To Mob the Web Fantastic: Mobile- and Social Media Confluence Strategies for Brick-and-Mortars

There is as much blood in a Bloody Mary, as there is actual resolve in the average New Year’s resolution. Today is January 24, and the pavement on the road to hell never looked so resplendent in abandoned self-betterment. Take a notion that struck you as clever just a few short months ago (Zumba dancers with nicotine patches, anyone?), douse it in a bucket of forward absolution, and sprinkle a light dusting of discipline on top. Bring to a quick boil on New Year’s Day and let the stir simmer for the twelve months to come. A worthy three weeks into it, and I can assure you, both the novelty and nobility of forcing changes unto life’s design will have worn as thin as a Nicki Minaj character. (Last seen inside a gym when the British left Palestine, your blogger, as a case in point, is tiring admittedly of the thrill of carb counting while spending more time with his family – blaming the waning enthusiasm for wanting to look less like a Care Bear on the two pre-adolescent sodium sales people which the Kraft Foods company has so insidiously installed in his own home. And predictably, he sides with Oscar Wilde – whom else? –, for “good resolutions are simply checks that men draw on a bank where they have no account.”)

In a professional context, I have noticed that IT leaders are ringing in the New Year with two items seemingly topping the list of their department’s make-it-happen resolutions: the respective implementation of a mobile strategy and a social media strategy for their businesses. While every business may have unique objectives and requirements for how to capture an increasingly mobile and social network-based audience, there are a number of common themes unfolding. Here I shall highlight one that has garnered strong interest in particular from a number of our clients in the retail sector: the “fusing” of the physical and the virtual worlds. In short, 2011 may yet be the year that will see the blending of brick-and-mortar with bits-and-bytes, as many consumers today are “glued to their smartphones and living on Facebook,” as a CIO client of mine recently put it.

Here’s what’s having the CIOs at global retail companies as excited as the residents of Wisteria Lane at the arrival of the UPS delivery man: today, shoppers with their smartphones in hand are browsing the aisles of brick-and-mortar (B&M) retailers with the ability to look up any product information on the spot, including competitive pricing typically from Amazon.com. However, not all paths lead to Amazon; with powerful new mobile applications, merchants now have viable marketing tools to attract and entice customers with in-store specials tailored to the individual. For B&M retailers the future of one-to-one marketing may just have arrived. And if you’ve seen the movie “Minority Report,” you’ll know what I mean.

Think of the smartphone as a “bridge” between the physical and the virtual worlds. Terms like “mobile tagging” or “object hyperlinking” refer to smartphones’ ability to recognize an object and to call up information from the Internet that is specific to that object. This is accomplished through image recognition (a computer science technique that is becoming ever more effective), the reading of a QR code (a format that is fast gaining in popularity, especially in Europe and Japan, and is promoted by Microsoft in the U.S.), or the scanning of the ubiquitous barcode.

For example, when you see something of interest in the “real” world – say a product or an ad – you can take a snapshot with your camera phone, and the phone, equipped with the right app, can recognize the product and allow you to “interact” with “it” right then and there. Scanning a barcode while in a store, can give a shopper real-time access to price-comparison data; reading the QR code printed on a magazine ad can bring up the advertiser’s web page directly on the handheld; and a number of apps can visually recognize book covers and other items just to bring up the corresponding shopping cart at your e-tailer of choice. Regardless of whether this interaction is enabled through image recognition or code scanning (or other emerging techniques for object identification), it is my belief that people will increasingly use their smartphones to take pictures of physical objects (shopping goods, print ads, display windows, movie posters, showcases, billboards, etc.) or “check in” at physical locations (à la Foursquare, Gowalla, and shopkick) in order to instantly obtain object- or place-specific information from the web.

With a purpose-built mobile app, a person’s smartphone will not only “know” the shopper’s location but also “carry” detailed, yet hopefully anonymized consumer data which can be used by nearby merchants to issue precisely targeted specials and preferred pricing offers by sending coupons to the phone. These digital coupons are then scanned from the phone’s screen at checkout and thus redeemed. And for extra credit, every time a consumer snaps an item or registers at a location, there is an opportunity to capture a meaningful piece of marketing data: the voluntary and self-motivated signal of interest at the time and place of encounter with any particular merchandise, commercial, or store location. Marketers consider a compilation of such indications of interest a powerful predictor of future consumer behavior, second perhaps only to a shopper’s past purchase history. And, of course, with access to such consumer information in real time – i.e., if products, ads, and storefronts “knew” something about you – that encounter becomes that much more meaningful, as the product pitch can now be tailored to your preferences.

