Engineering 90

1
Engineering 90
2
I am somewhere in Africa. Take EN90 because
Crawford is really cool! Are we still friends?
3
(No Transcript)
4
Introduction
Key Issues in the Information Age
5
Engineering 90
Ways of making effective decisions in managerial
situations with a significant technological
component.
Start-up
Corporation
Skills and knowledge applicable to both start-ups
and large corporate environments. Projects will
be more of the entrepreneurial type.
6
Brown University
Knowledge
Alumni
Remember Engineering 90
Remember your Engineering 90 Professor
Hard Work
Prosperity

• Graduation
• Hopes Dreams
• Energy

Accomplishment
Risk
Success
Applying Engineering 90
Engineering 90 Payoff
Experience
7
We are in the Third Wave
The Economic Evolution
Information Wave
Industrial Wave
Agricultural Wave
8000 BC - 1850
1850 - 1960s
1960s - present
Jeremy Tony Hope, Competing in the 3rd Wave,
Harvard Business School Press, 1997
8
(No Transcript)
9
(No Transcript)
10
Impact of the Information Age
Source The Internet Society (www.isoc.org)
11
Impact of the Information Age
Source The Internet Society (www.isoc.org)
12
Todays Competitive Landscape
Powerful and unpredictable consequences for
countries, businesses and individuals.

• Exploding technology

• Global market

• Government driven (deregulation)

• Changing force of competition

• Pattern of employment

• Rapid pace of knowledge is now the key resource

13
The Impact of Technology

• Creating wide range of new business opportunities

e.g. internet -- reaches millions of users
Electronic banking, education on demand, digital
photography, virtual shopping and virtual
factories

• Technology is creating new forms of organizations

Information based networks have changed the
economic equation
Development of alliances and economic partnerships
Fewer mergers, takeovers and conglomerates
Use network to coordinate supply and marketing
activities without owning them
14
Global Market

• Flow of money and information immediately.
  Corporations of every nationality are buying,
  selling, and investing in growth regions from
  around the world from a central computer.

• Marketing is leading to homogeneous buying
  patterns.

McDonalds arches are recognized everywhere.
Global shipping via internet.

• New regions of economic prosperity (East Asia)

1960
4
Malaysia is the largest semi-conductor producer.
world economic output East Asia
Today
25
15
Government Driven
Changing Governments

• Collapse of communism

• China economic power

• Emergence of East Asia

• Privatization of state-owned industries

Billions of new customers in East Asia
India
Eastern Europe
Deregulation

• Airlines

• Telecommunications

• Utilities

16
Changing Force of Competition
Traditional industrial boundaries are being erased
computing
software
?
Is Microsoft
communication
Industry
consumer electronics
information
Companies cover large industry spheres through
alliances and partnerships
ATT
Microsoft
E.g.
This is an emerging trend!
AOL
Netscape
17
Changing Pattern of Employment
Massification
Demassification
In the 1970s, 90 of people worked for
organizations, , career at company was a
lifetime commitment.
Smaller, more focused companies, entrepreneurs,
start-ups, spin-offs. Tightly focused companies.
18
Knowledge - Key Economic Resource

• Creative use of knowledge and technology.

2000
Intangible assets 2X tangible
American Companies
1980s
Tangible assets 2X intangible
Intangible - intellectual assets - skills and
capabilities of knowledgeable workers
19
Success in the 3rd Wave
World-Class Managerial Performance in Making
Knowledge Productive
20
Think Outside the Box
3 Types of Companies in the Third Wave
1. Rule Makers
who build the industry (IBM, CBS, United
Airlines, Merrill-Lynch, Sears, Coca-Cola)
2. Rule Takers
who follow industry (Fujitsu, USAir, Smith
Barney, JCPenny)
3. Revolutionaries
who rewrite the Rules (IKEA, The Body Shop,
Charles Schwab, Dell Computers, Swatch, Southwest
Airlines)
Never has the world been more hospitable to
revolutionaries and more hostile to industry
incumbants Gary Hamel
Gary Hamel, Strategy of Revolution, Harvard
Business Review, 70 1996
21
Killer Application (Killer App)
A new good or service that establishes an
entirely new product category, and by being the
first, dominates it, returning several hundred
percent on initial investment

• CDs
• Personal Computer
• Electronic fund transfer
• First word processing program

The Holy Grail of technology investors
Killer apps create wealth and can jump start
stale economies, but they can also be destructive
by bumping off other technologies and entire
companies
Downes and Min, Unleashing the Killer App,
Harvard Business School Press, 1998
22
New Product Development Project
You will prepare a new product concept/proposal
as your first product.
Think in terms of the 3rd Wave
- unique and creative killer app products in the
information age
THINK OUTSIDE THE BOX