THE WELCH COMPANY
440 Davis Court #1602
San Francisco, CA 94111-2496
415 781 5700
rodwelch@pacbell.net


S U M M A R Y


DIARY: October 8, 1993 10:45 AM Friday; Rod Welch

Reviewed article in Van Kasper newsletter on need for SDS.

1...Summary/Objective
......................Information Revolution
2...Personal Computer Liberates Managers?
3...SDS Core Knowledege Management Capability
...automated integration of time and information creates knowledge
..................convert information into knowledge
4...Information Revolution In Waiting
5...Question: What are we waiting for?
6...Answer: Ignition!
7...More Information = Reduced Productivity
8...This produces "information gridlock," fostered by "Executive Training"
9...More Knowledge = Increased Productivity
.....Cultural Inertia Impedes Progress
10...Spreadsheet for Knowledge Based on Connecting Information Over Time
11...Details a Must or a Curse?
...............Faster Better Cheaper
12...POIMS Ignites the Revolution
13...Investing Intellectual Capital - Connecting Information
.....The "information age" is drowning executives in a sea of details,
.....Accordingly, the best course for the boss is the golf course so


..............
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CONTACTS 
0201 - Van Kasper & Company                                                                                                                                               O-00000087 0201
020101 - Mr. Dale L. Ames
020102 - Private Brokerage

SUBJECTS
SDS Marketing, Customer Perceived Value
Automated Integration applying SDS/POIMS
Information Revolution v. Information
SDS Core Knowledge Enterprise Management
Context Management
Computer Aided Thinking
Computer Aided Management
Core Enterprise Knowledge Management Chronology SDS Intelligence
Enterprise Management

