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


S U M M A R Y


DIARY: October 23, 1999 08:22 AM Saturday; Rod Welch

Called Morris about meeting on NSF today, read letter on mistakes.

1...Summary/Objective
2...Complexity Suppressed by Limited Span of Attention Hides Mistakes
3...Intelligence Provides Proactive Risk Management to Manage Context
4...Leadership with a broader vision.
5...Morris asked how leadership can be applied in this case?
6...Top down, Andy or Craig request a memo on Com Metrics being tried at
.....Suppose this is successful...
........How would it improve management at Intel?
.....Suppose we discover this doesn't work...
........How disruptive would it be to try adding intelligence to
7...Senior management calls asking for input on Com Metrics.
8...Middle management takes initiative to develop support among colleagues
9...Out, Out Damn Spot - Destroying Records is Impossible
10...Communication Metrics Adds Connections to Manage Context
11...Lack of Context Escalates Risk of Incorrect Interpretation

ACTION ITEMS.................. Click here to comment!

1...Top down leadership, requires education of people at the top,
2...Need email address for Andy and Craig to accomplish this

CONTACTS 
0201 - Intel Corporation                    408 765 8080
020101 - Mr. Morris E. Jones; Business Unit Manager =408 545 9521
020102 - morris.jones@intel.com
020103 - Cable Network Operation

SUBJECTS
Set up standard project accounts
Commercial Partners for Phase II Funding
Organic Subject Structure
Leadership Overcomes Resistance to Comm Metrics
Leadership Broader Vision, SDS Discovers Conflict Before Mistake Cost

