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#431343 How Technology Is Driving Us Toward Peak ...

At some point in the future—and in some ways we are already seeing this—the amount of physical stuff moving around the world will peak and begin to decline. By “stuff,” I am referring to liquid fuels, coal, containers on ships, food, raw materials, products, etc.
New technologies are moving us toward “production-at-the-point-of-consumption” of energy, food, and products with reduced reliance on a global supply chain.
The trade of physical stuff has been central to globalization as we’ve known it. So, this declining movement of stuff may signal we are approaching “peak globalization.”
To be clear, even as the movement of stuff may slow, if not decline, the movement of people, information, data, and ideas around the world is growing exponentially and is likely to continue doing so for the foreseeable future.
Peak globalization may provide a pathway to preserving the best of globalization and global interconnectedness, enhancing economic and environmental sustainability, and empowering individuals and communities to strengthen democracy.
At the same time, some of the most troublesome aspects of globalization may be eased, including massive financial transfers to energy producers and loss of jobs to manufacturing platforms like China. This shift could bring relief to the “losers” of globalization and ease populist, nationalist political pressures that are roiling the developed countries.
That is quite a claim, I realize. But let me explain the vision.
New Technologies and Businesses: Digital, Democratized, Decentralized
The key factors moving us toward peak globalization and making it economically viable are new technologies and innovative businesses and business models allowing for “production-at-the-point-of-consumption” of energy, food, and products.
Exponential technologies are enabling these trends by sharply reducing the “cost of entry” for creating businesses. Driven by Moore’s Law, powerful technologies have become available to almost anyone, anywhere.
Beginning with the microchip, which has had a 100-billion-fold improvement in 40 years—10,000 times faster and 10 million times cheaper—the marginal cost of producing almost everything that can be digitized has fallen toward zero.
A hard copy of a book, for example, will always entail the cost of materials, printing, shipping, etc., even if the marginal cost falls as more copies are produced. But the marginal cost of a second digital copy, such as an e-book, streaming video, or song, is nearly zero as it is simply a digital file sent over the Internet, the world’s largest copy machine.* Books are one product, but there are literally hundreds of thousands of dollars in once-physical, separate products jammed into our devices at little to no cost.
A smartphone alone provides half the human population access to artificial intelligence—from SIRI, search, and translation to cloud computing—geolocation, free global video calls, digital photography and free uploads to social network sites, free access to global knowledge, a million apps for a huge variety of purposes, and many other capabilities that were unavailable to most people only a few years ago.
As powerful as dematerialization and demonetization are for private individuals, they’re having a stronger effect on businesses. A small team can access expensive, advanced tools that before were only available to the biggest organizations. Foundational digital platforms, such as the internet and GPS, and the platforms built on top of them by the likes of Google, Apple, Amazon, and others provide the connectivity and services democratizing business tools and driving the next generation of new startups.

“As these trends gain steam in coming decades, they’ll bleed into and fundamentally transform global supply chains.”

An AI startup, for example, doesn’t need its own server farm to train its software and provide service to customers. The team can rent computing power from Amazon Web Services. This platform model enables small teams to do big things on the cheap. And it isn’t just in software. Similar trends are happening in hardware too. Makers can 3D print or mill industrial grade prototypes of physical stuff in a garage or local maker space and send or sell designs to anyone with a laptop and 3D printer via online platforms.
These are early examples of trends that are likely to gain steam in coming decades, and as they do, they’ll bleed into and fundamentally transform global supply chains.
The old model is a series of large, connected bits of centralized infrastructure. It makes sense to mine, farm, or manufacture in bulk when the conditions, resources, machines, and expertise to do so exist in particular places and are specialized and expensive. The new model, however, enables smaller-scale production that is local and decentralized.
To see this more clearly, let’s take a look at the technological trends at work in the three biggest contributors to the global trade of physical stuff—products, energy, and food.
