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: June 12, 1996 09:28 PM Wednesday; Rod Welch

Received information on cultural resistance to innovations.

1...Summary/Objective
2...Comedy of Errors = Management by Conversation
.....Strategic, Tactical, Foresight: Success by Accident
3...Open Architecture Exposed IBM to Competition Gave Microsoft Monopoly
4...IBM adopted an "open" architecture in order to expedite their time to
5...Intel's management resisted manufacture of microprocessors. (see
6...Acceptance or Rejection by Market is Not Measure of Value
7...Leadership with a Narrow Vision Marketing Innovations by Others
8...Xerox Got GUI from SRI Gave it to Apple Marketed for Microsoft Windows
9...Improvement New Way Working Culture Resists
10...Uncommon Sense - New Ideas Are Not Intuitive
11...Writing a Book to Introduce New Methods
12...Ignorance, Fear and Denial of New Ideas
13...Operating System for People and Organizations
14...Big is Better
15...This relates to SDS because it focuses on solving small problems so
16...IBM's Credibility Made Intel, Microsoft Dominant
17...Morris Jones - Compiler Engineer


..............
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CONTACTS 

SUBJECTS
Cultural Resistance to New Methods
Market Potential
Evaluate existing condition
History of IC, PC
Culture Shock, Communication Metrics
Cultural Resistance to New Methods
Credibility - No Faith, Common Sense, Uncommon Sense
Comedy of Errors, Management by
Microcosm, Gilder, Ignorance, Fear, Denial
Big Organizations are Not Innovative
Open Architecture Uses Horizontal Not Vertical Manufacture
Microsoft Monopoly Operating System Caused by IBM's Open Architecture
Case Studies Open Source Commercial Technology Overwhelming Tendency
Operating System PC Failed Recognize Core Driving Force of Marketing

