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How Companies are Building the Green Internet: GreenPeace Report

How Companies are Building the Green Internet: GreenPeace Report

The GreenPeace Report puts technology companies into groups of energy use: Dirty Energy, Middle Of The Road and Green Innovators. As an analyst, we talk a lot about the newest types of software, computers and gadgets of which need energy to run. And there is real resurgence of entrepreneurial spirit, where people are looking to feel satisfaction from the work they do and make the world a better place, rather than just tolerating brain-numbing work for the sake a of paycheck, only to find enjoy somewhere else. With all the enthusiasm also comes a great deal of energy use that we may or may not be aware of.

According to the Kaufman Index of Entrepreneurial Activity (KIEA), the entrepreneurial rate in the U.S. is already well above the dot.com bubble of 15 years ago. From social media to music, streaming video, email and commerce, we are increasingly moving much of our lives online. But which companies are storing all of that data, and how are they getting the energy? Here’s who hosts some of the internet’s most popular sites and services in their data centers – and whether those companies are using dirty or clean energy. Find out how you can participate by following the hashtags #clickclean and download the full report and take action for a green internet.

Three Types of Energy As the expansion of technology is continuously accelerating, we are also creating a world where more and more energy is be required. There’s a term called Dirty Energy, which means the focus is only on efficiency and the company has taken few or no steps to switch to renewables. And the there’s the Middle of the Road, which are the companies that are taking steps toward a greener internet, buy not leading the way. And then Green Internet Innovators are the groups that are committed to 100% renewable energy. Their leadership is helping to make our lives, online and offline, greener.

Clicking Clean How Companies are Building The Green Internet

Clicking Clean How Companies are Building The Green Internet

The Green Internet Innovators Here’s one of the companies that is on the side of the green internet innovators.  Apple’s aggressive pursuit of its commitment to power the iCloud with 100% renewable energy has given the company the inside track among the IT sector’s leaders in building a green Internet. Apple has made good on its pledge by building the largest privately owned solar farms at its North Carolina data center, working with its utility in Nevada to power its upcoming data center there with solar and geothermal energy, and purchasing wind energy for its Oregon and California data centers. Apple’s commitment to renewable energy has helped set a new bar for the industry, illustrating in very concrete terms that a 100% renewable internet is within its reach, and providing several models of intervention for other companies that want to build a sustainable Internet. Download the full report. (Full disclosure: I have a relative that works at Apple.)

 

 

 

 

Apple Energy Source 2013

Apple Energy Source 2013

 

How Facebook Uses Energy    Facebook continues to grow and dominate the global social media landscape with 1.23 billion monthly active users. Facebook has made huge strides forward since 2012 to become one of the clear green internet leaders. Radical improvements in transparency and efforts to deliver significant wind energy investment in Iowa have helped drive Facebook into the top tier of companies creating the green internet. By building on the advocacy it has started with energy utilities to drive more clean energy investment, and continuing to find ways to bring renewable energy to scale to power its data centers in North Carolina and Iowa, Facebook is setting a clear bar for other major social media networks and internet companies to follow.

How Facebook Uses Energy

How Facebook Uses Energy

How Google Uses Energy Google has continued to lead the major internet brands in purchasing renewable energy at scale to power its massive online ecosystem. The company is now reporting electricity consumption of 3,315 GWh, with 34% of its operations powered by clean energy. Google’s use of power purchase agreements to procure clean energy has been adopted by others in the sector, like Microsoft, and it has successfully influenced utilities in Oklahoma and North Carolina to offer new renewable energy options by using its immense business clout. As Google expands its footprint to Latin America and Asia, it will need to maintain its innovative edge to make sure that it continues to source clean energy even in countries that feature dirty electric grids.

Google Energy Sources 2013

Google Energy Sources 2013

Twitter falls between the types of companies that are clearly innovating in their use of energy sources and those that fall into the dirty energy collection. Twitter’s has changed the way people around the world communicate. Twitter does not yet own any data centers of its own, instead renting data center space from others. The microblogging platform has remained silent about the type and amount of electricity that is powering those data centers. Twitter remains at the bottom of the industry for energy transparency, disclosing no information about its energy footprint. Twitter lags behind its competitors in social media, Facebook, which took significant steps to increase transparency and increase its use of clean energy soon after it went public.