1007 -    ..
1008 - Summary/Objective
1009 -
100901 - Follow up ref SDS 27 0000, ref SDS 26 0000.
100902 -
100903 - Morris cannot meet this weekend, per our telecon on Thursday, and my
100904 - letter, ref DIP 2 0001, submitted on 991020, ref SDS 26 0001.
100905 -
100906 - Submitted ref DIT 1 0001 linked to the record on 991021, and to the
100907 - letter on medical mistakes. ref DIP 1 0001
100908 -
100909 - Called back in the evening at 2143 and discussed the implications of
100910 - the letter on the general practice of management due to the hidden
100911 - problem of meaning drift that is compounded by information overload.
100912 - ..
100913 - Discussed the challenge of introducing new methods which
100914 - requires strong leadership, ref SDS 0 5865, exemplified by the history
100915 - of Gutenberg's experience. ref SDS 0 7776
100916 -
100917 - Submitted ref DIT 2 0001 linked to this record to confirm need for
100918 - leadership introducing Com Metrics.
100919 -
100920 -     [On 991025 Morris suggests explaining the solution. ref SDS 29
100921 -     0001]
100922 -
100923 -     [On 991025 received letter transmitting an article by Drucker that
100924 -     cites Gutenberg. ref SDS 30 0416]
100925 -
100926 -
100927 -
1010 -
1011 -
1012 - Discussion
1013 -
101301 -  ..
101302 - Complexity Suppressed by Limited Span of Attention Hides Mistakes
101303 - Intelligence Provides Proactive Risk Management to Manage Context
101304 -
101305 - Follow up ref SDS 27 3077.
101306 -
101307 - Asked Morris again to review the record on 991010, explaining the
101308 - cause and solution to mistakes in human enterprise. ref SDS 23 3066
101309 - The problem is explained again on 991014, ref SDS 24 5600, and again
101310 - on 991021. ref SDS 27 3077
101311 -
101312 - Requested he read the letter on "medical mistakes," which explains the
101313 - general problem of "meaning drift," and how adding alignment arrests
101314 - this otherwise hidden risk. ref DIP 1 0001
101315 -
101316 -     [On 991025 reviewed this again. ref SDS 29 5432]
101317 -
101318 - Morris still has not read the analysis on Gutenberg in the record on
101319 - 991010, ref SDS 23 3056 and cited in the record on 991014.
101320 -
101321 -
101322 -
101323 -  ..
1014 -
1015 -
1016 - 2143 called Morris back
1017 -
101701 - He had not read the letter, so while we talked, he opened the letter
101702 - on the Internet and read it.
101703 -
101704 - Morris feels the letter explains the problem of meaning drift that is
101705 - a risk to effective management because it is hidden from the conscious
101706 - mind. ref DIT 1 0001
101707 -
101708 - This is a big step, because Grove points out that senior people have
101709 - great difficulty admitting the seriousness of the problems they face,
101710 - reviewed on 980307. ref SDS 11 2044
101711 -
101712 - Morris complained that the letter does not offer a solution.
101713 -
101714 -    [On 991025 Morris wants a solution people can understand.
101715 -    ref SDS 29 0001]
101716 -
101717 - We considered a "quick read" may have overlooked key points on the
101718 - solution, in light of Grove's warning that the inertia of success
101719 - blinds people to difficult problems, and solutions.  We tend to read
101720 - past things that require change, as seen on 991014. ref SDS 23 4440
101721 - Reading by scanning through a document is not an effective method of
101722 - buckling down to learn complex new solutions, called out by Grove,
101723 - ref OF 2 3334, and noted in the letter to Morris on 990718.
101724 - ref SDS 18 5251
101725 -
101726 - We reviewed the explanation that the solution is well known, but the
101727 - problem is failure to execute due to information overload that reduces
101728 - the time to perform good management practice. ref DIP 1 2028
101729 -
101730 - Morris clicked on the link, ref DIP 1 2904, to analysis in SDS on why
101731 - CEOs fail. ref SDS 15 4914  He found the text in the Fortune article
101732 - that says successful CEOs grab a pen and start writing at the end of
101733 - meetings. ref OF 4 4030
101734 -
101735 - Morris feels he is already doing this.  He related spending a lot of
101736 - time reviewing action items during meetings.  He called this "managing
101737 - by objectives," which is cited in POIMS as a practice supported by
101738 - SDS. ref OF 5 1110
101739 -
101740 - We agreed that "reviewing action items" is essential.
101741 -
101742 -     We did not discuss Intel's calculation of "cost savings" from this
101743 -     process, that could be extrapolated based on doing it better using
101744 -     Communication Metrics.
101745 - ..
101746 - Reviewing action items is not the same as writing copious notes
101747 - and analysis in order to avoid ambiguity of mental maps, set out in
101748 - Grove's book, "Only the Paranoid Survive." ref SDS 12 3668
101749 -
101750 -     [On 991108 history adds "analysis" to rendering of factual
101751 -     narrative, in order to forecast future impacts. ref SDS 31 3339]
101752 -
101753 - Morris did not recall Grove saying anything about taking copious notes
101754 - in order to remove ambiguity of mental maps. He asked where that text
101755 - appears in Grove's book?
101756 -
101757 -      [On 991025 Morris reported that Intel has a class that uses
101758 -      Grove's book. ref SDS 29 5346]
101759 -
101760 - On page 135 Grove says...
101761 -
101762 -     "We all automatically [think] in our heads.  But mental maps are
101763 -     awfully forgiving of ambiguity. You must force yourself to commit
101764 -     your thoughts to paper. ref OF 1 4218 reviewed on 980307 showing
101765 -     alignment and analysis solve ambiguity problem. ref SDS 12 7571