Products
3D printing (additive manufacturing) allows for distributed manufacturing near the point of consumption, eliminating or reducing supply chains and factory production lines.
This is possible because product designs are no longer made manifest in assembly line parts like molds or specialized mechanical tools. Rather, designs are digital and can be called up at will to guide printers. Every time a 3D printer prints, it can print a different item, so no assembly line needs to be set up for every different product. 3D printers can also print an entire finished product in one piece or reduce the number of parts of larger products, such as engines. This further lessens the need for assembly.
Because each item can be customized and printed on demand, there is no cost benefit from scaling production. No inventories. No shipping items across oceans. No carbon emissions transporting not only the final product but also all the parts in that product shipped from suppliers to manufacturer. Moreover, 3D printing builds items layer by layer with almost no waste, unlike “subtractive manufacturing” in which an item is carved out of a piece of metal, and much or even most of the material can be waste.
Finally, 3D printing is also highly scalable, from inexpensive 3D printers (several hundred dollars) for home and school use to increasingly capable and expensive printers for industrial production. There are also 3D printers being developed for printing buildings, including houses and office buildings, and other infrastructure.
The technology for finished products is only now getting underway, and there are still challenges to overcome, such as speed, quality, and range of materials. But as methods and materials advance, it will likely creep into more manufactured goods.
Ultimately, 3D printing will be a general purpose technology that involves many different types of printers and materials—such as plastics, metals, and even human cells—to produce a huge range of items, from human tissue and potentially human organs to household items and a range of industrial items for planes, trains, and automobiles.
Energy
Renewable energy production is located at or relatively near the source of consumption.
Although electricity generated by solar, wind, geothermal, and other renewable sources can of course be transmitted over longer distances, it is mostly generated and consumed locally or regionally. It is not transported around the world in tankers, ships, and pipelines like petroleum, coal, and natural gas.
Moreover, the fuel itself is free—forever. There is no global price on sun or wind. The people relying on solar and wind power need not worry about price volatility and potential disruption of fuel supplies as a result of political, market, or natural causes.
Renewables have their problems, of course, including intermittency and storage, and currently they work best if complementary to other sources, especially natural gas power plants that, unlike coal plants, can be turned on or off and modulated like a gas stove, and are half the carbon emissions of coal.
Within the next decades or so, it is likely the intermittency and storage problems will be solved or greatly mitigated. In addition, unlike coal and natural gas power plants, solar is scalable, from solar panels on individual homes or even cars and other devices, to large-scale solar farms. Solar can be connected with microgrids and even allow for autonomous electricity generation by homes, commercial buildings, and communities.
It may be several decades before fossil fuel power plants can be phased out, but the development cost of renewables has been falling exponentially and, in places, is beginning to compete with coal and gas. Solar especially is expected to continue to increase in efficiency and decline in cost.
Given these trends in cost and efficiency, renewables should become obviously cheaper over time—if the fuel is free for solar and has to be continually purchased for coal and gas, at some point the former is cheaper than the latter. Renewables are already cheaper if externalities such as carbon emissions and environmental degradation involved in obtaining and transporting the fuel are included.
Food
Food can be increasingly produced near the point of consumption with vertical farms and eventually with printed food and even printed or cultured meat.
These sources bring production of food very near the consumer, so transportation costs, which can be a significant portion of the cost of food to consumers, are greatly reduced. The use of land and water are reduced by 95% or more, and energy use is cut by nearly 50%. In addition, fertilizers and pesticides are not required and crops can be grown 365 days a year whatever the weather and in more climates and latitudes than is possible today.
While it may not be practical to grow grains, corn, and other such crops in vertical farms, many vegetables and fruits can flourish in such facilities. In addition, cultured or printed meat is being developed—the big challenge is scaling up and reducing cost—that is based on cells from real animals without slaughtering the animals themselves.
There are currently some 70 billion animals being raised for food around the world [PDF] and livestock alone counts for about 15% of global emissions. Moreover, livestock places huge demands on land, water, and energy. Like vertical farms, cultured or printed meat could be produced with no more land use than a brewery and with far less water and energy.
