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Harvey Nash logo December 2006
User-centric Era on the Horizon

The market for smartphones and ultra mobile PCs is exploding. It won’t be long before enterprise users will expect full support for their personal devices and want to swap their desktops for an altogether more individual approach to the systems that operate around them. This will be the next major challenge for IT departments and IT professionals need to be ready to meet it.

One of the biggest challenges facing IT departments over the next 10 years will be coping with the increasingly blurred line between business and consumer platforms, according to analyst group Gartner. The increase in number of smartphones and scaled-down laptops means that IT professionals are going to have their work cut out for them integrating these devices with the enterprise environment.

As businesses waited for the newly-released latest iteration of the Microsoft desktop operating system, Vista, the next phase of desktop development was already appearing on the horizon. The catch is that horizon is no longer focused on the desktop computer.

As Sony Ericsson’s Chief Technology Officer Mats Lindoff says: “The world is moving from a computer on everyone’s desk to a computer in everyone’s pocket.” Speaking at last month’s Symbian smartphone show in London he added: “A phone today is like a laptop was six or seven years ago, but its battery lasts for two days not two hours.”

Although Symbian has a vested interest in believing that we are entering the era of the smartphone, which will be an integral part of the corporate world, the evidence to back this up (from both analysts and product development) is mounting. According to Gartner’s latest forecast, smartphone shipments will increase by 66 percent to reach 81 million units this year.

Gartner also expects the PDA market to increase by 6.3 percent to 16 million units this year, and says the growing market will continue to be driven by the broader availability of cellular-enabled PDAs from wireless carriers. The analyst firm estimates that 53 percent of all PDAs shipped in the first half of 2006 featured integrated cellular capability, up from 46 percent during the same period in 2005.

From the other direction, Ultra Mobile products like the Samsung PC Q1, which weighs in at just 777 grams but provides all the functions available in today's digital devices, are going to have a profound impact on the business enterprise. The Q1 has the full PC functionally range, including VoIP that allows everywhere, any time mobility.

Gartner believes users will begin to demand a single computing environment that enables them to embrace multiple roles, rather than disparate computing solutions. These roles will be represented by ‘software bubbles,’ which are complete user environments packaged up for delivery through various virtualization techniques. Gartner predicts IT organizations will struggle to stay ahead of user requirements and maintain its position of dictating key technology decisions. IT organizations will have to focus on facilitating and enabling users.

Gartner reminds businesses that as computing becomes more user-centric, organizations must realize that the end-user platform is more than an operational necessity and cost center to be stabilized and pared down. Instead the end-user platform should be viewed as a strategic opportunity to attract new employees, streamline operations, open up new business opportunities and enable new internal and external interaction models.

To plan and prepare for the user-centric era, Gartner advises IT organizations to begin by understanding and accepting that empowered users increasingly want to adopt consumer technologies as part of their operating environments. The consulting firm says companies should also begin to investigate alternatives to traditional workplace environments, including PCs.

As new workers enter the market, the ‘one size fits all’ approach to PC deployment will become increasingly untenable. This could be a nasty shock for global organizations that have recently completed desktop standardization programs. These companies will need and want extensive cost and business benefit analyses to persuade them to change their computing approach. At this moment in time, the global figures for sales of PDAs and smartphones are the key evidence that IT environments will need to change. Here’s a look at those persuasive global sales numbers:

Global Sales Stats: Smartphones and PDAs

  • Worldwide shipments of PDAs and smartphones combined totaled 42.1 million units in the first half of 2006, a 57 percent increase from the same period last year.
  • Smartphone shipments bolstered the market, growing 75.5 percent to reach 34.7 million units, more than four times the size of the PDA market.
  • PDA shipments increased by 5.7 percent, totaling 7.4 million units.
  • Japan overtook Europe, the Middle East and Africa (EMEA) to become the largest market for smartphones in the first half of 2006 and it now accounts for 33 percent of the worldwide smartphone market.
  • North America was the only region where sales of PDAs continued to outsell smartphones. 

In EMEA, smartphone shipments grew 26.3 percent, and it accounted for 30 percent of the worldwide smartphone market, down from 42 percent in the first half of 2005. Smartphone shipments in North America grew 104 percent in the first half of 2006.