Finally, who knew Coleridge (Jr. nonetheless) had a thing for IT budgets which are customarily cut at the beginning of the year: “The merry year is born like the bright berry from the naked thorn.” Beautiful, of course. Perhaps just as beautiful as being able to stretch your budget to do more with less and to implement some impressive mobile- and social media strategies without going for broke already in the first quarter. Our company Talent Trust (http://www.talenttrust.com/) has helped many traditional, brick-and-mortar firms devise and cost-effectively implement such strategies – with flexible access to highly skilled IT professionals located offshore. Please feel free to contact me (christophe.kolb@talenttrust.com) should you be thinking about building mobile apps and social media platforms to influence and captivate consumer audiences. Talent Trust has a ten-year history of creating successful technology solutions for delighted clients such as Accenture, Agilent, Autodesk, Brady, CMA CGM, CompuCom, Continuous Computing, Critical Mass, Elan Computing, eMeter, Euro RSCG, GE, IBM, Major League Baseball, Manpower, McAfee, Medtronic, Suzuki, Taylor Corporation, Verizon, Zynga, and many more.

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Dragon Claws and Tiger Paws: The Hackers of Globalization

What’s all the fuss about globalization being either good or bad, manageable or inevitable? Globalization is but a fuzzy measure of how globally connected, integrated, and dependent you are on others in terms of economic, technological, political, cultural, social, and not the least ecological interchange. Last time you ever poked fun at that goofy Icelander for believing in his wights, elves, and huldufólk (“hidden people”), for he’ll come right back at ya, by closing his country’s banks – turning a whole bunch of UK depositors into such huldufólk – and shutting down your airspace for weeks on end (and all you can do is sue Thor for spewing volcanic ash and other forms of Icelandic ectoplasm, including Björk, over your Fatherland). (Though on that note, the brave pilots of Deutsche Lufthansa must be congratulated for being the first to face the pulverized magma, proudly living their corporate motto that the “Hansa is flying even when the birds are walking.”)

No, globalization would be a simple and straightforward matter if we just called it global trade (and indeed, if it was just that: worldwide import/export), and if it wasn’t for such complicating factors as the vast inequalities accentuated but perhaps not caused by putting us all on an economic Mercator projection, an equal free-trade footing. In the good old days, it used to be fair and equitable: you’d send a nutter like Marco Polo off on his Silk Road to scam the Kublai Khan with some cheap Venetian costume jewelry, and the fool would come home with spaghetti – home being Italy, mind you! Let’s call this one “Bucket A”: arguments for or against the notion that the world’s haves and have-nots will benefit very differently from the effects of globalization. If the upper left-hand corner of your paycheck says “The World Bank Group,” you’ll likely be a naysayer, arguing that global inequality has risen as a function of increased globalization for a number of factual reasons that are measured in something called the “Gini coefficient,” and the explication thereof would stretch the scope of this blog as much an A-Rod-professed monogamy. Know that your blogger – like most civilized people – categorically condemns the exploitation of impoverished workers and joins with militant fervor in the persecution of all exploiters of child labor (if you can, check out our friend David Arkless’s and his company Manpower’s support of http://www.notforsalecampaign.org/ – a rather worthwhile cause!).

Some of the other, softer, and more academic arguments brought forth by the anti-Davos crowd (rash boarders, by and large, who eschew après-ski and raclette with Angelina Jolie) have to do mainly with agriculture subsidies in rich countries (thereby lowering the market price for poor farmers’ crops), the non-existence or at best weakened state of labor unions in destitute regions, and – oh behold, the Bugaboo! – the rapid growth of offshore outsourcing. In “Bucket B” we shall lump all arguments either in favor of or opposed to the notion that globalization will revert all “things” back to their normal mean. And all these things are purportedly economic, technological, political, cultural, social, and perhaps even ecological in nature (you can appreciate how complicated a well-rounded treatment of globalization can get – and most of them alas are as cohesive as Destiny’s Child). Think of it as the global equilibrium point, where say a big media company in the States is outsourcing all of its IT development to India, where the Indian IT developers – because of these two interlocking economic trends called global wage arbitrage and purchase price parity – are making a respectable middle-class living, allowing them in turn to tune into, as it so happens, their client’s satellite TV channel to watch the admittedly timeless episodes of Rachel and Friends, thus sending about $1.50 in revenues back to Burbank, California for each $1.00 spent on outsourcing. The labor savings and the incremental foreign revenues are strengthening the firm in the U.S. such that it can afford to hire more domestic workers. A spiraling win-win scenario, or so it would appear, were it not for the pesky competition all now filing into Bangalore, tilting the local supply-and-demand ratio towards ever inflating wages. Over time, as you would expect, the Bengaḷūrus will be able to command the same level of pay as the good folks back home in Burbank. That’s what “mean reversion” means in this case: everyone’s making the same rupees and watching the same TV shows (where the largest common denominator will, thank heavens, also be the lowest one – watch out Slumdog, here come Jessica Simpson’s hair extensions).