Twitter Energy Sources 2013

And on the side of the spectrum are copies that fall into the Stuck in dirty energy past ways of providing and using energy. One example is Digital Realty Trust (DRT)  which is the largest digital landlord in the world, with 131 data centers worldwide, roughly three-fourths of which are located in the US. Digital Realty operates on the wholesale end of the colocation spectrum, providing both entire data center properties to large customers like Equinix and Amazon Web Services, and also renting portions of facilities to meet the needs of large online properties such as Facebook, Rackspace, Salesforce, Google, Microsoft and Yahoo.

Digital Realtiy Energy Use 2013

So the question really is – as we build all this technology, are we really making the world a better place? We need / want technology to scale. But at what cost? CEO’s need to consider not only their new innovations in products and services, but also how they are leaving the environment. Are they leaving it in a better or worse state and at the end of the day, what’s the cost in the long run to these decisions.

@DrNatalie

 

 

 

 

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Future of Work Chief Executive Officer

Datameer CEO Goes With the Flow

Datameer CEO Goes With the Flow

1

I have the honor of a post in today's Harvard Business Review BlogHelp Your Employees Find Flow

HolacracyResults-Only Work Environments. These new, more flexible ways of working may be a step too far for many organizations. Still, greater employee freedom can create a better sense of “flow,” which enhances engagement, retention, and performance. This can be achieved by loosening your grip on work practices — but you don’t have to let go completely: remove obstacles, set boundaries and meaningful goals, then let work take its course.

Stefan Groschupf, founder and CEO of Datameer, a big data analytics company, talked with me about how he tries to reduce negative interruptions and increase “flow.” His industry is one of the most pressured to recruit and retain top talent. He’s finding that the organization is more productive (e.g., has more leads generated in marketing or has engineers moving through projects more quickly) with active management of interruptions and engagement to enhance flow.

Please take a look at the full post as Stefan Groschupf provides some great insights. Two things I loved about our conversation:

  1. He can test his beliefs given Datameer's focus on data-driven business. They are always tracking results. This isn't flow for the sake of flow. It's flow for the sake of business.
  2. When I asked him about examples related to my ideas of you can lead by letting go, he didn't back off. For him, it's about the work. This seemed to parallel the "Lead, Follow, and Get Out of the Way," conversation I had with Marc Klein, Event Manager and Associate Principal at Populous. The addition of technology may give leaders more confidence in their ability to keep track of the work process, and thus, enable them to let work go with the flow, rather than needing to keep a death grip on the business. 

 

Future of Work Innovation & Product-led Growth Chief Executive Officer Chief People Officer

Increase your IT Funding by Drawing More, a Core Competency for Every CIO

Increase your IT Funding by Drawing More, a Core Competency for Every CIO

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A few months ago, Jay Ferro and I (Chief Information Officer at American Cancer Society) did a webinar with Frost and Sullivan.

We touched on communication skills, culture, getting innovation right, getting people right, and learning the commercial and value oriented lingo.

Something profound about communicating value as a CIO dawned on me after I subconsciously somewhat bold made the following statement:

I have yet to have pitched an idea or supported a project where if I did a good enough job and everyone understands it, it still didn’t get funded.

The bottom line is it’s not that we don’t have enough funding in the organization; it’s that we’re not articulating the value of the technology projects enough.

After I realize what I said on a recorded webinar and how it might have sounded sounded, I started to think through the “how” to make sure I can stand behind such a bold statement. I can. What was the secret sauce to pitching (and getting funded) large transformation IT projects?

I arrived at one conclusion, I DRAW EVERYTHING. I am notorious for pitching multimillion-dollar projects with a simple single image, and with a high percentage getting them funded.

And so I really started to dig into it, what are the three things that I can suggest to CIOs, to help them really embrace the notion of drawing. Here it goes.

1. USE CARTOONS

The video below is one of my favorite YouTube videos; it mixes sound, writing, images and visual. Cartoons are easy to draw, and your audience is willing to engage because they assume that it is not “baked” as yet, this allows them to own the shaping and framing of your proposal garnering the much needed "ownership capital" technology investment governance committees often need. The reality is, photos, or PowerPoint shapes (no matter how good you are) can never precisely tell a story the way a cartoon can.

2. USE PASTEL COLORS

I can’t tell you how many times I review presentations where the colors are the sharp reds and greens from the stock Microsoft Office palette. Many times the content is brilliant, and the visuals are digestible, but the mere use of “rookie” colors, you send a certain “rookie” tone for the content.

