Technological Transformation

Electric Broadband – Promising Technology For Rural Areas

September 19th, 2016


High-speed Internet seamless access is the expectation of recent technology trends. While many of the technologies like High Speed Internet Access (HSPA), Wireless Interoperability for Microwave Access (WiMAX) & Long Term evolution (LTE) are promising and meeting the expectations appropriately, ‘Digital Divide’ still exists when penetrating to the rural areas in a seamless and the cost effective way.

The solution to the above situation is having a way of channeling the broadband internet on the electricity supply so that networking is carried out on power mains. Distribution of internet data on the power lines is called as HomePlug or Broadband over Power lines (BPL).

Electric Broadband!, is an innovation in the recent technology trends. This technology is certainly encouraging and infrastructure cost effective model to offer broadband at high speed internet access – having penetration even into the rural areas since every home in the world is served by power lines.


Realizing how the Communications landscape is changing rapidly since the inception of Internet, Broadband Internet, as known to everyone, is a data transmission mechanism over high bandwidth channels through cables or over the air. Wireline broadband is called Asymmetric Digital Subscriber Line (ADSL) and Wireless Broadband technologies emerging are Mobile WiMAX and Advanced LTE. However, all these technologies require much infrastructure costs to cater the needs of the general public. Hence they are mostly limited to the urban areas and the digital divide is prevailing still by internet not reaching to the masses even at rural geographies.


On the contrary to the technology barriers, new innovative technology called ‘Electric Broadband’ is on the way to reach even the rural areas with NO much infrastructure costs to carry the Internet data over relatively medium/high frequency electric signals. Usually Broadband uses low-frequency electric signals to carry ordinary phone calls and higher-frequency signals to carry Internet data as we see in the ADSL technology. Electronic filters separate the two kinds of signal, with the low frequencies going to your telephone and the higher frequencies to your Internet modem. The principle behind Electric Broadband technology is fairly simple – because electricity routes over just the low-frequency portions of power lines, data packets can be streamed over higher frequencies.


Key technical concept for the data transmission of the Electric Broadband technology is devised on the fundamental concepts of Radio Frequency (RF) energy bundled on the same line that carries electric current. Since the RF and electricity vibrate on different frequencies, there will be no interference between the two and also the packets transmitted over RF are not lost due to the electrical current. Electric Broadband system consumes only a part of the complete power grid. Usually electricity power generating plants carries to transmit power to substations which then distribute the current using high-voltage transmission lines of 155K to 765K volts and these are not relevant for packet or RF transmission. Solution for the Electric Broadband technology is to bypass the substations and high-voltage wires and concentrate on the medium-voltage transmission lines which typically carries around 7,200 volts and then the transformers convert the electrical current to 240 volts – where the electrical current supplied to the households. Putting in simpler words, standard fiber optic lines are specifically designed for Internet transmissions are going to be used to carry data. These fiber optic lines will be connected to medium-voltage lines. Repeaters are installed at these junction points to repeat the data and boost the strength of the transmission. Couplers or specialized devices are also going to be installed at the transformers to provide a data link around these. After that, the digital data will be carried down the 240-volt line that connects to the residential or office building’s electrical outlets which become the final distribution point for the data.

At this juncture, the residents and the enterprises have two options for Internet connectivity. They can get wireless transmitters that will wirelessly receive the signal and send the data on to computer stations or they can get Broadband over Power Lines modems for data filtering -the Electric Broadband will screen out power line noise and let only data through – then send the data onwards to the stations. The wireless transmitter or the Electric Broadband modem can transmit the signal to end-users or computer stations wirelessly (which may require WLAN-capable devices) or through wires (which require computers connected to the data transmitter or Electric Broadband over modem Ethernet cables.


Electricity being the widely spread across the global landscape including the rural areas, electric broadband is going to be a penetrating technology to reach the rural areas and breaking the digital divide in the communication space.

Many benefits can be foreseen by the deployment of this technology. It is affordable because, it uses existing electrical wiring and outlets to avoid expensive data cabling pulls-save up to 75% of the infrastructure spend. It is very convenient for the end-users since every electric outlet in every room becomes Internet-enabled. Very easy to use as no software is necessary, simply “plug and play.” Technology is reliable unlike wireless solutions that suffer from hit-and-miss service coverage and moreover provides the solutions for universal coverage operating a data transmission speeds of up to 6 million bits per second connectivity.

One of the best business cases will be – Power Grid Management Solution which will become very effective after realizing this Electric Broadband technology. Utilities are able to manage their systems better by having the data streamed to them on the power lines. Because this has such a benefit relating directly to the management of electricity there remains a high likelihood of electric utilities investing more money into Electric Broadband. Being able to monitor the electricity grid over the power grid network will create a virtual workforce with many less man hours needed.


While this technology has many advantages, there are some challenges as well. RF Interference is the most serious challenge that this technology is currently impacted with. It is facing opposition from ham operators (Amateur Radio) and the Federal Emergency Management Administration (FEMA) who are concerned that Electric Broadband technology will reduce the number of radio frequencies available for ham and short-wave radio operators and that RF transmission over unshielded medium-voltage lines will cause interference with already-assigned frequencies. One another challenge is the considerable delays happening in the technology standards ratification. Transmission standards for Electric Broadband technology is emerging and yet to see draft versions released. This is further hampering efforts to have the technology adapted by more Service Providers.


On a final note, Electric Broadband is at least 2 years away from now. However, from the Google research in vendors involved, Electric Broadband is already happening to the tune of about $10 million annually. Since the technology serves a much larger audience than any of its competing technologies. With that kind of potential, it should be able to sustain a growth rate of two to three times that of either cable or telephone companies.