A More Democratic Economy Goes Bottom Up
This is a very brief introduction to the technologies that can bring “production-at-the-point-of-consumption” of products, energy, and food to cities and regions.
What does this future look like? Here’s a simplified example.
Imagine a universal manufacturing facility with hundreds of 3D printers printing tens of thousands of different products on demand for the local community—rather than assembly lines in China making tens of thousands of the same product that have to be shipped all over the world since no local market can absorb all of the same product.
Nearby, a vertical farm and cultured meat facility produce much of tomorrow night’s dinner. These facilities would be powered by local or regional wind and solar. Depending on need and quality, some infrastructure and machinery, like solar panels and 3D printers, would live in these facilities and some in homes and businesses.
The facilities could be owned by a large global corporation—but still locally produce goods—or they could be franchised or even owned and operated independently by the local population. Upkeep and management at each would provide jobs for communities nearby. Eventually, not only would global trade of parts and products diminish, but even required supplies of raw materials and feed stock would decline since there would be less waste in production, and many materials would be recycled once acquired.

“Peak globalization could be a viable pathway to an economic foundation that puts people first while building a more economically and environmentally sustainable future.”

This model suggests a shift toward a “bottom up” economy that is more democratic, locally controlled, and likely to generate more local jobs.
The global trends in democratization of technology make the vision technologically plausible. Much of this technology already exists and is improving and scaling while exponentially decreasing in cost to become available to almost anyone, anywhere.
This includes not only access to key technologies, but also to education through digital platforms available globally. Online courses are available for free, ranging from advanced physics, math, and engineering to skills training in 3D printing, solar installations, and building vertical farms. Social media platforms can enable local and global collaboration and sharing of knowledge and best practices.
These new communities of producers can be the foundation for new forms of democratic governance as they recognize and “capitalize” on the reality that control of the means of production can translate to political power. More jobs and local control could weaken populist, anti-globalization political forces as people recognize they could benefit from the positive aspects of globalization and international cooperation and connectedness while diminishing the impact of globalization’s downsides.
There are powerful vested interests that stand to lose in such a global structural shift. But this vision builds on trends that are already underway and are gaining momentum. Peak globalization could be a viable pathway to an economic foundation that puts people first while building a more economically and environmentally sustainable future.
This article was originally posted on Open Democracy (CC BY-NC 4.0). The version above was edited with the author for length and includes additions. Read the original article on Open Democracy.
* See Jeremy Rifkin, The Zero Marginal Cost Society, (New York: Palgrave Macmillan, 2014), Part II, pp. 69-154.
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#431142 Will Privacy Survive the Future?

Technological progress has radically transformed our concept of privacy. How we share information and display our identities has changed as we’ve migrated to the digital world.
As the Guardian states, “We now carry with us everywhere devices that give us access to all the world’s information, but they can also offer almost all the world vast quantities of information about us.” We are all leaving digital footprints as we navigate through the internet. While sometimes this information can be harmless, it’s often valuable to various stakeholders, including governments, corporations, marketers, and criminals.
The ethical debate around privacy is complex. The reality is that our definition and standards for privacy have evolved over time, and will continue to do so in the next few decades.
Implications of Emerging Technologies
Protecting privacy will only become more challenging as we experience the emergence of technologies such as virtual reality, the Internet of Things, brain-machine interfaces, and much more.
Virtual reality headsets are already gathering information about users’ locations and physical movements. In the future all of our emotional experiences, reactions, and interactions in the virtual world will be able to be accessed and analyzed. As virtual reality becomes more immersive and indistinguishable from physical reality, technology companies will be able to gather an unprecedented amount of data.
It doesn’t end there. The Internet of Things will be able to gather live data from our homes, cities and institutions. Drones may be able to spy on us as we live our everyday lives. As the amount of genetic data gathered increases, the privacy of our genes, too, may be compromised.