Aforementioned Buckets A and B deal with resource re-distribution and societal re-shaping, respectively. It is perhaps intuitive that according to the KOF (ETH Zürich) Index of Globalization, Belgium, Austria, and Sweden rank first among the world’s most globalized nations (and that despite ABBA!), while Iran, Burundi, and North Korea are plotting away in impressive isolation. Cynics will contend that although the driving forces behind globalization are well understood, corporations (mostly again in rich countries) are in the driver’s seat, and thus it is hardly surprising that globalization will follow a corporate, and almost by definition, opaque agenda. Others point to the “avengers” of globalization, those that are part of a nation’s diaspora, the reverse exodus of Western-trained workers back to their country of origin (such as the legions of highly educated and very successful Indians in Silicon Valley, for example, returning home to start new businesses in India). And of course, there are those who watch Roy Rogers movies on TCM and eat lots of apple pie and claim that the United States will never fall behind, because we – and nobody else! – have the monopoly on innovation. (I’ve got something innovative for you, and it’s not the Xbox 360: here in the States we’ve got more massage therapists entering the workforce every year than computer scientists; and we’re now graduating more social workers from our colleges than engineers – of course, there’s absolutely nothing wrong with massage therapy or social work, quite the contrary, but you shouldn’t then wonder why someone moved your cheese all the way from Chennai, or why there are as many Indians on the list of the top-ten richest people in the world as there are Americans.)

I’ll close with a contention that may well be controversial: our conception of globalization is about as relevant today as Paul Bremer’s last lecture in the Sunni auditorium at Baghdad University on why “Democracy is not a spectator sport.” Globalization has been a decidedly Western concept ever since the Greco-Roman world established trade links with the Parthians and the Han. It’s pretty evident that the Chinese and the Indians – the only two countries with more than a billion people each which together make up nearly 40% of the world’s population – find our notions of global connectivity, integration, and interdependence about as quaint as a Quaker’s chuckle. Bucket A, Bucket B, pro or con, it really doesn’t matter. You might as well try to explain to an Indian “classical” musician the difference between Mozart and Miles Davis or insist to a Chinese that opera is all about stout white men crooning Verdi. Give it another 30 years, and China will produce 40% of the world GDP, with the U.S. (15%) and the EU (5%) lagging emphatically behind. With Chinese economic hegemony and supremacy in hardware, and India’s leadership in software and an unrelenting focus on scientific and technical education, and a potential coming together of two powerful allies at the purposeful exclusion of the United States, the economic, political, and social constructs of the West have lost their relevance as far as the Dragon and the Tiger are concerned (notwithstanding the tragic reality that both countries will still have to lift hundreds of millions out of abject poverty.)

Please feel free to contact me (christophe.kolb@talenttrust.com) should you or your company be thinking about establishing an offshore presence in either India or China. Our company Talent Trust (http://www.talenttrust.com/) has a ten-year history and successful track record of doing business in both countries and helping our clients successfully navigate some of the challenges of globalization.

The Man Who Mistook His Life for a Game

When your mother told you that life was neither a fairy tale nor a game, she was certainly right about the former and probably wrong about the latter. In fact, there’ve been a few notable thinkers since the mid-1800s who claimed that life was nothing but a game. The notion that people are Pokémon on the great board game of Life first vaulted into the halls of science and took hold of public imagination with the publication of On the Origin of Species in 1859, followed only one year later by the release of The Checkered Game of Life, courtesy of the fine and inventive people at Milton Bradley. Since then some games have indeed become more serious than life itself (sorry, I’m not talking about Dancing with the Stars); and with the advent of game theory (a formalized, mathematical treatment, if you will, of social science) countless advances have been made in manifold fields such of evolutionary biology, political science, international relations, and of course computer science. You’ll really like game theory if you made it through Theoretical Econ 101, you can still stomach your applied math, or you’ve had the hots for Russell Crowe in A Beautiful Mind. For that matter, game theory will come in very handy should you ever find yourself incarcerated with a fellow inmate named Johnny von Neumann, and you’re wondering whether to betray that strange man to the warden or to only say as much as the acteurs in The Blair Witch Project.

The Prisoner’s Dilemma (a formal study, again, of why two people might not cooperate even if it’s in both their best interest) and, conversely, other counterintuitive behavioral models that attempt to explain for instance why people might collaborate (to contribute, say, intellectual “property” into the intellectual commons) even if it’s not in their best interests, have become intellectual staple diet for Social Web connoisseurs. Our company Talent Trust (http://www.talenttrust.com/) does a lot of work for Fortune 1000 companies that wish to implement effective “Web 2.0 strategies.” I put that term in parentheses for no one really knows what it means, except for Tim O’Reilly (who invented it) or Carl Jung (who would have described it as the act of individuation through socialization by means of solidarity networks, but Carl unfortunately is long dead).

Most our enterprise clients wish to harness the web’s social-media sphere as a way to expand their business (be it to grow their brand, widen their customer reach, or deepen their relationships with business stakeholders). If you think you can do that by just sticking a “Share it on Facebook” or “Digg it” button up on your corporate site you belong in a fossil collection, a Barock shrine, or a Tibetan monastery. It’s ironic for me to say so (for our company provides the technical talent behind many a successful Web 2.0 implementation), but Web 2.0 has a lot less to do with technology than with psychology (no, not psychiatry, and apologies, Oliver Sacks). If you want to make your brand attractive to millions and millions of people who live the Social Web, if you want to connect with them, to garner their attention, and to take them on a journey towards your product or your service offering, you must start to play the game. For starters, throw out your Ajax For Dummies (or say “asynchronous JavaScript and XML” three times in a row), and pack your Nash equilibrium, The Collected Works of C. G. Jung, and your favorite body piercing jewelry and head over to our friends at social gaming powerhouse Zynga (http://www.zynga.com/). They’ve just changed their company slogan from “More Fun Than Robert Downey, Jr.” to “Connecting the World Through Games.” There you go. I promise you: play one of their fabulous games and you’ll get what Web 2.0 is all about.