The Ultimate Human Technology – Creation

September 19th, 2016

The Divine intelligence of nature is unfathomable and awe-inspiring. Have you ever explored the science of biomimicry? Big word, but stick with me for a moment. This is where science tries to duplicate the perfection and intelligence of nature’s design so as to create inventions or engineer solutions based upon what they learn from nature. For example, humans still cannot create a substance that comes anywhere close to matching the strength and flexibility of a spider’s thread.

Why do I bring this up? Well, humans have been gifted (from Nature, The Divine or whatever you prefer to call the Universal Intelligence that flows through all things) with incredible technologies and attributes. These attributes are packaged right inside of each of us – awaiting our activation and awareness that they even exist.

What’s thee technology of technologies? Creation. We were born to create and shape experiences according to our directed will. We are creative spiritual beings having a physical experience. Now, I don’t just mean “creative” in the run-of-the-mill sort of definition, like… “Johnny is really creative with his building blocks” (although I’m not minimizing such exercises because they’re very important in realizing ones creative potential). I’m talking about real life creation – taking something from a virtual idea in the human mind and manifesting it into a physical reality in our life.

Do we truly understand what it means to create – to make something from nothing? For starters, it doesn’t come from nothing – it comes from a thought.

Have you ever contemplated how powerful your thoughts actually are? Science has. In fact, scientists are very busy studying and measuring the energetic vibrations of thought and how the energy from thought coalesces and assembles sub atomic particles and molecules into matter. For anyone that remembers their chemistry class, we know that molecules make matter, and matter is what our physical realities are comprised of. Some of the most prestigious universities in the world are studying the effects of focused thought (or meditation and prayer, as some like to call it) and the power it has to actually change human physiology and physical matter. That’s right! They’ve illustrated how a cell will actually change, heal etc. based upon the energetic vibration of a particular thought or intention launched at it. Further scientists are even measuring the effects of how someone else’s thoughts can heal the cells in another person’s body!

For the churchgoers or spiritual minded folks, this may not come as a big surprise. However, my question to the masses is – then why aren’t we using OUR internal mental technology to our advantage more often to bring forth greater healing in our lives, for humanity and the planet? We possess the potential to heal everything, but are we fully accessing and using this amazing intelligence? Are we teaching our children within each generation how to use their spiritual technology effectively and responsibly?

There are other powerful creations beyond physical manifestations that we make on a daily basis. These include the intangible creations of our thoughts and emotions. Have you ever noticed how powerful it is to transform hate, dislike or fear into love, acceptance, understanding and peace? Have you ever felt the exhilarating freedom, inner peace and health that come as a result of performing such a feet? These intangible creations unequivocally may be the most powerful creations of all! For anyone who has had a long time nemesis (which you transformed into a friend) you know what I’m talking about. As if by magic, old discords clear up or are forgotten… and then resentment turns into cooperation, peace and likability.

Turning fear and hate into love and compassion is spiritual alchemy or creation at its best! It’s life altering ~ and our physical world around us becomes a reflection of our new and improved thought form!

When you recognize and become consciously aware of our amazing human design, one can’t help but be intrigued or motivated to access and use all of our internal equipment and capabilities to transform our thoughts to their highest good and to “create” a better life experience for our children, ourselves and the world.

Like anything, it takes training – or perhaps re-training. It begins with us and within the training ground of the family… And it occurs by intentionally focusing and redirecting ourselves – one thought, one moment, and one experience at a time.

Transformational Leadership

September 19th, 2016

Organizations must re-invent themselves or they will be at risk of becoming stagnant, or irrelevant. History is full of examples where a failure to adapt to changing market conditions results in complete disintegration and subsequently disappearance from the corporate arena altogether. Successful organizations are therefore always on the look for transformational leaders who can champion the process of transition from stagnation to agility, growth and profitability.

One of the key ingredients for a successful transformation is a clear and compelling vision; a vision that defines the perfect world with clear principles and that guides the transformation effort to be developed. Such a vision should not only constitute a shared image for a desired future state, but also inspire and motivate workforces to give everything in their power. Thus ultimately leading to achieving grand strategic objectives for the organization.

A superior and well-defined vision encompasses a sense of urgency to overcome any complacency that might be exhibited by stakeholders. It clarifies the general direction for a change. It also inspires and motivates people to act in the right direction and helps align employees’ actions with the organization’s strategic goals. For maximum effectiveness, the vision needs to be clear, focused and easy to communicate.

A successful transformational leader would have certain qualities. A prominent quality is the ability that enables him/her to guide and influence others to bring about fundamental change, not only to the external world, but also to internal processes. Another quality which a transformational leader must possess is the capability to formulate and spearhead a compelling vision, as well as the skill to organize and manage the ‘change’ process. Such skills may not be acquired by a single person, but by a multi-disciplinary team.

In addition to developing and communicating the vision to all stakeholders, the transformational leader is responsible for: articulating a consistent transformation plan, maintaining a clear focus on transformation goals and managing external changes to complement internal ones.

The transformational leader plays a pivotal role by articulating his/her vision of the organization’s future as well as inspiring and motivating employees and management alike. The leader’s ownership of the transformation process is prerequisite, without which becomes a futile exercise. The leader should send out the right signals and messages that the transformation is a critical component of the entire organizational strategy. He/she must establish a structure to encourage creativity and innovation, by ‘thinking outside the box’.

The transformational leader pays a careful attention to the human capital aspect of the organization. He/she influences their workforce to change, to increase their awareness of the necessity to excel at what they do, to encourage personal growth and accomplishment and to motivate them to work for the good of the organization as opposed to personal gain.

