Showing posts with label Consumerization of IT. Show all posts
Showing posts with label Consumerization of IT. Show all posts

Monday, April 29, 2013

Software for free ?


In the good old days IT organizations developed software; the development initially began with an army of developers working for the EDP/MIS/IT organizations and they did deliver customized solutions for each business unit or function though not always in the time that business wanted these solutions. But back then we did have the luxury of time. As momentum grew, it gave birth to software development and maintenance companies who will do it better, faster, cheaper.

Disruption arrived in the form of packaged Commercial-Off-The-Shelf (COTS) solutions with three letter acronyms (TLA) that took everyone by storm. ERP, CRM, SCM, BPM, ECM, the TLA multiplied creating frenzy amongst companies. Fed up with delays and the slow pace, most embraced the new wave; the investment was justified for speed and standardization. IT transformed itself to adapt to the new paradigm while consultants laughed all the way to the bank.

All software have list prices and ironically no one buys at that price; everyone depending on their leverage and volume negotiated discounts. These varied from the low 10% to in a few cases high 70-80% for global and large deals; more so in cost sensitive markets which could not digest Dollar or Euro pricing. And then the slowdown at the turn of the century and another one not too long ago coupled with a market that was drying up for new licence deals created interesting scenarios.

I have been hearing some interesting news from my CIO friends; it would appear that many solution providers are demonstrating desperation to sell to meet monthly, quarterly and annual targets. The discounts are getting bigger and especially so when any of the calendar milestones are close. CIOs know this and leverage this to their advantage. A vendor signed up an existing customer for an add-on solution at 98% discount just to ensure that a competing product does not make inroads.

In current times it is evident that every buy decision goes through higher rigor and diligence than it did in the good old days. Evaluation cycles are longer and purchase decisions deferred to align with vendor financial calendars. Even vendors play the game fully knowing that the CIO and/or the buying team will close the deal once they believe that the discount level is apt. I am not sure anymore if prices at current levels are artificial to give the mental satisfaction to the customer of getting a great deal.

A friendly CIO talked in hushed tones of a solution he got free ! No licence fee, no implementation cost, only support charges payable after go-live ! This was not a small solution provider, but a leader in the segment in which they operated. I probed further to find why would someone want to do that ? The only insight that I could gather was about creating new market segments and a case study. The project worked well and the CIO was a hero in his company albeit it created challenges for him for future purchases of any solution.

New delivery and service models coupled with cloud based delivery have created new operating principles for everyone. Pay as you use, scale up or down based on load and number of users, dynamic pricing linked to revenue or business benefit, are some examples. How do these impact purchases ? Does it take away the charade of negotiations ? Does this start leading to standard pricing ? So far, I think not, but the future may be different.

Consumers today are willing to pay whatever the marketplace asks as a price; the same individuals in a corporate setting expect a different reality. Maybe it is to do with micro-payments versus large cash outflows. Maybe it is to do with task specific applications on the mobile to general purpose solutions that require large implementation efforts. I think if enterprise application vendors started breaking down their apps in a way similar to consumer apps, the sum of parts would be larger than the whole.

But then we will not need large monolithic applications to run our business and that is something worth thinking about, and most applications would have free versions !

Monday, October 08, 2012

Why do I need training ?


In recent times there has been a hue and cry that Corporate IT systems still need users to be trained on usage and functionality; the underlying hypothesis is that if one can adapt to all the social media sites, shopping portals and various mobile apps, why do corporate IT solutions require formal training as well as guides for users to struggle through them ? Why cannot the ERP, CRM, SCM, DW/BI and other systems be user-friendly enough for anyone to intuitively start using the application ?

Consultants, experts and companies have mushroomed claiming to help enterprises de-clutter and make friendly even the most complex transactional systems. They come in with variety of tools and review the problem from various angles and dimensions. These UX experts in many cases are able to create improvements with increased usability and thereby deliver the intended results. However these have been limited to websites, portals and in a few cases custom and bespoke applications.

