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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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.

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).

Don’t Cry for Me, Argentina

“Don’t cry for me, Argentina
The truth is I never left you
All through my wild days
My mad existence
I kept my promise, don’t keep your distance”
– Eva Perón in Evita by Andrew Lloyd Webber and lyrics by Tim Rice

In everyday life there are many successful husband-and-wife teams; I’ve personally encountered such domestic-cum-corporate duos thriving for example as restaurateurs, travel agents, certified public accountants, florists, vinotecarians, pre-Netflix vidéothèquers, European-car mechanics albeit with limited repair capabilities, temporary employment agencies, bagel store owners, expensive dry cleaners, and my favorite pedicurists whose marriage though, I sense, is a bit on a rough footing. Despite federal and state-issued labor regulations that must be prominently displayed in all work areas, including the bedroom, specifically warning of such workplace hazards as “spousal arousal,” the kinship of business and pleasure has obvious advantage (viz. merit and merriment) as well as disadvantage (for richer or poorer but never for lunch, as my wife, for one, would freely assert). (The analytically-minded will note that there are four possible outcomes when matrimonial and monetary matters conspire or collide, as the case may be: business success or failure paired with marital bliss or whatever the opposite, I dare not ponder – just compare / contrast the pairings of Cleopatra and Marcus Antonius, Annie Oakley and Frank Butler, Bonnie Parker and Clyde Barrow, and Siegfried and Roy.)

Think about starting a technology firm with your spousal business partner? Doable indeed, as such notable Silicon Valley offspring as Cisco, Super Micro, VMware, Flickr, Bebo, and Six Apart prove. However, think about running a country together? Well, then you will have to keep up with the Kirchners. Meet Cristina and Néstor of Number One Quinta Presidencial de Olivos in Buenos Aires, Argentina. Néstor Kirchner, protean a politician, with his devil-may-care populism of near-Chávezian proportion, his on-again-off-again dislike for markets, and his fondness for decrees (having issued more than the Council of Trent), would have hated vacating the Presidential Villa at the end of his term (as anybody would), and was surely consoled by the seamless, subsequent installment of his wife, Cristina Fernández de Kirchner as President of Argentina. Cristina Kirchner, for her part, debacled into office with a creative multi-billion dollar debt retirement scheme that met the stark resistance of that marplot of her Central Bank President who opposed it and who was since decreed-over multiple times, Kirchner-style. With plummeting popularity ratings at home and the national press infuriated (and who cares about  international opinion?), she’s done well to focus on all-out capitalistic reforms (despite nationalizing the country’s private pension funds), taking it perhaps too far with a few dubious development deals of her own that would put even Donald Trump to shame (alongside a fashion decorum to make the Real Housewives of Orange County blush). Luckily for the Kirchners (and the country, of course), a vast amount of oil – estimated at some 60 billion barrels – has been discovered in Argentina’s inshore waters and is certain to now unleash another economic boom. With Argentina’s farm-commodity exports at an all-time high and inflation generally in check, the country under the Kirchners resembles a lush economical oasis in the financial isthmus of Latin America.

Our darling husband-and-wife team, credited with bringing Argentina back into the centerfold of world economic power through political stability, industrial growth, and rising prosperity is following in the footsteps, of course, of another ruling couple, Juan and Isabel Perón, whose style of government in the fifties known as Peronism, that farcical ideological wavering between socialism and capitalism, has for so long managed to hold back a country with just extraordinary potential (given immense natural resources, a highly developed economy and powerful middle class, strong historical ties to European culture, etc.). That Argentina is not yet a G10 or at least an economy the size of Italy’s ($558 billion GDP vs. $1.756 trillion) has famously perplexed V. S. Naipaul who calls it “one of the great mysteries of the twentieth century.” The hangover of Peronism perhaps? Yep, the Argies sure like their colorful husband-and-wife leaders, able as a country, however, to withstand and endure even a bad choice of leadership. Don’t cry for me, Argentina? (Here’s the answer to that one: towards the end of her mad existence, Eva Perón stipulated in her will that Liza Minnelli would be expressly barred from playing Evita, for the good people of Argentina had already suffered too much; she kept her promise; and the children of the Pampas never did shed a tear.)