Transformational leadership is necessary for three stages of change management demand, including (a) motivating changes in behavior and overcoming resistance; (b) managing the transition to ensure control; and (c) shaping the political dynamics so that power centers can develop that support change. For a maximum participation in the transformation process, the organization structures and processes must be aligned with the organization’s vision.

For a large-scale alignment, five transformational activities are required: (a) finance reform; (b) re-alignment of human capital; (c) development of performance measures; (d) adoption of information technology; and (e) identification and implementation of evidence-based practices. The administrative and accounting structures should be aligned with the central administrative units (so they do not undermine the change strategy).

In a globalized knowledge-based economy, Human Capital constitutes a certain critical asset. In many cases, it can be viewed as a real differentiator that must be nurtured and empowered in order to enable the organization to compete. Increasing numbers of companies have recognized this edge and are harnessing an enormous source of power to improve organizational performance. With the right Human Resource structure and a well-communicated vision, organizations can mobilize the majority, if not all, of the workforce to help provide leadership to accomplish much needed changes.

Corporate culture has a significant influence on human behavior and can be very powerful especially if employees are well-selected and coached. Such culture exhibits itself through the actions of all its employees. The effects happen without conscious intent and thus are difficult to challenge or even discuss.

It is imperative to comprehend that transformation is an ongoing process and can be permanent in nature. The change process is intended to create or anticipate the future. It simultaneously deals with the evolution of interconnected concepts, processes, organizations and technologies wherein a change in any one of these necessitates a change in all. Despite the challenges, visionary leaders do spearhead cultural change within their organizations. Leaders of transformation efforts should realize that success hinges on creating a culture of innovation that encourages and rewards those who embrace innovative risks.

Creating Sustainable Change in Back Office Transformation

September 19th, 2016


Changing sourcing arrangements from the traditional DIY vertical model only makes sense if new value can be created. The principle sources of value are:

  1. Improved service quality -higher performance standards than the legacy function.
  2. Lower operating costs – should cost less than the previous cost base.
  3. Investment avoidance – ‘back office’ functions require ongoing investment – particularly in IT. Depending on the platform, these investments can be controlled or avoided altogether a change in sourcing arrangements.
  4. Flexibility – the service can be scaled up or down to cater for growth, acquisition or divestment.
  5. Management focus – senior management can focus on core business challenges.
  6. Compliance – with an ever increasing regulatory burden e.g. Sarbanes-Oxley, the risk of non-compliance is lowered when using existing platforms

However merely changing the sourcing arrangements does not in itself necessarily realise these potential improvements. They have to be created by some kind of transformation or discontinuity in the way service is provided. Traditional ‘People transfer’ type outsourcing where the entire function (often including the people, technology and property) move to a new organisation does not in itself create new value because nothing has changed. The outsourcer will have a plan of how to lower costs over time. Value creation is more straightforward and the ‘lift and drop’ type of arrangement where the work moves to a new organisation but the means of production do not transfer. ‘Offshoring’ is an example of this type of deal. Cost savings can be made from arbitrage, and from aggregation.

In addition technology costs be lower on a larger optimised platform and functionality may be better. However, offshore operations create a raft of new and different problems to solve. In preparing business cases for new sourcing arrangements it’s critical to understand where the new value is going to come from and how it will be realised. In recent years ‘governance’ has become a key word in outsourcing and much has been written about best practice in governance design and operation. The fact is that in arrangement where sufficient value is created for both parties to enjoy good business benefits the governance is less difficult.

Too often a great deal of effort goes into arguing over the division of a ‘cake’ which is simply too small. It makes more sense to devote that effort into making the cake bigger instead. But how is this new value created and how can it be sustained?

Entrepreneurial mindset

It’s critical that the new service views itself as a specialist provider of the services – that is their business. As such it has the same dynamics as any other business. It needs to develop and nuture its own IP and differentiating factors. It must identify, attract, develop, motivate and retain the right people. It must sell its services into the marketplace and grow revenues year on year. It must design pricing and operating models such that it generates an attractive margin for stakeholders. Whether the ‘new’ provider is an internally managed shared service or an outsource vendor – it is now a provider of (for example) HR services to customers – not the support function of a company producing food products. This is important because the top talent, management focus and investment budget available to the food company will quite rightly be directed at the core business.

Those working in ‘support services’ will be regarded as of secondary importance. They will not enjoy the same career prospects or rewards as those working in the core business however exceptional they may be. Their departments will struggle to compete for the investment required to keep quality at benchmark levels. This is a critical underlying change factor in back offices. It will be at its strongest in an enterprise partnership model because the former back office becomes a new stand alone business with the freedom to reward those who contribute to business growth. A traditional people transfer type deal or a ‘lift and drop’ deal will experience this change in as far as the outsourcer has an entrepreneurial approach.

In a shared service arrangement much will depend on the way the service is set up. If it is set up as a profit centre rather than a cost recovery operation it will have a more entrepreneurial outlook – but internally that can be seen as a ‘zero sum game’ and there can be resentment at a new profit centre creating revenues ‘at the expense’ of an established profit centre. While an entrepreneurial mindset does not directly create sustainable change it cannot be underestimated as a powerful motivational factor. Outsource providers are potentially well placed to introduce this entrepreneurial attitude. There talent within these companies can be a valuable source of innovation and new thinking – both inside the scope of a sourcing arrangement and potentially outside it as well.