2111 -
2111 -    ..
2112 - Summary/Objective
2113 -
211301 - Follow up ref SDS 9 0000.
211302 -
211303 - When I was at Dale's office on Wednesday, I read through their
211304 - newsletter, "Van Kasper Review," July 1993, and found commentary on
211305 - business and economic trends that show significant market potential
211306 - for POIMS technology and SDS, based on a concept of adding value to
211307 - the "Information Highway," by providing a way to convert an exploding
211308 - environment of information into knowledge that is useful for daily
211309 - management.
211310 -
211311 -     [On 991221 webcast class to be held on "Unfinished Revolution."
211312 -     similar to analsis today. ref SDS 37 0001]
211313 -
211315 -  ..
2114 -
2115 -
2116 - Analysis
2117 -
211701 - Van Kasper cites trends toward reduced employment of traditional
211702 - "production" labor, and increased employment of "knowledge" or skilled
211703 - craftsmen, see ref OF 7 0471, as leading to higher US per capita
211704 - productivity arising from manufacturers automating production lines.
211705 - ref OF 7 8388
211707 -  ..
211708 - Van Kasper believes trends across the nation, and particularly in
211709 - California (see ref OF 7 4921), presage a change from the "Industrial
211710 - Revolution," ref OF 7 5027, to a new:
211711 -
211712 -
211713 -                      Information Revolution
211714 -
211715 -
211716 - ... and forecasts that access to information stored on computers will
211717 - be the driving force of productivity and wealth generation, into the
211718 - 21st century. ref OF 7 5028  The author proposes that abundant and
211719 - readily accessible information empowers people to become more
211720 - productive. ref OF 7 3071
211721 -
211722 -    [On 960304 Better productivity using computers a general library
211723 -    function to store and find information was posed originally by
211724 -    Vannevar Bush in 1945, and reviewed on 960304, ref SDS 26 H68K
211726 -     ..
211727 -    [On 960626 paperless office describes goals for using information
211728 -    on computers to improve productivity. ref SDS 29 4432
211730 -     ..
211731 -    [On 980613 "Information Revolution" cited in article in "Today's
211732 -    Engineer that reports goals for computers to improve productivity
211733 -    with a "virtual" and "paperless" office have not been realized.
211734 -    ref SDS 33 2070]
211736 -  ..
211737 - Van Kasper is incorrect. People need more than just information.
211739 -  ..
211740 - The human mind needs knowledge, and a way to convert the constant flow
211741 - of information into useful knowledge quickly and acurately, and then
211742 - retrieve it when needed.
211743 -
211744 -    [On 940509 article that supports need for stronger definition of
211745 -    "knowledge worker" than merely someone who has taken courses in
211746 -    school. ref SDS 15 0980]
211748 -     ..
211749 -    [On 940629 IBM's survey of executives also seems to support Van
211750 -    Kasper, ref SDS 19 2833.]
211752 -     ..
211753 -    [On 950909 Van Kasper's ideas reflect Hammer's reengineering theme,
211754 -    ref SDS 23 7499]
211755 -
211757 -  ..
211758 - Personal Computer Liberates Managers?
211759 -
211760 - Automating work to improve productivity is not a new idea (see for
211761 - example "Management: Tasks, Responsibilities, Practices," by Peter
211762 - Drucker, reviewed on 931130, ref SDS 10 3490), however, Van Kasper
211763 - seems to extrapolate from success in automating manufacturing
211764 - processes, that the personal computer will become a "liberating"
211765 - instrument for "knowledge" work, ref OF 7 3071 and ref OF 7 7205,
211766 - noting:
211767 -
211768 -     How business utilizes the sum of its knowledge workers will
211769 -     determine its productivity and profitability. It is truly a new
211770 -     revolution. ref OF 7 0481
211772 -  ..
211773 - Accordingly, it appears Van Kasper expects personal computers to
211774 - increase management productivity.
211776 -  ..
211777 - This will, however, require TWO (2) revolutions, not just one (1).
211778 -
211780 -  ..
211781 - SDS Core Knowledege Management Capability
211782 -
211783 - The first revolution requires new software tools for the creation and
211784 - use of knowledge, i.e., computer aided thinking, called out in POIMS.
211785 - ref OF 4 6528
211787 -  ..
211788 - The second revolution will require changing work practices by using
211789 - the new tools rather than conversation, intuition, and personal
211790 - recall.
211792 -  ..
211793 - On 880726 PIM software proposed to enable "paperless office" that
211794 - improves productivity with personal information management.
211795 - ref SDS 1 MH8N
211797 -  ..
211798 - Article in Byte magazine reported goals for "paperless" and "virtual"
211799 - office to improve productivity, reviewed on 910418. ref SDS 3 8848
211800 - Intel engineers presented objectives for using computers to improve
211801 - management, ref SDS 3 2744, and noted this will required innovations
211802 - in software design. ref SDS 3 UT7F
211803 -
211804 -       [On 990505 executive reported attitudes have to change in order
211805 -       to use SDS, ref SDS 34 4732, because managers feel adding
211806 -       intelligence to management is "off-the-wall." ref SDS 34 0778]
211808 -        ..
211809 -       [On 990527 strong cultural forces resist improving managemnt.
211810 -       ref SDS 35 1233]
211812 -  ..
211813 - Intel's Bill Rash noted in a Byte interview, April, 1991, reviewed on
211814 - 910418. ref SDS 3 2744
211815 -
211816 -     People are going to really think through.. these scenarios of what
211817 -     people do, and what kinds of technologies have to be integrated
211818 -     into a PC to really make everybody more productive and [do] less
211819 -     drudgery work on their computers.  And I think there's a lot to be
211820 -     done in the world of software. ref OF 1 8316
211822 -        ..
211823 -       [On 991025 analysis of article by Drucker on need for technology
211824 -       to support cognitive science indicates SDS is core capability
211825 -       for knowledge management. ref SDS 36 2250]
211827 -        ..
211828 -       [On 000106 explained computer aided thinking to Morris.
211829 -       ref SDS 38 1316]
211831 -  ..
211832 - Software to make technology useful for daily management is described
211833 - by Rash's colleague at Intel, Dave Vineer....
211834 -
211835 -     I'm looking for something that replaces this.  This is what I
211836 -     want. That means being able to tear things out and hand them to my
211837 -     secretary.  It means being able to draw pictures, it means being
211838 -     able to put in text, it means being able to keep my calendar, and
211839 -     everything else. So, this is how I live, and this is what I'm
211840 -     looking to replace. ref OF 1 8843
211841 -
211842 -        [On 950927 met with Dave Vinear about presenting his ideas to
211843 -        PMI's Asilomar Conference, on using technology to improve
211844 -        management. ref SDS 24 4106, ref SDS 24 8943  Dave advised this
211845 -        goal has not been reached. ref SDS 24 7732]
211846 -
211848 -  ..
211849 - Intel, thus, impliedly proposes a new paradigm to liberate
211850 - management....
211852 -    ..
211853 -   automated integration of time and information creates knowledge
211854 -
211855 - ....in short, technology must help people.....
211857 -                   ..
211858 -                  convert information into knowledge
211859 -
211860 -
211861 - ....faster, better and cheaper.
211863 -  ..
211864 - This the path to a "Knowledge Revolution" that extends the power of
211865 - human intellect beyond the limits of information technology.
211866 -
211868 -  ..
211869 - Information Revolution In Waiting
211870 -
211871 - Intel's view of the need for better software, is echoed by Jim Manzi,
211872 - CEO Lotus Development, who contends computers have NOT improved
211873 - management productivity, despite the investment of a trillion dollars
211874 - over the past 10 years on new information technology. ref OF 2 4992
211876 -  ..
211877 - This challenge is sharpened by Van Kasper's vision of a revolution in
211878 - waiting:
211879 -
211880 -     We are sitting on the nose of a rocket ship, waiting for it to be
211881 -     energized so our new organizations can be launched. The rocket
211882 -     fuel will be different than in the past, however, for the energy
211883 -     of the future is INFORMATION, and the organization of the future
211884 -     will use it as fuel. (ref OF 7 5028)
211885 -
211887 -  ..
211888 - Question:  What are we waiting for?
211889 -
211890 - Answer:    Ignition!
211891 -
211892 - Clearly, technology has brought us to the brink of a new age, where
211893 - people can create, transfer and receive information, as never before.
211894 - But that is not enough!  Transfering information is not communicating.
211896 -  ..
211897 - Until ignited, the "information rocket" will sit on the pad, consuming
211898 - resources, engendering fear and frustration.  Why?
211899 -
211900 -    [On 931103 Drucker explains "information" is not communication;
211901 -    ref SDS 11 2855; people are giving up on trying to improve
211902 -    communication, ref SDS 11 3851; Drucker presents the case for
211903 -    management transformation from information to a "knowledge work"
211904 -    model. ref SDS 11 XM9G
211906 -     ..
211907 -    [On 991025 Drucker's article calls for using technology to
211908 -    routinize good management practices, ref SDS 36 0785; further calls
211909 -    for technology to apply cognitive science that enables knowledge
211910 -    work. ref SDS 36 8925]
211912 -     ..
211913 -    [...analysis shows SDS needed to make faster processors useful for
211914 -    management. ref SDS 36 8006]
211915 -
211916 -
211917 -
211918 -
2120 -