Argentina is one of my favorite countries in the world. In his day job, your blogger has been working with Argentinean business partners for over ten years. With a demographically young and dynamic population of 40 million, a world-class educational system that’s produced more Nobel Prize winners in the sciences than all other South American countries put together, and a higher adult literacy rate than Greece, Argentina’s workforce can be reckoned with on an international scale. The country’s cultural roots are European and very much like the United States it is a nation formed by settlers and immigrants, affording both Europeans and Americans a great deal of cultural similarity and indeed familiarity. The vast majority of the contemporary workforce employed in science, engineering, and technology speaks English which is taught in school mandatorily as the primary foreign language. The people I’ve had the pleasure of working with over the years have not only excelled in their respective fields of specialization but have distinguished themselves as problem solvers, creative thinkers, and innovative contributors; I’ve witnessed entrepreneurship, hard work, and professional pride to degrees desirable for the even the best companies or institutions here in the States.

If you’re thinking about working with a remote IT team, one of Argentina’s most compelling advantages besides boasting a wealth of excellent technical talent at competitive offshore rates is the time zone overlap with both the U.S. and Europe. Just look at your world clock: 8:00 AM in Chicago, is 10:00 AM in Buenos Aires, is 1:00 PM in London, meaning that both Chicago and London will have their respective eight-hour day overlap with Buenos Aires in terms of regular business hours. In other words, Argentina is ideally situated to serve both the U.S. and Europe as “nearshore” destinations for real-time collaboration (think about just being able to Skype your remote colleague in say Buenos Aires in the middle of your day to catch up on a project’s status, as opposed to getting up at the crack of dawn or burning the midnight oil, getting caught up with resources sitting in say Bangalore, India).

It must also be said that you won’t like Argentina if: you are a member of the bovine family (yes, you will get eaten, as this is by a wide but gastroenterologically not-so-healthy margin the world’s biggest beef-eating nation); you are a Malbec grape (you’ll get squashed with Argentina now ranking as the fifth-leading producer of wine in the world); or you get dizzy dancing (Argentina, you’ve got the best dancers in the world – just bite me, Brazil!). Load up your iPod with Astor Piazzolla tangos to relive the magic of the Pampas or the romance of a sultry Buenos Aires evening from afar, and let me summarize why Argentina is possibly your best bet for a remote IT destination:

  • A politically stable nation with a fast-growing diversified economy, vast natural resources, strong at exporting and at the cusp of an energy-sector boom;
  • A large population, with a young demographic and a prevalent middle class;
  • A superb educational system that, with the government’s support, is fostering education and job training in science, engineering, and technology (where the U.S. educational system, in contrast, is desperately lacking);
  • Technical universities across the country produce a wealth of highly-skilled IT professionals;
  • A high penetration of advanced English as a foreign language, both spoken and written, especially among IT professionals;
  • An established and fast-growing IT services industry based on entrepreneurial spirit and technical excellence;
  • IT services exports are strongly encouraged by the government with various incentive programs to further propagate the benefits of a ‘knowledge economy’ (investing in people, non-polluting revenues, currency influx);
  • Cultural similarity with both Europe and North America greatly eases cross-cultural work collaboration;
  • High work ethic, pride in ownership, and innovative ‘out-of-the-box’ thinking are common characteristics;
  • Almost full-working-day time zone overlap with both the U.S. and Europe means you can work with people in Argentina in ‘real time’;
  • And perhaps, most significantly of all if you’re looking for “value for money”: given all the above benefits, Argentina outsourcing is still very much price-competitive compared to most other offshore locations, with savings that can range from 30-50% compared to the cost of domestic staff.