Over the last 20 odd years of the existence of enterprise applications, the change in the user screens has evolved with changing functionality and technology. From green screen to client-server and then onto the browser, the change has been not too significant even when you consider all operating systems and platforms. The top 5 enterprise application screens today have changed only to incorporate different buttons and tabs, and maybe with a drop down or look ahead search; the rest remains the same.

Then how is it that new generation applications have broken this paradigm such that they have been embraced across geographies, age groups, user communities, and consumers and corporates alike. What makes these web and mobile apps so intuitive, easy to the eye and deft of click or touch ? No one ever provides training nor does anyone ask for it. Have the big name vendors no interest in easing the pain of using their apps ? I do not for a moment believe that they are immune to this phenomenon.

So I did my bit of research talking to the vendors attempting to unravel this mystery. Without exception, all of them acknowledged the problem and cited special interest groups, advisory committees and even empanelment of experts to solve the problem. I also got myself invited to a couple to ascertain the steps and direction, and with a desire to help. Using eye ball trackers, cursor followers, semantic parsers, and a horde of techniques beyond my comprehension, they attempted to sweeten the pill.

We all know that the gap continues to exist, the unrest with the user community increasing and the helplessness maintaining status quo. None the wiser after a few years of participation, I parted ways and started challenging my team and developers to create intuitive interfaces to apps. Easier said than done; while I did not like what I saw, with no bright sparks for improvement, the teams soon ran out of ideas and enthusiasm to pursue the nebulous goal. We did create some improvements, but they were nominal.

Only recently I had my Eureka! moment that the twain shall never meet, the usability mountain will remain unconquered for some time to come, and we will continue to struggle with training for every app, big or small, custom or off-the-shelf, that we deploy within or outside of the enterprise. The reason is obvious but not staring you in the face until you think hard about it and then some more. It will not come to you intuitively (at least it did not to me).

With tablets and mobile becoming mainstream compute screens and apps for specific processes connecting to corporate apps, the dependence on the conventional corporate IT solutions will reduce. Does this put off the pressure to simplify the usability of systems from the vendors ? Yes and no; most have taken on the opportunity to create their own apps retaining the customer and the corporate security needs. 

Corporate apps expect structured data inputs for business with defined boundaries and validated masters; they are input heavy and work in secure environments. Whereas consumer “friendly” apps mostly deal with unstructured public domain data which is viewed by many, input by few. The divergent needs keep them independent and their evolution following different paths. The CIO has to manage expectations at all levels and educate the enterprise on what reality will be for a long time to come.

Monday, February 06, 2012

Rotten Eggs


The craze for new gadgets and devices appears to be growing day by day. Emotions run high for some iconic devices and brands where people are willing to endure cold nights and mornings waiting for the store to open. The queues are visible across countries, so it is a global epidemic. These are normal consumers vying with the technophiles to be the first to own the product !

I own multiple devices including a few from the company in discussion, but never stood in queues to be amongst the first, though I know a few who did. I have always waited for a couple of revisions or generations to pass by before acquiring the new iconic device; the primary purpose seems to be to be seen displaying it prominently or announcing it by the footer in the email.

I get carried away; this is not about new devices or the long queues, but about rotten eggs. In China, fans threw rotten eggs at the stores when the company announced to teeming crowds who queued up for long hours that they will not be selling the much awaited device; for the security of their customers who turned up in large numbers, proclaimed the announcement. Did they come armed with eggs waiting for the store to open ?

The incident triggered many wild thoughts. Is the idea extensible to other irritating behaviors from say IT vendors who take the community for a ride ? What if every time there is a breach of trust, can I shower the vendor sales or support teams with choicest tomatoes (I am vegetarian you know) ? Is this a feat worth emulating when projects do not meet timelines or when basic requirement misunderstanding by ignorant consultants becomes a change request ?

It does have finality to the statement it makes. If I don’t like the outcome I am going to demonstrate my ire.  Sil-vouz plait, it may aggravate the situation, but it does create a warm, fuzzy and a lighter feeling to have vented out the frustration and anger. Will the slinging match create a better relationship between the CIO and the other parties ?

