Ley de Watson IBM

The Laws of the Digital Age: from Moore to Martec

Posted Leave a commentPosted in Digital Age, Digital business, Events, Strategy

I recently wrote about what I called Cyberlife, the third wave of the Digital Age. I was very happy to see that some presentations at the DES2018 in Madrid confirmed my insight and provided other perspectives about it. We are on the same page as there are clearly three waves under the overarching concept of Digital Age.

These waves are based on revolutionary technological developments according to IBM and David Farrell, general manager of IBM Cloud Watson & Cloud Platform. He organised the three waves based on some classic laws of the Digital Age: the first is a very known law that describes the doubling of microprocessing power roughly every two years (Moore’s Law, after Gordon Moore, from Intel). This a typical law of the cybernetics world. The second is Metcalfe’s Law, which states that the value of a telecommunications network is proportional to the square of the number of connected users of the system (n2). I had the pleasure to attend a conference with Robert Metcalfe in Brazil many years ago, he was a truly visionary. This is the law that governs the Cyberspace.

Finally, as a third trend emerges with AI. IBM describes its effects with another law/principle, the Watson’s Law, named after the company’s founder and its supercomputer. Currently the term is not fully adopted but this is the postulation and suggestion of IBM at this stage, which relates to the use and application of AI in business, smart cities, consumer applications and life in general. It makes sense, no doubt, and for me it is  basically the Law of Cyberlife.

Elementos del omni businessFor his part, Antonio Marín Rivals, director of KPMG in Spain, focused on creating value in the digital economy. For him, companies seek to offer an omni business experience to their stakeholders. I found KPMG’s division of omni business in four layers very interesting: Brand, Products and Services, Interactions and People. Marín Rivals pointed out that the role of people is key in this process of dramatic change that we are going to observe in the coming years with the increasingly digitalisation of every aspect of a company. Technological changes will influence internal and external operations, therefore they will also affect employees and consumers. The workforce and the marketplace are changing. New technologies will create new channels; new relationships will result in new behaviours.

Law of MartecI thought it was very interesting, in this sense, the slide presented by Scott Brinker, from Hubspot. Zooming in in the marketing area, he brought us a more specific law: the Law of Martec. Basically it describes that organisations change at a logarithmic rate, while technology advances at exponential speed. This explain one of the reasons why the challenge of marketing departments is so daunting to adapt to the new reality of a highly-intensive data-driven marketing. These departments are basically running against the clock and consequently capability-building and attraction of talent are high-priority items in the CMO agenda.

These different conferences indicate that there is a fundamental aspect of marketing decisions in the Digital Era that cannot be neglect: People. This reminds me Forrester and its POST method of digital strategy creation : people come first, then objectives, strategy and in the end the technology.

Carlos Victor Costa en Madrid

How the Digital Revolution is unfolding: notes from DES2018

Posted Leave a commentPosted in Digital business, Events, Future, Strategy

The Digital Revolution is a reality and in the DES2018 I saw it at full speed. I was at the DES2018 – Digital World Business conference held in Madrid last week and I can confirm that the social networking is old news. What is being discussed now is something else. There were three intense days leading speakers and excellent participation, with the topics focused on the new technologies that are already transforming the world: in short, companies and society in general must buckle up and be ready for important changes. It was an excellent event and could not ask for more: information and first quality network. It was worth the trip.

There was a great diversity of themes in the DES2018, but in the next posts I will share some ideas shared by key players in the digital landscape, and some lessons that caught my attention, namely:

  1. KPMG and IBM: the confirmation that we are entering a new phase of the Digital Age, as I mentioned in my post about what I call cyberlife, the third stage of this era.
  2. Accenture: the new marketing business to consumer, highly analytical, personalized and based on insights
  3. Opel: in an exclusive interview, let´s do a deep dive on the importance of analytics in business
  4. Mercer, the largest human resources consultancy, and the impact of digital in the business to business market and in people
  5. University of Berkeley: the challenges of Artificial Intelligence – amazing!
  6. Acalvio Technologies: the challenges of cybersecurity – scary!

Shall we start?