2916 -
2916 -    ..
2917 - Summary/Objective
2918 -
291801 - Follow up ref SDS 20 0000, ref SDS 13 line 409.
291802 -
291803 - A TV program on the PC industry this evening underscored the challenge
291804 - of being persistant in pursuing good ideas that are new and therefore
291805 - are not intuitive and are seen as threatening, per initial results
291806 - from Intel, ref SDS 18 line 139, and how the diversity of the market
291807 - place comprises a somewhat random opportunity engine, as reported by
291808 - Landauer, ref SDS 9 line 830.  It correlates with the history of the
291809 - chip industry reported on 960304 in Forbes ASAP, and Gilder's earlier
291810 - book "Microcosm."
291811 -
291812 -
291814 -  ..
2919 -
2920 -
2921 - Progress
2922 -
292201 - Comedy of Errors = Management by Conversation
292202 -
292203 - Follow up ref SDS 13 8400.
292204 -
292205 - There was a PBS program on TV channel 9 this evening recounting the
292206 - history of the PC industry beginning with Apple Computer and
292207 - explaining the steps that led to IBM awarding the PC operating system
292208 - (DOS) to Microsoft, which was evidently a fluke.  Microsoft did not
292209 - even have an operating system.  The whole thing was a comedy of errors
292210 - resulting in IBM blindly giving away the core asset of the personal
292211 - computer industry, rather than the vision and of strategy of titans
292212 - performing brilliant tactical manuvers on the chessboard of industry
292213 - and finance, per explanation of innovation in an article reviewed on
292214 - 910418. ref SDS 1 MW8N
292216 -  ..
292217 - This history aligns with analysis on 950710 showing forces that
292218 - created the personal computer industry, ref SDS 9 2286, and was
292219 - discussed at Intel on 950927. ref SDS 10 8943 and, ref SDS 10 2899  It
292220 - diverges in some respects with an article on 960304 that credits Gates
292221 - as an exemplary manager because of Microsoft's success the past
292222 - decade. ref SDS 14 RH7M
292224 -         ..
292225 -        On 960506 Communication Metrics theory shows management by
292226 -        conversation leads to a comedy of errors under Murphy's Law.
292227 -        ref SDS 17 2222
292229 -         ..
292230 -        [On 010210 history of wordprocessing as first "Killer App."
292231 -        ref SDS 48 IR6N
292232 -
292234 -      ..
292235 -     Strategic, Tactical, Foresight:  Success by Accident
292236 -
292237 -     The TV broadcast program this evening reported through former IBM
292238 -     reps, now retired, but who launched IBM's PC program, that IBM
292239 -     thought Microsoft had created the CPM operating system because of
292240 -     something a particular IBM rep had read incorrectly on a Microsoft
292241 -     document.  So Gates was invited to meet with IBM, he thought for
292242 -     the purpose of making Microsoft's products, Basic and an Assembler
292243 -     program, part of IBM's PC offering.  When it was disclosed at the
292244 -     meeting that IBM wanted the CPM operating system, Gates advised
292245 -     that Microsoft did not have an operating system.  He referred IBM
292246 -     to the developer of CPM.  The IBM reps went to meet with that
292247 -     person, who had a small business in California.  That person was
292248 -     out when IBM arrived, because the meeting was unannounced by IBM
292249 -     in order to have confidentiality.  The developer's wife was
292250 -     reluctant to sign IBM's standard non-disclosure statement, as a
292251 -     predicate to having discussions, and so the IBM reps could not
292252 -     tell her what they wanted, i.e., to give them the operating system
292253 -     for the IBM PC, i.e., the keys to the Emerald City.  The IBM reps
292254 -     became impatient and so called Gates.  He said he could get an
292255 -     operating system from a local vendor in Seattle.  Microsoft then
292256 -     bought the program for about $60K, and it became the foundation
292257 -     for a $10B firm.
292259 -      ..
292260 -     There was nothing reported in the story this evening showing any
292261 -     analysis by any party, such as in this SDS record, of the
292262 -     correlations and implications of options by any of the parties
292263 -     concerned.
292264 -
292266 -  ..
292267 - Open Architecture Exposed IBM to Competition Gave Microsoft Monopoly
292268 -
292269 - IBM adopted an "open" architecture in order to expedite their time to
292270 - market.  This "strategic" decision by industry experts, permitted
292271 - competitors to emulate IBM performance, using the Intel processor and
292272 - DOS.  This enabled Microsoft to expand its market, since new
292273 - competitors trying to sell PCs, like Dell, Compaq, Gatway 2000, and so
292274 - on, wanted to give their customers a clone of the IBM product, taking
292275 - advantage of the credibility and mystique of IBM.  So clone
292276 - manufacturers working hard to sell "IBM capability," could not avoid
292277 - expanding Microsoft's business because it was essential for the
292278 - operating system to be consistent, while reducing IBM's share of the
292279 - hardware market.  Under open architecture, anyone could make the
292280 - hardware, but there had to be a single operating system.  Brilliant
292281 - executives at IBM, who have since paid $3.5B for Lotus Notes, could
292282 - not decipher the need for a single source operating system.  One
292283 - wonders how much analysis went into that decision.  A few phone calls,
292284 - some meetings, more conversation mixed together and out comes a $3B
292285 - decision.  Was Lotus Notes used at all by any of those engaged in
292286 - making the decision, to communicate on this strategy?  Where is the
292287 - evidence of what that use revealed?
292288 -
292289 -        [On 000822 Intel processors using open architecture that uses
292290 -        horizontal manufacturing to compete agains Sun Micrososystems