Last week, working on a post contract changes to some service delivery benchmarks, I had an urge to pelt a lot of stuff on the negotiating party. My primal fantasy had to be suppressed to stay within defined corporate behavior and work on the issues step by step steering it towards desired outcomes. Civilized acceptable behavior does not provide latitude to hurl objects when events do not take the turn we desire; even when the consumerization of devices brings unwelcome distractions.

Relationships are built over a period of time, but they can be strained for a long time in an unguarded moment. This applies to any relationship, peers, bosses, team, vendors, family, and friends. CIOs forge relationships possibly with a larger set in comparison to some of their peers. Success is highly dependent on setting and managing realistic expectations. Service delivery and change management are key tenets of the IT agenda.  

After all we don’t want to be at the receiving end of the rotten eggs.

Monday, December 19, 2011

Unraveling BYOD/T

The one trend that everyone is talking about and which figures on every list (priorities, trends, technology, whatever) is Bring Your Own Device/Technology. It has had proponents and opponents from various quarters within and outside the enterprise. Opinions and views, recommendations and pitfalls, management tools and security concerns, the list is endless and continues to keep the CIO bewildered irrespective of whether s/he embraces BYOT or not.

From what I recollect, it all started with the iPhone and then extended to tablets, laptops, and what have you. Not that earlier personal devices did not connect to the corporate network; they did on the wire and then over the air, if you will remember devices with a technology called “activesync”. The early phones offered limited connectivity and as the network improved and so did the technology, browser based apps started appearing. The resident app followed soon enough.

I don’t remember all the devices that I used over the last decade and longer being provided by the company; which would imply that we did have a lenient policy even before the BYOT buzz appeared and started haunting every technology professional. The early PDA which eventually integrated the phone had limited use and was not widely prevalent due to unwieldy size and interface. Except for the early large form factor devices, it was not a statement to make.

Evolution of the device and the network created new possibilities and the scattered raindrops became a flood; apps for everything and power in the hands of the executive with no constraint on time. Business impatience became the hallmark of new technology deployment to swamp all available and unavailable time. The CIO built layers of infrastructure, applications and security to manage the demand. It did not matter who or how many used it; if it was possible, then it had to be available.

The democratization of information worried only the CIO until stories of compromise started spreading. Compromise not always by the external world, but bits of information scattered across slowly fading away with exits, ignorant employees losing devices or passing hands within the family. Enterprise liability driven by law and governance suddenly finds itself at loggerheads with BYOT.

Depending on the country of incorporation and most probably operation, the laws require stringent compliance. BYOT contravenes some with liability creation for not just the CIO but the CEO and even the global HQ. A cyber law expert thrust the fear of the law of the land to listening CIOs who cringed with every clause and interpretation of impact to the executives and the enterprise.

So what are the choices available ? Will the CEO not want the next new device on the block to be connected to the corporate infrastructure ? Does s/he not evaluate the ramifications to the enterprise ? Is ignorance a good excuse ? I believe that the CIO needs to raise the bar with heightened awareness starting with the Board and then cascading downwards. It takes only once incidence to create collective pain. CIOs can address the contingent liability with reasonable due diligence, control and documentation to dampen down the impact.

It is not going away, but what it means to you is up to you. BYOT = Bring Your Own Trouble, or BYOD = Bring Your Own Demise, or BYOD = Bring Your Own Destiny, or BYOT = Bring Your Own Tension, or BYOT = Bring Your Own Threat, or BYOD/T = ? You decide !

Tuesday, July 19, 2011

Is divergence the new convergence ?

“I use 7 screens to manage my work and life” proclaimed a Silicon Valley high ranking geek working for a big technology company. It amazed everyone on the table who had challenges with two phones, one personal and other company issued, and a laptop. 7 devices, portable and fixed comprised the stable of computing assets used across various operating systems, capabilities, synchronization with multiple systems, providing segmented information to cater to specific needs of this executive. Asked a CIO in the audience, “How do you remember which device to pick up for what purpose ?” Quipped the multi-device juggler, “Oh it’s easy …” and rattled off the work distribution.

