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The Changing Face of HR
Peter Cochrane
cochrane.org.uk
ca-global.biz
A C O N N E C T E D W O R L D
Unexpected behaviours and outcomes
ManAgement Struggle
G e n e r a l l y c o n f o u n d e d b y c o m p l e x i t y
Instinct and experience increasingly dangerous
Knee jerk management is always dangerous
Dynamic connectivity
and multi-species
non-linearity
L i m i t e d :
- A s s u m p t i o n s
- M e a s u r e s
- T h i n k i n g
- M o d e l s
- D a t a
E v o l v e d f o r a n s l o w c h a n g i n g
a n a l o g u e w o r l d - l i n e a r i t y
r u l e d & o u r m a t h w o r k e d
- b u t i t a l l c r a s h e s a b o v e
o r d e r ( 5 ) - c o m p l e x i t y
n o w r u l e s w i t h 1 0 s t o
1 0 0 0 s o f v a r i a b l e s -
a n d p e r h a p s w o r s e
w e c o p e w i t h < 5 - 7
s i m u l t a n e o u s i d e a s
“There are lots of simple
solutions to complex problems
and they are all wrong”
tyranny of THE SIMPLE
We are linear thinkers but the world is complex
p o l i t i c s
M a n a g e r s
E C O N O M I CS
“People love simple - it is so
obvious and doesn’t involve thinking”
T H E K i n g s
o f s i m p l e ?
Both are IT illiterate - they cannot
operate a computer and ‘boast’
their inability and ignorance !!!
These are not good leadership
qualities..
Technology
Ecology
d e p e n d e n cy J I GS AW
Economics
Society
Industry
Care
Markets
Trade
Education
Policing
Defence
Commerce
Security
Logistics
Finance
Government
Companies
W e h a v e n o m o d e l o r u n d e r s t a n d i n g
The BIG DATA DOMAIN links everything and records relationships and
patterns of behaviour - in doing so it creates vast amounts of data vital
to the modelling of the real world…
Law & Order
Defence
Education
Health
Institutions
Technology
Ecology
d e p e n d e n cy J I GS AW
Economics
Society
Industry
Care
Markets
Trade
Education
Policing
Defence
Commerce
Security
Logistics
Finance
Government
Companies
W e h a v e n o m o d e l o r u n d e r s t a n d i n g
The BIG DATA DOMAIN links everything and records relationships and
patterns of behaviour - in doing so it creates vast amounts of data vital
to the modelling of the real world…
Law & Order
Defence
Education
Health
Institutions
“ S o m e t i m e s W E m i g h t
o b s e r v e o r i n f e r s o m e
l i m i t e d r e l a t i o n s h i p s a n d
typify some characteristics
however AI can produce a
comprehensive analysis and
a much fuller picture and/
or model”
A X I O M S
V e r y o b v i o u s ?
H i g h l y o p t i m i s e d m a c h i n e s
s y s t e m s a n d c o m p a n i e s a re
brittle and prone to drastic
a n d u n c o m p ro m i s i n g f a i l u re
H i g h l y o p t i m i s e d m a c h i n e s
s y s t e m s a n d c o m p a n i e s a re
brittle and prone to drastic
a n d u n c o m p ro m i s i n g f a i l u re
I n c re a s e d e f f i c i e n c y l e a d s t o
increased br ittleness and
m o re f a i l u re s … .
…more data is a must for
a c c u ra t e b u s i n e s s m o d e l s
a n d wa r g a m e s …
….BIG and small DATA are
key to a more predictable
t h e f u t u re
Stop Over Optim ising
if you wa nt your
c o m p a n y t o s u r v i ve a n d
p ro s p e r
Av oid erroneous KPIs
and bonus driven
cultures
Embrace a data and
business model driven
approach
- P o l i s h i n g w h a t w e h a v e w i l l n o t r e a l i s e s u s t a i n a b i l i t y
- N e w m a t e r i a l s & m a n u f a c t u r i n g m e t h o d s a r e r e q u i r e d
- N e w d i s t r i b u t i o n , s u p p o r t a n d m a i n t e n a n c e r e g i m e s
- E n e r g y a n d m a t e r i a l u s a g e h a s t o b e m i n i m i s e d
- R e u s i n g , R e p u r p o s i n g , R e c y c l i n g , h a s t o b e r e a l
- E c o n o m i c s y s t e m s h a v e t o b e f i t f o r p u r p o s e
A X I O M S
Not so obvious?