It gets even more concerning when we look farther into the future. As companies like Neuralink attempt to merge the human brain with machines, we are left with powerful implications for privacy. Brain-machine interfaces by nature operate by extracting information from the brain and manipulating it in order to accomplish goals. There are many parties that can benefit and take advantage of the information from the interface.
Marketing companies, for instance, would take an interest in better understanding how consumers think and consequently have their thoughts modified. Employers could use the information to find new ways to improve productivity or even monitor their employees. There will notably be risks of “brain hacking,” which we must take extreme precaution against. However, it is important to note that lesser versions of these risks currently exist, i.e., by phone hacking, identify fraud, and the like.
A New Much-Needed Definition of Privacy
In many ways we are already cyborgs interfacing with technology. According to theories like the extended mind hypothesis, our technological devices are an extension of our identities. We use our phones to store memories, retrieve information, and communicate. We use powerful tools like the Hubble Telescope to extend our sense of sight. In parallel, one can argue that the digital world has become an extension of the physical world.
These technological tools are a part of who we are. This has led to many ethical and societal implications. Our Facebook profiles can be processed to infer secondary information about us, such as sexual orientation, political and religious views, race, substance use, intelligence, and personality. Some argue that many of our devices may be mapping our every move. Your browsing history could be spied on and even sold in the open market.
While the argument to protect privacy and individuals’ information is valid to a certain extent, we may also have to accept the possibility that privacy will become obsolete in the future. We have inherently become more open as a society in the digital world, voluntarily sharing our identities, interests, views, and personalities.

“The question we are left with is, at what point does the tradeoff between transparency and privacy become detrimental?”

There also seems to be a contradiction with the positive trend towards mass transparency and the need to protect privacy. Many advocate for a massive decentralization and openness of information through mechanisms like blockchain.
The question we are left with is, at what point does the tradeoff between transparency and privacy become detrimental? We want to live in a world of fewer secrets, but also don’t want to live in a world where our every move is followed (not to mention our every feeling, thought and interaction). So, how do we find a balance?
Traditionally, privacy is used synonymously with secrecy. Many are led to believe that if you keep your personal information secret, then you’ve accomplished privacy. Danny Weitzner, director of the MIT Internet Policy Research Initiative, rejects this notion and argues that this old definition of privacy is dead.
From Witzner’s perspective, protecting privacy in the digital age means creating rules that require governments and businesses to be transparent about how they use our information. In other terms, we can’t bring the business of data to an end, but we can do a better job of controlling it. If these stakeholders spy on our personal information, then we should have the right to spy on how they spy on us.
The Role of Policy and Discourse
Almost always, policy has been too slow to adapt to the societal and ethical implications of technological progress. And sometimes the wrong laws can do more harm than good. For instance, in March, the US House of Representatives voted to allow internet service providers to sell your web browsing history on the open market.
More often than not, the bureaucratic nature of governance can’t keep up with exponential growth. New technologies are emerging every day and transforming society. Can we confidently claim that our world leaders, politicians, and local representatives are having these conversations and debates? Are they putting a focus on the ethical and societal implications of emerging technologies? Probably not.
We also can’t underestimate the role of public awareness and digital activism. There needs to be an emphasis on educating and engaging the general public about the complexities of these issues and the potential solutions available. The current solution may not be robust or clear, but having these discussions will get us there.
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#430668 Why Every Leader Needs to Be Obsessed ...

This article is part of a series exploring the skills leaders must learn to make the most of rapid change in an increasingly disruptive world. The first article in the series, “How the Most Successful Leaders Will Thrive in an Exponential World,” broadly outlines four critical leadership skills—futurist, technologist, innovator, and humanitarian—and how they work together.
Today’s post, part five in the series, takes a more detailed look at leaders as technologists. Be sure to check out part two of the series, “How Leaders Dream Boldly to Bring New Futures to Life,” part three of the series, “How All Leaders Can Make the World a Better Place,” and part four of the series, “How Leaders Can Make Innovation Everyone’s Day Job”.