When Smartphones made their mark with the ability to push email and SMS, it ensured that the corporate worker had no option to 24X7 work. The small screen however posed limitations on what one could achieve on the phone. As screens became larger the phone got bigger and bulkier redefining the shape and size of what was once a small pocket appendage. The good thing is that the phone never aspired to replace the clunky laptop.

The advent of the tablet a few years back had researchers proclaiming the imminent demise of the laptop; déjà vu when the laptop made its appearance. Executives love the soft keyboard on the tablet, plus the ability to scrawl and convert to text but slowly realized speed limits imposed by this input method. Keyboards found their way back connecting to tablets and then everyone wanted spreadsheets and word processors compatible with their other devices. Reading on the smartphone has evolved to allow all types of documents barring few exceptions; the tablet had to compete with the phone and the laptop.

Manufacturers are experimenting with different screen sizes, 5”, 7”, 9”, 10” with justifications on why their version makes sense to the users, while the phones now have crept to 4”. Each has found traction with a set of users, segmenting the market by activity or deemed convenience. While initially WIFI was acceptable communication channel, now 3G/4G is a necessity.

One more connected device, one more data plan to manage, the growing monthly expense is not a discussion, the ability to traverse across the screens is insatiable, which are evolving faster than (Charles) Darwin or (Gordon) Moore thought possible. The want rate is keeping pace with this and suddenly the hapless executive has multiple screens not wanting to discard the earlier one as quickly as s/he is acquiring newer ones.

Will the phone and the tablet converge in the future ? Many believe convergence is the way forward between the capabilities offered by the phone and the tablet with the new device offering the best of both worlds. Does it mean we will be able to make phone and video calls, surf the net, work on documents and applications, talk to the device, type on it as fast as we do on the humble laptop, and use it for entertainment; all this with clear demarcation and ability to segment usage as well as official and personal data.

Me thinks that it will take longer than we believe it will; maybe there are individuals who will happily put a 7” or bigger device to their ear or use it with a Bluetooth speaker, the majority will manage the convergence or divergence with multiple and live with its associated challenges.

Monday, May 09, 2011

BYOD Security Paranoia or Necessity

Not too long ago, IT departments faced the challenge of integrating a new consumer device into the corporate infrastructure; this was the iPad which took the fancy of every CXO and techno-affiliate with its cool factor. It did not matter that the tablet was another appendage to do everything that the earlier devices did well enough while ensuring that the information assets of the company stayed protected from nefarious elements. Said the tablet toting executive “I want it; security is for you to go figure”.

The starting point though was the iPhone, which was contained to some extent; the tablet was something different, a wave that swept away all opposition. Developers mushroomed all over creating applications to do everything that mattered and some that did not; IT had no clue what kind of vulnerabilities these created or introduced on the device. Faith in mankind was one of the strategies promoted by many to allow the devices to connect.

In another part of the world, employees went up in arms against the corporate issue compute devices, laptops, desktops, citing their home computers superiority over the standardized and locked devices. Thus the trend started that is now gaining momentum of BYOD, or Bring Your Own Device. It frees up financial resources, support too if the employee fends for herself, no hassles of managing refresh. But what about information on the device ? Confidentiality or sensitivity of information especially when the employee leaves ?

Now extend the same to the mobile, which is lot more like a consumable and gets changed on an average every year, in some cases earlier too. With the space evolving and a multi-polar world of IOS, Android, Symbian, Blackberry and Windows, that too with many versions, the challenges are unique and getting out of hand. In a world where every corporate employee expects all kinds of information on their fingertips (read mobile device), the security framework looks worse than a coarse sieve.

Mobile device security is an evolving subject; vulnerabilities on the mobile are being discovered every day and they are attaining critical proportions with multiple applications vying for attention. In a 24X7 world, the definition of acceptable risk has changed. CIOs are expected to create visibility of the potential compromises and keep the critical information assets secure at all times. The change in the security stance thus creates new challenges and opportunities requiring higher agility to respond. Abstraction of applications and information layers from the device is one of the strategies that helps and many frameworks are emerging in this space. Keep abreast of these developments and experiment before business forces change.

