Archive for the 'E2.0' Category

10JanBPM im Enterprise 2.0 unter Dynamik – Buch als pdf frei erhältlich

In Absprache mit meinem Verlag stelle ich mein Buch als pdf frei zur Verfügung. Bitte senden Sie bei Interesse eine E-Mail mit Ihrem vollständigen Namen an publications (at) generate-value [dot] com – Sie erhalten dann baldmöglichst den Download-Link. Viel Spass beim Lesen.

Mehr Infos zu den Inhalten erhalten Sie unter Infos zum Buch: BPM im Enterprise 2.0 unter Dynamik (de).

08SepTwo Key Trends in ‘New Finance’

Financial Services and Banking respectively are affected by two major trends. Causes for these trends are internal and external influences:  External influences are for example new technological developments and Web 2.0 / Enterprise 2.0 while internal influences are such as cost pressure on Information Technology departments and organizational restructuring.

  • Trend 1 – Enterprise Architecture Management (EAM) key for cost savings and flexibility
    Due to planned cost savings, large financial organizations are trying to understand how their Enterprise Architecture works. This is key to start IT consolidation, release IT budget (especially RTB  - “Run the Bank” a.k.a. “Run the Business” costs) and increase flexibility, but this intent is also a great challenge. Usually, Business/IT models and the corresponding IT landscapes have grown over time. Therefore, in most organizations there is no real Business/IT Alignment and we find a complex IT landscape with duplicate functionalities in almost all areas – frequently accompanied by a silo-structure: The principle “one business request => one IT application” has shaped the existing Business/IT structure and the corresponding inflexible “IT elephant”.
  • Trend 2 – New Financial Services (also referred to as “Finance 2.0″, “Bank 2.0″ and “New Banking” *)
    Due to new developments such as Enterprise 2.0 and Web 2.0, new business models are emerging  within traditional finance and banking areas.  Two examples:
    1) The Web 2.0 era results in “parallel financial worlds” and Peer-2-Peer (P2P) models, circumventing traditional and established organizations.  People are using second markets to manage their trading activities (such as https://www.secondmarket.com/) or are using new providers to manage their personal finance (like http://www.mint.com).
    2) Future mobile technologies will enable everybody to pay via mobile phone, circumventing banks and mobile carriers. Developments such as Near Field Communication (NFC) allow making payments without using money within your wallet or credit cards. In fact, we are waiting since more than ten years for the breakthrough of mobile payment. To date, mobile carriers and banks prevented “ready for market” – solutions. As of now, there are new technologies and new financial service providers (see ex. 1) making easy mobile payments possible – without bank or carrier support.
Why do I see these two trends? That’s a simple question.
  • Trend 1 – The growing competitive pressure forces financial services organizations to increase flexibility and reduce complexity. Key is the existing organizational and IT strategy and their corresponding alignment. To date, there was not any need to go into this field, since finance was not subject of depression. After burst of the two big bubbles, the dot.com and the US housing bubbles, pressure increased and areas such as investment banking are not profitable enough any more.
  • Trend 2 – Financial services and banks are still in the area of “Web 1.0″. To date, there is no adaption of new technologies and opportunities are not perceived. This is the chance for the new financial service providers to fill this gap and to leverage new forms of financial services – easy and in real-time.
In addition, both trends are compatible. While consolidation within financial services organizations starts, budget will be released to invest in new ways to manage financial services. But keep in mind: The later the established organizations will start consolidation and moving to the new finance model, the later the new services can be made available… New financial services providers such as Google (see http://www.google.com/wallet/) will use their lead to divest established organizations their customers.

In the next days I will go into the Bank 2.0 / Mobile Payment – example…

References:

  • Google Inc.: “Google Wallet – make your phone your wallet” – URL: http://www.google.com/wallet/
  • Intuit Inc.: “Free Personal Finance Software, Budget Software, Online Money Management and Budget Planner | Mint.com” – URL: http://www.mint.com
  • SecondMarket Holdings Inc.: “SecondMarket – Secondary Market for Alternative Investments, Private Company Stock” – URL: https://www.secondmarket.com/

*) Since these terms are used in different context and have partly different meanings, a clearer differentiation is necessary. The definition and differentiation of these terms goes beyond this article. A good introduction to the term “Bank 2.0″ gives Brett King, author of “Bank 2.0″, see http://www.banking4tomorrow.com/ – The term “New Banking” is described in the blog of Dirk Elsner, http://www.blicklog.com/ .

