Newsletter May 2000B

TECHNOLOGY: Change in Focus

Not long ago, everybody wanted to have the most current computer on their desks. The focus was on more memory and faster speed. Today, the focus shifts from gigabytes and mhz, although still important, to how well our computers communicate with others and other computers. In fact many organizations still have old hardware in operation such as 486s and Pentiums. For them, opening multiple programs at once can be difficult, and connecting to the Internet can be slow and frustrating. For those who have made the shift to upgraded hardware in the recent past, the emphasis is less on hardware and more on what can be done with the "network technology." 

When evaluating a computer that is used for basic word processing and simple software applications users may find that computers as old as 133 MHZ machines still have enough power to get by if RAM (Random Access Memory) is 64 MB or more. The change in thought however is in how fast one can access information outside of their PC including, networks, external devices & storage,

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Some assistance on the basics:

DVD and read write technology are becoming more commonplace as an alternative storage method. When looking at the cost of a zip cartridge discounted may be $10.00 for 100 MB while a CD falls in the range of $1.50 with 650 MB. In addition the disc can last 75 years without fault. Internal HD are also dirt cheap ($230 gets you 9GB) and once the average user gets over 18GB it will take an exceptionally long time to fill up the space except for loading the now larger and larger applications. If one was just to fill up storage with text based documents a 100 MB storage disk may hold 55,000 documents. Granted artwork, engineering and individuals who spend a lot of time scanning documents may find these numbers to be limiting its not the norm for a traditional workstation on a network to be storing all their files on the local drive. In today's work environment central servers are the storage device of choice. assisting in back-up and sharing of information.

The important facets of the 2000's tend to be more on connectivity and bandwidth. What modem speed should I have and how do I connect to the Internet? 56K, ISDN, DSL, Cable, T1 etc. Can I view video clips and play music? Getting the fastest and most reliable connection opens the doors for ASP's (Application Service Providers) as well as intranets and extranets. Even important computer connectivity questions arise with, 10 base-t and 100 base-t ethernet connections, or the growing USB. For those somewhat confused there now are inexpensive wireless networks. Can all your components be connected? How quickly? By whom?

In the 90's the rush for desktop speed was essential as applications were driving the size and type of equipment purchased. These systems will more and more reside on other servers not only internal but external to the organization. 

New items like Sprint's wireless telephones and Palm Pilot's organizers will also have their place in this new world. If you're one who doubts the potential, stop in at a Sprint PCS store and try their wireless phones' internet function. It takes getting used to, but you can easily purchase a top 10 book from Amazon.com, or check hotel pricing and location with the press of a few buttons. At my first try I found with in minutes that I can get a room down the street for $39.99 with the phone number and address within minutes off my Sprint phone!!!!! A real treat for travelers. You can even check you email and it works!!!!

The focus has shifted from desktop to LAN (Local Area Networks) to WAN (Wide Area Networks) to Internet to extranet and beyond. 

A few notes to keep marginally up to date:

1. Do your computers have at least a 56K modem? Note

you can use Microsoft's "internet connection" tool to allow multiple users to connect to the net with one dial-up service at the same time.

2. What percentage of your computers carry at least the Pentium level chip.....the others...well...sorry...time to upgrade. (Yes people still use 486's or Pentiums with 32mb RAM)

3. To be current, you need hard drives with at least 6 MB of storage and at least 64 MB of RAM

4. Are your computers connected internally? Simple pier to

pier networks can be set up easily and are relatively inexpensive. However, if you're making the jump, use a HUB it make the system easier and more flexible to use. The benefit....you can take one PC off line and not interfere with the others.

5. Evaluate the need for access to the web for both browsers

and speed of connection. Make sure your current on Microsoft's Explorer at version 5.0 and (can be upgraded by going to www.microsoft.com ) Netscape is currently at 4.5 at www.netscape.com. Check your local ISP for prices on ISDN, DSL, Cable. The price may justify the time spent waiting for downloads or uploads. (Download...into your computer, Upload out of your computer) If your firm is doing a lot of research on the web or graphical work involving transfer of artwork in some form the cost is @ $1.00 per day for Road Runner Time Warner's service 

6. Challenge how you may better serve your customers/clients with more access to information. (Unfortunately, phone, fax, email, pagers and v-mail keep people in touch 24/7...its the standard, and in order to be competitive, you must make the jump.)

7. Get hip look at the Mindspring products at www.mindspring.com for a comparable palm for 1/2 the price. Upgraded pagers and cell phone technology are fast approaching use ability as multi-usable tools.

Remember that in the world of technology, there are several factors that make it work. Hardware, software and brainpower....yours. Without the proper use of all three, especially the brain power, you have a plastic box that would not even function well as a stepping stool. Considering all the technological changes, humans are still the most important external device.

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STRATEGIC PLANNING: Where will you be in 2-5 years?

Often caught up in day to day operations, especially true for management in small to mid-sized companies, it's easy to let strategic planning rest on a back burner, if it's addressed at all. Lack of strategic planning is often due to three factors: 

1)time constraints, 

2)limited knowledge of strategic planning and its process,

3)little or no understanding of the external marketplace. 

Because strategic planning is your company's future, it's important to carve out time from the present to secure your business' place

down the road.

Two years ago I was asked to participate in an evaluation of a assessment tool that would help a President of a firm strategically decide what might be the future of her company. At that time, the company was primarily founded in what was then a huge market of outplacement services. Her company offered everything from orientation of downsizing, resume building, executive placement and personal network development. Candidly, the president noticed a new product with benefits stronger than other in the market already possessed. The product by definition was contrary to her market niche enabling and assisting companies in the hiring and retention process by up to 70%.. By establishing a relationship with the developer, strategically the company was positioning itself for servicing both sides of the business puzzle--downsizing as well as hiring and retention. Little did she know that we would have such a shift in unemployment. Today, that same company has made the shift to what is now a major focus of what they offer. A strategic analysis of the future opened markets and most likely will enhance is profitability in years to come.

Take another example of a company that ships over 1000 FedEx packages a day and a similar amount of UPS packages with 85% of their business being conducted outside of their own regional markets both wholesale and retail. The firm, based in the "electronics" age, focuses on the repair of most electronic components such as VCR's, camcorders and TV's, in addition to electronics that are related to auto's. With the advancement from electronics to computers, this company has only varied is strategic position by entering into another even more competitive very "slim-margined" computer repair business. As companies, such as Best Buy, started to offer their own internal repairs, the repair business found that it was cherry picked on what items or problems to service. Undeniably, the referral company now would take the most profitable and easy work and outsource the more complicated items. More time and skill is needed for an even slimmer market.

This company is facing the dilemma of what will their company

look like in years to come. Its now easier and cheaper to throw out a 2-3 year old VCR than to repair it. camcorders and TV's not much better as a repair item as well as most other electronic or even computerized items.

The first company made a proactive, calculated move that's paying off to at least open the door to what may arrive as new opportunities where the second made a choice that is leaving the company less competitive and reactive.

When looking at your company strategically, it might benefit

management to evaluate core strengths and question what opportunities may arrive. Follow and read trend publications and do not follow the heard. In the early 1900's, when transportation was changing, the train industry had the opportunity to purchase and control both air and auto industries. However, they saw themselves in the rail business instead of the transportation industry, and they regrettably lost out on one of the greatest business opportunities ever.