Showing posts with label Deficit. Show all posts
Showing posts with label Deficit. Show all posts

January 2, 2010

A New Decade, A New Time For Technology

As we enter the new decade starting with 2010, we should reflect on the last decade, learn from it, and redirect for a better future.

While the last decade surely brought much good to many, for our nation as a whole, it was a decade punctuated again and again by terror—wrought externally, but also from within.

These events range from the horrific events of 9/11/2001 to the failed attack on Flight 253 by the Underwear Bomber on Christmas day and the Taliban attack that took 7 unsung heroes of our CIA on December 30, 2009.

The fear of terrorism has swept through our society this past decade, so much so that we insist people remove their shoes at the airport for screening and are quick to mistake a photo shoot of Air Force One over the Statue of Liberty (just this past April) as another 9/11. The possibility of a terror attack, and especially with weapons of mass destruction, looms always in the back of our minds.

We have also experienced homegrown terrorism, such as the assassination of an abortion doctor in Wichita, Kansas and an attack at the U.S. National Holocaust Museum in Washington D.C. to name just a few.

As if all of this is not enough already, Americans have been deeply affected by other fearful events and issues:

· The Economy—From the 2001 bursting of the dot-com bubble and recession to the 2007 mortgage mess bringing us the worst financial recession since the Great Depression, we have seen foreclosure rates soar and unemployment rise to 10.2%. Too many of us now know the intense fear and also the reality of losing our homes and jobs.

· Health—Aside from traditional health concerns about cancer, heart disease, stroke and other diseases, this last decade we experienced concerns ranging from lingering concerns of Bird Flu to the newer variant of Swine Flu. We were constantly reminded of the potential of another deadly influenza pandemic such as the 1918 flu that killed 50 to 100 million people globally. People this last year lined up around the block for the H1NI vaccine, and delays in production and delivery of the vaccine caused even greater consternation among the populace.

· Energy—Oil prices peaked at $147.30 a barrel in 2008 before drastically receding. Overreliance of Mideast oil supplies, geopolitical disruptions, and natural disasters as well as peak oil fears all contribute to energy supply shortage fears and the move to alternate energy resources and energy independence.

· Global Competition—With the offshoring of U.S. manufacturing and the outsourcing of our job base, the recognition of the U.S. being surpassed as the economic superpower is on everyone’s mind, as the Wall Street Journal reported on January 2, 2010, “China is both making and eating our lunch.” We fear not only for our country’s future prosperity, but also for our ability and our children ability to earn a decent living anymore.

· The Deficit—With the trillion dollar wars in Iraq and Afghanistan, the cost of the Recovery Act and the new Health Care legislation, as well as ongoing critical entitlement programs such as Social Security, Medicare, Medicaid and so on, the national deficit has soared to over $12 trillion dollars and is about to hit the ceiling again. The viability of this deficit spending is sending shock waves through the American public who realize that at some point the bill must be paid.

· Environmental Issues—From addressing global warming to a green economy and the need for conservation, recycling and sustainable environmental practices, we have awoken to the fear of creating an environment that is no longer hospitable to human life, if we do not act to be better stewards of the planet.

This list is not meant to be comprehensive, but rather is meant to demonstrate the breadth and depth of issues to which we been exposed to fear, dread, and terror about our personal and national futures.

Further, the fear for the future that we experience is not meant to shut us down or demoralize us, but rather to direct our attention and redirect our energies to solving these critical dilemmas facing us all.

One of the biggest areas of hope that I believe we have is through technology. In fact, technology has been a major offset to the decade of terror that we have experienced. Through technology and the requisite cultural change, we have moved towards a society that is more connected, enabled, and informed. We have achieved greater information sharing, collaboration, transparency, and overall productivity. Advanced telecommunications, e-Commerce, online information resources, and entertainment have transformed our lives primarily for the better. Technology has helped solve some of the greatest challenges of our time—whether through biotechnology, food genetics, alternative energy, military defensive technologies, and hosts of engineering advances particularly through miniaturization and mobility solutions.

While we cannot rely on technology to solve all of our problems, we can use it to augment our intellectual and communications capabilities to better attack and resolve the challenges confronting us.