Remote Control

James (“Bozzy”) Boswell, the constant diarist and fierce legal mind, known to his Scottish contemporaries as the 9th Laird of Auchinleck, the grand tourist of 18th century Europe, who’d finally toured his own highlands with that other great living constancy in essayism and lexicography, Dr. (Samuel) Johnson, used to say: “I am, I flatter myself, completely a citizen of the world. In my travels through Holland, Germany, Switzerland, Italy, Corsica, France, I never felt myself from home.” Bozzy’s feeling of peaceful innateness and Club Med content across Western and Central Europe had less to do with an earlier “The World Is Flat” syndrome of geopolitan enthusiasm but was likely linked to the traveler’s companionship of some vivacious young Dutchwomen of “unorthodox opinions,” a here-and-there Bawdy-house attendant, a handful of English cousins and Corsican widows, an actress named Louisa, as well as – yes, his own pièce de résistance – Rousseau’s very mistress. So much for the extent of globetrotting and the rigor of relations in those days (of course, Boswell and Johnson did not enjoy a frictionless first encounter either: “Mr. Johnson, I do indeed come from Scotland, but I cannot help it.” – “That, Sir, I find, is what a very great many of your countrymen cannot help.”)

Think of Boswell as a 270-year-old Thomas Friedman who was perhaps the first chronicler and critic of what we today call globalization. A popular account of the forces at work that collectively give rise to ‘that thing’ treading between starvation and salvation referred to as globalization can be found in Friedman’s rather readable 1999 book The Lexus and the Olive Tree, whereas for a more serious treatment of the subject consult the 2002 book Globalization and Its Discontents by 2001 Nobel laureate Joseph Stiglitz. And just as in Boswell’s days, we cannot help but notice that the world has become a bigger and smaller place, both at once. And I’m not just talking about the joys of cheap easyJet tickets or essentially free international Skype calls to shorten the distance between our favorite English cousins and Corsican widows. For the scope of this blog I constantly marvel (how Boswellian) at three trends:

  • The increasingly global nature of business;
  • The rapid changes brought about by always-evolving technology; and
  • The reshaping of the world’s labor markets as a consequence of the above two.

Put another way, today’s workforce is global, their workplace is virtual, everything is enabled by technology (and if you don’t keep up, yes you’ll be ‘disabled,’ in a sense), and we’ll all be astounded by the rising complexity of that corporate growth engine known as “knowledge work.” One of the central insights from the ‘tectonically shifting’ labor markets is indeed: that work is something we do, not (just) a place we go to. The economic corollary being (and where Stiglitz gets his hiccups) that with globalization in full fore, it is simply easier (and cheaper) to move the work, than it is to move the worker. And this is typically the point when the Davos crowd departs to leave IT Management in charge of “practical next steps.”

Remote staff augmentation can be an attractive and viable alternative to either hiring local consultants or offshoring entire projects. Successful practitioners can enjoy the offshore savings (30-50% compared to the cost of an onsite contractor) without the loss of control often associated with outsourcing. Imagine managing your remote IT professionals as if they were your own, geographically dispersed employees. The combination of offshore benefits together with the flexibility and control of staff augmentation is what makes this a compelling engagement model. However, working with remote third-party resources requires, first and foremost, trust. Building that trust – a sense of reliability and confidence in predictable performance – takes time; there are no shortcuts and no substitute for “trial and error.” Help, where’s the Remote Control!

Here’s the list of “buttons” on that control panel for a successful remote staff engagement:

  • Job requisition / requirements elicitation;
  • Candidate sourcing;
  • Candidate screening (technical, psychological, language / communication, cultural / organizational);
  • Background check and other information verification;
  • Candidate matching (resume presentation);
  • Phone interview / VoIP video conferencing;
  • Online IT skills testing (administer assessment and screening solutions);
  • Candidate system setup / on-boarding / kickoff meeting;
  • Resolving any counterparty / HR problems;
  • Weekly web-based timekeeping and consolidated monthly billing;
  • Ongoing engagement management (monitoring candidate productivity / reporting any HR issues / facilitating communication).

As Boswell would have said: “I have found you an argument; I am not obliged to find you an understanding.”