In the 1990s, Tower Records was the place to get new music. Successful and popular, the California chain spread far and wide, and in 1998, they took on $110 million in debt to fund aggressive further expansion. This wasn’t, as it turns out, the best of timing.
The first portable digital music player went on sale the same year. The following year brought Napster, a file sharing service allowing users to freely share music online. By 2000, Napster hosted 20 million users swapping songs. Then in 2001, Apple’s iPod and iTunes arrived, and when the iTunes Music Store opened in 2003, Apple sold over a million songs the first week.
As music was digitized, hard copies began to go out of style, and sales and revenue declined.
Tower first filed for bankruptcy in 2004 and again (for the last time) in 2006. The internet wasn’t the only reason for Tower’s demise. Mismanagement and price competition from electronics retailers like Best Buy also played a part. Still, today, the vast majority of music is purchased or streamed entirely online, and record stores are for the most part a niche market.
The writing was on the wall, but those impacted most had trouble reading it.
Why is it difficult for leaders to see technological change coming and right the ship before it’s too late? Why did Tower go all out on expansion just as the next big thing took the stage?
This is one story of many. Digitization has moved beyond music and entertainment, and now many big retailers operating physical stores are struggling to stay relevant. Meanwhile, the pace of change is accelerating, and new potentially disruptive technologies are on the horizon.
More than ever, leaders need to develop a strong understanding of and perspective on technology. They need to survey new innovations, forecast their pace, gauge the implications, and adopt new tools and strategy to change course as an industry shifts, not after it’s shifted.
Simply, leaders need to adopt the mindset of a technologist. Here’s what that means.
Survey the Landscape
Nurturing curiosity is the first step to understanding technological change. To know how technology might disrupt your industry, you have to know what’s in the pipeline and identify which new inventions are directly or indirectly related to your industry.
Becoming more technologically minded takes discipline and focus as well as unstructured time to explore the non-obvious connections between what is right in front of us and what might be. It requires a commitment to ongoing learning and discovery.
Read outside your industry and comfort zone, not just Fast Company and Wired, but Science and Nature to expand your horizons. Identify experts with the ability to demystify specific technology areas—many have a solid following on Twitter or a frequently cited blog.
But it isn’t all about reading. Consider going where the change is happening too.
Visit one of the technology hubs around the world or a local university research lab in your own back yard. Or bring the innovation to you by building an internal exploration lab stocked with the latest technologies, creating a technology advisory board, hosting an internal innovation challenge, or a local pitch night where aspiring entrepreneurs can share their newest ideas.
You might even ask the crowd by inviting anyone to suggest what innovation is most likely to disrupt your product, service, or sector. And don’t hesitate to engage younger folks—the digital natives all around you—by asking questions about what technology they are using or excited about. Consider going on a field trip with them to see how they use technology in different aspects of their lives. Invite the seasoned executives on your team to explore long-term “reverse mentoring” with someone who can expose them to the latest technology and teach them to use it.
Whatever your strategy, the goal should be to develop a healthy obsession with technology.
By exploring fresh perspectives outside traditional work environments and then giving ourselves permission to see how these new ideas might influence existing products and strategies, we have a chance to be ready for what we’re not ready for—but is likely right around the corner.
Estimate the Pace of Progress
The next step is forecasting when a technology will mature.
One of the most challenging aspects of the changes underway is that in many technology arenas, we are quickly moving from a linear to an exponential pace. It is hard enough to envision what is needed in an industry buffeted by progress that is changing 10% per year, but what happens when technological progress doubles annually? That is another world altogether.
This kind of change can be deceiving. For example, machine learning and big data are finally reaching critical momentum after more than twenty years of being right around the corner. The advances in applications like speech and image recognition that we’ve seen in recent years dwarf what came before and many believe we’ve just begun to understand the implications.