A Systematic Approach

Creating superior performance in back office functions requires an analysis of the success factors – both direct factors and those which enable stronger performance. There are five key areas:

i. Service: Most back office functions are not service orientated. They are ‘gatekeepers of the process’ there to tell you what you can or can’t have. This mindset has to change in the new sourcing arrangement. A satisfied customer is one whose perception of the service they have received is at least equal to their expectation. This is critical to understand. Their perception of the service may not be the same as an objective measurement of technical delivery. Research has shown that quality of delivery accounts for only one third of service perception. Customer expectation needs to be understood and if necessary modified and managed. Too often this important activity is omitted. The service offered must be properly defined in terms of the outputs visible to customers. This exercise should lead to a degree of rationalisation. Usually functions which have evolved over time include some redundant activity which is no longer valued by the customer.

ii. Process: Once you have a clear definition of the services to be offered you then need to ensure that they are being delivered in the most effective and efficient way. There are many techniques for improving process and different practitioners favour different methods. What is critical is that the process to deliver the required outputs is optimised both in terms of quality and consistency of delivery and resource utilisation.

iii. Technology: Almost all business support functions can be improved by appropriate technology support. Once the process is optimised it should be underpinned and automated by technology. I am not advocating bespoke software development. In theory, best practice in terms of process should be encapsulated in the software design. All too often this is not the case. Having selected the software which most closely reflects the optimum process design it will most likely be more cost effective to accept some process variation than to attempt to customise the software. Though Process and Technology Design are clearly separate domains they need to be viewed as a package or the results can be painful.

iv. Change Management: However expertly you define and rationalise services, and then design process and deploy technology to deliver them – in the end all this must be accomplished through the endeavour of the employees. Their motivation, comfort levels and perception of the value to themselves is of the utmost importance in sustaining rapid and radical improvement. In any project of this kind you can divide the people roughly into four camps.

  • Early adopters
  • The Undecided
  • Overt dissidents
  • Covert dissidents

The distribution of these groups will vary but it’s likely that ‘the undecided’ will be by far the largest – perhaps as much as 60%. The leadership of the project will then do battle with the dissidents for the hearts and minds of that majority group. The outcome of this contest will have a profound effect on the outcome of the project. The technique is work through the early adopter group – empowering them to be agents of change. Overt dissidents can often be ‘saved’. They are people who believe in saying what they think and are prepared to engage.

If you can convince a few of these to come on board it can make a big difference. Covert dissidents are the most difficult. They are the ones who will make sycophantic noises in the public forum but do everything they can to undermine the project behind closed doors. They see malevolence and conspiracy behind every announcement and initiative. It is important to identify these people and confront them. It may be best that they part company with the organisation. If the leadership is successful in winning over the Undecided then the project will being to flourish and sustainable improvement becomes a real possibility.

v. Infrastructure: Very often back office functions have poor infrastructure. They may operate out of poor real estate both in terms of location, quality and layout. They may have poor equipment and materials. Investing in infrastructure can often produce a payback both financially and in terms of improved performance. Better designed facilities will often occupy less floor space producing a direct operational saving. Attention to Indirect Procurement categories also has strong cost reduction potential in addition to opening the way to ‘fit for purpose’ provision of the right tools to do the job.

Programme Management

Each of these five areas can yield significant benefits in terms of transformation – but the key is to work all these elements together in a co-ordinated plan – Programme Management. There are some consecutive elements and some concurrent efforts.

While the design of each individual programme will be different to take into account context and cultural factors – the principles are shown above. Managing the Programme and the people is an ongoing task. The Change Management challenge begins before the deal is signed and continues throughout the transformation process. Infrastructure development can have long lead times due to existing leases or supply agreements. Deriving benefit in this area will involve a series of discreet projects that will normally need to be completed in a coherent order. Service, Process and Technology need to be approached in that order as noted above – with the important caveat that the use of standard technology platforms is in itself an important route to value. However, it is important to follow the design process logically first and then understand the potential for increasing value through modification of the processes.

A critical aspect of Programme Management is ensure that sustainability is built into the overall approach. At today’s pace of change assumptions made in the business case can erode rapidly so these must be kept under constant review. Failing to do this can lead to ‘value leakage’ – where business benefits can dissolve. This is a particular danger in a long outsourcing contract where the provider may be relying on a stable period of higher margins at the end of the contract to compensate for more volatility and lower margins in the earlier years.


The key to creating new value in back office transformation is to undertake a well designed coherent programme of multi-dimensional improvement. However, if one thing matters above all others it is to change the culture and ‘mindset’. Without this change is unlikely to be sustainable because initiatives will be blocked and crowded out. It can be likened to trying to re-direct a river. If the effort falters for a moment the water will find its old course again.

Ten Absolutes for Organizational Transformation

September 19th, 2016

Many have argued that one of the best business management books ever written is Only the Paranoid Survive, by the former chairman of the Intel Corporation, Andy Grove. Intel is the world’s largest semiconductor chip maker and arguably one of the most successful corporations in the world today. However, at one point they were one of many in a sea of firms manufacturing memory chips. At the time, they were where doing good, but not great. This is where many nonprofits find themselves – doing good, but certainly not “Best In Class”. In the book, Andy describes this middle place. They could have continued to manufacture memory chips and be moderately successful. But the long term picture was not great. They were at a place he describes as an “inflection point”. This is a place where they could have continued in their business but long term they would have succumbed to new technology and new competitors.
They had to make a decision that was difficult, expensive, filled with risk, anything but certain, and deadly if they failed. They had to be ready to stop what they were doing (manufacturing memory chips) retool, reinvest, and manufacture chips that would eventually be installed on almost every PC in the world. It was a brilliant move but hardly an easy one.

Many organizations, public, nonprofit, commercial are in similar circumstances. They must either reinvent themselves and risk dismantling the organization or stay the course and die a slow (it can take a lifetime) and painful death.