C O M P A N Y C O L L A P S E
M a n a g e m e n t h u b r i s i g n o r a n c e
A great world leading company - what could
possibly go wrong ??
Did the board understand their technology
Did the board understand their market
Did they heed their own experts
Did they ‘eat their own dog food’
Did management assumed the style of ‘Gods’
Did they think themselves infallible/all knowing
Did they rely on instinct instead of facts and models
D E S T R O Y E D
C O M P A N Y C O L L A P S E
L o s s o f l e a d e r s h i p & m a n a g e m e n t
Another great world leading company - what
could possibly go wrong ??
They lost their leaders
They lost sight of their core values
They lost sight of their core mission
They lost their grip on technology and markets
They then drastically changed direction
The company core competences were lost
What is now left is smething much less than it was!
D A M A G E D
1884 - George Eastman patents photographic film on a roll
1888 - First film camera perfected
1892 - Kodak founded in Rochester, NewYork.
1900 - Brownie camera launched at a price of $1
1930 - Eastman Kodak launched on the Dow Jones.
1969 - Kodak film used on the Apollo 11 missions
1975 - The first company to build a working digital camera
1976 - 90% of photographic film and 85% of camera sales market
1994 - Kodak designs Apples first consumer digital camera
2004 - Stopped selling film cameras in the face of digital alternatives.
2005 - Largest seller of digital cameras in the US, revenue reaching $5.7Bn
2009 - Stopped selling 35mm colour film after 74 years of production.
2011 - Shares fell >80pc as it struggled to maintain market share
2012 - Files for chapter 11 bankruptcy.
L E A d e r
L a g g a r d
B A N K C R U PT
1884 - George Eastman patents photographic film on a roll
1888 - First film camera perfected
1892 - Kodak founded in Rochester, NewYork.
1900 - Brownie camera launched at a price of $1
1930 - Eastman Kodak launched on the Dow Jones.
1969 - Kodak film used on the Apollo 11 missions
1975 - The first company to build a working digital camera
1976 - 90% of photographic film and 85% of camera sales market
1994 - Kodak designs Apples first consumer digital camera
2004 - Stopped selling film cameras in the face of digital alternatives.
2005 - Largest seller of digital cameras in the US, revenue reaching $5.7Bn
2009 - Stopped selling 35mm colour film after 74 years of production.
2011 - Shares fell >80pc as it struggled to maintain market share
2012 - Files for chapter 11 bankruptcy.
L E A d e r
L a g g a r d
B A N K C R U PT
A s s i s t c o m p a n y t o
m u t a t e
f r o m
p r o d u c t i o n
&
s u p p l y
t o o
i n n o v a t o r
a n d
m a r k e t
l e a d e r w i t h
n e w
p r o d u c t s
H R
C H A L L E N G E ?
H R
C H A L L E N G E ?
H e l p
t h e
c o m p a n y
r e s p o n d
t o
t h e
p e n d i n g
d e s t r u c t i o n
o f
t h e i r
p r i m a r y
b u s i n e s s
m a r k e t
a n d
m o d e l
-1889:Time-recording equipment maker Bundy incorporated
-1896:The (punched card)Tabulating Machine Co incorporated.
-1918: CEO Watson becomes business icon, pioneering worker benefits
-1923: First electric key punch a big advance on mechanical systems
-1928: 80-column IBM punched card, 2x previous capacity introduced
-1931: IBM 400 accounting machines offer alphabetic data
-1932: IBM 600 performs multiplication and division
-1933: IBM acquires Electromatic Typewriters
-1944: Mark I, first machine to accomplish long operations automatically
-1946: IBM 603 first machine to offer electronic arithmetic circuits
-1948: IBM the Selective Sequence Electronic Calculator
-1952: IBM 701 first production electronic computer, featuring tape-drive
-1957: FORTRAN introduces as the main language for technical work
-1961: Selectric typewriter released later models offer memory and word processing.