17MayManagement between Flexibility and Stability – Jazz-Improvisation and Management

Below are some words concerning the agile management in the “sweet spot” between chaos and order (see [Domb11]) to gain the maximal flexibility coupled to sufficient stability.

A few days ago I stumbled upon an ARIS Expert Paper of IDS Scheer (now Software AG) written by Scheer, with the title “Jazz-Improvisation und Management” (see [Sche07]), that still was under the pile of references that I used for writing my book… In his Expert Paper, Scheer compares jazz compositions with the management of companies. Although the text is a few years old, I like this ‘metapher’, because it reminds me of enterprise collaboration between experts with different key competencies in Enterprise 2.0.

Scheer describes some similarities between jazz compositions and management. Below the core statements are summarized analogously (I’ll try to give a gist of the text, the original expert paper is in German language):

  • Companies have to deal with a kind of ad-hoc, low structured processes – Scheer calls them “emergent processes” – that are unable to be scheduled upfront. Particularly this type of processes is of special relevance to gather a competitive advantage in turbulent environments.
  • Although improvisation is associated with prejudices like slowing efficiency, Scheer (btw – he’s not alone in thinking this) sees improvisation as the key to address enterprise problems in turbulent environments and to handle emergent processes.
  • Another key issue is how experts with different key competencies can be connected in order to be able to share their core competencies and to solve business critical problems – or figuratively – to “play” together in a highly connected manner to create a well-composited “jazz composition”.

All these facts are “not really” new. In professional literature, there are some similar approaches (see e.g. [Tome02]) and other comparable management concepts that go into the same direction (e.g. see [Clipp99], [Appe10]). But Scheer brings a number of ideas of agile management to the point. He sketches a recipe for a more agile management in a real, turbulent enterprise environment and reflects his ideas by using the jazz picture.

I describe some of these management ideas in my book, for details please have a look into it (see [Domb11]). As Enterprise 2.0 – services are emerging, agile and ad-hoc management with unstructured and emergent processes will become more and more relevant in future. Articles like the one of Scheer will gain more importance again.
But, get your own picture of it. You can download the IDS Scheer expert paper from Scherr (see [Sche07]) or have a look at the relevant passages of my book (see [Domb11]). Do not hesitate to contact me or to write me a comment…

Reference list:

  • [Appe10] APPELO, Jurgen: “Management 3.0: Leading Agile Developers, Developing Agile Leaders.”
    Amsterdam: Addison-Wesley Longman, 2010
  • [Clipp99] CLIPPINGER, John H., III: „Order from the Bottom Up – Complex Adaptive Systems and Their Management.“ In: CLIPPINGER, John H., III (Hrsg.): The Biology of Business – Decoding The Natural Laws of Enterprise.
    San Francisco CA: Jossey-Bass, 1999, S. 1-30
  • [Domb11] DOMBROWSKI, Boris: “Potenziale und Herausforderungen des Geschäftsprozessmanagements im Enterprise 2.0 unter der Berücksichtigung der Dynamik unternehmerischer Systeme.”
    Berlin: Logos Verlag, 2011
  • [Sche07] SCHEER, August-W.: „Jazz-Improvisation und Management.“ ARIS Expert Paper. URL: http://www.ids-scheer.de/set/6473/ARIS_-_Scheer_-_Jazz-Improvisation_-_AEP_de.pdf, last verified May 15, 2011.
    Saarbrücken: IDS Scheer AG, 2007
  • [Tome02] TOMENENDAL, Matthias: „Virtuelle Organisation am Rande des Chaos – Eine complex-dynamische Modellierung organisatorischer Virtualität.“ Zugleich Dissertation an der Universität des Saarlandes.
    München, Mering: Rainer Hampp, 2002

11AprErhältlich: BPM im Enterprise 2.0 unter Dynamik (de)

As my new book will be available in every good bookstores at the end of this week (available via LOGOS now), some notes. You can have a look at it and order it now via LOGOS VERLAG, Link: http://logos-verlag.de/cgi-bin/engbuchmid?isbn=2802&lng=deu&id= – “Potenziale und Herausforderungen des Geschäftsprozessmanagements im Enterprise 2.0 unter Berücksichtigung der Dynamik unternehmerischer Systeme” is the official German title; English “Potentials and Challenges of Business Process Management in Enterprise 2.0, Taking the Dynamics of Corporate Systems into Account”. As the book is written in German language, below some facts about the book in German… Sorry at English-speaking readers – however I will post some excerpts from my book in English in the next months.