292291 -        that uses vertical manufacturing for server market, which is an
292292 -        aspect of network computer. ref SDS 45 W92R
292294 -      ..
292295 -     This is not to detract from Gates, once he was empowered with
292296 -     resources he has worked hard and with purpose to help carry his
292297 -     vision forward.  It does mean that Microsoft's success does not
292298 -     endorse the vision; as he himself says, "Hey, we were just riding
292299 -     the bear [IBM]." The vision gained credibility as a
292300 -     self-fulfilling prophecy.
292301 -
292303 -  ..
292304 - Intel's management resisted manufacture of microprocessors. (see
292305 - Microcosm p. 106 - last para, also, report on 960304. ref SDS 13
292306 - 8499), which reflects difficulty of getting executives to try new
292307 - methods, explained below. ref SDS 0 1368  Intel gained advantage from
292308 - being first in a new market, because strong leadership overcame
292309 - resistance to change.
292311 -  ..
292312 - This reflects initial resistance at Intel of Communication Metrics,
292313 - reported on 960523. ref SDS 18 4933
292314 -
292315 -      [On 980307 Andy Grove's book relates challenge of leadership in
292316 -      overcoming inertia of success that blinds managers to advantage
292317 -      of new methods. ref SDS 33 3740]
292319 -       ..
292320 -      [On 990527 new technology that forms a new market, which is often
292321 -      resisted as conflicting with common sense, is a "disruptive
292322 -      technology." ref SDS 39 9711]
292324 -       ..
292325 -      [On 990527 cultural forces prevent Intel from using Communication
292326 -      Metrics. ref SDS 39 1233]
292328 -  ..
292329 - IBM's success with the PC that used Intel's CPUs, made Intel the
292330 - industry standard because the clone market exploded because everyone
292331 - wanted an "IBM computer"; otherwise Motorola's processors used in
292332 - Apple Computers would have gained market acceptance. (see history of
292333 - chip industry on 960304. ref SDS 13 8400)
292334 -
292336 -  ..
292337 - Acceptance or Rejection by Market is Not Measure of Value
292338 -
292339 - Most of the conclusions by "experts" interviewed on the program, e.g.,
292340 - Larry Ellison, Jobs, reflect previous analysis that IBM made a major
292341 - error which indicates that big companies, organizations and top
292342 - executives make big mistakes.  Merely because they accept or reject an
292343 - idea does not, per se, reflect the value of the idea.
292345 -  ..
292346 - This is the foundation for empathic design that says analyse how work
292347 - or play is performed and design to that, utilizing new capabilities to
292348 - accomplish ultimate ends.
292349 -
292350 -      [On 990527 new technology that forms a new market, which is often
292351 -      resisted as conflicting with common sense, is a "disruptive
292352 -      technology." ref SDS 39 9711]
292353 -
292355 -  ..
292356 - Leadership with a Narrow Vision Marketing Innovations by Others
292357 - Xerox Got GUI from SRI Gave it to Apple Marketed for Microsoft Windows
292358 -
292359 - The program this evening had interviews with Steve Jobs and former
292360 - Xerox engineers who showed technology created in the early 1970s at
292361 - the Xerox research facility in Palo Alto, CA, where they developed a
292362 - graphical user interface that used a mouse and pull down menues.
292363 - Xerox executives would not approve product development, however,
292364 - because they believed that IBM was the "computer company," and IBM did
292365 - not use a mouse and menues.  Since the executives, who had the
292366 - responsibility and authority for investment decisions, did not create
292367 - nor use the new technology, they could not grasp its value.  Their
292368 - lack of personal experience with the technology prevented them from
292369 - grasping benefits, because their "common sense" from "conventional
292370 - wisdom" of what "everybody knows" was that IBM did computers.
292371 -
292372 -      [On 970526, took 15 years to develop Post-its, ref SDS 30 8333]
292374 -       ..
292375 -      [On 000223 Doug Engelbart related that Xerox Parc got the idea
292376 -      for a mouse from Doug's former assistant at SRI, where Doug
292377 -      invented the mouse in the 60s. ref SDS 43 0876
292379 -       ..
292380 -      [On 001220 Doug Engelbart awarded National Medal of technology
292381 -      for inventing mouse, hypertext, windows. ref SDS 47 PJ6L
292383 -  ..
292384 - After the Apple II made Apple Computer a financial success and gave
292385 - Jobs visibility in the late 70s/early 80s, he was invited by the Xerox
292386 - engineers to see their work at the Palo Alto facility.  Jobs relates
292387 - in the TV retrospective that he was shown three key features. He
292388 - recognized the benefits of only the GUI.  He arranged for his
292389 - engineering staff to see the demonstration, and this sparked the three
292390 - key components of current computer environment. Apple then abandoned
292391 - its own design for its next generation PC and began a new design that
292392 - became the now famous MacIntosh. Gates later copied the MacIntosh GUI
292393 - to create Windows which has become the industry standard because of
292394 - the general markets greater belief in IBM (see also Microcosm, Gilder
292395 - p. 194). A Xerox rep explained they did not develop the technology
292396 - they invented because leadership at Xerox was unable to grasp the
292397 - vision of developing products outside their culture of copy machines.
292399 -  ..
292400 - "Cultural blinders" resisted SDS at PG&E, and to telling the story of
292401 - Communication Metrics at Asilomar. ref SDS 16 6399  It required a 20
292402 - year period to launch the encyclopedia, per ref SDS 4 6629, and a long
292403 - time to validate VSLI technology, per analysis below.
292404 -
292405 -
292406 -
2925 -

