple, very little. We spend millions in improving our look and feel, making channel based pricing to make the Internet channel more attractive, but still it can not be even compared with the time our customers spend in facebook or other social networks.

People do not log into a social network, they are IN the social network all the time. Through their smartphone, tablet, netbook and desktop, through notifications, email or browsing. No matter where and when, you are connected, like it or not, part of your life happens there. And moreover, it does not happen in our corporate websites or online offerings, we are outside the life of our customers.

So it does not seem too wild to think that a possible way to go is to stop trying to pull our customers to our sites but, put our sites and online offering where our customers are.

The implications

I know this opens very serious security concerns, specially in some industries that deal with sensitive information and are prone to attacks, phishing and fraud in general, but if you think about it, this is probably one of the trends we will see in the next few years, with more and more moves into the social network, name it facebook or others, but ultimately, I bet it will happen, and ways to make this secure enough will be found to make the risk acceptable when compared to the benefits.

The most powerful CRM

Now think about the power behind this. Not only you are now part of your customers life, also your customer will be sharing with you lots of precious information that you would have never imagined, this is the most powerful CRM system you can imagine. Habits, friends, likes and dislikes, it is all there for you to be exploited and to adapt your offering to your customer, individually, and in the place where his/her life is taking place. Interesting?. I think so.

Adoption curve

We will probably see companies drifting some of their low risk customer interaction points to social networks, possibly things like customer complaints, surveys and service requests. Maybe even online stores will start selling their goods in facebook. Buying tickets for events is also a very possible application leveraging the existing event management facilities in facebook. I see a lot of constraints before we see high risk customer interactions in these places, but after we are able to understand the security implications and overcome the existing issues, what stops us from offering financial services to our customers in their preferred social network?. Do you want to apply for a credit card or loan, while you tag your last trip pictures?.