1. Lecture 2 Forming Teams April 3, 2008

2. Some suggested guidelines Decide on your Team Decide on your project Choose a leader – The leader can be rotated Choose roles – who does what on team Choose means of communication – e.g. e-mail, phone, web-site, face-to-face – frequency of meetings (when and where) Decide on ground rules – What to do when a team member is not pulling weight? – What to do if the goals are seen as not reachable? – What to do if you can’t agree

3. Rules Write down these rules. Give your team a name. Everybody signs. Submit to Rahul next Tuesday

4. Guidelines (cont.) For meetings Show up Show up on time Assign and rotate roles – Time keeper, scribe, leader – Have agenda, capture action items (who what when) – Take process breaks periodically, ask yourself Are you sticking to an agenda or are you wandering off the subject? Do you have an agenda? Is everybody contributing or are some dominating? Are you reaching your expectations for the meeting? Write down agreements and disagreements Write down actions and plans for resolution Write down all “action items” (what, who, when) Review action items beginning each meeting Try and invent new ways of interacting- the object is effectiveness

5. Test of team effectiveness After third and fifth week – Ask yourselves Is your Team functioning well? If not do you have a plan to improve? How well is this plan working? Do you require any intervention? Emphasis on improvement. Avoid “blame” Rahul and I are available for counseling if issues can not be resolved

6. What types of class teams have been successful at Caltech (n=30) Best teams- commitment respect and integrity (most important!) A product that people believe in (helps but less important) Similar backgrounds (least important)

7. Introduce Yourselves Who are you? Class, concentration, graduate department One unusual thing about yourself

8. To begin... Need to form a Team by end of today – 2-4 people with 3 optimum – Graded students on teams, P/Fs on Teams, Auditors on Teams. – Look for compatibility – Don’t have to be friends coming in. – Choose name for your Team

9. Form Teams Submit team name and members by the end of the day to Rahul Discuss Candidate Topics Read First Case and Present sol’n on Tuesday Volunteer Team to present first case

10. DateTask April 1 April 3 This is an early and important (but not irrevocable) decision in this Class. Some thoughts: 2-4 students, but 3 is optimum. Common Goals. Common commitment. Name of team, Signed Team statement “ Rules of the Road ” due April 8Topic Proposal due. This is a 2 page Plan of Action, What you will do, Schedule of events and Responsibility assignment. April 17Submit Progress, Schedule, Milestones. Team evaluation exercise April 21 May 3First draft. This is a 5 page Outline of Results to date with a schedule of what needs to be done.. June 2Final Report due. The Final report should be maximum 15-20 pages double- spaced. June 2Final Presentation to class. These should take approximately 30 minutes (~15 ppt slides)

11. DateTask (Tentative!) April 3 April 8 Form a team This is an early and important (but not irrevocable) decision in this Class. Common Goals. Common commitment. Name of team, Signed Team statement “ Rules of the Road ” due Topic Proposal due. This is a 2 page Plan of Action, What you will do, Schedule of events and Responsibility assignment. April 17Submit Progress, Schedule, Milestones. Team evaluation exercise April 21 May 1First draft. This is a 5 page Outline of Results to date with a schedule of what needs to be done.. June 2Final Report due. The Final report should be maximum 15-20 pages double-spaced. June 2Final Presentation to class. These should take approximately 30 minutes (~15 ppt slides)

12. Consider business ecosystems loose networks—of suppliers, distributors, outsourcing firms, makers of related products or services, technology providers, and a host of other organizations—affect, and are affected by, the creation and delivery of a company's own offerings. Like an individual species in a biological ecosystem, each member of a business ecosystem ultimately shares the fate of the network as a whole, regardless of that member's apparent strength. From their earliest days, Wal-Mart and Microsoft—unlike companies that focus primarily on their internal capabilities—have realized this and pursued strategies that not only aggressively further their own interests but also promote their ecosystems' overall health. -Marco Iansiti, Roy Levien

13. Walmart Shipping connections Supplier connections Global market Interface with local govt Inventory mgmt Customers

14. Business Ecosystems Give some examples of companies and industries which use the ecosystem model well What has changed in the ecosystem model in these industries in recent years?

15. Examples of business ecosystems Defense Industry DOD, Primes, subcontractors, sub-subs etc., Congress, Allies Wall Street analysts, brokers, traders, members, SEC, investors, IT, etc. What is changing here?

16. What’s changing in these areas? Health Care – Population is getting older – Insurance comp have lot of control Globalization China and India – Middle class developing rapidly – Harder to find qualified employees Energy – Fossil fuel prices dramatically rising – Green energy bubble Global Warming – Govt involvement in emission regulation Wireless connectivity War on Terror

17. What can happen to disturb the ecosystem? Some Major Drivers of Change War Technology Economic/Political

18. War as a Driver of Change WW1 –Aviation WW2 –Jet aircraft –Radar –Nuclear energy Cold War –Semiconductors and Computers –Missiles, Communication Satellites –Internet War on Terrorism –?