Don’t worry – you don’t even have to like “computer games.” Try out Zynga’s Mafia Wars, and yes, you’ll just either love it or hate it (there’s no in-between, just like with anchovies, the London Tube, or Michelle “Bombshell” McGee). You might not even stand for the glorification of violence, vindicta, and organized crime, although the theme of the game is of less interest to us here, and it might as well be about finding seashells on a beach or blue helmets in a Sri Lankan refugee camp. What’s impressive is that Zynga has just nailed the psychological underpinning of the individual as an integral part of a social network. There’s an amazingly effective reward system. There’s compensation for everything. Behavioral modification and forced decision-making against the ever-present timer. There are rituals and archetypes. There’s always the “mob” (the collective unconscious) and the Complex (do I have enough friends / Mafia members, enough stamina / energy to kill, enough money / reward points, etc.?). The process of individuation is particularly powerful, where players become literally more “whole” by virtue of strengthening their profiles, attaining special powers, and recruiting more players. And yes, there is also the fetish which can be cared for or cured, as the case may be, by – in any event – buying lots and lots of little items from Zynga.

And the lesson here? Needless to say, without state-of-the-art web technology, none of this would be possible. But technology is just the enabler. Psychology – as in the psychological substrate of a successful social game such as Mafia Wars – is the driver behind any viable Web 2.0 strategy. The overlap between social gaming behavior and social media marketing is just striking. Imagine: getting your customers to self-select a particular affinity group, to connect with like-minded individuals, and to recruit them in significant numbers to make for geometric growth; or, for your customers to enhance their profiles (invaluable marketing data) for the purpose of sheer self-expression, validation in front of their peers, or to earn reward or “reputation” points. If you want to connect with millions of customers, forget about your social media icons (we’ll stick ‘em up for you later) and focus on what drives the individual in the social setting. Learn from the leader in the social gaming arena and play some more of Zynga’s Mafia Wars or contact me (christophe.kolb@talenttrust.com) if we at Talent Trust can help bring some cutting-edge expertise to your Web 2.0 marketing initiative.

Recruitment on the Orient Express: A Brief Primer on Doing IT Business in Eastern Europe

There is no pain, no sorrow, and no suffering in Philip Sanner’s world. His world is made of optimism – both manifest and militant – where charisma is a virtue not a curse, and good things happen because they can. And here in Sanner-Land not even little children cry, but only sales managers wince should they fail to make target. For in Philip’s worldview (or rather ‘Weltanschauung’ in his vernacular), there is little tolerance for failure; pity them who produce downward-sloping revenues, disappointing earnings, or bungled forecasts. Sure, they will get another chance to make good before they meet their maker, for a) Philip is a humanist, and b) this is Germany, after all, home to that fabulous invention called “Social Capitalism” (everybody here gets a second chance, and a third, and a fourth …).

Please, meet Philip Sanner, Herr General-Direktor (let me translate for you: director-general) of Elan’s Central- and Eastern European operations. Elan, of course, is the single largest pure-play – as they say – IT staffing firm in Europe, a wholly-owned subsidiary of Manpower, the global leader in the employment services industry. Sanner’s (please call me “Philip”) purview encompasses a business territory that once, over centuries past, was home to such pleasant sports as: the laggards of the Völkerwanderung, the last Roman conquerors-turned-ill-advised-tourists of Germania, the always charming Visigoths, the Carolingians, the on-and-off-again Huns, various Ottoman invaders ca. 1683 and ca. 1960s-1970s, and – needless to say – some of the most undesirable males the 20th century had produced.

Philip is part of the $16 billion business firmament of Elan/Manpower. Philip is a terrific business leader, and his team loves him, for he is firm but always fair, likes to lead strictly by example, and brings out the best in them. He subscribes to some unusual motivational methods though, normally observed at organizations such as the United States Navy SEALs or the British Army Special Air Service; when a mollycoddled German middle-manager publicly labors under the misapprehension that coming in second at a sales contest is the same as being “second winner,” he’s promptly enlightened by his director-general that “there is no such thing as the second winner, only the first loser.” Lovely.