Even as we begin to embrace disruptive change in one technology arena, far more exciting possibilities unfold when we explore how multiple arenas are converging.
Artificial intelligence and big data are great examples. As Hod Lipson, professor of Mechanical Engineering and Data Science at Columbia University and co-author of Driverless: Intelligent Cars and the Road Ahead, says, “AI is the engine, but big data is the fuel. They need each other.”
This convergence paired with an accelerating pace makes for surprising applications.
To keep his research lab agile and open to new uses of advancing technologies, Lipson routinely asks his PhD students, “How might AI disrupt this industry?” to prompt development of applications across a wide spectrum of sectors from healthcare to agriculture to food delivery.
Explore the Consequences
New technology inevitably gives rise to new ethical, social, and moral questions that we have never faced before. Rather than bury our heads in the sand, as leaders we must explore the full range of potential consequences of whatever is underway or still to come.
We can add AI to kids’ toys, like Mattel’s Hello Barbie or use cutting-edge gene editing technology like CRISPR-Cas9 to select for preferred gene sequences beyond basic health. But just because we can do something doesn’t mean we should.
Take time to listen to skeptics and understand the risks posed by technology.
Elon Musk, Stephen Hawking, Steve Wozniak, Bill Gates, and other well-known names in science and technology have expressed concern in the media and via open letters about the risks posed by AI. Microsoft’s CEO, Satya Nadella, has even argued tech companies shouldn’t build artificial intelligence systems that will replace people rather than making them more productive.
Exploring unintended consequences goes beyond having a Plan B for when something goes wrong. It requires broadening our view of what we’re responsible for. Beyond customers, shareholders, and the bottom line, we should understand how our decisions may impact employees, communities, the environment, our broader industry, and even our competitors.
The minor inconvenience of mitigating these risks now is far better than the alternative. Create forums to listen to and value voices outside of the board room and C-Suite. Seek out naysayers, ethicists, community leaders, wise elders, and even neophytes—those who may not share our preconceived notions of right and wrong or our narrow view of our role in the larger world.
The question isn’t: If we build it, will they come? It’s now: If we can build it, should we?
Adopt New Technologies and Shift Course
The last step is hardest. Once you’ve identified a technology (or technologies) as a potential disruptor and understand the implications, you need to figure out how to evolve your organization to make the most of the opportunity. Simply recognizing disruption isn’t enough.
Take today’s struggling brick-and-mortar retail business. Online shopping isn’t new. Amazon isn’t a plucky startup. Both have been changing how we buy stuff for years. And yet many who still own and operate physical stores—perhaps most prominently, Sears—are now on the brink of bankruptcy.
There’s hope though. Netflix began as a DVD delivery service in the 90s, but quickly realized its core business didn’t have staying power. It would have been laughable to stream movies when Netflix was founded. Still, computers and bandwidth were advancing fast. In 2007, the company added streaming to its subscription. Even then it wasn’t a totally compelling product.
But Netflix clearly saw a streaming future would likely end their DVD business.
In recent years, faster connection speeds, a growing content library, and the company’s entrance into original programming have given Netflix streaming the upper hand over DVDs. Since 2011, DVD subscriptions have steadily declined. Yet the company itself is doing fine. Why? It anticipated the shift to streaming and acted on it.
Never Stop Looking for the Next Big Thing
Technology is and will increasingly be a driver of disruption, destabilizing entrenched businesses and entire industries while also creating new markets and value not yet imagined.
When faced with the rapidly accelerating pace of change, many companies still default to old models and established practices. Leading like a technologist requires vigilant understanding of potential sources of disruption—what might make your company’s offering obsolete? The answers may not always be perfectly clear. What’s most important is relentlessly seeking them.
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#430658 Why Every Leader Needs a Healthy ...

This article is part of a series exploring the skills leaders must learn to make the most of rapid change in an increasingly disruptive world. The first article in the series, “How the Most Successful Leaders Will Thrive in an Exponential World,” broadly outlines four critical leadership skills—futurist, technologist, innovator, and humanitarian—and how they work together.