This article will outline 10 critical requirements for successful organizational transformation. There is one fundamental assumption that must be understood: for an organization to maintain itself, it must occasionally reinvent itself. Markets change, new technology puts the old out of date, the world changes, new social issues replace old ones that no longer look quite as ominous, and younger staff members see the world differently than founding leadership.
Change is inevitable. There are only three options of response:

1. Absorb the risk of reinvention and grow,
2. Take the risk and fail (dismantle the organization), or
3. Stay the course and eventually die.

Realize that the only difference between number two and three is one of speed. Either way, the organization dies.


Embarking upon a massive organizational change or transformation has all the appearance of dismissing the past. For staff who often invest their lives into a nonprofit or public sector organization with clear mission minded intent, this dismissal of past success is difficult. If the staff has been with the organization for any extended time, this change can be brutal. It might have the appearance of teen agers dismissing as irrelevant years of productive service. To counter this reality, celebrate the past.

By celebrating the past, staff and years of personal work is acknowledged. If change does require them to leave, they at least leave with the assurance that their personal contribution was valuable.


In 1982 seven people died after taking Tylenol – the Johnson & Johnson over the counter pain medication. The consensus was that the brand was dead, that the company would never again be able to market anything under the name of Tylenol. But the company proved the skeptics wrong. Almost immediately Johnson & Johnson admitted there was a potential problem. They stopped production and pulled all remaining supplies from the shelves. Pulling 31 million bottles of Tylenol off the shelves cost the company more than $100 million, threatened the 37% market share they enjoyed, and putting $400 million in revenues at risk. And yet, Johnson & Johnson earned praised for its reaction and Tylenol is still a top selling over the counter pain reliever. Their honesty won them praise, respect, and most importantly, trust.

When embarking on major transformative change, leaders must be brutally honest with staff, funders, and themselves. The old adage is true, the truth shall set you free, but first it will scare the pants off you. Problems cannot be tackled if the truth about them is unclear, uncertain, or being ignored. If an organization is going to change, then everyone deserves the respect of being clear about the reasons why.

When Alan Mulally took over the leadership of Ford Motor Company he is reported to have asked his senior executives: “You guys, you know we lost a few billion dollars last year, is there anything that’s not going well?” Yet honesty does not have to be demeaning and degrading. In a similar meeting Alan was told that a new car on the verge of being delivered had some technical problems. However, when told of the problem in simple truth, his response was “I really appreciate that clear visibility”. By the next week, the problems were solved.

Speaking again of the Intel Corporation, Authors Larry Johnson and Bob Phillips write in their book, Absolutely Honesty, state: “Intel has long enjoyed a reputation for being a place where people express their opinions freely and assertively – and the company has profited handsomely as a result”.


Understanding the larger picture, on a global scale can provide serious perspective. This generally shows that for most social problems, no single organization is going to solve the problem. This perspective has the impact of demonstrating the need for collaboration in solving social issues.

In an article in the Stanford Social Innovation Review, authors John Kania & Mark Kramer (Winter 2011), point out that impact on major social problems require a collaborative approach rather than the current approach which is to find (and fund) the one organization that seems to be doing the most good. This approach, they maintain is fundamentally flawed. In the article, they state: “1.4 million nonprofits try to invent independent solutions to major social problems, often working at odds with each other and exponentially increasing the perceived resources required to make meaningful progress”.

While many of us would like to believe that we alone have the solutions, the reality is that a consortium of organizations, working collaboratively, are required to address the large complex social problems that address our world. However, once the larger perspective is addressed, then individual organizations can better understand where they can contribute to the whole, rather than attempt to be the whole. This collaborative approach also has a way of diminishing competition for resources and ends up putting more resources where they have the greatest impact.


In his book, Making Strategy Work, Wharton School of Economics professor, Lawrence Hrebiniak PH.D, states: “…a disciplined approach to execution is needed to make strategy work. A reliance on a few sound bytes, anecdotes, or stories is not sufficient….Only an integrated, disciplined approach can cut through this complexity and achieve execution success.” Why do so many well designed and beautifully presented, strategic plans fail at or end up being very nice door stops? Some research suggests that 90% of all strategic plans fail to be fully implemented. One solution to this might be inaugurating strategic planning and organizational transformation with a disciplined and structured approach. After reviewing a large strategic plan for a major urban school district, one that should have produced major transformation, there was one sentence that addressed how the district was going to accomplish its grand vision of improving academic test scores. The remaining 30 plus pages were pointing out problems, statements of aspiration, measures that would be used to monitor progress, (that was good), and slamming the organization for past failures.

In 2001 Steve Gorcester took over as executive director of the Washington State Transportation Improvement Board (TIB). This small but important agency acts much like a bank, investing state funds in city and county transportation projects. Within his first week he was faced with a disaster. The TIB had committed financial resources to more projects than it could fund and it was five months late in paying for the projects that were already completed. In addition, the legislature and the governor were ready to shut the TIB down. He needed to move quickly to turn the organization around. His solution was the implementation of a Balanced Scorecard. This was a tool that was comprehensive in nature and was able to turn guide the TIB around in very short order. One of the attractions of the Balanced Scorecard was the value of balancing competing objectives within the organization. The TIB had put a great value on customer service. So much so that anytime a city needed more money to complete a project it was provided with hardly a question. This may have been great customer service but it was driving the agency into insolvency. The two competing objectives had to be balanced. Later, they turned to the Baldrige quality criteria to go even further in their plan to improve the work of the TIB. As of this writing, (2011) there are two bills in the legislature to increase their funding, even in the midst of state wide budget reductions.