-1964: IBM 360 Solid Logic Technology microelectronics
-1966: IBM's Robert Dennard invents the Dynamic Random Access Memory
-1969: IBM onboard computer used in first manned flight to the moon
L E A d e r
S u rv i vo r
i n n ovato r
-1971: Floppy disk is introduced to later becomes the PC data storage standard
-1975: IBM 5100 Portable Computer enters the market, 50 pounds priced at $9 to $20k.
-1981: IBM PC launched at $1,565, the lowest priced PC to date
-1984: IBM second-generation PC, runs on a 6MHz Intel 80286 processor
-1987: IBM PS/2is launched along with the OS/2 jointly developed with Microsoft
-1990: IBM 390 family, midrange machines and supercomputers
-1991:An annual loss of $2.82Bn, the first of three annual losses in a row
-1993: Louis Gerstner states his intention to keep IBM together as an integrated company
-1995:Acquires Lotus and Notes making IBM the world's largest software company.
-1995: Introduces the ThinkPad 701cm, which runs on the Intel 133MHz Pentium
-1996: Launch of the DB2 Universal Database, capable of querying alphanumeric data
-1997: Deep Blue supercomputer defeates Gary Kasparov Chess Master
-2002: Further strengthens services business with a $3.5 billion acquisition PWC Tech unit
-2005: Sold more than 20 million ThinkPads and sells business to Lenovo
-2011: IBM Watson artificial intelligence defeats TV Jeopardy game show champions
-2012: IBM Watson outguns medical doctors at diagnosis
-2013: IBM Watson APIs made public
L E A d e r
S u rv i vo r
i n n ovato r
A s s i s t
m u t a t i o n
f r o m
o n e
i n n o v a t i v e
b u s i n e s s t o
t h e
n e x t
b y
p r o v i d i n g
f l e x i b i l i t y
o f
r e c r u i t m e n t
a n d
e m p l o y m e n t
H R
C H A L L E N G E ?
H E A D I N G
Tow a r d a
T e c h i m p a ss e
Business cannibalisation
Search business model based on clicks
AI search business model based fewer clicks
Revenue collapse projected
Pending business collapse!
Diversification into new sectors
Driverless vehicles
Delivery drones
AI as a service
AI office
+++
H E A D I N G
Tow a r d a
T e c h i m p a ss e
Business cannibalisation
Search business model based on clicks
AI search business model based fewer clicks
Revenue collapse projected
Pending business collapse!
Diversification into new sectors
Driverless vehicles
Delivery drones
AI as a service
AI office
+++
C o n t i n u a l l y a d j u s t e m p l o y m e n t
a n d r e c r u i t m e n t m o d e l t o m e e t
a
v e r y
w i d e
&
d y n a m i c
r a n g e
o f a c t i v i t i e s &
b u s i n e s s e s
H R
C H A L L E N G E ?
Managing the resources of the planet by a
single parameter ($$) is never going to
work - it can only result in chaotic
economies & eventually a total
demise…we need far
more sophistication!
AX I O M AT I C
W e h a v e B I G D A T A
b u t w e n e e d B I G
U N D E R S T A N D I N G
Trying to manage the resources and
capabilities by a limited number of
KPIs and/or simple minded thinking
now guarantees failure..we need to
be far more sophisticated!
• Raw Data
• Meta Data
• Small Data
• B I G D a t a
E v e r y s e c t o r i s a w a s h / o v e r w h e l m e d
W hat w e HAVE TODAY
W h a t w e a c t u a l l y n e e d :
K n o w l e d g e & U n d e r s t a n d i n g
DATA Big & SMALL
Small Data
Focussed
Detail
Big Data
Macro-View
Relationships
Limited
C o n t a i n e d
C o n s t ra i n e d
Expanding
Tending to
T h e I n f i n i t e
Both important and dynamic
distribution
Automated & intelligent
distribution
Automated & intelligent
BIG DATA
Where has the package
come from and where is it
going ? Where is it now and
what does it contain ?