We are a strong and resolute people and we can overcome terror with religious faith, strong family and community, individual and national determination, sacrifice and innovation, all variety of technology (infotech, nanotech, biotech…), and the paradigm of continuous learning and improvement.

We have a unique opportunity in time to move from a Decade of Terror to a Decade of Peace—a peace of mind, body, and soul brought by a conquering of the terrorists found within and without. I believe that technology can and will be there to support us in this if we can change along with it.


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July 23, 2009

Cutting the Budget the Easy Way


Arnold Schwarzenegger , "the Terminator", definitely knows how to cut the budget--with a 2 foot long knife. Yikes!

But all kidding aside, while many critical services were cut to resolve a $42 billion budget deficit in the state of California, Governor Schwartzenegger manages to keep his cool. He posted this video of himself--combining some unique star humor with crowdsourcing--engaging people on new ideas to solve the crisis.

For The Total CIO, this is a great lesson in humility, working on difficult problems (no, not with a knife!), and reaching out to people with humor and passion to get the job done.

Good job Terminator!

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June 13, 2008

What Goes Around Comes Around and Enterprise Architecture

As an enterprise architect, I have always wondered about the trend of outsourcing our manufacturing jobs out of country-- where as a nation we erode our manufacturing base and ship this capability to China, India, Mexico, and other countries where labor is plentiful and cheap.

Yes, in the short term we are taking advantage of the lower costs of manufacturing in other countries, but long term, I always questioned the viability of this strategy thinking that surely every nation needs to maintain a core of critical manufacturing and service capabilities and infrastructure to guarantee self-sufficiency, protect itself from eventual global disruptions, and ensure the continuity of its existence.

I believe that some day (and maybe relatively soon), we will regret the near-sightedness of our decisions to move production abroad for the sake of the dollar today.

Interestingly enough, I read in the Wall Street Journal today, 13 June 2008, that “stung by soaring transport coasts, factories bring jobs home again.”

“The rising costs of shipping everything from industrial-pump parts to lawn mower batteries to living-room sofas is forcing some manufacturers to bring production back to North America and freeze plans to send even more work oversees.”

I thought to myself—Hallelujah!

No, I am not happy that oil prices are soaring and that inflation is looming everywhere, but I am cautiously relieved that perhaps, we as a nation will wake up in time to secure our economic interests at home and not send our entire manufacturing base and capabilities out of country.

Ironically (da!), the further we move our factories away, the more it costs now to ship the goods back home.

“The movement of factories to low-cost countries further and further away has been a bitter-sweet three-decade long story for the U.S. economy, knocking workers out of good-paying manufacturing jobs even as it drove down the price of goods for consumers. But after exploding over the past 10 years that march has been slowing. The cost of shipping a standard 40-foot container from Asia to the East Coast has already tripled since 2000 and will double again as oil prices head toward $200 a barrel…In the world of triple-digit oil prices, distance costs money.”

The other thought that always kept coming to mind was that as we continue to move manufacturing abroad, the increasing demand for labor would drive the cost of labor up, and eat away at the cost differential making the overseas move a moot point.

Again, I read today in the Journal the story I always felt was bound to be told and to continue to unfold: “The cost of doing business in China in particular has grown steadily as workers there demand higher wages and the government enforces tougher environmental and other controls. China’s currency has also appreciated against the dollar…increasing the cost of products in the U.S.”

One problem with trying to bring the jobs back home…

“Much of the basic infrastructure needed to support many industries—such as suppliers who specialize in producing parts or repairing machines—has dwindled or disappeared.”

What goes around, comes around. The jobs (some) are coming home (although net-net, we’re still losing manufacturing jobs). As a country, we‘ve benefited in the short-term from outsourcing, but in the long-term, I believe we’ll have done ourselves a good deal of harm.

Does this sound unfamiliar?

Think national deficit—big time. Think gargantuan problems with social security, Medicare, health care, and so on.

All too often, we behave with short-sightedness and like infants, the desire for immediate gratification. But as enterprise architects, I believe we need to think long term and often defer gratification for long-term competitiveness, self-sufficiency, and survival.


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