The value of a structured approach is in the discipline. An approach such as a Balanced Scorecard or the Baldrige criteria provides a comprehensive view of the organization. The result is that nothing is left out. Missing pieces don’t show up three years later.


The risk of major transformative change is significant. Major change can have an immediate impact on staff morale, funding sources, technology, leadership, processes, and customers. Lack of a thorough evaluation of risk can turn the best intentions into catastrophic events. The Project Management Institute defines risk as “An uncertain event or condition that, if it occurs, has a positive or negative effect on a project’s objectives”. From this definition we learn that risk is any variation from the expected that has either a negative or positive outcome. There are two primary benefits of a thorough analysis of risk:

1. Weakness and threats are identified that can derail the best intentioned plan; and
2. Strengths and opportunities that may lie dormant can be exploited and leveraged for positive results.

When Louis V. Gerstner, Jr took over as CEO of IBM in 1993 the company had an active plan to dismantle the firm. It was considered too big, too unwieldy, and too insular to change and the parts were worth more individually that the company was as a whole. Instead of seeing size as a weakness, he saw it as strength and turned the company around. The turnaround of IBM is still considered one of the great stories of modern corporate history. However, it was far from easy. Over 100,000 people had to be laid off; many of these staff came to IBM because of the culture of life time employment.

There are several ways to identify and measure risk, when it is defined broadly as either a positive or a negative unforeseen impact. The traditional SWOT analysis is a useful (but not the only) tool to do this. For those unfamiliar with this tool SWOT is an acronym that stands for:

S- Strengths
There are other frameworks for identifying risks. Another is PESTEL Framework, which stands for:

Whichever one is used, it is important to use a disciplined approach to identifying risk and plan accordingly. How many organizations have suffered catastrophic losses after developing a great long term strategy only to discover three years into the plan that the technology infrastructure is incapable of handling the change, the staff lacked the required skills, and the leadership was incapable of leading?


Alignment is one of those ‘buzz” words that is making the rounds of business management books. Basically it means that every operational and administrative unit is aligned with strategy. It is important, if nonprofits and public sector organizations are going to achieve “Best in Class” performance and the kind of breakthroughs their funders and constituents are seeking. In their book, Alignment, Robert Kaplan and David Norton, (Harvard Business School Press) state: “Understanding how to create alignment in organizations is a big deal, one capable of producing significant payoffs for all types of enterprises.”

While alignment needs to happen throughout the organization, one of the most obvious places is in the budget. Every organization has a detailed strategic plan. Like it or not, it is called the budget. However, the budget may not be the best document to lay out a long term vision.

Examples abound of how organizations fail in their execution of strategy by not aligning their divisions around a common strategic strategy. For example, a large national consulting organization has three business units and thousands of divisions. Annually it conducts over $550mm a year with federal, state, and local government agencies. Each year at annual planning meetings there are substantial discussions about missed opportunities because staff from one division who have existing relationships with a government client, cannot leverage that relationship to the benefit of another division. Every new division president and vice president sees opportunities wasting away because the firm cannot leverage the customer relationships for additional business. Each year management puts out a directive to work together more. Every year the directive fails. Is it a lack of strategy? Absolutely not. Strategy is abundant. The problem was a lack of alignment.

• Staff compensation is linked to one on one customer relationships rather than the total value of the client relationship;
• Marketing has never segmented the market in such a way that prospective clients can be identified by any kind of demographic; and
• There has never any kind of Customer Relationship Management (CRM) system in place so that staff from one division could instantly tell who had existing relationships with government clients from another division.

Without these basic tools it is up to personal relationships to make collaboration work. Unfortunately, people are too busy worrying about revenues for their own divisions to worry about helping another division.

The transformational change process is highly dependent upon aligning all units of the organization. If alignment does not occur, transformation will look a lot like chaos.


Authors, Jeffrey L. Bradach, Thomas J. Tierney, and Nan Stone in their article Delivering on the Promise of Nonprofits, published by the Harvard Business Review point out that the hardest decision a nonprofit has to make is to determine what it will not do. To come to this place it must first determine how it will achieve its vision by establishing a “Theory of Change” or its “intended impact”. This is a simple statement of how the nonprofit intends to be successful in the execution of its mission and vision.

For example, a nonprofit establishes a vision that says they are going to eliminate homelessness but never says exactly how they are going to deliver on the vision, unless it is building homes for every man, woman, or child that is homeless. Others may have a similar vision but they are going to do it by attacking the root of homelessness – addiction, poverty, unemployment, domestic violence, etc. Establishing the theory of change or the strategy that is going to bring about transformative change is critical to delivering on the benefit and promise of the nonprofit. Only as the strategy is identified in clear simple language can it be tested and verified.

Hopelink is the largest Community Action Partnership (CAP) organization in the state of Washington. It’s vision is a community free of poverty. Its mission is to promote self sufficiency and make lasting change. In many ways, this is not too much different than any local social service agency. Many cities and counties could make the same statement. However, Hopelink has gone further. What separates it from others is a clear statement of how it intends to accomplish it rather ambitious mission. “By strategically aligning our organization, leveraging our key community partnerships, and offering a comprehensive set of Hopelink services, our clients will be able to achieve and maintain their highest level of self-sufficiency, thus enabling us to achieve our mission and vision.” Note the key words: aligning our organization, leveraging our key community partnerships, and offering a comprehensive set of services…. In effect, it is saying we are going to help people become self sufficient by:

1. Making sure we are totally aligned with this vision. We will do nothing that is not focused on this goal.

2. We cannot do it alone. The task is too large and complex. We have to do it in partnership with other like minded organizations.