small DATA
The detailed product
history of how it was
created; where it has been
s t o re d a n d d e t a i l e d
handling history including
humidity, temperature, G-
force, damage +++
Item
Box
Pallet
Warehouse
Container
Supplier
Customer
O B S E RV AT I O N S
- Change is always a surprise
- It tends to come from an unexpected direction
- Mechanism tends to be novel and not anticipated
- Responding quickly is absolutely essential
- There is a BIG first mover advantage
F a v o u r s t h e A d a p t a b l e
W A R
G A M I N G
A r t i f i c i a l
I n t e l l i g e n c e
M
odelling
Com
puter
M at e r i a l
S c i e n c e
Clouds
B I G
D A T A
BYOD
BMOB
DIY IT
Sensors
Robots
C y b e r
Security
Nano
Bio
T H E B I G G A M E C H A N G E R S
IoT + Auto Immunity
Block Chain + Apps
EXPANDING HR FUNCTION
In an ideal world HR would be ahead:
Aware of tech progress & change
Providing management updates
Anticipating new applications
Following new social trends
Promoting new practices
Monitoring competitors
Using latest office tech
Watching the market
Identifying key staff
Helping the board
+++++++++++
++++++++++
O n e S I z e D O ES n ot F I T a l l
- Companies are seldom monolithic
- Technology change is challenging
- Competition never sleeps
- Solutions are dynamic
A D A P T A B I L I T Y
I S
K I N G !
Fa i l FA S T ! !
- Recognise failures quickly
- Respond & repair immediately
- Be ruthless in the action necessary
- Mid-course corrections generally work - reboot if needs be
- Evolution is not linear - it is chaotic with many false avenues
“Doing something, making
a decision is always better
than doing nothing”
H R : P E O P L E S K I L LS c h a n g e
Compensation
Recruitment
Compliance
Legislation
Training
Welfare
Safety
Cognitive
System
Complexity
Content
Processes
Social
Resources
Technical
Physical
Growing Stable Declining
2000 - 2025
E M P L OY M E N T: P R E M I U M S K I L LS
At a premium:
Leaders
Analysts
Specialists
Innovators
Generalists
Negotiators
Communicators
Educated managers
Complex problem solvers
Hard to find fixers:
Software
Electrical
Electronic
Mechanical
E M P L OY M E N T: T H E N O M A DS
Motivation:
Lifestyle
Freedom
Burn out
Excitement
Higher earnings
Self determination
Second career:
Do not want job !
Object to the routine
Seeking challenging work!
Do not want responsibility
A dva n c i n g t e c h n o l o g y
AI v Human Defeats:
Chess
Poker
Go
Debating
General Knowledge
Medical Diagnostics
+++
Robotics v Human Defeats
An endless list
D e m a n d s m o r e p e o p l e
‘Machines are good at dealing with vast
quantities of the expected”
“People are good at dealing with small
quantities of the unexpected”
When robots do all the work, how will people live?
Tom Watson
U K
I S
S H O R T
O F
2 0 0 k A N A L Y S T S
Analytics:
Veracity
Medical
Security
Big Data
Political
Networks
Economic
Genomic
Proteomic
Diplomatic
Complexity
++++
We are way past the point where humans can
analyse complexity even on a small scale !
Design:
Chips
Devices
Systems
Networks
Behaviours
++++
Knowledge:
Veracity
Linking
Creation
Curation
Searching
Selection
++++
A I : A p r i m a ry to o l o f i n n ovat i o n
N E W M a n a g e m e n t To o ls
- AI
- The IoT
- BIG DATA
- small DATA
- DATA Analytics
- Business Modelling
- War Gaming/Simulation
- The Cloud ?
- Block Chain ?
- Social Networking ?
- Behaviour Monitoring ?
- +++
E M P L OY M E N T: I N /o u t s o u r c i n g
Leaders
VisionariesNiche Players
Challengers
Completeness of Vision
AbilitytoDeliver
“Do what you do best
- outsource the rest”
The ability to solve problems
now trumps pure and isolated
academic attainment…
HR IMPLICATIONS: Hiring ??
Collaboration helps us
g e t a n i n c r e a s i n g l y
difficult balance right
dynamically !