The image below is an illustration I did to show what I mean.

3. USE TRANSPARENCY & SINGLE HUE

It is one thing to use pastel colors, it’s another thing to use colors carefully.

I learned this after realizing approximately 1 in every 12 male is colorblind (the numbers are different for females). Colors can be a double-edged sword, you want to use tones to differentiate not for impact, but colors to impact. I made the example below.

So going back to the conversation I had with Jay, and Frost and Sullivan; If one of the more important things for CIOs in Life Sciences to do is communicate the value of a technology transformation and visuals are such a big part of said communication; should a CIO be taking some art/design lessons on the side?

Is there such a thing as visual literacy training for CIOs?

As usual, thank you for sharing, and do not hesitate to join the conversation. Be critical!

  1. What are some of your tricks?
  2. What are some of your best practices?
New C-Suite Future of Work Tech Optimization Innovation & Product-led Growth Chief Executive Officer Chief Information Officer

A Guide to the New Actions and Objects of the Digital Workplace

A Guide to the New Actions and Objects of the Digital Workplace

In the Constellation Research report, Segmenting Audiences By Digital Proficiency, we introduced the idea of categorising people by a combination of their comfort and skill level with technology instead of by age. One of the things that contributes to a person's knowledge and comfort is an understanding of the current terminology used in the digital workplace, in this case specifically social networking.

Not long ago the main tools people used at work for communication were email and chat, and the main actions associated with those were Reply and Create Memo. In the era of social networking, employees now need to be familiar with terms like @mention, hashtag, check-in, follow, like and share.  

As a compliment to the Digital Proficiency report, Constellation has just published A Guide to the New Actions and Objects of the Digital Workplace.  This report provides a glossary of the items that digital workers should be familiar with, supported by examples from several consumer (ex: Facebook, Twitter) and enterprise social networks (ex: Jive, IBM Connections). It also covers the strengths and weaknesses of email versus social networking, and provides guidance on how employees should prepare for and use the new tools and actions now available to them.

Example:


Table of Contents
- Out with the Old, In with the Social
- Whatâ??s Wrong with Email?
  - Restricts audiences
  - Creates formatting challenges
  - Lacks useful integration
- Understand the New Nouns and Verbs
- How Does This Affect My Job?
- Quick Start Guide

Click here for more information on A Guide to the New Actions and Objects of the Digital Workplace, the first in a series of add-ons reports that build upon the Digital Proficiency framework.

Future of Work Marketing Transformation New C-Suite Next-Generation Customer Experience Innovation & Product-led Growth Tech Optimization Revenue & Growth Effectiveness Digital Safety, Privacy & Cybersecurity Chief Customer Officer Chief Executive Officer Chief People Officer Chief Information Officer Chief Marketing Officer Chief Digital Officer Chief Revenue Officer Chief Human Resources Officer

Making Friends and Influencing People

Making Friends and Influencing People

1
 

Some light reading for your Easter weekend, this time courtesy of those clever folks at We Are Social Singapore. This easily digestible deck on social media debunks some of the many myths and provides “10 commendments” – things that you could do if you were so inclined. My favourite? “Be in it for the long term”. After all, after we get engaged, surely we expect a deeper commitment, right?

 

Marketing Transformation Innovation & Product-led Growth Chief Marketing Officer

Constellation Publishes “Big Privacy”, the New Data Privacy Protocol for Big Data

Constellation Publishes “Big Privacy”, the New Data Privacy Protocol for Big Data

Big Privacy report cover“Big Privacy” calls on Big Data businesses to exercise restraint and transparency, and offer consumers fair value for data

San Francisco, CA - April 11, 2014 - Constellation Research, Inc. the research and advisory firm focused how disruptive technologies transform business models announced today the publication of “Big Privacy Rises to the Challenges of Big Data” by Constellation Vice President and Principal Analyst, Steve Wilson. This ‘Big Idea’ research report introduces “Big Privacy” - a new pact between data miners and end users that calls on digital businesses to exercise restraint and transparency in their collection activities, and offer end users fair value for their data. 