SUBJECTS
Common Sense Shattered by Prospect of
VLSI Chip Design, Ignorance, Fear, Denial
Conway, Lynn Culture Resists New Way of Working Enabling Forces Grow
Culture Resists Usefulness New Way of Working Until Critical Mass Ena

6706 -
670701 -  ..
670702 - Improvement New Way Working Culture Resists
670703 - Uncommon Sense - New Ideas Are Not Intuitive
670704 - Writing a Book to Introduce New Methods
670705 - Ignorance, Fear and Denial of New Ideas
670706 -
670707 - Overcoming ignorance, fear and denial in management, discussed above,
670708 - ref SDS 0 7744, caused initial rejection of VLSI chip design at the
670709 - same Xerox research center in 1976, 1977, that earlier dismissed the
670710 - mouse and other core innovations as unnecessary.  Intel was saved by
670711 - this method after long, bitter internal struggle. ref SDS 0 4444
670712 - Guilder quotes Lynn Conway (Microcosm p.188) on the challenge for
670713 - executives and engineers to invest time for understanding and learning
670714 - new methods...
670715 -
670716 -     "How can you take methods that are new, methods that are not in
670717 -     common use and therefore perhaps considered unsound methods, and
670718 -     turn them into sound methods?"
670720 -  ..
670721 - Intel had same problem getting management to recognize microprocessors
670722 - developed at Intel were useful, reported on 90304 citing Gordon Moore.
670723 - ref SDS 13 245H
670724 -
670725 -        [On 980307 Andy Grove notes people like to work on familiar
670726 -        things in familiar ways, ref SDS 33 3740, which fosters a
670727 -        culture of denial, ref SDS 34 1657, urges executives to "study"
670728 -        (ref SDS 34 3620) and "experiment" with "crummy" ideas to
670729 -        overcome the inertia of success that blinds people to the
670730 -        magnitude of problems; this takes diligence because managers
670731 -        loathe changing their work practices. ref SDS 33 2044]
670732 -
670733 -     "I was very aware of the difficulty of bringing forth a new system
670734 -     of knowledge by just publishing bits and pieces of it among
670735 -     traditional work and then waiting until after it has all evolved
670736 -     and somone writes a book about it."
670738 -  ..
670739 - This is the same problem that arose for Voltaire and Diderot to launch
670740 - the encyclopedia, reviewed on 940510, ref SDS 4 5591; CPM planning
670741 - methods took 40 years to become accepted. see 960529, ref SDS 19 7737.
670742 -
670743 -        [On 011210 50 years required to adopt new way of working to
670744 -        improve productivity. ref SDS 49 R66K
670746 -         ..
670747 -        [On 020618 SDS records on the Internet show benefits of good
670748 -        management; creates desire to work intelligently, but seems out
670749 -        of reach using familiar technology and methods everygody likes.
670750 -        SDS explicit links change attitudes from getting by with bad
670751 -        management that seems fast and easy, to using good management
670752 -        because SDS makes working intelligently to save time and money
670753 -        fast and easy. ref SDS 50 MU6H
670755 -  ..
670756 - Better methods are always resisted; on 960311 review of "Lights,
670757 - Camera, War, traces history of improving communications, beginning
670758 - with Gutenberg's printing press. ref SDS 15 9405
670759 -
670760 -        [On 990527 Innovator's Dilemma explains successful marketing
670761 -        resists new methods that create new markets that eventually
670762 -        improve sales. ref SDS 39 5258
670764 -         ..
670765 -        [On 990527 Morris describes cultural forces that resist
670766 -        improvement. ref SDS 39 1233
670768 -  ..
670769 - Landauer makes a similar explanation for why advances in technology
670770 - are slow in his book...
670771 -
670772 -
670773 -                     The Trouble with Computers
670774 -
670775 -
670776 - ...reviewed on 950710. ref SDS 9 2004
670778 -  ..
670779 - Since SDS and Communication Metrics support human mental abilities,
670780 - and, since managers in large part feel they are good communicators and
670781 - intelligent, otherwise they would be not be managers, help is needed
670782 - to overcome ignorance, fear and denial, as discussed with Tom Landauer
670783 - on 960221, ref SDS 11 6633; with Morris Jones on 960425, ref SDS 16
670784 - 6399.
670786 -  ..
670787 - Resistance to using methods from one industry and/or work discipline
670788 - to another (e.g., law to general management), per review of Dave
670789 - Bouncristiani's letter today, on Asilomar. ref SDS 20 5810
670790 -
670791 -      [On 960708 David Buoncristiani resisted applying "legal methods"
670792 -      to solve problems early when they are small. ref SDS 23 9948;
670794 -       ..
670795 -      [On 960712 applied to paper for Morris on executive mindset that
670796 -      inhibits leadership. ref SDS 24 5830]
670798 -       ..
670799 -      [On 960723 Stanford University had difficulties introducing VDT
670800 -      to measure communications. ref SDS 27 7777]
670802 -       ..
670803 -      [See results from Asilomar, ref SDS 26 line 844; telecon with Tom