AI and Robotics are the
new tools of many
professions
Multi-skilled people are
rare and at a premium
H R - B I G I M P L I C AT I O N S
- Point of production change
- Different business models
- Green agenda drivers
- Faster tech innovation
- New manufacturers
- New processes
- New skill sets
- New tools
- Greater accessibility & freedoms
- Changing people expectations
- More autonomy/less control
- Shorter projects/contracts
Thank You
cochrane.org.uk
ca-global.biz

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The changing face of hr

  • 1. The Changing Face of HR Peter Cochrane cochrane.org.uk ca-global.biz
  • 2. A C O N N E C T E D W O R L D Unexpected behaviours and outcomes
  • 3. ManAgement Struggle G e n e r a l l y c o n f o u n d e d b y c o m p l e x i t y Instinct and experience increasingly dangerous Knee jerk management is always dangerous Dynamic connectivity and multi-species non-linearity
  • 4. L i m i t e d : - A s s u m p t i o n s - M e a s u r e s - T h i n k i n g - M o d e l s - D a t a E v o l v e d f o r a n s l o w c h a n g i n g a n a l o g u e w o r l d - l i n e a r i t y r u l e d & o u r m a t h w o r k e d - b u t i t a l l c r a s h e s a b o v e o r d e r ( 5 ) - c o m p l e x i t y n o w r u l e s w i t h 1 0 s t o 1 0 0 0 s o f v a r i a b l e s - a n d p e r h a p s w o r s e w e c o p e w i t h < 5 - 7 s i m u l t a n e o u s i d e a s “There are lots of simple solutions to complex problems and they are all wrong” tyranny of THE SIMPLE We are linear thinkers but the world is complex
  • 5. p o l i t i c s M a n a g e r s E C O N O M I CS “People love simple - it is so obvious and doesn’t involve thinking”
  • 6. T H E K i n g s o f s i m p l e ? Both are IT illiterate - they cannot operate a computer and ‘boast’ their inability and ignorance !!! These are not good leadership qualities..
  • 7. Technology Ecology d e p e n d e n cy J I GS AW Economics Society Industry Care Markets Trade Education Policing Defence Commerce Security Logistics Finance Government Companies W e h a v e n o m o d e l o r u n d e r s t a n d i n g The BIG DATA DOMAIN links everything and records relationships and patterns of behaviour - in doing so it creates vast amounts of data vital to the modelling of the real world… Law & Order Defence Education Health Institutions
  • 8. Technology Ecology d e p e n d e n cy J I GS AW Economics Society Industry Care Markets Trade Education Policing Defence Commerce Security Logistics Finance Government Companies W e h a v e n o m o d e l o r u n d e r s t a n d i n g The BIG DATA DOMAIN links everything and records relationships and patterns of behaviour - in doing so it creates vast amounts of data vital to the modelling of the real world… Law & Order Defence Education Health Institutions “ S o m e t i m e s W E m i g h t o b s e r v e o r i n f e r s o m e l i m i t e d r e l a t i o n s h i p s a n d typify some characteristics however AI can produce a comprehensive analysis and a much fuller picture and/ or model”
  • 9. A X I O M S V e r y o b v i o u s ? H i g h l y o p t i m i s e d m a c h i n e s s y s t e m s a n d c o m p a n i e s a re brittle and prone to drastic a n d u n c o m p ro m i s i n g f a i l u re
  • 10. H i g h l y o p t i m i s e d m a c h i n e s s y s t e m s a n d c o m p a n i e s a re brittle and prone to drastic a n d u n c o m p ro m i s i n g f a i l u re I n c re a s e d e f f i c i e n c y l e a d s t o increased br ittleness and m o re f a i l u re s … . …more data is a must for a c c u ra t e b u s i n e s s m o d e l s a n d wa r g a m e s … ….BIG and small DATA are key to a more predictable t h e f u t u re Stop Over Optim ising if you wa nt your c o m p a n y t o s u r v i ve a n d p ro s p e r Av oid erroneous KPIs and bonus driven cultures Embrace a data and business model driven approach
  • 11. - P o l i s h i n g w h a t w e h a v e w i l l n o t r e a l i s e s u s t a i n a b i l i t y - N e w m a t e r i a l s & m a n u f a c t u r i n g m e t h o d s a r e r e q u i r e d - N e w d i s t r i b u t i o n , s u p p o r t a n d m a i n t e n a n c e r e g i m e s - E n e r g y a n d m a t e r i a l u s a g e h a s t o b e m i n i m i s e d - R e u s i n g , R e p u r p o s i n g , R e c y c l i n g , h a s t o b e r e a l - E c o n o m i c s y s t e m s h a v e t o b e f i t f o r p u r p o s e A X I O M S Not so obvious?