In another couple of years the expectation is that the dependence on the big computer (including laptops) will reduce dramatically; the CXO will carry a few devices (personal, corporate, function specific devices) and all will require management and access to corporate information assets. Start preparing now !

Monday, April 25, 2011

The micro-app nemesis

If you have looked for an app on Apple’s App Store, I am sure you have faced a Google search kind of frustration with hundreds of applications purporting to do the same stuff, one better than the other, or many times just a me too. So some of us end up downloading more than one to try and then decide which one is better; many a times we don’t end up discarding the others. Check around with friends who would have downloaded say an “Alarm Clock” and it is quite likely you will find that their app is different. You may be tempted to download that one too, just to try !

I met a CIO who was showing his angst on the fact that there were more than a dozen applications within his enterprise for travel approvals. While some were a result of “forgotten” acquisition synergies, the others were created by Shadow IT for departments to address short term need. These sustained themselves even after the corporate version was deployed. And now to top it all, almost all of them had mobile versions for different mobile devices thereby multiplying the number of micro-apps that were floating around.

The resulting collection of travel approval micro-apps exceeded a number that crossed the tipping point for the CIO. There was an uneasy silence on the table as she described the chaos and now the support expectations when some of them failed to work with the clamp down or rationalization of applications. Sympathetic nods followed as new governance processes were discussed and general agreement that the actions taken were fair.

Most of the micro-apps on the App Store are written by enthusiasts and programmers wanting to showcase their prowess. They test waters with free apps, and then add features and a tiny charge. Some start-up companies too indulged in similar bunch of apps on the store getting a few hits and lots of misses. How did this suddenly become an industry with 10 billion downloads in such a short span ? Because you can !

The simplicity and ability to create such apps is I guess one of the reasons that contributed to this explosion. Consumerization of the handheld device has given rise to the opportunity that had to be capitalized upon. The slowdown/recession encouraged the blurring of the lines between work and life, while everyone wallowed in the need to stay connected 24X7. The pressure is now on the CIO to stay ahead of the game and deploy even more processes that can be accessed on the mobile. Even if you have already formulated a mobility strategy, review it frequently to stay on top of the situation.

But what about the increasing number of micro-apps that are being downloaded, sanctioned or otherwise ? No one knows what kind of vulnerabilities they create; what will they lead to in the future ? Are they the future support nightmare ? Only time will tell; until then tread cautiously, create the micro-apps required, test the ones you may want to endorse from the store, and pray !

Monday, March 28, 2011

The vanity show of technology

“Apple announces iPad 2 with better, faster, newer ….. Bargains available on earlier version.”

“When software vendors continue to create new versions of every solution, there is pressure on us to stay with current versions; how do we manage such a paradigm with budget constraints?”

The first is news that everyone saw and reacted to depending on their reference point with the much coveted tablet computer that is a must have on many lists. Some queued up to get the new device last weekend, while others decided to capitalize on the available bargains on the earlier version. Few competing tablet manufacturers wondered on how they can keep pace.

The second was a question from an SME (small and medium enterprise) CEO to a panel of big enterprise CIOs in a seminar organized by one of the large office automation, unified communication, and collaboration solution vendor for the mid-market customers. Majority of the audience nodded to the question as if they all faced the same predicament and did not know how to resolve the situation.

Vanity Fair

There appears to be an inherent desire amongst us to crave the latest version of gadgets or software similar to the desires to keep up with the latest trends in fashion that vanity demands. The technology vanity also permeates organizations; after all the same individuals pride themselves flaunting the latest must have phone, music player, and camera, whatever.

Organizations can ill afford such a race and the break point has a direct correlation to the profitability of the enterprise and the contributions of the IT function. The enamoured CEO and CIO will also cite examples of how and why it matters and the benefit thereof to the business, customers, and off course themselves.

When this is weighed against the basic rules of conducting prudent business with rationale investments filtered using good governance rules, the decision shifts to what matters. Every organization has a set of rules for financial investments; these measure the results and provide a framework that applies in most cases to every decision. However, IT sometimes escapes this rigor with justifications ranging from necessity for security to lack of support on older versions, fear of obsolescence and many in between. In absence of tools to validate or ignorance, and the incessant push from the vendors, the SME customer faces devil’s choice.