SUBJECTS
Knowledge Revolution Solves Information
POIMS Integrates Management Tasks with
Internet, Email Applications
Information Revolution v. Information
Not Enough Time to Understand Content,
Expediting Justifies Ignoring Sound

3308 -
330901 -  ..
330902 - More Information = Reduced Productivity
330903 -
330904 - So far, technology has only increased the flow of information (e.g.
330905 - beepers, faxes, E-mail, teleconferencing, meetings, copy machines,
330906 - wordprocessing, power lunches, Quality Circles - but there has been no
330907 - improvement in the ability of people to organize, correlate, command,
330908 - and control this increased information, as reported by Jim Manzi, CEO
330909 - of Lotus Development, reviewed on 921014. ref SDS 5 8399  There is not
330910 - enough time to "understand" what is being communicated, nor to link
330911 - new information with organizational objectives and relevant history
330912 -
330914 -  ..
330915 - This produces "information gridlock," fostered by "Executive Training"
330916 - aimed at "expediting performance," see ref SDS 7 7409. [On 960321
330917 - article in WSJ. ref SDS 28 0900]  But it results in endless cycles of
330918 - correcting mistakes, ref OF 4 5582, see article in HBR reviewed on
330919 - 940510, ref SDS 16 5567, reporting that people are not reading email.
330920 - See example on 941214 of email problem. ref SDS 25 3289]
330921 -
330922 -     [On 931103 Drucker explains "information" is not communication;
330923 -     ref SDS 10 2855; people are giving up on trying to improve
330924 -     communication. ref SDS 10 3851
330926 -      ..
330927 -     [On 940609 Kissinger cites "Alice in Wonderland" management. see
330928 -     ref SDS 17 4238]
330930 -      ..
330931 -     [See example from work at COE in December 1996, ref SDS 30 line
330932 -     104.]
330934 -      ..
330935 -     [Executive training on "listening" on 971229. ref SDS 31 2314]
330936 -
330938 -  ..
330939 - More Knowledge = Increased Productivity
330940 -
330941 - More information from the "Information Highway" means we need a
330942 - "Knowledge Revolution."  We need a way to efficiently convert all this
330943 - new information into "knowledge."  That means understanding the
330944 - correlations and implications of information, see review of Campbell's
330945 - book on human intelligence reviewed on 900303. ref SDS 2 3016
330947 -  ..
330948 - To "understand" better, we need a system to:
330949 -
330950 -
330951 -          Plan      Organize      Integrate      Measure
330952 -
330953 -
330955 -                      ..
330956 -                     P    O    I    M    s
330957 -
330958 -
330959 -
330960 -
330961 -
330962 -
3310 -