I’ve personally known Philip “number-two-will-never-do” Sanner for over five years, and I’m proud to say we’re solid business partners and also friends now. We’ve launched a joint line of business called “global resourcing” or “remote staff augmentation” that is getting healthy traction across his territories, providing Elan’s clients with highly skilled IT professionals located offshore (for more information about the Elan-Talent Trust partnership see the ‘Harness Global Resourcing’ section at http://www.elansolutions.com/ as well as the dedicated services site http://www.elanglobalresourcing.com). I’m now sitting down in Philip’s palatial regional head-office here in Frankfurt – which, in terms of size and grandeur, makes Pope Julius II’s private study look shoddy by comparison. I’m always looking up to Philip, not only because he is one of the more successful IT staffing leaders in Europe; or because he rules his territories with an iron fist befitting one Götz von Berlichingen, every German’s favorite kick-ass knight; no, I’m craning skywards ‘cause Philip is an implausibly imposing 2.1 meters tall, as such barely meeting Frankfurt’s traffic height limitations for bridges and tunnels, and would have made a most respectable ‘Potsdam Giant’ under Friedrich Wilhelm I of Prussia.

By background Philip is an Entrepreneur with a capital “E” – and as opposed to most of his colleagues who are regular employees who may well be entrepreneurial (small “e”) in their respective jobs, he’s built real businesses from scratch, all in the IT staffing space, the last one of which he’s sold to Elan now eleven years ago. He joined Elan’s management ranks in ever-increasing roles of responsibility, while keeping his Entrepreneurial passion for the business, and he exudes the confidence of someone who’s been in the biz for twenty-odd years and seen it all, or – someone who’s just sold every self-doubt in the world to Mephistopheles himself.

But today Philip is even more buoyant than usual, though his habitual outer calm – which makes any funambulist appear fidgety – scantly betrays his excitement at having just sold a 200-person outsourced Level-1-2-3 support center deal to one of Europe’s largest technology firms. The center will be located in an Eastern European country where the client already has “strategic assets,” which is euphemism for owning a very large building with not nearly enough clever people in it, and a local hiring manager with little hair left to pull out, for the competition for IT talent has become fierce across Eastern Europe. That’s when we sit down to discuss the state of IT recruitment in different countries and to discern different staffing options for the client engagement at hand. And that’s when I decide to turn the discussion into an interview of sorts, where I’m asking the questions, and Philip is providing the answers, and this hopefully for the benefit of our readers. (As an aside, the interview is conducted in English, and although Philip’s English is excellent, to the American ear he sounds exactly like you-know-who from Hogan’s Heroes; an accent – he explains – he’s had since he was twelve and that he’s carefully cultivated ever since – for personal branding purposes, he says – not to be mixed up with your run-of-the-mill Cambridge grads roaming the mean streets of Frankfurt.)

Christophe: Hallo Philip, you’re the archetype of the modern German business man: with more degrees than a thermometer, you speak more languages than the good people of Babel, and you run out of passport pages faster than one can say “Welcome to Bosnia and Herzegovina, Herr Sanner.” Dispensing with all jokes now, how much do you actually travel per year, what countries do you visit, and how do you divide your time?

Philip: Well, although we’ve only recently begun to set up an office infrastructure proper throughout Eastern Europe – at this point we’ve got two main offices in Poland and two offices in the Czech Republic – we’re starting to see promising signs of growth throughout the whole region. Just as a caveat, put in context with the rest of Elan, Eastern Europe is still very small and nascent but clearly a region with lots of growth potential. In addition to Poland and the Czech Republic, Elan is active in Bulgaria, Romania, Ukraine, and Russia. Not to bore you with geography, but this leaves all the following countries untouched: Hungary, Slovakia, and Slovenia (in what we call “Central Europe”), Albania, Bosnia and Herzegovina, Croatia, Macedonia, Montenegro, and Serbia (in “South-Eastern Europe”), Estonia, Latvia, and Lithuania (the Baltic states, although we’ve got pretty good representation up there through our parent company Manpower), the “Transcaucasias,” i.e. Armenia, Azerbaijan, and Georgia, and finally the former Soviet states Belarus and Moldova. I’ve personally been to all but Azerbaijan and Moldova, and unless you’re boarding a good 100+ intra-European flights per year, you’re not going to get a grasp of the business in all these different countries. Lucky me, I guess … Let me just add that you should think of our Poland- and Czech-based offices as regional “hubs of excellence.” Clients with high-volume staffing needs (500+ people) in these and also adjacent countries come to us for strategic advice, established fulfillment capabilities, and a deep understanding of local market dynamics. Although we’re the market leader in both Poland and CZ, a close collaboration with our strategic clients is still required to drive successful outcomes.

Christophe: If you had to make a short-list, which are the top countries in terms of demand for IT skills?

Philip: They are in order of greatest staffing demand: Czech Republic, Poland, Russia, Ukraine, and Slovakia. Note that we at Elan would consider Poland and Russia as already mature markets for IT staffing.

Christophe: And what about the top countries now in terms of supply of IT skills?

Philip: Definitely Poland and CZ again as well as the Ukraine. What these three have in common is an educated, flexible, and rapidly-expanding workforce. All three countries posses well-established, efficient, and remarkably practice-oriented educational systems so that they can produce new and especially relevant skills with – please pardon my saying so – “hungry” individuals eager to learn the latest and most in-demand skills at a rapid pace, thereby shifting quickly towards new and emerging technologies.