Einband Front - Potenziale und Herausforderungen des Geschäftsprozessmanagements im Enterprise 2.0 unter Berücksichtigung der Dynamik unternehmerischer Systeme

Interessehalber habe ich mich seit inzwischen Jahren mit dem Thema Enterprise 2.0 beschäftigt, nicht zuletzt aufgrund meines beruflichen Hintergrunds im IT & E-Business-Umfeld. Das Thema Geschäftsprozessmanagement (Business Process Management, BPM) begleitet mich seit 2007 – und stellt für mich eines der wichtigsten Themen im Kontext der Wirtschaftsinformatik dar. Diese beiden Themen zusammenzuführen und auf aktuelle Geschehnisse, der zunehmenden Dynamik in Unternehmen zu reflektieren, war das Hauptziel des Beitrags. Das Buch hat sowohl einen wissenschaftliche als auch einen praktischen Hintergrund. Die Idee zum Buch entstand während meines – inzwischen zweiten – Studienabschlusses. In seiner ursprl. Fassung wurde mein Beitrag zugleich als Master Thesis an der Universität Duisburg-Essen angenommen (1.0).

Nun denken einige Leser vielleicht an typische “Web 2.0″-Themen, zum Beispiel, wie Unternehmen facebook, twitter und Co. nutzen können. Meiner Ansicht nach gibt es genug zu diesem Thema. Tatsächlich befasse ich mich auf knapp 190 Seiten damit, wie “gelebte” Prozesse, die von Dynamik geprägt sind, in Unternehmen unterstützt werden könn(t)en. Weitläufig manifestiert sich bei vielen der Eindruck, BPM hätte ausschliesslich mit Standardisierungen zu tun. Dass das nicht so ist, wird klar, wenn man einen Blick in meine Veröffentlichung wirft…

Für alle “Interessierten” habe ich bereits das Buchcover, die Einleitung und das Inhaltsverzeichnis und alle Quellenangaben in Absprache mit meinem Verlag ungeschützt veröffentlicht, Sie können die Datei (pdf) unter der Infoseite dieser Website zum Buch herunterladen: http://www.generate-value.com/book-bpm-in-enterprise-2-0/

Das Buch sollten Sie also auch in jeder “guten” Buchhandlung ab Ende der Woche erhalten oder bestellen können – auch AMAZON hat bereits eine Seite: http://www.amazon.de/Potenziale-Herausforderungen-Gesch%C3%A4ftsprozessmanagements-Ber%C3%BCcksichtigung-unternehmerischer/dp/3832528024.

Nun gibt es noch zu sagen, dass ich in etwa 10 Tagen 3 Bücher gratis versende, und zwar an die ersten drei Leser dieses Beitrags, die Ihre Adresse unter dem Betreff “E2.0 + BPM” an publications (at) generate-value (dot) com senden* – Update vom 12.4.: Alle Exemplare sind bereits vergeben. Die hier ausgeschriebenen “Freiexemplare” gehen nach Zürich (Markus Pfeisinger – INM AG), Pfaffenhofen (Björn Welchering – Metasonic AG) und Offenbach (José Ayala Villareal – Capgemini). Bitte bestellen Sie weitere Exemplare über den Logos Verlag, Berlin – Diese sind derzeit sofort lieferbar…

Weitere Infos folgen in den kommenden Wochen… Auch werden auf dieser Seite zusätzliches Material und Informationen zum Buch veröffentlicht.

Related Links:

*) Gültig ausschliesslich für die ersten drei Interessenten im deutschsprachigen Raum (D/A/CH), die bis 21.4.2011 eine Mail unter dem genannten Betreff an die genannte E-Mail-Adresse senden. Alle Exemplare bereits vergeben.

02MarBusiness Processes, Enterprise 2.0 and the Strength of Weak Ties (SWT)

As I am about to finish my book, I would like to point out a specific aspect of it, „The Strength of Weak Ties“ from Granovetter…

On the basis of a non-representative social networks-study (N=296) of Milgram in 1967 (“The small world problem”, see [Milg67, pp. 61 et seq.]), Milgram and Travers claimed that any two persons are linked to one another through a chain with “somewhat greater than five” (see [TrMi69, pp. 441 et seq.]). The results of this study, often cited and known as “6 degrees of separation”, have been confirmed several times. For example, in 2007 it was figured out in another study, that the average path length in messenger networks is 6.6 (see [LeHo07, p. 23]).

