Year 2012 is predicted to become the year of analytics. Most corporate already install analytic or business intelligence system to support their business. Big corporation start to realize that analytic can support and save their spending on human experts and efforts. Many aspects on our modern society will depend on this technology on near future.
Just Imagine, how to analyze the pattern found on a gene illness. Traditionally, researchers look the data one by one. Semi modern researcher use tools like Microsoft Excel or maybe Mat Lab to analyze the data further. But nowadays technology enable computer to find the pattern by itself. This technology is called as data mining and its derivation on business called business intelligence / analytic.
It has been taking place all over the world. Accenture, Cap Gemini, IBM, and Microsoft frequently report about their success in implementing Business Intelligence (interchangeably with analytic and data mining) all over the world. It is the new hype of information technology on hand for current organization.
As analytic is going to become a mundane tools for organization to thrive, it is a good time to try to use analytic for our own good. The simplest on is used on blog to track how many people came, the more complex one used on Facebook analytic. Many aspect of our modern technology has used this technology, nowadays. Happy try, learn, and get the essence of analytic software then! 🙂
As it is another new recruitment period for some top tier consulting company in Indonesia, people constantly ask me about how to approach case studies problem. They always unconvinced when I introduce my secret technique (5C&4P) as it seems very simple. But, as the discussion goes, I always delighted at time I saw they start running after got acquainted with this method.
3C (Product Mix)
3C (Product Mix) is a concept developed by Kenichi Ohmae, a former partner of McKinsey & Company consulting firm. 3C view the problem from the view point of the company, customer, and competitor. This framework is useful to build a strong foundation on our problem. At least we know what’s the general condition of the company, how the customer react lately, and what’s our position regarding our competitor. For you guys who interested on 3C concept, you can read it further from “further reading” section below.
4P (Marketing Mix)
4P (Marketing Mix) is a concept developed by Neil Borden and simplified by E. Jerome McCarthy. 4P view problem from the view point of Product, Pricing, Place, and Promotion. This framework is useful to attack the problem tied with selling when the foundation (covered by 3C) is clear. For you guys who interested on 4P concept, you can read it further from “further reading” section below.
While 3C is good to cover the basic information needed, 4P is not strong enough to cover general problem likely to be asked. This is the time when 5C (as it is my secret technique) play the role. 5C is an extended version of 3C (which is rarely used, let alone be known). 5C is composed of company, customer, competitor, Collaborator, and Context. 5C strengthen the power of 3C, and together with 4P, they can deliver great result on your case problem. For you guys who interested on 5C concept, you can read it further on “Situation analysis” from “further reading” section below.
It is very hard to nail the case without a good framework, yet we can’t nail the case by framework only. It is the balance that’s important. 5C-4P is a good start to improvise and tweak your own method along the way.
6 thinking hats of Edward de Bono is a great concept to help you do brainstorming in strategic meeting. While it heard like a funny concept, it hold an important notion on analysis and decision concept, which is “it is all about perspectives”. Edward de Bono history itself is very exciting to read and you can read it by yourself here.
The concept of the thinking hats is simple. There are 6 type of perspectives that we can use (later on wrote as “hat”), they are white hat, red hat, black hat, yellow hat, green hat, and blue hat. White hat means we are looking into the data. White hat process the problem logically, while red hat process the problem emotionally. Black hat attack the problem from defensive and cautious perspective, while yellow hat look the opportunity in a very positive state. Green hat means a creative thinking perspective. Green hat enforces you to think out of the box, out of ordinary. The blue hat resembles the position of the meeting leader, the one who decides when to change from one perspective (“hat”) to the other.
From my experience, this concept is very powerful, especially in brainstorming process. The blue hat (leader) can choose how we approach the problem. When the leader chooses to use white hat, we can see some pattern in data. Yet data is not the only matter, emotion possibly be the key to problem you seek, so the blue hat can change to the red hat mode and so on. Simply speaking, the blue hat is the key to unleash the team power as it is the leader who chooses which hat we’ll use for a while.
The use of virtual teams in corporations increased much in these decent centuries. Internet really change the way people live, including business. Adaptations from physical to digital communication do pose many challenges. So, what’s the current research about the virtual teaming?
Lead a virtual team poses a great challenge as we can’t create trust, loyalty, presence, and relation. At the same time, global outsourcing is becoming more and more popular as it is economically more feasible. Internet enables business to increase efficiency of talent utilization. A neat thing that is impossible before the digital era.
Is it really effective?
Yes it is. A report from Accenture  state that if a business wants to become more effective, they must make efficient use of the regional resource. This report map talent by geographical groups. In a decade, talent outsourcing will be shifted to Asia as the wage is cheaper there.
Some big corporations had reap the benefit from global outsourcing, especially in IT and HR division. How can it be? It is done by using virtual teaming, by the help of the internet.