Christophe: Along similar lines, which countries are on your “favorite list” when it comes to supplying IT workers for “cross-border” deployment (meaning as travelling guest workers in other countries on finite-term assignments) or for near-/offshoring (in other words, the resources remain in country but do the work remotely for a client in a different country altogether)?

Philip: In that regard both Romania and Bulgaria top the list – both are super-hot right now for both Microsoft and SAP skills – closely followed by Poland. We literally have a plethora of IT services and support centers in Kraków. Manpower’s big American clients, for example, are setting up shop in Poland and CZ with just remarkable speed – ramping up to 3,000 employees per center is pretty much the norm within a very short period of time … you ain’t seen nothing yet, as I believe you boys would say over there, until you’ve seen what Elan can do for you here. Obviously both Poland and CZ are not the cheapest places in the region, but American firms in particular are hoping that long-term investments will help offset and indeed reduce upfront operational spend and will yield significant improvements in overall IT efficiencies.

Christophe: Please excuse my saying so, but as far as political and legal systems are concerned, the whole of what we call Eastern Europe is to me just like my mother-in-law’s Hungarian Goulash: it all looks the same, it’s pretty clumpy and sticky, certainly not for the faint-of-heart, and you shouldn’t have too much of it, and you really don’t want to know what it’s made of … Any truth to that? How would you navigate the different sets of country laws?

Philip: Tricky, specially for the uninitiated or, as you say, the faint-of-heart. Don’t do it, if you haven’t done it before. Developing and implementing local trading procedures are just absolutely key. This is never easy under the best of circumstances and particularly challenging as “flexible IT hiring” and related workforce management practices represent a hybrid between HR and the procurement function. If you’re thinking about programmatic training, high-volume hiring, outsourcing, temp-to-perm worker transitions and other types of work transfers, a deep – and I mean “substantially deep” – knowledge of local legislation and labor laws are required.

Christophe: Speaking of the letter of the law, which can be intimidating when that letter is part of a foreign language, what Eastern European countries would you rate as being the most “Western-friendly”?

Philip: Not surprisingly, Poland, Czech Republic, and Hungary are the favorites here, as these countries represent parts of many clients’ fully and globally integrated resourcing strategies. Through historical and cultural ties, they are closely aligned to such Western ‘powerhouses’ as Germany and France. Furthermore, these countries have a perhaps surprisingly – at least to some in ‘the so-called West’ – effective approach to human capital management. They just “get it” when it comes to servicing the demands of next-gen hiring managers: here it’s all about the stability, predictability, and rapid mobilization of talent pools.

Christophe: How is this now for a ‘loaded question’ – your advice to anyone looking for a reputable resourcing partner in Eastern Europe?

Philip: My mother used to spank me harder as a child when I would eat all the cookie dough! C’mon, is that all you’ve got? Seriously, you’ve got to do your due diligence. And I mean solid due diligence with multiple reference checks. Be careful to include in that check-list overall and of course specific technological capabilities and not just price as a differentiator. You are in the quality business – picking a quality partner will ‘pay back.’ Sound business processes and underlying systems are important as well. Make sure to pick a partner with a strong management team, matching cultural values – yes “values”! – and someone with the right and relevant business expertise. Someone you can relate to as a business partner, as you would say in the West, except they’re here in the East.

Christophe: I think I like your mother. Second to last question: if you had one country to pick in the region, which one and for what reason?

Philip: I’m hesitating, really I am … OK, it’d be Poland for me. It’s just the location, it’s so easy to get around, and it’s safe. The workforce there is adaptable, and they are able to identify technology trends early on, and they can ramp up new skills and capabilities very quickly. Their language skills are remarkable: English, German, French – all top. And the Poles are the most effective social networkers I know – I mean using Web 2.0 for recruitment purposes. Listen, if you’re not on LinkedIn, you definitely cannot be Polish. And, please, let’s not forget about kuchnia polska: where else would you go for your fill of Bigos and Pierogi?

Christophe: Final question, as promised: your favorite travel destination or story?

Philip: I’ve tried to re-classify France as an emerging market for Elan so that I could spend more time in Paris at Le Marche des Enfants Rouges – that didn’t seem to fly. Just give me the wine, the food, the cheese, and the Bohemian way of life, and I’d be a lucky man!

Christophe: Philip, you already are a lucky man! Congratulations on all your success in Eastern Europe, and I thank you for this interview.