Wilson’s report identifies the strengths and weaknesses of today’s Data Privacy rules, citing how the dynamic nature of modern Big Data challenges the static nature of conventional data protection. The benefits of “Big Privacy” extend beyond the consumer. Wilson notes, ““Big Privacy” benefits digital businesses as adoption of this pact helps avoid privacy breaches, and maintain the trust of an increasingly anxious customer base”.

This report reveals:

  • Many Big Data and digital businesses collect and analyze data on the assumption that raw data in the "public domain" is up for grabs, and that data collectors own the fruits of data mining. However, ownership is irrelevant, and data analytics results are still subject to Privacy Laws. 
  • Personally Identifiable Information (PII) is often interpreted narrowly to mean credit card data or health records. However, in most jurisdictions (even the United States) PII is defined very broadly, and can include raw data even before it is identified.
  • There is no prohibition anywhere against collecting PII; “Big Privacy” calls on businesses to engage in fair and transparent collection.
  • Privacy-savvy organizations appreciate that Big Data must benefit the business and the end user.  To maintain customer trust and to avoid international compliance risks, Constellation calls for a new data privacy pact, “Big Privacy”:  
  1. businesses should be restrained in how they use data analytics
  2. honor the value of users’ Personal Information
  3. be open about Big Data business models.

 

Comments on the report – Steve Wilson, report author, Vice President and Principal Analyst

“In my advisory work over the years I've found time and time again a blind spot among technologists as to data privacy. There is a well-meaning slogan ‘Privacy is not a Technology Issue’ but technologists too often think that means privacy is not for them.  The misconception is amplified by a bit of a myth (or wishful thinking) that the law has not kept up with the technology. It’s really very surprising how technology-neutral data privacy laws deal neatly with so many of the current controversies in cyberspace – like face recognition, natural language processing, DNA hacking, Augmented Reality, and so on. Privacy design principles like Data Minimization have a great deal in common with information security. So there’s a lot here for IT professionals to sink their teeth into. I’m really optimistic that we can help innovators see privacy in a clear new light. Surely we have to get this right as we plunge into Big Data and the Internet of Things.”

This report fits into Constellation’s business-focused research themes of Data to Decisions, Matrix Commerce and Next Gen Customer.

About Steve Wilson

Steve Wilson is Vice President and Principal Analyst covering digital identity, privacy and cyber security. Steve’s current research focuses on the evolution of identity online, the move from static privacy safeguards to dynamic information safety, and the challenges of Big Data and the Internet of Things

Coordinates
Profile: http://constellationr.com/users/swilson
Twitterhttps://twitter.com/Steve_Lockstep
Linkedinhttp://www.linkedin.com/in/lockstep
Geo: Sydney, Australia

The Report
“Big Privacy Rises to the Challenges of Big Data” https://www.constellationr.com/research/big-privacy-rises-challenges-big-data

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Infor moves to the cloud with innovation and (micro) vertical flavor

Infor moves to the cloud with innovation and (micro) vertical flavor

We had the opportunity to attend the Infor Innovation Summit in the company’s beautiful Manhattan headquarters. It was impressive to see that the complete management team took the time to spend the day with a group of 50 or so analysts.
 
 

We learnt a lot from Infor – as expected – and as pretty much nothing except for sensitive customer information was under NDA – we had a lively tweet stream collected here.

Here are my top 3 takeaways from the fully packed day:


  • From Soho to Gramercy Park – A little more than a year ago, Infor presented a new user interface paradigm called Soho – after the hip Manhattan neighborhood. It was the first result of its acquisition of design agency Hook & Look and was a promising new user interface. Contrary to sceptics expectation, Infor managed to bring this user interface to all of their go-forward products – making Infor’s products one of the most consistent user interfacince experiences in the industry. Interestingly Infor is not resting on its laurels and the creative team has come up with a new paradigm – code named Gramercy Park (which, as I learnt, is an even more desirable New York neighborhood). And the new paradigm looks improved to the current Soho paradigm, it’s a responsive design (no surprise) – and operating on very high fidelity across devices. And UI techniques like progressive reduction have not been seen in enterprise software (at least by me) – so far. I was also impressed by the normalization of screen types, a technique that not only helps product development, but also the user as interaction becomes consistent and the application behaves as expected. So credit goes to Infor not to tune Soho with little improvement steps – but to go to the next level of user interface. Few vendors innovate on a new UI after a year or so already.