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From the CIO’s Desktop: Architecting Real-time Advantage

By Alastair Behenna, CIO, Harvey Nash

We’re reviewing our disaster recovery plans again to see how they fit the latest threats. This time, we are looking at the risk of an Avian Flu pandemic. I’m particularly keen to use the opportunity to review the architecture that makes up our global enterprise. 

This review is an ideal opportunity to reduce latency (in essence - time lag) and move us ever closer to the Nirvana of a frictionless and real-time business. To do this, we need to embrace a program of what Gartner calls ‘a time-based transformation’ that will rip out the latencies in our critical business processes and infrastructure. This effort will result in better customer service, faster time to market, shorter sales cycles and an accelerated ability to capitalize on opportunities as they arise. Win, Win, Win, Win! 

I’ve reviewed a number of architectural models that don’t constrain us through reinforcing rigid incompatibilities and legacy handcuffs. I like the concepts of an earlier four-tier model that meets my aspirations and should be within my budget, as we have already crafted much of the constituent parts over time anyway. The early years of this millennium and its challenging times helped us flatten our infrastructure and remove some of the slowdowns, although we still have some expensive legacy systems to remove.                                         

The first tier of architecture is one of communication, or commonality of protocol, and semantics—both in a physical sense and in the development of a lexicon for strategy and information interchange. Bear in mind that at least 80 percent of a company’s information resides in unstructured data that cannot automatically be processed by computers. The second tier embraces processes and process styles and is the point of direct interaction between IT and the business. Therefore, it is also the point at which the lines must blur the most.

The third tier deals with the logical infrastructure elements like client/server etc. This level of architecture is expandable and reusable while the fourth and final tier consists of the foundation elements of operating systems and databases. 

The fascinating part of this four-tier model is that it consists of separate layers that can be flexed or moved independently. I saw a marvelous analogy that likens this design to a Rubik’s Cube. Each layer spins by itself so you don’t have to modify the whole to address just one tier. And it works the same way as the puzzle: moving any of the dimensions doesn’t compromise the others, it simply lines up the colors in various ways to produce different results. Real-time architecture is the first step toward a real-time business. 

So all, quite straightforward and by the end of this week, please! I don’t think so, but we can’t simply ignore the writing on the wall. We need to begin mapping ourselves and our architecture to the ‘always on’ technologies of the Internet. Real-time business performance is not a matter of choice; it is a matter of necessity. It requires developing an enterprise nervous system that allows us to react and do business in the now—not just when systems catch up.  

There are marvelous things happening out there in the customer’s world that shape the demand for an immediate, coherent response from us. We must be able to respond if we are to survive and prosper in these revolutionary times.  

Let’s take a look at just one example of the real-time capabilities that have an impact on every day life. Weather services around the world are developing and implementing systems for ‘nowcasting,’ not just forecasting. Systems exist today that nowcast lightning strikes via a grid of electromagnetic sensors. These systems feed data via SMS priority channels to Forestry Services and others groups to assist in fire prevention, saving millions of dollars (and many lives). Even sports promoters are beginning to take advantage of the real-time service, receiving buffer zone warnings that nowcast lighting and storm activity within the immediate radius of an event. 

This is all well and good but how does it apply to me and my technology?

Quite simply, these principles of early warning and agility apply to every IT environment and how we architect them to perform. Customers are growing to expect a real-time, real-quality response from suppliers. Can you imagine architecting an IT environment that allows your business to nowcast demand and then meet it. I don’t see why not…do you?

 

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The Retention Revival

Economies are looking up, which means keeping staff members happy is going to become increasingly important over the next 12 months. If IT leaders are to avoid having to replace good people who are tempted to new jobs by promises of better challenges, as well as bigger paychecks, they will have to make sure they can keep their team motivated and ensure job satisfaction.

The IT recruitment market is at its most buoyant since the dotcom boom, and in one recent survey the proportion of IT professionals looking to change jobs in the next six months was well over 50 percent. The message for today’s IT departments: finding and keeping enough skilled IT staff over the next 12 months is going to be a challenge.