Today’s post, part five in the series, takes a more detailed look at leaders as technologists. Be sure to check out part two of the series, “How Leaders Dream Boldly to Bring New Futures to Life,” part three of the series, “How All Leaders Can Make the World a Better Place,” and part four of the series, “How Leaders Can Make Innovation Everyone’s Day Job”.
In the 1990s, Tower Records was the place to get new music. Successful and popular, the California chain spread far and wide, and in 1998, they took on $110 million in debt to fund aggressive further expansion. This wasn’t, as it turns out, the best of timing.
The first portable digital music player went on sale the same year. The following year brought Napster, a file sharing service allowing users to freely share music online. By 2000, Napster hosted 20 million users swapping songs. Then in 2001, Apple’s iPod and iTunes arrived, and when the iTunes Music Store opened in 2003, Apple sold over a million songs the first week.
As music was digitized, hard copies began to go out of style, and sales and revenue declined.
Tower first filed for bankruptcy in 2004 and again (for the last time) in 2006. The internet wasn’t the only reason for Tower’s demise. Mismanagement and price competition from electronics retailers like Best Buy also played a part. Still, today, the vast majority of music is purchased or streamed entirely online, and record stores are for the most part a niche market.
The writing was on the wall, but those impacted most had trouble reading it.
Why is it difficult for leaders to see technological change coming and right the ship before it’s too late? Why did Tower go all out on expansion just as the next big thing took the stage?
This is one story of many. Digitization has moved beyond music and entertainment, and now many big retailers operating physical stores are struggling to stay relevant. Meanwhile, the pace of change is accelerating, and new potentially disruptive technologies are on the horizon.
More than ever, leaders need to develop a strong understanding of and perspective on technology. They need to survey new innovations, forecast their pace, gauge the implications, and adopt new tools and strategy to change course as an industry shifts, not after it’s shifted.
Simply, leaders need to adopt the mindset of a technologist. Here’s what that means.
Survey the Landscape
Nurturing curiosity is the first step to understanding technological change. To know how technology might disrupt your industry, you have to know what’s in the pipeline and identify which new inventions are directly or indirectly related to your industry.
Becoming more technologically minded takes discipline and focus as well as unstructured time to explore the non-obvious connections between what is right in front of us and what might be. It requires a commitment to ongoing learning and discovery.
Read outside your industry and comfort zone, not just Fast Company and Wired, but Science and Nature to expand your horizons. Identify experts with the ability to demystify specific technology areas—many have a solid following on Twitter or a frequently cited blog.
But it isn’t all about reading. Consider going where the change is happening too.
Visit one of the technology hubs around the world or a local university research lab in your own back yard. Or bring the innovation to you by building an internal exploration lab stocked with the latest technologies, creating a technology advisory board, hosting an internal innovation challenge, or a local pitch night where aspiring entrepreneurs can share their newest ideas.
You might even ask the crowd by inviting anyone to suggest what innovation is most likely to disrupt your product, service, or sector. And don’t hesitate to engage younger folks—the digital natives all around you—by asking questions about what technology they are using or excited about. Consider going on a field trip with them to see how they use technology in different aspects of their lives. Invite the seasoned executives on your team to explore long-term “reverse mentoring” with someone who can expose them to the latest technology and teach them to use it.
Whatever your strategy, the goal should be to develop a healthy obsession with technology.
By exploring fresh perspectives outside traditional work environments and then giving ourselves permission to see how these new ideas might influence existing products and strategies, we have a chance to be ready for what we’re not ready for—but is likely right around the corner.
Estimate the Pace of Progress
The next step is forecasting when a technology will mature.
One of the most challenging aspects of the changes underway is that in many technology arenas, we are quickly moving from a linear to an exponential pace. It is hard enough to envision what is needed in an industry buffeted by progress that is changing 10% per year, but what happens when technological progress doubles annually? That is another world altogether.