Picture of the new Infor Gramercy Park UI paradigm

  • HCM leads – As expected the most complete and advanced major automation block (Finance, HR, Purchasing, Manufacturing, and CRM) is Infor HCM. With assets from Infor, Lawson, Enwisen, the recent acquisition of Peopleanswers – it is not only a complete HCM suite, but it also has a consistent user interface – one of the few complete HCM suites to feature that. Behind the scenes though a lot of work remains, Infor has largely solved the integration via ION. But again, instead of taking a breath, Infor is actively re-writing key HCM automation functionality on its go to technology stack. Adding more science – as Infor calls it – to the HCM process is a generally welcome addition and differentiating move to HCM. This summer Infor will ship its CloudSuite Corporate product – which is formed by Financials and HCM and will see its HCM suite fully run in production on AWS. A true innovation in the enterprise software space – as no other vendor (to my knowledge) offers to run production of a major automation block on a public cloud service. Even though not all functionality is harmonized and unified, Infor still deserves credit for this innovative move.
Picture of Infor's HCM Marketecture
  • From (Microsoft) to Open Source and AWS – As with all vendors with acquired portfolios, Infor has accumulated a staple of technology stacks over time. The most recent consolidation (about 3 or so years ago) was around a Microsoft centric technology stack. But consolidating on a single technology stack is not trivial and Infor did not conclude that process. Instead of that Infor has re-calibrated its technology stack strategy with a focus on open source. COO Murphy ran us through the pro and cons on the database side – and in this area – as in all others – the open source option win out –in this case PostgreSQL / EnterpriseDB. With a JBoss / Tomcat based presentation and application tier and utilization of either AWS for cloud or RedHat for on premises installs, Infor has completely moved to open source on the technology stack side.
 
Picture of ION capabilites
 
  • At the heart of Infor’s technology stack is ION, which was introduced the other year and started out as a file broker (maybe a not giving it enough credit) that allows Infor and 3rd party applications to declare and transfer data feeds in a XML format. Infor was shrewd to not position ION as more – but now it is becoming more, gaining the capability to also invoke APIs on the data it transports. Worth to mention that these APIs will be able to be invoked both locally and remotely. And this makes a lot of sense for Infor, given the expected hybrid deployment scenario of their customers. But it also means that Infor no longer has to replicate functionality, but can start putting functionality into one place and maintain it in one place only, too. This next release of ION is supposed to ship summer this year. And with that ION becomes more than ever the key integration technology for Infor customers. 

 


MyPOV

Good progress by Infor. Building a new technology stack, re-writing core applications is not an easy feat while having 70k customers – even if you are a large startup (as Infor often refers to themselves). And Infor prides itself of going the last mile for their customers, building deep vertical – even microvertical functionality, that very few to no competitors build out. Certainly not (for now) Infor’s larger competitors SAP and Oracle. That behind the scenes not everything is yet as clean as it should be is largely glossed over by innovative and consistent UIs and with the ION capability to connect systems data – and soon also functionality.

My largest concern for Infor remains that it will step into the too custom, too vertical trap – but the vendor’s executives are aware of that risk and say they have an eye on it. Their line of defense are customer advisory boards and extensive vertical experience inside of Infor.

Finally Infor deserves credit to move production instances to AWS, which helps the company to save substantial CAPEX (it hopefully puts into more product R&D). We will see how that works out in the near future – but in the meantime kudos to Infor.

 
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You can find a Storify Tweet collection here.
 
 
More of Infor from me:


  • Market Move - Infor runs CloudSuite on AWS - Inflection Point or hot air balloon - read here.
  • Inforum 2013 – Takeaways from the Keynote – Day 2 – read here.
  • Infor’s bet on microverticals – the good, the bad the ugly – read here
 

 

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Transitioning Your Marketing and Customer Experience Strategies to Digital

Transitioning Your Marketing and Customer Experience Strategies to Digital

"Marketing is the first line of customer engagement." What does that even mean? Join us to find out.

It's no secret that the proliferation of digital consumer and enterprise technology is driving dramatic disruption of traditional business models. Roles are changing, responsibilities are changing, and expectations are changing. Position yourself and your organization to take advantage of these technology-driven paradigm shifts.  