101766 - ..
101767 - On page 145, Grove explains it...
101768 -
101769 -     ... required a measure of diligence; as I sat talking with these
101770 -     people, I took copious notes, some of which I understood and some
101771 -     of which I didn't. I then took the stuff that I didn't understand
101772 -     back to our internal experts and asked them to explain what this
101773 -     individual might have meant by it. ref OF 2 3334 reviewed on
101774 -     980307. ref SDS 12 3101
101775 -
101776 - Communication Metrics makes it easier to take copious notes every day,
101777 - all day long, so less "diligence" is needed.  In other words, SDS
101778 - enables Intel technology to support using good practices which Grove
101779 - used perhaps for a few months, or possibly just one meeting, on a much
101780 - wider scale, i.e., every day, all day long.  Using good management
101781 - every day improves results, as reported by Covey on the advantage of
101782 - good habits, reviewed on 921205. ref SDS 4 4080
101783 -
101784 - Morris made this observation on 991014. ref SDS 24 2066
101785 - ..
101786 - Grove also notes on page 145 that it is...
101787 -
101788 -     ... respectable for a senior person with twenty years of
101789 -     experience to take some time, buckle down and learn a whole new
101790 -     set of skills. ref OF 2 3334 reviewed on 980307, ref SDS 12 3620
101791 -
101792 - He says the leader must ask "What do I do differently," and concludes
101793 - the leader must study. reviewed on 980307, ref SDS 12 5794
101794 -
101795 - SDS uses Intel technology to support the Communication Metrics process
101796 - of "continual learning" applied to daily management.  Since it is a
101797 - new method of using technology, senior people have to buckle down and
101798 - learn a whole new set of skills.
101799 -
101800 - ..
101801 - Leadership with a broader vision.
101802 - 
101803 - Morris feels "leadership" is not applied well in the article on
101804 - mistakes. ref DIP 1 4833
101805 -
101806 - He noted that "leadership" has different meanings to people.
101807 - ..
101808 - I suggested that now, after having scanned the article and
101809 - noting it explains a critical problem of "meaning drift" which is
101810 - compounded by information overload, ref DIP 1 1680, leadership
101811 - requires a more careful read in order to better understand key issues
101812 - including the role of leadership to take action. ref DIP 1 7990
101813 -
101814 - General Hatch reported on 960403 that he read the New World Order...
101815 - paper 3 times, showing how leadership begins. ref SDS 6 5592
101816 -
101817 - This reflects Grove's call for senior people to buckle down and learn
101818 - a new skills. ref OF 2 3334
101819 -
101820 -     [On 991025 Morris has not studied the solution; sent another
101821 -     letter urging study. ref SDS 29 3220]
101822 -
101823 - Morris said my explanation in this call makes more sense than the
101824 - article.
101825 -
101826 - Grove calls for managers to discover better methods by experimenting.
101827 - discussed on 991014. ref SDS 24 3166
101828 - ..
101829 - Morris asked how leadership can be applied in this case?
101830 - 
101831 - Top down, Andy or Craig request a memo on Com Metrics being tried at
101832 - Intel.  If there isn't enough time, discuss it with Rod and he will
101833 - prepare a draft you can edit.
101834 -
101835 -     What would trying Com Metrics entail, as reviewed with Dave
101836 -     Vannier on 970603. ref SDS 10 0049
101837 -
101838 -     How long would it take to evaluate potential, and how much would
101839 -     it cost?
101840 -
101841 -     How do these time and cost factors compare with other things we
101842 -     are spending money on now for risk management?   If we are not
101843 -     spending money on risk management, should we consider this?  Are
101844 -     there any changes in the business environment that might require
101845 -     changes to our work processes over the next 5 years?
101846 -
101847 -     What does proactive risk management mean?  How does organization,
101848 -     alignment, analysis, summary linked to detail and feedback on
101849 -     communications, identify potential problems, and avoid future
101850 -     mistakes?
101851 -
101852 -     What would be a good venue for gaining experience to evaluate
101853 -     using this form of "intelligence" for improving management and
101854 -     earnings.
101855 -
101856 -     What skill set is needed to add "intelligence" to management? Do
101857 -     we need an electrical engineer, a computer scientist, a marketing
101858 -     specialist, a lawyer, an IT expert, a financial manager, a
101859 -     technical writer, planning executive?  Can a Communication Manager
101860 -     do this work?
101861 -
101862 -     Suppose this is successful...
101863 -
101864 -        How would it improve management at Intel?
101865 -
101866 -        Do our earnings depend on the quality of management, and if
101867 -        so, could "intelligence" defined in the POIMS paper help
101868 -        improve earnings? ref OF 5 0582
101869 -
101870 -        Would the ability to support effective "intelligence,"
101871 -        provide a wider market for Intel processors, and could
101872 -        marketing use this to help maintain market share in the
101873 -        period ahead?  For example, could we supplement our highly
101874 -        successful "Intel Inside" campaign, by saying "Intelligence
101875 -        Inside"?   Does that literation work?
101876 -
101877 -        Might there be a growth path that Intel can exploit to
101878 -        develop the SDS technology to improve the ability to