But how can we use our ties in volatile environment with increasingly less structured “problem solving processes” in an effective way? Granovetter points out that in addition to close ties, loose connections are of relevance. Granovetter has analyzed this in “The Strength of Weak Ties (SWT)” in 1973 (see [Gran73, pp. 1360 et seq.]). Loose connections are important: they serve as “good bridges” (see above) between established networks to establish contact. Such “good bridges” are of particular value for the management of internal or cross-company processes in case specific expertise or the inclusion of different actors is required to solve problems. In other words, “network-short cuts” are needed to detect and aggregate the required process knowledge.

In this context, we come to Enterprise 2.0 and in particular to the importance of social networks in enterprises. Through the usage of loose ties, problem-relevant expertise can be more easily and quickly detected and relevant knowledge is more transparent. As a result, problem solving can be facilitated and knowledge-intensive, dynamic processes can be speeded up. Thus, the effective usage of loose ties and “good bridges” respectively can also be key to set a company apart from its competitors.

Andrew McAfee, the “father” of the term “Enterprise 2.0”, also often refers to Granovetter, for example in his book “Enterprise 2.0 – New collaborative tools for your organization’s toughest challenges”.

“A tidy summary of SWT’s conclusion is that strong ties are unlikely to bridges between networks, while weak ties are good bridges. Bridges help solve problems, gather information, and import unfamiliar ideas. They enable work to be accomplished more quickly and more effectively. The ideal network for a knowledge worker probably consists of a core of strong ties and a large periphery of weak ones.” [McAf09, pp. 83 et seq.]

For additional information, see the forthcoming book “Potenziale und Herausforderungen des Geschäftsprozessmanagements im Enterprise 2.0 unter Berücksichtigung der Dynamik unternehmerischer Systeme” (see [Domb11]) and the research sources in the reference list – or just come up to me.

Reference list:

  • [Domb11] Dombrowski, Boris – Forthcoming Book: “Potenziale und Herausforderungen des Geschäftsprozessmanagements im Enterprise 2.0 unter der Berücksichtigung der Dynamik unternehmerischer Systeme.”
    Berlin: Logos Verlag, 2011
  • [Gran73] Granovetter, Mark: „The strength of Weak Ties.” In: American Journal of Sociology, Volume 78, Issue 6.
    Chicago IL: University of Chicago Press, 1973, pp. 1360-1380
  • [LeHo07] Leskovec, Jure; Horvitz, Eric: „Planetary-Scale Views on an Instant-Messaging Network.” – Microsoft Research Technical Report, MSR-TR-2006-186, URL: http://arxiv.org/abs/0803.0939, last verified on February 28, 2011.
    Redmond WA: Microsoft Corp., 2007
  • [McAf09] McAfee, Andrew P.: „Enterprise 2.0 – New Collaborative Tools for Your Organization’s Toughest Challenges.“
    Boston MA: Harvard Business School Publishing, 2009
  • [Milg67] Milgram, Stanley: „The small world problem.” In: Psychology Today 1 (May) / 1967.
    New York, NY: Psychology Today, 1967, pp. 61-67
  • [TrMi69] Travers, Jeffrey; Milgram, Stanley: „An experimental study of the small world problem.” In: Sociometry, Issue 32(4), URL: www.stanford.edu/class/cs224w/readings/travers69smallworld.pdf, last verified on March 1, 2011.
    Washington DC: American Sociological Association, 1969, pp. 425-443

18FebMobile Banking 2.0 – A Perspective

“Of the next billion people who come online, the vast majority of them are going to do so for the first time through a mobile device.” – Jimmy Wales in SAP Spectrum, [Manr10, p. 17]

Where does this road lead?

“If you had asked most bankers five years ago when they thought that mobile banking would become mainstream, they would likely have told you “not in my lifetime”. Yet, in the last five years, that is exactly what has happened and now banks everywhere are talking about mobile banking.” [King10, p. 228]

Even though banks everywhere are talking about mobile banking tools, Mobile E-Banking is still in its infancy, especially in Switzerland (see [Frey11, p. 24] and below). Even innovations or prime examples such as mint.com (see [Intu11]) or Swissquote (see [Swiss11]) cannot hide this fact. Is it fear of reputational damage, e.g. fear of hitting the headlines in Social Networks (see [Frey11, p. 24]) that slows development down?

