Showing posts with label RIM. Show all posts
Showing posts with label RIM. Show all posts

July 5, 2012

RIM Is Doomed

Judge David Young of Court TV has a frequent saying that "Denial is not a river in Egypt."

When it comes to Research In Motion (RIM) the maker of the traditional organization mobile Blackberry device, denial now seems on par for their course.


On Tuesday (3 July 2012), the new CEO of RIM, Thorstein Heins was quoted as saying "There's nothing wrong with the company as it exists right now."


Yet since Mr. Heins took over RIM in January, the company's stock is down 50% and is down more than 90% from it's mid-2008 highs.


BlackBerry continues to lose out to stronger competitors like the iPhone and Android. On May 25, Digital trends reported in an article called "Poor BlackBerry" on IDC's 2nd quarter 2012 marketshare numbers for Smartphones with Android at around 60%, iPhone at 23%, and Blackberry at a mere 6%.


Further the new Blackberry 10 has been twice delayed, and RIM announced it's first operating loss in eight years, as it plans to downsize 5,000 employees (or a third of its workforce).


In the self-help industry, it is frequently said that the first step to getting better is to recognize that you have a problem.


In the case of RIM--we are looking at a company that unfortunately is either playing it too cool to be real with their customers and the marketplace, or they are in a deep and dangerous case of utter denial.

Either way, unless RIM takes decisive action soon--and that means first and foremost, coming to terms with their predictment and second, coming out with some major new disruptive technology for the mobile marketplace--they are doomed to the annals of tech history.

(Source Photo: here with attribution to Steve Jurvetson)

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February 9, 2010

Why The Customer Should Be The Center Of Our Professional World

It’s intuitive that organizations should manage oriented to serve their customers, because it’s the customers who keep them in business. Yet, in the name of “shareholder value,” many organizations continue to put short-term results at the forefront of their decision-making and this ends up damaging the long-term success of the organization to the detriment of its owners.

Harvard Business Review, January-February 2010, in an article called “The Age of Customer Capitalism” by Roger Martin states that “for three decades, executives have made maximizing shareholder value their top priority. But evidence suggest that shareholders actually do better when firms put the customer first.”

The author continues: “Peter Drucker had it right when he said the primary purpose of a business is to acquire and keep customers.”

Clearly, we serve our customers in the service of our mission. Our mission is why we exist as an organization. Our mission is to provide our customers with products and/or services that satisfy some intrinsic need.

The equation is simple:

Shareholder Returns = f (Customer Satisfaction)

Shareholder returns is a function of and positively correlated with customer satisfaction, as HBR notes. If we serve our customers well, the organization will thrive--and so will the owners—and if we do this poorly, the organization will die—and the owners will “lose their shirts”.

The problem with concentrating exclusively on stock price is that we then tend to focus on short-term returns versus long-term results, and the shareholder ends up worse off in the end.

“The harder a CEO is pushed to increase shareholder value, the more the CEO will be tempted to make moves that actually hurt the shareholders…short-term rewards encourage CEOs to manage short-term expectation rather than push for real progress.”

The article cites companies like Johnson & Johnson and P&G that “get it.” They put the customer first and their shareholders have been rewarded handsomely—“at least as high as, if not higher than, those of leading shareholder-focused companies.”

One good example of how J&J put customers first is when in the 1982 Tylenol poisonings, in which seven Chicago-area residents died, J&J recalled every capsule in the nation, “even though the government had not demanded it.”

Another good example in the article is Research in Motion, the maker of the BlackBerry. They recognized the importance of the customer versus the focus on the shareholder and already “in 1997, just after the firms IPO, the founders made a rule that any manager who talked about the share price at work had to buy a doughnut for every person in the company.” The last infraction by the COO had him delivering more than 800 doughnuts—the message was heard loud and clear.

These examples are in seemingly stark contrast to the recent handling by Toyota of its brake problems, in which there has been delayed recalls and the government is now investigating. As The New York Times (8 February 2010) reported: “The fact that Toyota knew about accelerator deficiencies as far back as December 2008 “raises serious questions about whether car manufacturers should be more forthcoming when they identify a problem, even before a recall,” said Robert Gifford, the executive director of the Parliamentary Advisory Council for Transport Safety, a nonprofit group that seeks to advise British legislators on air, rail and road safety issues.” Note: this is out of character for Toyota, which historically has been a car company known for its quality and safety.