This kind of change can be deceiving. For example, machine learning and big data are finally reaching critical momentum after more than twenty years of being right around the corner. The advances in applications like speech and image recognition that we’ve seen in recent years dwarf what came before and many believe we’ve just begun to understand the implications.
Even as we begin to embrace disruptive change in one technology arena, far more exciting possibilities unfold when we explore how multiple arenas are converging.
Artificial intelligence and big data are great examples. As Hod Lipson, professor of Mechanical Engineering and Data Science at Columbia University and co-author of Driverless: Intelligent Cars and the Road Ahead, says, “AI is the engine, but big data is the fuel. They need each other.”
This convergence paired with an accelerating pace makes for surprising applications.
To keep his research lab agile and open to new uses of advancing technologies, Lipson routinely asks his PhD students, “How might AI disrupt this industry?” to prompt development of applications across a wide spectrum of sectors from healthcare to agriculture to food delivery.
Explore the Consequences
New technology inevitably gives rise to new ethical, social, and moral questions that we have never faced before. Rather than bury our heads in the sand, as leaders we must explore the full range of potential consequences of whatever is underway or still to come.
We can add AI to kids’ toys, like Mattel’s Hello Barbie or use cutting-edge gene editing technology like CRISPR-Cas9 to select for preferred gene sequences beyond basic health. But just because we can do something doesn’t mean we should.
Take time to listen to skeptics and understand the risks posed by technology.
Elon Musk, Stephen Hawking, Steve Wozniak, Bill Gates, and other well-known names in science and technology have expressed concern in the media and via open letters about the risks posed by AI. Microsoft’s CEO, Satya Nadella, has even argued tech companies shouldn’t build artificial intelligence systems that will replace people rather than making them more productive.
Exploring unintended consequences goes beyond having a Plan B for when something goes wrong. It requires broadening our view of what we’re responsible for. Beyond customers, shareholders, and the bottom line, we should understand how our decisions may impact employees, communities, the environment, our broader industry, and even our competitors.
The minor inconvenience of mitigating these risks now is far better than the alternative. Create forums to listen to and value voices outside of the board room and C-Suite. Seek out naysayers, ethicists, community leaders, wise elders, and even neophytes—those who may not share our preconceived notions of right and wrong or our narrow view of our role in the larger world.
The question isn’t: If we build it, will they come? It’s now: If we can build it, should we?
Adopt New Technologies and Shift Course
The last step is hardest. Once you’ve identified a technology (or technologies) as a potential disruptor and understand the implications, you need to figure out how to evolve your organization to make the most of the opportunity. Simply recognizing disruption isn’t enough.
Take today’s struggling brick-and-mortar retail business. Online shopping isn’t new. Amazon isn’t a plucky startup. Both have been changing how we buy stuff for years. And yet many who still own and operate physical stores—perhaps most prominently, Sears—are now on the brink of bankruptcy.
There’s hope though. Netflix began as a DVD delivery service in the 90s, but quickly realized its core business didn’t have staying power. It would have been laughable to stream movies when Netflix was founded. Still, computers and bandwidth were advancing fast. In 2007, the company added streaming to its subscription. Even then it wasn’t a totally compelling product.
But Netflix clearly saw a streaming future would likely end their DVD business.
In recent years, faster connection speeds, a growing content library, and the company’s entrance into original programming have given Netflix streaming the upper hand over DVDs. Since 2011, DVD subscriptions have steadily declined. Yet the company itself is doing fine. Why? It anticipated the shift to streaming and acted on it.
Never Stop Looking for the Next Big Thing
Technology is and will increasingly be a driver of disruption, destabilizing entrenched businesses and entire industries while also creating new markets and value not yet imagined.
When faced with the rapidly accelerating pace of change, many companies still default to old models and established practices. Leading like a technologist requires vigilant understanding of potential sources of disruption—what might make your company’s offering obsolete? The answers may not always be perfectly clear. What’s most important is relentlessly seeking them.
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