  • 12. C O M P A N Y C O L L A P S E M a n a g e m e n t h u b r i s i g n o r a n c e A great world leading company - what could possibly go wrong ?? Did the board understand their technology Did the board understand their market Did they heed their own experts Did they ‘eat their own dog food’ Did management assumed the style of ‘Gods’ Did they think themselves infallible/all knowing Did they rely on instinct instead of facts and models D E S T R O Y E D
  • 13. C O M P A N Y C O L L A P S E L o s s o f l e a d e r s h i p & m a n a g e m e n t Another great world leading company - what could possibly go wrong ?? They lost their leaders They lost sight of their core values They lost sight of their core mission They lost their grip on technology and markets They then drastically changed direction The company core competences were lost What is now left is smething much less than it was! D A M A G E D
  • 14. 1884 - George Eastman patents photographic film on a roll 1888 - First film camera perfected 1892 - Kodak founded in Rochester, NewYork. 1900 - Brownie camera launched at a price of $1 1930 - Eastman Kodak launched on the Dow Jones. 1969 - Kodak film used on the Apollo 11 missions 1975 - The first company to build a working digital camera 1976 - 90% of photographic film and 85% of camera sales market 1994 - Kodak designs Apples first consumer digital camera 2004 - Stopped selling film cameras in the face of digital alternatives. 2005 - Largest seller of digital cameras in the US, revenue reaching $5.7Bn 2009 - Stopped selling 35mm colour film after 74 years of production. 2011 - Shares fell >80pc as it struggled to maintain market share 2012 - Files for chapter 11 bankruptcy. L E A d e r L a g g a r d B A N K C R U PT
  • 15. 1884 - George Eastman patents photographic film on a roll 1888 - First film camera perfected 1892 - Kodak founded in Rochester, NewYork. 1900 - Brownie camera launched at a price of $1 1930 - Eastman Kodak launched on the Dow Jones. 1969 - Kodak film used on the Apollo 11 missions 1975 - The first company to build a working digital camera 1976 - 90% of photographic film and 85% of camera sales market 1994 - Kodak designs Apples first consumer digital camera 2004 - Stopped selling film cameras in the face of digital alternatives. 2005 - Largest seller of digital cameras in the US, revenue reaching $5.7Bn 2009 - Stopped selling 35mm colour film after 74 years of production. 2011 - Shares fell >80pc as it struggled to maintain market share 2012 - Files for chapter 11 bankruptcy. L E A d e r L a g g a r d B A N K C R U PT A s s i s t c o m p a n y t o m u t a t e f r o m p r o d u c t i o n & s u p p l y t o o i n n o v a t o r a n d m a r k e t l e a d e r w i t h n e w p r o d u c t s H R C H A L L E N G E ? H R C H A L L E N G E ? H e l p t h e c o m p a n y r e s p o n d t o t h e p e n d i n g d e s t r u c t i o n o f t h e i r p r i m a r y b u s i n e s s m a r k e t a n d m o d e l
