May 2007

Two Tribes

May 31, 2007 Innovation

If you remember the Frankie Goes To Hollywood single of the same name as the title you’ll also know it was a proxy for the old Cold War. Today, Frank aka The Gadget Guy has a wonderful clip of Bill Gates and Steve jobs discussing the early history of personal computing. If, like me, you grew up in that era you will know this is way more than kumbaya. This is a watershed. The IT industry is changing in radical ways that will (and are) impacting our lives in less than subtle ways…. This industry needs to change and move forward from what is looking increasingly like a moribund, milk the user mindset to one where service really does matter. I welcome that. It represents the birth pangs of a new kind of industry.

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The human mashup and a Nokia N95

May 31, 2007 Innovation

I struck a deal of which VInnie would be proud – but still tell me he could have done a better deal.I bought the toy over e-Bay because shop prices for network free devices in Spain are ridiculously high – check El Corte Ingles at €735 and even worse Madrid Airport Duty Free at €930…. One reason I stick with them is that despite relentless innovation, Nokia has held fast in the way it organises and presents core functionality…. It struck me the N95 might make for a reasonable compromise between a high end camera phone and a Crackberry Blackberry Pearl…. For immediate consumption, I downloaded GMail, GoogleMaps, Fring, FWD (FreeWorldDialup) and a sweet Gmail to Mac Address Book Importer 2, along with the Nokia iSync plug-in for the Mac. Fring is especially interesting because it lets you use wifi to make calls to other Fring users completely free of charge, including data transfer charges. You can also set it up to access your Skype, GoogleTalk and Twitter accounts providing what amounts to an all-in-one communications environment…. These are very popular in EU but not so much in the US. FWD is a free SIP dialup service so that just got thrown into the mix…. Can you imagine the reduction in communications costs if all your mobile staff had Fring accounts?

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Let's talk governance, risk and compliance – kerrching.

May 31, 2007 Uncategorized

The last days have seen some fierce debate among some of my colleagues around the area of governance, risk and compliance or GRC in SAP-speak…. James piece was followed by a light hearted dig by Vinnie Mirchandani.I find the title of James post worrying: SAP Grocks Governance Risk and Compliance: the new ERP…. Somehow I don’t think so.Vinnie’s position is that if SAP (or anyone else for that matter) is claiming to help protect my enterprise from falling foul of regulation or the ministries of the likes of Greenpeace then the vendor is adopting the position of insurer and should behave accordingly – and expect to be sued in the process.

…The counter argument may be the potential for audit cost savings but there is precious little evidence of auditors prepared to moderate their costs.But then compliance doesn’t stop with audit and if SAP is trying to run the entire gamut then it is biting off a very big set of problems which might be worth some extra.In an additional post, Thomas draws attention to Hackett Group research, suggesting that best practice companies have reduced relative financial compliance cost…. But then there are plenty of other providers out there offering solutions to that problem.Since US companies in particular have already been through the torture of SOX compliance, I doubt they’d be inclined to re-implement procedures that already exist…. Why else do you think there is a UK tax amnesty in place for those hiding assets abroad?Most errors don’t occur because of systems failure – at least not these days…. That’s why we have audits.I’ve seen some of the questionnaire stuff SAP has in place and I wonder whether there is a risk of over controlling. Where for example are the systems that will help you figure out whether a process is over controlled?Rather than taking a fire blanket approach, isn’t it better that GRC be assessed from a quality perspective that allows companies to evolve?

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I don't (quite) get it

May 30, 2007 Uncategorized

The results of an ICAEW sponsored survey claims:…one in ten UK fund managers and one fifth of US fund managers have more confidence in UK audited financial information than twelve months ago.20% of US fund managers and 20% of UK fund managers say that they have more confidence in US audited financial information over the same period.94% of UK fund managers who expressed a view had a great deal or a fair amount of confidence in UK audited financial information. 95% of US-based fund managers who expressed a view said that they had a great deal or a fair amount of confidence in US audited financial information.