Buying Into the iPad – Available this Weekend At a Big-Vision Store Near You

Faint surprise may just surmount the frequent reader of this blog, but I for one (good reason) am tiring of the (mostly bad) jokes, the barbs, and the sundry wisecracks that have preceded this Saturday’s debut of Apple’s iPad. Non-technical reviews, amply volunteered by chief marketing officers in spe and DIY brand management experts, alas all solely from the amateur domain, have ranged from the mildly sophomoric (“I’m going to buy an iPad. Period.”) to the unapologetically puerile (reference the evident geeks-without-girlfriends’ fascination with the feminine hygiene aisle and such Judd Apatow-inspired memos to Cupertino helpfully suggesting that the 64GB version should be labeled the “Heavy Flow” model).

iMoses didn’t descend from Mount Sinai with a “magical and revolutionary” tablet (at a price tag that still beggars belief) in order to change the fate of humanity or His untethered 4G children (in Steve’s appendix to the Decalogue, however, it clearly states that “Thou shalt not be caught reading a Kindle, for thou shall look like a total douch,” like the pale, pasty kid on the beach next to all the bronze, sculpted bodies evoking that stark visual contrast between Amazon’s pastel-colored “Original Wireless Reading Device” and the iPad’s supremely sleek back-in-black design). No, the iPad won’t change your iLife, you must still be kind to your nagging iWife (although there was a good one about the iDesperate iHousewives, its pointe lost completely in the seeming novelty of adding Apple’s trademark “i” to just about everything), and moreover, the Pentagon is not about to license Jobs’s patented “reality distortion field” to squelch the quagmire in Afghanistan, as this week’s rumor mill would have you believe.

Instead, let’s review some “news you can use,” in case “starting at $499” is not enough to get you off the settee:

  • Wall Street predictions for how many iPad tablets Apple will sell in the first year vary widely, with a range from 1M to 10M units;
  • There’s a pre-order limit of two per customer, even for businesses which is surprising (I guess one for the “magic” and the other one for the “revolution”);
  • Be cautious when making an impulse purchase at 9:00 a.m. this Saturday, as only the WiFi model will be available at first, and buyer’s remorse may beset you when tablets fit for 3G cellular service will be shipping at a later date;
  • Try to imagine what you’re going to do with your iPad; a comScore survey found that people would use it equally for web browsing and email, reading digital print media, and watching videos and playing games;
  • Thus far Apple has only allowed few established publishers – including Time Magazine, The New York Times, Wall Street Journal, etc. – pre-launch access to its device, and thus there will be only a handful of big-media applications available this weekend;
  • Business models among the print media companies are still all over the place, with some charging the equivalent newsstand price for the same content, others offering premium content taking advantage of the iPad’s seductive multimedia capabilities but also at a cost premium, while again others are billing for monthly subscription;
  • Advertisers are, albeit cautiously experimenting together with the media, with the Wall Street Journal, for example, selling advertisements for about $100,000 per month;
  • A few software development issues persist for third parties, including the automated iPhone-to-iPad-app conversion process that involves “pixel doubling” and has proven a challenge for developers rushing to get their iPhone apps adapted to the iPad’s much larger 9.7-inch screen;
  • There are other technical gripes too, especially around the iPad’s notorious incompatibility with Adobe’s hugely popular Flash technology which Steve Jobs couldn’t help but calling “buggy, littered with security holes, and a CPU hog” (there you have it, Google, why bother integrating it with Chrome then?);
  • And on that point, if you really cannot live without your favorite Flash sites, there’s HP’s upcoming big spoiler with the help of a touchy Microsoft Windows 7 called Slate which “runs the complete Internet” (completely just for emphasis, that is).

One more thing …, as Mr. Jobs would famously say (who, incidentally in the eyes of your blogger, is the best CEO in the world today, running one of the most innovative companies ever): please feel free to contact me (christophe.kolb@talenttrust.com) should you be thinking about building an iPad app for your business – for helping you find just the right people with that leading-edge expertise at competitive offshore rates is our business.

The New Buzz: Is Google Buying California?

Avid readers of that highbrow literary genre called cyberpunk will barely raise their brow at this dystopian scenario: the once-great State of California is on its financial deathbed. An angry mob with ruined dreams, shattered keyboards, and broken Chardonnay bottles is storming the Governor’s Smoking Tent. After midnight, following an all-stock tax-free acquisition including the assumption of the state’s crushing debt, California is declared a corporate principality, now run by a trillion-dollar market-cap mega-corporation that trades in nothing but information. (At the buyer’s insistence though, a last-minute carve-out is made for Southern California, its perennial water shortage and endless, nagging drain on the well-irrigated North cited as deal-killers; and besides, who’d want all these meddling creative types from Hollywood and those stubbornly Republican Naval retirees living in La Jolla?) Hasta la vista, Golden State!

At first it feels a bit weird, but the corporate citizens of California, Inc. quickly adjust to the perk-pampered life under the new regime. What’s not to like about free Sushi luncheons, mandatory reflexology massages at the workplace, and heavily subsidized 24×7 dry-cleaning? Foosball and frisbee are the official pastimes, red and green are added to the state colors, blue and yellow, and the K-9 police kennel of Alsatians and Dobermans is gracefully retired and replaced with loveable Golden Retrievers. But for the takes there are some gives too. Citizens are required to register with the corporation’s ubiquitous search-cum-information organization-cum-communication-cum-collaboration-cum-social-networking “matrix” (otherwise no comping your Hamachi, hombre). I’m not talking about your vanilla “opt in” EULA; non-compliers are rounded up by Blade Runners and summarily reinstated into the matrix via the corporation’s equally ubiquitous email system. Resistance is futile. Beguiling the populus with brazenly colored and annoyingly ever-present “We’re Not Evil” neon signs, this corporegent – whose business ferocity and trans-commercial ambition has not been matched since the East India Company set sail or before Microsoft lost its mojo – has fooled just about everyone except for these equally annoying and specially crafty Chinese (and look what they’re doing now, tempering with our matrix!).