670804 -      Landauer, ref SDS 21 line 181.]
670806 -       ..
670807 -      [Dave Bounchristiani's letter on using technology to adapt legal
670808 -      discovery methods to perform Concurrent Discovery. ref SDS 20
670809 -      5810]
670811 -       ..
670812 -      [See example at COE, ref SDS 29 line 129.]
670814 -       ..
670815 -      [See where it took 15 years to develop Post-its, ref SDS 30 line
670816 -      444.]
670818 -       ..
670819 -      [Discusison on 971017 with Jim Jones at HQUSACE, ref SDS 32 line
670820 -      557.]
670822 -       ..
670823 -      [On 980307 Andy Grove's book "Only the Paranoid Survive" cites
670824 -      refusal of executives and managers to "get it." ref SDS 34 2648]
670826 -       ..
670827 -      [On 990305 Max Wideman frustrated by how long it takes for good
670828 -      ideas to become accepted. ref SDS 35 7611]
670830 -       ..
670831 -      [On 990319 Max not into cognitive sciences. ref SDS 36 1750]
670833 -       ..
670834 -      [On 990526 Morris at Intel asks who pays for experimentation to
670835 -      test better management. ref SDS 38 6132]
670837 -       ..
670838 -      [On 990527 Christensen's book "Innovator's Dilemma" recommends
670839 -      experimenting to discover marketing strategy. ref SDS 39 5258]
670841 -       ..
670842 -      [On 991014 Morris contends developer must prove usefulness of new
670843 -      technology without an opportunity to develop experience that
670844 -      provides proof. ref SDS 40 3066]
670846 -       ..
670847 -      [On 991108 paradigm shift from orality to lituracy using writing
670848 -      took centuries to overcome cultural traditions. ref SDS 41 4788]
670850 -       ..
670851 -      [On 000113 Ed Swanstrom does not try to explain his innovation,
670852 -      focuses on presenting benefits. ref SDS 42 3098]
670854 -       ..
670855 -      [On 000419 online books resisted similar to Gutenberg.
670856 -      ref SDS 44 4347
670858 -       ..
670859 -      [On 050322 Senge at MIT trying meditation to overcome
670860 -      frustrations from resistance to cultural change.
670861 -
670863 -  ..
670864 - Conway's solution was to associate with a recognized industry leader
670865 - and write a book on the new methods, projecting 10 years ahead on what
670866 - the chip manufacturing industry would be like once the new methods had
670867 - been adopted.  Associating with a credible source gave the book
670868 - credibility, although she did the writing.  These ideas were then
670869 - taught in the classroom where the next generation of workers and
670870 - entrepreneurs are most impressionable.
670872 -  ..
670873 - We have been trying a similar path with SDS and Communication Metrics,
670874 - although I have been unsuccessful in finding the writer or industry
670875 - authority to provide credibility needed for public acceptance, and so
670876 - far have been unable to teach the class, as discussed on 950523,
670877 - ref SDS 7 5548, and earlier on 950426. ref SDS 5 0001
670879 -  ..
670880 - The PMI Asilomar event is one such effort.  Work at GWU, Wharton and
670881 - Stanford are also part of the task to lay the foundation for a new
670882 - management science, similar to Conway's new chip design.
670883 -
670884 -         [On 960723 meeting Ray Levitt at Stanford on joint study
670885 -         projects. ref SDS 27 8742]
670887 -          ..
670888 -         [On 960910 asked Ray about doing a book. ref SDS 28 0001]
670890 -          ..
670891 -         [On 990427 planning for NSF proposal to set industry standards
670892 -         for Enterprise Management on the web. ref SDS 37 9522]
670894 -  ..
670895 - Operating System for People and Organizations
670896 -
670897 - SDS is similarly positioned.  It offers automated integration of
670898 - separate business cultures which is difficult for entrenched and
670899 - established organizations to grasp.  Another way to say it is that SDS
670900 - improves cognition which is the operating system of the mind.
670902 -  ..
670903 - Cognition is complex.  Strengthening mental biology to think,
670904 - remember, and communicate requires some moderatly complex tools and
670905 - functions.  Cognition is performned automatically, or more precisely
670906 - "reactively," by the human mind, so people feel uneasy about learning
670907 - to use new tools to help something that occurs instantly, and
670908 - effortlessly.  They feel threatened that their "automatic pilot" may
670909 - need help, i.e., is inadequate.  Issues of self-esteeme arise.
670911 -  ..
670912 - The selling effort, which is similar to selling encyclopedias reviewed
670913 - on 940510, ref SDS 4 6629, requires something to attract buyers so
670914 - they can discover the value of a new form of operating system, similar
670915 - to using an automobile to carry things farther and faster.  The idea
670916 - that writing which is shunned by most executives is the path to better
670917 - cognition and that the computer cannot do our thinking for us is
670918 - unattractive, per analysis on 950710. ref SDS 9 4791
670919 -
670920 -    [On 960612 example of cultural resistance. ref SDS 20 2963.]
670921 -
670922 -
670923 -
670924 -
670925 -
670926 -
670927 -
6710 -