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BT acquires Tiddly Wiki's owner. Please kill BT Tradespace

May 30, 2007 General

Jeremy Ruston has sold the company that owns TiddlyWiki, to BT and is joining the company as Head of Open Source Innovation. As Jeff Nolan says:Congratulations are well deserved, Jeremy did a great job building something that when you looked at Tiddlywiki closely is very disruptive.In the process, Jeremy has taken the wise decision to ring fence TiddlyWiki so as to preserve its open source goodness. That will keep everyone happy.Even so, I’m a little aghast at one thing Jeremy says:BT is becoming a remarkable thing: a truly internet-scale consumer company that doesn’t rely on owning “secret sauce” software for it’s business. At the most senior levels, there’s an appetite to embrace open source that wouldn’t disgrace a web 2.0 startup. I’ll be working with a great many talented and interesting people, and I’m looking forward to it immensely.Oh how I wish that second statement was truly represented at ground level. BT Workspace is a great idea, BT Tradespace is an abortion. Jeremy – first order of business. Kill BT Tradespace and knock them over the head with a Cluestick.

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More hilarity from ICAEW

May 30, 2007 Tax and Ethics

Reporting on why ICAEW is looking for a 4% subscription fee increase, an Institute spokesperson is referred to as saying:the inflation figure was traditionally taken from the consumer price index for the south east of England.I’m sure all those who don’t live in the south east will be mightily relieved to know that’s the case. And not, as Ken Frost has suggested, as a way to plug the £21.2 million hole in ICAEWs pension fund. (see page 27) Members need not fear a cash call – it seems ICAEW did rather a good job looking after the family silver as evidence by a significant uplift in the revaluation reserve. (page 30.)In the meantime, the ever refreshing Ken poses interesting questions. Here’s another couple. What on earth did they manage to spend close to £5 million on in the IT department? And why does the library only generate a miserable £32K a year?

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Infor acquires Hansen

May 30, 2007 General

Jason Carter notes that Infor has acquired public sector skewed revenue management specialist Hansen…. Hansen doesn’t do that piece and used to be an MBS partner until they elected to OEM financials from Agresso…. Will Infor end the agreement in favor of one of its ERP packages? That could pose some issues as Hansen is Windows based and much of the mess that is Infor runs best on the iSeries (though you can expect the company will claim integration via it’s “Infor Open SOA” program.Or perhaps this will prompt Infor to make a move to acquire Agresso as well…I’d be surprised…. Over the years, it has acquired a solid reputation as a business partner and at present is doing rather nicely. It’s seen as a mainstream competitor in UK public sector where it has done some extremely significant deals and has recently become innovative on its pricing model. When I speak with Agresso customers, they are universal in their praise for the way Agresso works hard on the relationship aspect as well as the way the software allows these organisations to operate in an agile and flexible manner…. The press announcement is documented at NetworkWorld.Agresso is a client and no, I don’t do flack work for them.

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Asking the wrong questions

May 30, 2007 Innovation

Simon Hurst asks whether the pantheon of web services could replace what professionals use today. A reasonable question until you get to the bit where he asks:But would web-based software provide sufficient functionality and compatibility?… Would a hybrid solution be the best answer?This is typical of the Pavlov’s Dog approach to software that has plagued business and the profession for more years than I care to count…. This is why Stephan Topfer is right when he says that software might as well be given away because the key is to concentrate on the service. What worries me more is that legions of professionals out there with their noses stuck to the grindstone of compliance work seem oblivious to the train wreck that Simon’s thinking epitomises…. I do however think that once they wake up to the fact that clients are seeing the world through fresh eyes then and only then will the penny drop. It will be at that point when the maintenance taps for incumbent providers will be turned off…. Which is why I’m interested to see how far MYOB can push its offshoring service delivery model.

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Software is free, service is not

May 30, 2007 General

Anshu Sharma has a thoughtful post commenting upon a free book by OpenWater about how today’s software is free, or very low cost, but that service is not…. The authors argue that we’re in an era where, with 14.9 million programmers around the world by 2008, the cost of software is much lower than in the past but that servicing software remains ridiculously expensive…. The software industry’s response to this is to consolidate – as in the case of Infor – and milk the user community as hard as possible for maintenance and support revenue. Or simply milk the community – as Sage does, leaving innovation to the open source and ‘free’ service communities…. Its solution to this seemingly intractable problem is to build what it terms service networks:Growth in service networks will result in unprecedented improvements in efficiency, predictability and reliability. Openwater has been founded to build service networks that use innovative technology born in the consumer Internet to help our customers realize these benefits…. Anshu is not so sure citing lack of incentive for some players, dependency on semantic tagging and competing with ‘free’ as significant challenges. I’d also argue that inertia and ingrained habit have relevance although increasingly I see more businesses questioning incumbent charging structures and gazing elsewhere for alternatives.

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