19. Technology as a driver of change Fundamental Law Technology change opportunity Always opportunities but there are times when opportunity abounds

20. Economic/Political Issues Drive Change Globalization Modernization and Rise –China –India –SE Asia –Eastern Europe Oil and Energy European Unification What else?

21. Relationship between subject matter knowledge and process knowledge Do you have to be a Technology expert in the area you are studying? –Ignorance is not bliss –However technical knowledge does not guarantee good strategy What are the pitfalls –of knowing too little? –of knowing “too much”?

22. Definition of Technology Main Entry: tech·nol·o·gy Pronunciation: -jE Function: noun Inflected Form(s): plural -gies Etymology: Greek technologia systematic treatment of an art, from technE art, skill + -o- + -logia -logy Date: 1859 1 a : the practical application of knowledge especially in a particular area : ENGINEERING 2 b : a capability given by the practical application of knowledge 2 : a manner of accomplishing a task especially using technical processes, methods, or knowledge 3 : the specialized aspects of a particular field of endeavor - tech·nol·o·gist /-jist/ noun Source Merriam-Webster web dictionary

23. Technology as a growth agent How does Technology drive these industries? – Semiconductors and Electronics – Communications and Information – Consumer – Health care – Automotive – Aerospace

24. Why is it hard to predict technology change? Technologies evolve and rates can be difficult to predict. –Effect of long product cycles (such as military- except in War) Transition from science to engineering is easy to get wrong The problem is confounded by numerous coupled factors (Technology by itself is never the only issue) –Market –Financial –What else? It is difficult to get objective judgement –Bias is built in by those who “know too much” as well as those who know too little –Bias is built into the group (university, government or corporation) –Bias is built into the society –No one person knows enough Often “Winner takes all”

25. Technologies that didn’t happen the way people predicted

26. Name some technologies that didn’t pan out the way they were supposed to Fuel cells Clear pepsi Laser discs Mini discs Electric car Nanotechnology Laser technology, STAR Wars

27. Some recent infamous misses in Technology Iridium- Motorola satellite communication system –Launched on Nov 1, 1998: Chapter 11 Bankruptcy on August 13, 1999. Failure due to: – Competition from cellular – Insufficient demand – The cost of service prohibitive for many users – Mismanagement – Company raised $5B. Bought for $25 million. (Wikipedia)

28. Some recent infamous misses in Technology Accurate translation software – English: Hi, My name is Ken. I'm giving a talk at the Caltech Management Association.

29. Some recent infamous misses in Technology Accurate translation software – English: Hi, My name is Ken. I'm giving a talk at the Caltech Management Association. – Google Spanish: Hi, mi nombre es Ken. Estoy dando una charla en la asociación de la gerencia de Caltech.

30. Some recent infamous misses in Technology Accurate translation software – English: Hi, My name is Ken. I'm giving a talk at the Caltech Management Association. – Google Spanish: Hi, mi nombre es Ken. Estoy dando una charla en la asociación de la gerencia de Caltech. – Google English: Hi, my name is Ken. I am giving to char it in the association of the management of Caltech.

31. Some recent infamous misses in Technology X-Ray lithography – Predicted for the 70s. What happened? – “The introduction of chemically amplified resists to enable DUV lithography in the mid-1990s was the most radical change in the past decade.” Peter Silverman, Intel Corporation” Future Fab Intl. Volume 21, 2006

32. Some recent infamous misses in Technology Holographic memory – “Although holographic memory was first suggested in 1963, it has failed to find commercial success so far. However, Hans Coufal, an expert in the technology at IBM's Almaden Laboratory in California, says the holographic memory could challenge formats such as Blu-ray and HD- DVD.”Will Knight, 8:23 NewScientist.com 24 November 2005

33. Some recent infamous misses in Technology Artificial Heart Many examples from The Drug Delivery Process Genomics Maglev Nuclear power Fusion power Cold fusion SST High temperature superconductors Virtual reality Knowledge Management Laser Disc Betamax

34. Some recent infamous misses in Technology Flying Car Electric car Fuel Cell Car Flywheel Energy Storage E books Tablet PCs LA Metro System Many others, for example? Later, we will discuss some tools that help you make an assessment that avoids some of the obvious mistakes

35. What drives Technology?

36. Moore’s Law

38. Technological Capability Year Capability

40. Technological Capability Year Capability

41. Technological Capability Year Capability

42. One year ago at Frys.com 500 GB @ $159.00 or $0.32/GB Now 750 GB @ $149.99 or $0.20/GB