THE WELCH COMPANY
440 Davis Court #1602
San Francisco, CA 94111-2496
415 781 5700



October 7, 1999

04 00069 61 99100701




Mr. David S. Vannier
Director
david.s.vannier@intel.com
IA-64 Product Planning
Intel Corporation
2200 Mission College Blvd; Mail Stop SC12-507
Santa Clara, CA 95052 8119

Subject:   Risk Management

Dear Dave,

Hope you are getting caught up and integrated into the flow of things on your new assignment.

Paradigm shift for the millenium...

The biggest risk in all forms of enterprise is communication.

Dialog and documents to "expedite" increase the risk of delay. Email to ensure "understanding" increases complexity exponentially that is hidden beyond span of attention. Increasing communication compounds mistakes into problems and then into catastrophy everywhere, every day, all day long. Space ships crash on Mars, ships sink at sea, doctors replace the heart instead of the liver, all because communication is not aligned.

Is it something in the water?? Is it new math??

No, it's...

meaning drift


In short, the human mind forms meaning based on context, and the constant flow of information changes context. Stated another way, the human mind can maintain alignment for only about one minute. This is a huge risk due to information overload, that is hidden because impact and cost are deferred, and often borne by others. However, Intel technology, used in the right way to manage context, can maintain alignment to reduce the risk of error for everyone, including Intel.

Nasa's recent snafu may relate to Intel's work. Cost and schedule metrics are traditional methods that reveal the results of mistakes after they occur. Adding metrics to communication is more powerful, because before work is performed, there is a lot communication. Maintaining alignment of communication therefore eliminates mistakes before they occur.

Let's discuss proactive risk management.

Sincerely,

THE WELCH COMPANY



Rod Welch
rowelch@ibm.net


Copy to:

  1. Morris Jones