As a long advocate for User-centric Enterprise Architecture, I applaud the organizations and the people that put the customer first—and by this, I mean not by words alone, but in deeds. It is easy to put the customer into our mission and vision statements, but it is another to manage our organization with a true service creed.

While the HBR article emphasizes short-term shareholder value as main culprit diverting us from a positive customer-focus, there are really numerous distractions to realizing the vision of a customer service organization. Some examples include: organizational politics that hinder our ability to accomplish our mission; functional silos that are self-serving instead of seeking the best for the enterprise; certain egocentric employees (a minority) that put personal gain or a lack of strain above a service ethos; and of course, greedy and corrupt individuals that seek to profit at the expense of the customer, perhaps even skimping on product quality and customer service, thereby even endangering health and safety.

While most people are essentially good and seek to do the right thing, the organization must put in place controls to ensure that our focus is never distracted or diminished from our customers. These controls include everything from establishing values, policies, processes, requirements management, product development, training, testing, measurement and reporting, and best practices implementation in order to ensure our finest delivery to the customers, always.


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May 10, 2009

Are We Getting Any Closer To Unified Messaging

The Holy Grail in communications has always been the drive to unify our messaging (data, voice, video) into a single device.

To this day, we continue to see vendors developing consumer products that combine as many of these functions as will possibly fit on a device.

For example, with the traditional copy machine, we have migrated to “all in one” devices that have copy, fax, scan, and print features. At the same time, cell phones have morphed into Personal Digital Assistants (PDAs), and have brought together traditional voice telephony with email, chat, web access, GPS, photos, videos, and an almost endless array of applets.  Similarly, computers are converging communications functions for email, voice over IP, photos, videos, social networking, and much more. While televisions are merging in features for web access, movies on demand, and so forth. 

Convergence is the name of the game--the consumer wants more functionality, more communications capability, more raw computing power, in single, smaller, and sleeker devices.

Ultimately, the vision for mobile communications was first epitomized by the Star Trek’s Communicator with universal language translation and later by the communications badge that with one tap put you in touch with Scotty who could beam you up to the Enterprise in a flash.

So with all the convergence in our communications gear, are we getting any closer to bona fide unified messaging systems?

I don’t know about you, but rather than less communications devices, it seems like I have more and more to fiddle and diddle with. At least two cell phones that balance on opposite sides of my belt (one is my personal phone and the other my work device) and I still have regular landlines at both home and work. Then there is my work computer and my home computer and remote access devices like air cards, tokens, and so forth. Of course, I have Skype, numerous email accounts, FaceBook, Twitter, Blogs, digital cameras, and various printing/copy/faxing/scanning devices to choose from. With various devices in just about every nook and cranny of my work and personal space, I’d say that my ability to community is certainly extensive, but unified, simple, user-centric—I don’t think so!

Government Computer News, 4 May 2009, reports: “Like the paperless office, unified messaging—storing and accessing various types of communications, from e-mail to voice mails, faxes and videos, in a single place—has been something of a chimera.”

With unified messaging, like the Holy Grail, it seems like the more we chase it, the more elusive it becomes.

Why?

Perhaps, we have a little bit of Moore’s Law running up against Murphy’s Law here. While the capability for us to do more computationally and functionally with ever smaller devices become greater and greater, the possibility of getting it all to work “right” becomes a greater and greater challenge. Maybe there are limits to how many functions a person can easily understand, access and conveniently control from a single device.

Think for a second about the infamous universal TV remote that has become the scorn of late night comedy. How many people get frustrated with these devices—all the buttons, functions, alt-functions, and so on that no reasonable person seems to care to learn. Or think about the 2 inch think operating instruction booklet that comes with the DVD player or other electronic devices that people are scared to even break the binding on. Then there are the PDA’s with touch screen keypads that you see people fat-fingering and getting the words all wrong. The list goes on and on.

Obviously, this is not user-centric architecture and it doesn’t work, period.

The consumer product company that gets “it”—that can design communications devices for the end-user that are functional and powerful with lots of capability and as close to unified as possible, but at the same time simple, compact, convenient, and easy to use (i.e. intuitive) will crack this unified messaging nut.

We cannot sacrifice ease of use for convergence!

Apple and RIM, in my experience, have probably come closest to this than any other consumer electronic companies, but even here it is a magnificent work-in-progress unfolding before our eyes.

I, for one, can’t wait for the Star Trek communications badge to become commercially available at the local Apple store. 


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