1. 0 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Continuous Education: what opportunities for a Telco? A contribution to the discussion

2. 1 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 - The global picture -The Value Chain -Is there a biz for Telcos? -Examples

3. 2 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 The context  Half life of technology know how: 3-5 years  2012 Value of today’s technical skill: 10% of current value  Profession tends to focus competence, expertise on a single tree losing track of the forest; compartimentalization of knowledge within value chain and within enterprises’ department  A lot of wasted time, effort and opportunities in rediscovering the wheel; know-how bounded to persons, looseley coupled with the enterprise  Limited results, so far, by Knowledge Management

4. 3 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 The global picture: Information Mgt  Basically free storage of information: accumulation is possible  Localised information, synch “in burst”at no cost: distributed but continuously related information  Localised transfer of information, viral communications: context changes continuously  Information is moving around ready to be captured serendipiously: sorting information from data  Social networks based and managed information anything can be a “Social Network” thus creating a context

5. 4 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 The global picture: context awareness  Sensors  Automated processes and monitoring  Automated capture of feelings  Information tagging and relation tagging  Context awareness is not limited by a geographical location nor by time slice (“here and now” morph into “experience and expectation”)

6. 5 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 The global picture: terminals’ evolution  Personal terminals monitoring, capturing, storing  Augmented reality  Local area communications

7. 6 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 The global picture: mash ups  Information Background  Dynamic Information  Localised Information  Personalised Information  Artifacts

8. 7 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 The shift in education value chain a

9. 8 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Is there a biz…?  The education market in Italy (2004):  65 Bl € PA expenditure for education  4.2 Bl € professional training expenditure  private secondary schools: 1.7 Bl (pubblic+private 7 Bl)  Tutoring  education supports  E-learning market (2004) : 365 € mln - enterprises € 316 mln (86%) - PA 8,3 € mln (2,5%)

10. 9 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Is there a biz…?  Training (on and off the job)  only 20% of Italian workers attend training courses (EU average 40%)  enterprises that organize training courses: 25% (EU average 60%)

11. 10 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Is there a biz…?  Savings due to the use of distance learning  On line course cost may be less than 45% of a traditional course. The English Open University has an average cost around 50% of a traditional one  Brandon Hall realized a study on 12 USA companies to evaluate savings due to the use of on line learning for training of employees: the result was that these companies could make a training volume five times higher at 1/3 of the budget  The first reason of savings is a reduction in traveling cost that generally account for 67% of total cost  Cost of “not training”  Decrease of enterprises productivity and competitiveness  Decrease of knowkedge value for the country  Decrease of turn over -> older blood, less innovation

12. 11 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Is there a biz…for Telecommunications?  Seamless link of information to people RIGHT ON TIME, WHEN IT IS NEEDED  Intermediation role  Profiling, adaptation, monitoring  Meta-Information  Support to trainers and trainees

13. 12 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Value proposition  Connectivity  Information mgt (accrual, delivery, tagging, relationships, ownership, revenue sharing,…)  Application platforms  Add-on layer on existing processes (e.g. CRM, Call Centers, production processes)  Intermediation in value chain across several actors

14. 13 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Examples  Changing the education model in high school  Continuous education in the retail segment  Continuous education merged into production

15. 14 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Examples: Internet as the education fabric  Internet and computers in every school – seldom used  Most teachers suspicious of Internet  Students familiar to “play” on Internet

16. 15 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Examples: Samsung Italy  2400 retail points  Product life cycle < 4 months (cell phones, televisions, PC)  No control on clerks HQ Italy

17. 16 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Examples: Telecom Italia CRM-Noi TV  30,000 people in the “field”  Marketing at the edge  Outsourcing vs Insourcing

18. 17 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Telecom Italia NGN2

19. 18 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 Open questions  How close are the education/training environment?  Can an independent party provide services to a basically non existing community supporting continuous education?  What should be the entry point in the education value chain (targeting trainers, content providers, end users, process managers)  What are the shareholders and who is threatened?

20. 19 | Roberto Saracco | TILAB- Telecom Italia Boston, Oct. 2006 In a nutshell How can Telcos enter and help in reshaping The continuous education value chain? How can they play a role in the continuous education biz beyond the one of carrier?