SUBJECTS
Big Picture Strategizing Hindered by
Small Problems, Ignored, Covered Up where
Big Organizations are Not Innovative
Big Organizations Stifle Innovation
Big is Better, Welch Not Credible
Big Better Stifles Innovation from Small Organizatons, Microsoft AT&
Microsoft Rejected by AT&T - Too Small, Credibility

7309 -
731001 -  ..
731002 - Big is Better
731003 -
731004 - Another cultural hurrdle which at first made Apple's success possible
731005 - and at the same time doomed it, is that IBM and other large companies
731006 - initially rejected the conceptual framework (vision) of a personal
731007 - computer, because their experinence was with mainframes, and this led
731008 - to a mindset that "big is better."
731010 -  ..
731011 - Jim Long at MK commented in 1981 that the Apple personal computer was
731012 - only a toy, and would not be effective for work in the office.
731013 -
731014 -      [On 001027 Doug Engelbart related that an executive told him his
731015 -      proposal to develop management support using linking was not
731016 -      approved because he had just come from a meeting with HP, IBM and
731017 -      DEC where everybody said linking would never work. ref SDS 46
731018 -      GL3W
731020 -  ..
731021 - Executives wanted to purchase "bigger" computers not smaller ones.
731023 -  ..
731024 - This left room for Apple to grow large enough to demonstrate the
731025 - usefulness of a PC by tapping the portion of the market that was
731026 - highly motivated to try personal computing at a time when it was
731027 - primarily a toy, and thereby gain the capital and knowledge needed to
731028 - make it useful.
731029 -
731030 -      [On 970617 same scenario occurred with Microsoft and AT&T.
731031 -      ref SDS 31 1847
731033 -  ..
731034 - This relates to SDS because it focuses on solving small problems so
731035 - they don't grow into big ones.  It seems counterintuitive to an
731036 - executive that his work can be improved with SDS since it conflicts
731037 - with the executive mindset to look at the "big picture" and the
731038 - "bottom line."
731039 -
731040 -
731041 -
731042 -
731043 -
731044 -
731045 -
7311 -