3. Our services will be comprehensive (both ours and those we partner with) so that any service that is needed by someone in poverty can come here to get what they need to become self sufficient.

Nonprofits, by their very nature are driven by mission. Conversely, commercial firms, by their very nature are driven by their need for revenues. When a nonprofit clearly articulates how it will achieve its vision and mission it makes it easier to do the really difficult thing, which is to determine what it will not do.


When it comes to quantifying a vision statement, commercial organizations have a major advantage over nonprofits. “Increase gross revenues by 200%”. “Become the number one auto maker in the world as determined by total revenues”. “Increase sales by 50%”. These are examples of common statements of vision for commercial firms. Nonprofits, on the other hand, suffer a basic challenge – how to quantify their vision. “Reduce high school dropout rates”. “Improve test scores”. “Train our students to become lifelong learners”. “Eliminate the causes of poverty”. “Stamp out hunger”. These are all common statements of vision for nonprofits. However, if the organization is going to thrive in its vision it must first quantify it. If there is no quantifiable vision, then there is no accountability, any perceived movement towards success can be celebrated, but ultimately no one knows where is the line of success? Staff never receive the value of knowing if they are working successfully. Boards never know if their governance is doing any good. Funders are left with the decision of supporting an organization that looks good rather than the organization that can demonstrate “Best in Class”.

Furthermore, instead of vision driving operations, operations tend to drive vision. Instead of operations being aligned around a vision that can be measured and designed accordingly, operations tend to function around their own perceived value, their own perceived understanding of what is reasonable, and their own discipline’s idea of best practices. When the Washington State Transportation Improvement Board determined that paying their bills within thirty days was their objective rather than the five months it was taking, everything had to change. Their process in project acceptance had to change. Their financial system had to change. Their definition of project success had to change. Everything had to be aligned to a vision that had a number attached. When my small international nonprofit decided that we needed to grow by ten times in ten years it set off a flurry of activity by our IT staff who quickly realized that information technology was going to be a critical success factor. Inadequate IT would kill execution and never allow us to move forward.

One of the most difficult challenges for a nonprofit is putting a number on its vision statement. However, without it, it is really nothing more than a restatement of its mission, and gives no clear benchmark for success.


Let’s be clear. Major transformational change is difficult. It is risky. It is often expensive in terms of people’s lives and life styles. It does not happen overnight. For leadership it never fast enough. For the rank and file it is always too fast. But Henry Ford may have put it best when he said: “If there is any one secret of success, it lies in the ability to get the other person’s point of view and see things from that person’s angle as well as from your own.”

A school district adopts a new vision, hires a new superintendent, and embarks on a process to transform itself. Who is it that will ultimately determine success? Will it be the teachers and principals that work with students every day, or the administrators who reside two or three layers above the fray of daily school life?

One of the most inspiring stories of business transformation was a Seattle based savings and loan. It was going broke and a new management team was brought in to turn it around. The normal process was to fire all the loan officers and vice presidents. But this team decided to try a different approach. Instead it embarked on a major retraining of staff. The result was one of the fastest turnarounds in local banking history. Few people were laid off or fired, and the new management team was highly successful.

The nonprofit world has a major asset when it comes to major transformational change. It has a staff that is motivated by mission rather than dollars. Use this sense of mission to drive change, but be patient. Give staff time to process what will be required of them and give them time to “get on board”. They will.


Nonprofit boards are notorious for swaying in the wind when the tide of public opinion turns up heat. Boards of public sector organizations are worse. Any major change will cause disruption. This is a painful reality, especially when good people disagree and resign. It is hard enough to find good people, let along good people who are willing to work for low wages, long hours, and little thanks.
School boards set new visions but then fire the new superintendent over the first disruption. Churches set new strategy for growth but fire the preacher because he or she takes it seriously. City councils decide that government needs to run more like a business but then fire the city manager because she instills market place disciplines and the citizens vent their frustration.
Ultimately, mission and vision belong to the board. It is their sacred trust to make sure that the vision and mission go forward. Donors are relying on them. Staff are sacrificing their professional lives for them. When the feathers fly, as they surely will, stay the course. It is a sacred trust.

Dan Edds is the Managing Director of Praxis Solutions. He holds an MBA from the Albers School of Business and Economics at Seattle University, and is a Project Manager Professional (PMP). In addition, he is a Kaplan Norton Balanced Scorecard Certified Graduate.

Get Your Share of Fresh Talent With the Help of a Financial Services Recruiting Firm

August 8th, 2016

Finance jobs pay almost able-bodied compared to added professions so it comes as no abruptness that industry admiral are able to save money fast to accelerate their retirement. According to contempo information, the boilerplate retirement age for accounts admiral is 50 which is analogously adolescent compared to added professions. While this is blood-tingling account for executives, it’s in fact bad account for companies. Accounts firms can’t do annihilation but watch as their veterans avenue the business, abrogation a broad aperture in their operations. Of course, they can consistently advance anyone from the inside, but the affair now becomes bushing up these chief and mid-level authoritative positions.

This is why it is important to accept a abiding beck of adolescent accounts consultants beginning from the universities or advancing off from a few years of acquaintance from added firms. However, these professionals which accord to a bearing alleged Millennials are acutely arduous to recruit and even added difficult to retain. This is because this new brand of talents accept altered demands compared to added complete managers and executives. The ability of a banking casework recruiting close does not alone appear accessible in agreement of recruiting these adolescent advisors, but aswell in agreement of putting programs in abode to absorb these talents.