101879 -        deliver intelligence, along the lines of Christensen's
101880 -        explanation of "disruptive technology." ref SDS 13 5258
101881 -
101882 -     Suppose we discover this doesn't work...
101883 -
101884 -        How disruptive would it be to try adding intelligence to
101885 -        management?
101886 -
101887 -        What has been our experience trying methods and then
101888 -        finding our initial idea didn't work as well as hoped? How
101889 -        much harm to the firm occurred, how hard was it to recover,
101890 -        as reported on 950927. ref SDS 5 7732
101891 -
101892 -        If we discovered that $250K - $500K was lost in
101893 -        experimenting with this initiative, how would this impact
101894 -        earnings compared to other risks we are taking?
101895 -
101896 -     Top down leadership, requires education of people at the top,
101897 -     which in turn requires sending a letter to Andy and/or Craig
101898 -     about the opportunity to add "intelligence" to management.
101899 -
101900 -     Need email address for Andy and Craig to accomplish this
101901 -     preliminary education step.
101902 -
101903 -
101904 -
101905 - Senior management calls asking for input on Com Metrics.
101906 -
101907 -     Same scenario for executive leadership. ref SDS 0 5865
101908 -
101909 -
101910 -
101911 - Middle management takes initiative to develop support among colleagues
101912 - for notifying senior management about a growing risk and a solution,
101913 - as set out in the letter to Dave on 991007. ref SDS 22 7920
101914 -
101915 - Rely, within reason, on Grove's call for managers not to be wimps,
101916 - reviewed on 990307. ref SDS 11 1091
101917 -     ..
101918 -     On 990713 Morris distributed the NSF proposal on Com Metrics
101919 -     to several colleagues, ref SDS 16 8966, and asked...
101920 -
101921 -
101922 -                   Does this make any sense?
101923 -
101924 -     ..
101925 -     Leadership entails constructive notice and guidance
101926 -     requesting comment on specific issues cited in para 1. ref SDS 0
101927 -     5865  A slight additional effort to distribute the letter on
101928 -     medical mistakes, ref DIP 1 0001, via email, gets the ball rolling
101929 -     on the first step for people to admit the seriousness of the
101930 -     problem. ref SDS 0 8649
101931 -     ..
101932 -     A key factor missing on 990713 was that the those who
101933 -     reviewed the NSF proposal never interacted with an SDS record
101934 -     online, so they had no experience from which to understand the
101935 -     meaning of "intelligence."  This second initiative provides access
101936 -     to SDS records so people can gain the experience needed to acquire
101937 -     new knowledge, as reviewed on 990718. ref SDS 18 8966
101938 -
101939 -     Wider distribution at Intel helps improve the chances of finding
101940 -     "bright start" who get it, as explained on 990915. ref SDS 20 4988
101941 -     ..
101942 -     Gutenberg's experience shows that powerful, seminal ideas
101943 -     are not easy to assimilate, reviewed on 991010. ref SDS 23 3056
101944 -     Leadership reviewed above, ref SDS 0 5865, and persistence are
101945 -     essential to expedite understanding and acceptance.
101946 -
101947 -         [On 991025 modified explanation of "intelligence" per Morris'
101948 -         request for solutions people can understand; cite Grove's call
101949 -         for leaders to study in order to gain understanding.
101950 -         ref SDS 29 1400]
101951 -
101952 -         ...Morris does not address Gutenberg. ref SDS 29 4977]
101953 -
101954 -     The seminal idea of SDS is integrating time and information, which
101955 -     in large measure automates creating chains of chronology that show
101956 -     cause and effect.  The ablity to synthesize a wide range of
101957 -     different information into a common array, and apply organic
101958 -     subject structure in conjunction with chronology leverages innate
101959 -     human "intelligence," ref OF 5 0582, by avoiding abmiguity of
101960 -     mental maps cited by Grove. ref OF 1 4218   This is a decided
101961 -     advance on traditional use of alphabet technology, perhaps on a
101962 -     scale comparable to Gutenberg's achievement in the 1400s.
101963 -
101964 -     If this is true, then we owe it to succeeding generations to make
101965 -     a little effort to nurture the idea, so it can take root and grow.
101966 -
101967 -     Religious heritage shows we cannot shrink from the responsiblity
101968 -     of knowledge.
101969 -
101970 -
101971 -
101972 -
101973 -
101974 -
101975 -
1020 -

SUBJECTS
Set up standard project accounts
Discovery in Lawsuit

1205 -
120501 -  ..
120502 - Out, Out Damn Spot - Destroying Records is Impossible
120503 - Communication Metrics Adds Connections to Manage Context
120504 - Lack of Context Escalates Risk of Incorrect Interpretation
120505 -
120506 - Follow up ref SDS 27 5304.
120507 -
120508 - Morris asked if I recalled our discussion on Thursday about legal
120509 - advice to destroy the record?
120510 -
120511 - I will send him a letter linked to analysis of the issue from that
120512 - discussion on 991021. ref SDS 27 2695
120513 -
120514 - Provide link in ref DIT 1 8460 to review on 991021. ref SDS 27 5304
120515 -
120516 - This evening, when I called back, ref SDS 0 8649, we read through the
120517 - analysis on 991021.
120518 -
120519 - Confirmed the point again after our call in ref DIT 2 8277.
120520 -
120521 -    [On 991025 discussed with Dave Bounchristiani. ref SDS 28 0001]
120522 -
120523 -
120524 -
120525 -
1206 -
Distribution. . . . See "CONTACTS"