  • 16. -1889:Time-recording equipment maker Bundy incorporated -1896:The (punched card)Tabulating Machine Co incorporated. -1918: CEO Watson becomes business icon, pioneering worker benefits -1923: First electric key punch a big advance on mechanical systems -1928: 80-column IBM punched card, 2x previous capacity introduced -1931: IBM 400 accounting machines offer alphabetic data -1932: IBM 600 performs multiplication and division -1933: IBM acquires Electromatic Typewriters -1944: Mark I, first machine to accomplish long operations automatically -1946: IBM 603 first machine to offer electronic arithmetic circuits -1948: IBM the Selective Sequence Electronic Calculator -1952: IBM 701 first production electronic computer, featuring tape-drive -1957: FORTRAN introduces as the main language for technical work -1961: Selectric typewriter released later models offer memory and word processing. -1964: IBM 360 Solid Logic Technology microelectronics -1966: IBM's Robert Dennard invents the Dynamic Random Access Memory -1969: IBM onboard computer used in first manned flight to the moon L E A d e r S u rv i vo r i n n ovato r
  • 17. -1971: Floppy disk is introduced to later becomes the PC data storage standard -1975: IBM 5100 Portable Computer enters the market, 50 pounds priced at $9 to $20k. -1981: IBM PC launched at $1,565, the lowest priced PC to date -1984: IBM second-generation PC, runs on a 6MHz Intel 80286 processor -1987: IBM PS/2is launched along with the OS/2 jointly developed with Microsoft -1990: IBM 390 family, midrange machines and supercomputers -1991:An annual loss of $2.82Bn, the first of three annual losses in a row -1993: Louis Gerstner states his intention to keep IBM together as an integrated company -1995:Acquires Lotus and Notes making IBM the world's largest software company. -1995: Introduces the ThinkPad 701cm, which runs on the Intel 133MHz Pentium -1996: Launch of the DB2 Universal Database, capable of querying alphanumeric data -1997: Deep Blue supercomputer defeates Gary Kasparov Chess Master -2002: Further strengthens services business with a $3.5 billion acquisition PWC Tech unit -2005: Sold more than 20 million ThinkPads and sells business to Lenovo -2011: IBM Watson artificial intelligence defeats TV Jeopardy game show champions -2012: IBM Watson outguns medical doctors at diagnosis -2013: IBM Watson APIs made public L E A d e r S u rv i vo r i n n ovato r A s s i s t m u t a t i o n f r o m o n e i n n o v a t i v e b u s i n e s s t o t h e n e x t b y p r o v i d i n g f l e x i b i l i t y o f r e c r u i t m e n t a n d e m p l o y m e n t H R C H A L L E N G E ?
  • 18. H E A D I N G Tow a r d a T e c h i m p a ss e Business cannibalisation Search business model based on clicks AI search business model based fewer clicks Revenue collapse projected Pending business collapse! Diversification into new sectors Driverless vehicles Delivery drones AI as a service AI office +++
  • 19. H E A D I N G Tow a r d a T e c h i m p a ss e Business cannibalisation Search business model based on clicks AI search business model based fewer clicks Revenue collapse projected Pending business collapse! Diversification into new sectors Driverless vehicles Delivery drones AI as a service AI office +++ C o n t i n u a l l y a d j u s t e m p l o y m e n t a n d r e c r u i t m e n t m o d e l t o m e e t a v e r y w i d e & d y n a m i c r a n g e o f a c t i v i t i e s & b u s i n e s s e s H R C H A L L E N G E ?
  • 20. Managing the resources of the planet by a single parameter ($$) is never going to work - it can only result in chaotic economies & eventually a total demise…we need far more sophistication! AX I O M AT I C W e h a v e B I G D A T A b u t w e n e e d B I G U N D E R S T A N D I N G Trying to manage the resources and capabilities by a limited number of KPIs and/or simple minded thinking now guarantees failure..we need to be far more sophisticated!