Can We Practice?
Here goes the tricky part. If globalization is a fact and virtual team problem is a fact. How can we learn to cope with it? A unique approach is stated in  journal. The authors state that we can learn how to manage virtual teams from massively multiplayer online game. Video games encompasses many complex problem need to be solved as a team. It bring many means of doing complex coordination and bring a real experience to people interact with virtual teams.
What’s the important point then?
More than game, the author found that there is several qualities need to be sharpened that differentiate between good and bad virtual team. Those qualities are articulate vision, commitments, performance assessment, blending, and right tools. Learn well about these things will make you perform in virtual teaming
In this article, I’m going to review digitization as an opportunity for industries to improve their economic value. This reality gives opportunity for IT industries to rise significantly. More than that, if we can read the gap and leap over it, it is the golden time for IT startup era.
Digital = competitive?
Just read Booz report  on digitization. There, I found an interesting quotation “Digitization offers the potential for old-economy sectors to make great strides in pushing efficiency and customer convenience”. It is an interesting statement, especially for an Informatics engineer. Is it real? Chart 1 state the current condition of digitization in our current era.
Chart 1. The Industry Digitization Index
Industrial environment is constantly changing from time to time and Booz found that left behind companies can achieve great benefit from implementing digitization process. So what can we do? For me, IT startup is the answer.
Really ? IT Startup ?
Why must IT startup? Let’s think for a while. How many IT industries in the world compared with other industries? How much it need to hire big IT consultant to develop system? As industry struggle to rise with fair price, IT startups become an attractive solution. That’s the competitiveness of IT startup in our current era, once again if we can leap over the gap.
A Time for Bold Moves
Technology implementers have great opportunities to exploit industrial need. Especially in global economy environment and economy turmoil nowadays, it is time to make bold moves. An Accenture report state “It is during turbulent times that companies can open up the greatest gaps between themselves and their competitors”. It is time to convince companies to make bold moves. It is time for IT startup to rise to serve as collaboration partner.
 Friedrich, et al. 2011. Measuring Industry Digitization: Leaders and Laggards in the Digital Economy. Booz & Company.
 Firstbrook, Caroline. 2009. A Time for Bold Moves. Accenture.
This topic is shared by Mr.Palgunadi T Setyawan. He is a great motivator with great track records. He has been leading on many industries. Currently, he works as commissioner in Adaro Energy Tbk. In this session, he emphasizes the need of value in our action.
Independent already or…?
Bung Hatta state that a person is liberated when that person can do utmost, smart, and sincere. That’s why we need to create this country Indonesia. It is to liberate all citizens one by one to become one independent country as our foundation state “Persatuan Indonesia” not “Bersatunya Indonesia”. We are still struggling to become independent right now.
A nation is identified by its behavior. Behavior reflects value we believe and culture reflect value in practice. If there’s something wrong in our nation’s value, it is hypocrisy. Without strong value, there won’t be any strong culture, and there won’t be any great cohesion in our country. We need to cover the gap of this cohesion by eliminating un-clarity, un-competence, and un-consistency.
Importance of Culture
A popular noodle in Indonesia do market study once and state that:
Noodle foundation: local taste.
Technology to create that taste
Marketing: price and container design
A scientist can help this country to create efficient technology. Yes we can. Yet, we need to remember the values that we believe in, the local taste. The value promised when this country is founded, “Persatuan Indonesia”.
Mr.Palgunadi is a great motivator. Many things he state can’t be crystalized in written form. But one thing to be noted that as long Indonesian scientists believe in our good value, there will always be a way.
This topic is shared by Mr.Eko Supriyanto. He is a great scientist with many innovations. Currently, he works as head of biomedical department in Universiti Teknologi Malaysia (UTM). In this session, he emphasizes the need of partnership between innovator and industry.
Learn from Malaysia
There are several points that we need to learn from Malaysia:
Malaysia allocate great budgetinresearch and development (around 600 Million rupiah used every year).
The professor in UTM must be an inventor and entrepreneur. Their basic function is not on teaching but encouraging students to innovate.
Certification of laboratory and products.
Important Point to Consider
We need to consider 8 points in innovating:
What’s the product we want to create?
Great team (lawyer, engineer, economist, etc.)
Whether the policies support innovation?
Put patent in every level of development. Be sure on the product safety.
Market your product fast in the right time.
Make good link on many segment,
Don’t forget about 3 pillars (government, scientist, business) and its interconnectedness. We can’t create everything by ourselves.
From Malaysia we learn the importance of budget, innovation, and certification. Let’s become the inventor ourselves. With the consideration of the factors and determination we can do it.