SUBJECTS
Credibility - No Faith to Make Effort to

7703 -
770401 -  ..
770402 - IBM's Credibility Made Intel, Microsoft Dominant
770403 -
770404 - Once IBM began making a PC, however, that had a different architecture
770405 - from Apple, its credibility in corporate America at that time meant
770406 - that whatever it produced would become the dominant product.  People
770407 - wanted to have an IBM computer because of its image.  Since Apple's
770408 - computer was not compatible, it lost its initial market advantage
770409 - under the herd mentality in the rush by customers (people) to be
770410 - associated with IBM, which had a well earned reputation for high
770411 - quality, although that reputation was not extended to the PC, because
770412 - by that time, hubris from size and dominance had undermined IBM's
770413 - management edge.  IBM has since become a minor player in the market it
770414 - created.  The TV program this evening said that IBM's PC manufacturing
770415 - facilities in Boca Ratton have been closed.
770417 -  ..
770418 - Thus, IBM has squandered its credibility.
770420 -  ..
770421 - Jobs and Gates are considered creative, yet it appears they were in
770422 - large part fortuitiously positioned relative to larger waves of ideas
770423 - sweeping through the culture.  Scully, whom Jobs hired from Pepsico to
770424 - run Apple and who later replaced Jobs as COE, reported on the PBS
770425 - program this evening that Jobs convinced him to join Apple with the
770426 - visionary question of whether he wanted his life's work to be
770427 - producing "sugar water" or changing the world.  This proposition has
770428 - been advanced often in various ways to promote SDS and Communication
770429 - Metrics, yet these technologies have not attained the credibility that
770430 - gives them motive force.  Scully was moved because Jobs has been able
770431 - to show there was progress in the culture that seemed to support the
770432 - idea that Apple was changing the world.  Indeed, Apple did help change
770433 - the world, albeit in a narrower manner than he understood and in a
770434 - direction that has not yet been widely beneficial.
770435 -
770436 -
770437 -
7705 -

SUBJECTS
Default Null Subject Account for Blank Record

7803 -
780401 -  ..
780402 - Morris Jones - Compiler Engineer
780403 -
780404 - Morris is cited by Gilder in Microcosm on p. 225 as being Amdahl's CAD
780405 - CAM chief in 1985.  He was recruited by Gordon Campbell to join SEEQ,
780406 - and then when it failed due to market changes, Morris was invited to
780407 - join another startup by Campbell launching Chips & Technologies.
780408 - Morris' work was to create chips that condensed IBM computer chips in
780409 - the AT, so clone makers could produce cheaper models.  Morris had
780410 - experience doing this at Amdahl on IBM mainframe chips.
780411 -
780412 -      [See consideration of applying this background to create a CAD
780413 -      application using SDS methodology at ref SDS 25 8834.]
780415 -  ..
780416 - Morris is credited with condensing the support chips for IBM's AT
780417 - personal computer from 63 to down to just 5.  This resulted in a clone
780418 - AT that used about 40% less power and just 47 total chips compared to
780419 - IBM's 130. (see p. 225).
780421 -  ..
780422 - Morris' efforts were a major factor in the growth of the PC industry,
780423 - by freeing it from the limitations of single vendor supplier, which
780424 - had been the norm for the previous 20 years.  This fostered
780425 - competition which drove the price down, the performance up, and IBM
780426 - out of the business.
780428 -  ..
780429 - Now in 1996 the market has moved on again.  Intel has been able to
780430 - incorporate into the CPU a lot of the design that was formerly in the
780431 - support chips.  Others have learned to make support chips.  So, now
780432 - Chips and Technologies is looking for a new direction.  Gordon
780433 - Campbell is gone after downsizing, and discovery that someone "cooked
780434 - books." reported on 911221. ref SDS 2 6632.
780436 -  ..
780437 - This reflects in part Morris' perspective that "knowledge" work is not
780438 - terribly attractive as a business strategy.  His experience has been
780439 - that the special knowledge he developed to make Chips and Technologies
780440 - successful is out of date, or migrated to other firms. ref SDS 12 5945
780442 -  ..
780443 - All these years he has had access to SDS that accelerates knowledge
780444 - growth under the reasoning in POIMS, ref OF 1 5884, and yet the
780445 - culture of "executive management" and "knowledge" work has blocked its
780446 - use, ref OF 6 2302, along with frustrations that it is not easy to
780447 - grasp, reported by Morris on 920215. ref SDS 3 5820
780448 -
780449 -    May be able to use some of this to introduce Morris at Asilomar.
780450 -
780451 -        [960625 developed introduction. ref SDS 22 0375.]
780452 -
780453 -
780454 -
780455 -
780456 -
780457 -
780458 -
780459 -
780460 -
780461 -
780462 -
780463 -
780464 -
780465 -
780466 -
780467 -
780468 -
7805 -