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The business world - as it relates to strategy and human capital.

8 ideas for 08

Thursday, November 29, 2007

FORTUNE just published a list of 2008's biggest and most promising ideas.

Some ideas are extensions of products already on the market, such as a GPS system to facilitate your work commute. Others are attempts to revisit past concepts that have failed - WiFi at 35,000 feet for example.

Check it out. Watch where most of these ideas are coming from. What kind of companies are marketing these products? Big, small? Who's coming up with these ideas? Individual entrepreneurs, teams of people or are they simply rip-offs from failed ventures by larger, less nimble companies?

Let's see how many catch on...

Save Your Facebook

Friday, November 23, 2007



Isn't Facebook fantastic?

Where else can you connect with long lost friends, and relatives.

Where else can you post your memorable pictures for all to see.

You know.. going to the farm with your kids. Or, your team photo from your women's hockey league championships.

Or, the shots of you and your buddies wasted last Saturday night, proud of your pile of empty Molson Cans..

Isn't it great that employers are now using Facebook and MySpace to screen potential employees.

Isn't it great that they can stumble upon your profile, and have a great look at those wild party pictures.

According to an article in the Globe and Mail:

"Organizations are looking for new avenues ... such as LinkedIn and Facebook, and these sources are emerging as a new stealth tool to help recruiters cast a wider net in identifying new talent,"

Yes, in these days of immediate information, that wild time on the weekend can ultimately cost your future career opportunities.

Are we advocating you tame down your life, not for a moment. All we're pointing out that your value to an organization can be downgraded based on some poorly timed uploads.

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Dealing with Gen Y

Wednesday, November 21, 2007

FORTUNE Magazine recently took a peek into how UPS - affectionately known as Big Brown - is dealing with new training challenges presented by Gen Y.

Usually known for its stern corporate conservatism and "human engineering" principles, UPS has been watching its newer employees flunk out of training and straying from strict training regimes.

Some rules from their "340 methods" training manual...

A UPS driver should take precisely 15.5 seconds to execute a 12-step package selection process from their truck.

A UPS driver should place one hand on the handrail, one foot on the truck step and another foot on the ground when exiting the vehicle. This process must be precisely followed every time the driver exits the vehicle.

A UPS driver should always select a gas station on the right side of the road, in order to minimize idling time and avoid the risk of making a left turn.

A UPS driver should hold their keys on their ring finger to be able to quickly turn the ignition with the thumb and index fingers.

All of it is learned during long lectures. Good luck legislating these strict procedures to Gen Y.

The inevitable discord started to show in 2003, when the oldest Gen Yers were in their mid-20s. UPS senior staffers began to notice a serious decline in some major performance indicators, among them drivers' time to proficiency. Before, trainees had needed an average of 30 days to become proficient drivers; the younger group was taking 90 to 180 days.

Perhaps more disturbing, the number of new drivers quitting the post after 30 to 45 days on the job spiked. That was cause for serious alarm. Gen Yers make up over 60% of the company's part-time loader workforce, from which it draws the majority of new driver hires. And in the next five years, to keep the more than 100,000 driving jobs that currently exist filled, the company will need to train up to 25,000 new drivers.

Most companies would throw out the procedures manual to deal with this problem.

Not at Big Brown. The "340 methods" remained in place.

A comprehensive rewrite of the training program was done instead...

- UPS reworked the lecture format to address Gen Y's penchant for asking "Why?" Each step is carefully explained with charts and trial and error exercises.
- Expectations for the job have been better matched with the reality.
- Employees now get to try out all their "engineered" routines prior to their first day on the field.
- Employees are subjected to new and more interactive exercises like the "slip and fall" test which shows them how to position their bodies when encountering falling hazards.
- Memorizing processes is discouraged. Understanding is emphasized.
Read how UPS has maintained its unique conservative culture, while adapting its training to a more modern workforce...

Read how UPS has maintained its unique conservative culture, while adapting its training to a more modern workforce...

Merger mania

Friday, November 16, 2007

This week we saw another flare-up in the airline merger mania in the US.

Hedge fund Pardus Capital Management LP is pressuring Delta Airlines to merge with United Airlines to fight soaring fuel costs. The merger will spawn a huge carrier - by far the world's largest - with a route network that stretches across all continents. The marriage will also create millions of dollars in annual savings.

Now everyone is getting ready for the game of musical chairs. Everybody wants a merger partner. Which combination will have the largest route network? Who will get the most planes? Which merger produces the most destinations? How about frequent flier programs?

We will see some very interesting competitive responses.

Keep an eye out for the airlines that aren't asking questions about route networks, destinations and all the other conventional themes of mergers. What really counts is the value of the service proposition. Mergers are notorious for creating labour strife in unionized workforces. Disgruntled employees, shoddy operations and grumpy service are the norm after such corporate events.

The debate isn't so much about routes and fleets. It's about the management of human capital on the frontlines and in the executive ranks. Those organizations who succeed will be thinking outside the box of mergers.

IBM Gets a Secondlife

Friday, November 09, 2007


Looking for the next trend in developing your organizations employees? Logon to this:

"Serious games" are computer and video games used as educational and training tools. The game may be a simulation which has the look and feel of a game, but corresponds to non-game events or processes, including business operations and processes.

According The Apply Group, a research firm, by 2012, between 100 and 135 of the Global Fortune 500 will have adopted gaming for learning, with the US, UK and Germany leading the way.
Just as airline pilots initially learn using flight simulators, many corporations and universities see serious games as a great way for teaching new skills to a generation that has been brought up in the video game era.

IBM is introducing Innov8, a new game to help students and businesses develop a combination of IT and business skills. More than thirty colleges and universities have already incorporated the game into their program plans. Starting November 6, over 2,000 universities around the world can download the game from IBM's website and begin using it in their classrooms.




Innov8 is the second prominent program developed by a large organization, after the US Army developed America's Army.

To watch a clip, courtesy of The New England Cable Network click here.

200th Post..




Wow, it took 4 years, but we made it.. 200 posts, and growing.. in fact, I think we should get back to business and bring on 201...

Is leadership succession a problem for your company?

Tuesday, November 06, 2007

Amidst all the sub-prime mortgage mess and panic in the US a subtle detail has been forgotten writes Geoff Colvin, FORTUNE magazine senior editor-at-large.

Here's what I find most shocking about the departures of CEOs Stan O'Neal of Merrill Lynch and Chuck Prince of Citigroup: Neither company had a successor.


At Merrill Lynch, the search for a new CEO may take weeks to complete. Meanwhile an "interim non-executive chairman" has been appointed to fill the leadership vacuum. The title of the interim position appears to highlight a company in limbo.

At Citigroup, Sir Win Bischoff, head of the European unit, has been appointed as the interim CEO. A long-term replacement for the top position is not yet known.

What is simply stunning is that neither company had a name in an envelope, the person who is chosen and prepped to take over in case the CEO gets hit by a bus.


More stunning is that these companies with tens of thousands of employees are not able to name long-term successors within their ranks. Have they done assessments on potential leaders? Have they developed and coached their strongest employees? Did they provide opportunities for their employees to grow within their organization?

Is your firm doing these things?

FORTUNE published a list of the top companies for leadership development in 2007. Check it out...

Change at the Top

Monday, November 05, 2007



Quick name the largest company in the world.. based on Market Cap...

GE.. not even close...

Wal-Mart.. nope...

Exxon.. well yes, until today...

Meet the new #1 - PetroChina

Not only the world's biggest, but also the first to reach $1 Trillion...

Learn more in this article from The Telegraph