  • 21. • Raw Data • Meta Data • Small Data • B I G D a t a E v e r y s e c t o r i s a w a s h / o v e r w h e l m e d W hat w e HAVE TODAY W h a t w e a c t u a l l y n e e d : K n o w l e d g e & U n d e r s t a n d i n g
  • 22. DATA Big & SMALL Small Data Focussed Detail Big Data Macro-View Relationships Limited C o n t a i n e d C o n s t ra i n e d Expanding Tending to T h e I n f i n i t e Both important and dynamic
  • 24. distribution Automated & intelligent BIG DATA Where has the package come from and where is it going ? Where is it now and what does it contain ? small DATA The detailed product history of how it was created; where it has been s t o re d a n d d e t a i l e d handling history including humidity, temperature, G- force, damage +++ Item Box Pallet Warehouse Container Supplier Customer
  • 25. O B S E RV AT I O N S - Change is always a surprise - It tends to come from an unexpected direction - Mechanism tends to be novel and not anticipated - Responding quickly is absolutely essential - There is a BIG first mover advantage F a v o u r s t h e A d a p t a b l e
  • 26. W A R G A M I N G A r t i f i c i a l I n t e l l i g e n c e M odelling Com puter M at e r i a l S c i e n c e Clouds B I G D A T A BYOD BMOB DIY IT Sensors Robots C y b e r Security Nano Bio T H E B I G G A M E C H A N G E R S IoT + Auto Immunity Block Chain + Apps
  • 27. EXPANDING HR FUNCTION In an ideal world HR would be ahead: Aware of tech progress & change Providing management updates Anticipating new applications Following new social trends Promoting new practices Monitoring competitors Using latest office tech Watching the market Identifying key staff Helping the board +++++++++++ ++++++++++
  • 28. O n e S I z e D O ES n ot F I T a l l - Companies are seldom monolithic - Technology change is challenging - Competition never sleeps - Solutions are dynamic A D A P T A B I L I T Y I S K I N G !
  • 29. Fa i l FA S T ! ! - Recognise failures quickly - Respond & repair immediately - Be ruthless in the action necessary - Mid-course corrections generally work - reboot if needs be - Evolution is not linear - it is chaotic with many false avenues “Doing something, making a decision is always better than doing nothing”
  • 30. H R : P E O P L E S K I L LS c h a n g e Compensation Recruitment Compliance Legislation Training Welfare Safety Cognitive System Complexity Content Processes Social Resources Technical Physical Growing Stable Declining 2000 - 2025
  • 31. E M P L OY M E N T: P R E M I U M S K I L LS At a premium: Leaders Analysts Specialists Innovators Generalists Negotiators Communicators Educated managers Complex problem solvers Hard to find fixers: Software Electrical Electronic Mechanical
  • 32. E M P L OY M E N T: T H E N O M A DS Motivation: Lifestyle Freedom Burn out Excitement Higher earnings Self determination Second career: Do not want job ! Object to the routine Seeking challenging work! Do not want responsibility
  • 33. A dva n c i n g t e c h n o l o g y AI v Human Defeats: Chess Poker Go Debating General Knowledge Medical Diagnostics +++ Robotics v Human Defeats An endless list D e m a n d s m o r e p e o p l e ‘Machines are good at dealing with vast quantities of the expected” “People are good at dealing with small quantities of the unexpected”
  • 34. When robots do all the work, how will people live? Tom Watson U K I S S H O R T O F 2 0 0 k A N A L Y S T S
  • 35. Analytics: Veracity Medical Security Big Data Political Networks Economic Genomic Proteomic Diplomatic Complexity ++++ We are way past the point where humans can analyse complexity even on a small scale ! Design: Chips Devices Systems Networks Behaviours ++++ Knowledge: Veracity Linking Creation Curation Searching Selection ++++ A I : A p r i m a ry to o l o f i n n ovat i o n
  • 36. N E W M a n a g e m e n t To o ls - AI - The IoT - BIG DATA - small DATA - DATA Analytics - Business Modelling - War Gaming/Simulation - The Cloud ? - Block Chain ? - Social Networking ? - Behaviour Monitoring ? - +++
  • 37. E M P L OY M E N T: I N /o u t s o u r c i n g Leaders VisionariesNiche Players Challengers Completeness of Vision AbilitytoDeliver “Do what you do best - outsource the rest”
  • 38. The ability to solve problems now trumps pure and isolated academic attainment… HR IMPLICATIONS: Hiring ?? Collaboration helps us g e t a n i n c r e a s i n g l y difficult balance right dynamically ! AI and Robotics are the new tools of many professions Multi-skilled people are rare and at a premium
  • 39. H R - B I G I M P L I C AT I O N S - Point of production change - Different business models - Green agenda drivers - Faster tech innovation - New manufacturers - New processes - New skill sets - New tools - Greater accessibility & freedoms - Changing people expectations - More autonomy/less control - Shorter projects/contracts