Join R "Ray" Wang, Paul Greenberg, Natalie Petouhoff and Peter Kim for a discussion about how new technologies disrupt traditional marketing and customer experience models. They will reflect on their takeaways from this year's Adobe Summit, discussing how developments at the Summit demonstrate a general paradigm shift in marketing and customer experience, and how that shift will affect customers, partners, and marketers in general. The session closes with actionable advice for marketers and customer officers.

You will learn:

  • How digital disruption is impacting customer experience and marketing
  • How revelations at Adobe Summit 2014 impact customer experience, digital marketing, and matrix commerce
  • Insights from 1:1's and conversations at Adobe Summit
  • Advice on how to kick start your organization's digital transformation

Who should attend:

  • CMOs, marketing officers
  • Social media professionals
  • Customer experience professionals

 

Speakers

R "Ray" Wang

CEO, Constellation Research, Inc.

Peter KimChief Strategy Officer, Constellation Research, Inc.Peter Kim Headshot
Natalie PetouhoffVice President and Principal Analyst, Constellation Research, Inc.
Paul GreenbergPresident, The 56 Group

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Big Privacy: The New Standard for Big Data Privacy

Big Privacy: The New Standard for Big Data Privacy

I've just completed a major new Constellation Research report looking at how today's privacy practices cope with Big Data. The report draws together my longstanding research on the counter-intuitive strengths of technology-neutral data protection laws, and melds it with my new Constellation colleagues' vast body of work in data analytics. The synergy is honestly exciting and illuminating.

Big Data promises tremendous benefits for a great many stakeholders but the potential gains are jeopardised by the excesses of a few. Some cavalier online businesses are propelled by a naive assumption that data in the "public domain" is up for grabs, and with that they often cross a line.

For example, there are apps and services now that will try to identify pictures you take of strangers in public, by matching them biometrically against data supersets compiled from social networking sites and other publically accessible databases. Many find such offerings quite creepy but they may be at a loss as to what to do about it, or even how to think through the issues objectively. Yet the very metaphor of data mining holds some of the clues. If, as some say, raw data is like crude oil, just waiting to be mined and exploited by enterprising prospecters, then surely there are limits, akin to mining permits?

Many think the law has not kept pace with technology, and that digital innovators are free to do what they like with any data they can get their hands on. But technologists repeatedly underestimate the strength of conventional data protection laws and regulations. The extraction of PII from raw data may be interpreted under technology neutral privacy principles as an act of Collection and as such is subject to existing statutes. Around the world, Google thus found they are not actually allowed to gather Personal Data that happens to be available in unencrypted Wi-Fi transmission as StreetView cars drive by homes and offices. And Facebook found they are not actually allowed to automatically identify people in photos through face recognition without consent. And Target probably would find, if they tried it outside the USA, that they cannot flag selected female customers as possibly pregnant by analysing their buying habits.

On the other hand, orthodox privacy policies and static user agreements do not cater for the way personal data can be conjured tomorrow from raw data collected today. Traditional privacy regimes require businesses to spell out what personally identifiable information (PII) they collect and why, and to restrict secondary usage. Yet with Big Data, with the best will in the world, a company might not know what data analytics will yield down the track. If mutual benefits for business and customer alike might be uncovered, a freeze-frame privacy arrangement may be counter-productive.

Thus the fit between data analytics and data privacy standards is complex and sometimes surprising. While existing laws are not to be underestimated, we do need something new. As far as I know it was Ray Wang in his Harvard Business Review blog who first called for a fresh privacy compact amongst users and businesses.

The spirit of data privacy is simply framed: organisations that know us should respect the knowledge they have, they should be open about what they know, and they should be restrained in what they do with it. In the Age of Big Data, let's have businesses respect the intelligence they extract from data mining, just as they should respect the knowledge they collect directly through forms and questionnaires.

I like the label "Big Privacy"; it is grandly optimistic, like "Big Data" itself, and at the same time implies a challenge to do better than regular privacy practices.

Ontario Privacy Commissioner Dr Ann Cavoukian writes about Big Privacy, describing it simply as "Privacy By Design writ large". But I think there must be more to it than that. Big Data is quantitatively but also qualitatively different from ordinary data analyis.