Being prudent

Irrespective of size and compulsions driven by technology vanity, vendor threats, competitive scares, boardroom chatter, or peer pressure, the rules of good investment decisions should always stay in the forefront. My answer to the question from the CEO was, “We still think like the SME we were in the past. Every investment has to answer the following questions: Does it help the customer, employee, or shareholders? Does it create a new capability we require to differentiate? Is it required by law? If none applies, then the investment is not undertaken.

But then the thirst for the latest is irrational. We have become participants to a mega race to acquire the next. There is no justifying the next version of laptop with the latest processor, nor any rationale for the next zillion megapixel camera. Why do we need the latest version of communicator or the micro-app on our phone? I think the simple answer is because it is there!

Monday, November 29, 2010

Are you micro-apping ?

Mobile data services brought about email as the first (and probably still the biggest) killer application on the mobile. This is the opportunity that created Blackberry and its many competitors; almost all focusing on creating a better email experience for the corporate user.

Browsing was at best a chore with the small screen, and unwieldy websites struggled to fit on to the small screens. Corporate IT and the CIO were, and continue to be under pressure to enable business processes on the same handset that earlier provided email.

The same users demanded their personal emails on the handset that expanded the market to consumers, albeit in a small way, until iPhone came to the party and changed the smartphone market. Consumerization of IT ensured that corporate suits wanted the iPhone, while a large segment of consumers (who were earlier fringe data users) became a large force. This created an industry around micro-applications that did inane stuff at times, but mostly enabled the smartphone user with earlier unimaginable capabilities. Competing platforms played catch, while zillions of applications sought favor spanning across categories like utilities, travel, education, entertainment, productivity, and finance.

IT organizations on the other hand, continued to work on large projects with reducing timelines and budgets. Enterprises using and deploying monolithic applications have advertently compared the facile microapps with the clunky screen-based complex navigation to conduct business operations. Small applications made their way to corporate phones, largely enabling road warriors and pushing information to the real-time executive not that it changed business decisions in a big way. Sales force enablement was the quick (and in many cases the only) derived win. Another disruption arrived with the tablet demanding attention with better capabilities than the phone.

It is evident that the era of large applications as the primary interface to business process is on the wane. IT is expected to create mobile enabled micro-process automation. Its starting point may be on the fringes with quick tactical workflow approvals, graduating to complex processes on tablets. CIOs should be exploring options that are able to use the existing infrastructure with microapps.

With multiple competing mobile operating environments, transportability of applications will remain a challenge in the mid-term, but that should not restrict attempts. The multitude of form factors and devices that a corporate user now possesses, also poses a conflict of choice. Scan the various app stores, and endeavor to find a set of applications that may find favor within the enterprise. Security will of course remain a red flag as this trend gains momentum. So the CIO has to work with other CXOs to define “acceptable

Monday, November 01, 2010

Padding up the enterprise

Recently, I had an interesting discussion with a handful of global CIOs from Korea, Japan, Germany, India, USA and a few others. It centered on the pains, acceptance and way forward on the much flashed about computing device — across all seminars, airports, lobbies and any other place that you want to be seen with it. It has created a range of wannabe devices, been written about by every type of media, physical, internet, business magazines, newspapers, leisure, technology … Sigh, you get the point? I am referring to the Apple iPad.
The iPad has taken the IT world by surprise. It started off as a consumer device, and stormed into the corporate world — taking the CIOs literally on the wrong foot, just as they were getting comfortable with the iPhone. A CIO recounted the story of his team being given the task to connect a new shiny device to the corporate network; when no one had ever seen such a contraption. While the IT team was able to get it onto the corporate network within the stipulated 30 minutes (an unreasonable demand from the Chairman’s son), others have not been so fortunate, and have later discovered employees happily connecting to the WiFi network.

Driven from the top, the iPad has infiltrated every organization, giving a hard time to many CIOs. Sales and marketing organizations are creating business cases for deployment, while the evolving market is pushing newer competing devices. The applications landscape is catching up fast with enterprise software vendors getting there. Although challenges around security exist, new opportunities are vying to offer game changing business propositions that did not exist earlier.