At the same time, the number of always connected mobile users is growing steadily. Most of the used new devices (millions of iPads, Galaxy Tabs, iPhones, Nexus, etc.) allow an intuitive user guidance – easy-to-use Apps are available. Provider and retailer sell mobile devices with data flatrates. Consequentially, the SMS Banking (~ “Mobile Banking 1.0″) area is over –

Nevertheless, fact is that bank customers want to have access to “Bank 2.0″ wherever they are. In the evening, you rather grab your smartphone or tab that’s always online than turn your PC or Mac on. And who would like to make the detour to go to the bank branch?

“Bankers need to start treating mobile as a serious competitive advantage.” [King10, p. 228]

King, an acknowledged strategic advisor to the financial services sector and author of “Bank 2.0″, is absolutely right. In fact, a couple of companies are already working on solutions and aim at leveraging the competitive advantage of a soon introduction of new “Mobile Banking 2.0″ applications (and “Apps” respectively). Thus, the above-mentioned companies like mint.com, IBM and Swissquote are just examples.

However, while in some countries at least mobile money transfer and basic mobile banking features are “day-to-day business” some countries are more reluctant to introduce new technical tools. The latter particularly applies for Switzerland, one of the main financial places worldwide. Technical support is in Switzerland quite often reduced to mere SMS (~ “Mobile Banking 1.0″) services – without making use of the now market-ready options of new mobile technologies. And the potentials go even beyond “classic” Retail Banking.

Based on my own experience as a bank advisor, I must however say that Swiss banks exercise caution and monitor developments that might affect security, business risk etc. very closely particularly due to the (compared to other jurisdictions) very strict banking secrecy and data protection rule that Swiss law provides. This explains, at least to a certain extent, the reluctance of Swiss banks towards mobile money transactions and the introduction of new “Mobile Banking 2.0″ technologies in general.

In turn, it is exactly the tension between the opportunities that new technology provides and the challenges that makes Switzerland a very interesting place for bank advisors. Beyond, intuitive applications on new devices will give an impulse for “a real” Mobile Banking 2.0 (see [Alt+10, p. 44]).

Readers of this post who are interested in this subject can find some “incitations” in the reference list. If you need more information on the topic, please do not hesitate to contact me…

Reference list:

  • [Alt+10] Alt, Prof. Dr. Rainer; Möwes, Till; Puschmann, Dr. Thomas: “Neue Wege zum Kunden – Innovationen in der Kunde-Bank-Interaktion.” In: “Wirtschaftsinformatik und Management”, URL: http://goo.gl/815lO, last verified on February 18, 2011.
    Wiesbaden: Gabler Verlag | Springer Fachmedien Wiesbaden GmbH, 2010, WUM 4.2010, pp. 40-47
  • [Frey11] Frey, Matthias: “Die Bank als Plattform.” In: IBM – Think! URL: http://www-05.ibm.com/at/think/data_info.html, last verified on February 18, 2011.
    IBM Österreich Internationale Büromaschinen Gesellschaft m.b.H., 2011, pp. 24-25
  • [Intu11] Intuit, Inc.: “Free Personal Finance Software, Budget Software, Online Money Management and Budget Planner | Mint.com.” URL: http://www.mint.com/, last verified on February 18, 2011.
    Intuit, Inc., 2011
  • [King10] King, Brett: “Bank 2.0: How Customer Behavior and Technology Will Change the Future of Financial Services_”
    Singapore: Brett King and Marshall Cavendish (International) Asia Pre Ltd., 2010
  • [Manr10] Manross, Perry: “How Wikipedia Is Serving The Next Wave Of Internet Users.” In: SAP Spectrum, 4/2010, URL: http://en.sap-spectrum.com/wp-content/uploads/2010/11/SAP_SPECTRUM_2010-no-04_E_j_wales_wikipedia.pdf, last verified on February 18, 2011.
    SAP AG, 2010, pp. 16-18
  • [Swiss11] Swissquote Bank Ltd.: “Mobile – Technology – TRADING – Swissquote Bank ltd.” URL: http://www.swissquote.ch/sqweb/epb/technology/mobile.jsp, last verified on February 18, 2011.
    Swissquote Bank Ltd., 2011

Related articles:

  • Schwiebert, Marc; Körber, Olaf; Thälker, Carsten: “Neuland im Bankvertrieb – Wie mobile Endgeräte die Kundenkommunikation verändern.” In: “Wirtschaftsinformatik und Management.” URL: http://goo.gl/twA0p, last verified on February 18, 2011.
    Wiesbaden: Gabler Verlag | Springer Fachmedien Wiesbaden GmbH, 2011, WUM 1.2011, pp. 24-29