One important task for IT leaders will be motivating their HR department before trouble begins. For a long time, the IT job market has been relatively flat, with employees prepared to sit tight for the duration, even if they weren’t particularly enjoying their job. That has changed as opportunities are growing. IT organizations need to look at ways of engaging and keeping their most effective staff and they need to make that effort in cooperation with their colleagues in HR.

While many leaders panic that a retention program is just another word for “big salary increases,” studies have shown that money is not the best way to retain top talent. In fact boosting motivation and improving job satisfaction levels are tremendously effective ways to increase employee retention. In last year’s Harvey Nash CIO Salary Survey, job satisfaction came out as one of the most important factors in changing jobs, illustrating how important providing motivation and workplace challenges is to keeping a happy productive workforce.

More recently, Accenture carried out a survey that found job seekers don’t place as much value on fashionable job attributes like corporate citizenship and diversity as they do on traditional benefits like good rewards and personal growth opportunities. In fact, challenging and interesting work is the most important characteristic – selected by 60 percent of survey takers, with potential for recognition and reward for their accomplishments a close second at 58 percent.

So if your IT teams seem less motivated and lackluster as the year end approaches, you may need to take steps to increase their job satisfaction before their New Year’s resolutions include new jobs. It may be enough to expand their roles and responsibilities and to look for new ways of challenging your staff. After a couple of years of not having to try too hard to keep staff, it’s time to get back in the retention mindset. Get your HR department involved in developing incentive programs or bonus schemes and brainstorming ideas on how to avoid any potential retention problems.

It may also be time to reappraise your own management techniques. Take a look at the way in which you are managing the team and see what you can do to improve employee job satisfaction. Research proves that both CIOs and their staff members are motivated by a challenge, so it makes sense to try to increase the challenges and opportunities available and, wherever necessary, expand roles. However, providing more challenges does not mean providing more work. Drowning employees in work, not surprisingly, decreases retention. The idea is to add greater responsibility and more interesting opportunities to their work.

If expanding roles and increasing challenges is not something your IT department is capable of at the moment, consider team building and motivational sessions. Research into employee motivation shows that paying more attention to your team will likely pay off in higher productivity and effectiveness. The research, which later became known as the Hawthorne Effect, proved that employees are highly motivated by emotional factors, like getting attention, being included and sharing responsibility, as well as improved benefits and salaries.

IT leaders are constantly being told that communication is a key skill. And it is. Now is the time to use those communication capabilities to motivate staff, partner with HR and build smart retention programs in order to ensure your department has a satisfied, productive and effective team in the years ahead.

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In IT News…

pictureMore Market Challenges for Microsoft
Once again, Microsoft is battling at the local market and this time the venue is South Korea. According to several news outlets, Microsoft may have to pull its Office suite from the shelves. The South Korean Supreme Court on Friday refused a request from Microsoft that patents a University professor be nullified. While the verdict is still out in terms of how Microsoft will proceed, more challenges of the legal variety are definitely ahead for the company as it works to deliver its flagship product, Office, to the Korean market.

 

Uniting to Reduce e-Waste

The United Nations, a world organization not always known as an IT powerhouse, has turned its focus on the technology world. On November 27, a weeklong United Nations-sponsored conference in Kenya began with the mission to explore ways to reduce the millions of tons of electronic waste (PCs, cell phones, etc.) in the world today. In addition, the conference focused on ways to reduce the use of toxic substances, such as lead, cadmium and mercury, found in PCs and cell phones, and to promote programs for recycling and reusing as many components as possible.

 

Black Friday Turns to Cyber Monday

For years, retails have looked to the Friday after Thanksgiving as the big kickoff to the holiday shopping season. Now the Monday after Thanksgiving is taking on the same role for e-tailers. In what is known as Cyber Monday, the first Monday after Thanksgiving now marks the kickoff to the first big holiday shopping push for e-shoppers and an early indicator of online shopping trends for the season. The outlook so far from retailers e or otherwise? Should be a strong shopping year!

Catch Crooks before They Can…

In Great Britain, police use data mining to identify suspects before they commit crimes. The Metropolitan Police of London's New Scotland Yard are working to build a list of 100 potential killers and rapists by using information from a variety of sources, such as police complaints, domestic violence databases, and mental health providers. The "criminal network prioritization matrix" is making news in the UK as government and citizen groups call for more improved protection of personal data.

 

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published by Harvey Nash