John Borghetti calls on the government not to pick winners in the Australian airline industry

Posted on Feb 28, 14

Microsoft’s New CEO Nadella on how to organize for innovation

In a wide-ranging interview with the NY Times, Nadella explained his views on how to organize for innovation.

Q. Your company has acknowledged that it needs to create much more of a unified “one Microsoft” culture. How are you going to do that?

A. One thing we’ve talked a lot about, even in the first leadership meeting, was, what’s the purpose of our leadership team? The framework we came up with is the notion that our purpose is to bring clarity, alignment and intensity. What is it that we want to get done? Are we aligned in order to be able to get it done? And are we pursuing that with intensity? That’s really the job.

Culturally, I think we have operated as if we had the formula figured out, and it was all about optimizing, in its various constituent parts, the formula. Now it is about discovering the new formula. So the question is: How do we take the intellectual capital of 130,000 people and innovate where none of the category definitions of the past will matter? Any organizational structure you have today is irrelevant because no competition or innovation is going to respect those boundaries. Everything now is going to have to be much more compressed in terms of both cycle times and response times.

So how do you create that self-organizing capability to drive innovation and be focused? And the high-tech business is perhaps one of the toughest ones, because something can be a real failure until it’s not. It’s just an absolute dud until it’s a hit. So you have to be able to sense those early indicators of success, and the leadership has to really lean in and not let things die on the vine. When you have a $70 billion business, something that’s $1 million can feel irrelevant. But that $1 million business might be the most relevant thing we are doing.

To me, that is perhaps the big culture change — recognizing innovation and fostering its growth. It’s not going to come because of an org chart or the organizational boundaries. Most people have a very strong sense of organizational ownership, but I think what people have to own is an innovation agenda, and everything is shared in terms of the implementation.

Source:  NY Times

Posted on Feb 24, 14

Founders sell WhatsApp to Facebook: Motives not clear

The founders of Whatsapp were very clear that did not not what to sell advertisement through the messaging app.  (See their 2012 statement.They did not even want to collect data on their users.  So why did they sell themselves to Facebook, which is all about collecting more data on us to sell it to advertisers?  Here is a clue in their blog.  Maybe they were tired of having to manage a business rather than just design a product.

Posted on Feb 21, 14

Two Diagrams that show why PC makers have trouble

Click on “more” to see chart that combines PC and tablet sales.

More...

Posted on Oct 14, 13

AOL tries to reinvent its business model

AOL, whose dial-up internet business was destroyed by fast cable, DSL and not mobile phone internet connections connections (see graph) is trying to reinvent itself as a content company. It was to write local news and take the Huffington Post global.  Read details on Economist.com:  AOL’s second life.

Posted on Apr 27, 13