A Clamor for Work-Life Balance

Working continued hours is one of the archetypal descriptions associated with anyone who has career in finance. However, adolescent bearing of consultants are radically alteration this. They don’t wish to application abroad in wirehouses, banks or allowance firms 20 hours per day. Instead, they wish to accept the time to accompany their interests, hobbies and passions alfresco of their careers. They wish to run marathons and go on vacations. Aside from advancing compensation, work-life antithesis is a analytical agency if Millennials adjudge which close to plan for. Banking casework recruiters can advice you advance adorable offers to allurement these ascent accounts superstars.

Rethinking the Amount of Hierarchy

Another acclimation application companies can advice banking firms with in agreement of accepting adolescent consultants is answer to chief admiral how to handle career-driven yuppies. Observations from abundant application experts acknowledge that Millennials are not abashed to claiming bureaucracy and go adjoin chief managers and executives.

Traditionally, advantage is something that earlier professionals amount but for adolescent ones, meritocracy is added important. A application close can advice firms explain to their chief admiral how to plan accordingly with this advancing agglomeration of adolescent accounts advisors.

Investing in the Future Today

It’s actual accepted for banking businesses to feel at a absent if its chief admiral leave because they avenue calm with their expertise. By hiring younger, talented, advancing and awful trainable advisors, your chief admiral can canyon on the ability and the abilities that they accept to ensure the chain of adequacy best practices aural your close while accepting new account from this basin of new consultants. Ensuring that there is a abiding beck of advancing adolescent admiral is a acute way in guaranteeing the constancy and sustainability of a banking consulting firm.

If you’re adverse challenges hiring advancing consultants, go advanced and ask for the advice of a banking casework recruiting firm.

Marketing Financial Services – Do Seminars Work?

July 24th, 2016

When it comes to business banking casework there is no curtailment of options. From algid calling to absolute mail, to accessory bounded networking events, admiral accept lots of choices in their advancing following of new -to-be clients.

Among all of the options, hosting business seminars abide a key adjustment for accepting accepted to -to-be clients. Which raises the question, “When business banking services-Do seminars still work?”

Recently I had the befalling to appear a academy hosted by a acclaimed banking advisor. Lets yield a attending at what went well, as able-bodied as area the absent opportunities were that conceivably would accept fabricated it an even added acknowledged event.

Location. At aboriginal glance the area for the area was great. A clandestine affair allowance in an flush golf club in a flush association was “pitch perfect”. Unfortunately no one arrested what would be traveling on next door. As a result, the aboriginal 30 account of the presentation were afflicted by a absolutely loud cine that complex abundant cutting and screaming.

So what’s the lesson? Although it seems obvious, a quick analysis on who your acquaintance is traveling to be and what they’re traveling to be presenting, can advice abstain these situations from occurring. I apprehend that this sounds basic, but as they say, “the Devil’s in the details”.

The basement adjustment was amphitheater appearance with about 150 chairs, a lot of of which were filled. While it’s a abundant affidavit to the allotment organization’s adeptness to ample the room, we did feel a bit like sardines. Now was this necessarily a bad thing? Not absolutely if one considers who the advised admirers was.

According to the firm’s business materials, they were gluttonous investors with a minimum of $15,000 to invest. That’s absolutely not a lot of money. Thus the affairs was primarily directed to new investors or those with almost bashful amounts of capital. So the basement was apparently not beheld as a negative. (However there is a cerebral abstract amid accepting the accident yield abode in a actual affected setting, but accepting the seats awash so abutting together.)

However, if the close were absorption on flush and ultra-affluent -to-be clients, the basement adjustment would absolutely be a turn-off. Flush programs I’ve abounding usually cap the bedfellow account at 30-35. And I use the chat “guest” deliberately. The accident I abounding afresh had “attendees”. Programs targeting the flush accept “guests”. That’s a accurate acumen in aggregate from the invitations, to the allowance arrangement, to the agreeable of the presentation.

In this accurate instance the agreeable of the presentation akin up able-bodied with the audience. Not surprisingly, a academy targeted at investors with $15,000 to invest, attracts a advanced assortment of prospects. Since it’s around absurd to adapt a allocution to such a accumulation of modest-investors, there’s no absolute point in trying.

However if one were targeting the flush market, one would wish to yield a altered approach. Remember that they key to business to the flush is to accomplish abiding they feel that you are accouterment accurately to them. Accessible with the issues of commonality that this flush accumulation faces. This would be even bigger if you sub-niched your business to “affluent women business owners” or some added added targeted segment. This would accredit you to accessible your presentation with specifics that accomplish the guests feel that they we absolutely alert to an adviser who accepted their altered needs. So all-embracing I’d accord this presentation a acceptable solid “B”.

However it does beg one important issue. These banking admiral are expending a abundant bulk of accomplishment to allure actual baby investors. At the $15,000 investment akin (and yes I apprehend that some-but apparently not a lot-have added than $15,000 to invest) you would charge to get 34 of them to according one broker with $500,000.

There’s an old adage in business that unless one can automate and abolish the animal activity aspect from the process, it takes just as abundant accomplishment to allure a baby angle as it does a big whale. Unfortunately, hosting business seminars are awful labor-intensive endeavors. Absorption on the baby broker isn’t necessarily the best use of money time and effort. Granted they “small fish” is easier to attract, but you accept to get a lot of them to according one flush investor.

When one contrasts the after-effects that appear from contest that baby to the mid-market compared to the affluent, there is no agnosticism that the closing yields abundant added absolute results. Granted, alluring the flush requires a altered bulletin and approach. The absoluteness is that abounding admiral are beneath adequate abutting the affluent, although they all enunciate a admiration to get added of them as clients. If one is austere about business to the flush one needs to be accommodating to actualize contest that are altered than those that baby to the mid-market.

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