To summarise the basic elements of a Big Data compact:

  • Respect and Restraint: In the face of Big Data's temptations, remember that privacy is not only about what we do with PII; just as important is what we choose not to do.
  • Super transparency: Who knows what lies ahead in Big Data? If data privacy means being open about what PII is collected and why, then advanced privacy means going further, telling people more about the business models and the sorts of results data mining is expected to return.
  • Engage customers in a fair deal for PII: Information businesses ought to set out what PII is really worth to them (especially when it is extracted in non-obvious ways from raw data) and offer a fair "price" for it, whether in the form of "free" products and services, or explicit payment.
  • Really innovate in privacy: There's a common refrain that "privacy hampers innovation" but often that's an intellectually lazy cover for reserving the right to strip-mine PII. Real innovation lies in business practices which create and leverage PII while honoring privacy principles.

The report: "Big Privacy" Rises to the Challenges of Big Data"

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Ultimate’s UltiConnect - Off to a great start, but the road(map) is long

Ultimate’s UltiConnect - Off to a great start, but the road(map) is long

We attended the Ultimate Software user conference, UltiConnect, held over three days at the Bellagio hotel in Las Vegas. With over 2000 attendees it was the largest user conference for Ultimate yet – and with that always comes a positive basic vibe. Both customers and employees are encouraged by seeing more attendees being there than in the year(s) before – always a good proof point of vendor success. And Ultimate just passed a revenue milestone with US$ 400M in revenue in its last financial year.



My top 3 takeaways from the Day 1 keynote have been blogged already here – so let’s look at the additional takeaways from UltiConnect.

A rich roadmap

Ultimate is not shy of laying out an ambitious development agenda. The company already built a new recruiting module, first presented at the HR Tech show in fall of 2013 (my takeaways are here). Consequently a new Onboarding module is coming, key to keep the applicant and new employee experience consistent. As if not enough on the Talent Management side – Ultimate plans to ship a new Compensation Management module this year, too. 
 
Roadmap slides as presented in the UltiConnect Product Keynote




But Ultimate is not only operating on the sundeck – but is also going back to the HCM engine room with a revision of the employee / person model and the addition of a new person rules engine. And even one level deeper Ultimate will add additional cloud integration services, allowing customers to tie their Ultimate HCM product together with other cloud services. On that note it is key to account for Ultimate’s customization framework, too – which allows significant but robust configuration and customization of its implementations.

Moreover Ultimate plans to expand its analytical capabilities with a high performer and high potential predictor, next to its already existing flight risk predictor. On the handheld product side Ultimate is adding time clock capability to the existing and acquired (with EmployTouch) capabilities of the Touchbase mobile device. Last but not least Ultimate accounts for the globalization trend with the addition of 40 localizations and more languages.


More to come in 2015

And Ultimate does not plan to slow down in 2015. On the Talent Management side Performance Management will be improved as well as Succession Management. The new Onboarding module of this year will receive global capabilities as well as the [Personnel] Developer module. By 2015 Ultimate should also have seen enough traction on its new Recruiting module to ship analytical capabilities for Sourcing and new hire predictors. 
 
The Talent Gateway in UltiPro
Additionally Ultimate plans to make new Workforce Management and Workforce Planning modules available next year. And the new employee / person model will be bolstered by new Organizational Management and Modelling capabilities.

And last but not least the company plans to add additional localizations and new languages (Chinese being mentioned).

New Onboarding

We had the chance to take a look at the new Onboarding functionality and the module looks well designed, easy to use and most importantly in synch with the user experience of the recently release Recruiting module. That makes it a consistent user experience for new hires, which is certainly desirable. It was also encouraging to see more density in the HTML5 user interface, a trend we see overall in the industry and welcome as most of the early HTML5 user designs were featuring a lot whitespace and an excessive need of scroll navigation. 
 
Screenshot of the new Onboarding Solution
 
Needless to say the new Onboarding module features sequential navigation and guides the new hire through the necessary steps to onboard. Also not surprising the compliance / tax side is well covered with Ultimate having a strong DNA on the payroll and compliance side. Ultimate is still getting feedback from usability testing with clients so the module is not fully finalized, but will ship later in the year. 


Real Analytics make a difference

It was very valuable to get an insight into the work that Ultimate is doing on the analytics side. First of all it's key to state that Ultimate is providing real analytics - those analytics who do something or at least suggest something (the current offerings are mainly in this area). With the current retention predictor Ultimate has catered to the still popular topic of flight risk. It is good to see that Ultimate tests the prediction quality and keeps tuning the models (not disclosed) behind the predictor. Not surprisingly Ultimate is expanding the data its models will run on - a good step for a young analytical model. 