The We’re-Not-Evil-Doers are just fabulous at day-to-day execution, and promptly they prove that this deal has been, in the words of their banking buddies who helped put it together, “exceptionally accretive.” Here are just a few highlights from the prospectus:

  • By virtue of having their lives digitized and uploaded onto the matrix via continual live feeds, every citizen becomes a “data node” on the company’s data-mining grid. Statistical analysis and pattern recognition across data-sets such a medical records create revolutionary advances in predictive medicine and preventive measures: “Results 1 – 10 of about 1,790,000 for people with identical symptoms, similar backgrounds, and typical outcomes. (0.19 seconds).” Healthcare savings in the billions.
  • Everybody has a smartphone that’s powered by the matrix-gone-mobile, which means every citizen, continuously geo-located (via the phone’s GPS chip), is an extra set of eyes (the phone’s camera) connected to the company’s brain. Location-tagging is a popular sport and hyperlinking reality with useful, personalized information (the “IndiWiki”) creates an augmented reality of astonishing depth and utility, rendering any Luddite “blind” to the “real” world. Advertising revenues in the billions (move over, mayors of foursquare, you’re in our augmented reality now!).
  • It is a citizen’s sworn duty to uninstall all local instances of productivity software (and those who fail their hardware inspection get a nasty house-call from Mr. Deckard). If it has words, columns and rows, or slides, it’ll move straight into the company’s Cloud – no discussion. Naturally, this one is about pocketing rightful revenues from Microsoft, but additional billions are minted when the company’s analytical clout is unleashed on the thousands of documents, spreadsheets, and slideshows that are uploaded every second; in a strictly anonymized fashion, mind you, trends, patterns, and common if not best practices are spotted (“meta-content”), and work product is now put up for search and sale, provided the owner agrees, making this the Lego store for intellectual property on the web.

(Note, if you will: the dystopia of governments ceding power to private organizations and entrepreneurs in a “distributed republic” was, of course, first portrayed in Neal Stephenson’s 1992 book Snow Crash, an immensely enjoyable read, which popularized terms and concepts such as “avatar,” “metaverse” viz. Second Life, and “Earth Software” viz. Google Earth. Also, the numbers are not far off. PetroChina became briefly the first trillion-dollar company by market capitalization, following its debut on the Shanghai index, but having since “settled down” at today’s value of about $200B, while Google is currently trading at $178.92B, to be precise. California’s deficit will grow to $28B through June 2010 with a Moody’s rating only three inches above non-investment grade, which is slightly worse than Kazakhstan’s. And factoring in its long-term bond debt, California is in the same obligation order of magnitude as Europe’s favorite spendthrift, Greece. Google, by comparison, has a surplus of over $24B in cash sitting on its balance sheet.)

The above – however far-fetched! – was, as you would expect, inspired by some of the recent “problematic” PR (to be polite about it) that greeted Google’s launch of Buzz, its integrated social networking platform. If you didn’t buy the part about Google buying California, try to fathom, however, the influence that a truly integrated Google-powered communications-productivity-social-media-platform might wield over people’s everyday lives. Buzz is only scratching the proverbial surface of what’s possible for Google. You can check it out at: http://www.google.com/buzz and for a useful overview watch their introductory video at: http://www.youtube.com/watch?v=yi50KlsCBio

Some critical voices questioned “how far” Google would go to catch up with the undisputed social networking leader Facebook. While other, more technical reviews centered around security and privacy concerns and quite serious vulnerabilities (such as betraying a user’s geographical location via the company’s integrated Location Services). In general, the reception has been mostly mixed, which – quite frankly – surprised me. Your blogger believes that Google is the technology company of our time for a simple reason that transcends all their technical brilliance and business savvy: Google can be trusted. The element of trust is so central to our business that it’s part of our corporate identity (for more on Talent Trust see http://www.talenttrust.com/). In turn, as an organization we trust Google to help us all become more informed, connected, and productive, while safeguarding the user (his security, privacy, and data assets). In fact, we recommend that our clients use Google Sites (http://www.google.com/sites/help/intl/en/overview.html) for most aspects of virtual collaboration – nothing could be easier to set up, more intuitive to use, and safer in terms of reliability and backup. Google Sites is literally everything-you’d-ever-need-out-of-the-box in order to set up a web presence, an intranet, or a web-based collaborative work environment for distributed teams. Although you won’t have the full-blown functionality or, let’s be honest, the refinement and elegance of a mature Microsoft application, you should keep Google Sites and now Buzz in your technology repertoire or even just your ‘starter kit’ to enable remote work. We’ve been using Google Sites extensively – so please contact me if you have any questions or need any professional assistance (christophe.kolb@talenttrust.com).