SUBJECTS
Cultural Resistance to New Methods
Culture Resists Integrating Separate
Conversation Seems Fast and Easy Knowledge,
Change Needs Ambassador, Communication
Executive Mindset Needs Communication
Broader Vision Technology Improves
Leadership is Talking People into Doing

4109 -
411001 -      ..
411002 -     Cultural Inertia Impedes Progress
411003 -
411004 -     The need for a "revolution" arises from organizational "resistance
411005 -     to change" mentioned by Drucker and others, which is particularly
411006 -     acute in the ranks of management, where reliance on conversation
411007 -     and personal recall is entrenched under the false promise of
411008 -     "expediting" performance, see, for example, analysis of Peter
411009 -     Drucker's ideas at ref SDS 10 1504 and ref SDS 10 1855.
411010 -
411011 -        [On 980307 Andy Grove's book "Only the Paranoid Survive" shows
411012 -        challenge of resistance to change. ref SDS 32 3668]
411014 -      ..
411015 -     Yet, "knowledge" work will inevitably become a greater component
411016 -     of unit cost, as a result of automating traditional production
411017 -     processes, cited by Van Kasper.  Managers will fitfully, but
411018 -     inexorably, be driven by the market to improve their own
411019 -     productivity.  This means using new tools and adopting a larger
411020 -     vision of what it means to be the "boss." ( ref SDS 4 9055).
411021 -
411022 -        [On 980307 Andy Grove's book "Only the Paranoid Survive" seems
411023 -        to support the need for more analysis in management.
411024 -        ref SDS 32 3668]
411025 -
411026 -
411027 -
411028 -
4111 -

SUBJECTS
Spreadsheet Knowledge Empowers Leadership
Automated Integration of Management Tasks
Time and Information Integrated Makes SDS
30 Seconds Tell Me What I Need to Know,
Summary Disconnected from Details Causes
Action Items, Liked to Details of Work and
Technology Makes Communication Metrics