As a next analytical model Ultimate is adding a high performance predictor, which complements the retention predictor nicely - as enterprises may not worry too much about low performers exhibiting a high flight risk. 


New Technology Stack moves in the right direction

In parallel to the rich functionality agenda, Ultimate has also embarked into the creation and adoption of a new technology stack. The new Recruiting module has already been built on this new technology stack. So Ultimate has not only provided the stack and has it working, it also has mastered the probably larger challenge of operating old and new stacks in parallel while maintaining a seamless user experience. And while the details of the new technology stack were under NDA, both database, application and user interface technology choices are robust and should deliver well. 




As with all HCM vendors we see a departure from proprietary technology stacks to more open source technology components – and Ultimate is no exception here.
 

Usability, usability, … key for successful HCM

Ultimate is also not resting on the so important usability aspect of HCM software. You can get architecture, functionality right, sell and implement customers – but if user adoption is weak or slow – not only vendors are in trouble – but also the executives who made the buying decision for that vendor. 


The new UltiPro homepage

With its people first DNA Ultimate is making a strong push for persona driven usability approach. It is good to see the company equally embracing an agile, iterative approach to UI development, allowing customers to test drive the new UI concepts and provide direct feedback. The familiar approach seen in the industry of here it is, use it - is mostly an approach from the past. In conversations with customer it was clear, that they value the approach and are thrilled to be part of the process. A good place to be.

Excited and loyal customers are an Ultimate Asset

The other key impression for me was how loyal (almost devoted) Ultimate customers are to the vendor and to the company values. Usually you find more engaged customers visit user conferences, but UltiConnect had a higher portion of highly satisfied and motivated customers than other conferences we have attended in the last quarters. Maybe it’s the longer term perspective that Scott Scherr takes to building an organically grown company, and the sincerity and tradition to people first values. For example, very few companies pay 100% of benefits for their employees.

Implications, Implications

Implications for Ultimate customers

It is always exciting to see the vendor of choice making progress and innovating at a rate like Ultimate is. But that should not carry customers away, they still need to look at the cost benefit equation of adding new modules or countries to a roll out plan. Customers should also take advantage of the new sandbox capabilities that Ultimate has added – it is always good to see software, and maybe even use it on small but representative scale – before customers decide to implement (and pay for) it. Customers should have an eye on the user experience remaining consistent and if inclined, should participate actively in the usability projects Ultimate is undertaking. When Ultimate will replace existing functionality on its new technology stack, customers need to make sure that key functionality they have been using and continue to use, is available on the new platform.

Implications for Ultimate competitors

Ultimate makes no secret of the fact that it invests consistently over 20% of revenue into R&D.. That allows for an ambitious roadmap that competitors need to try to match. We also see Ultimate with an aggressive sharing of the roadmap (as well as Ceridian, that recently shared till 2016), forcing competitors to start providing a longer term outlook, too. Competitors may not like that, but customers (and prospects) certainly value the longer term perspective (and commitment), which allows them to align their internal HCM rollout plans and transformation needs with the product roadmap of their vendor.

Implications for Ultimate

Ultimate is off to a good start to build out its next generation offerings. It is now execution time and key to keep the momentum going to fill the ambitious next years with highly functional and working software. The company should maintain its eye on differentiation as it has done with the new Recruiting module. Easier said than done, especially when the clock is ticking – and we will see with the next deliverables if Ultimate cannot only deliver new – but also differentiated new software functionality in the HCM automation arena.

MyPOV

A great user conference for Ultimate. Very loyal customers were a last important observation – I have never seen so many customers wearing the conference shirt ever, and on a closing day. Nonetheless great advertising and customers willing to wear a vendor shirt on a travel day is certainly a strong loyalty testament.

Ultimate now needs to show it can deliver quality product for the next quarters to come – not only from a technical, but also a differentiation perspective. It will also have to address the Learning component of Talent Management (right now partnering e.g. with Infor) and some components in its functional landscape that maybe coming of age in the not too distant future.

But Ultimate is off to a good start and now needs to deliver consistent intermediary times for the long race with a modern, user base engaging and functional complete suite across Core HR, Payroll, Talent Management and Workforce Management.

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More on Ultimate from me:
  • First Take – 3 Key Takeaways from Ultimate’s UltiConnect Conference Day 1 keynote – read here.

 

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