This topic is shared by Mr. Nurul Taufiqu Rochman. He is a nanotechnology scientist with great track record, both in industry and science world. Currently, he works in Indonesian Institute of Sciences (LIPI). In this session, he emphasizes the need of technology transfer from laboratory to industrial environment and how to start the connection.
Indonesia… Big potential?
After the Indonesia’s import channel activated back then, products are imported in crazy number. About 100 trillion rupiah used to import raw material only. Why must we import raw material? It is because we can’t produce the raw material ourselves. We have many scientists. We have many industries. Unfortunately, we also have much un-interconnectedness between them.
Problem and solution
So, what’s the main problem faced in our industries? The major problem revolved around technology and information. Many industries haven’t had right use of technology and haven’t informed about possibility to increase their process.
Look at this reality, what must scientists do then? It is simple, visit the industries. Mr.Nurul suggested that scientists must visit industries regularly and be creative in approach.
Scientist can give industry new value. Scientists can increase the efficiency of industrial process (especially in small medium enterprise), so scientists need to visit industry regularly to help industries get information and apply the right technology.
This topic is shared by Mr.Andreas Raharso. He currently works as Dean of Hay Group Global Research Center for Strategy Execution on International Indonesian Scholar Association Seminars. The purpose of his presentation is to emphasize that researcher is an important component in Indonesia current industrial environment.
Nearly all brand in our modern era start to diversify. McDonald starts to sell nice coffee while Starbucks starts to sell nice sandwich. Brands easily diversify to chase what other people chase and lose their own identity. That’s what commodization trap meant.
Scientist can free industry from this trap by give new insight. Scientist can give industry a new value to chase unexplored area.
Research is important
Gillette, once target India market as the expected market size is big. They conduct consumer behavior research on Indian people who live in America. The result, the product fails marketed in India. After bought by PnG, they do another research. Now, the researcher team flies to India to do rigor market research. For information, PnG also supported by 8000 scientists, 1000 doctor, 123 science discipline, spread over 72 countries. The result, now the Gillette product makes a big success in India.
Research is important in Industry to give value on product in industry, more important, to ensure industry sustainability. The question is simple, how we do it? Mr.Andreas emphasizes that big corporation like Unilever, GE, and IBM give a great attention to research division. The research division leader can report directly to CEO to determine method to increase company value.
Scientist can give industry great value. They can help industry chase new unexplored areas and make profit from there, yet scientist need to be respected. Scientist needs to get important place in current industry to ensure industry sustainability.
Yesterday, StudentsxCEOs team meets with Mr. Hasnul Suhaimi. As XL Axiata Tbk PT current CEO, apart from what I imagine before, he is a very analytical person. He had many business theories support him and guide him thru many decisions he took. Short, yet very inspiring. More detail about him can be seen at his blog, biography, and also XL website.
Indonesia Future Challenge
In near future, leaders in this country will be faced on 2 paths, entrepreneur or professional as there will be many opportunities arise about 10 years or so. We need to be tough enough, or die. Mr. Hasnul shares 3 insights on how to survive as be strong, adaptive, and had a solid team.
Symptoms, symptoms, and symptoms
We have many business problems, yet we need to be sure, whether they are symptoms or the main problem. We need to be wise on detecting the real problem. Business theories like Porter’s, Maslow’s pyramid, and so on can be used to detect problems and create solution for the symptoms. We need to be creative with approach without forget about knowledge we get in university.
Life as a CEO
Be a CEO, we need 4 major points. They are vision, reality check, solidsupport, and decision. Leader is the visionary person who led the way. Yet, on practical level, we need to know what the reality is. Something that is new for me is the importance of support. Support is very important, he emphasized. We can’t lean on glass, lean on solid rock instead! As CEO is decision maker, every decision can be good or bad. It is nice when the decision turn out to be good. But when things gone bad, make sure you have rock foundation to lean on. Find people who support and believe in you.
Decision maker… That’s what CEO does on daily basis. We need to be aware on how we decide with simple guidelines as identify the problem, analyze, select the best option, and implement the solution. Simple guidelines, yet often forgotten on our minds.
Mr. Hasnul also emphasized the importance of meeting and presentation. On meeting, be sure to focus, comment, ask, and contribute. While become a good meeting attendant is important, presentation skill also important. Learn to become a good presenter! He advised 4 points in presentation approach as speak not speech, eye contact, ask questions, and match the slide with speech.
Chat with Mr. Hasnul is such a great experience. Simply, his figure can be described in 3 points as smart, creative, and humble. He applied the business theories while experiment with many things. Yet he always emphasize that a leader must be humble. Become a leader, not a manager mean become a person who can initiate change because the member who want it, not the leader itself.
This is a great experience for me. Meet a great person that we saw in magazine before. So, you guys who want to meet great CEOs like what I had, check our website and Facebook fan page. And last thing, don’t miss the chance to become our guest stars =)