4809 -
481001 -  ..
481002 - Spreadsheet for Knowledge Based on Connecting Information Over Time
481003 -
481004 - We need to automate and integrate the fundamental POIMS process that
481005 - converts information into knowledge.  Humans do this automatically by
481006 - connecting information with "time," related events, and an "organic
481007 - subject structure," from which is derived the idea of "management by
481008 - objectives" (MBO).  The ability to apply structure and associate
481009 - correctly are the essence of working "smart" and having good
481010 - "judgement," and is analogues to a "spreadsheet" for knowledge.
481011 -
481012 -     [Concept of "knowledge" was later sharpened in defining
481013 -     Communication Metrics, ref SDS 20 3279.]
481015 -      ..
481016 -     [On 950608 Automated MBO was incorporated into the POIMS and later
481017 -     supported by David Packard in his book, "The HP Way...", see
481018 -     ref SDS 21 1004
481020 -      ..
481021 -     [New international standards (ISO 10006) call for traceability of
481022 -     causes and reasoning, ref SDS 22 1740.]
481023 -
481024 - ..
481025 - This works well when the amount of new information is relatively
481026 - low; witness Caesar in an earlier age reportedly administering the
481027 - entire known world with a staff of six.  However, as the amount of
481028 - information increases from telephones, fax, copy machines, meetings,
481029 - etc., basic biology limits what we can absorb. When that is exceeded,
481030 - frustration and error creep in.
481031 -
481032 -
481034 -  ..
481035 - Details a Must or a Curse?
481036 -
481037 - Executives react to human limitations in absorbing information, by
481038 - using techniques evolved over hundreds of years to summarize, i.e.
481039 - look at the "big picture", seek the "bottom line", and demand
481040 - "management by 30 second sound byte," in order to avoid being buried
481041 - in details, as reviewed in connection with executive training on
481042 - 930128, ref SDS 7 3682, and reflected in the article on NWO.
481043 - ref OF 5 6056
481045 -  ..
481046 - However, executives know...
481047 -
481048 -
481049 -                ...the devil is in the details!
481050 -
481051 - ..
481052 - The challenge is to find a way to QUICKLY capture details, and
481053 - roll them up into "controllable action items" that permit instant
481054 - access to pertinent details when, as, and if necessary.  If we can do
481055 - this then productivity should improve, a la the TQM mantra:
481056 -
481057 -
481058 -               Faster        Better       Cheaper
481059 -
481060 -
481061 - Accordingly, we need a breakthrough -- a spark to ignite the revolu-
481062 - tion that can lift human potential to a new level, as set out in the
481063 - discussion of POIMS technology. ref OF 4 8559
481064 -
481065 -
481067 -  ..
481068 - POIMS Ignites the Revolution
481069 -
481070 - I call automating the human process of converting information into
481071 - knowledge...
481072 -
481073 -
481074 -                             P O I M S
481075 -
481076 -
481077 -     ...and believe the only way to implement it successfully and
481078 -     consistently, is with SDS under reasoning in POIMS. ref OF 4 1054
481079 -     POIMS is the only technology on the horizon that can launch the
481080 -     "information rocket" into the heights envisioned by Van Kasper,
481081 -     and make real the dreams of everyone for a "Knowledge Revolu-
481082 -     tion".
481084 -  ..
481085 - POIMS explains how SDS improves the ability to think, remember and
481086 - communicate. ref OF 4 3742
481087 -
481088 -
481089 -
481090 -
4811 -

SUBJECTS
Investing Intellectual Capital
Sea of Details, Information and Managers
Golf Course is Best Course for Executive so
Investing Intellectual Capital Creates

5406 -
540701 -  ..
540702 - Investing Intellectual Capital - Connecting Information
540703 -
540704 - Seasoned executives know the value of investing, and in particular
540705 - that "intellectual" capital is the greatest source of new wealth.
540706 - ref OF 4 1101
540707 -
540708 -     [On 980307 Andy Grove's book "Only the Paranoid Survive" cites
540709 -     importance of committing thoughts to paper to strengthen analysis
540710 -     and decision making. ref SDS 32 3668]
540712 -  ..
540713 - But until SDS, executives have had no consistent means to capture
540714 - their knowledge and ideas, and roll them up into "Controllable Action
540715 - Items," connected to relevant history, organizational objectives and
540716 - documentation.  Absent too, is a strategy of "Controlled Visibility"
540717 - to quickly obtain the part of the record needed for real time
540718 - decisions.  (see ref OF 4 1103).  The result:
540720 -  ..
540721 -
540722 -     The "information age" is drowning executives in a sea of details,
540723 -     rendering the "Boss," who still uses 18th century methods to
540724 -     manage a 21st century environment, a net drag on productivity and
540725 -     income, see ref OF 4 2000, and David Veneer's observations on the
540726 -     need to improve management productivity at Intel. ref OF 1 8843
540728 -        ..
540729 -       [On 950927 Dave confirmed information overload is a problem at
540730 -       Intel. ref SDS 24 6021]
540732 -  ..
540733 -
540734 -     Accordingly, the best course for the boss is the golf course so
540735 -     the Communication Manager can get the team back on the right
540736 -     course by investing the time to create the knowledge needed to
540737 -     maintain shared meaning.
540738 -
540739 - Investing intellectual capital to convert information into knowledge
540740 - and ideas, is not new.  But the explosion of automated communications
540741 - within the past 10 years has greatly increased the flow of information
540742 - for everyone, and this change in the "environment" has unwittingly
540743 - painted management into the proverbial "corner," in this case...
540744 -
540745 -
540746 -                      "information gridlock."
540747 -
540748 - ..
540749 - SDS transcends conventional limits with POIMS automated
540750 - integration of management fundamentals, so we can at last launch
540751 - the...
540752 -
540753 -
540754 -                       "Knowledge Revolution"
540755 -
540756 -
540757 -
540758 -
540759 -
540760 -
540761 -
540762 -
540763 -
540764 -
540765 -
540766 -
5408 -
Distribution. . . . See "CONTACTS"