The convenience of this tablet device scores over the conventional laptop, but is a long way before it replaces it totally. As manufacturers experiment with the form factor and features, one thing is certain, the iPad or equivalent is here to stay. Globally, the iPad has been successful in Pharmaceutical industry for detailing. Market researchers now use it for interactive discussions, even as it becomes a convenient add-on to the CXO, and an alternative to e-book readers, amongst others.

CIOs should move into proactive mode to embrace the inevitability of tablet computers within the enterprise. It is time to redesign processes with the new device rather than replace current devices for existing processes as the benefits may not be worth the effort. The iPad is disruptive technology, and thus deserves different treatment. Challenge the enterprise across layers to explore how it can create new possibilities that did not exist before.

The global CIOs without exception agreed that they have to deal with this surge. Some are approaching it using policy, while others are taking it head on. So don’t wait around to get beaten up by the business, as it may just bypass IT to serve their quest for innovation.

Over the weekend, one of the new entrants splashed the newspapers with a global simultaneous launch of another device. I am sure this Monday, the calls from various parts of the organization would have reached a cresendo.

Tuesday, June 22, 2010

Market Capitalization and Customer Satisfaction

Recent front page news pieces in many dailies, online media, (and almost everywhere) claim that a tech company’s market capitalization has overtaken the long standing leader on this metric. It’s being written about by many business publications, tech journals, writers, edits, and discussed by everyone as an important event. Now, even as the displaced leader CEO retorted, “We are still the most profitable”, customers like me cringed. Analysts are now creating theories around the dark horse’s upsurge, about a company which was written off by the same analysts—not too long back, if memory serves me right.


Over the last couple of decades, I watched the new leader with interest—wondering why they never had mainstream commercial success, despite having products which almost everyone loved. In the meanwhile, the displaced moved from strength to strength creating a monopolistic era. Everyone hated this practice, but continued to embrace its products as if there was no choice. Choices came and withered away like the autumn flower; a few showed promise, but could not sustain themselves in a hyper competitive world where big brother came down guns blazing on any who dared a challenge. All along, our new leader continued to innovate, gaining a small but steadily growing breed of followers—never big enough to raise an alarm, but shunned by IT organizations as too esoteric.

The erstwhile leader spawned many factions seeking alternatives, never really succeeding enough to threaten. Fan following and hate groups alike embrace every news, release, solution and acquisition. Corporate customers experimented, but left with no real choice, continue to grin and bear it. Governments’ attempt to leash the giant bore puny results, as the alternative movement around open source has remained just that—an alternative that few are interested in.

Did customers love this ‘choice’ of one, and the price it came at? A survey will probably show the number of naysayers touching highs on product quality, price, support, or any other parameter that you may want to explore. The challenger scores on all these parameters, but surprisingly continues to receive no traction.

With guaranteed revenues from the ever growing corporate market and almost 90% market share, the fruits of such labor remained the envy of everyone in the technology world. At least, that was the case till a couple of weeks back, when surprise, the giant was belittled. Did the CIOs suddenly realize the value of embracing the alternative and shun the “standard”? Have analysts become wiser, or did the company create a game changing product (or service) that swept the world off its feet?

We all know the answer; the new leader was created by the end consumer, not the corporate world. With the exception of a few industries that discovered its efficiencies, enterprise shops avoided these technology solutions, or allowed it at the fringes with multiple caveats, despite the pains of managing existing solutions.

With increasing consumerization of the end computing device, the future will displace the old and boring, though deemed standard and secure devices of today. Our personal choices indicate that there is a very small place for the past leader. The new hero of today has consumers raging upon every new innovation that has come from its stable.

Over the next few years, I believe that this rapidly growing mindshare will put pressure on IT organizations and the CIO to be inclusive of this trend rather than fight it. The only spanner in the works could be situations where the new found success becomes an anchor round the neck—one which drags down the innovation pipeline or consumer connect that has become the hallmark for the industry. After all, market capitalization has limited (or nill) correlation to customer satisfaction.